report" "nightly business report" with tyler mathisen and sue herera. >> dow record. the blue chip index closes at levels never seen before even as the day took a volatile turn. electric shock. ge loses money in the most recent quarter, and has yet another surprise for investors. an s.e.c. investigation. healthy returns. apple wants to store all of your medical records in one place. your iphone. those stories and more tonight on "nightly business report," for wednesday, january 24th. good evening, everyone, and welcome i'm sue herera. >> i'm bill griffith in tonight for tyler mathisen coming to you once again from the new york stocks whereas sue said the dow

closed at a record today after a rocky day of trading. it moved in a wide range. it rose more than 180 points on the open this morning. downs that down about 100 points mid afternoon. early optimism fade after a top apple analyst questioned their future. shares of apple fell. the rest of the tech sector followed. and it capped gains for the market as well. when all was said and down the dow rose to 26252. the nasdaq was down by 45. and the s&p lost one point. >> general electric didn't help matters. it was the worst performing stock on the dow index falling 2.5% after disappointing quarterly results. and they had another surprise for shareholders. >> call it another kitchen sink quarter. general electric missed

expectations and announced an s.e.c. investigation into their $15 billion insurance charge. they are saying the investigation is early and not unexpected given the magnitude of that charge. still it spooked wall street. even analysts with buy ratings on the stock found little to be optimistic about right now. >> not thing. except that one thing, 2018 is going to be an awful year. in terms of what john flannery walked into, this is the biggest mess since tycho international over 15 years ago and save the ticker symbol. >> since taking over, john flannery has already cut $1.5 billion of costs with plans to cut more this year. he has said repeatedly that everything is on the table, including a possible breakup. but investigators looking for more clarity on that long term strategy didn't get it today. >> we have a team dedicated to considering all the details, and looking at the options that will

deliver the best value for your shareholders and the most attractive jobs for our employees. the truly enduring strength of ge lies in our people. there will be a ge in the future, but it will look different than it does today. >> other key takeaways, industrial cash flow for the quarter and the year were better than expected. and ge did reaffirm its 2018 earnings and free cash flow guidance. welcome news for analysts who were bracing for a vision lower. the health care and aviation segments grew, and baker hughes, the oil services firm in which ge is a major stake holder posted better than expected results. once again, power proved to be a huge issue. profits plunged almost 90% last quarter and the company is now warning it may get even worse in 2018. >> when he first had his restructuring announcement in november he said they were going to sell off $20 billion in assets. it seems like maybe power is on the table. >> it's hard to value a company when you don't know what direction to go in.

>> that news sent shares lower again today. for "nightly business report" i'm morgan brennan at the new york stocks. elsewhere, the airline sector hit turbulence today after wall street expressed some skepticism about united continental's announced growth plan. as we reported last night the airline reported better than expected earnings and revenue, but investors are focusing on the company's aggressive expansion strategy. the concern is that it could lead to an airfare war. the company's ceo says he is not surprised by that response. >> it is a highly competitive industry. always has. we do this every single day, every day of the year. and so competitive response also come and go. i think what's important is for united to have a very defined strategic transparent plan for everyone, including our investors and customers of what we are trying to accomplish and do and put the accountability behind p/e and behind us. >> shares of continental down 11% today, dragged the rest of

the sector with it as well. bill, now to the economy and the housing market. sales fell mr than expected in december as home prices rose and the supply of properties on the market dropped to a record low that sidelined some potential first time buyers. the decline follows three straight months of strong increases. president trump's infrastructure plan will reportedly result in about $1.7 trillion overall in investment over the next decade. a larger figure than previously announced. the president made that statement during a gathering of mayors at the white house today. more tails are expected at next week's state of the union address. as we mentioned stocks rose early in the trading day in part because of weak innocence the dollar. the greenback fell to a three-year low as traders tried to interpret comments made by the treasury secretary at the world economic forum in davos. the dollar has been climbing, though, for a while, and its impact on stocks and the economy quickly became a topic of

conversation among ceos at that gathering. >> usually, a strong dollar means a strong economy. but what you have today is a strong u.s. economy, and an even stronger than people expected japan, europe, and china. very often the value of the dollar relates to the relative strength. init's fine that it's weak this the short-term. >> providing the weaking dollar is happening for the right reasons makes manufacturing and exports and the u.s. economy more competitive. the other part of the story potentially is is it coming from fears of protectionism? is it coming from fears of pending or looming trade wars? >> i think that would be much more concerning if that's the reason the dollar is underperforming. >> well, the dollar has been gaining a lot of attention, as you can tell. so let's take a closer look at what a declining dollar means for stocks and the economy. joining us, andres garcia amaay the founder and ceo of zoey financial. thank you for joining us tonight. >> thanks for having me. >> what's your version -- i mean, as our economy is growing,

or stock market is at an all-time high. yet the dollar index is at a three-year low. why? >> the interesting thing is that the dollar and stocks have the relationship both young sibling. i have two little ones at home. one moment they are playing nice. the next moment they are on the floor refusal wrestling, right? if you look at the last 40 years, the relationship of the dollar and stocks has turned from hot to cold of the right now it disturbs out there is a negative relationship, meaning when the dollar is falling, stocks tend to go to be rising, but it mean there is causality. meaning just because the dollar is falling that's not the reason the stocks are rising. you have got to remember, the dollar prior to 13 months ago had been rising for five years. and stocks were also rising. there is not a direct relationship there. no causality between the two even though right now it seems to be the case. >> andres, what about the cycle of the dollar? it tends to have longer cycles. what is that telling us about

what it pour tends for the economy and also for stocks if indeed we have started a new cycle? >> that's a great question, because when you look at the long term, the dollar is like this tank that once it starts moving in a direction it's very hard to turn around and move the other way. and we had a very strong bull cycle for over six years. and now we are maybe in the second or third inning of a bear cycle for the dollar. so i think there is still a lot of room for the dollar to continue to depreciate and actually, in the earlier clip you had jamie dimon mention this relative growth story. i think that's one of the main drivers meaning yes the u.s. economy is doing great. but it turns out the rest of the world is actually growing at a paster face. it is a sell rating at a faster pace and that tends to be dollar negative. >> before we let you go, what this means to our viewsers out there, typically a lower dollar means higher inflation eventually. is that where we are headed? >> the way i would look at this is for stocks there is not

direct relationships here in the u.s. but if you are looking at what opportunities that might present itself is international stocks do have a strong relationship, meaning when the dollar is weakening and you are a u.s. investor, you are buying stuff abroad in which the currency is appreciating. that's something to keep in mind. yes, you are right arc weaker dollar does tend to have an inflationary pressure to the economy, which if it's starting from very low levels is not a bad thing. >> andres garcia maya with zpoey financial, good to see you tonight. >> thank for having me. >> time to look at today's upgrades and beyond grades. mckesson upgraded to buy from hold at jeffries. citing stable drug prices and also its discounted valuation compared to its peers. the price target was increased to $205 from 165. it rose more than 2%. huntington bancshares was downgraded to neutral from

outperform at mccrary. the reason is valuation. the firm kept its price target at 16.50. hunting ton closed at 16.11, up seven cents. >> amiles an hour audio sees microsoft as what it called an integral part of an enterprises digital transformation. nomura has a $102 price target on microsoft. shares touched a 52 week high before closing at 91.82, down eight cents. and not great news for valiant farm suit cycles. goldman sachs gave it a sell rating citing a difficult balance sheet, ongoing risk and muted near term growth due to competition. the price target they put in, $18 a share. valiant closed at 19.88. it was down 11%. still ahead, will the new tariffs dim the once bright is he lumbar outlook?

at&t is urging congress to pass an internet bill of rights. that would guarantee an open internet and privacy protections for customers. the company took out full page ads in multiple newspapers today. at&t's ceo said it's time to end the so-called net neutrality debate once and for all by writing new laws. qualcomm has been fined more than $1 billion by the european union. the eu says qualcomm paid apple to use its chips exclusively for the iphone and i-pad. the watchdog ruled that the chip maker took advantage of its dominant position in the market.

>> it's illegal behavior denied customers sp other companies the benefit of effective competition, namely, more choice, more innovation. and this in a factor where there is a huge not only demand, but also potential for innovation. >> shares of qualcomm finished the day down just a fraction. bill? >> lg electronics plans to raise prices on washing machines. after the president's approval this week of steep tariffs on imported machines which we told you about yesterday. consumers could see prices go up about $50 on most of its washers and dryer models. it's not immediately clear whether lg competitors will follow suit. and the solar industry, bill s still trying to figure out the impact of those tariffs on its business. for one company the future is pretty cloudy. eight aditi roy is in san jose,

california, for us tonight. >> reporter: silicon valley based sun power has been in the solar business since the 1970s, making and installing solar panels and cells. but over the last decade the industry and the company has been on an upswing. sun power recently built this r and d lab. the solar industry has also exploded, with improved technology bringing down costs, and more homeowners, businesses, and utilities incorporating solar energy into their systems, creating tens of thousands of jobs every year. but now, with president trump announcing tariffs of up to 30% on imported solar panels and cells, industry officials worry that blazing growth could come to a screeching halt, given that nearly 90% of u.s. solar panels and cells are imported. >> if it stays as is it's really bad for sun power. >> reporter: tom warner is the ceo of sun power. while the u.s.-based company

manufactures its own solar panels it still has to pay the tariffs, because sun power has manufacturing facilities in other countries. >> custom seems really ridiculous. you have got an american company. billion dollars of payroll in the last five years in america, and you see some of it here, with unique technology that american customers want and we are going to pay the highest tariff. >> reporter: he says it could mean job cuts to the company's 1100 member work force and the 17500 other jobs it supports like installers and suppliers. and warner says it doesn't make financial sense for the company to bring its manufacturing back to the u.s. because the tariffs only last four years. and it would take two years, and hundreds of millions in capital to build a manufacturing plant in the u.s. >> our shareholders expect a profit f. we have more costs, the money has got to come from somewhere. >> reporter: they are not alone. the solar energy industry association estimates 223,000 u.s. manufacturing jobs will be

lost this year because of the tariffs, saying most u.s. solar companies either rely on imported panels and cells or manufacture other components that would not be protected by the tariffs. with their costs rising, they will either have to make cuts, raise prices, or both. it's unclear how much consumer prices would rise. for now, sun power plans to apply for an exclusion and hopes the company will not have to pay the tariff. >> we will pay more tariff than any other solar company in the world. >> reporter: some u.s. solar companies stand to benefit from the decision. solar world one of the caps that brought the original complaint that led to the tariffs say the tariff will be enough to alleviate the import surge. united technologies reported higher sales in all of its gigs. that's where we begin tonight's market focus. the jet engine and elevator maker topped expectations and

said it expects sales growth momentum to continue this year. utx said a strong driver of future revenue will likely come from its gtf energy. the company is touting it for its reliability and fuel conservation. >> last year we shipped about 374 engines. importantly, that's triple the production rate we saw from '15. 2018, we probably ought to get to double the production again. importantly, there is about 8,000 engines in backlog. this is the future of commercial aviation at pratt whitt me. customers love it. >> shares fell marginally for utx today to $135.68 a rise in sales helped industrial supplies company granger report improved earnings that topped expectations. they also said it was raising earnings guidance for the whole year thanks to the company's latest results and tax reform. shared popped by 18%. matter of fact it was the best

performing stock in the s&p 500 today, closing at $271.97 and comcast reported stronger than expected earnings thanks to strong performance in its theme parks and growth in high-speed internet subscribers. the cable conglomerate raised its quarterly difficult send by 21% to 19 cents per share and plans the buy back $5 billion of its own stock this year. comcast shares rose 1% to 142.99. full disclosure, comcast owns cnbc, which produce this is program. hier on board spending and lower operating cost helped royal caribbean cruise pass expectations. the company also says it is in a good position to raise price this is year thanks to a strong number of bookings. >> we are in a very good book position. we normally turn the year with about what have of the next year booked. this year we are at the highest

record, highest level of bookings in our his re. >> shares rose 1% to $132.51. >> puma biotech says its breast cancer treatment is facing regulatory hurdles in europe after it won approval here in the u.s. european officials raised questions over the medication's benefit risk assessment adding it likely will not be approved without additional trial data. puma biotech shares plunged 28% to $64.70. after the bell ford posted profits that missed expectations. sales were stronger than expected and the automaker said it made significant progress in its strategy to expand its smart car capabilities. ford shares initially slipped but ended up fractionally up to $12.05. apple is adding new battery features to its nextor, os update. the company is going to allow users to turn off feature that

slows down i-phones that run on older batteries. last month applicant confirmed it could slow down the performance of older model iphones that caused a backlash among users and resulted in a number of lawsuits. apple is making more inroads in the health care space. the tech giant said an upcoming iphone update will give users the ability to view all of their medical records in the phone's health app. christina fehr has the details of apple's latest push. it is amazing, christina, but should we be concerned about all of our health data getting into the wrong hands if it's all in one place? >> absolutely. and that is a great question, sue. but a lot of people have been asking it. we are not just talking about the data you get from a fitbit like your steps. we are talking with your lab reports, immunization, all of your procedures and apple is going to have that now on the iphone. but the company told me yesterday that it wants to make clear it's not going to have

access to this data. it won't see it. that you can feel secure. and it will be corrected of course with your pass code. it's really about the relationship between you and your hospital or you and your doctor, and not about apple. >> christina, as you well know, this type of business is littered with failure. microsoft and google have not been able to make this a success. in fact google health shut down because consumers were not using it. why should we believe that apple will be successful this time? >> absolutely. it was 2011 when google announced it was going to shut down its google health idea. it was same thing, can we bring medical records into a place where consumers can view them for the first time. because it is a haasel not to have that information there when you need it. it didn't work because of lack of traction. things changed from a regulatory standpoint, from a health privacy standpoint. sutd suddenly it's become possible for a company like

apple to really do this and make it work. ive seen it, played with it. it's just a lot easier. i think this is going to get much broader adoption than we've seen before from a company like google. who knows, maybe they will follow suit and try the same thing out again if apple can make it work. >> keep track of it for us christina, thank so much. christina fehr with cnbc.com. coming up, why americans are falling out of love with the king of beers.

toys are us is closing 20% of its stores. 180 locations. it is part of the strategy to emerge from bankruptcy, which it declared last year. toys "r" us is facing increased competition and a shift toward on line shopping. the closures are expected to begin early next month. golf is a passion for many, especially bill griffith. but it is also big business of it's estimated that sport generates almost $70 billion in economic activity in the u.s. annually and it supports about 2 million american jobs. dominik chu travelled to orlando to see how that industry is holding up. >> reporter: it may be the middle of january, but the sun is shining on the golf industry a. business once in recession is enjoying a recovery. the pga merchandise show known as the major of golf business is evidence of how far the sport has come. 40,000 people, and 1,000 companies in attendance.

ten miles worth of display aisles and corridors showing off the latest golf trends and gadgets. this year, the game's industry leaders have reasons to celebrate. >> i think the golf industry should be excited about three things. number one, advanced technology from companies like taylormade. number two, initiatives across the board to get juniors into the game. and number three, the excitement going on in the worldwide tours and specifically on the pga tour with the world's best athletes. what's not to get excited about? >> reporter: more people are taking up the game and squimt sales are on the rise but there is still work to be done. >> the game needs to be more diverse. the game needs to look more like the face of american society. how do we do that? we are whole heartedly following ways and building initiatives to bring more diversity into this game, to make it more accessible, as i said, to bring more women, bring more children, boys and fwirls, bring more minorities into the game. >> reporter: bringing younger generations into the game is something many companies are actively working on.

>> it's all about game enjoyment. on the puma side, look and feel better, stylish stuff. and more data, more information to help the golfer practice better and practice smarter. >> reporter: the meetings and conferences that happen here are going to set the agenda for the entire golf industry both this year and beyond, all with the ultimate goal of growing the game. for "nightly business report" i'm dominik kmu in orlando, florida. >> yes i'm told that americans do love golf. but they also love beer. and for the first time ever, america's three top selling booers are all light beers. one iconic american brand isn't as appealing as it once was, apparently. landon dowdy has our story tonight. >> reporter: the king of beers is losing a about it more of its shine. budweiser falling one spot to fourth among the best selling beers in the u.s. according to a report by beer marketers insights.

anheuser-busch's flagship brand trailing bud light and coors light and miller light. the move continues a downward trend for budweiser which held the top spot until 2001 when bud light dethrowned it. budweiser is not alone in falling sales. all four of america's top selling beers posted declining domestic sales last year. it is a trend that reflects the overall struggle in the beer industry as consumers turn to wine, spirits, and craft beers. >> you have consumers who are gravitating to a whole wide variety of different brands now, craft beers, import beers, bud is one of the larger brands that has a huge target on its basket and it's one of the most impacted. >> one bright spot for anheuser-busch. the michelob ultrabrand. for the 36th year in a row the

company will be spending big on ads during the super bowl. but it remains to be seen if that buzz can translate into increased sales. for "nightly business report" i'm landon dowdy. before we go here's another look at the record day on wall street. the dow rose 41 points to a record. but nasdaq fell 45. and the s&p 500 was off one. that will do it for us tonight. i'm sue herera. thank you for joining us. >> i'm bill griffith. have a great evening. see you tomorrow.

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