we don't get it under control we will be joined by greg brown who was one of them. the deficit manifesto they call the letter and joins us exclusively in moments as pressure mounts on congress. melissa: could be an industry be the solution to american joblessness. we have american petroleum institute ceo jack girard joining us on a surprising impact unconventional oil and gas production has had on the american economy. lori: a double whammy of exclusive interviews at the top of the show. don't go anywhere. look at that monster. hurricane sandy and exploding in strength overnight. the northeast on guard for what is turning out to be the perfect storm. we have the latest on the storm's have just had. melissa: let's head to the floor of the stock exchange. nicole petallides is standing by. nicole: we had a little back and forth movement. to the downside short time ago and back in the green for the

dow jones industrials. we haven't been there for some time over the last couple hours. interesting to see us getting a little pop here the dollar strong ran the vix tire and durable-goods orders rebounded into september and looks better than august and initial jobless claims fell below expectation. we are looking at the dow up almost ten points gaining 0.1%. proctor and gamble is the best performer on the dow, one of the names helping the dow along. they came out with their numbers. the profit for the first order rose more than expected. shareholder, talking about cutting costs to get things rolling and restore growth and that is what they are doing, stock hitting a multi-year i. >> 80 of the country's top executives are urging congress to reduce our deficit. three key points to get our nation's debt in check,

reforming medicare and medicaid, strengthening social security and initiating pro-growth tax reform. here with more is exclusively on the fox business network greg brown, chairman and ceo of motorola solutions. thank you so much for your time this afternoon. one of the key problems, your plan, let me point out, hopefully we have your connection, one of the key problems is your problem is based on a plan that aims to cut $4 trillion off of the deficit but you have congressional gridlock. how do you overcome that? >> at the end of the day let's get past the election. both candidates have a distant point of view on this but once we get past the election of the reason all of the ceos unified around this issue is we are out of time. there's no messing around this issue.

it will take a compromise and common ground and the balance between tax revenue and spending reductions and a lot of people know that so once we get the election behind us and eliminate the rhetoric and political calculus in time to get down to doing business and getting a deal done. tracy: 80 c e ls, the you have more clout than an average voter to get this issue managed? >> it is the question of having a business be very unified and precise on what needs to be done. so many issues, so many committees and councils. this one is very specific and irrefutable that with $16 trillion of debt and adding $3 billion of debt a day the time for action is now. we had the theatrics of a year ago with the debt ceiling and with both parties kind of in transition returning to their corners we can't allow that to happen.

lori: let me ask about specifics, calling for pro-growth tax reform. i suggesting a tax hike, increasing tax rates? can you be more specific? >> it is comprehensive tax reform and for the business community let's start with the fact that the u.s. has a highest corporate tax rate in the world and we have an arcane system that needs to migrate to a territorial tax system. more specifically that would involve lowering the corporate rate, broadening the base, having it be revenue neutral, eliminating the loopholes and moving to a territorial tax system because at the end of the day the tax system has to make u.s. businesses more competitive globally. i might add that this tax reform and move to territorial is supported by the president's council on jobs and competitiveness led by jeff immelt and supported by the export council, the president's export council led by paul

volcker who had the advisory board in 2010 also believe in this and so does simpson-bowles so it has a lot of bipartisan support and it is time to move in that direction. lori: one thing that stuck out to me is the growing debt poses a serious threat to u.s. security. do you think that threat is imminent? >> i completely agree. unless you take care of business at home it limits our ability to be influential abroad and makes us more vulnerable. the former joint chiefs of staff admiral mullen said that as well. the growing debt is the number one issue of national security. we have to know our own line and get the fiscal house in order for investment, job creation, expansion, gdp growth, that will secure, take care of many things. lori: who is the best presidents to lead us out of this debt and

deficit crisis? >> not to be evasive but it is less about the president as much as it is which president will be the best leader on judgment, leadership and collaboration? he won't do alone. he has to work with congress and the american people have to be the judge of that but he has to have leadership and collaboration and impact and sense of urgency. lori: thank you. have a good one. melissa: crew is finding the same positive territory trying to snap five days of decline. jeff flock in the pits of the cme with the latest and how is the trade? jeff: looks like six cents to the positive but all the pressures are to the downside for it to continue. i will ask this man right here hal low it can go but i want to show you what traders are looking at. increased production around the world.

take a look at where, places like the ural mountain region in russia's supposed to be a -- got mike warren and oil confused. in iraq they say another 100 barrels per day, per month increase in the next year. iran also with a lot more production coming out of there but what does that mean for price? >> will be difficult to come up with a specific downside price but the 78 to 82 seems to be the downside range. the big issue is the last department of energy bill, 5.9 million barrels with the u.s. funding of six million day. we are hit with an abundant supply. >> production is bare. good news and probably good news for gas prices down a road a little bit. melissa: thanks so much. a new study claiming the zynga they-fracking industry will bring in $100 billion in annual revenue for the government by

the end of the decade. sounds great but how do we ensure this happens? joining me with some answers is jack girard, ceo and president of the american petroleum institute. all this is based out a study out of the national reports saying unconventional activity, fracking and the like contributes 1.8 million jobs today. could be three million jobs by the end of the decade. why is a study like this necessary? makes me feel like the industry needs to be defensive about what they are doing and show the positive aspects of fracking. >> what is going on around the country particularly in the united states and places like north dakota is we have seen record oil and natural gas production. when you look at this study does back a few years and talks about the great progress we have made today but also project what will happen with business as usual.

as you pointed out we create another 726,000 jobs in the next three years, increased by billions. and contribute $2.5 trillion to the federal government as a result of this economic activity. great news across the board, and we can do more to make us more energy secure, generate revenue and well paying jobs. >> the industry feels defensive they have to quantify, and assault coming from the epa. >> we are not defensive at all. we believe the more the american people engage in the energy discussion and energy dialogue the more informed they will be and the more supportive they are what we are talking about. one we find in the last we 10

months, running a vote for energy campaign. is not about a political party or political candidates but to focus the attention of the american people on the game changing opportunity with the oil and gas industry. when the public focuses and says this is great, good paying jobs, lots of revenue they come in strong support. congress is a lagging indicator. congress will move to develop the right call to restrain excess of regulation when they understand the people demand it and right now over 70% of the american people say we want more oil and gas development in this country because it affects us as consumers and americans. melissa: there are a lot of jobs provided but you ran into the environment -- all of the fracking going on across the country and producing natural gas. we have seen activity dropped off because the price has fallen

so low. is that one of the dangers? >> the price will find equilibrium, it will eventually settle out. it is important to not forget. as you go through the cycle to produce vast resources no one was talking about five years ago already producing great benefits to consumers. the average of $500 million a day in reduce costs to consumers and bringing new jobs back. melissa: thanks for joining us. lori: initial jobless claims and another drop in that statistic. music to the market's years but california singing a different tune. melissa: the perfect storm, the east is hunkering down for what could be a very serious storm. we will bring you the latest.

we will also show you medals as we head to break. we at talking about oil and energy. we will see what metals are doing. gold and silver higher but copper trading down by 1/2%. we will be right back.

lori: as we do every 15 minutes let's check the markets. nicole petallides on the floor of the stock exchange. you have your eye on big movers. nicole: look at someestocks that are on the move.

let's start out with zynga. a big winner and big loser. zynga is up 14%. people didn't anticipate too much from zynga. everybody knows the popular game farmville but they saw surging results and announced a share buyback program. good day for zynga panelists think they have and challenging environment. their output is disappointing, coming and with quarterly numbers. stock is down 20%, a new 52 week low and this is a stock that is soaring in 2007 but back today. melissa: initial jobless claims report indicates 369,000 people filed for first-time benefits last week. is this an indication how challenging the recovery is? peter barnes has more on this. peter: that number came in as

expected but it shows the labor markets continued to struggle. will be a grind out to get the unemployment rate down but we did see this week without this volatility that has been kicking up some dust in the last month or so. claims were down sharply last week after ups and downs and those ups and downs were coming out of california which denied any problems in processing its claims but these numbers are sensitive to this election year. we have seen a big decline in these jobless numbers came before one of the presidential debates and the monthly report shows the drop on the unemployment rate and folks watching these closely. melissa: the missing claims from california, what was the deal with that? >> they finally showed up in today's report.

jobless claims popped 27,000 in the weekend on october 15th because of layoffs in service sectors, california officials say for its system before the start of the quarter and this year started the new quarter on october 7th, not on october 1st. labor department says the state is doing nothing wrong has discretion in all of this. melissa: thank you so much. lori: hurricane said the building to a category 2 storm over night pummelling jamaica and cuba with winds at 140 miles an hour. the east coast is gearing up for what they're calling the perfect storm. the latest on sandy's have just had. melissa: steve palmer as the company launches windows 8. we head to break, and stronger than the euro and weaker than the pound.

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>> 22 minutes past the hour, your fox news minute. military agreeing to a cease-fire for four days starting tomorrow to mark a muslim holiday but the army says it would still respond to gunfire or roadside bombs and prevent rebels from strengthening their positions are getting supplies. 35,000 people have been killed since the uprising against the government began last year. libyan militants suspected by egypt and of being involved in the u.s. consulate in libya has been killed during a raid by security forces in cairo. as security official says the libyan died during a targeted rate against him and other militants suspected of having ties to al qaeda and the russian spacecraft with three astronauts on board docking with the international space station. their arrival bringing the size of the crew on the space station to six. they are carrying fish for an

experience that will be used to test how conditions in space affect living organisms. those are your fox news headlines on the fox business network. no word of those fish will become lunch. i will get back to you on that. melissa: great report. hurricane standee a category 2 storm not just in the caribbean. the fox weather center, the latest on the power of the storm overnight exploding. >> very strong storm especially for this time of year. the storm stay intact as it moved over jamaica and over cuba and the center crossed the ball hamas. we initially feel the impact across parts of florida. tropical storm warnings are in effect for parts of the eastern shores, watches as well. this will be much of the day tomorrow and tropical storm condition, winds 50 miles an hour probably three to five inches of rain and dangerous

surf. saturday morning you see the storm pools of towards the at banks the state's offshore. very heavy surf with a lot of beach erosion but this is the front that will catch this and it all gets a bit black and not able to move farther east as a storm typically might and because it gets blocked models are pulling it back towards the shore. very populated area here. areas from d.c. to boston, it will not be a tropical storm. it will be a hybrid storm. not necessarily good news. we are talking a massive storm. winds 60 to 80 miles an hour. a ton of beach erosion. a lot of wind and rain. very big historic storm we're talking about monday into wednesday across the mid-atlantic. lori: last year we had a snowstorm on halloween. what timing or lack thereof. melissa: what a coincidence.

microsoft launching its new windows 8 and steve palmer calling it a game change. robert gray in manhattan with more. robert: they finish the windows 8 portion of this morning. they will restart in a few minutes looking at service, microsoft to the non x box hardware making. steve palmer talking about windows 8 being more of a tactile experience of using a touch screen from tablets to 27 inch single pcs that sit on your desk which michael dell was here as well and steve ballmer, talked about the apps out there or lack thereof. developers telling me one reason they are waiting is a small nascent market that costs a lot reprogram their apps for another ecosystem and perfectly happy with reaching 1 fifty million people under the android system but here's what the response was.

>> we himself far more devices, far more devices with screens bigger than five inches. far more than apple or google starting this quarter. a phone is different but anything over 4 or 5 inch screen this will be the most popular model in the world with the launch of windows 8. that is opportunity for the developer. robert: they hope is an opportunity for them. we get more on the share price later this afternoon. back to you in the studio. lori: so much technology from every direction it is tough to teach track of the innovations. melissa: apple earnings out "after the bell". the fourth quarter typically a slow one for the world's most valuable public company but this one may have been slower than usual. lori: let's look at winners and losers on the s&p 500. markets little changed but some paradigm is being a gain of 8%.

they are not far behind. nice profit as well. back with more after this. [ male announcer ] this is steve.

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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, like what the market is doing and being ready, no matter what happens, which isn't rocket science. it's just common sense, from td ameritrade. >> nicole petallides live on the floor of the new york stock exchange where we're seeing the dow, nasdaq and s&p every 15 minutes. they're all higher. every 15 minutes here on the floor of the new york stock exchange we give you stocks now. let's take a closer look at these market major averages. we see the dow up 12 points right now. that is a gain of .1 of 1%. names like proctor & gamble helping to keep the dow afloat. other names higher, pfizer, unitedhealthcare and merck. let's look at a name on the move, that is best buy. best buy under pressure here

hitting lows we haven't seen for decades. we talked about the possibility of the founder richard schulzz stepping in to take the whole company private. that seems on the sidelines right now. third quarter profit warning. a change of the guard as well. structural change under the new ceo, hubert jolly. we have the head of u.s. business leaving. back to you. lori: nicole, thanks so much for that update. melissa: all eyes on apple today. the tech giant due to report earnings after the market close. what are we going to expect? adam shapiro is in the newsroom. >> apple missed two out of the last fourth quarter wall street estimates. question is where will they go today? the iphone 5 was introduced at the end of last quarter. look where they have been. last earnings report apple came in revenue of 35 billion. keep in mind that was a business. wall street was expecting more t was up from the previous year of 26.6 billion. last quarter it was 8.8 billion. what are we expecting this

time around? wall street is setting expectations high for apple because this is such a big company and we'll be looking for iphone sales, ipad sales. when you look at the last quarter, 26 million iphones sold, 17 million ipads. steve jobs, excuse me, tim cook, actually hinted that ipad sales may be off by just a bit at the ipad mini announcement just the other day when he said that sales weren't near the 17 million wall street was expecting. we'll be looking at all the information. have it for you after the bell today. shares of apple right now trading down. back to you. melissa: adam, thanks so much. lori: while investors are real concerned about this quarter's low ipad sales and the stocks recent slump our next guest about a month or so increased his price target by $200. daniel earns, hudson research. >> thanks for having me. lori: in a way apple has spoiled its shareholders by knocking it out of park. adam mentioned the two

quarters where they missed expectations but those expectations were so high. they raised the bar so high. so what are you expecting tonight after the bell? >> i think that is the thing about apple. there is so much focus on the storm term. what is thh color of the latest ipad or ipad. how thin is it? how big is the screen going to be? are they selling 26 million phones this quarter or 25? did carriers work down inventory throughout the quarter waiting for the iphone 5 or try to keep it going near the whole quarter? i think all of that is noise around the consistent track record of apple over the last decade. so over the last five years they have grown revenues six x. six times higher. earnings, 11 times earnings. in the earnings they're about to report, fiscal fourth quarter, revenues will be up 35%. earnings around 58%. all right so the exact, for the quarter for me doesn't really matter as much the

stock is going to grow earnings 58%. this is not some tiny little company, right? they will do $140 billion --, $190 billion in sales this year and they're growing, 23% top line and they trade at 14 times earnings, 12 times next year's and they have a dividend, they have no debt. there is really not an issue. melissa: long term do they eventually have to invent the new thing we all need in order to stay as on fire as they are and do you think that is in the pipeline? is it apple tv? they invented the ipod and iphone. we had phones before but the ipad they revolutionized. do they need to create a new category to maintain their apple status? >> i think most people will tell you yes. what they have put in the pipeline today was in the current products i think the answer is no. five years ago, six years ago they really only sold computers, right? melissa: right. >> they expanded greatly. they became the number one,

became the number one music seller in the world when they put out the ipod. melissa: right. >> they draen the addressable market. melissa: they move into a category and crush it. do they need to move into new one? >> couple hundred billion or several trillion dollars of opportunity in what they're selling today. and so, you know, everyone is saying well, it wasn't as revolutionary this product. they always got, even when steve was still with us, they would always say that wasn't all that amazing and numbers come out and people are absolutely blown away by how much they're selling. when they launch the ipad mini the other day, i took notes down everything they were talking about. and it occurred to me, they relaunched every single product that they sell. they relaunched --. melissa: right. >> revamped all the ipods. launched iphone twice this year. lori: difference with the ipad you have a lot of competition in the tablet space with the kindle fire. it seems like apple is, it

is not the dominator perhaps or maybe that domination is threatened. maybe that is better way because of the competition. >> keep in mind they still only have 6% of the pc market. lori: 70 something percent of revenue is because of two products. >> they have expanded right. this is good thing. they greatly expanded market they serve. like i say, i don't think there is any company out there that refreshes their entire product line. i don't think apple has ever done that. operating system, the imac, all the tablets and all the notebooks, everything was redone this year. i don't think have ever done that before. i'm not worried about it. extremely large company. it seems mathematically hard for them to keep doing this but over the last couple years earnings growth has accelerated. lori: it is a fascinating story. thanks for sharing your analysis with us. great stuff. credibility lost for the president? that is the question for lou dobbs on the lives lost in

libya and the misinformation coming from washington. melissa: plus $1.84 per gallon, yes, you heard it right. why stations are rolling back prices at the pump for today only. look at the ten year and 30-year treasury. see the yield rising on the 10-year five basis points and we'll show you the 30-year as well as we head out to break. we'll be right back.

>> i'm cheryl casone with your fox business brief. boeing is forecasting air carriers in north america will take delivery of $830 billion in new planes over the next 20 years. taking requirements of air praens into account, the company says north american fleet will grow 33% by 2031. meanwhile mortgage rates continue to hover near record lows. according to freddie mac the average rate on 30-year mortgage rose to 3.14%. couple weeks ago it was touched to 3.3%, lowest date since 1971. freddie mac says mortgage sales will jump 13%. they cite improving consumer confidence and need to replace aging vehicles. the forecast is based on the first 17 selling days of the month. that's latest from the fox business ned network

lori: breaking news. ibm disclosing it received communications from the u.s. commerce department in thh a probe into zte. zte is a chinese company and the world's fourth largest maker of mobile phones and fifth ranked telecommunications equipment manufacturer. a house panel recommend u.s. government and u.s. companies avoid using equipment from huawei or another chinese supplier, zte. melissa: more breaking news. nba commissioner david stern will announce late thursday he is retiring on february 1st, 2014. multiple sources are telling this to espn's mark steyn. he has been the nba commissioner since february first, 1984. that is a long reign. lori: that is great career. melissa: on the situation in libya we learned moments ago that the senate intelligence committee will hold hearings what happened in benghazi. it is a closed hearing with more promised after that. fox news's catherine

herridge is following the story in washington. catherine? >> reporter: thank you, melissa. fox news was told the suspect in custody, ali ani al-harzi was a several suspects interviewed by fbi and intelligence community in connection with benghazi attacks. he also believed to fought in al qaeda in iraq also known as aqi. what we're being told the links between benghazi and aqi at this point are described as limited in the investigation but it is part of the broader jihadist stew which has emerged after the arab spring. separately the head of the house intelligence committee tells fox that he believes a second attack on the u.s. embassy in tunisia on september 14th, was the work of ansar al-sharia, the same islamist group blamed for benghazi. the u.s. embassy in tunisia was ransacked, windows smashed, rocks thrown and fires lit. also the american school in

tunisia was targeted. >> same organization. might not have been the same people involved but same organization. clearly they decided to try to take advantage of the momentum of 9/11. clearly that was their case. and they had moderate success. >> facing growing scrutiny are cia director david petraeus and director of national intelligence james clapper and their assessments that blamed this anti-islam video. the criticism of petraeus is extremely significant coming from a senior senate republican. >> there was no evidence that there was a spontaneous demonstration. there was real-time videos. there were e-mails, that clearly indicated, in some cases e-mails stated that this was an al qaeda affiliated group that was carrying out this military attack on our consulate and how in the world you could draw any other conclusion is unacceptable.

>> right now we're about 20 minutes away from the briefing with the secretary of defense, leon panetta and the chairman of the joint chiefs who will be pressed why the military did not do more on 9/11 to help the embassy staff, melissa. melissa: catherine, thank you so much for your report..3 >> you're welcome. lori: that sums it up. there will be hear on libya but behind closed doors and after election day. lou dobbs has some thoughts. behind closed doors. after election day? how can they mess around like this? they need to do it, right? >> they have been messing around as we approach the seven-week point. they have lied to the american peel. let me be very clear because i don't want any nuance here to in any way interfere with what i'm saying. this administration has lied to the american people and the reason i say that with absolute certainty because the number of statements they made that are absolutely contradictory and internally inconsistent throughout the national security apparatus. this is a point of which the

national media should be focusing on this scandal, this controversy, this disgrace and instead are playing like lapdogs to this administration. the idea that the president of the united states can send out his united nations ambassador and straightforwardly lie to the american people, and catherine herridge has done a brilliant job of reporting on this story, from the very beginning. it is nailing it there. the contact of the -- fact of the matter is, that not one single iota of evidence existed when this administration decided to push the story of the youtube video, some 14 minutee of it, as the cause of this assault on our consulate, the murders of four americans, including our ams today doors, -- ambassadors. what was in live, live, real time videos and audio of the attack that stretched some almost seven hours in which we had our national security

team watching and listening. we had e-mails being exchanged from american officials in libya, sent directly into three, the estimate is, three to 400 people, in the situation room, amongst other places, in the white house. and nothing was done. the controversy grows and the questions compound themselves rather than be resolved, and this administration is trying, in my judgment, simply to stonewall until after election day. and the democratically led senate is complicit by scheduling this hearing behind closed doors on the 15th of november. lori: will this do anything, this is logistical thing but can they demand hearings right now? >> they can do anything they want. the fact of matter there is only one recourse, if the american people are so apathetic and indifferent to what happened here, history

will judge but not the american people. and this is, this is a disgrace. it is a disgrace for the state of journalists have not stepped up and really gone into this. you know, it just disgusts me, it nazi eights me to think, that 3 or 400 americans in our national security team were looking and listening to that tape as four americans are killed and our consulate overrun by terrorists, knowing full well they are terrorists with our assets, within 500 miles of benghazi, not a single effort apparently was made to try to rescue, to protect those four americans. lori: no one can say it better. thank you for laying that out, lou. i appreciate it. i'm sure you will talk much more about this throughout the day and on our show 7:00 and 10:00 p.m. eastern lou dobbs tonight. catch former deputy chief of staff and advisor to president george w. bush karl rove. i'm sure he will have much

to say in agreement with you. meantime amazon shares down 10% in the past month. how should you play it in the earnings release after the bell? the trade is next. melissa: what has changed since president obama took office in 2008? gas prices, that's one. why some stations are going retro to protest and looks at some of today's winners and losers today. akamai up 7% on the day. we'll be right back. 0t[h7

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melissa: while apple is grabbing most of the headlines for today's earnings two other big names, amazon and expedia are

reporting after the bell. here is today's trade is sandra smith. >> apple not giving a bump to the nasdaq. just skirting the flat line here. take a look, after the bell tonight, we've got amazon.com, a stock $228 a share. right now they're forecast to put out earnings of a loss of eight cents a share. but their revenues are supposed to be up in the double digits as far as earnings revenue growth. analysts like it at this price. right now average price target of 278 bucks. overweight rating. a stock by the way up this year, 31%. they have been investing a lot in new distribution centers to advance their online retail space. that has been costing a bit. that is expected to put a depth in its earnings. but revenue expected to be very strong. look for that one after the bell. stocks up just slightly ahead of that. expedia is another one to watch after the bell. this is pretty pricey stock. look at run-up we've seen so far this year. it is down 2% heading to

earnings after the bell. it is up 77% so far this year. hotel booking business has been very strong but this is company where we're likely to hear about the tough macroeconomic environment. we'll see what they have to say, guys. right now there is pessimism going into that report but again a stock that has done very, very well so far this year at this level. even though pricey pe still pricey on expedia. apple an hour from now, after the bell tonight. lots of tech stocks but apple shares taking a bit of a breather from the phenomenal run-up we've seen over the past year. back to you guys. lori: thank you, sandra. melissa: be sure to stick around for full coverage of today's earnings reports including apple that comes up "after the bell" at 4:00 p.m. eastern. lori: buck 80 a gallon. gas prices going retro in new jersey. americans for prosperity brought obama's failing agenda bus tour to the garden state to talk about the president's failing energy policies. it set up through a main

thorough fare in new york city and subsidize gas at station so consumers will have to pay only a buck '84. that was the price per gallon when president palm took over four years ago. it create ad nearly mile long line at a gas station in michigan and held similar events throughout the state in the countrr. group has its limits. today's new jersey event was for the first 150 cars in line only and only 15 gallons of vehicle were allowed. melissa: got to put a lid on it. lori: they're making a statement. we're talking about it. melissa: coming up tonight on "money", beth wallace of the great lakes regional center joins me to discuss the risk of a big oil spill in the great lakes. she is raising alarm bells here. that is interesting story. that is 5:00 p.m. eastern on fox business. lori: labor battles, high fuel costs have been wreaking havoc on airlines. how will it impact your

flying experience in the months ahead? one airline analyst joins tracy byrnes and ashley webster next. live here on "markets now". stay with us that's a good thing, t it doesn't cover everything. only about 80% of your part b medal expenses. the rest is up to you. so consider an aarp medicare supplement insurance plan, insured by unitedhealthcare insurance company. like all standardized medicare supplement plans, they pick up some of what medicare doesn't pay. and save you up to thousands of dollars in out-of-pocket costs. call today to request a free decision guide to help you better understand what medicare is all about. and which aarp medicare splement plan works best for you. with these types of plans, you'lle able to visit any doctor or hospital that accepts medicare patients... plus, there are no networks, and you'll nev need a referral to see a spialist.

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>> look at the market at the flat line waiting for earnings. we have a lot of big ones after the bell. a big day for tech. >> i hear you. apple big headliner. tracy: be interesting to hear what apple has to say. ashley: a lot about apple because of new mini ipad but what about the earnings? thank you ladies. we'll talk about that in a few minutes. i'm ash which webster. tracy: i'm tracy byrnes. business leaders are sounding the alarm on our exploding deficit. it is about time. what they say congress must do right now to bring real reform. ashley: apple shares down more than 10% from their all-time high hit just last month but one analyst says they could jump 80% from

here. he is our guest in a moment. tracy: wow! less than two weeks before the election is the nation's most popular state distorting the overall jobs picture? ashley: we'll delve into that. first time for stocks now as we do every 15 minutes we go down to the floor of new york stock exchange with nicole petallides. >> just right at the unchanged line where we've been hovering if we hadn't had a 200 point down day. we've been hovering around the unchanged lines. look at major market averages now, the dow is up 10 points. still holding the 13,000 line. however there are people who think it will go down and test that line. the nasdaq many could posit up seven points and s&p up nearly four points. we're seeing gains of roughly one quarter of 1% for those two main averages. here is look over the s&p 500 over last couple days. we talk about the s&p down 1% last couple days. that is because we've been

watching earnings. you may remember the dow got hit hard last friday. earnings have come out and many big names that we follow have been talking about a soft global economy. it has been giving forecasts that are below analyst estimates? is. when you talk about microsoft and intel, ibm and names weighing on s&p 500 like sherwin-williams and best buy t hasn't been a great picture for earnings season. that has been weighing on the major averages. back to you. ashley: thank you, nicole. we'll go back to the stock exchange in 15 minutes. tracy: there are 80 ceo's from some of america's biggest companies finally banding together to demand and from the government and ask for deficit reform. liz macdonald is here with more with emac's bottom line. lizzie, what took them so long?% >> this is pushback on the argument, bond yields are so low and so cheap you should borrow, borrow now and fix the economy and spend. 80 ceo's, $30 million they

put together for advertising campaign and unusual people who have not stepped forward before. gentleman who runs deere, for example, is coming forward. and motorola solutions. ceo's you never heard from before. also michael dell is weighing in. here's michael dell talking to fox business earlier. is it dell or is it --, dunkin' donuts. sorry. >> and i think the idea that we can carry on by cutting the deficit but not increasing taxes is one that is not sustainable. so i think you need to balanced approach. >> so here's what the ceo's want. they want essentially the following. they're saying look, we're in an emergency situation. we're going to need essentially, probationally tax cuts in the rates and they want to broaden the tax base. they also are saying that they want to limit health care spending, and they're saying, listen we do agree

with $3 n spending cuts for each buck in tax increases. that is what the simpson-bowles plan is talking about too. bottom line, ceo's say we want gradual reform form. don't do it all at once. the economic recovery is shaky. unless there is crisis or outbreak of eruption of leadership in washington, d.c. nothing will force congress's hands right now. tell you something, talking to members of congress i have, and they listen to voters and they're not saying about debt reform or entitlement reform right now. whether this has any impact in washington, d.c. remains to be seen. tracy: they clearly don't want us to go over the cliff and we're looking more and more that we're gon that. >> what reallied them was the debt ceiling fight last year. tracy: liz macdonald, thank you very much. a good story. ashley: thank you, liz. two days after launching its

mini ipad apple is set to release fourth quarter earnings after the bell today. brian white, senior analyst for topeka capital markets is astounding price target, astounding. he joins us right now. i can't set you up without the price target? >> 1111 based on 19 times next year number and net cash per share over $120. apple has grown 86% a year over the past seven years. this year alone we're modeling 6% eps growth. ashley: at over 600 bucks it is way undervalued in your opinion? >> way undervalued. tracy: what gets you there? revenue from china? revenue from iphone 5 and mini? >> there is lot of excitement. iphone is half of revenue. when you look at this iphone 5 launch the only negative has been they can't make enough. tracy: is that on purpose? >> it's not on purpose. demand is overwhelming,

number one. number two, there have been yield issues in the supply chain. those will not be lost phone sales. those will occur sometime in the march quarter think. ashley: could they lower guidance, production problems, tight supply we've all heard about, certainly manufacturing in china? >> it is a good point. when you think about apple generally they give a conservative outlook that is below the street. our number is three billion below the street. top line is generally conservative. we assumed 43 million iphones, which is 36 million iphones, and remainder iphone 4 and 4 s there is resurgence in iphone 4 demand as they cut prices iphone 5. they can't make enough iphone 5 but they sell the 4-s. tracy: a lot of analysts panicked while sounds like a great number came in below what people thought would sell. >> ipad will definitely disappoint. they threw all the numbers out. not all models have

adjusted. not all models will hit street consensus. i think they can do better on iphone and make up for that. you're exactly right. that says 16 million ipads a lot of guys said 17 to 18 million. ashley: just the last week iphone 5 was availability so certainly there will be a surge then. what happens with apple there are so many rumors what product comes out ahead of time that can have impact on quarterly basis because people hang back waiting for the release of latest product. >> exactly. ipad, economy is soft. tech results have been a disaster this week, definitely a disaster. they're not immune but they will do much better. ipad they have a 4th generation they announced at the ipad mini event. they will work down ipad 3 inventory ahead of that i think that is a reason sales came in a bit soft. tracy: are you worried about windows 8? >> windows 8 is dead on arrival. i went to taiwan recently. end of story.

so it will be a challenge. tracy: going into earnings tonight, are you, do you buy it, do you sell it, what do you die with the stock right now? >> when i look at apple we have to keep in mind the things i highlighted. tim cook told us ipad demand will be a little weaker in september quarter. i think the sentiment has really turned negative on apple. stock has come off. it is nine times earnings. this product cycle is the strongest in their history. i went to the apple event. i played with the ipad mini. this thing will be home run. supply constraints will be an issue in the september quarter. this product will be home run and surpass ipad. iphone 5 is off the charts. they can't make enough. this will work its way through and you will see revenue and see profits. you just got to sit tight. at this level i like the stock here. ashley: very good. tracy: typically down quarter for them anyway. ashley: it is. next quarter i think is the key one. brian white, thank you so much for being here. don't forget, don't miss fox business's extensive coverage of earnings season with results from amazon and

yes of course apple today, at 4:00 p.m. eastern right here on "after the bell" with liz claman and david asman. they will delve into those numbers. tracy: i will have to get me a mini. think about it. coming up is the northeast, this is nuts, about to have deja vu all over again from last year with another snowy halloween? no. keep ruining my halloween parties. we have the very latest on hurricane sandy and its projected mash up, with another storm next week. ashley: you cobe locked into your party. could be a two-day party. oil prices tumbling 7% this month alone. jeff flock live from the cme with more on oil's next move. let's look at oil how it is trading right now up just slightly, about 14 cents to 85 pine $87 a barrel. we'll be right back. de and ♪

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tracy: oil holding onto slight gains trying to come off five straight days of losses. jeff flock in the pits of the cme, not in a field. jeff flock. >> some days, and always active, this is the vineyard for a lot of people. this is the always active euro-dollar options pit. i want to get over to chris, talking about oil. today we took a little breather after the big run down that we've had in oil. >> we did. >> give me some sense of

that. we've got a lot of production in this market right now. >> right. >> is it supply and demand or other issues? >> other issues. being buoyed right now. great economic numbers come out at home. >> why wouldn't that have bounced it up more today than we've seen? >> reason it didn't bounce up dollar is holding strong. oil especially in the last quarter is really an oil issue. as the dollar gets strooger or even holds firm it is really hard for oil to rally. as the dollar weakens we could see a pop up. i think right now until the end of the elections we'll be bowied in the 85 to 95 mark. >> i want to get quickly to gasoline, looking at rbob. what do we have, longest losing streak on that in 25 years. now we have a bounce up today. what is that about? >> you hit i had on the head. it is just a bounce up. the trend, people are you can taking profits right now and that's what you're experiencing. >> that will not translate to gas prices though? we're in a downtrend there,

do you think? >> we are in a downtrend. in the next month or so it is really important that gas prices stay low, the consumer is going to be able to take advantage of that. bodes well for obama in election to keep gas rates low. >> we had a lot of talk down on the floor as well. gas prices low in ohio. i don't know what that means. we'll see. tracy: because they're not low in new jersey or connecticut, jeff flock. we'll see you soon. >> okay. ashley: it wasn't just the athletes apparently that won gold. new reports today that this summer's olympic games helped lift britain's economy out of recession. not a bad deal. third quarter figures revealing stronger than expected growth of 1% due to a rebound in the nation's service industry and strong olympic ticket sales. the economy previously registered 8.4% decline in the second quarter. this by the way as britain's strongest quarterly growth in five years. so the olympics actually apparently having an impact. tracy: interesting because typically you don't make

money when you host the olympics. ashley: vendors were complaining they didn't see the kind of money. apparently not. the economy did very well. tracy: to your point the bar was so low. if four people bought olympic paraphernalia the gdp went up. as we do every 15 minutes we check on the markets. nicole petallides on the floor of the new york stock exchange. nicole, looking at energy stocks, huh? >> that's right we're looking at some energy stocks. indeed names with up arrows on a day where we're trying to squeeze out gains for these major averages. we're seeing the oil services index higher today. we're keying in here on conocophillips. we're seeing that particular stock on the rise up nearly 2% today. their third quarter production exceeded analyst estimates. their profits was a decline but it beat analyst expectations, to your point, right? keep your expectations low and you're a winner and that is certainly what we are seeing here with conocophillips. one of the first major oil

companies to report. if you take a look at some of the other names such as exxon and noble, you will see mostly up arrows here for this group. here is ox dental petroleum up 1 1/2%. back to you, tracy and ashley. tracy: nicole, we'll see you in 15 minutes. coming up, one airline expert says the industry is stable and it could bring good news for flyers ahead. what? we have some conflicting stories here on the desk. michael boyd joins us next to tell us. ashley: don't get me started on the airlines. first let's look how the dollar is moving against some of these currencies. it's mixed. the euro is down but the pound up on that latest gdp number out of the u.k. we will be right back. [ male announcer ] do you have the legal protection you need?

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>> hi, everyone, 21 minutes past the hour, i'm jamie colby with your fox news minute. colin powell renewing his support for president obama today. the former secretary of state said the country should stay on the obama track calling mitt romney's foreign policy a moving target. he endorsed then senator obama during the 2008 campaign. house intel committee chairman mike rogers told fox news he believes the september 14th attack on our embassy in tunisia was the work of ansar al-sharia. michigan congressman

believes the al qaeda affiliate was trying to take advantage of the september 11th attack on the u.s. consulate in benghazi that left our ambassador to libya and three other americans dead. and the san francisco giants happy to report beat detroit 8-3 last night. taking guile one of the worll series. giants third baseman pablo sandoval hit a world series, record-tying three home runs helping san francisco cruise to victory. quite a game, first pitch for game 2, tonight, 8:07 eastern on fox. that's your fox news minute. i'm jamie colby. back to ashley and tracy. you guys probably didn't know i'm such a sports fan? ashley: i did not know that but we do now. very impressive. i know who to go to for the scores. ashley: every day. you got it, jamie. >> take care. tracy: we're asking where the heck the yankees are but that is story for another day. ashley: at home. tracy: exactly, watching. our next guest considers the airline industry to be stable. he still think there is is some obstacles domestic

carriers need to cross. so who is the strongest right now? michael boyd, boyd group president, here to tell us who is the strongest, michael? >> delta is in a very good position. net earnings were something like a billion dollars. tracy: right. >> when you take all the extra stuff out they still made $600 million in the quarter. you can't do that by ask. they know what they're doing. they're the ones to watch right now. tracy: southwest came in profit of two cents versus a loss of 18 cents last year. many airlines had good numbers. why? why do you think that is? >> they're controlling capacity. lunacy is out of the business. you don't have anybody in the business trying to take over the world. they have their own little fiefdoms. they will concentrate on that. they're not adding unnecessary capacity. they industry. we'll have a profitable industry. tracy: by fixes capacity though, that does kind of screw the consumer because there are less flights for me to get on? >> you could say it screws the consumer but reality of

it is when they lose money ultimately the consumer loses too. right now they're not looking to take over turf. they're looking to concentrate on traffic that will make them money. for example, airlines are getting out of super long haul flying because of cost of fuel, carry fuel is too high. they're not trying to take over the world. just take over the bottom line. tracy: they're focusing a little bit. but that being the case and if there is less capacity doesn't that mean prices will go up? >> okay, the audio is a little bad here. i'm sorry. i didn't get that. tracy: does that mean if capacity goes down, there is less flights, doesn't that then translate into higher ticket prices for me? >> yeah. there is going to be higher ticket prices no matter what we do, where we do, how we do, fuel is high, all the rest. things will continually go up. what that means is, you will not have any relief. there are no breakthroughs in the airline industry tech logically or otherwise that will cause fares to drop significantly. ashley: delta. tracy: delta calling to say

thank you for the plug. then we have the united continental merger which is really not going so smooth, right? integration they're struggling with. they took a big charge for pilot contract agreements. will they make it through this? >> oh, yeah, they will make it through it. they reported a net six million but that includes like a $450 million gimme to the pilots. they were making money flying an airline back and forth and i have to give them credit for that. they have challenges ahead. when you have carriers like delta or hungry carriers like us air they will have to sharpen up. tracy: there are a lot of us that have stories where you feel like you're nickel-and-dimed. i flew myself. there was food and luggage and there was no food on si six-hour flight. maybe ticket prices won't go through the roof but they will get you on ancillary stuff, aren't they. >> southwest airlines is leaving a billion dollars on the table not charging for bags.

at some point in time something will have to happen. overall the airlines experience will be just as ugly as it always been. tracy: would you invest in these stocks? a lot of people trade these things like, flip them very quickly. no one wants to stay in airlines for a long time. are any, any long-term plays for you? >> i grew up in the airline business so i wouldn't get near it with a barge pole but it is a fun industry to be in. tracy: 'nough said. michael boyd, thanks for being honest. >> thank you. ashley: love it. not with a barge pole. 10-foot pole. tracy: can't invest in them. ashley: like this, start me up. parisian style. the rolling stones announcing via twitter, believe it or not they will play aashort concert for fans, forget this, less than $20 a ticket. this comes as classic rockers come under fire for ticket prices in the hundreds of dollars for concerts in london and new york. it has been rumored these shows, while promoting the band's 50 years together,

are the prelude to a longer tour. a bigger bang was the last tour in 2007 and rake in a mere $558 million. good afternoon. that is mick jagger, yeah. tracy: you said he is how old? ashley: 69. will be 70 next year. tracy: wow. ashley: doesn't move like a 69-year-old guy. tracy: yeah, you know what? he can move all the way to the bank for all he cares, man of the good for him. wow, 20 bucks, that's a score. >> coming up an alarming jump in first time jobless claims in california. gerri willis will look how the most populous state is impacting the overall national numbers. ashley: a look at some of today's winners and losers as we head to the break. the dow up just four points. some stocks moving nicely. teradyne up 8%. adp corporation, safely up by 7 1/3% -- adt. we'll be right back.

♪ tracy: coming up at 30 past the hour. let's get a check on the markets. nicole petallides on the floor of the new york stock exchange with a guest. >> reporter: i'm here. we are always taking a look at the major market averages. just looking at the month of october which has not been a great one for the market averages. down 2-4% depending on the average, but the latest earnings have been pushing as to the downside. today we are flat. >> well, lot of the market has to do with several factors going on. global economic concerns, the earnings, of course. there's something else going on. if you looked at some of the commodity levels, they have been selling off, and the commodities , i actually think people starting to get a little

concerned unnecessarily about an inflationary or deflationary trend coming back at us. again, look at the commodities. >> reporter: today there hire, but you're talking about a trend. >> absolutely. over the last couple of weeks to collect it crude, gold. it got oversold. copper especially has been selling off. the markets are going to vacillate back-and-forth with what we have. of course the election ten days away. people are very concerned. >> reporter: what do we do? continue to wait for earnings coming in one by one? summer grave where you see up to 20%, another stock down 20%. is that the white a plate? >> you can bet that the overall earnings are not going to be great. the top line revenues are not good. we think the market is oversold. >> reporter: great insight. they're holding the 13,000 wind. 13,081 for the dow.

ashley: will be back in 15 minutes. tracy: few americans signed up for first-time jobless benefits, but once that date saw a big jump adding to recent mystery over jobless claims. the saga continues. coming two weeks before the election, here to solve this for us. >> a don't know if i can solve it. ashley, on.@ >> more questions than answers. california coming in unexpectedly large drop in first-time jobless claims two weeks ago. now its way up to 71,900. this is a huge, massive increase. the previous week that we described, 26,000. 60 percent increase. at the time there are talking about what's going on. as we were talking about during the break, numbers at this level for a 60 trillion economy are really rounding errors in trying to get these numbers right is really difficult, but i have to tell you, lot of people asking if there is some fudging going on.

it could be. ashley: ultimately the unemployment rate came down to just under 8%. it definitely had an impact so close to the election. giving certain politicians and ability to a -- >> brag. ashley: brag whereas in reality this whole reporting system in california is very shaky. i use the word shady. perhaps i should say they. you think it would be a uniform date. the uniforms they wear every will be after report their numbers, but apparently not. tracy: ovarium repeater barnes reporting understand night. it's lunacy. >> this is peter barnes reporting. he is done the hard work on this. the stamina of this stuff. california tried to give us to change our to, but we wouldn't. now we know the truth. it makes no sense. here's the problem, and i think you guys know this. we don't have a clear picture of the economy and this makes

things even murkier, bad reporting, bad numbers. people don't know what to trust. reluctant to spend money or invest. tracy: really is tough revised down. even when you get a good number. ashley: anything you hear these days. that's the problem. >> all right. ashley: what do you have tonight? >> an exciting show. join us tonight at 6:00 p.m. ashley: great to. tracy: 6:00 p.m. eastern time right here on the fox business network. thanks. ashley: all right. hurricane sandy now category two storm barreling toward obama's and florida as the northeast coast braces for what some are calling, you for did so many times before, the perfect storm. at the fox weather center with what we can expect. it's all very iffy at this point, but the potential is there for a big old nor'easter. >> it's not that if the. it's where and how strong it will be. right now category two storm

center of the thomas. not that far away. florida immediately will be in during the impacts. down to the beginning of the keys. tropical storm watches all the way up to the border of georgia. there will be seeing this for much of the day tomorrow. when the 30-50 miles-per-hour and probably 3-5 inches of rain. anywhere along the eastern seaboard we will have very strong waves in a lot of wind. very rough surf, but the worst of it will be by the time the storm gets in toward the northeast. it will lose its tropical characteristics. it will be a hurricane. that doesn't mean it won't be any less deadly or less dramatic. from around areas of the mid-atlantic in toward parts of maine is are we need to watch this. the two good models that we like, take a look. tuesday at 6:00 p.m. right there are around long island. the western edges of l.i. the other model brings the center of the start somewhere around south jersey as early as monday afternoon, but a lot of

these areas will have a major store, one of the worst of we have ever seen in history. ashley: what about the chances of snow. someone threw in the possibility of snow. is that a possibility? >> this is a great event. if there is any snow ii will be across the higher elevations and far interior sections. in the coastal areas it's all rain and a lot of it and a lot of wind and flood coastal erosion. a major impact. ashley: thank you. we have been warned. it's coming. tracy: killing me, rick. you're killing me. all right. we have some breaking news. oil closing of $0.32 at $86.5 per barrel snapping a five day losing streak. and microsoft windows eight which are previous guest said has been unraveled could be a make or break moment for the ceo. up next why he says it will be in game changer for that pioneered. ashley: as we do every day at this time, let's take a look at

those ten and 30-year treasurys. up four basis points. the 30-year, san story, by the same amount. we will be right back. ♪ ♪ [ male announcer ] this is karen anjeremiah. they don't know it yet, but they' gonna fall in love, get married, have a couple of kids, [ children laughing ] move to the country, and live a long, happy life together where they almost never fight about money. [ dog barks ] because right after they get married, they'll find some retirement people

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the national association of realtors, sales of 14 and a half% from this time last year. american airlines' big plans on the horizon with a five-year plan to exit bankruptcy. expanding its network and will hire 2500 pilots. american plans to introduce new international and domestic routes next year. american will spend a record $8 billion celebrating halloween this year. this is american. that is according to the national retail federation. american express has savings. consumers will spend an average of $123 this year which is more than twice the average of $63 the year ago. and that's the latest from the fox business network, giving you the power to prosper. ♪

♪ tracy: high-stakes for microsoft as the tektite and unveils its new windows it operating system.

robert gray is live from the event. >> reporter: hello. thank you. there just winding down now. they unveiled the new windows 08 operating system and also the surface, the first foray into making computers, tablets. it is a tablet, computing tablet if you will. i talked to steve ballmer, the ceo of microsoft and asked him what he thought about some private equity guys who have been raising the specter. is microsoft a legacy asset. >> there crazy. [laughter] i don't understand it. there is nothing -- its completely imagination. a complete three imagination of the pc business. there is the thing backward looking about it. >> reporter: and it is every imagination of the windows system. you can't touch it. anything from tabla size of the way up to a 27-inch single piece of hardware that was unveiled which is basically like a flat

screen television set. we also heard from michael dell and some others about what they think about the operating system >> it's been a long time since we've given customers a reason to get any pc. >> we have been out with groundbreaking products. we didn't beat -- would be doing benefited think it would be a big deal. >> reporter: and they're hoping it's a big deal because pc sales are forecast to fall by eight and a half% this year which to be the first time we have seen a drop in 11 years. certainly everyone from the chip makers to carmakers are all looking for a big cheese year, perhaps even the big box stores. we will find us enough. they go live tomorrow. by the way, and suggested that maybe you start me up for windows '95. they should use a led zeppelin. he wasn't buying. he wasn't buying it.

the old guys anymore. ashley: exactly, but nice try. we appreciate that. tracy: way to date s. thank you very much. [laughter] ashley: the new york times with bad earnings report, what it could have more bad news had involving a new executive. dennis kneele is covering the story and joins us now. >> reporter: it's always awkward in the media when you have to do a story on yourself. even more awkward when the story involves your new ceo and allegations of a cover-up of a child abuse scandal in his previous job. the new york times company getting clobbered. the stock down 19%. as a prize operating loss, revenue mess, downturn online. the bigger problem may be this. next month the new ceo joins the company. mark thompson, a longtime bbc veteran with no newspaper experience. some critics and even the new york times on public abutment

are questioning the appointment and asking what thompson knows about bbc's telling the story on allegations that the popular bbc host died in december. you see him here, had molested more than 200 young girls over several decades. thompson said he knew nothing of the molestation allegations. he did not know that bbc had killed the expos a. he may get called to testify on the matter. all of this a big distraction for new york times chairman, the sign of punch saul's parker, patriarch of the family that controls the times. the youngbear package, the nickname he detests, has been publisher of the times since 1992, chairman since 97 presiding over a long downward slide. the first outsider ever hired to run this in solar family company and clearly they do need some once help. the results are kind of bleak.

85 percent drop in net and operating loss, a decline even an online ads that are supposed to be a growth engine. ashley: all right. thank you very much. this whole story, he was a popular host of a couple of tv shows and died last year at the age of 84. this is a huge story in the u.k. tracy: you grew up watching him. ashley: i did. a music program like american bandstand. tracy: did he have there then? ashley: that trademark white shot air and smoke a cigar and all the rest of the. absolutely devastating what has come out of it since his death last year. tracy: all right. it's a quarter till, so time for stocks of it to every 15 minutes. nicole petallides on the floor of the new york stock exchange. >> reporter: i'm having a moment could watch that. benny hill. let's move on. less talk about the home

builders and look at what's going on. home sales. the month of september, but we are seeing most of these names to the downside. the pace of growth we have been seeing. pending home sales have been slowing. as a result, you're seeing a majority of home builders lower today with the exception of one which is ryland. today jumping up more than 4 percent, and this is as they come out with the third quarter profit. the stock hit a new high. a nice job. that's why you're seeing that their shining. a group in a sea of red, but we should keep in mind. the home builders, many of which are up 80, 90, 100 percent year-to-date. tracy: thanks. we will see you at the top of the hour. ashley: investor confidence taking another hit on earnings warnings and who will bundle the early release. coming up next, an expert on trading behavior about the biggest mistakes investors make. tracy: as we head out to break

let's take a look at some of today's winners and losers on the nasdaq. up six and a half%. that is that charles payne favorite. six and a half% increase. we will be right back. so anyway, i've been to a lot of places.

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♪ tracy: sandra smith is here. making my stomach turn. here we go.

time to talk tax. amazon reports earnings after the bell, and the results are sure to make an impact. sandra smith. >> reporter: and telling her a scary halloween story. we leave it that. because the -- so, i report, they did a report today in basically look back historically at apple earnings. after the last 36 quarters the next day apple's shares galloped . sixty-five sorry, 69 percent of the time they go up. an average of two and a half%. so by apple shares ahead of this report ttnight. earnings per share expected 875 on revenue of 3058. but apple shares right now, 13 percent off their all-time high which was $705. that was september 1st. they have taken a dip. there also dipped below the 50 day moving average. analysts as saying if you want to buy apple shares now is a pretty good time.

keep that in mind. reporting after the bill tonight. we will see what they say about the many ipad. not much excitement. so we'll see what they have to say about that. that being said and also looking for amazon after the bell. this is a stock that has done spectacularly. 31 percent so far this year. it's up ahead of earnings after the bell but still expected to report a loss of $0.8 per share. but reporting double-digit revenue growth. the one thing with amazon that they will get it on, the reason they are expected to post a loss , they have been investing in new distribution centers, doing well competitively on my. they're spending a lot of money, so that when to take a dent in earnings. expected to. revenue expected to be very strong. analysts seven overweight rating. elected a lot. both those after the bell. ashley: excellent. tracy: shareholders. thank you. don't forget to watch fox business for full coverage of

today's results from amazon, apple, and others. 4:00 p.m. eastern. it liz and david will be there. ashley: okay. investor confidence is taking another hit in the wake of earnings warnings. ku will premature release and so much more. the ipo facebook to name another. our next guest steady investor behavior and found the biggest mistakes they make in this environment, and is going to tell us what they are. finance professor at uc-davis. before we get to that, thank you for being with us. there has to be at least faith in the system. has to be a little dented when we see these accounts along the way. >> well, i'm sure that investor confidence is certainly winning in the aftermath of the financial crisis and some of the issues that the markets have faced recently. at the end of the day at the most financial economists would say that the simple solution for most investors is to buy a well diversified fund and stay the

course. buy and hold long-term perspective. ashley: so what are the biggest mistakes that investors make and what is the research you have been doing? >> well, i just told you what they should be doing. so what are investors actually doing. so probably the three biggest mistakes. number one is investors tend to trade too much. they react to news, by ryland, approval, react to the news stories that you guys a generating, sorry to raid on the parade. that probably is not the smartest thing to do because once that news comes out everyone knows it. in some market prices tend to adjust fairly quickly. the smart thing to do is avoid the trading costs. mistake number two. folks often fail to diversify effectively. much of their research seems to indicate that investors buy things that are familiar to them probably one of the biggest

mistakes is investors tends to over invest in their own company's stock. the lessons are, world, and they went bankrupt, more than half of their retirement portfolio at those companies was in the company's stock. probably the most salient example that. the third mistake is investors tend to sell their winners and hold their losers which sounds like a profit making proposition but, in fact, from a tax perspective it is exactly the opposite. ashley: exactly. i'm interested to know how far reaching was your research. what areas did you study? >> well, my own research, we studied retail investors using data at large discount brokerage firms, all the trading records of investors in taiwan. the review paper that we wrote highlighting the biggest mistakes really reviewed over 100 studies on this. one of the biggest messages that comes out of this is the average individual investor underperforms the market.

again, this takes back to the recommendation that if you just told an indexed bond you get the market return which may not be terribly exciting, but it's like shooting par golf course, it's actually a very good outcome for most investors. ashley: great information. finance professor at uc-davis. thank you for joining as. >> thank you, ashley. ashley: all right. diversify your portfolio, bottom line. tracy: i guess. easier said than done. high-quality education for all. anyone anywhere in the world. that's what one academy is trying to do and already finding success. millions of students during the instructional videos, thousands of glasses are using them. coming up, the man behind it all the founder and executive director. countdown to the closing bell is next. don't go anywhere. ♪ before copd...

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