the big test is what happened with economic data. strong numbers in the first quarter of next year and second quarter, we will see treasury yields break out of their ranges. 10-year moving to around 3.5%. that would be better for the risk markets and the dollar. >> many investors want to see clearer data and guided from the fed before jumping to conclusions about what we have heard so far. >> what the fed has told us is based on the current pace of removal of asset purchases, we will be in qe mode for most of next year. there is a lot of celebration about this wonderful forward guidance from the fed and that has boosted risk appetite and cap equities strong. the words could become meaningless very quickly. the only real credible element of forward guidance is the action of the fed and the fact they are telling us quantitative easing is carrying on for most of 2014. that is the really important aspect. that is why at the bank of england, forward guidance is more difficult. they finished asset artist is last year. of course, short-term

the economic data seems to be cranking up. there's a lot of news.ith the way that this with the way that stocks have been going, you would think it would be boring. maybe we got a little indication in the jobs report. >> scarlet fu has breaking news 4s. >> we are looking at whole logic. the shares are falling after they made an announcement that they will appoint two independent directors. two that have been proposed by carl icahn. a areclosed that he owns team percent stake in hologic. two independent directors have been added to the board. the stock is falling in reaction. in terms of the markets, futures indicate a higher open. we did have a emerging markets stocks climbed overnight and we are also watching the yen. the euro yen is that a five-year high right now. japanese growth was lower. >> all right. here is a look at the top headlines. u.s. airways is announcing the completion of their union. they are emerging from two years of bankruptcy. become the leader. you can use your cell phone on an airplane. the federal communications commission wi

economic data. euro/yen quoted at 139.32. the eurozone showed a mixed picture across the european countries and this failed to sway trading in the euro. >>> officials from japanese retail giant are branching out. they say they'll invest in upscale u.s. clothing store barney's new york and will acquire a 49.9% stake in barney's japan. the purchase is thought to be worth about $60 million. the unit operates ten stores in tokyo and other major cities. seven and i officials hope to harness the brand and power at department stores and shopping websites. >>> well, looks like more people in japan are planning to travel during the year end and new year's seasonal holidays. the numbers for domestic and foreign travel are likely to hit record highs. officials at jtb estimates that 30.5 million people will go on trips between december 23rd and january 3rd. that's up 2% from a year ago. 29.8 million people are planning domestic trips, while nearly 700,000 want to go abroad. the travel agency says the increases are due to the calendar ali

i would say to your arguments economic data after economic data shows that when we raise wages, peoplean buy and consume more. it's a simple concept. so people have more money to actually purchase. we have looked at states that have raised minimum wage. the unemployment has gone down. >> hold on a second. the simple rye buttal is why not raise it to $50 an hour then? >> because we're just looking at today data points of what works, see if 10 works. i think -- >> you haven't hansed the initial question, right? which was -- if this is the popular consensus of everyday american people on both sides of the aisle, will republicans lose ground in 2014 by not taking that position? >> no, i'll ask the political question and then there's a economic question. i agree with s.e., if you had to adopt the elizabeth warening senator of massachusetts, if moss misand new york city are your model no national politics, i wish you luck. to your economic point -- >> neither one of them are campaigning on -- >> to the economy point you bring up, in the end i ask you, do you want to raise it, you want data p

degree believed to be seeking something in the rain to ten billion euros to help the country stable economic data the yen to convince his own column in the sickle cells becoming mail to members of the coffee of the money that the government reshuffle the eu and russia remain deployed to the ukraine despite efforts by foreign minister to smooth over the cracks of the brussels meeting described is already know it's criticizing what he called x total intervention in kiev to pay as moscow's chief diplomat said that was no reason for westerners to try to woo the form of soviet republic is new is new to report to the chain ukrainians to make a choice in favor of europe is like suggesting that russia doesn't want to cooperate with europe but instead multiple countries of the eastern partnership somewhere else but absolutely not the case of so you can get them. the pro eu anti government protests in ukraine it been interpreted as symbolizing a question that use a long east west lines reminiscent of the cold war the eu chief diplomat this moment damaging of the fall. i don't think russia in the eu electio

>> today is a great example of what we will see for the next year between economic data and taking some of the stimulus out. david: specifically if the numbers on friday come out, the november jobs numbers come out very strong at least as strong as adp numbers today, how can the fed justify continuing without some sort of a taper? >> you look at the other indicators, employment or manufacturing. inflation appears very tame. for the moment using my trip policy has not had a negative effect on the economy. liz: let's talk about investments at the moment. we have seen very positive for the entire stock market. how much longer does this sort of throw a dart at a stock chart and hit a winner game last? at some point stocks will become fully valued or little more expensive. >> we are probably fully valued, but are now getting the retail investor back in. mom and pops after the five years are coming back and the market. i think we are probably within a couple of percentage points of a near-term high. whether or not we sell off higher i cannot tell you, but i would be looking at some sort of a

really, we have been leading up all the way up into the end of this year with positive economic data. the fed has been very, very accommodative. once they start tapering the economy is either going to do super well and taper was the right decision or it will do poorly and they let go of stimulus early. the reason people are bullish, people really believe the data is supportive of economic growth and i tend to agree with that just because i -- david: for a second here i want to go to a bellwether stock. a lot of people look at mcdonald's, mickey d's as a bellwether. their same-store sales were down. does that concern you? are you worried that might be sort of a canary in the coal mine signal? >> if you look at other food group earnings, papa john's and dominoes, maybe people are eating pizza than hamburgers this quarter. you have to look what the consumer choice across the board. that has been trouble for mcdonald's. as choice proliferates and costs become a negligible issue as incomes begin to incrementally rise, people will move away from the low cost provider and slightly healthier

you heard adam talk about economic data out today. another data point, home sales for november. coming in higher than estimated and revise higher for october. kb home is among the homebuilders doing well. a stock that is rising to a record is twitter. yesterday and up today nearly 7%. facebook rose to a record yesterday. a lot of optimism around social media advertising, mobile advertising. twitter has been riding that wave. story.s move onto the fewer americans hitting the malls. 20 --tore visits plummeted 21% and retail sales .1%.ped to .1% -- 3 many retailers offer discounts and around-the-clock hours, not of it swayed shoppers. instead, they opted for online shopping. instead of standing in line. it looks like it is going to be a lackluster finish for retailers and their most important season. let's see what our roundtable thanks. analyst howardor davidowitz, julie hyman. howard -- it makes sense. who wants to go and stand in line and deal with holiday crowds if you can shop online. do it that way now. someone is paying the price, the brick-and-mortar. >> it depends what seg

you look at the economic data all the time. >> it seems there is a change going on because this data. we have a budget deal so we know we are not going to face another government shutdown. we are pretty confident coming fed startst as the tapering, we will have more certainty around monetary policy. have a leader that can provide credible guidance. a lot of the uncertainty has been removed or will be removed as we going to 2014. things are going to be better, maybe i can hire. that is what we have been missing. >> it has been a disappointing , we have another year of job growth. between the business investment and business cycle, they will it starts that virtuous cycle that has been missing up until now. she says 2.6% annualized growth for next year. >> we get closer to the three percent range. we know we have the budget deal. trying to quantify uncertainty is a difficult thing to do. >> as i look at some of your work, for themes for fed tapering. your other two themes are productivity. it is down. after theivity rates financial crisis, at that time, rates of productivity soared beca

we'll see what happens. >>> stronger than expected economic data sparked speculation that the federald-buying "bonanza" may end soon. >> the important question for you and your money how do you as an investor play the eventual fed taper? jack howe, baron's editor. this is complicated question with no simple answers. >> you don't want to load up on stocks that looks like bonds because we've had support for the bond market. now that support is being removed. if you talk to, take a poll of economists like "barron's" recently did, they all point to higher bond yields. in other words lower bond prices next year. they disagree on how much lower they're going to go but we expect a dip in bond prices. >> what type of stock that looks like a bond? >> a stock looks like a bond with high dividend yield and very little by way of growth. i'm talking like companies like at&t and consolidated edison. david: at&t, 5.3% yield. consolidated edison, 5.47%. conocophillips, a lot of people say what is not to like? stocks go up, and while waiting for them to go up we'll get 5% dividends? >> i don't think t

so in answer to your question, scott, absolutely, you're getting positive economic data. so whether the taper comes next week, next month, it's going to be a good, and the market's ready for it. >> watch for the yield curve. watch the velocity of the backup in rates. >> the 10-year is moving up, right, 2.86 and change. >> but it can handle 2.8, and even handle 3, which is why i focus on the economic data points. >> history will reflect well on the policymakers. back in singapore, secretary geithner said if you had the choice between giving this much medicine, showing my hands, or that much medicine, way more, the policymakers are going to give that much medicine as i give michael a black eye. but the point that i'm making here is that i'm in jon's camp, they're not going to taper. if they do taper, it will be due to political reasons. i don't think the data suggests to them with a 13.2% u-6 unemployment number is -- >> is the jury still out whether santa claus will show up, or you guys need to see what happens next week with the fed? >> i think the next two weeks it's rea

the latest economic data did put pressure on some stocks today. we saw a big pressure on gold which closed at the lowest price in three years. continuing declines in gold through the next year. calls this profit- taking in stocks after yesterday's emotional spike on the fed's move. james grant notes the extensive nature of the fed stimulus thus far. materializesl bank $80 billion or has been materializing $80 billion a month from thin air. that didn't exist until the fed tapped it into the computer screen. it will henceforth materialize $10 billion fewer a month. it will continue making new dollars at the rate of 70 billion dollars a month. that is unheard of. >> magic. among the big movers today, write a plunging after cutting its full-year earnings outlook. oracle rose to a 13 year high. a new share offering worth millions is offered by facebook. target says a breach of security and credit card data could impact millions of users. the company says the breach occurred when a computer virus infected its point-of-sale terminals. shares fell more th

yet the economic data since that time has been pretty good haven't they? >> well that certainly vindicates the fed decision to lay out that punch they that they had in that punch bowl. but i think mark put his finger on it when he said the fed has taken a lot of uncertainty out of the outlook and by the way the fed and congress have taken a lot of the uncertainty out of the fiscal outlook as well. to the extent that all the question marks what will the dpoed, what will happen on the budget will weigh on people's minds. you add in the solid above consensus outturn for the data and that sounds like a pretty good recipe for strong bullish equities the. >> we know it takes a while for higher interest rates to work their way through the economy. i wonder this if the federal reserve members wake up in january, see 3% yield on the ten year, fire year yield has moved up significantly is that something they will worry about the impact to the u.s. economy down the road and something they will try to push back against do you think? >> they won't worry about it insofa

heard a lot of economic data as well. again, ira jersey with us from credit suisse. thrilled to have with us michael mckee, our chief economic correspondent as well. again, the dow up 38 points this fomc day. >> the >> the taper has begun. the fed is reducing its bond buying starting in january. reducing purchases from -- to $35 billion from the current $40 billion. we also have new forward guidance language as well. they will continue to reinvest principal payment. they are staying in their fame -- their payment in light of the cumulative progress it is modestly dilute -- reducing bond buying. forward,atement going incoming information of ongoing improvement in labor market conditions and inflation moving back towards as longer run objective. the kidney will likely reduce the payment of assets -- the committee will likely reduce the payment of assets. however it's not on a preset course. forward guidance on interest rates, the threshold of 6.5 unemployment is still the language. but there is something new here. -- maintain its current target range, especially runnfla

>> a whole lot of people believe that the economic data won't keep coming in strong and the drops orket, people are buying into those things. if they are proven wrong and the economic data does come out strong, the market will keep dropping and the people will be forced to average out or get out of the market. so far right now, more people are buying these breaks and supporting a little bit but we have taken a big hit, 17 60 or so in the s&p, about a 60-point drop since we hit the high. the market is falling. >> larry, thanks for joining us. great to see you, larry levin of trading advantage at the cme. i want to bring in the president of edge asset management, where she received almost $25 billion in assets. her call is that she believes the federal start tapering in the first half of next year. that will lead to a stock market crash. there are still some areas that she likes, including specialty reads -- reits. >> a great area of the market, and it is not allowed to use but the small and mid-cap companies. space tot lease health-care-related entities. these are booming areas. the b

. >> the markets look to add to gains as well as positive economic data over the weekend from china. despite friday's rally the dow and s&p did snap an eight week win streak. u.s. airways and american airlines will close the merger today creating the world's largest airline. on saturday supreme court justice denied a last ditched attempt to block the deal. >>> today it's green monday. ebay coined the name in 2007. it marks one of the biggest online shopping days of the year. wal-mart.com will feature several black friday deals again today on green monday. >> any reason to buy or sell. >> now to a crack down of the cuddling industry. >>> a -- officials suspect a snuggle house is a front for prostitution or worse. the assistant city attorney saying, quote, there's no way that sexual assault will not happen. no offense to men, but i don't know any men who want to just snuggle. >>> a waitress has been let go from her job. the story has been questioned. >>> he thought he was buying an x box 1 for $735 but all he got was a low res photoe. a local business donated a game system to him and e

. >>> digesting the data, conflicting economic reports leave investors screeching their heads. whate fed do next and when? >> one direction, higher. that's where many believe mortgage rates are headed. leading some brokers to declare now is the time to act. >> how safe is your pension? >> does the ruling in detroit and the overhaul in illinois signal a change to retirement benefits nationwide? all that and more tonight on "nightly business report" for wednesday, december 4th. >>> good evening everyone. it's four in a row. the dow and s&p fell again today backing away from last week's record setting highs. blame it on a new bach of positive reports on jobs, housing and the upbeat survey on the economy. the take away for investors, the fed will taper back stimulus plans and that might not be good for the markets. all this comes just two days before the release of the monthly jobs report. a key data point for central bank policy makers. it's no wonder stock averages between gains and losses and finally ending mostly in the red for the day. the dow lost 25 but down as much as 125 e

growth friendly and as the fed is stepping up, the fed should be more consistent with the strong economic data in the u.s. >> what does more supportive mean? what are some of the targets that you're looking at for the dollar against the euro specifically or against the pound? >> i guess the euro would be expected by the end of next year at 125. this is driven primarily by the change in the monetary policy. the gap between the two will close. as the fed will be tapering, the acb will be watching it. we're expected to gradually weaken below 160. the u.s. recovery is stronger than the u.k. recovery. >> we'll talk much more about the sterling especially against the swiss frank. the head of the european g. 10 strategy at bank of america staying with us for the full hour. >>> all right. let me show you where we are in terms of the euro penal market session. the stocks are up 600. is up by a quarter of 1%. keep in mind the volumes as we go into the holiday of course are going to be somewhat lower. that means trading could be choppier and more volatility. europe 600 following on the strong gains from

stocks hit new highs today in the holiday shortened session on tuesday thanks to upbeat economic data. investors look for numbers on new filings for unemployment benefits. >>> new filing in works to buy t mobile from deutsche telecom. >>> dieards will get their last holiday shopping fix with big after christmas deals. some online sales got an early start on christmas day while many wall martz and kohl's stores open at 5:00 a.m. >>> mcdonald's took down the employee resources website after antifood posts went viral warning against the negative effects of fast food going as far as labelling cheese burger and fries as a quote unhealthy choice. >>> and before christmas a las vegas cab driver thought a passenger left a bag of chocolates in his car but turned out the customer left $300,000. the cabby received a $1,000 reward and a spot on santa's nice list. >>> sports is just ahead including your nba christmas day roundup. athletes do it up for their teammates and kids this holiday season. you're watching "early today." >>> welcome back to "early today." here is holiday facts. for most coun

we got the answer today on the back of improving economic data. the u.s. economy has been adding around 195,000 jobs each month for the past year. it is that improvement that brought the unemployment down to seven percent and it has given the fed the confidence it needed to go ahead. >> what are other countries so interested? risk has essentially made slightly more attractive. not just in the u.s. but overseas. people getting less returns on their investment were prepared to take greater risk, for example, in emerging markets. the talk of starting to pull back from this, you start to see this pullback of money from some of the risky investments. that is why this is so closely watched. in some ways, it is more symbolic. the senate passed a budget with bipartisan support and goes to president obama. the agreement avoids a government shutdown and relieves what a lot of uncertainty. parliament approved an amnesty law. it is being seen as an attached to ease western concern about the human rights record with the olympic's coming up in sochi next year. >> this l

improving economic data is raising fears that the fed will scale back on its stimulus >> the averageunt owed in student loans last year was more than $29,000. that is up 10% from 2011. 7 out of 10 college seniors graduate with some form of debt. >>> remember when tablet computers were the hot item? smartphones are now taking over. the growth of tablets will fall to single digits by 2016. smartphones are eating into tablet sales. >>> ford taking the wraps off of its new mustang. it was unveiled today around the globe as it celebrates its 50th birthday. ford won't reveal the price tag, but the current version starts at $23,000. >>> mexican authorities have placed a family under medical supervision after they came in close proximity to the radioactive material that was stolen monday. thieves stole the truck. the truck was recovered yesterday. residents in a rural area have been told to stay calm. the cobalt 60 is used for cancer treatment. it could take days to remove the material. >>> the arizona fire department has received a $550,000 fine. it is accused of not having proper plans in

. >> the mood is quite positive with economic data. it rose to the highest level in more than seven years. investors are very optimistic. traders have been reluctant, waiting for results. the most important question is will it reduce the stimulus in december or before next year. the markets have to wait until tomorrow. registration numbers rose. and this is a chance for a real turnaround. >> reporting to us from frankfurt, let's have a look at the market numbers. the dax is down almost nine percent. 1.25% lower. the euro is gaining a little bit against the dollar. brazil has been rocked in recent months. problems in the health-care system have been one of the biggest sources. >> now the president has turned to cuba for a resolution. she has done a deal to draft in thousands of cuban doctors by the end of this year. they'll be sent out to health care to poor and remote areas that have been neglected. >> cuban doctors are indispensable. smiles read the pediatrician and psychologists. they have seen one patient who waited four years for a

we got the answer today on the back of improving economic data. the u.s. economy has been adding around 195,000 jobs each month for the past year. it is that improvement that brought the unemployment down to seven percent and it has given the fed the confidence it needed to go ahead. >> what are other countries so interested? risk has essentially made slightly more attractive. not just in the u.s. but overseas. people getting less returns on their investment were prepared to take greater risk, for example, in emerging markets. the talk of starting to pull back from this, you start to see this pullback of money from some of the risky investments. that is why this is so closely watched. in some ways, it is more symbolic. the senate passed a budget with bipartisan support and goes to president obama. the agreement avoids a government shutdown and relieves what a lot of uncertainty. parliament approved an amnesty law. it is being seen as an attached to ease western concern about the human rights record with the olympic's coming up in sochi next year. >> this l

when the economic data has oftened.eetering on a deflationary shock rather than inflationary shock. that is a significant risk. >> sure. there is a risk absolutely that they could slow. in terms of inflation. i think there is a danger here. any economist will tell you that inflation reading today is telling you where the economy was maybe 18 months ago or even two years ago. there is a danger we make the same mistake that was made in 2003 and 2004. that is when ben bernanke got his name of helicopter ben. there was a great fear of deflation in the u.s. economy. they actually cut rates in 2003. of course the activity data was picking up. essentially the concerns of the deflation back then were wrong. they have to look at the activity data. to date it is clearly picking up. >> when you look at the implication s of this for other central banks, what are they? ben bernanke has an effect well beyond the shores to have united states and the e.c.b. has got to be looking at this. the dollar reaction hasn't been that strong. dra

she said because of the recent economic data the imf was about to push forward the economic forecastor growth in the united states. it is well for the world economy. it would affect positively the german stockmarket in the end. the trader is set. >> from the floor of the frankfurt stock exchange. here's a quick look at the numbers for you. >> in germany, the dax ended monday's session 0.4 nine percent higher. it is a new closing high. the euro stoxx 50 finishes up 0.71%. in new york, the dow was up .38%. the euro, trading against the dollar at 1.36. >> they have landed an important contract to supply turbines to the first wind farm project in the united states. that is right. it comes a week after they secured a contract to supply about 450 wind turbines to five projects in iowa. they'll also be responsible for service and maintenance. severe weather warnings and flood alerts aren't plays as a powerful storm sweeps across britain. at least one person has dated -- died as when the battered the coastlines and large stretches of the mainland. it is causing travel chaos for thousands of

of course, we had good economic data starting over in europe. with german manufacturing data.mic data here as well. industrial production and capacity was stronger than expected. add to that a couple of big deals. we have the lsi being acquired by avago and. all of that combining to drive the dow, the s&p and the nasdaq to the upside in today's session, kelly. >> been a big year for asian companies buying u.s. names. there's some charter whether m&a will be a driver into next year, perhaps. >> it's interesting to see. david faber had a great interview of rob kinler of morgan stanley earlier today. his one concern going into the year, valuations have climbed so significantly and whether that puts any kind of a cool on m&a activity going into 2014. certainly a number of people have been waiting for it because they've been saying what we're missing is ceo confidence as you continue to see better data, you think that would drive ceo confidence. now have you to deal with slightly higher valgss. >> you're right. i'm just thinking that combination of easy financing. even kroger today

also following positive economic data from china. on friday the dow jumping 200 points to finish at 16,020. nasdaq to close at 4,063. despite friday's rally the dow and s&p still snapped an eight-week win streak with both indices closing negative for the week. today no economic data but investors willis tune comments from a trio of federal reserve officials speaking on the economy. back to you. >> thank you. it's new american airlines is also official today. the merger between it and u.s. airways will be finished as of this morning. four airlines now control 80% of the u.s. market. as you know that was a huge concern for the government which forced american and u.s. airways and terry, to give up certain routes. but everything official as of today. >> fly to maui today. wouldn't that be nice. >> it's a 9:00 plane. >> even better. we need a warm-up although the rain, snow that we've gotten over the weekend, that's great news. >> it really is especially a lot of that is going to stick around in tahoe, up to 2 1/2 feet there in the highe

investors reacting to new economic data showing jobless claims have increased and new home sales have fallen. gold has now fallen to a three- year low. cuba is to open up its car market and allow citizens to buy imported vehicles. for about 50 years, government had the monopoly on the sales for imported and used cars. and has required any potential buyer to obtain special permission. difficult tos obtain an black car sales have flourished. in the streets of a finite, vix reactions to the move -- in the streets of havana, mixed reactions to the move. nowt is great that we can buy cars without authorization, to modernize the system. these cars are falling apart. we are working as taxi drivers, but our cars are in that state. >> we are allowed to buy it, but with what money? unfortunately, our economy does not allow us to save money to buy these things. if it was 300 pesos or 500 pesos, fine. but how much will a car cost me? >> moving onto other big stories, the american big superstore target says the information of millions of people who shopped at target stores over the busy things com

in economic data in the u.s., at 7 a.m., mortgage up, durable goods and new home sales. we will get the richmond fed manufacturing index at 10 as well. what is on the schedule? the new york stock ehange closes at 1 p.m. for the christmas eve holiday city can make it to the 2:30 at the 21 salvation army lunch. crack for those of you rushing to trade this morning, you will be opening higher. s&p futures up by a point. oh, look at this 10 year yields. two point 94%. it is optimism on the economy. people tell you is good news but it is a little reminiscent of the problems we've seen in the past. we will see what it does to mortgage rates. volatility continues for currencies, this time it is the dollar on top. we saw yesterday complete reversal of the dollar trading higher against the yen, pound and euro. gasoline and oil prices. oil is up again today, that is pushing gas prices up $.16 over the last 10 days. a quiet move that will bother people as they go over the river and through the woods. gold futures trading down -- trading up from yesterday's close but down below 1200.

but there is a lot of economic data now out there that suggests that pessimism isn't matching up withen over the past 12 months. i think that's significant in the political lens as well. >> greatly appreciate you joining us. we'll see you tomorrow. >> the supreme court is considering whether airlines have legal immunity when they report potential security threats to the tsa. the justices heard argument in the case of a pilot who was removed in flight after the airline he worked for reported concerns about his mental state. nbc news justice correspondent pete williams joins us. this is such an interesting case for many reasons here. but explain to us at least the back story of how it got to the justices. >> well, the pilot at the center of the case who flew for air wisconsin airways was a passenger on that plane. he was headed home after failing repeatedly simulator tests to be able to fly an upgraded airplane. he claims he was selt up by people at air wisconsin that wanted him to fail for whatever reason when he failed the test the last time, he ripped off his head saet and yelled at

. >> progress towards the economic objectives will be sustained. if the incoming data supports the committee's outlook, we'll likely reduce the pace of securities purchases in further measured steps at future meetings. >> reporter: bernanke suggested the fed would reduce the monthly qe in measured inkments, sounded like $10 billion a month, reduction depending upon the economy. he said the course of reductions is data dependent but said when the fed hits the 6.5% unemployme unemployment threshold and it would remain on hold once they hit the 6.5% unemployment rate. >> we couldn't put it in terms of unemployment. i suspect it will be time passed the 6.5% before all of the other variables that we'll look at will line up to give us confidence the labor market will sustain the beginning of increases and rates. >> the last meeting is in january and janet yellen is supposed to be confirmed this week as his replacement. bernanke was asked if yellen supports the program and he said she fully does. policy is expected to be pretty much the same under janet yellen as it was under

stocks, while they're mostly lower as investors digest a mixed bag of economic data, but we're seeingbuying into the last hour of the session. initial jobless claims surging to a two month high last week, 368,000. that followed a revised figure of 300,000 in the priest be week. retail sales jumping seven- seven-tenths of a percent in november, that is a biggest gain since june. investors also focused on the highly-anticipated return of hilton hotels as a publicly-traded company. shares of hilton spiked at $20 apiece after the close yesterday. checking the shares at the moment, up nearly $2, $21.87. facebook will likely make a bunch of new investor friends, because it'll become a member of the s&p 500, also the s&p 100 next week, so this means facebook shares will automatically get snatched by some index and investment funds. let's have a look, a huge session for the social network, $2.58, that's 5.25%, that's a nice jump putting the price at $51.97. now, unlike facebook's rally, lululemon having a sour day after it warned about a sheer forty be quarter. -- fourth quarter. straight to

put that together with good economic data, we had some m&a news over the weekend and out today, all this stuff is positive for the market. now, that leads us to the calendar this week and talking about what we're going to get from the fed. i personally do not think we're going to get tapering from the fed this week, but i do think we're going to get additional information that's going to tip their cards more. that tipping happened back in september, and the market rattled for a few days after that. i don't think we're going to see that type of rattle now. our market's strong enough to shake off any additional information we're going to get out of washington, but i think it would be good towards the end of the year that d.c. does give us more information as to what they're thinking, how are they going to do this and when. liz: right. and remember, they don't all get followed by a press conference, but this is one of those meetings that does on wednesday. so, kevin; i think jon's absolutely right, we probably will not see any kind of tapering at this point because we've bot go one more lab

stocks rising on strong economic data that came out. >> look at the superfast animal-like robot with names bike big dog and cheetah. google is buying the company that buys them for the military. boston din ammics designs them. google is yet to say how the robots will be used. >> plus, coming up next... >> we don't know the culture, but we know it by bread. >> a unique idea not only helping imgrants find jobs, but giving rise to a new way of life. lav ash ash tÑ >> welcome back to al jazeera america. i'm del walters, these are the headlines. we are following breaking news coming out of boston. the university of massachusetts is reporting a person with a firearm. a building has been evacuated. that is at the university of massachusetts. a building evacuated after reports of a person with a firearm following reports of bombs at harvard university that we continue to follow. >> the interim leader of the central african republic is looking at granting amnesty at those involved in the christian-muslim violence. >> numbers show most immigrants coming to the u.s. are women, many trueing to f

that is thanks to really good economic data. at the end of the week, traders were please with the surprisingly strong german consumer mood. >> a quick look now at the numbers. the u.s. economy continues to gain traction. the latest figures show the pace of growth is the strongest in two years. >> the commerce department says that the world's largest economy in grew at a robust annual rate of 4.1% in the third quarter of 2013. business investment and consumer spending also stronger than expected. is there such a thing as tax fraud related to prior trading? best to power trading -- to power trading? power trading is paper-based and cross-border fraudulent behavior is hard for investigators to chase. price it is a tax evasion scheme that may have cost the german state many billions of euros. electricity traders are currently used cross-border transactions and legal loopholes in the european power market to avoid paying value added tax called carousel trading. german companies import electricity from other he eu countries. the impor

when we see better economic data and it means that the fed may go away, it also has resulted in higher interest rates and then the markets says higher interest rates mean the housing market may slow. construction jobs. the big box lowe's and home depot may slow. as the rates go higher, that will be a head wind to the economy. >> for the end of the year do you have any tips for people as they look at their portfolios? >> you have to look at reallocating according to your discipline. you've had a great year for stocks, it feels horrible to sell stocks and move money into bonds. you need to do it. you need to stick be your discipline. if you're worried about the bond market maybe keep the maturities short. stick with your discipline. it will keep you out of trouble for the long term. >> great talking to you. >> thanks for having me. >>> up next, we're show sh"on t money." inside how to entrepreneurial thinking could help our most embattled city. >>> later, we don't want your giving list to include scam artists. we'll have tips on how to protect your identity while shopping for loved ones.

some blame it on the down sales which pushed up the major retailers, not even encouraging economic data seem to help, the stronger growth in u.s. manufacturing in october. looking at the closing numbers, dow fell 77, s&p lost about five points. >>> susie, also not helping stocks today, comments from a nobel prize winning economist, he says the u.s. stock market is looking bubblicioush, that was not the exact word but it was his message, he sees the world as very vulnerable to bubbles, and not just in stock prices but in property markets, as well. he called the u.s. economy still weak and vulnerable. he says technology and financial sector stocks seem most stretched. he still sees value in energy and health care, so far this year the broad-based s&p 500 index is up more than 26%. >>> well, jim paulson is not buying the bubble talk, saying there is still a lot of upside in the market, jim, nice to have you with us. so tell us why you're not expecting any bubble trouble after a nobel prize winning economist says that things are vulnerable. >> you know, susie, i think the primary thing that

that scare could be that you have a good run of economic data and people say the fed will have to go faster than we anticipated. it's 3% of the ten year treasury yield okay? can we deal with that or show some impatience of where rates are? it doesn't mean it's over. it gets a little bit more dicy as you worry about both the possibility of going too fast or too slow. >> pretend you're janet yellen. tell me what you do in 2014. >> remain flexible and listen to the markets. we know the course has been set for her by her wrork and what bernanke has set up for her. i think you have to be mindful of the market overshooting and taking the wrong message. >> when you say mindful of the markets, you're not talking about mindful of the data. you say watch the markets. >> watch the markets interpretation of the data and the markets forecast of the feds intention. >> i think the first thing you do is thank ben bernanke for getting there started before he took office. he did a great favor to her and her first task in office is not to begin the taper but just to look at the data, look at the market

there is continuing and increasing speculation that following some solid economic data, the fed may start tapering back its stimulus measures. about confirming or denying that speculation on wednesday. we are going to move on now to some of the day's other is this news. a boost for the struggling automotive industry in europe. demand for new cars in europe rose for a third month in a row this november according to trade figures. sales were up 15% in spain and seven percent in the u.k., with over 900,000 new vehicles registered. german volkswagen and french the mostere among successful brands. and after exiting its international bailout program, ireland has outlined its plans for economic growth, with an emphasis on creating jobs. unemployment remains stubbornly high at 12.5%. a government is looking to replace all of the jobs that were lost during the economic crisis with new ones, and they also call on the irish banking sector to become contributors to the economy rather than a drain, and finally, some news for greece as officials say the country will finally emerge from six years of rec

i think another couple quarters of good economic data, more news of positive job growth and you're likely to see that happen. >> okay. >> one other quick thing and that is it just costs less to buy computers today, to make investmen investments. their businesses are investing but sometimes when we look at the spending itself, if they spend less on a computer, it may look like they are not even though they are investing. >> we'll see what 2014 holds. >>> meanwhile, mortgage rates edged higher this week following encouraging data about new home sales and job growth. the average rate on a 30-year fixed rate is 4.46%, up from 4.29% just last week, according to freddie mac. a year ago the rate was 3.34%. >>> signs of a fall in federal budget negotiations in washington, john boehner said he would entertain a possible extension of emergency unemployment benefits set to expire at the end of the year but says the white house has to offer a specific proposal about the benefits and do it in the coming days. >>> fast food workers across the country were protesting to get paid more. the demonstrations

that scare could be you have a good run of economic data and people say, whoa, the fed has to go faster. is 3% on the treasury yield okay? are or we showing i am patience in terms of where rates are. it doesn't mean it's over but it gets a little more dicey as you worry about both the possibility of going too fast and too slow. >> can you play along with me. pretend you're janet yellen. tell me what you do. >> remain flexible and listen to the markets. she's a nonquantity. the course has been set for her by her work and what bernanke has set up. you have to be mindful of the market. >> when you say mindful of the marvegts, you're not evenly talking about mindful of the data -- >> the market's interpretation of the data and the market's implicit forecast of the fed's intentions. >> i think first thing you do is thank ben bernanke for getting it started before you go to office. her first task in office is not to begin the taper but decide what pace to continue the data. i think the data will continue to come in strong enough to continue the taper. >> if you have any big global concerns, r