tv Mad Money CNBC December 16, 2020 6:00pm-7:00pm EST
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the next couple months >> guy >> gld has a georgetown connection just to get that in there. paas, pan american silver goes higher >> silver and gold thanks my mission is simple to make you money. there is always a bull market some where, i promise to help you find it. "mad money" starts now hey, i am cramer welcome to "mad money. i am trying to make you some money. my job is not just to entertain but educate and teach you. call me at 1-800-743-cnbc or tweet me @jim cramer what a day, dow finishing down,
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s&p at 1.8%. the truth is things look awful bad around 2:00. only if we have a huge roll over wall street focusing on the negatives. we are heading to the highest part of the pandemic then we heard positive chatter about the stimulus bill. the bears once again -- once again. wrong. >> sure, this is an ugly moment but we are about to pass the jordan river and there is as la land of milk and honey on the other side i am thrilled by the negativity because it means stocks can go higher the market goes up when bear turn to bulls.
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right now there is plenty of pessimists about the rally worse, the eviction freeze both end in a couple of weeks i know most people have lost faith in washington. congress spent months doing nothing, although that may be about to change. even without a stimulus package suddenly seems a lot lately. i know this is the worst of time you are sick of it i keep on referring to dickens it is the best of times for the wealthy whether we are talking companies or individuals the worst of times for small business and people living to paycheck to paycheck or no paycheck at all. is that good for america of course not. we don't want to live in addi
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a dickens' novel i don't think that makes you profit now that the $9 billion tstimuls seems to be a sure thing, that helping everybody. we are hearing about direct cash payment. as you know from last time those are great for everybody. the benefits resonate throughout the economy. when you have surplus cash, you spend it it means more people renovating their homes and buying actual stuff, seeing you can't spend on services because you can't go anywhere however, the people who are living hand to mouth, they're going to keep living hand to mouth. small businesses need a bail out to stay in business, they're not going to get enough money. in the end, yes, it is darling, the rich getting richer and big business getting bigger and
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everyone else has to make do or else the federal reserve have set the whole interest rates low through 2023 if you have some good job and savings. jay powell made it clear that he would not lose sight of the millions who's out of work i don't think congress can afford either. jay powell is showing a heart. mitch mcconnell suddenly wants to pass the stimulus bill to save the seats of two incumbents who are facing run-offs. also, they want to go home what's worth buying in a situation where everyone gets another $600 courtesy of uncle sam and the people who can afford it can spend it first we learn that the book of
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business is much better than we thought. stanley black&decker looking at a 10% organic growth that's a januagigantic change. stock rally less than 2% today that's crazy where are these people buying tools? >> a bakery. they're buying it at lowe's or home depot so many of small competitors being wiped out. bad for the country and good for the stock of lowe's and home depot. i think they're all buys we still won't be able to go back to work for months which means worrying of what i call a hybrid home mode perfect time to own lululemon. for now they're making forth selling their comfy clothes
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online, it may be good enough for the hybrid model i am tracing. third, i think you should buy boeing we'll hear from the ceo later tonight. i know we can't talk new business with china. reason with me here, put yourself in the shoes of the people who runs the chinese communist party. let's say biden extends it so how does china reciprocate? specifically 787 or the 777 x. the order book supports how many 2 million jobs and it is spread across the country they'll do it to reward as many politicians as possible. of course you can just go the other way, you can buy the s&p 500. millions of investors will do with their extra 600 bucks or you can buy faang, these stocks
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are not dead even as i read the obituaries the last 24 hours the one thing you can't do here is stare at the jordan river and say forget it, i am going back to the desert. the promise land is right here we still got to get through the worse phase of the pandemic and we'll be vaccinated and you will never have to hear about covid-19 again why would you want to own stock in a time like this? why don't we go to maurice in florida? >> moderna is in the ipeline my understanding that we are talking about billions of viles being distributed worldwide. i also understand that the vaccine is housed in glass
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viles. what's your take on -- being the largest in the world >> corning >> honeywell has new ways to move things. i would not buy honeywell either let's go to adam in new york >> hi, gym what jim. >> what do you think of live nation >> it is a terrible prevaccine but it is a great post vaccine, that's why the stock been bid up wait for it to decline before you pull the trigger scott in massachusetts, scott. >> jimbo, long time caller and long time listener enterprise software artificial intelligence company that had
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strategic -- ipo last wednesday and i got in just $100 a share the stock has been on fire since the ipo. i am currently up 15%. is it a buy? >> i like it it kind of got over shadowed by air bnb. i think it is a very -- the whole market cap is not much they got some real intellectual fire power behind that company i like it. the promise land is within reach. why would you want to own stocks like this. i am going to throw in whirlpool right now. >> anyway, "mad money" we talk plenty of spacs and electric boom don't miss my sit down with mp material and the ceo of boeing
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what's ahead of the company as covid continues to i mpact the aero sector. i am going to sit down with the ceo of octa, stay with cramer. >> don't miss a second of "mad money. follow @jim cramer, have a question tweet cramer #madtweets. send jim an e-mail at madmoney.cnbc.com or give us a call at 1-800-743-cnbc miss something head to madmoney.cnbc.com, in a land not so far away,
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companies, public than buying high profile start ups the string of vehicle deals that i talk about all the time. these are pretty tough there is nothing with a spac i am talking about execution it is preparing to become public by merging with acquisition vehicles the deal closed last month since then the stock jumped. i think these guys have the only rare processing in the united states, they are running incredibly well. you have to respect the pull back because it is a trajectory that you could not believe let's take a closer look at the founder and chairman/ceo of mp materials. welcome back to "mad money." >> it is great to be back, jim >> you have done a remarkable job. i want people to understand if
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there is a business that's running that you are now running, they're losing fortune and spent a fortune at it. the stock is much higher than yours and now you are making money and the stock price is lower, seems wrong to me tell people how you are able to turn this thing around >> when we found mp materials, we acquired at eight employees and shutdown the predecessor were never able to achieve profitable or site working properly we over the past three years have turned around the site and i am proud to say we have 270 people and we are profitable we just put out our earnings and we are producing north of three times of the amount of product than they did ever leading up to their bankruptcy we achievedme a lot of success u there. >> but, look, the lithium ion battery. it is not the darn battery, it
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is the motor >> that's right. >> it is indispensible for every company, right >> is it lithium ion or solid state or hydrogen, who knows what the capacity would be the 90 plus share, we believe decades to come that permanent magnet and so our materials go to make those. we are diagnostic to whatever suspicion-gm or ford motor whatever the battery technology is, we are pick and shovel play for this movement >> this is something that we want in an american company be involved in. you made it clear that the
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chinese have over the last 30 years figured out bigsasically corner the market. if we don't have mp materials, they can own the whole foods chain for every ev car >> look at the enterprise values that exist today for some of the major ev companies the chinese over the last 20 years have moved downstream and they're competing in the industry and to their credit is impressive of what they have done our mission is we want the tesla, gm and apple of the world, whoever utilizining magnets, they buy them all in china. we want them to buy it from us we like to take the share. we are profitable and we are a young company. we are focused on being affordable in a competitive space. >> can you explain to meet the demand we see all coming in the
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next five years >> that's a great question the demand is growing rapidly. i think we need a lot more supply we are setting up for a big bull market in these materials that are feeding, jim, if you think about prior booms and i know a lot of people think of excitement and electric vehicles and some of the companies that make your head spins, we are 3% penetrated, think of -- it is a different dynamic. think of where we were when the internet was 3% penetrated this is a multi-trillion dollars happening. it is not just tvs, it is drones and robots everywhere. we need to compete, we need to make sure our industry has the supply chains so they can compete and so we think there is a lot of growth to come and we'll keep trying to grow. how quickly it happens is a good question >> one of the reasons why i didn't like your predecessor
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company was not just the balance sheet shee sheet. i thought they were bad about pollution, esg they did not seem to care, this seems like a front issue for you. >> actually the one good thing they did do is spend $1.7 billion building the facility it was really sort of sad of what happened there. we obviously turn the site around and it is remarkable. when you think about us relative to any producer in the world, we recycle most of our water and we have dry tellings. there is a lot of capitals spent on this site we operate in the state of california you can imagine the environment we have to perform under that's so key as we think of the
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feedback that fact we are supplying sustainability, that's a big focus for us at mp materials we are trying to do our best, explain to investors and customers and americans and people around the world and how important and what we do there is relative to the rest of the stre and we are really proud of that and that'll be the dna of the company for decades to come. >> james litinsky. great to see you again >> thank you, jim. great to see you, too. >> it is rare earth which is amazing. it is ev and we own it "mad money" is back after this before we talk about tax-smart investing, what's new?
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-well, audrey's expecting... -twins! grandparents! we want to put money aside for them, so...change in plans. alright, let's see what we can adjust. ♪ we'd be closer to the twins. change in plans. okay. mom, are you painting again? you could sell these. lemme guess, change in plans? at fidelity, a change in plans is always part of the plan.
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a brutal year. first, biden won the election. then we got a ton of positive vaccin vaccines, meaning people should be able to travel again meaning more plane demands last week brazil's gold airline became the first carrier the largest airline in europe. the analysts are recommending boeing even if the stock runs from 140 to 220. better late than ever. there is a reason i started pounding the table this one in early october in 160s. the stock down 50% i bet it got a lot let's think deep of david calhoun, the ceo of boeing mr. calhoun, welcome to "mad money. >> jim, it is good to be with
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you. >> first, morgan stanley put out a note this week, they suggested you have to do a gigantic equity race, 15% or maybe 20% you do have a big debt load. is that reasonable or is that some insights they have that i don't have >> it is more than a little speck let me say that. not sure how they did it and it is not in our place to go down that path. probably not more to say than that >> okay. the airlines are straddled with death point how can they buy more aircraft? >> well, first, and for most the actions that we are taking back in the early stages of this problem by the fed and of course cares act, those were huge actions.
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it appears the credit market opened up in a big way every one of the airlines taken advantage of it and boeing has taken advantage of it. we always believe our credit going forward and all we need was where the market needs to be opened for business. beyond that, the airplane themselves have always been a good market asset from capital market, it continues to be that way. they're 30 years in assets and they can move from a beginning of an epidemic like this the airlines know how to tap those capital markets. >> let's talk about travel and the pandemic after 9/11. many people thought it would not return, it did is this similar or the worry of illness? i think i am going to call the
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bogus worry is how easy it is to get covid on the plane and keeping people at home and let travelers and businesses do zoom instead of going some where. >> let me address that safety question because months ago it was a question and you had talked to me about this in the past you were well ahead on the subject. it is an incredible safe environment in that airplane we replace that air every two or three minutes. you are safe in an airplane than any enclosed space anywhere. we feel good about that. that message is getting out. people understand that it is ultimately safe. will business travel return? >> yes i believe strongly i run a big company. yes, there are a lot of internal things that happens can be done
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more on zoom the number of external relationship that has to be built by every business on the planet, they're always in face-to-face meeting and getting to know people on a realtime business i believe it will come back. i believe post 9/11 come back will be repeated i have a lot of faith in this. >> mow banow back to news no ont to see the dream liner and some worries about whether these are issues involving maybe not safety yet, no one is saying that. could they ground the plane? are you concerned of the quality control that dog the company are not behind them? >> these issues are behind us. the 787 are real and we have been in control of that process. we are the ones that sort of found disclose and brought the faa early.
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determination were made, it is not a safety flight question we are committed to increase the precision around which we - more because we want to be able to increase the rate in these plants and facilities when that time comes we want to have total confidence that each and every one of these happen in a precise way. it is never a safety flight issue and i am confident that we'll be ahead of it and i am confident that we'll stay in control of it the entire process. we appreciate the faa's support in this process. >> lets me go deeper into why i think this is so important and why i am a bull. it is a long tradition that we have in our country, president-elect biden does not seem like someone who's going to go on a verbal chat or a tweet storm against president xi
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they need the 787 and perhaps even to calm the 777 x >> your press is well-founded. the chinese economy bounced back faster than any other. the airlines are back to where they were. they project roles and they need airplanes. there is no question about that. they love boeing's fleet phase one includes provision for a airplanes. things will quiet down and the chinese will want to get on the plane. boeing will be beneficiary of that we have great relationships with our customers in china, we stood by them every step of the way, regulators as well for us of our
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airplane safety and not only that, it has been involved in the research effort of the 737 max and it is progressing along. i am quite bullish and constructive of china. we need some good diplomacy on that front >> 737 max, they are interesting. >> yes >> oh yeah >> people do not focus on your defense business, i think it is consistent, i want to be sure that it is going as well as can be expected because it is bedrock to your earnings >> yeah, unfortunately in height of all the subjects that been throwing at boeing the last year are boeing's defense has done very well. it is a stable business. we appreciate the work that we do for military for our servicemen and women we have a great number of
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accomplishments in light of all the other things that's happening on the commercial side amai amazing fleet of engineering these airplanes are out there and the military is accepting them and they have longer life of program which is fabulous fielgi fighting machines. it is one of the first to design and build and certify. this is one of the first the airplanes fly and we are meeting all the milestone. again, meeting all its developments and milestones. we have some terrific programs of the program, t
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>> one last question a lot of things have happened since your predecessor made this promise to "mad money. >> he did say it would be the first company to put someone on marches. it would not be elon musk, it would be boeing. >> is that the case when you put a man or women on mars >> we continue to maintain that's bullish every write as an objected company we still wrap our arms around it forgive us for not talking so much of the future but rather than the operational issues we are forced to hear and getting our max recertified was a big step we can start playing for more future as we move forward. >> we still embrace everything
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that goes with space everything that technology will allow us to do >> excellent for the two million people who are depending on boeing. for all the people and service people you protected including my dad i wish you the best of luck and i believe in you, i believe in your company >> thank you, jim. >> of course, "mad money" is back
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during this remote world this stock was rolling over along with all the high cloud place. okta reported two blow-out quarters amazing cash flow raising their forecast how many companies have been able to do that? the stock surged 5% the next day. so can this thing keeps flying let's check in with the ceo of k okta, todd, welcome back to "mad money. >> great to be here, jim i am looking at some of the numbers that you put up, all i can say that i have to believe that because there are so many shops that are ca and oracle having been converted yet, it is pretty easy to see that you got a mull year, adjustable market
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that's far bigger than i first met you. >> anyone that's trying to log into their multiple system and personal life and trying to make sanity they know it is a big problem. companies know this, too you put this together with pressure now and everyone to be flexible with where they work and security models that support flexibility. the big one is companies have to bid online they have to iwakumake sure cusr experience is easy identity is apart of all of that it makes all of those experiences easy and less friction and makes it all secure >> we talked about about mlb and their log in and work force ig what's surprising is it is like john deere these are not what i think
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typical okta clients >> these are big and important companies, they know technology i is the forefront of what they do whether it is fedex, they have to get the vaccines out to everyone, right? they do that with technology and they do that making sure that they take their amazing team and come bieng bining with the best technology john deere is trying to innovate how the equipment is used and connected to the internet to do bett better performance of that equipment. they know identity is a key part of that. if you can't connect to the people of that technology, it does not matter. lucky and excited to work with them on that
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>> in reality what you are doing is making sure everybody gets the right stuff and nobody gets the wrong stuff. why can someone when i read these terrible hacks with russia, you are so good with identity todd, you are a smart guy, can you help them? >> the problem is with legacy on premise technology it is hard to cover everything systemically they have years and years technology that's installed different times and maybe there is mergers and acquisitions that put these companies together it is not a technology problem, a lot of time is visibility and comprehensive approach problem that's one of the big advantages of using more clouds it can be secured more easily and helps company get a
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comprehensive view especially okta helps them do this and the whole environment whether it is hybrid or cloud and catalog it all. and make the secure posture is very robust. >> how can microsoft not beat them with 365. >> if you have what you just described, you have some ibm, you have another company that could be in oracle they can't do it you need a neutral party >> this is a big, this is a nuance -- well, it is a big deal that people miss it is not part of your e-mail or infrastructure it is not part of your application because it has to be neutral and independent. it is very nature that connect ls y you to all those things. you talk about john deere or
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organizations like the government that's trying to upgrade the cloud system they want choice they don't want to be ham strung into one vendor. we saw the identity challenges and the security challenges around identity and beyond that we give them choice. if you want to use the right app for you or the collaboration app or zoom or teams or sales force, we give them choice and let the company decide what's best for them it is working out well >> why would you have levi strauss? >> levi strauss have tens of thousands technology those employees want to be productive and it has to be secured. if they want to work from home or you know a coffee shop or the
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office, the same security policy has to work across all of those environments and like all of the other company, levi strauss, the supply chain is evolving they're selling products to distributors and retailers and so support, that's being chained as online is happening levi strauss like any other organization has to have better website and make sure they collaborate in a highly online way with their partners that's going to go to the traditional distribution channel technology is in all of this and every one of those steps there is a person involved and we can help them. >> todd, once again you come on and explain exactly why. i always say okta is the one to look at. you are everywhere and you are independent. you can't not use okta if you
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want to have a modern day set up thank you so much, great to see you, sir >> great to be here, sir >> you need okta in the current day environment. more than ever because people are working from home. "mad money" is back after the break. some things are good to know. like where to find the cheapest gas in town and which supermarket gives you the most bang for your buck. something else that's good to know? if you have medicare and medicaid you may be able to get more healthcare benefits through a humana medicare advantage plan. call the number on your screen now and speak to a licensed humana sales agent to see if you qualify. learn about plans that could give you more healthcare benefits than you have today. depending on the plan you choose, you could have your doctor, hospital and
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state, jim >> i forgot it is a be hiehives state. >> this is so the winner when this thing is over i think it is going to 200 hca >> tommy in maryland, tommy. >> jimmy, how are you? >> how is it going >> i am trying to beat 74 inches out there already. trying to get home >> it is nasty out there, down here in maryland >> it is amazing what's going on? >> i know, it is incredible. first, i want to do a quick shout out to my buddy joe tobias >> of course, important. >> i am calling about digital turbines, apps that company they have been up about 500%
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>> it is mobile entertainment. every likes mobile entertainment. i have to do work on this. we got to do more work so we are going to come back because that thing is hot as a pistol now we are going to go to karen in georgia karen! >> booyah, jim >> booyah, karen first time caller. my husband and i love you. >> excuse me >> i am scared about american automakers, i listened and i thought on ford. >> ford is doing nothing that's the way things start. they do nothing, look at ge, they do nothing and six and seven. jim farley is a car guy.
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not a guy who understands like file cabinets. i think is excellent let's go to noah in new york noah >> booyah, jim my man, how are you doing? >> i am doing well what do you know of plug power >> i thought it is all the insider seller and the stock would run out of steam there are so many hydrogen stories. i it makes me think don't give up in hydrogen. alex in illinois >> how is it going, jim? could not be better. how are you? >> i am an hpq guide nice update going into '28, right? sold sold for $28 >> sean in new york.
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sean >> hey, jim cramer, how are you? >>. >> i am all right. how about you? >> booyah, party city. >> man, no, we are not fwoing to go to party city that company did get you know, it escapes the clun ctches of te grim reaper. how about we go to marcine in oregon i am talling in for marvel technology group >> we had a meeting this week, marvel we were talking about alerts i said we may take some provi e province we got more and more to go this stock is going higher because it is the ultimate 5g product. they have the product sleeve that we want
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marvel stays in the picture. michael in illinois? >> booyah. >> hey, jim, i am calling for rvp, is it a buy or a sell >> this ises the second one i didn't not know. i have obviously have not done my homework. i have to come back on that one. that, ladies and gentlemen, is the conclusion of "the lightning round. the lightning round is sponsored by t.d. ameritrade ♪
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i said it before and i am going to say it again. this is a stock picker market for the first time in 20 years you can't keep generalizing about the entire industry. i know plenty will come on air and say i don't talk about individual stocks or i am not allowed to talk about individual stock. why do we even talk about it then can you imagine the guest on
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espn telling you they can't talk about individual teams or led alone individual players i like the afc south more than the nfc east that's useless look at what's happening with the semiconductor space. when someone comes out here use a blanket endorsement, they just go buy the even with the etfs. i don't want you to bet on chip maker, i want you to understand why you are buying and why, otherwise it is the blind leading the blind. >> you will also need lighting execnology from equal cold
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there is a&d, one of the new tighten conductor space. it has a terrific presence in the data center. plus, a and d will have strong phone. i just mentioned nvidia. the most verbal chip maker in our computers. companies are trying to buy arm holdings especially mobile device how about prod cobroadcom they're the internet of things, that's nxp semis and cell phone samoan exposures they have so much internet of things that hay may as well being stock.
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if it got memory, its got micron on the other peck strum you fot bin tell which is p.c. company finally the semiconductor capital of equipment company, they make the machines of manufacturing chips. these stocks are the way to go any of lamb research and ply materials and of course there are other big names, why pring it all up? >> i want you to know what you known and there is little hodge yous in h countrthis country so please forget about trading entirely, at last we have a mark
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that values kpaj individual companies and individual management why not take you there and buy the best semiconductor i would like to say there is always a bull market some where, i would like to find it just for you. i am winter storm warning al roker is here to pinpoint how much snow for people in the path right now on the news. >> reporter: 70 million under a winter storm warning. >> a nightmare nor'easter, the worst in years, threatening millions heavy snow, ice and freezing rain tonight, the areas getting hit the hardest pby this monster storm. >> we're going to pass some kind of stimulus relief package before we go home for the holidays. >> disaster relief finally within reach what's in the deal what's not and will any of it b
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