tv The Exchange CNBC January 14, 2019 1:00pm-2:01pm EST
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>> you like dunkin' or starbucks better >> starbucks >> starbucks >> dunkin' >> dunkin' >> that does it for us you can see the dow cut losses by a lot it's done 70 points. thank you for watching "the exchange" begins now. welcome. here's what's making news as we kick off the back half of the trading day. it's day 24 hnow in the shutdow. we'll tell you what has investors nervous now. china's slowdown cracks and weighing heavily on the markets and the rate hikes may be over. janet yellen saying that this morning. we'll get you the full story we begin paring losses >> as you can see the dow jones industrial is only down by about 75 points. that's about a third of 1% the s&p off by about a half
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percent. the losses being led to the downside off two-thirds of a percent by the nasdaq composite. airlines a theme today the dow transportation index trying to find positive territory. that's despite delta airlines, american, united, all lower on the day. delta, downgraded over a bank of america merrill lynch. delta and united report earnings tomorrow one last trade here. far and away the worst performer in the s&p 500, a utility stock, pacific gas and electric after it may need to file for bankruptcy in 2017 this was a $71 stock now you see here, down to about $9 and change. back over to you >> awful we'll have more on that coming up, dom. thank you. bank earnings season kicking off with numbers from citi group. it's one of the best in the s&p 500. bob has more >> up about 4 %.
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here's the good news on this first off credit is good loan growth is okay. net interest margins compressed a little trading has been off a little. the stock is very washed out that's the good news right now here's the bad news. investors are having a hard time trying to figure out why they should own bank stocks at all. take a look. we lost 20% in the major etf last year. kbe was down 21% a lot of people said why bother? it didn't matter everything got killed last year. why don't i just go out and buy -- how about papal, visa that's what a lot did. they're continuing to do that into 2019. >> it's an astonishing thing they'll reach elsewhere. as you said, the banks didn't necessarily do anything wrong. it was the yield curve it was concerns about a recession, maybe this year maybe if that yield curve starts
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to steepen investors can give the names a second look? >> maybe the main argument isn't the yield curve. it's valuations. book value, just really cheap right now. the problem is investor interest is still not there very similar to what happened to energy three or four years ago >> bob, thank you. >> it's day 24 of the longest government shutdown in u.s. history. the president today ruling out a national emergency as a solution we are live in washington with the latest is it still snowy there? >> yes the president just landed in new orleans. he's giving a speech to the american farm bureau on his way there he backed away from declaring a national emergency, at least for now. >> i'm not looking to call a national emergency this is so simple we shouldn't have to. now, i have the absolute legal right to call it, but i'm not looking to do that because this is too simple. >> now, the president also told reporters he rejected an idea
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from lindsey graham to reopen the government for three weeks, see if they can reach a deal with democrats on border security and then declare the national security if not trump said he doesn't want to delay. he just wants this problem solved how this is playing out politically is interesting the public blames trump and republicans for the shutdown 53% versus 29% blaming democrats. however, among his base, support for the wall is growing. 87% of republicans are for it. that is going to make it a lot harder for both sides to meet in the middle >> is it true that support in general is growing for the wall this i know people blame the president for the shutdown, but the walsh is moving in his direction. is that right? >> among his base it is. and not only do more republicans support the wall, but they feel more strongly about it 70% of people in the washington post abc news poll said they feel strongly the wall should be built. you see positions hardening right now. >> so it's because the base is getting more passionate about
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it it's not as if independents or democrats are showing sign of movement zbl . >> independents still blame president trump and the republicans for the shutdown >> they should have sent you to new orleans. >> i wish i could have it's mardi gras season right now. >> i didn't know it lasted this long the shutdown now likely to make for an ugly jobs report next month u.s. payrolls could fall by half a million in the shutdown lasts. let's bring in our guests, glad to have you with us. jimmy, let me start with you it looks like the headline number -- we had a gain of 312,000. it's fabulous. if this lasts past the 19th, that's the week where the survey is done, we could see a minus 500 headline number? >> yeah. that's a big number. of course, it's a weird number it's not a real number just like anything we lose in
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gdp on this side of the shutdown, you would expect them to be made up on the other side of the shutdown. i think from that perspective, at least over the short term, even though you might see crazy economic numbers, it's more of a political event. i have to say i think complicating this whole matter, i sense a growing impulse among republicans and conservatives to say let it stay shut down. keep it shut down. anyone who is not an essential employee, i guess they're not essential, and maybe trump should be saying i'm never going to bring those people back essentially, we are going to just fire those people and that's my new offer. it's kind of like a god father offer. there's no deal, and if that feeling grows, getting to a resolution is going to be that much harder. >> i'm not sure that's true. i thought there was a great point about what the fogovernmet is doing this isn't like say we hate the
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government they're trying to make this painless they're trying to help make sure the first round of food stamp payments was distributed that the parks are open even though they don't have full staffing the omb is trying to take the pain out of this shutdown. this is different from the past. >> well, right that's because you take the pain out because the president 069 united states tends to be the locust of blame in any shutdown. that certainly is true in this case and i think that's a reflection of how mindful they are that this is going to be a difficult thing to sustain over the long run. i doubt that jimmy's prediction is going to be where republicans end up i think there's likely to be growing pressure on republican senators who are up in 2020 to try to bring this to a close we've seen some, not a huge number begin to express miss givings, but this is a losing fight for president trump with the exception of maintaining
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that allegiance from his base. and i think this is where he has a different set of incentives than republicans on the ballot in 2020. i think the president is looking at a situation where his legal jeopardy and his political jeopardy with democrats coming into the majority in the house with the mueller report is getting closer, he is trying to protect the group of people who will protect him or trying to encourage and fire up those people. republicans need to get 50 plus one in november of 2020. it's a different kind of calculation. >> that's my point >> let me direct this your way we are talking about a very small amount of money. $5 billion i hear john's point about how this is playing and the pressure on republican senators, but what about the pressure on democrats at some point? you would think they would be in favor of reopening the government as soon as possible to find a way to give him the $5 billion. >> i think how this ends is the president hardens position as i said, and then you see a veto
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override democrats have called the wall immoral. it's pretty hard to go back after you've made that kind of point that this is immoral plus if you believe that giving into the president will create a repetitive hostage cycle where the president will take the budget hostage in order to get his priority through so ultimately, i don't think it's going to be the democrats who cave in? >> at the same time, i guess the reason the president is backing away from declaring this a national emergency is the precedent is set, fine, the global warming is the national emergency. the dreamers is. >> i think the president backed away because he started to get criticism from republicans who said this would be a cheap way out that would get tied up in the courts i still think that is the ultimately the most likely outcome, because it's an outcome that would allow the president to say i acted i didn't give into the democrats and whatever the courts do is
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whatever the courts are going to do i do think you identified the right pressure point on democrats which is true. they care about government more than republicans do. they care about those government employees more than republicans do to extend the point that jimmy made earlier but i do think what democrats have decided is this is the time for them to say no, mr. president. we're going to have a come to reality moment on the wall which you didn't get under the republican-controlled congress and you're not going to get from us so i don't -- i think the only way they would backdown is under extreme duress given the consequences of the shutdown >> speaking of that, the debt ceiling is coming up in early march. what happens if this goes into february >> i think that's a concern. that we're still talking about this that was the big concern about 2011 not so much a shutdown, but the
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debt ceiling we need to worry about that, and i think longer term, especially with the national emergency route, we begin to look like a banana republic to investors when the president says i'm going to adopt emergency powers, that's something you see in authoritarian governments. their markets are valued differently because of it. >> i believe the debt ceiling will get raised. i don't believe democrats will hold up the debt ceiling in desire to get something else >> they will make the concessions, then? >> well, on -- if you're talking about the debt ceiling itself, yes. >> in it's wrapped up together >> well, i think they would resist that. i think they will raise the debt ceiling without giving trump the $5 billion he wants for the wall >> thank you won't be the last time we check in on this here's what's ahead on "the exchange". >> coming up, china's economy showing big signs of slowing and brexit is in danger of not
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happening. we'll go around the globe for the latest and the impact on your money plus pg&e shares dropping 50% and on the verge of bankruptcy a live report straight ahead and the record breaking government shutdown shining a red hot spotlight on america's savings crisis we have the alarming numbers [knocking] ♪ ♪ memories. what we deliver by delivering.
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welcome back a slowing chinese economy and uncertainty about brexit are weighing on the markets today. we have a look at the latest numbers out of china we are joined live from london with the latest news on brexit as well. a lot of headlines on that what kicked us off last night with the import export numbers >> let's highlight how bad the trade data was export falling the most in two years. u.s. and chinese officials agree to the cease fire in early december, but this is a two-part story. imports declining nearly 8% in the month of december. that's similar to the data we've been seeing over the past couple months with the economic metrics whether it's manufacturing or the drop in auto sales underscoring the narrative that
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china's economy is slowing down. the big question for the market is how will beijing respond in they've used a lot of tools to stimulate their economy. history has shown us those tools typically take about six months to have an impact on the economy. we're looking at about a rebound in the second half of 2018 potentially. at the same time, the implications for the trade deal. we have china's vice chair headed to washington the same time the deadline is approaching. >> i also read that last year the u.s./china -- china's trade surplus which us reached a record high. it was up 18% from the previous year, but it's going to mean we have tons of ammunition to say like the president likes to do, you're winning, we're lose, we're going to be tough on you, and their economy is already sl slowing. >> this trade conflict was supposed to level the playing field with china, but to your point, this latest data shows
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the chinese are importing less from the u.s. on soybeans and commodities. that's not helping their case. >> sima, thank you all right. i keep reading the headlines it's difficult for us to follow what's happening it looks like theresa may may be closer to winning this key vote? is that right? >> that's entirely true. if you go back a month and look at some of the numbers she was facing in parliament in mid december, it didn't look like she was anywhere close to a majority today she spent the whole day trying to persuade people that the agreement is the right this morning. today we shot a letter saying they were willing to clarify some of the details. in the house of commons today she insisted mps should take a second look. she did acknowledge this is a
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compromise and it is not perfect. going into tomorrow night, you've got, of course, all of the opposition parties a raid against. more than 100 members of her party tried to oust her last month and even a small partner giving her a raiser thin majority in the lower chamber, they continue to say they're opposed to the agreement >> maybe it's not as positive -- what do you know about david wagner leaving the premier league this is an orange headline like this is the most important thing that's happened in the uk this morning >> yeah. there's been a lot of involvement among the english soccer coaches their views becoming public. there is a bit of a mixture between those that love their soccer and those that love brexit i don't want to make any generalizations. there's a lot of complexity around the votes and what happens after that >> that's amazing.
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you almost kind of worked that all together thank you so much. meanwhile janet yellen saying this morning that, quote, it's very possible we may have seen the last interest rate hike of this cycle. perhaps another interest rate hike or two is perfectly possible, but nothing is baked in want to bring in steve to talk more about this. steve, i mean, for janet to say it's very possible, this is the last one, that's putting it pretty clear she doesn't have to be quite that clear, and yet, she was what does that tell you? >> she doesn't have to be quite that clear, but last time i checked, she's not in control right now. i'm not sure i think the real issue is that chairman powell has a communication problem, kelly so it's not really what he's saying it's what he's doing his qt is still in place what did she say about that? we talk about it, she made comments about the feds' balance sheet, but ultimately, i don't
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know if she and powell are really on the same page. inflation is tame. chairman powell has more than enough time to take advantage of it and see how the market and market data shakes out the market would like him not to raise rates and to freeze qt >> well, they always want that i wanted to ask about oil. that was looking weaker after the chinese talked about a little bit better. where are we taking our cues from in the market >> we could talk about the subpoena subpoena. if you have a chart, we could slap fthings on the chart. the market is taking its cues from the fed and china trade it's ultimately from the fed the market does not like any rate hikes regardless of what it is it's just the way the history has proven so let's look at this. now we -- i always put this in perspective. this is going back these are your february selloffs
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we thought this was a tragedy, and now we see double the move right here put it in perspective. most people ask me about my fibs, how i draw them. people ask why didn't i draw them from the top? because the characteristics hav changed for the market the triple top around the 28, 16 mark this is the clear define mark on the top. this is the clear define low we bounce aggressively which is what usually happens with fibs, but look at what weathere we ste seven handles higher than this i would expect a sell zone to be here, and we're going to revisit the lows >> i don't know whether i believe this, but i like to know about it regardless, steve i like to know the levels to watch in the near term >> the market believes in the voodoo, so you should too. >> i know. steve, thank you coming up, more tsa no shows
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as the government shutdown goes on, could it lead to a security threat in the skys >> macy's may have struggled, but lululemon crushed it it's up about 6% on the best holiday season in six years. they raised the forecast a look at whether lulu can keep their hot streak going when the exchange is back in two.
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this hour. western digital is one of the worst performers today they cited lower memory chip prices newmont mining falling investors sending them down more than 8 % and ginet is jumping today m and g is one of the largest newspaper chains in the u.s. now. it has a 7.5% steak in the usa publisher. now to sue here's what's happening at this hour. william barr, president trump's nominee for attorney general will tell senators at his confirmation hearing tomorrow that it is important that special counsel robert mueller be allowed to complete his russian investigation. this is according to his prepared remarks submitted before the senate judiciary
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committee. indonesian divers recovered the cockpit voice recorder of the plane that crashed into the sea in october killing all 189 people on board. indonesian officials also telling reporters the remains of some of those killed were also discovered fedex agrees to pay $35.3 million to settle lawsuits in which new york accused that company of shipping hundreds of thousands of untaxed cigarettes to residents over a ten-year period it resolved claims the company knowingly violated a federal anti-cigarette statute prince harry and meghan delighting crowds. fans waiting to cheer and wave flags when the royal couple arrived. they unveiled a plaque to mark their visit. you are up to date that's the news update this hour back to you. >> sue, thank you. about half an hour to go until power lunch. i'm here with tyler. day 24
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>> day 24 of the shutdown of the government it's beginning to be felt. 8%, that's about 1 out of 12 tsa workers called in sick just in the past couple days they've closed a couple of terminals -- conditicourses at houston and miami. >> when are you next on a plane? >> in about two weeks. to houston i was speaking with a friend of mine over the weekend who was being transferred by the dea out to oakland he has not been paid he missed his paycheck he's moving to california i believe this week. and that's the kind of way this shutdown is coming home to roost. we'll talk to gordon who is the former executive who ran continental and ran it very well he's starting to get worried about the possible effects >> and i think he's a houston guy. >> he is >> maybe he could tell us what's happening on the ground down there. >> we'll see you in a half hour.
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let's catch you up on a few headlines. it's time for rapid fire here with their takes are dominic chu along with two others another apple supplier is reporting d it's on the low end of the expected range for q 4. is this why apple shares are down >> it's one of the drives forces apple shares have lost 40% of their value between october third and the beginning of this year they were just starting to rebound and all of a sudden this news, it probably comes at a terrible time only because there's been so much bearish action on apple shares and i got to tell you you wonder whether or not the bottom is in only because there's been so much bad news. >> i don't know that we can pick a bottom tim cook has been talking for years about wanting to transition away from just a hardware company to a services company. the slowdown in china is making
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that go much faster than i think they were ready to do. right? so -- but it comes at a time when the demand for iphones is declining so services has to make up for that, and i'm not sure services side of the business is ready for that >> and on the device front, we talked about how they are introducing three new models this year and the most interesting thing was they had triple rear facing cameras >> totally >> that was samsung with the foldable i don't think apple can do that yet. >> i think the camera is something consumers are interested in. when i saw the iphone so, i was like no big deal then you see the portrait mode, and you're like, i need it in high quality >> do you have the latest phone? >> i don't, but i'm thinking about it >> still have a 6? >> you go. >> me too. >> and i have an 8 shares of lululemon are jumping after the guidance was raised the stock is up 83% over the
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past year. it fell out of favor for a little while, but macy's had a terrible retail season we talked about the mall maybe being dead >> lululemon said they had a strong holiday season. that's the reason behind some of the updated guidance during their earnings when they reported in december, they noted that sales of men's clothing was what helped to boost them. i don't know if you guys have any lululemon. >> their yoga pants are very comfortable. >> they look like dress pants that men can wear to the office. >> yes you laugh, but i am not your lululemon core customer, but i own two pair of those abc pants and one pair of the shorts, because they are so comfortable, casual pants >> joe kernen was i think one of the first to talk about how great these pants are. i'm surprised you haven't -- cindy, if you're watching, this is bill's birthday present >> they look like dress pants.
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>> the at leisure business is a mature busy. because it's a mature business now, it's going to be subject to the vagaries and whims of a very fickle public out there. styles and fashions come and go. they're hot right now, but -- >> even if it's on the back of the men's category, you have to continue executing >> totally >> i would say our head of communications sere at cnbc, mr. brian steele who i'll shout out right now owns, like ten pair of these pants that lulu has. i'm just saying. >> good for you, brian >> the average price for a gallon after gasoline is dropping >> why is everybody looking at me >> i think you have a panel of frugal people here i know we're all thrilled. >> we all drive to work. >> it's a good thing i know you worry about the
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producers when the price goes down and the debt levels and blah blah blah blah. this is great news to have the price come down this much. it's $0.28 below last year's prices right now we may see it go down even more. >> i just remember every time people come on air and say oh, the oil price is down again. and you'd say look, okay, but by the way, filling up at the pump, which most of the american public is still doing is going to be a huge benefit >> our economy, we're a producing nation and a consumer nation and this isgood for the consuming part of the nation >> to point out, 70% by estimates of our u.s. economy is driven by consumer spending. we know producers are hurting, but when the majority of the economy is driven by getting a tax cut because of gas prices, that's probably a good balance declining interest in golf is causing real estate headaches. homeowners near courses that are falling into disrepair are closing, are struggling to
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resell their homes, and apparently we lost about 200 courses and only gained a dozen. >> golf is in a healthier state than it was eight, nine years ago. i am biassed i am a golfer and a passionate one. >> why >> it's healthier because there was such a buildout during 2005 to 2008 because of things like tiger. it's just right sizing that's the bullish case here i would say this the economic -- >> you're talk act the shopping malls, overexpanded. >> yeah. here's the thing the economy is going to be the driving force behind golf. that's going to be key here. >> as you know, i have a house on a golf course somewhere you have to choose wisely when you purchase as with any real estate choose a community that is already established. it's growing some of these golf courses were built just to accommodate some condos or homes out there. it's like when you buy a home
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because it's affordable. when the economy turns south and the jobs are lost, that's the first part of the real estate market that goes down. and this is what happened when they overbuilt golf courses. when the economy goes south and people stop playing golf like the millennials, then you see the -- >> can i counter that? have you guys been to a top golf facility >> i have friends who have done that i think that's a good entry way for millennials to get more involved if they don't already golf for fun i'm not a big sports person, but it is fun to do that and i think it could get -- >> were you pretty good at it? >> i'm not good at anything athletic >> i was so bad. i couldn't hit the ball. >> but you're an athlete come on. >> i thought i thought. >> you could get it. >> but the one i went to had a line out the door and a two and a half to three-hour wait to get a hitting time >> houses that are around a top golf >> condos around the top golf course come on.
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>> okay. finally this before we go, i have to show you the picture of the egg that has just become instagram's most liked post 31 million views it had dethroned kylie jenner's birth announcement all i know is you can have something like this go viral, but once we're talking about this being the most viewed instagram post, i don't think the entire platform, frankly, has that much relevance anymore. i don't. i feel like it's turned into gimmicks and an eye-rolling. the sort of society-changing phase of it is over. >> i will just say -- >> this is why we get along so well i have nothing to say. an egg come on. >> it's a nice-looking egg but kylie jenner did respond with her own egg smashing video. which i think is her trying to stay relevant in terms of taking back the throwne >> they say once you hit about 100,000 followers, not that that's a small number, but you get to that point, okay, you
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have some influence. beyond that, what are we talking about? nobody cares it has no meaning. it's just that it could go viral and gain a few headlines it doesn't tell me anything about how valuable these platforms are. >> no. it doesn't it also speaks to the idea that people will just do things that you are -- are inexplicable. one of the things social media has a tough time battling and will in the coming months and years is whether or not they feel like you do we know that you removed yourself from social media not that long ago. it's been a couple years now >> when you first went on the platform like twitter, it was so fascinating. it was like here's these other journalists. >> everything coming together. >> it was interesting conversations. and now it's a stupid egg gimmick. >> i feel like more people are using instagram in my own circle than facebook. >> i'll take a cat video over the egg any day. >> can it at least be a cat video? then i might watch it. >> puppies are great too i can always deal with puppies
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state of the art technology makes it brilliant. the visionary lexus nx. lease the 2019 nx 300 for $339/mo. for 36 months. experience amazing at your lexus dealer. shares of pg&e have lost half their remaining value following news they plan to file for bankruptcy we are live in san francisco outside the head quarters. this story just keeps getting worse. >> it does it doesn't look like an end is in sight any time soon they say they plan to file for bankruptcy as early as the end of this month. in a regulatory filing the utility also said that if it were to be held liable for the total costs of the 2017 and 2018 northern california wildfires, those costs could exceed $30
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billion. and that doesn't even include punitive damages pg&e expects the losses related to the wildfire will, quote, greatly exceed its available insurance and assets this morning's filing also follows news late last night that the company's ceo geisha williams is stepping down. the utility covers northern and central california remembers that the california governor's first big challenge he came into office last week. he said that pg&e and responding to them is among his top priorities. >> is the korea gceo getting put or did she choose to step down >> reporter: it's unclear. they're searching for an interim ceo. they announced there would be changings to the board
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they're looking for a new director to the board. there's no doubt that there's a real palpable sense of stumer outrage regarding pg&e you see barriers there's security people out here there's no doubt that there's a real sense of outrage. i wouldn't be surprised if she were forced out. >> i wonder if she doesn't want to stick around to clean it up and in a way if she ought to, but thank you. here's a staggering stat since the marketclosed on november 13th, pg&e has lost more than $12 billion in market value. that's 72% from the priest peak. the government shutdown is alarming farmers who rely on crop projections plus the shutdown showing how ill prepared most americans are for financial hardship rebekkah: opioids has taken everything
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york state license for hemp operations and established a u.s.-based commercial operation in the state of new york that's why the shares are up we'll get more details as we get them >> dom, thank you. 800,000 furloughed federal workers are still without paychecks at the shutdown drags on many say they're unable to pay their expenses or soon will be sharon eperson joins me with more on how many americans are living paycheck to paycheck. how dire is it >> this is a crisis. we are looking at not only federal workers who are impacted by the shutdown but millions of americans. nearly four out of five u.s. workers, 78 % say they're living paycheck to paycheck that's according to the employment website career builder. if you're furloughed or lose your job and have little or no emergency saver, you may have no way to pay these expenses. looking at what nearly 3 out of 5 americans are facing, they
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have less than $1,000 in savings, and according to a personal finance website, that number has held steady over the past four years. the meeker savings is far from one people recommend a general rule of thumb is six months of expenses only 29% of americans hit that mark based on the recent bank hate survey. 62% said they're comfortable with their level of savings. most americans don't seem to be worried about their savings until a real energy hits them. >> right and how do you share about retirement and building up for an everyday thing. it's one thing if you go i might have a job change coming up, this kind of came out of the blue what are people supposed to do >> the recommendation is to contact your lender or creditor about outstanding loans. let them know your situation let them know you've been furloughed or if there's another financial hardship and that you plan to pay back but you need to come up with a payment plan.
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and the office for federal workers has a sample letter to send to a mortgage lender or credit card company. a lot of people are like i need money right now. if you can't pay an unexpected americans can barely pay $400 of an unexpected expense, look at perhaps ways to borrow but you don't want to put yourself in financial jeopardy tapping into savings, probably a no-no or a payday loan for sure is a no-no but some things to think about if you can manage a credit card or a personal loan or a rate that makes sense. >> the ice cream store in town, giving out free, that's not really helping it's a nice gesture but what you're talking about is a lot more. >> the federal credit unions though if you're a federal employee and what they can do to help you. >> sharon epperson with ideas there. the impact reaching into farmland after excluded from $2 billion
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in aid, chickpeas and lentils are relying on insurance payments that's a result of the trade war. the department of agriculture is supposed to set the harvest price for these pulse crops tomorrow only then can insurers get their money. for more, tim mcgreevy, representing all the lentil farms in this country. thank you for joining us >> reporter: thanks, kelly welcome to frosty eastern washington >> you mean the state, not the nation's capital, also covered in snow recently lentils and chickpeas, no futures market so we don't really track these prices on shows like ours. looks like the prices have fallen a lot because of the trade war and you guys were looking for supplemental help in covering that right, so when will you be able to access these funds and how much of that is at risk because of the shutdown >> unfortunately, we really
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don't know we have this revenue crop insurance which about 60% of the insurance in the united states have taken this coverage pulse crops dropped in value between 30% and 60% and so we expect to have a fairly significant revenue insurance payment but we have to have the harvest prices announced by, you know, he were supposed to come out on january 15th. let's hope they do come out but all the analysts who are supposed to analyze the data, they're all on furlough. >> so january 15th is tomorrow tim, you were hoping tomorrow, you'd know the prices set for the marketplace and looks like we may not get that. are you flying blind >> yeah, we definitely are just to give you an example of what it means just to this region in my own little farm, so for chickpeas, large chickpeas, i have an average yield of over
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600 pounds per acre, 85% coverage on that and which i did, and then the projected price that was set last spring was at 29 cents. that puts us at $300 an acre right now, prices have dropped to 18 cents. so we had a projected price of 29 we had an actual harvest price of around 18 cents and that's going to be worth about $80 an acre that difference, the price i can get today is $220. there's a difference with $320 that's $80 an acre i figure it's millions of dollars to pulse farmers when these harvest prices get announced, and hoping soon. >> are we talking about a permanent loss of income or livelihood here or just talking about a delay? >> to, i think we're just, well, let's hope they reopen the government, kelly. and if they do, once that happens, and they get the data
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all analyzed and the harvest price gets announced, we'll see those payments come in so it's just a delay right now, but the truth is that if farmers are struggling right now, all prices are low and we're trying to cash flow and making spring planting decisions right now and so it's really important to get these harvest prices announced and get that money in grower's hands. >> tim, thank you for joining us it does look beautiful out there. appreciate you braving the cold to tell us about it. hope you can get some clarity soon >> absolutely. remember, world pulses day on february 10th. consume those pulses, kelcey >> i was wondering if my lentils were going to get more cheap as a result of this tim, thank you so much tim from pickle flat farms the wife of nissan motor, harsh treatmenint a japanese jail we'll have all the details after this the future of technology investing
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♪ 44, 45, 46... how many of these did they order? ooh, that's hot. ♪ you know, we could sell these. nah. ♪ we don't bake. ♪ opportunity. what we deliver by delivering. welcome back the wife of ousted nissan chairman carlos gons is receiving harsh treatment. we continue to figure out what's going on in japan.
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what can you tell us >> i don't think we can tell you much more than what we're hearing from gohn ghosn's famil. carlos ghosn, his attorney does but only certain periods of time and when japanese prosecutors are also there it's not like they have one on one time with him, strictly alone. and his family hasn't had access to him, so i think people in north america and in the united states look at this and say, shouldn't somebody be able to talk in there and talk to him? that's not how it works in japan. that's frustrating for people who are following in this case and the ghosn family. >> we look at information about. it's not like the u.s. where you can try to play it out in public this one is much more difficult. relying on a lot of firsthand, you know, testimony, i guess, about what those conditions are. hopefully we'll learn more
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i want to talk about what's happening. by the way, "the wall street journal" has a fun read. i didn't realize this is the last year. this thing is in january and they're moving it to the summer. a lot of german auto makers don't show up anymore. have you caught the cold the conditions out there feel terrible not carlos ghosn terrible but kind of grim >> it's not about the weather. you want to know who to blame for having this auto show having less attention and traction? consumer electronics show. kelly, ten years ago, when ces 30 had automakers show up, you'd talk to the executives here and they poo poo it. a few cars are showing out there. this is where everything in the auto industry is happening that's not the case. the auto industry increasingly shifting attention and resources to the silicon valley and the consumer electronics show has really become in many ways the place where automaker and executives make big announcements about new technology >> i noticed they said, look,
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the public foot traffic is still good and so there is still interest in these cars, phil and maybe they'll have to go out to vegas for better weather too thank you so much. phil joining us, moving. that's it for "the exchange. i'll join tyler and melissa on "power lunch" which begins right now. >> welcome to "power lunch." i'm melissa lee. new at 2:00. is this market running out of steam? we have the $2 trillion call much of retail in a downward facing dog position but not lululem lululemon, in the meantime that's on fair why the divorce filing could be bad for amazon and investors "power lunch" starts right now >> good day, i'm tyler mathisen. welcome to "power lunch. stocks well, they're under pressure as you see right there but we are well off the session lows earlier this morning the dow was down 230 point
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