word of the restructuring helped lexmark shares rally 13.7%.olume was more than six times average. the rally pushed lexmark stock to its highest price since july when it was hit by an earnings warning. the company is winding down its ink-jet business because of dwindling profit margins. it's exploring a possible sale of its related patents. general motors is idling production of its electric/gas car, the volt. the assembly lines will be quiet for 26 days as g.m. tries to work down inventories. it's the second time this year shares fell 1.3%, closing just below $21 per share. it's the second time this year volt production has been suspended because of low demand. we have a closer look at g.m.'s stock chart on our web site, nbr.com. click on the blogs section for technical analysis by michael kahn. the ripple effect of g.m.'s decision to pause production of the volt can be seen in shares of polypore. this company makes parts for the volt's lithium battery. shares fell 7.7% on heavy volume. this is a 52-week low for polypore. yesterday, tiffany cu

lexmark on the other hand is kind of -- are you sticking with lexmark? >> yeah. as far as the small caps stocks go, we like all of them. pointing to the thesis of invest in companies going to benefit small business owners in a slow growth environment. they all have high return on invested capital, high earnings yields. they have high def depend yields. lexmark, a reason it's beaten up is exposure to europe. and, you know, right now, we're not prepared to call the bottom in europe by any means, we do think that over the course of next six to 12 months, investors, there's a strong possibility to see the opportunity of a lifetime investing in europe. i wouldn't be a seller right now of lexmark. i wish i could rely on the tape and tell everyone to get in today opposed to three months ago but yes a good buy still today. >> got it. thanks so much, steve and mark. >> thank you. >>> let's get a market flash now from brian sharktmctman. >> talking about drought. barclays initiates a lot of fertilizers saying, quote, despite the recent gains in the stocks we see attractive

lexmark laying off 13% of its work force. says it will stop making ink jet printers as the journal says do not trust the turnaround at another pc giant, hewlett-packard. we'll begin with crude oil prices rising back above $96 a barrel as tropical storm isaac has led to refinery shutdowns in the gulf. gas prices also rising due to isaac. the latest survey from aaa shows the national price for a gallon of regular gas edging higher to more than $3.75. the president expected to issue a statement on tropical storm isaac in about an hour from now.

we mentioned lexmark today.trust the turnaround over at hewlett-packard. it might not

ap reporting that lexmark is is going to cut 1700 jobs and stop making ink jet printers, and lexmark is up a little bit. and better than expected profit at the closing maker, and the company raises outlook again. and they make calvin klein and tommy hilfiger, up 6%, wall street journal reports that boeing is adding a third line to the dreamliner assembly and that's down a little. denny's ink add deal to open ten new restaurants in chile. not much reaction to that. watch maker no varto, up more than xhekted and it's up 17%. movado. and if mitt romney markets himself at the convention, how should he do it. play up the family man angle like the keds did? we'll ask another one of our markets pros next. [ male announcer ] at scottrade, we believe the more you know, the better you trade. so we have ongoing webinars and interactive learning, plus, in-branch seminars at over 500 locations, where our dedicated support teams help you know more so your money can do more. [ rodger ] at scottrade, seven dollar trades are just the start. our teams have the information you want when you need it. it

. >>> printer maker lexmark soared after cutting 1,700 jobs, roughly 13% of its workforce. >>> ketchuper heinz up on a rosy forecast. >>> movado skyrocketed on good results and raised forecast. >>> tommy hilfiger. its facility began -- the obama administration raised fuel efficiency requirements for new cars and trucks to an average 54.5 miles per gallon by 2025. watch dycom today, results short of expectations. also keep an eye on chevron, which rose tuesday on speculation it's looking to buy something with its cash. and no, you can't teach a 9-month-old to read. the federal trade commission has filed a complaint against the makers of your baby can read, marketed as a tool to teach infants to read. it costs about $200 and sold nationwide at retail stores including walmart and babies r us. >>> a nascar driver ready for a collision at home plate. >>> plus, the giants use teamwork and a little luck against the astros. your early morning sports headlines are straight ahead. >>> i'll have an update on isaac and the fact it's stalled over new orleans is not good. that's coming up. you're wa

now we are moving to lexmark, 21.63. this stock is up. are looking to get out of the ink jet printer business. they plan to lay off about 1700 employees and they are going to sell off their printer operations, unfortunately, a lot of times wall street likes this kind of stuff. the move expected to save the company 95 million dollars annually. i want to look at the sector overall, not doing great. shares of lexmark competitors, that's dell and hp, both of these stocks actually hitting new lows today as you can see. well, stephen roseman, thesis fund management ceo and thesis flexible fund manager, back with some u.s. equity picks. diamonds in the rough, we did european edition earlier. now it is u.s. edition time. who do you like here? >> as you have often heard me say on this show, the best opportunity to make money is to go against the grain. look for things that are trading at very very low multiples to cash flow or significant discounts to book value. so in the case of u.s. stocks, we like names like aig. we talked earlier -- cheryl: i

. >>> printer maker lexmark soared after cutting 1,700 jobs, roughly 13% of its work force. >>> ketchupaker heinz was up on rosy earnings forecasts. >>> watchmaker movado skyrocketed to an all-time high on good results and a raised forecast. >>> higher sales of its tommy hilfiger and calvin klein boosted shares. molycorp shot up after its california facility. >>> the obama administration raised fuel efficiency requirements for new cars and trucks to an average 54.5 miles per gallon by 2025. >>> watch dycom today. it tumbled after hours on results short of expectations. also keep an eye on chevron which rose tuesday on speculation it's looking to buy something with its cash. >>> and finally, no, apparently you cannot teach a 9-month-old to read. the federal trade commission has filed a complaint against the makers of "your baby can read," marketed as a tool to teach infants to read. it costs about 200 bucks and was sold nationwide at retail stores including walmart and babies 'r' us. >>> coming up, a nascar driver readies for war. a collision at home plate. and the first round of u.s. op

one of the stand outs is lexmark.g to cost about 1700 jobs but save about $95 million a year. and also kla. and apple, slightly lower on the day. also keeping an eye on shares of google. there is some dispute. the result of it came out yesterday and could have an impact. we're watching shared of google today higher by 1%. back over to you. so there is a battle brewing in the clouds. >> i love to story. amazon has become the leader in cloud computing. that unit contributes a reported $1 billion in revenue. and it's far head. >> benjamin shactner joins us, and so does herb greenberg. very guy yetly, they belt this in the cloud, haven't they? >> yes, and it's a fascinating project because it is built based on the fact that they have this built for their own sight. what else could they do for the year. and it's turned into a massive business that can grow for a long, long time to run. >> this is servers where i put all of my stuff on their servers, and it seems like it's a big commodity business. prices will do nothing bu

. >>> lexmark doesn't want to make printers anymore. this doesn't affect us directly, though it's worth pointing out printers are a major part of hewlett-packard's business. in the short term good for hp, in the long term people don't print as much as they used to. bic has started selling just for her pens designed to fit into a woman's hands in pink and purple. if you'd like to waste an hour laughing, check out amazon reviews for it. with this new pen females of world can stop ruining their nails by scratching rudimentary symbols into clay tablets. this man was a man. i bought this pen in air rer evidently on to write my reports of each day's tree felling activities as my job as a lumberjack. >> it didn't bring out his softer side. i wonder if your penmanship is a bit better. >> no would make it better. or my penwomanship. >> that's very fair. pretty pink pen. 5:54 right now. we check in with christina loren to find out about our wednesday forecast. >> the reason we can't open the spaghetti jar, designed for a man's hand. that's right.

. >> lexmark is a big project company. they're cutting 1700 jobs.ie down stock markets here at like when people lose faith to. i know nothing about football. please do not take my advice. >> will there be a time in the future when every major league team is publicly traded? >> i cannot answer that. >> it would be just your speculation. >> i do not think so. >> i think that investment groups to continue to do what they do. and >>darya: let's take a look at traffic. >>george: it has been a tough morning. we have not had much in a way of major incidents until now. a multi car crash on the nimitz freeway in union city. it is in what we normally referred to as the non commute direction. it is northbound and the bulk of the traffic is in the opposite direction. it is jamming up the ride through fremont. it is backing things up on 880 northbound. three lanes are reported blocked. with that much activity is likely to continue to slow the right coming out of hayward heading towards new work, fremont and milpitas. again, this is occurring in what had already

print maker printer maker lexmark plans to cut 1,700 jobs and it is it will shut down its ink jet segment in order to cut costs. shares posting their largest gains of the year on the news. take a look at that. a gain of more than 15%. >> similar structural story we're seeing from canon and xerox. now they're looking at going into value image and software solutions. the chart really tells you what to do here. you have short interests of over 22%. the stock is trading towards the upper end of its range. do i like this on a secular basis? absolutely not. would i sell it today, no i would not. there are farther shorts that have to be unwound. >> a.k. steel tumbling today. that's after ubs downgraded shares to sell from neutral citing near term down side for price and low cost imports. downtown josh brown. >> yeah. this is like the third downgrade for ak steel in the last ten days. they're slicing this thing to like a $4 target in some cases. $5. i don't think there's a ton of opportunity here because the problem with aksteele is that they have no pricing power. steel prices are down 43% year-

you mentioned lexmark, the channel is stuffed, we know that from hewlett-packard itself.on't see a lot that makes me jump up and down. >> let's get to squawk on the tweet this morning. hormel reporting increased profits across all of its food processing segments, including strong sales of its iconic product, of course, and that is spam. beyond food products what else should we seal in a can so that it lasts forever? linora writes, jon corzine's hubr hubris. another writes, i wish i could put apple's product launch in a can. we should put common sense in a can so it will last forever and andre writes, greece. you know, greece once again today, citi, saying 90% chance in the next 12 to 18 months, jim. >> they said september, it could be as early as september. that's a change in the language. >> i bet you you would argue, who cares? >> i care about spine. i care about spine and italy. that is somewhat factored in. the comments about how the europeans may not be able to do anything i thought were more devastating than anything he said about the u.s. economy. wow. that started

lexmark says they will save $95 million per year. they are certainly up.for the year, that is down more than 20%. this is good news that they are restructuring for the company. back to you. tracy: thank you, lauren. ashley: they like the efficiency of it. the gop convention kicking into high gear tonight. will it do anything to sway voters minds? or is it all for show? that is coming up next. tracy: as we head out to the break, let's take a look at some of the winners and losers on the nasdaq. tracy: hurricane isaac has shot down over 93% of daily oil production in the gulf of mexico. driving oil prices higher. looking at today's trade. reporter: looking at these energy stocks right now. somewhat mixed, which is really interesting. a lot of the refineries down there have been shut down. in fact, we have the new numbers out. check it out at the lower part of your screen. we now know that 93% of oil production down there on a daily basis has been shut down. 67% of natural gas. let's take a quick look at the commodities. these are the latest numbers that we h