tv Street Signs CNBC January 31, 2014 2:00pm-3:01pm EST
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move into the green. computer sciences, tyson foods and jds uniphase, big percentage winners on what is a volatile day today. >> it really has been. we began with what a comeback and indeed, for the s&p, almost flat now. amazing week. that will do it for "power lunch." >> "street signs" begins right now. more often than not, when january stinks, the entire year stinks. well, let's hope history is wrong. stocks out with a whimper although a turnaround today and blame for the month being thrown around from everything and everyone from the fed to japan to the weather. maybe even to us. in this show, we will dispel some of the myths. by the way, boone pickens will join us on the keystone pipeline. back in april, it is time for the big game. the "street signs" stock draft. two teams, three players on each, three stock picks. who is going to win this bad boy
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and our stocks draft? we will find out. you're back from florida. welcome back. >> thank you very much. we scoured the globe for this pure emerald gold and mahogany trophy that cost all of about $50.99. >> we got it in dollar general. >> nonetheless, this will be awarded to one of these fantastic teams you see lined up, ready to go. >> let's see who's taller. >> i have to take off my shoes first. if i take off my shoes, i still win. because of the teased hair. it is ben's last day and this is how the market is sending him off. thanks a lot, he says. the market is nonetheless cut its losses in half today. in fact, by more than half. let's take a look at the biggest movers. among the biggest gainers today, you have chipotle mexican grill up by 14%. google up by 4%. on the down side, you have mattel and amazon. they are among the biggest losers on the s&p. mattel off by 13%. amazon down by 10%. let's hit these markets.
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we have bob, we have rick and also sharon is standing by to cover from all bases. first to you at the nyse, because if you ask three different traders what they are putting today's stock market action down to, you would probably get three different answers. it's a whole pile of things, not just one. >> no, but if you had to get to the heart of it, it's really an issue about currencies. that's why stock traders have been having a tough time with it. they feel helpless, you get currency movements affecting the stock market. that's what's going on. a little bit on earnings as well. big, big moves to the down side in emerging market etfs, chile, turkey, russia, brazil, south africa all on the weak side. a strange group of stocks have been outperforming. biotechs and reits as well as some stocks like utilities and bonds have been doing better. been a very strange month in terms of leadership. here's another one that's interesting. normally when you get a lot of stock market volatility, high yield funds have a tough time.
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this fund is actually a high yield etf, they're actually on the upside so far. that's a little unusual. rick santelli, isn't it wonderful to see all the current wisdom confounded across the board, corporate bonds, treasury bonds, anything you look at in the bond space is on the upside this month. >> yeah. it's like a 2014 snow globe and everybody is shaking it up and it's not rearranging or arranging like anybody had anticipated. you know, you said it's all about foreign exchange but my question to you then would be why is foreign exchange moving? there's a lot of moving parts here. i still think at the end of the day, if you have a pool with a big round bottom and pull the drain, the perimeter or periphery recedes first. there's your emerging markets. it isn't the reason, it's more of a cause-effect. i think we need to concentrate on we always have a bias in every country, on every network, that we want stocks to go up.
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so you're looking for big corrections in stocks kind of telling -- like telling your best friend they have bad breath. it's an uncomfortable situation. but it is what it is. sharon epperson always knows what it is at the nymex and she is coming up right now. >> i love how you tell it like it is. we are going to do the same here at the nymex. looking at where metals are trading, they are all lower. gold, though, able to eke out about a 3% gain for the month. of course, gold has been trading inversely to stocks for the better part of the week and with the stock market having cut its losses, we are looking at gold down a little on this session. we are also watching what's happening to equities and oil, because oil prices are also down a little bit along with stocks. they are also of course looking at the emerging market situation and what that will mean for demand for oil globally and that is why some say brent is under heavier pressure today. the big story in commodities this week has to be natural gas. look at what's happened to natural gas in the past five trading sessions. you're looking at that spike
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that we saw on wednesday of 10% to a four-year high and still, natural gas is finishing out this week down on the week, for the first time in three weeks' time. a lot of volatility. still a great deal of concern about inventories and a lot of concern about where my gas bill is going to be for the winter, the next one coming in will be a lot higher than some anticipated. back to you. >> we badgered boone pickens into coming on. we will get his view on natural gas. as the music says, big day in the markets today, a big weekend for big games. n you know what we're talking about. why don't we combine the two. you might remember that nine months ago on april 26th, 2013, we had a special show called the stocks draft. two teams, three smart folks per team, picking three stocks to hold from then until now. today is the day. we will crown a champion. because it's tv and we like to stretch things out to keep you watching, we will do that a little later on. you remember our team.
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brian's ballers. reggie middleton, guy adami, jeff killborn. >> abigail doolittle, jeff brown and steve weissman. >> in fairness, steve would have been here but his pick didn't win. >> that's our panel. let's talk about these all-stars and put them to the test. we have been watching what's happening in terms of the january barometer. as goes january, so goes the year. abby, i want to ask you. we did a little stat digging to see just how accurate this january barometer idea is. it seems that -- >> they are actually yng arguing at each other. >> then we worked out we were looking at different time frames. we were both right but both wrong at the same time. the cnbc crack data team has these stats, that in the last 85 years, the january barometer has been right 62 of them, i.e., 73% of the time.
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the s&p is down 3.3% so far this year, not a great start to the year. do you think this is going to be accurate this time? >> i do, mandy. of course, i'm starting with the tacticals. when i look at the charts now, they look bearish as they had last year. i think we are still likely to see a correction that's been building for some time. i think the fundamental cause at this point is a repricing of risk. if we just keep it simple, we are seeing the fed stepping away, seeing gyrations in the emerging markets. this causes investors to take another look at their views on stocks, it's negative for stocks, obviously. bullish for bonds and gold. we will continue to see this dynamic. >> it's fair to say you expect the markets to do little. that said, when you use the term correction, do you mean the technical definition, 10% off its high, or just fall a little bit? >> i think even more. i think we are looking -- i have been calling for a 20% correction or more for quite some time now. i think that we are still doing that. one signal that is bearish to me right now, we look at the dow
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jones industrial average, it's putting in lower lows so i think this is just the beginning of what's likely to be a bigger sell-off, whether it's 10%, 20%, tough to say. i think it will be relatively significant. investors may want to consider not getting cute but really preparing to reduce exposure if this continues. >> let's do a quick poll. hands up if anyone thinks at the end of the year, we will be lower than we are now. >> hands up. >> do i get a vote? >> why not? >> i don't do forecasts 12 months. i have no ability. i could raise my hand or not. i don't think it would help. >> what's your hunch? >> i think my base case is actually a flattish year but it's not really a prediction so much as a feeling that we have pulled forward a lot of 2014's good news into the latter stages of 2013. we had a rocket fuel meltup once congress got out of the way and we realized the debt ceiling wasn't going to play into the fourth quarter of last year, and now at this point, we are fairly valued based on some metrics,
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overvalued based on others. you can find almost no evidence that we are in any way, shape or form undervalued. in the meantime, people are, in terms of sentiment, as bullish as they have been in the last five years. look, i have no idea what happens if by the end of the year but what i can tell you is the types of stocks that are breaking down are not the ones you want to see if you're looking for more gains. the worst group right now, consumer goods, down 7% in january alone. the retail etf, xrt, is even worse. that is not boding well for more gains going forward. >> you say we have no way to know whether or not stocks are undervalued or overvalued. i would push back -- >> no, we do have a way of knowing. we just don't know what they will do as a result of that. >> if you're making a stock market call you have to essentially make a gdp call, in my view. >> i disagree. >> if gdp grows at 4%, then perhaps the market is undervalued. >> china had the fastest growing gdp in the world last year and one of the worst stock markets. >> because nobody can buy the shares. >> there's no correlation
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whatsoever in any given year between gdp growth rate and what the stock market does. i think the key here, to be totally frank with you, this is a really tough environment because things are changing. we had this 0% interest rate idea forever. nobody thought it would end. now it's starting to end. >> i am getting yelled at by -- my own team won't get behind my back. >> we only have two people trying to make up for three. they have to yell. >> actions speak louder than words. this is a miracle just the fact that weiss can shut up for five minutes. >> he has been texting me as i have been talking. >> if you watch "fast money" my view all along is that we were going to test 1765 by the end of january, meaning today. we got within a whisper of that. the fact that it's bounced off today i think is encouraging. which probably will embolden the bulls and you will see us trade back up to 1810, 1820. i think the market's broken.
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i think technically it's broken. i think there's a real good chance we see significantly low. when i say significant [ inaudible ]. >> i think the undercurrent in january has been volatility. volatility has really come back. i think we will see a side ways trade. at the end of the year, flat to lower. right now, i think volatility is the undercurrent that will push this stock market lower in the short term. >> from the fundamental perspective, you have been going on feelings for awhile. i don't think we should be anywhere near this level. 0% interest rates, revenues, gains paid, they get margins that shouldn't be there. we shouldn't be there. the fact that we're there, we are definitely going down from a fundamental perspective. as for china's growth rate, nobody can trust chinese numbers. the truth is, china probably was nowhere near where they stated and now the chicken's come home to roost. >> chinese stocks were down 2% but they're saying their economy is growing 8%. it's meaningless. >> that's the macro view. we will take a quick break right now. >> on the other side of the
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break, more with our teams, their top trades as well, plus look at that beautiful trophy. 62 feet tall, made of solid jade. that is mined -- >> don't touch it too hard because it's going to completely topple down like a house of cor cards. why the market loves and loathes today's mystery number, 1.8 trillion. what is it? plus, boone pickens will join us any minute to make sense of this week's craziness in the energy markets. we went looking for a little sunshine and we found it. [ female announcer ] who are we? we are the thinkers. the job jugglers. the up all-nighters. and the ones who turn ideas into action. we've made our passions our life's work.
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these are the stats. we may be on track for the worst january since 2010. okay, not that long ago. still, they are the stats. leave it to us here at "street signs" to find the bright spots for you. and for the brightest of them all, we send in dominic chu on a mission to find the sectors which are bucking the downward trend year-to-date. what did you find? >> optimism at least should reign supreme. obviously there's ups and downs but let's take a look. if you take a look at the big winners so far, the january, the year to date, they are pretty decent. the two sectors that are the outperforming ones so far, the
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only ones positive, are the utilities and you take a look at those shares. they are up but marginally. the health care stocks, those ones are doing pretty well as well. those two sectors, the only two in the s&p 500 so far that are really positive so far this year. as for the stocks that are leading the s&p higher, interesting names. start at the top five. number five, or number one here, harmon international, up big. number two, another huge one, beam, another big one that has been moving to the upside as well. obviously on a takeover. then you have alexian pharmaceuticals. those pharmas still red hot and a couple telecom equipment communications type companies. juniper networks and f-5 networks, the two network companies in the top five in the s&p 500. overall, some pretty decent names and a nice mix in terms of bright spots. >> we should remind viewers, all five showed down today. but for the year -- >> for the year-to-date so far, they are up. >> you used the term bucking.
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does that mean you are predicting a broncos super bowl win? >> as a niners fan, i want some kind of retribution. therefore, i will be donning orange on sunday. >> thank you very much. let's get back to the market all-stars, get their best trades. reggi reggie, i will begin with you because you're on my team and your pick was google, which looked genius. the stock's doing great. they're splitting the stock. you still love google or do you have a better trade? >> i still love google. love is not the word for it. i'm bullish on google from a fundamental perspective. their core business is still growing like gangbusters. margins are compression which is natural as it matures. revenues are spreading. they are grown 22%, some percent for the years. they agreed to expand their definition of advertising with products such as google glass which you discussed last time i was here in april. they also have -- >> you got them, baby. >> i have them.
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>> we know you do. throw them on. >> just for the viewers' sake, reggie walks in looking really cool and has a google glass on. i'm like man, that's cool. he walked like that. that's how you walk if you have google glass on. >> eight inch heels? >> what did you say? >> i said what the hell is that? >> but it is the year of the google glass, according to my 2014 prediction. there will be a lot more people walking around like this. >> getting thrown out of diners. >> guy adami, we talk about emerging markets every day and with good reason, considering what's going on. however, i was at the t.d.ameritrade conference yesterday. they really don't care about the emerging markets. >> they should. why wouldn't they care? to me that's crazy talk. say what you want about decoupling. the reality is everything is interconnected. you can say turkey's not a big deal, but you know what, when you have currencies moving in a
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day, when i was trading it used to take a month, if not a year, there is something going on there. >> what is the trade? if you are a retail investor, how do you -- >> i'm not going to say -- i will say this. i think this is something to take away from this. the word opportunity is used all the time. unfortunately, the word that precedes it 99 out of 100 times, when you hear the pundits, is buying opportunity. ever hear anybody say it's a selling opportunity? the answer is no. i know about as much of emerging markets as anybody out on the street which is probably nothing. but what i do know is there's a lot of unrest going on. the markets are decoupling. you know, sometimes you have to take a step back and say we had a tremendous run, maybe the first move here should be to take some money off the table and re-evaluate. >> let's go ahead. josh brown, i know you don't have a macro view in the overall market. any specific trades to the upside, short side, long side? sideways? >> i do have a view. i just don't have a prediction.
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my view is if you came into the last year with a balanced portfolio and you took some gains in stocks and you added back the fixed income, you accidentally look like a genius 30 days after the start of the year. so people that had let their u.s. stock specifically exposure drift from 60 up to 70 or 70 up to 80, that's terrific for 2013, but there are very few years that are just like the year that preceded. i think right now there are good values in things like a ten-year treasury, in things like investment grade corporates and in things like preferred stocks. we added to all three of those categories as we took some gains off the table from u.s. equities which were just a runaway freight train. we don't think that can last indefinitely. so far it's not. >> incredible look at the ten year, sitting at 2.67%, the lowest since early november. who would have thought. killer, i want to ask about natural gas. we have been banging the table about that here on "street signs." i think it's up about 60%, maybe even over 60% in the past three
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months alone. but we have come to the end of january. it's the coldest month of the year. hopefully things are going to get warmer. what happens to natural gas? what's the trade there? >> my buddy jim in chicago has been slapping on the mink every day because it's been so cold in chicago. >> the man fur index. >> we are going to see the prices abate and come off a little due to the weather going away. think about it, the supplies we drew upon, historic demand in the month of july. i think they need to replenish that. therefore, you won't see nat gas go down as low as some people expect. >> abigail, last but not least because weiss is just a cardboard cutout. what's your trade? >> i think that i like what josh is talking about with bonds. i think that we are going to continue to see rates rally. i wouldn't be surprised to see the ten year go back to 2.50%, even below. i think the fixed income and treasuries in particular are one place to look. i also think the precious metals complex. if we see strength there, i
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think we could see a beautiful rally in 2014. i was looking for it in the fourth quarter of 2013, didn't happen, uncertainties around the fed. but the setup is still there and it could even move into the gold miners. those companies are lean and mean after gold went down so far so if gold pops back up in priesh price, it could go to the bottom line of those companies. keep it simple, gld, slv and i think that's another idea investors want to take a look at on strength. >> talking of lean and mean, newmont mining one of the worst performers on the s&p 500. still ahead, the champion is crowned. we had just minutes away from revealing the winning team of this year's stock draft. we might be one step closer to getting the keystone pipeline fully built. boone pickens joining us straight ahead.
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see, the only thing i can think of is that you can't get any... bars. ah, that's better. it's a beautiful view. i wonder if i can see mt. rushmore from here. geico. fifteen minutes could save you fifteen percent or more on car insurance. welcome back. we might be one step closer to getting the keystone pipeline fully built. the state department is about to release a closely watched environmental impact study on t the pipeline. the report suggests those opposing the pipeline may be disappointed. eamon javers has more. >> the state department is
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having a press conference that is going on right now. a state department spokeswoman simply said this environmental impact study is expected very soon and by very soon, we are expecting that it will be released as early as this afternoon. the expectation here is that this environmental impact study will say that in fact, this keystone pipeline will not have a significant adverse effect on the environment. if that is the case, if what people are assuming is correct here, then that would presumably remove one of the obstacles to president obama proving the keystone pipeline but the final decision may not come for months here. the reason for that is that once this environmental impact study is approved, that triggers a decision by secretary of state john kerry. there is no particular deadline for that decision from secretary of state kerry. after that, the decision could be kicked upstairs to president barack obama's desk. obviously there are a lot of political elements to this, but the key issue here is will this
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study today find that the keystone pipeline is carbon-neutral or not. that decision could not -- might not come for several months here. so a lot on the table here today but don't expect any final approval any time soon. >> thank you very much. for more on the impact of this, let's bring in boone pickens, joining us by phone. thanks as always for joining us, especially on late notice. this will increase pipeline capacity from canada and alberta to texas refineries by about 25% if it is completed. that is significant. will it have an impact on u.s. oil prices? boone, are you there? boone, if you're watching cnbc, because i have been to your office and i know you do, pick up the phone. >> can you hear me now? >> i can. do you have the bluetooth not plugged in? what happened? >> it was on mute. >> you and every other viewer. i don't know if you heard my question. is this going to be meaningful to u.s. oil prices?
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>> i've got to know, have you guys voted for me as a contender on cnbc? >> depends how this interview goes. >> okay. all right. this isn't going to impact gasoline prices. it isn't going to impact oil prices. we're already getting 3.5 million barrels a day from canada. why would another million barrels a day have any impact? no. >> so why build it? >> oh, listen, okay, it takes you off a million barrels of opec oil. how do you like that? we have been sitting here with this on the table since september of 2008. damn near six years. you know, hey, we've got some obligation to friends in canada that offer us their oil. we don't have to have the fifth fleet. we don't have to have any
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military protection for this and these people have offered us oil. listen, i'm surprised they haven't gone west into china with it. but they haven't. but you know, now you say it's going to be months before we know for sure. why can't this government make a decision in a reasonable amount of time and move forward? >> good question. i want to ask you quickly about natural gas, though. we had something scary in the last week or so, not just the fact that prices have gone up so much, but we were hearing people buying in the spot market for 35, 50, even 100 per million btu because of shortages. your take on natural gas and the weather? i know it's been freezing in dallas, even. >> my take on it, if you go back over time, we have experienced this before. i have seen prices at $60, $70.
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it's a temporary, very temporary problem but let me tell you, if utilities when they're short of gas, they will do whatever they have to do to get the gas. they don't have the gas, you are talking about ceo's job may be in the balance. yeah, they will step up to it. sure, do we have plenty of natural gas, yes. but it isn't always in the right location at the right time to take advantage of the abundance of natural gas. i was in canada -- well, that's wrong. i was in iowa last week. >> very similar. >> and they had propane $5 a gallon. well, somebody is gouging us, somebody is doing this. no, what happened to them is that they had storage for propane and heat that was for a winter like they had last year. now they have a winter that's, you know, once in 50 or 100 years and they are short of propane. of course they're going to be short. the propane guy can't hang
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around with a big inventory of propane and not get the worst winter of the last hundred. so people need to kind of understand how this thing all fits together. >> very quickly, would you be long natural gas? >> i am long natural gas right now. i'm not sure the winter's over with. we are going to know here in another two or three weeks. but also, what you've done, quickly, is you've drawn down your storage so you're going to have to refill storage through the summer and that's going to be more expensive to do. >> we got to leave it there. i thank you so much for joining us on short notice. do appreciate it. have a great weekend. >> thanks. >> take care. coming up, the stocks draft champ is crowned. steve weiss can barely contain his excitement. the guy hasn't moved. he's paralyzed with excitement.
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you also have a thesis on whether the super bowl will go bust? >> no, no, i don't think it will be very successful. plus the big money in pizza. this is today's pump patrol. >> the national average price of gasoline has trended lower in the month of january after hitting a two-month high on the third day of the month. it was $3.33 a gallon. but prices do start to tick back up in february usually for the refinery season where they are doing maintenance. and cutting back on a little production. we are also looking at the national average today at $3.28 a gallon. that's the same as it was yesterday. lowest prices in the country in montana, where prices are just above that $3 a gallon mark. the cheapest gas in the nation can be found in columbia, missouri, where you can fill up for just $2.84 a gallon. [ mas no substitute for experience. for what reality teaches you firsthand.
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1.6%. >> the upgrade will be equal weight so not a huge boost but they thought the subscriber screening service would enter a period of slowing growth and here's what i like about the call. the analyst says we were wrong. the international business is picking up. like to hear an analyst say i got it wrong, i'm upgrading the stock. >> we also have finisair. >> this is a huge optical fiber company so as google continues to spend on data centers, that could be more need for optical gear. this stock is already up 55% over the past year. the wall street average target is 29. the stock's at 24 and change. >> stock number three, really actually isn't a stock. it's a couple stocks. airlines. it's not a couple, it's three stocks. we are getting three for the price of two, getting an upgrade at jpmorgan. jet blue, united, continental. >> they were upgraded to neutral from underweight. alaska airlines is upgraded to
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overweight from neutral, more of a bullish call. target goes from 97 to 70.50 which is about 20 bucks of upside for alk. >> the under the radar name for today is computer programs and systems, cpsi is the ticker. >> worst named company in america but they are an alabama based health care i.t. firm that's been around since 1979. never heard of them before today. upgraded to a buy from a neutral, target to 68 from 60. this was a $24 stock five years ago, now at $67.58. now it's time for our daily talking numbers segment where we hit one stock from both the fundamental and technical basis. today, that stock is mastercard, ma. j.c. o'hara is on the technicals and on the fundamentals, mark liktenfeld. with the exception of a dip for a few months in early 2010, mastercard has been in an uptrend since really late 2008, really 2006. any sign of that changing longer term because of this little pop
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down we have seen? >> you are absolutely right. take a look at the longer term chart. you see a clear uptrend from the 2009 low. it has been intact. what does concern me about this uptrend, while positive, the slope has been increasing, almost to the point where it's unsustainable going into the earnings earlier this morning. i think analysts get a little too ahead of themselves and what they were looking for. you saw the pull-back today. what was very optimistic about the pull-back was we found support right around 71 on the charts. buyers came in showing huge demand for this stock and actually, we are turning positive on the day here, above the close. i do like this, i think if you want to get in it right now, you do have upside to 85 and i would actually set your risk down right around today's low. you have a great trade ahead of you. >> what about the fundamental side, mark? >> mandy, there are some things money can't buy. fortunately, mastercard stock isn't one of them. i like it here. the company is still in strong
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growth mode. they have 15% profit growth in 2013, 40% cash flow from operations growth which is pretty substantial, and internationally they are doing really well. they grew their business by 15% in europe and 15% in the emerging markets. i know emerging markets are kind of a taboo phrase these days but as the emerging middle class develops and the global economy recovers, there will be a lot of people who want iphones and tablets and flat screens and will pay for it with credit cards. mastercard has shown they can penetrate those markets. i do like the stock regardless of the earnings. >> thank you so much for joining us. have a great weekend. talk to you soon. folks, check out our online edition of talking numbers, part of or partnership at cnbc with yahoo! finance. okay. sunday is the biggest day for america's favorite food. what is that? pizza. jane wells says it's not just about the taste but about the technology? really? pizza and technology?
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you're coming to us from the man-cave. >> mandy, i have to tell you, market data says ad spending on pizza spikes 65% going into sunday and then there's the tech spending. >> can i take your order? was that terry or mary? >> domino's is making fun of phone orders? it's pushing people to order online instead. >> orders are a bit more accurate. it's a more visual process. people can see more of the menu. >> america's favorite food is preparing for its biggest day, super bowl sunday, and both domino's and pizza hut have invested heavily in technology. >> we expect the number of orders that we get over the internet to be 30% higher this year than last year. >> then the pizza itself is evolving. watch. >> it's a pizza place where you make your own pie. >> kraemer's invention is going to come true. build your own pizza is the
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latest craze in casual dining. chains backed by buffalo wild wings and others are opening faster than you can say pepperoni. >> i was very skeptical in the beginning. >> michael chang isn't skeptical anymore. he invested in big brother carl's chain which has expanded to 16 stores in several states with lines out the door. >> it's the most loved food in the world. >> i love competition. i think competition makes you better. >> rick wetzel has launched blaze pizza, partnering with some of the biggest franchisees in the country. >> we are well funded. >> of course, this is also happening at the same time that cheese prices are really high. the big guys can hedge. the little guys just don't use as much cheese. >> of course, it would be very rude if i mentioned calories, wouldn't it? it's super bowl so calories aren't involved. >> she's got a bag of dorito's, the tostito's on the shelf, the
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pizza. jane has been to colorado recently. >> she has the munchies and the loose-waisted pants on. you relax. >> still ahead, 1.8 trillion, our number of the day. we will tell you why the super rich both love this number and loathe this number. we are just moments away from finding out who gets to take home the big green monster trophy. will it be brian's ballers or mandy's maverick? we will find out. the winner shall be crowned coming up. before we get to that, kelly evans, what's coming up on "the closing bell"? >> we have lots coming up. we see stocks off their lows but it's still been a sea of red on wall street as we wrap up what's been a pretty weak january. we have top money managers standing by to tell you whether this is a buying opportunity or whether this bad january means an ice cold year is ahead for stocks. chipotle shares soaring to a record high today. the question is whether high ingredient costs could force the
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company to raise prices. we will hear from the co-ceo. speaking of the closing bell, cam newton, deion sanders, lindsey vonn here to ring it. don't go anywhere. tdd#: 1-800-345-2550 trading inspires your life. tdd#: 1-800-345-2550 life inspires your trading. tdd#: 1-800-345-2550 where others see fads... tdd#: 1-800-345-2550 ...you see opportunities. tdd#: 1-800-345-2550 at schwab, we're here to help tdd#: 1-800-345-2550 turn inspiration into action. tdd#: 1-800-345-2550 we have intuitive platforms tdd#: 1-800-345-2550 to help you discover what's trending. tdd#: 1-800-345-2550 and seasoned market experts to help sharpen your instincts. tdd#: 1-800-345-2550 so you can take charge tdd#: 1-800-345-2550 of your trading. afghanistan, in 2009. orbiting the moon in 1971. [ male announcer ] once it's earned, usaa auto insurance is often handed down from generation to generation.
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quite the comeback on our hands. just a moment ago we saw the board there, the dow down only by 48 points. earlier it was down by over 200 points. the nasdaq is in the green. the s&p is pretty much flatlining. it's a bit of a comeback on a friday afternoon. >> this morning when i saw the vix it was down, gold was up just $11 an ounce. i thought it's not a fear trade, maybe just an earnings disappointment trade. i'm surprised by the magnitude of the turn. didn't look that scary. >> straight out of the gate you had a number of big games that were disappointing. there you go. anyway, our number of the day, 1.8 trillion dollars. that is approximately the value of equities erased worldwide this month. strangely enough, it's also how
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much was spent globally on luxury items in 2012. robert frank has been digging in on the latter and joins us now. easy come, easy go. $1.8 trillion here, $1.8 trillion there. >> pretty soon you're talking real money, right? these emerging market shocks are rising all the way to the wealthy consumer, especially in china. lva the luxury conglomerate reports today sales in china growing more than half the growth rate of 2012 and profits from its fashion and leather unit, they make fendi bags, those fell 4%. ferragamo saw its shares fall 7% after its asian revenue growth also fell by half. the very high end luxury companies are supposed to be immune to slowdowns but right now are the most reactive. on top of that, the luxury industry globally is moving away from sales of stuff to sales of experiences. of that $1.8 trillion, $1 trillion is now in experiences like restaurant, travel, beauty,
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exercise and the u.s., by the way, is leading that trend. so forget selling birken bags in beijing. the future may be sushi in san francisco and diamond body scrubs in dallas. that's right, they use diamonds as an exfoliant at some hotel spas. up next, six stocks, two teams, only one winner. we are crowning this year's cnbc stocks draft champion team when "street signs" returns. we stillr tomorrow? tomorrow. quick look at the weather. nice day, beautiful tomorrow. tomorrow is full of promise. we can come back tomorrrow. and we promise to keep it that way. driven to preserve the environment, csx moves a ton of freight nearly 450 miles on one gallon of fuel. what a day. can't wait til tomorrow.
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i don't know how to put this. i'm trying to be a gentleman about this -- >> no, you're not. >> we destroyed you. >> you have been running around. >> it was a beat down! it was like off the space with the facts. >> you know what you have been doing all -- >> it feels good to be a gangster. >> you have been strutting around claiming victory as if you personally picked the stocks. >> in fairness, we had a cardboard member. he picked international paper. >> let's remind everybody what exactly was the makeup of each of the portfolios. >> the portfolio was google which was up by 46%. >> reggie! >> well done, reggie middleton. but this is a double amazing feat because last year you won as well with google. >> statistically -- >> how long are you going to ride that train? >> forever. >> we have a sample size of two. we should build a hedge fund around that concept.
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>> 2 in 20, baby. >> we had celgene, up 29%. didn't they just come out with some earnings that weren't so good. profit shank 19% for the fourth quarter. a lot of rd spending. >> i will push back. i think celgene is fine. >> cliffs had a great run. it's fallen off a cliff in the last month. >> i want to thank my coach, our captain, and the mvp here. cliffings natural susceptible to iron ore prices. as activism comes in, i think it's going to go higher. >> mostly heavily shorted stock. >> mandy's mavericks, well done. you, too, steve. i know you're completely at a loss for word. our portfolio was up by only 7% but at least it was up. abby you had amd.
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that was up by 27%. i think out of all three the picks, that was the outperformer. >> thank you. >> congratulations. >> you had oxi. >> it's an energy stock. wasn't one of the better names in the sect yorn and tough timing because had we ended this a little earlier, results might have been different but that's how it works. >> and steve also had tenet health care up by 13%, but, you know, he's not here. >> so let's -- by the way, we got this trophy made. this thing is spectacular. >> exactly. >> look at that. >> i'm going to hand this -- i'm the trophy girl. i am going to hand it off to reggie because you had the single best. abigail, you get cardboard weiss. >> thank you. >> that's your trophy. >> quite a trophy. >> and well done everybody. it was a great amount of fun. good stories out there and telling it in interesting ways. i'm sure we'll do it all again
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next year. >> it's hard to be humble. a little love from my friend steve. >> it's creepy. >> there's another reason the super bowl could be a super boston apart from the weather. brian is going to explain his theory. >> and then everybody can tell me why i'm wrong. >> steve weiss, call your office. [ male announcer ] what if a small company became big business overnight? ♪ like, really big... then expanded? ♪ or their new product tanked? ♪ or not? what if they embrace new technology instead? ♪ imagine a company's future with the future of trading. company profile. a research tool on thinkorswim. from td ameritrade.
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the big game, 51 1/2 hours away, and dom chu is back with us. it's great they're having it in new jersey. it's not in new york, it's in new jersey, but we have chatted all day today. stub hub, a lot of tickets available. the nfl's ticket exchange, ticket master, a lot of tickets available. i understand you have to have security. i get it. safety first. i was here during 9/11, i get it, but going to this super bowl is a pain in the rump, right? >> take a look at this. it might be one of the reasons why you see ticiq has put out interesting stats. the current list price for tickets, under $2,500. that's a huge drop from what it was just a month ago. current average sales price even lower than that and the current average get in is around $1,200. it is a lot of money, no doubt, but still far below where a lot of experts said it could be given the size and scope of a new york/new jersey based super bowl. even luxury suites are costing
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less. >> there was a local cbs report, there were 18,000 tickets available. i don't know if that number is accurate or not. >> on the secondary market. >> that's one-fourth of the stadium, dom. you have to take a bus to the stadium. you got to park way away. you have to get there hours early to go through security which means you have to sit there. it's not going to be cold, thank goodness. buy $15 beers or whatever it is. i think there's a chance the game won't be sold out. >> they have sold all the primary tickets. juneau what i mean because the secondary buyers buy them but like the knicks games. there's empty seats but it was sold out. >> with new york, it just speaks to perhaps how big of a market new york really is. they can absorb 80,000 fans, possibly 400,000 peripheral tourists going around here, and here is the thing about those fans. they may not be the ones who actually do all the spending and all that other stuff that goes around super bowls. you may not see an uptick in lion king ticket sales or broadway show ticket sales just because these folks are in here. these why there's a concern right now the economic impact may not -- >> and who do you got?
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the perth wombats? who is going to win? lime green and silver or orange and blue? >> orange and blue. >> a great pick. i agree. completely. 31-17, broncos. >> thanks for watching. enjoy sunday. eat as many pizzas as you possibly can. "the closing bell" is next. and welcome to "the closing bell" where this volatile month for stocks is coming to an end. i'm kelly evans. >> i'm scott wapner in for bill griffeth. let's take a look at where the market stands. what a different picture we have now from how we started this day. take a look at the dow. yes, it's still down, but only 88 points. i say only because at its worst the dow was down
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