tv Cavuto Coast to Coast FOX Business October 14, 2022 1:00pm-2:00pm EDT
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ameriprise financial. neil: we might be obsessed with a bear market growling more and more these days but in alaska they put a good spin on it. overweight bears, calorically challenged bears. they do this every year where they look at a video about them, give names to them, this particular bear, 747, very little to do with the fact they think it is as big as an airplane but it is a huge one and they follow this all the time.
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bear 747 received 68,000 votes, 68,105. as a runner-up, they got 56,876 on online voting. this has got more popular in alaska. we don't know whether this has anything to do with the real bear market but alaska had a good day dealing with it. it could be fun if you look at the actual bears because by distinction here, realize how thin they are getting. the cross mark chief investment officer, the challenge to meet, fat bears being chased in alaska, a big old fat bear market not going away anytime soon. >> sadly not. i think the majority of price
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decline is in the rearview mirror. we have time to go. doesn't mean we hit the bottom but much less downside left unless it is a big financial accident. p/e ratios were 20 one, 22, now they are 15, sixteen. a bit oversold market, sentiment is very dour, that is how we got the rally yesterday and we will get some testing. hope we don't go a lot lower. stuart: neil: we always overdo this. you can overdo it on the downside, you have a lot of people saying you get up to 4% or 5% the funds rated after november at least 4% rate, you will have a big hit in stocks. what do you think of that? >> i don't think so.
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we are not in a recession yet. we had retail sales, economy slow, and slowing but still positive. we are not in negative growth, the fed may put us there and that is in front of us to figure out but first-quarter earnings, third-quarter earnings is early but they are coming and okay, pricing power, helpful for a lot of companies. i don't want to come out as a bull, don't want to be a bear forever. neil: we can handle that part. to get a read henri dempsey in this, people forced to address margin calls depending on the institution, 50% of your holdings and that could enter a new wave of this. is that a real concern? >> we've had some of it,
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there's a lot of cash on the sidelines, the fund manager cash, in case adoption comes very high, there's some accommodation in the system but don't want to overdo that concern. neil: we will edit this tape afterwards, good seeing you. peter doocy traveling with the president but this wrapped up a 3 stage tour of the bluest of blue states. what is he hoping to do? >> reporter: out here talking about things he has done as opposed to problems in this state they are dealing with every day like $6 a gallon gas just for regular and that is a statewide average, almost $2, more than $2 higher than the national average, folks playing that much to fill up their
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cars, might be hoping to hear specifics from the president but they've got this. >> president biden: the price of gas is too high and we need to get it down. i will have more to say about that next week. >> reporter: gas price plan is incoming but president biden's focus is on plans he put into law, the infrastructure law on the books for months, neither stopping inflation yet. >> president biden: overall inflation was 2% the last few months, it is down from 11% over the prior three months. that is progress. >> reporter: president biden is continuing to look abroad for blame concerning high gas prices as administrator officials admit he did ask the saudis to push production cuts until after the midterms insisting their reasoning was about prices and not politics. >> what your message to saudi
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arabia about this? >> president biden: about to talk to them. >> reporter: he has not been talking about immigration, crime, national midterm issues. just hasn't come up since we have gotten here. neil: there is peter. >> reporter: usually heard first. neil: peter doocy, connell mcshane is looking at some other issues the president is yet to address how it will respond to the opec cut in production, something is coming, we don't know what. >> reporter: back and forth has been interesting, fair to say the rhetoric is picked up
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between the white house and saudi officials, the saudi's say the white house wanted them to collapse the midterms, peter said it was different reasons and also that saudi arabia pushed opec plus to cut even though as they put it more than one other member didn't want to, didn't want to go and felt coerced so it has brought up questions whether the biden administration might turn to venezuela to fill the opec plus avoid. as for the price it is down today by $3. it is down for the week. most of this seems to be economic worries about the recession which -- in terms of demand and politics last week the president said the us was looking for alternatives to saudi oil and then he was pressed about venezuela directly but that we haven't made up our mind yet meeting the united states, what to do with that and national security council official edited that saying no plans to change the sanctions policy unless the
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maduro regime were to take constructive steps whatever that would mean. at the same time, top administration officials day after day continue to go after saudi arabia. here's the secretary of state speaking last night. >> if their objective was to keep prices at a certain level they should wait and see how markets reacted over the coming weeks, they didn't do it and as you know we are not only deeply disappointed in that, we think it is shortsighted and as the president made clear that decision has to have consequences. connell: big oil stocks are down today, it is not a surprise going back and forth, a number of conservative critics of the administration have said you will turn to ramping up domestic reduction of oil but that doesn't seem to be in the offing. neil: thank you.
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in the meantime following the rise in crime and what it is prompting people to do, in the cities saying we are out of here, now increasingly businesses are doing the same including companies like wawa after this. what should the future deliver? (music) progress... (music) ...innovation... (music) ...discovery? or simply stability... ...security... ...protection? you shouldn't have to choose. (music) gold. your strategic advantage. (music) visit goldhub.com. your shipping manager left to “find themself.” leaving you lost. you need to hire.
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neil: they are convenient, close, and in philadelphia pretty much everywhere at least in this region but because crime is so out-of-control, while way is saying we are out of here, increasingly out of here, jeff flock following that. what is going on? >> reporter: they dominate the landscape and all over the city, good neighborhoods and bad neighborhoods, this is a good neighborhood. why is that? i will tell you what wawa said, continued safety and security challenges, business factors have been increasingly difficult to remain open at these locations. they don't feel safe, there people don't feel safe and apparently a lot of people are taking things off-the-shelf without paying and that doesn't work very well. the city not too happy about this but mayor jim kenny points
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out wawa says 38 stores, keeping them open, we consider philadelphia our hometown, that said at one of those stores a couple weeks ago, we reported on this, kids coming in and ransacking a wawa convenience store, jumping on counters, knocking things over, throwing food around, not a pretty sight and this comes just a couple weeks before the general election in pennsylvania where there is an open seat, and dr. oz speaking on this very issue last night. >> public safety is the cornerstone, a major chain said they would remove two stores from downtown philadelphia because of concerns about safety. families are leaving philadelphia, they don't feel safe. >> reporter: on the other side
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of the political spectrum, won a landslide victory in the last election but has deemphasized shoplifting as a crime, prosecutes it as a traffic ticket rather than a felony. they are not pretty when it comes to crime, retail theft up 54% this year, armed robbery over 50% and almost 50% commercial burglary as well. some of the violent crimes held steady but businesses increasingly getting hit and the business eventually says i've got to move out and can't do business here, not a place to buy food or things you need. neil: it piles on itself and feeds on itself, thank you, jeff flock. senator westwood of the washington examiner, crime is a
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big issue, but not just in urban areas, it is a huge issue right now. >> reporter: it is a powerful issue for republicans when their democratic opponents are vulnerable. that's the case in pennsylvania but john fetterman spent on a parole board advocated clemency and spoken about his support for soft on crime policies. it is a big deal in the wisconsin senate race not just because people in milwaukee and other areas are concerned, the democratic candidate in that race is looking vulnerable on crime, supported the deep and the police movement and the radical vision of colonel justice reform. another race where displaying heavily is the oregon governor's race where the candidate could become governor of oregon for the first time in 40 years because voters are fed up with what is going on in portland. and a lot of big races republicans are benefiting from
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the fact they are concerned about crime and a lot of democrats and big races are really vulnerable on the issue. neil: a lot of them dial it back saying we've got a problem and got to deal with it, oftentimes is too little too late. we know inflation and other issues are dominant but crime seems to be rapidly moving up the list. >> it is eclipsing democratic issues like abortion and big races voters are consistently saying they are more concerned about crime than things the democrats are pushing so that is a warning sign for democrats and even though some democratic leaders, the time is shifting on crime, there are structures in place that prevent a lot of these democrats from being able to move away from it and the biggest part of that is our progress of das like larry
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krasner, these das are refusing to prosecute crimes for which police are bringing the same suspects in over and over so even if you have democratic mayors are governors like kathy huchul who are advocating a bigger focus on public safety they are being held back by fellow members of their party in prosecutor positions who are unwilling to prosecute crimes. neil: we are down 300 points, likes to brag it doesn't obsess with it but as a backdrop a lot of people losing money on paper, getting anxious. any fallout from what is going on in the markets? >> for regular people who are watching the turbulence of the market, every few weeks we have headlines that suggest dramatic drop in the market, it is
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adding to the sense that there's not a lot of certainty. are we going to have a recession? am i going to lose my savings because the value is dropping on inflation and seeing this economic turmoil feeds into that perception that the economy is unstable and biden has no plan to fix it. neil: thank you, scary times, the dow down 203 points. inflation is a problem, crime is a problem, very little the markets can do to respond to the crime problem but on inflation some big food retailers are trying to entice you to come, unusual discounts of their own. they are pivoting. are you buying? after this.
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>> welcome back to cavuto coast-to-coast, neil has been talking throughout the program how different types of retailers are handing inflation in america and what we see with food retailers is they are coming up with creative ways to do that, serving up deals and discounts and the like. madison allworth is live in new york city. >> reporter: retails are looking to get customers through the door because inflation is bad, 40 year high bad but it is not all bad news for the consumers if you can find those perks. i met trader joe's because they
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restarted their samples, such a simple move but who doesn't love samples and if you taste that cider in time for fall, you will not only by the full-size can of cider but also other items because you've gone through the door. us paul move but could be a lot of money for the retailer. tj not the only one doing this. dominoes offering deals like 20% off of chicken wings, that's a big move because chicken is up 17% year over year. they will take a loss on the item but if you come for the deal you will buy other items and they will make the sales but costco, you look at that retailer, they have cheap rotisserie chicken, cheap hotdogs. they hold onto those things, you will also by other bike that is both items. not just cost coats attain truth their prices. this brand launched in 1992 and since that, they have been
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charging $0.99 for this giant can of tea. i spoke to the founder, costs have gone up 15% to 20% but they still sell it at the $0.99 point. they are it at the $0.99 point. they are with the customers and see the loyalty in return. >> what do you do? don't think my consumers need another price. if you can avoid it, try. take it on the chin, consumers appreciate that in the long run. >> reporter: retail sales are back, we appreciate the sales because month over month, retail sales came in flat, interest rates and inflation eating into the walmart. to go with the new york bagel, and they only do word of mouth
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marketing, it rings true, for the mission they take. you find those deals. neil: i want to talk connell mcshane, very popular, in the new york tri-state area, his customers are very savvy. the ceo is pretty sappy, how are customers doing with this. >> i love what madison said and that is what all of us are trying to do. i am doing all sorts of things, and the samples that come through.
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and also having a list that helped you pay that down but we are showing movies on the weekend. we have a haunted drive-through you can drive through with your car in the parking lot, trick or treat events, over a thousand kids at each story and give candy around the store and trying to create excitement on the retail level. neil: what are they doing? you have a lot of attractions to keep them coming but you always hear people have gone from chicken to pork and tofu, but how are they? what are they doing? >> first of all our family has been in the business 100 years but retail, a perfect storm out there.
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customers are meal planning around specials we have in two months. if we have ground beef on sale, hamburgers, chicken the same thing, the markets come down, we see more people doing chicken farm, customers are smart in navigating around specials in the store. neil: any early signs, when it comes to halloween or curtailing things, or store brands, what are you saying? >> this baby right here. they had a really good year and one of the things we had to do is raise the price to $8 each, my pumpkin farmer said the
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cardboard bins, went up over plenty. fuel for tractors was up, if we want to buy the best we got to pay the guy. seeing things like that happen in the market or dairy farmers, they are coming down, i saw on the news, they are not harvesting snow crab, and all these anomalies in the market, the avian flu, you have to navigate it, keeping prices, i wouldn't look good on wall
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street if we had to report our results out there, and trying to keep prices low and sympathetic to our customers and in it like madison, on the long-term, customers thank us for giving them really good product during these tough times. neil: you are delivering the goods and helping deal with that. keeping track of what is happening in this environment where prices and legalities are getting in the way between the world's richest man, and accusations go back and forth, it's not over after this. ♪
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neil: you wonder if this twitter deal with elon musk will come to pass, twitter lawyers, access elon musk's communications with federal authorities, getting messy to me. what is happening? >> reporter: there is a court filing an twitter app lawyers says musk is under conduct. it reveals taking access to documents for the investigation since july and lawyers arguing through counsel, substantive correspondence, concerning investigations, twitter wants those documents with key issues in the litigation, the game of
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hide the ball must end. what you have been able to learn is they are seeking a slide presentation musk made to the ftc and communication with the sec. for context the sec was investigating a discrepancy and how the billionaire disclosed his 9% ownership stake if you remember going back to april and whether this tweet going back to may claiming he could not move forward with the deal violated protocol. musk's lawyers are firing back saying this is just a misdirection from twitter and they are being investigated for whistleblower accusations, timeline is important, this was filed when the judge announced a pause in the trial. both sides have until october 28th to reach the deal. she's prepared to go with the trial in november. as of now both sides are still negotiating, musk is seeking to shore up the financing an twitter share they stand by
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their comment that they plan to close the deal but this is a tactic on twitter's part to keep putting pressure on him because regardless of whether he's being investigated, stock price is tied to musk, don't want to walk at this point. neil: i don't think they have anywhere else to go. kelly o'grady, a push to the future, forget self driving cars, how about a self driving cargo plane? what is happening here? >> it is a small cargo plane as old as i am but it is packed, retrofitted with the latest self driving technology. some of the sensors and tech, allow the plane to fly itself. we went up for a flight with backswing and saw it, it can taxi, takeoff and land with no help from a pilot. you can see the yoke, private's
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steering wheel, turning on its own. the plane is in the air, there's the mission control center on the grounds communicating with air traffic control and monitoring the flight. there's a safety pilot on board in the cockpit but they plan to start with cargo flights from one small airport to another, in 2025. >> to remote -- we can fly with a passenger on board. if there is a pilot in the front. >> regional airlines, the pilot shortage and profitability of those roots by having remote operators fly aircraft to those communities you can be more accessible. >> x wing's ceo hopes passengers will be comfortable getting on board one of these planes with no pilot.
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the future might be here sooner than you think, they expect to have passengers on board these types of planes, no pilot at all, fully autonomous by the end of this decade. would you get on board one? neil: i know quite a few viewers are volunteering me for that. we will see what happens. thank you very much, that is a little scary but life is scary. more after this. (vo) give your business an advantage right now, with nationwide 5g from t-mobile for business. unlock new insights and efficiency, with leading ultra-capacity 5g coverage. t-mobile for business has 5g that's ready right now.
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neil: there's an old saying on wall street, when bubbles burst assume jobs follow. could be happening now in the financial community and charlie gasparino has the latest. charles: part of the financial community that deals with media mergers. there have been a slew of them, lots of consolidation, merging, purchases but that is likely to slow down and here is how you know it, the firm that is in the middle of those deals, discovery time warner is known as lion tree run by an investment banker, sources telling the fox business network lion tree in the middle of cutting 10% of staff and that is a big cut. i hear it's not going to get to 10% but it will be just below
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that number. investment banking professionals, the place essentially employs 120 people, not talking something like jpmorgan but it is an important player in this space and 10% cut is significant. what is the overall meaning? media itself, disney, us, every media company as we head into a recession with higher interest rates. we are in cost-cutting mode and they are not in acquisition mode. that is what they are planning for. a significant slowdown in media deals as the media readjusts to the environment, streaming where it is not always profitable and discovery time warner run buys as loss -- --zasloff they need to make numbers work for the media merger. that's where we are. they are the latest and wall street firms looking at cuts
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but they are the latest and it is different from the stock market going down. this is the media business in cost-cutting mode. neil: you talk to these brainiacs on wall street and the extreme volatility in the last couple days, yesterday is a good example. where are they on this? charles: what i speak to, more of them, heading into recession, we are heading into at least two more rate increases and that sort of environment is not good for stocks. it blips up. it is a significant rally off the bottom. a lot of people talking technical factors, short covering when you start shorting stocks and cash out, you have to buy the stock to
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complete your borrow. i could get into shortselling all day. the same guys telling me that also predicted a down day. this will be a rough market. if you believe the fed will raise rates twice. that's a recipe for that. at least twice. my best fed water sources, 48. 2 cpi prints and that is really high. before that, would do too much and i wonder if they would change their mind, that 8. 2, if you look at underlying numbers, even worse, that is really high, if you're an
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average person, senior and fixed income, inflation is eating your food bill, taking your food bill through the roof. money managers, a few extra bucks on the dow and that is where we are. neil: thank you very much. it is almost one hundred% that the next fed hike will be 3 quarters of a point and they are getting convinced the next hike could come in december and a 3 quarters of a point so that will be 5, 3-quarter point hikes in the span of two months. two months. chris campbell on the impact of that. it is good to have you back with us. some people fear the fed is overdoing it and has little to show for it because the rate hikes we have seen have done little to dent inflation. your thoughts? >> chairman powell has the worst job in america, glad i
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don't have his job but no way the chairman is going to allow us to get to a place of stagflation. the worst environments we can imagine is a down economy and runaway inflation which we are in. he must bend the curve on inflation, they will do what they can i believe and work with the treasury. i think he will do what he can to make sure -- neil: addressing inflation could turn the economy into a recession. >> i also believe he understands that and telegraphed pain is on the way for americans and investors, to be ready for pain. neil: let me ask why we haven't seen in impact yet? anywhere from months to years.
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quadrupling what we had seen, inflationary statistics are not budging especially food items that are getting worse. what is going on? >> god bless the american consumer, the most resilient consumers in the world, it is the genius of the american engine of the economy but we are in a place where we need to see the slowdown and the transition will come with pain, the federal reserve will make sure it happens. we will see rate hikes the next 2 or 3 meetings and see where it goes but no question the federal reserve will continue on this case to make sure inflation is under control and like i said before the last thing any federal reserve chairman wants to face is stagflation which can be very sticky as we were talking about
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it. under the current environment, stagflation would be devastated. neil: chris campbell, thank you very much, we will follow it closely. the idea of stagflation, and going through the roof, the one difference this time versus what was going on in the carter years, jobs are soaring, not as much as they were but they gain month in and month out. that's what a lot of folks are putting their hopes on be we don't experience that experience. after this.
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- call the number on your screen. this... is the planning effect. this is how it feels to have a dedicated fidelity advisor looking at your full financial picture. this is what it's like to have a comprehensive wealth plan with tax-smart investing strategies designed to help you keep more of what you earn. and set aside more for things like healthcare, or whatever comes down the road. this is "the planning effect" from fidelity. ashley: neil: joining is the oldest and youngest human beings ever to
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go into space and your brother. that is a lot of pressure. you had 15 successful automated flights, this is the first one with human beings. are you anxious? >> i am not, we will see how i feel when i am strapped into the seat but i am very excited. we are ready. neil: you said i am blood he captain kirk and yet all they are focusing on including this questioner is your age. what do you think of that? >> the only thing about age that has application to this vehicle is getting in and out of the seat with any kind of arthritis. unless you are really subtle getting in and out of the seats, when we are in gravity is a sure but it is designed to
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float out of the seat and be weightless. neil: you were there for the launch, what did you think? >> try not to show anxiety because you want everyone to be calm. neil: the great thing about this job, 25 years on fox news, and my colleague and connell mcshane would agree a lucky part of the job is people would get to chat with. and in the middle of a financial meltdown, baptism by fire. what do you think? >> wasn't that some timing? october 15th, the only thing i
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could think is a lot of jokes, it is been 15 years, to learn from and work with you, and had a chance to work alongside you for this long and that stands out for me. neil: right back at you the check is in the mail. we cared each other and, connell has a great sense of humor. i wonder what your thoughts are. we've lived through so many panicked and exciting times. we know when people get depressed on the far side, and when you step back from it and
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markets go through wild gyrations they invariably go up. >> you say you have the chart in your office that shows the dow is always up. that is no solace to someone getting ready to retire in a few months and sometimes we don't give enough attention to timing when talking economies or markets. the other thing as we look at the dow down 150 points trying to explain it is tough. no one will come up with a rational expiration for what happened yesterday when it went up 800 points and to come down today as charlie gasparino said make sense after that but there is some disconnect from daily market gyrations and economic news but if you just look at the economic news, looking at a slowdown if not a recession and most people agree it is a question of timing and severity whether it is a deep one or a
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mild one which is what we hope for going in to next year. everyone is in one of those camps. neil: one of my not so favorite memories when you were subbing on this show and -- connell: roper that? neil: 48 minutes. connell: he comes running through the door. neil: connell doesn't brag but he is as you see him on air, same thing, exact same person in person. me? i charles: i remember when you came running back too. i only wish you closed your robe in the back. that's the only problem. neil: oh, come on. charles: thanks a lot, neil. good afternoon, everyone. i'm charles payne, this is " making money" breaking right now, well, no repeat o
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