on this disappointing jobs report that set the tone first thing this morning showing the weakest job gains in three years, peter barnes live from d.c. to break down the numbers. phil: non-farm payrolls rising by 70,000 jobs in december well below analyst expectations of an increase of $196,000 and employment rate fell to 6.7%. when economists expected it to remain unchanged at november's 7% but the decline was due largely to 350,000 people leaving the work force last month. that saying the labor force participation rate back down to 62.8%, a 36 year low. some analysts say bad weather hurt job creation. construction jobs fell by 16,000. other sectors losing jobs included performing arts down

12,000, government cut their teen thousand mainly in local education jobs, sectors that hired last month include retail up 55,000, no surprise given the holiday shopping season, attempt agencies added 40,000 workers and manufacturers added 9,000. ashley: the markets climbing from the lows of the day but still in the red. let's head to the floor of the stock exchange, nicole petallides. kind obama mixed reaction to this jobs report. nicole: you get the jobs report and there was nothing great about it. it wouldn't have been great if we added more jobs and the labor force participation rate showed improvement. it did not do that so it brought uncertainty to the moment, the economy is not as good as we had hoped. that said the dow jones industrials, 16,400 down 41 points and the nasdaq lower, the s&p virtually flat at the moment and also watching other names overall, looking at the indices for the week, the nasdaq and the

s&p look like they will squeeze out some gains but not the dow. the dow will be down 1/3% if it were to close right now. the nasdaq up 1/2% for the week but it is lower for the seventh session of the last weekend so market references are somewhat negative for 2014. a lot of people were waiting for the jobs report, now they got it. ashley: thank you very much. nicole: reaction in the stock market to the jobs report to the reaction in the bond market. big reaction in fixed-income. look at the ten year treasury yield down 2.87%, that is the lowest level in a month. disappointing numbers easing fears the fed will wind down its bond buying back after he's. yields are just awful blows of the day at 2.88% earlier this week that ten year yield trend mr. chair a around 3%. for more perspective on the jobs report we turn to chief

economist brian westberry. we were warned this would be a disappointing jobs report. goldman sachs one of many banks and economists to say the bad weather is going to lead to a lower number of jobs created but this was worse than anyone expected and lead the lot of people to question the validity of the report itself. what do you think? >> therefore cast for this month was lower than the consensus as well so we were warning about that too and you can't overstress one single month of economic data. we know these things are revised, we know they are volatile and i don't want to overstate the case but there was a big weather effect, 273,000 people in december were not at work because of the weather. last december, it was only 84,000. so this was much bigger than

normal so was i looking for a culprit? i'd blame the weather but really what this is all about is the volatility of economic data, this does not signal a new direction for the economy. we called it the plow horse economy. it trudges along, keeps growing and that is where we are. lori: we always have revisions. last revision was upward to the november payroll created. by a significant number. remind us of the last six months. is it fair to say we are moving in the right direction even though the number was a depressingly low? >> sure. obviously this month we have 270 -- excuse me -- 70,000 new jobs last month was revised up from 200 to 240. if you look at the last four months we have averaged less than 200,000 jobs a month and that is better than we were a year ago or two years ago but we

have to keep this in perspective. in the great economies of thes and the 90s we were getting 300, 350, 400,000 jobs in the month. i am not trying to overstate this at all. that is why we call it the plow horse. it is not a resource. lori: sorry to rush you. want to get to everything. the unemployment rate dropped to 6.7% for the wrong reasons. to your deck at keeping the comparison where we were in the 80s with 300,000 payrolls created, 350,000 people left the work force in december. the participation rate remained at a generational low. why are people leaving the work force? >> this is a a conundrum in many ways. we are back to 1970s levels of labor force participation rate and i think there is a kind of three things going on. number one we have an aging population, be read boomers hitting that 65-year-old mark,

they are growing at 3 or four times faster than the population as a whole. lots of them are dropping out of labor force. number 2, we have very generous, non work benefits right now. whether it is welfare or food stamps or unemployment all of this encourages lots of people to stay on the sidelines when it comes to work and number 3, there are more people in college and a share of the population than ever before. lots of brands, lots of student loans, all of these things and today's college students are less likely to have a job or want a job than in the 60s or 70s or 80s. when you just for all those things we are in for a long-term lower labor force participation rate than we would have otherwise so this year coming got we think the unemployment rate will fall to 6%, maybe even go down to 5.9 and part of that

will be job growth but another part will be that the labor force will keep growing slow. lori: i have to ask how you think the federal reserve is judging this number? will it encourage the fed to maintain the table where it is? to increase -- cut per where it? to increase -- cut more? or cut less? >> real gdp in the third quarter, 2 bling 5% in the fourth quarter. ourrforecast and the fed's forecast for 2.5 to 3, unemployment rate coming down. i think the taper is on track, they will end q e 3, taper all the way back and by june, july or august we will be done with q e 3. i don't think today's and data changes the path. 5 the the market movements i think the bond market is wrong

in its direction. interest rates will be a lot higher a year from now than they are today. lori: let's hope it's not a quick and dirty spike in rates but according to you that maybe what we are in for, thank you. >> great to be with you. ashley: to commodities seeing some big moves. fox business contributor phil flynn, a price futures group, gold prices jumping on this jobs report. phil: we are not on the gold as of this moment. where did it go? we are up $60.40 and the lot of it had to do with what lori was talking about, yields going down and the terrible jobs reported you extend the taper in, it makes gold look more attractive but we have bullish news on the mining front, more miners cam out, harmony the latest, gold prices go down any more you will see serious capital spending cuts. it is interesting, loyal is up on the number, it was a 54 the

number. people were buying for different reasons, people were covering shorts on the oil into the record because they were afraid it would be a blockbuster report that would mean good demand and prices would go a. now they are staying in there because copper -- they might lower tinkering. goes to show you it is a fine line when it comes to the oil market why you want to be buyer. ashley: the volatility will stick around. >> buckle up. it is a lot of volatility but the trend is down. we took the december lows, a lot of supply. it will be a short-term rally. we will see next week. ashley: phil flynn of price futures group, thanks so much. lori: as janet yellen get ready to take over the federal reserve president obama is making moves to fill out the board of governors. as expected stanley fischer was nominated to replace janet yellen as vice chairman and treasury official lyle brain-dead getting tapped for an

empty slot. jerome powell was not needed for a second term as state governor and those nominations will have to be conserved by the senate. ashley: more fall out from target's data breach, a to 17 million customers getting their information stolen, up from the original report of $40 million and it goes beyond credit and debit card numbers. the company says:they also now includes in jeans, e-mail addresses and phone numbers. targets as the hack affected other systems and the points of sales. the company would not provide more specific details to the fox business. target shares falling on the news down 1%. lori: stock alert, remember this one from yesterday? intercept pharmaceuticals another blockbuster day of trading, stock at 90 yesterday's game of 300% with the jump in the biotech company went from being a $1 billion company to

having at evaluation of $5 billion. the move comes as the company reported its drug to treat river disease is effective. they are so confident they ended the stubbier league. ashley: intercept pharmaceutical investors not the only ones making money. shocking number of congressional members are in the millionaires' club. lori: is all about the profit outlook. guidance sinking, abercrombie and fitch. we are back for all the wild trading action. ashley: mr noel needs help, the billion dollar bet on supercomputer watson and the future intelligence, we will be back. so ally bank has a raise your rate cd

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cheryl: the retail sector on the floor of the stock exchange, watching some of those big movers. >> let's start out with some retailer abercrombie has come

since recent announcement because of economists for the ceo and they tried to change it up and raise their outlook and earnings outlook, stock is up 10.5%, up $3.5 on this news. we'll take a look at sears, which was not as good for sears, they had for the holiday, tumbled 7.5%. down 13%, $36.81. ashley: ibm betting big on watson. and a booming demand that learn, and interact more naturally with john gordon. he joins us now. we all remember watching from the jeopardy show in 2011.

and was victorious. where do we see in was in these days? cognitive computing is the new era of computers? what can watson do? >> it is a really exciting time because we just hit a new phase in this evolution. watson graduated from being a start up business to a full-fledged business. and that is what it will take to jump-start cognizant computing. >> how can revolutionize everything? >> will fundamentally the way people design, build and work with information. this is the third year of computing, the first was the tabulation era commuters were big hot chili is, programmatic era, what we do today. you tell a computer what to do and it follows the rules. cognitive systems learn and interact a lot more like how people interact, teach them things and they learn things and they practice and get smarter as they go. ashley: what area of business

will have the biggest benefit? >> we decided to start something meaningful. we went after health-care so with some great partners we start to say how can watson provide information to a physician to make better decisions for patients? a great example in the big announcement, dr. craig thompson in new york, he was talking about some examples of cases they would look at where if you followed all the best rules and ideas out there, there was one specific article you would have had to find of millions that are published, ten doctors in the world would know about but you need that information call watson put in front of the doctor in a way they would never see. ashley: we are a business network. financial industry, how could it help? >> a lot of ways we see this in other industries and also why we are excited to open our ecosystem. we know for the cognitive era of computing which we are at the

beginning of, one of the biggest innovations in a hundred years will go on for decades and we want partners all across the industry building their own applications on watson so we will see it in financial services and retail and others. ashley: companies out there saying this is the type of technology we could use to build our business. they contact ibm and become part of that network? >> when we started with watson in the first stage of an experiment on jeopardy, one computer. since then we have moved to 24 times faster, over 90%, now it is in the cloud. if you are a small or medium business big business you can leverage the power of watson and the solutions you want. ashley: we are at the beginning of this. will could this go. this is a computer the learns and grows through that learning process like a science-fiction movie and some of those science-fiction movies -- >> what is exciting is this is

how people and technology are working together. like we talked about how whites and helps the physicians think about how much of our information economy depends upon people who can really understand data and how many deep data analysts and statistical people are there. one of the things we announced was watson analytics, ask a question, natural language and get a data driven answer back from a. we are going to propel forward the number of people who can participate. ashley: this is a computer that can learn. how close is it to the human brain? >> just getting started. we have a long way to go but what is interesting is we started with language, language and a lot of problems. creating with creativity. with our headquarters in silicon valley and a billion dollar investment --

ashley: a concrete area. how long will it be before this form of computing is common in everyday life and changes our society? >> we have seen some vast progress. when we started we got our first solution with our partner at well point and when we started off from where we started probably 2,000 providers submitting cases, it has made a lot of progress. already seeing the beginnings and we will see more. ashley: fascinating. thanks for being here with watson solutions and i say it is a science-fiction movie but it is, these artificial intelligences how far could go? ashley: the computer takes over all of our brains and make our decisions for us. ashley: it will be here enduring before we know. on a different note home buyers beware. new mortgage rules taking effect today. an all-out effort to stop the

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>> 24 minutes past the hour your fox news minute. at afghanistan's president taking a jab at his american allies, hamid karzai ordering the release of 72 prisoners considered to be a security threat by the u.s.. this latest turn in a rocky relationship as america draws down its forces in the country. the state department voice in its opposition to the decision. a federal investigation being launched into a dangerous chemical spill in west virginia. hundred of thousands of people in nine of the state's counties unable to access their water supply. the white house declaring the federal disaster after the processing chemicals for this building to the elk river in charleston yesterday. a look ahead to some action on capitol hill next week, majority leader eric cantor saying the house will consider a bill to fund government operations.

members of the house and senate are currently working on a bipartisan package to fund the government for the rest of the fiscal year. those are your headlines. ashley: thank you, we appreciate that and we have breaking news. white house saying president obama will speak on surveillance reform next friday. that has gotten a lot of attention these days on the limits on limits there should be on the nsa and its surveillance program, the president addressing that very issue a week from today. hard to say it doesn't pay to be in congress. for the first time ever more than half of the members of the esteemed congress on millionaires. 268 to be precise out of 534 current members, millionaires according to a study from the nonprofit center for responsive politics which looked at disclosure forms filed in 2012. the research group says the new study, quote, represents a watershed moment at a time when

lawmakers are debating issues like unemployment benefits, food stamps and the minimum wage. lori: the consumer financial protection bureau mortgage rules take effect today. analysts predict lenders could tread more cautiously as a result. this could mean fewer mortgages for applicants that are on the edge of qualifying. let's go to rich edson with more in d.c.. rich: some lenders said paperwork and other new requirements will mean fewer home buyers qualifying for loans. the obama administration says these standards should have been in place years ago ended they had in the economy could have avoided the mortgage prices. to give legal protection against lawsuits for bad loans mortgage lenders have to limit their fees to 3% of the loan amount. borrowers will have to prove they can make enough money and have a small enough debt load to pay their mortgages and the longest term is a 30 year mortgage. the new rules and lenders from selling features like interest only in loans, lenders can still write loans that failed to

comply with the standards, they just lose legal protection and fannie and freddie may not bottom. one analyst says that will slow the housing market. >> you have to put it on your balance sheet or you have to revive the private-label securitization market. even if you wanted to revive a private label securitization market you have another set of regulations coming down the pike that will control at. that is the so-called q r m rules. >> more than 9 of every 10 mortgage lenders are writing these new loans to comply with standards already and officials say that means the industry should have little trouble adjusting to these regulations. lori: thanks. ashley: disappointment on wall street as the u.s. economy creates a meager 74,000 jobs last month, the slowest pace in three years. lori: go figure, dealers with a case of the munchies, pete the cashing in on emt x box users.

ashley: new jersey doubles and basketball philadelphia 76 there's getting a new plan, online gambling. the sponsorship deal that is the first in u.s. courts. [ male announcer ] this is the story of the little room

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if you or someone you love has afib not caused by a heart valve problem... ...ask your doctor about reducing the risk of stroke with pradaxa. lori: welcome back to "markets now," the top story of course is the december job reports. we knew it would be disappointing but this is a huge drag, well below expectations. only 74,000 jobs added to the u.s. economy. more people left the workforce to boot. even though that dropped the unemployment rate to the lowest sings 2008, not good news. own folks gave up. nicole, getting on the floor of the new york stock exchange but the report is raising flags about the fed.

>> what is interesting. when you talk about the fed and whether or not they say they will not taper. we see bond yields dropping. dividend stocks are back in style today because they trade much like bonds. so very interesting to watch the dynamic of wall street today. that being said i wanted to look at some techs looking at both microsoft and intel. shares are some of the winners here on wall street. positive comments from barclays. they had improving fundamentals. cloud services market doing well for microsoft. so that really is a winner. we continue to watch intel here on the move, up 1%, at 25.55. those are some of the top gainers. for the week the major averages appear mixed. 2014 has lot of back and forth action but we have a couple of tech winners. back to you. lori: thank you, nicole. see you in 15. ashley: hockey's new jersey devils and philadelphia's basketball 76ers getting a new fan, online gambling. our next guest inking a

marketing deal that is the first for u.s. sports. scott o'neill, ceo of the prudential center. and we have the ceo of online gambling company, bwin.party. they join to us discuss the monumental partnership. thank you, gentlemen both for being here. it's a monumental partnership for you both. scott, why does this make sense for both of your organizations? >> number one, party poker will be the number one online gaming company in new jersey. we like to be with leaders. number two you have a company that is experienced with manu, working with real. ashley: giants. >> giants in sports. they underrtand the passion of sports and how to translate that. and number three they're really smart guys. we like to do business with smart people who take seriously the business of people and fans and making sure that we have a wonderful experience for the best fans in the world. ashley: "norbert", how significant is it for your company?

>> huge for us. to be associated with brands like the devils and 76ers and build our brand and bring it back to the united states having been gone so many years and regulated environment in new jersey is great opportunity and we're excited to be here. ashley: gambling, this may not sit well with some people, scott. what would you say to those critics who say you should not be aligning yourself with a pastime which is basically gambling? >> would i say first off there are 60 million poker players in the united states and i don't take poker as much of gambling as i do gaming. it is a game of skill. and i would say that it's happening, it's here. you can go to a land-based casino to do it. what we're doing saying if you want to see jay-z at a concert, between sets play a few hand, we like you to do that in new jersey. if 60 million people come to the state of new jersey come see a devils game and concert at prudential center and get a few

hands in with party poker we would be very happy. ashley: norbert, what does it allow your company to do with exposure to potential customers? you will not have the advertising on jersey but where are you putting advertising? how will it work. >> radio spots, tv spots, in-state advertisement. we engage the fans to bring them some entertainment. ashley: scott, for your, when you, your company or the company that, overall company that took over the devils, the sixers and the prudential, times were tough. but you seem to be turning things around. what kind of strategy, other than this partnership, have you employed that is really helped to move things along? >> this is a good first step. when they came on we want to be a first class organization and partner-friendly and we want to find world class partners as we have here but this will be a business driven by people. we have many soft most talented executives in the world and we recruit. we have hugh weber and is a

world class executive and sample of several hundred people i think will be among the best in the world. ashley: i was reading some stats somewhere and for life of me i can't find them in my notes, prudential center is doing well, 8th for most events, 8th most successful in the world with regard to how much it's generated. of course not just sports. there is concerts and lots of other events. the potential is there, isn't it is? >> i think so. we're three in the u.s. ashley: three in the u.s. >> if you look at the week we have coming up, you have jay-z on the 202nd. ashley: yep. >> the nfl chosen the prudential send to host media day. think about the super bowl which is unbeliveable. we have several new events. we have kanye coming. ufc, the day before the super bowl. have you been to mixed marshall arts. ashley: i have seen on tv. >> i want you to be my guest. ashley: i would love it. oh, boy, pressure.

norbert okay, we have devils, sixers, prudential center. what is next in the regards to your company. >> that is in the hands of regulators. we would like other states to follow suit. ashley: few states, new jersey is just allowing online poker. nevada and delaware. any other states out there that look promising? >> they're discussing it in california for a long time. there is other states looking at it because in the end it will very much depend how successful new jersey is. is it safe? is it big enough? is it interesting enough. ashley: you will be under the microscope. >> hugely. ashley: we wish you both the very much. scott, ufc, i will be there. >> look forward to it. ashley: thank you for your time. >> thank you. ashley: more about online gambling. why california just can't seem to get it legalized there. we'll talk with whiter law school professor, nelson rose who joins me in the 2:00 p.m. hour. he says is maybe by 2015, we'll

see. but first, lori. lori: pizza hut scoring with xbox users, the pizza chain sold million dollars worth of pizzas through through xbox app. launched in april, pizza hut reached a million dollar milestone in the first four months being active. the company added 11% who ordered from the app were ordering from pizza hut online or the first time. the company has yet to announce future plans for apps on other becaming systems. -- gaming systems. look at pizza hut parent company, yum! brands, down 15 cents. nothing to get too concerned about, trading $74.90 a share. ashley: agriculture bulls are in charge after a crop report shocker. corn surging from more three-year low to one-month high one day. what? lori: you know it is one thing to go to the salon but for your pets? prettying up your pets, $55.5 billion industry catering

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good news. i got a new title. and a raise? management couldn't make that happen. [ male announcer ] introducing fedex one rate. simple, flat rate shipping with the reliability ofedex. afghastan, in 2009. on the u.s.s. saratoga in 1982. [ male anouncer ] once it's ened, usaa auto insurance is often handed down from generation to generation. because it offers a superior level of protection. and because usaa's commitment to serve current and former miliry members and their families is without equal. begin your legacy. get an au insurance quote. usaa. we know what it means to serve. >> i'm dennis kneale with your fox business brief. living social ceo tim o'shaughnessy will be stepping down. although a successor has not been named he will remain in

charge of the daily deal site until the replacement is found. online provider competes with groupon. wholesale inventories increased in november but much slower pace. they rose half a percent in november compared with a 1.3% rise in october which was the biggest monthly gain in two years. federal appeals court ruling apple did not violate google in a google patent making its iphones. the decision upheld the ruling in april by the international trade commission which cleared apple of charges lodged by google's motorola mobility. that is the latest from fox biz, giving you the boy are to prosper.

lori: we've got the jobs report and the crop report for the latest month, bringing some

major surprises and shaking up the commodity market. sandra smith is taking a coaster look at today's trade. >> yeah, forecast for production was much lower ttan analysts had anticipated. a lot of folks i'm talking about as far as my sources in the agricultural industry are calling this somewhat of a neutral report, not the case in markets. you're seeing a big spike in corn prices up 17.5 cents. corn prices which had seen significant decline past couple months or past couple years for that matter are seeing a big spike in today's trading session. another key part in that report was the lower yields, big number a lot of folks were looking at there, and also stockpiles for the current marketing year were lower than forecast. that is leading to a spike there. soybeans, guys. ashley: getting a spike. it was a bearish report for soybeans but being explained to me soybeans are up in sympathy with corn. where you're seeing selling is in the wheat market. we saw much more stockpiles. that is the number of bushels

that you're left with at the end of the marketing year. that number was bigger than forecast. which means lower prices so wheat prices falling. guys one thing i want to point it out before i hand it back, when you get a spike in corn prices that generally translates to a rally in those agricultural names. when farmers have more money, corn prices go up they spend more on equipment, seed and fertilizer. look is what is happening in market. caterpillar, deere, monsanto and potash, seed fertilizer producers in, cf industries. all the big agricultural names are up. one good way to point out how the commodities markets can move the stock market as well. back to you guys. lori: thanks for that. quite a lesson, sandra smith. facebook putting an end to a controversial ad feature that had them in some hot water. the company will remove their sponsored story feature in early april after it sparked a legal battle that ended in a 20 million-dollar settlement. that was last august.

facebook launched sponsored stories in 2011 which monitored products losers liked on their social network or businesses they checked into. based on that data a person's profile picture could appear in advertisement for specific product or business on their friend's new feeds. however facebook says that a person's picture and likes including those belonging to minors can be used in advertisements on the social network so long as they're not the main focus of the ad. ashley: all right. some people may call it ludicrous, coloring, even tattoos for your family pet. lori: our next guest cause it big business. a pet fashion professional on new trends for your favorite pooch. ah. when does your work en does it end after you've expanded your business? after your company's gone public?

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ashley: stocks are fighting for gains despite a weak jobs report. let's check these markets. jason weisberg on the floor ever the new york stock exchange. jason, obviously a miserable jobs report but all in all, the market seems to be kind of recovering a little bit. is there a belief it is just a blip? >> i think the jobs number was there was no big expectation of the job numbers. as long as qe policy is no not in danger of changing from what they laid out in their plans the jobs number would not move the needle. you said it was a miserable number. that being said as long as qe stays in place the market should continue to rise even though we're seeing somewhat neutral or downward change to the market. ashley: those that say, jason this, could be opportunity for the fed to slow down that tapering process or reverse it a little bit. what do you think of that?

>> i think they will change the course. i don't think they will change. we're suffering a from a little hangover from the alcoa number but i think but i think alcoa's number will not tell the story how this earnings season will play out. i don't want to say they're an anomaly, they're a big business, but i don't think it will be symptomatic of american corporate success or failure rate as we review the numbers for this quarter. ashley: thank you so much, jason. have a great weekend of the we appreciate it. >> you too. ashley: lori. lori: we here at fox biz are pe3 lovers. take a look at some of our team's cats and dogs. there are bernice and brutus, my miniature dachshounds. americans spend $55.5 billion on their pets. this year that in birwill likely rise. the money spent not just on vet

care and cable but upscale grooming which these days tattooing and bedazzling for your dog but is this petco ture right for everyone? which have the founder of international association of pet professionals and her companion caesar and her handler, arturo. thanks for joining us. caesar is decked out, lauren, welcome. you have a color feather thing and tattoo on the behind quarters and feet. how does caesar feel about the ensemble he is sporting? >> dogs take to those very easily because they're mainly for protection purposes. that is one of the trend in the pet fashion industry people are looking at things from a practical standpoint. paws dog foot that is developed these that realize when the dog came in they were getting dirt on the floor and they needed to clean that up. lori: all right, but the feathers and tattoo is not as practical though as right? how much demand? do you have a lot of people

coming in, you're a groomer jorge, what are they asking for and how much are they willing to spend? >> dogs love tattoos. you know, they love attention they get when they walk on the street. people really approach them with a smile. so you know, less, owners enjoy it too. sometime it is too hot to put a coat on the dog and put a tattoo and ready to go out and cause attention. lori: this is a little absurd, let's be honest. you're taking time to make a dog sit still to paint a tattoo on and weave feathers in the coat hair? >> there are proponents and opponents to just about anything there are in life. what a lot of people are doing this for, you know, to express personality. for me personally with pet fashion it is about creating a closer bonn and connection with your pet which doing something like this does. can you imagine, you and your dog with matching tattoos. lori: there is lot to be said

whether we should make our pets seem like humans. jorge, made an interesting point, you know what, the someone stops pet on the street and they're getting attention for the outfit and avoiding neglect that is such a devastating problem in this country. lauren, how much does something like this cost? i tried to get the answer from jorge and didn't get there. i will try to pull it out of there? >> it's a personal grooming session, anywhere from if you go to the groomer locally but who are say is celebrity groomer. something like that is going to be upwards in probably hundreds, sometimes even thousands of dollars, depending on client and exactly what it is they are specifying they want. lori: not all dogs have the temperment to put up with this, face it. you have to be a little choosy, right. >> absolutely. we're certainly not ones to support anybody doing anything to a pet that would be forceful, that they would not want done to them. lori: bigger picture, studying for the segment it was amazing

to me how even despite the recession people kept spending more year after year on not just grooming and dog food and vet bills but on walking, on this fancy stuff. it is really unbelievable. why do americans put so much time and money toward their pets? why do we have this infatuation with our dogs and cats? >> i think a lot of it is now, that we are having less children. in fact one of the little interesting tidbits is that there are now more pets than children and that statistic happened a few months ago. lori: huh. >> now the love we would have showered the babies with with with, we spend a lot of money on baby clothes, high-end items we're showering that attention on our pets. lori: thank you very much, lauren and caesar. and jorge for introducing us to caesar and all of his fashion excellence. he is just fabulous. i wish he could answer some questions, that's for sure. ashley? ashley: woof woof.

very well-based, caesar. should give him a lot of praise for that please. baxter and gracie, no tattoos for you. maybe jewelry. dow going to the dogs as well, fighting for gains but still in the red. s&p and nasdaq trying to push higher now. who is to blame for the awful employment picture and how exactly can we fix it? we want to hear from you. your tweets and our expert panel straight ahead as tracy byrnes and i take you through the next hour on fox business. stay with us. [ male announcer ] this m has an accomplished research and analytical group at his disposal. ♪ but even more pressive is how he puts it to work for his clients. ♪ morning. morning. thanks for meeting so e early. oh, it's not a big deal at all. come on in. [ male announcer ] it's how edward jones makes sense of investing.

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tracy: hey, good afternoon, i'm tracy byrnes. ashley: i'm ashley webster. bad news for main street being felt on wall street. downright horrible jobs numbers. who is to blame for the awful employment picture and exactly how can we fix it? we want to hear from you. your tweets and our expert panel coming up. tracy: talk about medical dollars, up seven fold in two days this stock.

little-known biotech company here in the meatpacking district of new york city. dr. manny alvarez with his take on their new promising liver disease drug. ashley: don't bet on legalizing it. calfornian as rejecting online gambling. the politics and the big biz behind it ahead. tracy: in our fabulous friday "wine with me" segment, i have got to say this. mine is bigger than yours. we're talking about wine cellars that is. and big business of building them. ashley: say what? tracy: sorry. ashley: in tech minute, big brother is watching. the backlash after a ford vice president said, quote, we have xp s in your car, so we know what you're doing. that unquote. more ahead in this tgif hour of "markets now." tracy: that's scary. ashley: we know where you're going and we know what you're doing. tracy: all right. number of jobs added in decent much lower than expected and has stocks tumbling. dow is down 52 points. only 74,000 new jobs came in

compared to analyst estimates of they thought nearly 200,000 jobs added. we'll start with our coverage with nicole petallides on floor of the. >> change. this jobs number not helping the market at all surprisingly. >> the traders were taken aback by the number this morning. you got in the jobs numbers. unemployment rate improved however because people given up looking for jobs. december cold, cold month of december. may have been a factor in it but right now, mixed bag. s&p slightly lower. dow down 1/3 of 1%. tech-heavy nasdaq is squeeeing out a gain. looks like the dow will is losing week on wall street, this year thus far 2014 is a tough one. we're seeing back an forth actions in mixed markets much like this moment. the moves have been fractional but the trend is shaky and volatile. the vix is to the downside. former dow component alcoa, aluminum-maker came out with the number, massive quarterly loss. alcoa is down 5.7%.

prices continue to be low and this is because you have a global surplus of aluminum. despite there will be demand for automotive and aerospace and production the like. analysts are not hearing much different words from alcoa for 2014 as you have in the past. back to you. tracy: nicole petallides. see you in a bit. thanks, girl. ashley: who is to blame for the awful employment picture and how do we fix isn't tweet us your answers and they will be at the bottom of your screen. here with their takes, peter barnes inside the beltway, liz macdonald on fox business headquarters on 6th avenue in new york. we start with stuart hoffman chief economist at pnc. let's begin with whose fault is this. do we believe this is just a blip or sign that economy is slowing down dramatically or heading in the wrong direction? >> i think this is just a blip.

i wouldn't refer to this as a horrible jobs report. horrible is when you lose hundred of thousands of jobs. this is why you take one month's numbers in context with the one month prior. fourth quarter we created about 172,000 job as month. less in december. more in october, november. that is almost exactly what we did throughout all of last year. so december is disappointing. i see that as more of a blip. the drop in the unemployment rate which you coy would be good news, really wasn't as good as it looked either. even if the rate goes up a little bit to 6.8, 6.9, i still think it is headed down. to me this is a step back but we're still stepping forward. tracy: lizzie, how do you read this number today? >> the jobless rate ironically we see this month after month, it was improved because 347,000

eppeople dropped out of the labor force. that is one thing. is this incation of fresh smoke in the recovery engine? that is a serious question. one thing wall street is dealing with now because they did take a gut check on this report, it was a shocker, now the debate is, will the fed dial back on its, you know, taper? in other words, is this raise doubt what will happen on january 29th? will the fed cut by 10 billion or cut it back to five billion? ashley: peter, that's a good question for you. does janet yellen's job get a lot more complicated? >> i think so. this definitely will test the proposition that the fed wants to see broadly good economy and jobs market. the fed is worried about a stall here when we saw the fed doing quantitative easing before, the economy seemed to strengthen. then all of a sudden, boom it

stopped strengthing and the fed regretted pulling back some of the stimulus. so this definitely will be food for thought on fed members when they meet at end of the month to keep tapering 10 billion a month or put the taper on pause. tracy: stuart, you don't think so, right? you seem to think this is just a blip as you said. the numbers are erratic. nobody will believe adp again and we'll move forward? >> we'll see we get revisions to these numbers a month from now. i think the fed will easily decide to do 10 billion-dollar more taper. if you give me two or three months of this kind of disappointment, fed maybe by march will say, is this more serious? the fed looks at in unemployment rate isn't as good as it looks. weaker job numb members are not as bad. the fed does a billion dollar taper in january. a month or two we may look back

at this saying it was more of a head fake then any kind after serious relapse in the economy. ashley: liz, you brought up something that is real concern. number of people dropping out of the labor force all together. >> yeah. ashley: a guest said last hour, aging population, baby boomers, people 65 years old or older giving up staying in the workforce, generous benefit system and more people in college than ever before. they are not in the labor force and gone back to the college because we were in such a tough recession with no jobs. >> that's a good point. we get the mc jobs or retail sector or restaurant fast-food sector. tell you something that is why income growth has been flattening not only because of the poor recovery. it is because of the quality of the jobs but you know the point is well-taken there is noise in this report, seasonal noise in this report. ashley: bad weather. >> but you have to look at the long-term trend and what we're looking at, guys, is this,

112,000 average jobs per month in 2013. that is a little bit lower than the 183,000 in 2012. that trend is city the same that we've been seeing. very low, slow job growth. tracy: peter barnes, you and i both took statistics in college and we both know you can rejigger these numbers to look pretty if you want them to. 6.7% unemployment, that can't possibly represent the state of the economy right now? >> and the fed said by the way, i got a d in statistics i'm sorry to say but you're right. a lot of folks, a lot of fed members have said you're absolutely right the headline number is not necessarily representative of the health of the labor market and they're looking at other indicators. for example, wage growth. wages were up slightly but work week was down. we're not sure if that is softening of the economy or maybe weather-related but they're not just looking at the headline number. they have smart people over there. i think they have 300 economist

who is all got as in statistics to look the data over. tracy: that's why you and i apparently. ashley: stuart, i have a feeling you got an a too. let me finish with you. so could you argue, we asked the question many times, does qe get through purchase of all the bonds, now 75 billion a month, is it trickling down to main street? doesn't seem that way. we have a lot of businesses, small businesses who are not in hiring mode because they don't trust the economy and regulations coming out of washington. >> i do think this latest round of qe had a lot less punch than the two previous ones. i think the fed is keeping that in mind when they tapered back. it is not like this will be a big loss to the economy to have no more fed qe over time and, i do think, i don't know, i would just say that is trickling down.

but i think obviously i think economy look as lot better than maybe our other two guests. i view this as a head fake. and even looking at long term, 18thousand jobs, by the way -- 182,000 jobs, that will get revised up with more complete data. it will be probably closer to 200,000 jobs a month last year when we get some more complete data. so i got to look at it and as saying as we've learned, whether you got an a or whether you got a d in statistics, one thing you learned, don't take one month and draw too many firm conclusions. a month later you will regret it. ashley: does not make a trend, that's very true. peter, elizabeth macdonald, stuart hoffman of pnc. thanks for joining us, we appreciate it. tracy: lizzie totaled passed it. >> no, i didn't. ashley: teacher's pet. i know it. tracy: where america doesn't shop? i'm sorry it's true, sears. shares are taking a beating

after downright horrible christmas sales. ashley: things not so great for target either after the retailer now admitting to even more customers data being hacked. >> plus what business can learn from leadership shown by governor christie versus president obama. charles payne has his take on all that next. ashley: first as we do this time every day, look how oil is trading, on the way up today, with gold by the way. but oil now trading at $92.52 a barrel. we'll be right back. [ male announcer ] this is the story of the little room

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tracy: that time of day we want to make some money. charles payne is here. we'll focus on what businesses can learn from the leadership shown by governor christie versus president obama. what did you think of all that yesterday? you. >> know what? he came out strong. he apologized immediately. he has already taken action. he fired people. i thought he was honest about the internal pain he felt when, you know, people who were really his closest advisors misled him. and, you know, i think it was the kind of things that we don't see often. we haven't seen certainly from the white house. i mean there's a scandal almost every other month and no heads

really roll. not really any kind, i haven't heard any accountability or mea culpas. ashley: yeah. >> we keep finding out, maybe we're the problem. and so it is interesting. i thought he did a great job but what is interesting too though, the local papers. you guys see the headlines? i thought they, "new york post", ignorance is chris. full screen. ignorance is chris. and daily news. there you go. daily news is, pathetic. you know, the scandal itself was pathetic but i think his apology was fantastic. tracy: i will give that to you. you're right there with me in that traffic every morning. >> ywa from that thinking no way he knew? >> i, i still think he didn't george washington bridge isn't one of them. i will say, probably, my commute today was cynical sicilian that i am. gwh traffic help but be >> we see this in government. christie might have used it to , both ceos made huge mistakes.

ing them.ie didn't want ugly fat at least lululemon got rid of their ceo. abercrombie signed off unthe guy again, even though the stock is up. that is whole game, we'll lower expectations and beat them. i think they made a mistake. tracy: listen to charles payne. >> thanks a lot, guys. hopefully traffic stays like this. tracy: i hope you're right. i hope chris christie himself is flagging them through because it was a dream this morning. ashley: quarter past the hour. time to check the markets. nicole petallides on the floor of the new york stock exchange. nicole, taking a look at talking about retail, retail winners and losers. >> we'll get to abercrombie. i wanted to show abercrombie essecially since we're talking about it. and kmart. while it is down 11 1/2%, it has arent of sears ayne may have been right on the mark, right? they lowered those expectations and beat those expectations. so now they're getting some

upgrades and giving a better than expected full-year outlook. we'll see if they take off from here. you do have some analysts raising their price targets however still with hold and neutral ratings from jeffries and mizuho. not buy ratings. abercrombie is down 32% over the last 52 weeks. it certainly has not been a stellar performer and has, a long way to go to the upside to please shareholders. back to you. ashley: nicole, thanks so much. we'll be back to you at bottom of the hour. tracy: believe it or not, this stock is up on fire, up 700% in two days! none of us owns it but neither here or there. dr. manny alvarez with his take on their new promising liver disease drug. ashley: that is good news. the bad news the employer is the syrian military. don't send a resume'. story ahead in your fox news minute. but first, take a look how the u.s. dollar is moving on this day after a dreadful jobs report. the euro moving higher against

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>> at 21 minutes past the hour, i'm arthel neville with your fox

news minute. some developing news on obamacare online exchange. "washington post" reporting that white house inding the contract with cgi federal. thanks to the disasterous rollout of healthcare.gov. reports say the obama administration is instead opting to sign a contract with accenture. president obama set to announce results of the review of the national security agency surveillance program next friday. according to the white house he is expected to address reforms of u.s. spying on friendly foreign leaders among more than 40 other recommendations from a prexdentialal commission. new reports that al qaeda militants are working to recruit americans that visit syria. order r according to sources, terrorist organization is trying to train and visitors to carry out attacks when they return home. the latest threat eminating out of the war-torn nation there. those are the headlines of the get you back to tracy and ashley. tracy: arthel, thank you very much.

>> yeah. tracy: talk about medical dollars and making lots and lots of them? the stock is up nearly seven fold in two days. we're talking about intercept pharmaceuticals. foxnewshealth.com managing editor dr. manny alvarez is here with his take. tiny little biotech company. they have this drug that helps liver disease. >> listen, if they have the drug that they're alluding to and studies come out to be true and all facts come in this will be a home run because what they're talking about is a drug that is going to fight fatty liver and fatty liver is something that is extremely common now adays. it has become because of obesity epidemic over the last 10 years. you could argue that at least 5% or more of the national population in this country has fatty liver. and basically what it is, just fat in your liver, that piles over time. typically due to obesity, type-2 diabetes, high cholesterol. tracy: this is not alcohol? >> not alcoholic fatty liver.

this is your every day i have a fatty liver kind of guy or gal. basically very difficult to treat, once the fat is there it doesn't go away. diet, exercise, lose weight and improve things and minimize the pileup of fat, but if you pile too much fat over time which is completely asymptomatic, you develop liver failure because it becomes fibrotic and sir rot tick and competent insufficiency, when people go for the general physical, my liver enzymes are a little high. therefore the doctor tells you probably have fatty liver. this is a home run because the results are spectacular. ashley: well the trial began in 2011. it was supposed to run through the end of this year, but results were so spectacular we'll move ahead with this. the fda comes in, how long now if what happens? >> what happens now the results were so positive, they did 20 patients and saw dramatic results. these results were based on biopsies.

they literally took pieces of tissue and compared before and after. they took the data and fda has to make a recommendation. do we go forward and say, let's approve it as is? or do we want expansion of more detailed study. i have to tell you, if the numbers hold water. in this is all factual. this is a home run because this is going to be, in my opinion, like the statins, cholesterol story. because the liver, liver health is something that is really a major problem and there is really no medications in the market for it. tracy: why do you keep saying if the number are real? do you think they fudge them? >> i don't say that but i don't have access to internal documents from the company. this is all hearsay from different reports so, you know. tracy: we don't know. >> and confidential information. so there is no report, for instance, that came out about potential side-effects. i don't know anything about side-effects. i'm saying if the facts are real, if the fda gets data says i like wit, we like it.

this will be a home run. italian product. italian product. university of farugia. hey. there is something big. tracy: lots of chocolate too during those -- >> exactly. they give you the chocolaae. give you the pill. everybody is happy. tracy: dr. manny, thank you, dr. man any. chocolate was a place up in thef hour of "markets now." your car dealer is watching you. backlash from the ford vice president said we have gps in your car and so we know what you're doing. tracy: our friday "wine with me" segment. wine cellars and big business of building them. ashley: californians reject online gambling. the business and politics ahead next. tracy: winners and losers on the s&p 500. speaking of medical stocks, intuitive surgical is up, a

charles payne favorite. dow is down 43 points. we'll be right back.

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there's nothing to do. there's just absolutely no reason not to try it. 100% invisible hearing is wonderful. finding one that works 24/7 with no daily hassle is just too good to pass up. so call now and ask about your risk free 30 day trial. get a lyric in your life. tracy: 90 minutes until the close and we'll have recovered with the dismal jobs report. sandra smith joins us in studio fox business headquarters on sixth avenue, nicole petallides downtown at the new york stock exchange. stocks not liking this number. nicole: what is to light? 74,000 jobs added, labor force participation rate which dates back to the lead 70s shows you americans are tired and annoyed and don't want to look for jobs, they were too cold, they didn't

believe they would find that men didn't get out and search for jobs. we watched bond yields dropped like missiles and other things moving higher, we saw gold moving to the upside and the market's overall moving back and forth and not doing much of anything, dow jones industrials, 46 points, technology doing better, energy transport holding on. a lot of stories in retail, in the drug sector but the big picture is the trend for 2014 has been to the downside and 1% for this year but is ending this week in the same fashion. tracy: the first week of the year. we will move over to the jobs number showing up in gold. sandra: interesting reaction. a lot of green arrows, gold prices spiking $16, fear trade being put back on over the last

month or so, the unwinding of the trade that were happening during -- before the fed announced they would start capering and now you see those trades being put back with a spike up $16, a full 1% gain, the trade in silver a jump of more as far as a percentage basis which we have been seeing from silver, a lot more volatility than we have seen in gold prices lely jumping by 2.3%, just over $20 an ounce and copper, the opposite reactions than one might think when you get a worse than expected jobs report that would indicate a weaker economy and less copper, you not the case today. copper prices spiking more than 1% because speculation is if you get these weak job numbers the fed might be more reluctant to take iran that would lead to a strawberry economy the mindset of the markets right now, copper

prices up 1% and a look at the middle crude-oil prices up more than $1, and 1% gain. a lot of this usually a sell-off on a jobs report and oil like that, not the case today, mostly chinese import data very strong and that is why oil prices are higher. ashley: californians rejecting proposals to legalize internet gambling as a billion dollar tribal casino industry flexes its lobbying power in sacramento. nelson road is a professor of law and he says online gambling won't be legal in california until at least 2015. he joins us now and thank you. so you really believe 2015 will be the earliest time. is it all down to the tribal casino industry lobbying against it? >> it is all politics and the problem is the legislators and governors trying to bring it in simply to bring in more money to

help balance the state budget and the tribe, not to protect the tribes or the card club so the tribes are in favor of internet gambling as long as they're the ones who get to do it and since that is not what is going on the need to figure out the political compromise. ashley: would it be a big blow for them? with their casino revenue take a big hit? >> nobody knows. one of the interesting things is internet gambling is of news that we don't know if it will have negative impact. but having said that, all the tribes are in pretty poor locations geographically. the closest one to los angeles is 50 miles away. are you going to drive to play the exact same game you play at home? that is their big fear. ashley: california like so many

states could use more revenue. i am surprised the pressure from that has been blocked to this point but you are saying it won't happen this year but do you believe we will see it in 2015? >> i think we will have internet gambling not only in california, probably within ten years within half of the state because we are in what i call the third wave of legal gambling, third time in american history gambling has exploded across the nation and there is so much legal gambling that legalizing one more form, internet poker, is politically not a big deal. the problem is there is still much gambling in this country that you have these very politically stronger entrenched local operators and unless you can work out a deal with them you can't get in the internet poker. in states like new jersey where the big money and the local

operators are the same, the casinos in atlantic city then they get a licenses but in a state like california where we don't have somebody like caesar's, someone who can write a check for $200 million but we do have politically powerful card clubs and tribes so they got to figure out the deal, it will happen. it raised an interesting question. with all the financial problems since the great recession why didn't it happen earlier? the answer is because it is too small. when they were going to do it three years ago in california and the estimate was that the state would raise $250 million a year the problem is there deficit was $25 billion and so they said we won't take the time -- we won't have a big political debate over something

controversial, bringing gambling into people's homes, let's raise the sales tax to the highest in the nation. ashley: do you think this will be one of the main topics in this election year? >> if you are cynical one of the reasons it is not going to happen in 2014, we are dealing with hundreds of millions and even billions of dollars and the cynical observers say this is a way for candidates, incumbents to keep getting money. being less cynical maybe it is not political donations, just -- we don't know exactly how people feel about voting in favor or against internet gambling. so lets put it off until 2015. ashley: all right, a big prize, calif. a huge population. thank you for joining us.

>> thank you for inviting me. ashley: it will happen in a matter of time. target in the cross hairs after the retailer admits to more customer data being hacked, the latest ahead on tech minute. tracy: wine cellars. the man who is building them for the stars next on our wine list. ashley: look at that. take a look at the 10 and 30 year treasuries, the ten year after touching 3% earlier this week dropping today 10 basis points, 2.86% in 30 year down also 3.8%. we will be right back. how did edward jones get so big? t me just put this away. ♪ could you teach our kids that trick? [ male announcer ] by not acting that way. it's how edward jones makes sense of investing. when i first felt the diabetic nerve pain, of course i had no idea what it was.

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it's specific treatment for diabetic nerve pain. to hear more of phyllis's story, visit lyrica.com. lori: i am lori rothman with your fox business brief. the insider-trading trial of mackey martina is underway in new york, he shared inside information he had about a drug trial with his boss. the next day, dumped $7 million in pharmaceutical stocks. his attorney says his client is innocent. wholesale inventories increased in november but at a much slower pace, the commerce department says the value of unsold goods rose 1/2% compared with 1.3% rise in october. president obama nominating stanley fischer to be vice chair of the federal reserve replacing janet yellen, a former bank head

and longtime mit professor, one of the students about going fed chair ben bernanke, that is the latest from the fox business network giving you the firepower to prosper.

tracy: my favorite time of the day. building a home for your wine, to one of the most sought after wine cellar design is that next guest knows a thing or two about preserving wine and making it look pretty bleak his custom-made sellers are the stuff of a wine connoisseur's dream. the co owner of joseph and curtis custom wine cellars and to clarify for people, you wear the assistance to your now partner, you guys where traders. >> a long time and joe was down there eight years--and i was. tracy: end we got to take this on the road.

>> looking for things in the afternoon when markets were slow and volatility was low end restarted doing this and one of my assistants helped us. tracy: it helps when you google it. that is a point for small-business owners. this was in 2001 and you have been doing this ever since. this thing has exploded. >> it has. with people moving away from spirits and alcohol and into wine and even beer father or that matter, people have been more bringing the restaurant experience into their homes, trying to find areas for adults to take rooms back in their homes. tracy: a big old man came. >> people go to restaurants and say i saw this restaurant and a picture of it or i was looking on house and found this wonderful picture. tracy: it is more than just i want to do the old school

seller. everyone wanted the -- >> went from metal and glass. and we are always pushing designed to stay ahead of the curve, three four years ago moving towards contemporary, all different types of things. tracy: it has become a showpiece. >> some people come to us and say i need 3,000 bottles, people say i want somebody to walk in and say blow me away whether it is 400 bottles instead of 3,000, lighting and a mood. >> this is a must have for the average of one. >> and the fact that ben bernanke kept the rate so low and people's balance sheet expanded they are looking for things to do and bring to their homes. tracy: you are seeing metal and glass. i use seeing huge sellers? or smaller ones off of the kitchen? >> little of both.

people have big collections and one spot for that and doing a lot of things like we were talking about, we are doing one currently, two cellars, one on the main floor and the main spiral staircase on to the second floor where the main store is an upstairs is showcase. tracy: you have this offshoot business not only building these sellers but asking you to fill them. >> people coming to as we are both collectors and have our own cellars and our knowledge told about wine and have different part is we work with and are helping customers not only stack it but inventory it. tracy: which i think is wrong. that is my personal opinion. everyone should live life and still as you go. you have a suggestion for people, you should buy a bottle the year your kid is born and say that. >> or -- wine appreciation has been off the charts, you have a tough chance finding an investment to be it. people are putting them away until they turn 21. tracy: you don't sell it, you

are going to drink it. tell everyone quickly. >> www. joseph@curtis.com. tracy: they hit the new york city athletics. there are tons of beautiful pictures. better than that. thank you for being here. ashley: time for stocks, and to the stock exchange, jason why isburg, we spoke in the last hour, generally the thought is this horrible december jobs number ii just a blip and no need for panic and if there is need for panic the fed is coming back anyway. >> i personally don't want them to have our back. i want to see the laws of capitalism operate as intended without crutches of government and most people are looking forward to that day. that being said i think earnings, the driving force in

the next couple weeks, and i am hoping for great guns and great numbers all in all. ashley: doesn't it complicated for janet yellen as she starts her reign at the fed? does it make things more complicated? >> i don't think so. he buys into the 6.5% unemployment level, the point in which they are going to affect the current q e policy and they are not going to move interest rates until 2016 which doesn't bode well for the fixed-income market and only supports the case for buying equities, certainly u.s. equities and i think we saw lot of geopolitical stuff last year that historically would have rocked the market to the core. it didn't happen. it is only a reaffirmation that the u.s. equity market at least for the time being is the only place to be. ashley: back to fundamentals we

hope. jason weinberg, have a great weekend. it is time for your tech minute. big brother is watching or at least your car company is. big backlash after a ford vice president said quote makes you have gps in your car so we know what you are doing. jim farley went on to tell reporters c e s and las vegas the company knows everyone who breaks the law by speeding and going through traffic devices and the information is not shared with law enforcement. by the way, told him to cool it in the future in revealing this information. checking stock after this revelation, no big whoop. fox 1-1/4% north of $60 a share. target in the cross hairs, the retailer saying its recent data breach may have affected 77 million people, higher than previously stated.

target originally claimed as many as 40 million credit and debit cards were compromised. target shares down on the news and an afternoon downgrade from jefferies down 1-1/4%, $62.63, facebook putting an end to a controversial ad featured the raised eyebrows over privacy concerns. the social network says it will sunset the program on april 9th. that feature created a social endorsement for ads. a facebook user like the company's product, that action along with the person's profile picture could appear as an advertisement in their friend's facebook news feeds. that is your take a minute. tracy: youtube looking more like a tv channel. dennis kneale ahead with the company's for a into programming. got all that next. the dow is down thirty-second points. don't go anywhere. 5th street the old dining table at 25th and hoffman. ...and the little room ove the strip mall f roble avenue.

♪ this magic momt it is the story of where every great idea begins. and of those o believed they had the power to do more. dell is honored to be part of some of the world'great stories. that began much the same w ours did. in a little dorm room -- 2713. ♪ this magic moment ♪

tracy: breaking news, u.s. supreme court agreed to hear broadcaster's appeal over online tv service area. luckily for us dennis kneale this year, he knows all about this. dennis: a big moving. of varying different start up that steal the broadcast's signal out of the sky, sells it to cellphone ussrs in various markets for $12 a month. is a fact of a copyrighted products? they won a couple bernie rulings, we are not going to block you from the service, the supreme court, the networks, big broadcasters went to the supreme court and said even though there's not a final ruling we need to stop. the supreme court said we will hear this even though this hasn't gone through the formal appeals process. it could mean justices want to say just because you keep hundreds and thousands of tiny

antennas in a lock box somewhere, an antenna on each home, that is nothing but a figleaf. can the airways be free, to the networks, that is why broadcast signals are free. is the content that travels on those airways the content free? that is the problem. tracy: we say no. dennis: if you cannot protect copyright how far does it go? this is a potentially big ruling that could mean the supreme court, would you take on a few thought the network would lose? would you take it on if you are one of the supremes and think the networks are being hurt and someone needs to do something. ashley: you are stealing from one's content which is free over the air but turning around, taxing and selling it. dennis: two federal judges, so upset and offended i am going to stop it. go ahead and do it until you work out in court.

dennis: you could do the same thing. >> they recently came out and said we need 6,000 i think it was users in a given market to be break even on this, selling $8 or $10 a month, 10 or some markets. tracy: they think everything is free. >> if they can do what why are cable systems pay hundreds of millions of dollars, for free over the air signals. that is the fear. if they win, maybe cable systems, will say i'm not paying broadcast's signal anymore. this is big implications but we are just guessing here. a victory for the networks in getting the supreme court to review and they said yes. ashley: not an easy thing to do. only limited cases they will consider. tracy: perfect timing you shut up in that ruling. i should have said in a court of ashley and me.

i am correcting myself. dennis kneale, my grammar check. coming up on "countdown to the closing bell" attention all shoppers, need some money from retailers including c years to provide their outlook weighed down wet. we will talk to someone who is having a very public sentence here and tell us why he thinks the patience has gone, the patient has gone from 6 to ridiculously critical. the dow is down 43 points. liz claman is up next, don't go anywhere. ♪ ♪ ♪ [ tires screech ] chewley's finds itself in a sticky situation today after recalling its new gum. [ male announcer ] stick it to the market before you get stuck. get the most extensive charting wherever you are with the mobile trader app from td ameritrade.

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is fighting an all-out war with sears management. he says the retailer has gone from bad to critical. he's our guest. and failing the grade, turns out former sac capital advisers manager matthew martoma may have learned how to fudge the numbers after court documents show he falsified his transcripts while at harvard. "countdown to the closing bell" starts right now. ♪ ♪ liz: good afternoon, everybody, i'm liz claman. it is the last hour of trading. you know, indecisive might be the best word to describe the day. investors are taking the lousy december jobs number pretty much in stride, blaming it on the cold weather that maybe kept people out of stores or kept people out of jobs. said simply, it was an outlier number, but it did cause investors to rush to the safety of treasuries. take a look at the ten-year

yield, it's at 2.86% as the