schiller.hank you so much. david: good talking to you, professor. we appreciate it. liz: music superstar garth brookses is back, a different kind of rock store than dr. schiller. not only does garth have sellout converts but he is unveiling a digital music service to target itunes which he reilly doesn't like. we're talking to the ceo of garth brooks ghost tunes service. this is a fox business exclusive. david: big coal, as you know, big coal is drowning in a sea of red tape right now. can the industry stay afloat? we'll ask the ceo of alpha natural resources, one of the top u.s. coal producers. liz: 4:20 a.m. in hong kong and the showdown continues. you're looking at a live picture of one of the world's top financial centers, clogged and choked with protesters. will police crack down on pro-democracy protesters tomorrow which is china's national day holiday? david: back to coal what do you think about coal? can the domestic coal industry survive? send us a message at facebook.com/afterthebell.

i had the chance to sit down and talk with apple's phil schiller, the head of marketing. about these reports, about the bendability. he called them extremely rare occurrences. he pointed out that apple had sold 10 million of these next generations. a reported issue, the customers complaining about the bendability, so extremely rare, he said. also apple's head of hardware engineering. when it came to the iphone 6 and the 6 plus, he says they have never tested another product as exhaustively with this many tests as they did with those tests. so again, a unique insight into the lab, into how these products go through the test before they're available for purchase. back to you. >> did they basically tell you that not all iphone 6s bend? because they're calling it rare. and i'm just wondering what the point is of saying that it's tested. didn't find in their exhaustive testing that some iphone 6s actually bend? >> well, i guess the point here is that we see the reports of all this bendability, and i think their point is that it's an extremely rare occurrence, that there's only

are you concerned by what robert schiller presents perhaps that valuations are perhaps too high?i think there are a couple of things. what would i take away from that first of all the u.s. is not cheap and there are better bargains overseas. second of all, longer term it does suggest that returns to the u.s. market are likely to be lower. what may mitigate that is what implicit in the graph is the notions that margins will mean revert. the silver lining of a slow growth economy, wages are lower, interest rates are lower. that may help margins an may mean that companies are not quite as overvalued as the schiller pe suggests. david: russ, you're the best, thank you very much. have a wonderful weekend. russ koesterich blackrock chief investment strategist. thanks a million. liz? liz: today stunning news that bond king bill gross is leaving pimco and joining january us has many investors what happened inside the walls of pimco? what kind of boss was mr. gross and what led to his departure? we're talking to a former pimco senior executive who worked directly with him and has some str

. >> do you use case schiller?ah, we like to watch their price indices and one of the things we're seeing is, the first half of 2013, builders raising a price at 20% annualized rate. low single digits now. probably will remain pretty low going forward because now there's more product coming to the market and builders are adding more communities. they're pushing prices in some markets. hunter, glad you're with us for the hour. >> coming up, our single best chart is all about derek jeter, getting ready first final home game. we will take a look like at his paychecks. >> can we do a fair and balanced show here? >> we will be right back. ♪ morning, everyone. it is the empire state building in the distance. a traffic jam. yesterday was not the best day for. a little gloomy. >> the president is leaving town, so things get a little back to normal. >> is it safe to say we're getting biblical rains today? >> that is what is being advertised on my yahoo! weather. do with thell bronx. a lot of people will be making their way

. >> and those that will quarter the schiller -- with those exit planets. that is the big focus.t the planet the size of the earth. and what you can achieve. looking at the chemical balance you are bin to face but to havelg oxygen north things like that. >> a quick break then we will be back. >>. in the book you talk about the potential to measure the probability that life exists elsewhere? . . that really gives you evidence that there is life on the planet where the colors that you see on the surface of the planet are closely related to whether or not there's something growing their. there are a number of techniques that would give you probabilistic measurements. you would assign value to these characteristics into that sort of thing. >> when i say unconventional, we don't perhaps think of for a plan at a number of factors that deal with the variations in climate during the annual cycles of the planet and so on. things that we measure for the years but we don't usually look at them in that respect. we don't bring it together and formulate a grading system if you will. so one of

states and the middle east but to come from this country to do the job to better enhance by the schiller -- the sheer military. >> u.s. army special forces is organized over different regions of those that focus on that type of -- in that part of the world get that type of training and talk about the local security forces on the civil side typically usaid has people staying in countries for multiple years. the state department often has the challenge with locations in the fryer medications with the people who have a skill set that they also said people to language training but in afghanistan was the afghan hands program as an attempt to get out of this career mentality to get out of the country to have someone focus on multiple tumors and language training and it took a war in afghanistan of a certain size to have that program created. then to go back to the normal resting place but your career is done thank you very much you will be posted to somewhere you don't need that promotion and i will look italy's places to the edges of the empire but that relationship the countries are based on

we have robert schiller from the case-shiller index coming on in a couple of minutes.y took, not a beating today but they were significantly down. >> right. that is from slower growth. we got the case-shiller numbers as we say, month over month you saw slower growth and affected hovnanian down 3.7%. liz: ebay one of the bigger gains of the day. [closing bell ringing]. gain of 7 1/2%. word they will spin off the paypal unit, which has been way better of a performer than ebay itself. david: indeed it has. we've been all over it from the beginning since charlie, you, everybody at fox business talking to mr. carl icahn, telling them he would force them to do just that. of look how all indices are looking. as i mentioned 10 men's ago, the dow jones had a plus sign next to it. now it has a negative sign. not a significant downward turn. again, exemplifies the up and down roller coaster quality of the day. the thing to focus on beside oil, is russell 2000. we're looking at small and mid-sized caps, talking how they are going down much further than the rest of the market. toda

let's disregard the schiller ratio because that gets people i think quite anxious and is not proven toe a good valuation indicator. if you look more appropriately at free cash flow yields, p.e.s i think the market is a soft plus on valuation. in the near term maybe a yellow flag. we will get that long awaited 5% to 7% hiccup in the market. over the next balance of the year we are moving into a solid period. for stocks we get the election behind us. fundamentals will take over and back to what i have said before capital discipline and allocation of companies i think is quite sound for five years into this bull market. >> last question. give us reason to be optimistic going into the weekend. what is the last thing you have been buying? >> we like the health care sector. we like the industrial sector. and we like regional banks. think about the point of the cycle we are in. we should see longer term rates go up along with the fed funds rate. we should see yield curb steepen. something has to replace the liquidity. historically that has come from the banks. we are likely to see increased l

. >> we talked to bob schiller about the stock market, but only about half of all americans even owncks. far more americans own homes, so there's some degree of importance in encouraging homeownership because it has that health and prosperity effect. >> oh, absolutely. we certainly learned from the housing crash how risky homeownership can be. on the other hand, it's still the case that home equity is incredible force of wealth, and when you look at people who are in their retirement years, it's not just having that wealth in your home, it's having the fact that you own that house free and clear and don't have the mortgage payment, and for a lot of americans, that provides a lot of financial security. >> chris what a great opportunity to talk to you. research director at the harvard joint center for house studies. >>> up next, how the staggering mountain of student debt is effecting the economy. the ripple effect reaches all of us. continues. >> al jazeera america presents: >> smile and look at the camera. >> edge of eighteen >> i thought grades would get me into college. >> the toug

schiller. pretty fast. 8 knots an hour. 8 miles an hour on land. costs $6,500. very cool. ne >>> this morning on "world news now" -- demanding justice. american journalist beheaded by isis terrorists from the president to the victim's loved ones. the world united to track down evil. >> of life or death, americans overcome by ebola. the latest infections and those who manage to fight the vicious virus. and recover. the survival story. >> athletic challenges. making the most difficult basketball trick shots look easy. three students share their secrets about their videos and they're now going viral. >> confronting controversy. george clooney's decision to make a movie about a scandal that already sounded like a hollywood script. his green light to a real-life drama in "the skinny" on this thursday september 4th. >> announcer: from abc news, this is "world news now." >>> good morning to you. i'm reena ninan. >> i'm tahman bradley. why don't we get to our top story more about isis. >> the fallout from murder of american journalist steven sotloff. >> mourners gathered at a cand

. >> yes, i didn't miss the financial crisis because i read robert schiller's irrational excubance aboute housing crisis. i think that came out in 2004. >> 2005, the second edition. >> "irrational exuberance" came out in perfect timing, early 2000 right at the top of the stock market and his second edition came out in 2005, just two days before the real estate bust really started. >> okay. so but that information was out there. but that's not my question. my question is about federal reserve policy. in particular, ben bernanke. ben bernanke followed the friedman play book because he was a big fan of the monetary history and injected all this liquidity into the banking system. >> friedman would have done the same thing. >> but the money didn't go anywhere. what got us -- what little recovery we have now came about because of the automatic stabilizers and the stimulus and have been $1,400 billion instead of $700 billion. i think ben bernake changed his iu1um but can't get it through the congre congress. >> first of all bernake did follow freedman's rule back very on monetary policy bute1 d

the case schiller home report, rising at the lowest pace in five years. housing is hurting.ing it the power of social media. a tweet by lebron james staring up big business for former nfl player drew bledsoe's winery. melissa frances on wine and football. that is in the next hour. there's a new drug. it could help in the fight against breast cancer, it extends life of breast cancer patients. why is this a breakthrough? next. opportunities aren't always obvious. sometimes they just drop in. cme group can help you navigate risks and capture opportunities. we enable you to reach global markets and drive forward with broader possibilities. cme group: how the world advances. {door unlocking} hey, what's up? (door closing) how's it going? what are you doing? i can't believe you're watching this without me. we agreed we'd catch up on everything tonight. if i did this to you, you'd murder me in my sleep. you know what? just watch it by yourself. (sighs) i can't not know when i know that you know. the latest episodes of the top 100 shows are preloaded and ready to watch with xfinity

case schiller home prices at 9:00, consumer confidence at 10:00, earnings one of note, walgreens at 7ll bring that to you. indian prime minister modi of stateecretary stat carry in washington. mark soft introduces windows 9. >> this is breaking news, scarlet. >> a huge deal, something activist investors have really pushed for. ebay will be supporting ebay and paypal into two separate public independent company starting in 2015. they will be separately traded. they will be public and independent of one another, so giving in to what activist investors have been pushing for. >> and we have the right guy with us. >> exactly of nyu stern school of business. >> this is a juggernaut. ebay is one of those conglomerates. investors will find the least attractive business and a sign that valuation to the entire thing, so i spending -- spinning paypal, you have the whole, not some of the parts. >> here is the headline, folks. success. google, success. what with the continued track record for ebay, does anybody know gekko 1.9% for the year. does this all for this moment for ebay. paypal has been a