thestreet.com, our kwaublt rating service provides ratings on over 4300 stocks. learn more at the street.com/nbr. inside intel and the view today is not pretty. wall street questions it's mobile strategies. causing shares of the world's largest semi conductor maker to drop by the most in ten months. all that glitters isn't gold. the medal town sharply and sees a slide continuing into 2014. gold safe haven or bad bet? we'll explore. and market monitor. the guest has a list of stocks that may grow dividends and

increase buybacks in the new year. that and more tonight on "nightly business report" for this friday, november 22nd. good evening everybody and welcome. investors poured more money into stocks driving the dow and s&p 500 to new all-time closing highs. for the s&p 500 it was a milestone day and settled above 1800 for the first time ever. it is now up seven weeks in a row and now stands 27%, the s&p above where it started the year and if the index stays at that level through year end, the annual gain will be the greatest in 15 years. the favorable reading on midwest manufacturing helped stocks today, so did a report on job openings. here is how the market closed out. the dow up 54 points, good for the 41s record close of the year and the nasdaq added 22 points and less than nine points away from the 4,000 milestone and the

s&p was up nearly nine to close at 1804. one dow component didn't benefit, we're talking about intel. shares tumbled more than 5%, now just yesterday intel was the best performer in the dow so what happened? the company disappointed invest tors forecasting sells of computer chips that will be flat as it makes a stronger bush into mobile devices. invest tors are questioning the mobile strategy. dominic chu has more. >> reporter: intell is in for big changes. the pc's business, intel's life blood continues to stink whihri. worldwide, 80 million pcs shipped in the third quarter including laptops, down from 8% a year earlier. intel is playing catch up. >> it's an enormous threat. it caused them to actually fund

mentally shake up the business model. >> reporter: executives acknowledged thursday they under estimated the mobile revolution. andy said they are paying the price for that now and was personally embarrassed. the ceo said intel will make high margin chips and try to target top tier cell phone makers with new chips but storm warn intel has no technology to dominate. >> in a mobile world we care about the connectivity portion than the compute. it still sounds like they are caught in backward-looking thinking and haven't yet found out the vision or the answer that's going to allow them to succeed in the future. that's the problem. so basically capital intensity is on the rise and as a result. the guidance, at least from gross margin perspective is concerning. >> reporter: the road will be especially tough for intel considering apple and samsung

dominate the high end of the market. samsung buys chips from qualcomm which won't surrenderer that business and apple designs its own chips. so intel's best bet may be the lower margin business of building from apple's blueprints. the icon of the industry has suddenly become cloudy. for "nightly business report", i'm dominic chu. stocks may have rallied this week but gold didn't. today it added 31 cents but the weekly decline was 3.7%, worst in two months and on wednesday touched the lowest level since summer. this comes amid a flourishing debate about whether investors should continue to inveps in the precious metal at all. just this week, analysts at goldman sachs predicted a significant decline in gold prices but david ianhorn says it's a good idea to keep gold in your portfolio.

>> what we really own gold for is just in case something goes really, really haywire. and what i'm thinking about is in terms of mostly the monetary policies but also the fiscal policies that are being run by the economy. >> gold prices have fallen around 26% so far this year. >> should you follow david ianhorn and buy gold for the portfolio? our guests have different answers. cooper says no, she's precious metal analyst and mark is more bullish predicting gold will get up to $1500 an ounce. he's chief investment officer at merk. suki, make the case why you think investors shouldn't put gold in their portfolios. >> if we look at the two key factors driving gold this year, on the one handist investment demand and we've seen sizable

disinvestment, whether exchange traded product or in the future of the market and that's because investors are attracted to other assets. the second factor, it's the physical market. when we saw the strong buy from india and asia, a strong period for demand and haven't seen the same level of activity coming through from india or china which could start to pick up before the chinese new year. the key factors are lending very little support to gold and further more, gold had a number of positive factors to push prices higher so far this year and prices have sidelined entirely. so we think the risk to the gold is to the downside. >> suki says the risks are to the downside, which doesn't mean you shouldn't hold gold for the long term. make the case for it. we got lots of debt around the world. currencies people question but there is no inflation right now.

>> the biggest risk i think that's out there if you look at market sensitivity is economic growth. bonds are bound to plunge if we get economic growth. we cannot afford positive real interest rates. we could pay a trillion dollars more a year ten years down the road on serving government debt if we go back. we can't afford that, so we have to air on the side of inflation. the fed will air on the side of inflation so i think gold is a very good hedge and diversifier. you want something that goes down in an up market and something everybody is hating. so yes, the trend is downward but when the s&p goes up in a straight line, i would want to take chips off the table and gold is much cheaper than it has been. >> you're making the case gold is a safe haven investment so suki, let me ask you, david saying he's owning it because just in case things really go haywi haywire. do you say gold doesn't save the safe haven status anymore? >> previously we saw gold with

quite a good hedge for the financial uncertainty, whether credit market or counter party risk. that environment gold flourished. right new this year we seen political tensions rise and gold rise a bit. we had so many other factors where gold should have done well like during the u.s. government shutdown and prices fell. some investors are looking elsewhere to perhaps their currencies for a safe haven rather than looking to gold as a save haven hedge. >> axle, let's say i'm persuaded by your argument here. if so, how much gold should i hold in my portfolio? how much do you have in your own portfolio, that may be a different way to ask and what form should i buy it? >> any asset one has to think what one can stomach. in the hot currency we have 13%. i personally have substantially more and simply because i like the diversification. i'm scared when there is come play sen see. the s&p goes to new high s when

bonds are expensive. by all means, gold has come down but making a better and better volume. i have a substantial portion of my own net worth in gold and others have to decide for themselves but clearly, if you just think you're going to chase the market because it's doing well and you sell gold because it does poorly, that's the wrong way to look at it. >> axle, would you own the metal or the stock or, you know, how would you fill your portfolio? >> reduced volatility of the metal but clearly, if you think gold is going to go higher, odds are the mining companies with the focus of nonprofits might do better, but still, i think we'll have volatile periods and the low volatility i prefer in the metal. >> thank you both very much. tyler? axle was talking about low interest rates and charter communications likes the rates.

it's exploring a possible bid for the larger rival timewarner cable. in the meantime, comcast, the nation's biggest cable company and the parent of "nightly business report's" producer cnbc emerged as another potential bidder for timewarner cable and maybe parts but there are anti trust concerns as the combined company would have 1/3rd of the nation's cable homes. timewarner cable, the second largest provider up 10% in heavy, heavy trading today. charter and comcast were also higher. television viewers are always looking for something new to watch but lately, a lot of the hottest shows can't be found on tv. they are on websites and streaming video services like netflix and amazon prime. that's why there is a big rush to develop new online content from old studios and also from startups you probably never heard of. julia boorstin has more. >> reporter: you may never have

heard of maker studios but the viewer numbers dwafg, they have 340 million subscribers with 5 billion monthly views. >> this is now becoming mainstream medium, a main stream medium and if you're an add vatizer, you want to target the breach, engagement and measurement. all of which actually not very effective in television. with online, you can really optimize the opportunities. >> reporter: it comes from advertising but its built the internal add agency to help advertisers create branded content and building a retail business selling everything from music to products related to the youtube stars. despite the fact that maker studios has to share 45% of the add revenue with you tube, big

names still see massive potential. media giant timewarner investing $25 million. in part to understand the fast growing youtube echo system. >> startups aren't the only ones created streaming video content. with netflix' successful originals like "house of cards," they are creating original content to distribute through the xbox platform and transform the way people interact with content. >> we're changing it and certainly through xbox you can voice control and create -- you know, you can actually tell what you want to watch, and they will get it for you. every as spect of the business is changing. >> reporter: the question is those in the works from microsoft will threaten the media status quo. >> there is a new world of competition that we know is going to have an impact. how big and how much it impacts when did ad dollars shift?

we don't know the timing but there is fear creeping in. >> reporter: for "nightly business report", i'm julia bar ston. still, microsoft launched the xbox one and an ambitious plan to become the entertainment hub in your living room. a big day at microsoft. the xbox 1 hit store shelves today but one week after sony released the all new game player raising concerns about how strong sales of the xbox will be and what this new generation gaming console means to microsoft. josh lipton reports. >> reporter: microsoft says this will be the biggest xbox launch ever, twice as big as its last

console launch eight years ago. gamers lined up from coast-to-coast waiting for the new device. >> the line is not so fine. it's pretty cold, but it will be worth it. >> the games, the games are -- they look amazing. the frame rate, 1080 p, they look amazing. >> reporter: mike socht does have to deal with serious competition. sony said it sold 1 million of its new consoles, the playstation four in just the first 24 hours after it launched last friday. the two consoles do have their differences. one is price. the xbox 1 costs 4 99 dollars, $100 more than the ps 4 and there are different functions. both consoles in audition to gaming can you the about toy to stream movies and musics and the feature with voiced-based

commands. but not everybody on wall street is as excited as the gamers. rick recently wrote a tough note about the xbox calling it a distraction and costly side show he estimates loses $2 billion for microsoft a year. but a chief officer for the xbox disagrees. he sees great potential for the xbox 1. >> yeah, so we've been profitable with xbox for a number of years, and the opportunity now is to go console gaming today, 300 million people, a billion people play games. the opportunity to grow in the gaming sector is huge. gaming, as you know, is the fastest growing entertainment sector. >> analysts i spoke to say microsoft is trying to do what it's rivals like apple, google and samsung are doing, controlling your living room. in the long term, that could be the real potential strategic opportunity for the company. josh lipton, "nightly business

report", san jose, california. well, despite a decline in profit, shares of footlocker rallied and that's where we begin. higher expenses caused the athletic apparel third quarter net income to slip but they beat estimates and say same store sales rise. that sent shares on a 4% run up to $38.27. pets mart pets services business helped the company grow profit by 12% in the third quarter. the pet centric retailer, the company lowered the guidance for the year which disappointed investors and sent shares almost 2 per 2% lower on this otherwise up day. $73.53 there. ink got a lift. the retailer posted quarterly earnings that beat estimates but margins were down because of a competitive promotional retail environment.

also, ann trimmed the forecast ahead of the holiday shopping season. that worried investors and the stock fell to $36.20. wall street bought up shares on the trading debut. this high-end retailer is the first apearl ipo since michael kors. shares were priced above the expected range at $20 and it closed well above that at $28.66. that's up 43%. and shares of bio again soared to an all-time high after the multiple sclerosis treatment got the okay from regulators in europe. biogen has ten years of market exclusi exclusivity. it jumped to $87 and change. the market monitor predicts in the new year many americans will spend cash and many of them will use money to pay bigger dividends and buy back the stock.

he's ed perks, portfolio manager from franklin temple ton investments. ed, why are you convinced americans will do something they haven't been doing that much so far? >> yeah, good to be with you, tyler. the last several years, as to be expected, companies were more focused on balance sheets. so we saw a lot of attention not just building up cash balances but extending debt maturities and a nice runway of liquidity and we've seen companies start to shift the focus, and to some extent go completely the other direction with a feeling that look, these are still, even though rates have moved up somewhat, these are still near record low, all time debt fee nancing. let's look the rates in for a longer term and let's pay dividends and buy back stock. we think we saw a transition and

expect that to continue into 014. you have a couple stocks to tell us about, bp, it has a very rich dividend, 4.5% but it's a controversial company. tell us why you like it. >> bp increased the dividend and have been focused on dealing with the tragedy from 2010 in the gulf of mexico, and through this entire process, it's led the company to, in many respects, kind of rationalize the asset base and refocus around the core as sets and as we know are at a stage where the company is really focused on moving forward, we think we'll see better returns from many of their new projects that have been developed the last couple years and really starting to make an impact in 2014 and beyond. so, you know, we expect good cash flow from bp and continued dividend growth. >> another one you like is dow chemical, why not dow and say

dupont or another big company? >> there are many companies we like and themes that are important. one thing that is positive about this overall, the economy in 2013, we finally have an important end market, the housing and construction related markets starting to contribute to economic growth, starting to contribute to job growth. dow chemical in many aspects is a play on that and market as well as the automotive market that showed some nice strength. the thing i like about dow is that you do have kind of self-help measures, if you will, a company that does have a portfolio that they can look at and look for opportunities to die vest maybe non-core areas and we think they will use that capital that's generated from that of certain businesses to refocus the company to award shareholders. >> let's move away from industrials.

you have coca-cola as another stock. here is a company struggling lately. make a case why this is a buy at $40 a share. >> i think it's a good example of our focus. even though we have the market as a whole hitting all time record highs for the dow and s&p. i think you can look more receively at individual companies and find opportunities by good companies that add more attractive evaluations. coke, until recently it popped up a bit over the last month, but investors were, i think, a little disappointed with recent results, particularly weakness in brazil and mexico. when you look past that, the u.s. market in many other developed markets were performing better for the company. so we see better press speospecg forward. it does have attractive dividend yield and this is probably a better example, a high quality company that has an outstanding share purchase program with more than 10% shares -- >> perfect. we to leave it there. ed, do you have any disclosures

there personally for your funds with respect to the stocks. >> no, i own all these stocks through my holdings through the fund. and coming up on the program, we'll take you to trenton, new jersey where balancing the budget means cutting the police force even in the face of rising crime. it's the last stop in the series mission critical, fixing america's cities. another sign the affordable care acts online marketplace isn't where it should be yet. consumers still looking to sign up for health insurance through the federal healthcare.gov website will get an extra week to choose a plan and qualify for coverage on the 1st of january. officials are extending the

deadline for enrolling in a plan from december 15th to december 23rd, call ate christmas gift. in tonight's final installment of the series mission critical, fixing america's cities, we look at trenton, missouri where the thin blue line keeps getting thinner and the challenges keep getting worse. scott cohn has the story. trenton is new jersey's state capital, a city rich in history and darron green says it is rotten to the core. you say rotten to the core? >> right. >> reporter: i guess this is what we're talking about. >> this is it and much more than the physical phenomenon. >> reporter: green, the community activist that goes by the nickname freedom says it's the mind set that's rotten. drugs is epidemic and so is violence. this city of 8 square miles, $84,000 has 43 murders this year. >> there is open air drug trade,

prostitution. it's craziness. >> reporter: it's not just the mind set or the fact that trenton's mayor is under federal indictment for corporation. two years ago to balance the city budget in the face of deep cuts and aid trenton laid off 105 police officers, a third of the force. new jersey governor chris christie has said the capital city should do away with the police force all together and turn law enforcement over to the county but state senator shirley turner says that's a bad idea. >> in the city in particular, you need to have people who are familiar with the neighborhoods, familiar with the people. you need local policing. >> officers need to be on the post, walking the beat, saying move on or go to jail. you have to create environments where it's safe. >> reporter: the mayor's office in trenton did not respond to our request for a comment. nationwide according to the fbi, there are about 20,000 police

officers on city streets than there were five years ago and even know one survey says about half of u.s. police departments are bracing for even more cuts. scott cohn, "nightly business report", trenton, new jersey. and finally, 50 years ago today, president john f. kennedy was assassinated in dallas. there were multiple common rations today including at nasdaq. investors received news of the fatal shooting by wire service, word of mouth, land line, phone and television. stocks did what they so often do when faced with shock. they sold off. a twitch today but then it meant a 3% decline. the market remain closed the following monday. november 22nd, 1963 lost its innocence. >> sure did and the old fashioned way of getting news, with social media today would be explosive. >> instantaneous and not one

film, there would be hundreds of imag images. >> instagram. we have to leave it there for tonight. that's "nightly business report" tonight. i'm susie gharib, thanks for watching. >> thanks from me, as well. i'm tyler mathisen. "nightly business report" has been brought to you in part by. >> thestreet.com, up to the minute stock market news and in depth analysis. our quant rating service prov e provides ratings daily on over 4 00 stocks. learn more at the street.com/nbr. 400 stocks. learn more at the street.com/nbr. 300 stocks. learn more at the street.com/nbr.

gwen: are we seeing the end of the filibuster? the end of the war in afghanistan? the end of sexual assault in the military? or the beginning of the end? plus, a look 50 years back at the legacy of john f. kennedy. tonight on "washington week." >> today's pattern of obstruction, it just isn't normal. it's not what our founders envisioned. gwen: democrats play a little hardball. >> it's time to change. it's time to change the senate before this institution becomes obsolete. gwen: blowing up rules to get the president's nominees confirmed. >> it's not about the filibuster, it's another raw exercise of political power to permit the majority to do anything it wants wher