monetary policy. all 10 sectors higher today. [closing bell ringing] liz: energy really gyrated. really fascinating day. one of the biggest rally days post-federal reserve meeting. david: look at pyramid. we focus on the dow jones industrial average. but that pyramid gets bigger as you go down the indices. nasdaq did better than both. big winner, small and mid-sized caps loving what happened today. both the prize of oil. we can't forget what drove markets up in the beginning, oil begins to find a ground. might be temporary. at least for today it found a floor in which it built a little bit even though after-hours it's trading is mixed. but a very busy day in the markets. huge day in the markets. we have a lot to talk about. "after the bell" starts right now.

liz: let's get to today's actions. which was stomach-churning and then exciting all at once. oliver porch from gary goldberg financial service. with stocks he feels you should add to your portfolio. john donaldson. how the fed decision impacts your money. we know about today, but how about after that? dan ses stitch from the pits of the cme. treasurys got smacked down because of the price. dollar muscled up which was interesting. oil was on the move but equities were the star today. what was it likes being in the pits when the federal reserve announced we will not change our language? >> we have couple things going. todd horowitz is usually here and rallies when he is there so i take credit for that. liz: true. >> the market has a good head start. david said oil prices stablized. i think the market has been way

overdone last week 1/2. people are getting panicking what is not there. they're starting to focus what is there. the fed, considerable time is juggling up in the air, a couple things interested me. they will pay attention to what the employment rates are doing. there is they will think inflation's normalizing and final thing she said is the net effect on oil we'll bring this into there, will be good for the u.s. economy. so you add all that up we had a tremendous rally here. has it gone too far? maybe. but we'll take it when we can get it. david: oliver, you thought the market was a little oversold and perhaps there would be a rebound even without what the fed did today. is this beginning after rebound or all in reaction to the fed? >> i think it is a little bit of both. the investors recognizing that the market was oversold a little too much. end of the day oil prices are positive for u.s. economy. liz: let me stop you right there one second. we'll let you finish that in a moment. we have oracle earnings right now. this is a big name. cheryl casone how they did. >> a big beat report coming out

of oracle. it is moving up over 4% right now in after-hours trading. estimate earnings per share was 68 cents. company coming in at 69. 1.9 billion in revenue. 1.6 billion was the estimate. talking about cloud. bring this to you, the board of directors declaring a quarterly cash dividend, 12 cents a share of common stock. talking a lot about the cloud. oracle has been trying to move the business into away from software services or at least software and move more into the cloud. looks like it is working. of that piece of that overall revenue number, liz, 7.3 billion was software and cloud revenue. that is very, very strong number. that gained for cloud bookings. cloud bookings in the second quarter, this is what we're talking about right now, a gain of 140%. really pushing the cloud. looks like payoff is there. stocks are moving 4% higher. >> should mention, this company is not a big beat, but the company missed earnings

estimates for the past three quarters. a lot of people were prepared for a slight miss here. i want to go to dan stesich real quick. dan, what do you think of these oracle earnings? >> nice to see for a change. as you say they missed sometimes. if you bring this into the bigger picture, oracle is definitely good news. we kind of forgotten about good earnings. we had a good earnings season. this is adding what already has been a food quarter. liz: already a good quarter. as we continue to watch oracle i want to bring in john donaldson. you do fixed income. you look what happened where treasurys were not the most loved child in the family at this point. we started to see prices drop, yields began to rise, all because we know the fed is not going to move, at least for the first half of 2015. i would believe that's maybe the reason but, what did you make of the behavior of treasurys today? >> well i think, as much as you talked about the equity markets getting to an oversold position, treasurys had gotten to very

overbought position, 10-year got down to what, 2.06. even at 2.13 this afternoon you're at same level the market closed at that hyper volatile day on october 15th. we're still where we were then. that is pretty much the range for the year with overbought kind of position with elements of flight to quality built in there. liz: if you have treasurys in your portfolio, for example, keith mccullough, who comes on the show, he is very bullish on 30-year and it has been a good trade until now. would you stay in there? is this just a blip today? >> no, i think you will start to drift higher. you do get paid a little bit. i think unless you're trading it or unless you have specific liabilities you can match off against it at these yield levels. there is not a lot of positive risk return on owning that long of a bond at those yields. david: oliver, we saw a stabilization of oil prices today. about flat today. in fact it was trading a little down after-hours but it again

seems to have found a floor. it might be just temporary, it might go down again but is it time to be picking oil stocks? >> yeah i think it is the bottom line that $55 a barrel is way overdone. the global economy is not slowing to the point of recession where that is justified -- david: even though abu dhabi said they are ready for $40 oil? >> they're ready for it but that doesn't mean where it should be priced. 107 was probably too high. 55 is too low. 75, $80 a barrel is where it needs to be. having said all that, companies like exxonmobil, decent dividends, great growth outlook and beaten down and great core holding for your energy portfolio. no question about it. look at some large, blue chip, well-established companies and keep in mind you need to hold them the next few years. this is not a trade. liz: then we're not speaking to dan stesich's language. he is watching trade. saw 38,000 per second.

let's talk quickly though about where you saw the flows today, dan. i'm sure they reversed and changed course a couple of times, right? >> in the beginning of the day you saw a steady flow coming in and off a little bit right prior to the fed meeting. you talked about that bounce and pullback on the fed meeting but since the fed meeting and news conference the market has been nothing but up. a lot of buying coming in the market. think that is a result of people not only getting out of the markets but say maybe i shouldn't have got out. i'm getting back in. liz: yeah, i would think. david: john let's talk about rate hikes. yellen gave a little indication, sometimes there hint here and there and sometimes we can overdo it with the hints, unlikely to have a rate hike for the next couple meetses. i believe there is meeting in january and one in march. a couple of meetings would bring us to april fit fifth. is it consievable that we could have a rate hike as conceivable as april 2015? >> yeah i think the consensus

talk is june or july but april, you have to have a couple things go your way. cumulative christmas season look good. don't repeat winter for those of us in this part of the country, please don't repeat last winter f you get that kind of news and, she said many times that they're very data dependent. so if you get data coming out of the winter that looks good you will start to see housing starts pick back up. retail is good over at christmas, you could see it as soon as april. in fact if somebody gist me the option with the right odd, somewhere up two to one or three to one, would i take april over june. david: all right, we've got odds there. liz: i like that. april over june. >> i'm the one getting the odds. david: we'll give them to you. liz: oliver pursch, john donaldson, dan stesich. thank you very much. david: joining us by phone, someone can tell us by phone what is going on inside the fed.

jon hilsenrath, "wall street journal" chief economics correspondent. jon, i can't stand parsing language, considerable time, but you did say considerable time would be removed but didn't say definitely but suggested it. are you surprised kept it in at least once. they changed it one time but kept it in once. >> they tried to have their cake and eat it too. they changed their guidance and said they would be patient before removing accommodation which is signal rates they see interest rates coming next year and didn't want to freak the people out and make people think that meant they would move in april say. so they put the words back in there saying the new words, patient, don't really, they aren't any different than the old words, considerable time. it was, a bit of an odd approach you might say. liz: well we did see a little bit of a revelation. she revealed, janet yellen revealed, yes, russia is playing is playing into how they look at

potential rate hikes. because it gyrated so much. it is showing severe weakness not, and she was sure to say it, not that it would affect our banks, she doesn't believe there is direct exposure but if there is in europe and europe swoons and can't buy our products there might be an issue, do you think that changed between december 8th when your article came out saying they would take out considerable time and today where they kept it. >> no. there were skiddish group of people. there were three dissents at this meeting, two hawks, one dove. what we discovered today she is having a real challenge building consensus among this group of people. what happens in situations like that is, you get these, these unusual formulations in their policy statements. we've seen this before. it is a sign of the skiddishness that they feel about what would amount to a very historic move when they finally start raising rates. david: by the way, even when they do raise rates, whenever that is, rates will still

probably be below the rate of inflation, as low as inflation is. do you see that changing anytime? because that's the core of the unusual situation we're in right now? >> right, well, so, you know, their projections show that they expect, short-term rates to get up to a little over 1% by the end of next year. so that's still below the inflation rate that many of them are projecting for the year. david: savers in the united states are still getting hurt. they're seeing their savings chipped away at by inflation? >> unless they have their money in the stock market that's the case. liz: that appears to be the original intent of keeping rates so low to get people into more riskier assets but now what, jon? do you get the sense, suddenly she is throwing out 2017 when rates will be quote, normalized but when? you just heard john donaldson perhaps he might expect april versus may. there are all kind ever bets going on. >> i think there is a lot of

uncertainty right now but you know, i mean here's what we know. 15 of the 17 people on that committee expect the fed to start raising rates sometime next year. they expect median estimate is for a rate a little over 1% by the end of the year. what that implies is, they start sometime around the middle of the year and move it up in small increments for the last four meetings of the year next year. still leaving rates very low. and then there is a huge divergence of opinion as you look out to 2016 and 2017. i think that reflects their uncertainty about, about economic outlook and how they need to adapt to it. david: jon, we have got to go and i know you have a deadline but i have to ask a real quick is there a difference between bernanke and yellen that you've seen? >> i think yellen is a bit more methodical which is why today's move was a bit of a surprise. you know, she has taken every

step that they have made, you know, in very careful fashion. i think, you know, bernanke was more of a blue sky guy but she is pretty much sticking to his approach of trying to bill consensus on the committee. liz: great to have you, jon. i'm sure it was a pretty interesting meeting in there. >> sure was. liz: jon hilsenrath. david: coming up word games with huge ramifications. we'll have much more on today's huge fed announcement and whether -- liz: looks like might be a considerable time before sony releases the controversial movie, "the "the interview." is sony between a rock and ruthless dictator? david: who benefits to stand with cube peace announcement of stop? who will be left out in the cold? we'll have the the answer. ♪

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david: stocks emimmediately popped after the fed statement over 300 but they pulled back a bit when they saw language a little bit tougher about when to decide to bump up borrowing costs. >> so has the word patient now introduced mean the same thing as considerable time when it comes to keeping interest rates

low? joining us jeff clevelanded, payden & regal chief economist. jeff, how did you interpret the introduction of the word patient? >> good afternoon, liz. patience or the act of being patient, i think is different than considerable time. considerable time is this calendar period of time between now and a rate hike. patience to me means data dependence. the 734 word in that statement, liz and reduce it to one sentence and if things are moving in the right direction we're going to hike rates. that really all that means. until that time, they're will to be patient but they things will be moving in the right direction at some point in calendar 2015. i don't know why they couldn't say that. david: is there anything about the interest rates that are below clearly pain you if you recall for americans noll did,

painful for americans not invested in the stock market. we see how painful this period is when you look back at 40 years to have interest rates below the rate of inflation. isn't that a problem long term? don't they have to reverse that? >> i think they will reverse that over time. the problem i have, david, if i exclude energy i exclude food and i exclude shelter, other than that i don't see a whole lot of inflation. >> other than the things that everybody has to have that you have no choice about having. go ahead. >> well, the reality is, they can't do a whole lot about shelter because it is driven around by the supply and demand of apartments and rental costs. the fed isn't going to hike rates because of that. energy has actually plunged. so that is really not an issue as far as inflation. liz: exactly, jeff. net-net it is a wash. david: not for the average american. not for the average american. liz: when you lose that much in your price of oil that you have to pay at the gas station, some of that then getting to go pay

for higher food costs but what do you look at when telling your clients what to invest in, knowing that we're not going to see rate hikes for the foreseeable future? >> well, what we're telling them we may see rate hikes if inflation in the words of yellen, heads back towards 2% or the fed is reasonably confident that we're heading towards the 2%. we're not there yet, liz. we're still below 2%. in our estimation we look out over the next few months i see more, sorry to say it, david, i see more down war pressure on inflation rather than upward pressure. david: yeah. >> and that he's really what this hinges on. this will be patient until then. david: what is the -- one of the purposes of the federal reserve is not to create inflation. it is to maintain the value of the dollar. that is the prime function of the federal reserve, not 2% inflation, but stability, monetary stability. >> yeah. david: meaning zero interest rate, excuse me, zero inflation rate. isn't that the goal of the fed

rather than this 2% figure which means, average americans are getting hurt? >> if you take a nice little tour of history, david, the real role of the fed is to stop panics, to stop panics in the banking system, to, lender of last resort. they did that in 2008 and 2009. this whole mania about inflation forecasting and inflation targeting of 2%, that came along way later in the last couple of decades. so i would agree with you. the original intent was to prevent panics and the mandate of the fed has evolved over time and, actually, david, they have proven pretty well, they can't hit 2%. we've been below 2%. david: actually, you're right. >> for 70 months. they're not even doing that. >> jeff, you're here to make us richer around smarter. do that. >> liz, liz, we still like the bond market. our clients -- liz: which part of it. >> our clients are in fixed income. i actually think the front end may rise next year as we, the

market gets worried about rise in interest rates. you saw that today, liz with the movement of the two-year treasury yield. but longer term interest rates, i'm not sure they have to go zooming higher. i don't think they have to be significantly higher. if we don't have inflation, if the fed is going to be patient, meaning they do hike but maybe they take it easy and slowly out over the next couple years your longer term interest rates don't have to be dramatically higher. david would point out, maybe we go back to 3 to 4% on longer term treasury but we don't have to be dramatically higher than that but bond can be a place, liz for clients to find income. it is still a good time for that where we stand today without inflation on the landscape, in the macro landscape let's say. liz: thank you, jeff. david: smart guy. he had the word patience in his note which came utterlier today before the fed announced it. he nailed it. >> jeff cleveland. david: well the u.s. and cuba

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david: so the fed basically kept their policy the same. let's bring in our panel. johor wits and former indiana governor and former u.s. senator, we prefer above, evan bayh and john tamny. pleasure to see you all. todd, first to you, what do you think about the fed decision? market clearly saw it as positive. >> the market saw it as a positive. i think as i said all along the fed lost their way.

i don't think they're doing what is best for the market. they're trying to bail themselves out and they're really stuck where to go next. the easy way for them to keep the stock markets happy which is not their mandate. that is what they continue to do. they used patience with considerable period of time which exploded market. now they're forcing everybody to be in the equity markets instead of going into savings account. david: governor bayh, wall street loves what the fed is doing. clearly we've seen that the past couple years. what about main street? >> well, main street, david, will enjoy for those who are invested in the markets of course, they will enjoy higher stock markets. main street also benefits in terms of trying to undergird the economy with more rapid rates of growth. that's the main thing. businesses expanding, more hiring. real wages beginning to rise. that is the main takeaway for main street. my guess what the fed well do, take a little longer than consensus, second part of next year, we'll see gradual increase in rates and normalize in the

next 2 1/2 years or so. david: john tamny, a lot of people say the fed is one of the reasons that the market has been so slow in recovering. what do you think? >> absolutely. look at japan. they kept rates low for the longest time and never got a major market rally. what the fed should do is not to raise or decrease interest rates. it should float the short rate for credit. the most important price in the world other than the dollar is the price of credit. so when the fred presumes to set it, it presumes to centrally plan it which is antigrowth by definition. it is actually robbing the stock market of a lot of long-term growth i think. david: okay. i want to move on to the number two news story today which is the president announcing his plans to end the economic embargo of communist cuba saying normalizing relations will help cuban development and u.s. businesses. is he right, governor bye? >> i think over time that is a natural economic relationship with the island being so close to south florida but there is a long way to go, david.

i mean some europeans and canadians have been investing there but it take as pretty strong stomach and pretty high appetite for risk as long as they're totalitarian communist country without contract rights or property rights or courts to enforce those rights. over time it may be a long journey. david: agree with the governor. when i was there there was this economic apart tied system they have. the pour rinners and canadians an spanish building do very well, but local cubans don't have the same rights as foreigners do. >> anything that opens up relations and trade between the countries is a beautiful thing but what has to be stressed you can't trade if you don't produce first. what is essential that cubans are freed up economically. barring that, these agreements aren't going to mean much because aid will not help them, freedom will. david: and, todd, the president says look, communist china, has a communist political civil but pretty open market system but

cuba is not china. i've been to cuba. the citizens of cuba don't have the same rights to start businesses that the chinese do. >> that is correct and which it will do, i think overall it's a good thing because it will free up and help some of our shippers and guys like that but the at end of the day they are still a communist place. that is worse than china you're saying and they don't really produce. we produce with china because they give us production. cuba doesn't really produce anything. david: governor, you know what bothered me the most about what the president was saying talking about values in same context of raul castro. the raul castro took out his pistole and shot in the head their only crime was capitalists. he was literally a executioner. this is a guy we're doing business with. >> we shouldn't hold up the castro brothers as modest. raul is getting along in years. he wouldn't be around forever. the long game, after they're gone will there be political reform as one of the guests was

saying with greater freedom, economic rights, political rights, property rights. this will be evolutionary process. it will probably not lead where anybody wants it to go as long as raul castro is in charge. >> think you're right about that. senator elizabeth war return says best way to stop crony capitalism to make the government bigger at least in regulations. did sony cave in when it canceled new york premier of "the interview"? liz? liz: a new film shaping up be a big hit at the box office. making more than 11 million in one night. what movie is that? we'll tell you next. as david talking about, u.s. and cuba beginning to normalize diplomatic relations. why we marco rubio as they call it in france will be detrimental to the cuban people. alibaba founder jack ma made more money than anyone else this year, increasing his wealth like that, by $18.5 billion.

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...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 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. liz: the latest final installment in "the hobbit" franchise, the battle of the five armies, shaping up to be a

huge hit over the holiday season. the movie opened nationwide today and raked in 11.2 million just overnight, matching first night performance of 2014's biggest movie, "guardians of the galaxy." this is a very good sign for time warner and improvement on the series last movie, desolation of smaug, which earned 8.8 million on first night premier. definitely bested that. time warner's stock ended up more than 2%. a lot of stocks were up today. david: i will probably still watch it. senator elizabeth warren says the best way to end crony capitalism is making government stronger. having regulations empower crony capital its at expense of small businesses. back to our panel. john what do you think? >> to me big government is crony capitalism because insures closer relations between business and government. the only way to get rid of it reduce the size of government so businesses are free to succeed

and free to fail. failure is the path to economic growth. if you don't individual, you don't have growth. david: governor bayh, one thing i'm sympathetic to in liz warren's comments she is against bailouts. here is what she said on the senate floor, instead of passing laws that create new bailout opportunities for too big to fail banks, let's pass something, anything that would help break up the these giant banks. does she have a point? >> well, her point would be if some of these institutions get so large that they threaten to take the rest of the economy, or a lot of innocent people down with them, then is a legitimate concern for the rest of us, who are innocent bystanders. however most of the time the market ought to be allowed to operate on its own. the government should stick to providing rules and regulations that provide for transparency to make sure the markets have facts they need to operate on but her one point is, if they want to take bets and fail and go down themselves that is one thing but shouldn't be allowed to take everybody else down with them.

>> by the way, todd, governor bayh, for that don't know was a democrat extremely pro-business. never raised taxes. got rid of a lot of regulation in the state of indiana. one thing elizabeth warren wants to do i have suggested from time to time is go back to the old rules about banking where you separate, you put a wall between commercial and financial banking. it was called glass-steagall. are you in favor of that or not? >> i don't have a problem with that at all. i don't want bigger government. i don't want more involvement. i want them to go away. they're creating problems even now. but it is the government as we see with the post office and other things going on. they do not know how to run a business. let businessmen fail or succeed on their own. david: i don't want another bailout, that is the bottom line. meanwhile did sony and theaters pulling "the interview" cater to terrorist demand? governor, what do you think about this? some demands by the hackers were becoming terroristic in nature.

>> i think sony should have produced the desolation of smaug, rather than "the interview," that's what is sound like to me. they did cave in to these threats. they probably had no choice. if there was remote possibility people would die because of a premier after movie that is not another risk you want to run. if you did and something terrible happen and sued and company's viability would be at risk. unfortunately by the reality. david: todd, isn't that essentially a declaration of war, if we can prove north korea did it, liz had a guest last hour pretty much determined it was north korea. if they pull off a terrorist event, isn't that an act of war against the united states? >> i think it is 100% act of war. we have to react. david: how, how should we react? >> i don't understand how the army or government react to it but this needs action because we can not shut down anything based on a threat. we need to go after that threat and deal with it, head on, face first. david: john, what do you think about theaters pulling out of

this? >> i think it's a big, big mistake. if we'll cave to inconsequential country or terrorist from inconsequential country like this we have major problems that extend well beyond north korea. sony owes share holder's profit. it should have the premier to promote the movie as much as possible. david: thanks, guys, very much. good stuff. good to see you all. liz? liz: the fallout really continues when it comes to sony. david just asked, what should be done? well what is going to happen at the company to save its brand and its reputation of crisis management expert is here. he is going to weigh in. he has some very harsh recommendations next. and blackberry bringing it back to basics and going old school with its new tee vice. will -- device. will it lure you a potential customer, to go back to blackberry? more on that coming up. ♪

liz: between leaked emails, lawsuits worth tens of thousand of dollars and possibly millions, threats against theaters showing upcoming movie, "the interview," and now reports of screening cancellations at the four biggest u.s. theaters,

hostile hack attack against sony has turned into some people are comparing it to a terrorist attack. people are now saying, at what point do you staunch of flow of disasterous information coming out? what do you to save sony's reputation in all this? joining us mike paul, one of the leading pr and management companies talking about what steps sony must take to repair its brand and the steps that need to be done. what is the first thing you have to do. >> amy pascal. got to go. liz: sony pictures entertainment. >> change the culture and talk about the hack and also human behavior and people are more focused on human behavior portion of it. what we're looking at right now with the theaters is fear is changing our behavior to be fearful going into a theater. that is very different than looking at an email. a lot heightened more heightened as behavioral problem. liz: what is so bad about what she has said in some of these e males? she argued forcefully to get a

certain movie made about steve jobs. >> yes. liz: she didn't disagree outright with scott rudin a producer about angelina jolie being a brat but she didn't chime in either. she seems to be trying to please a lot of people, said a few ridiculously lame things people termed racist but is that worthy of jettisoning a 30 plus year career. >> we hear so many people who lose their jobs because of reputation. the key here is trust. we have fear replacing trust and that's a big problem. you have a morale problem within the corporation. it is not just her. you have litigation now growing on a daily basis. you have over 6,000 pieces of data that could be used in an edward snowden type way, leaking out over the next year. we don't know what is going to happen. but most importantly the japanese leaders of sony had big concerns, not only about the movie but about her leadership before this ever happened. there are some big doubts. i don't think she is going to

survive. liz: let's say she goes. that doesn't change the fact that these nefarious evil people who have hacked sony are still sifting through thousands and thousands of emails and releasing stuff ike, i'm calling it korean water torture, forget chinese. each day, sometimes twice a day comes out whether channing tatum or kevin heart or scott rudin, you name it, seth rogan. but again that doesn't change the fact that now a move very can't be released. and sony allowed theaters to say, we're back out? >> you need a change agent ceo with the type of contact amy has but has ethics, morality, decision making that could help turn the tide. they have to change a culture that has been leaking like this for a long time. at least you have with a new leader someone who could say, that was not on my watch. changes are happening now. >> next, so the next time another bit of email that has released with amy pascal involved sony can chichi she is

gone, what else have you got. >> that's right. liz: dealing with hacking threat but if you set example for other movie studios by canceling release of a movie, anyone can say i don't like movie of deer hunter or movie about the vietnam wore that could end up winning oscars because of its quality, you don't want to squash free speech. >> before i came on air, looks like sony is leaning to one of the ideas streaming it sometime soon f they do that not only an excellent experiment for sony but an excellent experiment for all of hollywood and get their money back. liz: streaming the movie the interview, they cannon mustily download it and watch the movie and get eyeballs, correct. >> we need to call content, just that. whether it is tv or it's a movie you get to choose where you want to watch it. time for hollywood to take this opportunity. liz: yes or no, at this time next year will we still be

talking about this, mike? >> we'll definitely talk about this next year. i think amy pascal will be gone before valentine's day. liz: we'll see. mike paul, the reputation doctor. we appreciate your expertise. >> thanks for having me. liz: david, over to you. david: mike is the best. oil seemed to firm up a little bit today. so has the price of oil hit a bottom? chairman and ceo of oil and gas producer wnb offshore tells us what he thinks. that is coming next. we're keeping you ahead of tomorrow's market moves with the number one thing you have to watch. it is tomorrow's trades today with our buddy todd horowitz. coming back. stay tuned. >> hi, i'm gerri willis. coming up on my show at the top. hour, the federal reserve comes to the rescue of wall street again but what is it doing for the rest of us? that is one of the big stories coming up on "the willis report" in just a few minutes.

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gold. quarters. quarters...yup. then amerivest gives me back their advisory... stocks. fees. fees. fees for those quarters. yeah. so, i'm confident i'm in good hands. for all the confidence you need. td ameritrade. you got this. david: blackberry bringing back some old school charm with latest device, the classic. >> liz: this is mine. but is a new smartphone enough to bring back blackberry's lost business? jo ling kent back from today's launch in downtown manhattan. got it in her hands. >> check it out. this is the blackberry classic. this is what they hoping will revolutionize everything. take a look at it. it is really cool. it has a bigger screen. liz: i will put mine next to it. i don't know what is on there. >> just the menu page.

you're good. also has a longer battery life. 22 hours. you know what that's like when you're reporter, you're an anchor, you need the battery life. here is the thing of the it is not available in time for christmas. early next year. $449. that is a pretty high price point. wow. discounts with various subscriptions. >> with at&t and verizon i'm sure. what is so interesting about this they're really trying to target the enterprise user. liz: screen is beautiful. much better than the junkie stuff from the original. they have come backswing but kept the getter at this keyboard >> the keyboard i can't live without. what they don't really care about the consumer. as much as this screen is better, it actually isn't optimized for video or videogames. this is for the lawyers, bankers and business people. david: you can touch it and move it on the screen. >> they have it in the bold. they have got it there too. they optimized a little bit. very interesting play by ceo

john chen. maria bartiromo asked him earlier what did he learn in the entire year long process. this is what he said. >> the customers are willing to try new things. they really talk to you. if you do the things they want, that the interfaces we talk about, the security, the power and so forth, then they will give you a chance. so i learned a lot. great to speak to all these people. >> here is the comparison you to know though. this blackberry is only anticipated by morgan stanley to sell about eight million blackberries total in the next fiscal year. liz: do you believe that? >> it's a tough number. they did it already in the last fiscal year. they probably can hit about the same number, eight million. but here is the perspective, guys. apple in the previous quarter, they sold 39 million iphones. liz: samsung is huge as well. >> huge. liz: htc. >> shaw me is on the way up. >> a lot of people bought into samsung are switching back to something they used to use but there may be a market for

blackberry. >> absolutely. john chen very confident. volume in the presales very good so far. liz: we'll see. i kind of like that. >> i know. fun to hold, right? and thin and light. >> jo ling kent, got the first view of it. appreciate it, jo. another busy news day on fbn. here is a look back at chairman and ceo of oil and gas producer wnt offshore with his oil price predictions. >> how long do these cycles typically last from your standpoint? >> last time that we had this cycle, we saw prices drop from you know, 145 to $35 and quickly went back to $55 and then to $70. then started to march up over a long period of time and stayed around 90 to $100 a barrel for quite some time. that upwards cycle can last for years of the downward cycle lasts for a few month but the

upward climb can last for years. >> my interest in cuba is not economic. my interest in cuba is democracy and freedom. let the free cuban people choose what democratic, what economic model they want to follow. nothing the president has done here will advance the cause. on the contrary i think it will set the back. what they have done is provide ad lifeline for this castro regime to make itself a permanent fixture for decades to come. liz: catch all of the interviews on foxbusiness.com. david: time for the number one thing to watch. we brought back todd horowitz, average joe options.com founder. what is it, todd? >> two things but combined into one. what happened with fed. was this a dead-cat bounce or real rally but the real story is still oil. creating a battle war, a financial war between russia and us and they're now starting, opec is pushing around trying to put the u.s. out of business and trying to put russia out of the business. that is the key. if oil starts to plunge again i

think markets will really start to go lower. although we may think it will be a tax cut to the citizens it really not. it will cause problems. liz: my heart is not bleeding for russians. there could be domino effect we'll see but could be not raid the by the fact that people have more money in their pocket for other things. >> middle class is still in recession. we're still not out. we're using things for food and not luxury. not discretionary. the real problem if opec starts to really squeeze, we're in trouble. liz: we have breaking news. sony officially canceled the release of the movie, "the interview." the comedy starting seth rogan and james franco. the news was expected, considering that theaters have backed out, david. so this is a situation now where they have been really pushed by the hackers. david: i think it is awful. again you may find, may find some solution in terms of streaming the stuff online that will lead to know harm but i

think absolutely awful they were terrorized literally into doing this. that should not happen in the united states of america. liz: we'll have much more on this as the news continues. but todd, thanks, "the willis report" is next gerri: hello, everyone, welcome to the "willis report." i'm gerri willis. you can forget the santa claus rally. december's big market booster, janet yellen. stocks soaring today, snapping a three-day losing streak as the fed's easy money policy just keeps rolling along. what happens when that party stops? we're asking gary kaltbaum, owner and president of kaltbaum capital management, and peter morici, economist and professor at the university of maryland. on and on we flow here, guys. i'm surprised that the markets didn't react more postively although we had a 300 point gain at one point. what is your reaction, gary? >> i think it's the same old-same