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tv   Varney Company  FOX Business  November 25, 2013 9:20am-11:01am EST

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♪ >> here we go. you're going to like this. the market just wants to go up and it will today, yes, there will be another rally right from the opening bell. good morning, everyone. 16,100 it looks like the dow will hit that milestone just minutes from now. is it the iran deal? more money printing? the debates on, but the reality is that stocks are going up again and we have forecast the dow 18,000 very soon. and now, a weather forecast. it's bad.
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you may see your thanksgiving travel plans disrupted. wind, heavy rain, snow, freezing rain, just as the holiday gets going. not good for the malls, but excellent for the on-line guys. now, look at this. hunger games catching fire, huge box office for movies that you can invest in. "varney & company" is about to % begin.
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. stuart: we will start with your obamacare update. if you get your health insurance from your employer, here comes sticker stock. the wall street journal reports that obamacare forces more people to enroll in a plan from their employer to avoid those fines, that pushes employer plans up because of the extra people and that means premiums and especially deductibles will go up for millions of people. you're going to pay more, a lot more. another prominent democrat distancing himself from obamacare, minnesota's senator
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al franken says he supports a delay in the individual mandate if the website problems aren't fixed by the end of this month, five days away, ain't going to happen. franken is another democrat who faces reelection next year, much more on obamacare throughout this monday program. 30 seconds worth of other headlines. a lot is going on today. microsoft, those xbox one's broke records, and sold out in many, many retailers. the competition is fierce and the playstation 4 also sold a million in its first day. to chrysler, fiat says it will not go ahead with an ipo this month. maybe december, maybe january. and the shares that will be sold, by the way, belong to the unions health fund. it desperately needs the money. it's thanksgiving week, amazon.com already starting the black friday sales, new deal every ten minutes and watch out bricks and mortar and please watch amazon's stock.
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exciting stuff from wall street monday morning and looking at another record. record territory certainly when we get back. have to keep an eye on the weather. winter storms sleeping the nation, thanksgiving, texas to ohio hundreds of flights canceled and more dangerous weather to the east coast, tuesday and wednesday. here is proof that the storm is serious. watch this, it's an suv, oklahoma, losing control in a snow-- on a snowy road. it skids side ways, look at it go, wobbling, wobbling, it flips right over. the end point is, no injuries. now, there's a good way to start a monday. ♪ ♪
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>> ♪ >> that's it, you're watching hunger games, catching fire. it's the fourth highest movie opening ever. 161 million offer the weekend. records set at imax theaters as well. look it, it's a movie you can invest in, it's kind of unusual and we'll show you which stock just a couple of minutes from
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now. come in from chicago, scott shellady. the markets are going up this morning and the dow is going up 50, 60 points, is this in your opinion because of the iran deal? >> yeah, the market just wants to go up, stuart, and the political risk has being been taken out. if you want to go short the market it's kind of like trying to keep a beach ball underwater. it's going to pop up at any given time. how much should we levitate? take a look at japan, a qe program larger than ours, the stock market is up over 50% this year. so, let's double what we've got here in ours, so, just keep, how long can it go? well, take a look overseas and that's going to give you a good idea. stuart: we're making a lot of money, a lot of people are making money right now. the market is up higher 19 points, close to 16,100 as promised. i'm going to ask the same question to our market watcher today, gene peroni, joins us from philadelphia. is it the iran deal, gene, that's driving this early
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monday morning rally? >> well, it is initially, stuart. i mean, the iran deal does have that initial reaction activity that we're seeing, but if it was just that alone, i would look for the rally to expire quickly. the underpinnings of this market are entrenched in lower interest rates and beat expectations so i think the market has a long way to go on the up-side. stuart: we're going to get a number from you, very, very soon, how high is high. hold on, we'll deal with individual stocks and get back to you. and microsoft sold a million of those xbox one consoles in the first 24 hours at $500 each, remember. and i do own microsoft stock, so, nicole, where is the stock opening? >> i'm glad you mentioned it at the opening here it is, up 3/4 of 1%, stuart owns microsoft and microsoft sold over 1 million xbox ones in the 24 hours as he gets water. i'll tell you did incredibly well and continues to sell abroad as well in 13 countries and they're trying to push this
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one as an entertainment system, right? you can have mobile apps and such and it's going to compete, obviously, with the playstation 4. stuart: yeah, $500 each and a million in 24 hours, not a bad pace to start with. now, we'll move onto wall street. they've got their chief, mike duke, departing. kind of a, i think it might be kind of a hasty departure. any reaction on that stock? >> very interesting and the stock is moving to a new high on bye-bye duke and hello mcmillon. he was in the international group for wal-mart. the stock is up 1/4 of 1% and he'll be moving in the role february 1st at january 31st and five years mike duke steps down. a new high on wal-mart. the dow is at a new high and the nasdaq above 4,000 for the first time. isn't that a great way it start off on a monday morning? here we go. thanks very much. a big opening weekend for the second installment of the hung are games, 161 million dollars
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came in, and fourth highest of all time, lions gate films released the hunger games series and that stock is, it's down a buck, wouldn't you know it? okay. but look at the chart. we don't like charts generally speaking, but with a look like this, it's worth it. the stock has more than doubled in a year. move onto amazon, it's already started black friday deals and started today. every ten minutes there's a new one. could the winter storm drive people to shop on-line this week, that's a fair question, and people are saying, yeah, on-line is big and amazon is the king. 375 right now for amazon, up another $3. back to our market watcher, gene peroni. goen gene, you promised us a number where this dow is going to end up, tell me. >> the original target was 15,000, but 18,000 the beginning of this year seeing a lot of technical environmental factors are coming into play nicely. so we're looking for a dow 18,000 by the end of this cycle
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and i'd define that time as something by late 2014, early 2015. stuart: wow, that's pretty good. another 10, 12-- i'm trying to do the math here, 10, 12% over the next 12 months and again, let's spell this out. this is because corporations are profitable, it's because bonds yield virtually nothing, so stocks look good by comparison and the economy is expanding, 2, 2 1/2, but not the perfect storm, but the perfect rally materials? >> those are factors no doubt. but the cycle i argue began in late 2002, it's been a broad and diverse leadership and that's been continual except for 2007, 2008. but 2007, 2008 was not a traditional bear market, it was the springboard for the second leg of the bull market and i think when we look back in history we'll see that that that was an interruption of
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this mega bull market trend and earnings continue to beat expectations and i think that's very powerful because the market loves anticipation and right now it's still anticipating something on the horizon. stuart: do you think you can convince the small investor, the individual, to get into the stock market? because wall street has a terrible reputation and a lot of people shy away from it they think it's fixed, rigged, rigged against the little guy. do you think the little guy c c a big way? >> i would hope so, and as it usually happens, that occurs towards the latter part of the cycle and that's where i think a lot of the excitement can be, but the fact of the matter is, as i see it, this is a market that i think you have to give some credit to. the course of the market has been positive over many years, more than decades for that matter and it's been resilient and i think it's predictive,en able to navigate through the challenging and headline news and it's seeing something on the horizon and much more bullish than the daily headlines are portraying and
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that's where it's not exactlying to the headlines so much, it's looking forward. >> gene, thank you for this, look it, the market is exciting. it's first thing on monday morning and we're up again. great stuff. come back and see us soon. >> my pleasure. stuart: now, the wall street journal is reporting that chrysler, which is majority owned by fiat is considering an ipo to raise 1 1/2 maybe 2 billion dollars. now to be clear here, fiat is selling just a few of the shares that are owned by the union, the uaw. uaw needs the money, right, liz? >> yeah, because basically the trust that handles retiree health benefits is underwater. they've delayed the ipo possibly until january of next year. and here is what's going on, a big fight over the valuation. the uaw wants money, it needs money. the retirees benefits overall for chrysler and fiat basically are more than quadruple the market value of fiat. fiat is under pressure this morning, it's down about 2%
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given the new delay in the ipo. stuart: why the delay? >> because i think they're fighting over the value, in order the union probably want a higher value on their slug of the ownership of chrysler and own about 41 1/2% and putting up 16% of that. they want more money for the shares and possibly don't like how fiat is undervaluing the shares. stuart: let me break away for a second and we've just had the nasdaq which is obviously technology heavy, just hit a-- well, it's hit 4,000, i don't think i've seen 4,000 on the nasdaq for, i think a decade or more. september, september 11th in the year 2000, that was the last time the nasdaq was at 4,000. and i believe, eventually, it went to close on 5,000 i'm not absolutely sure of that, not to 5, but 4, that's a milestone and the nasdaq just hit it. technology is doing extremely well. technology is heavily in the nasdaq, that's why it's up so much. and then we have j.p. morgan's
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top lawyer sounding off from the company's record 13 billion dollar settlement with the government. 13 billion. he asked in front of frag regulators, quote, at what point does it stop? liz, i think the answer is, it doesn't. they're going to keep coming back to the well for money liz: that's right, stuart. this isn't any guy, this is steven cutler, he ran the sec's enforcement division. what j.p. morgan is facing now, probes around the world and ent steven cutler is next to the regulator saying when will this end? will you stop? when will you stop coming after the banks? >> i don't think they will. i think they'll keep going off the banks. in the united states, wall street has a bad name, the bankers are villains, go after them and squeeze them for every penny you've got and milk it for political gain liz: and these guys, the sec guys and cutler knows it's a
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notch on the belt and looks good on the resume' to get a win against a bank like j.p. morgan chase. stuart: i think you're right, liz. and close to 16,100 not quite there. the big deal is that we've reached 4,000 on the nasdaq. some of the big tech names which are at home in the nasdaq, they're going straight up this morning, 4,000 for nasdaq. it is, of course, the biggest shopping week of the year, black friday just a couple of days away. do you think big stores like toys "r" us will have their act together? according to our retail vigilante, yeah, he's back, that's not the case. look at those pictures, they kind of prove it, right? he's next. ♪ oh, i'm getting nothing for christmas♪ ♪ mommy and daddy are mad ♪ i'm getting nothing for christmas♪ ♪ 'cause i ain't been nothing,
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[ male announcer get the spark business card from capital one. choose 2% cash back or double miles on every purchase, every d. what's in your wallet? i need your timesheets, larry! >> we've got excited about the early morning rally. it's fading a little, but largely because boeing, which is a dow stock, is down 2% and that's limiting the gains for the industrial average. now, where is the price of gold this morning, you ask? 1243 precisely, that's 1242.90. the real price is in the price of oil. was down a buck and now down 67 cents, $94 per barrel on oil. nasdaq hits 4,000, that's a banner headline and yahoo! 36 on yahoo! now. and then we've got blackberry, chief financial officer gone, two other executives gone. the stock languishing still at
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6.31. you'd think a store like toys "r" us would really have its act together thanksgiving week? not so. brian is with us and says that toys "r" us is the latest store he's been to and exposed. brian sossy is the retail vigilante. what did you find? >> not a lot of good news. it was hard to do this because geoffrey giraffe has lots of equity, we've grown up with him. they have disarray and what i call treacherous aisles. massive underinvestment. the past couple of years they've underinvested to the do you know of about 25%. stuart: that's toys "r" us, you don't like what you see. you think that customers are not inclined to walk the aisles, the slippery aisles, dangerous aisles or whatever? >> it wasn't the picture that we did find, i know it sounds fun, but a stuffed panda bear on the floor. what's that? an item that mom is not going to buy for johnnie or jimmy it's a markdown and toys "r" us cannot have markdowns on the product especially with the
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bond prices and the market plunging since april of this year. stuart: toys "r" us is privately owned, okay. and it wants to go putting and i think next year. >> right. stuart: it's a bricks and mortar store. it's not doing real well. who is doing-- is it amazon that's killing them? >> i think you're having a lot of guys, best buy is price matching what is a toy, a tablet with angry birds? the lines are blurred and that's why price matching, wal-mart, target price matching amazon is willing to sell at a loss to download its media products and all of these influences and toys "r" us are not utilizing its stores correctly. stuart: amazon is just so easy. i mean, you log on to the thing and up pops a whole variety of toys, if you're in the market for toys, up they come and cheap and delivered very, very quickly and the stock is up go enthis morning. 376 on amazon. >> the sad thing, toys "r" us have good an on-line business,
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you can order it on line and pick it up in the store, but the stores are cluttered because of that issue. do you think that this holiday season, on-line emerges as the winner here and bricks and mortar on to a decline. >> i think you'll see things get worse at toys "r" us. it's not comparing them. they sold 5% last holiday season. it's mobile and i'm seeing retailers with personal mobile ads and gets them thinking, as soon as they get up to buy things off line and forget about the stores completely. >> bain capital has a chunk of it. >> almost several years, with the markets as they are, you'll see them try to exit the business probably next year because the reality is, they want for their clients, if it's toys "r" us, they better raise money, visual and structural
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decline. stuart: and not good to go public with a situation like-- you said that toys "r" us, sales were down 5%, down 5% last year? compared with the year before? >> correct. stuart: another one toys "r" us' u.s. sales underperform and u.s. retail sales for four years. that does not happen if there are not structural issues in the company and within the industry blowing back in their face. stuart: you will not be popular with a lot of bricks and mortar guys? >> i don't think i already many. stuart: see you soon. a controversial deal an iran and harry reid changing the filibuster rules. if you think all the headlines are moving everybody from the obamacare disaster, my thoughts on distraction. ♪ keep away from run around sue♪ ♪ hey, hey, hey
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>> of all the 30 dow stocks, which is the biggest loser? answer, boeing. worried about icing on the engines of the 747 and the dreamliner.
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that hurts the overall dow. new at ten, the lg phone that bends and fixes itself when you scratch it. so what? they'll try to sell me one and we'll see it. sunken treasure they found off the coast of florida and they brought it here. what did they find and what is that worth? the president does a deal with iran, the filibuster rules are changed, two big stories that dominated the headlines. but did they distract attention from obamacare chaos? here is my take, no, they did not. the president may have been hoping for a break, but he didn't get it. ffer the clash t journalists over the filibuster. you had dueling sound bites from harry reid and mitch mcconnell and come from way back when the president was against any rule change. in the news business, that's good stuff. same story as the iran deal broke, triumphant mullahs,
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second kerry, and israel mad as hell. and direct impact on you, maybe down the road we will be affected, but not right now. obamacare, entirely different from some rule change or foreign policy. we all feel it. millions have already received those cancellation letters. millions more know what's coming and since we all must have insurance within a few weeks, the scramble to get under that healthcare.gov website is a daily trial. we feel it. so, no, the president may have hoped that the iran and the filibuster stories would bail him out of his obamacare disaster, but it hasn't worked out that way. it's monday morning and the rolling collapse of obamacare rolls on. the chaos on our health care system is all too apparent and we know it and we all feel it. one more point. with obamacare, the president's deliberate deceit destroyed our trust in him. with iran, we must now trust
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our mortal enemies? that's a contradiction which brings negative attention back to president obama. and look at this, first thing monday morning as we start a fresh new cycle, a headline in the wall street journal, quote, companies prepare to pass more health care costs to workers. we're not distracted from issues that affect us all right now. to generate income? with fidelity's options platform, we've completely integrated every step of the process, making it easier to try filters and strategies... to get a list of equity options... evaluate them with our p&l calculator... and execute faster with our more intuitive trade ticket. i'm greg stevens, and i helped create fidelity's options platform. it's one more innovative reason serious investors are choosing fidelity. now get 200 free trades when you open an account.
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>> monday, november 25th, the stocks are up again, and the obamacare rolling collapse rolls on and look what else we have for you. colonel ralph peter, an obama critic, not happy with the iran deal. and reagan's budget chief not happy with obamacare, it's a budget buster, he says. the man who runs cold-eeze when there's not flu hysteria. i guarantee he says all is well. we'll bring you formerly sunken treasure fresh from the ocean, this is treasure hunting you can invest in. relax everyone, charles payne is back and he's been dead right on this market rally. ♪ yeah, i think we did let charles, he's been right. i want to know what his reasoning is behind the rally. it's not much of a rally, but
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it is a rally. a lot of people say, look, it's the iranian nuke deal. the price of oil is down. a little less risk in the middle and up goes stock in america. >> i will tell you a long time ago, global peace and you and i talked about it the one of the underpinnings for the rally, with peace there's prosperity. having said that, new highs bee get new highs and the federally the one we always debate becomes more and more important, as we go here, the rotation from bonds into stocks is starting to happen big time. >> yeah. >> because the little guy. >> right. >> takes a look at this rally, i'm not in this thing, i'm not in this thing, come on. >> and at this point, this is what the fed was trying to akeefe and -- achieve and you may get news that bolsters it along, but i'm not sure the iranian deal has anything to do with it. >> october pending home sales down 0.6%, i'm not inclined to
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think that has any impact on the market. the dow was up ten before the news broke and now it's up 9. the price of oil, that has been moving a lot so far this morning and it's now down close to a buck and it's down to $93 a barrel. sandra smith, that's the iranian nuke deal, isn't it? >> absolutely. oil prices have been down as much as two bucks on the session and stuart, i've been working the phones and already talking to traders all morning and from a traders perspective, this is a great thing for the equities market. and i might tend to disagree with charles and this is what set the stock market on fire overseas, this dax in germany an all-time high this is all based on the oil news. i was talking to one trader this morning who says this is everything the consumer needs headed into the holiday shopping season, to see the iran deal and see oil prices go down and to see gasoline prices going down further at the pump and puts more money into the pocket of the consumer as they
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head out shopping over thanksgiving, stuart. >> let me press you on that, especially the price of gas. if you've got crude oil back to $93 a barrel, maybe going lower, i don't know, but $93 a barrel, that would imply we'll get closer to $3 even as a national average for regular. do you see that happening? >> i just got off the phone with patrick doohan over at gasbuddy.com, one of your buddies, he says that this iran deal lays the frame work for a bigger deal going forward. they're predicting that with this slide in oil prices, on this deal, that not only could we see a drop below $3, but we could start to talk about 2 1/2 dollars as a national average. and this is a really big deal and stuart, i remind everybody that we're talking about a lot of potential oil coming back onto the market globally that we didn't have before. so this is a significant development, development not just for the oil market, but that translates to the consumer
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and that translates to a good thing for the stock market as well. stuart: maybe. all right. sandra, thanks very much indeed. >> thank you. stuart: i'm going to stay on this iran nuke deal. it has a positive for some of the markets, but i want to bring in fox news strategic analyst colonel ralph peters who joins us from washington. i know, sir, if you are not a fan of this deal by any means. i know that you're sharply critical. but my first question is, why do you think president obama did this deal? >> well, i think there are two reasons. the lesser reason is that he wants to get health care, the debacle off the front pages or at least below the fold for a few days, he's succeeded in that, but i think, stu, the longer term reason for both obama and secretary kerry, they desperately want a legacy they remember as great men, but there is a real lesson in history that if you want to be remembered as great, you can't pursue greatness at any cost,
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especially the cost of allies and foreign policy or your clients. anybody who wants to make a profit on this deal better go for short-term profits and i'll tell you this. you have really high roller financial world executives and corporate executives. would you sign a contract with a notoriously country or corporation, rather, that would allow them to term the deals any way it wanted. that's what we got at geneva. stuart: yes, but the private corporation dances to the private drummer of profit and loss and the country dances to the politics. and they've got the deal, it's in place. are we in a position to verify that the iranians really do live up to the terms of this deal? i am told that the inspectors
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within iran will only be allowed to see the tapes from inside the refining process or the enrichment process. once a day at the end of the day. that can be fixed or fiddled, couldn't it? >> sure and that's actually the most important single point for this short-term aspects of the deal. what you want above all are full access, no warning inspection rights, and as you just pointed out, we have -- we could have a few inspectors in the country who can occasionally check cameras positioned at a few points in a few major facilities. we can't go deep in the bunkers, we can't explore the still hidden sites. stu, it's just a one-sided deal all around, it's a bad deal and contrary to the new york times, this deal does not halt, halt a the word the times used, it does not halt the nuclear program. what it does, it allows them
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time to consolidate their gains, and prepare to the next sprint forward towards nukes and in the meantime, we loosen the sanctions, we raise the amount of oil they're allowed to export every month by about a third, almost a third, and reports this morning about 711,000 barrels a day, i think, now they can export up to a million. tell me how this is good. sanctions were biting and working and the only reason that the iranians wanted to talk and we're loosening the sanctions and never get them tightened back up. stuart: let me just offer one opinion and see if you agree with it. president obama wants to accommodate a nuclear iran. >> i agree with that 100 percent. i've said for a long time that president obama will not, would not come to the defense of israel and israel is, for me, on a moral and strategic basis, this is a crux of the problem. the obama administration, including secretary kerry, clearly records israel as a strategic liability, as a political albatross and as a personal nuisance.
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and i'm sorry, prime minister benjamin netanyahu, who can certainly be abrasive is nonetheless, 100% in the right on this. the obama administration, my god, obama makes neville chamberlain look like a cage fighter. stuart: neville chamberlain is well-known in my home country. >> let's say that secretary kerry, makes jimmy carter look like a cage fighter. stuart: colonel peters, i'm laughing, but it's no laughing matter. thank you for joining us. >> thank you, stu. stuart: you want to add something. charles: i think the point that colonel peters is making is that the president isn't doing this based on votes, based on popularity, based on traditional political values because i don't know that americans, once they understand this deal, that they will be happy about it. stuart: really. charles: our allies are not happy about it, israel is not happy about it, saudi arabia is not happy about it, it's one of the deals where it seems you have a checklist as a commander-in-chief presidential
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things to do get my signature thing through and move on to immigration reform. stuart: i see you point. we've got the market, the dow jones average is up 10 points as we speak. the price of oil is down and we are keeping a very sharp eye on the winter storm making its way up to the atlantic coast this weekend. snow is expected in the west. heavy rain on the east, especially up that i-95 all important corridor. so, there is actually a winner from this weather forecast. see that chart? look at that, look at that thing, a huge green on thanksgiving week. here it comes. the winner may be the on-line people like amazon. perhaps more people will stay home and shop on-line. nicole, give me the price. >> rain, sleet and snow, amazon is not going to stop. it hit a new all-time high today of 377.52. you know what's happening every ten minutes during varney. i can tell you that amazon already started their black
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friday sales and they started them yesterday. so, every ten minutes they're putting all kinds of crazy sales that people can order and that it looks like they're every ten minutes you can stay logged on and up comes a new offer popping up. >> i've got to check out the latest hot deal. stuart: hey, nicole, we'll be back to you soon. thank you. now this, prepare to pay more for your employer-offered health care plan. more workers are going to be forced to sign up for health insurance because of obamacare. your company's health care costs will go up and they'll pass along that cost to you, the employee. and from the galen institute, joining us right now, the headline in the wall street journal. is it as simple as that grace-marie? lots of people will be forced to get insurance from their employer that raises the cost to the employer, they pass it along in terms of higher prices to employees. sounds a bit simplistic, but is that the way it works?
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>> well, stuart, the distortions from this law continue and remember, that president obama said that if 95 to-- 85 to 90% of the american people aren't going to be affected at all by this, even people who work for large companies, who have insurance that they think is not going to be touched by this, are going to be forced to pay higher premiums because of the taxes that both their insurance companies had and their employers have to pay, because of the lifting the limits on lifetime maximums and also, because of this so-called free preventive care, these $5,000 colonoscopies have to be billed in the premium costs and they have to shape the health plan in ways that work for the condition and not for obamacare, it's affecting everybody. stuart: granted the premiums are going to go up for tens of
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millions of people who get their plan from their employer. what worries me is the deductible, the deductible is going up and that means immediate out of pocket-- you've got to pay. if your deductible is just say a thousand bucks, first time you go to the doctor the hospital, the pharmacy, doesn't matter, you're paying for it all, up to $1,000 and in many cases it's going to be 3, 4, 5, $6,000. that's the real killer here. just as much as the premiums. >> that's right. and that's going to be true, stuart, whether you're getting health insurance through an employer or through the exchanges. the bronze plan, allegedly the most affordable plan in the obamacare exchanges have 3 and $4,000 deductibles in many places and people don't realize, that's the money they have to spend out of pocket, as you say, before the insurancomp every year. and on top of that, they have to pay $45, $65, every time
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they go see a doctor? >> yeah. >> as well as huge premiums and so, this is the-- the people think that this-- and they keep calling it the affordable care act. it's not affordable for anyone. stuart: i'm trying to think this through and how it actually affects real people. if i go on the exchanges and i get a bronze plan, for example, and i'm heavily subsidized by the federal taxpayers, and get all of that big subsidy, i've still got to pay that deductible myself, haven't i? >> yes. stuart: still, i still have to pay, right? >> you have to pay the deductible. you have to pay the premiums. and you also have to pay co-payments every time you go see a doctor. so, this is-- there are huge-- and whether a young person says many' going to take any chance and pay that $95 the first year instead of thousands of dollars out of pocket for this insurance that covers so many more things that they don't really need. and they know they don't need.
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stuart: let me sum it up with what i think is the big picture here. implemented i'm saying that roughly, very, very roughly, 100 million people will be paying more and they will be paying for 50 million people who pay nothing or a whole lot less because of subsidies. is it roughly that kind of redistribution? >> and we learned yesterday in the new york times that redistribution is a word that's really taboo in this administration and yet, it's the principal and organizing idea of obamacare, stuart. stuart: grace-marie turner, i'm sorry we're out of time because i think this is a subject that will intrigue everyone for a time to come. >> thank you, stuart. stuart: check this out a self-healing smart phone, a curved flex. self-healing? i'm not sure what that's about.
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. stuart:. you won't believe this, forget baseball, football, the hottest video sport, video games. they're broadcast and on tv the solid ratings. one tournament broadcast pulled in 32 million viewers, more than the audience at the breaking bad of soprano finales. the athletes who are actually playing the games in public are cashing in. some are making millions just by playing video games in public. i can't believe this, charles, i've got to tell you it's amazing, but believable. when my son has company over i go to his room and one person's playing a video games and everyone else is watching and sharing and totally when i grew up we'd go to the basketball court or throw the football. the person making spectacular plays, that's great and now it's, you know, it's a changed world and absolutely amazing and the numbers are astonishing. stuart: the numbers are
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astonishing, it's a whole new spectator sport. who would have thought? >> it's going to be harder to talk your kids out of not playing the video games, mom, so-and-so made a million doing this last year, okay, you've got a ph.d. and you make 40 grand a year. stuart: and don't get injured either. no concussion on the video games. an eye opening tech story for you, lg, they're reviewing a new smart phone, a g-flex, a curved screen and special back panel that heals itself if it gets scratched up. we've got one in the studio and not allowed to touch it. and chas, first of all, you've got to explain this self-healing thing. okay, is the back of it, it's got a special panel, if it gets scratched up, it heels itself? quickly, plain that one. >> sure. good morning, stuart. well, it is the world's first curved flexible smart phone,
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the lg, and you're correct, the rear covering is a proprietary lg formula-backed resin and heel itself over time. if you have it in your purse, your pocket, your keys, heals over time to look closer to new. stuart: i get that. i understand it's new and different, why on earth should i care about a little scratch on the back of the thing? surely it's a scratch on the screen that's the big deal. >> you're correct. i think some people really like to have their phones looking new over time. over, a few years, which that will do, but the front screen is actually a curved plastic oleg display and that's covered with a plastic covering and berths from a curved screen, a much more cinematic viewing experience and more durability with the curved form factor. it's curved top to bottom.
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better sound and pick up on call quality and better durable. stuart: when it's curved. do i flex it? we've got one in the studio, ten feet away, i know i'm not allowed touch it, my liability insurance would go up. can you actually bend it yourself? >> yeah, sure, i'll do it for you. it flexes, like this, as well as this way. so. stuart: how far? show me the maximum bend? >> the maximum bend. if it's on my back pocket, it would be okay. even though i'm pushing the limit. stuart: tell me how much real fast? >> it can withstand 220 pound. stuart: no, no at what price, this is a financial program. >> oh, i'm sorry, sir. it just went on sale in korea about ten days ago, so, it's coming up with some really good
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press and consumer buzz. stuart: how much? >> it's about, about-- equates to about $940 u.s. dollars now, but when it comes to other global markets that announcement will be made at a later time and that pricing will be set, i'm sure subsidized by some of the carriers so i'm not sure at this point. right now it's an innovative leadership position at that puts lg back in the conversation and top of the industry playing on our sister companies, lg display that allowed for the curved batteries. stuart: you're in marketing, i can tell. chas abbott, good stuff. thank you for joining us, and thank you for bringing one into the studio, appreciate it. >> my pleasure. stuart: you want to check this out now. legitimately formerly sunken treasure, look at that, i think that's a chalice. charles: that's beautiful. stuart: from the ocean depths by the way. how much is that worth? we're going to play with that thing, charles.
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charles is with us as you know, and he says he will make us money. what do they do? charles: they do reloadable prepaying credit cards. their stock is up 50% since then. the retail index up 20, 50%. he may be underperforming a little bit. but he is out and the stock is up. reloadable prepaid credit cards. people are going to give up. you don't get any money from banks, with these guys there is no overdraft fees, got approval
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from the federal reserve to buy walmart legacy card business and trolled by ge. they cut a deal to stand there deal with mastercard. you can take a check from the government, not just lower income people but people who are banking like that through a credit card. stuart: is it a credit card or debit card? charles: is a debit card for what you put in. stuart: you draw it down, no bank involved. charles: pay all my bills with it, it is convenience. stuart: green dot. what is the symbol? charles: gdot. stuart: now this. millions of dollars worth of gold and emeralds salvaged from a shipwreck off of the coast. you can call this an alternative
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investment, maybe. joining us with mel fisher's treasures. welcome to the program, good to see you. i want to go through some of the treasure you have got right here. you're going to tell me a value and where it came from. that is beautiful, that is a chalice. >> 1622 sat on the bottom until we brought it up 2 years ago. stuart: how much? >> that is about a million dollars. stuart: this is a chunk of gold. must be at least a kilo. how much is that worth? >> 360,000. stuart: did it have extra value over and above the gold value because of where it was from? >> absolutely. that was not contraband. the owners mark and purity stamps. the more marks it has, the higher the class factor,
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multiple of the gold value. stuart: all of this that you have, all of that comes from one ship. speaker that is correct. stuart: you found it and you are milking it, bringing stuff up all the time. what are you looking for? >> we're looking for the stern of the ship. that is where they would have had their stuff. stuart: the wreck is spread out under the sea under a couple of miles? >> so far we have a trail over 8 miles long. stuart: can anybody else rig up a diving suit, go down and grab stuff? >> no. we have been given an injunction area to keep everybody else, the government and the state of florida tried to claim ownership when we found it, after three years in court, the federal
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nued fornt dropped out, but the eight years and it went to the supreme court and they said finders keepers. stuart: so it is yours. you don't have to pay florida anything. i can buy shares in the operation. not a publicly traded stock, i can buy shares in your private operation, correct? >> correct. a private offering. stuart: i get a dividend when you bring something up, i get a dividend. is that how it works? >> we distribute the treasure so it is not a taxable event. stuart: that is good, very, very good. charles: so the risk goes if you come up empty-handed. >> it is a high risk venture, but we hit the big pile about 2%
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return. within the next year it was 81 payoff. stuart: but you have the stern castle, and that is a big payday. >> this little emerald is worth three quarters of a million dollars. stuart: it is a beautiful emerald. >> the minute you put it under the light. one box emeralds could be worth over a billion dollars. stuart: now that is salesmanship right there. charles: talk about risk-reward. >> that is right. stuart: thank you for joining us. that is really beautiful. do you actually dive? >> i do. since i was nine years old. when i found this gold chain,
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there was that much of it under the mud, i was pulling it out and my smile cap and getting bigger and bigger. stuart: wait until you find that stern castle. >> that's right. stuart: the man who called for the stock market crash when the printing of money stops. he is next. ronald reagan's budget manager. does he see obamacare is a budget buster? next. [ male announcer ] what if a small company became big business overnight? ♪ like, really big... then expanded? ♪ or their new product tanked? ♪ or not? what if they embrace
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stuart: the dow would be up 24 points more than it is right now if it wasn't for boeing. boeing has problem with icing on engines of the 747. the nasdaq, that hit 4000 for the first time in 13 years earlier this year. i believe it is holding right there around 4000. david stockman is with us from a former reagan budget director and a big red critic. he is here right now to comment on this rally. modest as it is. a lot of people say it is iran.
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he take attention out, the world goes down, up goes stocks. >> i see the market is up because the market sold, we're in the final stages of the fourth and greatest mobil noblef this century fueled by the fed. the market is being priced completely irrationally by people driven by not wanting to miss the last increment. stuart: that is your basis? >> seven times earnings reported in the last 12 months, that is a sign we are nearly speculative end. stuart: i'm going to get to that in a moment, but first i want to ask you about obamacare. is obamacare a budget buster? >> yes. you cannot keep your plan, you cannot keep your doctor and it will not reduce the deficit. it is going to be a fiscal catastrophe because employers all over this economy are going to be dumping their coverage so
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people will be forced into the exchanges. the exchanges cover families up to 90,000 with tax credits on a sliding basis. it is assumed 19 million people will get these credits i believe it is going to be massively more than that and therefore we will be looking at trillions of extra red ink, not factored in to the plan if it continues over the next two years. when the congress finally sees the massive fiscal hit on top of what is happening to people on main street who can't keep their doctor or cannot stay in their plans, we will have a chance for a referendum to see this plan massively curtailed or even repealed, it is getting that bad. stuart: we have dealt with iran, obamacare, now i want to go back to the central premise of your
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argument about the stock market, which is we are in the fourth grade bubble, it will come to an end when they stop printing money. that is your basic premise. the market goes straight down, that is your argument. allow me to give charles payne 20 seconds to refute your argument. >> let me make the argument. the marke argument is they havet 75 billion, lots of the new trade each month when they come out of the market, if they do, don't know if this fed can, the law of supply and demand means it will clear it. the prices of bonds will drop, everything links to prices will drop, junk bonds, so forth and interest rates go up, it is obvious that will slow down housing and elsewhere. they will realize this is entirely a huge fed liquidity
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driven value and it will crash anin a major way. stuart: your reputation of that argument. charles: a wonder how much of it we will get back. all 10,000 points of this? this will happen today, tomorrow? i don't disagree with what you are saying. it is he responsible for a lot of smart people to spook out of this incredible opportunity saying sooner or later we're going to crash. >> they are trying to spook the little guy back in, if he got in march of 2000 like they were urging common market is moderately priced you would have lost 2% over the last 13 years writing the market. they are asking you to be sheared. this is what wall street does, this is what goldman and morgan stanley do. another one of those points where the retail guy who has been disciplined and fearful all along is now succumbing to the
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calls of a market that is totally out of control. >> what would be your alternative investment? a lot of people sold stocks in 2009, thinking gold will be my safe haven. >> have said to put your money in cash. if you have earned nothing, that is your bad. they want to condemn you if you are prudent. you can only protect the cabin. stuart: the great deformation is the book. compelling argument, thank you so much. what happened to all the hype of the coldest season, the flu season, where is it? a company that banks on a big flu season. we will be right back.
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stuart: i think this demand trumpets. the big board have topped 16,100. it is a monday morning rally that continues the last seven weeks. 16105. winter has unofficially arrived.
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big storm crippling parts of the west, canceling hundreds of flights. bearing down east coast to disrupt travel plans for millions. forecasted wind, heavy rain, icing wednesday. the busiest travel day of the year. for the market, breaking the 4000 mark earlier today, first time since september 2000. a tad below 4000 now. a soft sold 1 million xbox one videogame consoles the first 24 hours after it was released. microsoft stock reflecting net up $0.22. i own some of it. we will be back.
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stuart: he is back claiming success with my making ideas and look at what he has got now. go. charles: okay. last week, this one i have to sell a little bit. last week china loosened up some of their airspace restrictions. 80% of airspace goes to military right now. they loosened the depth for private jets. speculation for commercial airlines. the commercial airline space is phenomenal. i will tell you this particular company i have had experiences with it and before were it was amazing and i have lost a lot of money. i love the risk-reward. stuart: it is an interesting idea.
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let's see if you can pull the market around to see things your way, shall we? charles: do think is a good longer-term hold psp one you are tentative. stuart: all right, the dow is up slowly. 15,105. i asked for the trumpets. we didn't get them. we got them quite mark [trumpets playing] stuart: this yeaa's cold and flu season i will say it has been wild so far. not that many people are getting horribly sick. good news for you but not so good for our next guest. he is the ceo of prophase labs, maker of the cold remedy. welcome back. >> thank you. stuart: you are a glutton for
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punishment. >> even though you gave me a hard time, in-laws love you, my wife loves you, and because of that i will have a great thanksgiving. stuart: it is a publicly traded company, so if i buy stock prophase, i am buying stock in coacold. it is a lousy flu season, not many people are getting the flu. i have not been inundated with horror stories about mass pandemic. that is not good for you. >> let's talk numbers. we had upper respiratory illness, up 27%. since that time you are right, it has been mild. incidence of upper respiratory illness has been down roughly 10% for this past month the numbers released on friday, instances down 7%. my competitors products down
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roughly 10-15%. stuart: you're on this program telling me that? >> now you're supposed to ask me how our cold-eeze sales doing? stuart: how our cold-eeze sales doing quite mark >? >> this year we are up 15%. so obviously if it is a bad cold, flu season more products being sold, we will be selling more. up or down, we grow every year. stuart: you must be praying for the cold snap and you must be praying for that awful weather that is approaching for thanksgiving. >> i don't pray ever for anybody to be sick but whether i pray or don't, roughly 50 million people will get the flu each year and guess how many people get colds. 1 billion. stuart: this is a cold remedy. it has nothing to do with the flu. they get the sniffles, i'm going to take cold-eeze. >> and you should take a
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cold-eeze because many times it is a cold. stuart: it is not a flu remedy. >> cold-eeze is clinically proven to shorten the duration of the cold. it absolutely works. our goal is to drive trails. they love cold-eeze. you told me you love cold-eeze. stuart: i never get a cold or a flu. >> for each person that doesn't, there are others who get 326 per year. we started off with clinically proven lozenges. and we went from lozenges, other people don't want to have it. so we went to new forms and other health benefits so we came uout with an oral spray and the newest and proudest product shortens your cold and bruce your immune system. short answer cold 42%. stuart: and fatah call about al
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of this. i will be the best walking commercial for his product i have ever had on this program. give me the trumpets please for cold-eeze. [trumpets playing] thank you for joining us. good stuff. finally a glimmer of hope from europe. a vote against socialism, can you believe it? find out where they are doing this next are. as a business owner, i'm constantly putting out fires.
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stuart: great news for capitalism. swiss voters opposed a proposal to cap ceo pay. so it would not be more than 12 times lowest paid worker. they rejected that, no cash. good news, charles. charles: good news. capitalism needs this news. so proud to socialism and i fear there's a lot of momentum behind conscious capitalism working on a piece for that. huge underground movements coming above ground really in my mind designed to not like capitalism.
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stuart: if there was a proposal in america were everybody could vote yes or no to cap ceo pay, no more than 12 times that of the lowest paid worker, i say right now it might pass in america, it might be accepted. and you say? charles: absolutely. i would not be surprised. stuart: harry reid changes rules on a filibuster, but obamacare is still a disaster, and you are not being distracted i filibuster and iran, your take on that is next. ya know, with new fedex one rate
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obama's strategy to deal with scandal is to create so many you can't possibly keep up. daniel said we would not be in this mess with iran if obama had supported the student revolution that started in the beginning of this administration. larry says sadly he could not care less about what you say and what america says, he does what he wants because congress is too afraid of him. what do you say? charles: i say all of the above. they are all correct. the president has his own agenda and congress has not done anything to stop him. >stuart: twitter has hit a post-ipo low. that is it from us. connell, it is yours. connell: good to see you. we're going to show you the american companies impacted by the big agreement for the weekend. we will start there. and here is something to think about the next time you fly.
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boeing concerned about the engines in its mer premier plans did and it is not just about the jobs. one of blackrock's top money men says there is something else we should be looking at when it comes to economic recovery. and while what we are calling thanksnado. already a mess out west, it is heading east. that and more this hour on "markets now." ♪ good to have you with us. dagen is off today, should be back tomorrow. as we start off, one of these days you look and want to make sure you are in the right year. nasdaq 4000, nicole petallides loving the round numbers. nicole: that

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