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tv   Markets Now  FOX Business  April 18, 2013 1:00pm-3:00pm EDT

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below $400, $395 per share. melissa: global leaders of audit on what to do about venezuela, hugo chavez's successor is due despite widespread reports of election fraud. coming of the likely outcome last how energy prices are shaped ahead. lori: one senator calling the health-care law a train wreck and it was not a republican, it was a democrat. next up that story and lou dobbs will weigh in on it. melissa: time for stocks, let's go to the stock exchange and nicole petallides, another down day for the market. nicole: a hard day, a hard week, volatility return, on monday we down 265 points. following that the following up 157, yesterday we were down 138 and today back and forth 131 and an uncertain feeling in the vix, the fear index remains to the up
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side and the same time we say something is down something else is hitting new highs and is really a market where you have to pick and choose what you are living these days. the tech having nasdaq is the worst of the bunch down 3/4% anne hathaway in on the nasdaq heavily. we also have jobless claims which showed more claims and that is not great news for the economy. i wanted to take a look two names on the dow jones industrials. one is the best performer and one is the big lagger. united health down 3.5% after their quarterly numbers, then you have verizon doing well with wireless particularly and in particular hitting highs we haven't seen in ten years. back to you. lori: thank you. global growth concerns bringing an end to the stock rally, the recent sell-off prompted the next guest to make the investor's portfolio, stifle nicklaus, portfolio manager has more on what is happening. thanks for joining us.
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we do follow you pretty closely and return to equity and commodity as you say, fundamentals are slowing. give us the best investment advice for where we go from here. >> to put it in context our group looks at a bunch of different economic variables. we saw a trough in the process last fall and added some exposure to equities as a result of improvement and fundamentals we saw under way right after the fed and the ecb took action last spring. as we rounded the corner and came into spring we had stocks of significantly. as we hit march we got the disappointing improvement number and variety of other data points that suggest maybe for the first time in six months the momentum is coming out of the fundamental underpinnings for the economy so we took this as an opportunity to trim back our equity exposure, a more balanced approach, sold gold and equities last friday and we will see how the data plays out so we will decide where we go next. lori: what types of industries
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are you holding on to? what should my portfolio allotment look like right now? >> you got to go beyond industries at one point. we go through the earnings season ferreting through a bunch of earnings reports and the kind of things we are looking for especially given the recent slowdown we saw in the data is sustainability so we are not looking for rapid growth necessarily. we are looking for companies that no matter what comes to sustain their dividend, generate consistent growth and profits and willing to pay a little more of a premium for that especially given the recent slowdown on the data. lori: will you look at technology stocks, apple in pretty good and go earnings are not robust at all comment and staying clear of those and perhaps sticking with the offensive things that continue to lead at least as leaders into the rally? >> i wouldn't exclude technology here for a few reasons. number one, when you look at the
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performance of tech versus the s&p or the value segment of the standard and poor's, we have a pretty good underperformance so we had some significant lagging and some notable names have been dragging down the index but ultimately if you look at the balance sheets that are relatively clean, relatively consistent cash flow from many of these, many of them are beginning to take dividendss or maturing and you can buy many attractive valuations. i wouldn't run away from technology. i would sharpen my pencil and decide which one you want to own as part of a diversified portfolio. lori: with apple shares, is that an opportunity for you? >> apple as an indication, broader indication of what is going on with technology, speak to it that way, a plastic example of technology and apple generally speaking a lot of cash on the balance sheet, and the
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challenge, anybody for haircuts, profitability, maybe even apple specifically, that the underlying power and as it is based on historic valuations or comparables relatively well paid to take on the risk but it is unpopular but i don't think you will run away from. cheryl: your s&p outlook by the end of the year, at texting key support levels. where do you think we know that? >> 1600 is a reasonable number assuming that the economy does continue to move forward. lori: we will check back in with you a couple weeks. melissa: commodities up and down, oil prices posting solid gains earlier in the session, crude below $86, the rest of the energy complex is rising especially natural gas, the latest supply data shows stockpiles increased for the first time this year and even though they usually bearish they climbed less than expected and
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that is driving natural gas to its highest level since july of 2011. bold coming back in year $1,400 level. as for the weaker than expected readings on the economy 139144 l. that is almost $9. a tough road for gold. lori: let's get you updated on the latest on the boston marathon, president obama spoke at an interfaith church service as investigators search for the press or people responsible for the attack. rich edson has the latest. rich: president obama just arrived at massachusetts general hospital where he will meet with hospital staff, some of the victims of this. he was meeting with those of the boston athletic association, volunteers, victims' families, first responses, link the statement of the president of the added stake in boston speaking at the interfaith
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service attended by number of dignitaries including former presidential challenger mitt romney who was in attendance with his son. when you listen to what the president spoke for about noon he started speaking and set a stern message to the bombers. >> bostonians carried victims and their arms, little water and blankets, lined up to give blood. opened their homes to total strangers, give them lives back to reunite with their families. that is love. that is the message we send to those who carried this out to anyone who would do harm to our people. yes, we will find you, and yes, you will face justice.
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[applause] rich: fox news reporting the fbi is considering whether to release video and pictures they have possibly showing one or two suspects, placing one of the bags at the site of one of the explosions. that is an active debate in the fbi right now. also some news on the rise in attacks, the two letters, one to president obama and want to senator roger wicker. there's an arrest in that, is the official from the the palm of justice, he is expected to appear at the u.s. district court in oxford, mississippi and if convicted faces a maximum sentence of 15 years in prison and a fine of a half-million dollars. back to you. lori: he is an elvis in impersonator? rich: that is what we are hearing. he is an elvis impersonator. lori: thanks. melissa: apple shares taking a $300 haircut from their all-time high just seven months ago.
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an update on that stock next. lori: tense confirmation hearing, is he the right man for the dog to get that story is ahead. check metals, how they are trading with stocks and commodities breaking down. we look to refreeze with gold climbing ever so slightly $10 an ounce. well off of the highs and so far in gold. silvers of 0.2% and copper climbing 1.5%. all stations come over to mission a for a final go.
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cheryl: let's like money with charles payne, name your own price, travel web site charles: going against our sister company baron calfs, on the cover of the current issue of baron's, the kiss of death. william shatner walking on a tight rope ready to slip on a banana peel, this could correct
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20%. to be quite honest considering where it has come from the last four five years with the proverbial drop in the bucket to more competition like orbits and expedia, my subscribers on orbits as well are wrong and premature. maybe they were going to the last earnings report when the hotel business which is there chunky is big business part of the business grew at 30.6% every year and a year earlier grew by 52% and were rocking in hotels, earnings estimates for this fiscal year and next fiscal year continue to go through the roof and it has a peg ratio under one. stock has come down, treated a day -- great buying opportunity in the idea of william shatner on a tight rope looking scared, we are talking about captain kirk. you guys remember when he fought the gorn? the villain was so slow, you eat
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your lunch by the time he finish swinging at you but it was a formidable fight but he survived the wrath of con. captain kirk does not get nervous about stuff like this. one trivia question, we do have one tricky on the set. james t. kirk, nice to see you. >> i had no idea. i can't believe you are a tricky nerd. lori: i'm a sigh feiner, star trek, star wars, star trek twilight zone. charles: want to say to serve man bit i like the one -- i like the one when the guy from the hillbilly guide died and was going to go to heaven but what the dog in and said if it is not good enough for do it is not good enough for me. it was really held. lori: that is how we care about you. i have just been lost.
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lori: this was fun today. melissa: j.c. penney getting good news in its me legal battle, a judge ruled struggling retailer consult home products designed to the label daisy penny every day, macy's tried blocking the sale of the items while it appeals its previous ruling allowing it. macy's says it has exclusive rights, j.c. penney shares are rising on the news. melissa: you just got 1,000 times more attractive to all the nerds out there. this is the real. of it. they are also doing another star wars now that disney is involved trying to bring in the business acumen. charles: they paid $3 billion. lori: on the market. nicole on the floor of the stock exchange, tech center under pressure. nicole: it absolutely has and
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continuing to follow closely two names that are so familiar to so many viewers so let's kick it off with a look at apple, $395 and the nickel, and $400, and since last september over $700, pretty disappointed. there are some experts, we may want to pick up some here to even out those higher numbers where you purchased it. what you are seeing also was another name on the move and that is ebay with double digit gains in revenue. the sales growth we have seen, faced intense competition, and that is slower growth. and it is a great runover 50% over the last year. is down 5.7%. lori: thank you. melissa: apple is not the only
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stocktaking of beating. to land like a saw below 52 week highs, both record after the bell and we have a preview. lori: let's check the dollar's, the dollar's stronger of late, and check the action today. turning around now giving back those gains crossing at 13079. back after this. @ suddenly, she does something unexpected
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lori: the search for survivors continues after an explosion tore through a fertilizer plant in the town of west texas, kc stiegel live on the scene, bring us up-to-date. >> good to see you. this is 20 miles north of waco, 80 miles south of dallas. we are not allowed close to this because it is a dangerous and fluid situation, camped in the media staging area. and preliminary sweeps of all of the homes and businesses in this huge swaths of what is being referred to as the blast zone.
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there are no reports of additional survivors. on the flip side there are no reports of additional fatalities. we know that 160 plus people went to area hospitals, we're hearing for as many as 15 people have lost their lives so here's what crews are doing. they are going through this five block area to the fertilizer plant and combing through the rubble again, using canines, classifying this as a search and rescue operation and atf investigators are on their way to the small farming community to lead the charge and work to figure out what caused the deadly blast. the concussion could be felt 80 miles away in parts of dallas. can you believe it. 1-woman nearby explained in great detail what her neighborhood looks like now. >> i don't have any windows in my home. the door was blown down. luckily my kids are safe and i had the car keys in my hand and
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we got out of there. there are no windows downtown. there were some trying to get to where they were going and all the windows were blown out. >> the fertilizer plant was cited in 2006 by state environmental group for qualifying a permit. basically as of this hour the latest updates, volunteer firefighters are unaccounted for. one was found alive at an area hospital but the numbers down to four. a handful of reports of looting going on so a very heavy police presence, keeping a close eye on the situation to make sure no one else is in danger. lori: so devastating.
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unbelievable. melissa: a house in venezuela before hugo chavez's successor is due to be sworn in. how the controversial reelection could change oil prices next. melissa: market slightly lower. the dow jones industrial average, looks like the losers are winning out today. we will be right back. thank you orville and wilbur...
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from google this will be an important one. microsoft shares are marginally to the upside. we're expecting google's first quarter numbers of a the close. $10.66 a share on revenue of $14.2 billion. mobile in terms of its growth rate will be a key driver for this company which believes that its ad business should grow about 20% from last year to this year. cost per click is the number that many analysts are more focused on versus the top line or the bottom line because this is the most telling number. cost per click been on decline for the last five quarters. so this is the key metric analysts are looking out for. melissa: microsoft is important because it is an indicator what is going on in hardware and other things. >> absolutely. doesn't have the cachet that apple and google does. they tell us what corporate spending is doing and i-t spending is doing as well. here are the numbers company needs to beat.
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pauling pc sales and lukewarm response to windows 8. they will talk about the tools and business. so software this year is about that arena. that may be a nice bright spot to look forward to in microsoft after the close today, as well. melissa: shibani, great stuff. we look forward to those earnings. >> thanks. lori: technology is one. leading decliners in today's action. let's get a bigger picture what is going on. time to head back to the floor of the new york stock exchange with nicole petallides who has her eye on morgan stanley. >> i certainly do, lori. morgan stanley is certainly one. worst of the bunch today. it is down 4 1/2% at $22.50 a share. they swung to a profit from a year ago. earnings came above expectations. revenue beat. the bank disappointed results because of commodities. and that was a big, big drop-off for them. that is an area they may consider selling out. that is one. reasons why you saw that
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morgan stanley is under pressure. however, this is one of those days here where you do see down arrows for many financials. dow jones industrials down 38 points. back to you. melissa: nicole, thanks so much. chaos in venezuela one day before contested president-elect nicholas maduro is set to be sworn into office. so what does the instability mean for global oil prices and u.s. interests? joining me now the director of macroeconomic research for voltec capital markets which is focused on latin america. thanks for joining me. there is this sense of course this election or these elections somewhat rigged. at the same time, the candidate that won the, chavez candidate, only one by half a percentage point or a few 100,000 votes. what does at that tell you how much control they really have? >> it tellses you that economic and political policy of hugo chavez is really severely debilitated
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without him. that is very important. he beat the opposition candidate by 11 percentage points. six months later his successor barely closed in by a razor thin hair which is hotly-contested. i think it shows chavez-mo is severely debilitated in the future. that positive outlook for venezuela's economy in the long term. melissa: i guess so but it will be a while before it gets there. do you think maduro hangs on to office at least in the near term? how long would it take real change? capriles would stop giving away cheap oil to their friends and open it up to outside investment so they could produce a lot more oil since tremendous reserves are being taken advantage of? how long will it take to get there. >> i think that's a great question. maduro is likely going to
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stay the president. the recount will not be manually done. capriles will not come in as president. to increase production and to have more dramatic changes you will have to see a change which we'll not have in the short-term, you're right. maduro will not be as immune to the economic decay and daily problems that hugo chavez was. he is not charismatic. he is not politically savvy. his term in theory could be short-lived. depend what direction he takes. if he is more of a pragmatist, that could be difficult because he does not have a mandate to do so you could see some tweaks to the economic model which could lead to some sustainability on the social front and the economic front. if he chooses the mini-me kind of ideologue route which seems to be the case in the short term, i don't think he can carry it through. you have to have in mind, melissa, that is a six-year term and at the half-point mark at three years the
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venezuelas can vote in keep or not the president. >> seems like oil production has nowhere to go but down given the current circumstances. is there anything that could turn that around? >> really i think maduro if he wants to survive he has got to bring in the cash and this is the heavyweight oil story. the only way to bring in cash is by increasing production. over the past five years production declined by 20%. melissa: great. >> pause of no investment infrastructure and lack of human capital and a dearth of kind of engineers, et cetera. so he's going to have to, i think invest at least marginally in oil to kind of, you know, stump the decline. but again, that is something as you mentioned over medium to long term. i would say short term negative. over the long term i think there is real possibility of the opposition coming in three years, six years, whatever it is. chavezmo is severely debilitated and venezuela could be a interesting story
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over the next several years. melissa: very interesting. the catherine, thank you very much for that. >> thank you. lori: breaking news. dow jones is reporting that jcpenney is in talks for $500 million loan led by wells fargo. that according to sources. this new loan would help shore up the company's cash and it would be backed by inventory, accounts reefable, intellectual property. as you know, jcpenney won a nice decision, right, with the deal with macy's and martha stewart. so they will be able to carry some martha stewart products on the store shelves. big management shake-up a few weeks ago ousting ron johnson formerly of apple after a billion dollars sales decline for jcpenney over the last year. melissa: calls to get rid of the board. everybody was concerned about the company and they said they were going to need cash to keep the doors open. lori: they got some at least on a loan basis. that is breaking news. president's choice for labor secretary thomas perez
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having tense confirmation on capitol hill. peter barnes at capitol hill joins us with details. peter? >> he is a controversial nominee. a inspector general report at the justice department where the perez is head of the civil rights division was critical of a unit he supervises the voting rights section. this report says its employees and management problems go back to the bush administration but continue to today and he should have fixed them. he says is working overhaul to improve hiring practices and management in the sector. he has a reputation as aggressive defender of civil rights. some republicans worry at the labor department he will push new regulations that could hurt the economy and job creation. >> can we expect a more open, a more fair, and a more balanced approach from you as the head of the department of labor? >> sir, i believe i have been always open and fair and i will continue to do. >> we would of course disagree.
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so we can or can not expect a more, open, fair and balanced approach? >> you will always have a person who has an open and balanced approach and i will continue to apply the facts to the law. >> some republicans also accuse him of improperly influencing a controversial housing discrimination case that was headed to supreme court but wu drawn. perez denies this and says the case was handled properly and professionally. lori, back to you. lori: peter thanks. controversy of the good friday morning arrest of sac capital person. charlie gasparino has the story. melissa: we see stocks down about 50 points. the treasury market flat. we'll be right back.
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>> i'm dennis kneale with your fox business brief. 352,000 americans filed for first time unemployment benefits in the past week. that is slightly more than economists had expected. some members of the gop including representative bill cassidy, are proposing the ego act. the act would prevent taxpayer funds being spent on painting portraits and members of congress and heads of federal agency. he says spending money on
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portraits is inappropriate when the national debt is nearly $17 trillion. how about this for a feel-good moment. london marathon organizers hope to raise one00,000 u.s. dollars this sunday for the victims of the boston marathon explosion. organizers will donate two british pounds for every runner that crosses the finish line. more than 35,000 people are expected to finish. that is the latest from fox biz, giving you the power to prosper.
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lori: major battles erupted between two major law enforcement agencies ininvolved in the insider trading crackdown and fox senior business correspondent charlie gasparino tells us what it is all about. >> i guess i'm not the only person in the world that thought those pre-dawn raids with many can as there, for some reason, reporters show
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up to these things. don't ask me why but supposed to be done somewhat secretively, but all the raids like michael steinberg of sac capital. i thought that wasn't necessary. they are not violent criminals. they offer to turn themselves in i'm not only one think they're unnecessary. here is what we know. people inside the u.s. attorney's office in manhattan had a major distreatment with the fbi over this pre-dawn raid. we should point out steinberg's attorney went to great lengths, basically my guy will turn himself in. he has no problem turning himself in. the fbi rejected that. also, rejected the sort of, i guess you say the advice, counsel of the u.s. attorney's office not to do a pre-dawn raid to allow him essentially to turn himself in. the reason, in their opinion the fbi believes and maybe you want to call them hard- -- about this. there is clear deterrent having this stuff go down this way. when someone is targeted and
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being arrested for insider trading, refusing to cooperate the deterrent value, we come to your house, whenever, very early sometimes, like 6:00 a.m., with the, when the, when the sun? it out and we care the -- scare the hell out of you and put you in handcuffs and cart you away. they believe there is deterrent value in that. they believe there is deterrent value to make the person essentially cooperate. i will tell you this there is disagreement between the u.s. attorney owes as how to handle this. fbi runs the show. u.s. attorneys office brings the cases and they indicted people but on this particular thing when it comes to basically arrests it is the fbi's calls. their call is essentially to keep arresting people in this fashion. i think, this is my opinion. i think it is incredibly excessive. i do not believe that one thing to knock down the doors of rapists and murderers and terrorists. another thing of a guy accused of insider trading
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on a couple stocks, to bring him through the indignities of something like this but i don't run the show over there and neither does the u.s. attorney's office. we do know there is major disagreement. how this plays out in the future will be interesting because one of the critical issues of this arrest was how a wall -- "wall street journal" reporter somehow popped in while this arrest was going down. melissa: she was on her way to work, walked by. saw people on the street and happened to be a huge story. >> that's what i think really went down. that she was just like strolling along. melissa: right. >> what better place to stroll along than michael steinberg's apartment on the upper east side, said, oh, by the way i'm here. melissa: that's interesting. i mean, kind of, i guess the flipside of that argument is, that there are people who feel like insider trading isn't, you know, a real that it's who really gets hurt? it is just money. but i'm just trying to devil's advocate here. so then to bring them in like real hardened criminals
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drives home the point it's a serious crime. >> and the other argument we're treating all criminals the same. melissa: yes. rich guy stealing money doesn't mean you're not a criminal. special treatment. >> these guys are felons. you go to jail for as long, if you look at sentences --. melissa: i know they're long. >> you go to jail as long for insider trade as you do for some category i ares of rape. that is no joke. the question is, should you go to jail for this long? i don't think so. i've been writing a book about this. i don't believe go easy on these guys but there is a degree, is this excessive and is this for publicity? lori: the other thing is -- >> why do we need to know the fbi is arresting this guy? lori: the other side is the criticism and pressure on agencies themselves. they're trying to show they're active. melissa: that is good point. >> cracking down on wall street. but what is interesting here the u.s. attorney's office which gets a lot of mileage saying we're cracking down on wall street, remember president obama one of the things coming out of the financial crisis he wanted
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to sort of hold wall street accountable. it is very interesting that the u.s. attorney's office, it isn't just me making the case what is interesting about this story there was a clear disagreement over how this arrest, how some of these other arrests have gone down. and that to me is, there's a degree, an unprecedentedness of that. i never heard that before. we'll see what happens the next time someone gets arrested. lori: let's get to the markets. charlie, thanks so much for happening oust with us. melissa: as we do every fifth teach minutes let's check the markets. mark otto is on the floor of the new york stock exchange. what is the number one thing you're watching today, mark? >> we're looking at some sector rotation and basically the market breadth. over the past week we've seen the volatility index spike. particularly on monday it moved up 40%. we're looking at increased volume a lot of momentum has been to the downside. yesterday 90% of the volume was to the downside. today the market breadth is more even. even though we're down it is much more organized today.
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melissa: what is the number one thing you're looking for the rest of the day to decide how to trade it? is it earnings coming out after the bell or what is your big signpost? >> i think most traders will look at earnings coming out tonight. the focus will be on techs going into tomorrow morning. you have microsoft, google and ibm. i think that will dick taste the pace what goes on tomorrow and into the weekend. melissa: mark otto, thanks very much. >> my pleasure, thanks. melissa: democrat max baucus shifting his own ton obamacare. he now calls it a train wreck. lou dobbs weighs in on that one next. lori: look at winners and losers in the trading session, a couple hours before the closing bell. we're back after this. are you still sleeping?
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melissa: a democratic senator who helped craft president obama's health care law now calls it a train wreck. max baucus made the comment yesterday as health and human services secretary kathleen sebelius testified at routine budget hearing. >> small businesses have no idea what to do, what to expect. do you have any data. you're not giving data. you're giving concept frankly. i just see a huge train wreck coming down. melissa: time now for lou dobbs. so this one of those things where you accidentally blurt out the truth or was this contrived? senator bach sus -- >> senator baucus is not the kind of man that makes those mistakes or actions in his expressions. he was talking to her earnestly and forthrightly
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sayingings secretary, you have got a mess on your hand and you have very little time to turn it around. she misspoke at least, she was not fulsome in her answers in dealing with the exchanges because october we begin to see those constructed. four out of 30 republican governors are going to go along with it. the rest are not. melissa: wow. >> 33 legislators, or governors have rejected the idea of exchanges. federal government, here you go. we may be partners with you but we're not doing it. and you get going. so, we're watching some real uphill work for the department of health and human services. and i frankly don't think they're up to it. and obviously neither d th that powerful language to make a very simple and, simple point. get to work. there is no one working here right now. they don't understand, they're defering, suggesting, for example, the exchanges for small business in country have an about every
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didded for another year. there is no, there seems to be no strong leadership saying we're going to get this done, we're going to cover those 30 million people we problem problem missed you. -- promised you. speck tack alreadily nothing they said is coming to fruition. the president's promises, lower premiums, stronger and better programs, nothing he said is coming to pass! lower health care costs, it is the inverse. and you can imagine the frustration of senator baucus and others. senator baucus, one of the architects, one of the sponsors of the affordable care act. he helped craft it. when he speaks, instead of hearing nonsense rebuttal from, it was that, a rebuttal and a little pat on the knee for him, saying, it will all be good, it was entire letter the wrong tone, the wrong response that the person who is in charge of this thing needs to be
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adopting. particularly with the guy who is one of the stalwarts, who took the lead and really took a lot of bruises and cuts for the president. lori: you know with this, with the health care legislation, more urrently with the gun vote yesterday. >> right. lori: immigration, we have all of these hot-button issues going through washington right now and to baucuses point, it is all sort of theory and concept. who was in charge of taking the action and putting in there? >> our colleague, chris stirewalt, digital politicsed tore, he made a this president is off to a clumsy and failure-ridden beginning to his second term. he will be become a lame duck very soon. that point is hurdling toward him now because of all the missteps that have been made. he lost every vote on gun he will control. he has a very real chance of
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losing speck tack alreadily again on immigration reform so-called. lori: all these politicians love hearing themselves talk. >> this president not only loves to hear himself talk but now loves drama. he is drama obama. when he was talking about the shame for the senator, the senators who rejected his will, he forgets the american people rank immigration an gun control 4% at most recent poll, lower than the economy, jobs. just as you would expect. ranking five other items ahead of that. it is pitiful to see this disconnect between government as led by this president, and the will of the american people. melissa: lou, thank you so much. you can see lou here every day at this time. i also love to watch you at 7:00 and 10:00 p.m. eastern. >> you know i like you watching. melissa: you have congressman gowdy. he is going to join lou to discuss the "gang of eight"'s immigration bill. >> he is one of the terrific
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public servants on capitol hill. he is smart as a whip an engaged on all really important issues. melissa: look forward to it. thanks lou. >> good to be with you. lori: what with you do with $3.7 million? chances are you wouldn't do what the ceo of britain's biggest department store did. he gave his entire bonus to his employees as a way to say thank you. that is what lou does for his staff. the gift was split between 20,000 employees, adding up just to $200,000 a person. still his generosity has been applauded by --. melissa: $200 a person. lori: that sound more reasonable. wow, he is so generous. >> sign me up. lori: lou is not that generous. melissa: careful. i don't know how you got involved in this. it was $200 per employee. it is a clothing company. very cool. >> would be nicer. melissa: would have been much nicer. coming up on "money" a former treasury department senior advisor under
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president obama joins me to discuss new research showing what makes repeople trust their banks and what banks are the most and least trusted in the country. 5:00 p.m. eastern right here on fox business. very interesting stuff. do you trust your bank? do you trust your bank? would you give them your money if you don't trust them? lots of people don't trust them? i don't get it. lori: it is an interesting question. i really didn't think about it. should i not be trusting my bank? it is devolving quickly. >> watch at 5:00 p.m. eastern time. melissa: that's right. lori: government launching a probe into whether former congressional aide leaked market-moving information to an investment firm. could it open up a new venue. >> for inviter trading cases 
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tracy: happy thursday i'm tracy byrnes, i'm adam shapiro. apple is baking a bite out of markets. trading for $400 a for the first time since december 2011. we'll have the latest on apple and other markets. tracy: a after a congressional aide leaked market moving information to an investment firm. now the sec is on the case. are these firms guilty of insider trading? adam has former sec chairman harvey pitt. he will weigh in. adam: the consumer financial protection bureau is spending $20 million to buy personal financial data about you. we'll tell you what they're doing with that information. tracy: freaky. adam: i don't know. they're buying it from experion and, the people that already have it. tracy: so they know i'm broke? that is no secret i guess, it is top of the hour. we want to check stocks. nicole petallides on the floor of the
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new york stock exchange. and, nicole, wow, apple is really in trouble it would seem with a lot of their investors. >> i will go ahead and lead with that that's what we're seeing here, 392.79. we've seen it down about ten bucks. obviously well off of the highs that we saw back last september when it was over $700. i mean right now you still talk about the fact that they still have products in the pipeline and yet investors on wall street are not hot on apple at all. and we've heard so many people say if you own it at higher points might want to buy a little here, more to add on to it. others who want to get in there and buy it don't want to buy it on the way down. they want to buy it on a bounce. we are seeing technology, the worst of the bunch here on the major averages right? the tech-heavy nasdaq is down nearly one full percentage point. dow jones industrials is down 56 points. we see names such as united health care unsome pressure. bank stocks, drug stocks, retail stocks, to the
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downside. s&p 500 down half of 1%. the u.s. dollar as well as vix, fear index, back to the upside. volatility still in our fortune and forecast at the moment. that certainly is what traders are seeing. we have the feeling of uncertainty with the back and forth action we've been seeing on wall street. back to you. adam: nicole, thank you very much. tracy: no guaranties, that's for sure. the s&p 500 dipping below its 50-day moving average, the first time this year. what does it mean for stocks and how do you play this volatile uncertain as nicole said, market? let's bring in a technical research director at january any capital markets. dan, for thanks for being with us right now. we had a guest on tuesday, monday's selloff not the correction we were looking for. just a one off off. are we in this correction right now? >> well that remains to be seen. i think we can have a larger correction than we've seen thus far. the levels we're at today, s&p is up maybe 3% from its highs.
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it hit new all-time secular highs at 15.97. we're looking for around 1540. just a little below the a day moving average you were referencing. in our opinion if you take out the 1540 level we can grab more sellers in from the sidelines and they can push this down more aggressively. we would think down to 1475, 1500. that would give us a correction in the magnitude of seven to 8% off the highs. i think that would shake out a lot of people. adam:. dan, the last time we closed below the 50-day moving average, this is october, we went down roughly 6%. this time around why do you think it would be greater? other people think it would be far greater, revenue, earnings reports we're seeing right now it isn't all that revenue and a lot of companies reporting. why do you think it wouldn't be worse is what i'm getting at? >> the truth is, we don't think it wouldn't be worse. we're just sort of looking at the different levels where buyers would come in and try to stablize the markets.
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in truth i aagree we could see a market correction in excess of 10%. historical analogs have shown us at this stage in a market cycle you could see corrections up to the tune of about 20%. but, you know the issues is, what is going to trigger that. we personally don't think it will be anything internal to the markets. we think it would be something more macro induced. some type of exogenous shock that could speak investors at this point to take out that 1540 level. tracy: let's talk macro if you will for a second. you say you expect the markets to kind of move into reflationary bull cycle. can you explain that? >> sure. well, once we get on the other side of a correction and again, a significant correction, we do sympathy the markets are changing their overall cycle. we think what's happened in is last 13 years valuations in equities have been grinding lower and lower such that we broke out to
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new highs on the s&p 500. the valuation on that benchmark is as cheap as it is has been in 20 years. what happens in a new cycle and you break out to new highs and your at valuations attractive relative to other asset classes you tend to start a new cycle. we think in the next cycle that equitying will be the best orm power. they will outperform commodities in a. once the fed takes its foot off the gas pedal. adam: the question when the fed takes its food off the gas pedal is not something people can ask nor timing the market. when does the reinflation cycle start? next summer next fall? >> i think it is starting right now. we're chipping away at the ice. we've broken out to new all-time highs in the stock market, not just the s&p but the dow. small and mid-cap benchmarks broke out to new highs. once you do that, history tells us you're sort of
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beginning that next cycle. it may not be in a nice neat package over the short run. markets are certainly sloppy right now. we could have increased volatility, back and forth between the asset classes. i honestly think we're making transition right now. if you're a long-term investor, and i'm not talking about long term for two or three years. tracy: right. >> if you have five to ten years, even 15 years out, we believe you should be buying equities very aggressively here, not worrying about short-term corrections because we think this the start of a new cycle where equities will be the one of the best performing assets. tracy: dan, everybody with a 401(k) listening to you is really happy. dan is with janney capital markets. thanks for being with us. >> thank you, guys. adam: we'll turn our attention attention to boston and the bombings. the investigation and investigators are searching for person or persons responsible for the attacks. president obama spoke at an interfaith service to honor the victims this morning. rich edson is live at the white house with the latest.
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rich? >> good afternoon, adam. president obama is still in boston. he is is at mass general hospital meeting with victims, victim families, first-responders, doctors, nurses hospital staff. that is continuing ever since the president spoke at interfaith service which he promised to find those responsible and hold them accountable. >> on that toughest mile, just when we think that we've hit a wall, someone will be there to cheer us on and pick us up if we fall. we know that. [applause] and that's what the perpetrators of such senseless violence, these small, stunted individuals who would destroy, instead of build and think somehow that makes them important. that's what they don't understand. our faith in each other.
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>> similar comments from the attorney general eric holder here in washington saying to this end he has directed all the resources of the department of justice to be deployed to insure this matter is thoroughly investigated. as for an update to the investigation, the federal bureau of investigation is considering whether to release images of one, possibly two suspects, video possibly of someone placing a device at the scene of the explosion or one of the he is explosions. that according to fox news. that is an internal debate with the. fbi. one update. the department of justice officially announcing the arrest of paul kevin curtis. he is the one officials say is responsible for sending letters with ricin to president obama and to u.s. senator roger wicker from mississippi. he is due later in court today. faces 15 years and $500,000 in fines if he is convicted. also to note, both those letters were intercepted before they reached their destinations. back to you. adam: rich edson in washington, thank you. tracy: all right. well, coming up the
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government launching a probe into whether a former congressional aid leaked market moving information to a an investment firm. could it open up a new venue to pursue new insider trading cases? we have former sec chair harvey pitt to weigh in next. adam: as we do every day at this time we look where oil is trading. still trading below 88 bucks a barrel. i'm telling you right now, the girl back at home
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tracy: that time of day. we'll try to make some money in these markets. charles payne talking profits in coal. you tell us about the reversal of fortune. first of all the dow is down 82 points right now. we're getting very close to sessions lows. what is going on? >> it has been all over the board. very interesting thing. you look at this morning it is bizarro, a couple stocks indicating to be up big are down big. couple stocks indicating to be lower are actually turned
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around. i think we're seeing real smart money guys are reallocating their funds. the stocks i'm talking about, cypress semiconductor and sandisk. both had nice opens. they were up now they're down eight and 12% respectively off intraday highs. on the opposite end, cliff natural resource, two coal names names were under pressure earlier. i'm here to call the bottom on coal. this is probably the fifth time in last five months. tracy: seriously. by the way we still have the same president. >> we do. but here's the difference. natural gas is really gone up tremendously. natural gas is up 100% from its low in the last couple years. it has gone, a lot of people think it will hit 4.50. now electricity, coal is now back to 40% of electricity in this country. >> dirty cheap is in vogue again. >> peabody reported this morning. that was a one of the tidbits that were interesting. 8% up on thermocoal. europe will need more.
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gas prices are higher in europe and japan. by the way getting rid of all their nukes. jop san section half of the year will be huge buyers. china was 35%. 30% in part to urbanization. yes for the fifth time this year i'm calling a bottom on coal. adam: you mentioned cliff resources. they're down 54% year-to-date. and, they're paying on iron ore. everyone is slowing down. who will need steel? i would be careful of that? >> i love the metallurgical stuff. in fact last week when walter energy spoke they gave guidance on metallurgical. for the first time in nine quarters it will be up. i think we're at an inflection point. inventories are more of a problem than demand in my mind. i love metallurgical than thermal coal. we saw resolve even though we're giving it up now and i do think smart money is starting to go into these names. tracy: look, april 18th charles payne calling bottom on coal. back next week to call it
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again. that's why we love him. >> my weekly call. adam: it is quarter past. time to check markets especially as we seem to be accelerating to the downside. nicole petallides on the new york stock exchange. what is going on? >> we're seeing more selling. what we should note keep a close eye on apple. the stock dropped even further since we last spoke now hitting a new low of 390.81. so yesterday it was just a big deal when it crossed below the $400 mark. now as china holds $390 today. obviously for apple shareholders they have to wonder what is really going on here. obviously we know that the ipad mini sales are dwindling. some suppliers are cutting outlook and forecast because they don't expect demand to be quite as robust. however, we still see products in the pipeline for apple. are still a lot of people bullish on apple. let's keep an eye on it. right now, 391.67. we'll watch very close eye on verizon. this is a name hitting a new
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high that we haven't seen in over ten years after they came out with their numbers doing very well with verizon wires le and growth in verizon fios as well. adam: nicole petallides, we'll see you again in 15 minutes. keep an eye on apple. tracy: next, former sec chairman harvey pitt will weigh in on the preliminary investigation into the political intelligence industry and we will tell us whether or not the government has a case. adam: first here is how the dollar is moving right now against a whole bunch of currencies. @ all stations come over to mission a for a final go.
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>> at 20 minutes past the hour i'm arthel neville with your fox news minute. in boston president obama spoke at an interfaith memorial service for victims of monday's bomb attack. prays for boston's resilience and people will quote, run again as they recover from this tragedy. in west, texas the search for survivors continues following last night's massive fertilizer plant explosion. texas governor rick perry calling the blast truly nightmare scenario. at least 75 homes were
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damaged. authorities still say 15 people are feared dead and 160 people are injured. labor secretary nominee thomas perez faced some tough questions at his confirmation hearing. gop senators had criticized some of his decisions as the head of the justice department civil rights division. perez said he would approach the job with an open mind and his top priority would be working with business and labor to create new jobs. those are your headlines. i'm arthel neville. get you back to tracy and adam. adam: thank you very much, arthel. we have more on a story that we've been covering since early this month. it involves the government and the government's launching a preliminary investigation into whether a former congressional aid and humana lobbyist leaked a medicare was planning to reverse a rate cut september shares of health insurers soaring on ape fist. this could open up new venue on insider trading cases? joining us former sec chair
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harvey pitt. thank for joining us again, harvey. good to see you. >> good to be with you. adam: we call it political intelligence but sound like expert networking to me. business has expert networks which gather intelligence on companies. the same thing in politics. am i wrong? >> no, i think you're exactly right. indeed i think the concept of political intelligence may be an oxymoron. what we're dealing with here is, at least, on the surface, plain vanilla types of fraud. somebody learns about a governmental action and before the action is announced. may have tipped people to trade in various companies. that is classic. adam: and the somebody in this case is former aide to senator grassley, who now is lobbyist or is involved rather with a political intelligence organization. and sent an e-mail to a
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lobbyist with greenburg taur rig, the law firm in washington a former aide, now an analyst, said very credible, that is the quote, very credible sources say the government would reduce the payment cut for medicare advantage plans. sounds like an open-and-shut case of insider trading. why am i wrong? >> you're not necessarily wrong but there will have to be an investigation. for example, people have been known to write e-mails touting information they have when they actually have no information whatsoever. so one would have to figure out what this person was told by whom, how definitive the information is and then look at what he did with that information, but it could well be an open-and-shut case. adam: didn't, harvey, the government pass a law a year or two years ago, to prevent this kind of i worked in the government, i have all my sources in the government. now i have inside
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information that i can profit from i leave government. wasn't only to keep elected officials from trading on information they get but also staff. didn't they pass a law to prevent this kind of thing? >> they did. it is called the stock act which is an acronym. the act made it clear that agencies like the sec could go after congressional staff people who used information they received in their jobs, for the purpose of helping people trade in various securities. and there is now no question that's a fraud and a crime. adam: but now, if that is the case, this gentleman at the e-mail, who used to be an aide, the information essentially would have come after he left public service. therefore he is in the clear, would he not? >> no. the, first of all the stock act only passed last year. and i think the events in question predate even the passage of the stock act. but this would be covered in
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my view under classic insider trading law. i think the sec could go after people who had information from their positions on the hill and then used that to help people trade and make a profit. adam: so let me wrap up with you, harvey. most people, a lot of people believe that washington has too close a relationship when people leave service in washington, to wall street and that they profit off of that connection. is that a problem? do you lose sleep over that kind of perception? >> i don't. but, it requires that people behave ethically and where people cut corners, as may have occurred here, then it's a huge problem and people are right to worry about it. adam: harvey pitt. always a pleasure to have you on the fox business network. thank you. tracy: thank you. tracy: so is the bull market in trouble? wild swings this week along with gold's crash on monday or are leaving many investors worried that major
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pullback is finally coming. sandra smith at the cme. what is everybody talking about down there? we're testing some lows? >> that's right, tracy the red flags very, very obvious this week has been a major selloff in gold prices. look at one-week chart. we're back a little bit. gold is bouncing back just a smidge, up $11 in today session. the yellow metal has lost $100. it is only thursday. 9.3%. there has been mass liquidation of u.s. dollars out of gold. the vix we talked about yesterday, that is still in play today. the vix is up another 1.25 points. it is nearing that 18 mark. remember 20 is a very sufficient level in the vix. it does indicate fear in the marketplace. the vix for the week has gained 5.2 points, up 43%. that is really another red flag of the heightened sense of fear in the marketplace. then there is the s&p 500. i know you led into a guest
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at the top of the hour. if you look at s&p 500 with a 50 day moving average, support trend line, in the s&p 500, we are well below there now. with the s&p at 1541. that level is 1543. we're a couple points below the major trend line. if we get a close below there. that could certainly signal more selling ahead. the last close we had below the 50-day moving average. was october 2012. what happened after that? s&p sold off 5.6% before it bottomed out four weeks later. so it was obviously a good indication of more selling to come. s&p is at 1541, down 11 points on the session. you can hear some of the yelling here. that is actually the treasury pits i hear in an uproar. disappointing earnings, guys. weak economic numbers. that's what the traders are focused on. by the way as calculated right now, more than a trillion dollars has been
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wiped out of the u.s. equity market this week alone. so red flags are all over the place. we're watching them for you. back to you. tracy: sandra smith, thank you very much. >> thank you. adam: coming up the consumer financial protection bureau wants to he no how you use your credit card and if you overdraw your checking account. what the heck are they looking for? we have the answer. tracy: let's look at winners and losers on the s&p 500. we're talking about it. it is testing lows of peabody energy corp, charles payne favorite up 7.2%. we'll be right back.
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>> taking a look at the dow theory and you can see a lot more red than green. let's head to the floor of the stock exchange. nicole petallides standing by. little bit of a slowdown to the downside. nicole: i am taking a look at a name like a real winner, taking a look at automation, u.s. auto dealers group, you see it is up 2% but better than expected profit and that is the best quarterly results and increased demand for new and used cars, revenue rose 12% above what analysts estimated. great news for auto nation pushing it to the upside and keeping a close eye on american express, first quarter profit rose 2% and beat the st.'s expectations, talking about well-heeled customers of american express and spending, they haven't given that despite
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the fact the we obscene payroll taxes and the like but american express coming in with good numbers as well. cheryl: consumer financial protection bureau was set up to help and serve the american consumer. now the agency is spending $20 million to buy personal financial data from ten million consumers. how is this helping? what are they looking for? gerri: great question. they say they want to sharpen their regulatory efforts and know how consumers using financial products and miss using financial products so not orally are they being ending reams of information from banks to the point that banks are complaining public about it which is shocking but also buying some of this data from companies like experience or core logic that collate information on individuals. apparently they are not allowed to look at individual information but if you talk to anybody who is intelligent about
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the use of consumer driven data you understand it is easy to drill down and find out anything you want about individuals whether you have their name or don't have their name. you give someone yours the code they can find everything they need to know about you and heart beats a lot of people are worried about the privacy implications of this and also why does the federal government want to get inside my bank account? seemed like a violation on the face of it. adam: banks of in trying to shutdown the consumer financial protection bureau since it was first proposed. tracy: i was shocked to see them complain publicly. adam: they ran out of money to pay for this but the question i'm going to ask if the data they are buying, can't they make an item they want to see how consumers are being treated with their credit cards because the banks did such a wonderful job of getting people in trouble with interest rates over 21%. tracy: i am sure if every piece of data in the world they would
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have a crystal clear picture but the reality is there are privacy issues involved that i think are critical and the importance of if the government had every piece of data they would have a perfect, clear microscope on how every individual uses financial products and ms. uses them but to me that is not the issue. the issue is should they be peering over my shoulder when i'm going to the atm or at least asking for my permission. tracy: 3 talking about this? on
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network 500 flights were canceled at o'hare. that is the big story out of chicago. people injured, the rain was so intense a sinkhole opened up, three cars fell in, one of the drivers was sent to the hospital. tracy: scary stuff. shibani joshi's family is from oklahoma. i hope they are okay. the irs is watching you but who is watching the irs? 2 dozen agency employees were charged with stealing government benefits render uncle sam's nose. crazy. adam: as we do every day, take a
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look at 10 and 30 year treasuries. thank you orville and wilbur... ...amelia... neil and buzz: for teaching us that you can't create the future... by clinging to the past. and with that: you're history. instead of looking behind... delta is looking beyond. 80 thousand of us investing billions... in everything from the best experiences below... to the finest comforts above. we're not simply saluting history... we're making it.
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shibani: times shibani joshi with your fox business brief. j.c. penney in talks with wells fargo for $5 million loan to help according to dow jones. the five year loan would be
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backed by the retailer's inventory, accounts receivable and intellectual property and early on today a judge ruled the company could sell home products designed by martha stewart under the label day cp every day. macy's is trying to block sale of the items while it appeals the previous ruling allowing it. are you thinking of flying to your vacation destination this summer? reuters is reporting that the faa is expected to handle fewer flights during peak hours because furloughs at control towers. airlines are still trying to understand the impact of those furloughs. that is the latest from the fox business network giving you the power to prosper.
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tracy: prosecutors say this takes the cake. i like that.
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adam: ed jersey term. tracy: iris workers stealing benefits, the same workers charged with protecting the system. liz macdonald is here with the bottom line and i can't say we stay in new jersey. liz: good to be with you. this stories in memphis, tenn. dozen irs workers wrongfully charged, being charged with illegally taking government benefits. jobless benefits, food stamps, housing vouchers, welfare, we got a statement from the u.s. attorney on this. iris employees brazenly stealing from law-abiding taxpayers. in the district attorney saying they are freeloaders, doubly frustrated because they are bilking the government money and they know how to work the system being inside the system. we expect better from an irs agents. this is what the story has
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national implications for the u.s. deficit. for sequestration, furloughed federal workers, those workers are being found to be taking those benefits while they are on the job. so when it comes back to the u.s. government they found 13 of these employees lying to the federal government saying we are still out of a job so we still get the government benefits. that is why the story has major implications. we may see this in other parts of the country given co-worker furloughs happening with the federal government. tracy: this is a joke really because anyone can gain it and play it. this is why we are in debt. adam: lot of cheating going on but this could spread to other states. tracy: we are wondering what we are seeing indicates the treasury department and inspector general has launched what is being called operation
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double dip. not just irs workers from double dipping, getting laid off and still getting government benefits that this is on the heels of the recent report that showed federal workers boeing $3 billion in back taxes, all levels of government, treasury is not as bad, the government printing office, lot of people a lot of money. liz: you will see more of these headlines coming down the road. tracy: you will be all over too. adam: amazon revolutionized retailing and the book business and now wants to revolutionize television. dennis kneale has his take on that. dennis: the online seller of everything fantis itself hollywood mogul. amazon producing 14 original tv pilots that run only on line. data starring ed begley jr. about silicon valley startup is one of them. amazon viewers will vote for the shows they like.
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if a pilot works follow-up episodes can be seen only a few are a member of amazon prime. it costs $79 a year and includes free shipping and online access to thousands of old movies and tv shows. netflix is spending $100 million on new shows like house of cards and it the revival of arrested development. the big question? why stray so far from your core competency and why compete with hollywood studios that now supply most of your video content you offer online? netflix is at $300 a share but since january is a 60% fifth pass and 1 $15 mark but house of cards fell off a cliff after its recent debut and the dvd release came out weeks later from sony, not from netflix but amazon copley square gamble is a lot cheaper like $10 million for the pilot and amazon stock has been down 3% today and is up 40% in the past year.
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content is everything for netflix, to amazon it as a sidelight, a way to get more people to sign up for its prime service, and ten million compared with thirty three million at netflix. still, amazon bought the exclusive rights to the wildly popular bbc series downtown at the and that will be a bigger draw than any original program amazon is likely to make. i think they are straying too far here but more power to them. adam: thanks. tracy: quarter still, time for stocks. we go back to the floor of the stock exchange. mark paco joins us at night capital, america's director. you are afraid and you love this volatility and make money in this market, but what are you thinking when you come in on a day like today? >> our job is to stabilize
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stocks. lot of times we conjure that side of the market. is a more defensive than with you want to call it that. tracy: this is going to continue. your job is going to be tough for a while. >> we opened the volume with volatility. tracy: what is your outlook for the rest of the week? are we going to continue to pour off into nothing more do you think this will turn around? >> there is always hope but we are trading at session lows, the volatility index is creeping up 7% right now, the s&p 500 testing 1540, support is down 1543, the 50 day moving average. is getting ugly. tracy: thank you for taking the time. adam: apple, is this a good time to buy? we will ask an analyst next. tracy: let's look at the winners and losers on the nasdaq but there are some winners.
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brendel resources holds up, 5.1%. we will be right back. @
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tracy: apple trading below $400 for the first time since december of 2011. google reporting after hours what should you be doing now? senior analyst for chelsea advisory group here to tell us,
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tech stocks up 1%. what is going on? >> slowdown in europe and something multinational, google and amazon overseas, be they as good numbers but indicated softness in europe will hit in the second quarter so you are starting to see that going on right now. tracy: there are a lot of people -- >> it definitely comes back. if you think of the innovation going on at google and amazon and the lot of these companies, into the rally into a new rally. tracy: is it possible apple got ahead of itself to begin with? shouldn't it have been where it was with that stock price and this is fairly nice. >> shareholders were overly optimistic, when they hit their all-time high in september and shareholders are overly o cf1 o pessimistic. people lawmaking the assumption when you go to the apple store the only repeat -- the only
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thing to see is the same product. and as a lot of innovation going on, close to their vest but the future for apple in stock today. tracy: the way things went down in china, production cut rumors. >> if you think of where you are today, to the extent they have to come up with the ipad mini, cheaper iphone to penetrate the emerging market. margins have peaked but at levels they margins are going to be better than the barriers on the stock. don: is apple by? today apple is a buy? >> free cash flow north of 10%, 2.5% and you have to believe there is something more innovation from apple than we are seeing now. tracy: one would hope. let's talk about google. motorola mobility for revenue finally hitting the financial. who would have thought google
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would be a verbal. my kids don't know what an encyclopedia is. they google things when they do their homework. >> google had good fourth quarter, things are challenging the first quarter, put pressure on stock, one is they divested their stock business last quarter and you have a consensus no. that was a blank. some people included the numbers and some excluded it. that added 50 basis points with potential of growth last quarter and 130 basis points the motorola mobility is the biggest change in google's armour, 12 months in see how it works out. tracy: the glasses. >> the glasses are very cool. if you think of the rumors on the i watch, google oversaw it -- overshadowed apple on the 100 day after google and it is not that mover, $1,500 is a high price point, but one that is including. tracy: what do you want to hear from the company? >> the most interesting thing is what facebook called the facebook home overlaying the android operating system and
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doing what apple should have done, putting the consumer first, the fringe for a sand dabs of the background. is google happy with that, a boost to android devices or concerns? tracy: are you buy or sell? what you doing? >> i am bearish, the potential of sequential cost per click weaker than it was last quarter primarily with the stock trades on. tracy: you don't think google is the next apple. >> google is a tremendous tech company, very innovative but apple still classified. tracy: is apple the next microsoft? >> no. tracy: you are good. you got to come back. >> i will. adam: stay tuned for fox business for complete coverage of google's earnings "after the bell" as raise the and tom were talking about, microsoft, ibm reporting at 4:00 p.m. eastern time today. republican congressman of louisiana has an interesting plan to cut the debt and end taxpayer funded members of
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congress, that cost you and me -- tracy: at taxpayer funded portraits to begin with. adam: they look pretty bad. tens of thousands of dollars for these, the recent estimate shows each portrait costs anywhere from $20,000 to $40,000. it is called the eliminating government-funded oil painting, up for the ego act. tracy: put a picture on your iphone and, the day. adam: politicians. tracy: the dow is down nine points. we are -- liz claman will take us through the last hour of trading. the ceo of sandoz with excellent earnings, we will find out what exactly is the secret stock as well as their plans for the future. "countdown to the closing bell" is next.
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>> cool versus microsoft. about to report earnings added all comes down to add revenue and the performance of windows eight. known for memory cards, focus and his fortune. an exclusive interview with the ceo. and ever heard of the underwear indicator? what a man's stocks and briefs reveal about the state of this economy. "countdown to the closing bell" starts right now. ♪ good afternoon, everybody. i'm liz claman. it is the last hour of trading. the largest company in the world by market cataloger can fit in


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