hi everyone. welcome to "on the money." i'm becky quick. rising interest rates. why they're going up, why you need to watch them and why they affect your money no matter where it is. and the man that invented okay kupd explains how computers can find true love for you. apple says your credit card is about as important as your cassette player that is right point. is there a fab device? five best places to retire.

here's a look at what's making news as we head to a new week on the money. american consumers are opening their wallets. retail sales by august increased six tenths of a %. retailers, restaurants and building materials are strong. that's a closely watched number because consumers make up 70% of the economy. it was a mixed wake on wall street. markets worrying about rising interest rates got us from uk and european growth or lack of it. stocks fell on friday. those interest rates are starting to creep high per. the yield on the bench park ten we're treasury climbing this week in part of the federal reserve eventually raising rates f. you're looking fair new phone, amazon has one they want to sell you cheep. the fire fly is 99 cents if you sign a two year contract. amazon isn't releasing sales figures. the price cut is months after the launch.

jamie dimon has finished his scheduled round of radiation and chemo therapy. he was diagnosed with throat cancer this year. he's 58 years old. stocks are falling. is this a blip of what's to come? joining me, head of global equity research with $613 billion in assets under management. also james who is professor of economics at the university of texas and author of new book end "the end of normal" thank you both for being here today. sarah, let's start talking about the markets. it was a little bit of a rough week for the markets. i wonder, do you think there's something worse to come? is this the beginning of something? >> higher interest rates are on investor's minds. that could rain on the equity parade next year. we're cautions investors not to sell too soon. stocks peak before the interest rates. we don't expect to see that until middle of 2015.

>> professor, in your book, you point out you don't think america's economy will see easy growth any time in the near future. what would you say now in terms of how you think the economy is performing? >> it's stable but not moving forward rapidly. that's the condition we should basically expect. i agree with sarah. federal reserve does not have a lot of margin of maneuver. it's been moving in the direction of raising rates, but it would have to be prepared to weather major storms if it pursues that course so far. >> why do you think we've seen slower growth? >> there are a number of reasons. i think the period -- when we look back ten to 15 years from now, we'll say the period that ran up to 2000 was an exceptional period for the united states. we've come to more difficult circumstances partly on the energy front. partly the world situation is more unstable, partly the way technology now affects us. partly because of the debacle of the financial system.

this is a complex set of constitutional factors that's not easily reversed. >> one of the things mentioned, energy prices. we've seen a surge in natural gas and oil we've been finding through fracking. just wonder if you think there's a way that part of the dynamic could change. >> that has changed. it wasn't in the picture five years ago. we see advantage compared to europe. we see the gas price effect on employment. what we don't know is how long it will last. even though we've gotten a break from this, there's still a lot of uncertainty hanging over that sector that again 30-40 years ago we had the expectation conditions we enjoyed then would go on for a long time. one of the big issues is interest rates though. this week the ten year yield started climbing rapidly. granted we're only talking north

of 2.5%. that has investors spooked, worried about what's happening. is there a chance things get out of control and interest rates rise more rapidly through market forces. >> there's a couple of things we're watching now. one is inflation. if inflation becomes a head wind for the economy, that could cause market volatility. we are starting to see bottoming in wage growth. we're watching inflation closely. the consume her price index is 2% now. it's not an issue right now. interest rates what we're watching is whether or not they rise faster than investors think. if that happens, we think that could cause the market to correct. one market we are looking at that we think is interesting is europe. if you look at europe, it's the other half of how the u.s. is doing. manufacturing data over there is starting to bottom. european central bag is easing. they're being proactive. if you look at that stock market since the 2009 bottom, it's up less than half the rate of the u.s. market. we're following europe closely now.

>> professor, you've been tracking this. when you look at europe and slowing growth there, economies slipping into recession. is that growth that will over take the u.s., drag us down? >> it's not going to have an effect on us. i think draghi showed anxiousness. he would like the germans to do more. they're in the sweet spot compared to rest of europe now. they're not inclined to change their posture to help out other countries. >> is there a silver lining to all this? a chance we could get back to where we were 30-40 years ago? what would it take? >> i don't think so. if you have that expectation, you're going to constant his be disappointed and take policies move that we shouldn't take. in the situation we're in, we need to be more careful to preserve the socially stabilizing institutions we have. social insurance programs in

particular, social security, medicare, medicaid. these are things that actually help preserve the fabric of the united states over the lafive years. if you go to greece, you see that didn't happen. fabric is is under more strain visible in the streets. >> that's a bleak picture. add it up sarah. what would you tell investors? >> it's time to look at europe. in the u.s. we think the narcotic can continue to grind higher from here. we need to watch inflation and rate of interest rates increases. in merging markets we're seeing manufacturing data start to peak. they've had a nice rally this year. we think merging markets may become less interesting. >> like to thank you both for joining us. >> thank you for having us. the founder of okay kupd says what we click online says a lot about who we are and what we

want. sounds romantic. and new products apple produced. why is tim cook hoping everything is phab? as we head to a break, look how the stock market ended the week.

. well it shoents surprise you to to hear one-third of american marriages today begin online thanks to our increasing comfort with using technology to share the details of life. when details become data, how valuable is that information? christian redder is the president and cofounder of the dating site ok cupid and also

data clysm, who we are when we think nobody is looking. a been waiting to talk to you about this. it gets me excited. we know data is collected by governments and companies. what do you see when people really let their hair down on dating sites and things in. >> i will definitely say working at ok cupid has made me a more cynical person. i just had a daughter. that also bounces out hope for the future too. what i really like to look at is the difference what people tell you they're up to and what they then go and do. you can see around loaded issues around sexuality and race. people say one thing and act out a darker narrative. >> give me an example. something you see. >> it's 2014. when you ask if interracial marriage is okay, everyone says yes. if you look at data who's checking out who, who's going on dates and messages, there's clearly delineated lines between

the races. >> let's talk about a few other truths. what you found this the book is amazing. you've uncovered millions of people and answers from ok cupid members. another truism is straight men think women have an expiration date. >> yeah. to some people, it may not be a surprise. i look at ages 20 to 50. look at who's into who or kind of who's liking who on there. if you go by age, basically women, when a woman is 20, she wants a 20 to 25-year-old guy. when a woman is 35, she wants a 35-year-old guy. men 20 to 50, they want 20 to 21-year-old we. guys get older but never grow up. >> a woman's expiration date is what, 28, 29? >> as soon as you can vote.

sorry. as soon as you can drink. there aren't many 40-year-old guys dating 20-year-old women. she has to be into it too. that's never going to happen. they compromise upward. usually guys tend to message the most women maybe like 10 to 15 years younger than them. >> still a 10 to 15 year age gap. >> there's a certain amount of settling i guess. negotiation if you think in a business sense. >> something else you found, people in some states shower more frequently than people in others. how did that come about? >> we ask a lot of questions straight out to people. we found people in vermont and people who live in oregon shower less than the rest of the united states basically. which fits the kind of like, granola vibe those states have. >> they don't want to waste water right? >> maybe or they're chilling out in long johns. i'm from arkansas. the south is most showered part of the united states.

except for jersey. with the jersey shore laundry, that folds in. there's an s for shower. >> you looked into how many characters cupid users typed versus how many they send in messages. you found discrepancy. what's that tell you? >> what popped out of that investigation, people cut and paste a message. they have their script or their line so to speak. pick up line they use. a guy will take that. it's worked once or twice, hey, why not send that exact message to 20 people in a row. when i saw that, i thought that's weird. according to the data, the person had typed one character. i was liking what's happening. >> control d. >> it was a single character they typed. >> that's no different than the bar scene. hey baby. >> right. i've told the same stories to

people over and over. even in the book, you go through song and dance one way or the other. not that different. that's what i meant many the beginning. things people do online, because websites are so connected to people's lives, like facebook reflects family and friends. cupid em bodies how you find love or sex out there. what people do online isn't all that different from what they do in person. >> thanks for coming in. >> my pleasure. next up, does apple take a bite out of the competition with new products? why the company is hope your credit card goes the way of your vinyl collection. later, your nest egg won't go far if you're nest is eating up savings. we look at staying put versus moving once you retire. we needed 30 new hires for our call center.

i'm spending too much time hiring and not enough time in my kitchen. [ female announcer ] need to hire fast? go to ziprecruiter.com and post your job to over 30 of the web's leading job boards with a single click; then simply select the best candidates from one easy to review list.

you put up one post and the next day you have all these candidates. makes my job a lot easier. [ female announcer ] over 100,000 businesses have already used zip recruiter and now you can use zip recruiter for free at a special site for tv viewers; go to ziprecruiter.com/offer2.

three, two, one. >> that's cook introduces his closest friend u2 and bono. apple's big product launch was important for the cook, tim cook and tech world in general. did they hit home runs? are there must have products that people besides tech geeks and early adopters are likely to buy? daniel is senior editor. thanks for being here. >> good to be here. >> what do you think? any home runs that they hit with these product lines? >> it's a home run in the sense they caught up to where they need to be.

the iphone in particular felt dated for a couple of years. much smaller screens. a lot of people went to android phones, five and a half inch screens f. you love apple and moved a way, maybe you'll be tempted to come back. >> move back to that universe. >> people like this bigger screen. you can put a calendar on it, read books easily. that three or four inch iphone screen wasn't keeping up with the times. >> i was impressed with the payment plan. that's pretty cool. the idea i could shop as easily with one click shopping other places like amazon. >> that's a secret weapon. that's not like a wristwatch or phone. this could remake digital payments. people have been trying to get in that digital wallet area for a long time. it's tough to give in to people. if app ale h ll ll lle -- apple you use your phone to all stores

you go to, that would be huge. walking around with leather in your pocket with plastic cards in it is archaic. >> it is. people that aren't familiar with technology may be just getting use to this iphone 6. it's a bigger screen. >> half phone half tablet n. the early 2000s, everyone competed with who's phone was smaller. now phones get bigger and bigger. i saw people walking around with the samsung five and is a half inch screen phons. i loved one. i got used to it really fast. i got big screen envy. now if you're an apple user, you can get the five and a half phone that's almost tablet like. >> also the watch. why didn't they call it i watch. >> it's become a parra tif of

itself. maybe they wanted it to be known as more of a wristwatch and not a gajdget. >> was it a miss to not come out for the holiday season? >> you have to get it out there and have software developers access in order to develop apps. you have to publicly announce. you can't do a huge secret program as potentially big as a watch. this is more for people this the industry and get peek. they'll come back and make the consumer market for the watch. >> was this cook stepping out of the shadow of steve jobs? >> at the least it's the first series of product watches under his regime. you always heard about the steve jobs five year plan. he left tons of materials behind that people are going to be buildi building off of for years. with the watch, he can claim entirely his. >> thank you so much.

good talks to you. up next, a look at news for the week ahead. retiring rich may be as easy as changing your zip code. we have the five best cities for retiring. that's next. ah, the usual. moved some new cars. hauled a bunch of steel. kept the supermarket shelves stocked. made sure everyone got their latest gadgets. what's up for the next shift? ah, nothing much. just keeping the lights on. (laugh) nice. doing the big things that move an economy. see you tomorrow, mac. see you tomorrow, sam. just another day at norfolk southern. don't just visit new york.

visit tripadvisor new york. with millions of reviews, tripadvisor makes any destination better.

for more on our show and guests, go our website, otm.cnbc.com. follow us on twitter. on monday, prince harry will celebrate his 30th birthday and receive a $17 million

inheritance from his late mother princess diana. on tuesday, the fomc kicks offer the two day meeting on monetary policy. on tuesday, alley back bah prices shares for what could be the largest public offer ago ever. on wednesday we get the consumer price index for august. thursday, housing index figures. also thursday, scotland will hold a vote on whether to separate from the united kingdom. on friday iphone 6 hits stores. should i stay or go in it's a question many are thinking about. choosing to retire in place or move to a new location could make or break your nest egg sharon is here for up temperatures on what to do. she's got tips on the best cities. >> thanks for having me. >> it's a huge question. baby boomers are fact this. big and small expenses. what do you need to break down

before you decide to move or not? >> simple things like moving expenses. that could be like $10,000 depending on where and how far you're moving, how much of packing you do yourself. that's something to consider. also the price to sell is. what do you need to do to fix up your home to get it ready to sell. you love this home, been in it for decades. is it up to code? that can cost. then you have the real estate agent fees and stuff. then there's the cost to buy. i talked to a financial advisor yesterday. she advises them to stay in an area renting six months before you buy. >> that's a lot to overcome. if you decide you want to move, that's the best decision for you, what then do you need to consider? >> people should look at cost of living in terms of financial stability of that area. consider all costs that are involved if in moving there in terms of transportation, terms

of daily expenses that you're going to have to pay. that's one of the high priorities. also taxes. a lot of folks are paying close attention to what the taxes are going to be. property taxes, income taxes, whether or not there's income tax in that state. people don't move to florida because of the weather. it's a no income tax state. that's why a lot of folks like to move there. increasingly, people approaching retirement are thinking about how am i going to pay for health care in retirement? >> if you take all those factors into account, where are the best places to retire? >> there are websites out there that will do lists on the best places to retire. it's important to look at what they use as rankings and metrics. one of the best came from wallet hub. they looked at 150 of the largest cities. they used 25 different metrics. their top city to move to would be tampa, florida. of course, a lot -- florida is on here a couple times. orlando is on there as well.

it's interesting one of the cities, grand prairie, texas, one of the reasons it's on there, it was number two in terms of health care. a lot of folks are interested in that. >> what about kansas showing up? >> that was also health care. also a lot of retirees want to work. that was another top state and community for finding a job after 65. >> all right, perfect. thank you so much. >> sure. that's the show for today. i'm becky quick. thank you so much for joining me. my guest next week, venture capitalist and founder of papal. have a great one. we'll see you next weekend. we needed 30 new hires for our call center. i'm spending too much time hiring and not enough time in my kitchen. [ female announcer ] need to hire fast? go to ziprecruiter.com and post your job to over 30 of the web's leading job boards with a single click; then simply select the best candidates

from one easy to review list. you put up one post and the next day you have all these candidates. makes my job a lot easier. [ female announcer ] over 100,000 businesses have already used zip recruiter and now you can use zip recruiter for free at a special site for tv viewers; go to ziprecruiter.com/offer2.

>> all across this country, people took the pepsi challenge. in tests like these nationwide, more people prefer pepsi over coca-cola. >> pepsi. >> ♪ it's pepsi ♪ taste that winning taste >> an american icon in a battle of the titans. is "coke" a dirty word around here? >> it's poison. [ laughs ] >> an outspoken leader... >> can you believe this?. >> ...of a corporate empire. not just pepsi -- it's pepsico. 19 different billion-dollar brands and more than 3,000 products -- frito-lay, quaker oats, tropicana,