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tv   Street Signs  CNBC  December 23, 2014 2:00pm-3:01pm EST

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is having problems with your kid. >> i wanted to ask you how much you tip your doorman because you tip closer to home. that does it for us on "power lunch." >> the doorman doesn't get a tip this year. >> whatever you can afford. "street signs" right now. it is a happy holiday. the american economy surging. thank you for joining us. i'm brian sullivan, the mellow version. no fewer than eight stock picks for your investment stock. mandy, cannot say enough about this dow's incredible run. >> who are you? what have you done with the real brian sullivan. >> merry christmas. >> call it what you like, preholiday hoorah we have more
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records that i can count. there is the dow utility average. it took less than six months for the dow to go from 17,000 to 18,000. we will have much more on those markets in just a second. a big development in the wake of the sony hack. let's get straight to julia boorstin. >> sony announcing a limited theatrical release of "the interview" on christmas day. sony ceo saying we have never given up on releasing "the interview." at the same time we are continuing efforts to secure more platforms in more theaters so that this movie reaches the largest possible audience. he says he hopes this is only the first step of the film's release referring to comments last week with talks with digital distributors. today's news is a total about face after sony cancelled the scheduled release after terror threats against theaters prompted the five largest theater chains to pull the film
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leaving sony to cancel the release. sony's announcement comes after president obama said he thought it was a mistake for sony to cancel the film. this comes after an outpouring of demand and support. seth rogen who directed and has a story on the film tweeting the people have spoken, freedom has prevailed. "the interview" will be shown at theaters. his co-star tweeting victory. the people and the president have spoken. sony to release "the interview" in theaters. we don't have a total tally of theaters planning to show the film. texas based chain says it will be playing it at multiple locations. it issued a statement that praises sony saying amidst this unwarranted chaos they regrouped and listened to the public. and responded with resolve and determination. it goes on to say this is the
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best christmas gift anyone could give us. we have collectively stood firm to our principles and to the right to freedom of expression. if any of the major theater chains change their plans now that the independents are coming on board with a thursday release. >> according to you yesterday the better christmas gift might have been a good movie. >> i thought it was funny. i laughed. we'll see what everyone else says. let's get back now to the stock market and the record day we are having here in the markets. bob pisani is in the new york stock exchange. the under and over of us saying market today is 17.5. >> the road was a short one. july 3 at dow 17,000. take a look at the chart. we had a nice roller coaster ride. september, october, we dropped almost 8.5%. since then come roaring back. it is a nice broad rally. take a look at leaders by
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percentage. you can see home depot, nike, intel up about 20%. you have retail, financials, tech with intel, health care in there. nice broad move to the upside from the overall market. speaking of health care, it is a rough day for health care etfs. pharma, nasdaq bio tech. all of them to the down side. some of this is the deal. i think there is very little liquidity in etfs out there approaching the end of the year. that might be a bit of an issue. the word of the year may end up being an oldie for our viewers. it is hopium, mix of hope and optimism about the economy and the stock market. we started talking about this 3 1/2 years ago. david tepper saying remember in
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1999 the s&p went to 30 on p/e. it will not go back to 30 but conditions are possible for overvaluation. mike, is david tepper right to be a little worried? >> sure. you are heading into year seven of a bull market. during that period of time you had a strong dollar. you had strong u.s. corporate profits. the u.s. economy was growing. a lot of the factors are mierred right now. i think there is a concern. the longer we go without a correction, the head winds from the rest of the world's economy slowing and stronger dollar will crimp corporate profits and expand pes quickly and the specter of the fed and what they are going to do and what degree the economy can digest higher interest rates. there are real questions. >> talking of how long it took to get us here, it took about seven months to get from 16,000
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to 17,000 and then to 18,000. how long do you think it will take to get to 19,000? >> i think 2015 will be front end loaded. i think we will see 19,000 easily probably by the end of the first quarter. but unlike this year which was back end loaded you have to be careful. maybe the go away in may crowd will be right. >> why easily, chris? valueuations are not high but are not low/high. why easily 19? >> two things. i think one, front end input from commodities certainly the supercycle in commodities appears to slow down. a big plus for all sorts of different industries. second is the price of energy. there is no question that people who drive 10,000 to 12,000 miles a year are putting an extra $1,000 in their pocket.
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>> when you look at gdp print you have to say the rate hike is more likely next year than those push to 2016. when the fed does start moving on rates do you think the rally can continue? >> that is a great question because it will depend on how aggressively the fed feels they have to move. and to some degree that will be predicated on how fast the economy is growing. keep in mind the fact we are not seeing inflation right now is not because there is not tremendous liquidity out there. it is dormant. if you have economic growth and strong wage growth you will see inflation perk up quickly and the economy may grow very quickly and that's good but it will force the fed to react quickly to curtail that. i don't know if the economy is sustainable enough to be able to digest aggressive rate moves like maybe it has in past cycles. it does bear watching at this point. >> thank you very much for joining us. have a happy holiday.
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let's get to breaking news on sony and the movie "the interview." we have reaction from the white house. eric schultz releasing a statement. i will read you what they are saying. they say the president applauds sony's decision to authorize screenings of the film as the president made clear we are a country that believes in free speech and the right of artistic expression. the decision made by sony allows people to make their own choices about the film and we welcome that outcome. so much of this criticism of sony was led by the president last week when he said he disagreed with sony's decision to pull the film. he said that was a mistake. we have seen tweets just today from james franco, the actor who is in the film saying that he is celebrating "the interview." the president mispronounced james franco's name during the
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press conference and now james franco taking the opportunity to tweak the president a bit. >> he said he wished that sony had spoken to him first before they decided to pull "the interview." thank you very much. let's go back to the markets and the economy. rick santelli in the bond pits. gdp 5%. do you think this is really a 5% economy? >> no, i donot but we can always hope. my chicago bears weren't very good this year but every now and again one of their four quarters would show definite improvement in play. the zero hedge has been riding. awful lot of consumption. americans dug into their savings but there are questions as to that dynamic. if the questions are correct you will see some strength mitigate. no doubt it was a good better than expected revision on our
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last look on third quarter gdp. no matter how you slice it we had minus 2.1 in the first quarter. we had 4.6 in the second. 5% in the third. even if you are between 2.5% and 3% in the fourth quarter you are somewhere between 2.5% and 2.7% for the entire year. we are still on an annualized basis. under 3% economy. i think now that we are -- the one guest you had said seven years of bull market, march of '09 the bull market started. six years since zero interest rate policy. i hope we can change gears into a 3% economy soon. >> thank you very much. let's continue this discussion and bring in ward mccarty, an economist at jeffries. what gave us 5% or is it a one hit wonder? >> i don't think we can sustain 5% for a long period of time. you have to go back to 2003 to see a number as robust as that.
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when you look at the u.s. economy it has grown at 3.5% in four of the last five quarters. we have turned a corner as far as growth is concerned that we will continue to see numbers that are better than at least the perpetual pessimist expects to see. if we get 4% in q 4 which is not a long shot then we grow at 3% for the year in 2014. >> what do you think monetary policy implications are of this? >> this is going to end up creating a dilemma for the fed. they have made a lot of progress on growth. they have made a lot of progress towards the full employment mandate. i think that it is going to take towards the end of next year before they finally look at the labor market and declare victory. the big problem here, of course, is inflation. we saw the pce deflater move further below the fed's 2% target with the pce data this
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morning. they have a dual mandate and making progress on one side and going in the wrong direction on the other. i think that at least for the near term that puts the fed on hold and i still think it will be late next year before they get around to raising rates. >> 30 hours to christmas. a week and a half to the new year. give us good news. will we see wage gains in 2015 for many american workers? >> i think we will. i think by the end of 2015 we will finally see average hourly earnings growing at about 3%. we are on the threshold of seeing a turn around as far as that is concerned. the unemployment rate is just now approaching levels that have been consistent with an increase in average hourly earnings in prior cycles. of course, we are also seeing payroll growth that is robust and that is absorbing a lot of the labor. i think we will be at 3% or
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higher on average hourly earnings. >> thank you very much and enjoy the last few hours before christmas. or go panic shopping because let the great procrastinator panic begin. one full shopping day left until christmas. we take you to the mall live and try to figure out what retailers might be cashing in. a big coffee recall to tell you about. and also top five ceo screw ups of 2014. we have them all for you here on "street signs." [ male announcer ] your love for trading never stops.
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you can always feel the panic setting in. last minute shoppers have really only a matter of hours left until christmas morning. right now they may be hitting malls in full force. let's get to kate rogers who has braved the crowds and is live at the new port mall in jersey city, new jersey. >> reporter: we have been here since 7:00 a.m. the mall opened up early. we are starting to see more and more people. there are probably several thousand people here. analysts telling us because gas prices continue to fall and stock market continues to soar customers are more likely to go out there and spend. neilsen found nearly 40% of americans say they have got extra cash to burn this holiday season because gas prices continue to fall and once they put the money towards their bills the next thing they plan
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to spend it on are holiday gifts. we chatted with customers here at the mall and here is what they say they are looking for this year. >> in store getting better deals than online and in store you don't have to worry about shipping. >> i am looking for some uggs but i need to go to the uggs store which is in new york. >> everybody wants clothes this year. so don't really have too many deals for clothes. >> reporter: and we are really seeing retailers here pull out all the stops. like we mentioned, this mall opened at 7:00. stores like kohl's and macy's extending hours. macy's is having an after christmas sale today before the holiday gets here. it remains to be seen whether or not the tactics work. did you do your christmas shopping yet? we are hearing that men are really procrastinating. >> it is not just men but i have half it done and i supported the local economy in midland, texas
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by purchasing three pairs of cowboy boots. >> what are you going to do with three pairs? >> they are for the family. i am going to go with him to the uggs store. >> baby cowboy boots. >> my daughter is 11 and her foot is about a 10. >> i'm talking about the baby. >> no baby booties or baby bumper buggies. so you just heard the guy say he wants to go to the uggs store which is deckers. that got a little plug there. according to your research, not just the one guy, who looks good? >> who looks best is limited brands. we have been talking about this. the stock has had a huge run. they did better this year in terms of gifting, in terms of black friday, what they offered
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whether it is at bath and body works or victoria's secret. black friday was huge for them. they were a clear winner. i think they are going to continue to gain that wallet share here as we get to the final hours before christmas. >> what is it like? desperate husbands and boyfriends? >> why are y'all picking on men? husbands and boyfriends? >> i don't know what she likes so i will buy all in all different colors and hope i get one right. >> it is diamonds, shoes or lingerie. when in doubt you can't go wrong. >> it is all three stages of a relationship. why are you guys picking on men? if i got all women and girlfriend i would be slaughtered. >> we are all a bunch of procrastinato procrastinators. >> who is going to lose out? >> apparel space promotions are deeper this year than last year if you can believe that. i think one of the clear losers this holiday has been gap. old navy is doing okay but the
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gap product is just not looking any better here. clearance for gap is probably the highest of any retailer out there. of course, you have the teen space that continues to limp along as fast fashion is certainly eating up market share. biggest discounts probably in apparel, in teen and at gap. >> can we fast forward. let's burn through new year and go straight to 2015. i was having a chat with a good friend. he was saying watch out next year because primart is coming. how much of that will be a threat to a number of companies such as h&m. >> what is that? >> big uk, trendy. think h&m. >> we have been talking about it for over a year now. it is coming into the states in 2015. so i spend a lot of time in europe in those stores as you know. they are the cheapest out there
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whether it is lingerie or the home sector or apparel. we are talking jeans for $7. we are talking duvet covers for $5. whether macy's, j.c. penney or the lingerie market it will change the landscape as they come into the states. i think that is absolutely one of the biggest threats over the next several years. >> you owe the audience a correction. they are not uk. they are irish. >> they are irish. >> i can assure you my people don't like to be confused with the brits. >> the leprechauns like to stand alone. i apologize. irish people like yourself. >> stacy thank you very much. top of the christmas to you. call it the united states of oil. we will tell you how much the huge drop in crude is helping our economy. >> let's take a look at stocks that have led us from the march
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dow 17,000 to 18,000. visa, goldman sachs and 3 m with the most positive point impact on the last 1,000 points. the worst, ibm. we will be back right after this. you're driving along, having a perfectly nice day, when out of nowhere a pick-up truck slams into your brand new car. one second it wasn't there and the next second... boom! you've had your first accident. now you have to make your first claim. so you talk to your insurance company and... boom! you're blindsided for a second time.
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check out shares of continental resources. it is up strongly today on news that slashing spending by 40% and plans to trim the rig fleet by 0.3 next year. the second largest producer. our next guest says if low oil prices hold it will boost jobs and growth but warns it probably won't last. he has advised president obama and clinton. great to have you with us. why do you say it won't last and therefore when will it come back up? >> there are two reasons. one is we look at history. this is not the first time that we have seen a very sharp drop in oil prices. we saw it in '85-'86. we saw it in '98-99. we saw it after the 2008 financial melt down.
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it usually takes between two and three to four years for the price to begin to go back up. there are two reasons. one is that after all the falling price is a result of expansion of supply and dampening of demand. this is, first of all, boosting demand in the largest economies in the world who are all significant oil importers which is to say in china, in india, japan and the united states and european union. so to the extent that it supports demand, demand goes up. that tends to send the price up. >> if we are hearing you right there is going to be an equilibrium price where the low price raises demand and thus we see a balance and thus prices establish a floor. do you believe that this is that price? $56? >> no, i don't. >> where is it? >> well, no one really knows.
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it depends how fast the global economy grows. at this point it looks like it is somewhere between $70 and $90 a barrel, probably closer to $70. there are supply side dynamics at work here, too. right now we have a large expansion in the supply of energy because there was enormous investment in deep water exploration in shale, in the united states and around the world in 2012 and 2013. that investment has brought new supply online. as the price goes down it becomes less economic to make those investments. that's precisely why saudi arabia is allowing the price to go down so far because she's trying to maintain her market share by reducing investment by these others. that means two years down the
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road the supply is not growing at the same rate as demand. >> what you just said in another way is very nice way of saying saudi arabia is trying to put people out of business. >> absolutely. they are trying to put saudi arabia out of business. >> we have to leave it there. thank you for joining us. crude is up nearly 3% today. >> my pleasure. we have a quick "market flash." dominic chu, i heard people yelling about safeway. >> check out what is happening here. it is spiking off of its lows of the session. the company safeway is completing the sale of its property development center assets to another company for about $830 million. what happens is safeway shareholders are going to receive an estimated cash payment of $2.45 a share of which the vast majority of that $2.38 is estimated to be paid at the closing. these guys are in a pending
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merger. safeway is being acquired by albertson's. we are watching safeway. dominic chu, thank you very much. coming up still on "street signs" we have "street talk" five stock recommendations just for you. plus our christmas gift to you. the five ceos that belong on this year's naughty list. "street signs" will be right back.
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every day at this time, "street talk." you can tell we are in a hurry. church and dwight. >> bmo capital upgrades to outperform. they see a benefit. target boosted to $85. kind of a slow and steady growth company. there you go. >> a couple of brands under the umbrella. >> the firm giving a positive
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mention. they think it will win a big verizon deal or part of it that could be worth $200 million to $300 million. the target price 32. the stock is at $19.70 about a 60% gain. >> stock number three, a big buy call for gym equipment maker. >> wunderlich securities. $17 target gives about 12% upside. >> big hat tip for red hat from cantor. >> up 2%. cantorstarts it with a buy. >> and our under the radar name is sonus network.
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>> who knows how they got that? it is 18% upside. stock up about 25%. ten analysts cover sonus network. >> what is with the rain boots? now to "talking numbers," our daily look at one stock or one instrument from a fundamental and technical perspective. today let us talk about keurig green mountain. very special "talking numbers." we have herb greenberg our guest on "talking numbers" for the fundamentals. i hope you are wearing pants. give us the fundamental analysis on keurig and a big recall. what is your take on the stock? >> i was surprised on the recall that they are basically asking the users to repair it themselves. they will send out repair kits. i am hoping there are no screws or anything they have to disassemble to get this thing
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done right. of course, by doing that they are avoiding perhaps a huge charge that they had to replace all of the machines. i was intrigued when i was looking at this. i stopped writing about this. i got it wrong when they came out with the cold machine or they announced it. because that is really what the story would be going forward. i look at the short interest on this it has actually been going up over the past five, six months. interesting to see where this thing still shakes out at some point. >> you didn't forget your pants but you might have forgotten your microphone. sounds like you are in the bathroom or something there. >> are you surprised how strong this -- credit is where credit is due. you are more right than wrong. you got it wrong you admitted it so kudos to you for that. are you surprised at the strength of the stock this year? >> absolutely. i get it because it's a great story at this point. it's the story. i point out the story. we will see when they come out
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with that machine and see how their 2.0 machine did or does this current holiday season when they report their earnings going forward. these are all factors. a price competition, people trying to get around the 2.0 patent issues. those still exist. let's wait and see what happens with the cold machine. >> let's take a look at the technicals. it has been a strong stock this year up 81% so far. mark, what are you seeing looking out into next year? >> i like the stock technically. i think the news is baked in at this point down about 13% from november. if anything you mentioned the stock is up 81% or so year to date. fourth best performing stock in the nasdaq 10 # o. the daily chart shows the uptrend recently saw signs of it peeking out a bit. it had a history of high volume gaps. it istypically paid to follow the gap. the latest happened in mid
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november. the stock has pulled down but hitting a level of decent support near the 2013 lows when you extend the trend higher. this is a decent area that would have to break really 129 to think it has more on the down side. i think it is a decent risk reward here given that the stock has pulled back. the weekly chart shows ongoing bullish structure. getting above the 2011 highs really helped it to accelerate a bit. so at this point it is very difficult to sell it based on technicals particularly because you have a rising uptrend and the stock has pulled back to a really good level of support. now that we are starting to see fear about this recall and the timing is not perfect ahead of the holiday season i think it is a good risk reward area where you can buy and think the stock does rise back to 160. the risk a break of 129 would send it down to 116 or potentially 105. those are the key areas of
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support you would buy. >> you do like the risk/reward at these levels. happy holidays if we don't see you beforehand. be sure to check out the online edition of "talking numbers" in partnership with yahoo finance. is north korea really responsible for the epic sony hack? we will speak with an expert who has doubts about who is to blame. recognize these commercials. if you think big gift bows are just for tv ads think again. we will explain just ahead. tdd# 1-800-345-2550 [ male announcer ] your love for trading never stops, tdd# 1-800-345-2550 even on the go. tdd# 1-800-345-2550 open a schwab account, and you could earn tdd# 1-800-345-2550 300 commission-free online trades. tdd# 1-800-345-2550 so when a market move affects one of your positions, tdd# 1-800-345-2550 schwab can help you decide what to do. tdd# 1-800-345-2550 with tools like free live-streaming cnbc tv tdd# 1-800-345-2550 that give you the latest financial news and trends. tdd# 1-800-345-2550 and bubble charts and price charts that let you see exactly
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energy lives here. sony giving the okay to select theaters to show the movie "the interview" on christmas day. sony originally pulled the film. still not 100% clear who was behind the hack. the fbi says it was north korea. your next guest has serious doubt. why are you having doubts? >> i think realistically all of the evidence doesn't point to north korea. what the fbi announced is circumstantial at best. anybody can use the same tools
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or same information that they did and come up with that, come up with north korea. >> i have heard the same thing. i got an e-mail from a cyber security company ceo who said sony may have something to gain and may be harder to sue sony if they said it was a sovereign foreign state that came after us. >> it is also a great pr situation. it it could be a stunt. they could say north korea hacked us. we have this movie about north korea and now they pulled the movie and it is back on and now people are going to see the movie now. >> what about the massive outage yesterday? the two of us looked at each other like how many people have the internet in north korea? is there any possibility that the u.s. government was behind that? >> i think so. denial service attack isn't difficult to pull off and comes
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down to bombarding the target computers. when you look at the amount of force needed it wouldn't take anything to do it. now you have the u.s. making a response against north korea, north korea saying they are going to respond again. >> from what you have seen was this a very sophisticated cyber attack? i heard people suggest it wasn't but that sony's defenses were that bad that it looks like some grand attack. we know they got a lot but it didn't seem like it was protected well. >> there was an fbi informant that came out and said that sony has been compromised for the last six years or so and it is the same recycled hack that keeps going on. >> let's not forget. i don't know if your boys use play station. sony has had the play station network knocked out a couple of times. >> in this situation all evidence does point back to some sort of insider, probably disgruntled employee.
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when you look at the type of information stolen, e-mails, personal documents somebody needed to know where the documents were and how to get them. >> do you think we are getting closer to find out who was behind the hack or is it possible we will never know? >> it will be tough. there is really no way of knowing if we can pin point it to one specific person or group. the type of information that was stolen would indicate that somebody from the inside. so that would be the way to start looking. >> thank you very much for joining us. still a lot of questions that need answers. >> why don't we stay on this story. it is certainly a bigger one. we will be joined by eamon javers with us now. north korea aside, internet privacy and security has turned into big business especially in the wake of edward snowden. three companies that are benefitting from the post snowden privacy boom. >> that's right. so much of this hacking news really beneficial to a small
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boomlet in privacy marketing, companies out there selling ways to keep your communications and data private from government spying eyes and from the hackers who hit sony. wanted to walk you through a couple of the companies. give you a sense of how they are marketing themselves. starting with a company that allows you to surf the web privately through a virtual private network. they run this vpn for web access. they tell me they sell their consumer pruk on qvc and that indicates broad market demand for web surfing technology particularly among older and female viewers of the qvc network. wicker is a secure communications app for iphone or android device. through that they say they are sending millions of secret messages every day.
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the ceo said they denied fbi request for access. they want this to be iron clad communications technology. also black phone is another example, a company i talk to today, as well. they use what is called public key cryptography. the focus for now is on enterprise customers. the sony story they say is really a better driver of business for them because it is big business buyers who are looking for hardware like a black phone. they say next year they will introduce a tablet that will allow private communications, as well. a lot of different companies looking at a lot of different markets whether it is individual consumers, tech savvy, general market or enterprise market. all of this marketing focused on privacy. >> yesterday we were talking about black berry and boeing hooking up to develop a self-destructive phone. >> who is getting paranoid and good for business for some people. >> thank you.
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coming up next on "street signs," the five most cringe worthy ceo blunders of the year. and bulls are out on wall street. let's take a look at all ten s&p sectors. only one is in the red. health care. [woman] can it make a dentist appointment when my teeth are ready? [girl] can it tell the doctor how long i have to wear this thing? [man] can it tell the flight attendant to please not wake me this time? the answer is yes, it can. so, the question your customers are really asking is, can your business deliver?
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comcast business. built for business. to quote charlie dickens it but for some ceos, 2014 was just the worst of times. charlie of h-3 and company joining us with his list of the ceo blunders and define how you found these. some did stupid stuff and you had your own metrics. >> yeah. figuring out the values that the company is going in, where the world is going in and butted up against it. the world is changing. people expect things from ceos now. privacy issues right now up for play and some of the ceos butted up against it a little bit. >> who made the top of the list? >> mike jeffreys is the beginning and to me abercrombie & fitch is a story of values and
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understanding that value driven companies make it in the end and saying things that they're looking to market to cool kids and they don't want -- >> attractive people. >> exactly. they don't -- they didn't have plus sizes because they wanted to sort of be exclusionary. that sends a mess and that we don't really get it. we're not a value driven company and trying to exclude and that ultimately led to 11 consecutive quarters of declines. >> also a $30 stock now. it was a $30 stock ten years ago. now had ups and downs and no gain over ten years. >> he resigns and the stock goes up 10%. don sterling -- >> that's obvious, charlie. >> i think the lesson, though, that people need to fully get this year, and this is for every c eo in the world, words can destroy the. the world in which you have this privacy, don't expect it. you see sony right now. the biggest agitator is people
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saying, huh oh, i said stuff in my e-mail i don't want people to hear and i think the story of an individual building an enterprise and buys for $12.5 million and then billions and then crumble away sends a message to everybody which is, watch what you say. >> economically paid. it's like some people said that if he failed like that, i'd like to fail like that. you know what i'm saying? >> yeah. failing lucratively. >> the story here is this great story you see all over business and politics, which is the idea that if i do something really well then i can do everything really well and the story of eddie is the story of someone that's successful in the area of hedge funds and investments. it's clearly a success on every which level but the work in sears is not so and down nine consecutive quarters and struggling to find their way and i think the problem is at the
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top and the issue really is that just because one can invest well doesn't mean one can -- >> he can escape from kidnappers as good as everybody. he was kidnapped ten years ago and fooled them and then ran off. >> pretty clever. >> or really, really dumb criminals. hold on. i'll go to the cash machine for the ransom. >> meet you later. >> i'm out! true story. >> lewis of -- >> former. go check on the yacht in taiwan. >> a story of a company struggling and looking for him and he's not around. you got to be there for your team. you got to be there and show up and be part of it. >> last one is ceo of uber. >> to me the issue -- the mistake wasn't that e agree jgr
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but i wanted them to say dig up dirt on the media and go out -- you want the ceo at that level at a company that's that that high profile to come out stronger to say things like, you know, to really act in a way that's not okay. you can't play ball outside the ballpark. >> we have to leave it there. probably plenty of others we were discussing in the break. the ceo kicking the dog on video. i guess we could go on all day if we wanted to. thank you so much, charlie. >> honor to be here. >> thank you. up next, the big bucks in big bows and maybe a big safety -- going to break out the giant -- like the car commercial. bows on lexus. we'll talk to the people that make the big bows. big bows ahead.
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looking to make a big statement like a car for your loved one, why not do it like lexus in the december to remember ads and slap a big, fat bow on it? linda king is founder of king-sized bows and joins us from newport beach, california. i saw an article of the products you make and first question was, you know, one thing to sell a big bow to a lexus dealership and completely different to the average person. how many people every year order one of your bows? >> mandy, we sell thousands and thousands and thousands of bows to dealerships as well as individuals throughout the united states and canada and all over the world.
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>> you know, i see the commercials. i see the giant bows and think what are those going on aside from cars. give us some idea, like, don't say like people. like what could there be besides cars and a gift elephant? >> well, actually, brian, i could say people but -- >> i kind of pictured myself out of a cake and then i realized that the viewers, like, that's not ideal for them. >> only one picturing that, yeah. >> we actually do bows small enough for retail stores and bows large enough to wrap an entire building. >> what's the craziest thing you've wrapped or put a bow on? >> a building? look at that. >> we do crazy. we have done subway trains. playground equipment. airplanes. gosh. any number of -- anything that needs a great big bow. big screens. pool tables and a lot of cars.
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>> thank you very much. it's a busy season for you. i like the fact you make the bows locally, as well. supporting the local economy. good for you. happy holidays. >> i'm very proud to say that everything we do is made right here in the united states. >> i was anti-giant bow until just now but because you're american made, i might pop out of a cake wearing nothing but your bow. >> well, you know, i'll get you a bow. >> cheep and easy air wax. thank you very much. merry christmas. >> place it carefully. >> let's do the heat map. this is sinking fast. out of 30 stocks, only 5 that are down. those names because let's end on a low note are 3m and now six. nike, united health, pfizer, merck, and johnson & johnson. health care is stinking up the joinlt. >> and s&p 500 at 2085. we might get the 51st record close of 2014, brian. >> wonderful.
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by the way, you're here friday. i am not. so, mandy -- merry christmas. as my little cousin tim used to say, god bless us every one. >> that's really nice. thanks, little tim. thank you for watching "street signs," happy. as we say in australia. happy christmas. stay safe, everybody. and welcome to "the closing bell." i'm kelly evans at the new york stock exchange. reveal the headline now, bill? 18,000 on the dow jones industrial average. >> we did it. we have crossed and took seven months to do -- six or seven months from 17,000 to 18,000. so there we have. first time ever breaking that milestone and now we just wait to see if we can close above that for the first time ever. remember, any positive close for the dow or s&p will be a new record. >> it's not getting the fan fare today b

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