hi, everyone. welcome to "on the money." i'm becky quick. rising interest rates. why they're going up. why you need to watch them and how they affect your money no matter where it is. and algorithms. the man who invented cupid explains how computers can find true love for you. cutting up your credit cards are about as important as your cassette player at this point. the five best places to retire. where to put your feet up when you hang up your work shoes. "on the money" starts right now. >> this is america's number one financial news program. "on the money." now, becky quick. here's a look at what's

making news as we head into a new week on "on the money." consumers are opening their wallets. retailers, restaurants and building materials were strong. that's only the closely watched number because consumers make up about 70% of the u.s. economy. it was a mixed week on wall street, the markets worrying about rising interest rates, a succession from the u.k. and lack of rapid growth. the treasury climbing to about 2.6% this week, at least in part of the federal reserve raising its rates. if you're looking for a new phone, amazon has one they want to sell you cheap. the amazon fire phone is now just 99 cents if you sign a two-year contract. it's likely the price cut is because of disappointing sales just months after its launch. chairman and ceo jamie diamond has finished a scheduled

round of chemotherapy. he was diagnosed with throat cancer this year. he's 58 years old. interest rates are rising, stocks are falling. is this just a blip or a sign of something more to come? joining us now is saira malik. she's head of global research with $613 billion in assets under management. au also james galbraith, the author of "the end of normal." thank you both for being here today. saira, let's talk about the markets. it was a bit of a rough week for the markets, and i just wonder, do you think there is something worse to come? is this the beginning of something? >> higher interest rates are on investors' mind and that could rain on the equity parade next year. but we're cautioning the investors not to sell too soon, because stocks tend to peak about four months before the first increase in interest rates, and we don't expect to see that until the middle of 2015. >> professor galbraith, if your

n -- in your buie nonew book, yo out you don't think america's economy will see new growth any time close this year. >> it's stable but not moving very rapidly, and i think that's the condition we should basically expect. i agree with saira, i believe the federal market does not have a wide margin of maneuver. it would have to be prepared to weather major storms if it goes down that path. >> why do you think we've seen less growth? >> when we look back at this 10 to 15 years from now, we'll say the period that ran up to 2000 was an exceptional period, especially for the united states, and we've now come into more difficult circumstances partly on the energy front, partly because the world situation is more unstable, partly because of the way technology now affects us, partly because of the debacle of the financial system.

the complex factors are not easily reversed. >> energy prices, we have seen this huge surge in natural gas, also oil, that we've been finding in fracking. i just wonder if you think there is a way that that part of the dynamic has changed. >> that has changed the picture. that wasn't in the picture five years ago. what we don't know -- it's a big advantage for the united states compared to europe. we clearly see a difference in the gas price and makes an effect on manufacturing employment. what we don't know and what the geologists don't know is how long it will last. so even though we've gotten a break from this, there's still a lot of uncertainty hanging over that sector. that, again, 30, 40 years ago, we had the expectation that the conditions that we enjoyed then would go on for a long time. >> saira, one of the big issues is interest rates, though. this year the ten-year yield started climbing rapidly. granted we're still only talking about north of 10%, but that's what investors worry about

happening. is there a chance that things get out of control and interest rates rise much more rapidly than the fed expected? >> there's a couple things we're watching right now. one of those is inflation. we think if it becomes a head wind for the economy, that could cause volatility. we are seeing some bottoming in wage growth, so we're watching inflation closely. it's not an issue right now. in interest rates, we're watching whether or not they rise faster than investors think. if that happens, we think it could cause the market to correct. so one market that we are looking at that we think is interesting is europe. because if you look at europe, it's sort of the other half of how the u.s. is doing. manufacturing data over there is starting to bottom, and european central bank is easing and they're being very proactive. if you look at that stock market since the 2009 bottom, it's up less than half the rate of the u.s. market. so we're following europe very closely right now. >> professor, you've been tracking this right now, too. when you look at europe and the slowing growth there, in some

cases the economy slipping into recession, and then you look at slowing growth in china, is that a situation you worry will overtake growth in the u.s.? is that going to drag us all down? >> it's not going to have a good effect on us, and i think senator dragew is signalling his anxiousness on the situation and he would like the germans to do more. the germans, however, are in the sweet spot compared to the rest of europe right now, and they're not inclined to change their own posture just to help out italy and other countries in the european periphery. >> is there a silver lining to all this? is there a chance we could get back to where we were 30 or 40 years ago? what would it take? >> i don't think so. i think it's not -- if you have that expectation, you're going to constantly be disappointed and also take policy moves that we shouldn't take. in the situation we're in, we need to be much more careful to preserve the socially stabilizing institutions that we have, social insurance programs in particular, social security, medicare, medicaid, unemployment

insurance. these are things which actually help preserve the fabric of the united states over the last five years in a way which that didn't happen and the fabric is much more visible in the streets. >> that's a pretty bleak picture when you add it all up there. what would you be telling investors right now? >> we tell investors we think it's time to take a close look at europe as the market should have a catch-up trade. in the u.s., we think the market could continue to grind higher but we need to watch inflation and the interest rate increases. in emerging markets, we're starting to see manufacturing data start to peak. while they had a nice rally earlier this year, we think emerging markets may become less interesting. >> saira, professor, i'd like to thank you both for joining us. up next, we're "on the money." big data or big dating? the way we date, talk and click on line says a lot about who we are and what we want. sounds romantic, right? also, what does apple want?

the new products they introduce, are there any game changers, and why is tim cook hoping everything is phab? that's right, that's phab with a p-h. into the break, take a look at stocks ending the week.

some people think vegetables are boring. but with green giant's delicious seasonings and blends, we just may change their minds. ho ho ho green giant! you say avocado old el paso says... zesty chicken and avocado tacos in our stand 'n stuff tortillas . (record scratch) you say stand n' stuff tortillas

old el paso says... start somewhere fresh well, it shouldn't surprise you to hear that one-third of american marriages today begin on line, thanks to our increasing comfort with using technology to share the details of lives. when those details become data, however, how valuable is that information? christian rudder is the president and co-founder of dating site okcupid. he's also the author of dataclysm, who we are when we think no one is looking. i've been waiting to talk to you about this because it gets me pretty excited. we know data is collected by

governments, we know it's collected by companies, but what do you see when people really let their hair down when they're on dating sites and things? >> i will definitely say working at okcupid the last ten years has made me a cynical person in a few ways. i now have a daughter, so that gifrz me ho gives me hope for the future. i guess the difference is what people will tell you they're up to and then what they go and do. especially around loaded issues around sexuality and race. people will say one thing and then act out a darker narrative, so to speak. >> give me an example. >> it's 2014, so when you ask is interracial marriage okay, almost everyone is going to say yes. then when you go back and look at the data and who is going out with who and who is messaging, there is very clearly delineated lines between the races. >> let's talk about a few other truths because what you found in the book is truly amazing. you've uncovered millions of

people, millions of answers from okcupid members, and they've told you a few things on the way. another truism is straight women think women have an expiration date. >> i look at the ages 20 to 50 because those are like the core ages on a dating site, and you look at who is kind of into who or who is liking who on there. if you go by age, when a woman is 20, she wants a 20-year-old guy, 25-year-old guy. when a woman is 35, she wants a 35-year-old guy. when you look at men 20-50, they all want 20-year-old women. men get older but they never really grow up. >> a woman's expiration date is 27, 28, 29? >> according to this, it's basically as soon as you can vote. sorry, as soon as you can drink. i forget the voting age is 18. we know there aren't actually 40-year-old guys dating 20-year-old women. she has to be into it, too, and that's never going to happen. they kind of compromise upward.

guys tend to message the most women who are maybe 10 to 15 years younger than they are. >> still a 10 to 15-year age gap, though. >> and there's a certain amount of settling, i guess, or negotiation, if you want to think about it in a business sense, you know. >> something else you found is people in some states shower more frequently than people in others. how did that come about? >> we ask a lot of questions on ok cupid just straight out to people. we found vermonters and people who live in oregon shower less than the rest of the united states, basically. which fits the kind of granola vibe. >> because they don't want to waste water, right? >> maybe, or they're just chilling out in their long johns. i'm from arkansas and the south is the most shouwered part of te united states, for whatever that's worth. except jersey, like "jersey shore," i think that's probably good for a shower.

>> you looked at how many cupid users type versus actually sending messages and you found a discrepancy there. what does that tell snu. >> i think the thing that really popped out of that investigation is there are a lot of people that kind of cut and paste a message. they have their little script or their line, so to speak, their pickup line they use on line, and a guy will take that and it's worked once or twice, and it's like, hey, why not, i'm going to send the exact same message to 20 people. the first time i saw that, i was like, wow, that's kind of weird. there would be a message 120 characters long, but according to the data, they only typed one character. but it was control v with the same character they type. >> if you think about it, that's no different than the bar scene. >> i've told the same stories to people over and over. you know, even about this book, you go through a little song and dance one way or another. if things had -- and that's why

i wrote the book, because web sites are so connected to people's lives, like facebook kind of reflects your family and friends, cupid embodies how you find love or sex out there, that what people do on line isn't all that difference than what they do in person. >> christian, thank you so much for coming in. >> sure. we're "on the money." does apple take a bite out of the competition with any of its products? why a company is hoping your credit card goes the way of your vinyl collection. your money won't go far if it's eating up your savings. at 1-800-dentist, we're about one thing.

helping you find a dentist you'll want to go to for the rest of your life. we've helped over 8 million people find that dentist, and we can do the same for you. call 1-800-dentist today. ♪ call 1-800-dentist today. ♪ ♪ turn around ♪ every now and then i get a little bit hungry ♪ ♪ and there's nothing really good around ♪ ♪ turn around ♪ every now and then i get a little bit tired ♪ ♪ of living off the taste of the air ♪ ♪ turn around, barry ♪ finally, i have a manly chocolatey snack ♪ ♪ and fiber so my wife won't give me any more flack ♪ ♪ i finally found the right snack ♪ ♪

that's tim cook introducing a kim of his closest friends to bono at the big launch party this week. but there was more in the air in cupertino, california. the big launch of the iphone 6 was a big event for apple, and are there anything big tech geeks or adapters are more likely to buy? meet dan ackerman, ceo. dan, thank you for being here. >> good to be here. >> is there a home run they hit with this apple product line? >> i think it's that they caught up to where they need to be. they're outdated in the last couple years, it was a much smaller screen. a lot of people flipped over to

the android phones with the bigger screens. a lot of people like the bigger screen. you can put a whole calendar on it, read books on it real easily, and the little 3-inch iphone screen just wasn't keeping up with the times. >> i was impressed with the whole apple payments line. that's pretty cool, the idea that i could shop easily like i do on amazon. >> that's not as big as having a hard product like a wrist watch or a phone, but that can really help digital payments. people have been trying to get into that digital wallet area. if apple can keep a cohesive view of it, that it works in all the apple stores you go into, that's really huge. the process of carrying plastic cards is kind of archaic. >> it is archaic.

it's easier, which is key. the new iphone 6. it's a bigger screen. it's not as big as a tablet, but we'll call it a phablet. >> half phone, half tablet. i remember back in 2000s, everybody competed to see whose was smaller. now phones are getting bigger and bigger. i thought it was ridiculous at first, and then i saw people walking around with the big 5.5-inch screen phones and they loved it. i got used to it, and i got big screen envy, so at least if you're an apple user, you can get that big 5-inch screen that's now almost tablet-like. >> what does the i mean? >> it's i this or i that, so maybe they want to make the statement that it's more of a wristwatch, less of a gadget. >> it's not out at the holidays.

is that a method to their madness? >> you have to get it out there and give software developers access in order to develop apps for it. to do that, you have to publicly announce. you can't do it as a secret program with something as potentially big as a watch, so this was for people in the industry and for us to get a peek. they'll come back later and make a consumer case for the watch. >> was this tim cook's moment in the sun? was this kind of him taking control of the company and stepping out of the shadows of steve jobs? >> it's kind of his regime. you always heard about steve jobs' five-year plan, he left tons of materials behind that people will be building on for years. at least with the watch, it's something he can claim is entirely his. >> dan, thank you very much. good talking to you. up next "on the money," a look at the news in the week ahead. and retiring rich might be as easy as changing your zip code. from the cost of living to

health care, we have the best places for retirees. that's next.

for more on our show and our gers guests, you can go to our website and follow us on twitter. on monday prince harry will celebrate his 30th birthday. he'll also be receiving a $17 million inheritance from his late mother, princess diana. on tuesday, the foc will be

kicking off its two-day meeting on policy. a share of u.s. investors and what could be the largest public offering ever. on wednesday we'll get the price index for august. thursday it's home construction for august. on friday the highly anticipated iphone 6 actually hits stores. should i stay or should i go? it's a decision many people in their retirement age are thinking about. choosing whether to retire in place or move to a new location could make or break your nest egg, though. sharon epperson is here with tips on deciding what to do. she has some of the best cities for retirees as well, and sharon, thank you for being here. >> thank you for having me, becky. it's a big question. >> it's a huge question. you have the baby boomers asking this question now. there are big expenses and small expenses. what do you really break down before you decide whether to move or not? >> keep in mind if you moved before and your employer helped

you, maybe they paid for it. how much is the moving, how much of the packing do you do yourself, so that's something to consider. also think about the cost to sell. what do you need to do to fix up your home to sell? you love this home, you've been there for decades, but is it really up to code? and that can cost. then you have the real estate agent fees. then there's the cost to buy. a talked to a real estate agent that has an effective strategy for her clients. she advises them to stay in the area renting for six months before you buy. >> if you decide that you do want to move, that that's the best decision for you, what do you then need to consider? >> most people look at the cost of living in terms of financial considerations. look at the affordability of that area and consider all of the costs that are involved in moving there, and in terms of transportation, in terms of the daily expenses that you're going to have to pay, that's one of the high priorities. but also taxes. a lot of folks now are paying

close attention to what the taxes are going to be, the property taxes, the income taxes, whether or not there is income tax in that state. people don't just move to florida because of the weather. it's a no income tax state, so that's one of the reasons a lot of folks like to move there. and increasingly, people approaching retirement are thinking about how can i pay for my health care in retirement? >> if you take all those factors into account, where are all the best places to retire? >> there are web sites who do lists on the best places to retire, and it's important to look at what they use for their rankings and what the metrics are. one of the sites i saw that was best was wallethub. they used about 25 metrics, and their top city to move to would be tampa, florida. florida is on here a couple times. orlando, florida is on there as well. but it's interesting that one of the cities, grand prairie, texas, one of the reasons it's on there, it was number two in terms of health care. so a lot of folks are interested in that.

>> what about overland park, kansas showing up on there? >> that was also health care, and another important consideration, a lot of retirees, whether you have to for income or you just don't want to sit around, they want to work. so that was another top community for finding a job after 65. >> perfect. sharon, thank you so much. that's the show for today. i'm becky quick. thanks so much for joining me. my guests next week, venture capitalist and founder of pay pal, peter teal. keep it here. we're "on the money." have a great one and i will see you next weekend. latte or au lait? cozy or cool? exactly the way you want it... until boom, it's bedtime! your mattress is a battleground of thwarted desire.

enter the sleep number bed. designed to let couples sleep together in individualized comfort. he's the softy. his sleep number setting is 35. you're the rock, at 60. and snoring? sleep number's even got an adjustment for that. you can only find sleep number at a sleep number store. right now, save $400 on our most popular mattress. know better sleep with sleep number. some people think vegetables are boring. but with green giant's delicious seasonings and blends, we just may change their minds. ho ho ho green giant! you say avocado old el paso says... zesty chicken and avocado tacos in our stand 'n stuff tortillas . (record scratch) you say stand n' stuff tortillas old el paso says... start somewhere fresh

>> the gnat natural organization for women says commissioner goodell has got to go. this is the weekend edition i'm shaun. fall out from the ray rice video now threatened to take down the commissioner of football. now president 0neal is calling for resignation but very loud voice in sports is firing back. >> i'm sorry. i think this woman is off her rocker. she lost her mound. that's right i said it. most ridiculous nonsense i ever heard in my life. roger goodell deserve to lose his job? because why are you acting like he's ray rice