tv Street Signs CNBC August 29, 2014 2:00pm-3:01pm EDT
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it's been fun to have you here, susan. >> thank you so much. >> safe travels. >> and have a great labor day weekend as well. >> absolutely. all right. that does it for "power lunch." have a great long weekend as well. "street signs" begins right now. so much for the dog days of august. stocks set to close one of the best months of the year, but forget the past, folks, your fall playbook is coming up. plus the good news story about the economy that nobody else seems to be talking about the jean yes, sir move one -- and if you want to invest in wine, but don't know a caber nate from a cabaret, don't worry, we're going to show you how to invest in wineries. >> it's also national chop suey day, brian. it doesn't get any better than that. i want to do a checklist of all
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the things we have accomplished in the markets this week. s&p 500 reaches 2000 for the very first time. check that's very hard to say, by the way. won't check that one until tomorrow. fourth straight week of gains, also check, a good august, check. best month of the year so far, no chex there. how did it bod to all it adds to those gains in september, 36% of the time. okay. let's get to the action man himself, dominic chu, spell it out for us. >> you heard some clapping behind me, everyone is getting ready for the long weekend.
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yes, of course, september that's the story here. we're going to see a lot of market catalyst. we've already tackled -- which ones could set the tone for the rest of the year on the domestic front? let's check out what domestic movers are ahead in september. there are a handful of them. first off, you have tuesday, september 2nd, next week ism manufacturing on the economic front, then on wednesday auto sales, adp jobs report, then on thursday the 4th the i selfm services index, on friday september 5th, the granddaddy, the big jobs report, but then the following week, you have the apple event, on september 9th, they can't tell us more, but a big event, and then on september 16th and 17th, you've got fed meetings about everything. we want to hear what they're going to say. now, next up on "closing bell", we've told you a lot. we're going to round up thousands major market movers on the company front for the month
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of september, so you're not going to want to some is that. you can already hear the clamors on the floor. they're looking forward to what will happen next month. >> i thought that might have been for you, dom. i would applaud. >> not me, guys. if the market and your pension fund keeping going up, chances are you don't care about volume at all. but matt mailie says, no, that's the wrong way to work at it. if our viewers' retirements plans keep going up, why should they care? isn't higher higher? >> well, that's certainly the case. one of the reasons, obviously that i look at volume and thinksi very important, is more on the short term to intermediate basis. longer term volumes have been coming down for several years, but those are for structural reasons, whether it be the big rise in the etfs, so over the
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year, that's fallen quite a bit even though the market has kept moving higher. however on a technical basis, you want to watch and see what the market is doing. let's see with the market like it is now, rallies on low volume, you want to compare it to the most recent downtrend. but for overall, you want to be watches to see how it compares to the most recent move in the other direction and how volume was there. the important thing is it just talks about investor confidence and momentum. when markets are rallies, it shows they have much more confidence and usually means it's more sustainable. irnl errand certainly your point, that's well taken and we do need to wait a few weeks before people come back to see a true sense of the trend, but what's your hunch?
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is it a positive or negative thing going on with volume? >> i am worried. one of the big reasons is it has less to do with volume than why people are buying. i really believe, you know, we have the fed who's been providing this liquidity for so many years, now qe is not only the on way to provide liquidity, but that's tapering on the floor significantly. now people are buying in anticipation that the baton will be handed off to the ecb. all they have been done is jawboning. that's been very effective, because the u.s. has been providing this liquidity. draghi, if all he continues to do is jawbone, that won't fly with the liquid going down from the u.s. so i think it would be important that the ecb not only announces a qe program, but a significant one. the market has had this huge run
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for really the last two years. >> still a lot of unbeliever out to quote vampire weekend and the band. how do you convince them? change your tune a bit. it's friday going into a long weekend. >> one thing that nobody can ever explain. it seems around all long weekends the market seems to rally going into it and coming out of it. more than that, of course, if you want to be positive, you look at what the economy is doing right now. it's improving on so many different fronts. you look at the citi bank economic surprise index. that has broken out filesly here in the last few weeks and already been rising through august. the one question, of course, is whether that -- just because it's getting better, does it really justify the 56% move or rally we've had in the last 27 months, in the last just over two years. it makes it difficult, because i do think a lot of this rally has been pushed by the liquidity
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from the global central banks rather than the underlying fundamentals, which have been good, but i don't know that they've been that good. point taken. thank you for explaining it to us, matt. we want to know whether the markets will keep on rising. let's look at what we're going to see. right now we're actually only very slightly higher. what is september going to look like? one to remember, or will we see a pullback? joining us from open higher and cole, also two johns, one question -- where are we headed? >> well, i think if we can keep seeing improvements in earnings, jobs and the housing, as well as in transports, i should thing we'll keep moving higher. i think we'll have a bit of questioning when everybody gets back from summer. september is traditionally a month that can bring about challenges for the market. the geopolitical risk has not
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exactly left the table. that said, i see fundamentals as very much improved. with the earnings season that just is ending right now for q2 with revenues up about 4.3, and earnings up about 9.3%, that's real good stuff that shows a recovery is now an expansion and it's sustainable. the problem is there are all kinds of things going on offshore. will it be september? >> historically. september is the month that has consternation we wouldn't be surprised, and probably it would be geopolitical news that would cause that.
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still, think about what you're getting on dividends today. my from our newsletter is yielding 2.5%. i have a cho -- or gold, which hasn't done very much, or lousy yields on so many other investments. so stocks look very attractive, but we could keep going straight up. at some point we have to the a correct. >> i'm glad up that. i know people like to pound on the media. you know what? i get more nervous that we go up every month than if we pulled
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back 10, 20%. >> what you have here is beyond the improving fundamentals, you do have what is essentially a bernanke/einstein market, which is relative valuation. the other john pointed that out. it's based on the other doors available within the other classes. equities keep coming up as the more attractive. that's actually on a global basis. >> so john bucking hamm, when you were talking about the possibility of a pullback in the market, of what magnitude would you be looking at? >> well, i don't think we're going to see even a 10% corrections, but when we remember that september and october, for that matter have been the two worst months of the year, one might expect in sort of a pull back here. of course, we don't have any corporate earnings news coming, and really we have the geopolitical scene, which it's hard to imagine that being good
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news, so you might -- you know, i'm buying for the long term, so a 3% to 5% decline isn't going to cause me concern. >> just very quickly, this is what john -- americans love to buy on discounts. we love sales. 30% off even though i'm jacked up 40% before. with you we seem to buy stocks when they're not on sale. it's a good thing. >> i've got to tell you, we've alls said buy them on sale, but sometimes you have to buy on relative value, especially if the intermediate trend looks positive, which it. >> don't worry, honey, the car was on relative value, it was a bargain. >> as you roll in with a nucor vet. >> corvette? >> i don't know. >> i'm not 50. >> you will be one day. >> john and john, thank you very
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much. >> thanks a lot. >> good being here. calls from gm on line 1, mr. sullivan. we may need to start call -- a new report says they may actually hurt, not help political debate. and to this, guys an aussie farmer buying dog food in a typical rural setting. and it is a drone, a google drone. we're going to bring you more on google's plans for your deliveries future. you do a lot of things great.
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this should be all of our favorite story of the day, because we can all relate to it. how nice to come in on tuesday after the long holiday weekend and have zero e-mails to go through? daimler, the big german company, is letting employees take advantage of what they call mail on holiday, which basically is a setting on your phone or device that not only sends a message back to somebody who sends you an e-mail on the weekend and says it's the weekend, but then apparently all odeletes your e-mail while you're away, no e-mail, nothing on tuesday, daimler. >> because poof, it disappears, you don't even have the temptation, what i think is cool is germany is no slouch. they are highly productive, highly efficient, yet they were even getting on board. why can't we? well, what's new about that, you
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don'tsh but deutsche telecom i think is doing something similar. c'mon, america, you can do it, too. >> great idea. don't send e-mails over the weekend. the other story, i'm going to audible this one, sorry, guys, "new york times" about the storm in california, big waves, buff surfer. the caption says surferses in newport beach caught robust waves generatedly tropical storm marie. the dude that's surfing is laird hamilton, probably the most famous surfer in the world. i don't know if they knew who it wasn't, because they didn't think the audience would know or they randomly captured a shot. it's like if michael jackson d. or michael jordan was playing a game of pickup basketball and you said basketball players enjoy the warm spring weather, but it's michael majoritier. it's laird hamilton. luckiest shot in the world. back to business. google is testing drones to deliver packages to your home or
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ranch in the outback. amazon apparently wants to do the same. what other cool uses might there be? jon fortt is joining us from the new york stock exchange. >> hi. there are a few. one is photos, not just for events like weddings, but also for real estate, real estate agents are looking forward to more widespread use of drones. another is surveillance. this sounds crazy, but imagine having a drone flying over a football game that's able to get shots, that people can later use to figure out who did what right? or even over a play ground so you can keep an eye on your kids from afar. then finally analysis. analysis. over crops, there is an ability to use drones to see where there might be some blight that's in use now, expected to be the biggest market out there. you can also imagine people using it to look at parking lots and forecast results.
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>> really interest stuff. i'm feeling homesick because it's in rural queens land where they're doing the testing. thank you, jon. a great story. still ahead, are you too afraid to say what you really feel on twitter or facebook for fear of being attacked? or flip it, do you feel you can attack someone on social media? we'll analyze if social media is crushing real discussion and debate. plus the first big upset on the first day of the college football season. why it also means about a million bucks of free furniture for some buyers. we'll talk to the man who is happy to give it away. ll the ops about stocks out there, how do you know which ones to follow? the equity summary score consolidates the ratings of up to 10 independent research providers into a single score that's weighted based on how accurate they've been in the past. i'm howard spielberg of fidelity investments.
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this may be the most surprising survey of the year. pugh research found that people are less likely to share opinions and political conversation on social media than they would be in person. joining us from washington is "new york" magazine senior editor jessie single. a fascinating survey and a great article you wrote. quickly detail the findings. i find them fascinating. >> yeah, yeah, i think a lot of
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us in media or academicia, or politics, you know, we go on facebook or twitter, see people arguing about politics all the time. but pew didn't ask people like you. they asked a broader swath of americans. they found a lot of people do not find the internet to be a welcoming -- >> that's an understatement. it's downright horrible out there, okay? you can get massacred for saying a very simple thing. the people who write in and say, you know, you suck, i can't understand your accent. if you address them and sigh, why that? they say, i'm so sorry, i'm so sorry. >> i never apologize. >> mum did. but the point is when you've actually got face-to-face interaches, people will not necessarily say those horrible things even if you address them. it's the anonymity that is making it so horrible. >> i think that's a big part of it. i also think it's important to
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point out who is getting excluded from these conversations. because people like us, who are opinionated loudmouths, we can take it, but if you're some american not used to getting into these die bates and you go online and it's truly hobbsy and hellscape there could be a lot of people who are chased out of the conversation and that is a shame. >> it is a shame. it's supposed to be the exact opposite, and the concern for investors. i know you're not an investing guy, but the concern for investors is if it gets too noisy and too nasty, these companies could suffer. >> exactly. well, so i think we put too much on the shoulders of mark zuckerberg or facebook or twitter. i don't think it's his job to have facebook be a wonderful platform for utopian political debate. their newsfeed algorithm filters out. there's a lot of cats and quizes, so i think we're making
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a mistake to say it's facebook job, but i don't think -- >> i think we should get rid of anonymity, period. >> i eet link out the article. it's so sad. it's just weird. it's just weird. >> anyway, it's the world we live in. do not start your labor day vacation just yet. we had packed a second half hour of "street signs" company in "street talk". and we're talking numbers on tesla as well, which is a new all-time high today. a man who is very happy to give away about a million dollars worth of funt. forget about investing in wine. we're going to show you how to invest in wineries. stick around. over 20 million kids everyday in our country
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it can help your business save money. false. the truth is when you compare our fastest internet to the fastest dsl from the phone company, comcast business gives you more for your money. why pay more for less? call today for a low price on speeds up to 150mbps. and find out more about our two-year price guarantee. comcast business. built for business. time for friday edition of "street talk" our daily rundown of a few analyst recommendations thrown in as well. so let's get started between a twofer. we're feeling generous. >> twofer on 3-d printing steve initiated both companies with a buy.
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stratsyss, 3-d systems getting a tart of 65, about 20% up side. steve likes the growth opportunity and what they call the additive manufacturing aspect, whatever that means. activision blizzard. analysts are commented on their expectation of destiny, which i also looked up. looks pretty cool. >> apparently you're not the only one that thinks that. there's a strong preorder trends. apparently wall street sees 8 to 15 million unit sales. that's a big gap, but the firm says this could be on the upper end of this rain. stock's already up about 30% year to date. brunswick moving higher today by about 2%. >> brunswick corp, you know them for their pool tables. analysts meeting with management, lake forest
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illinois. i guess they have to target from 56 to 62, things there are under-appreciated growth opportunities and they buy rate the stock. liberty trip adviser initiated. 6. >> yeah, this is formerly liberty active. sbr cap, so about 20% up side. >> finally the under the radar name, take out your pens. xp semiconductor. we need to keep it on our radar. >> because it's untoday. the former phillips semiconductor. the f.t. is reporting in a nxp is working with apple as part of the pay by touch. there's a lot of talk that one of the things they may announce, you put the fingerprint on for secure payments, everyone wonders why they didn't done that already. apparently nxp is part of that story. >> i think it's too easy to buy
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stuff. take the finger away. let's talk tesla. all-time high for the stock today. congratulations longs. mark, i am going to begin with you technically tesla not quite parabolic? >> i'm bullish on tesla. i think today's move is important. it should cause some further accelerations in the shares. i think it can get up to 280 with the possibility of 295, and actually 326. there's a couple different charts to support this view. you see that the stock is getting up above the levels from august, and this past february. a lot of people look at this and you see shore covering as well as the people who attempt to buy the breakouts. the volume is above average,
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which on a day like today, is important it still looks to go higher. >> a bit overbought, but still so much love. can it continue from the fundamental perspective, erin? >> it's up today, because there's news they're going to build about 400 charging stations in china. obviously one of the big impact across the entire world is that the reason why people don't buy tesla is because you're not sure exactly where you'll be able to charge them. currently it's trading at $30 above the "wall street journal" average price. most of wall street has the target at 240, so for me it's a little too pricey. considering how volatile this stock is, it's quite easy enough to wait until a down turn and pick it up in a more attractive valuation. right now trading at about 78 times forward earnings, expectations are that it's going to continue to grow with 50% revenues for the next five
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years, but i'm not entirely sure everybody is taking into account how much competition is coming online in the next two years with the fuel celltech knowledge and electric cars. >> that china -- thank you so much for mark and erin. the ipo price was $17 a share, so since then its 1y 480%. i think that's what you call parabolic. >> it is. good gain. all right. two bick things happened in college station, texas last night, first the aggies totally dismantled the gamecocks. and shopper at ashley furniture are getting about a million in free stuff, because the owner said anything bought last week would be reimbursed in a & m beat them. mark joining us now.
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are you happy about this, mark? >> i'm very happy. i know that sounds silly, but no, we're very happy that they won and we could give the furniture away. the promotion was an exciting promotion. the customers were excited about it. it was upbeat. it was electric, and then you have a & m mixed in with south carolina playing. it couldn't get better. a perfect storm for a great promotion. yeah, it worked out very well very well for us. >> the new quarterback, johnny who? johnny man-what? >> yeah. kenny hill is your new hero. how much were you insured for? how much is coming out of your pocket? >> about 50% of the actual number we wrote, which was right at a million, so about 150 to 170,000 is what it cost us. so we had some out of pocket to
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get it done. we used sca insurance promotions out of the dallas, which was great to work with. the customers loved it, and obviously the publicity we're getting is -- you can't buy. so it's been good in that aspect. >> a good businessman, sir. let's broughton out the conversation what do they tell you about their confidence in the market? what can you tell you about the -- >> well, i think in -- being in texas, you know, unfortunately some of the areas that got hit with the subprime problems that happened, a lot of the housing markets went way low, being in texas it's been different. or market has been pretty stable since we've been in that market for seven years, and it's gotten
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stronger, college station is obviously a college town and there's a lot of things going on around that, and there's a lot of new construction going on that started probably last year. so the housing is there, and there were quite a few people coming in that were furnishing brand-new homes being built. so we feel very good about what's going on with the market in our area in texas, and it just continues to grow. we have a lot of people moving into our area from the east coast and the west coast that are coming to texas, because it's a good place to be right now. >> mark, can i offer some business advice, though? don't bet against the aggies anymore, man. kenny hill looks ridiculous. don't do it. >> i was pulling for him. that guy came out of -- johnny manziel tweeted last sneak kenny football. >> there you go. i sense a heisman candidacy. >> i think we have us a team. >> mark, thanks very much. good luck in football unless you
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play virginia tech. >> i know that's where you're from. >> all right, buddy. >> appreciate it. on deck, a much more serious story on just where parts of bank of america's $17 billion settlement might be going. and a motorcycle that runs on bacon grease. sounds like a story for jane wells. she's going to joined us, that's coming up. tdd#: 1-800-345-2550 searching for trade ideas that spark your curiosity tdd#: 1-800-345-2550 can take you in many directions. tdd#: 1-800-345-2550 you read this. watch that. tdd#: 1-800-345-2550 you look for what's next. tdd#: 1-800-345-2550 at schwab, we can help turn inspiration into action tdd#: 1-800-345-2550 boost your trading iq with the help of tdd#: 1-800-345-2550 our live online workshops tdd#: 1-800-345-2550 like identifying market trends. tdd#: 1-800-345-2550 now, earn 300 commission-free online trades. call 1-888-628-2419 or go to schwab.com/trading to learn how. tdd#: 1-800-345-2550 sharpen your instincts with market insight from schwab
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we promised we would bring jon fortt back, and the reason is he just sent us this. hershey's new logo. when everyone sees it, they will probably know what we're thinking at the same time. do you want to explain it to us? i would rather you say it. >> everybody loves a new logo. lately everybody is trying to simplify logos, a lot of people in the social era are saying, wow -- we don't have it? basically i guess you'll have to do an image search on the logo. what people are saying about it.
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you've got there, in that new logo, and asking questions, this is also reminiscent of airbnb. reddit had a lot of fun with that. >> i think most people would say they wouldn't call it number one, would say the logo is probably number two in terms of the kind of logos that they have seen before. would that be a fairway to say it? >> it's a stylized hershey's kiss with a little tag that you pull wafting off of it. it's an interesting interpretation. i don't know if the people on the internet criticing are junior high boys or the people designing it. lots of fun that people are having with it. >> you know, jon, these things go through mountains and mountains of research, right? it's not like someone comes up with it and it sudden i -- they
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knew what they were doing with it. i think it's excellent publicity. we are all talking about it. it's perfect publicity. >> it's not like they just dumped it out there on us, and waiting to see how it goes. clearly this did piles of research. >> it's clever. >> they're flush with surveys everywhere, jon. they know exactly, know, what they're doing. i don't think it stinks, but a lot of people might. thank you very much, jon. call this the good news story that almost nobody else is talking about. we know much of the economic data has been better than expected, but look at this. government contributions to gdp are up 0.8, but state and log, like at that are picking up. joining us is jimmy from the american enterprise institute. last quarter state and local
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government spending grew the fastest rate in five years. i know there's people saying we don't want government to spend more. i get that. politics aside is this a hidden good news story for the economy? >> it isn't that it reflects strong state and local economies. politicians are going to spend that tax revenue. there's a lot of projects they didn't get to, whether it's infrastructure. it's a sign of stronger economic growth. i would be happier with that number if all those long-term pension problems that face a lot of states had been fixed. pretty sure those are still there, and these states are spending money on projects not helping those pension systems. it may turn out badly down the road. many people predicting the fed strategy will cause us doom down the road.
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maybe higher spending because the pensions will cause us doom down the road. my only point, jimmy, can we often look at things ten years out. maybe we could take advantage. maybe it's a benefit to everybody. who knows. wouldn't you be happier if those numbers were higher business investment? which has been sort of the missing link in this recovery? >> exactly. that would be -- i would be happy. that's creating, you know, real value in the economy. i would love that. if we had typical business investment recovery, we would be closer to 3%. i would be delighted if that was the story. i'm glad -- i'm still awfully concerned about that long term. you know, for their -- >> and i couldn't agree more, jimmy. again it's not a statement on where where the capital is best used. it's likely 99.9% of the time better used in the private
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sector. my point is simply that things have turned around a bit on the state and local level. don't know how it would turn out but no for you -- >> you know why we're not seeing that? why? it's the sequester on the federal left, not a sequester on states. >> well said. wherever it comes from on a friday before labor day, jimmy. >> i love the good news. >> to you and all the other workers, i wish you a great labor day. >> no one works harder than me. thank you. >> you're welcome. he's better than the hershey ace logo. he is. remember we asked the question the other day what is the doj planning to do with the money it's getting from the record $17 billion settlement with bank of america. tom fitten says at least some of that money is going to will be rat activist groups. you know, tom, some critics are calling this a slush fund for
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democratic special interests. is that fair or unfair? >> actually it's charitable. it's the government abusing its authority to shake down bank of america for issues loans that under pressure from the same government that is now going after them. which was supported by the government that's going after them. from subsidiaries that the bank withdraws pressured into buying by the government that is now going after them. >> how did that happen? >> how does that happen? >> what is the criteria that the department of justice uses when it's trying to determine who exactly should receive or be eligible for those funds? >> we actually sued for the criteria for similar shakedown operations from years past, and they came back to us and said there really is no criteria, and they don't track how the funds are spent in any serious way. it goss to groups lyie like la
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razza, one of the former heads of acorn housing is pushing hard to use these settlement monies, has been in contact with the obama agencies about using these lawsuits to fund these special-interest groups. this is another way for the obama administration to enact policies that the congress has refused to enact. so they forced bank of america to do it. this is an operation, you know, i know obama is accused of viling the rule of law and immigration, but the doj going after these banks the way they are, you know, the banks are essentially sitting across from their executioner. they are essential public utilities, imposed there for the crisis, so never who thinks --
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you're naive. >> but there's nothing that can be done about it? >> there is. congress can police how these monies are spent. the courts can police how the monies are expect. we can expos how the monies are spent. these are monies that the banks are fossed to pay that come out of the corporate shareholders and bank depositors of those banks indirectly that go to allied interests of the party in power at the white house right now. that should be exposed and stopped. the justice department can stop it as a matter of policy. we're not to give money to third parties that had nothing to do with the lawsuit. the settlement is bad enough, but the idea that these third-party interest groups who have an interest, by the way, in targeting these banks financially for different -- for various reasons and/worked with the justice department to target these banks and lawsuit. what a corrupt way to run a judicial system. >> tom, thank you for bringing
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this to our attention. i think you wildly overestimate congress's abilities. this can't even fund the roads, but we do appreciate your time. >> you're welcome, guys, thank you. wine and bacon. we're going to tell you how to make money on wine and make your motorcycle run on bacon. plus we'll be revealing the stocks we have picked as being the standouts this week and the reason behind it. and america, we give it to you hershey's logo. it was missing, it is no longer missing. make your own judgment. what does that new little logo remind you of? it's beautiful. it's more than that... ...it's perfect. introducing curved ultra high definition television from samsung.
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the fastest printer. the fastest lunch. turkey club. the fastest pencil sharpener. the fastest elevator. the fastest speed dial. the fastest office plant. so why wouldn't i choose the fastest wifi? i would. switch to comcast business internet and get the fastest wifi included. comcast business. built for business. liquid investments. certainly, that is something that we can all get on board with on a friday, ahead of a long weekend. peter calfin is a top investor with the gordian group and also with bachus capital management, investing in wineriewineries. another co-founder, sam broffman, well-known guy. peter, normally you're on to talk about distressed markets, corporations in trouble,
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restructuring. now you're talking bin vesting in wineries. how did this come about? >> because i wanted to have a happy friday labor day afternoon to have something fun to talk about. we've -- we worked with sam broffman years ago trying to buy wineries. we were grocely overbid by strategics. >> like buying other wineries. >> correct. and we decided there would be a market potentially out in the wine world for second lynn loans, mezzanine loans, so we formed bachus capital, raised money and that's moved into controlled private equity investments. so, we did three mezzanine loans and now we have six controlled private equity investments in wineries. here are three of them, which we'll get to in a second. all right, we'll get to them now. >> get to them right now, yeah. >> so, it's normally -- okay, so, your funds right now are closed to our viewers who may be calling you up after the show, but there might be new funds in the future. how does it work? what kind of returns on equity
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do we tend to get from a winery? how much leverage and pull do you guys have with the vineyard owners who are -- they are a specific bunch, let's put it that way. >> sure. wineries get a bad rap in popular culture because the folks who invest just as a hobby or a prestige thing. 98% of the wineries in this country are family-owned businesses. >> right. >> and they take them very seriously. a well-run winery should do 20% or more in ebitda. higher-end wineries could do 30% or more in ebitda. distribution is a very big issue, and we can talk about that. direct to consumer versus the traditional three-tier distribution process. >> but i like being a wine consumer, but i also would like to be a wine investor. how do i invest in either wineries, a share of a winery, in wine itself? what's the very best way for me, the average joe, average mandy to get in on wine? >> well, our next fund will give you a call.
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>> okay. >> there are a couple public companies that are pure wine plays, willamette valley vineyards. it's difficult for an individual to have a share in a winery. and most people don't want to be a minority owner in a privately owned, family business. our goal here was to partner with really premier, iconic winemakers, and i've brought three of them here to show you today. dobbs family estate. joe dobbs, one of the biggest producers in oregon, makes the best pinot noirs in oregon. sabragia family vineyards. he was the chief winemaker at bar barringer who has the best red and white brands. this one we've cracked open for you -- >> the one you poured. >> dilell cellars out of washington state, nominated by "wine enthusiast" as winery of the year.
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bottoms up. >> are you supposed to say that with wine? here's to you and here's to me and should we all disagree, here's to you and me. >> time for the standout stocks of the week. >> speak slowly so i can sip. >> i'm going to go very quickly because we don't have much time, brian. staples up nearly 7% this week. back-to-school week, folks. i'm going to staples, you're probably going to go to staples. problem is, it's struggling year-to-date, down 26%. it's tried to promote itself as being much more that be office supplies, but it is tough and is closing 140 stores this year. >> my pick, avago technologies, avgo, second best performer on the s&p this week, this month, seventh best performer on the s&p this year. it is an iphone 6 play. peter, quickly, a viewer tweets in, "try the sabragia. my cellar is full of it, and if you get to sonoma, the grounds are fabulous. >> excellent. thank you. >> appreciate it, peter. have a good weekend, buddy. >> coming up, the motorcycle that runs on bacon grease.
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>> and i'm saying my good-bye for "street signs." >> cheers. >> have a great weekend. >> "closing bell." >> i'll be on "closing bell" in a couple minutes. take care. >> done and done. just take a closer look. it works how you want to work. with a fidelity investment professional... or managing your investments on your own. helping you find new ways to plan for retirement. and save on taxes where you can. so you can invest in the life that you want today. tap into the full power of your fidelity greenline. call or come in today for a free one-on-one review. this guy could take down your entire company.h? stay with me. on thursday a hamster video goes online. on friday it goes viral - a network choking phenomenon. why do you care? he's on the same cloud as your business. the more hits he gets, the slower your business may get. do you want to share your cloud with a hamster?
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see car insurance in a whole new light. liberty mutual insurance. where the reward was that what if tnew car smelledit card and the freedom of the open road? a card that gave you that "i'm 16 and just got my first car" feeling. presenting the buypower card from capital one. redeem earnings toward part or even all of a new chevrolet, buick, gmc or cadillac - with no limits. so every time you use it, you're not just shopping for goods. you're shopping for something great. learn more at buypowercard.com when you cook bacon, you've got all this leftover grease. what do you do with it? well, now you can use it to fuel your motorcycle. jane wells has this story about a different kind of hog, right, jane? >> reporter: this is my kind of story. this is a motorcycle powered
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completely on bacon. hormel had it built, brought it out here to hormel international bacon film fest -- i kid you not, that's a real thing. eric pearson rode it from minnesota headquarters. eric, start this up. i want to smell the exhaust. that smells like breakfast. now, hormel is trying to gain on market leader oscar mayer from kraft, but why a bacon bike? >> i've got to tell you, when the idea came across to have a black label powered motorcycle drive across the country, it was more like, why wouldn't you do that? i mean, it was such a great idea. >> what kind of mileage were you getting with this? >> i was getting about 80 to 100 miles to the gallon. >> reporter: how does that compare to regular diesel? >> it's about one to one. >> this is allowing us to take our bacon to the next level to introduce new flavors into the marketplace this fall, whether it's jalapeno or a cherrywood or brown sugar, bring more flavors into the case and continue to grow our business that way.
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>> reporter: jalapeno bacon? >> absolutely. >> reporter: all right, now, kraft is losing to hormel in terms of stock performance. hormel had a strong quarter last year, citing in part strong demand and margins, despite high prices. you know, this isn't really an efficient biofuel, guys, but i did ask if they're going to make a spam motorcycle. you heard it here first. no word yet. where was your favorite stop? >> my favorite stop would have to be the grand tetons. they're beautiful. >> reporter: no kidding. beautiful. all right, back to you! >> spam motorcycle. we heard it here first on "street signs." personally, i take the grease and cook with it. waste not, want not. thank you for watching "street signs." "closing bell" with brian sullivan and kelly evans coming right up. have a great weekend. welcome to the "closing bell" on a friday. i'm kelly evans at the new york stock exchange. >> and i'm brian sullivan back here at cnbc world headquarters. i am in for bill today. just an hour to go in
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