tv After the Bell FOX Business October 6, 2014 4:00pm-5:01pm EDT
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announcement, right? [closing bell ringing] >> there is something about driving, automatic driving, right? you don't have to worry. drive itself. i bet something about that. david: bells ringing on wall street. it is a down day this monday as we begin the trading week and significantly down in the case of russell 2000. we'll talk about that. we have a market analyst coming up saying now is the time to get in on small and mid-size caps, represented by russell 2000. now they are beaten down. we have busy hour for you. "after the bell" starts right now. liz: apropos of nothing, palladium jumping today. david: there you go. liz: zack shepard says the investors need highs and lows to act to rebalance their portfolios. lee munson, telling investors which areas of the market they need to allocate more capital
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to. you guys are working in tan dumb. chris gersch from the cme. we saw real indecisiveness. david point the you had out 31 times we saw the markets cross the flat lines. >> we did. beside the flat line, we saw it dip below the 50 day moving average this week. a lot of us traders use those two as sheer symbols as either going higher or lower. the fact it is stuck in between. the futures pit behind me, is rally range-bound. started off in the morning, came down, we thought they would have sure fire selloff and series of higher lows and higher highs. we're basically unchanged for a lot of us traders down here. look for tomorrow to give us direction. as long as between the 50 day moving averages and 55-day moving averages, we don't know where it is going. david: lee munson, the russell 2000, down again, almost full
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percentage point. if you're looking for area beaten down you want to get in on the ground floor, maybe time for the russell 2000, no? >> well, you know i mean the valuations are looking like the ground floor. this is a, people have to remember, this is kind of representative of that bottom 20% market cap of the united states. so it is that smallest, 10 to 20%. this is innovation, growth engine of americafest you believe america will move forward to have prosperity next couple years, small caps, high return, high-risk. this year, people left them for dead. i think you have to get in there to make sure if you're underweight in small cap, don't be by the end. week. liz: you said get in there. zack, you're getting in there and saying don't try to anticipate market moves or catch a falling knife or call the bottom. instead, you say go in to buy three names. talk about these names and why these are the names you say will help a portfolio. >> we have jetblue, we've got american railcar and we've got avis. i thought the theme i would
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stick with is planes, trains, automobiles. >> yeah. >> we get all the transportation stuck with there. we have to make sure we understands, these are small value companies. that is what they represent, if you add them to 1200 other companies in the small value portfolio in the u.s., that is where massive academic premiums is had. david: chris gersch, one thing people were buying a lot of is gold. people saw it below 1200 with the 11 handle looked tempting. will it continue the up swing. >> i think you hit it on the head. gold hit muster with a lot of traders. they said they would not buy until the 1200 level got breached. there was stop orders. it got bought up to 1207 when i left the desk. i think that is great opportunity buy side. we see it 1260, 1255 by year's end. liz: why not silver, chris, $17,
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looks so cheap. there are more applications for silver than gold. >> absolutely. silver is in everything we have. cell phones up 3%. i think that is great opportunity. we have the dollar pull back a little bit. big story is the dollar. maybe brazil is the biggest story today. david: lee. every day, the s&p is below 2,000. today, i guess it ended about 1965. you say every day it is below 2000 it's buying opportunity. why? >> well, number one this expansion will continue. the fed is not looking at raising rates until maybe sometime later next year. even from that point, it is going to take at least six to actually months for the economy to slow down because of that. right now is the time where you have to get in there. i believe we could see s&p at 22, 2300 over the next couple years. so what is keeping you from making an investment today? it is range bound. you heard what they said at the pits. there is time nothing is going on anywhere, go in and rebalance
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just like all the guests are saying. if you don't like gold, want inflation hedge, think of are emerging markets countries correlated to gold and paying assets while waiting around. liz: that is gutsy trade go to emerging markets. why not go with the country that just got a really solid jobs report on friday and that is just the united states? you have smart economists like stuart hoffman coming on melissa francis's show, saying, come on guys, i've been around a long time. now this looks like a good turn around for the u.s. is the u.s. sort of best thing going? >> i love the u.s. and i love america but i also want to make sure investors stay diversified globally and in over 45 countries all over the world. we don't know the next 20% market whether in the u.s. or emerging markets. we stay diversified with highs and lows. liz: what are the top three favorite countries to invest in. >> i have two incredible examples as far as countries are concerned. if you look at israel, israel
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has been at war for the last year and their markets are up 26% over the last year. spain is another example. two massive recessions in the last five years. 25% unemployment. 28,000 companies going bankrupt yet their markets are up 7%. that is, how i show it is unpredictable. >> by the way, lee munson is into a vanguard reit etf, an exchange traded fund. is that because you don't see inflation on down the line? >> well, it is not, what i see in the reit market is a place where you can get good cash flow. i think inflation, fed made it very clear a couple weeks ago they're not really looking to get it above target anytime soon. so i think when you're looking at reits, they have taken such a tumble this month or this, excuse me, last month. but over the course of the year they're still up double digits. you have to buy the weakness on receipts. i don't think inflation will be a problem. what a lot of people don't know, historically, reits are not that sensitive to interest rates.
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and so, again, it goes in with that, if you want inflation hedge, i would rather have reits then fool around with some treasurys. liz: chris, as we finish up here, i know we're also waiting to see how the s&p futures roll for tomorrow, talk about what you're seeing in with the flows. when the when clients are calling the floor of the cme, what are they getting out of right now? >> when clients are calling cme, i talk to lot of brokers i trade with, they sit on top of this. they're not really looking to invest in the s&p futures at this level. liz: really? >> they're more asking, how can we catch, well they want to invest in commodities. believe it or not, despite the huge falldown. liz: by hoaxer right. >> they're at 300. a lost investors are asking us, how do we invest in corn at these levels? look for a potential pop. but right now with the dollar being so strong, don't catch the falling knife. that's with we're trying to tell
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our investors trading trading wr brokers. david: zack, likes jetblue. jetblue, i think most customer-friendly airline in the world right now. i'm so glad, sack, that you are bullish on jetblue. >> small value company. i like small values. david: it is down today. if you believe in jetblue, down 2 1/2%, maybe now is the time to get in. liz: thank you, zack. lee, come back to you and chris, see you when the s&p futures close. david: chinese hijackers are on a widespread campaign of cyber warfare against us, the united states. exactly who are they targeting, what do they want and can we stop them? we answer those questions coming up. liz: just as a bunch of retailers say, sure we'll take bitcoin, the bitcoin takes a beating falling 20% in value just this weekend alone. what happened? is this start of a bigger downfall or a buying opportunity
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david: shares the container store are following of a hours in trading following its quarterly earnings report. nicole petallides. liz: this young company because it went public several quarters ago. >> we had the ceo on here. the con taper store here, tcs is the ticker symbol, after-hours to the downside. sales numbers are disappointing. earnings per share came in 11 cents. estimates were 11 cents. revenue came in. take a look at that. revenue came in at 1.93 -- 193.2. and the estimate was for 199.2. these are millions now okay, for revenue. and, so, what's interesting here. you have a miss on the revenue. i was looking through the sales numbers, liz and dave. the comp sales in the second quarter were down 0.4%. the estimate was for a gain of 0.4%. then you look at the full year numbers, and what anticipation is there.
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they're cutting full year sales view to 800 million, to 810 million. that is below the prior estimate of 82.9 million. so, basically, pushing everything down just a little bit, missing on the current quarter. giving an outlook that is below the estimate. so, telling everybody, better take a wreather. -- breather. stock hovering at 52-week low. david: down 7% in after-hours. thank you, nicole. liz: let's head back to chris gersch in the pits of cme. take it, liz. >> hey, liz. we're down point 1/2 since equity close. meaning to me we continue to see choppy trading. we might have recovery in the afternoon and all of sudden selloff in after-hours. look for tomorrow's morning premarket futures to indicate where we're going to hope. right now none of this is saying buy. look for some buying to pop in early the in morning. it is light volume right now. liz: good to know. thank you, chris.
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david. david: fbi directors are not known for hyperbole. why fbi director james comey's warning about caught fire. >> how many hits from china do we take in a day? >> many, many, many. there are two kind of big companies in the united states. there are those who have been being had by the chinese and those who don't know they have been hacked by the chinese. david: joining me a guy who has been warning about chinese hacking for a long time. george kurtz, crowd fight cofounder and ceo. fbi guys don't exaggerate. is he right, that every major company has been hacked by the chinese? >> at this point we absolutely subscribe to the same philosophy. if you look at proliferation and how active the chinese are, it is i'm impossible to stop them getting into any major corporation. most corporations had some incident, certainly over the past year. in many cases the chinese have been rummaging many large
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networks for many years undetected. david: when we say chinese though that is one person, chinese a country of over a billion people, who specifically is behind this? is this the chinese government? is it a branch of the government, what? >> we would call it a nation-state actor. so a lot of this is actually driven from china itself, the peoples liberation army of china where they have specific groups focusing on stealing intellectual property from some of the most coveted name-brand companies in america. david: what do they want? do they want my social security number? are they generally throwing out a big net and trolling for, maybe something they don't even know what yet? >> well, was interesting comment the director made. they're like drunk burglars. they're in the house prolific everywhere and stealing whatever they can and knocking over the tv on the way out. there are so many of then, they're capturing a as much information as possible. a lot has to do with
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intellectual property theft which is one of the key elements of our economy, where they take the intellectual property back in china, quickly replicate it and quickly advance their technology companies and bring their technology to market much faster and much cheaper than our companies took to market. that is a big piece. david: george, this is all happening on the heels of alibaba's ipo. alibaba already has begun a very aggressive campaign to get all the information it can about u.s. consumers. there is something called ali express, which is their consumer brand. i've been bombarded with information from them, looking to get information from me. i'm a little reluctant to give them any information and, here's why. jack ma, the founder of alibaba, was on "60 minutes," same show about a week ago, eight days ago. here is what he had to say whether he was sharing any information with the chinese government. take a listen. >> we have a very strict process
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working with the government. if they want it related to national security we work together. any country, any citizen, anywhere you have to work. >> if they want to do it, if it is related to national security we'll share the information. now he said, hey, you guys do it, but our national security is a little different from their national security, isn't it? >> it is and you know most governments are focused on on taping this sort of information, not necessarily intellectual property but surveillance information. the big difference between say the u.s. and china is the fact that the u.s. down turn around and give it to one of the u.s. companies so they can knock it off. the statements that were made i certainly would be reluctant sending my information over there. most corporations in china have some ownership by the government. if they want that information, they're certainly going to get it. david: he is quite open about it. he says i'm willing to share, if it is a matter of national security, chinese national security, i will share that information. so if i'm signing on to alibaba,
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i don't want to scare anybody out there because there may be good bargains on ali express, but if i'm sharing with him, you have to assume that there's a chance that the chinese government might be listening, right? >> absolutely. you can see the difference of his tone of voice versus large tech companies in the u.s. kicking and screaming not to share information with the u.s. government. you have to be careful. you have to be vigilant. it is a dark alley on internet. you never know where your information is going to go. probably already been stolen. the fact it is with alibaba may not mean anything at this point. david: oh, boy. george kurtz, crowd strike cofounder and ceo. good to see you. appreciate it. >> thanks. david: how worried are you about the chinese hacking us and stealing corporate secrets or your personal information? who could be most at risk? send us a message on our facebook page or tweet us @fbnatb. your answers coming up. liz? liz: david, taking the course
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and pulse of corporate america. deloitte has been asking cfos, the guys that handle money at companies, about the state of the economy and the news is mostly good. the deloitte partner behind the huge survey bringing us highlights. fighting ebola, our nation's hospitals are hoping for the best but preparing for the worst. fox news's dr. marc siegel with us, taking us inside of one emergency room on high alert. you will see this nowhere else. not all business schools are created equal in terms of prestige or bang for the buck. the best value business schools coming up. you need to see this list. ♪ go ahead and put your bag right here.
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♪ hi, are we still on for tomorrow? tomorrow. quick look at the weather. nice day, beautiful tomorrow. tomorrow is full of promise. david: we've got the very latest on ebola. the president just finish ad meeting. let's listen to him. >> [inaudible] on the steps that we are taking to fight ebola epidemic. to stop the epidemic at its source in west africa. also make sure that we do what we need to do to stop an outbreak here in the united states. as i said from the start of this outbreak, i conhis the top national security priority. this is not just a matter of charity although obviously the
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to in countries of west africa is significant. this is issue about our safety. it is also an issue with respect to the political stability and economic stability of this region. so it is very important for to us make sure that we are treating this the same way that we would treat any other significant national security threat. and that is why we got all hands on deck approach from dod to public health to our development assistance, our science teams. everybody is putting in time and effort to make sure we are addressing this as aggressively as possible. i know that the american people are concerned about the possibility much an ebola outbreak and ebola is a very serious disease and, the ability of people who are infected to carry that across borders is something that we have to take
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extremely seriously. at the same time it is important for americans to know the facts and that is that because of the measures that we put in place as well as our world class health system and nature of the ebola virus itself which is difficult to transmit, the chances of a ebola outbreak in the united states is extremely low. procedures are now in place to rapidly evaluate anybody that might be showing symptoms. we saw that with the response of the airplane in newark and how several hospitals across the united states have been testing for possible cases. in recent months we had thousands of travelers arriving here from west africa, so far only one case of ebola has been diagnosed in the united states. that is the patient in dallas. our prayers are obviously with him and his family. we have learned some lessons in terms of what happened in dallas.
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we don't have a lot of margin for error. the procedures and protocols that are put in place must be followed. one of the things that we discussed today was how we make sure that we're spreading the word across hospitals, clinics, any place where a patient might first come in contact with a medical worker to make sure that they know what to look out for and they're putting in place the protocals and following those protocols strictly. so we're going to be reaching out not only to governors and mayors and to public health officials in states all across the country but we want to continue to figure out how to get the word out everywhere, so everybody understands exactly what is needed to be done. meanwhile, at the federal level we're constantly reviewing and evaluating measures we already have in place to see if there are additional improvements. we look at any additional steps that can be taken to make sure that the american people are safe, which is our highest priority.
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and, finally we had the discussion about what we're doing, on site, in west africa. there has been already extraordinary work done by the department of defense in conjunction with the cdc in standing up isolation units and hospital beds. we are making progress. the environment is difficult because the public health system there has very few resources and is already extraordinarily fragile. and i will be very honest with you. although we have seen great interest on part of the international community, we have not seen other countries step up as aggressively as they need to. and i said at the -- liz: president obama, calling the ebola outbreak, a quote, national security threat, at least comparing it to that, here in the united states, all hands on deck. all different associations and organizations and government offices, david, on deck, to make sure that procedures are
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followed and hospitals communicate with each other in case a patient arrives. >> part of the problem is of course he procedures didn't prevent that patient from coming in with ebola. apparently the person who has ebola now in dallas lied on papers that he presented to the airplane officials so of course that procedure does seem to be inadequate. there are a lot of details about this, whether we're ready for what we're facing. dr. marc siegel with the fox news medical a-team look at one of the best hospitals in universe put together as part of an prevention program in case we have a ebola outbreak in new york. doctor. >> we went behind the scenes at nyu langone where i am a practicing physician to see what measures they're taking there. david, i spoke with dr. michael phillips, medical director of hospital epidemiology infection control who said there are
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multilayers of protection in place to quickly identify patients who have ebola. >> there will always be emerging pathogens and alert bit and we have no chance of catching it. even with good systems we need multiple layers of protection not just the triage nurse asking the question but everybody in the system or even before that, it is that outpatient provider. >> if a patient with a fever and flu-like stops recently traveled from west africa, the question of ebola is raised. if there is a possibility of exposure, the patient is isolated, staffed on gowns, gloves and masks to protect themselves from the virus. >> we have the ability to decontaminate any patient, person, any specimen, anything going to our lab, anything moving throughout the hospital so there is no cross-contamination. >> if an ebola patient is properly identified and isolated then viral transmission is unlikely. you generally need significant exposure to vomit, diarrhea or
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blood to become infected. david: doctor, there have been a lot of false-positive tests so far where it was assumed that because of some symptoms had ebola. how do we confirm whether or not they have it? >> david, that's a great question. cdc testing can take a few days. local health departments are designated to identify a rapid test to identify ebola in a few hours. here at the public health laboratory at new york stock exchange don't of health. they're doing mock ebola testing. you see it as i'm talking a real case scenario would be done after consultation with the cdc and the patient's physician. that rapid test, is the same one that the department of defense is deploying now in west africa. the goal is the same wherever test something done. isolate the patient, contain the problem, prevent spread of a dreaded killer. >> dr. marc siegel, right at the forefront there, thank you very much. we appreciate you showing that. >> thanks, liz.
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david: thanks, doctor. if you want a real look at the state of u.s. economies, why not go straight to the source? we take you to the corner office for a look what america's top cfos see straight ahead. what keeps them up at night. and why they are optimistic about hiring. liz: a major blow to bitcoin. the very curious digital currency plunges 20% over the weekend. although it did see a bit of a rebound today, should investors stay away? or are there opportunities amid this downturn with the krypto cash? ♪ so i can reach ally bank 24/7, but there are no branches? 24/7 it's just i'm a little reluctant to try new things. what's wrong with trying new things? feel that in your muscles? yeah... i do... try a new way to bank, where no branches equals great rates. and cialis for daily use helps you be ready anytime the moment is right. cialis is also the only daily ed tablet approved to treat symptoms of bph, like needing to go frequently.
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no hidden fees, from the bank where no branches equals great rates. liz: the price of bitcoin tumbles this weekend, dropping some 20%. really collapsing here, hitting a low of $290 before rebounding this morning. now just a few weeks ago i spoke with silk road bitcoin auction winner and venture capitalist, real successful guy, tim draper, who made this bullish bitcoin call. >> i'm still predicting bitcoin, $10,000 in bitcoin in three years. liz: he has a long way to go because right now we're in the low 300s. what do the bulls have to say now, and what happened this weekend? how could bitcoin's price still be headed to 10,000 and is now the time to invest in the volatile currency or stay away? we have at falcon capital cofounder and let me call you this, a bit coin bull.
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first illuminate our viewers. what happened this weekend? why did bitcoin fall 20%. >> first off, thanks for letting me on. what happened this weekend was kind of scary for a lot of people but very normal in these markets. what happened the price went below the 18 month average. one of the sellers wanted to place a sell order at 26,000 bitcoins at $300 a piece. when a large order like that is sold the price will have a large effect. that is what we saw happen this weekend. liz: we don't know who the person is. that is the whole point and excitement about bitcoin, it is anonymous, right? >> that's correct. we don't know the identity who did it but there is lot of speculation who did it. liz: sound like the stock market. an unknown seller of a big block of stock sometimes that will happen. this scares people off, brent, don't you think? should they be worried about it? because the last highest level of bitcoin was 1242?
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>> i think it all depends what you're looking at with bitcoin. i think a lot of people look at bitcoin entirely wrong. they're looking sim at value of bitcoin. i'm bullish on bitcoin and bullish longer term. the reason i'm bullish i'm looking at human capital going into bitcoin. that is coming from the entrepreneurs driving it and venture capitalists putting in money from the entrepreneurs. there is quote in the "huffington post" i like, when you diminish and scuff up a bit coin, you scrounging against a hundreds of hungry entrepreneurs. they caught tanks of venture capitalists which backed them $284 billion in the bit coin startups -- 284 million. once the infrastructure is built and established. i see the bitcoin value rise. it is important to understand, it is very early on in the industry and it will take a long time for an entire infrastructure to be by looking at the internet now it still has
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developments being improved and constantly needs changes and upgrades. that is where bitcoin is right now. a lot of people in the industry compare bitcoin to the internet in 1996. i think it is more like the internet in 1993. have a long way to go. liz: compuserve, remember that? >> yeah. liz: or maybe planet earth just as primordial soup was starting to formulate. i don't know, we're not scoffing at bitcoin. we've done a lot of stories. bitcoin atms and. bitcoin exchanges. tim draper is a smart guy. last time i spoke to him a year-and-a-half ago, he said only people who don't understand innovation would be against bitcoin and against things like drones. so that much i get. however, is it too dangerous for the average investor to get in right now where you have a weekend where 20% of the value was lopped right off? >> i think it depend on provial of investors. for our fund we work with
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accredited investors. liz: explain what that means. the average that mow can't buy a share, right? you have to go through a process to become accredited? >> that's correct. there are certain net worth requirements and income requirements in order to invest in our fund. that is pretty standard on all the bitcoin funds right now. that is the profile of an investor in bitcoin. the investor who come in understand it as a binary investment. that is how we discuss it with investors. it makes it easier that way. liz: how is it going? how is that fund going? >> it is going well. it is a lot of work. which definitely anticipated it would be a war and it is. the bitcoin industry as you've seen in the last few months and basically since march there is a lot of ups and downs. every day we wake up and we're ready for battle. it is awesome and we're having a good time. liz: we love ground floor stuff even if it is messy and confusings. come back. >> thank you. david: we have breaking news on the jobs front. we had a pretty good jobs number last week although there were
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mixed signals what it meant. turner broadcasting systems not taking advantage of the job situation at all. in fact they're laying off 10% of their workforce. that amounts to 14,000 full-time positions that will be eliminated by time warner broadcasting. i'm sorry, this is 10% of the 14,000. that amounts to about 1400 various roles, full-time roles will be lost as a result. but 10% of their workforce will be eliminated. so, again, liz, on the jobs front kind of a mixed picture. depend where you're looking, full time or part time. liz: very tough. keep in mind, big nba deals with tnt. maybes you wonder. cash has to come from somewhere. >> into pro-democracy fighters in hong kong standing firm but shrinking a bit. will hong kong ever be the same? david: also chief financials officers, these are the guys in the economic trenches every
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today. >> they know what is happening in the company. so what they say really matters. they are the eyes and ears of the company. next we'll talk to the deloitte partner behind a new quarterly survey that found cfos are actually more optimistic now than they have been in several years. we'll tell you why coming right up. ♪ your customers, our financing. your aspirations, our analytics. your goals, our technology. introducing synchrony financial, bringing new meaning to the word partnership. banking. loyalty. analytics. synchrony financial. enagage with us. sometimes they just drop in. always obvious. cme group can help you navigate risks and capture opportunities.
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david: we've been asking you on social media if you're worried about chinese hacking the u.s. four friend todd who are weitz is concerned that they will hack our government secrets -- todd horowitz. facebook.com/afterthebell. liz: we're trying to hack them as much. david: i wouldn't -- liz: higher education is many about more expensive each year. far outpacing inflation. students are look for business school that will give them the best value for their money. graduate programs.com put together a list of top business schools with the best value, based on what the students had to say. the site lets students review graduate programs by answering questions like, overall, how satisfied are you with your graduate program? and did you make the right choice. >> that is a good one much. >> the following schools rated top five based on scale of one to 10. at number five, brigham young university, got a 9.6 rating. coming in number four, university of california, berkeley, my alma mater.
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david: never hear the end of it. liz: yea. next up, yale university. 9.73 rating. number two, dartmouth college. coming in number one, rice university. without objection. david: wow, that is surprise. that is surprise. cfos are on the front lines. deloitte released third quarter chief financial officer survey. they have done this for 18 quarters. the results show cfos are more positive than they have been in years. corporate spending was down. liz: what is behind that? what are cfos concerned about right now? joining us sandy cockrell, do deloitte cfo program managing partner. what was the most surprising, best beneficial comment you heard from chief financial officers this time around? >> liz, two things. the number one, the optimism index we measure every quarter. 44% of the surveyed cfos said
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it would be better this coming quarter which is about where it has been. best part, only 2007% are less optimistic. that is survey low. i mean a survey high in terms of what we're measuring which is great news. david: we've been focusing a lot today on security, particularly with regard to the chinese. whether they're hacking. whether they use other tools to hack in they haven't used yet. is that a concern at all for cfos? they have to be concerned about hacking right? >> david, great question. we asked a disruptor question. what could disrupt your business this coming year, this coming quarter. two things. number one. government intervention. right behind that is security concerns and most of surveys, most of cfos at the table with their cios, their security people, they have to be because it is such a big deal especially in financial services. liz: it can take a hit to the company's bottom line. >> as well as brand. liz: well, i've been talking to a lot of security people, david has too, they have been getting hired.
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they are hired to find and patch those holes. aside from that, tell us about the capital expenditures. some of it will have to go to that. companies seem to be investing a little bit less, as much as your investor surveyed showed. >> yes, liz. four key metrics we measure, revenue growth, earnings growth, hiring, as well as capital spend. the first three were all very positive. this quarter the cfos expect to increase capital spend by 5% next year. liz: hiring, is it full time, with benefits. >> full-time roles and 2.3% increase in hiring over the next quarter. that will be a, that will be a three quarter trend. that is fabulous. that is great news. especially coupled with the news from friday with a five .9% rate that came out on friday -- 5.9%. david: you mentioned government regulations or government interference with workforce or the biggest concern. >> right. david: i was talking to financial service guys. of course those guys always complain. they look at something like the
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new dodd-frank. they can't make any sense out of it at all. is it that particular group of regulations around financial services that is most bothersome or just in general? >> david, across the board. absorbing what has been regulated so far, dodd-frank, things coming out from environmental regulations where they may be. there is concern what will happen the next year? what else is coming down the pike we have to deal with. david: very often we haven't finished out with what we've done. they write regulations even more complex than regulators know how to deal with. >> that's correct. david: some of the points of dodd-frank are contradictory, you can't follow one without contradicting the other. >> that is right. that is why it is the number one disruptor. liz: isn't it interesting, that chief financial officers, that tend to be straightforward and most pessimistic about things are very optimistic right now. >> top-line growth, best in three years. earnings growth at 11%, best in
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a year-and-a-half. those are great statistics. liz: can you spin forward from the holiday season and i guess it would get better than that? >> i would hope so. retail and wholesale were ones that took it on the chin this past quarter. health care pharma was industry leader in terms of all the metrics. david: what are they spending money on? i know capital expenditures have come on, but what are they spending money on? >> spending is interesting. there are two things to get behind that. number one over last three or four years, companies are more efficient today, using basically current you can struck. they dramatic improved the operational processes. another trend we're seeing is around cloud. and a lot of companies are now renting versus buying. instead of buying i.t. infrastructure, hardware, they're renting that. >> save them money. >> maybe, maybe not. we'll have to measure what that is over a period of time. david: another reason why wage inflation is down. they're so productive and farming out so much stuff you
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don't have the wage inflation? >> they're extremely efficient. i think after a couple of quarters of continued growth we'll see maybe spending come back. they will have to build infrastructure. david: sandy cockrell, great to see you. we love the quarterly reports. tell us what is going on at the ground level. >> thank you, david. liz: tell the fiber-optic folks at deloitte we really appreciate night thank you so much. liz: hong kong's pro-democracy protesters face a new test as many go back to work or try to resume their studies. is there a clear winner after more than a week of demonstrations? the very latest straight ahead. david: for many, the the iphone 6 plus is a must-have fashion accessory as much as it is a cutting-edge smartphone but its huge size could be a outsized challenge for a lot of fashionistas. we'll tell how how some fashion retail remembers responding. >> hi, everybody, i'm gerri willis, coming up on my show at the top of the hour i will sit down with former homeland security chief tom ridge, with more on his plan to
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the authorities deadline to leave passes but demonstrators did give up some ground allowing government workers to enter their offices. david: ashley webster joining us from the newsroom. ashley, what happened over the weekend? why are these protests kind of dwindling? >> it is interested, david and liz, overnight estimated crowd of more than 1000 protesters remained camped out on the hong kong government district streets. is the protest physician iting out. -- fizzling out? the activists say it is sheer exhaustion and the sit-in hits second week and they decided to hit a possibly strategic retreat. they are working to lay groundwork on political reform. they want beijing to allow free vote for the territory leader and resignation of hong kong's chief executive. let's be honest, most protesters
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acknowledge there is little or no chance the beijing leading to their demands. they thought exhaustion and futility would see the protests dwindle away. that didn't happen when we saw clashes erupting involving tear gas and accusations of sinister mob attacks and daily government ultimatums which galvanized and strengthened the protesters resolve. alex chow, leader of hong kong federation of students told reporters, people will need rest. they will come out defend. it doesn't mean the movement is diminishing. many people still support it. meantime government workers are back in the offers. schools have also been reopened. guys, back to you. liz: still not over. ashley, thank you very much. >> new york city's iconic luxury hotel, the waldorf astoria, did you sea "scent of a woman"? remember it happened here. can't miss it. it is absolutely singular in its reputation but it is being sold by hilton worldwide for nearly 2 billion bucks. details, who is buying it when
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we go "off the desk." liz: they called it bend-gate, a term referring to the report that apple's iphone 6 plus would bend if enough pressure were applied to it. the some chains are trying to assure the phone doesn't bend in your pants. details next. ♪ 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. i research. i dig. and dig some (trader more. search. because, for me, the challenge of the search... is almost as exciting as the thrill of the find.
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(announcer) at scottrade, we share your passion for trading. that's why we rebuilt scottrade elite from the ground up - including a proprietary momentum indicator that makes researching sectors and industries even easier. because at scottrade, our passion is to power yours. 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.
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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. david: "time" to go "off the desk." waldorf astoria on park avenue hosted everybody from marilyn monroe, foreign heads of states, every american president since herbert hoover. hilton worldwide is selling waldorf to a an insurance group for nearly $2 billion. under the agreement the hotel is to be renovated to restore it to its historic grandeur. hilton will continue to operate the property for 100 years. the deal expected to close december thirty first. liz: also "off the desk,"
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iphone 6 plus causing quite a fashion dilemma with the gigantic 5.5-inch screen. where do you put the phone on the go? fashion brands take a look how to make the war wardrobe compatible with this supersize technology the american eagle told second site, mashable, its mens pants are able to accommodate larger phones and working on women's pants with larger pockets. l.l. bean says the active wear is fablet friendly. david: you have to buy a pair of pants for a coin. how worried are you about our companies being hacked. why are you putting secrets on internet. have an inneroffice computer for company secrets? liz: i care more about u.s. industry ideas being stolen. david: why what china fleece owning the waldorf astoria where president and diplomats stay in town? i bet lots of information could be gathered there.
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they're putting bugs in right now. liz: okay. thank you so much for joining us. we want you right back here tomorrow. meantime "the willis report" is next. david: we'll see you tomorrow. gerri: hello, everybody, i'm gerri willis. coming today on the show. you're not crazy if you think one of the cvs beauty products recently ran out faster than it should have. we'll look at ridlous packaging. we told you how to find the right financial advisor. we're looking at other side. we'll have advise how to fire your advisor if he is not working for you. and he was the first homeland security chief. now tom ridge is working on the issue of cyber attacks. my one-on-one interview is coming up. "the willis report" where consumers is our business arts right now. gerri: we begin tonight with, what you just have to call trickery at the pharmacy, which has landed cvs
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