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tv   Markets Now  FOX Business  March 10, 2014 1:00pm-2:01pm EDT

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i really think. >> we are out of time. >> i was called bossy when i was a kid. even now. probably. [laughter] hello. hitting a pause of the market with weak chinese trade deficit then dow is down turning fighters all over the weekend couldn't make it to six years? >> exerting muscle it feels like the ukraine is in a state of war. fox national security adviser shows us all the cards for now. >> one of the america's most wanted talking about keeping citizens private information's safe by
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satellite from the south by southwest conference in reaction by carol colbert calls him a fool. now let's go to nicole petallides we pulled back a bit from the session lows? >> we are up othello's as the matter of fact that will show what is happening is not one of conviction. with that tepid this that goes with it. the dow is down and the vixen index is moving higher at the 15 level. it is the high that we have seen not only about the chinese imports that were tied to the bow week exports but also japan and gdp numbers.
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and also considering the ukraine. look get mcdonald's. same-store sales so little light. part of the problem was the cold weather in japan was so weak area. cheryl: the five-year anniversary of the rubble market leaving investors of an easy but joining me now, ross, there has been a lot of commentary with the anniversary the sixth year is a rare which is true and there are concerns. what do you say? >> i think the economy is doing pretty well considering we were under a deep freeze except glossy angeles. employment numbers were good and earnings were good and
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all of those there is a lot of liquidity we think that will push the market's higher. cheryl: what this could mean if you are correct on your call. there has been assad bull markets three years went into years six that averaged 26 percent that is what investor return could be. could that happen? >>. >> i do have of a crystal ball in my office but i cannot predict what we look get earnings and what they should be and by that number we could see the of market moving higher but it depends on enthusiasm from the united states. if that decreases or
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increases we could have higher returns. it is a good possibility with the second half of the year with good employment numbers. i think we will see a decent year. cheryl: let's talk about the stocks that you like right now. you are a fan of media. that stock has been performing rather well over the last year. what will happen in this year? >> disney has an amazing lineup over the next couple of years. the two main catalyst is "star wars" and the park in shanghai. this is the expansion "star wars" is a and the enormous opportunity was so many areas from theme park, the movies, video games. also continued growth in
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china and the theme park will open in about two years and that will open a huge market for disney. kids loved disney in the markets of better. cheryl: and comcast up 25%. are you worried about time warner deal? >> no. not at all. i think it will go through and comcast will control the liar's whether cable or internet but also content. in the end with the problems of netflix with streaming in and pandora these wires are becoming more valuable because when your internet is not working. cheryl: what about the gambling once? like mgm and loss vegas since? is this still the china story? >> it is also a japan story
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it will legalize gambling hopefully in the next few months and this is the enormous gambling market that mgm has been in on this if they can get the concessions they will spend between five and 10 billion building casinos we love gambling is an asia is the best business to be in real leap -- very bullish and we do expect japan to legalized gaming. cheryl: that'd is a phenomenal returns with the market's only getting 26 percent. good to get you. more discussion next week. adam: what about another role of the dice? marco rubio will lay out his plan to lew jump-start in the presidential candidate will speak my that this the with the preview of what we
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can expect. >> how do go you are at google's headquarters? possibly the only office space that has flair that is where senator marco rubio will deliver his economic policy speech part of the tech innovation and proposal that he lays out shortly. that includes a tax reform to a territorial tax system and to deduct all expenses and investments right off of that. to create regulatory cost to the cost of the regulation that requires the reduction elsewhere. also to repeal the ban on crude oil exports and improve the fast-track trade authority.
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recently immigration and last year was up was that many critics see leading to losses with the straw poll going from 23% last year on international relations talking after words with the "first on fox" interview. adam: we will see you at 1:45 p.m. cheryl: that is the great interview. boeing shares taken up a hit as the mystery surrounding malaysia airlines continues. it lost contact with air traffic controllers roughly one hour after takeoff two days ago this is one of the most popular jets the authorities have been unable to locate it has been missing since saturday all
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so 2012 was also the 7771 another stop going bananas is to keep that. the of fruit distributor will acquire its irish competitor. the year dash five injured $26 million making it the most largest banana supplier. it will be worth 4.$6 billion in annual revenue. not bad. the ukraine for a minister says that is what his country feels like as russian forces exert their forces in the crimea. we are next live in that region. cheryl: filing for bankruptcy protection what does this mean for the customers trying to get
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their hands on the bit coin assets. the first here is trading right now. if you wear a denture, touch it with your tongue.
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cheryl: vladimir putin and forces are gaining ground as the country's move. this week he will meet with president obama and speak before the general assembly the crimean referendum is on sunday the region will decide if it will stay at part of the ukraine or join russia. k.t. macfarland believes crimea will vote to leave the ukraine but didn't they have a vote years ago that they decided to stay part of the ukraine? >> the economy has bounced back between poland and russia and ukraine it was a wedding present when crew staff became the president of russia and he gave crimea
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to ukraine. sohu knows? but the majority will probably vote to join russia they will offer a goodies like loan guarantees, the subsidies they want to make them happy but the question is will anybody recognize that? that is why the ukrainian president goes to the white house and the un to say there may be a vote but it is not valid. cheryl: they have to agree but when obama began to speak we farha on the same page. are we? >> but president obama said have sanctions as the red light of the day but the europeans what will they do? the integrated with the russian economy. they sell cars in get natural gas so is much more complicated for them.
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we don't get any energy from them. adam: we cannot do influence militarily but couldn't we freeze out the of millionaires and billionaires not come to the united states to freeze assets? >> that led the be hurt real-estate in the hamptons. [laughter] >> also puts pressure in russia. >> and they will be happy if they don't get summer in the hamptons but there is little ability. they may not leave crimea or the eastern ukraine. he holds all the high cards with what he sells to russia they could turn that off when you have the europeans shivering in the dark is not unprecedented i think we
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should be the long game. putin has been there 16 years this is the culmination of his plan of energy dominance. we need to say the next 15 years if they are lousy without western technology and investment to diversify. cheryl: also to step up natural gas production because that is the revenue generator if you take that away he has less power over eastern europe and the u.s. is a better position. >> even though he does help the russians. [laughter] >> that is the peace they are dependent on russian energy. if we could have the europeans diversify and drive down that oil to the of sweet spot to develop of
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it fracking process $99 a barrel they don't need putin cheryl:. adam: what is the point of united states if you cannot save the territory? gimmick is a trade association we are negotiating to have a good process. nato was originally designed to prevent russian and soviet communist aggression into europe. the europeans have the nato alliance and there is not a lot to take the hard decision. the question is not crimea or ukraine but what happens if he is not satisfied to make of moving in the baltic states? will paris really fight to
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help? adam: thank you. just talking about oil prices are sliding lower today after weakening economic data comes out. we have phil flynn at chicago mercantile exchange. this is affecting gasoline prices and we are going into the summer driving season. >> and not just because of the of oriole that ethanol prices have screamed so the exports may hold back with a global market. already we are seeing those concerns eased up a little better. we have more stocks than we thought possible now on top
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of that with concerns of global demand and china and japan lowering the price is. we are seeing the market react heating oil is down about $0.5 now back to you. adam: reshaping commerce for the number one retail spot in tie dash. cheryl: internet sales are deal breaking as several airlines hit new highs. coming up next. weekdays are for rising to the challenge.
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where are we? 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. adam: a big deal in the on route 19 -- online retailer with ali baba. >> what is interesting as we anticipate the ipo the battle over over e- commerce is hotter. of messaging at is saying it pays $250 million for a 15%
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stake in j.d..com it is the dominant force but it will have access to promote the e- commerce platform so it means and ali baba in the has a legitimate competitor although it is still far ahead son analysts are concerned how it will handle the migration of the e commerce traffic and talking about 500 billion smart phone users it is incredible and ali baba has responded by snapping a 18% stake in the tidies twitter raising their stake in the mapping companies and they're trying to new get local. adam: two things come to mind. data and how they will compete in the future with those numbers already but
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are they doing the same thing? ali baba has business to business also business to customer j.d. does mostly inventory keeping get in fulfillment centers although alibaba contracts. it is a different business model but the same stuff getting to the consumer. cheryl: american and southwest airlines is hitting record highs but let me show you the intraday pitying the all-time high. now we will show you the exact situation and the southwest is off the fresh new highs and of course, for american airlines we have february passenger traffic it is not a surprise to any of you if a major factor
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last month that thousands of flights were cancelled leave the into traffic decline. united canceled more than 11,000 flights and also 1.1% from february of last year. this is day one your chart. it is up 52% year over year. but they did have the decline american canceled 14,000. it is ending the agreement with jetblue. with the sharing of reservations it is dissolving all of that now delta and announces that miles are based on money
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spent not just miles flown. also a five rendered million dollars share repurchase program. southwest comes out with numbers but overall a rough month for the airlines. not a big surprise. adam: we have details of the deal that has the rental's going to a new high. >> nsa whistle-blower edwards noted on securing americans and we will talk to our guest who says he is a fool.
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adam: back to the floor of the new york stock exchange and nicole petallides taking a look at one company which is soaring to a new all-time high. who is it? >> that's right. united rentals looking great today. new high as you noted. that is 92.79. now it is at 91.96, slightly off that level. still a gain of 4% it is holding on to as it agrees to buy national pump. $780 million deal. united rental rents everything from forklifts to diesel generators, pump rental sector has been increasing in demand this is a big move for united rental. you can see its moving up. jeffries raised the price target to 110 from 100. they have a buy rating on united rental. adam: nicole petallides thank you. cheryl: edward snowden breaking his silence via satellite at southwest by southwest conference. >> the nsa, global mass surveillance, targeting all these countries not just the
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u.s. important to remember this is a global issue. they're setting fire to the future of the internet and people who are in this room now, you guys are all the -- cheryl: just to explain the technical difficulties, tamara holder. he was using seven different proxieses to get through because he didn't want to be seen. that is why it was such bad video. tamara you said he is an idiot for doing that today. >> i said that before i watched it. as a lawyer, i thought he was an idiot to go on tv and or speak via videoconference and talk about his at missions if you will. but after i watched it was really interesting and very smart to see what he did. he was speaking to a group of technology experts, not a group of policy individuals or other lawyers. so he kind of avoided his involvement as and more just about the issues of protecting american citizens. adam: talk about protecting american citizens. he says the way to do that is
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for people who write code to write in new protections so we can't be spied upon. can that be done? >> well, you know what they were talking about as well is that the advertising companies that create these apps, they're the ones that get this information and keep it. so it is really trying to figure out if advertising companies will stop keeping information and really protect the american people, which is an issue. cheryl: we should say, that on the panel in the u.s., on the other side of this was his attorney, he did have legal counsel there present. but he went in front of the european panel already. basically he is given his story i guess is what i'm saying. i'm not sure what he could have said today that hasn't been put out there publicly. he said i tried to go 10 times to right officials and they ignored me. is there anything else he can do to hurt himself legally by going to this tech conference? >> i represented somebody that
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fled to russia. this is kind of a slap in the face to america. if he really wanted to talk about these things, maybe his lawyers would work out a deal to come here. they started it by saying well, he would be in solitary confinement if he were back here. he wouldn't be able to talk to us. maybe if he opens up the channels of communication he could actually work out a deal. adam: there are some different avenues of discussion with this guy. you could talk about the business implications with advertisers as you said, stop collecting data. i wouldn't put money on that. talk about the lylely hood he will ever step foot on u.s. soil again? do you think that would ever happen? >> you know, i don't think so and here's why. once he leaks all of this information out, this information is, it gets old. you know as technology gets better, he becomes less and less relevant and less and less wanted but at the same time, for his information but more and more wanted by the government because he is wanted for espionage and for violating our
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laws. cheryl: what is so crazy, southwest by southwest, austin, texas, used to be a music festival, a great music festival. i don't know what it is now. julian assange spoke from london on the same situation, ecuadorian embassy in london. he said more leaks are coming. these guys don't care, they don't really care if they ever come back to this country again. >> there is that argument they don't care. there is the other argument they're doing this in the public interest. one thing really interesting is, one of the guys said, you know, they collect data from somebody who is called a gun shop and they collect data from somebody who called an abortion clinic. cheryl: right. >> depending on what side of the political eye you are, you probably don't want them collecting your data. cheryl: he also said though today that is ineffective. he said, that is why the u.s., we're failing in cybersecurity because we're not targeting where we need to be targeting.
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we're doing this mass surveillance of grandma's phone call to her grandson. who cares. that is our problem he is saying. >> right. they brought up the boston bomber, how they had information from the fbi, from russia and they failed on that. instead they're collecting all of this information. on top of collecting the information, it making us more vulnerable because we have all the info and now everybody else wants it. i haven't seen that, we haven't seen those attacks either but it is interesting. cheryl: just saying that the spoke and again we apologize for our viewers for the bad video but that is what everybody got to see. that what we all got. tamara, thank you very much. adam: bill ackman is making a one billion dollar bet that herbalife will fail. now he is taking his fight against the company from wall street to capitol hill. charlie gasparino talks exclusively to secures law expert john coffey next. cheryl: coming up in the west coast minute. facebook brings back the developers conference after three-year high battues.
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we'll tell you why this time it's a little different. opportunities aren't always obvious. sometimes they just drop in. 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. but with less ergy, moodiness, i had to do something. i saw mdoctor. a blood test showed it was low testosterone, not age. we talked about axiron the onlynderarm low t treaent that can restore t vels to normal in about two weeks in most men. axiron is not for use in women or anyone younger than 18 or men with prostate or breast cancer. women, especlly those who are or who may become pregnant, and children should avoidt where axirons applied as unexpected signs
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airbags is linked to 13 deaths. cliff natural resources is battling activist investor casablance capital. this is the fifth largest shareholder. it wants cliffs ceo replaced and its international operations spun off. bitcoin exchange mt. gox officially filing for bankruptcy protection in the u.s. the hacker group claims the exchange still has access to 950,000 bitcoins. mt. gox stated in a japanese bankruptcy filing it lost 750,000 customer bitcoins. that is the latest from the fox business network, giving you the power to prosper.
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adam: we reported last week right here on the fox business network the sec is taking a closer look at activist investors and yesterday "the new york times" ran an article on bill ackman and his battle with herbalife, the company he continues to call a pyramid
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scheme. charlie gasparino joins us now with well-known columbia law professor john coffey with what it means for activist investing going forward. >> john, thanks forgoing -- joining us. it kind of put it in interesting context the same context we talked about on friday, you essentially have activist investors giving campaign contributions, at least in this case for in terms of bill ackman, campaign contributions and hiring lobbyists and getting politicians to go after a stock and you know, it seems like this is something ripe for the sec. are they looking at this and should they? >> well, obviously this is a well-orchestrated campaign and it shows that just the crude power of money and lobbying but it is not at all clear there is anything unlawful about petitioning congress, the regulators, to look at a company that you think is being unlawfully run as a pyramid scheme. i have no view and i'm totally
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uninterested in the question of whether herbalife is good, innocent, or guilty or whatever but there is a right to individuals to go to the government and to make charges, to show that he has broken the law. you would have to show that there was manipulation going on. manipulation is a very technical term, which requires that you are trying to move the price up or down to an artificial level that you do not believe yourself is appropriate for that stock. you can show manipulation if you show certain illegal tactics like painting the tape, cross sales, that are not true economic investment decisions. but short of that, i don't think there's much the sec can do. they can watch. they may even give guidance and make suggestions but i don't think there is an easy fraud case for them here to make. cheryl: i know that, herbalife petitioned the sec so to speak. they have sent them letters, tried to talk to them to get them interested in this. here is what is interesting, if
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you read the story a lot of this is out there but when it kind of puts it all together, what you see is bill ackman, you know, people in congress, senator, congressman markey for example, congresswoman sanchez, going to these congresspeople and giving them campaign contributions or at least enticing them in some way to get, to basically go out there and investigate this company. does that notion, and the notion that you would do something extra politically kind of put this over the top where there could be a fraud charge here? >> you know, i don't think this is that different from what the business roundtable or the the chamber of commerce might due in pursuing their own legislation strategies. they want something. they contribute. and they push congressman and regulators to move along in their direction. that is all within the first amendment. and also, mr. ackman has not been deceptive. he couldn't be more public about what he thinks is wrong with herbalife. >> right. if he is giving campaign contributions that is obviously
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publicly disclosed. if he hires lobbiest that is is disclosed to a certain extent. >> remember too, this is not a financial bully picking on a financial widow and orphan. herbalife has its own lobbyist and backed by roughly half the financial community. carl icahn with his own billions is on the other side. we have confrontation of immoveable force and unstoppable object. >> is there a bigger story we're kind of glossing over we have so much regulation, we have 50 state attorney generals out there, very activist attorney generals a lot of them. we have a very activist regulatory body in the sec and the obama administration and activist justice department for right now, being on wall street investing that you have to take it as a given that if you want to move a stock, you might have to go into government, you might have to use the sort of powers of government to move that stock? it sound like we're kind of in a new era here? >> again, i agree this shows the power of money but there is
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money on both sides. we also have most of the time the other side, the sell side trying to push stocks up. if anything, wall street probably has more of a bias toward the sell side than this the buy side. >> okay. we'll have to leave it there. john, thank you. appreciate it. >> okay. adam: thank you, charlie gasparino. cheryl: coming up in your west coast minute, just as the supreme court decides to take up dispute between ari yo and the big broadcasters they take down service in two west coast cities. adam: cup of joe will cost a whole lot more. jeff flock in the pits of the cme. ♪ [ cows mo] [ sizzling ] more rain... [ thund rumbles ] ♪ [ male announcer ] when the rld moves... futures move first. learfutures from experienced pros
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cheryl: time for your west coast minute. a series of court decisions led
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aereo to shut down service in salt lake city and denver. a u.s. district court in utah ruled in favor of fox broadcasting copyright infringement claims. aereo filed for an injunction to panel judges but that was denied a larger separate case will go to the supreme court last month. broadcasters are suing aereo for broadcasting signals without compensating customers. facebook has the developers conference after a three-year high eight to us from the bay area. he took to the stage with the company not confirming if he is going to be attending to be honest with you. shares of facebook at 52-week high as ubs raised its price target to 90 bucks from 72. in colorado a barbershop is refusing customers who smell like marijuana. the owner of hugo's barbershop,
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since pot was made legal and they're coming in reeking of pot. smell is sew bad, long-time customers with children they have been complaining. he is being threatened with lawsuits but other business owners thanked him for taking that stand. that is the west coast minute. adam: nothing better than aroma of a fresh brewed cup of coffee. gotcha. coffee prices are percolating hitting a two-year high. severe weather cutting that crops. jeff flock live in chicago at cme. we have a cup of joe, jeff. >> be walking into the ag room, adam, up almost 5%. take a look at the numbers and i want to ask what we think in terms of long term. coffee prices up again today, up another 5%. this drought, jack, in brazil is killing us. >> it sure is. has been a major change. it meant a major change in overall fundamentals of market. market a couple months ago was looking five million bag surplus. now we're looking deficit for the year.
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>> real quick before we get away i want to talk about oats. oats are the other way. had a problem getting them out of canada but down heavily again today. >> well the government in canada has reacted and basically forcing railroads to start shipping oats and wheat. that is good for our people here. >> crop report. look at corn beans, wheat. kind of bearish or just not bullish, right? >> just not bullish. you had speculators come in very long. usda cut ending stock assessments for beans and corn but less than the trade expected. so you're seeing a lot of liquidation. >> real quick before we get away, i have cafe varrone that from starbucks, when will i see this cost more money? when will this start hitting me in the cup? >> any say anytime in the next three or four months you should say start seeing it. they bought coffee at cheaper prices go through first. once they go through that they will have to pass on the increase to the consumer. >> long-range, brazil a 1/5 of the world's sugar.
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1/3 of the world's coffee. two thirds of the world's oj. big drought. watch all the commodities. adam: jeff flock, thank you very much. don't mess with my cup of coffee. cheryl: or my five a day. adam: five a day. that picks you up. picks you up. cheryl: depends on the day how much coffee i drink. fly-by-night idea or business gold? game any is competing with netflix mail-dvd business. adam: how he plans to compete with the best of the best. are you still sleeping? just wanted to check and make sure that we were on schedule.
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it's how edward jones makes sense of investing. iwe don't back down. we only know one direction: up so we're up early. up late. thinking up game-changing ideas, like this: dozens of tax free zones across new york state. move here. expand here. or start a new business here... and pay no taxes for 10 years. with new jobs, new opportunities and a new tax free plan. there's only one way for your business to go. up. find out if your business can qualify at start-upny.com ido more with less with buss energy.hp is help. soon, the world's most intelligent servers, designed by hp, will give ups over twice the performance,
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using forty percent less energy. multiply that across over a thousand locations, and they'll provide the same benefit to the environment as over 60,000 trees. that's a trend we can all get behind. cheryl: well the dow is certainly off session lows. still down by 74 points. weak trade data out of china hurting all the markets. as far as the s&p, every sector is lower. utilities and consumer staples, i don't know, give that group a shot as we go into the final hour of trading. we're watching volatility which is at a one-week high. look at commodities right now.
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take a look at oil and gold because with we're seeing normally on a day like today is a flight to safety but we're not seeing that with oil. 101.26 right now. there is oil. adam: it is david versus goliath. videogame rental by mail service game fly is trying to add renting movies to its offerings, entering a field already dominated by the likes of netflix and redbox. joining me now the ceo of blamefly. thanks for joining us. i think some of your critics are saying a little late to the game. i thought dvds were a dead format? >> well the truth is we've been renting games for 12 years now and our customers continually have asked us for a plan that includes both movies and games and this is really our attempt to be responsive to so, we're really viewing it as a test for now. we put up about 60 new titles and so far demand has been good and we'll see how the business
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goes when we launch it in early april. adam: on the other side of this, netflix once tried to do what you do very well, which is the game portion of this and they were unable to do it successfully. what will allow you to do this successfully? or is it really an experiment to give your clients something to pass the time in between new game launches? >> well, we think we'll be successful at it. we have all of the distribution and purchasing and customer service assets in place. so we feel pretty good about the test. and going forward, we'll just see how it goes and if there is good initial demand if our customers respond to it. then we'll try to find some innovative ways, maybe to bring more movies and games to people's households. adam: but, the pricing of this, again you're in the game side of this. netflix is in the movie side of this i believe we have a chart which shows pricing comparison between netflix and what you're offering. your clients won't have to pay anymore but they're already paying more than, say a netflix
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client, aren't they? >> that is true. but, in our plan you can get both movies and games. and so we think that differentiates ourself from netflix. and as i said earlier, this is really just a test. we'll see how it goes. we haven't stopped thinking about different ways to deliver this content to customers and, if this one isn't as successful as we like, we may change our minds and tweak it a little bit and come out with something different. adam: i don't quite understand the copyright rules but would there ever be a day possible where you might stream the videogame or licensing certificate so that a gamer could then many so how rent from you the way netflix with movies and this where it will head eventually and no more dvds in the mail? >> if you look out several years the dvd format may actually not be the best one but put look at technology limitations, if you
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look at bandwidth, if you look at the cost of delivering these really big files, the really adds up to the fact that we think the dvd is going to be around and in a pretty vital delivery mechanism for the next several years. that is really the focus for our business. we don't have any active initiatives that are really designed to stream games yet. we do pay close attention to the technology but we don't think it is quite there for mass market adoption. adam: well, david, we'll keep an eye on this we wish you success. ceo of gamefly. a privately held company. a lot of gamers are giving you a thumbs-up. thanks for joining us on fox business. >> thank you. cheryl: i think a lot of people enjoy having dvd. extras, you don't get that when streaming something. adam: you lose some quality as you point out. bandwidth restricts games that the way you do a netflix movie. cheryl: netflix is becoming a television station anyway.
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i've been watching "house of cards." melissa francis is here to take us to the next hour. melissa: laugh me netflix. obviously the big story -- love me. malaysian airlines flight. we have pie lost and analyst whether live black box technology is finally coming and what is the cost to airlines and passengers. did you hear about the new taser drone, the taser drone? it could shoot bashed taserses bashes with up to 80-volts electricity? i'm talking to the company's cofounder -- bausch. barb. charles payne versus. icahn versus buffett. even when they say it is not it is always about money. melissa: all right, get ready for a wall three throw down. who would you

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