tv Markets Now FOX Business February 10, 2014 11:00am-2:01pm EST
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united states is starting to look a lot like his home country. we will get into that in just a minute. flappy bird pulling the game. we will have that. there has to be a transition there. dagen mcdowell joins us on this hour of markets now. ♪ dagen: did you play flappy bird or download it? connell: no. dagen: i jumped on it. the creator was threatening to pull it on saturday. it is incredible how hard it is.
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stocks started out the week, well, on a down note. nicole: it was pretty unbelievable we have had a lot of volatility recently. today the index is up about 2%. that is a loss of one third of 1%. the s&p a loss of eight quarter of 1%. the tech heavy nasdaq has an up arrow. fractionally higher. we are keeping an eye on so many
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names. we will hear our first, formally known as humphrey hawkins -- on the dow having an upgrade. connell: president obama is hosting the french president. this comes as some economists are saying that the united states is in danger of becoming more like france when it comes to our economy. dagen: peter barnes is at the white house to explain. the organization of economic collects all of the data. it looks that social expenditures. in 2013, it found that france spent an estimated 33% of its
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gdp on these kinds of programs. the u.s. about 20%. the oecd average about 22%. the u.s. has been moving up. that 20% in 2013 ranked it 23rd among developed nations in this kind of spending. that is up from 28 back in 2005. we have this debate on unemployment insurance which some critics say it discourages people from getting back into the labor force. here is one critic. >> in order to get that labor force backup i think we have to shrink the size of the government otherwise we will be like france. >> some analysts point out that
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the president has obamacare, but president bush approved the medicare prescription drug benefit, if you recall. connell: peter, thanks. as peter explained, we have a ways to go to be france. the trend going up means what to you? >> it is disturbing to think that we will be like france. i believe many people in this country think we live in the greatest country in the world. the number one problem is the drag of obamacare. cvo talks about it. we need to get rid of obamacare. we need to and fantasize people to go back to work.
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stuart: you've used the word incentive. that is a term economists use a lot. the white house and those that support their view are pretty much fine with saying that this will allow the idea that you could be covered by obamacare. the people to choose to maybe not take a full-time job. you basically think that incentives are wrong here. is that right? >> first of all, only on capitol hill could you twisted around to make sure it is better to not work. listen, you have to work. you have to go get a job. maybe two jobs. i am against obamacare. it is terrible. the 18 new taxes, the one-size-fits-all in the fact it is not being done correctly is a
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drag on the economy. we need to do it better. connell: i was about to ask you about the debt ceiling. if you look at the calendar, there is not a lot of time to get something done. >> people need to understand that harry reid has the calendar. he controls the calendar. they could have been addressing it since the last crisis in the last crisis and the last crisis. they act on crises. they are worrying about 14. they will would worry about 16 and so on. connell: that is not what i am
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reading on the internet all the time. [laughter] connell: are you thinking about running again in new hampshire? >> i would be lying if i said i did not think i could do it better than the people down there right now. that does not mean i will jump in there with every opportunity. we are in trouble. we are in a financial emergency still. we need to do it better. i am challenging the president. i challenge my former colleagues. we will see what happens. right now i will continue to do what i will do and that is being with you and continue on driving the train. connell: it is always nice to have you. thank you for coming on. dagen: at the u.s. economy will grow at a 2.8% rate by the end of the year and job gains low average 200,000 a month in 2014.
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this is according buy a new study of usa today. is this right? >> it seems like wishful thinking at this point. i think it actually is 3% economic growth. it will probably be a little bit slower in the first quarter due to pay back in the inventory build we saw going into the end of 2013. as far as the job picture, i would be a little surprised if we veraged about 150,000. dagen: how much upside, if we get back to ok growth of this country, back to okay job creation, how much upside is there in the market?
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>> i think that there is quite a bit of upside in the market. the u.s. economy and the global economy is just doomed to persistently low economic growth. there has been this idea that for some reason that 2.5%-3% growth is the new normal for the economy. i think we could actually see about 3.5% economic growth. when you factor that in, about a full percentage point faster economic growth, back of push it higher over the longer term. dagen: you still see individuals more willing and more eager to own taxable bonds did you do stocks.
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>> they realize fixed income securities are not necessarily fixed in price in terms of the guarantee on your return. they have to recognize that investing in fixed income entails risks. people are slowly beginning to get that message. i am not expecting a stampede. we will likely see a slow migration of people out of there. dagen: i was talking about that bond flow of almost $11 billion. we will hear from janet yellen in front of congress for the first time. would it be bad news? >> that is the problem. that is the messaging issue. t.ncerned?do they sethinthat w
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by all appearances, it appears like they will trim back the signs of it by $10 billion at every meeting. she needs to it . dan: herdesmo ll be releedt 80 m. tomoow thank you. it was great to see you. >> great to see you. connell: karl icahn calling off his apple by that campaign. we will talk about that coming up next before new fallout for governor chris christie. connell: americans are near the top of the gold medal count over sochi.
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dagen: that apple by that game is up for karl icahn did no cool is that the york stock exchange with details. nicole: karl icahn has been very forthright with what he had hoped apple would be. he has been pushing for an additional buyback of the stock. @t was just recommended that they reject his proposal. he says now we see no reason to pursue a nonbinding proposal. tim cook did note that apple has
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bought back about $14 billion in stock in recent weeks. so much money sitting on the balance sheet and cash. back to you. dagen: thank you, nicole. connell: talking about gm now. dagen: fox business has reported they are making far less than former male gm ceos. elizabeth macdonald has the bottom line. liz: it looks like the wheels are falling off. gm has already told fox business and we reported this last week that it is waiting to talk about the long-term compensation until the annual shareholder meeting in june. there could be disclosures coming up in april.
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no word on the long-term compensation. gm, in the past, has immediately awarded long-term compensation to prior gm executives. look at this, he immediately got $2 million when he was hired as ceo and long-term pay. so did the interim ceo. executive compensation, what is the secret about the new long-term pay? they all the squirm under his -- companies must not or are prohibited from announcing or
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discussing. this is an ongoing story. what remains to be seen is gm raises it. back to you guys. connell: more to come on that. dagen: at the popular app, the game flappy bird just got its wings clipped. why the developer walked away. connell: after a big weekend, the united states right in the middle. remember picabo street? she will join us coming up. we will talk about what is next. ♪ we asked people a question,
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how much money do you think you'll need when you retire? then we gave each person a ribbon to show how many years that amount might last. i was trying to, like, pull it a little further. woman ] got me to 70 years old. i'm going have to rethink this thing. it's hard to imagin how much we'll need for a retirement that could last 3years or mor so maybe we need to approach things dferently, if we want to be ready for a longer retirement. ♪ she loves to shop online with her debit card.
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♪ connell: time to make money with our friend charles payne. we are gaining from discounts at charles: it was hot, it would redefine everything. the only thing a really redefine right away it was it's counting. i inally, tho they vetheir act toge. i likehart here. i thlongerm chartlos really goo. ooking for a m back to the are it is a hr t normal risk. one ofames that ising ge from book. gettingheirct togetr.ttlients.
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it is more of a long-term. it is acting pretty good. i think a little bit of the pole that it had is an opportunity. this is a little higher than normal risk. connell: a real newsletter or just online? charles: online. dagen: you print it, to. charles: i am worried about the day the robots take over. [laughter] dagen: it is called being a quarter, actually. [laughter] charles: all of my albums. connell: thank you, charles. dagen: do not go anywhere.
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flappy bird grounded. the popular game flew to the top only to be taken down by its creator. flappy bird was said to be earning about $50,000 a day in ad revenue. the success was too much for the creator. the game ruins the simple life and now i hate it. he did warn ahead of time that he would pull the game on sunday. if you did not download it -- an iphone with flappy bird could be yours for $100,000. charles: if you want to be really successful in life, find something you love to do and you will do well at it and make a
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lot of money. dagen: i think it is a ploy to reignite. charles: where is he now? dagen: back doing standup. this game is incredibly hard. charles: people were hated the game, but they kept downloading it. dagen: everybody thinks that they can do it. when you tell someone this game is super hard, they are like, i've got this. they download it and it is hard. connell: have you been watching a lot of the olympics? charles: my wife has been filling me in. connell: we have picabo street coming in later on. that is coming up. dagen: the most important news for governor chris christie's state.
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former arkansas governor mike huckabee joins us with his take straight ahead. ♪ [ male announcer ] this is karen and jeremiah. they don't know it yet, but they're gonna fall in ve, get married, have a couple of kids, [ children laughing ] move to the country, and live a long, happy life togeer where they almost never ght about money. [ dog barks ] because right after they get married, they'll find some financial folks
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mike huckabee weighs in. and joe biden makes disparaging comments of the airport making questions of how billions in federal stimulus were spent. winter olympics in full swing, gold-medal skier joining us live in minutes. connell: shares of yelp hitting new highs. nicole. nicole: we are watching yelp and yahoo on this news. yelp hitting new all-time highs. up over 300%. let's show you what the story is here up pertaining to yahoo and yelp. basically now we're finding yahoo is partnering with yelp so they can beef up the search engine with local reviews, so this is pushing shares to the new high. yelp had similar contract deals with yahoo and apple showing local business listings, reviews
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and stuff compiled by yelp, helping to build yahoo's brand as well. great performers over three years. no terms on the deal, but that the staff know the employees on friday the big news between the two. dagen: thank you, nicole. new jersey's largest newspaper says it regrets its endorsement of chris christie over the weekend as his administration remains mired in that scandal of the george washington bridge lane closures and hurricanes any relief fund. for more, let's bring in mike huckabee. this won't go away. did you think it would have at least kind of guy down somewhat by now? >> i think it is a slow news cycle, dagen. nobody has produced any evidence to say governor christie ordered the closure of the bridge or
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knew anything about it before it happened. i think this newspaper is embarrassing itself jumping the gun. i don't think this hurts governor christie at all. he is being touted as a candidate for president. if he were not being talked about, we wouldn't be hearing anything about this. dagen: do you think he is a viable candidate for president? >> absolutely. dagen: this heightens the perception of him as being a bully. >> it might. i think there are a lot of americans would not mind somebody being a bully toward a bad economy. i think he is a very viable candidate. it is not that any candidate will go through the process about a whole lot of scrutiny.
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he may have may be a difficult time with social conservatives in the midwest and south, that remains to be seen. but to write him off because of something about a bridge closure in new jersey on the gw bridge with no evidence to show has his imprint on that order, that is lacking credibility. this will up an end he hopes he has for running for president. dagen: talk about his support amongst some supporters, governor. he signed a bill providing in-state tuition rates for the children of illegal immigrants, not occurring favor with those who are on the right. >> he is going to have some trouble. proceed to be a little less than solid when it comes to the same-sex marriage issue and the way he sort of said if that is the way the court rules, we will leave it alone. he did not push back to it.
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he has to deal with in places like iowa and south carolina. i am not saying he doesn't have some challenges, it is just it is not the bridge he has to worry about. he has to worry about how can he translated message that works beautifully in new jersey in a place that is in the northeast where republicans have to be a little bit more to the center or the left then they would in south carolina or iowa. how can he translate that and convince voters in those states that he would really govern to the center? rudy giuliani's problem back in 2008, it will be governor christie's problem, but i think this idea the bridge sort of being a bridge to nowhere for him, i don't see it. unless some evidence shows up. if it does, think his bridge has collapsed into the hudson. dagen: in terms of him running republican governors association raising money, is that hurt him the to raise funds for the organization?
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>> i don't think so because donors want to see governors in the stat statehouses across the country. i know it means revelatory authority. i don't want to see state run cap and trade, things that destroy jobs and destroy business, so they realize republican governors will be much better friend of job creation and tax and revelatory policy, so people who are donors don't give because the chairman is a chairman, they give because the various governors in the 50 states are going to govern their states a far more efficient way if they understand he cannot spend a bunch of money you don't have, you can't borrow money you can't afford to pay back and you can't litigate, relate and tax a lot of businesses that put a bunch of them out of business. dagen: safe travels wherever you may go.
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>> thank you. connell: we heard first the sochi hotels for the press were without white fouled and doorknobs and all those kind of things in some cases. elevators weren't working, running water was a mess. everybody was saying the olympic villagvillage seemed all right,r maybe not. now we're hearing about an empty elevator shaft it almost swallowed a bob's letter. there is that. we will talk that and more, the games themselves coming up with fox sports. dagen: have you ever been trapped in a bathroom? connell: i don't believe so. dagen: i have been trapped in a stall and had to crawl out. that was nasty. connell: that is nasty. dagen: good times.
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help us all. the u.s. has taken the lead in the first ever slopestyle competition gold for the boys, gold for the girls. picabo street is here to weigh in. connell, is from vice president biden, some democrats are up in arms about that. rich edson will have the latest for us from capitol hill straightahead.
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>> i am lori rothman with your fox business brief. mcdonald's global sales strong than expected last month. reporting 5.4% jump in the asia-pacific, middle east and africa division. u.s. sales fell by 3.3% last month. hasbro shares of 4% despite disappointing fourth-quarter results. weakness in the boys category rose over the holidays. barclays has launched an investigation into possible data breach coming after british newspaper reported social and vote 27,000 customers including the passport insurance numbers stolen.
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connell: we are back on "markets now." americans sweep in the golden the men and women slopestyle. near the top of the metal count. number three. altotal metals. fox sports one analyst joins us from sochi now. picabo street. what stood out to you so far in your coverage of these games? >> it has been an interesting games. i was nervous as most people were because of all the hype, i landed to discover the complete opposite. connell: tell us what it is
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like. >> the people are kind, security is tight and very prevalent. i actually feel quite comfortable here. they close the country doubt anyone to be able to drive in here, tickets are extreme expensive which kind of bums me out, which the russians could afford to come watch these games more. connell: is the atmosphere different at all? you have been to other olympics. is the atmosphere different day today going out and attend events anyway that is tangible that you feel? >> it is. the trains are empty, there aren't very many people here coming to watch. the stands are packed once the event happens, but in the interim, there aren't that many people milling around. i'm used to everything taking so much longer. so much longer, so many more
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people enjoy the outskirts of the olympics and here that is not happening. everybody has a pass, everybody is where they are supposed to be. even trading is difficult because aren't that many opportunities to get around the locals and all around the olympians. the fans usually come watch the games. people are afraid to come here so there is not a of that. that saddens my heart. connell: your family could not have came and watched you, that has to be rough on some athletes, right? >> there are so many athletes whose family are not here. wwe're seeing a big bonding happening because of it. they are all kind of helping one another. sticking close. canadians and americans sticking together. i was up watching the slopesty slopestyle. when sage saw my face, pretty
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deep into the day, he has done a lot of media, i waited and when he surfaced down in the mix i said way to go, park city, his eyes locked on me and it was like home. he gave me a huge hug. it is really sweet to be able to give him not because he started getting all the interviews done and all that stuff. such a good kid, great base for slopestyle out there. lot of people thinking with some of the comments coming in here, what are these new sports. these kids are legit, going big, they are technical, they had to change the entire approach to the sport coming into the games base or the judges were putting up on the board and rewarding and they did it, they stepped up and they did it in the judges were rewarding style. we are seeing some great olympics going on.
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everybody was nice and everybody was friendly. the russians just want to help. four of them helping you go wherever you want to go and have a great experience. i am loving it. connell: picabo street, thank you. thank you for hopping on with us for a few minutes today, it was really good. dagen: watch it, man. it has been awesome so far. the half pipe. why am i looking at you? coming off their best week of the year, where do we go from here? at the new york stock exchange. major upside or downside with janet yellen getting ready to testify tomorrow. >> is a true test for her because actually been put on the spot in front of the senators and representatives. we know they all have their own agenda and ask this question a
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lot of times i don't even know what they are asking. she is going to stay the course, she certainly going to be as accommodating as possible. they had emerged from their dual mandate shepherding the overall economy and what they say they will do whatever it takes to keep it going forward, that'll be a good boost for stocks. dagen: good to see youu let's hope what you say comes true. be well. connell: democrats follow the comments made by vice president joe biden on the condition of one of our airports here in new york, laguardia. dagen: rich edson with more. rich: laguardia could be mistaken for a airport in a thid world country. new york mayor calls the inappropriate in the port authority says the port authority this week proposes 10-year, $27 billion capital plan that creates 126,000 jobs and invest $8 billion in
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modernizing the region's airports. all this begs a question, where does $800 million in stimulus money go? despite the vice president saint would rebuild, infrastructure, one analyst points out very thee little went to construction projects. >> the best estimate is one eighth that money went to public infrastructure. close to $300 billion went for tax cuts and the remainder went largely to state and local governments to prevent firings of teachers and policemen. very little went for public infrastructure. rich: of the $250 billion, or knee stomach on a 40 by a bus went the bulk of that money paved roads, upgrade facilities anddbought buses. back to you. connell: thank you, sir.
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beat america's obsession with weight loss going strong, but you wouldn't know what watching weight los watchers earnings. connell: up next. but when we sta worrying about tomorrow, we miss out on what matters today. ♪ at ax we offer advice and help you break down ur retirement goals into small, manageable steps. ecause when you plan for tomorrow, it helps you live for today. can we help you take a small ste for advice, retirement, and life insurance, connect with axa. peace of mind is important when so we provide it services you abucan rely on.nce, with centurylinks your trusted it partner, you'll experience reliable uptime for the network and services you depend on. multi-layered security solutions keep your information safe, and secure
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dagen: it is the battle of the diet cleanse. the company's stock has been slipping things to ramped up competition. connell: jeff flock joins us. jeff: i have got a legend with me. talk about ted turner used to be cable before cable was cool. healthy eating before healthy eating was cool. your company started back in the '80s.
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>> 30 years ago, really. jeff: take a look at the stocks, weight watchers versus nutrisystem's. weight watchers has had a rough ride lately. real simple. >> it is what people should be eating for the rest of their lives. with allies every item on every meal, calorie controlled and healthy, sodium restricted. the healthiest possible meals you could get. jeff: you are a registered nurse who said i need to have people eat healthier, not just treatment after they get sick. >> i was talking to a diabetic, i told him i tried to help him and he said to me look, i will not do all that work. why don't you do it for me?
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that is what really got me started. jeff: it makes a huge difference. it has had a huge run up, but a huge run back down again. a lot of people focusing on healthy as opposed to weight loss. you get weight loss of your healthy anyway. >> a lot of people need to lose weight to be healthy. that is why we are calorie controlled. we have a vegetarian line now also. jeff: i want to get your wisdom all day long. your daughter and your two granddaughters, will meet them in the noon hour, just about an hour away. love to be where the food is all healthy. fresh, i love that. >> that will go in the meat. chopped tomatoes. served on a fresh leaf salad.
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jeff: thank you so much, back to you guys. connell: this new coffee shop out west in l.a. has the concepts that is so dumb it might work. dumb starbucks in almost every way an exact replica of starbucks but the word "dumb" squeezed into everything. you say this can't be legal. the creators say it is citing the parity law. they are looking into it. dagen: i don't know about that. gm may have shattered the glass ceiling with the first female ceo but it may be in title alone. the salary compared to the men who have come before her. connell: to americans just work too hard? should we take a page from france? coming up next hour of "markets now." and she might have if notor kari,
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>> this is a good thing. if you look at international comparisons country by country, americans work play more than the average industrialized countries around the world. we might want to look at our work life balance in the system that gives us a great opportunity. >> that was, as ben keith ellison saying less work is a good thing. i'm cheryl casone here with ad adam. we will be free to go home and cook dinner. are we becoming more like france? you've got controversy. he singled out two of his employees on a conference call, but ill this hurt ao are well n the long run? gm may have shattered the glass ceiling, but her compensation does not stack up to the men who have come before her.
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the exclusive details coming up in the nr tsow." and am spiros onet wh me. i thought the glassin glass ceis already shattered. i guess it was only crack. adam: it will be very interesting because this a big step for gm, people talk about the glass ceiling. but another ceiling we want to talk about, that is stocks. nico exchange, taking a breather after last week's rally, right? nicole: unbelievable how we talk about last week in a positive fashion. remember one week ago from today, the stock market was down 326 points, the last sunday was a tough day on wall street. that is the name of the game here in terms of what we have seen for 2014. a lot of volatility.
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the direction is just not clear. the dow and s&p are pulling back. that being said, the rally thursday, friday, that is consecutive gain 2.2%. this week not as much economic data. everybody will be focusing on janet yellen and what she has to say, the tone she delivers that language, we will be watching this. dick's sporting goods we going to that as well. the vix is just slightly higher. cheryl: it is time for monday's headlines. first up on our aaenda, the latest cbo report shows
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obamacare to eliminate the equivalent of 2.3 million jobs. but democrats congressman keith elliott says that is not bad, americans work too much anyway and need to spend time with their families. fox business charles payne from independent. also fox news contributor. you feel you are working too hard, do you need a break? >> i am not surprised keith ellison wanted to spin this in a positive direction. but i personally prefer to stay away from the normal judgment of whether or not this is a good thing and stay with the imperial fact, americans work harder, they get a lot for it in return. americans versus the european counterparts. americans do better than the european counterparts making decisions to work a bit harder because of it. adam: you're bringing up the standard of living issue. the other issue though that seems to get lost in this fight over no matter what side you
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fall on its yes to have a job that has hours. if you don't have a job to go back to, this could be a whole lot of other problems. >> americans do choose some career paths they can choose to work longer hours and choose to take more vacation and live a more taste of life and consumer life. cheryl: he said this is a good thing. thanks to obamacare, that is a good thing. charliecharles: are we invitingf them to go home and sit on their sofa? we can do it forever. let's talk about the nations the congressman compared them to. gdp does is .4%. how about italy, they know how to chillout, 2.4%. what about spain. down 1.6%.
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i can see what he wants us to be like that. i cannot wait. pass the sangria. cheryl: the italians are pretty chilled out. are we becoming friends in this country? >> i love when charles gets mad, there's nothing better on tv. it was built on ingenuity, time, and now they are trying to tell us get a subsidy and if you want to lose the subsidy, work less. this is insane, the representatives out there, just the spending blanket at this point in time. he is on obama's side, peer politics. all we have been hearing is jobs, jobs, jobs. totally insane. cheryl: the only female on his entire panel. one of the things i found was
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look at the working moms at home that are going to work. i took offense to that. adam: people working part-time for noneconomic reasons, the mid-1950s has gone up while the labor force only 150%. we do have a leisure component to our economy and people have a right to choose that. lastly hardest working definition, mexico was number one, the gdp growth. i can go down the list. you ultimately get what you work for, what you earn. forget about france. the whole country will be detroit. cheryl: another controversial topic. a chief tim armstrong may have an image problem. one week of making controversial change the company's 401(k) contribution plan, blaming obamacare and two of his employees distressed babies, he is now reversing that decision.
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he said we have decided to change the policies back matching contributions. on a personal note i made a mistake, i apologize my comments last week when it mentions health care examples trying to explain our decision making process. in light of all these, would you still invest in aol? charles: i would not invest in a well, nothing to do with his personality, per se. leadership is important, what he has been able to bring to the bottom line probably is important. if it was an oil industry executive, he would be on the front page of "the new york times." i'm not sure about investing the company, but tim armstrong has to little bit of work on his conference calls. cheryl: he has had to come out and say sorry for a few things. there were talking about the back half and all of a sudden the stock started to sell off.
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that was one heck of a conference call to end all conference calls for the company. does it hurt shareholders? >> he is the ceo. they were forced into backtracking just a colossal blunder. the good news for them, time heals wounds and as we get farther away from this if he doesn't screw up again, people look at aol as a business and will decide for themselves whether they should invest in it. they definitely have improved the business over the last couple of years. if he keeps stepping on his mouth like this, forget about it. cheryl: blaming these distressed babies, that is why we will affect the 401(k). he blames the distressed babies, the women. adam: he lacks common sense, but he is raising a much bigger issue. other companies are starting to do this 401(k) plan.
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that is going to impact workers in negative ways. that has to be discussed but ultimately what he is bringing up, his base we saying obamacare is not going to work. if he was laying the argument for single-payer system down the road. cheryl: i do want to review this quote, one of the mothers said she is the wife of one of the employees and says i take issue with taking my daughter as a distressed babies who cost the company too much money. >> a strange quote. i want to be set down and thought it through. that seems really, really strange. >> to single out something like this, he must have been sucking down some shots of tequila. it makes absolutely no sense and only makes him look stupid. >> a will is accompanist seems to doing better before this
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squabble, i was shocked to learn a well was still a thing and still i company. cheryl: i listen to charles when he says how to make money. charles: i have not held and the company itself, but i will give kudos he has made a remarkable turnaround with the company. cherrl: missouri's all-american defensive end sam public analogy he is gay confident they become in the first openly gay player in the nfl. will this help or hurt where he goes in the draft and his earnings potential during his football career? i think he is actually going to get more money in endorsements, charles, because he has been so brave to come out. charles: he will be sitting next to michelle obama at the next state of the union. i think the approach for him outweigh the cons. the first active player.
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some experts say he will galore in the draft, which would be dumb. if i'm a general manager and he fits my needs, i am not going to skip on him because of his sexual orientation. cheryl: will this hurt him in the draft process. >> i certainly think it will n not. we are looking to build for the future, looking to do well and win. i agree with charles as well. this will only make his chances better of getting strong endorsement deals as a result of the publicity drawn to him as a result. adam: his 24 years old, this is such a non-issue. really an issue for people who are older. cheryl: that is a good point. what do you say? >> unfortunately we have to deal with some unfortunate facts. so remember never get any endorsements whatsoever because of the same thing. so who knows, but as far as the
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nfl, they want to win. if he comes out as a great football player, more power to him. i hope he is. as far as endorsements, society has changed, maybe things have changed, would love to see something good come of this. cheryl: hopefully his career will be as straight as they say. he is one heck of a football player. thank you so much. adam: gma have shattered the glass ceiling with the ceo but her conversation is not stack up against the men who came before her. this was a details on that next. cheryl: atlanta bracing for more snow and ice. we will be live with details on how bad it is going to get. welcome back. how is everything?
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cheryl: okay, so, look, we are starting out day with a mixed market. we will take whatever we can get. united health care group impact of about nine points. kind of a mixed bag. he wanted to see some runs. even the volatility index is a little higher today. we will take what we can get. again, facing volatility throughout the week. american express eight points, not helping the dow. let's bring in nicole petallides from the floor of the new york stock exchange to find out what she is watching. what have you got? cheryl: looking at hasbro and mattel. 6.4%. why is it doing so well after the latest quarter, the fourth quarter came out with numbers lower-than-expected? is all about going forward. the latest quarter little weaker
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than ellis had hoped. they are slated to do very well. they are bound to gain from the lucasfilm partnership and will unveil "star wars" rebels television series and 2014. the fourth transformers sequel and other upcoming films, and all of this overshadows weakness experienced in north america. the analyst loving the company, they make monopoly and with a pony. back to you. cheryl: appreciate it. adam: serving first female ceo as fox business has reported, making far less than former male counterparts. joining us now with a story she broke. >> gm's narrative on the new ceos pay is hitting the wall faster than a crash test dummy. why they are not disclosing new
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ceo mary barra's long-term pay. any discussion of her long-term pay is premature and flawed because h the end the meeting te shareholder meeting in june is when shareholders will apparently sign off on long-term pay. watch this, however, prior ceos and senior executives like chief financial officers immediately upon hiring, when they got hired a and appointed o the positions immediately get long-term pay. 2 million, 2 million, 2 million, 1.4 million. also at the same time, executive consultants are telling us they find this puzzling, scratching their heads, what is the secret? other major companies warnings ahead of time long-term pay like lockheed martin does this, pepsico, ge, ibm all award long-term pay ahead of annual meetings.
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telling fox business what is the big secret? no federal rule or relation saying companies must not or are prohibited from an ounce or discussing long-term incentive compensation prior to their annual shareholder meeting. cheryl: the differenc differencs an insider. a long-term employee. does that hurt her when she went to negotiate for this new job? you have been making this all along. >> she is a 33 year veteran of the company. they did not have any experience running a global automaker, he is a buyout guy and coming out of the private equity shop. he was a telecom cap as active as well. cheryl: could they wind up having much more serious problem with future buyers? >> women are getting offended. abc, cnn, cbs did this story.
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here is the question, will gm quietly raise her pay by 5 million for her long-term piece of it? to bring her up to 9 million level other ceos have gotten running gm. cheryl: your story has got a lot of traction, we should say. >> she is in an iron cage surrounded by other men, she is not the chairman. another man is the chairman. it is all about the glass ceiling, mary barra and what is the right pay for a ceo 33 years with the company. cheryl: liz macdonald, great story, by the way. we all remember last month's southwest airlines shocker when one of the planes landed at the wrong airport in missouri. even more surprising is new data showing this happens more than you may think. adam: winter storms are wreaking havoc on businesses and consumers and the nation's farmers. we have the latest crop report and your forecast coming up.
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america. the breaking details, what are the numbers, phil? >> basically everybody wants american grade. that is what is going on. the planted acres did not anything but where we saw big moves was a carryover. it came 558,000 bushels, that was 500,000 bushels lower-than-expected. the kind you can consume, that is a big shock to the market. no the demand for greens was drama most of the demand we thought was in soybeans. guess what, they love our corn as well. another dramatic miss. they were looking for supplies to come out of 1.69 million bushels, came on at 1.9481. a big mess. when you look at the corn and soybeans, they were rallying into this report, so we're still
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getting a nice move up on the corn right now. soybeans are down $0.08. not only did you see a bearish report on a carryover, but i guess not having as bad as farmers first thought. cheryl: phil, thank you. adam: déjà vu, here we go again. snow and ice threatening the south. janice dean joins us now from the weather center, atlanta is the target, isn't it? >> they can do a do over with this one and hopefully they will get it right. atlanta, georgia, in a state of emergency ahead of the storm system. the cold air as far south as dallas, memphis and bitterly cold across the northern plains the midwest yet again with wind chill warnings an in place. you can see some of the moisture working his way in from the gulf of mexico, dell is under
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freezing rain advisory because a the potential for very icy roadways tonight. going further out in time, the storm that really start to get its act together on tuesday. temperatures will drop, a mixture of snow and ice tuesday and wednesday as the waves of low pressure ride the frontal boundary. a dozen states across the south, atlanta into an advisory right now, winter storm watch and the potential for ice is very significant in this region not only snow, but going further out into tuesday, look at what happens. that is ice, it could be an accumulation of half an inch for atlanta toward charleston, that is going to be really dangerous, worse than snow. that could shut the city down tuesday and wednesday, and all snow toward the mid-atlantic and the mountains receiving three 26, even higher totals with the
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cold air in place. watching for the potential of ice from northern georgia in toward the carolinas here. north of that mainly a snow event, south of that heavy rain, couple of inches of rain. look at atlanta, georgia. a big set up for an ice storm on wednesday. again, i think this is going to be significant and atlanta, georgia, has plenty of warning to make sure they are on alert. back to you guys. adam: thank you. cheryl: the associated press is reporting mistake landings are far too ommon for the airlines. almost all the incidence involved pilot got in the plan by what they see rather than through the automated system. almost all of these instances oak ridge night with confusions that can be made between different runways when lit. the faa suggests these are mainly rare events.
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sometimes things happen. adam: some economists are worried united states is becoming more and more like france. cheryl: and the street trying to win with weight loss. keeping an eye on earnings from weight watchers. next. [ male aouncer ] we all think about life insurance. but when we start worrying about torrow, we miss out on the thin that matter today. ♪ at axa, we fer advice and help you break down your insurance goals into small, mageable steps. because when you plan for tomorrow, it helps you live for today.
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(vo) so do we, business pro. so. go national. go like pro. so ally bank has a that wothat's correct.a rate. cause i'm really nervous about getting trapped. why's that? uh, mark? go get help! i have my reasons. look, you don't have to feel trapped with our raise your rate cd. if our rate on this cd goes up, yours can too. oh that sounds nice. don't feel trapped with the ally raise your rate cd. ally bank. your money needs an ally. dennis: profiting on craft brewers. how you can make money on a growing trend in the year. is the u.s. becoming more like france? puerto rico downgraded to junk
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status. back to the floor of the new york stock exchange new york stock exchange and nicole petallides. nicole: the dow may be down 20 points. let's take a look at some of the names making headlines today, including dick's sporting goods the estimated their profits above the analyst estimate. that is good news. it is a winner today. apple finally says okay. enough. general motors says they are having to do some heavy discounting. they have a buildup of some of these full-sized pickup trucks. they are trying to get rid of those and moving them along. the ceo is not stepping down.
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american express is the number one performer on the dow jones industrial average. this is why you have an upgrade from morgan stanley. dennis: it could be some signs of bad news. >> time for the fox business stock greater. you are betting big on technology. let's talk about beer. this is one of your top picks. why would this be a year for them? >> we see value. we are value managers. there are not any real value stocks out there.
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we think that this company is growing around four-5% on the topline growth. this is -- sandra: i want to compare it against a course. tonight they are more focused on the emerging markets. it will ignite future growth within the revenue lines. sandra: this is somebody that could actually benefit as well.
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>> we are pointing towards more quality here. sandra: anything technology that this is not a data company. >> capital spending in technology will gradually improve. over the last five years, technology spending has been below gdp levels. something we have never seen before. you want to be in the leader. i am curious what you are seeing in the forecast. operating margins will expand.
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they have been able to do that over the last three years. like ibm back ten years ago, we believe margin expansion will be the real driver of the stock price over the course of the next five years. the margin expansion is really what will give the stock the get up and go. sandra: this is been a tough story for the year for ibm. the payoff in the stock has not been here. >> it has been a real rough ride for them. revenue growth has been the climbing. if you look at the company from valuation perspective and earnings, if they are able to get that move higher on revenues the stark -- stock will start to
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move really well. adam: is the u.s. in danger of becoming more like france? that is what some economists are saying as it comes to our economy. >> some analysts are saying the united states is becoming more like france. let's take a look at some official statistics from the organization that keeps track of all of this stuff. social expenditures are something it looks at. in 2013, according to the oecd, france spent about 33% of its gdp on this type of programs.
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the highest in the database. the u.s. is definitely moving up in the rankings. we are having this debate right now in washington with the expansion continuation of unemployment benefits. one expert i talked to this morning says that france experience offers some lessons for u.s. policymakers. >> it is arguably true that in france the welfare state has become or allowed to remain to cushioned, too impervious to change. we are seeing how difficult it is. the predecessors are many of the
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same things. it is very difficult to change these long-established policies. >> expansion of government and social welfare programs. adam: peter bonds, thank you very much. how this could affect your portfolio. >> jeff flock has some answers. jeff: hair nets always mean food and today it means healthy food. three generations of healthy eating.
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get live squawks right in your trading platform sometimes they just drop in. always obvious. cme group can help you navigate risks and capture opportunities. we enable you to reach global markets and drive forward with broader possibilities. cme group: how the world advances. ♪ >> i am jo ling kent with your fox business brief. karl icahn is dropping his effort to buy back $15 billion of his own stock. apple has repurchased $14 billion of the stock in the last two weeks.
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toyota not think it will stop making cars and australia are the end of 2017 years general motors and ford said they will feed their australian production soon. the economy will add an average of 200,000 jobs each month. the unemployment rate will fall to 6.3% by the end of the year. u.s. gdp will hit 2.8%. that is the latest from the fo . giving you the power to prosper. ♪
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reaction and puerto rico bonds. this has been telegraphed for quite some time. communities are not like stocks. they are usually pretty stable. you will see some volatility in those stunts. this has been growing for many, many years. >> when s&p downgraded rotary goes dead, we saw a bit of a rally. here is what moody's said. we do not see evidence of economic growth sufficient to reverse the common wealth trend.
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if that is the case, we have had peter hayes on the program before, do you think we will see a reposition? >> i hope not. my firm does not invest in puerto rico. generally, we are independent. i think the restructuring would only come if puerto rico fails to attract enough investors in a large bond deal. they passed a bill or has put in front of the legislature a bill to bring a two plus billion dollar bond deal. if it is successfully place, puerto rico will have some more breathing room. some of that has to do with alternative investors who are now showing a great deal of
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interest. >> what would happen if puerto rico would restructure? what happens if they said help. >> there is a lot of discussion about what puerto rico as a territory of the united states can do. there is a general obligation bond. there are bonds issued by the power authority that water authority, highway 30. they would need to decide which bonds would be -- which was was
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given the most bang for the buck and which one they would want to preserve. we do not see that happening at this point. if it were to happen, the leaders and puerto rico would have to decide which bonds would be restructured peered they would then have to take it through a potential receivership . some people do not want to -- they do not want to legislature this and puerto rico. adam: we will stay on top of this story. thank you very much.
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>> looking to drop a few pounds, it takes both diet and exercise. look at jeff and plot go. amazing. let's go to illinois. jeff flock is there live. jeff: oh, you guys, come on now. you can work out all you want, but you have to eat healthy, too. we are so honored to have seattle sutton with us to give us some perspective on this. you have been doing this since way back when. >> we are the only ones doing what we are doing. fresh salad, fresh vegetables, fully cooked meals.
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we do all of the work for them. it is what people should be eating for the rest of their lives. it is not a fad diet. jeff: take a look at the stock. hardly because of folks competing with these online diet acts. they get a free app and it works just fine. >> weight watchers is a pretty good support program. they can be on weight watchers and still use our meals. we count the calories. it works really great. we have a lot of people that do that.
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jeff: we have your daughter and some of your grandchildren as well. the stock of weight watchers has really been beaten down. maybe there is more room there for growth. this stuff is pretty healthy. i like you do not have to cook it your self. >> we use no food dyes or artificial sweeteners. cheryl: she knows her stuff. thank you very much. time for your west coast minute. lake tahoe received billions of water and just a couple hours. there were also flash flood warnings. that is considered a positive.
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oil companies are spending millions of dollars to stop the repeal of alaska tax cuts. more than $1.3 million. they are asking voters not to approve any tax cut repeals. the tax breaks are costing the state billions. take a look at these companies. all of the stocks down. festivities continue in sochi. san diego is repairing its own olympic bid from the summer games. an exploratory committee says san diego can host the games for less than $10 billion. that is your west coast minute. >> details are coming up. ♪ weekdays are for rising to the challenge.
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>> starbucks responding to a new coffee shop that has opened in los angeles under the name dumb starbucks. it is an example replica. the creators say they can get away with it because of parity law. though officials say, no. not so fast. it is a protected trademark. adam: do not look now. oil is topping $100 a barrel. the next hour, the ripple affect at the gas pump.
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and the financing to make it grow? whatever your goal, it can change more than your business. whatever your goal, it can change e future. that's wh at barclays, our ambition is to alys realize yours. lori: good afternoon. i am lori rothman. ashley: and i am ashley webster. the fed waiting for it janet yellen's first comments since becoming the chair. apple increasing its stock buyback. the eight cruise topping $100 a barrel today. the costly ripple affect.
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aaa already warning about high gas prices. lori: michael sam on the edge of one of the last sports frontiers. one of the first openly gay nfl players. first, time for stocks now. let's head to the floor of the new york stock exchange. the dow unable to hold onto last week's impressive gains. nicole: we are taking a little breather from the volatility. we are taking a little breather from that indeed. the dow is down 20 points. the s&p 500 is down even less. the nasdaq is squeezing out a gain of a quarter percent. a name like american express
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getting positive comments from morgan stanley. also keeping an eye on yelp and yahoo!. a new partnership. basically making it possible to act a lot of these listings and reviews. yelp party has partnerships with microsoft and apple. back to you. ashley: thank you very much. lori: another disappointing jobs report. stephen kodak. his jobs report reaction. do not panic, but do not get too excited either. janet yellen takes center stage this week. >> people will keep an eye on janet yellen for sure. our expectation is she explains
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a continuation of policy which is pretty well determined. the fed is committed to this tapering process for the whole year. she will reaffirm it, we think. eric rosen grabbed had a good speech on the boston president on thursday that went into the labor markets. i think that is pretty much representative of the review. i do not think there is much of a ripple coming out of the testimony. lori: we know puerto rico has had a couple of downgrades recently. what do you see as major headwinds? >> puerto rico is still being approached by the market. maybe it will be. it looks like there may be a consortium of south american
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banks that will lend money to puerto rico because they are having trouble accessing the u.s. market. if it gets large and there is a default, a nonpayment by puerto rico, this then changes. it could be systemic. the emerging market piece could be systemic. european banks are lenders, turkey now needs a cash flow to pay them in their currencies. there are developing contagion risks. they are there and they seem to be rising. lori: you characterize them as minor shockwaves. what will be the determining factor there? what should we be looking to see? >> if volatilities rise again, you sell it in the back, you were just talking about it, one
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of the analysts tallied and had a piece on it where they compared all trilogies and stock market. the market is a little more calm and we could have rising stock prices as long as we don't have the price on volatility. lori: are you surprised with the overall u.s. economy? >> i wish it was faster, but it is not going to be faster. the labor income is below where it was before all of this started. the repair of that will take years. there is not much anybody can do to speed that up. policies will not impact it very much. that is just that we have to deal with for the next two years. lori: thank you very much. see you soon. >> thank you.
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ashley: karl icahn backing down from his apple buyback program. encouraging investors to reject icons proposal. he had been in a standoff until he issued an open letter to shareholders. he noted apples aggressive moves. we see no reason to persist with our nonbinding proposal. you do not want to miss neil cavuto's exclusive interview with karl icahn. that is tomorrow right here on fox business. lori: mcdonald's reported a rise. significant losses here in the u.s. offset by a larger sail game coming out of asia, the middle east. positive numbers out of africa and europe.
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they rallied around me. they supported me. i could not ask for better teammates. ashley: the nfl may not be ready for this. greg joins me now. really, in this day and age? why? >> they are more ready than they were five or six years ago. i think he will hurt his draft status with this. it was really encouraging what he did with his teammates. no one stopped him in the back or cost them any trouble during the year. there is a little bit of a king of the hill going on here. he is more of a tween. he is a rookie. a lot of potential wonder if they really want all of this
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massive attention. ashley: it is interesting. eight nfl executives were interviewed. they expect a significant drop in the stock. what do you think possessed him to come out at this time? >> i think there were rumors starting to get around. he wanted to control the message. he wanted to control the message and go about it the way he wanted to go about it.
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ashley: how far does he fall because of this announcement? >> i hate to sound cynical, but i think he could fall out of the draft. ashley: you really think he could just not get drafted because of this announcement? it is a possibility at least? >> i do. it makes me feel bad. it is important that anyone can stand up and say here is who i am and be who they are. i think that is an important message in society. i think nfl locker rooms of the last closet remaining.
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lori: preview of this hassle and bring business cards into the 21st century. google has perhaps. you have linkedin with carte blanche. why are you optimistic? >> really realizing that paper business cards are really not going away. it is part of business etiquette. we are trying to keep the traditional form and look of a traditional business card. lori: what you have is an electric card in and of itself.
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here is my card. i take the physical card back after you have tapped it with your iphone. is that how it works? >> we are creating it so that you could give it away as if it was any other business card. lori: i understand the iphone is the only smart phone that will support it right now. >> we want to expand it to other devices. lori: okay. that is a yes. i understand you have to have the case off the iphone as well. >> the card stock that we use is a little stiff. once it comes out, it will be a lot more flexible. lori: you gave folks 36 cards in exchange for a $25 commitment. how is that going?
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>> it is going great. we only launched last week. we are pretty excited about the progress. we look at vista print as a potential investor. it is a huge market. i think it is very exciting. i think a good way, you campaign. you are able to limit it somewhat. lori: are you bringing in outside investors? >> yes. right now we have a team of two. we can do a lot with two people.
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lori: is that sort of the plan from here out? i think a lot of people would be grateful. it is pretty cumbersome. we are always juggling a million things. best of luck to you. >> thank you. ashley: a little after quarter past the hour. the dow drifting lower. nicole petallides looking toymaker hasbro. nicole: that is right. they missed the numbers for the holidays. they did not do so well. the stock is up 6.1% at 6315.
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they did have a weakness in america. all of the analysts seem to be looking forward. they have the partnership with lucas films which will unveil the new star wars series. thhy continue to do well with monopoly and my little pony. back to you. ashley: thank you very much. lori: a new coffee shop opening up over the weekend with a twist. it is called dell and starbucks. the only difference is dumb appears beforestarbucks says itf the possible trademark
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infringement. folks lining up out the door for free coffee. they are no dummies. ashley: it looks like there may be a trademark infringement. free coffee. cannot beat it. the maker of flappy bird. pulling it top-ranked game from the app store. wait until you hear why. we will have the very latest. lori: oh, please, i am addicted to candy crush. why is this ceo not making as much dell as her male counterparts? ♪ ♪ [ cellphones beeping ] ♪
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[ cellphone rings ] hello? [ male announcer ] over 12,000 financial advisors. good, good. good over $700 billion dollars in assets under care. let me just put this away. [ male announcer ] how did edwardones get so big? could you teach kids that trick? [ male announcer ] by not acting that way. ok, st quarter... [ male announcer ] it's how edward jones makes sense of investing. ♪ makes sense of investing. peace of mind is important when so we provide it services you bucan rely on. with centurylink as your truste, you'll experience reliable uptime for the network and services you depend on. multi-layed security solutions keep your information safe, and secure. and responsive dedicated suppo meets your needs, and eases your mind. centurylink. your link to what's next.
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this is where we bring together the fastest internet and the best in entertainment. we call it the x1 entertainment operating system. it looks like the future! we must have encountered a temporal vortex. further analytics are necessary. beam us up. ♪ that's my phone. hey. [ female announcer ] the x1 entertainment operating system, only from xfinity. tv and internet together like never before. ashley: it is time to take a look at what is hot on fox business.com. >> tax filing time is here. our number one story is the importance of knowing your tax brackets. knowing where you fall will help prevent sticker strauch when you filed this year. the seven tips women need to have a more secure retirement. this is key.
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the average annual retirement for women in 2012 was actually more than 20% lower than men. our number one story, of course, is gm ceo. as of right now, she will get 4.4 million in compensation. her long-term pay is forthcoming. she is making about half of what her male predecessor made. ashley: elizabeth macdonald all over that story. on that retirement story, where any of the tips surprising to you? >> we have a bunch of tips in there. you may want to consider reentering. even if you are making less than before, that is still cash. ashley: that is a great point. thank you. lori: let's make money with
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charles payne this hour. looking at the tech sector there. charles: it has piqued my interest for several reasons. the stock was unstoppable. i think this ceo used to come on the show with a beret on. anyway. they have come along way since then. take a look at their earnings. they missed the street by 9%. last quarter they reported. beat by 36%. four different areas. remember that cool movie with tom cruise? you have the pc on a wall. that kind of stuff. there really futuristic stuff.
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also, earlier today, they pulled out. a lot of people think that they will make an announcement. the volume is high. when you pull out of deals like that, it is pretty convincing. $13.50. my target is $16.50. ashley: are right. time to top off the tank. gas prices cheaper than this time last year. guess what, not for long. tom kloza will be up next. lori: who needs gas when you have tesla. more on that.
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ashley: it is time for stocks as we do of course avenue 15 minutes. get back down to the new york stock exchange. our own nicole petallides standing by and watching the automakers right now, nicole. >> what a great group to look at here. looking at each and every individual name. gm, ford, toyota, honda, nissan, all the names we know so well. you see a lost down arrows today but worth noting a couple things. we'll start off with tesla. tesla hit a new all-time high today of 199.30. it has been to the upside. this has an up arrow, tesla. you have rave reviews from
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"consumer reports." model s got nearly a perfect score. they moved up as far as perception of vehicle company from 11th to 5th place. people continue to love them. meantime let's look at general motors and some other names. general motors has been discounting the full-size pickup trucks. they have overload and inventory. having to do them to move them along. gm is down today over 2%. but over the last 52 weeks up 25%. ford slightly to the downside but been a winner. nissan has posted some profit and it is up 57% year-over-year. that profit is some good news there as well. we could talk about the automakers really long time but i will toss it back to you guys. ashley: there will be other times as well, nicole. thank you very much. lori: so crude oil touching 100 bucks a barrel after settling at new 2014 high on friday. fox business contributor phil flynn price futures group joins us frrm the cme.
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they seem to be looking past friday's jobs report, right? >> think they are. we're going back to kind of a terror premium we haven't seen in oil quite a long time. there was a big run-up in oil late in the day, as we heard reports of olympic high jagging, concerns about cold weather, tight demand. interesting in the last 10 minutes everything is reversing on oil. oil hit a five-month high earlier in the session. it is now back below $100, thank goodness. we're back down. it is being led down by the brent crude and also being let down by heating oil and rbob. actually heating oil is really taking it hard right now, down 5.48. last week we really rallied hard because of the cold temperatures, tight supplies but because of easing temperature concerns they're starting to come down. now oil did get a pop. there was a report in the headlines when iran test-fired a few missiles. that gave oil that pop to the high but it didn't last long. we're already working back down. so this is good news. it looks like it will top here a
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little bit. one market that is still struggling to come down, we are down on the day is the rbob gasoline a lot of refining maintenance. we're going into that early, tightening up supplies. that is bringing that market down. but heating oil, as cold as it is in the country is actually leading the complex down. rbob, is having a harder time coming down. back to you. lori: thanks, phil. >> thank you. ashley: speaking of oil prices as phil flynn gave as you great synopsys we slowly transition profit bitter cold, we hope of winter into spring at some point. aaa is warning of rising prices at pump which is not that unusual. the automobile association predicting gas prices will peak between $3.55, to $3.75 this spring. although gas prices remained relatively tame this winter our next guest believes as weather heats up, those gas price, oh, yeah, they will begin to climb. tom kloza, gasbuddy.com, chief
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analyst joins us by phone with his predictions of upcoming gas prices. thanks very much for joining us. we've had winter weather and weak demand. people stay indoors not wanting to battle the elements. we have sufficient supplies. that helped dampen down gas prices at the pump but you say that is all about 20 change. by how much and when do you think? >> i think it changes in next first 8th of the year. first 8th is inexpensive one, with prices averaging less than 3: 30 for that slice of 2014. but as we get between february 15th and april 15th you will see a lot of speculative money come in. you will see a lot better demand numbers. people will come out of their cocoons. as phil mentioned previously about refinery maintenance, we're seeing about the average amount of maintenance at the gulf coast but a lot here in the northeast. fewer imports, more exports. so we'll see pump prices rise.
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if there were normal year we could see something above 3.75 a gallon. but i do think it will be more temperate. i think prices will rise between 20 and 40 cents a gallon next 60 days or so. ashley: that is pretty interesting. we have changeover of blends, don't we, from the winter blend to the summer blend that can get more expensive. what overall impact has the colder weather had certainly in the midwest and northeast? we are socked with cold temperatures and a lot of snow. what impact has that had? >> that really damaged demand. but if you look back at 2013, there was something interesting about it, when you look at the entire year, its watt first year really since 2006 where american motors drove significantly more than the previous year. that is despite better mileage. people are coming back and taking some discretionary driving. they haven't done that in the first six weeks of 2014 but i suspect they will. once the olympics are over, spring break, just the normal sort of out of the cocoon and
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cabin fever, we'll see some pretty impressive gasoline demand numbers in late february and march. ashley: as for supply though, tom, we seem to be doing just fine. i think we're about five million barrels higher than the five-year average levels. would that help to suppress prices just a little? >> actually, ashley, i don't pay too much attention to inventory this is kind of year because it's a brown banana inventory. gasoline is perishable, once you get past the first three months you have to switch to the summer spec and can't use winter gallons. it is like a baseball game you get clumsy catchers and pitchers on the base path clogging the base path. we don't know how much is summer spec or winter spec and that is one of the reason you have uncertainty and breeds higher prices. ashley: interesting the price of crude hitting 100 bucks today, just backing off just a little bit. things are at a little bit of
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resistance there. could you envision these prices going higher though? >> i could see them going higher in the short-term but i think ultimately the price of crude isn't going to be the story. it will be a softer price relative to 2013. there is just too much north american production. we're coming off just a one in sort of 50-year winter. so i think it is strong because it is tight right now but it will loosen up as the year goes on. ashley: as always, great information, tom kloza. thanks for joining us. we appreciate it. >> take care. lori: layoffs looming at some of wall street's biggest banks. charlie gasparino joins us next with exclusive scoop which banks are looking to make those cuts. ashley: and take a look who is up and who is down on. dow. the dow itself up about 20 points. somewhat of a quiet day to kick off the trading week. a little more red than green. walt disney, happiest place on earth, theme parks leading the charge on the dow. we'll be right back. ♪
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♪ ♪ ♪ [ tires screec] 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 thmost extensive charting wherever you are with the mobile trader app from td ameritrade. there's nothing like being your own boss! and my customers are really liking your flat rate shipping. fedex one rate. really makes my life easier. maybe a promotion is in order. 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 of fedex.
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open tinnovation. open to ambition. openo 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. f the's something that creates more jobs, and ows more businesses... we're open to it. start a tax-frebusiness atsttup-ny.com. >> i'm cheryl casone with your fox business brief. economists see stronger growth in 2014. that is according to a usa today survey. the economy wiil add an average of 200,000 jobs each month. the economists predict the u.s. unemployment rate will tall from current 6.6%, to 6.3% by end of this year. e.w. scripps agreed to buy
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two television stations one in detroit and one in buffalo, new york, for $110 million. the deal gives scripps, 11 abc affiliates that reach out to 12% of all u.s. households. barclays launched an investigate into a possible data breach. british newspaper says information about 27,000 customers including passport and insurance numbers were stolen and sold. they said they were clients which contacted the financial planning division which closed in 2011. that's latest from fox business, giving you the power to prosper.
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ashley: so, will more pain be felt on wall street following new regulations? charlie gasparino here with some exclusive details. >> never-ending pain that i think is going to be inflicted on wall street. lower profit, they're still profitable these banks, but they will look for places to cut. when you talk to people at
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firms, what they're bracing for this year, 2014, is cuts in the fixed income departments. there has been no announcements yet but we're getting it inside major firms like morgan stanley and goldman sachs, that fixed income people at their firms feel they have a huge target on their heads. where are the largest cuts going to be? two firms i mentioned, gold man saks and morgan stanley. goldman sachs with a reason it has the biggest fixed income department out there. the capital requirements required for taking, holding positions in fixed income are very onerous. they will probably get hit the hardest and that's where you will see the cuts. why morgan stanley? morgan stanley quite simply, i don't know how to describe this without using profanity, but i'm not going to use profinancety. it's a blank show in morgan stanley when it comes to fixed income. that is the one thing james gorman has not been able to turn around. he has done good stuff with wealth management and other areas, when it comes to fixed income, that is still a problem
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over there that is where we hear likely to be cuts. we have calls out to morgan stanley and goldman sachs. they have no comment right now. but as i said, there is nothing in, it is not like we have the plan in front of us that they're about to cut. we are getting this from inside the firm, people that work that they are, they have, they have the -- ashley: positions here in the u.s. or other offices around the world? >> all over. ashley: all over. >> you know, here's the thing. if you think about it, equity trading, right, the equity, stock departments of, fixed income means bonds broadly, but those departments are largely automated, right? you press a button and you trade a stock. fixed income is still a different. it's a dealer market where people call up and you have to take positions and everything. that is where there is headcount. that is where it becomes problematic, you can not justify the headcount based on the amount of capital you have to keep on hand, if you do, a lot of firsted income trading. should point out that dodd-frank has outlawed proprietary
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trading. actually using firm's company tall. but every time you take a position here you're using capital. if you, for example, hold bonds for calpers, right? you're morgan stanley, hold bonds for calpers, you have to hold capital against it. even though that is a customer trade. that is not quite proprietary trading and hedge it to do with it. that is where the place. regulations, charlie?on or do they need to trim a little bit anyway? >> rates will probably go up at some point. rates go up, prices go down. even though the fed is tapering they're not exactly cutting back. although we should point that short-term rates aren't going to move for the next, two, two years? you but think, i really think it is the capital requirements. i think that for on the market. capital requirements are very onerous. lori: everyone was looking for this late last year or this great rotation out of stocks into bonds. >> right. never happened. lori: where are we? lori: i think there is strong
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interest. >> you love bonds, don't you? lori: i'm fascinated by interest rates. i think 10-year note -- >> where is the 10-year right now? where is the 10-year trading at. lori: 3.6, i believe. >> what does that say about the economy? lori: it says things are benign, still moving right track. we had very not disasterous but still soft jobs report and that is what set the tone. we know janet yellen coming in. i think there is lot of caution right now. but i think the bond market has been manipulated many years by the federal reserve to be artificially low but i think the economy has not reached escape velocity which is why you're not seeing rates shoot up. higher rates, 3.68. i was a little to. -- 2.68. i was a roll off. >> when you have higher rates, fixed income gets hit. there is counter argument for banks. i don't quite understand it. i wish someone would explain to me. the banks balance sheets
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themselves, take the fixed income stuff out of it. ashley: yeah. >> the balance sheets when, banks go up, banks like jpmorgan jpmorgan will make more money. ashley: get more money back. >> of course. but -- ashley: true you but depends -- >> no one is able to explain that to me. there is analyst report, upgrade on jpmorgan citing that hire rates are good for jpmorgan's bottom line. lori: they charge higher rates to loan more money. ashley: get more money back. >> morgan stanley tells me the same thing. maybe on the float from the wealth management? lori: it is variable, difference between what they charge to loan out money and bring in for the loans. >> right. we should point out morgan stanley because it has the largest wealth management business, 18,000 financial vice source, it holds all this money -- advisors. there is float to invest the money at higher rate. i get that. i don't understand why it is such a big deal. lori: we need a chart. >> what can i say. i'm a geek sometimes. ashley: but you're not a bond geek like lori rothman. lori: hey, stop picking on me. ashley: i'm not picking on you.
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>> goldman sachs, morgan stanley, fixed income being targeted, take it to the bank. ashley: charlie gasparino. lori: trot out some yield curves for lunch. ashley: enough already. >> when you say yield curve. lori: stocks slipping on wall street. we are losing a little ground here as we await comments from the brand new fed chair janet yellen. her first since becoming head of the central bank. we're back to the new york stock exchange with what traders are hoping to hear. ashley: reversal and apology from aol tim armstrong. the employee backlash after a controversial 401(k) policy change and the comments he made while defending it. that story when we come back. weekdays are for rising to the challenge.
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lori: all right. as we do every 15 minutes let's check the markets. keith bliss joins us from the floor of the new york stock exchange this afternoon. always great to see you, keith. is there a lost anticipation ahead of janet yellen today? what do you think? >> well, you can see that in the money flows and actually a ofion w is going on in the stock m i thinkore importantt janetels going to say to e congressional subcommittees look for speeches from three of the biggest hawks in the fomc this year. that would be presidents, eyell secss aisr. teininwi cirma yell's tesmonyr jus i in tse wlhe bigr signs to mke wha t fo i auayhiin thi cwoma yle wil tu w'lthe co. but lno watalased ecallyororig. lo: me ne fimlf ing hk,he olo to hear stay the
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course, continue staying long in the stock market? >> what they want to hear from chairwoman yellen that she knows the unwinding of quantitative easing is going to be difficult and challenging. that she knows that there is going to be some volatility in the markets. but at the same time, if the economy were to start drifting downward, which we hope it is not, there are some early warning signs in this month's economic data that still stand ready come in and backstop it if need be. that is what will really cheer the markets going forward. lori: keith bliss, thank you, sir. >> my pleasure. ♪ ashley: it is time for your tech minute. a reversal and an apology. aol ceo tim armstrong says he has heard his employees and the internet company will abandon its plan to pay matching 401(k) contributions in one lump sum at the end of the year. armstrong also personally apologized in a letter to employees for his use of the phrase, distressed babies when talking about high health care
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costs. shares of aol are up over 40% in the last year but today as you can see, moving slower or lower as the market also moves broadly lower. flying the coupe. the making of the flapping bird viral game removed it from the apple app and google's android stores. flappy bird's developer simply couldn't take it anymore. unverified twitter account showed this tweet. i'm sorry, flappy bird users, 22 hours from now i will take flap by bird down. i can not take it anymore. the free game came out of nowhere to become one of the most popular games to be downloaded of the recently came under fire for its looking similar to the original super mario brothers game from nintendo. not to worry if you downloaded game because you can still play. lori: i think you're consoling yourself, ashley. historic promotion of general motors new female chief but is mary barra getting shortchanged? the bottom line from elizabeth
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ashley: mary barra serving as general motors first female ceo, but her pay doesn't stack up to her predecessors. lori: she is making far less than her female counterparts, but why? liz macdonald with why. >> gm says we have to wait until the shareholder meeting in june to announce mary barra's pay. that could in may or june. proxy comes out in april. gm's narrative mary barra's pay is hitting wall faster than a crash test dummy. the wheels are falling off the narrative. gm promptly gave long term pay to ackerson, the outgoing ceo. got immediately two million. chief financial officer, chris littlefield. 2 million.
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cfo, 1.4 meal promptly hiring. u.s. pay czar was restricting pay and it gave, immediately. ashley: because of the bailout. >> gave long-term pay anyway. number of companies like ibm, lockheed martin, award long term pay way ahead of annual meeting. ashley: is gm really starting to feel the heat? >> they have. last week the story broke and they were getting a lot of heat. they said, any discussion about mary barra's pay is prematured and flawed. their approach on her pay is prematured or flawed. the question will they bump you her up five million to get what ackerson got. ashley: she has background in auto industry. >> 33 plus years at gm. ackerson is global turn around guy. he never had experience as a automaker. lori: this is bloody rubbish as ashley would say. ashley: it is. doesn't seem fair. >> interesting going behind the
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scenes. ashley: interesting to see what shareholders say. why she has to wait so long i don't know. >> we'll be all over it. lori: thank you, emac. the california drought is getting worse. a dozen communities are in danger of running out of water in two months. melissa francis is here for the next hour of fox business. melissa: we'll see some killer grocery bills very soon. we're going to the cme for the latest and the numbers. guys, have you been watching the olympics? ashley: i'm a huge fan of the luge. lori: i don't think started luge, have? ashley: they have some of it. the single one. lori: i'm amazed by the slope style. >> it is very cool. tonya and nancy are not there not the same. >> i'm sure we can fine knees to bash. melissa: you have any idea how much the winnings get taxed? ridiculous. we have a jam-packed show so stay tuned.
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lori: we'll do. melissa: barclays traders going rogue, a shocking report making the target problems seem tame. buying information on at least 2000 customers. talking bank and medical information, income information, passport and numbers. the damage has been done. can you stop your life being sold? even when they say it's not it is always about money. melissa: a huge security breach at barclays has thousands of clients worried their information was sold on the black market to cold callers. an investigation underway to figure out how a possible inside job could have happened. reports are saying that this information could have been sold for an enormous amount of wait,dollars. that's right. the big question is, if it happened at barclays, where else did it occur? joining me now, two men
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