tv Markets Now FOX Business October 11, 2013 11:00am-1:01pm EDT
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committee? charles: they really did blow this one big time. she is a hero to so many people around the world. my own personal hero is connell. he is next. connell: have a great weekend. republicans rounding out the marathon session with congress after the meetings last night. can a deal finally get done? that is still a question. this comes as a new report is out. a chemical supply problem that could mean the beginning of the end for america's nuclear program. how did everybody miss this? a huge snowstorm in south dakota. it buried more than 70,000 cows. the cattle markets are reacting to it. mark zuckerberg buying out
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neighbors homes toogive himself a little more space. it is all about privacy. those stories this hour on markets now. ♪ connell: there we go. how is it going? it is friday. dagen: why are you being so friendly? because you do not have to see me for the next two days. that is why. let's get to the markets. nicole petallides is at the new york stock exchange. nicole: taking a little bit of a breather after yesterday. it was a great day on wall street yesterday. today will be a little bit more of a quiet type day.
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yesterday we ran up pretty fast. you do not normally see that. we are seeing the dow up. we know that in washington they continue to try with the negotiations. the october 17 date is still something they are keeping in mind. connell: thank you. dagen: president obama will meet with the last of the four congressional caucuses over the debt ceiling. connell: republican leaders met with the president last night. they still do not have a deal. we have a harvard business school professor joining us in studio now. >> the market certainly thinks
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that they are getting something done. there is a sign that people are acting rationally. the reason is, the republicans and their positioning have been all ooer the map. i think they now have a coheren3 position about entitlement reform. we are back to more rational discussion. dagen: if this keeps going on, do you expect that they will be even more dramatic? or does the market become numb to it over time? >> as long as the market believes that eventually doing something dumb will be adverted, the markets may be surprisingly resilient. i think there will be a bigger reaction among the electorate.
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this is damaging. i think washington becomes a problem if they keep operating like this. connell: we solve the wall street journal poll. brutal numbers. i will ask the question again today. we still do not have a deal on the debt ceiling. what do you say to people, and it is not just french people anymore, we have had a economist and there are others who say it is time to take a stand. >> you be to raise the debt ceiling. there does need to be entitlement reform. to take an arbitrary position that says the fund obamacare and
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not even specifically talk about which parts of obamacare you want to repeal and then say we will not raise the debt ceiling, that i do not think is a coherent stand. it does not make the people advocating it look like leaders. connell: i've always wondered about the debt ceiling. we all know that it has to go up at some point. >> what has to get donn -- there are parts of obamacare that need to get fixed. i think there needs to be more discussion about the employer mandate. there have been discussions by people delaying the employee mandate. they do not realize that would make insurance premiums for everybody go up over the next year. i think entitlement reform and tax reform does need to get debated.
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it does not make sense to threat and not raising the dead ceiling to do it. connell: well, it looks like we will get something on the debt ceiling. good to see you. thanks for coming in. dagen: good to talk to you. at least both sides are talking. connell just mentioned this "wall street journal" nbc news poll. 53% of those asked thought republicans for the crisis. congressman charlie ranggl is joining us now. is this what the democrats wanted? >> if this great nation of ours goes down the tube fiscally, if
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we lose the confidence in the hopes of people, democrats and republicans, liberals and conservatives go down the tube with it. when the "wall street journal" and the top 1% of those who have the wealth in these united states see how insein the approach has been for candidates in the republican party that they support it, i said months ago, don't you worry about the increase in the debt ceiling. wall street will pull the chain of these two-party people in a minute. now the affordable care act is off the table and they are not even concerned about opening up the government. all they say is raise the debt ceiling. anyway, they are talking affordable care is off the
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table. dagen: do you think that it will get raised, though? >> i know that it will be raised. as bad off as the republicans are in terms of favorability, the democrats are not that far behind them. the whole government, they do not know what the debt ceiling means. the right wing conservative republicans are finding out. i never thought that they would jump over the continued resolution to protect our country from default. dagen: let's go back to the government shut down for a moment. initially, the death benefits were not paid to the fallen
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soldiers in this country. should someone be held accountable for leading this happened when there were warnings about this possibly happening? should someone be held accountable for this? >> you that your life they should. they should determine in their own mind who is responsible for this happening. that is what we have this government. we have to be held accountable. that is why we have elections every two years for members of the house. dagen: i am talking about someone within the defense department.
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>> when the government closed all of this discretion, government should not be closed. these things happen. people are suffering. people are dying. dagen: you are talking big picture. i want to talk specifically individuals. these death benefits were not paid to the families who have lost loved ones in the military. i want to know, should there be an investigation to who let this happen? >> i am trying to tell you that heads of departments and agencies do not have discretion when we cut off the funds for them to perform. god forbid, if every death and
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every cruelty that has happened to individuals and groups, once we find out the cause, not just monetarily, but the emotional and physical cores that this closedown has had, i do not know how much money we will have to investigate all of that. if gr -- if we cannot afford to have the dignity of these people who have given their lives for the country, i know one thing that nobody in the congress is willing to sacrifice that these people had. we should not close on the government. dagen: were you treated well? were you in police custody
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earlier this week? [laughter] >> i was trying to show that congress, republican and democratt could really do what is good for the country by taking millions of people out of the shadows of arrest and deportation and make them citizens. i did not expect to beat treated better than anyone else. between you and me, i thought i would be treated better by the capitol police than what i was. dagen: really? they cost you didn't they? >> i think they were trying to help me. in an attempt to loosen them up, one of the cops actually tightened them. when i said we'll cut the dam
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cuts off and put on new ones they saiddthey did not have a cutter. dagen: congressman, it was great to see you. thank you so much. we will see you soon. connell: never boring. we have a bunch of other things we have to cover today. some interesting stories. looking for more elbow room at home along with more privacy. mark zuckerberg buying the houses around where he lives. dagen: nobel prize. the committee uses twitter to notify who want it peace prize. connell: the snowstorm nobody noticed unless of course you live in south dakota. it involved cattle. we will have that story coming
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multiply that across over a thousand locations, and they'll provide the same benefit to the environment as over 60,000 trees. that's a trend we can all get behind. i'm, like, totally not down with change. but i had to change to bounce dryer bars. one bar fresns more ads than these two bottles. i am so nna tell everyone. [ male announcer ] how do you get your bounce? [ woman ] time for change!
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[ male announcer ] how do you get your bounce? (with scottra's smart text, i and invescan quickly way. understand my charts, and spend more time trading. their quk trade bar lets my account follow me online so i can react in real-time. plus, my local scottrade office is tlike everybody.cause the i trade ke me. i'm with scottrade. (announcer) ranked highest in investor satisfaction with self-directed services by j.d. power and associates. connell: we have this marked zuckerberg story for you now. fine for houses for more than
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$30 million around his house. he just wants more privacy. zuckerberg planning to lease though for homes that to current residents. all of that in the name of privacy. we show you the stock price up 49.44. dagen: steve jobs just lived on a regular street. prohibition for chemical weapons. the winner for the nobel peace prize. how that organization got the news is making headlines. @he committee tweeted them. take a look. please contact us at nobel prize_.
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the group won its award for its many efforts to eliminate chemical weapons. they did get the message. posting their own tweet. connell: a couple stocks to watch this hour, jpmorgan and wells fargo. nicole: let's take a look at these names. they started with of arrows. they have now moved slightly into the red. they both came out with numbers. we talk about jpmorgan. the first ever loss under jamie dimon. wells fargo credit quality, fewer bad loans. that is good news for wells
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fargo. back to you. connell: thank you, nicole. dagen: a supply shortage is affecting our nuclear fuel industry. connell: senate republicans meeting with the president as we speak. negotiating this debt ceiling fiasco. selling our gold reserves to save money? that is something, believe it or not, that has come up. mark father is coming up. he likes gold. ♪ hi, i'm terr and i have diabetic nee pain.
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♪ >> 23 minutes past the hour. despite the government shut down, some national parks could to reopen. the obama administration says they will allow states to use their own money to open them. they could be fully open by tomorrow. due to the shutdown, new york city marathon organizers may have to look for an alternate staging area. the park is federally operated.
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the detroit tigers are heading to the champion series against the boston red sox. this is after beating the oakland atlantics. those are your news headlines. back to connell. by the way, i told dagen the other day that i did not know what i said about this series. it is not about baseball. i just had not been watching that series. connell: is this something that is bothering you now? >> apparently. dagen: they get on her case. connell: thank you. thank you as is the's largest producer of nuclear power. it may be facing a shortage.
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this comes from the government accountability office. while we are talking about nuclear power, the house today approved a mini spending bill for nuclear security during the government shutdown. we are going tootalk more about this issue in terms of it key ingredient. >> i think that this potential shortfall is indicative of a broader decline in the u.s. nuclear energy production capability. we are seeing a shutdown of several react others here in the united states. those new reactors will barely allow us to essentially stay in place or tread water with regards to our overall capability. it is just an ongoing thing.
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dagen: quite simply, what are the ramifications of that, in your view? >> it could be resolved fairly quickly. we are only talking about a supply of roughly 300 kilograms per year. on a weight basis, it is not a large amount. it is a critical ingredient to control the acidity in these reactors. even after being able to rebuild the capacity could be ten or $20 million. it is not a huge investment. this, to me, is indicative of the broader issue. we need to maintain a robust nuclear capability. connell: is this kind of the beginning of the end?
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connell: not good times here. thank you very much. dagen: the answer to the debt crisis. the united states should start selling its gold reserves. connell: buried in the storm that nobody knew about. tenn of thousands of cows lost in south dakota last week. there is market reaction to this. speaking of markets, let's look at stocks now. winners on the s&p 500. ♪ thrusters at 30%! i can't get her to warp.
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blackberry, reports are surfacing that apple set up recruiting shot 15 minutes away ffom the company's waterloo headquarters. what is going on with this story? >> they are looking to get the best of blackberry, whoever is out or being pushed out or maybe of the few people that are still there and wrecking hard and probably the brains of the operation of trying to get in, so you are seeing apple and intel trying to post the good workers using linkedin messages, something like relocation, immigration assistance will be provided for candidates, and co-founders are considering a bid to buy the struggling smart phonemaker. it is prettt and she's in to try to get the good ones. >> getting closer to raising the debt ceiling, president obama is meeting with senate republicans
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at the white house. the rich edson has all the information you need to know, the very latest. rich: you have the house republicans and one republican senator is trying to get a number of democratic and republican colleagues on board with a 1-year funding of the federal government that would repeal the medical device tax, all of flexibility in the agencies to deal with automatic spending cuts, you can move money from one place to another and involve anti-fraud verification for obamacare subsidies and short-term increase in the did ceiling. with all is going on and republicans head is itching to the white house to talk to the president they are fairly low expectations when it comes to that meeting. >> of all the president wants is dragons over to city won't negotiate, that won't be particularly productive. throughout this crisis the president has taken what you might call an unorthodox
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approach to governing, his basic position can be summed up in three words, he won't negotiate. >> so the politics continue in washington. that are the beginnings of negotiations between house reeublicans and the white house and some talks in the u.s. senate, a lot going on. any of those could pop any moment or they could visit the and we could be back with a we were. the house has postponed its vote mostly to have the debt ceiling increase until november 22nd and see how the negotiations workout, democrats ussstill pushing a 1-year increase. >> we do not believe that six week delay of a catastrophic default is the way to get the economy the confidence it needs to recover. in their theory we would have another one of these periods of bedlam in washington right before the most important
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purchasing season at any time during the year, christmas. >> for the better part of two weeks we had nothing going on. we are at the point where there's a lot going on. different negotiations between different factiins trying to figure always forward. we could get anything today but it could fall apart. very early in the stages, didn't see the parties talking until last night. connell: the usual d.c. reporting caveat, nothing could happen at all. thank you. sticking with all this the debt ceiling and market implications of not raising it and everything else, a week away from reaching this limit, the treasury told us and on top of that, this credit suisse report shows the u.s. treasury could start selling the country's bold reserves as a result of all this, that is the opinion of the credit suisse anaayst. mark foster is the editor of the gloom and doom report. we will talk about the market in a moment but what do you think of this idea of that if we can't
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do it by issuing bondss we have to come up with something else, maybe create our own:and in this case credit suisse as by selling the gold reserves, the idea? >> in theory it might be a good idea but as you know, some people very much question whether the treasury still has any gold left so that is a point of consideration. my view would be the treasury could in theory be financed entirely at the federal reserve because what we have seen so far this year is the federal reserve has not only been access to $5 billion a month but in actual fact according to their own statistics the asset purchases have been in excess of $100 million a month so they
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finance the deficit so in theory, the fed could actually take money and lend it to the treasury. connell: another possibility. >> another possibility, one thing i want to tell you, whatever people say, if you look at the government expansion in the u.s. it touched off 200 year note -- $2 trillion in 1980, the government, percentagewise, increased, mr. reagan and mr. bush, number one, mr. clinton, the fed growth slowed down and under mr. bush, percentagewise it increased much more than under mr. obama. not the by am a supporter of mr.
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obama, i think the president is not particularly capable but to be fair -- connell: happened in other administrations. >> the debt has increased. connell: are you making any preparations for a possibility even if it is slim since talks have picked up the last couple days for the debt ceiling not being raised? >> i think it will be raised and i don't think that the u.s. will default now. away the u.s. will eventually default is through a sharp depreciation of the currency and a loss of confidence. i don't think it will be like this because you have an effect of cold, they would have to default on foreigners only. if they default overall, they
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killed the entire retirement fund industry. in other words the pension funds, the private pension funds, all get hurt very badly. this is economically the most undesirable consequence of a default. connell: it will be raised, that is the bet the last couple days, thank you, talk to you soon. dagen: a storm nobody has been talking about but we shhuld and we will because it wiped out a credible number of livestock. connell: new online ad campaign about carey has gone viral and there has been a big response to it. dagen: i wish i could do that. ] ♪ [ indistinct shouting ] [ male announcer ] time and sales data.
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[ woman ] i'd be a writer. [ man ] i'd be a baker. [ woman ] i wanna be a pie mak. [ 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? ♪ connell: you have probably never knew this happened but realtors and the plain states are dealing with a record-setting snowstorm that hit last weekend over the weekend and had a big impact on the cattle business. dagen: jeff flock is covering the story. jeff: we spent a lot of time on cattle ranches and this one escaped a lot of people. the impact is coming clear. look at the pictures from last weekend. essentially the blizzard hit
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primarily south dakota, and what it did, this blizzard came earlier than anyone anticipated for the cows that were out in pasture, typically in winter when it is going to come in the snow and the cold but when the blizzard hit, they were not repaid. we had 70 mile an hour winds in south dakota, froze the cattle, drowned -- sinking into the soft ground. it was not a pretty sight. take a look what has happened. a perfect storm now in terms of cattle prices. feeder cattle hitting an all-time high, they are the ones between half and the deck at which you're going to slaughter them, live cattle are the ones about the go to slaughter. all-time record not only because of a storm like this but also because of the fact the cattle herd is at the smallest since any time since the administration of harry truman. in addition you have corn prices
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which have bottomed out or at three year loan corn prices making cattle more attractive to raise. problem is you don't have a lot of cattle out there and a catastrophic event like this does something to cattle prices. look at your investment portfolio. beef is where to be. dagen: jeff flock in chicago. chief meteorologist at weather bell analytics, a joke, is this type of weather to be expected not just now but for the foreseeable future? >> we will have more cold weather coming into the plains and we'd better get ready. the couple computer models have these things three or four days away. want to make a comment about corn prices. people predicting a hot, dry summer and you saw what happened in corn country, turned into the garden of eden this particular year but the weather swings back and forth naturally and what you
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are seeing now is more evidence over the last five months of late cold and early cold which is interesting. permanent conclusions from that but these folks in the planes had a very late spot to the growing season, it snowed into may and by land you see this coming and it is interesting. dagen: what does it say about the trend of warming in general? >> the year hasn't been warming for last 17 years. about four five years ago i was on bill o'reilly's show on the fox news network introducing the triple crown--the idea the decrease in the solar cycle, the oceanic cycle shifting bacc to where they were in the 60s and 70s and stochastic events like volcanoes with startling and over the last four years at his been slight but there has been some cooling starting and this was all presented by dr. william gray of colorado state in the 70s to correctly forecast the warming peer the we are nnand
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set in 2010 or 2011 we cool back down to 2030 and i think he was caught on right. i wouldn't draw any major conclusions that this is the start of an ice age but overall we are going to cool slightly in the next 10 to 20 years and things like this could become more common. dagen: you stick with dr. gray's prediction you think this will last to 2030? >> i think so. it is astounding how far ahead ofm gray was and is. a lot of people trash him because he doesn't believe in global warming but someone tells me something and they turn out right i pay attention to them and i have been paying attention to him for quite a while. when i was in penn state in the 70s dr. gray showed up in millerville or penn state and he said all this cold weather is going to be going away, the hurricanes are coming back and
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everything else. and he was spot on right and he wrote a great paper about their mohel in and the meridian of return installation of the ocean and i know that is getting too far advanced that this guy was right and i think we will see evidence of it in coming years. dagen: thank you so much. we will see you soon. connell: joe crazy -- this new viral video we are going to talk about next about the movie carry getting bigger tension around the country and diane macedo is. diane: a gain on the dow but let's look at nasdaq winners. it's a growing trend in business: do more with less with ss ergy. is helping ups do just that.
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>> this is an advertising success story. tens of millions of people flocking to see this online at for a new movie. would be mean tens of millions? dagen: it looks like the whole kit and the. diane: not every week the number one most watched video in the world is an advertisement but that is what happened this week after advertising agency think seemed a photo of the new movie carry. this video shows the celebrity choreographed frank center around a woman in a coffee shop who gets more and more angry after a man spills coffee on her computer and he doesn't seem too apologetic. that is when the action starts. the woman appears to get mad, lifts her hand and a man goes
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flying across the coffee shop. and a hidden camera reaction from the unsuspecting customers in the coffee shop and you can see this is the video going on, tables are moving, but start flying, there is the reaction from those customers. at the end is a very quick final promo for the movie kerri. keep in mind a lot of times agencies aiming to make a video viral try to do viewers into thinking something is real when it is not but in this case the prank is real. they actually let us in from the beginning showing us how they read everything. the only thing we don't know until it is an ad until the end. it is working, days after going through, the video has thirty million views. one of the founders says rapid and marketing guys with him be as their writers and filmmakers who try to, quote, attract viewers with cool content and create as many questions as answers and invite people to share their videos with friends.
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the big question is will that awareness generated interest in the movie? we will find out when it opens on oct. eighteenth. dagen: a great idea. you do what you got to do. diane: enteetaining video. dagen: i will watch it after we're done here. connell: we almost are. as it turns out. have a good one. coming got next we will talk about d.c.. dagen: republicans meeting with the president to hammer out a plan, not paying their debts and obligations. a lot from the white house coming down next hour on markets now. connell: government regulations, dennis kneale and cheryl casone come up talking about the non-profit his says they are better and faster in the fight against deceptive advertising. [ bagpipes and drums playg over ]
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>> did a 10 of the government shutdown. let me add that to my frequent shutdown punch card here. right there. i win of free motor monkey. cheryl: it is they e 11 of the shutdown with i can't wait for my part rangers uniform. that is all i will use my punch card. i am cheryl casone, dennis kneale and i hear it to take you through the next hour of markets. here's the uestion, deal or no deal, becoming a and show. said republicans meeting with the president to hammer out their own plan as we adjust now six days from hitting the debt ceiling deadline. we are live from the white house and we are going to hear from juan williams who has an opinion on all this. a quarterly loss for the largest bank in the country, reeling from massive legal expenses. we will break down the numbers in the report and wells fargo as
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well as adding some issues. and new needs government regulations? we will speak to a nonprofit that says it is better and faster helping consumers in the fight against deceptive advertising. we have this and more in this hour of markets now. it is friday and the dow is up 73. we are not selling off. dennis: the dow was up 400 points on a slender wrist little promise that maybe they extend the deadline for all of six weeks, shows you how much markets want to rise lately. cheryl: with the media like it. dennis: let's get stocks every 15 minutes, nicole petallides at stock exchange. we are actually up. how about that? nicole: i am watching as we build momentum. this is taking some people by surprise. yesterday you saw the dow up 323
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points, a gain of 2.1%. a lot of folks thought we would cover around the unchanged line or people would consider taking profits. on the contrary we are building some momentum here and imc in everything from retail to jobs with the perez and if the index is to the downside, the dallas 72 points. two teams with highs, chipotle mexican grill but 2%, new all-time high and safeway, s w y, let's talk about safeway, looking good, and many others raising their targets. and they like the short-term sales they have been seeing and the potential for moving into that realm at some point. dennis: thanks very much. cheryl: senate republicans are meeting with president obama at the white house hoping to hammer
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out a deal to raise the debt ceiling and end the government shutdown now in its eleventh day. that meeting happening now. peter barnes at the white house with he latest. we saw them go in. what is happening inside will be a different story. peter: take him to the white house a little bit ago in boxes and they piled out and they are now in the white house meeting with the president trying to see if they can come to deal on raising the debt ceiling, avoiding default think and also to come up with something to go forward on the budget to reopen the government. mitch mcconnell, senator, leader of the senate republicans said this morning on the floor this could be an opportunity to engage in a frank exchange of ideas with the president and that is what if that is what he is looking for but if all the president wants to do is just drag us over here and say he won't negotiate that won't be particularly productive. senate republicans appear to be
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circling around a resolution to this with a plan from senator susan collins of mean. it would fund the government, discretionary spending at about number one trillion dollars a year for six months, about the sequester spending levels, would repeal the medical device tax and provide federal agencies greater flexibility to fund their priorities. he introduced that plan last week, senate republicans are coalescing around and one senate republicans said forcefully this morning it is time to wrap this up. take a listen. >> a shutdown the government with a fool's errand that would not succeed and that is a fact. defunded obamacare is not achievable. let's not delude our supporters by telling them that it is under the present circumstances because elections have consequences.
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peter: house and house republicans are participating in these negotiations and right now we understand the white house is looking at the latest house offer which is still a six week extension of the debt ceiling combined with some kind of spending cuts and budget proposals to reopen the government. cheryl: the pets they have been looking for for quite some time. keep us posted, thank you. dennis: let's bring in political analyst juan williams. thanks for joining us. what do you think, where do you want to take this? >> what is coming from the house is interesting because you are seeing real movement among the hard-core right, the tea party folks who for the longest time have been the obstacle to any deal. right now you are hearing from john boehner, from his number 2, eric cantor, talking about budget priorities and getting some concessions from this white house on the budget, and
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spending issues in exchange for the six week lift that will allow the end of the possibility of a default on the debt ceiling. and even more so from what the senate is doing at the white house. >> i was fascinated with this paul ryan proposal, the more you agree to help us cut, the deficit, the more we will agree to extend the debt ceiling, this could pro quo. are the democrats open to a thing like that? >> yes. some of this is already in the case or baked in. democrats earlier had said they would agree to current levels of spending, extending the sequestration rates but at that point republicans were totally focused on getting rid of
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obamacare. the polls that are out today, they are so bad for republicans that i think now you see some house republicans saying time to end this game because we are not winning. >> a study in shooting yourself in the foot. everyone could have predicted america would slide against republicans on this. -pit was about obamacarr, it ses it is not about obamacare anymore, is it? >> no. this is really fascinating. in this morning's poll their numbers indicate this shutdown has been so bad for republicans, it had a boomerang effect. support for obamacare has gone up because people in their minds completed the shutdown, it hurt republicans in terms of efforts to get obamacare about of here and this is why you are seeing the movement and willingness to deal today from the house.
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dennis: i will give you a chance to take a total partisan shot. in all this conflict over the government shut down do you feel like the republicans were well intended? that they are concerned obamacare is bad law and we need more changes or do you think republicans especially the tea party guy that just fighting for power? >> i think there's a civil war within the party to some extent. you just saw that little bit from john mccain, he called a full's errant, people in the republican party, this was not going to work. there is no partisan shot here. there are people who genuinely believe the government has grown too big, the diet of entitlements not to their liking, i believe that sincerely but we are democracy and this law was passed, both houses affirmed by the supreme court, we had another election for president obama this was full party. i don't know if it is a full's
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errant but it was foolhardy. not a matter of people being of bad faith but trying to go outside the normal operations of government. dennis: before we wrap let's remember congress all the time goes after the fact, makes changes and remember the obama administration made literally dozens of changes to obamacare, that it be delayed year-end giving hundreds of union chapters exemptions so is not like this is unable to be changed but don't want to make these changes. have a great weekend, one williams. cheryl: i am here. i tell you what. what get these markets, up 84 points, could have been a different story. investors are watching and waiting for any signs from washington of the debt deal weathered is short-term or maybe longer. ted harris, financial director of investment and scott martin, market strategist and fox contributor, are here.
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you say markets law that. they do. in any deal whether short or long term, will make this happen. what i am seeing with these numbers. >> i think so. markets love this. whether it is public or private, if you charge the amount of debt versus stock prices is crazy, they go up into the right which is what you see if you are investing in equities and the debt deal or deficit deal or whatever happens here, dennis said at the top of the show it got us 400 points back on the dow, it may not be a great long term fix but it reminds me of my young adulthood days when i gott bumped a few times by some girlfriends. each time the days you can't believe it but each time it got a little easier. the fourth or fifth time you get dumped, it doesn't bother you as much and that is what the market is talking about. whatever we worked out in d.c. will be okay. i will move on fundamentals and that is why you're seeing it
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rally. cheryl: those girls don't know what they lost. i don't know your personal background but let's talk about the markets. think about it. on the debt that we got, the fiscal policy before the crash, we love mortgage debt. as we power the market higher no matter what the shutdown does or doesn't do. >> look at consumer debt for the last month. was up $14 billion which was mostly student loans and autos. the one thing we are paying attention to in this discussion is how much is it going to hurt consumer sentiment? we are entering the most important part of the year for consumers and that is the all-important christmas holiday shopping season and it looks like they will kick the can down the road and start discussions again around thanksgiving which means no turkey for the politicians in congress and also
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a very serious consumer. the market should think about -- cheryl: they are not doing that. that is the problem. the dow of 300 points, maybe this is just a relief rally. you can easily look at it that way but we have to try to make some bets before the end of the year. we are in the fourth quarter of trading. we have to get our game on. let's talk about some sectors. what about from the. we have been talking about the exchanges. what about, >> lovett. the affordable care act is bringing in a lot of new customers for pharmaceuticals. is killing the s&p's this year. we talked about what we alone in our portfolio for a couple years, it has been great. this is a throw out to you, always hammered me on the financials and i never wanted to own them until recently. you deserve all the credit. this is the cheryl casone peck
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but the bank model is back. the yield curve is going to steepen meaning banks are going to do what banks do best, borrow short and lent long to the consumer. that is a great business model. it will be good for xl f which we own. cheryl: we will talk rain since 30 minutes and wells and -- wells fargo bargain shopping, i want to get one sector from you which is industrials and this is off the chart on the other side of the field from the financial sector but also a sector that has performed strongly over by last year and up year-over-year, 22% year -- is it still a good play? >> look around the globe. everyone is talking about renewing infrastructure spending in the united states, emerging markets, they are going to grow again and everyone is talking about building roads and bridges and that fits into the theme of industrials, the sector has done wilkes -- extremely well but the next few years ago. they're in for a multi-year
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growth cycle. what did peer earnings next year expected to grow at 12% and take their dividends so i think united technologies of the world will do pretty well. cheryl: it is going to have to be sectors because washington is in doing a lot right now. thank you very much. scott, our best to your wife, lucky lady. dennis: the cost of that strip state could be on the rise and details are coming up. gerri: you can't hide on facebook any more. mark zuckerberg is going to great lengths to protect his own personal -- we will break those, take a look at oil. we are sitting at a three month low for oil, you have a warning about supply, part of it is blamed on the shutdown shocker, and branch not really getting it. we will be right back. [ male aouncer ] sheets or bar? w do you get your bounce?
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cheryl: the dow is 89 points. at one point we were negative and the piece of that was what got out today so i want to show you that sector but there is now no hope of the deal lot of washington. we are keeping you posted. peter barnes standing by at the white house. take a look at these names in particular, jpmorgan chase talking about legal problems, jamie dimon on a conference call, $20 billion they put into reserve to deal with legal issues and also wants to show you shares of goldman sachs coming out next week, that stock is higher. all about financials, more bank earnings next week. time kris cox, get the dow higher by 88 points. nicole petallides, looking at gas and that stock is having a rough day. nicole: just when you thought gas was making a come back, more government turnaround and did better and worse and having a
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tough time with global sales numbers and it comprises old navy and the gas and sometimes you will see one of those three outperforming the other two but in this case all three of their stores are underperforming and have down arrows for same-store sales comparisons, and major market averages, jpmorgan in the green and that was interesting with major market averages we have seen some accelerations to the upside. the dow is up triple digits 94 points. cheryl: pushing session highs right now. we will talk about banks in 12 minutes. dennis: does facebook have any regard for privacy at all? turns out mark zuckerberg shore does, for his own. he is spending $30 million to buy four houses surrounding his current home in california. one home is price even higher than his own. the reason? privacy. he is making the move after getting word the developer was trying to buy one neighboring
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home, using him as a selling point. he plans to lease them back to their current residents which is a pretty good deal for any homeowner. take a look at shares of facebook which have no impact at all on this story but are up 1%. begins the $50 mark. cheryl: fox business all-star showdown and we started with eight stock pickers this summer battling head to head and going down to two, best of the best. robert luna and oliver porche made their stock picks two weeks ago. we aae tracking them for months so here's the half way point. here is how we stand. us at sea of red as their picks come in lower. if we end the competition today, oliver would take the win. we have a couple weeks ago. we will see how this continues to go. the title bragging rights but also this glorious beautiful incredible trophy.
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you don't want to miss how this will shake up. two weeks ago, two weeks from today on fox business we will find out our final showdown with. dennis: just had more obamacare fallout. grocery store workers are about to take to the picket lines. cheryl: big banks beating the estimates this quarter but a host of issues going on, legal costs and also looking at wells fargo. as we go to break take a look at currencies and we will be right back. it's a growing trend in business:
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do me with less with less energy.hps help. soon, the world's most intelligent servers, designed by hp, will give ups over twice the performance, soon, the world's most using forty percent less energy. multiply that acss over a thousand locations, and they'll provide the same benefit to the environment as over 60,000 tes. that's a t we can l get behind.
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>> 24 minutes past the hour your fox news minute. a senior u.s. official has confirmed the air force is firing the two star general in charge of all its nuclear missiles. michael kerri is being removed for what is being called loss of trust and confidence in his leadership. the exact reason was not immediately clear. despite a government shutdown some national parks could soon reopen. the obama administration says it will allow them to use their own
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money to reopen them. utah will pay $1.5 million to open its parks for the next ten days. governor gary herbert joins adam and ashley in the next hour of business. the detroit tigers will face the red sox in the american league championship series after eliminating the oakland athletics. national league championships between st. louis and los angeles begins tonight. those are your news headlines, fox business network. dennis: obamacare facing a new opponent, from a stalwart obama out by. unions, workers in the grocery industry threatening to strike due to changes some employees face under the health-care law. ken springer has the latest. how is the a factor in this grocery strike? >> not a big surprise. major grocery store chain saying their costs are going because of
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a penalty they have to pay on their cadillac health care plan so as a rrsult they are no longer going to be offering health care coverage for part-time workers. for the unions is a big step backward in the the contract the just expired anyone who worked 16 hours a week was eligible for employer health insurance but now is up to 30 hours a week. united food and commercial workers say obamacare is being used as an excuse to cut benefiis. >> the point was not to allow these huge corporations who currently provide health care to show their employees on to a taxpayer funded exchange. most people would agree they should be paying for that coverage, not the taxpayer. >> unions predicted this very scenario and were urging democratic leaders to make changes in the affordable care act. dennis: this food workers' strikes that might happen in washington state. any sign it is spreading to
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other chapters of the same union or other unions? >> if it happens here 30,000 workers, it will affect four major grocery stores and they will be on strike. many labor experts predict many more contract disputes over health care. union employers are not alone in making changes. home depot and all sorts are no longer offering health care for employees who work less than 30 hours a week, so controlling costs and feel they're paying into the system to support obamacare. >> why paid twice to maintain our health insurance coverage for part-time employees and paid taxes in order to subsidize the exchanges? >> the two sides are bargaining today but if things fall apart when they could be walking the picket lines as early as monday. dennis: thanks very much, dan springer. dagen: cheryl: jpmorgan and wells
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names like j.p. morgan moving back-and-forth forbid the dow is now up 88 points, not too far off of eyes of the day. of nearly 100 points earlier, moments ago. that will be something we will watch for the back half of the date for. we wanted to take a look at solar city. now, if it is up 22%. year-to-date up nearly 300%. talk about being a stellar performer, and it is now a small company. it they have a key operating metric that they used to know how they are doing. system capacity. you know what they did? the third quarter, they beat their own expectations. the solar panel maker, and they seem to be doing great just by the numbers that they're giving is based upon their metrics that they use. and it launches a company december of 2012 and is doing so well for its first trading year, 2013, as i noted, up nearly 300%. back to you.
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dennis: the sun also rises. thank you. cheryl: big banks beating the street. wells fargo dowssng better than expected earnings per share, but when you factor in legal expenses and release of reserves j.p. morgan saw its first quarterly loss. we have two banks, two stories. $23 billion he put into reserves today. unprecedented to deal with legal costs. how surprised are you? >> it is amazing. reminds me of the tobacco companies of all that are girding for battle. frankly it is not going to be enough once the government has a corporation or in this case as ceo in its cross hairs, they are never satiated. it is something i predict there will be more fines, investigations, something that they desperately want to puu behind thing that the regulators will never accepted.
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cheryl: this is an attack to have an attack on that chairman and ceo. >> two things, obviously the london whaled trade is something that they regret, but it is something that i believe, this is personal. whether you look at the ceo, a vociferous opponent of dodd-frank, his logic about why it was not working and is in effectuallgot something that this is somewhat of a payback situation with the government and they're making a point. the of the -- other money-center banks the ma ones that have not had the shoes, they're not in the limelight, getting fined as much, and it is because they're complying. wells fargo with the new york situatioo. it does not pay to make the government matt. cheryl: this is interesting. i wonder what the board will do. if they're going to have to make a move. i don't know. >> i hope not. i think that he is a good ceo.
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this is something, when you have 23 billion ready for legal challenges, it says something that -- how much attention will they be focusing on auburn the bankers as liaisons. >> we don't own j.p. morgan or wells fargo. the reef right trade is done. it was down substantially. i was pretty surprised secede mortgaged her variations down 29% quarttr over quarter, and it was worse when it came to refinancing. i mean, wwat if it's this --
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what if it decides to go lower? >> interest rates could go lower, but anyone who has refinancedd in my opinion, has already that. you look at a gloomy outlook, dysfunctions with the political system, earnings that are likely to the week. holiday sales that looks to be anemic. the outlook and consumer sentiment is decidedly murky. very few people go out and sell one terry fire and biome. when you looked at these banks, both of them are up 20% year-to-date. i'd take profits and go elsewhere were stocks are not as frothy or ones that have better fundamentals and more importantly leslie might. cheryl: the stock performance over the last month, you are right. both stronger. but over the last month wells fargo is down about 5%. it looks like other investors are making the same place a new art. willie quick, trading revenues. a slight there was pressure. it is that a disinterest in the
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stock market overall? the bond market from investors? are we still like-oriented type of retail investor right now? is there something else going on? >> the wealth management units to macleish rates are okay. they got killed on the fixed-income trading kind that is something when you look at the rising rates that impact them, a mile let's take which will hurt them again. mr. mcgee revenues are flat to negative. it is something that is almost confidence. easy is situation where the markets are more volta, they of the equity side. it is something, you look at the outlook going forward. both of them are less than optimistic. i expect weaker trading revenues, not stronger going forward. cheryl: the numbers support you. interesting comments. thank you very much. >> thank you for having me on. dennis: deceptive marketing costs consumers big box, but government is kind of slow to stop it. how one group is taking things into its own hands.
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cheryl: an early blizzard wreaking havoc on livestock in south dakota, and it could be a problem for cattle prices for years to come, problem. the software pioneer made headlines for skipping the tories in belize is now ready to help the house my the nsa. he will be joining ashley and adam. dennis: that is quite a booking. cheryl: [ malennouncer ] this is jowoods' first day of work. and his neboss told him two things -- cook what you ve, and save your money. joe esn't know it yet, but he'll wo his way up from bser to wter to chef before opening a restaurant specializing in fish and gam om the great northwest he'll stt investing early, he'll find some good people to help guide him, and hel set moneaside from his first dayf work tois last, ich isn't rocket science. it's just common sense. from td ameritrade.
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♪ >> reporter: i'm jo ling kent with your fox business brief. consumer sentiment fell to the lowest level since january. thompson riders university reading drop 75 in october down from 76. it was the third straight month of declining consumer sentiment. fiscal fourth quarter profit helping a strong recovery. the chip maker earned $0.20 a share, a nickel below forecast. revenue jumped from last year which topped expectations. and this is cool. and friends pool frequent-fliers points earn free travel. the airline will allow the seven infrequent fliers to share their points. other airlines usually charge members to transfer points into -oyalty program. as the latest from the fox business network, giving you the power to prosper. ♪ [ ma announcer ] need help keeping your digestive balancen sync?
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and have your first scalps to speak. what is that? >> we went after an organization that was promoting a supplement. and we found that they had raised a number of deceptive issues in trying to get parents to buy this. dennis: which is pretty heartless when you're going after parents to do anything to
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let there kids speak sooner. they had not done much. >> we will notify the honor that he needed to stop it. without complaint letters with government agencies. dennis: and sir the honors you're doing at. >> and they started to take some steps. our supplement was marketed in portugal. we brought action there, and they acted quickly to tell them to stop doing these things. dennis: and many ad a second target. what is that? >> we brought a case against resort 363 plan to be a pyramid scheme and are still waiting for state and government action on that. dennis: we found complaints to the government agencies. >> that's right. do you go after smaller targets? >> absolutely. whenever anybody in the community brings a deceptive ad or something they think is
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fishy, we immediately look at it and can put that up on our side in a matter of hours or minutes. it. dennis: how much of your efforts rely basically on shame and calling out publicly because we now have 11 you don't have to get some media company. he put it on that website. >> i think it is more economics. people are doing this because they make money deceiving the public, and we are out there to restructured the equation. dennis: is this something anti business about this? when you're ridiculous claims, it will make my kids speak, i'm thinking that i ought to be smart enough without a group up to know that that is a false accident. >> if you are smart enough it is not misleading. law is clear. as to mislead the reasonable consumer. unless the reasonable consumer is misled it is not false ad.
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cheryl: de thing more groups like yours up to pop up here and go after a particular industry? >> absolutely everyone needs to be doing more. we have an epidemic of false advertising and the consumers to go to sites like ours and let us know about these. dennis: let the buyer beware. thank you for being with us. have a good weekend to you. cheryl: the problem never even knew it happened, but ranchers in the plains states dealing with a record-setting snowstorm that hit last week and went into the weekend. that storm had a big impact on the cattle business. let's bring in jeff flock and phil flynn. to you first in chicago on what the storm did. >> we don't know fully yet, but it's killed a lot of cows. perhaps sent thousands, perhaps 20,000, maybe even more than that. this game and a surprise time of the year, an early start before the cows and a chance to go out there -- grow out their winter coat, seven the amount per hour wind, rain.
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they got wet, they came, heavy snows. and did kill a lot of cows. the pictures out there, i will tell you, s.d., amazing. just, you know, you know, just floating, just by the side of the road, blocking roads in ditches. we are talking it is 50,000, that is a lot of head of cattle. cheryl: it really is. you know, cattle prices. what we have seen weather and drought in taxes or a storm in the dakotas, we have had a lot of volatility in the contract. >> it has been one of the best markets in the entire commodity market. if you look at the market has been on fire lately because these said the cattle and we are talking about that are being, you know, killed right now. the numbers that you are hearing, from what i am hearing, and i just talked to the biggest trader in the entire cme. he thinks to remember you are
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hearing, double, triple, quadruple. he thinks this will be the biggess loss of cattle due to a store may be in history, maybe a million head. feeder cattle prices hit another record high. we are seeing record high after record night in both the october and november contract. this is going to be as serious situation that comes at a time where ranchers have already been devastated by flat prices. you have seen the cost of feed going up, the cost of cattle going down. this is a worst-case scenario. cheryl: you have great sources out there. what are they telling you? how long does it take to get as h. your headcount of the kind of numbers we're talking about with these cows? >> some of it has covered these cows up. we talked to one farmer who said i cannot even see what i at there. comes at a bad time because i tell you, the u.s. cattle herd right now, 89 million head, the smallest it has been in 61
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years. already starting from something of a deficit out there. so this does not help the situation at all. and now corn price is coming down. there will be more demand for ranchers to graze cattle. you know, the head may not be out there. cheryl: i'm sure i will give more of a mission over the weekend. thank you. very much. i'd like you o stick around. we have to talk about a gold. what happened? this was insane. you get this report from credit -- credit suisse saying the u.s. government to start selling gold reserves. thee you have all of this crazy like to minutes of enceinte trading until this morning. then it was halted for a few seconds. what happened. >> had to second call on gold, this massive sell order that came in. some people blame that article. now, a couple of years ago this kind of article would have been a black alike doctor. seriously, the u.s., you know,
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that is about as likely. but if you look in some of the biggest down movements that we have seen since we have this major correction, a is always surrounded by a story about a central bank's summer selling gold. remember at the peak when gold started to drop off dramatically , it was because of cyprus. there were rumors that cypress commit to meet their deficits, to stay in the eu was going to have to sell theer gold reserves this is putting pressure on governments that have been printing money by buying gold and records about -- record amounts last two years to use the gold reserves to meet the deficits. and up think this is going to happen. think the market is very emotional. >> the report that came out did not help things. thank you very much. >> thank you. dennis: your friday "media minute." the billionaire kill cowboy rides again. john malone of liberty media and
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a flurry of moves is raising a to a billion dollars in cash as he pushes for consolidation and cable. liberty media up 35% the past year. selling serious ex-im stock back to the satellite radio company, and it may borrow another half billion. liberty is paying over 400 million to comcast's to buy back 6 million shares. here is a surprise. mullin is now ending in deal with comcast cnbc it gave liberty a cat of cnbc revenues for the past 20 years. her new? meanwhile, house of cards, hundred billion dollar investment, original programming , purchased two seasons of 13 episodes apiece. now the series' executive producer says two seasons is enough. actors kevin spacey and robin rice will be busy making movies. how much pay off on netflix really get from its nine figure gamble? the real question is whether this is just a producer ploy to
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coax a higher price of netflix for season three. cheryl: coming up next, this year's salmon harvest, a big one for the last frontier. details coming up. dennis: all right. and get this. nobel peace prize committee and a bit of trouble tracking down this year's winner. wait until you see how they finally reach them. it is so 2013. first, look at some of the day's winners on the nasdaq. [ woman ] if you have the audacity to believe your fancial 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 y believe in the sheer brilliance of a simple explanatn. [ male announcer ] join the nearly 7 million investors
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o think like you do: face time and think time make a difference. join us. [ le announcer at edward jones, it's how we make sense of investing. itdo more th less with sless energy.es, hp is helping ups do just that. soon, the world's most intelligenservers, designed by hp, will ge ups over twice the performance, using forty percent less energy. multiply that acro over a thousand locations, and they'll provide the same benefit to the environment as or 60,000 trees. that's a tre we can all get behind.
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the foster farms plant in central california link to a major summer now operate will remain open. the usda threaten to close the plant after the company took steps to assure the government and consumers that the me process there was safe for consumption. at least 278 people have been sickened in 18 states since march, and so far the illness has been resistant to antibiotics. commuters -- commuters can breathe easier as bart workers decided against a strike for now. a midnight deadline came and went after a two month mediation process forcing the union and barred officials to sit down and talk. just before the deadline union leaders agreed to stay at the table temporarily averting a major trances crack -- transit strike. 2013 moby the second most valuable salmon harvest in alaskan history. value is six and a 91 million bucks. just shy of the record set back in 1988 when the salmon came in for a total of $724 million,
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219 million fish were caught this year. that is a lot. that is your west coast minute. well, he is the rebel you cannot stop watching because you never know what he will do or say next. anti softwareepioneer john mcafee will be joining adam and ashley with what he's doing now. dennis: meanwhile, stocks picking up steam. some say washington could have an accord this weekend. plus divergent earnings on why this quarter will be the most challenging one for banks since the financial crisis next hour. [ female announcer ] who are ?
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adam: stocks marching higher. there's still no official deal in washington. six days away. utah governor joins us with how he is reopening federal parks in his state, even if it cost $160,000 per day to do that. ashley: and if you think the debt ceiling and government shut down a scary, check this out. swarms of jellyfish shutting down business. a new plan to kill them could really backfire. adam::you may just want to go into hiding. we will learn from a man who knows how to do that. software pioneer john mcafee and made headlines after escaping from authorities in billy's is now ready to help you how smart the nsa. first, some republicans wrapping of the meeting with president obama at the white house moments ago. live for us at the white house
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