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tv   After the Bell  FOX Business  June 26, 2014 4:00pm-5:01pm EDT

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david: barclays talking about them with the attorney general but barclays getting a boost. [closing bell ringing] >> up 7% and bed, bath & beyond down. david: we hear bells on all the exchanges. we see a lot of red arrows we should mention the downside moves were a lot steeper than where they ended the day. it is hard to let bad news into this market. traders are really pushing it higher even on down days. we're seeing very high up days. pretty easy to manage down days on all of the markets. the dow is down about 20 points right now. s&p, s&p is down a little, about exactly the same percentagewise as dow jones. the most minor movement at all is on nasdaq. then you have russell. very sort of flattish day on the markets but individual stocks doing very interesting things about which more in a moment. but "after the bell" starts
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right now. liz: let's get right to today's market action. we have kimberly foss who says utilities are a very good bet right now. chris konstantinos, riverfront investment group director of portfolio manager. chris will tell us where you should put your money to work specifically overseas. dan stesich from the pits of the cme. dan, you heard david talk about how we came up from a pretty deep floor. what brought us up there, to relatively neither here nor there day you call it. >> it was a here today. we had bullard came out say we might see fed tightening coming in the first quarter. i think that would have put pressure on market. there was no bad news, so the market gained what it lost yesterday. we came out basically unchanged. i'm surprised at the strength of it. i'm not afraid of the strength
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of it. i do like it and i will go forward with it right now. david: chris, this fed member doesn't even vote, but even in light of negative statements by the fed, negative perceived by the market it managings to do okay. >> i don't find it that surprising actually. because i think the market shrugged off a lot of bad news this year. think about transition to bernanke-led fed to yellen that was a big question mark. we had huge geopolitical ripples go through the market and russia with ukraine and more seriously with iraq. and global markets are doing okay. david: don't forget the gdp revision, terrible first quarter. >> exactly, another good point, although i think part of that could be explained away. i think you have to take it as a good sign just how resilient these markets are in the face of potentially bad news. >> kimberly, that comment from the fed head that we were referencing came to an interview
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with maria bartiromo. yesterday we had charles plosser with peter barnes. these are fed heads who matter when they speak and they're just showing different opinions. well certainly about when we might see rates tightening. when we talk to market participants in the last hour, howard ward of gabelli said in essence wouldn't worry about the gdp number. it is yesterday. do you? >> yeah. well, you know, it is a mixed bag out there and that's what's very compelling about pushing this market forward. the reality is, there could be some weak to flat economic data out there and yet, the market seems to shrug that off. it continues to go higher. so, alongwith, there is a lot of money on the sidelines. there is $2.5 trillion in money markets and, we have now the personal consumer numbers coming out in may and those are seeming to be strong. so that will push probably the economy further along in the second quarter as well. so it is a very mixed message.
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so, in that case you really need to stay your course. what is your allocation and continue to be invested in the market. remember it is not timing the market due to economic news. it's time in the market, liz. david: right. and timing is critical, whether you're buying or selling. of course everybody is wondering when this correction is going to come. everybody has been talking about it more than a year now and we still haven't seen the kind of correction many people are forecasting. damage, you say the question is not whether we'll have a question. there is a better question to ask. are you comfortable enough with your portfolio to withstand a correction. why is that a more important question? >> that is exactly what it is. the previous guest mentioned this. if you feel comfortable with your portfolio and correction will only be a correction, we dropped five and 10%, came right back, why would you want to get out of that position? it doesn't make sense. if you're a day-trader, trade it. most of us are not day traders. we're long-term traders f you're
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comfortable with it, stick with it. liz: comfortable with it, stick with it. but, dan, who can be comfortable when you don't know what is coming around the quarter as far as the data has been concerned if that has not been a data driven rally past five years? what continues to drive us? companies seem to make money. you heard from klaus kleinfeld of alcoa. their stock which hadn't moved five years is suddenly up 90% over the past year. >> well, you know the market is saying that, or not the market, the people collectively are saying they're not necessarily nervous about things going bad but my one caution here, this kind of worries me, we're talking about the gdp in the first quarter being completely weather-related and may very well be, i think it is. what if it sit. what if a month we get second quarter gdp it comes 1 1/2%. you start thinking about repositioning portfolio. talk to whoever your advisor is and change then. david: right. >> until then we see good economic numbers coming forward and there has been a lot of them
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either side, most to the plusside, stick with what you have. david: chris, as bullish as you are, you're not just looking at u.s. markets, you're looking abroad. you're looking to japan. why now? >> to say we're bullish on risk assets in general because they're more attractive than the risk-free alternative. increasingly we find real value outside u.s. we think u.s. is somewhere around fair value. japan is fascinating. in our models, japan is well below fair value. it has been there long time. it has been in a bear market since the late '80s. the question is, what will break japan out of that? in our view it will be same thing that helped the u.s. and u.k. over past five years which is central bank accommodation. if you look what the bank of japan is they're printing yen well in excess of percentage terms even what the fed is doing here in the states. so we think -- david: doesn't that. hold on a second. you know, printing money is not
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necessarily a solution to every problem. a lot of central banks believe it is. but they're all sorts of things, it doesn't necessarily create more jobs. it doesn't necessarily make companies more productive. it doesn't increase your top line. it might increase the bottom line and making borrowing of money cheaper, but not the bottom line. doesn't that concern you? >> if it was printing money in the a be sense of any type of strategic plan i would have to agree with you. although fighting the fed in any market as any trader will tell you is disasterous. david: but the fed itself does not solve problems. that is the key. no central bank does. >> agreed but the point i want to make in japan it is not just about printing yen and weakening the currency. it is also about a strategic growth plan is a lot more credible than anything they put forth in the last 20 years. you combine that with good valuations i think you have a good long-term story. liz: kimberly, let's make money here. you at empeer i don't know do just that. you really like the utilities
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and why and what are your favorite areas? >> i do like utilities because there is such a mixed bag. there is economic data that is good news, bad news globally and people, investors are alike out there are confused. let's make money in the meantime and the utilities sector has constraints like a bond and acts somewhat like a bond because they're regulated but they also have the growth potential as well. dtu, vanguard, dtu, 3 1/2% dividend. you have the growth in excess of 15% for the year. it's a great bridge between income and growth for our clients portfolios. liz: you also like at&t. i wanted to mention that. we want to thank all of you guys for joining us. david: by the way, we have nike earnings coming out any moment right now. dan stesich, final word on nike. what do you think is going to happen there in terms of move of the stack after-hours? >> if nike doesn't have a good beat you will see the market pound it down. it is 52-week highs so the upside is limited. david: gotcha. we'll come back to you, dan,
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when the s&p futures close and if nike comes out just a moment. they're expected any moment. kimberly and chris, thank you as well. the second half of the year is almost here. time to tune-up your portfolio. coming up a top strategist telling you what names to buy, what to sell for the rest of the year, even as crazy as these markets are. liz: how about this for positive momentum? up 40% in just the last month, boosting its outlook. a new big partnership and not a single sell rating by the analysts that are covering it. david: wow. liz: why is this company seeing such strong upside? we have a ceo in a fox business exclusive. guess who. david: i love that tease. it is one of the top five fastest growing chains in the u.s. and looking to get even bigger by heading to, wait for it, china. that's right. heading to china for growth. will they buy frozen yogurt? what difficulties do u.s. companies have doing business there? we'll talk to the ceo of orange leaf coming right up. ♪.
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david: shares of beauty products maker elizabeth arden is falling into the red. liz: let's head back to nicole petallides on the floor of the new york stock exchange. nicole. >> liz and dave, we've seen
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elizabeth arden's stock pop about 30% from the time there was talk that a south korean company in the same sort of business, number two in that area, was considering a takeover of elizabeth arden. well since then south korea's lg household and health care company said it is no longer interested in acquiring elizabeth arden. with that, the stock dropped dramatically. it was down 17% at the closing bell. it closed at 22.41. so giving back much of the recent gains. l-f household meantime said it would continue to look for other opportunities. other opportunities that actually provide them an offer them better value. so for whatever reason when they looked into elizabeth arden they didn't feel that was the company for them. meantime we're really saw that the stock dropped and elizabeth arden now says they will be doing lots of restructuring. david: thanks, nicole. good to see ya. liz: s&p futures are about to close. let's head back to dan stesich
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in the pits of the cme. dan? >> no surprises here. we haven't done something since then. next week is big week. ism, employment, auto sales. keep an eye on the economy. >> okay. thank you very much. dan stesich. >> thank you. david: things are confusing enough for most of us investors when we got those shocking first quarter gdp numbers. if there was ever a time to tune-up your portfolio, this is it. for help we turn to david joy, ameriprise financial chief financial strategist. david, boy, do we need you now. thank you for coming in. first of all, you still think it is possible to, according to your notes anyway, i don't know if these were issued before the revision you still think of 3% growth rate for the whole year is possible? how? >> well, you know, over the remaining three quarters, including the second, i don't think we'll average three but i think that is the run rate going forward. first quarter was clearly an
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aberration and it turns out now a lot of that was attributable to dramatic decline in health care spending which never happens. so there was funny things going on in addition to the weather in the first quarter. david: let me push back a little. i heard that on the health care spending t does happen before. it happens in hard times, when people are hard-pressed during the last recession, for example, 2008, 2009, we saw a dip in health care spending because people spend less on going to checkups and things because they have less money. >> well, i think this time around it's a little bit too coincidental, but it was also the same time obamacare legislation went into effect. i think there's a transitional period there that, you know, caused people to relook at their health care spending. that is going to be washed out of the system i think starting in the second quarter. david: what about inflation? we've had, we had that shocker about a week ago. but then, this today, we got news it was kind of as we expected. >> well, i think inflation is
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bottomed out. that seems to be the consensus. you know, the core rate now that the fed looks at it is running 1 1/2. still by no means programmatic. but it appears the best news there is behind us. over time we'll be moving back towards two. the question is how quickly will we get there? that will depend on wage pressures. they have been pretty anemic rate. if the unemployment rate continues to fall, it appears to be, wage pressures will build and we'll get to that 2% maybe by end of this year. that will cause the fed to sit up and take notice. david: first question, portfolio yes question, about these changes, do we get out of inflation sensitive stocks? stocks where folks are particularly vulnerable to inflation issues? should we start moving away from those or is it too early? >> no, i think it is about the right time. i think there's a lot of paying embedded, lack of embedded value in them. there has been such a run-up, in
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you know, utilities, up 15%. reits up 15%. i mean they're fine for dividend and income plays in a portfolio. in terms of total return expectations i think it is, it is probably an opportune time to be shifting away from those into some cyclical parts of the market that have not represented leadership thus far. david: along inflation we usually see interest rates going up. it is hard for them to go down any further. would we, perhaps, change our bond portfolio because interest rates would be going up a bit? >> we, i would want to be a little bit short, maybe relative to my duration benchmarks. maybe that is just a fancy way of saying, be intermediate maturities. certainly not time, i don't believe, to be moving out on the yield curve. i still think you want to be in corporate bonds. you get not much spread above treasurys but it's a little bit. but you certainly don't want to be taking a lot of duration risk. i think 10-year yield still has a chance of hitting 3% by the end of the year.
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that is looking a little less likely but i think the move is clearly higher in yield over time as the economy picks up strength. david: okay. we got some time for some, for folks out there with pencil and paper to give you some specific names. industrial technology financial. let's start with industrials. you like united technologies and dupont. why? >> well, i think if you look at the parts of the economy that are doing well, industrial production, we're starting to see an uptick in, you know, building construction. if you look at dupont, kind of an interesting story. they're transitioning, it is a company specific story. restructuring to become more of an agricultural and less of a chemical company. david: right. >> so kind of a story stock there. but clearly the economy is picking up and it is back end of the economy that doing it, not the front end. it is industrials that will participate. david: we have to do this real quick. technology, oracle, vmware. real quick, why do you like
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them? >> uptick in spending at enterprise level. software from oracle. storage from vmware. they will benefit from capital spending that is just starting a new upcycle. david: very quickly, financials. jpmorgan, t. rowe price. >> market leader in jpmorgan. they're putting their problems behind them. strong balance sheet. good dividend yield while you wait. david: gotcha. >> meantime asset managers doing very well as the market stays elevated. t. rowe price is leading pure play. david: gotcha. david joy, ameriprise. thanks very much, david. good to see you. liz. liz: joy over at nike, coming in with numbers that beat both the top and bottom line. let's take a look. nike, 78 cents per share, three cents better than estimates. as we look at revenue, 7.46 billion. the expectation was for 7.34 billion. everybody talks about nike as far as the world cup is concerned. they say and look that their future orders are up 12%.
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david: whoo. liz: good headlines out of here, causing the stock to jump consistently higher by more than 2% at the moment. now it is 2.% following results. quarterly worldwide futures orders up 11%. inventories for nike, 3.9 billion. up 13% from may 31st of 2013. good numbers for nike. david: 3% right now. they're going up. liz: a medical technology company with a breakthrough hiv testing kit that you can buy in the store. keeps it very private. has attention of wall street and investors, not just consumers. we have a ceo talking about his big push towards profitability. it is a fox business exclusive. british banking giant barclays sued by the new york attorney general over stock trading business. is it a sign of wider problems in the financial industry? we heard from new york attorney general eric schneiderman. now we're asking raymond james financial. david: apple is getting reported
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buzz about plans for rolling out an iwatch. seems quite a few investors are betting against this the tech giant's strategy. we'll go into details about that coming up. ♪.
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when folks think about what they get from alaska, they think salmon and energy. but the energy bp produces up here creates something else as well: jobs all over america. engineering and innovation jobs. advanced safety systems & technology. shipping and manufacturing. across the united states, bp supports more than a quarter million jobs. when we set up operation in one part of the country, people in other parts go to work. that's not a coincidence. it's one more part of our commitment to america.
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david: time for a quick speed read of sop of the day's other headlines, five stories in a minute. first up, alibaba will list its shares on the new york stock exchange. the company programs to use the ticker, baba. ikea is raising its minimum wage. the iconic home furnishing chain plans to raise average pay from 9:11 and hour to 10.76 an hour t
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will impact half of 78,000 employees at 36 u.s. stores. allergan has bought. food prices are forecast to rise. as culture estimates that fresh fruit prices climb to five to 6% this year due to adverse weather and widespread disease in florida and california. a laptop can reach your emotions believe it or not. the new technology, real sense, can sense basic human emotions like happiness, sadness, frustration, allegedly. that is today's "speed read." liz? [buzzer] liz: a lot of broken laptops out there in frustration, right? shares of medical technology company orasure are soaring up 36% over just the last month? several analysts, here is what happened, have raised their price targets and the company recently reaffirmed its prediction that it will make a
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net profit in the second quarter. this will be the first-ever quarterly profit for orasure. what is behind all the optimism? joining me in fox business exclusive. doug michaels, orasure ceo and president. last time you were here, it was a big day. oraquick, hiv testing kit was being put out on store shelves. how is it doing. how are the numbers. >> that's right. the product has done quite well, hasn't lived up to the expectations but sold throughout the united states in virtually every retail pharmacy outlet, every walgreens, cvs, rite aid, walmart, carries product as well as online. consumers are buying and using it and finding out their hiv status and that is what is company is all about. liz: in the privacy of their own home and it is reliable. >> absolutely. the same technology we had to the professional market over a decade. we sold over 30 million oraquick and can be now available to
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retailers. liz: what is the price point? >> how are the global sales? >> well, we haven't received approval to sell it outside the united states. >> liz: anywhere else. >> not yet. liz: why is that take so long? that is perfect for africa has a real problem. >> we sell professional test 35 countries. the home test is not approved for sale. we're working in number of geographies in europe and south america. we hope to sell into those geographies later this year. liz: come a back when you get approval that is sometimes great for the stock. you came up with a hepatitis-c opportunity, right? >> absolutely. our hepatitis-c test is made on the same platform as our 20-minute hiv test. just like, just like the hiv test, i will let you show it. liz: i'm heading it. >> you can get a 20-minute result. for hepatitis-c antibodies.
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most people don't realize hepatitis-c is five times more prevalent -- liz: mouth swab, correct. >> oral swab or fink are stick blood specimen. liz: either one? >> that's correct. five times more prevalent than hiv. what is terrible about hepatitis-c, up to 2/3 of people affected are unaware they're affected. it's a new day in hepatitis-c treatment. there are new therapies that can cure people infected with hepatitis-c they can't go on treatment if they don't know they're infected. that is why this device is so important. liz: looking at company, you for the second quarter reaffirmed basically you will be profitable. this is the first time we'll see this, correct. >> we've been profitable on a quarterly basis before. actually going back to 2007, we were profitable for a full year but we made a lost invests both in hiv overthe counter test and hepatitis-c test as well as other parts of our business. so we're moving towards profitability. we also indicated that in 2015 we expect full-year profitability as a result.
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not only of these products but also the exciting new development we announced a couple weeks ago we announced a copromotion with av, pharmaceutical company to copoe moat the hepatitis-c test here in the united states. liz: wonderful. when you look what you're doing, how does it relate to the affordable care act? does that type of act embrace what you are offering, or are you fighting any tides on that? >> the affordable care act should be a net benefit to companies like or a sure. our technologies are helping people know their ineffectivety status. it is about helping prevent further infection especially in hiv and hepatitis-c. unfortunately those diseases disproportionately impact people who are in minority groups and who are otherwise disadvantaged, or people who are suffer from health care disparities. so, affordable care act provides access to these kind of preventative services and we
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should benefit from that. liz: great to see you. doug michaels, orasure ceo and president. the stock has been a real winner, up 126% year-over-year. >> thank you, liz. liz: good luck to you. david? david: if you want investment advice, who better to ask than a company named investment banking firm of the year in 2013? ceo of raymond james financial telling us where he sees growth. where to put your money to work and why the firm is still bullish on america. there is a fox business interview, first on fox business. plus it is one of the fastest growing franchises in the country as it looks to expand, heading east, very far east. we'll talk to the ceo of orange leaf on why that chain is looking to china for growth. all that's coming up. stay with us. ♪.
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[ male announcer ] if you can't stand the heat, get off the test track. get the mercedes-benz you've been burning for at the summer event, going on now at your authorized mercedes-benz dealer. hurry, before this opportunity cools off. ♪ liz: dupont, we have some breaking news on dupont. the company is lowering its full-year guidance due to weakness in its agricultural segment. obviously it is hurting the stock slightly. the bid and ask are below the closing value. important note, this does not help dupont. it already has activist investor nelson peltz breathing down its neck. they are looking to spin off you call it the performance chemical business. the company says we'll not make
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full-year guidance. in fact we have to lower it. not great for the stock. we'll see what happens tomorrow. a pause, a breath and let's look at today's market drivers. all three indices ending the day in the red with consumers staples and financials leading decline. utilities was best-performing sector. kimberly foss was liked them. number of americans filing for first time unemployment benefits fell 3,000 to 312,000. gold falling from the highest close in 10 weeks. the precious metal ended session down .4 of a percent to $1317 a troy ounce. david. david: here is what is keeping a lot of cash still on the sidelines, still with the dow and s&p on track to end the week lower. could the bull market finally lose some of its steam? liz: not so according to our next guest at least who thinks
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the rally still has many months to go. what will drive the markets to push higher? with us first on fox business interview, raymond james financial ceo paul reilly. there you go. you have other financial institutions complaining. goldman sachs says low volatility isn't helping us. we're losing money. what is the client gaining at least on your end? >> the client is cautious too. it is hard to get good interest rates without getting risk. we're advising them not to stay long term. the markets are well-priced. as long as the fed stays in and economy seems to be okay, i think the market will continue to expand. so we're telling people just to hold the course, look long term and not to panic. david: paul, there are so many people keeping their powder dry. you have the private equity firms. that is almost $1.2 trillion. you have all of those corporations with money overseas. that is another trillion dollars. they're not bringing it back. you have of course the banks themselves keeping trillions of dollars on reserve with the fed.
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when are they going to be spending some of that money. >> i think they have been spending. the problem is with prices fairly high, there aren't a lot of bargains. with interest rates, if you think of interest rates are going up, you're not going to invest in the long term, when rates go up, you're going to lose money. people have been cautious in waiting. i'm not sure exactly what you're waiting for but if you find the right deal, just like us, we're very liquid today. if we found right investment opportunities corporately we would do it. liz: when you say you're very liquid, what is the right opportunity? because you say i'm not sure what you're waiting for. people who sat around waiting miss ad massive, 100 plus percent rally in the s&p, 200 plus percent rally in nasdaq over past five years since the market bottomed in march of 2009. what is the signal you're looking for, let me put some money to work? >> for us, for corporately would be another morgan keying again something that set strategy -- liz: morgan keying again, the company you bought, absorbed and made you that much bigger.
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>> if we found something similar in culture and strategy we would invest. if not we're happy to be liquid. for individual investor they're looking for movement and good times to buy in and they have been buying in. cash is lower than it has been over moving average for the last 20 years. they are more invested than they have been but where do you go? a lot want income producing but you can't get it without risk. they're better not taking risk, going into equities with dividends. going into alternatives that you know, give you a return but, also mute your risk. there is being cautious. david: talk about some of the positives because too often, when we're just talking about stocks and individuals we lose site of the forest for the trees. so many positives to the economy in general, to america right now, to, in terms of investment. we have these massive new energy reserves because of fracking are and other means of guesting oil and energy. we have, extraordinary manufacturing depth. if you want to look what we're capable, yes, we've had cutbacks
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in manufacturing but think of the productivity that we have in right now in there. gigantic amounts of capital which we talked about. and that creativity, there is no nation on earth that has many new creative products as we do. >> david, i agree with you, if you look long term with america moving towards energy independence, i wish our government would help us move quicker. you look at investment and opportunities and number of people looking for jobs, it should be a great time to grow. i think the underlying economy is okay. we have hurdles. if you look long term you should get growth in the market. liz: paul, there is tendency perhaps many viewers and investors to reach for yield. look for dividends. this was a, this was sort after behavioral, bottom that people started to build upon just the past couple years. right now they feel it more than ever because i think psychologically they might believe that the rally is getting a little old.
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what is the danger reaching for yield? >> liz, we think that is the big danger. we've been touting it a couple of years, maybe early. you want 5% to retire off of and yields are 3%, only way to get it to go for risk. when you go for risk, you're getting higher yield for a reason. it is getting riskier. the spreads on longer-term assets and risk assets are coming in. you're just not getting good return for that risk. so we tell, you know the individual investor, just to be very cautious and don't overreach or you're going to pay up some day when rates move. i believe when rates move, i don't know when that is, but they're going to move quickly. i think individual investors don't react well and can get in trouble. david: paul reilly, raymond james financial ceo. wonderful to see you again. thank you for coming in. calm, reassuring voice in this marketplace. liz: success behind it too. david: absolutely. liz: orange leaf is one of the fastest growing frozen yogurt chains in the u.s. now it is looking to expand overseas but not where you might think.
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flying over other countries to go straight to, well, let's find out as we speak to the orange leaf ceo about his global growth plans. david: meanwhile as i sure you heard the news, that u.s. stumbled in hits thriller against germany. thrill cerrell tiff term but still wins a place in the knockout round of 16. i'm not a big soccer fan but a lot of you are. how is it possible that it could lose and still go to the finals? we'll try to straighten it out for you coming up. ♪. [ male announcer ] if you're taking multiple medications,
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a dry mouth isn't. biotene -- for people who suffer from dry mouth. a dry mouth isn't. when folks think about wthey think salmon and energy. but the energy bp produces up here creates something else as well: jobs all over america. engineering and innovation jobs. advanced safety systems & technology. shipping and manufacturing. across the united states, bp supports more than a quarter million jobs. when we set up operation in one part of the country, people in other parts go to work. that's not a coincidence. it's one more part of our commitment to america. 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
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i'll ask again... what's in your wallet? liz: listen to this. between may 30th and june 13th, a surge in short interest in apple shares helped to land the tech giant on the list of the top five most shorted stocks on the nasdaq. the number of apple shares short increased by 7% to nearly 126 million shares. that represents 2% of the entire float. it is highest level of short interest since april. all five stocks on the list saw increase in short interest during that time but intel which saw the biggest rise in number of shares short, meaning people betting against these companies. david: all right. we have yogurt in front of us, folks. it is one of the fastest growing yogurt chains in the u.s. and it is setting its sights on the far east. orange leaf is its name. orange leaf yogurt is
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expandexpanding in china. liz: this is after a massive increase for china's appetite for dairy products. we have orange leaf's ceo, reese travis. okay, oklahoma, boy, i know you went to university of oklahoma, you're going to china? usually a lot of companies that expand go to europe first. why did you decide this route? >> a lot of things lined up for us to move forward in china. we found a great group of partners. like you mentioned there has been significant increase in the demand for dairy product since, over the last 15 years. we've seen, that demand grow and they're projecting significant growth for the next 10 years. so we're excited about the opportunity to be in china. and it's a great market. when you look at discretionary spending by the consumer, that continues to increase as well. so, for us, it is really no-brainer. we're excited to, not just go to china but taiwan, ma call and honk -- mao call and hong kong. david: you will not make it here
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and freeze it but fix it over there. i have questions about the maintenance in quality in china. i don't know if they have the same restrictions how cows are fed and the quality of the milk and so forth. how do you combine the two? how do you make sure your standards stay clear as possible over there. >> just like we've spent a lot of time over the last four years since we started with orange leaf on building infrastructure and investing in building out our programs through operations and hiring the right people, we'll take that same model to china and we're going tokes cute in china with high-quality standards of not only our product which will be the same recipe. it will be made fresh daily in the stores. we're really going to focus on the customer experience. so what we've seen is that they have, they have great regulations in place and we'll -- david: hold on a second. let me push back a little bit, reese. great regulations. we had at love stories in the news how the regulations are not
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so great around how a little bribery can go a long way to change those regulations. does that concern you? >> based on research we've done and talking to our partners and looking markets we're going into, there is plenty of supply of great product that has, has gone through all of the processes in place to be able to serve the consumer, you know, without having any problems. liz: well, let's get to the news you're really here for and that you're expanding into china like areas like macau and hong kong. you have to tell us, do the chinese like yogurt? it is extremely saturated from pinkberry, red mango, tcby. what about over there. >> right now what we're seeing and what really impressed us is that 92% of the international brands are expanding in china this year. so when we look at that we look at starbucks, we look at haagen-dazs. those are both great premium products that are expanding and
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had great success in the china market. so we feel like we fall into that the china market, they're also doing same thing we're doing here in america. they're looking for healthier options. for us to provide a frozen dairy treat to a market not only growing its discretionary spending at consumer level but also growing demand for dairy products, we're real excited and we're confident about orange leaf to be able to go over and replicate aggressive growth just like we have here in the u.s. david: reese, how about, very quickly, how about here in the u.s. how are things doing here? >> things are great. we currently have 325 stores open. we have 85 stores under construction. we have a lot of great markets that have robust development plans in place for the next few years. we're real excited what we have going on here in the u.s. and we're excited about our expansion. liz: reese, i'm taking a bite of pistachio. so good. congratulations. how fattening is this. >> so we have a variety of
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product offerings as far as nutritional side goes. we have low-fat, we have non-fat. we have dairy-free and we have no sugar added. based on whatever your diet needs are or diet wants are, as long as you have fair and balanced approach to your consumption and you can serve yourself a great frozen treat in any of our orange leaf locations. david: fair around balanced we like that. reese travis, orange leave ceo. good luck. >> thank you. >> i've fell tower is 125 years old this year. you won't believe how one french company is celebrateing the anniversary. they are doing a mountain of chairs? david: they do it in france. showdown between u.s. and germany as both teams were looking to get to the next round. we go live to brazil to find out what is next for team usa. ♪. ♪
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liz: there is good news out of a loss, the u.s. does advance in the world cup despite the 1-0 loss to germany. the u.s. qualified for the knockout round after coming second in its group. david: let's head to the heart of the tournament from brazile. we have brian ennis from fox news latino. brian. >> that's right, guys.
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today's game was a big game for usa. pretty much they had to win or tie. that was, that was the thought going in. but if they lost, they needed a little bit of help. luckily for team usa. they got help. portugal beat ghana during same exact time. that was enough for usa to move on number two in the group. guys, they called this group the group of death going into this. usa had 35% chance odd makers said getting out of the group and advancing you know what? they did. it was a lot to do with the fans as well that shown up in brazil. usa fans showing up in record numbers. we're talking about the country purchased second most amount of word cup tickets, only second to brazil. in every city from we've been to where the city they played germany, usa fans were all over the stadium. we spoke to them as it poured here throughout the entire game and before. let's hear what they said. >> we're here. we're in love with the place. we love the rain.
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>> south american fans have reputation for being wild. but i don't know, american fans are putting everybody to shame. >> we had a couple glasses, during three or four games. i went to two. started off in rio in seven games. came here soaking wet. go usa, baby. >> there you go. usa is going to the second round of the world cup for the first time. they're doing it consecutively. two world cups moving on to the second round. fans in america are behind it with all the block parties. it is -- with the fans. it is incredible time, liz. liz: looks like it with the chicken hawk head costume. we love that costume, brian. >> bald eagle. liz: chicken. bald eagle. you can go to foxnewslatino.com for world cup coverage and more of our friend brian. thanks so much. david: how happy is brian to cover that. french company meanwhile building a replica of paris's
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most famous landmark using red chairs. you won't believe this we'll show you the pictures coming up next. liz: teaming up with a high i.q. society to design a new way to date. details coming up.
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david: time to go "off the desk." nothing says happy birthday like a stack of red plastic chairs. look at this. a french company paid tribute to the i've fell tower on its 125th birthday by building a i've fell tower replica, making it of 124 red garden chairs. it was set up adjacent to the big sister, looks a lot like the original just in brighter view. liz: also off the deck, match.com is catering to mensa partnering with the date dating giant to have mensa match. they have 98 percentile in the website and can sign up for the
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website is launched this week. mensa has 57,000 members. no word how many signed up for mensa match. david: would that be fun? "willis report." gerri we all heard of the good housekeeping seal of approval. no one gets to see the process. you had a very rare exclusive look at it. gerri: thanks for that. yes we were behind the scenes with good housekeeping. how often do people put their money where their mouth is? good housekeeping does that. july 4th weekend travel expected to hit near record high. we have must-see national parks. it is user's guide to summer vacation. the revolutionary technology helping people who are paralyzed move again. and it is all done through the power of tout with a little help from bionics. we'll meet two amazing people. hit it is portfolio tune-up today. is now time to sell westerns and buy losers? our experts are here to

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