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tv   Markets Now  FOX Business  December 12, 2013 11:00am-1:01pm EST

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connell: a new budget deal in congress, you would think could not get any worse. monica crowley will be here to weigh in on that. the government taking a hard look at using phones on planes bill de blasio majority of americans now say they don't want their neighbors chatting in the seat next to them. and we have a high-tech development to tell you about for warfare, lasers are becoming more reality for the armed services. and with foreclosures hitting seven-year lows, our friend from agency will tell us about the hottest housing market in the market. plus, dagen mcdowell coming up in this hour of "markets now." all right. dagen: please don't let people talk on their tw to phones on te airplane.
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it is always the most innate conversations. most people leave really uninteresting lives. connell: may be texting, some kind of compromise. dagen: we have another triple digit loss on our hands against economic numbers pushing the numbers lower. the callower. nicole petallides at the dow jones industrial pit nicole: s&p 500-1779, losing two tenths of a percent. the nasdaq almost 4010. that hasn't up arrow. tech heavy nasdaq looking better today. the stocks seemed mixed. transports are higher. oil services are looking good, the drug stocks are pulling back, so seems like a mixed bag today. still pressure on this market. the fed economic news today was mixed. jobless claims and retail sales
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showing some strength. let's take a look at facebook, facebook going into the s&p 500 closing trading on december 20. we will see some names coming out including paradigm on the 500 on the 100, the williams company. back to you. dagen: thank you so much. connell: a new poll suggesting america's interest in congress is reaching new lows. job approval ratings averaging 14%. the lowest annual average in history of gallup. dagen: fox news contributor monica crowley. we want to look at monica who looks particularly smashing. connell: 14%. a little high, don't you think? >> i want to know who the 14% are who approve of congress.
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there was a poll released last week that showed congressional approval at 6%, so we know it is really bad out there, and the ire is being blamed that both parties, republicans and the democrats. dagen: do you think this budget helps? shows people get along. monica krol: maybe. if it survives. the two wings of both parties that have problems with this budget deal for different reasons could join forces and you would have a dramatic showdown over the budget. connell: let's say they don't for the discussion, say they bottomed out how everybody hates congress almost to the point we are conditioned to answer this way in the polls. nobody is saying i love them because they have heard it over and over, it is almost perception becomes reality no matter what it is. is there a chance this is the bottom, the worst? monica: we still have 14 points to go.
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technically they could go down to 0%. polling has been what do you think of, as overall as an institution and then people as busily asked what do you think about your member of congress or your u.s. member. a lot of people would say i hate congress but i like my guy. that is changing. people are saying i hate congress but i also hate my representative, they are not representing my interest. what that tells me o as next yer 2014 when the entire house is up.33 of the u.s. senate, you could see a massive change election the way we saw in 2010. dagen: do you think they will attempt the right and the left on more compromise in the coming year? the fact they are not getting along and the more they have disagreed with each other unless they have been able to come together and the more they go to these dropdead dates, the debt ceiling, a budget bill and the likes, do you think that has hurt them so much they've got to get along?
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>> in an ideal world that would have to happen, now you have an institution and a country so highly polarized there really is no incentive to come together. the base requiring one thing, a dwindling portion of each party that is actually represented by moderates, so there is less interest in the coming together. if you are heading into an election year, the appeals to the base is so critical you may not see much movement in terms of compromise. connell: you could argue there wasn't much incentive to come together other than to keep a story if you are the republicans in the news and at the top of the news the failure of the obamacare rollouts. a lot of people think that. monica: it is imploding on itself and this is a huge problem for the democrats. in terms of coming together, a lot of people both sides of the aisle believe coming together in compromise has gotten us into this mess.
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i actually do. a lot of people do. dagen: i am curious what you think, that the republicans need this budget deal more, not the spending cuts as many would like, don't they needed more because republicans need to avoid a government shutdown. monica: it depends on which republicans are talking about. leadership, you are absolutely right, i don't want to go anywhere near a shutdown. they gave away their leverage by saying we are not going to shut down the government ever again. now they know they can get away with whatever they want. if you are talking about conservatives, they do not want increases in spending and taxes, this doesn't address entitlements, tax reform doesn't address the deficit and that debt. to me this is a horrendous deal. they will fight on those issues, the far left will fight on unemployment insurance.
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dagen: you have a ways to go. always outstanding looking. monica: thank you. dagen: thank you. always need blessings. the fcc looking at passengers on airlines being able to make voice calls while in flight. connell: so much that could possibly go wrong. hey, rich reedit rich. rich: a lot could go wrong. if you talk to folks around here, there are basically in line with that. the fcc will vote today to continue allowing airlines to put in the type of equipment to let you make a phone call. if the vote goes against it, tot basically kills the proposal.
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when you talk to the fcc chairman as to why he is pushing it, he says i don't want to sit on an airplane having some a talking on the cell phone next to me, but what the fcc is making a call on the technology. >> where there is new onboard technology that eliminates that potential for interference, there is no need for interference rule. this is the responsible thing to do with a rationale for a rule doesn't exist, the rule shouldn't exist. we are the expert technical agency. >rich: individual airlines would have to install equipment. they say they will continue to work with the fcc and the faa on this, but congress is trying to head this off and make it illegal. the congressman pushing the bill to ban cell phone use on airplanes at least for voice calls. if they will be voice forced ton to the gossip, it will make for a very long flight.
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the silver lining in all this is if somebody is talking on the cell phone, they are not talking to you. back to you. connell: we did like the christmas music in the background of the terminal. stay in the air for a moment and talk about the market because the aerospace sector has long surpassed the market. up by 50%. kevin joins us. down here in the studio, thank you for coming in. you like some of these stocks, you still like them? >> yes, i do. boeing is one of our top picks right now. connell: let's talk about boeing right now. it is not necessarily saying i will take every aerospace stocks. it is i will find the best performing companies in that group, what is it about boeing that keeps you guys coming back? >> they have 2.5 ilion dollars
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in cash flow. earnings are growing for 15, 16% the next couple of years. over $400 billion backlog and transform aviation industry and they are innovating in a in the technology sector right now. working on it since 2002 and it is transforming. connell: the economy on a macro basis appears to be in the united states getting better. outside of individual stocks is what will next year look like in terms of federal reserve and everything else. is a company like boeing going to say how much will a company like that be affected and how are you thinking about going into next year's holdings western mark >> the stock will be affected by the short-term news flow. long-term fundamentals look positive, you have to be a short-term tactician in the market. now good news will equal good
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news again. connell: is that an easier markets to operate in? >> the last few years have been reversed in that. profit margins can continue to expand for some companies. i think the market for 2014, there are a lot of fundamental companies. connell: how do you know that going into next year suddenly when the taper talk becomes more reality rather than speculation, how do you know good news will be good news and won't be the opposite? >> we look at the barometer overall and the way stocks react. is it fed speak? it has been growth and the correlation has decreased store to pick stocks, a much better environment. seeing it from those from 2007. connell: the real wild card in all of this is janet yellen.
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trying to interpret that, but your data, your metrics next year could be a pretty good year. >> who is going to guess what is going to come out of washington or the fed. we can look at cash flow and earnings end product investing from that metric and we see positive underlining signs right now. connell: kevin, thanks, good to see you again. >> good to see you. dagen: lasers used in warfare becoming more of a reality. the u.s. army reporting a missile defense manned vehicle like this one successfully use a laser to shut down 90 mortars and unmanned vehicles. it uses a beam to hit targets with great precision as it moves at the speed of light. boeing makes this vehicle. the navy has already been working on a similar system for its ships being expected to be deployed next year.
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here's a look at some of the defense contractors today. connell: a lot of reasons to talk about boeing today. no toleration for rude people. one french café that is going to pull more out of customers wallets based on how the customers behave. dagen: the pope sharing his thoughts on wealth and agreed in the world. connell: liz macdonald is coming up. and the hottest real estate market in the country, you don't want to miss that. ♪ [ male announcer ] how could switchgrass in argentina, change engineering in dubai, aluminum production in south africa,
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connell: back on "markets now." you have good manners. talk about how you should order coffee. dagen: i go out of my way to be kind to everybody. make contact with on a day-to-day basis, except for maybe you. connell: content is king with amazon. they are paying up big for the cbs show "under the dome." nicole: "under the dome." i will attest dagen is very polite.
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cbs ceo gave a hint, you don't know the true numbers but could be roughly over $9 million that amazon paid to stream the high sci-fi series "under the dome." as streaming continues to gain in popularity, this is just another move. these remarks were made at the ubs conference. tv networks will spend over $1 million making a one-hour episode, but amazon streaming it on the prime service for four days after the original date, which is good news. you do have competitors such as netflix and apple and the likes. amazon's budget probably around 500 million, netflix around $2 billion for content. a little bigger for netflix, back to you. dagen: thank you so much, nicole. airlines next year are expected to earn a record amount of money. the global airline industry forecasting a jump in profits to almost $20 billion for the major
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air carriers, well above the expected profit for this year of nearly 13 billion. the international air transport association however says margins next year will be much lower coming from about $743 billion in revenue, almost three quarters of a trillion dollars. that would mean a profit of a little less than $6 per passenger. connell: and you might be able to talk on your cell phone. dagen: we pray every day that won't happen. connell: we will see, today is the day starting it off. what about the french, the country not known for its politeness. there's a cafe introducing a new pricing scheme aimed at rude customers and they will reward the polite ones. you come in for lunch and you order a cup of coffee by saying coffee, cost you $9.64. if you add a little please, not the price down to $5.85.
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if you came in and something like hello, one coffee, they will only charge you $1.93. dagen: i always say please, sir, ma'am, thank you. connell: i know you do. you try to use those mannerisms to make up for it. dagen: if you don't say no, sir, yes, ma'am, you get smacked in the mouth where i came from. some of the west coast real estate market, we will talk to the agency committee cannot imagine how hot los angeles is, the real estate. connell: is always good to have him on. and the cdc releasing information on flu vaccines. coming up at the top of the hour. "markets now" continues with a look at the market. here's a look at how the currencies are looking.
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>> 23 minutes past the hour, this is your fox news minutes. turkey is temporary shutting down all boarding crossings to and from syria today amid ramp to fighting between opposition groups. the u.s. announce it is suspending nonlethal aid to syria after a warehouse seized by al qaeda. things like predication equipment and medical supplies. save her estate of john kerry back in the middle east today beginning a two-day round of peace talks with israeli prime minister benjamin netanyahu and palestinian leader. this is his ninth trip to the region this year alone. some new reaction from south africa on the sign language interpreter at nelson mandela's memorial service or. he gestures made no sense. a cabinet member said he made a mistake in hiring the man. meanwhile the interpreter claiming he suffers from schizophrenia and says he saw angels at the event.
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those are your headlines. some unbelievable. back to dagen and connell. dagen: we could not make story up if we tried. connell: none in the least. let's make some money with charles payne who is with us as usual. dagen: las vegas stansted do like them for vegas is the question. charles: no. i wish it was a vegas story. last year the vegas business is off like 3%. but their casinos, four seasons up 47%. singapore i like also to a lesser extent. this year they cracked down, china cracks down because of a big corruption scandal, still october the sales were up 31%. ironically last time las vegas answered, revenue was up 31%.
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i don't think the stock is anywhere near where it should be. this should be closer to $100, in the 70s right now. in this environment with the market looking a little shaky, i feel very comfortable in this thing even though execution hasn't been great. dagen: have you looked at mgm grand? charles: no, but i have played a more localized play. these guys have the best footprint, and i think they have a great group in singapore as well. the stock is undervalued. wall street has high expectations for them, does not mean they are not doing great. when revenues are up 32%, just set a record and wall street says it is not good enough, i don't always overlook it but in this case maybe we can give them a break. connell: all right, let's go check it out. charles: we should do that. dagen: i am there. connell: speaking of traveling and real estate. the segment on real estate
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coming up. mauricio will talk to us about what you have to keep an eye on. dagen: we get to look at the video of the homes they have listed because it is incredible. also incredible, the pope again warning about greec grade in the world. and here's a look at the winners on the s&p. every day we're working to be an even better company - and to keep our commitments. and we've made a big commitment to america. bp supports nearly 250,000 jobs here. through all of our energy operations, we invest more in the u.s. than any other place in the world. in fact, we've invested over $55 billion here
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dagen: at the half hour what is coming up on markets now,
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talking about the hottest markets in real-estate. pope francis has a new warning about greed in the world and then the flu. the cdc hopes to keep it in check. >> looking at lulu lemon, these two names on the move, lulu lemon down 11% continuing to sell off not recouping the losses, and had a lot of issues that have been a factor, getting products into the stores, the retail, and the biggest problem of all, they are worried about the reputation overall. concern about the future going forward for the holiday season we are seeing a blue moon to the downside. and we are looking at home depot which is planning to open three fulfillment centers to support
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same day shipping. california, atlanta and ohio over the next few years and these will compete with amazon, the day, walmart. dagen: the foreclosure crisis is essentially over? foreclosures dropped to the lowest level in seven years according to new numbers from realty track. connell: our next guest tells us about real-estate markets he is bullish on. good to see you. our bureau in los angeles. tell us your thoughts on your home market in l.a.. >> good to see you. we are really bullish, thank you so much. we are bullish on what is happening in l.a. and excited about third quarter results and continuing to see great demand and amazing velocity and
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absorption. we are continuously bullish in l. a and seeing a lot of pricing greases due to low inventory. hopefully we can feed that against other communities and resort towns and second homes purchasing. dagen: talk about the inventory, particularly in the multimillion-dollar properties you are selling at the agency because this is particularly troubling. the inventory squeeze, prices get to the point that they become precarious lehigh. >> we are starting to see a real price increase, starting to see in los angeles, hitting $3,000 of food which we have never seen before, $27, $2,800 becoming common and $2,000 a foot is pretty common among the leading high end homes. there are great homes being developed and inventories at an
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un:o
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one of the houses you have a developer owned inventory at an all-time low. trends in vegas, job growth is high, the income is increasing, we are starting to see a real increase in velocity of absorption so that together with the lack of state income tax makes it a viable place to go and you saw huge drop in prices and we are starting to see in southern california, going out there so at the agency is bullish on vegas. we really like the high end market, the strip market, we just brought on line the residentss, mandarin oriental is great living, right there in the heart of this trip, we are really bullish on vegas. dagen: you spend a good bit of time particularly recently in shanghai. are you starting to lift properties there or doe that
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just cultivate potential buyers for los angeles and other u.s. destinations? >> we just want to make a real impression out there and help them bring their money into the u.s.. we did not want to sell properties in shanghai or china or become understanding the legal laws and the ways they do business. we want to become the experts. and the key to putting money in and helping them bring the investment in a hard asset which is real-estate and to enjoy investigating hard assets. connell: we have seen that over and over again. is it too tough legally to get involved directly in a market like china? >> never say never. certainly right now all, continuously going down there. we have been near five times. it is a great country. they are making a lot of money.
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and now we want to be the conduit of money coming in to the u.s.. dagen: what about new york? would you ever up in an office here? >> i would love to be there with you guys, maybe 2014. dagen: we will hold you to it. >> cool weather coming down. connell: freezing here today. dagen: great to see you as always. pope francis. taking a lot of heat after his newest message about greed. critics calling him and high capital list. liz macdonald has more on this story and what he really said. connell: clear things up. centers for disease control releasing the numbers on not flu vaccine. and we have a preview on that.
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adam: adam shapiro with your fox business brief. ford's board of directors will send alan mulally about his future plans, is name has surfaced repeatedly as a top candidate for place steve ballmer has microsoft's ceo. board is looking for clarity and plans to discuss the matter at a meeting today. dragons group of america replaced jonathan brown, gw says browning is leaving the company for personal reasons and is returning to the u.k.. he led the unit to a 23% sales gain in 2011 and at 30% jump last year. u.s. sales of porsche up 1% this year. consumers ramped up spending in november to the highest increase in five month. retail sales rose 0.7% beating the estimates for a drop of $0.06 and that is the latest from the fox business network giving you the power to prosper. ] if we could see energy...
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connell: pope francis has had criticism, as people say he is anti capitalist, given his recent writings in what they call an apostolic exportation talking about the world economy. dagen: liz macdonald has insights about what the polk did say and his critics may want to pay attention. liz: he never used the word capitalism throughout his whole eggs or occasion, the joy of the gospel is what is called in english common every use the word capitalist. cheese the invisible hand of the free market once. the catholic catechism says no to marxism, no to collectivism flat out. he is talking about the election, whenever the political ideology, he is against corruption, against idolatry of money and it is a world wide message, free-market round world, australia, canada, hong kong, a round world.
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he did talk about the avalanche of government debt, reducing the purchasing power and dignity of consumers and economies around world so there's a lot more to his message than what has been perceived as anti capitalist greed. let's start with the pope. dagen: how unusual is it for a polk to talk about economic issues? in the way that he has in this instance? liz: not unusual. many polk going back even to jesus talking about idolatry of money and the culture of prosperity. he is talking about the culture of prosperity deadening the human being. when the market goes up 2 percentage points, why is that news when the homeless person is dying in the streets? the fact that this has taken off in the bloodosphere is telling. yes, capitalism is worth talking about and essentially he had a row seat to a crony capitalism
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in argentina. that is what the polk, when you read what he says, criticizing, he is not criticizing one ideology over another. and the fact that he brought up the debt, talking about a better distribution of income, better government spending, talking about getting jobs for the poor. connell: conservative people don't like the things he has said about social issues and now economic issues on top. they liked the previous polk better. liz: talking about trickle down economics theories and also the consumerism, the impersonality of that. giving a warning we are human beings in the free market and we deserve the dignity of human beings in any economy. dagen: you can't vote him out.
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liz: when 9/11 happen people didn't go running to steve ballmer or michael dell or mark zuckerberg. they went to the government. he is saying the government too has a role in this, we need better government as well. the government did run to bankers. and the polk beyond criticism. dagen: i have enjoyed this catholic sandwich. connell: i dunno if the church wants to claim either one of us anymore. dagen: just hoping i don't convert to catholicism. connell: baltimore or something or other. good stuff. dagen: that time of year, the flu. this centers for disease control releasing new information about flu vaccines including how many people receive the shot and how
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many were prevented. connell: first of all, how did the supplies of vaccine look this year? >> public health officials say there are ample supplies, they already distributed 130 doses this flu season and more doses on the way. there are more options available including a new vaccine that protects against four flu viruss instead of the usual, there is a high dose of vaccine available for adults 65 and older. studies have shown older americans have weaker immune systems, they don't respond as well to the flu vaccines so there is evidence increasing the dose will protect these older americans. >> and the muscle, and what that means, to use a smaller needle
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and a lower dose. dagen: how much flu activity is there right now? >> it appears it is beginning, particularly in the southeast, flu activity begins early and picked up nationwide. and it is about 60% of us, before everyone is traveling for the holidays. and the cdc will release updated figures on vaccination coverage in the u.s. as well as its impact and we will be reporting on that throughout the afternoon. dagen: thank you, great to see you. thank you for the report. connell: dagen mcdowell will learn how she can talk to her dog from the studio.
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all of our reporting together today. this is better than talking on your phone on an airplane. dagen: face time with the dog or skype, just a little bit different. when is today on the nasdaq. [ male announcer ] e new new york is open. open to innovation. open to ambition. open to boldids. that's why n york has a new plan -- dozens of tax free zones all across the state. move here, expand here, or start a new business here and pay no taxes for ten years... we're new york. if there's something that creates more jobs, and ows more businesses... we're open to it. start a tax-free business at startup-ny.com. i need a newn't investment pn. we're open to it.
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dagen: iou pat obsess? fixated with your dog or cat? here is something else you can spend your money on?are you pat? fixated with your dog or cat?
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here is something else you can spend your money on? a two way video device that lets you video chat with your pet. joining us is the founder and ceo of pet cats. i said before we went to commercial break, you can have time -- face time with the dog or skype with the dog when i am not there. sounds insane. why create a device specifically for this? >> if you skype with your pet right now it requires human interaction on the other end. this is a device that is wherever your pet is whether at home or in a boarding kennel and you can call your pet and actually see each other and hear each other and talk to each other and provide a comforting cent and give him a treat from anywhere in the world. dagen: pet owners won't thick this is an insane question. have you done research on the device? does it freak the dog out or the cat out when they see their own urban they are not in the room
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with them? >> we have done exhaustive research in the design of the product as well as consumer demand for the product and testing the product with pets. we know that pets have a response when you ring the doorbell. we know they have response when you open the jar of treats. this is very simple. when you call them there is a ring that rings out. they hear that, they know to come running and they will get a treat. i see my pet like i do at the end of the they running toward me and get a jolt of knowing my pet is okay. i feel less guilty. dagen: i don't know what this is, someone is holding up to might year. whenmy year. when is it coming up? >> reporter: we have been working on these products in 2011. even before that, our inventors
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put together three patents plus others that are pending on this product. it is coming out beginning next year, will be available online as well as in retail stores nationally. dagen: what are the other potential applications of this? it can go much further than communicating between owner and beloved pet. >> absolutely. we are technology platform company, we are developing web based software and hardware to enhance and direction. for market segments that can't use the phone or computer, so this is the first product. our next project is an audiovisual medication management system for folks that are having a hard time managing medication. now i can call my mom and see the whites of her eyes to >> that can dispense medication remotely and watch her take those medications so i can be sure she is taking the right medication at the right time.
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dagen: what would you do for the first application? is that another avenue you would take? >> we have looked at lots of marketing strategies. right now one of the biggest things that is happening is social me diaz to uphold. we are getting orders every single day. we get e-mails every day because people around world are so excited. it is spreading like wildfire. dagen: people are obsessed with their pets and will spend any amount of money on them. whatever it takes to make them happy. >> exactly. it is a $55 billion market. we know that 68% of pet owners, 68% of the population are pet owners in the united states and we are spending a ton of money. dagen: that is my dog ramon riding in a sports car. great to see you. >> thank you very much.
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dagen: i tried to talk to ramon on the phone. connell: he needs his space. in the deal on an extension of insurance benefits on the budget agreement and so back to d.c.. that is 1.3 million people could be heard by this. dagen: once the darling of main street and wall street crispy cream planning to expand to areas across the world. cheryl and dennis are up with the ceo on markets now.
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>> they do some legerdemain and they do some show games and they want to reduce the deficit but over 10 years this deal will add $7 trillion to the deficit. it does not significantly alter our force, we're still on a course for disaster. cheryl: rand paul blessing the budget deal.
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i am here with dennis kneale to take you through the next hour of "markets now." all about the fight within the party. the latest leading up to today's controversial vote on the federal budget. the deal itself has nothing that would extend unemployment benefits. 1.3 million americans will do without in just two weeks time. and it is a whole new world, krispy kreme expanding abroad. the ceo is going to be joining us later on in the show. that and a whole lot more coming up in a very busy hour of "markets now." we always said, dennis, it could be the tea party that would be the game-changer on the budget. now they have time to discuss amongst themselves, there might be a fight now. dennis: a big fight. house speaker john boehner is demonizing those who would dare oppose the deal. and the top of the hour, stocks now every 15 minutes, nicole
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petallides at the floor of the new york stock exchange. nicole. nicole: good afternoon to you and cheryl. we are below the 16,000 mark throughout this week we have seen a lot of down arrows. the trend and the averages have been to the downside. not so much back-and-forth action, right now the dollar is stronger and commodities are mixed. on the dow, mostly lagger's, names coca-cola, johnson & johnson, cisco has been under pressure. the vix very often now we're seeing it move higher. 1563, that is a gain of 1.3%, so near the two-month highs as we continue to talk about the possibility of tapering. the 10-year bond, 2.88%.
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back to you. dennis: thank you very much, nicole. congress expected to vote on the ryan-murray budget deal that would set a slight spending levels for two years causing friction and fraction in both parties. fox business peter barnes live in d.c. with more. peter: the house is getting ready to start debating that bipartisan budget deal at this hour. providing $63 billion in more spending over two years, split evenly between defense and non-defense. paid for with higher fees and spending cuts. so that will also give it an additional 20 to $23 billion or so in additional deficit reduction over the next 10 years according to supporters. the bill does not increase taxes, said benefits or increase the debt ceiling. congressional leaders hope the deal will help boost economic growth by removing some policy
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uncertainty here in washington. today's stronger-than-expected retail sales report for november may show it was up 0.3%, maybe consumers have already moved on. speak other is over estimated impact of washington, that was seen as the more severe than it actually turned out to be, and a lot of americans may be ignored or just didn't pay attention to that. peter: the house is expected to pass this deal later today and then those guys are jailbreaking out of town for their holiday recess, we won't see them back here until january. the senate is expected to take this up and pass it next week. dennis: thank you very much, peter barnes. cheryl: not included in the bipartisan budget deal is the extension of unemployment insurance for 1.3 million americans. that is that it i set to expire
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december 28. with more on the debate, senior vice president of monster.com. that number is staggering, but at the same time the republicans say this is $26 billion we could save and the economy is better, unemployment is down. how do you respond to that? >> there are a few things, this is not an easy debate. you could look at this on both sides. if you look at the 27 billion, that would be taken away, and not given to those on unemployment, that number may not come back into the economy as well, and so we have a lot of people that are still out looking for work, the economy is improving. about 200,000 jobs per month for a consistent basis, but it is not that robust growth. cheryl: at the same time it is still hard to quantify, even the best economist cannot tell you the impact on employment taking that away may motivate
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those sitting at home collecting the checks to go out and look for work. there's a section of america that things it is better to stay home on the couch and go to mcdonald's. >> i think people need to get back to work and be very aggressive about their jobs. what does concern me is that even though we're seeing a lot of good economic indicators, and we're moving in the right direction, jobs are coming back. we have a large amount of unemployed people, we also have one of the lowest labor participation rates, so people have just given up looking for work, so we have to get a few more months of job growth and get people searching aggressively area did cheryl: this is something i have said on the air as well, we need 300,000 jobs being created per month, is that part of your argument why we should keep, maintain long-term unemployment benefits? >> we need to see the consistent
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job growth continue, but closer to the 300 jobs per month. i do think we have to get back to the state unemployment being at and maybe not subsidized by the federal extensions, but we are not at a point yet where the economy can afford to do that. it is a tough debate. cheryl: there are plenty of jobs open what we don't have qualified workers for those jobs. a huge report last week and the fact our country is falling behind with the rest of the world when it comes to science, technology and engineering. >> there are about 3.9 million job openings and there are many jobs like engineering and the medical health care, the technology positions are really in demand. we see that certainly with our clients at monster worldwide, it is difficult to fill those jobs. a little bit of a skills gap in
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the u.s. cheryl: heavies connectivity entries at all? you are the company that could tell me if people are looking or not. >> traffic for us certainly has started to improve, we have seen numbers really in some of these larger markets. we are also seeing in certain markets like atlanta, new york, boston, dallas, lots of markets in texas, california is coming back. it does depend reasonably, depending on the type of position, but w we're seeing moe of that demand and i think the last few months of the consistency will set us up better for 2014. cheryl: you are going to have to come back in january. the president is fighting it, the democrats are fighting it, but it is not looking as of right now.
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>> it'l it will be interesting e how this plays out. dennis: experts duke it out if stocks are in a bubble, but could it be possible more than being in a bubble, they just do not work anymore. the answer to that question is yes. and portfolio manager george young says stocks are still the place to be and both men join me now. you say forget the bubble talk, the market is not doing what they are supposed to be doing. the column he wrote on this is quite an attack on capitalism and market. >> i am actually a believer we need the market to play this critical role. we buy into this idea the market system is what we need to distribute capital to the appropriate recipients depending on their competitiveness, innovation and so forth. the fundamental of economics. the problem is by flooding the market with as much liquidity as
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they have done, we all boats have risen at the same level. we don't differentiate anymore. the problem is we are right the tide of financial assets. in fact, i would argue that precisely because of that dysfunction, the fact we can no longer differentiate between what is good and what is bad, what we really want to happen, it is not getting out into the real world. dennis: do you think he has a good point, is it enough to keep you away from stocks? >> he does have a good point, but not enough to keep us away from stocks. we think the economy is going to do a lot better over the next year. we think there is a lot of opportunity. we are bottom-up stock pickers. you think of inefficiency in the market, and that is what we do. we tried to find hidden gems that others don't see and don't want to buy for whatever reason. we do believe in the market.
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it is interesting to think about warren buffett's quote in the short term the market are really a voting machine as opposed to shorter-term, there is a differentiation. dennis: as long as i take a long-term focus and don't gyrate around, can i insulate myself and not worry about it? >> this a great time to be long stocks, keep holding it, if we have this whole debate about the bubble being put to rest somewhat by the fact the fed is constantly giving liquidity, stocks are pretty cheap so hang in there and you have a nice return. when you put artificial or not, it is a fair evaluation.
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dennis: don't you think it's about the fed easing money? isn't there a mending the economy? >> the economy is getting stronger, lower unemployment, more housing starts and the consumer drives two-thirds of its economy. the consumer is feeling better, it does help the rates are low. they'rthey are able to spend a e more. that is what helps us with what we want to buy. dennis: is it at all fixable? >> the fixing is to unwind some of the flawed policies in place in the first place. speakers create many distortions and creates an awful relationship between the fed and the market. the time has run out. dennis: give us where the dow
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will be when it corrects. dennis: two where will the dow be when we the correction? >> have an upside of about 8%. i will put myself down as fairly bullish. dennis: thank you. >> thank you. cheryl: it is not technically possible to talk on your phone midflight, but should it be allowed? now the government is weighing dennis: the budget deal set for a vote tonight. washington incapable of controlling its spending. you guys should have left the sequester cut in. tell me what you think, tweet me. first, a look at the energy. every day we're working to be an even better mpany -
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and to keep our commitments. and we've made a big commitment to america. bp supports nearly 250,000 jobs here. through all of our energy operations, we invest more in the u.s. than any other place in the world. in fact, we've invested over $55 billion here in the last five years - making bp america's largest energy invesr.
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our commitment has never been stronger. cheryl: after yesterday the s&p, nasdaq and the dow closing on
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session lows. we want to show you a story stock right now, couple of stories stocks. this is the sector we want to look at, food and beverages. pepsico announcing a deal with buffalo wild wings. both actually in the red. talk about this arrangement between the two companies, said the deal shows the beverage and snack portfolio pepsico working together in a powerful way to bring growth to pepsico and good for the customers. the restaurant's primary soft drink and noncarbonated beverage provider. 975 restaurants in the u.s. buffalo wild wings, one of the highflying stocks of the year. also juices from tropicana, lemonade, things like that. a couple of the stocks i was watching for you today, let's bring in nicole petallides from the new york stock exchange.
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you're looking at the big ipo today, which was of course hilton. nicole: hilton the big ipo today. hilton now clocking in the world's largest hotel ipo, that topped hyatt hotel about $1.1 billion back in 2009. hlt is the ticker symbol. the high of the day was 23.43, so when you talk about a $20 ipo, it has taken off area did the fact it has benefited recently from better room rates and environment showing improvement, growing revenue, better economy and hilton worldwide is coming into an ipo market overall that has become very welcoming. they even priced it a day early, so it has been received well and continues to hold onto earlier gains and holds onto a nice up arrow up almost $1.65 right now. cheryl: nicole, thank you very
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much. dennis: what's bugging me is that budget deal. it is a huge copout, and a cowardly compromise. it shows just how incompetent and incapable washington is when it comes to cutting spending. and worse, this new deal rolls back the progress we've made to eliminate $63 billion in cuts proposed by the dreaded sequester. let congress spend more now up front. business owners take note, because government is like a large vampire bat attached to the economy. the more expense, the more capital it extracts from real investment. under president obama, we've we borrowed an extra $6 trillion in just five years, more than the combined borrowing of every president in u.s. history except george w. bush. combined, for four straight years government spend a trillion dollars more each year than it collected in taxes. this year the overspending of the annual deficit fell to
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$680 billion. sequester cuts helped. now both parties in washington want to rescind cuts already in place. in football that is like taking points off the board after a penalty. you never take points off the board and we shouldn't take back the sequester cuts. so tweet me, should congress keep the sequester cuts in place? cheryl: so ask yourself this, maybe bitcoin's are going to solve all of the government's problems. we're going to ask charles payne if the digital currency is here to stay or if this is just a flash in the pan. dennis: from digital currency to digital sales, sky mall known for selling goods at 30,000 feet to a captive audience. the newly minted ceo, first let's take a look at the world currencies against the dollar area did [ male announcer ] e new new york is open.
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>> 23 minutes past the hour. this is your fox news minute.
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nasa scientists are trying to fix a major problem with international space station. the: system is malfunctioned and that is cut in the cooling ability in half. scrambling to fix the issue, but nasa reassures the situation is not life threatening. there is no reaction from south africa on the sign language interpreter at nelson mandela's memorial service. sign language groups say the gestures made no sense. a cabinet administrator saying he made a mistake hiring the man. that interpreter says he suffers from sophronia and says he saw angels at the event. and how about this one? if the football career does not pan out, russell wilson has a job in baseball. the texas rangers selecting the seattle seahawks quarterback today in the aaa phase of major league baseball's rule five draft. he is no stranger to the sport, he played class a ball for the colorado rockies before becoming
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an nfl star. those are your headlines. back to cheryl and dennis. mama always said have a backup, right, guys? cheryl: my mama did, thanks. dennis: time to make money with charles payne. here to discuss bitcoin. real deal or a scam waiting to happen? charles: when i saw this story this morning, i thought dennis kneale. dennis: it is ridiculous. charles: anything that people assess value has value. the indians thought dean's had a lot of value. this morning a legend in silicon valley, his firm $25 million to invest in the company called client base. this is an exchange or you can exchange services with bitcoins, they facilitate that. this company has grown by leaps and bounds. 600,000 online wallets up from 250,000 in august.
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it is a hard thing to get your head around because a computer formula designed by some mysterious guy out in asia and every time the miners go in and break it up, the formula reconfigures and gets more compensated to the point they have pledged, it is a guarantee they will never be more than 21 million bitcoins in circulation. cheryl: there is no safety net, which is the fear. at the same time it is not going away and you cannot argue with somebody, he is a visionary. dennis: he has been wrong on plenty of things, netscape. do you hear of netscape anymore? charles: on the "time" magazine cover when he did not wear shoes was wrong also. this is a double edged sword because one of the beauties of bitcoin is simply because there is no government involvement, no central bank, they will not rent it up. all these governments are talking about it.
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here is the theoretical thing. the world economy 71, $72 trillion. if bitcoin was used as the currency, it will be worth 3.3 million. $880 value of it right now makes it look pretty cheap. dennis: it will never look like that. when you buy a stock, it is a company that is real. when you buy bitcoin, it is a stake in something that may or may not go up. charles: i do not think it is a flash in the pan. dennis: i find it harder to argue with charles then with mark reedit charles: was never on the cover of "time" magazine with my shoes off. dennis: the sequel to "the hobbit" opening on friday. but who should get the spoils? the weinstein versus time warner. details in "the media minute."
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cheryl: never underestimate the power of the doughnut. krispy kreme up year-over-year. look at the winners on the s&p. some names that you recognize. we will be right back. when does your work end? does it end after you've expanded your business? after your company's gone public? and the capital's been invested? or when your company's bought another? is it over after you've given back? you never stop achieving. that's why, at barclays, our ambition is to always realize yours.
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>> let's go to the stock exchange, nicole petallides. we are down at session lows. what are the factors pushing the market down today? >> a lot of people could be taking profits, worried about what the fed will do even though
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they expect the fed will taper but it remains a wild card and you got the jobless claims, that shows weakness in the economy. cheryl: i won't have enough time for my movers, talking about the economy and the market. we are looking at lulu amendment which gives forecasters holidays, they're under pressure worried about traffic, product quality, getting products into the stores. the ceo coming up. southwest airlines, a big -- banc of america, merrill lynch. 3d systems up 5%, what a winner these stocks have been, printers and such. this stock is 123%. apple getting the pot, a small one on a day you seeing selling as the iphone goes on sale and facebook going into the s&p 500 at the close of trading, a 4%.
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cheryl: thank you. dennis: this just in from the department of horrible ideas. you soon may be able to ask can you hear me now 30,000 feet in the repeat the the fcc taking on the issue of making cell calls in flight. rich edson is here from brigham national airport with more. rich: it is not a done deal. and an hour-and-a-half the fcc will vote whether to continue considering allowing you to use your cellphone on a flight. there are a number of folks in washington national airport we spoke to and past -- passengers are next. >> you are at a restaurant, wide open space, a little different, in a tin can. >> they can get over it. in other cases, people don't talk about them. rich: national polls on one side. 39% don't want you to be able to
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use your cellphone on of late. the fcc says it is making a decision based on the technology and they are just making a call on whether it can be done. >> i am the last person in the world who wants to listen to somebody talking to me while i fly across the country but we are the technical agency and we will make the technical rules that reflect the way the new technology works. rich: even if the fcc gives this the green light there are roadblocks that will prevent us having to listen to people on their cellphones. congressman bill schuster in the house proposed a bill that would make it illegal to talk on your cellphone and that would supersede anything the fcc does and the f a a could step in and say it is a safety issue and even if things don't happen, you can't talk on your cellphone, the individual airline would have to install the technology to allow you to do that. we talked to the airline industry, there mostly undecided and continue working with government regulators depending
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on how that vote goes. the fcc could kill this idea this afternoon. dennis: i thought would cause a plane crash. cheryl: could green shares of multiple bit? looking to turn things in ambitious growth plans and now looking overseas. big news on crispy cream opening their first eight an outlet in taiwan and watching the first shot in india over the weekend, part of a global sugar rush. the president and ceo joins me from winston-salem. let's talk about stocks on a tear, up 100%, and now you are making the move. what kind of forecasts, and will install the domestic issues for you?
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>> the good news is we are making growth strides domestically as well but internationally we have 550 stores now and looked up 900. and we have 350 pretty well committed to the opening today. 24 countries. and real excited about that. cheryl: the growth in the united states, 1/2% or so. same-store sales are strong, can't argue with that but the u.s. customers may be gone all little more towards names like duncan or tim horton for example. >> same-store sales last four quarters almost the industry standard. i blended the recent quarter with 8% and had 20 consecutive quarters of in store sales and recently announced several franchisees' for the first time in eight or ten years but we see
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great things in the u.s. and are excited about that as we are international. cheryl: you mentioned new franchises in dallas, houston, alaska. and some room to grow and make a bigger move. >> a great question. we have not done that at this point in time. and the crispy cream doughnuts have been well received. and we want to be sure we measured doing that and don't get ahead of ourselves. cheryl: the analysts always have something to say besides worries -- earlier this month point out concerns about the guidance. the 2015 guide is what do you say to analysts when they pick on you?
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>> we got picked on the last couple weeks, came out of the industry. when you give guidance, the mid range of the rest of this year to the mid range of next year, plus number, we get picked on for that. that blew me away a little bit. we keep on performing and what the analysts be what they are. cheryl: to be fair to our viewers your stock is up 100%, duncan is up 45%, starbucks the other competitive. and the international expansion one offthe things these other companies, food companies have done when they go overseas is find the cost structure is a challenge. the sugar you have to buy in india or tie want the price of coffee in africa, do you find there is a disparity between ingredients to make doughnuts overseas and do you worry about the taste of the doughnuts being
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different in india or tie one than the u.s.? >> great questions. the cost challenges, commodities in different countries but we have been able to overcome those. it is not just the price, but the quality of the sugar or the other commodities. the proprietary doughnut portion, we ship that off in one place in winston-salem, n.c.. we know the consistency is going to be there and have strong quality-control. gerri: you have some hedging going on, contracts in place. there is a lot of international companies looking to take their branch further. it was good to see you. a heck of a ride for the company. thank you. >> we have been fortunate. always great to talk to you. cheryl: i want to let you know
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continuing our done and coffee fame we do this next week, nigel travis will be in studio. and starbucks president will be here. and the fried a media minute, the hot that habit, the sequel opened overseas last night, rolled out 3900 theaters by friday and hollywood heavyweights are in a vicious battle over who gets -- it could take in $80 million in the u.s. opening weekend, a billion dollar mark essentially and four films that preceded it, lord of the rings trilogy and the first hot cleared a stunning $5 billion worldwide. pretty incredible. imagine what it will be like if you had the rights to all that but you sold them off that 1998 when the first film was made.
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that would be the famously wine scene brothers, harvey, the meaner one and the other one, two time warner yesterday over the 1998 deal. they say the case is about greed and in gratitude and $75 million water says they committed, quote, one of the great blunders in movie history. warner may have a.on that. cheryl: coming up next we will take off with sky mall. kevin wise will be here with the new horizon company. what is sky mall? ♪ [ bell ringing, applause ] five tech stocks with more than a 10%... change in after-market trading. ♪ all the tech stocks with a market cap... of at least 50 billion... are up on the day. 12 low-volume stocks... breaking into 52-week highs. six upcoming earnings plays... that recently gapped up. [ male announcer ] now the world is youtrading floor. get real-time market scanning wherever you are
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with the mobile trader app. from td ameritrade. mm. mm-hmm. [ enne revs ] ♪ [ male announcer ] oh what fun it is to ride. get the mercedes-benz your wish list at the winter event going on now -- but hurry, the offers end december 31st. [ sant] ho, ho, ho!
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[ male announcer ] lease the 2014 glk350 f $419 a month at your local mercedes-benz dealer. ashley: ashley webster with your fox business brief, selling the entire 7% stake to institutional investors but gm will continue a strategic alliance with french carmaker selling 8% stake in allied financial for $900 million. the automaker reporting a gain of $500 million from the deal. ally used to be gm's auto loan and mortgage on. fourth quarter directors will press the eo alan mulally on his future plans. his name surfaced repeatedly as a candidate to replace steve ballmer as microsoft's ceo reporting the board is looking for clarity and plans to discuss the matter at a meeting today.
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368,000 people filed for first-time jobless benefits, worse than the expected 320,000 plus a two month hire. that is the latest on the fox business network giving it the power to prosper.
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>> we have seen the dog your catalogs and the seat back pockets on commercial flights. sky mall. with the new ceo at the helm and the merger sky mall is focusing a digital and the web. have been wise, ceo of sky mall. >> i see these dog years catalogs and look through those things and this is no sharper image. what do we want to do? start by saying who is this guy? you have bull and bears, and 10,000 of these are purchased in
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the last few years. >> that sets you back? >> $129. dennis: we don't know if he exists and people are buying it. >> 10,000 of them exist already. dennis: what about this move to the web. do your purchases happen by phone? >> 30% of our business had taken place over the phone but we put in a new web site, changing the catalog, going back to who we really were which is the coolest things on the planet and right now christmas season, 90% of our business is coming through the web including growth in the business over the plane. >> you have a web site go along or is it brand new? >> we have a web site but it was 1994 technology website. so we see a lot of movement. dennis: we have cellphone calls allowing that to go through and internet access in flight. how much does that help your push to the web?
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>> gives us the opportunity when people look at the cctalog on the plane haven't opportunity to white list and go right on and order. we expect more movement in marketing to get people to buy. dennis: very tough, in good shape. i thought he had a weight problem or something. should sharper image have to worry? do you take it upscale? why such a strange mix? >> it doesn't come after sharper image. we are serving the coolest products, we have a set of people in phoenix scouring the world and the coolest products, these little wine holders here, these come out of the catalog for the christmas season. dennis: i don't want the seat this large.
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>> a ripple in, and i send a good friend of mine, from auburn university since they beat alabama. and colleges and major league baseball. dennis: thank you for being with us and good luck on the web and in flight and good luck with the old emt here. nice guy. cheryl: put the cowboys and giants together. most of the u.s. is dealing with freezing temperatures alaska has been enjoying record highs, the same jet stream pattern expecting 48, producing the warmest weather alaska has seen in 70 years. still in the 30s but that is summer in december. it is not being ed, california department of health is enforcing a legal 30 day hold on a product, great for microorganisms.
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this is the second setback for the company after a nearby town sued claiming production was causing watery, burning eyes and breathing problems for local residents. a real-life version of hang over the movie. it happened in los angeles. 14 miners have been arrested after they allegedly broke into a mansion south of los angeles and threw a huge party and proceeded to steal $1 million from the house including a stopped snow leopard. $250,000. in the movie that hang over the tiger was real. everything was returned and they are in jail. that is your west coast minute. dennis: retail stocks doing pretty well but they are feeling the squeeze with the decrease in brick and mortar traffic. despite that row table tennis equipmentmaker killer swim getting into the brick and mortar market and opening to list in house in chicago. jeff flock is there, going to
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grant the retail numbers and talk a little table tennis. jeff: you are looking at one of the top table tennis players in the world, she is probably the best known table tennis player in the world and robert black with me, founder of killer spin in chicago. good retail sales numbers, that is a encouraging to you. >> looks like a consumer is buying things like table tennis. >> the numbers of 7%. you will unveil for us at killer spin house the new table tennis, what is it called underneath here? >> revolution black steel. jeff: pool the slicks off of it, we have players play for the first time on this. why did you think brigand mortar was important? >> we sell a lot on line. experience the brand to see new
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products -- >> what do you call this? >> this is the revolution fdr black steel. jeff: never been played on before. look at that. you are not even cranking now. >> no. they are just warming up. jeff: the idea is to bring corporate clients in, gives you a retail outlet. you felt that was important to go with the online. >> our customers are 8 to 15-year-olds, the marketers and employers want to reach them. this is the downtown business district, give you a chance to come the brand and this board. we call on plug and play. dennis: get them off of the screen. take it easy on me. take it easy on me. don't play like that when i come back. we will be back, stay tuned. cheryl: thank you. she will go after you after we go to break.
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dennis: a budget deal set for tonight is what is bugging me today. washington in capable of cutting spending and now is even killing seeuester cuts. should have left them in place. your response to what is bugging me up next. (vo) you are a business pro. maestro of project management. baron of the build-out. you need a permit... to be this awesome. and you...rent from national. because only national lets you choose any car in the aisle... and go. you can even take a full-size or above, and still pay the mid-size price. (aaron) purrrft. (vo) meee-ow, business pro. meee-ow. go national. go like a pro. so i deserve a small business credit card with amazing rewards. with the spark cascard from capital one, i get 2% cash back on ery purchase, every day. i break my back around here.
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dennis: the budget deal compromise is what is bugging me but it is not bugging you. walt says don't like the numbers but should be passed so gop can't get on with winning midterm is. dennis my doppelganger says i disagree. cop out says no deal, if ryan likes it is a good deal and dennis, it -- let the bombs go on vacation. at least we have no shutdown. cheryl: everybody disagrees with
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you today. trouble in paradise. new warnings on pr's debt with 70% of new t-bond funds holding the state ignoring advancements at risk. chris that green is the new orange. the serious crop concern with mysterious disease ruining florida's multibillion-dollar crop. cheryl: making healthcare.gov la good. the sexiest man alive backing obamacare and lori coming up next. my customers can shop around--
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3 amazing benefits (announcer) at scottrade, our clto make their money do more.re (ann) to help me plan my next move, i take scottrade's free, in-branch seminars... plus, their live webinars. i use daily market commentary to improve my strategy. and my local scottrade office guides my learning every step of the way. because they know i don'trade like everybody. i trade like me. i'm with scottrade. (announcer) ranked highest in investor satisfaction with self-directed services by j.d. power and associates. adam: i am adam shapiro. lori: i am lori rothman. the sec set to rule on whether americans get a say in the debate over in-flight phone calls. if you are worried about a loud gabfest on your next plane ride our next guest promises peace and quiet. adam: warning about a pr's debt.
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the head of municipal strategy and research joins us in the investment impact of a possible downgrade. lori: the do nothing congress might be ready to do something. former senator scott brown on the budget deal in washington ahead of today's all-important vote. adam: retailers seeing a nice rise in november sales, biggest jump in six months. retail winners and losers to watch with 13 shopping days to go until christmas. cheryl: the dow is down 100 points off of 117 of the lows of the session, before the stock exchange for a look at the session. >> dow jones industrial average has been down all day down 118 points, down for the week, right now weight-loss of 3-quarters of 1%, the s&p down 1/2%, to kevin nasdaq lower by 6 points, the vix, the index has

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