>> announcer: thi is "nightly business report" with bill record close.herera. the three major indexes finish at all-time highs as the bulls and bears tappingle over what might come next. temporary halt. boeing is suspending production of its ax737 jetliner in january, as the trouble surrounding the grounded jet put a fork in it. why a small flatware manufacturer in new y state could be a big beneficiary of the new defense department spending bill. tonight on "nightly business report" for monday, december 16th. and we do bid you good evening, everybody, and welcome. wall street's major indexes did start with more records, the dow, nasdaq and s&p all closed

at new highs. it probably helped that phase one of the u.s./china trade deal has been reached andhat the fed is not likely to touch interest rates for the foreseeable future. today theow rose 100 points for a 28,235, nasdaq up 79. s&p added l. weave more on the markets in just a moment. but we begin tonight with boeg d these reports that the rospace giant will temporarily halt production of the 737 max jetliner starting in january. it's the first halt in its development, something that few sawas coming when the jet grounded last march. that sent the stock lower. phil lebeau is following the story for us, as always what are the details of the halt and how big of a deal is this for boeing? >> it's a huge deal, bill. 737 max production starting in

january halt, likely lasting5 60 days. i say likely, because boeing is not putting a timeframe in tms of when it planses toe production. that will be determined by whether or not the a lifts the recertifies the plane, let's say, by late january, early february. if thaen ha then you could see them start up production the end of february.ebruary or but, again, it all depends on when the faa says the max is good to go. that will be the trigger that says, okay, let's resume production again. rkers that are on tha project? are we expecting yoffs? >> no. furlough approximately 12,000 workers that bills t max in washington. some of them will be redeployed to work in everetz where they build other boeing commercial airpnes, some will be working on other projects within the

company and there will still br taking place at the everett plant. boeing is w saying wel continue paying these workers. that was the big concern, furloughed workers and you potentially lose that skillr lahat will be crucial when they ramp up production at some point in 2020. >> what about its suppliers? are we going to see a ripple effect there? >> potentially. now, boeing says it will bewo ing with its suppliers to ensure that they are not seeing their production lines disrupted. but look at a company like spirit aerosystems in wichita, kansas. they build the fuselage for the 737 max. they've not lowered their production even though boe lowered production overall for the final finished airplane. so they've got these planes, these fuselages, about 100 of them, that have been built, that are in storage. will theyld continue to b at that rate? that remains to be seen. then if they have to bring down their production, how will those workers be compensated? will theyam do the thing as

boeing? will they pay them or furlough them? >> what about the company's dividend a its ceo? >> right. the good news is that the dividend is not changing. it still is $2.05 a share. they just announced that this afternoon. boeing has never reduced its dividend. i shouldn't say you have to go back to 1937 the last time that they red ed theidividend. it's always been the same as it in of dennis mullenburg, eased. no word from the company he is potentially leaving the company. clearly he's under a lot of pressure. production halt, this is unprecedented, guys. >> indeed. phil leau, as always, great job. thanks. >> you rbet. >>ord close on wall street and the question that many investors are asking, what next?ns we asked bob pisani to answer that for us. >> with a phase one trade deal have avoided the worst case to

scenario, at least for the time being. as they gear up for the new year, the impact of 2020 earnings. several issues may be on the vergehi of being resolved bears say trade over and a lac growth will keep a lid on the gains in 2020. who is right? the bulls list, a lot they're checking off their list of woies. federal reserve is in neutral mode. meaning no interest rate hikes in 2020, at least so far. mythe u.s. eco has avoided the recession so many people were worried about.si another ve. overseas, prime minister boris johnson's victory over the labo party may mean brexit is coming but it also means a boone to stocks in europe. and thanks to the u.s./china trade, let's cal it a truce. bears still see several critical

pieces missing from the puzzle, move of existing tariffs on still in place and clear bottom in global growth, concern about that. it was echoed by morn stanley ceo who says china growth was a top issue for the global econom in2020. for "nightly business report" i'm bob pisani ak the new y stock exchange. >> even wite phase one trade deal announcement, some loose ends still need to be tied . not just with china, but the new nafta agreement as well. from washgton wherefficials are trying to avoid things from getting lost in iotransl >> so the deal will be finalized over the next couple weeks. >> president trump highlighting the homestretch of trade talks with china, justay after announcing a first phase of the deal,waiting t's crossed and i's dotted after two years of ta talks. >> transla have the righ translators.

you can lose a lot with bad translation. r> within the 86 pages of the deal, some a lost in translation. beijing and washington offering differingn accounts how much china will buy from u.s. farmers and when threerevious rounds of tariffs will go away. the lead u.s. negotiator, ambassador bob liteheizer. >> i'll tell you this. theha second that is going to be determined also by how we implement phase one. phase one will be impletnted riown to every detail. >> lightheizer spent monday trying tove another problem, thlming mexico's anger over a new provision i usmca that allows u.s. government officials to report bac on mexico's labor laws. mexico's chief negotiator back in washington to make sure these so-called attaches wouldn't be as heavy handed as democrats made tm sound. >> the personnel will not be labor inspectors.

it's nothe kind of inspector. >> spokesn from t u.s. trade representative say labor inspectors areust like existing officials stationed in other countries, clear a vote for the houseur deal ay, while the china deal appears on for a signing in january for "nightly business report," i'm kayla tausche in washington. >> after sng a bit, housing is once again being called by some t hottest sector within the u.s. onomy. the nation home builder that appeared to be holding the way. here is diana olick. >> sentiment jumped to the highest level in years on the home builders' index. it's up dramatically just from last year. why? builders point squarely to the severe shortage as well as to high housing demand and improving economies. chief economist rob diest noted builders are inunderbui due

to aack of labor and land and increased cost. when youee that compare sentiment with actual housing starts. sentiment is way up. starts, not as much, despite the hct that builders are seeing muchher salesonditions and buyer traffic. stocks for the big names like menard weren't up as high as you expect today bause interest rates are moving higher. no matter howhe greatuilders feel, mortgage rates will always have the llat h. i'm diana olick in washington. of today's upgrades and t some downgrades. goldman sachs was upgraded to buy from neutral. give the low interest rate environment. the price target is ck55. the s rose more than 1% to 228.04. cron tech was up graded from potive to neutral, potential for selling ices.

$85. shares were up more than 3% to 52.94. pepsi was edowngraded tal weight from overweight at morgan stanley. theit analyst signs of slowing sales growth. the price target is $145. the stock fell a fraction to 6. $137 >> urban outfitters were downgradol to loopapital markets, analysts cited an increase in discountsuring this holiday shopping season by specialty retailers like uan outfitters. price target $28. shares were basically flat, up .0 to $26.78. hold to buy. the analyst says investors should takerofit has on that stock after the fish oil drugigned to prevent heart problems. the shares fell 5% to 22.88. still ahead a potential big win f a small company.

>> the only company left in the usa that sll makes utensils, forks, knives and even spoons. i'll give you the scoop coming up on "nightly business report." congress looks ready to prohibit the sal of tobacco to anyone under the age of 21. according to reports, that included in a year-end spending bill. the measure has the support of th democrats and republicans, stocks from gaini ground inco today's american tobacco was pushed

higher on an upgrade. lawmakers are looking to iminating three major health indices taxes to help pay for cthe affordable act. the so-called cadillac tax on employer healthan 2.3% tax on medical devices and a health insurance fee. united health care, humana, cigna and anthem higher. over the pas months, d john harwood has tald to a number ofemocratic presidential candidates. he recently spoke with senator elizabeth warren. he asked her about her position on breakp big tech, big banks, agriculture and other major industries. our economy going forward? you talk about let's break up big tag, big banks. that's enforcing anti-trust laws that havorbeen around more than 100 years. unfortunately for decades now have bee underenforced.

and let these giants come in, who not only scoop up all of the profits, they also undercut wage growth. they unrcut innovation in our economy. they stamp out little businesses in small towns. we need some enforcement of our anti-trust laws. >> you're not worried that the scale of all of this is going to ve unintended consequences? >> i think the intended consequences he are pretty clear, that when you don't have just one place or two places that you can buy seed from, there's more competition in the industry. >> she also took to task the business round table overhe something calls accountable organization's recent pledge to redefine the corporation beyond shareholder profits. senator warren says that should not just be part of a mission statement but also the loss. >> tked i deepide the defense spending bill now before

ngress is a provision that would give a big boost to the country's last domestically based flatware manufacturer. as you saw, ylan mui traveled to the smallest city in the empire state to check it o for herself. >> cheryl manufacturing is the last factory in the country that still makes flatware. the custom equipment fires up the stainless steel rods,tamps out the designs, thenuffs them clean. the end product, roughly 10,000 forks, spoons and kni s come off the assembly line each day. >> this design is called the pearl design. it's a soup spoon. c you eat soup and ice cream with it. >> those numbers are about to get a lot bi. tucked inside the $738 billion spending bill is a provision that requires the u.s. mitary to buy utensils made in ams ica. cheryle only company that can do it. million insales.oing about 6

we could probably double or triple that with the equipnt have and probably put a second shift on even more. >> right now the company employs about 56 a workers could add dozens more. the bill is seen as a lifeline for ary facto that has watched its competitors move overseas and it's a big win for the region's congressman. a freshman democrat in this very red district and is one of only a handful of members onhe fence about impeachment. both of those things have made him very important person in washington. >> i'm going to take some time to decompress this weekend, go back tough all the evidence, take a look at the articles of impeachment and make decision next week. >> feeling the heat at home as well. both the congressman and the company say what's happening at this factory has nothing to do with politics but it is just the kind of win theemocrats are looking for to show they're not only the party of impeachment. >> you can talk about all the

politics. we can talk about all the bills. we can talk about buy american. look around this room. this is what happens when you bu >> for nightly business report, i'm ylan mui in cheryl, new york. >> read more about cheryl manufacturing on our website, nbr.com. >> dupont strikes a $26 billion deal. that where we begin tonight's market focus. merging its nutrition and biosciences business with f internationavor and fragrances to create a massive consumer goods coany. dupont shareholders will own and the executive chairman says the acquisition will broaden its reach. >> we made the decision based on strategic and culture. this creates the global leader across all the ingredients phases, the badest portfolio by far. we will have the r & d more than any other company in the industry. >> rose a fraction but

international flavors shares dropped more than 10% due to the deal.rice tag of the the company was the company's already high debt pile. billion acquisition of israel base start-up habana labs, hoping to use its technology to reconnect damaged spinal nerves in paralyzed patients and create wheelchairs that can be controlled with exfacial essions. the company hopes to generate more than $3 billion in ai driven revenue this year. the stock fell a fraction to $57.70. pg & e's bankruptcy plan was rejected by california's governor saying the proposa failed to comply with a recentld enactate fire law. the company has until tomorrow to meet the governor's demands. e stock slid about 14% to 9.67 pfizer announced it'sng

increats dividend to 38 cents a share. that implies a yield of 3.9%, higher than the yield othe benchmark spyder health carean ex fund. shares rose more than 2% to 39.14. tech crunch is reporting uber is nearing a deal t sell off uber eats to ral zamoto, around $400 million. uber may then invest up to $200 million in zamoto. shares were up 5% today to 30.05. and ww inteational, formerly known as weight watchers, has announced oprah winfreys extending her partnership with the company for another five years. winf ty will remain on company's board. she will continue her role as an ad hser. she als the option to increase her stake in the company. oprah is currently the second largest shareholder in ww international.to and that gained more than

3% today t 39.15. amazon is blocking third-party sellers from ung fedex ground service for its prime deliveries. the e-commerce giant cited a decline in fedex shipping performance heading into the final h stretch of theiday shopping season. amazon shares up afraction. fedex shares were down a fraction to 164.10. so for the next two weeks, we will be bringing back some our favorite stock pickers who will have a list of stocks they like heading into the new year. tonight's guest likep companies. het time he was on in june recommended jp morgan, up 26%, u.p.s., up 17% and icpeps is 4% higher. hank smith joins use o again, chief financial officer. thanks for being here. good to see you again.

>> thank you. >> let's start there. why do youike it? >> certainly a con trainer play, underperformed dramatically. four big headwinds. you mentioned one, losing the amazon b making some major investments that's impacted earnings. there will be gains through that as weou get t 2020. the merger with tnt in europe,b it wil five years now they'll finally be fully integrated this ng. and then fourthly, the whole uncertainty aund trade and tariffs has had a greater impact on fedex because of their more business overnightation. a lot of these headwinds should fade as w go into 2020. and we think the stockhould do fairly well. a company that's trying to redefine health care, bought aetn as we know. this stock has been in a downward trend the last five

oiars. what is to turn it around, do you think? >> well, in fact, t past thr quarters, they had beat both on the top and the bottom line. that's been the merger with aetna is going better than expected in terms o integration and also in terms of paying down the debt. so, we think if they can continue beating expectations over a more quarters, you're going to get some multiplen it' selling at ten times earnings, yielding over 2.5%. this is not a challenging bar and, as you said, they are refining health re. they will be part of bringing costs down. >> and, lastly, home depot, it has had a really tough year. it has sold off at dferent parts of the year. but you think it's basically on the comeback trail, mostly due management. >> yeah. so, home depot made an all-time gh couple of months ago at

13 it's off a little over 15% on the recent earnings. the earnings were ay, but they guided down based on softening of lumber prices and also some investments that they are making. they're taking a littl bit more me to play out in terms of rewarding the bottom line. this is a ve, very well run company. and the decline in pres, an opportunity for investors who don't own it to get in. >> thanks, hank. >> you bet. coming up, tis the season up creditmers rack card debt. but it's not because people are out shopping. yo

hav noticed all the discounts while you're out shopping? according to a report in thefi ncial times, retailers are cutting prices by the most since the 2008 financial crisis. special offers are lasti longer and they're steeper than they have been in previous years. discounts tend to heighten, though, a concern of a squeeze also new research shows that more than 137 million americans fainancial hardship in the past year because o medical debt. sharon eppersonoins us with how americans are tackling this a, all. they're using this to pay off mecal bills. >> that's right. 33% of card holders are in credit card debt because of medical bills. about 60% of thoseye sur used the credit card because they had no other way to pay.

and 15% owe between 1,000 and $5,000 in medical debt on that card. >> that haso have a ripple effect in other parts of their lives. >> in terms of otherypes of spending, like trying to buy a home. zillow looked at 13,000eyeople interviewed for this survey and found that home buyers who owe money forir health care turned down for a mortgage. be lender lenderssk because they admit that a $1,000 unexpected ns ex they couldn't handle it. >> how do they avoid this medical debt? >> before you get, into it's important to have a conversation th the provider. you can try to negotiate what that price is going to be and see if you can come up with a payment plan where you can have affordable monthly payments. many people don't think to ask their doctorefore they g in and have an elective procedure. this is the time to do transfer from that high interest rate card to a 0% card at least

temporarily, you'll get that break. make sure to pay it off before that rate goes back up. it is so difficult having gone these medical bills and the l expenses tied to them. having someone who has done it cfore, help you walk through it. help a lot. >> i bet. >> sharon epperson, as always. >> my pleasure. finally tonight, auctions for the ages. the bat that babe ruth used to hit his .500 career home run was auctioned off over the weekend for mor than $1 million. the bat which ruth's autograph was given to a friend named jim rice, then mayor of suffrin, new yo. and a separate auction saw a pair of john lennon's sunglasses sell a forbout $183,000. or was put up f auction by the late musician's former chauffeur. it is unclear, though, who won that auction. before we go, one more look at the day on wall

another record day. the dow up to 28,000.round with the nasdaq up 79 and s&p 500 added 22. santa claus, the rally -- >> isomg to town. >> -- is under way right now. >> that's "nightly business report." i'm sue herera. anks for joining us. >> i'm bill griffith. see you tomorrow. for this preseation is

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