tv The Claman Countdown FOX Business October 29, 2021 3:00pm-4:00pm EDT
3:00 pm
lou, i'm with you, my man. we're in apple together, we're there, i'm with you. i just don't have the phone. [laughter] >> you're getting one. charles: one day, i may not have a choice. all right folks this is a really good session. don't let what you see on top dissuade you. i love days like this , you know , liz claman it's those days in the market any other time would have been down big, when it's not those are the days to me that are buy signals. liz: well that's because you are a trader at-heart. you know that that's the time things are on sale, right? arguably, that's happening, at least, well kind of right now, charles. market gobblins are keeping us guessing as we kickoff the final 59 minutes of trade for the month of october. the dow, s&p, and nasal within range of new all-time closing highs, and by the way, they've already been there today, the s&p and the nasdaq set new intraday records, right now we do have the dow up 14 points, s&p down just two, the nasdaq
3:01 pm
lower by four. investors dodging major earnings misses by two of the biggest tech titans, apple and amazon. our floor show traders on what the witches of november might bring and the etf's that just hit a lifetime high this week that may give you the best indicator of the true health of the consumer. not republicans but a group of democrats who continue to stall passage of the infrastructure bill, as thousands of industrial companies wait on the edge of their concrete feet for the moment where they can get some of that money to start building out this country's infrastructure, one company is out to disrupt the building of things, described as the uber eats of the bulk construction materials. the founder is here in a fox business exclusive. forget dog bites man. how about squid bites dog, as the super hot token known as the doge killer already los ing popularity to the new
3:02 pm
play-to-earn crypto called squid as investors dive into the crypto space at a never before seen torid pace. grey scale is primed and ready in a fox business exclusive the ceo of the world's largest digital currency asset manager is here, on the move his company is making that may just change the entire crypto universe. greyscale chief michael sunshine only on the "clayman countdown." first, we get to this breaking news, we've gotta look at tesla. the ev giant topping $1,100 a share, just a few minutes ago. it's new intraday high stands at 1,105.86, tesla doing the trick exactly one week after hitting $ thousand a share, right now at $1,097. it's up more than 55% year-to-date and as shares rise, so does ceo elon musk's net worth which is now topping $288 billion. the world's richest man, now the
3:03 pm
only person on the planet, with more than $200 billion. fox business alert let's get to it apple's loss, microsoft's gains right now investors are hanging up on the iphone maker after its quarterly revenue fell short of expectations by $6 billion. yes, this due to supply constraints on everything that's needed to make iphones, ipads, m ac, all of it so it's first time since may by the way of 2017 that apple revenues have missed wall street estimates so we do have at the moment, i'm watching it every single second because it's moving, apple is down about 2.25%. apple's decline is helping microsoft surpass apple to become the world's most valuable company. microsoft up 1.6%, so at the moment, yes. it's entire market cap is more than apple. we're really splitting hairs here, come on. amazon also missed onq 3 earnings and revenue expectation , we do have amazon down 3% and no caffeine jolt for starbucks shares the java
3:04 pm
chain getting slammed after third quarter revenue fell short of analyst expectations, china same-store sales shrunk by 7%. starbucks shares down 7 1/3% by the way what's interesting is that starbucks and amazon are actually two of the top holding in the direct daily consumer discretionary bowl 3x shares etf this ticker symbol, how appropriate, is want, after sink ing to an all-time low back in march of 2020, want hit a lifetime record this past tuesday, so somebody is spending let's get to dave matza, the managing director and head of product, he's joining our floor show along with traders scott shellady. dave, what do you think is propelling this etf and by the way for those who don't quite understand how it works, it is definitely for those who are bullish on consumer discretionary spending, because whatever moves go up, it's 3x, three times that move that you gain. tell me what you think, dave.
3:05 pm
>> that's that's correct, this etf is designed for tactical traders so folks who have the ability to monitor their portfolios on a daily basis, and what's interesting as you know is this fund and it's underlying index, the consumer discretionary indexes has rocketed to all-time highs as there's been a lot of resilience in the consumer, even in the face of all of the uncertainty but as you noted what's interesting about this particular fund maybe contra to expectations, certainly a healthy way to amazon but a lot of the gains that have come from it has actually come from tesla, but also, gm and ford which are found here, so consumer discretionary much more broader than just retail, and a lot of these automakers have had really excellent performance this year, which is one of the reasons why this fund has hit all-time highs the other thing which i'm watching for here has the potential for actually breaking out relative to the broader market, and if we actually end up seeing that, i think we might actually be in place for further gains heading into the end of the year. liz: and what does that tell you
3:06 pm
, scott shellady, about the health of the consumer when an etf that gives you triple the gains, if there's even a move higher in discretionary spending, for the likes of expensive products like tesla, or listen some of the other top names in we can put these up here, nike, mcdonald's, loew's, target, bookings holdings, what does that tell you about the health of the consumer? >> well it tells me they've got a lot of money and they're going to get more once we get these bills passed or if the bills do pass through congress because they pour more fuel on the fire that we call inflation. now, yesterday, we had murdaugh amygdala webster come out with 450 words they just introduced to the english language. i'm going to ask them to take out supply chain and inflation because i'm getting sick of talking about it because it is the most important thing out there, and this is the issue, the consumer is going to be increasingly more frustrated with what's out there because we don't have anybody there back making the things that they want , once there was stuff off the shelves the restocking is
3:07 pm
taking a long time, so i'm a little leary even though the consumer might be fat and happy, there isn't anywhere else to go with your money except for obviously the stock market, so we do see things like tesla and the like start to rally, because there's no other alternative, so just because of the consumer being fat and happy , and not being able to maybe spend money they'd like, there is going to be a lot of money that still goes in the stock market and i think that's what you'll see , especially if, and when, we get more of these bills passed, so there's a lot of money out there, there's no competition in bonds right now, and it's going to all start to flow again towards the stock market and i'll end with this. the administration wants to try to look after the worker, right? the problem is is that 20 years ago, 15% of the population owned 85% of the stocks, but as we poured more and more money on this problem, it's now 10% of the population owns 90% of the stocks roughly and so they're going to see that and
3:08 pm
pour more money on it again and it's only going to get worse, so they keep shooting themselves in the foot and we keep coming back in full circles. liz: dave, there's so many funds out there tell me what's really crushing it and talk about what scott just mentioned and that's inflation. we've just gotten numbers on inflation but you superimpose that with october consumer sentiment, the final print here, was a beat, 71.7 versus 71.4, you know, i'm wondering, where's the analytical vigor that's already indicating its lasted long enough, meaning beyond transitory, that people are changing their behavior? >> well, i think you hit the nail on the head there. what we're seeing is actually an interesting development, where economic surprises, so cit i has an index of economic surprises so looking at the difference between the analyst forecast and the economist forecast and what actually comes to bear. those continue to under perform, meaning surprises are happening to the downside. on the flip side, their inflation surprise index is
3:09 pm
surprising to the upside, which is why, i think, increasingly people are concerned about this stagflation environment. with that being said, because we are in this , there is no alternative, or environment we continue to see money move into stocks. this year, in particular though, we've seen a lot of money move into our highly-cyclical etf's like gush and fas. so these are leveraged bullish exposure on oil & gas, and on broad based financials. of course their performance has been really through the roof, and again, these are tools for tactical traders but it's a sign we're seeing really a rotation in the market, not really money moving on a stock, just moving into different areas that may benefit more from an inflationary environment. liz: yup, crude in the after market up about three-quarters of a percent i can see why gush is a winner, dave great to have you scott as always thank you very much. folks i want to know about the dow it is up 12 points it needs to be up 26 for an
3:10 pm
all-time record, any gain for the s&p, any gain for the nasdaq. all right, remember at this time yesterday, word out of washington, right here, we said it, was that the house is about to vote on the infrastructure bill, possibly within hours. well, that didn't happen. at this hour, the senate approved $1 trillion bill is being held up, this time, by progressive resistance, further delaying the timeline for the vote in congress. now while hundreds and hundreds of construction and materials and industrial companies wait for the green light on the final infrastructure package, which could mean billions in businesses, right? one company, ready to flip the entire industrial sector on its head. bulk source aims to be sort of the soup-to-nuts technology solution to streamline the construction aggregates, and bulk material supply chain, once we get this thing going, here in a fox business exclusive, demand salivating at the thought of this infrastructure bill being passed, greg dengler, founder and ceo. greg you've described bulk source as the uber eats for bull
3:11 pm
ing materials. explain how your technology works. >> that's right. thanks for having me on. we do two things really well. one is we provide a supply chain solution to the producers in this industry to make "the rock" , sand, gravel, cement, other bulk materials that go into the downstream products and anything with a measured commodities that goes in the back of dump trucks we optimize and put out in the most efficient way. the second big thing we offer is frictionless commerce so we provide a connectivity between suppliers, consumers, and the delivery trucks, and that's where you heard the uber eats, providing an efficient network. liz: well, i would say that saas , you sound like a software as a service company, but what gives you the edge over other companies that are out there and there are a whole bunch we were kind of looking at and some is not exactly an apples-to-apples comparison, and then there are larger companies like honeywell, which similar technology, not
3:12 pm
exactly the same application, but where do you get that razor- sharp edge once this infrastructure bill goes through? >> so the aggregate and infrastructure materials market is really multi-local. you have materials that don't travel more than 100 miles, which is highly fragmented, local truckers, local producers, local customers, so it really takes someone with deep industry knowledge, which is that localized knowledge, the ability to create a technology solution for the industry they know well, and then of course, the appetite , so we have all three. there are other players in the industry that have solved for very narrow scope and solutions, and we believe we're the full everything from the supply chain to the execution and transaction. liz: well as good as i'm sure your service and a lot of these other services are, you can't fix the ports single-handedly, can you?
3:13 pm
the port situation is disastrous right now. we still have quite a few ships, container ships, that are linger ing for 10, 20, 30, 40 days off the coast of california and whether things are happening in the south as well, what can you promise companies you can do to circumvent those kinds of issues? >> right. we can't control all factors, we can't put more resources out there, we can't provide more truckers, but what we do promise is to do more with what they have. when you're talking about 100- plus billion dollar industry , paper tickets and wide boards we're talking about creating a hyper-efficient network which really can only optimize through complex algorithms and competition power , so ultimately, streamline what is available and mostly smarter phones out there can provide better resources than
3:14 pm
the regulatory environments to unlock more resources and hopefully we have some manpower programs to put more drivers on the road. liz: greg i know you're waiting with baited breath we'll check back in with you if this thing ever passes we'll be watching for it, greg dangler of bulk source. inflation rising at these fastest pace in 30 years. the pumpkin patch being a scary spike in prices just two days before halloween and a month before everybody needs those pumpkin pies for thanksgiving. lydia hu has quite the look at how carving your jack-o-lantern may cut deeply into your pocket book, with the closing bell ringing in 45 minutes dow jones industrial on 8 points but the s&p and the nasdaq and the russel and the transport are all slightly in the redment don't go away the "clayman countdown" is coming right back.
3:15 pm
3:17 pm
you have the best pizza in town and the worst wait times. you need to hire. i need indeed. indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit indeed.com/hire moving is a handful. matching your job description. no kidding! fortunately, xfinity makes moving easy. easy? -easy? switch your xfinity services to your new address online in about a minute. that was easy. i know, right? and even save with special offers just for movers. really? yep! so while you handle that,
3:18 pm
you can keep your internet and all those shows you love, and save money while you're at it with special offers just for movers at xfinity.com/moving. liz: we are just getting this breaking news in, the fda has just authorized the pfizer b iontech covid-19 vaccine for emergency use in children's ages 5-11 years old. about 28 million children in the
3:19 pm
u.s. will be eligible to receive one-third of the adult dose with two injections, three weeks apart. that's if the cdc, the center for disease control and prevention, signs off on it. it is expected that they will, and if they do, they could start getting shots as early as this next wednesday. we do want to also mention that apparently, the fda is saying that the new formulation of this vaccine is more stable at refrigerated temperatures for longer periods of time permitting greater opportunity for providers to give out this vaccine. pfizer moving higher by a percent, its partner down two 1/3%. halloween fall activities in full swing whether you're trick or treating, watching a horror movie hitting a haunted house this sunday or getting ready to make a pumpkin pie for november, the scariest price of the season is the price consumers are paying for pumpkins. how high are these prices going? we go live to lydia hu at a
3:20 pm
pumpkin carving business in yonk ers with more on how inflation is spooking one of the favorite halloween pastimes, lidia? reporter: yeah, liz, according to the usda, pumpkins cost about 13% more than they did last year we're at maniac pumpkin carvers in yonkers, new york where the owners say they're also noticing a scare it it in some of these that they need desperately this weekend because of bad weather in the region. this business has been in operation for 15 years, and even under these pressures with covid and the supply chain, they still say, that last year and this year are shaping up to be some of the busiest years they've had. take a look at some of the spectacular creations that they have created out of pumpkin s. they've carved pumpkins into frankenstein, skeletons, traditional halloween themes and also created patriotic monuments
3:21 pm
like mount rushmore, even meduss a. now liz just like the wide rang ing carvings they've created they also have wide ranging price tags. they start around a couple hundred dollars going into the thousands, but they say there is strong demand. i can tell you there are even carvers working here at the studio now, they are working nearly around the clock to keep up with the orders, under the additional pressures of the supply chain. watch. >> we have had issues with whether it's packing supplies or items that we put together for our carving kits, there have been a lot of issues. reporter: now, two big tips if you're planning to carve a pumpkin yourself for this weekend, first, forget the candle, put an led light inside and second, liz, this one really surprised me. don't take off the stem from the top of your pumpkin if you are going to carve. create a window in the back, scoop out the inside from there and keep that intact because
3:22 pm
that will maintain the structural integrity of your pumpkin so that's a big secret to success. there you go. liz: structural integrity of a pumpkin? i'm so excited! that's amazing. wait, give me a tight shot of that one in front of you that looks incredible. can the cameraman just zoom in? reporter: isn't it beautiful? yeah, let's take a closer look. this is one of their creations. it's really quite beautiful. they didn't actually carve all the way through the pumpkin they shaved out some of the top, that's probably a master technique. liz: yes it is and then it glows right through. i'll be doing the triangle eyes and the one tooth and a smile. okay, lidia, thank you very much reporter: you and me both. liz: facebook, are investors buying the social media giant's transition to a digital world? look at that. a piece of street art on a wall can come alive in three dimensions. you bet they are, but in their rush to scoop up mark zuckerberg 's newly-named metaverse, they're making a mega mistake in the hunt for meta
3:23 pm
3:25 pm
i just became eligible for medicare and, can i say? it's so overwhelming. a, b, c, d - all the different plans and all those stacks of mail? i didn't know where to start. then i called humana, and they helped make everything simpler. i talked to a real live agent who treated me like a real live person. she was kind, patient, and she took the time to get to know me and answer all my questions. she told me that an all-in-one humana medicare advantage plan includes coverage for hospital stays, doctor visits and prescription drugs. most plans include dental and vision. but first, the agent i talked to, laid out all of my options. i learned that original medicare covers the basics, like emergency care and doctor visits. it also has a deductible, and after that i typically have to pay 20% of my medical bills. then we talked about medicare supplement plans that you can add to original
3:26 pm
medicare coverage. they help pay your medicare deductibles and co-insurance. but they often have higher monthly premiums and no prescription drug coverage. but i needed coverage for my prescriptions, and that's when she told me about humana's all-in-one medicare advantage prescription drug plans. not only do i get all this coverage that includes prescription drugs, but humana has a huge network of doctors and hospitals. i can get telehealth coverage, a silver sneakers membership, and i stay covered in emergencies when i travel. whether we're visiting the grandkids or going on vacation. a humana medicare advantage plan can give me all that for as low as a $0 monthly plan premium. humana went above and beyond to get to know me, so i can find the medicare advantage plan that is right for me. and that might be the biggest benefit of all. so give humana a call, or visit their website. talk to someone who will take the time to help you, and get your free decision guide. humana, a more human way to healthcare.
3:28 pm
liz: this is incredible. all right, we've got big gains for all things meta let's start with facebook. not a huge gain but still facebook is up about 1.7% at this hour after announcing that beginning december 1, it will be known as meta platforms. mark zuckerberg, founder and ceo making the announcement at the facebook connect event yesterday , revealing plans for virtual world's where you can do things like play chess with friends anywhere in the world who then appear as live holograms. look at that very cool. the company will change its
3:29 pm
ticker to mvrs, like metaverse, but that did not stop some investors from trying to get in on the meta action early. but a stock totally unrelated to the metaverse, meta materials, rose as much as 26% after-hours yesterday. the canadian materials company ticker mmat had already gained 4 % during market hour, in response to the unexpected rally , meta materials ceo tweet ed, "i'd like to welcome facebook to the metaverse." george! watch out. george stephanopolos getting up there with the comedy, facebook shares are up 3.25% since wednesday. let's go to gerri willis for today's fox business brief, hi, gerri. gerri: liz, that's right earnings from the oil majors today, chevron is one of the top dow leaders after a rally in oil prices fueled the highest third quarter profit in eight years. exxon-mobile post its strongest
3:30 pm
results since 2017 and also pledged to revive a share buyback program next year. ev maker lucid group on the move after they confirmed it's delivering its first air dream edition to customers tomorrow the vehicle costs $169,000 each, up 254% year-to-date. ev tablet maker alfie dropping double-digits at this hour after placing its ceo cfo and cto on paid administrative leave the stock is down 32% month-to- date, and near the top of the s&p 500 and the nasdaq 100 after third quarter revenue was up 5% year-over-year and domain names under management also increased 5%. bitcoin surged to a record after the first bitcoin futures etf hit the markets up next, liz will talk to the ceo of grey scale investment about the crypto craze, and the plan to launch its own etf.
3:31 pm
it's another day. and anything could happen. it could be the day you welcome 1,200 guests and all their devices. or it could be the day there's a cyberthreat. only comcast business' secure network solutions give you the power of sd-wan and advanced security integrated on our activecore platform so you can control your network from anywhere, anytime. it's network management redefined. every day in business is a big day. we'll keep you ready for what's next. comcast business powering possibilities. as an independent financial advisor, i stand by these promises: i promise to be a careful steward of the things that matter to you most. i promise to bring you advice that fits your values. i promise our relationship will be one of trust and transparency. as a fiduciary,
3:32 pm
i promise to put your interests first, always. charles schwab is proud to support the independent financial advisors who are passionately dedicated to helping people achieve their financial goals. visit findyourindependentadvisor.com (sfx: video game vehicle noises, horns beeping,) (engines revving, cars hitting one another.) (sfx: continued vehicle calamity.) just think, he'll be driving for real soon. every new chevy equinox comes standard with chevy safety assist, including automatic emergency braking. find new peace of mind. find new roads. chevrolet.
3:35 pm
liz: a new crypto inspired by the netflix hit "squid games" is taking flight at this hour in fact its been a wild seven days. the play-to-earn squid tokens skyrocketing more than 85,000 percent over just the past week now standing at $ 11.19. most of the big name cryptos also rallying at this hour, bitcoin, ethererum, litecoin, look at bitcoin up 1,428 to 62, 075. litecoin is seeing a decent move here up 2% and we've got a 3% gain for ethererum, xrp up nearly 2% to $1.07. the crypto craze overall is
3:36 pm
growing by leaps and bounds as the securities and exchange commission mows regulation and starts to approve certain etf's. one company being very proactive , grey scale, filing to have its $38.8 billion bitcoin trust, the largest in the world, converted to a spot exchange traded fund. the etf be , if approved, the very first etf with direct exposure to bitcoin versus the two that have been approved that are bitcoin futures. let's bring in a fox business exclusive, with grey scale investment ceo, michael sunnen shine. michael i've got to get your gut reaction to what's going on with this squid token, its been a wild time. >> it really is and it's great to be here. i think what we're starting to see is the emergence of new protocols that are identifying subsets of the cryptocurrency market. you're seeing it within nft's, seeing it with gaming, seeing it with file storage and i think
3:37 pm
for many many individuals, as well as institutions, there's really now an appreciation that what was once thought to only be currencies or determining or transferring value is really the use case for digital assets, you're starting to see them move into other areas of the market which is causing investors to think about diversifying, so not with any particular token that would call out, but this is definitely exciting to see as the market develops. liz: well i would think so because as you start to see the approval of at least two , the pro-shares, etf which is sort of a step for step matching, the bitcoin futures market and same with the btf, you really are seeing an inch-by -inch approval, i guess, by the sec. tell me where you stand with your move in the sec because yours be the very first that would actually reflect, track the bitcoin itself. >> well this is a really important topic, so for a lot of
3:38 pm
investors, there's certainly been no shortage of enthusiasm or excitement in gaming exposure to bitcoin, and you know, you mentioned our flagship fund grey scale bitcoin trust, g btc at the top of the segment. that's now the world's largest bitcoin investment vehicle and that's evidence that investors are looking for that exposure through an investment product structure that they know well, so our view of the world has been very very encouraged seeing our regulators green light futures-based etf's but there are some inherent challenges when it comes to the futures. there are costs to investors like rolls between one contract and the next expiry and investors are starting to really drill into that and we think it is a move in the right direction , but ultimately the popularity in that direct exposure that could come from converting gbtc into an etf, we really think that is the important final milestone in the products journey and really one that investors deserve.
3:39 pm
liz: well it would definitely be sort of the holy grail to uber widespread adoption. michael, i mean, how much, what kind of demand have you seen as far as the actual move upward people piling into what grey scale offers, and why did they somehow feel safer with what you guys offer? >> well, its really been exponential growth. when i joined the company eight years ago we had about $60 million of aum, and speaking with you today we have over 50 billion, and what we've really been able to identify is the fact that crypto as an investment is not accessible for the most part in the same places investors access stocks, bonds, etf's et cetera, and since we've been able to take digital currencies and package them into that familiar wrapper and then also give investors additional protection, things like becoming sec reporting companies, filing 10-k , and 10-q's we've
3:40 pm
brought something that was runs relatively esoteric and put it into a format that investors know and trust so we now have 15 different investment vehicles and investors span individuals to institutions and everything in between. liz: how do you view this debate over there some of these tokens are currencies versus actual securities? the two are held to different standards, obviously. there's a battle with xrp. there's a battle over some of these that some are saying you know, wait a minute it's not exactly a currency and it's not exactly a commodities. >> well, i think there's an ongoing debate and it's not necessarily one we're going to said resolved anytime soon. when i think about the think tanks and the public policy groups and regulators that we are engaged within d.c., there is certainly a divide between which assets may in fact qualify as commodities which could cause them to fall under cftc jurisdiction versus some that may in fact, be securities in which they would
3:41 pm
fall under the sec's jurisdiction so some industry participants are actually calling for the creation of an entirely new federal agency that could oversee many parts of this asset class, but it's still very early days, despite the popularity of the growth and the right run-up so it's hard to see exactly where these issues are going to fall. liz: i know you don't have a crystal ball. how long have you been waiting for the approval of this etf conversion and when do you think it might come? >> well this is a project for our team that we've been working on since the better part of 2016, engaged with the sec and regulators more broadly. it's really a matter now of when , not a matter of if. the approval process that we're engaged now in has a statutory 240-daytime line associated with it, so we anticipate continuing to have a robust dialogue with the sec as well as seeing public comment letters posted on the
3:42 pm
proposed filing, so it's the beginning of what could be a long road but nonetheless, an initiative that's very near and dear to us and something that we're very happy to do on behalf of our investors in gbtc. liz: a matter of when not if so when it happens, we want you to come back on, michael, because that's going to be a really big moment i think for the whole history, and the whole life span , so far of crypto. >> looking forward to it. liz: he is the ceo of greyscale. thanks very much. >> thank you. liz: is arkaga 2.0 brewing? hedge funds maybe feeling the impact of higher interest rates leaving to possible liquidation. charlie is about to break this kind of frightening story next, closing bell 18 minutes away, now the dow is up 52 points folks i do believe that is a record and indeed it is if we were to close here, stay tuned.
3:43 pm
3:45 pm
this halloween, xfinity rewards is offering up some spooky-good perks. like the chance to win a universal parks & resorts trip to hollywood or orlando to attend halloween horror nights. or xfinity rewards members, get the inside scoop on halloween kills. just say "watch with" into your voice remote for an exclusive live stream with jamie lee curtis. a q&a with me! join for free on the xfinity app. our thanks your rewards.
3:47 pm
liz: jitters in the market over inflation and the feds tapering have hedge funders on their toes as interest rates start to gyrate on the yield curve, not just any hung fund. charlie: bill akman is now saying the fed should raise rates dramatically. liz: right away. charlie: right away and basically saying to head off inflation. i could tell you that just the potential for higher rates is starting to gyrate in the markets and our old friend larry macdonald who follows this very closely, he has something called the bear traps reports where he essentially looks for losses in the hedge fund business, what's going on. he says there are a bunch of hedge funds bleeding big time, traders are getting crushed. why is that? because you're starting to see those inflation jitters play
3:48 pm
out along the yield curve, and really interesting ways, and charlie brady, our great stats guy, that i don't know if it does it verse but if you look over at the two month there, you'll see a spike. it's weird the two month is higher than the three-month yield, so you got a spike in two -month yields, you also have a spike -- liz: i could have drawn that better. charlie: you also have a spike if you look closely, this is important. you also have a spike in the 20- year versus the 30, so on the yield curve you have the two -year higher, two-month higher than the three-month, the 20-year bond yield higher that means prices lower, interest rates higher, pricing and risk, then the 30-year so you have a weird gyrations along the yield curve, people are los ing money right now from what we understand, significant hedge funds, as risk starts to get re priced in the market so what is the risk that's getting repriced? well obviously you could have higher interest rates, right? we know that.
3:49 pm
if you have long term inflation, that isn't transitory and we're getting a lot of signs that it could be long term, the market itself will impose higher interest rates. liz: last week jay powell said transitory in nature is likely to be much longer than previously expected. charlie: people aren't buying that. liz: no more. he says likely to go into next year. charlie: yeah so that on top of the fact he has to taper which means they are going to cut back the bond buying, which also adds pressure to yields, on top of the fact that if we do have really bad inflation, inflation that you can't get rid of, they are going to have to raise rates all that stuff gets priced into the market that's been used as easy money, free cash, buying assets like crypto, doing all sorts of plays. liz: borrowing cheap. charlie: it's getting from what i understand listen, i don't know if there's a long term capital out there i'm not saying that. i'm not saying there's anything getting cut although that wasn't quite an interest rate risk play other stuff involved there are
3:50 pm
hedge funds from what i understand according to larry and some other sources reeling because of all of this weird stuff going on in the repricing of risk on the yield curve, and it could be kind of interesting, in a sense that you could see some significant losses coming up. now, what does that mean long term? again markets have a way of self -correcting, right? it's not bad to take some losses it really instills the risk back to the market and takes away the moral hazard that exists where there's no consequence to risk which is what we had the last three or four years, and particularly the last two years since the pandemic and the feds been actively engaged in the markets by buying stuff, bonds and maybe you lating yield s down, but once you start putting risk back into the market, things could get really hairy and you had your last guest on crypto? that's one thing that could get hairy. liz: do you think that akman, when he's standing before the new york fed saying you guys need to start raising rates right now?
3:51 pm
charlie: you know he probably is , but i don't know if that's necessarily -- liz: you hesitated. charlie: i don't know if that's bad or good, he really believes it and one thing he's got his money where his mouth is. the last time remember last year he started saying the fed should -- liz: we're all going to die. charlie: it's really bad and market sells off and he was short the entire market when he said that, so you know, these guys, they talk their book, but they got skin in the game. by the way how many cliches did i put in that sentence? they talk their book, but at least they have skin in the game that's pretty good right? liz: rock on with your bad self. charlie: that's what i'm saying. liz: by the way, sheki green is alive everyone. i have half of our people in the directors were saying what's sheki? charlie: i'm old, dude. give me a break. by the way, when i was a kid, we
3:52 pm
used to go to this place in the catskills an italian american club, all italian for some reason the jewish people used to go to grosingers, italians used to go to villaroma and friar tuck, and that was entertainment. he was great back in the day. great. liz: charlie, thank you. little walk down memory lane here, no arguments today charlie and i went at it last week over the meme stock report we got into it again in this week's edition of everyone talks to liz podcast but we at least explained exactly what we're talking about when we talk about the securities and exchange commission, the meme stock craze , and the findings of a report you've got to listen to it find it on apple, google, spotify, fox news podcast.com and the one thing we don't do here is get snobby, and assume that everybody understands how this all works. we try and explain it to our
3:53 pm
broad and bill yet audience. charlie: get out of my ear. liz: get out of my face. up next why cube smart maybe a great place to store your cash as well as your belongings. todd horowitz, the trader explains when today's countdown closer comes back closing bell ringing in eight minutes don't go away we're about to close out october. (vo) while you may not be closing on a business deal while taking your mother and daughter on a once-in-a-lifetime adventure — your life is just as unique. your raymond james financial advisor gets to know you, your dreams, and the way you care for those you love. so you can live your life. that's life well planned. i'll shoot you an estimate
3:54 pm
as soon as i get back to the office. hey, i can help you do that right now. high thryv! thryv? yep. i'm the all-in-one management software built for small business. high thryv! ow. get a free demo at thryv.com. you founded your kayak company because you love the ocean- not spreadsheets. you need to hire. i need indeed. indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit indeed.com/hire ♪ ♪ traveling has always been our passion, even with his parkinson's. but then he started seeing things that weren't there and believing things that weren't true. that worried us. during the course of their disease, around 50% of people with parkinson's may experience hallucinations or delusions. and these symptoms can get worse over time. nuplazid is the only approved medicine prescribed to significantly reduce hallucinations and delusions related to parkinson's. don't take nuplazid if you are allergic to its ingredients.
3:55 pm
nuplazid can increase the risk of death in elderly people with dementia-related psychosis and is not for treating symptoms unrelated to parkinson's disease. nuplazid can cause changes in heart rhythm and should not be taken if you have certain abnormal heart rhythms or take other drugs that are known to cause changes in heart rhythm. tell your doctor about any changes in medicines you're taking. the common side effects are swelling of the arms and legs and confusion. now this is something we want to see. don't wait. ask your healthcare provider about nuplazid. hi i'm joe montana. when you get to be 65, you have little don't wait. patience for nonsense and inefficiency. you know what works and you become a pro at pretty much everything. that's why when i qualified for medicare, i went with wellcare. with no cost or low monthly premium plans, and no primary care or prescription copays. they're pros at helping you keep more money in your pocket. other benefits include: an over-the-counter allowance for items like toothpaste, cold remedies, and mouthwash. a flex card to pay for extra dental, vision,
3:56 pm
and hearing expenses. even giveback plans that send money directly to your social security check. wellcare gets it. they get rid of all the hassles and give us the great benefits that we want. ♪ ♪ don't wait! be like joe the pro and make the right call. dial the number on your screen now to request a free wellcare guide today. wellcare. it's medicare done well. liz: this is exciting, we've got four minutes before the closing bell rings, folks on your screen , we are at records, the markets are closing out the month of october with records across-the-board. the best month for the dow since march, the best performance for the s&p and the nasdaq, since november, but it's the nasdaq for the month that's the winner, up 7.25% for october , dow up 5.8% the s&p up 6.9% look at the transports
3:57 pm
for october. the best month in a decade, so as we look at this jump about 13.6% we haven't seen something like that since 2011, but is now as things are very frothy, time to divert to dividends again? we're going to make this really easy because todd "bubba" horowitz, has three dividend plays you teach class on this stuff, so go ahead, professor what are they and why do you like them? >> hey, liz how are you doing? the market is giving tweaks today, right? listen, i think that these markets have some potential issues. look, you don't get out if you're an investor you have to stay the course and if you're investing the money i think you want to put the new money to work in safer stuff right now without taking giant amounts of risk, but i'm looking at american campus, you know listen , i picked three that are right involved and have very good exposure, so american campus college and universities they're dorm rooms so they pay a
3:58 pm
beautiful dividend and the stock is working nicely higher, cube smart, especially now, we've got all these people moving all over the place, and cube smart, and of course, that positions more doctor offices open everywhere, you've got these three direct focuses indoor market, it could be very beneficial, plus you get the dividend while you're waiting and we do it in a little bit of a bumpy period. liz: yeah, i mean, those are decent dividends, and as we look at them and as we look at some of these names, the one that i'm interested in is the american campus communities, i've got a college student. she is going to live in one next year, i think, in syracuse, and i don't know if it's owned by american campus but these things are brilliant, because they provide housing. i mean for those who went to public universities like myself and there was no housing once you were kicked out of the dorms , these things are brilliant and i just thought to myself, these got to be money makers for them. >> i think they are big money
3:59 pm
makers liz and the education system is not going to break down yet. we're going to still have people going to college and these are three areas that are very big and still growing and they don't get as much affected by the higher inflation, by the fuel costs, they are still going to operate because those are three necessities, which pay good dividends, so i think you've got inflation and other things but in the meantime it's going to go up until it doesn't. liz: we've got 45 seconds before we hear the bells ring. todd once again we're at records , put on your macro hat. what do you expect for november and december, santa claus rally or a little bit of moderating? >> i thought early in the quarter that we were going to make a move, 50 and 20% one way or the other and i thought it be lower but now suddenly it looks like it wants to go higher we're at new highs in every index but the russel, and it has been consolidating for a year so now if it breaks out we could really see an explosion and
4:00 pm
it's a lot easier. liz: over the past year the russel is the winner up 47%. next closest are the nasdaq and the s&p up 38% year-over-year. >> [closing bell ringing] liz: todd "bubba" horowitz, there is the closing bell, dow and nasdaq end october with a record close, all three, this is the "clayman countdown", kudlow is next. larry: hello, everyone. welcome to kudlow, i'm larry kudlow. so joe biden and nancy pelosi were forced to once again delay a vote on infrastructure, as moderate and progressive democrats remain at odds over the president's spending bill framework, we have hillary vaughn live at capitol hill, she's the only one i listen to. good evening, what's cooking? reporter: good evening larry. well you are right. you are having this because this is the second time that democrats have blown past
82 Views
IN COLLECTIONS
FOX Business Television Archive Television Archive News Search ServiceUploaded by TV Archive on