you can say it is a win for jack lew? >> not quite yet, but you can effectively say that jack lew has loan up this deal for the moment. -- has blown up his deal for the moment. abbvie said it was effectively going to reconsider the takeover because of changes in the tax rules that jack lew announced back onset timber 22. timber 22. this caught investors by surprise. it's the biggest drop in 12 years for the company and not everyone expected this would happen. told a month ago, abbvie its employees this value would -- this deal would move forward. comedies are having second thoughts at a closer look at what the tax rule changes are and we see some spillover effect on the shares of other drugmakers that could be in version targets. is oneneca, for example, and is feeling pressure today because of this action by abbvie./ it's not a done deal and they are reassessing. billion fee of this deal breaks apart. are we going to get any reaction from the treasury department? >> i would not expect any. the treasury does not comment o

i asked treasury secretary jack lew why if things are so good to beans don't seem feeling it? >> conditions in 2009 were really bad. it loaves bruising that takes time to get over. we have been in an extended period where washington hasn't been getting to the brink of a crisis where they are seeing the grow and our to job is to continue this. gwen: and then the crazy stock gyrations. >> we saw a couple of days this week with multi100 point swings in the dow. one point earlier in the week, 450 points off the dow in one morning. all of thatack but is a return to volatility this used to if you are not this. part of what is going on actually is ebola is sort of the marketsnd noise and hate uncertainty. the obama administration has newstrying to get the good that you are talking about out there but with this in the backdrop it is hard to get the message out. gwen: it is not just about the deficit. saying it is are not over yet. also housing numbers are good. corporate earnings report which good. the jobless numbers are good. >> the jobs have been great. 200,000 plus job growth for

but jack lew saying he sees it more as a result of growth outlooks than policy. kelly? >> all right. we'll leave it there and see if the dollar continues here and always the counter trend. talking about the strong dollar, takes a backseat. baby it gets a second wind here with about 48 minutes to go into the close. the dow now positive. it's up 6 points. >> we might have a full pledged rally on the hands if not for ibm. does big blue have the right plan for the future? is the cloud the answer or already saturated with too many players. >>> ibm might not be the biggest earnings story by the time the day is over. apple reports after the close and we'll get you the numbers to watch for live next. >>> and the pros chime in on apple pay and whether it pays off for the tech giant and take part in the live poll asking if you would rather use apple pay or your credit card. cast your vote. the polls are open! we'll be right back. ♪ there's confidence... then there's trusting your vehicle maintenance to ford service confidence. our expertise, technology, and high quality parts mea

that was the setting as i sat down this morning with treasury secretary jack lew and budget directorun donovan. secretary lew and director donovan, thank you both for joining us. you have some good news for a change today, the deficit down and continuing to go down to, what, 2.8%? >> correct. >> ifill: to what do you attribute that to? >> look, i think that if you look at where we were six years ago, we had an economy that was collapsing, we had unemployment, 700,000 jobs lost a month and we had markets in chaos. now the president came into office and took tough action. he stabilized the economy. he put in place an economic program to create growth. he put in a programs to reform our financial markets, and over a period of years worked with congress on a bipartisan basis to put in place a balanced set of measures to reduce our deficit, you know starting with the affordable care act, which reduced the deficit, as well as providing a guarantee of health care coverage, and then doing spending reductions and revenue increases that came by making our tax system more fair. it's an enormous

we're joined now by the treasury secretary, jack lew. welcome, mr., welcome here this morning. you worked so closely with the chinese leaders. how concerned are you about a violent crackdown and what would that mean for relations with the u.s.? >> good to be with you, george. obviously we're watching the situation closely. it's very important that the situation be resolved through peaceful discussion. >> has than been communicated to the chinese? >> i think that there have been conversations through our national security channels. the president dropped by when the foreign minister was visiting just last week at the white house, and i think we all need to send the same message, that this be resolved through discussion and peaceful discussion. >> let's talk about the economy. solid jobs report on friday. unemployment below 6% for the first time in -- since 2008. on track for the best job creation in almost 15 years but as you know americans are just not feeling it. want to show our latest abc news poll. 69% of americans think we're going -- the economy

treasury secretary jack lew. >>> back now with our facebook find.right now, pro-democracy protests in hong kong. government officials order thousands of demonstrators off the streets setting the stage for a major show down. abc's muhammad lila is in hong kong with the latest. good morning, muhammad. >> reporter: good morning, george, from here in downtown hong kong. we are just hours away from the government's deadline for this protest site to be cleared but take a look around. the protesters aren't going anywhere, in fact, their numbers are growing by the hour. today for a brief moment it looked like the protesters were almost going to give up a couple of their smaller protest sites after someone started spreading rumors that they reached a deal but the protest leaders quickly rejected those reports insisting they are here to fight to the very end. now, this all has to do with the people here fighting for the right to elect their own leaders, not just leaders who are from a list of pre-approved candidates in beijing. now, no one knows what's going

there will be no starboard coming in taking jack lew out. this is a ten-year treasury where there's going to be changes. there will be changes. and sea of up side. they still have a good balance sheet. they've done nothing. great balance sheet. >> they mentioned specifically having to close restaurants in russia. obviously, the pate scare in china. higher effective tax rate. they are not able to explain this quarter? >> chipotle corner the analysts didn't like. they are selling itself. people are looking at mcdonald's saying i can't go in there because i'm a healthy individual. but mcdonald's has to -- mcdonald's cannot stay like this. coca-cola is going to stay exactly like this. coca-cola, three months from now what we are going to hear is change is going to be rapid now. change is going to come. they've got like a sam cook approach to it. mcdonald's, i'm having a party. they are going to have wholesale change right now. >> wholesale change? boards are more willing to make changes. i do, but i also think you're asking a lot of -- >> we are

we had a big investment deal broken up by jack lew and treasury department out of washington, a lot of people said, what other deals is washington going to mess up for us, and make us you know lose money on shareholders, a lot of stuff traces back to washington, d.c. neil: interesting stuff, mary thank you very much. >> good seeing you. >> do you think that media is over the top on ebola. what if i told you it is not over the top enough, had it been on top earlier like we were, and mary was, we might be better off. but some of you were watching other channels, i guess, i don't know. she's still the one for you. and cialis for daily use helps you be ready anytime the moment is right. cialis is also the only daily ed tablet approved to treat symptoms of bph, like needing to go frequently. tell your doctor about all your medical conditions and medicines, and ask if your heart is healthy enough for sex. do not take cialis if you take nitrates for chest pain, as it may cause an unsafe drop in blood pressure. do not drink alcohol in excess. side effects may include headache, upset stomach, d

we had a big investment deal broken up by jack lew and treasury department out of washington, a lot of people said, what other deals is washington going to mess up for us, and make us you know lose money on shareholders, a lot of stuff traces back to washington, d.c. neil: interesting stuff, mary thank you very much. >> good seeing you. >> do you think that media is over the top on ebola. what if i told you it is not over the top enough, had it been on top earlier like we were, and mary was, we might be better off. but some of you were watching but some of you were watching other channels, i guess, i don' you pay your auto insurance premium every month on the dot. you're like the poster child for paying on time. and then one day you tap the bumper of a station wagon. no big deal... until your insurance company jacks up your rates. you freak out. what good is having insurance if you get punished for using it? hey insurance companies, news flash. nobody's perfect. for drivers with accident forgiveness, liberty mutual won't raise your rates due to your first accident. see car insurance in

jack lew is right. taxpayer is still on the hook. it was absurd.suit was absurd. >> listen, when ted olsen thinks he's got a strong case, you have to listen. i'm sorry. nobody's one more cases in front of the supreme court than that man. this was a shock. let me leave it at that. obviously, shocking for many of the -- >> good call by jack lew to short fannie. made a lot of money off that call. >> that's true. >> timely. >> all right. let's head to the bond pits now. rick santelli is at the cme group in chicago. rick? >> thanks, david. well, we had a better adp number. what did the market think of it? these are kind of sessions where you get a glimpse at a momentary trade, but it gives you a sense of how markets still can move on data and give you an estimate of the strength or weakness or just the mediocre nature of a number. so at 8:15 eastern, see the drop in yields? pretty easy to pick out. if we open the chart up basically to the beginning of september, it's important to note several things. as dom pointed out, hovering basically at three-week-

the news is that treasury secretary jack lew is going to hold hearings to review, quote: putting a systemichat does that mean? well, it means that in you put a systemically-important label on a company, it is held to different standards where it will need more capital on its books. lew is saying u.s. regulators will also review the process more designating a company systemic. metlife has sought hearings last week about this. systemic label comes with regulation by the federal reserve. trust me, companies don't want to be labeled as systemic. the stock moving lower by half a percent at the moment. why don't they want that? because again, as i said, it means you are then held to the same standards as the goldman sachs and the jpmorgans of the world, the banks that got us into trouble the last time around. but breaking news, metlife, there will be hearings about whether it is systemically important. >>> today the nba announced that walt disney will retain the rights to broadcast games for the next nine years. there's still no clear number on how much the deals cost but, listen, we can figure i

somebody ought to point out that the sequester they're talking act was first thought up by jack lew and the president. but regardless of, that think i that the spending has been flat with regards to the agencies they're talking about, the nih and other, and obviously that really hinders some of the efforts but that is not a republican effort by any means nap's a pretty low blow. >> the polls suggest that the race is tightening, that you're catching up to your opponent, and the fox poll shows that you are in fact widening your lead. all this taking place very recently. what happened recently to change those polls? >> well, basically the people of kansas got it figured out. my opponent is a liberal democrat. he is posing as an independent. he's not. he is a liberal democrat. by any measure, his definition, his deeds, where he stands on the issues or doesn't stand on the issues and by campaign contributions. he ran against me as a democrat in 2008. he's given about $174,000 to hillary clinton, to barack obama, and, yes, harry reed. so he's going to caucus with harry reed. i think most kans

as we have been saying, this is all thanks to jack lew who broke up a bunch of deals here. >> i thinkis a little bit overblown. these were financially structured to have tax deals. these were not value ceo'suctive deals because side chance to really make a place for a constructive market. there was cheesy topline growth and it was about taxes. and the markets are having their own version of whether or not they're going off of the cliff as well. public inhoo did go london last week, and has gone up 3%. perhaps the capital markets are more stable than this headline. thet could be easier after transition and some of these companies. >> mcdonald's under the spotlight. into hundred -- around the country. the mcdonald's in question square -- risk in square has shut its doors. this comes after the food ban import. i think this is clearly political retaliate. ion. story from mcdonald's that is closer to home, apparently there dollar menu dollarre not a anymore. their prices of 3% since the end of june. the burgers are getting more expensive. >> inflation in the economy. >> coming up, we conti

wednesday, we get the administration's take on the state of the economy, from treasury secretary jack lew and budget director shaun donovan. i'm gwen ifill. >> woodruff: and i'm judy woodruff. we'll see you on-line and again here tomorrow evening. for all of us here at the pbs newshour, thank you and good night. >> major funding for the pbs newshour has been provided by: ♪ ♪ moving our economy for 160 years. bnsf, the engine that connects us. >> and by the alfred p. sloan foundation. supporting science, technology, and improved economic performance and financial literacy in the 21st century. >> and with the ongoing support of these institutions and... >> this program was made possible by the corporation for public broadcasting. and by contributions to your pbs station from viewers like you. thank you. captioning sponsored by macneil/lehrer productions captioned by media access group at wgbh access.wgbh.org . >>> this is "nightly business report" with tyler mathisen and susie gharib. brought to you in part by. >>> the street.com, featuring stephanie link who shares her investment strategie

you can tell that these treasury department rules -- >> jack lew has a big smile on his face right nowen the treasury department -- these are proposed rules. of these lew announced proposed rules, there was a lot of head scratching and people and tax lawyers were analyzing this and they were not certain whether the rules would have the desired effect. several companies like medtronic said it's not going to stop them and were working -- and burger king, did not stop them. >> even abbvie said they would move forward with the merger. they might have done more analysis or talked to treasury. they got the sense that this was really going to have an impact on them. who is feeling the pain? we have heard that hedge funds have billion dollar positions and they have to be gushing blood today. >> blame the arbitrage trade. >> in a deal like this, there's a huge amount of shire stock that will be bought by merger arbitragers and they bet on the spread. after the treasury rules, some lawyers are saying that we were telling people they should short the deal. they thought the market had underappreci

brands after the close. .amsung earnings fell few items of note -- treasury secretary jack lew speakingomy and washington, d.c. at 8:45. president obama in new york city this afternoon for a fundraiser. do not try to drive in midtown. nobel prize for physics was announced earlier this morning. we want to point out three japanese scientists won for led lighting, which is all about efficiency. there you have it. >> a nurse in spain has been a first-person to be infected outside of africa with ebola. health workers are trying to compile a list of people she came into contact with. president obama has pledged to boost screening for affected air passengers. an iconic new york city hotel gets new ownership from china. it has a great to pay hilton worldwide $2 billion for the waldorf-astoria. it is one of manhattan's a signature properties and features more than 1200 rooms. time warner is set to shed jobs in its turner broadcasting division. turner'sbout 10% of global workforce. time warner says the move is part of a broader initiative to improve affability. turner operates cnn, tnt, and cbs a

treasury officials had no comment, but treasury secretary jack lew has acknowledged the need for reform said president obama wants to work with congress to change the tax code. abbvie is launching a stock buyback and is boosting dividend. shares this morning were trading higher, but 1.5%. the executives have looked for new jobs, expecting the merger to go through. >>> meanwhile, valeant and bill ackman says ackman is trying to discredit their bid. he called valeant's offer progress attic. aller gn has repeatedly rejected ackman and valeant takeovers. >>> apple easily beating estimates in the fourth quarter, selling a record number of iphones. >> the chairman and ceo has died on a plane accident at a moscow airport. >> oscar pistorius is sentenced to five years in prison for the culpable homicide of his girlfriend. >>> welcome back. let's have a look at european markets. as you can see, quite a lot of green there. they opened the day basically flat, went up a little bit, but they gained more strength in the last 20 minutes or so after reports from sources saying that the ecb possibly con

. >> i said jack lew, stop it. he said no. then he did it. brief me. say it here, it doesn't necessarily come out there. >> not that i disagree with you. >> they don't do it. >> it costs them a short-term hit. >> they did go ahead with rules on the inversion. i'm not just speaking in some dark closet. >> if you are spain, you're selling ten-year money at 2.12. who is buying that? >> i've been on boards where i have to run funds. it's like, i got on treasuries. . >> a look at some of the leaders this morning. some of the airlines bouncing back. some of the banks, too. i think people are beginning to think what if rates start to climb back. did you not remini of those last night. >> rates still aren't going up enough to make it so in two weeks when we hear from the banks, they will say the right things. i'm listening to what i think i'm hearing on the conference calls. at 2.5 we don't make enough. you can buy the banks here. if the rates don't go to 2.67% and you are going to hear everything you don't want to hear. i'm trying to make it so you're not juk

janet yellen and jack lew, mark carney, the u.k. chancellor george osborne will make efforts to solve a too big to fail issue with banks and financial firms. >>> now a texas worker becomes the first case of ebola contracted on u.s. soil. we'll have the latest on that developing story coming up next. >>> welcome back. more red in store for u.s. markets. futures point lower after the dow wipes out gapes for the year. >>> and fiat chrysler gets rolling with the ipo today officially emerging the u.s. and italian brands. >>> and the first domestic case of e bbola is contracted inside the u.s. >>> as we just mentioned, a texas worker has contracted ebola after treating a man who died at the hospital last week. the woman who has not been named is the first person to contract the virus in the u.s. she had close contact with mr. duncan. but it is unclear how this breach of protocol occurred. >> we are conducting a thorough investigation to figure out how this happened and ramp up infection control to do whatever we can to minimize the risk t

up, treasury secretary jack lew talking about the state of the global economy, his recent trip to australia to meet with other finance ministers, and the upcoming world bank in washington.e treasury secretary spoke yesterday at the peterson institute for international economics. >> good morning, ladies and gentlemen. it is my pleasure to welcome you all back to the pearson institute for national economics. it has been our privilege to support and encourage high-level discussion of policy issues, to thelarly every year run-up to the imf world bank fall and spring meeting. i'm delighted to have been host as was the person before me to a number of finance ministers and heads of state and central bank governors around the world, but today we are particularly pleased and honored to have with us the honorable 76th secretary of the united states treasury. was confirmed by the united states on february 27 last year. he previously had been white house chief of staff, director of the office manager and budget, a position he also held an president clinton's cabinet. excuse me, before returning to omb

you've got jack lew saying at first that he didn't think he had the legal authority to do it and thenand doing it. i've tried to find office of legal counsel memos for it so i want to know what the legal basis of doing this through executive action is compared to congress. if congress needs to do it, they just got to man up. >> and woman up too maybe? >> and woman up too. >> frank, how hard is this going to be -- look, this congress -- it's gridlocked. what can we do really to change the tax code? >> we've got to elect the right folks to office and they're the ones who are going to have to change the tax code. but people out there, your listeners, your viewers have got to get incensed and enraged and engaged. >> i think to come full circle, you asked should there be moral outrage. we're having a conversation about innovation in the tax code sneddon vags where apple is supposed to be giving us innovation. where starbucks is supposed to be giving us innovation, giving us great products and services that excite us. instead they're spending a lot of time with their lobbyists and accountan

. >> all you got to do is get the lawyers to say, you know what, i'm worried about jack lew. >> could it also be someone on the board? there are a number of people who are chicago people on that board, so to speak, some of whom have connections to the obama administration at least, with thinking being perhaps the obama administration has put some pressure on them. listen, i don't have a great amount of insight for you unfortunately. i wish i did. i would love some people to start to reach out here, give ugh something. >> i know abbvie pretty well. they need to steal in order to have the upside. abbvie is a good company. what i'm saying is abbvie, if this deal were over and you have to pay that breakup fee, abbvie should be yielding 3.5 and should not be able to hold 52. >> abbvie is down this morning. a lot of people have done the math, just as you did it. in fact, other analysts have done it saying even without an inversion, this deal makes sense. that's why you had so many big funds, so enormous in this name. they believe that -- you were talking about a difference in cash in terms