tv After the Bell FOX Business April 15, 2015 4:00pm-5:01pm EDT
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growth numbers. [closing bell ringing] this stock is notorious for being very volatile the next few trading days. liz: a little bit of a punch from intel. bells ring on wall street. let's look and see how the stocks stack up. dow jones industrials off the highs of the session. at one point we were up 124 points. after the fed's beige book came out the regional indications how different parts of the country are doing. you see a good number, up 71. zap up by 10. russell 2000 up a full 10 points to 1275 on this record day, david. david: gem bowen said we may be in a boom. he is kind of a hawk. conservatives see that good rise for the market. "after the bell" starts right now. david: let's get right to it on this record breaking day. we have zack shepard, who will
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tell investors the best way to hedge their bets and how to protect their portfolios. wise to look at things at record highs. fort pitt capital charlie smith will talk about the s&p and how to profit from movement. alan knuckman. food to see you, alan. are there any dow dogs might move up with the economy as jim bullard says will happen? >> at these levels, hard to find stocks you want to buy into. i think market is moving higher. how it gets there and what stocks haven't participated are attraction for me. two stocks, walmart, head-to-head rally. between 70, 80, rallied for the 0. now back to the 80 level. i don't think there is a whole lot of risk for walmart in a long-term position. i like mcdonald's. mcdonald's broke out at 97 level. target is 103. a nice push to 120. mcdonald's is using pricing power.
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there is dollar and more menu. they have been raising prices sneak illy. that is 20% gain. they will have better revenue numbers. liz: better revenue numbers. today, whatever pushed markets higher, whether it was the beige book that basically blamed weather which means we have a coiled spring situation for next time around, charlie, i'm till really surprised. your s&p target is 2040. we're at 2106. you're a good 66 points away from that yet you're sticking with it. why? you must feel we're going down? >> it is 60 points. not talking about a huge move here. i guess the big question from our perspective is, the first quarter decline in s&p earnings we saw, estimates fell basically 8%, between beginning of year and today. if that trend continues for the rest of the year we think it will be tough going. the macro reports on the economy have been awful the first quarter. we got fourth consecutive miss
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on industrial production today. i think macro environment, we'll need to see a quick change and quick improvement in the macros to get earnings to continue to rise. david: zack, say you're kind of worried about the height that this market has gone, even though there are good signals. if you want to hedge your stock bets, what kind of fixed income bets look good to you? >> if you want to hedge the stock bets you don't buy a hedge fund per se. hedge with short-term high quality fixed income. you don't want to make bets on long term maturities with fixed income. you get burned when interest rates start to move. you could lose massive amounts of money. stay globally diversified. 12,000 companies all over the world. if you hedge bets, rebalance on the highs and lows. liz: i want to say netflix is out and as we're parsing numbers we need to look at the stock, jumping in the after-market session. it closed at 475. it just printed for a bid, 509
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and moving higher and higher for the bid of the ask is 510. don't want to give you numbers. we want to make sure. we would rather be right than late. we do know that they're out. as we look at reaction, alan knuckman, what do we see with netflix to really understand why this is moving higher? >> i think it is important to notice some of these stocks that had been big momentum stocks come back into vogue. netflix is one of them. this is trading between 300 and 480 most of the year. now back to the upper end of the range. there is a lot of action way out of the money call options for april which expire on friday. someone had inclination we'll have a big bust to the upside. so the options market only priced in about 9 1/2% measured move. we're getting a little bit, i haven't seen the percentage here, we're getting a little bit of a bounce. liz: bid is 514, 517, 518 and climbing. >> here we go.
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can't fight momentum. that is what it comes down to. david: hold on. go ahead, charlie. >> oversea subscriber growth, with number above two and a quarter million for the first quarter, that may be driving the stock. that is number to look at, overseas sub-growth. david: charlie are you concerned what is happening overseas? we had boom based on money printing. they're doing what we used to do, what we may continue to do at some point in the future. is that bubble going to burst at some point? >> as you said, it has been a boom but a financial boom. the real economy is just finally starting to get some traction. that is a concern we have. once we leave this realm of experimental monetary policy, nobody knows what's going to happen. it is entirely new realm. so the level of opaqueness, the level of artifice in the economy, if you will, is something that concerns us. if the fed decides to raise rates by quarter point in september, october. no one knows what response of
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market will be even though the economic response might be good. liz: don't want to get off this, now we're looking, the bid is $521. the ask is 522. with closing value at 475, i'm just wondering -- david: that is a 10% gain. liz: you have very, very nice stuff here. i'm looking at the release actually at this very moment, david. there are a couple of things. we're not quite ready to go with these numbers. they're saying they add ad record 4.9 million new members globally in the first quarter. david: wow. there you go. huge number. liz: 4.1 was their forecast. that was a huge number. the total global streaming membership, 62.3 million. >> yes. liz: jo ling kent has these numbers. jo? okay. she is still going through them. >> we have right now 77 for eps. that is beat of 69 cents.
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we're still going through for revenue. you're right a record, 62.3 million subscribers in the u.s. they gained 2.3 million u.s. subscribers. that beats the 1.8 million u.s. subscribers they were expecting. we're looking at the international numbers. they added 2.6 million subscribers. that is just above the 2.2 the street was looking for. a good beat on eps, 77 cents a share. liz. david: alan, do you think this stock will hold up tomorrow? 10% gain. netflix is changing rules of the game, about television, what it is, how it is delivered but will it stick with a 10% gain tomorrow? >> that is exactly what the market priced in, at the option money straddle today, that is what options markets were predicting. 10% up or down. david: alan, sorry to interrupt. we're getting breaking news on netflix which may help to explain more on the stock. the board is doing a stock split or suggesting they may do a
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stock split. that. may help them as well. >> that helps in perception dealing with a hundred stock, people think there is not much upside. it works out the same. twice as many shares at lower price. this is important to use this as indicator a lot of those stocks like test last, netflix that fell out of favor a long time, momentum is back in play. that can be very much positive. liz: here is breaking news. netflix is saying that the strong dollar hurt their numbers to the tune of had -- 48 million, everybody. it negatively affecting international segment revenue, lower by 48 million. that carried into 15 million negative forex on contribution loss. they like apple not figured out or proctor & gamble, how to handle the strong dollar. thanks to zack shepard, charlie
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smith, alan knuckman. rock and rolling day things to netflix. who could surprise with a beat and who could fall hard? with answers we have the sri rahman, with unbelievable record. we always bring you back. netflix that was a surprise. >> that's a great surprise on the upside. as you said a lot has to do with international growth. that is hurting a lot of s&p 500 companies. because of international growth a large part of revenue coming from international companies. liz: where? europe? >> europe, china. for netflix would be europe predominantly. that means strong dollar hurt earnings in the u.s. liz: everybody ramped down, every ramped down expectations for this particular reporting quarter. >> right. liz: were they trying to underpromise and overdeliver by lowering the bar so much? >> they have done that quite a bit it past. where we're expecting earnings to shrink by 2.9% in the quarter that is the first time earnings shrink since first quarter of
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2009. put that in perspective, been a long time seeing earnings shrink. that is because of energy sector and foreign exchange headwinds. that is pretty stunning quarter. liz: netflix saying the strong dollar hurt their numbers. proctor & gamble has said so, many others, dozens and dozens of companies, not just this particular quarter but last quarter. no one should be surprised companies have trouble hedging againstdollar. where are the strong sectors this time around? >> strong sector is financials. liz: why? >> let's hedge that with bank of america is the big reason for that. last year in the same quarter they actually took a big charge. they had easy comparables this quarter. if you take out bank of america, financials grew by 4.6% this quarter. much lower growth rate if you took out bank of america. that is better than some other sectors. discretionary with growth rate 6.9%. liz: talk about earnings winners
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you foresee? >> we see two big winners and losers thisser we picked to talk about. one is united airlines. lower oil prices is one reason. >> they will be a winner. >> they will be a winner. not just the oil prices. keep in mind united airlines is very conservative in increasing their capacity. their load factors at 84%. compared to some of their peers that is much higher. thanks to conservative approach increasing capacity they will be benefiting. >> you have paying of dividends. you picked carlisle group as winner. >> carlyle group is expected to be a winner. smart estimate above concensus. we expect private equity group to do really well so do other analysts. they have no exposure to energy sector. that is expected to help them this quarter because all the groups invested in the energy sector are taking a big hit. liz: if you pick out two laggards that will happen this time around, what would you warn
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investor viewers this time? >> we have rpc incorporated. they service a lot of oil sector companies. with number of rig counts coming down, it is tremendously large amount, we're seeing incredible competition. these prices, these prices they're slashing for their services are, we haven't seen these kind of prices. their margins will fall tremendously. liz: poor demand. chubb corp. >> we expect them to miss this quarter also. recently they came out with a $250 million charge, catastrophe loss they're expecting this quarter. severe winter really affected them. cited nine severe winter storms or events that will affect their earnings. we have nine analysts far below consensus. we have bold estimates. five-star analysts far better than the average analyst and they're better than consensus. liz: we'll put his picks on
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facebook -- fox business facebook.com/fox business. david: netflix is up 13 1/2% from where it closed. we'll keep you abreast with netflix stock. it is going to the moon. a florida doctor indicted in connection with senator menendez with medicare fraud. could your doctor force you to pay more for services to so he could get paid more by medicare or a private insurer? liz: millenials have $2 trillion in assets and they're starting to put it to, work but where? a five-star fund manager tells you how to profit as this young generation grows up. david: fannie mae starts another program to help homebuyers with housing costs. is it time for the government to pull back on subsidized housing? liz: they may be called kind bars but fda says they may not
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be so kind to their waistline even though their labels say they are. details ahead. david: what? if legalzoom has your back.s, over the last 10 years we've helped one million business owners get started. visit legalzoom today for the legal help you need to start and run your business. legalzoom. legal help is here.
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you're blindsided for a second time. they won't give you enough money to replace your brand new car. don't those people know you're already shaken up? liberty mutual's new car replacement will pay for the entire value of your car plus depreciation. call and for drivers with accident forgiveness, liberty mutual won't raise your rates due to your first accident. switch to liberty mutual insurance and you could save up to $423 dollars. call liberty mutual for a free quote today at see car insurance in a whole new light. liberty mutual insurance. david: congress is preparing to repeal the death tax this week but the president says he will veto the measure. on this tax day, which tax would you most like to kill? let's bring in our panel. we have peter sutter from
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"reason" magazine, todd horowitz, average joe options dot-com founder, gary kaltbaum, kaltbaum capital management. that is gary kaltbaum. we just saw todd. peter, first to you, we lost peter. that is why we're having trouble. gary, we'll go to you first then. let me go through some of the taxes people hate. pretty much all the taxes. federal and state income taxes, corporate taxes, capital gains, inheritance taxes. sales taxes. property taxes what brothers you the most of all these? >> well i will start with the whole tax code which is 74,000 pages. that is obscene. it costs $400 billion to comply. believe it or not, 6 billion man-hours to comply. that is insane. david: i will push you, gary. i will push back. talking about the federal income tax. >> right. david: there are a lot of different things, a lot of proposals to kill it but in different ways. one is have national sales tax
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or flat tax which wouldn't kill it would bring it down to the bare minimum. which are you in favor of? >> i like flat tax, because is simplifies. i don't get how we have inheritance tax. this has been taxed and will get taxed again. only in washington, d.c. david: todd, double taxation is unconstitutional. >> it is. i would like to see state taxes go away to start. david: did you just call me don? >> no. what i like to see done don. the death tax is ridiculous. this is totally absurd. i would like to revisit corporate taxes. i think that is where biggest money. that is where we're missing the boat. david: do you think they will do something on corporate taxes, gary. we've been hearing something a long time. maybe the president wants to show he is somewhat manageable. that he can compromise a little bit, et cetera? >> there is a bull market in
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washington promises and talk and nothing getting done. i have been hearing corporate tax, lowing rates since i was bar mitzvahed. i don't think ever will get done there. i'm hopeful if we get that done, we can compete better with rest of the world. david: we want to hear from you folks. not just the expert panel here. what tax do you think we should kill? send us a message on facebook or tweet us @fbnatb. a florida doctor linked to indicted senator robert menendez was indicted on medicare fraud after receiving payments of $105 million over the past six years. is your doctor forcing you to pay more for tests and services so he can get more from medicare or private insurance. what do you think, todd? >> i think the whole system is a mess. when you look at the program, insurance companies beat down the doctors. the doctors beat doesn't patients. once again middle class, guys,
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patients getting it stuck to them. everybody tries to outdo each other on rates. this kind of thing is a lot more common than we think it is. david: gary, it is bad enough with private insurers, but with medicare you get screwed twice. one you're forced to pay more for tests you don't need and two, taxpayers getting it. >> we have a situation where government is paying out a trillion dollars here and there between medicare and medicaid and they don't have enough people watching over it. i think they opened up 2,000 probes in the last year but not much getting done. the fraud is out there. i don't think it will kang anytime soon. when you're giving out so much money, expect a lot more of that. it is unfortunate because there is a lot of wasted money and a lot of wasted time. david: todd, is obamacare going to make it worse or better? >> worse. david: how? >> it's a terrible program. it is not done right. not organized properly. always best is private sector, private insurance. go with yourself and take care
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of your own. david: gary, obama's supporters say there is stuff in obamacare that mitigates against the kind of fraud we're seeing this guy committed. >> oh, yeah, sure. since when is government oversight really fix anything up? look, let's hope it works. why? because the cost of it is abysmal. we haven't seen the costs. keep hearing how things are so great and obamacare is the best. all i know my premiums are up 40% last to years. i'm not happy camper. david: i have not met anybody, anybody, who said that their rates gone down or deductibles or anything. >> you're right. david: we'll see what happens. coming up fannie mae rolling out a new plan to help first-time home buyers but is the whole thing too risky? is it time for elon musk to give up on space? liz? liz: not healthy enough for uncle sam. the fda goes after a popular snack bar because of a single word on its label, that word,
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we're here to make healthier happen. optum. healthier is here. david: mortgage giant fannie mae at it fenn, launching a new program to encourage first-time home buyers with 3% rebate on value of the home which coverses already super low 3% down payment. let's bring back our panel. gary, we've seen this before, right? >> david, i feel like i'm watching one flew over the cuckoo's nest. the same people that created problem in the first place are doing it all over again. one of the top three reasons we got in the soup, when you hand
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out mortgages to people that can't afford it, enable them to get a house without any money down, when you have a 10% drop in housing prices, they're dropping keys off on the doorstep. you get in vicious cycle again. if you want problems you get problems. david: todd, thing we haven't seen quite yet, the thing coming search for yield is secondary market. that is when traders got in and whole situation spiraled out of control. people trading in bundled packages of these bad mortgages. >> instant replay. we'll call the nfl officials to get replay what happened in 2008. david: right. >> it's a bad situation. if you can't afford the house, if you can only put 3% down, how will you fund problems coming up with the house? there are a lot of expenses you have in a home when you move in. it is bottomless pit of spending money. david: peter, we missed you on the first round. we had some technical issues. "reason" magazine editor is with us. what do you think of all this?
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>> look, i think there are a couple of issues. one is always a problem to subsidize risky lenders. that is who the first-time home buyers are, if you never bought a house before, if you never gone through the process, that inherently makes you more risky. homeownership is a good thing. we have to remember this, is bad for people buying houses themselves. if they don't have money, if they are getting into situations where they don't have money to put down, they can't afford houses, that will get them trouble. not just systemic risk to the economy, to homeowners, people purchasing, to people this program is trying to help. david: if we have leveraging on top of that, packages traded by financial institutions, we're going to be in a lot of trouble. spacex may be in some trouble. it failed again to retrieve the booster rocket from the space launch yesterday. it did actually land on the floating platform, but the booster tipped over right afterwards. i think we have video we can show. perhaps we can do that.
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yeah, you can kind of see it. now you can't. is the third failure a strikeout or should spacex keep trying. what do you think? >> i absolutely think they should keep trying. we haven't even been in space, how many decades? barely half a century here that we've been in space at all. we've got hundreds of years, decades and decades of progress in front of us. this is a little bit of a set back. in fact they made more progress than they made before. this something is we should keep at to be excited about. we need competition, private competition to government funded space programs. david: think about wright brother, thomas edison had to try many times before they get it right. >> this country was built on failure. elon musk is tough guy to bet against. he is innovative. i think stick with it. i think worth every dime. at end of the day it is terrific and it will work out. david: gary, will he make it? >> probably. i love the guy. i have a big problem. why are we subsidizing him
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$278 million for his rockets? why are we subsidizing $500 million for tesla? he is very good at getting a lot of government money. i wish i was that good. david: let me ask you a final question, gary, does his business model rely on federal subsidies or could it survive without a lot of it? >> i think a lot of it does. now that he is a multibillionaire he has bucks to keep going. he will be successful whatever he puts in space. sometimes failure is food. you learn from it big time. david: gary, peter, todd, thank you very much. liz? liz: they may look like perfect snack but those kind bars which are popular are not healthy. according to the fda, some kind bars don't meet federal standards for having the word healthy on the label. one issue? saturated fat. some kind bars have 2 1/2 times the amount of saturated fat
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deemed healthy by the government. kind says it is working with the fda to resolve issue. if it doesn't, the agency the so-called healthy bars out there, i'm glad my wife makes our own bars, we get homemade at home. can you answer the question, i never understood why people fine act strack -- abstract art appealing. do you agree or disagree? the answer to this could decide whether you get your next job. how so? the answer coming up. liz: millenials have 2 trillion in assets. they're starting to put it to work. a five-star fund manager tells you how to profit as they start to spend. ♪ ♪ is it the insightful strategies and analytical capabilities that make edward jones one of the biggest financial services firms in the country? or is it 13,000 financial advisors
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liz: there are 92 million millenials in the u.s. right now. that is a staggering number. they control $2 trillion in assets. the figure is expected to grow to 7 trillion by the end of the decade. our next guest noticed the trend, since his fund has been performing and outperforming the s&p and its pierce to peers a five-star rating. his fund capitalizes on those brats born between the year 190 and 2000, right, bill? >> i don't categorize them as
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brats. i'm related to them. eight of our 13 employees are millenials and we love them. liz: i have two of them my own. i'm watching their spending habits but through my wallet. but nonetheless they are spending of this is a bigger generation than even baby boomers correct? >> yes. the previous spot you had, we heard fine and logical folks saying people should be really careful borrowing money to buy a house because of what happened nine years ago, 10 years ago, 11 years ago, when houses were enormously overpriced. we were about to go through a financial melt down. every financial meltdown causes a big reduction in household formation and causes people to be severely gun-shy. now what you have the most affordable housing of our lifetime. liz, you're a big warren buffett fan. he said four weeks ago if he
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could he would buy 200,000 single family residences. this is when the 25-year-olds to 35-year-olds should borrow the money. they are going to. there are millions of them. in the next 12 years we increase the number of 35-year-olds every year for the next 12 years. so what do -- liz: there are names out there who can really best capitalize on this let's get to some that you have pinpointed as the millennial madness names that could do really well because these kids are going to grow up to start using those products. what are they? >> well the first thing is, they're going to get married and have kids. they're going to need an automobile that fits car seats. and so, we own gannett, which owns cars.com and network affiliate television stations, your network included are a spectacular way to advertise automobiles. we do not consider our firm smart enough to figure out which of the 32 automobile
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manufacturers are worthy of your investment but we want to own businesses like gannett and comcast and disney that get the advertising dollars regardless of who ends up having the most success selling them automobiles. liz: you referenced warren buffett and you like berkshire hathaway. for people that don't know, there are close to 80 different businesses with subbusinesses within there but which ones make berkshire a real millennial value play? >> they're the second largest broker. largest maker of manufactured housing. they make carpet and paint. of course, the railroad transportation would be greatly benefited. let me give you a statistic that puts it all into light. in 1960, there were 180 million people in the united states. the worst session performing in house was one million starts.
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we had 325 million people now. we're supposed to be in the sixth year of economic recovery and we're just up to one million housing starts. the multiplier effect through the economy would be powerful. buffett is trying to make the fund an all-in bet. he owns wells fargo, the largest mortgage lender. fourth largest hold something bank of merge. i would love to comment bank of america vis-a-vis discussion last half hour on the show. liz: come back again. we've run out the time, but i need to let people know the snead value fund is stunning. you're up 22% over three years. up 17% over five years. congratulations. check out the snead value fund. smvlx. thank you, bill. see you next time. >> thanks so much. liz: david? david: what a fun guy. a lot of energy. looking for a job. here is hoping your personality can pass the test.
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why more companies use psychology tests to hire. why job-seekers are crying foul. that is coming next. >> we'll tell you what is behind a dangerous stunt and security breach on capitol hill. we have the details. don't go anywhere. ♪ at mfs, we believe in the power of active management. every day, our teams collaborate around the world,
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liz: fox business news alert. mario draghi, president of the european central bank recovering from a glitter bomb. serious. he was interrupted by a protester at a news conference this morning. watch this. >> it will under -- [shouting] >> end the ecb. end ecb -- liz: you just heard the protester shouting, end europe's bank dictatorship. mario draghi was unharmed. this is not the first time protesters acted out. iraqi journalist, remember this, throwing shoes at president george w. bush in 2008. microsoft founder bill gates, got pie in the face. then there was the pie in the face in belgium. newt gingrich was showered with glitter in minnesota four years ago, just to name a shoe.
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liz: if you take a pick, the glitter bomb. david: although pie in the face might be fun. more companies doing it, using online personality tests as primary part of the screening process. many job-seekers, say the questions are idiotic and the process is impersonal. are they right or does it work for businesses? "wall street journal" lauren weber wrote all about it. we also have a company that advices companies on the test. lauren, some questions seem very indirect yet their answer, really could make-or-break a job applicant's chances right? >> they're indirect on purpose. the original personality test, these have been used in the work place for hiring purposes for a few decades. the questions used to be fairly straightforward. now they're a lot more oblique. they kind of get at information in a much more round about way but that is so people can't
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really cheat on the test or guess what the right answer might be. david: charles, i have to ask you, i will say what one of the questions is, i dislike yelling but sometimes a little yell something necessary, that is one of the questions. if i getted a vans copies, somehow, which i'm sure a lot of companies will be able to do breaking into some system somewhere, can i cheat? could i answer a question like this maybe not the way i was planning to but with the right answer because i know what the right answer is? >> it is actually a lot more difficult than you might think. as lauren noted they make those questions, we, me, personally, and others with my same background make those questions purposely to disguise a lot of times what they're asking about. i think that the best thing you can always do is just answer honestly, to be quite honest. liz: that question, i dislike yelling but sometimes i have to, honestly, some people would say well, yes of course. let's go to the next one.
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lauren, you had this in the article. i have never understood why some people find abstract art appealing. for donald sutton, they're saying who the hell are you, what do you mean, not appealing? what is this question in search of when it comes to hiring an applicant? >> i will guess at this one because i'm not an industrial school gift. but there are five main personality traits that most of the personality tests are based on, openness. basically your openness to new experiences. ability i would say some extent think outside of the box. whether you prefer things more routine, more literal. i'm guessing a statement like this, which you're asked to agree or disagree with, how open are you to abstraction or non-literal types of experiences. david: charles, these things are not foolproof obviously. we mentioned one thing you could fake it somehow but there is another problem, you do get false-positives and some faults negatives. i'm wondering which is worse.
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to get somebody to hire somebody that turns out not to be what the test thinks he or she would be, or, to lose a superstar? >> yeah. that is a great, that is a really great observation and i think it really hits on the fact these tests work in two directions right? they help you find the best people and, eliminate some of the worst people. when that is not working well, you can end up in a situation where you know, someone slips through the cracks, or, where you actually miss a superstar. i think both of those can be damaging. liz: lauren, do these companies that are using this type of test, do they have hard data shows they getter employees through this or retain better employees through this? >> they do. many, many, companies provide assessment tests employers can buy to administer to job applicants. some are very high quality, some maybe not so much. many companies we interviewed for the story said their turnover is way down.
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in some cases their productivity is up. if it is done well it is not junk signs. david: if it is done well. you never know. can't be sure about these tests. you wonder whether some unemployed people have been unemployed years this is one of the problems because so many people use them? >> we get a lot of feedback from readers who said, i take these tests, i just can't get through them. i don't know what i'm doing wrong. they get no feedback why, where their score was low. it is very frustrating for job-seekers. liz: before we go, charles, do you say you should yell on occasion, i'm dying to know. >> if you really yes, you should say you yell. that is important thing to think about. david: tell the truth, if you're faced with a lot of these things. lauren weber, charles handler, great discussion. thank you. liz: read the article in the "wall street journal." david: yeah. liz: from the football field to the prison yard, the jury finding former nfl star aaron hernandez of guilty of first-degree murder. what is next for him? we have details straight ahead.
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david: a florida mailman, landing a small helicopter on the capitol hill lawn. you're laughing a little, but this thing could have been very serious. look at this. one of these hazmat guys with all of the equipment on. the what was this guy's motivation? we have details what did motivate this guy. you don't want to miss. >> hi, everybody, i'm gerri willis. coming up on my show at the top of the hour, the irs says budget cuts put extra stress on the agency and taxpayers this year. how does it explain millions in wasteful spending on toys? that is one of the big consumer stories coming up on "the willis report" in just a few minutes.
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you get a company that's more than just the sum of it's parts. centurylink. your link to what's next. liz: we have breaking news on general motors, a bankruptcy court is now saying that this is good for gm. gm will be shielded by bankruptcy rules. shielded for ignition switch claims. by the way, there have been 84, four were added to the 80 number. for general motors. ken feinberg, injuries, many more than that. 1136 claims. so at the moment, a bankruptcy court giving gm the nod saying they will be shielded by -- from those claims, david. former patriot star aaron hernandez showed little emotion at all after he was found guilty of first-degree murder as well as unlawful possession of a firearm and ammunition.
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he will face a lifetime in prison. laura has the latest. >> good afternoon. while the former patriot's player didn't reveal much about how he was feeling about the jury's decision. there were gasps and tears when that was read. aaron hernandez looked at his mother and fiancé who were crying and holding on to each other. he mouthed the words be strong to each other. lloyd gave a powerful statement before the statement and talked about bearing her only son. >> the day i laid my other son to rest. i heard my heart stop beating for a moment. >> seven days to reach the verdict. hernandez pled not guilty to the 2013
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killing of oden lloyd who was dating the sister of hernandez's fiancé. lloyd a semi pro football player was found shot to death in an industrial park less than 1 mile from hernandez home. hernandez and two of his associates earnest wallace picked up lloyd in boston under the pretense to go party, but instead drove him to his execution. hernandez shot lloyd six times and after he returned to his home, surveillance video showed him carrying the weapon. that gun was never found. hernandez was present at the time of lloyd's death, but was a confused young man who witnessed a murder and it was most likely one of those codefendants who killed lloyd while high on pcp. the jury didn't buy it. hernandez is awaiting another trial on a drive-by shooting. he was accused of gunning down two men
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over a spilled drink at a nightclub. he has a lot of legal courtroom to go through in the future. liz: sounds like it. thank you so much. >> what a character. a stunning security breach. we may have an answer for why this happened. a man arrested after he landed a small gyrocopter at the capitol. fox business correspondent blake burman. blake, i guess the sky was proud of what he did. blake: federal officials have not identified the pilot of this gyrocopter who they took into custody today. a man named doug hughes emailed multiple outlets saying he would be flying a plane -- that gyrocopter landed on the west lawn at 1:30 this afternoon. the capitol was momentarily placed on lockdown. president obama was briefed. law enforcement later cleared that gyrocopter, and did not find anything hazardous.
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in a video posted on the tampa bay times website, hughes, a postal worker said he was doing this to protest campaign finance reform and said he wanted to deliver letters to every member of congress. this was a shock for those around the capitol building. >> it looks like something the average person could afford to get a hold of and fly it with nobody telling you that you can't. so it was scary. police circling the air to protect us, they'll have to have. blake: he had give notification to authorities. he was told beforehand. the federal administration said the pilot was not in contact with air traffic controls. and the faa did not authorize him to enter restricted air spice. airspace. a lot of questions about how this pilot was able to fly in an open helicopter through restricted airspace within feet of the
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capitol. >> thank you very much, blake. we asked you, social media, what tax do you think we should kill. we are expecting the house to kill the inheritance tax. the president said he will veto that decision. we'll get your answers back up here tomorrow. >> gerri is next. gerri: hello, everybody i'm gerri willis. this is the willis report. the show where consumers are our business. it's tax day, and the irs gives america plenty of reasons to hate the agency. >> customer service has been far worse than anyone would want. gerri: we'll also have some last-minute advice if you haven't sent in your taxes. has hillary clinton found a new voting block in republicans? >> she knows the broad center of this country, the leftist center is where elections are won or lost. >> student loan debts, worse than before. one in three delinquent. the spring housing market. we'll look at what's hot and what's not. the battle of the
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