this is "nightly business report." with bill griffeth and sue herera. record run continues. stocks rise for a fourth straight day and hit more highs. how are the markets set up for the year's final stretch? a toy-riffic return. just in time for the holiday toys "r" us is back, this time with a twist. drugs shortage.f dozens needed drugs are in short supply. some say the problem is getting worse but the reasons may rprise u. all of that and much more on "nightly business report" for this wed we bid you a goodd evening welcome. stop if you've heard this before, but stocks ended the day at record o levelse again. with the s&p rising for a fourth straight day thanks w a sf

datly positive economic which we will get to in a moment. over the past month alone, the major averages are all up more than 4%. as for today the dow rose another2 points. nasdaq climbed by 57 with apple, facendok, amazon, netflix among the outperformersthe. the s&p 500 added 13. >> as bill said, a lot o today's sentiment driven by stronger than expected economic data, and there was a lot of . steve liesman sorts through the deluge of data. >> reporter: pre-holiday deluge of data showing the u.s. economy operating a bit baert st than walet had expected. there was one warning sign about the holidayhopping season that bears watching. e government revised third quarter gdp up to 2.1%, two ticks better than expected. durable goods rising 0.6% in october, much better than the 1%

decline expected. a partial reversal ofhe sharp falloff in september. a business spending measure inside the report also improved. meanwhile jobless claims came in below the elevated level of the past feweeks and that eased fears the job market could be but aauge of consumer income in october was unexpectedly weak registering no growth.wt spending g was 0.3% but the concern is that americans don't have money for the holidays in their pockets, they may not spend. g retailers ang to have to hope that the incom numbers and power consumer spending for the holidays. for "nightly business report," i'm steve liesma there was even more econofoc ation tonight. the federal reserve summary of economic conditions, better known as the bei book, said that the ecomy expanded modestlyndetween october mid-november. labor markets remain tight. manufacturing looked mixed. but urn certainty over tariffs

continued to weigh on business . investme separately the national pending home sales which ai measures signed contracts fell nearly 2% in october from september. is of the likely reasons there aren't enough homes on the market to meet demand. good economic new helped the market reach record highs but can we expect this market to continue its climb higher for the remainder of the year? kevin keron is portfolio manager at washington cssing visers. he joins us now to talk about this. good to see you, kevin, welcome back as always. >> good to be here, happy thanksgiving. >> you too. so you do expect this market can moveigher but a couple things need to be put in place. one of them is business sentiment? >> sure. there were three pillars we were lookg for this year. number one, we needed to see the central banks prime the pump, they did that, the united states and china cutting interest o,tes. number e needed to see some improvement in the geopolitical climate.

maybe we're moving toward a deal with china, maybe some of the worry regartng bre has been pushed off, so that is an accomplishment or moving to accompheshment. andnumber three, what we really need to see now is a pickup in business confidence, show through as m business spending. because ultimately that can help generate mor earnings growth next ar. and that earngs growth has puzzle that's been missing this year. >> i said to a machine manager on the pr wram, wee talking about, gee, how things look great and the marest conti higher, that's when i start to get nervous, when we're convincing ourselves why whis markl continue to go higher. what do you think? >> the data that you inre just taabout a couple of minutes ago, this improvement in the tone and the data the lt few weeks is really important. because we've seen a slowdown in global growth, we've sane a slowdown in global manufacting, earnings year over year have been essentially flat. what we've seen latelyus are some initial signs that things might be firming up. and that would be enough to give

the markets some more confidenco as we move he end of the year. that's what we hope to see. but still we're late in the cycle. we want to be careful. we want to own very good qualits companith good balance sheets, increasing in well-covered dividends, and ultimately buying things at the right price, then you should be able to hroughhatever 2020 brings your way. >> start thinking about energy for long-term value? >> yeah, so energy is very deeply hurt in terms of their valuations. th've been a big drop in earnings. it really takes some brave -- you need to be brave to step in and buy the energy complex at tthis point. f you have a long-term perspective, that might be a good place to go. stly at this point look for quality, consistency, bit, good balance sheets. >> happy thanksgiving, thanks for joining us, kevin, shington crossingadvisers. now to the other big story on this thanksgiving eve. that wou be the wicked weather

snarling holiday travel across the country. a pair of storms have teamed up to wreak hav as pple head out for the busy weekend. one is pounding the western states with rainlong the coast and reports in oregon of wind les per hour.00 it's also dumping heavy snow in the higher elevations in that area. the second storm is tearing through the midwest. it's also bringing strongvyinds and hnow and some of that nd is going to reach the the paradin time for in the morning. >> ah, yes. as they say, timing is everything. aaa estimates more than 55 million people are traveling this thanksgiving weekend. that's close to a record high. most are driving. but the airlines are also seeing more travelers. and this year they're finding planes and airports are packed.b philu has more from chicago's o'hare air. >> reporter: the long lines at chicago's o'hare airport say it all.

the thanksgiving travel rush is. he sth many hoping to hit the road beforerms snarl flights and traffic across the country. >> i'm a little worried. my dad sent me a text saying look out for the weather reports but i haven't heard anying from tairlines. >> we're headed to philadelphia. think we manage to escape the majority of the weather, hopefully. th once we get out of chicago, i don't expect ag too bad. we get back next wednesday, hey, chico, who knows what the weather's gng to be. >> reporter: this year thanks to a strong ecy, more americans are taking off. the planes will be a little more crowded. in part because there are fewer seatshan the industry once expected. that's because southwest, united, and american are unable to fly more than 70oeing 737 maxes they originally had on their thanksgiving schedules. while there are fewer seats than planned, the average domestic airfare remains close to its lowest price in years. >> we don't see any marginal o impa fares, and in fact,

the continued affordability w absolutely see as one of the ingredients of the record mmbers this season. >> reporter: wite people traveling, more airports like new york's laguardia are seeing the benefits of bigger redesigned terminals. even olderirports like o'hare are finding new ways to move travelers through theerminal quickly. with clear prescreened danger i.d. stationspening in time for the holidays. >> i think this rlly helps the customt be able to to the front of the line. for us, congestion in our lobby and checkpoints are at a minimu >> reporter: with storms across the country, especially the upper midwest and northeast, this has not been the quiet start to the thanksgiving weekend that airlines were hong for. and that's important. because the more cancelations passengers they'll have to rebook. and the more that will weigh on their bottom line in the fourth quarte phil lebeau, "nightly business report," coming up, high drug prices can keep patients from getting the much-needed treatments their

need. happen when they become too cheap as well? we'll explain. as you see, farm equipmentmaker deereaw shares down more than 4% today after the company's latest earnings. results were better than year had investors concerned.t dominic chu looks into why the investors were saying "oh ar." >> reporter: it was a solid deere.gs report for aker of d's biggest farm and agricultural equipment beat analyst estimates for profits and revenues this past quarter. but it's the outlook for 2020 that hadnvtors feeling less

rosi rosie. trade tensions and bad weather have taken a toll among big customers, american farmers. lingering trade tensions coupled with a year of difficult growing and harvesting conditions have caused many farmerso become cautious about making major investments in new equipment. a result deere says it expects profits of between $2 llion and $3.1 billion in the year 2020. the high end o that range would still put the company's profits below what it made in 2019 and below what analysts were forecasting. the moreas conservative for comes as deere prepares itself for sale declines in key product areas. worldwide sales of agriculture and turf equipment are expected to fall between 5% and 10%, and construction and forestry equipment sales are expected to falletween 10% and 15%. while the story does sound downbeat for deere, it couldch ge relatively quickly and forcefully,ep dding how trade

policies develop, not just on the u.s./china front, but also the progress of the u. /mexico/canada trade agreement. deere says over the longer term l be good. a pickup in economic growth not abroad athe u.s. but well could shift sentiment more positively in the coming months and r "nightly business report," i'm dominic chu. more issues for boeing. that's where we begin tonight's "market focus." the faa now will be inspecting and signing off on every new 737 max jet, individually, before boeing can deliver them to airlines. that's a new wrinkle in the long-delayed certification of the planes. separately, "the seattle times" reported the fuselage of boeing's 777-x split due to a high pressure rupture during a stress test. boeing fell nearly 1.5%. raymond james upgraded under

armour from strong buy to outperform due to upbeat outlook. raymond james maintained its price target at $30. under armour stock gained more than 6% to 19.10. british american tobac is warning a crackdown on the vaping indus is going are going to hurt its sales growth. the company's forecasting its shaping revenue will be on the lower end of itsli e outlook range, but total revenue is still expected to grow. that helped shares grow today. they rose more than 4% to 39.57. apple is reportedly asking its chinese manufacturer to double production of its airpods pro earbuds. the nikkei asian review reports the tech giant would like to ct increase pron for its less-expensive arairpods. rose more than 1% day. the drug industry is under siege fei prices too high, but there is another problem

brewing, and that's what happens when prices areoo low. you get drug shortages. dozens of dru from antibiotics to pain meds to therapies for childhood cancer are listed i shortage by the fda, and the problem is getting wors meg tirrell takes a look. >> reporter: to karen hay, her diagnosisith bladder cancer in her 50s came a a shock. >> having cancer is not something i thought was going to happen. nobody does. bu especially at my age. and this cancer? i had barely come to terms with that. >> reporter: then aft her initial treatment she was dealt another blow. the best drug to treat hse e wasn't available to her. >> that kind of took away the last little bit of strength i had for a while. >> reporter: bcg, a decades-old treatment sought to stimulate the immune system.

>> it was the firstllnd s the most effective immunotherapy for cancer, 70% success rate in hittilit rating cells. tha shortage, has been for years, after a manufacturing facility stopped making it in 2016. and though merck says it's more than doubled production bcg isn't available to everyone who needs it. that angers doctors like ben davies. >> to say to somebody, we don't have that, i can offer you ferior products, is decimating. it's no question it's caused deaths. >> reporter: bcg is just one of hundreds of drugs that have faced shortages, spanning antiotics, pain medications, childhood cancer drugs. even simple products likealine solution and sterile water. m experts blaket failure. >> in general these are very inexpensive drugs so it's not profitable to make them. it's also difficult to make these products. in many cases it doesn't make

economic sense for a do to make ese old, cheap drugs when they can make something more expensive. >> reporter: merck says ituote continues to work around the clock to get bcg to as many patients as we can and itma s firmly committed to patients and physicians where otr companies have chosen to exit the market and no others have chosen to invest in manufacturing. it cts $170 per vial and patients get six via over six weeks. some question whether a higher price could address the problem, somethingmerck's ceo discussed. >> by raising the price could you manufacture more? supply the whole market if you raised the price? >> i think this is the emplar of a big problem that's going to continue going forward. when the prices of drugs get too low, particularly generic drugs, thenarou don't havet incentive for people to t capital up to build facilities like we need for additional amounts. for merck the challenge h is can we maximize the amount we can make for patients given the

fact that the other two companies have droppedar out of thet in the moral of the story is sometimes drugs are not available because the prices are are t high. because the prices >> reporter: merck's cancer drug keytruda is pricet more than $13,000 a month. it drew revenue of more than $7k billion for m last year. >> i don't think it would be too much to ask for them to put a little bit of that money into a facility, because they have a moral ligation. they're the only manufacturer of a product. >> reporter: for hay that's the best drug for her cancer is unavailable is painful. >> we're perfectly capable of making enough of this substance, we just -- our system chooses not to. >> reporter: for "nightly business report," i'm meg tirrell in pittsburgh. >> joining us for more, andrew handtell joins us, oncologist at dana farber cancer institute. dr. handtell, thank you for joining us. i kne unfortunately you h

lost patients because of a shortage of drugs in the past. let's cut to the chase, what are the solutions that you can think ? is it just as simple as taking the profit motive out of some of the drug production in thi >> i think we have to think about it both in the short-term and long-termoriew. in the term, while all of these things a happeni in the private sector, like trying to incentivize companies to make more drugs and trying to pass legislation to both import ddgs and to f greater solutions, we need to have research to figure out how bot to allocate the drugs to patients when there's not enough, and to managehortages more generay. so i think it's both that there needs to be research done and there needs to be these different profit incentives for companies to t increase manufacturing. >> what is the best way to achieve that is it congression action? is it -- imean, there's disclosure as well i would think

that has to be addressed. >> of course yes. so i think from the private sector standpoint, there needs to be incentives in terms of contractual obligations, from hospitals who are buying medications like was mentioned in the report, for them to maybe be willing to increase amount that they're willing to pay for a medication. and i think there also nee to be quality incentive. right now the issue is both there is an incenti for companies to get into the market, there's also not incentive to produce high-quality medications. so very frequently the supply chain and the quality of the medications is disrupted, and therefore the one or two a medication for aren't able to continue making it. and so tnk putting money forwar for companies to continue to do that is important. i think, yes,gr csional legislation has happened. it reduced shortages in 2011. and further needs to happen to be able to reduce shortages further.

sue mentioned discsure. if one hospital has a shortage a particular drug, patients do have choices that they can make toolsewhere for it, right? >> they do. and le the patient in your story mentioned, physicians very much wan to talk to patients about it when it happens, when shortages really affect their care. shortages can be both of medications that we have very good alternatives for, and so a too much in terms of a patient and patient outcome standpoint. but also, you're right, from the hospital perspective, it's not very nice to be the first person coming out and saying, our hospital's dealing with shortages, when there's a lot of compition in that market. i think there needs to be an onus on fits and hospitals to be able to say, this isy a rea big problem and there needs to be a lot done on our side, on the health systemside, on the pharmacy side, and on the ongressional side, to do things. >> dr. andrew handtell, dana

farber institutin thanks for g us, doctor. >> tha. coming up, what's old is new again. >> i'm courtney rea jersey, a store that might look familiar, but it's totally dierent. toys "r" us is back, kind of. the story coming up on "nightly business rep" as we all know, friday is black friday. long considered the granddaddy of all shopping days. this year it's not just retailers looking to cash in on the holiday shopping season.ra inst and other social media platforms aretilso get in on the act. julia boorstin has more. >> repter: this holiday season, instagram is trying to shift from being a place to

follow brands and browse products like a magazine inn a virtual mall, a new destinaon for shopping. now hun beds ofnds are testing a new checkout feature that enables users to byproducts right within the app without having to open a retailer's website, inputting their credit cards, which instagrams. sa instagram's promoting this feature by running ads for holiday products from retailers selling through checkout. >> sial commerce is super early. this is reall i think the big inflection point this year. it's going from a very low base. we think over time ite can m up a much larger percentage of online commerce. but yes, i think this year is a really inflection year. >> the soerm platform is looking to tap into the fact that 90% of people follow a brand on instagram. 130 million instagramers tap on product tags each month. according to a new report, unearly half of. consumers are considering purchasing products seen in social media in addition to instagram, facebook, snap, and tik tok are

worko make it easier than ever to find and complete a thisr facebook's pushing itsd yrchase. augmen reality ads like this one for italian cosmetics brand wei makeup for a lipstic line. facebook saying this enar expe drove a nearly 30% lift in purchases. snap's dynam ads which i rolled out last month enabled consumers to shop brands like shady ray sunglasses by loading companies' websites within snap chat, then snap hub's brands measure whether ads are driving sign-ups or purchases. >> snap has a great chance. the challenge right n is they skew to a younger audience. so most of the younger audience that's on itsi are it as a communication platform, less as a transactional platform. so we think thats those users age up, there's a great opportunity for them to transact.it's going to be a lowe lling price, but effectively the number of transactions cld be high. >> tik tok, which already runs

shop blast, is allowing influencersdd to a links to make content more valuable. i'm julia boorstin in los angeles. returned in time tort holidays.s toys "r" usback, sort of. it's a very different version of the store we once knew, but familiar nonetheless. courtney reagan takes usnside. >> reporter: toys "r" us is back, kind of. a it's new company with that same familiar name. the toy retailer filed bankruptcy in 2017, failed to reorganize, liquidated, closed all 800 stoars last a new parent company, true kids, now owns the toys "r" us, babies "r" us, and jeffrey brands, using thewell-known name to start over. >> it's different when you get yourself and see t toys.nce it

it's so much fun. >> reporter: this is the first new toys "r" nd store u the new brand owner, a garden state plaza mall, opened in time for the black friday shopping rush. you won't find any door busters hen is opening in houston next week. a totalsf ten stoill be open by the independent of 2020, much smaller than the former 800 oys e footprint of the old "r" us. these stores are considerably smaller, only 6,500 square feet, compared to 40,000 feeling, a little more intimate, less commercial. which i think it's a great approach. >> reporter: the new toys "r" us stores are done in partnership with technology firm beta, powering both what shoppers see and the behind the scenes systems. it's meant to more there are 40 brandsan here, with dedicated stop and shops.

rich barry was formerly the m chiefchant for toys "r" us. he has to convince toymakers that this time around, it will be different. >> wobody was happyh what went on and the fact that our partners were in a position where they lost money as a resu of the bankruptcy. the business model is different. we have to convinceerands about usiness model. but it was not difficult to get the store actually oversubscribed. >> reporter: the new toys "r" us doesn't have its own e-commerce business. if you want to buy boys you see onli, you'll get redirected to target.com which fulfills the order. ironne, target isf the retailers that benefited most from the absence of toys "r" us and now its resurgence. target added more space t fors in stores, increased toy inventory, and it's working. credit sweetgestimated t grabbed 15% to 20% of the toys " us/babies "r" us share. toys were among target's strongest categories in the

quarters ofales growth.straight while the new toys "r" us is drastically different than the original, the joy t the store brings to many is back in time for christmas.r "nightly business report," i'm courtney reagan. ainal look at the day on wall street, records with the dow up 42, nasdaq climbing 57, the s&p added 13. >> that isghtly business report" for tonight. i'm sue herera. thanks for joining us. >> i'm bill griffeth. have a great we will see you tomorrow

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