four more years of -- we need more of this. >> i'm looking forward to it. i love this balanced approach. stuart: now to dagen and connell. connell: peter schiff is here today. dagen: look to the yellow on this map. the battleground states where the race for the white house will be won. both campaigns pouring big money into advertising right there. and it is mitt romney making some headway in these states. we will tell you why. connell: yes we will. you're all paying more for a big mac. restaurants around the country now making you pay for the drought. dagen: good morning everybody. you look like a fillet o fish kind of dude. connell: yeah, that's it. dagen: moving along. stocks now and every 15 minutes. nicole at the new york stock

exchange. nicole: hey dagen and connell. i want to take a look at a couple of things here. first let's kick it off here with earnings season. we will talk about citigroup in particular which came out with its third quarter numbers. banking index today virtually flat leaning slightly to the upside. citigroup the good news there is that their revenue, the main business did continue to improve. we did see third quarter profit falling 88%. you can see citigroup here up 3 1/2%. as i noted really the profit there. earnings per share did beat and revenue beat as well. i also wanted to take a look at the dow, the nasdaq and the s&p today. we've been down -- i was looking at the dow, we have been down three of the last four trading weeks today. the dow is up fractionally, up 15 points here as we noted bank stocks with an up arrow. drug stocks as well. helping things along. the thing to note here really is the nasdaq which is making news of its own. it is looking to the down side here for the seventh straight day in a row.

we haven't seen that since back in october of 08 during the financial crisis really. i was also looking at apple, down five of the last seven trading days and the two days it did gain was fractional. apple has been under pressure for the month of october as well. the nasdaq obviously down seven straight days in a row. we haven't that since october of 08. back to you. dagen: thank you nicole. presidential debate number two takes place tomorrow night. but when it comes to voters, their number one concern is not unemployment, not the housing market, but rising prices, according to a new fox news poll. yep, that's right, inflation is their top concern. also the top concern of our guest peter schiff, euro pacific capital ceo and chief global strategist here to tell us why you should be worried. peter i say it is all about gas prices because there is no inflation other than that. >> if you see the big difference between women and men, 44% of

women identified rising prices as opposed to 38% men. it's not gas prices. it's also food prices. in fact, i think it is interesting that twice as many people are worried about the inflation tax as all other federal taxes combined. in fact, you have more people worried about inflation than unemployment and housing combined. and, you know, ben bernanke when he last gave his testimony, he specifically singled out the supermarket. he said there's no inflation there. of course there is. if there was no inflation, people wouldn't be so worried about rising prices. dagen: look at the cpi. year over year the consumer price index was up 1.7%. might be a little bit faster than it was in recent months, but because i'm a huge nerd, i went back and looked at my chart of inflation, and you could go back to 74, 75, double digit inflation north of 10%. 79 to 81, double digit inflation. are these people who really

don't know what inflation is? >> well, the real thing, dagen, is we have changed the way we measure it. that's what has happened. we have inflation. do you think if inflation was really as low as the cpi suggests, that 41% of the people in that poll would have identified rising prices as their top concern? the point is these numbers are wrong. they have been deliberately designed to understate how bad inflation really is. i think this poll is a lot more accurate as far as what's happening to prices than the government's indexes. dagen: we do need to worry about individuals concerned about inflation because they can actually create it. assuming that they are getting wage growth, but there have been virtually no wage increases, no wage growth in recent years, so basically these companies can't pass on price increases to individuals. >> it is not individuals that create inflation. it is the federal government. it is the federal reserve. it is quantitative easing that's inflation. what makes this inflation so

much worse than the inflation in the 70s is at least back then the price of labor wages were also rising. now the price of labor is not rising. in fact, it's falling, but the price of everything else is going up. so it's even worse. and the scary part is the federal reserve doesn't think inflation is high enough yet. it wants to create more inflation because it thinks it is going to grow the economy and create jobs and help the housing market. all it is going to do is make the economy worse because it's going to destroy even more purchasing power. dagen: how do you think this shows up in the election, though, peter, because they are not voting for ben bernanke? >> well, i know, but no one is even talking about it. look at the presidential and the vice presidential debates. none of the candidates was even asked about inflation. everyone wants to pretend it doesn't exist because that's the only way we can justify 0% interest rates f. we admit -- if we admit the obvious, that inflation is a problem, then we have to raise interest rates, now we have a whole new problem.

instead the government lies about inflation because they can't admit the truth, but the voters know the truth because they actually have to pay the prices that the government claims aren't even going up. dagen: good to see you peter as always. fired up about inflation. we like it. peter schiff, you be well. take care. we will see you soon. connell: let's move on now to talk about a deal that we actually started to talk about last week because it is now official. dagen: japan's soft bank will buy a 70% stake in sprint nextel for a price tag of about 20 billion. adam shapiro is covering the story for us and joins us now. adam: you can buy connell a lot of fillet o fish at mcdonald's with 20 billion bucks. let's talk about this deal. we're going to be speaking to analysts throughout the day. this will be an on going story. investors want to be careful with this one. first talking about a a company when it is all said and done, going to have 96 million users worldwi worldwide, be the third largest provider of cell business worldwide so soft bank clearly having an interest in this stake in sprint.

but societe generale put out a report last friday. take a look at what's happened to sprint stock over the last year. they lowered their advising on this from a buy to a neutral last friday. now, sprint shares started to take off back on july 25th. today they are not really getting much of a bump after this announcement. a lot of this was priced in last week. as connell said a lot of people knew about this coming as of last week. in tokyo, soft bank has lost a fifth of its value. and the concern is at the end of the day according to to societe generale this company is going to have a net debt ratio to equity of 96% and investors are worried about this. sprint has a lot of debt. hasn't posted gains. posted losses over the last five years. soft bank taking on a big risk, believing that this stock was undervalued. the question is, can they turn sprint around? societe generale saying it is going to take longer than a year for them to do that. back to you guys. connell: adam, thank you very much. let's move on to some other headlines of the day. we have a cost of living increase for social security recipients it looks like, these

are preliminary figures but show the annual benefit boost will be between 1 and 2 percent, among the lowest since automatic adjustments were adopted in 1975. so the typical retiree can expect to raise between 12 and 24 dollars a month in january on average. the official numbers by the way are out tomorrow on this. and the impact of the midwest drought hitting restaurants. wholesale food costs up 8.1% this year. highest in more than 30 years. real proof of this if you look at these numbers. average price of a big mac $4.07. a year ago. today 4.33. olive garden unlimited pasta bowl 8.95 for five years but increased it to 9.95. buffalo wild wings raising menu prices 4% offset to some higher chicken wing costs. there's new research from the u.k. shows global warming

actually stopped 16 years ago according to this study which looked at over 3,000 measuring points on land and sea. noted no rise in global temperatures. from 1997 until now, still one study and critics say it is not nearly enough time to produce an accurate reading. dagen: energy independence is important to our country's future and the national security, that the candidates are running on it. the fix isn't easy. we have been talking about it since nixon. connell: what the candidates are promising in the swing states could be winning formula. some numbers on that and who has the edge right now. we will be getting into that coming up. oil is down almost 2%. from local communities to local businesses.

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you see us, at the start of the day. on the company phone list that's a few names longer. you see us bank on busier highway on once empty fields. everyday you see all the ways all of us at us bank are helping grow our economy. lending more so companies and communities can expand, grow stronger and get back to work. everyday you see all of us serving you, arnd tus bank.ry, around the corner. connell: if you watch them on the campaign trail, both candidates attempting to kind of hammer home the idea that

america becomes more energy independent and less reliant on the middle east for the energy. dagen: but a new study does show just how hard that could be. rich edson has that story for us. rich: you know, guys, politicians have talked a pretty good game on energy security since the 1970s, and a new report from the chamber of commerce says the u.s. is really no better off than it was during the iran hostage crisis. energy security is basically a country's energy use and then its access to that energy. on the u.s. chamber of commerce list, the united states ranks 7th behind mexico, the u.k., norway, new zealand, denmark, australia, and ahead of canada, germany and many others including china and russia. while the u.s. has plenty of challenges on energy use and supply, the energy information administration says there's a significant reason for optimism. natural gas. >> as energy use is reduced on a per capita basis, vulnerability

to shocks, i think, is reduced. this growth in shale gas and tight oil has made an unbelievable difference to energy security in the u.s. and this looks like a pattern that is set to continue. rich: the report says u.s. technology to secure and use natural gas coupled with energy efficiency could lead u.s. oil imports to drop significantly in the next decade. as for the candidates, romney says he wants to reverse obama administration policies on coal regulations, other energy regulations and increase drilling permits. president obama has pushed green energy and fuel standards saying one of the best ways to reduce oil imports is to use less of it. back to you. connell: rich edson in d.c. dagen: it is quarter past the hour, stocks now an every 15 minutes. hasbro down, big-time. nicole? nicole: big-time, this is a big toy story that we're looking at here, dagen and connell.

looking at hasbro which is weighing on the s&p 500. this on a downgrade from goldman sachs. putting it at a sell rating, and basically saying that the holiday season is upon us and the accelerating area which were the boys toys, that growth has decelerated. as a result, they have put a cautionary tone on the entire group. and so downgrading and cutting the price targets on both hasbro and mattel as well. let's take a look here at the dow, the nasdaq, and the s&p as we noted, the dow right now, it's up about 1/4 of 1%. the nasdaq is back in the green. we were noting we hadn't seen seven days of selli ining basic 11 months. euro zone, obviously that crisis was raging and before that back in 08, during the financial crisis. we will see if the nasdaq squeezes out a gain today. back to you. >> thanks. connell: looking at the battleground states we talk about all the time, on this map

we have highlighted them in yellow. some ferocious campaigning on the economy is going on in these states. in just a moment we will tell you which candidate is now starting to make some serious inroads. dagen: what those retail sales numbers mean for the economy, boosted by one thing. what is it, mcshane? this will interest you too, world currencies, how they are holding up against the dollar. connell: good transition, dagen. follow the wings.

>> coming up on 21 minutes past the hour i'm lauren green with your fox news minute. the u.s. supreme court will consider weather arizona can demand voters -- consider whether arizona can demand voters show proof of citizenship and not just id when registering for federal elections. goes back to 04 ballot initiative passed by voter designed to stop illegal immigrants from voting. measure being challenged by arizona residents and others. scotland has taken steps towards leaving the u.k. british prime minister david cameron and national scottish leader signed an agreement giving the scottish people a referendum asking whether they want to keep the 305 year union with england. cameron opposes the break up.

and how fast are the waiters and waitresses that serve you? hundreds of servers in argentina competed in a race. they are racing for the biggest tip of their lives. a $6,000 prize, cash too. and that's your fox news minute. i'm lauren green. back to connell. connell: all right lauren. presidential debate number two will be tomorrow night here in new york. if you look at the latest battleground state poll out from politico and george washington university, governor romney taking a slight lead in these key states over president obama. senior advisor to the romney campaign is joining us now. one state that stands out to you in the way it's moved since the first debate? >> well, i think you've seen key states like florida, virginia and ohio obviously three key critical states. i'm in virginia. i'm in the statehouse there. we've seen all of them move. what we have seen more importantly is sort of an enthusiasm level. i do a lot of retail politicking in virginia i was out door

knocking on saturday. out with the phone banks and talking the people who are doing that every day. we have been seeing a real surge of enthusiasm and people turning out getting their friends, having new people come to events. this week we have paul ryan who is going to be in virginia tomorrow and then mitt romney will be there on wednesday. of course you've seen them in ohio and florida also. i think you see the crowd size is increasing. you know, people really are getting the hope that we can turn this economy around, that mitt romney and paul ryan are the people to do it. they have a committed plan to do it. and people are really excited about we don't have to have this nee normal. things don't have to be this way. connell: going into a tomorrow night, there is a challenge though at the same time for governor romney, very little dispute he won the first debate, but you will see a different at least in tone i would assume president obama tomorrow night. is there anything that was learned from the vice presidential debate in terms of the strategy the president might take into tomorrow night?

>> well, you know, after the first debate, what i was thrilled about is people saw the mitt romney i first met ten years ago and that i have known for ten years and seen in action, you know, a real problem solver, someone who is really on task. the obama campaign will continue to attack. the american people have seen direct unfiltered view of romney and ryan and understand these are two very competent individuals who understand that we can turn the economy around, that, you know, you know, unemployment rates that we've had for four years now, and income going down 4500, gas prices doubling, we have got a plan to turn that around, and these are the gentlemen to do it. they believe in the american people and their ability to do it. connell: does governor romney have to make -- >> -- they will attack and do whatever they have to do, but fortunately our guys can stay on task and have the american people see them for the competent committed individuals

they are. connell: does governor romney have to make any adjustments given that the president will no doubt fire back more often? the obama supporters will tell you that he missed opportunities in the first debate, that he should have said xy or z and responded and said no governor romney that's not true. is the governor prepared to defend himself even though he's the challenger because the tables have kind of turned a little bit because of debate number one? >> he certainly is because he actually has a vision for the future and positive as opposed to this president, doesn't want to talk about his record for the past four years because it is abysmal. when you have lost $4500 on average income per family, when you have seen your gas prices double, when you have 401,000 women who lost their jobs, you know, this president doesn't want to talk about his record -- his record. he only wants to attack. i'm confident romney will not only talk about his vision for the future but he will talk about the failed record. when you look at the deficit,

obama said he would cut the deficit in half which would have meant 5 trillion, instead it is 16 trillion which is three time was he said he would do. when you are a failure by a factor of three times, you don't have a record to run on, that's why you have to go on the attack. so i think the american people will see through that. and laughing off the problem the way joe biden did, people were offended by that. i think women, you know, we've all seen that guy in the office who wants to, you know -- who ignores the problems, tries to talk over somebody and doesn't want to address the real issues, i don't think he helped their cause at all. connell: town hall, we will see how the format affects things tomorrow night. barbara from the romney side of things, thank you for joining us today. >> great to be with you. dagen: as we told you retirees will get little in next year's cost of living adjustment many social security, 56 million seniors -- living adjustment in social security, 56 million seniors and many of them vote.

douglas holtz-eakin will be here to tell us what this means for the election. connell: over the weekend, the super sonic skydive. this guy is crazy. everybody talking about it on the internet. big pay off for advertisers who were betting on this guy jumping from whatever it was, 24 miles up. dagen: is it wrong to say i really didn't care? connell: um, no. dagen: i just didn't. connell: even though it is sponsored by red bull, unlike you. let's look at some winners in the s&p 500 today. market is up and so are the stocks. never mind -- i was going to suggest -- no i'm not going to suggest that you jump from -- dagen: off a cliff. connell: no not that.

dagen: 56 million seniors, many of them voters have just found out how little they will get as a cost of living adjustment next year. this economy dependent on the consumer and who is spending money. just got a shot in the arm in today's retail sales numbers from one thing. we will tell you what it is. and that skydiver who made the record jump over the weekend, also scoring big-time for advertisers. it's the bottom of the hour. stocks now and every 15 minutes. nicole, looking at charles schwab. hey nicole. nicole: hi dagen. we are taking a close look at charles schwab. turns out profit was up 12% there for the quarter. we are taking a look at it right now. the stock is down 1/3 of 1% at $12.90 a share. stock up about 14% year to date but they did see their earnings for the quarter rise 12%. some asset management fees is what helped them along to make it through the quarter. as far as the dow, the nasdaq, and the s&p, i see all up arrows

across the board, the dow is up 37 points. back to you. dagen: thanks. breaking news right now, europe's markets are closing. ashley webster is here with all the news. ashley: encouraging data out of china and the u.s. giving european market as nice lift on this monday -- markets a nice lift on this monday, nothing gangbusters but on the plus side, ftse up and cac and dax are up. eu summit in brussels on friday. i will try and say it with a straight face, we may get more clarity on the bailout fund. then again we might not. specifically though when it will start lending money to spanish banks and more importantly if spain will finally give into pressure and request a full-blown bail out. over the weekend we heard reassuring comments on greece from germany's chancellor and finance minister as well as senior euro zone officials, all reaffirming greece in the euro zone.

meantime switzerland taking no chances. last month the swiss army held military exercises. they worry they may face some massive influx of european refugees in the event of economic meltdown with the possibility of riots along its borders. also have those multifunctional knives that include screwdrivers, nail clippers, corkscrews so they are pretty much prepared for everything. dagen: do they come with a toothpick too? ashley: they do. dagen: thank you. [laughter] connell: thank you guys. moving right along from that to the tough news from senior citizens, nothing to do with swiss army knives but does have a lot to do with social security benefits. expecting to increase 1 or 2%. smallest increases we have seen since 7 -- since 75.

douglas holtz-eakin is joining us what's the political impact do you think doug of this right before the election? you know, big voting block and not getting a very big increase in their check monthly, or is there an impact? >> well, the seniors have regularly come to expect an increase in their social security benefit. you step back and ask yourself why that would happen, it is because it's indexed to inflation, the fact we have very low inflation leads to very low increases in social security benefits, but to the extent that they look at that check or the check they will likely get in january and they are dissatisfied, they are likely to point to the incumbent and say gee this isn't any good, let's try the next guy. connell: not to get sidetracked a little bit, but you mentioned there no inflation and that's why we don't see the increase, i was thinking the conversation dagen had with peter schiff and that was about how voters do see inflation as a big concern. dagen was speculating that's probably mostly because of gas prices. it is kind of funny to see the two, the biggest concern voters have on the one hand is

inflation and the reason many of them won't be getting much money in their checks is because there's no inflation. >> last year seniors got 3.6% increase in their benefits. i don't think you can find any measure of broad inflation that went up 3.6% in recent years. they did very well last year. they will do less well this year. there's a big debate about whether things like the consumer price index accurately reflect the cost of living for seniors. they have much heavier weight on health goods and things like that. i think on balance they will do fine. if there's a political fallout, typically on the party in power. connell: it would fall on the president, be against the president. let me ask you then and kind of wrap it up this way, what's your assessment of where we are then many the economy -- where we are then in the economy, are we as some of the data in housing and other things suggest starting to turn the corner, retail sales which we will talk about in a few minutes, or are we starting to slow down again and another recession a possibility?

where are you in that debate? >> i think we're essentially going sideways. i think there's a bigger risk to the down side. i'm very concerned about the fact that the capital goods orders for non-defense outside of transportation have fallen sharply in the past three months. i think if you look at the sales data today, you will see some -- but it's concentrated in things like gasoline where it is eating up more of household budgets. i look at those two parts of the economy, i will see a real risk that's slower than 1 1/2 in the fourth quarter. connell: not a recession but very slow growth. >> absolutely. connell: thanks tr coming on. -- thanks for coming on. >> thank you. dagen: that insane jump from the earth's atmosphere over the weekend scoring big for both the skydivers and advertisers. connell: you may not have cared. dagen: i don't know why, i don't care. bring back chuck yeager. connell: this guy is going 800 miles-an-hour which is insane and he's 20 something miles

above the earth which is equally insane. you know what? he landed on his feet literally. better than expected retail else is which you just mentioned to doug, what it means to the economy. we have jeff flock in illinois. jeff? jeff: looking at your grocery orders, yes better than expected retail sales. i'm in a distribution center, passive facility -- massive facility outside chicago. you know it is not possible to go to a virtual supermarket on the l platform or train platform in the morning, how can you do that? stay tuned, and i will explain it to you. stay tuned. we have big dreams.

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and supporting wind and solar. though all energy development comes with some risk, we're committed to safely and responsibly producing natural gas. it's not a dream. america's natural gas... putting us in control of our energy future, now. >> hi everyone i have your fox business brief. shares of eli lilly are jumping after some positive results from its late stage study of gastric cancer treatment. the doug company say -- the drug when says it met end point of overall survival and showed prolonged survival. bank of america, merrill lynch raised lowe's to buy from neutral. the firm also raised its price target on both lowe's and larger rival home depot. and quarterly survey on economic, the national association for business economics predicts gdp will rise just 1.9% this year before hitting 3% by the end of 2013.

also see unemployment climbing back above 8% for the first half of next year. that's the latest from fox business network giving you the power to prosper. bob... oh, hey alex. just picking up some, brochures, posters copies of my acceptance speech. great! it's always good to have a backup plan, in case i get hit by a meteor. wow, your hair looks great. didn't realize they did photoshop here. hey, good call on those mugs.

can't let 'em s what you're drinking. you know, i'm glad we're both running a nice, clean race. no need to get nasty. here's your "honk if you had an affair with taylor" yard sign. looks good. [ male announcer ] fedex office. now save 50% on banners. connell: let's get to retail sales, better than expected gain that we saw in the month of september, the 1.1% gain. you put it together with good month we had in august, and those two the biggest gains going back to october of 2010. dagen: jeff flock is joining us live from illinois with one grocery retailer who is changing the way we shop. hey, jeff. jeff: big part of those retail sales numbers are groceries. and i will tell you, if you look at the grocery stocks, we are at by the way i told you peapod, a big distribution center. i have one of the founders of peapod here. you look at the grocery stocks, they haven't done so well other

than whole foods. other grocery stocks pretty sluggish. tom, why have you done so well? >> well, you know, we're actually really excited that our growth has been way beyond expectations. and we think mainly it's because the younger generation who is on mobile, who is on the internet, they know no other way to shop, and so that's just growing totally into our business. jeff: i want to take you to the very next incarnation of mobile shopping, and these billboards are now on train platforms around the country, and it enables you to do what? >> well, this lets you actually shop for products while you are at the train station. so for instance, i will -- this product here. jeff: you just bought it? >> there you go. jeff: it is like virtual store. >> absolutely. what's happened in our business is 25% of our orders now are touch by mobile which is just -- for us that's a year and a half, 25% of our business has shifted there. jeff: the times are changing,

guys. you don't go to the grocery store anymore, don't even bother with it. dagen: exactly jeff. thank you very much jeff flock. connell: we're going to talk more about retail sales with our next guest who was surprised by the numbers today who says he thinks now at this point we're on track for pretty solid finish to the year, strong holiday season and the whole works. he is joining us now. it is all iphone; right? >> it is not all iphone, but a big chunk of it was the iphone. even if you take out the iphone, the number was still strong. dagen: your talking points that you sent before the number came out, you were wrong. >> i know, i was wrong. i like to be wrong on that side of it when i'm going to be wrong. connell: i said he was surprised. come on here. [laughter] connell: this changes your mind for the forecast you will put out for the rest of the year and holidays, this one number? >> it doesn't. i was already more optimistic than most people about the back

end of the year. i think we will have a strong finish. yes i'm worried about going over fiscal cliff. if you look at more moderate retailers low end retailers i think they will do really well. we have employment up a little bit, maybe it is not great, but it is up. we have credit card debt down at historic lows. we don't have any problem with bad debt on the credit cards. we're going to see people spend for christmas at least in that moderate and lower segments. dagen: of the chains which ones will be the shining stars, do you think? >> i'm excited about wal-mart, they finally got their act together, even at all-time highs, they are doing things like they did back when they were great. they have solved their stock out problems. they have put all those skus back in the store they took out. they are doing a fabulous job. i'm also excited about american eagle because they have fixed all their problems. the fashion is great. and deflation in apparel. so they are down about 10% as far as input prices. dagen: which certainly helps. connell: what kind of shape is

technology retail in, i know we all get excited about the iphone, that had to do with a lot of the numbers, but the rest of the retailers, how does it look? >> the good news for apparel retailers other than the iphone there's no technology sales. i think we will probably still see pretty good accessory sales, things like that. connell: buy clothes not gadgets. dagen: i might get socks for christmas. >> you will get socks and sweaters, i'm sorry about that. dagen: appreciate that. what about other high end retailers, nordstrom's you like, macy's? >> they are best in class at what they do, but i'm really worried about the upper end because i'm concerned that consumers like you and i are going to go my taxes are going to be so high next year that i should quit spending and that the country really is going to go over the fiscal cliff, if that's true, that upper end retailer will get pretty nervous somewhere any time now. >> thanks.

>> be well. >> thank you. connell: nicole here, quarter till the hour, stocks now, every 15 minutes. looking at some of the performers today what are you looking at? nicole: i want to take a look at some retailers. retail index so the upside slightly. i looked at retailers, pretty much a mix. let's take a look at some key names we follow here on the heels of the retail sales numbers. i know you have been delving into it, but it climbed 1.1% in the month of september. that outpaced the estimates of 0.7% gain. also seeing third month in a row of gains. as we have been noting, apple certainly is something that contributed to that gain and traders here on wall street were the first to tell me that the minute i walked in the door this morning. target just turned to the green. macy's, saks, tjx and wal-mart all with up arroos. the nasdaq composite is now up almost 1/2%. so gaining some momentum there. and the s&p 500 and the dow all up about the same, up almost 1/2% for each of our major

averages right now at this time. back to you. dagen: thank you very much nicole. austrian skydiver felix baumgartner smashing world records yesterday as he plunged 24 miles from the earth's stratosphere. daredevil breaking the sound barrier. during 4 1/2 minute free-fall. hitting top speed of 833 miles-per-hour. the red bull mission was launched wide all over the world. many analysts predict red bull will pull in tens of millions of dollars from the event. and i just wanted to point out mr. chuck yeager, who broke the sound barrier on that very day yesterday, 65 years ago on sunday took a historic flight of his own. he's 89, and he flew in the backseat of an f-15 eagle and broke the sound barrier once again over the mojave desert

this california. connell: 89 years old, wow. that really is amazing. still going strong, very strong at 89. dagen: he is awesome. connell: coming up in a moment, ubs on the verge of slashing its workforce. dagen: and rogers taking responsibility and leading the pack in a big way last night. some winners. the packers were winners. if you are pulling for the texans, it was not good. there are your winners on the nasdaq today. [ male announcer ] this is steve. he loves risk. but whether he's climbing everest, scuba diving the great barrier reef with sharks, or jumping into the marke he goes with people he trusts, which is why he trades with a company that doesn't nickel and dime him with hidden fees. so he can worry about other things

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connell: quick stock alert for you on ubs, the swiss bank cut as many as 2000 jobs according

to a new report out. by swiss newspaper. the cutting would be in its -- [inaudible] -- department. part of earlier cost-cutting announcement that came out. earningg reported by the way october the 30th. there's the stock price today for ubs up by about 2%. dagen: on to sports and a big game for aaron rogers of the packers last night. rogers setting a career high and tied a franchise record with 6 touchdown passes. in a 42-24 route of the previously unbeaten houston texans. this performance comes after rogers last week took responsibility for his team's bad start to the season. of course patriots lost. detroit tigers jumping all over the new york yankees, jumping ugly in fact in the american league championship series, taking a 2-0 series lead after playing against the yankees yesterday. justin verlander pitching for

the tigers and he's said to be dating kate upton if you care. the undefeated florida gators making a surprise run up in the charts in the bcs bowl. florida opened the season undecided on starting quarterback, but he's proved himself worthy most recently in saturday's win over vandy. florida hosts south carolina on saturday afternoon in a pivotal sec east game. connell: who cares? dagen: who cares what? connell: we will have to have a meeting of sports that we do on the show. they are unduly interest on the staff and others. it is monday. we're talking about a game on saturday. you are throwing in stuff about patriots because our senior producer is a patriots fan. dagen: at least i threw in kate upton. unfortunately we didn't have a photo of her. connell: i know. dagen: use your imagination

gentlemen. connell: i'm sure that's not a problem. the trade now, sandra smith talking about earnings season? sandra: and the lsu tigers as a matter of fact. great game over the weekend, not really but we did win. here's what we're looking at here the s&p 500 over the past week, last week took its biggest weekly hit dating back for four months or so. this was coincidentally right before the big peak week of earnings that we're getting out this week. we obviously had citigroup this morning. maybe turning things around here. citigroup beating expectations. stocks soaring up 5%. before i get to some of the names that are reporting, here's what this week looks like and why they are calling it peak week, 12 dow components reporting. 79 s&p 500 companies reporting. and here's what we've seen so far. markets haven't been reacting to the fact that 59% of companies in the s&p 500 that have reported have beat estimates. 18% have been in line with estimates. and 24% have been below estimates. by the way, guys, that's just 34

s&p 500 companies that have reported so far. so so far so good. and not really that gloomy picture that so many analysts had painted for earnings. here's what we've got coming up. big tech names, ibm, intel reporting this week. consumer products company johnson & johnson will be reporting. and then more of those big financial names, like bank of america to look forward to as well as morgan stanley. and guys, we also have this week stocks like halliburton reporting. we're going to look at the energy environment. also ebay will be reporting. so some of those internet companies and lastly general electric. dagen and connell, we have so many companies reporting earnings this week. next hour we will preview a couple of them for you. gives you a sense of that peak week that we're talking about here. this could be that sort of make-or-break scenario as far as setting the overall tone. connell: thanks, sandra. dagen: do you want to know who won a car race?

connell: not even a passing interest in whh won the car race this week or any week. dagen: the national association of business economists predicting that congress will avoid the fiscal cliff, and that will help the economy grow at a faster rate. connell: cheryl and dennis coming up on markets now. look, if you have copd like me, you know ican be hard to breat. copd includes chronic bronchitis and emphysema. spiriva helps control my copd symptoms by keeping my airways open for 24 hours. plus, it reduces copflare-ups. spiriva is the only once-daily inhaled copd maintenance treatment that does both. spiriva handihaler tiotropiumbrr does not replace fasacting inhalers for sudden symptoms. tell your doctor if you have kidney problems, glaucoma, trouble urinating, or an enlarged prostate. these may worsenith spiriva. discuss all medicines you take, even eye drops. stop taking spiriva and seek immediate medical help

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dagen: mcshane wants to wrap this puppy up before i say or do something totally insane. connell: how would this day be any different any other than day? dennis and cheryl will take it from here. cheryl: we're going to pick up on the 11:00 a.m. markets now, a lot going on at noon eastern time told. right? dennis: that's right. i'm dennis kneale. cheryl: i'm cheryl casone. the fall off of fiscal cliff may not be as bad for the stock and bond markets as many come to believe. in fact we have someone with

specific plays that you can have now to get ready. dennis: we will ask a strategist if it is too late for president obama. cheryl: and sprint getting big bucks from japan's soft bank for 70% majority stake but we have an analyst ahead who says the company will still be a distant third to verizon and at&t. how you can handicap the deal coming up. dennis: top of the hour stocks every 15 minutes. nicole petallides at the floor of the new york stock exchange. nicole stocks in the green for a change. nicole: that's right. we are seeing the dow nasdaq and s&p all with up arrows. nasdaq composite the one we have been watching here to see whether or not it would be down for 7th straight day in which case we haven't seen that since last november, that was during the euro zone, the crisis we saw over there. prior to that, the last time we saw that was back in 08 during our financial crisis. we will see whether or not the nasdaq manages to hold on to some gains here today. the dow jones industrials up about 1/2%. and the s&p 500 also with an up arrow. we're keeping an eye on drug

stocks in particular, eli lilly. this is as they came out with findings on a trial drug they have been working on meeting the late stage goals that they have had for gastric cancer. it's coming out really nicely and just showing survival rates improving and now they may test it for other cancers as well. it is up 4 1/4% right now. back to you. cheryl: thank you very much nicole. the national association of business economists predicting that congress will avoid the fiscal cliff, and that the economy will continue to grow at slightly faster rate in 2013 with gdp rising by 2.4% next year. chief investment officer hank smith is joining me now. do you agree with the nab on all the key points here but still 2% plus gdp next year that does not make much of a recovery? >> well, no, but you have to remember, i mean the biggest macro headwind is that we're still deleveraging and that

process still has three to four more years to play out. the good news it's becoming less of a headwind each year. and with respect to the fiscal cliff, i mean, this has been in the news, and it's getting more and more intensity and frequency of coverage, and we agree with that the most logical conclusion here is that the lame duck congress votes to extend all current tax rates, suspend the spending sequestration and let the new congress and the white house work on comprehensive tax reform in the first half of the new year. cheryl: you also say that even if mitt romney were to win, many analysts say that would be a market rally, you say not so fast. you don't think a romney win would actually do anything for the markets, why? >> well, i think between now and year end, what we expect fairly choppy markets. we've already had a nice move from june 1 in anticipation of

that qe 3 or qe forever, and now there's so much expectation that if romney wins, the markets shoot up, i think quite often in these situations, the market confounds the consensus thinking, and we would expect intense focus on the fiscal cliff and the uncertainty from the election to year end, and until that gets resolved, the markets stay choppy. cheryl: what you're telling us to do right now, to get ready for all of this even though you say the lame duck congress will fix their issues is to get defensive with sectors. you say a defensive play is healthcare that sector as well as consumer staples. why do you like these two groups? >> exactly, these are the two areas that are classic defensive areas. in other words, their earnings can hold up in a below average economy. they can even hold up in some cases in a recessionary

environment. and so we like that. there's also some great dividend payment in that sector. and we continue to think going forward the dividend theme will be a theme that resonates in this low interest rate world. but also you can't ignore some of the more cyclical sectors as well. you can't go completely defensive because if we're right on the fiscal cliff being then all gdp estimates in 2013 get raised. cheryl: something doesn't quite line up to me with your thesis here. the healthcare i understand. certainly obama care is here to stay for the most part, but the consumer staples group, i mean that's a basic -- that's a direct tie to consumer spending. although we have some nice retail sales today, overall the consumer is -- nabe says that unemployment will go higher next year, not get much lower at least until the second half of 2013, which is horrible, so why would a consumer staples sector be a defensive play for me?

>> well, i think the easiest thing and the easiest mistake to have made over the years is to underestimate the u.s. consumer. we have a genetic program that says spend, spend, spend. and so look, you can see it in the retail sales as you pointed out. and the consumer, they're not worried so much about the fiscal cliff. it is really small business that's worried about the fiscal cliff. so we do think that in that area, it does offer some good protection. cheryl: okay, well you know only up about 1% the last few months, that particular group, we will see if it comes back around. hank smith, thank you. >> good to be with you. dennis: presidential debate round two is tomorrow night and polls are showing a dead heat, the real clear politics average has both candidates tied at 47.3%. mary ann marsh democratic strategist is joining us now.

we appreciate you being here. tell us something, after obama's performance in the first debate, he really can't afford to lose this one, can he? >> he can't. he has to really have some pep in his step tomorrow night, and believe me, i expect he will do just that. dennis: now his spokesman saying expect a more aggressive president obama. and yet his cool and his calm has been an asset in the past. we kind of like that in command. does he risk going too aggressive a la joe biden? >> barack obama is not joe biden. it is not a mutually exclusive exercise. obama has to hold romney accountable for every position he has taken on every issue because romney has just done that. if obama does that, he wins the debate and probably on his way to reelection. ultimately every election for president is about trust. if obama can do to biden -- i'm sorry, if obama can do to romney what biden did to ryan and question him on a range of issues, everything from

afghanistan, abortion, the 5 trillion dollars tax cuts, stimulus, the auto bailout and get him to either contradict himself or take a position that is out of the mainstream, out of step with voters, they are not going to trust romney enough to vote for him. that's the goal. dennis: i believe the obama campaign came out and said the 5 trillion dollars romney tax plan actually only works out to a trillion dollars, but fine. you say that the election is about trust. every presidential election is about trust. is it more important that obama makes us trust him, or is it more important that obama in this debate makes us mistrust romney? >> you have to do both, and obama walks in with the advantage because he is better liked. that is one of the strategic advantages he had in 08 and he continues to have in 2012. voters -- if voters don't like you, they are certainly not going to trust you. people still like barack obama a great deal. so he's his own best messenger. so he has to double down tomorrow night, point out where romney has contradicted himself

and taken other issues and then turn around and say just like i promised to cut taxes on the middle class, i did. just like i promised to end two wars, i did. i promised to get bin laden and did. that's why the next four years you can trust me to finish putting everyone back to work to finish these wars, etc., etc. dennis: he also promised so many things he didn't do. promised unemployment would be under 6%. what does romney need to do to hammer home those broken promises? >> he will do just that. i think this is where obama has to say you know what? you can't do this alone. i have tried to get the republicans to cooperate with me, they have not. everything i could do on my own by executive orders i have done. now what obama has to also then turn to romney and say you know what? you talk a great game, but you did none of those things when you were ceo at bain and you did none of those things when you were governor of massachusetts -- dennis: his job at ceo bain was to return wealth to shareholders and he did that rather well. thank you very much for being with us. >> he can make money, but he

can't make jobs. thanks. dennis: it is not his job to make jobs. it was his job to make money when he was running bain. thanks a lot. take care. cheryl: fallout from the drought is going to hit you from where it hurts. your big mac is more expensive, how much more it is costing you because of the drought. dennis: despite the economic doom and gloom, retail sales up in a third month in a row in september. we will talk about that. but first as we do every day at this time, let's take a look at oil.

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cheryl: the impact of the midwest drought hitting restaurants. wholesale food costs up over 8% this year. that's the highest jump in more than 30 years. and here is some real proof for you, the average price of a big mac was $4.07 a year ago. it is $4.33 today. that's jumped 6%. olive garden unlimited pasta bowl had been 8.95 for five years. increased that to 9.95. buffalo wild wings is raising menu prices 4% to offset higher chicken wing costs. and dennis, all of this is not a really big surprise obviously because it is corn that feeds the animals and then beef chicken pork all that stuff all

those prices are going up. now we're really feeling wit our -- feeling it with our big macs. dennis: you see two pizzas for 10 bucks and all the wings you could eat for cheap prices. wholesale inflation take as long time before it finally trickles down to retail and goes up barely, but when you see this price, i wonder if there's more demand. cheryl: it also hurts those who depend on mcdonald's and burger king to feed their families, it is going to hurt that as well. dennis: you would think they would find a way to stop and resist increases. maybe it is a good reverse sign for the economy. speaking of food prices, pigs are flying higher. phil flynn at futures group and fox business contributor is going to explain at the cme. >> dennis, maybe we should start worrying about the mcrib because the most consistent market in the commodity market has been the hog market.

gone up 9 cents a pound. just since september. unlike what we've seen in the grain markets and the cattle markets, this market hasn't broke. a lot of things at play here. what we saw in the cattle market when they got rid of their herd, it increased the demand for pork. pork is replacement for cattle. but the hog farmers are having some of the same problems that the cattle farmers have. they are going to have to reduce their herd. at the same time, the drought here in the u.s. in russia and south america has also impacted the supply of hogs. so we're going to see big hog exports in the coming months. now, the break in corn prices that we saw today is actually impacting the hog market in the deferred contract. so that's good news. but isn't going to help me if i want to get a big mac and a mcrib to go today. i think those prices are going to stay high in the short-term. cheryl: phil flynn up at the cme. phil thank you. 15 past the hour, stocks every 15 minutes.

nicole, possible amazon deal? nicole: that's right. i'm taking a look at amazon and also texas instruments. we have been reporting on this since early this morning. texas instruments, chips are actually used in amazon kindle and the kindle fire and they have had their eye on texas instruments and now turns out amazon is in advance talks to buy texas instruments. so we are seeing part of their chips -- so we're watching that, their chip arm we should be more specific. there's a look at texas instruments up 2 3/4%. amazon is down 1/3 of 1%. let's take a look here at the broader market averages, gaining some momentum here, moving back towards earlier highs of the day the dow, s&p up about 1/2%. the nasdaq composite up about 1/4 of 1%. back to you. dennis: i want to re-emphasize that, what a stunning development that would be, texas instruments, one of the most -- [inaudible] -- tech microchip company in the history, in talks

to be acquired by amazon. the thought that amazon would venture to buy that is a stunning development, shows you how serious they are about the kindle fire and the hardware which amazon is willing to lose money on because it gives you clipboard through which you can order other stuff on amazon. that would be a stunning move. cheryl: nicole thank you very much. we will see you in 14 minutes. dennis: all this down talk of the economy, retail sales up third monthhin a row. how you can profit from it coming ahead. cheryl: this may bring new meaning to fast-food. we had the play-by-play of waiters race in argentina. first though as we go to break, take a look at the world currencies how they are faring against the u.s. dollar, a little bit of a dip in the euro today. ♪

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>> at 21 minutes past the hour i'm lauren green with your fox news minute. the european union has agreed to impose new sanctions against iran. the 27 member block will target iran's banking shipping and industrial sectors. and the growing concerns of tehran's nuclear program. the penalties place a ban on financial transactions with iran with exceptions to humanitarian aid. the captain of the costa concord yaw will appear in pretrial

hearings this week. he arrived in italy today where he will face survivors of the disaster for the first time. he faces multiple counts of manslaughter. the cruise ship accident claimed 32 lives. and it turns out the giant eyeball found on a south florida beach last week came from a swordfish. its discovery stumped scientists. florida's fish and wildlife commission says the eyeball's characteristics helped identify it. plus the fact that swordfish are found in that region of the state this time of year. and that's your fox news minute. i'm lauren green. back to cheryl. cheryl: that image is going to be in my mind for quite a while lauren. thank you very much. >> stick with you. cheryl: all right, lauren green. as consumer confidence grows, so do retail sales. up for the third month in a row. and beating estimates for the month of september. our next guest covers discount and off price retail, he says -- you say basically you're surprised these numbers came in so strong. so what are you seeing? you're face-to-face with the

stores. what are you seeing, patrick? >> yeah, cheryl, i was a little bit surprised because the numbers came out from a number of retailers, the actual numbers for september about a week and a half ago. i have six companies that report monthly sales including target and kohl's and tjx and ross stores, and the numbers were a little weaker than august. so august was a good month. we had a very strong back to school season. but business did appear to slow across much of retail in september. so i was surprised to see a pick up from august into september in the government's numbers. cheryl: okay. one thing i do want to mention here is you were actually just on the ground with wal-mart at that big analyst meeting. you also do cover target. they are both coming out with earnings november 15th. i want to get your thoughts there. >> wal-mart held its annual investor event. it's a two-day event last week

at corporate headquarters, in arkansas near corporate headquarters. it was pretty upbeat. a lot more upbeat than a year ago. and the tone, anyway, suggested a continued positive same-store sales trend at wal-mart u.s. which is the core business. and the body language around the holiday season was pretty upbeat and the body language around the current trend was upbeat and whatnot. so i then went on to virginia to visit what dollar tree. they also had an investor event. that was a little bit more down beat. dollar tree has seen, you know, a slowdown in its sales versus the past few quarters. so it's a little bit mixed out there. i think the consumer environment is -- it's choppy. and there's a lot of anxiety about the election. and consumers are facing very high gas prices right now as well. so that's an issue too. cheryl: target, that stock is up 16% over the last year. wal-mart is up 36% over the last year. all of these stocks that you cover, we're going to be watching for your commentary obviously as the earnings numbers come out. it will be a very interesting

quarter. patrick, thank you. >> thank you, cheryl. dennis: an on-line grocery rolling out with a new service that could revolutionize the shopping industry. we've got jeff flock joining us live from lake zurich illinois with more. jeff? jeff: dennis, in the massive peapod distribution center here outside chicago, and i will tell you, you look at those retail numbers, positive in the foods, although if you look at the, you know, the food -- the grocery stocks have been weak. but peapod has been booming, one of the reasons is technology. >> absolutely. it is not just the technology. it's the people, the younger generation that is using the technology. jeff: here's the latest technology. tom parkinson, a good friend of ours, chicago companies that have been founded in chicago, we love those companies. this is the latest technology. this is a virtual grocery store that you're now putting on train platforms for computers? >> that's right. we're bringing the actual store to you, when you're very very busy and on the move. peapod anywhere any time.

jeff: show me how it works through your smart phone. >> all you have to do is go to upc code, scan it. jeff: just bought that. >> that brings up the product here. jeff: i'm in a grocery store hitting those and scanning those. >> that's right. what's amazing is it's building the awareness of mobile and so 25% of our orders now are touch by mobile. jeff: interesting. you started this business founded it delivering the groceries yourself in your own car. >> absolutely. i picked the groceries and then delivered them in my honda civic. jeff: what i love about this company, dennis, some guys who found a company will sell it and then just go on a beach somewhere. you've stayed with the company even though now you sold it to a dutch company. >> right, but my brother andrew and i are still running the company. still very very passionate. this is personal. we want to win. jeff: anybody who meets you knows how passionate you are. tom parkinson one of the co

founders of peapod and now dennis on your way home if you're not taking a limo, you just do it on the train platform. dennis: all right, thank you very much jeff flock. cheryl: well it could be the smallest cost of living increase in a very long time for people getting social security. we're going to tell you why. dennis: and sprint getting big bucks from a japanese bidder but we have an analyst who says sprint will still be a distant third to verizon and at&t. first let's take a look at some of s&p's winners and losers.

cheryl: it is 30 past the hour, stocks every 15 minutes. nicole, you're watching the big winners today. nicole: look at a group accelerating to the upside. we arwe're seeing the banking ix improving somewhat. take a look at citigroup. revenue really something that it'll are keying in on. 4.7% now for citigroup, 36.36 or share. up $1.61. the dow jones industrials at their best levels of the day up 82 points right now, the tech heavy nasdaq up 13 points, we will see whether or not they will have seven straight days of selling for that particular index which would be monumental because we have not seen that since last november. staffing the losing streak. the s&p up more than half a percent. back to you.

dennis: thank you, nicole. sprint could be a bigger player against verizon and at&t as they reach $20 billion deal for 70% stake in the third-largest u.s. mobile provider. joining us now, willpower. you know what, what is so surprising about this deal is only $20 billion they're spending, only 12 billion is going to shareholders, $8 billion going to the company. i've not seen that happen very often. >> this is a fairly unusual structure. on the positive front what this does for sprint is bolsters the balance sheet. we had been in an underperformance rating as one of the long-term issues but it leaves something for the bulls and bears here. those very bullish on the stock with more equity upside.

dennis: more equity upside. seems the eight alien dollars. the money they paid for the sure imac shares, does this effect is a common shareholder? >> at some level, probably. it is a better positioning for sprint longer-term and overturn imac over time that would improve it. dennis: do you see it easier for acquisitions? metro pcs with t-mobile, sprint rumored to be instead in t-mobile. they would buy clearwater which is already on the big ticket. >> are so questionable provide a greater financial flex ability. first and foremost you have to sure up their position and are looking for different options. clear where to be one of those. that is something they will continue to evaluate. they still have to address down the road i think it gives them more financial power as we look

forward. dennis: you value the deal at $7.36 per share. in your target price on sprint has been up for dollars, is that right? >> that is something we will have to continue to address and target prices on a regular basis. one of the complexities is for 55% of the shares that are out there, they will get $7.30 per share. what is the other 45% worth and what kind of a value do you put on that, which effectively owning 30% in the new entity with no control. we will continue to evaluate that piece of it. dennis: this is a market not just keep consolidating because sprint has two incompatible systems as t-mobile will be a third.

whereas at&t, t-mobile would be seamless. >> that is right, that is one of the complexities sprint faces down the road. this provides sprint better capability from a substantial capability, but they have the technological complexity to overcome. dennis: was a better option, t-mobile or metro pcs? >> longer-term, consolidate the market and move forward, taking four and down to three. we are a technological perspective. dennis: willpower, thank you for being with us, appreciate it. >> thank you for having me, dennis. cheryl: it is time for your west coast minutes. university of california professor at stanford winning the nobel prize of matchmaking. winning the $1.2 million award

for their work and what happens when doctors team up with hospitals, students match up with schools and organ donors are matched with transplant recipients. taping of nbc's really show "fashion stars" stopped over a union dispute. they said the contract dispute with the production company was motivation for it. "fashion stars" a nonunion show but many union workers have been working on it. no comment from nbc. a bad joke cause the terminal in atlanta to be evacuated sunday. checking in for his flight in a statement of having a bomb in a bag, the airline tsa and airport police station for evacuation forcing passengers outside during a snowstorm of all things. the man was arrested charged with making terrorist threats and disorderly conduct and that is your "west coast minute." dennis: puny cost of living

raise. annual benefit boost will be between only one and 2%. among the lowest since automatic adjustments were adopted. just enough to pay for the early bird special. besides the increase will be made official tomorrow an the government releases inflation figures or september. cheryl: but social security still exist at this point. maybe they're getting a little less, but you look at our generation, most of us do not think we will have it at all because of washington. dennis: social security paid out more in benefits than it took in. it used to be 16:1. cheryl: i always say social security is the golden goose because this is not the vote.

do you think it will be spared down the road? dennis: you think in 10 years from now, it is going to go down. cheryl: switzerland is taking no chances. the swiss army staging drills just in case rioting breaks out. due to european economic problems. dennis: and small business, big ideas. without a president about 34-year-old restaurant chain making changes to stay competitive. how your small business can profit from it ahead. and we look at the 10-year treasuries.

i touched the ball beforit went out, coach. come on, alex, the ref did not call that! i touched, it's their ball. team! alex. alex, good call. >> i am lauren simonetti with your fox business brief. stocks getting a boost following a better-than-expected boost on retail sales last month. strong quarterly results from citigroup pushing the market higher. another chinese social media company looking to land on wall street. in a filing with the securities and exchange commission, planning to offer $100 million worth of shares in the initial public offering. offering online activities and makes money through value services and online advertising. the company plans to trade on the nasdaq under the ticker

symbol yy. americans have one the nobel prize in economics. being priced in how to match different agencies. they will split the prize. that is the latest from the fox business network giving you the power to prosper. ] this is joe wds' first day of work. and his new boss told him twongs -- cook what you love, and save your money. joe doesn't know it yet, but he'll wk his way up from busser to waiter to chef before opening a restaurant specializing in fish and me from the great northwest. he'll start investing early, he'll find some good people to help guide him, nd he'll set money aside from his first day of work to his last, which isn't rocket science. it's just common sense. from td ameritrade.

cheryl: european markets closing higher today. ashley webster here with more details. ashley, what are you looking at today question marks because the market was higher today due to the decent numbers of china and hopes of the problems increase will hopefully temporarily be solved. and spain could have an approved bail out next month to combine with the revamped greek bailout and the bailout pushing all three bailouts at the same time could be a possibility. keep an eye out for that.

428th summit this thursday and friday in brussels. that alone enough to give the market a little push as well. cheryl: we have to talk about the swiss. they're about to have a little action. >> all have in this contingencies on the military exercises. an economic meltdown in the eu is not that far-fetched. concerned there will be a lot of refugees coming in to the swiss territory and on the borders they're going under the scenario that could be general unrest, they feel they should be ready. just preparing for the chances it all goes to heck in a handbasket for some reason everybody wants to go to switzerland. that is true. cheryl: to look at the map of europe, it is easy for people,

the french, take a look. i'm going to tax you and cut the spending, french companies are actually leaving france..3 to go to other countries. speaker they cannot hire any decent ceos anymore. that is low enough in the face right now. this is actually it. cheryl: this is why don't tax people at 75% of earnings because they ditch your country. what is coming up? >> coming up we will talk about china and what is going on, is it in an economic malaise, jeremy hill will talk about what is going on in spain, not only budget problems but breakaway regions within spain that say we don't need to follow this anymore. that could head toward the unrest.

cheryl: thank you, ashley. dennis: coming up, a quarter till, stocks every 15 minutes, nicole the dow up almost 100 looking at "usa today" parents. >> the parent of "usa today" newspaper, have newspapers and all the television broadcasting and it turns out the newspaper business as we've noted has been a tough one and continues to be so. you can see gannett down 1.5% after revenue on the publishing side for them fell 6.6%. we have seen that your ocean continuing for print advertising. the one area they did well with the television station business where they saw politicaa advertising moving higher. the big picture is another tough quarter for the newspaper business and print advertising. the dow jones industrial average

up 97 and a half points right now as we speak and the s&p 500 up three quarters of 1%. back to you. dennis: thank you, nicole. over 34 years old and undergoing a facelift to create a midlife crisis, to treat one. joining us now for small business, big ideas. why the change in work and other small businesses learn from it? >> first, dennis, everybody has to reinvent themselves. 34-year-old mexico train owned by bob evans. we call it our french revolution reimaging program designed to take us back to our roots essentially we are a french inspired concepts. trying to become more prevalent, more contemporary for the way the guests want to dine today. people want more of an adventure, don't just want a

meal. gourmet coffee, expanded carryout and action retreated a store within a store concept. they can eat the way they want to eat today. also on the go. dennis: sitdown restaurant, fast food as well. are you doing this because people are going to restaurants to eat more or because they're going to restaurants to eat less? >> we all know what the economy is doing and people are either cutting back on dining, going to their places less often, they will always find time to go to their favorites. our idea at mimi is to create a bakery café and the stroke creating more and different ways for our guests to find what they love at mimi's. dennis: do yo you ever want to a little spinoff and do some café bistro without the sitdown mimi's and let them stand on their own?

>> that is a great concept we are looking into this notion of creating a restaurant portfolio we have full services such down with our mimi's café and bistro ain some point in the future we can look at bakery café. it is the fastest moving segment in sales and growth. with our world-famous mimi's muffins, it is a natural extension to move in that direction. dennis: it is because we love carbs. good luck with the redesign. >> thank you, dennis. appreciate it. cheryl: how fast are the waiters or waitresses that serve you? do you ever wonder about that or just get annoyed at the restaurant? hundreds of servers from argentina's top restaurants competed in the annual race. the waiters with trays loaded with drinks looking for the biggest tip of their life, $6000 cash prize. that is a very nice, healthy

tip. dennis: and as if there weren't enough players in the field for microsoft trying agaii to get into the music business but are they already off key? cheryl: wants to take a look at some of the winners on the nasdaq. a few names moving. fossil, monster and even when resorts moving up. we will be back.

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dennis: microsoft mounting a major music attack on apple's itunes and spot if i service. the xbox music service will pipe 30 million songs free to your xbox windows laptop. you only have to listen to add every 15 minutes. for $10 per month you can get all that streaming and avoid the ads altogether. this is under the far more successful xbox umbrella. what it really looks like some folks is microsoft is an apple want to be. cheryl: this is one thing that i don't think they will have much success, unfortunately. apple claims everybody's clocks with itunes di. speaking of microsoft and apple, third-quarter earnings overall will get into full swing with

the first peak of the season. sandra smith with "the trade." sandra: you may want to turn to the financials. jpmorgan, wells fargo shares took a hit last week but still reported record profits and this morning we got citigroup earnings leading to a bright spot in the financial sector. citigroup shares up more than 4% of course of the stock making a major comeback reported better than expected earnings. which might not realize is this earnings season gloomy is a report from analyst so far. so far companies are beating expectations in financial companies, the financial sector is expected to report 4.5% increase in profits while the overall s&p 500 expected to drop for the first time in 11 quarters. here is what is coming up, goldman sachs reporting tomorrow, up in anticipation of that. obviously moving along with the

other financials. it is up about 3% today. this stock up 37% so far this year, a huge winner. revenues expected to double, earning supposed to be $2.12, which is a loss in the same quarter last year. saying goldman will be the biggest surprise, and bank of america comes out on wednesday, up 68% so far this year. however, they are expected to report a loss of $0.06 after earning $0.56 in the last year, goldman is looking like the bright spot in the group for this week. dennis: golden is back, baby. sandra: i don't know. cheryl: thanks, sandra. should the debate over global warming have cooled off years ago? global warming actually stopped 16 years ago. over 3000 points on land and

sea, it is no discernible rise in global temperature from 1997 until now. this is just one study. critics say this not nearly enough time for an accurate reading but this brings up the great debate about how much money we're spending on green energy initiatives as a country. dennis: there is an inconvenient truth, temperatures haven't risen in over a decade? let's not forget earlier this year we had a plunge of 19 and two levels of carbon emissions because utilities switched over to cheaper natural gas and the greenies more money in contribution and grants when they scare us. and the cyber threat to america's banks and your money. government officials pointing the finger at iran. cheryl: melissa francis and lori rothman continue our coverage on "markets now."

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