♪ ♪ ♪ imus in the morning >> it is an exit strategy, a way out of a mess. president obama jumps at it and stocks go straight up again. good morning, everyone. that is the story today. putin throws a lifeline, don't attack, negotiate. the international community will take control of syria's nerve gas and president obama says the idea is potentially positive, bottom line, attack delayed. that's what stock investors

want. the rally that emerged with a putin lifeline, stocks up, oil and gold way down. this is a fast-moving situation, every headline could move your money. you've got to watch this closely. "varney & company" is about to begin. your financial advisor should focus on your long-term goals, not their short-term agenda. [ woman ] if you have the nerve to believe that cookie cutters should be for cookies, not your investment strategy. if you believe in the sheer brilliance of a simple explanation. [ male announcer ] join the nearly 7 million investors who think like you do: face time and think time make a difference. join us. [ male announcer ] at edward jones, it's how we make sense of investing. ♪ [ male announcer ] 1.21 gigawatts. today, that's easy. ge is revolutioning power. supercharging turbines with advanced hardware and innovative software. using data predictively to help power entire cities.

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>> russia's president putin throwing a lifeline to america and president obama says he'll look at a diplomatic solution to the crisis. the solution, syria's chemical weapons to be transferred to international control. syria says it supports that plan. that happened moments ago, but tonight, president obama will still make the case for congress to authorize military force, that from press secretary jay carney a few moments ago. president obama has grabbed a last minute face-saver. a poll says that the u.s. is less respected around the world

today than it was before the president took office. and the senate is in a holding pattern, delaying their vote until after they hear from the president and the markets could not be happier about that. the dow is set to open strongly higher in just a few minutes. the price of oil though, way down from yesterday, off 2.64 and gold is going to start out on the down side by $21. there are other stories for you. time is money so here is 30 seconds of what else we've got. french unions protesting patient reform, demonstrations at 180 locations could cause some disruption to public transportation, is that new? here at home, new york city mayoral primaries underway. bill deblasio looks like a runner, could have a face-off with christine quinn. they want to roll back charter schools. more priorities for the mainstream media. the first family's new dog

getting more news coverage in one day than the fight for obama care got in one month. big moves for the dow jones industrial average. goldman sachs, nike, visa, all moving into the dow 30 at the end of this month. who is out? hewlett-packard, bank of america, alcoa, we'll check the stocks and see how they happen next. did you see this? raphael nadel st. pete's djokovic to win his 13th grand slam title and sandra smith is right, the men are equal opportunity grunters along with the women. and congratulations, nadel. it was a terrific game. @?? um... where's mrs. davis?

she took an early spring break thanks to her double miles from the capital one venture card. now what was mrs. davis teaching?

spelling. that's n a subject, right? i mean, spell check. that's a program. algebra. okay. persons a and b are flying to the bahamas. how fast will they get there? don't you need distance, rate and... no, all it takes is double miles. [ all ] whoa. yeah. [ male announcer ] get away fast with unlimited double miles from the capital one venture card. you're the world's best teacher. this is so unexpected. what's in your wallet? >> all right. here comes the start of trading. so let's go straight to chicago. scott shellady is there. the syrian strike, i think, is on hold and the markets love it. money has no morality, does it? >> you know what, bombs away on some other day and the market does like it. we've seen what the oil has done and we've seen what the gold has done and the stocks are going to like it in the short-term. i tell you what, stuart. it's a sad day. when you have thought in your lifetime that we would be let out by the russians?

we're going to accept their-- there is the new cop of the world and we're not. it's despicable. stuart: it's a sad day in many ways, but the money people they don't care. we're about to hope the stock market. >> no, they don't. stuart: money has no morality. we're about to kick off the trading session and i think we're going to go up at least 100 from the get-go. the opening trend is higher. yesterday we closed around 15,060. and now we're up 10 points and i think we're going higher from there. i'm looking at a board that shows me the ups and down and it's a sea of green. and we've got big names that are going to be added to the dow jones 30 average, goldman sachs, nike, visa. up on the news they're added. three big names are out of the dow, hewlett-packard, bank of america, alcoa and two are down

and b of a up just a fraction. and these take effect at the start of trading on september the 23rd. nicole, have you got anything on this one? . nicole: this is the biggest shake-up in a decade. remember that alcoa has been in the dow for 54 years. it's interesting to see hewlett-packard, which is doing so well this year, but the truth of the matter is those three names have underperformed the broader market over the latest year and they have lower stock prices. so, it's interesting to see, there you have the big ones, bank of america. alcoa, hewlett-packard out. and i was told they were considering eight changes, not these three, but eight. and they rejected them that they're overly dramatic. >> that's just nuts. three at a time is good, right? come on, that's happening too much. stuart: i tell you, i can't work out the math. why isn't google in there and apple in there. how could you put in a 900 stock and 500 stock.

my head is spinning, i don't understand the mathematics of the average. nicole: and the representatives of the company haven't elaborated either, but the company, it's a big deal. biggest shake-up in a decade. stuart: there you go, sum it up. big deal. i've got to move to big names which have been moving. look at tesla, in a few minutes, we will have a university professor with us, says it's overvalued. tesla is up. and he says far too much. facebook on a tear since the end of july and trading near the all-time high and up again this morning, but just 9 cents. 44.13 is where we are. and later on big news from apple, iphones and an updated operating system. all right, come back in, nicole. the stock please? >> yeah, the to being is virtually flat. it's around 505.

this is an invitation only event. tim cook and the gang from apple will be revealing the latest iphone, the 5 s. and cheaper iphones that would do very well in china according to the analysts, it's supposed to come out. stuart: i think the big deal is that china, the possible china deal. i think that's the big deal. we'll see about that. nicole, thank you. the dow jones industrial average up 82 points now, 15,144. the big story which is really moving this market is syria. the senate is in a holding pattern on syria. they've delayed their vote on any attack until after they hear from president obama. he speaks tonight. and now, the president has been given an out, syria about a half hour ago, we got the news that syria has agreed with the russian proposal that they put their chemical weapons into international hands. i say america is in retreat and i say there's no way we're going to launch an attack in the very near future. let's bring in former congressman colonel alan west. all right, colonel, i see this

as a full retreat for america. i see this, i don't think there's any way we launch an attack in the immediate future or even the near term future? how do you see it? >> you're absolutely right, it's a pleasure to be with you. this is a huge strategic loss for the united states of america, an incredible foreign policy faux pas for the obama administration. if i were advising the president i would say do not go on air tonight and do know the give any speech tonight because you know, vladimir putin has pretty much played president obama. if i can use a southern term, like a broken banjo. the last beginning tonight, is for the president to say something, once again, maybe off teleprompter or something that would inspire putin to backtrack on this agreement. so, i would not go on air to speak, i would an allow the international community and putin looks like the only adult in the classroom to get those chemical weapons under control.

stuart: do you think that's possible in the middle of a civil war when you don't know the location of the weapons and don't know how many of them there are, can you really expect an international force to move in and take control of these weapons? really? >> well, i would tell you that i believe under putin's guidance, he was a much more respected tough guy. remember, this guy is former head of the kgb. if they can mobilize a force that can get in there and do this with them being in the lead and syria is ver important to russia, that's their own warm water seaport so he does have a national security interest in syria and he does have an interest in syria not falling to al qaeda. stuart: colonel, all that would do would put the chemical weapons under russian control. they wouldn't put them into anybody from a democracy. they wouldn't be controlling them. they'd be russia's to control. >> that's the point. we have to understand who these international players are, but in the failure of the obama

administration, secretary of state kerry to get an international coalition, you know, maybe vladimir putin will get a right type of international coalition. the important thing is if the president said he does not want to have bashar assad able to use chemical weapons again and now we are going to take them off the battlefield, guess what, that somewhat strategic objective has been met and he has drawn himself into an incredible box he cannot get out of. stuart: yes, indeed. colonel alan west, thank you very much. we appreciate it today. >> thanks so much. first president vladimir putin a now the cbo is offering a life this time on obama care. and billions of dollars are at stakement and find out what's going on with the cbo lifeline on obama care at 10:00 eastern. and back to syria and the markets, ed butowsky is with us.

it seems clear to me the markets like the idea that we're not going to attack in the very near future and that's why the dow is now up 75 points on back of a big rally yesterday. >> absolutely, stuart. in fact, the main reason the markets are up is that oil prices are down. oil prices are down because we're not going to do the strike, so the markets are reacting to all of this and i also say this, if we see a close above 1695 on the s&p 500, this market is probably going to test the all-time high and go through that. so, this could be the, you know, the adrenalin rush that the market wants to see a new all-time high. stuart: but is my premise correct. this rally, it's all about syria, it's all about postponing any attack and maybe canceling it completely. that's what it's all about right? >> right now without any question, stuart, that's what the market is reacting to. stuart: okay, now, we're going to have this situation hanging over us for a while because it's going to take a long, long time to get international control of the chemical

weapons. there's going to be backwards and forwards on the diplomatic front forever. so, can the rally last? >> the rally can certainly last. i don't think that anybody thinks that this is going to dissolve. the markets are telling right now and a good indicator what's going to happen in the future, the market is telling you that the putin, you know, decision or what he's put together is going to hold. so, we could call this a russian rally if you wanted to. we're seeing this rally based on what the russians have done for this whole country. stuart: i said earlier on the news channel and again on fox business on this program. money has no morality. you want to take me on on that statement, ed? >> that's a tough one. i don't think that money even thinks. i think that money will go where it's wanted. if people want it to go higher it's going higher. obviously it's disgusting what took place there. we're so far out of the woods. this could be a rehearsal for iran a year from now we're going to be watching the

headlines all the time. in the short run, the markets are going higher. stuart: that's right, watch the headlines moment to moment because any headline could move these markets. ed butowsky, thank you very much, indeed, sir. and the big board, we're up. i thought maybe we would get to 100, but we've topped at a gain of 70 points thus far today. look at the stock of tesla. you know, it really has been up on a tear so far this year. what is it, up 375% this calendar year? however, after the break, we've got a finance professor. he says the stock is way overvalued and we'll ask why he thinks that in a moment. ♪ (announcer) scottrade knows our clients trade and invest their own way.

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evidently on hold. the market likes it and it's up 6 a. and the market likes that in terms of oil, it's down 2 bucks lower 107 and gold is down, look at this, $22 per ounce lower at 1364. a big name you know, croc's says it will not make as much money as it initially thought. the company says that business in america looks weak. not good news for the stock. it's down nearly 4%. all right. let's move on to tesla. you know, that stock has been on a tear and up 375% this calendar year, but our next guest says the stock is way over valued, maybe by 100 bucks and he suggests that the stock's fair value is around $67 a share, way below where it is now. here is the finance professor at the stern's school of business at nyu. professor, welcome to the program. so it's way overvalued and should be $100 less.

you've got 30 seconds to make your case. >> i think the key to remember or draw a distinction in prices. prices set by the market, supply and demand and value the places of judgment. i want to emphasize this is my personal judgment based on my views of the company and i have an optimistic view of the company. as large as audi. stuart: as large as audi. >> and margins of the porsche that's up there. the value i get is about $70. and there are lots of risks getting there. stuart: why is the thing valued at-- the market price is 160 odd. why so much above what you say is the value price? >> there's one thing i've learned in 20 years with markets, that you never try to explain the price. the price is set by supply and demand and this is the momentum stock. driven by people who love the product and essentially using it as justification for pushing

up the price so i think that explaining the price is almost impossible to do and i don't try. so my personal judgment, i wouldn't buy tesla. i wouldn't talk anybody else from not buying it because that's their judgment. stuart: okay. the guy who runs tesla, the founder, elon musk, he's go the some outthere ideas about technology and technology in the future. is that part of the buildup in the price, the talking up of the price? >> i think he's a great ceo. i'll be honest, he's got more charisma than most of the next 100 top ceo's put together and he has the capacity to make tesla a company that can change the automobile business. so there are potential pathways i see for tesla to get up to $250 per share, but those path ways are narrow and difficult to navigate. i don't want to invest on the assumption that they can find their way to success. so that's why i said it's a personal judgment. for those people who feel those

path ways are more likely and available. >> you said the company could be as big as audi. that would be a market capital of 65 billion? >> the revenues. >> the revenues, they would sell 65 billion worth of electric cars a year? when? >> that's ten years up. so, that's, i think, what's holding the value down. now, is to get to audi's revenues and to get the margins that porsche has, you have to factor in how much you have to wait and how many risks are along the way and you get to knock down the value. and that's why i'm reluctant to jump into the stock right now to the 20 billion market cap. >> you're iconoclast here. what's the reaction, do you get hate mail? >> i do get hate mail. and people listen to the point, people have to make their own judgment and what i want to do is throw my valuation on this.

emphasize this is my value, not the value. >> you're not retreating you're saying 60 rather than 160. >> i don't have to retreat. to are my decision, i have to trust myself. >> but you're out there with this valuation. >> that's always the case. >> you're out there. and thanks very much for joining us and we really appreciate it. >> thank you very much. stuart: my take on syria and why the good guys are in retreat. that's next. . >> i think we should explore and exhaust all avenues diplomatic resolution of this, but i think it's important for us to keep the pressure off.

>> here is another big name you know. disappointing sales forecast from urban outfitters. down it goes 10%. abercrombie & fitch. a battle this time over an employee who sued a company to wear a head scarf for religious regions. judge napitano will be here for that one. and did the cbo throw president obama a lifeline on health care? big savings would come if he takes it. here is my take on syria.

this is pure opinion. number one, the tomahawk missiles will not be flying this week, this month or this year. president obama backed into a corner of his own making is in full retreat. he's grasping for the life line that vladimir putin has offered. two, syria's chemical weapons will not be secured or dismantled this week, this month or this year. tell me, who is going to walk into a civil war and take possession of widely dispersed unknown locations? who is going to bring to arrest and trial the attack in august that killed children. and dream on. power shifted the good guys are the nations which brought prosperity and a much greater degree of freedom to the world lack leadership. and the bad guys grabbed the ball and are running with it. here comes a nuke for iran and

a threat of nerve gas as a weapon of mass intimidation. money does not care about all of the above and money has no morality. investors will do well. to sum it up, president obama has just led us into a humiliating defeat. and that's my take. [ male announcer ] these days, a small business can save by sharing.

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>> tuesday, september 10th, one story dominates. president obama reaches for the putin lifeline. any attack delayed, stocks up,

oil and gold way down, but wait, there is more. the chair of house natural resource committee is here saying the president is blocking domestic energy production. the judge is here. what does he think of muslim head scarves? he'll tell us. melissa frap sis going paper bank, about her mother, a tie rapt. melissa is here. there's "dancing with the stars," valerie harper, guts and ratings. this is not your average financial program now, is it? ♪ look at this, day two of the rally, the dow is up 88 points, and that's because no action is likely immediately or any time soon on sere why. by the way, we're going to have

big changes for the dow jones industrial average starting september 23rd. goldman sachs, nike, visa, they go into the dow 30, all up. hp, bank of america, alcoa, the three stocks coming out of the dow 30. that news announced earlier this morning. president obama getting thrown a lifeline on syria, a diplomatic solution. if assad hands over weapons to international control, the u.s. will back away, probably, from any attack. congressman hastings joining the company now. sir, looks to us and to investors, this is a delay, maybe a total cancellation, of any attack. what's your reading? >> the first premise, of course, is you have to go, if you have a diplomatic solution, you have to place trust in the russians and putin and place trust in assad. the reason we're in the

situation is because of the lack of trust. now, having said that, if there is a diplomatic solution, i think the american people would probably accept that much more readily than having to go to war, but that premise is a shaky thing, and, frankly, it's probably emblematic of our foreign policy from this administration. >> there's a new fox poll saying 48% of people think that america's standing in the world is now lower than it was when president obama came into office. what's your view? >> well, i think they are seeing what everybody else is seeing. i mean, this new idea, this new solution came about about 24 hours ago, and now all the sudden, you report it, others are, and it may be the norm. we don't know. all i'm saying is that the member of congress is that trust is placed on two tentties.

that's shaky from my stand point, but, if, and if there is a diplomatic solution, it's better than war. >> okay. changing topics for a second, congressman, because europe's industry commissioner, very senior guy, europe's industry commissioner, yesterday, talked about an industrial massacre in europe saying their green policy over there amounts to an industrial massacre for industry in europe. i just want to run briefly a bite from my take yesterday. listen to this, sir. >> trying to talk some sense into the green compatriots saying, europe, quote, can't be religious about green energy, they can't sacrifice industry to the goals of climate obsessed environmentalist. it's a turn around for a continent that lectures the world about being green. what do you say, congressman? is the u.s. headed down the same road on energy? >> well, i don't think the u.s.

is. i think this add gets their way, we would be headed down that way, and i say that because as chairman of the natural resources committee, we have jurisdiction over federal lands, and on federal lands, since this administration has taken power, we have seen crude oil production drop by nearly 8%. we've seen natural gas production drop by over 20%. that's just since this administration has taken over, but we are producing more energy in this country because it is on state and private lands. that's good. our tremendous, largest resources in the future is on federal land. this administration is trying to slow that down. >> can you give us a rough idea of how much oil, how much natural gas is under federal lands, that's not being exploited at the moment? >> well, first of all, you never know until you drill, but it is well over a billion barrels and

probably multiple billions of barrels when you talk about the potential in the the arctic, alaska, the potential gofer -- offshore in california, potential in the south atlantic, and that, of course, coupledded with the intermountain west, that could be in the billions, close to a trillion. never know until you drill, of course. >> okay, congressman, back to the syria situation for a moment because we are awaiting a news conference which speaker boehner is going to question his leadership. do you have full confidence in speaker boehner? >> i certainly have full confidence in the speaker. i think the speaker, as a leader in one of the branches of government, feels that foreign policy ought to be spoken with one voice, persuaded, apparently, by the president that this is is a right action.

i disagree with that position, but i have full confidence in the speaker, working with him for nearly 20 years, know what he's about, and i have full confidence in. >> congressman, thank you so much for joining us today on a very big and important day. thank you, sir. >> you're welcome. >> back to the markets now because if we are on pause with any attack on syria, and it looks like we are, that's the overriding element in today's stock market coverage, and the stock market rally, up 87 points now. that puts the dow at 15,150, but i want to look at netflix. we're on $300 watch. did we get there, nicole? yes, we did. >> oh, yeah! it was 303.99. interesting to watch how netflix is back to the summer of 2011, a $p 00 stock, and you -- $300 stock. everybody was upset, doing scenes, left for dead; right? it was around 50 bucks last

september, and now it's back to the p # -- 300 level. house of cards, orange is the new black, and rbc put up $330 price target based on what they saw with the company, some of the parts, and it's better than where it is. >> the moment i subscribed it went to 300. amazing. nicole, thank you very much indeed. interest rates, mortgages, the housing industry. we got wells fargo -- first wells fargo, mortgage demand falls because of rising interest rates, bank of america follows suit, cutting jobs too, 2,000 positions cut in the mortgage business. sandra smith is here. mortgages, four and three quarters percent, still relatively cheap. >> still relatively cheap, and i got off the phone with a real estate friend from prudential who reminds me it's difficult to get a mortgage right now, so when you want to talk about how the government messed something else up, it's the government restrictions right now that made

things very difficult. he points out that as of january 1st of this coming year, you have to prove your income in a different way. while the mortgages are cheap, they are still very difficult to get. he also reminds me, a story i'm sure you corveeded, is the fact the jumbo mortgages for pricier homes are less expensive than the conforming mortgages. this is a huge story. he reminds me the territory was themed for. >> what happens with the demand for housing down, loans hard to come by, ease up on restrictions and standards for lending? >> well, we know the answer is probably not, but, also, remember that demand possibly came down because the fact prices have started to come up. >> not at all surprised to see lending standards, borrowing standards reduced. >> that would be a great thing. >> you think? >> wonderful. >> getting us back to where we were before? >> could be back in the mess if we go that far to make the mess we did several years ago, but we're almost too far to the

other side where people are not in homes right now. >> beware of the credit. that's the last word. the cbo, the congressional budget office, revealed that the house bill pushing a one-year delay on obamacare's individual mandate if we delay for one year, the cbo says we save $35 billion over ten years. liz, this is the cbo chucking a lifeline to president obama. he could get out of the obamacare chaos if he just delays for a year. >> he won't do it. senator reid said he won't do it either because this is his legacy. health reform is the legacy despite the controversy of delaying the employer mandate, not delaying the individual mandate, wow, a big deal. the cbo report, stuart, resuscitated the g.o.p.'s effort to punt health reform in the death fight. >> gets the president out of the mess and democrats for 2014, just delay it.

we got chaos, delay it. >> here's a mess. the cbo report reveals the house, which is moving to say, listen, delay the individual mandate, this new cbo report just proves that fewer uninsured would be in the medicaid and children's health insurance, delaying that, delaying the individual mandate, means there's fewer people enrolled in government programs; right? fewer tax subsidies as well. it says, though, if you delay the individual mandate, though, for some reason, 11 million people would be uninsured over the next year or so. it's split down the middle, that report. >> one more item. i know you got it, about the unions maybe not getting a pass? >> a republican from south dakota, he's just introduced a new bill sayingupons will not get a back room deal from the administration despite the fact unions have been really frustrated seeping the

administration give back room deals to religious entities and companies, unions have been left in the dark. that is the labor movement's big beef right now with the administration. no tax subsidies, no boom room deals for unions right now. >> now up 90 points for the dow industrials, in fact, we are up 90. by the way, it was announced, what, an hour and a half ago, there's really big changes for the stocks that go into that make up the dow 30. goldman sachs, nike, visa, move in to the dow 30 september 23rd when trading begins on september 23rd meaning three have to come out, and those people on the out are hp, bank of america, and alcoa. liz, these are the biggest changes i can remember. a big deal. >> changed seven times in the last decade, but you're right, these are the biggest changes, if these changes were made at the beginning of the year, stuart, the dow would be up 560

points. if they knocked out the last three, the cheapest stocks by price in the dow 30, so they knocked the three out for the very reason, and they wanted more representation by putting a nike for consumer goods. >> do they adjust mathematically for that kind of price change of the stocks that are in the dow? >> that's a great question. >> my head's spinning because i don't know. >> that's a great question. they adjust it. they'll adjust it friday. they are saying their adjustments will not, will not bump up or down the dow in any way or rattle the dow in any way. it's interesting. the moves they made. >> nike is shocking much i don't know if that tests the temperature the consumer. that's a high end product as far as consumer goods are concerned; right? >> yep. >> it's still the 27th cheapest dow stock anyway, so introducing nike, they are not a huge player on the global stage.

gm and ford not back in, no automobile companies from the united states in there. >> apple and google, where are they? all right. by the way, we are awaiting, i believe, speaker boehner is now speaking. he's addressing a news conference. we're looking for a headline from what he's got to say. i'm not sure whether he will -- he's talking about jobs and the economy at this moment. that's not a headline that's going to move the market, and i see dow up 94 points as we speak, and it's beginning to climb a little, but i don't think it's realitied -- related to what boehner is saying right now. all right, everybody, here we go. we have to take a break, but we shall return. [ male announcer ] imagine this cute blob is metamucil.

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>> big announcement from apple this afternoon, expected today by to a new iphone models, one, an updated model of the iphone 5, and, two, a cheaper model iphone featuring colored plastic on the backside of the thing. huh. here for a preview is the ceo of a company called social radar, michael chasen. michael, i know you think this is a big deal. this is a huge event.

go ahead, tell me why. >> this is a big deal for several reasons. first of all, you have to realize that apple's coming out with a slew of improvements, both to the operating system as well as to the hardware. what this means is that developers of mobile applications like myself at social radar as well as thousands of others are going to be able to take advantage of these new features to significantly improve their applications. it's more than just a ui redesign. they are talking about having new features such as a finger print scanner on the main buttons, talking about faster processing capabilities,ism -- improved location features bringing iphone, smart phone technology to the next level. >> viewers understand you talk up the own book. we understand that because you're an app write e and your apps appear on the iphone. i got that. i wonder, can you tell me about the fingerprint id? i know we don't know details how it works, but give me an idea. it's app --

deny -- an intriguing idea. >> what this means is there could be significant improvements in the way that smart phones are used for commerce or payment technology as well as improved security. this could open up a slew of commerce as well as security enhancements allowing the smart phone to be used in many additional ways. >> let me see if i got this right. i check my bank balance online. if i got an apple iphone 5s, a brand new one, can i scan in my little fingerprint, and go straight to the bank account? no password, none of that? just straight at it? >> i think that's the idea. now, we have to see what apple announces today, but that's one to be expected big features that people are talking about. >> okay. i think a bigger announcement that comes late comes with china.

if they get access to china mobile, that's a bigger deal than anything else going on with the new model, what do you say? >> well, i think you have to combine that potential news with the fact that apple is also estimate to be releasing a lower priced iphone meaning that they will be opening up technology not just more internationally to china, but also to a whole other segment of the population that to date has been going for the lower priced android phones. they open up a huge new base to potential apple technology. globally, outside the united states as well as here in america. >> you want this to be a winner, don't you? you're gong ho because your company depends on it, doesn't it? >> well, social radar develops technology for iphones, android, and google glass. any improvements in the smart phone field we take advantage of. we are excitedded about the announcement. >> quickly, i don't have time

left. you mentioned google glass. okay, what does your app do for google glass? a quick example. >> well, social radar gives you realtime information. you walk into a room, who is there, how you are connected, what they are up to. you can do that on the iphone and android and google glass, you can wear the technology walking into a room, and in front of you, that says who is there, what they are up to lately. >> how? >> scan faces, facial recognition or what? >> it's not facial recognition. social radar monitors all the other social networks, facebook, four square, twitter, linked in, and others for any location information begin from the people nearby compiling all of that along with accessing all the social radar users giving you updated information about those around you and information about them. >> i'm fascinated, but i don't know that i like this, but it is

absolutely fascinating what you can do. good stuff. sir, thanks very much for joining us. appreciate it, thank you, sir. >> great, thank you very much. >> okay. dow's up 91. melissa francis, star of fox business, and, by the way, "little house on the prairie," sounds like a fun life? think again. it was not a fairy tale. we'll deal with that next. you know throughout history,

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>> look at the market for the second day in a row, there's a rally, ladies and gentlemen, up nearly a hundred points right now; however, facebook stock is down. nicole, how bad is it and why? >> well, it's not too bad. the point of the story that it was run -- it ran up, and it was testing its all-time highs yesterday. it traded as high as 4479, didn't breakthrough 45 bucks on the ipo day, that was the high of the day. still doing so well overall, much better than when it was below 20 bucks and shareholder wrs from thed. the other thing to note is they saw, obviously, major growth in instagram starting with 22 million users, up to 150 million users now, and 50 million in the last six months. that shows momentum there too. >> sure does. nicole, thank you very much, indeed. put the big board up again,

please. 96 points up, up 20 points in the last few minutes. there could be a reason for this. the speaker of the house said that president obama has not yet made the sale to the american people. when he said that, the dow went up a little bit more. now we're at 15,160, up close to 100 points. something that really is very different. melissa francis with us, the host of money with "money" at 5 p.m. eastern on the fox business network, but many of you know her from the days of "little house on the prairie," and after years in show business, she was inspired to write the book, diary of a stage mother's daughter, now out in paperback. melissa, welcome back to the program. >> thank you, thank you. >> this is about your mother? >> it's about myself, it's about me, but it's about our relationship in the way i was a raised and my time in hollywood. you know, -- >> she was a tyrant. >> she was tough, very tough, and, you know, i actually wrote

the book because i was reading battle hymn of the tiger mother that brought me to tears and made me cry because it struck a cord with the way i was raised, intense pressure to succeed, and that kind of really driving your kid, and for me -- >> over the top with you? >> yes, very much -- >> too far. took money off you? >> no, it's not about money, be the idea everything you do has to be the most, the best, and perfect every time. it made me a fighter, focus on succeeding, driven, i work through the night, i can be super human at work when i need to, doing whatever i do to be driven, but for my sister, there was a different impact. she had a different personality, and when she couldn't please my mother and lived up to the expectations, that destroyed her self-confidence and destroyed her. >> why did you write the book? >> reactions of people gathering

around the tiger mother thinking this is a good option, that kind of, if you drive kids like that, they end up at harvard and yale, and i did, myself, and i got reactions, people said, you're not grateful. your mother made you what you are today, and i'm grateful, i see the positive side of it, but i see other women so driven and focused on succeeding they are never happy with what they have. i dealt with that in my life, thissed why of you need to take a breath and appreciate what you have in your life rather than always driving and working for that next thing, and then i also see the very destructive side of that type of parenting. you know, that sent my disr in the downward spiral. >> i'm a father of six and reading that up for that purpose, what am i up to? >> thank you. >> i want to bring up michael lambert because you have nothing but good things to say about that man. >> he was santa claus and god in one. he was this larger than life figure that made everyday so

exciting. he drove all of the energy on that set, but what was really amazing about him was he's an incredible businessman way before his time. i mean, he was someone who really understood the business of hollywood, and rather than just being the star up front, he i don't knowed the show, wrote the show, created it, directed it, kept all the revenue for himself. on the set, he knew how to run a profitable business. i mean, hollywood is very much controlled by the teamsters, made friends with the unions, gave them lavish christmas presents at abc's expense, got them on his side to the point where he had to do overtime, they did it quickly, quietly, you know, without fining or charging him extra. he had -- the thing ran like a fine-oiled machine. for all the kids, he treated us like you're paid an adult wage, work like it. everybody show up every day on time, lines learned, hit the mark. it's a serious job. there was pride in the job well

done. >> you liked that approach? >> i did. i mean, i think it was another thing that set me up for life, this idea that pride in a job well done, you know, when you work together as a group, and you achieve something realm, i had dinner not long ago saying she thinks this is why none of the kids ended up in rehab. >> yeah, because, you know, child actors don't have a great history of turning out well. >> yeah. it's absolutely true. >> i can say that. >> for him, it was a different set. there was no divas, no trailers, no princesses. he said everyone is here, everyone is equal. everyone is working. everyone is doing a job. we work together. we get it done. we bring it to the table. we celebrate afterwards. he demanded the kids. there was fun afterwards. there was rewards. it was down to a science. there was so many kids on set, and we had a blast. we had birthday parties, played together, the crew indull minged us, but we had a job. we were rewarded when it was

done. it was an interesting college at a young age. i wrote about that in the book. a lot of the fans and people that are just interested in the mechanics of how the business works have liked that. >> i'm fascinated by that, really am. >> i'm curious, you know, do you believe your mother was pushing for -- you said not money, not fame, but more was she trying to guide you and make you the best? it was about achievement, achievement and success in everything we did whether it was horse back riding or ice skating or school, or hollywood because we grew up in l.a. where that was the thing that was the most valuable, so that's what she -- it really -- i really was not about money. a lot of people draw the conclusion, but that's not it. >> are you estranged from your mother? >> yes, yes. i had to -- i don't want to ruin the end of the book, but like so many, challenges in life, you have to be your own person, and that's where i ended up. >> we're glad you're with us today on on the fox business

network, and i think the book is a wild success. now it's in paperback. you've been good. >> thank you, thank you. >> stay there. >> i will. >>join us as we'll be back in a second. look, i got a report with another black eye for abercombie worker who was fired for wearing a head scarf. the judge will pontificate next. ♪ [ male announcer ] how do you get your boce?

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no two people have the same financial goals. pnc investments works with you to understand yours and helps plan for your retirement. ta to a pnc investments financial advisor today. ♪ stuart: we said headlines would affect the market and we have gone up in the last few minutes and i have two headlines from syria. one, john boehner says the president hasn't made the case to the american people yet. that is what he said moments ago. john kerry said the u.s. won't wait long for syria to hand over its chemical weapons. here is my take on syria earlier in the show. is just shifted, the good guys are in full retreat, the nations which brought prosperity and a greater degree of freedom to the

world's lack leadership. the bad guys have grabbed the ball and are running with it. sandra and melissa are with me, they have got the ball and are running with it. emma wrong? >> hard to tell who the bad guys are in this situation. stuart: not us. >> the forces of democracy seemed to be losing but i am not sure by virtue of us going in and taking action they are winning. sandra: we have been out of control of this situation, lack of leadership from the moment where we showed our indecisiveness and lack of ability to make a decision. stuart: i have what i am calling another lifeline that may be tossed to the president. vladimir putin tossed a life line on syria. now the congressional budget office maybe sending a lifeline to president obama on obamacare finding if we delayed obamacare

the individual mandate for one year we would save $35 billion over ten years. i say that is an out. it would save the president agreed deal of heart ache for the democrats in the 2014 reelection and the cbs rose in a lifeline. >> i don't think he will take it. it is his legacy, interesting to watch the private exchanges that have cropped up to solve the problem. isn't that fascinates me? ibm and other companies like one is on the transition from the divine benefit pension program to the 401(k). don: at brad lidge stuart: that doesn't solve the problem. you can see the doctor you're like or the policy like. >> we are heading down that road. wouldn't a private exchange be better than obamacare? stuart: you have the president being offered an opportunity to avoid the chaos of the individual mandate.

avoid those lines. i agree with you that this is a lifeline. >> very lucky. stuart: when the cast gets worse in who knows? >> or stay at a press conference and there is it is. that happen these days. stuart: you are terrible. >> i don't think there's a live line. it is shown to everyone that is not working. stuart: the judge has been itching to get into is this. we don't have time for his views on that particular subject. >> too bad for you. judge napolitano: happen to agree with you on this. vladimir putin is a killer, barack obama is the winner of the nobel peace prize. their roles are reversed this time around. vladimir putin seems more reasonable and barack obama wants to bomb and killed to save face. stuart: you got your $0.10 worth in. judge napolitano: talk about abercrombie and fitch and backups but if i agree with you --

stuart: may i read from the official introduction? judge napolitano: even though i haven't been introduced. stuart: abercrombie and fitch wrongly fired a muslim worker who wore a head stock to work. the judge said the company violated anti-discrimination laws when it fired her in san mateo, calif.. why shouldn't a retailer dictate how its employees look when they relate to the customers? judge napolitano: the legislature of the state of california much like the legislature of the home state of new jersey thinks it knows what is best in deciding how of private property owners should operate his business or her business when the public is embedded to the business. the laws of the state of california so favored the individual as against his or her superior that the individual almost always wins. this wasn't even a jury trial. she sued for damages and made a

motion for summary judgment saying as a matter of what i should win and the judge said yes, we will hold a trial on damages to see if you are entitled to the million dollars you want but on the issue of liability you win because abercrombie and fitch violated a california law because the california legislature doesn't care about private property, doesn't care about proper -- property rights or what is necessary to earn an income. if you like wearing your clothes at work why would you go to work at abercrombie and fitch which sells its clothes with semite naked people? stuart: not sure we have an answer to that. would the ladies weigh in on this? will don a second. let me tell you this story. i am in the den state plaza mall on occasion. victoria's secret source standing right up front, a big story at's secret employee and a full burke the, you could see all you could see of this young

lady was her eyes. the rest was all black and she was standing in front of -- employed by victoria's secret. judge napolitano: was this a joke? stuart: she was wearing of a full burke. i could not understand that. judge napolitano: there is the defense for abercrombie and fitch and for victoriana's secret for this to become litigation in new jersey what is called a bonafide occupational requirement. it is requirement of your job that you exposed parts of your body in order to do the job than one's personal religious objections would be insufficient to change the workplace regulation. stuart: digress from the script, dow jones average up 110 points. i made the comment earlier this morning that money has no morality meaning the market doesn't care the right or wrong of syria, they just want to make a profit. emma wrong? judge napolitano: you are 100%, money is and in an object so it

can't have morality but the use of money will go to where it produces greater return. >> i appreciated the artistry of your metaphor talking about those who are looking for money and profit, look at him reading the exact wording of the law. which i love. here are absolutely 100% correct, relieved to see there isn't going to be -- not the markets don't care, the markets are allowed when syria is put on the back burner to focus on the raw fundamentals of a market which are strong earnings, weaker u.s. dollar, all that is helping. stuart: princeton, harvard, you win. we will take it. and actress diagnosed with terminal brain cancer, has months to live, no matter, she still committed to four hours a day of training for popular tv show. we have one of the judges of that show after the break.

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it fell 14% at the end of the second quarter. walmart announcing a smart phone trade in program that gives customers a credit of $300 when they take their current smart phone for a newer model. the move comes up month after a announce they offer a similar deal looking to upgrade. boston beer co. co-founder and chairman jenny polk's network just topped ten figures, creating the sam adams brand and growing of boston beer co. into the second largest u.s.-owned brewery. next, dancing with the stars judge, have we got a story for you. ♪ [ male announcer ] 1.21 gigawatts. today, that's easy. ge is revolutioning power. supercharging turbines with advanced hardware and innovative software. using data predictively to help power entire cities. so the turbines of today... will power us all...

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lou: on lou dobbs tonight president obama goes on national television tonight trying to convince congress and america that he deserves approval to attack syria. the stock market says mr. obama will be denied that approval. we take up tonight at 7:00 eastern. stuart: is this an all-time high for netflix? nicole: certainly is. in 2011 was shy of $3.05 and today you see $3.56 as high as $3 and 756. the forget what they have been doing, obviously adding subscribers which give them more money and more and half of their

annual revenue on content so more subscribers, revenue, content in addition to the original programming we discussed earlier and some of the analysts, rbc talk about price target recently so a new all-time high. stuart: momentum. thank you very much. the dow is up 112 points. knowledge genuine star. one of the judges of dancing with the stars and she joins us right now. i want to start with i believe she is 74 years old, the actress, valerie harper, diagnosed with terminal brain cancer yet she has committed to four hours of rehearsal. day to appear on the program. it is fantastic. >> and so inspiring because she is proving life is not over no matter what diagnosis you get. my mother had cancer, my father had cancer and here's a moment

everybody gives up and she was so -- not even close. stuart: it is all so i don't mean to be finicky here but also a great ratings grab. >> perhaps but more importantly it is great for her to get out and do something wonderful. see. i don't think it hurts our ratings but i don't think that was the only reason she is doing it. stuart: apply use the word black pool would have any meaning for you? >> yes but not a lot of people. stuart: i was born and raised in england. my mom and dad did a lot of ballroom dancing and when i was a little boy, i'm sick every year to black for football run dancing championship. of very big deal. i huge impact on me. >> it is wonderful because in those competitions you see these great sort of social norms that men are men and gallantly

grabbing women and dancing with him so eloquently and women are being women with their sexiness, so much fun. stuart: so much more restrained compared to what you are judging today. >> we had many of those. and these ratings, which is coming up, plenty of people to enjoy themselves. stuart: on the subject of my mom and dad they suffered from arthritis, the english disease and i believe the english condition i should say. you have it too. >> yes and i know most people think it is only for the older generation but i am 45 and i was diagnosed in 2007 so it has been a while and it came from dancing. i was diagnosed with osteoarthritis and turned into spinal stenosis. stuart: it came from dancing? a product of dancing? >> dancing bears a lot of whiplash almost like a football

player's injury, ended impact on my neck. and what i have done is partnered up with massage and the, wonderful spots and the arthritis foundation and what they have is this year the third annual healing hands for arthritis campaign and they are trying to raise money to find the cure so everybody gets a massage, you can make reservations at massagein the dog on september 18, '10 dollars will be donated to the arthritis foundation so get a massage, take care of yourself and get back. stuart: first massage in my entire life. >> you never had a massage? stuart: once. >> you need to make a part of your whole wellness routine. you need your whole wellness because it is also a ratings boost your. stuart: very good.

congratulations, thanks. there i say that sandra smith was right? we are talking grunting in tennis. you really love, what would you do?" ♪ [ woman ] i'd be a writer. [ man ] i'd be a baker. [ woman ] i wanna be a pie maker. [ man ] i wanna be a pilot. [ woman ] i'd be an architect. what if i told you someone could pay you and what if that person were you? ♪ when you think about it, isn't that what retirement should be, paying ourselves to do what we love? ♪ and this pk is the inside of your body. see, the special psyllium fiber in metamucil actually gels.

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stuart: grunting at last night's u.s. open championship, terrific game, both guys indulged in the ground, they were both at it. i say it hurts the game, puts me off but sandra says it is perfectly okay. sandra: what the athletes do what it takes to hit the ball effectively, power, confidence, accuracy, that is what is happening and it is that when a man does it. stuart: i did not say that. i am an equal opportunity critique of grunting in tennis. >> it is a natural form of when you exert energy swinging a racket into a ball. stuart: you are wrong, time is up. liz claman kicks off her three days in the valley coverage today. get me out of this. what have you got?

>> didn't he grunt back in the day? you should be here. we are on top of a roof of the marconi center in san francisco, northern california, huge tender of technology news, fox business, like no other business network is covering it, everybody talking about the iphone situation, robert gray is going to be there but come inside to the intel developer's conference, the sixteenth annual address, sixteen developers without intel chips, you don't have things like tablet for pcs which are declining so what is in tel going to do to get into the mobile market, a fox business exclusive on day one of three days in the valley, our sixth year, we ask the ceo of intel, we have so many questions for him, fox business at his

first interview, television interview. we will ask about how he plans to get bigger in to mobile, the adobe ceo is going to show you how to trade your old i phone for the new one that may be announced today, and they one of the sixth annual three days in the valley, no one covers the like fox business. stuart: more varney in just a moment. [ male announcer ] these days, a small business can save by sharing. like carpools... olly wants to know if we can pick her up. yeah, we can make room. yeah. [ male announcer ] ...office space. yes, we're loving this communal seating. it's great.

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stuart: my thanks to sandra for carrying us through a big day for your money and in the world of diplomacy and politics. look like any attack on syria is delayed, looks like a diplomatic compromise is in the works, maybe. market loves it. dow is up 100. it is yours. dagen: what did investors know last week week? the dow snapped a losing streak, the market rallied and i don't know, maybe never thought we would make a strike. you never know.

and to talk about grunting, again, thanks so much. no hand wringing on wall street despite the mess in washington. will we see a vote on syria? what about the other agenda items in d.c. that matter to your money? apple said to reveal the new iphone that unlocks with your fingerprint. is that enough to matter? calorie crushed, mcdonald's being tested in kansas city, a family size serving but what about with obesity, the serving for one? out, can't wait all it wants now, the dow gives a long standing component the boot for nike, who is in and who is out and why you care. those stories and more on this hour of markets now. ♪