vodafone and verizon.eless. >> more from ford's ceo alan mulally on expanding production just north of detroit. >>> markets are cautiously op mystic this morning after gdp topped expectations. joining us now is jim paulson, chief investment strategist and smith, chief investment officer. good morning. >> good morning, kelly. >> good morning. >> jim, i just want to start with you because i remember talking, you know, a while back and we were talking about the way in which stocks and bonds were positively correlated and the change in inflation was kind of drive that over the years. i wonder if we're getting to a key point now where that relationship is starting to change. and if so, what that means for investors here. >> well, i think we're heading that way, kelly. i think if growth continues to come back and people get comfortable with sustained recovery and we start worrying less about falling back to recession and more about is there a inflationary fallout, i think we will see a more normal stock/bond cor

it seems a very long time we have been discussing verizon and vodafone. back to chris jen. >> spot on, right? >> we used to ask him, was he going to guy ogo ing to buy out the rest of verizon. >> when we were young men, about 13 years ago, about 22 then, ish, chris jen was the ceo of vodafone. he was called the deal master extraordinaire. he bought management for over $200 billion. he bought air touch for around $60 billion. he merged the bell atlantic assets with that operation he bought in the u.s., air touch, to create this titan. bell atlantic was merging with gte. so in the end, the net net was verizon communications was created and verizon wireless was created and vodafone got 45%, communications got 50% of vodafone and thereafter we have been stuck, absolutely stuck. >> then vodafone, the aim was to be number one in every market it was supposed to be in. >> and this ties in with the story that stephane will talk about today, they never got majority stake, they sold to vivendi and today sfr is in trouble. what happens now? exciting. before today, vod

. >>> let's look at verizon vodafone. verizon, cellular, joint venture between vodafone and verizon which provides all kind of stuff. that would allow customers to received combined bills for home and mobile phone service among other things. and one reason behind that proposed deal, increased data use and video streaming on smart phones. who doesn't know teenagers? even 20-somethings who have their eyes glued like zombies to their cell phones all the time? isn't that right, mandy or john? >> i cannot speak to you because i don't have my phone. >> what are you saying, john. >> just text me. >> younger workers e-mail too much and not, you know, pay attention to what they are doing. they want -- a great story in the wall street journey today folks, bosses said enough e-mailing -- i said freaking, i said freaking. >> if you say it enough, i will believe you. >> get on the darn phone, john. >> back in my day -- >> back in my day -- >> for being on the phone too much, right? late into the night on the phone. >> yes. >> for actu

reverberations around the globe his latest published leaks show that the telecom giants like verizon vodafone and british telecom allowed a british intelligence agencies to look through their clients' private data g c h q had unlimited access to millions of phone calls e-mails and facebook conversations and this comes shortly after it was disclosed the n s a poured millions of dollars into the british agency securing it access to surveillance data for my five officers and he says that close ties between the u.s. and u.k. intelligence services and nothing in. one thing that people tend to forget is there's an old program of mutual assistance which was called echelon which was exposed in the one nine hundred eighty s. and then fed into the european parliament in the one nine hundred ninety s. so this is a resistance being going on for decades let's have no doubt about that and it's also been a very good way for the n.s.a. and g.h.q. to circumvent domestic laws and domestic warrant tree requirements so they could spy on each other and then feed each other the saying the information they needed b

continue to send reverberations around the globe his latest published show that telecom giants like verizon vodafone and british telecom allowed a british intelligence agency to look through their clients' private data g.c. h.q. had unlimited access to millions of phone calls e-mails and facebook conversations and this comes shortly after it was disclosed the n.s.a. poured millions of dollars into the british agency securing it access to surveillance data former am i five officer and imagines says that close ties between the u.s. and u.k. intelligence services and nothing. one thing that people tend to forget is there's an old program of mutual assistance which was called echelon which was exposed in the one nine hundred eighty s. and then fed into the european parliament in the one nine hundred ninety eight so this is resistance have been going on for decades let's have no doubt about that and it's also been a very good way for the n.s.a. and you to circumvent domestic laws and domestic warranty requirements so they can spy on each other and then feed each other the thing the information they need

vodafone confirming it is in discussions with verizon about a buyout of the uk company stake in their wireless joint venture. vodafone has a 45% stake in verizon wireless. reports say the u.s. group is looking for more than, i'll repeat this number, two times, $100 billion for the stake. when you talk about big m&a deals, this would be the return if it happens. also, it is a official this morning, bill ackman through with the jcpenney stake. he has sold that entire 18% stake for the retailer. the price tag, only $12.60 a share for it. he had paid almost double. and that's nearly half the average 25 shares he paid when he first invested and that investment was originally made in 2010. >>> u.s. government and swiss banks near tax probe deal. the goj expects to announce a new program within days. the program would allow some swiss banks to avoid or at least defer prosecution under a probe of offshore tax dodging by americans, but it will exclude 14 swiss banks that are already under investigation. joe, i don't know where that leaves you with your account. >> i have a bank that is, like,

verizon wireless. vodafone owns that 45%. this could be the third largest m and a deal on record. it could be valued at $130 billion. the logic for verizon it's a cat fight. with at&t and other rivals and they want a lion's share. >> tooth fairy inflation. what does that mean? >> reporter: it's quite extraordinary. when you and i were children let's go back a few decades maybe it was a quarter, maybe if we were lucky we got a dollar. these days it's $5. is it $10? apparently the national average has gone up 43%, 42% in two years. $3.70 per toot. some kids out there are getting 20 bucks, 6% of children are getting $20 per toot. the parental representatives on earth of the tooth fairy who is having to pay out this money. 2% of the children get $50 per toot. i have got three children. at 50 a toot that's $3,000. i can't afford that. >> they don't get to go to university. they get paid for their teeth. tell them now. >> i'll have to tell them there's no santa claus. >> stop the presses. that is totally not true for

shares of verizon jumping today. talking to vodafonebout buying out its stake in verizon wireless. it would be one of the biggest deals of all that. it has been dragging on for a long time. adam: you do not want to rush anything. they have danced this dance before. vodafone has announced they are in negotiations. verizon communications has 55%. this would give them total control as it moves forward. part of it is about the strategy in the future regarding data. vodafone has confirmed that notes that the recent press speculation is in discussions with verizon. they are talking about the possible disposal of the group. there is no certainty that an agreement will be reached. last time they did this, vodafone wanted 130 billion. you have to take into consideration vodafone, the second largest carrier worldwide. they still have to pay the taxes on the deal. it has to be structured in a way that would minimize the impact. we spoke to an analyst about who benefits from this. he thinks shareholders will benefit. if this deal were to close, wha

spy agency complete access to their networks giants like verizon business vodafone cable and british telecom were among the companies on a list published by a german newspaper that's according to a fresh round of revelations from n.s.a. whistleblower edward snowden documents released by him suggest seven companies have been secretly providing g.c. h.q. with unlimited access to their network of undersea cables that's allowed spooks to allegedly tap and store data for millions of phone calls emails and facebook chats this comes as g c h q reportedly got one hundred million pounds from washington in exchange for access to the u.k. signal intelligence programs are teaser furth has details for us. those companies operate a huge share of the high capacity undersea fiber optic cables and that carries data for millions of uses now back in june the guardian newspaper has revealed details of an operation named tempera that heard it was alleged been looking at the data hoovering programs from the british spy agency g c h q and that had said that you were able to access these companies fiber opt

unlimited access to the private communications of millions of customers documents naming verizon business vodafone cable and bt among the companies aiding g c h q to intercept much of the world's online and telephone traffic were leaked by the whistleblower edward snowden this comes hot on the heels of previous revelations showing the agency was generously financed by the n.s.a. r.t. sarah firth has more from london. these are three big companies and the four smaller companies really making up a large part of the high capacity undersea fiber optic cables that really make up the backbone of the internet's architecture now these five optic cables carry vast amounts of data for millions of uses go back into the guardian newspaper had revealed details of t.c.h. call data who were in programs not this was where he said q it's alleged were able to tap into these fiber optic cables and installed vast amounts of data for up to thirty days now this was named operation tempora and a german newspaper has just published what it's alleged is the most sensitive aspect of this operation and that is the name of t

whistleblower edward snowden suggest that verizon business vodafone cable and bt were among those who gave g c h q unlimited access to their network of cables their collaboration allowed the agency to harvest millions of phone calls e-mails and facebook conversations and this comes in the wake of reports that america's national security agency is generously funding british surveillance the details now from artie's. incredibly high profile names in the telecommunications industry and these three big companies and the four smaller companies really making up a large part of the high capacity undersea fiber optic cables that really make up the backbone of the internet's architecture now back in june the guardian newspaper has revealed details of g c h q so-called data hoovering programs not this was where he said it's alleged were able to tap into these fiber optic cables and install bars amounts of data for up to thirty days now this was named operation tempora and the german newspaper has just published what it's alleged is the most sensitive aspect of this operation and that is the nam

verizon and vodafone on news that vodafone is talks to sell its 45% of its stake to verizon.t is worth about $115 billion. also up, zillow. zillow up 7%. this stock is up around 240% so far this year. no guessing involved when it comes to guess shares. it is a huge move to the upside. that's after the apparel maker and licensing company had sales that top analyst forecasts help aid long by better sales? north america. a nice stock entering today done about 20% from its highs earlier this month. as for those in the red, big oil taking a beating. exxon, mobile and chevron down more than 1%. so bill, big movers here for big names at least. back over to you. >> bank of canada though, was up. about 1% today. royal bank of canada. rbc with record earnings for the quarter. so now we ask, what's next for the bank? >> with cnbc exclusive interview, gordon nixon. ceo of rbc. >> nice to be back with you both. >> one thing that's clear from your earnings, is that rbc is making hay while the sun is shining. i whether i remember target earnings report, weakness in canada et cetera, do you

adam: shares of vodafone and verizon are jumping on word vodafone is selling its stake in verizon wireless to verizon. verizon is talking to several banks about borrowing billions of dollars at the purchase admitted to cost the company up to $130 million if it actually closes. lori: u.s. military stepping of the middle east adding a fifth navy destroyer off the coast of syria. action would be legal but shouldn't take place until after u.n. investigators return. rich: james rosen reporting the attack is very likely focused on delivery systems, weapons systems use or could be used to deliver chemical weapons coming from fox news james rosen. waiting to address congress on this issue, 6:00 tonight when obama administration officials will brief congress about the intelligence and perhaps what it plans on doing from here. the administration says this week it will make public intelligence they have showing the syrian regime used chemical weapons but when you talk about the impending action may be taking place, you have the president of the united states and across the ocean the prime minister of

vodafone are higher today. verizon talked about vodafone buying some stake in their venture.hat would be one of the biggest deals of their time. >>> sergey brin and his wife have split. there are also rumors that sergey brin has become involved with a google employee. we're here to discuss the impact that it might have on the company. john, i'm going to go to you first. do you think this has any impact on the company, either its bottom line or its culture? >> some, sue, but i think it's limited. i was prepared to say i don't think much at all, but i've checked in with a couple google employees. there are some people concerned about the impact internally because sergey's sister runs a significant portion of google's business. she heads up ads and commerce, so this is very much a family affair. but then at the same time, google is used to rumors about top executives eric schmidt. his marriage has been written about in the "new york times" and he's seen out and about. it doesn't seem like there is acrimony between sergey brin and his sister. there are other relationships within

your bloomberg silicon valley index is up it's a deal falling apart in the past now verizon is in talks with vodafonegain. by letting verizon buy out it's share that, is the story we'll continue to follow. at bloomberg studios in san francisco, larry, carolyn, back to you. >> thank you. >> nfl reached an agreement today to settle lawsuits brought by thousands of former players over brain injuries under the deal the league contributes $765 million to provide compensation to players. plaintiffs include 10 hall of famers. the judge announcing the settlement called it historic. i know $765 million sounds like a lot of money. nfl makes $9 billion a year this, is 76 $5 to cover everybody so it's a good deal for the league and players will get compensation for injury autos yes. yes. hopefully so. >> let's shift gears now talking weather. warm out there today. >> going to get warmer tomorrow. here is a look at live doppler 7 hd. patches of low clouds near the coastline but not sunny mild across the bay area right now. here is a view looking over press rid yido sunny skies these are the forecast features, fog

well some big names in there for the telecommunications companies bt vodafone cable verizon business these three big companies along with four other smaller companies have been named now those companies operate a huge share of the high capacity undersea fiber optic cables and that carries data from millions of users now back in jeanne the guardian newspaper has revealed details of an operation named tempera that heads it was alleged been looking at the data hoovering programs from the british spy agency g c h q and that had said that you were able to access these companies fiber optic cables and access that huge chunk of information that was being carried in and store it for thirty days data that's been released by whistleblower edward snowden prior to his gaining asylum in russia not some of the companies have actually come back in the wake of these claims and have said that the questions relating to national security are for governments to answer not for the telecommunications companies but bt spokesman reported as having said they can reassure customers they're complying with the

well some big names in there for the telecommunications companies bt vodafone cable verizon business these three big companies along with four other smaller companies have been named now those companies operate a huge share of the high capacity undersea fiber optic cables and that carries data from millions of users now back in june the guardian newspaper had revealed details of an operation named tempera that had it was alleged been looking at the data hoovering programs from the british spy agency g c h q and that had said that these companies were able to access these companies fiber optic cables and access that huge chunk of information that was being carried in and store it for thirty days now the revelations from a german newspaper have alleged to reveal the most sensitive nature of that operation temper and that's the names of the commercial companies that were allowing that information to be passed along and they all had top secret code names and now this is of course data that's been found from that chunk of information released by whistleblower edward snowden prior to his g

verizon communications is in talks with bring tal's voto phone to buy its stake vodafone has a 45% stakeless with the rest belonging to verizon communications. analysts believe verizon wants to spend $100 billion but vodafone wants $130 billion. >>> in a study published in the journal "science" today, scientists found when people are worrying about financial problems, it has the same effect as going without sleep for a night or a 13-point iq drop. i know what it feels like to go without sleep for a night. i feel like that all the time. [ laughter ] >> every day, i'm with you, ashley. >> deep trouble, i have a feeling. we all go into cvs on occasion. you get those really long receipts and you go, yeah, thanks for that but i guess that's all changing, right? >> reporter: yes. hopefully it's going to change soon, too. they are vowing to cut down on its long super super long receipts actually after customers actually started posting pictures of them on twitter and instagram. you can see just how long they are and if you shop there you know the bottom of your receipt is of course a bunch of c

verizon. shares are off their session highs but still up over well over 2% on the heels of talks between them and british telecom giant, vodafone. want it buy the 45% of verizon wireless it doesn't already own and wants it buy it from vodafone. on the down side you have big oil names. exxonmobil, chevron also among the biggest losers. those are your dow movers ahead of the close. kelly, back over to you. >> dom, thanks very much. >>> there are about 45 minutes left before the "closing bell." as you mentioned earlier, we are well off the highs of the day. >> after the break, we will talk about one of those big issues for the markets. syria. britain seems to be waivering on its involvement of any strikes. how will that effect what u.s. does and when it does it? that and more coming up on the "closing bell." stay tuned. in today's markets, a lot can happen in a second. with fidelity's guaranteed one-second trade execution, we route your order to up to 75 market centers to look for the best possible price -- maybe even better than you expected. it's all part of our goal to execute your trade in one second. i'm derrick chan of fidel

vodafone confirms it's in talks with verizon to sell its stake in their u.s. joint venture. they're talking about 100 billion dollars here. the two stocks, please, lauren? >> they're talking about 100 billion dollars. the two stocks are up sharply. vodafone is up 8 1/2% at a new high. and as they traded in london at a 12-year high and verizon is rocking as well at 2 bucks. stuart: that's a bright spot and receipt right now i'm looking at the dow at the 14-7 level. i've got to tell everybody about a weak-- clothing retailers, we've talked a lot about them in the past couple of weeks and i've got a different story today. guess, that company posted solid profits, improving sales. they must love the jeans they sell. what's this, up 13%, is that right, lauren, are you still there? 13%, ouch. okay. good news. should you get $15 an hour for flipping burgers? thousands of fast food workers think so and they're walking off the job today in protest. so, lauren, come back in. any reaction? i don't expect a reaction to fast food stocks. >> very small. wendy's is flat, as is yum! brands w

verizon i think is okay here, not compellingly cheap on a p ebay sis, but this is going to be accretive to earnings. i don't see much downside. i'd like at vodafonehough. they will have a lot of cash and there will be an overhang on verizon. >> josh, let's talk u.s. air wai ways and american soaring after the u.s. government indicating they would be open to settling. >> they're coming off a really tough week. they were smoked the other day on higher oil prices which i think gives them a little bit more room to run on the snap back. keep in mind jet fuel is 40% of their ongoing input costs, but they're cheap and i think they could work here. >> stephanie link? >> what whaa quarter. what a land mine in retail this quarter. they beat by 15 cents. it was all operating margin. i certainly wouldn't chase it up, but if you believe in the global recovery, these guys do have a lot of exposure to europe and in asia. they have further programs to improve margins. they have got no debt and $4 a share in cash. on a pullback i think you have to be impressed with a report like this. >> syria concerns have spiked gasoline driving futures prices up 4% in three da

." >> vodafone confirming it is in talks with verizon on a possible sale of its stake in wireless. >>, second quarter gdp. whopping 2.5, 7 tenths revision to the upside. better than anticipated. that's why we paid so much attention to the dropping trade deficit we recently received. >> we're short right now on the fusion. our sales are up another 13 percent. this is going to add 30 percent more production capability for the fusion. it's almost at the right time for the customer interest. >> fast food workers are protesting wages. they want $15 an hour and the right to unionize. some of the fast food restaurants impacted by this are going to be the ones that you know, mcdonald's, burger king, taco bell, dominos. >> i don't have a twitter or facebook or anything like that. i'm a lieu diet. i'm still rocking the blackberry, believe it or not. i'm pretty low tech. >> the notion that you are simply going to fire tomahawks into certain specific targets and walk away i think is folly and i think the administration has to have a strategic plan. >> all right. so let's talk about this, brian ke

cheryl: vodafone confirmed it is in talks with verizon. you knew this if you've been watching fox business, is in talks to sell its stake in verizon wireless. no news but it could potentially be a 130 billion-dollar deal. david: this is not good news. spending rising just .1% of missing analyst estimates. it matched weak growth in personal income which also rose .1 percent. cheryl: look at gold falling for a third straight day, the commodity declining, $16.80 an ounce -- $1680 an ounce. gold gained more than 6%. that big safety play we're following for you. david: remember we're telling you for every seller there is a buyer. hedge fund operator perry capital says it acquired 3 million jcpenney shares following pershing square's divestment of the retailer. the company now has a 8.6% stake in penny. "after the bell" starts right now. david: break down this week's and months and this day's big moves. good to see jim again. chief investment officer. alan lance, president alan b lance and associates is right y. chris gersh in the pits of the cm

lauren: vodafone says they are in talks with verizon where verizon would buy a stake in that companyizon could pay $130 billion. shareholders of both companies like that. they are up even more than that in london today and verizon is the leader obviously with a game like that on the dow and the s&p 500. jpmorgan is weighing on this and say the shareholder returns can be significant. they could return to 2% of the market cap to shareholders over the next five years. connell: longer lines at mcdonald's and burger king and wendy's today. a big debate, we are already having it in this country about the minimum wage. they want more pay. coming up. and will there be another winston churchill? stepping up as he did in world war ii. neil cavuto here to tell us about leadership. before we do any of that, let's stay on top of the market today. the euro, there is a look at the currencies around the world. more "markets now" in just a moment. ♪ make it happen with the all-new fidelity active trader pro. it's one more innovative reason serious investors are choosing fidelity. get 200 free trades

but talk about our ride is then and vodafone up both stocks up. >>: verizon is looking to get away fromillion. at the investment banks like goldman sacks would make billions in a profit off of making this relationship happen with a big fat paycheck. for a rise in stock is at a 13 year high. i plan on getting a wireless into my car so they are in good position whereas of vodafone is starting to get more cable access in europe because cable has more capacity in the future to handle data then per say wireless does. >>mark: is vodafone gonna be hurt down the line. >>: the worst thing is the european slowdown but other than that they are a wonderful company to invest >>mark: gross domestic product to rid the u.s. economy really accelerating. >>: i said it doesn't matter but let me give you the key tackle ways. strong free economy basically means underlying demand. - takeaways. government spending was weaker and corporate profits were up which means a government spending is sequestration talk but corp stocks are up. they hire people to work and those buildings. that positive for the economy.