tv After the Bell FOX Business August 11, 2014 4:00pm-5:01pm EDT
4:00 pm
thousand. with a drug like that they are a hot stock. [closing bell ringing] liz: up grade on tesla brings that stock up nearly 5% for the day. david? david: the bells are ringing on wall street. we had better times today. we have to say at the forefront, although we see all green arrows. there was time looked like it might be triple digit. premarket activity suggested we may be in triple digit territory. markets abroad particularly asia did quite well. we did not match their feigns. nevertheless let's not rain on the parade. a good bay to open the week. russell 2000 and close to it the nasdaq is up almost a percentage point. we have a busy hour. "after the bell" starts right now. liz: today's market action, we have rob stein, astor investment management ceo.
4:01 pm
he thinks strong market fundamentals will continue to push stocks higher. bob phillips, spectrum managing group managing partner. you as investor need to know when to sell. scott shellady in the pits of the cme. how does this bode for the rest of the week when we know volume is pretty anemic? >> it will be a schizophrenic week bus we have asceses men nick numbers from the -- skids phrenic from the government. does anybody think we switched 6% of gdp in one quarter. until we get four solid numbers in a row we're in for a bumpy ride the rest of the year. especially when volumes get thinner in august, we'll have volatility. david: scott, listen this is near and dear to your heart, the question what is driving the market or fundamentals or federal research put together a
4:02 pm
chart. we're knot ready to unveil it to the public yet. charles brady our brainiac, inflation as opposed to fed fund rate, most of '80s and '90ss, we had interest rates above inflation. the past five years we had inflation running ahead of interest rates. if you keep money in cash or bond you're a loser. that is why people are going to the market, is it not, bob? >> david, i completely agree that there is, they have left very little choice of anybody else to go. i do think trend in stocks are positive but i think the fundamentals are really stretched especially sale wages. median stock in s&p 500 trades two types sales right now which is a historically high level. you have robert schiller's pe measure which is at the highest level except for 1929, 2000, 2007. hard to make a case that the market is cheap at this stage. liz: let me bring in rob, rob
4:03 pm
stein. you know, that was almost sad the way bob talked about that but, i'm of the, we know what landscape is. let's go where the money flows. we'll try to ride the momentum wave. where did you see stocks heading and do you feel the same way? >> yeah. so i think the risk of owning stocks is a creative, it is productive. i think the expected return for equityings over the next several quarters is higher, regardless of the reason. you're right, typically when interest rates are below interest rates it pushes money out of risk-free assets because they lose money for a change into risk assets like stocks but gdp is 4%. there isn't debate that. the outlyer was negative in last quarter. if you had eight quarters of positive gdp that is positive trend. all this stuff could be better. we added 2 or 300,000 jobs on average, last 10, 12, 14 months.
4:04 pm
those are conditions that allow stocks to go higher. probably not the 30% we saw last year but the path still seems you want to own stocks. david: scott, let's not fool anybody. this is extraordinarily unusual period we're at. we're forcing interest rates to remain at zero. no federal reserve in my lifetime, nobody's lifetime fed done that kept it at zero for so long, that is why we have a situation which is very unusual. which draws so much money into the equity markets. will the fed ever raise rates above the rate of inflation, which after all, is the norm, not the exception? >> i say not anytime soon. and i think that we're closer to being sort after japanese, very long, slow, recovery, if you want to call it recovery but we're not facing a hockey stick recovery anytime soon. my question to you would be this if your grandmother died and left you $10 million cash right now, would you feel very comfortable putting it 100% in
4:05 pm
the stock market? and i think that is a resounding no. the reasons are -- david: hold on. he asked me the question. the scott, the fact is what i would do is the 10 million doll is put a large share in the stock market because as liz said, rob said you don't fight the tape. you have what we have now is unusual and art fish situation. i think eventually it is harmful to the con my, if not already is harmful to the economy, however you have to deal with what you have. that's why i put a large share of the 10 million into the stock market. >> we just said that valuations are stretched number one and number two, what is the best-performing sector going so far this year? the bond market. i think bond market woo be a better place to put your money and safer place to put your money short term. i think 10-year will go to 2%, not 3%. we've been talking about raising interest rates sooner rather than later all year long. all we see is the 10-year go from 3 to 2.4.
4:06 pm
what is not jiving there? it is the economy. >> 4%? liz: bob phillips has names where he is feels it is better money spent, like western digital. am i wrong in saying it is best in class when it comes to hard disk drives? western digital is very unique company. you like mastercard, hca holdings. what is the common theme that runs through these bob, that makes you say these should be ownership names? >> liz, we're in the environment of june of '13, june of '14, sales increased one one% for the s&p 500 so the sales are not growing. look at massacre card, hca, western digital, they're growing sales at high single digits and low teen rates and that is sustainable going forward. in this requirement you want to find companies that can grow sales in very low growth or no growth environment. david: rob, the one thing that seems to be clear clear the large cap stocks you want to stick with in this environment, is it not?
4:07 pm
you know that as crazy as things can get with regard to the fed, i know there are battles and fed we'll see what they do, but the large caps are in pretty good shape, are they not? isn't that the place to find an et-f? >> yeah. we like the fbx. i think large cap is the place you want to be. take advantage of the unusual fed activity. they can take advantage of economies of scale and productivity gains and not at the same risk of some of the smaller companies are. you see tremendous volatility in the small caps. i like energy sector. i like health care as well. but i don't think this is an economy that will have high degree of volatility coming up in the very near future. i think the fed's policy is stemming off ising we don't talk about very much, which is potential deflation. if that is in the economy, we have much bigger problem than if we head into a inflationary environment. liz: scott, down on the floor of the cme, you watch all the trading flows that are happening right now.
4:08 pm
you get a big agricultural report tomorrow. that is steal money into the grains and things. what is a trade almost a side window thing where people are starting to move money? >> well, i'll tell you the antitrade right now we've seen money leave the commodities sector. it wanted to go to fixed income but that stalled and sputtered as well. we're still seeing money go into the bond market looking for something like 2% by end of the year because i what i said earlier. ultimately we could be in a deflationary cycle. what is the price of gold or price of oil in deflationary cycle? is $1300, $100 way too high? i think so. david: bob, thank you very much. scott shellady, see you in a few minutes when the s&p futures close. >> geopolitical tensions overseas heatings up your money from here. where do we go from here? the answer may lie in the charts. we tell you without emotion what they're predict next. david: j.c. paretz.
4:09 pm
we love that guy. amazon slugs it out with a chef and much bigger flight with a much bigger player, disney. blocking preorders of upcoming releases. does this make sense? do you call for a fight with a company like disney unless you have all your ducks in order? we'll be talking about that coming up. liz: a landmark ruling could change the face of college sports forever. allowing for hundreds of basketball and football players to actually be paid. what do athletes think of this ruling? is it enough? we'll talk to a top sports agent. david: which lead us to our question for you, folks, we want to hear from you. should college athletes be paid? very simple question. what is your simple answer? tweet us @fbnatb. your answers in a moment. ♪ [ male announcer ] once, there was a man
4:10 pm
who found a magic seashell. it told him what was happening on the trading floor in real time. ♪ the shell brought him great fame. ♪ but then, one day, he noticed that everybody could have a magic seashell. [ indistinct talking ] [ male announcer ] right there in their trading platform. ♪ so the magic shell went back to being a...shell. get live squawks right in your trading platform with thinkorswim from td ameritrade.
4:11 pm
we're changing the way we do business, with startup ny.atform we've created tax free zones throughout the state. and startup ny companies will be investing hundreds of millions of dollars in jobs and infrastructure. thanks to startup ny, businesses can operate tax free for 10 years. no property tax. no business tax. and no sales tax. which means more growth for your business, and more jobs. it's not just business as usual. see how new york can help your business grow, at startup.ny.gov does your mouth often feel dry? a dry mouth can be a side effect of many medications but it can also lead to tooth decay and bad breath. that's why there's biotene. available as an oral rinse, toothpaste, spray or gel, biotene can provide soothing relief, and it helps keep your mouth healthy, too. remember, while your medication is doing you good, a dry mouth isn't. biotene -- for people who suffer from dry mouth.
4:12 pm
let that phrase sit with you for a second. unlimited. as in, no limits on your hard-earned cash back. as in no more dealing with those rotating categories. the quicksilver card from capital one. unlimited 1.5% cash back on everything you purchase, every day. don't settle for anything less. i'll keep asking. what's in your wallet? david: gnc and vitamin shop are seeing a nice pop today. let's head to nicole petallides on the floor of the nyse with more. >> these groups, vitamin shop, an where you go and buy the healthy elements you can see both stocks, gmc and vitamin shop each gained 5%.
4:13 pm
analyst at credit suisse are talking about the idea of a potential tie-up. wouldn't it be interesting to see these two merge? first of all for gnc loan, before i mention the tie-up they think it is outperform. they have a price target of $43. they think the new ceo michael archibald comes with a great track record of. here at individual minute shoppe he -- vitamin shoppe, also has a lot of tie-ins to private equity fund which brings credit suisse to talk about the potential tie h up of the two. with that that that talk, gnc and vitamin shoppe up. gnc noted loyal customers base and brands under their umbrella doing so well with the loyal customer base and tie-up of the two is as well. >> thank you very much.
4:14 pm
nicole petallides, let's go bac. we can't get enough of him in the pits of cme. any sign what will happen tomorrow by the close of the s&p? >> we're limping in here to be slightly higher today. we have to wait to see what happens overnight. i can't do this without saying geopolitical risks. i was going to try to do it without saying that. there i just said it. we have things to worry about globally. we can't really discount what will happen tomorrow. ultimately i said this he have about, for the year we'll be up eight to 10% but it will be a bumpy ride. liz: scott, thanks. our traders in the last hour, chris gersch was saying that 1940 was a key, key level. we need to be watching for that. >> i heard 1900 is a key level too, right, scott? >> give you another one of the year, 193, because the fed raised rates a little bit too soon and we were only rescued by world war ii! so be careful about raising rates too soon. david: nice. very nice, reference thrown in there by scott shellady. liz: wait. the guy who hates low interest
4:15 pm
rates. we have to be careful -- 1937. david: you have to deal with it. they are what they are. >> the first back-to-back gains in the dow, there are signs that market bears may be coming out of hibernation. our next guest says based on his analysis it is time to prepare for a bear market. if you don't believe him, he has been proven right before. just last month he said buy brazil and sell germey. he is outperforming the s&p 500, and right on jcpenney by the way. joining us, j.c. paretz, eagle bay capital founder and president. i know everything is timed, can be a bear short term and bull long term at the same time but we're not going to bury the lead here. do the charts make you bullish or bearish about the immediate future. >> david, i think what is important to really define your time frame, right? audience members out there, are you short-term trader or long-term investor? i think most important -- david: at least for the summer?
4:16 pm
>> structurally we're looking good but short term i was on a month ago, seasonally this is bad time of the year. we're looking for more of a neutral sort of perspective. here is long-term chart of the s&p 500. we like to do our analysis from the top down. here is your peak in 2000. here is your peak in 2007. we exceeded that last year and went on to new highs. structural perspective long term this chart looks fantastic. liz: we just come off july which has been the worst month since what, january for the s&p 500. is that screaming warning signal? you're talking bear market, jason? >> i don't necessarily know we're going into bear market, definitely a period of whether we are flat. liz, we can correct either through price or through time. it doesn't necessarily mean we need a 20% correction. we could continue to go schweid ways. in fact year-to-date most stocks are flat on average of the dow is flat. russell 2000 is down. the small caps are down and zap and some large caps are up a little bit. david: before we get into the next chart, we mentioned with
4:17 pm
scott shellady that those figures, the 1900, you think 1900 for the s&p is real test line, is it not. >> yeah, absolutely and we're actually right in between 1900 and 1970. we're right in the middle. a neutral stance for just like we've been the last month i think probably is the best bet. here is the chart. a lot of people draw trendlines connecting support. david: from '09 to present. >> that's exactly right. here is the peak in 2010 and peak in 2011. we're connecting highs and steeper trend line. that is trouble i am. i'm not surprised we're correcting off the levels. i think we continue to stay neutral or bearish for the s&p 500. this chart is a good reason why at least for now. another thing we want to look at is really the bond market. old saying on the street the bond market is smarter than the stock market? here is what is happening f there is real risk appetite you want to see junk bonds, higher yielding bonds outperforming ted bonds. david: i don't think teddy
4:18 pm
weisberg are smart bond traders are smarter than equity traders. >> treasurys leading the stock market. it led in the bottom if l in 2009 as well. sure enough we've been declining making 52-week lows the last week alone. liz: tell our viewers what that should mean for the next couple of months? >> well the bond market is telling us to be careful of the stock market which is same thing the trendlines are telling us, which is the same thing seasonally the market is telling us. a neutral to bearish stance is probably best here. we have one more chart. what we do, combine three cycles, one-year annual seasonal cycle for s&p 500, four year presidential cycle and 10-year pattern. liz: that is a lot. >> each give as cumlative composite and seasonally the rest of the summer going into the beginning of the fourth quarter, we should continue to struggle. all of these cycles should tell us we should have rally year-end. david: rally for the fourth quarter. okay. final question about whether any sectors look better. i know you were not big on
4:19 pm
financials. why? >> they have been underperforming over a year. that is sector we want to see leadership not necessarily them struggling. we want nothing to do with financials. we like materials. i was on the show a couple weeks ago talking about coal. we get new highs today. materials as a group, right now, especially on relative basis look best to me. liz: even with a weaker global economy where they won't be building as much or at least that is the perception? >> liz, i can't speak economy. those are lagging indicators. we like to look forward-looking markets specifically the equities market especially on relative basis it looks most attractive for sure. liz: materials with confidence he says. love that. david: thank you, j.c. paretz. captain america a huge hit for disney. this movie character is caught between all-out fight between disney and the world's largest online retailer. who will win? we have answers. >> taking on disney. very interesting. also the billion dollar college sports industry one step closer to giving its athletes
4:20 pm
paychecks. this after a landmark legal ruling. is the ncaa's amateur model finally being kicked to the sidelines? we'll find out. david: you might think airline passengers are created equally, particularly traveling in the same class but it turns out a lot of travelers are paying very different fares for their seats in the same class. details straight ahead. ♪ it's monday. a brand new start. your chance to rise and shine. with centurylink as your trusted technology partner, you can do just that.
4:21 pm
4:23 pm
hey you can stop looking. i found one. see? what do you think a wifi hotspot smells like? i'm thinking roast beef. want to get lunch? get the fastest wifi hotspots and more coverage on the go than any other provider. xfinity, the future of awesome. david: time for a quick speed read of sop of the day's other
4:24 pm
headlines, five stories in one minute. first up, american oil giant exxonmobil is drilling in russia despite sanctions imposed on its russian partner rosneft. president vl putin applauded the company's coinu coorati. >>gallon ofas fell 60 cents over past two weeks according to "the lundberg survey." the nationwide price, 3.52. you can get it 3.39 in long island. virginia has fastest internet speeds in entire country. alaska unfortunately has the slowest. lions gate suing websites linked to the leaks copies of the upcoming flick, ex-pen dabbles 3. the two million people have seen the move very which won't be released until friday. buzzfeed got 50 million-dollar investment from anderson horowitz. bus feed has a 150 million monthly viewers that. is a lot ofolk liz? hippo, hippo ventures
4:25 pm
they were one of the first five or 60 years ago to get into buzzfeed. they're going big on video. in the midst of its ongoing battle with book publisher hashet. amazon found itself with another major dispute with mickey? much bigger player, it is disney. amazon refuses to accept preorders for some of disney's next huge dvd releases that include. "maleficent" and "captain america." david: what does this do to amazon's images instead focusing on fights instead of making money? we have the cofounder of addo worldwide. kevin, great to see you again. if you take on a giant firm like disney, you better be absolutely clearly in the right. what is amazon's beef with disney? >> yeah, well i think amazon is frustrated because the spotlight
4:26 pm
is being shined on amazon. they are not making the profits they need to make. david: i understand that. ken, forgive me for focusing you, specifically tell us what amazon's beef is with disney before we go any further? >> yeah, david i think issue is they are trying to refocus what the real issue is and they're trying to tell disney, we want lower content prices and you know what? to kind of thumb our nose at you, what we're going to do in the short term we'll not accept preorder of your newest, biggest movies. that is essential, crucial revenue disney needs to be bringing in. so amazon is picking a public dispute about content prices as a way to try to squeeze out some extra profits that they're not finding other places. liz: kevin, on the one hand, you've got consumers who like a lower price. they might say well, that is cool. then suddenly they can't get what they want on amazon? does this risk backfiring for amazon or does it work to their favor and the consumer gets angry at disney.
4:27 pm
>> i don't think it is good for amazon. i love amazon. i have bought two purchases in the last 24 hours. my book is available on amazon. it's a great company but amazon needs to be the good guy, not the bad guy here. they were the company that made it so easy for what we want to get it as quickly as we wanted it and now they're starting to look like the bad guy as they're trying to throw the weight around to be the 900-pound gorilla in this space and i don't think it's a good move for them. >> the other thing i mentioned before, disney's brand, disney's brand i would say is stronger than amazon's brand. not only been around longer but people trust it. people trust their kids to disney, to disney films and disney theme parks. if they can't get what they want from disney, from amazon, they will seek it out elsewhere. that means less business for amazon. >> i think you're right. when you talk about the disputes with has had et, a lot of people don't know who the company is. they may have read the books but don't know the company.
4:28 pm
everybody knows who is mickey mouse is. nobody likes anybody picking a fight with mickey mouse. it doesn't go over well. from a pr perspective. liz: that is picking a fight with bambi. big dough eyes, forget it, that will not work. you've got jeff bezos one of the smartest guys on the planet says, fine, i will play hard ball. at what point does somebody blink in this battle? >> i think and that is going to be an interesting question. i don't know who is going to blink first. they love jeff bezos. he is a smart guy. he is a visionary. but at what point is amazon going to start turning a profit? when will they run away from these childish die puts and new phones coming out with and focus what they do best, which is the very best marketplace in the world? david: taking a hit, since the first of the year, amazon's stock is down about 20%. so they better watch out. liz: people would like to see profits although they continue to cut amazon a break.
4:29 pm
we'll see if that changes. kevin paul scott. cofounder of adda worldwide. david: he mentioned his book, eight essential exchanges. liz: available on amazon. david: available on amazon. >> absolutely. david: great to see you, kevin the thank you. t have startup aereo, says, and this is quote, bleeding to death after major ruling by the supreme court and as well as other legal setbacks, but could it come back to life in some form? we ask the chairman of a company called the aereo of europe. very interesting. liz: and they're surviving. david: they are indeed. liz: traders, investors and farmers, bracing for the release tomorrow of the potentially market-moving world agricultural crop report. next, we'll two down on the farm to get our own of what estimates to expect from that report. you can not miss this. it matters to your money. ♪
4:30 pm
hard it can be...how ...to breathe with copd? it can feel like this. copd includes chronic bronchitis and emphysema. spiriva is a once-daily inhaled... ...copd maintenance treatment... ...that helps open my airways for a full 24 hours. you know, spiriva helps me breathe easier. spiriva handihaler tiotropium bromide inhalation powder does not replace rescue inhalers for
4:31 pm
sudden symptoms. tell your doctor if you have kidney problems, glaucoma, trouble urinating, or an enlarged prostate. these may worsen with spiriva. discuss all medicines you take, even eye drops. stop taking spiriva and seek immediate medical help if your breathing suddenly worsens, your throat or tongue swells,... you can get hives, vision changes or eye pain, or problems passing urine. other side effects include dry mouth and constipation. nothing can reverse copd. spiriva helps me breathe better. sfx: blowing sound. does breathing with copd... ...weigh you down? don't wait ask your doctor about spiriva handihaler.
4:33 pm
liz: the ncaa says it is going to appeal a federal court ruling that came out friday to allow division i football and basketball players to be paid for the use of their names and images. very dramatic decision here. the appeal comes after a court ruling in favor of a group of plaintiffs led by former ucla
4:34 pm
basketball star ed o'bannon. how could it change the economic model of the ncaa? eugene lee is head of nfl representation agency, etl and associates. when you heard the ruling by the judge saying, yes, players should get paid, what do you think? >> i thought it was about time. i thought it's a question of fairness, a question of equity. these players receive scholarship, free education and college degree but generating billions of dollars of revenue for their schools and not receiving one cent. think it is about time. >> the ncaa does not think it is about time. they will fight it, appeal it and they're furious about it. what happens if they hold? they have to play players, it is all very weird, 5,000, depending what position you play. >> judge will kin requires each school to create a trust fund under each player funded annually. the magic number is $5,000. there needs to be clarification,
4:35 pm
in her injunction she said $5,000 in the ceiling. in the ruling it set 5,000 as the floor. if it is floor. schools from large revenue producing programs outbid small schools with huge payouts. there definitely needs to be clarification. liz: that wouldn't be a great thing. ohio state could crush ohio, u, you know what i'm talking about right? >> the competitive balance. that is the reason she used $5,000 figure to allah concerns that ncaa had about disrupting competitive balance to have large schools like ohio state, auburn, alabama, outbid smaller schools. liz: you primarily represent nfl players, national football league players. what was their thought? have you talked to some of the guys? >> i have. they think it was right decision to make. kids go through school, they receive a scholarship, there is cost of attendance.
4:36 pm
going out on weekends. being able to see a movie. going out for a meal. they're not able to do that. at love kids can't do. that this will address it. the other point to remember, under her ruling these players will not receive these proceeds until after they're done playing. now, that will diminish some of the value to these players while they're in school. liz: there is so much money in college ball, it is unbelievable. a lot of schools have deals with nike or adidas. there is so much coin involved, at some point you do wonder, shouldn't the kid get a take of it? there is also something, eugene a little unseemly bit. that you're paying college students, who are getting free educational ride anyway. >> they are getting a free educational ride. a lot of these kids believe that they're generating so much money for these schools and they're not seeing one cent. they want to be able to live college as normal student. due to the demands of their sport, travel, practice schedule in addition to their classes they can't find part-time work jo now basketball and football.
4:37 pm
could it eventually spill over into other sports. >> absolutely. the concern under this ruling, non-revenue producing sports such as swimming, sports, volleyball be cut by athletic programs allocate fund away from the sports to fund these large revenue producing sports. liz: unintended consequences. >> exactly. liz: need to worry about that too. eugene, we'll follow the story, thank you very much. >> my pleasure. liz: eugene lee. david, over to you. david: fascinating subject. supreme court ruling against aereo has put the company on death watch but there could be life for the company. we'll talk to head of a company that successfully does in europe what aereo tated to do here. could it get any worse for u.s. grain farmers and commodity bulls? we'll take you to the cornfields with our own jeff flock to get the agricultural take on tomorrow's commodity report. if you think you got a great deal on the airline ticket, watch out? you could pay up to eight times
4:38 pm
more for your airline ticket than the guy sitting next to you. we'll tell you more about that coming up next. ♪ you make a great team. it's been that way sincthe day you met. but your erectile dysfunction - it could be a question of blood flow. cialis tadalafil for daily use helps you be ready anytime the moment's right. you can be more confident in your ability to be ready. and the same cialis is the only daily ed tablet approved to treat ed and symptoms of bph
4:39 pm
like needing to go frequently or urgently. tell your doctor about all your medical conditions and medications, and ask if your heart is healthy enough for sexual activity. do not take alis if you take nitrates for chest pain, as this may causan unsafe drop in blood pressure. do not drink alcohol in excess with cialis. side effects may include headache, upset stomach, delayed backache or muscle ache. to avoid long-term injury, seek immiate medical hp for an erection lasting more than 4 hours. if you have any sudden decrease or loss in hearing or vision, or if you have any allergic reactions such as rash, hives, swelling of the lips, tongue or throat, or difficulty breathing or swallowing, stop taking cialis and get medical help right away. ask your doctor about cialis for daily use and a 30-tablet free trial.
4:41 pm
4:42 pm
other travelers in the same cabin. when looking at specific flights between l.a. and las vegas, hopper found that prices varied from under $200 to more than $1600 for a coach seat. now the range of prices varied by airline and market. hopper says those who end up paying more often passengers who don't do their homework before buying. fares varied the least from base price on spirit aligns at 5% and virgin america at 15%. it was larger carriers like united airlines with an 18% variability that had the biggest price differences. david? david: since the supreme court ruled in june against the video streaming company aereo in its case against broadcasters the company has been going downhill fast. now the once-powerful startup, backed by barry diller told a district judge it is, and i'm quoting here, bleeding to death. but maybe aereo wouldn't be bleeding at all if it had done
4:43 pm
what our next guest did. he is the executive chairman of imagine tv which successfully does in europe which much what aereo tried to do here. a lot of people are unaware of your success in europe what you do in europe. explain why you succeeded in europe and why your model didn't succeed here. >> we haven't tried our model here in the u.s. but our model succeeded in europe because we took a long approach to the industry. we took a friendly approach to industry. we weren't trying to exploit what we thought was loophole in the law in order to redistributed content or distribute content. >> we should mention you made specific deals with specific content providers including by the way fox, full disclosure? >> that's correct. that is a very big differentiator. we value back to the ecosystem, value chain of media. we're not trying to extract value at someone else's expense. david: aereo i'm sure you saw the quote it is bleeding to death. is it too late for aereo to make
4:44 pm
specific deals with content providers that you have made in europe? >> well you never know. i think it would be very difficult. once there is precedent of someone doing something on the wrong side of the law at end of the day, that person or that entity will have a hard time negotiating new december i think. but you never know. content providers are willing to license their content to aereo i think aereo has as a shot. david: what you try to do what airy tried to do here? >> u.s. is interesting to us. our focus is on europe and latin america. we have no set plans today to be in the u.s. but we haven't eliminated it from our mind. david: the u.s. pentagon has no plans to intrade canada and i'm sure somewhere they have a book and plans how to invade canada. i'm sure you thought out the process doing business here. >> we think about thal at time. it is too big after market and exciting to ignore. we have our priorities straight to focus on europe for the short term. david: it is past but i'm wondering about the supreme
4:45 pm
court decision itself. a lot of people said the supreme court deciding against aereo is essentially holding back innovation. that is, aereo provided this new innovative way to appreciate content. the supreme court is trying to go against progress. what do you say to those folks? >> i think threads of innovation is very different than the threat of illegality. imagine we develop ad system and technology that lets us cooperate with the media players and consumers and be go between inbetween both sides as aggragated tv service. we innovate and provide -- david: there are at love code words in what you just said. it is understandable to people in the business. to simplify it, content suppliers, folks like disney and folks like fox broadcasting et cetera are not now licensing that stuff to independent providers. folks like you. >> that's right. david: when will that happen? >> they have done that to us. they have done that for us. david: in europe. when will that happen in the u.s.? >> i don't know when the content dam will break. the content dam will break.
4:46 pm
aereo has proven one thing there is demand for something in the market like this. this is not the traditional experience watching tv. david: was aereo too greedy, trying to get the whole shebang instead of sharing with content providers way you do. >> i think they had risky all eggs in one basket strategy that inned up backfiring. david: had aereo been less greedy and more generous willing to share with content providers they could have made enough money to survive as company and could have survived all the legal challenges? >> i believe so. david: that was strategic error on their part then. >> i believe that was their case. in case of timing it takes time to build credibility in the independent player in the industry. content providers don't license content out of nowhere. there is lot of things to be taken care of there. the security of the content, whether the system has quality. there are number of things. this is brand new landscape, a brand new technology, a brand
4:47 pm
new way of viewing tv. david: if you don't know imagine tv yet, you haven't heard the name, imagine tv you probably will. they have plans and their plans may involve something here. its chairman we are pleased to have had him here today. good luck in your future efforts. >> thank you. david: liz if. liz: david, soybean and wheat markets closing lower ahead of tomorrow's hotly anticipated world agricultural report. so what can we expect in tomorrow's forecast that really set the tone for what you pay for food? next, jeff flock giving us his take down on the farm. one of the nation's largest ranches, hit the real estate market. it covers 510,000-acres. boy, it is not cheap though. how much is it going for? and what else are you getting for your money? how many houses are on that property? we tell you when we take you "off the desk." you've got to see this. ♪ it's monday.
4:48 pm
a brand new start. your chance to rise and shine. with centurylink as your trusted technology partner, you can do just that. with our visionary cloud infrastructure, global broadband network and custom communications solutions, your business is more reliable - secure - agile. and with responsive, dedicated support, we help you shine every day of the week.
4:51 pm
4:52 pm
david: ironically because the weather has been so good but the prices might be getting worse for the farmers. jeff flock has the story from mchenry, illinois. jeff, it is great for us, bad for the farmers. >> look what you're looking at now, david. this extraordinary, a three stalk or three-eared stalk of corn. you never see three. usually see one. i see a lot of twos. it has been incredibly good weather, jim mccormick. tomorrow's report will just be terribly bearish. >> we look for the government to raise yield five bushels to 170. that is all-time high yield. >> as you reported, david, the weather perfect. we have beautiful sun out here. there has been perfect rain. look at temperatures that. thing really made this. if you look july temperatures, we are cool, perfect conditions, right? >> yes we are, jeff. very cool summer. cool highs. cool lows. historically that means record yields. >> look at this, look at this guy right here. we peel this one back. all of these kernels are
4:53 pm
starting to fill here. that, they're not aborting anything. just perfect. >> pretty much, yet. we pollinated all the way to the tip as they say. we have a cool fall and rain and fill this crop out and put it in the bin. >> look at august temperatures, thermometers, three degrees cooler than normal. that is perfect. if i get on the ground here, by the way, two-eared corn, you get that on edge of field. if i look back here, i'm seeing two-eared corn everywhere. that is another one. that has two years ears. we have incredible crop. let me get down here hands and knees, as we putnam members up, look at that mud and moisture. i can't even dig through it. and this loves that. >> yeah. this what we need, jeff. like i said for the viewers. this sets us up for huge crop. farmers need to sell rallies anytime they have the opportunity. >> we'll watch this tomorrow. david: david, liz, i love that stuff. oh, man. by the way, jeff, not only is it
4:54 pm
perfect for people who love sweet corn like i did, and i know liz does as well, it is great for the price of beef. won't, most of that corn i would imagine, most of feed corn will bring down the price of beef, will it not? >> you are looking at feed corn right here. you're absolutely right. it's a god send to those twice. they need it's a positive for everybody. as liz said at outset, unless you are long corn and beans. liz: terry duffy was on from the cme last hour, said if you have a cornfield you can sell to the chinese now at $5-bushel even though a lot less here in the states. david: we have a world market. liz: that world crop report out tomorrow. david: i love how jeff gets his hands in the dirt literally! by the way one of the largest ranches in the whole country has just gone up for sale. we'll tell you where it is. you are really not going to be believe the astronomical price tag. liz: last night's super moon, looked like it was straight out
4:55 pm
4:57 pm
david: by the way stocks business would like to make a clarification on a story we brought you on "after the bell" on friday. we incorrectly reported true cars earnings, truecar reported gaap eps in line with estimates and loss of two cents in non-gaap beating estimates. so we wanted to clarify the record there because we got it wrong. when we get it wrong, we like to tell you about it and give it to you right. liz: stock got it right, up 2 1/2%. take you "off the desk," one of the nation's largest ranches hit the market. here is the aerial photo. it is not cheap. it is 510,000 acres. called the wagoner ranch in vernon texas. just listed with a price tag of,
4:58 pm
do you have $725 million hanging around. david: no. holy cow! liz: 725 mil. it sprawls across 60 north texas counties, includes not dozens, hundred of homes, 30,000 areas of cultivated land and 1200 oil wells. david: oil wells? liz: quon if they're breaking. the estate is statue of liberties of cowboy culture t has been under one family's name nearly a century and family feuding nearly led to the estate breakup in fact the selling of the landmark end of decade long battle of the heirs. david: i pray putin doesn't by this. this one was a great one for sky watch is, if you went outside like my wife did in in fact, in particular hard to miss. yesterday was the summer's biggest and brightest super moon it was called. the full moon closest it gets to the earth. it was 20% closer to the earth than it is at its fartherrest
4:59 pm
point, making it appear to be 14% bigger and 30% brighter. last night the brightest and biggest evening of the super moon. it is meant to last through wednesday. so don't forget to take a moment to look up at it, particularly when it rises. that is when it looks the biggest. liz: very cool. following the o'bannon ruling on friday we mentioned could change the face of collegiate sports, we asked you on facebook and twitter whether you think college athletes should be paid. good friend of the show, todd horowitz says you know what they should be paid a stipend. air kay i can rules are being abused. david: tom on twitter says, pay college players and universities with deep pockets will corner best players. education should trump sports. liz: gary on facebook thinks, if they get paid take the scholarship away and make them pay for their education. david: "willis report" is next. cheryl casts is in for for
5:00 pm
gerri. washington has a problem with fitness bands. what is that about? >> we love to work out. i want to know what my heart rate is doing. how many calories are doing. senator chuck schumer says he thinks it's a privacy violation. he says we should be fighting it. what do you think, ladies? liz: maybe. david: i don't know. >> we have a lot and that coming up on "the willis report." david: sure. >> coming up today on the show, the price war at amazon.com with consumers caught in the middle. is amazon putting too much of a squeeze on publishers? also, the world of nascar rocked by a bizarre and fatal accident. we're going to examine the fallout and impact on the motor sport. the war against e-cigarettes. states are pushing for tough new regulations. "the willis report" where consumers and our businesses starts right now.
85 Views
IN COLLECTIONS
FOX Business Television Archive Television Archive News Search ServiceUploaded by TV Archive on