Skip to main content

tv   Varney Company  FOX Business  April 22, 2013 9:20am-11:00am EDT

9:20 am
♪ ♪ imus in morning ♪ >> here it comes. a wall street rally, a big new tax and delays at the airport. good monday morning, everyone. yes, minutes from now, stocks will go up modestly. gold has already zoomed about 30 bucks an ounce. several factors involved, including the terrorist kill and capture. that big new tax is a tax on all internet sales. the details released this weekend for a senate vote today, what? talk about passing it to it find out what's in it, nancy pelosi,
9:21 am
furloughs for air traffic contollers started yesterday. the transportation secretary says they're unavoidable. sequester delays may hit you today. "varney & company" is about to begin. ♪ [ cows moo ] [ sizzling ] more rain... [ thunder rumbles ] ♪ [ male announcer ] when the world moves... futures move first. learn futures from experienced pros with dedicated chats and daily live webinars. and trade with papermoney to test-drive the market. ♪ all on thinkorswim. from td ameritrade.
9:22 am
9:23 am
>> good morning, everyone, sorry to tell you this, but here comes maximum pain. air travelers, listen up. your chances of a flight delay just went up. those furloughs are in place for air traffic contollers, they've got to take one day off every two weeks. ra ray lahood, the same may that told us to drive toyotas, he said they're unavoidable. sequester cuts are here and they're at the airport. extensive flooding in the midwest and more rain is headed there, they've been measuring the rain in inches and forecasters say there is more to come. another inch, maybe more than that, predicted for much of the area through tomorrow. big floods there.
9:24 am
to the markets, we will open modestly higher today. stocks will be up. we're looking at about 40, 45 point gain. we would have been up almost 100 points last friday, if it were not for the poor performance from ibm, which is a dow stock. we're going to follow that stock at the open. look at gold. i'm calling this a significant comeback, up $32. 1428 is where we are now. now what you're looking at is a protest at the home of a federal housing official. is this legitimate protest, bringing the outrage right to someone's home? we're going to be talking about that this morning. but please, stay there, we're about to see how your 401(k) will look when wall street opens today and more on the internet sales tax. here we go.
9:25 am
thank you orville and wilbur... ...amelia... neil and buzz:
9:26 am
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. [ male announcer ] a car that can actually see like a human, using stereoscopic cameras. ♪ and en stoitself if it h to. ♪ the technology may be hard to imagine. but why you would want it... is not. the 2014 e-class. it doesn't just see the future. it is the future.
9:27 am
9:28 am
we don't let frequent heartburn come between us and what we love. so if you're one of them people who gets heartburn and then treats day afr day... block the acid with prilosec otc and don't get heartburn in the first place! [ male announcer ] e pill eachmorning. 24 urs. zero heartbur >> all right. everybody, trading is about to begin this monday morning. this is the start of trading for the week after the boston outrage. let's see how we're going to open. at the moment we're looking for maybe a 40 point gain for the dow jones industrial average. that's where we stand with a minute to go before that opening bell rings. i'm going to bring in larry l f levin with us from chicago. we've got one suspect dead and another guy captured, is that at
9:29 am
all a factor this today's modest rally that we're going to see. >> i think there's something to do with that, stuart, i do. i think that having that or some kind of resolution in that situation, even though we don't know all the facts, having people behind bars and not with us anymore, so to speak, is something that at least gives people confidence. it's a terrible situation, but it's behind us and that's what the market likes. stuart: what is really driving the markets, what is it? >> you and i have talked about it, the fed is not necessarily going to go away. we talked about it, we saw a drop in the market, but until the economy improves they're the not going to get out of the way and i think because of that, this market will go up and more talk about that this week. >> we're only what, a couple-- we were down on the week about a couple hundred points, that's not a major selloff by any means. larry, thanks indeed. you're saying the market is trying to go up, we shall see. we have a news background, not yet occurred, at ten o'clock,
9:30 am
half hour from now we're going to get the existing home sales, a very big pointing that is supposedly improving housing market. you'll get the numbers as we them, too. i want to warn you, coming up on friday, the latest gdp numbers, they're going to be inflated and show a rate of growth maybe 3%, very strong. but, there's a new calculation involved. so watch out there. the dow is now open for business. we're up 5 in the very early going, yeah, the up trend in place, first thing this monday morning. and why are we going to show you the price of a foreign corporation? why are we doing that? i'll tell you because the japanese stocks are going straight up as the yen comes straight down. tokyo says they're going to keep pushing their currency value down. it's at a four-year low and that's why toyota, i don't think there's much trading thus far, we were expecting that to go up a bit more this morning, but $112 a share, very interesting,
9:31 am
high level there, for another japanese stock. and i've got two more big names, you know, let's deal first of all with apple. the worst week in two and a half years, down 9% last week and nicole, any sign of a bounce? >> right, we're seeing it up 1/2 a percent for apple. i've read so much and 14 analyst downgrade apple some way, shape or form the last couple of months though there were a couple who were positive this morning and reading about forbes, throwing out the idea whether or not tim cook may be replaced, but there are so many folks who love it, but everybody knows it was adds 700 stock back in september and it's still below 400. stuart: you can't call it a bounce, a gain of a buck, that's not a bounce at all, but tell me about ibm. we would have had a triple digit rally for the dow, but any bounce. nicole: we're watching ibm, higher this morning, a name on friday dropped 8 1/4%.
9:32 am
the biggest drop ibm has seen in three years, and the worry is about the growth prospects for the company for 2013, as you noted, it shaved off over 100 points on the dow on friday. stuart: i don't want to grind my ax, but i have a task for you. can you tell me why in the next update, were microsoft opened 50, 60 cents higher. nicole: yeah. stuart: now it's up 70 cents. and perhaps you can tell me in the next update what is up with my stock. dow jones industrial average is up, that's not a bounce. and caterpillar is the indicator. profit was lower than expected, and demand for equipment and mining equipment dropped. not good news for the stock, but it is up a little bit, okay? $81, up 80 cents on caterpillar he, very interesting. you've got to look at gold prices. on the rise this morning. this brings in peter schiff.
9:33 am
peter is the ultimate gold bug, doesn't mind calling him that. i want to know, peter, have you ever put out a sell on gold? >> no, i mean, i've been buying gold for 13 years or so. it's been in a bull market pretty much the entire time and i'm not a short-term trader so i don't give advice to futures traders or options traders. i'm telling people to buy gold and hold it as a hedge against inflation and money printing and you know, gold has been up for 12 consecutive years. it's entitled to a correction. it's incredible how the media has jumped all over this. i read an article that said that the advisors who had been negative on gold the entire time were now gloating and saying, "i told you so." we're still at 1400, i think it's premature for the people who have been advising their clients not to buy gold during the the last decade not to pat themselves on the back. stuart: straighten me out on something, this month on april we've seen record gold coin
9:34 am
sales? the mintsers have been putting them out and dealers putting them out and people are buying. >> it's accurate. i own precious metals, and the problem is, there's a backup. coins that we normally can deliver right away are backed up by four to six weeks. some of the products that we normally buy, he we can't even get and the premiums on gold coins and bars and silver have gone up dramatically so it's actually more expensive. there's so much buying because of the decline that, you know, we can't keep up with it. >> okay. japan, you mentioned that gold is bouncing because-- you've been buying gold because of the threat of inflation where people buy money. japan has been printing up a storm. i want to know where is the inflation in japan? >> there is, mcdonald's just announced the first price increase in five years and they raised the price of burgers 20 to 25%. look at utility prices in japan and i think that louis vuitton,
9:35 am
everybody is raising prices and look, the government massages the numbers and you reported how it's going to change how it calculates gdp. they're going to count the money that we spend making movies, producing tv shows or r & d on defense, you know, spending as investment. it's a bunch of nonsense. the government cooks the books and massage the numbers to make them look better than they are. there's a lot more inflation than the government acknowledges and it gets a lot worse as the money printing continues. >> we appreciate it, peter, thank you. >> thanks. stuart: i want to get back to microsoft, up 70 cents the last time i saw it. nicole, have you got a reason for me yet? >> yeah, it's interesting to see a move at microsoft. it's up almost 4%, come on, when do you he see microsoft up 4%. the it's a couple of things, and i know you love it and everything, let's talk about what we're seeing.
9:36 am
on street there are reports that people are reporting -- reports that people are reporting so that shows you it's out and people are talking about it, but no one has solidified this idea, but that a big hedge fund, value capital will shortly disclose a 2 billion dollar sotake in the software giant. and steve ballmer, ceo, a splitup of the company may be discussed so this is a huge, huge move for value act if this is in case -- if this is in fact the case. stuart: i'll bet you that that move in microsoft which is a dow stock, accounted for a big chunk of the dow's rise. if microsoft is up over a buck, and it is, that's got to be pushing the overall dow up. it accounts for all of its rise because the dow is now up only 13. nicole: we'll work on getting the points and while we talk about the next topic, liz our
9:37 am
superstar producer will get how much. stuart: i just found out. microsoft's rally. nicole: no, no. stuart: is adding 9 points. thank you very much. you're quick down there. and we'll be back shortly, thank you. the senate's -- can i just have a quick look the at amazon and ebay? can you show me those stocks? i think we've got them loaded. the reason i want to show you, there's talk about an internet sales tax. amazon, by the way, says that's okay. it's cool with the tax. ebay says it doesn't want the tax, but both of those stocks are down. that's all about the internet sales tax and i've got more on that. right now, actually, the with us now, dan, you're from illinois and you're a critic of illinois's government. illinois is almost insolvent, if i could put it like that. i would imagine that the people in illinois want this internet sales tax because they are so,
9:38 am
so desperate for money. am i right? >> well, you know, i've dealt with the illinois state treasure and one of the few republicans in this state and yes, i'm critical of the way that things are going forward here, but you know, to answer your question, because they're desperate for the money, i don't think that that's the reason. i think there are a number of people that support this because it really is a sense of fairness for our bricks and mortar stores that are there established in our community, that are paying property taxes and paying the sales tax, so i think what's really looking at this is more of a fairness approach as opposed to looking at it for revenue. but it's going to make more internet sellers, tax collectors for the entire country. that's a huge bureaucratic burden to place on internet sellers, isn't it? >> well, i tell you it's part-- the devil will always be in the details how that process would go through and be implemented. to be candid with you, i don't see it too dissimilar as a
9:39 am
corner bookstore, selling books and chewing gum. they're responsible for collecting the sales tax at a brick and mortar store. i don't think it's different from a fairness standpoint. stuart: can you give me a dollar amount how much illinois would bring in in one year if the internet sales tax went through? >> i'm not prepared to do that because i don't want the listeners from illinois and the revenue department start to get their pencils sharpened on it. but let's say, again, it's not just the idea the revenue that come in, but an abundant fairness issue not only for the retail shop, but the property owners and land owners and leasing space to retail outlets. it's down to a fairness issues and brooks and mortar collecting and remitting the sales taxes because one happens to have the cash register on the internet as opposed to a tangible item sitting on the store shelves, doesn't mean that it shouldn't
9:40 am
be something that the buyer should be responsible for the sales tax. stuart: all right, dan rutherford, illinois state treasurer, the debate has begun on the internet sales tax and you're part of it and we appreciate you joining us, dan. >> have a wonderful morning, thank you. stuart: thanks, sir. we have not mentioned the boston terror story yet, but there is an issue and we're going to deal with it. should the suspect be treated as an enemy combatant? that way investigators can question him without a lawyer. the judge coming up on that in our next hour. and rudy guiliani will join us, as well, on exactly the same subject. top of the hour coming up. and seven early movers this it monday morning. ebay's chief e-mailing to lobby against the sales tax. ebay stock is down. we mentioned caterpillar cut the profit outlook and nonetheless that went up a little, and the oil company halliburton put ayou way more money for litigation and posted a loss, nonetheless it's up. why the loss of a toy maker hasbro, more money coming in.
9:41 am
stock is up $2. today boeing began installing reinforced batteries on dreamliners owned by nippon airways, $87 a share. google's app store growing faster than apple's app store. and google retreating from a that $800. apple reports after the bell tomorrow. and shares are 393. to the big board, that modest rally we were looking at turned around. we're now down 18 points. time is money, 60 seconds, here is what else we've got for you. we've got ahe housing market top of the hour. is the housing recovery from families buying homes or investors buying properties to present? which is it? we'll tell you. we have three new examples that show the further unravelling of
9:42 am
obamacare, the foremost critics who wrote the book on it will tell us. how much money will the legalization of marijuana bring into the economy? we have that number in the next hour. it's in the tens of millions. check the price of oil, $88 a barrel. a protest outside of the home of a federal housing official. we're calling this political thuggery, it's strong, but we're calling it that. we'll deal with the latest outrage from the protest movement. that's next. clients are always learning more to me their money do more. (ann) to help me plan my next move, i take scottrade's free, in-branch seminars... plus, their live webinars. i use daily market commentary to improve my strategy. and my local scottra office guides my learning every ep of the way. because they know i don't trade like everybody. i trade like me. i'm with scottrade. (announcer) scottrade... ranked "highest in customer loyalty for brokerage
9:43 am
and investment companies." if you've got it, you know how hard it can be to breathe and man, you know how that feels. copd includes emphysema and chronic bronchitis. spiriva is a once-daily inhaled copd maintenance treatment that helps open my obstructed airways for a full 24 hours. you know, spiriva helps me breathe easier. spiriva handihaler tiotropium bromide inhalation powder does not replace fast-acting inhalers for sudden symptoms. tell yr doctor if you have kidney problems, glaucoma, trouble urinating, or an enlarged prostate. these may worsen with spiriva. discuss all medicines you take, even eye drops. stop taking spiriva and seek immediate medical help if your breathing suddenly worsens, your throat or tongue swells, you get hives, vision changes or eye pain, or problems passing urine. other side effects include dry mouth and constipation. nothing can reverse copd. spiriva helps me breathe better. does breathing with copd weigh you down? don't wait to ask your doctor about spiriva.
9:44 am
how old is the oldest person you've known? we gave people a sticker and had them show us. we learned a lot of us have known someone who's lived well into their 90s. and that's a great thing. but even though we're living longer, one thing that hasn't changed: the officiaretirement age. ♪ the question is how do you make sure you have the money you need to enjoy all of these years. ♪ i did? when visa signature asked everybody what upgraded experiences really mattered... you suggested luxury car service instd of "strength training with patrick willis." come onodd! flap them chicken wings. [ grunts ] well, i travel a lot and umm... [ male announcer ] at visa signature, every upgradedxperience comes from listening to our cardholders. visa signature. your idea of what a card should be.
9:45 am
you are gonna need a wingman. and my cash back keeps the party going. but my airline miles take it worldwide. [ male announcer ] it shouldn't be this hard. with, it's easy to search hundreds of cards and apply online.
9:46 am
very logical thinker. (laughs) i'm telling you right now, the girl back at home would absolutely not have taken a zip line in the jungle. (screams) i'm really glad that girl stayed at home. vo: expedia helps 30 million travelers a montfind what they're looking for. one traveler at a time. expedia. find yours. >> that modest, first thing in the morning rally down. down 19. and listen to this, more than 500 people affected by the crisis, they went to the home of ed demarco calling for his dismissal from president obama. joining us now is eric bolling,
9:47 am
the co-host of the successful "the five", it is ultra successful you're killing them. well done. i call it political thuggery, it reminds me of people going to banker's homes and terrorizing them. i think it's out of bounds. >> i agree with you 100%. remember, there was a bus load of people that drove up to connecticut and stopped and protested in front of people's home with the big banks were getting bailed out and look what they're doing now. they were mad at the banks for getting bailed out, remember that? they're doing the exact opposite now. they're saying we need a bailout. we want mortgage mitigation, we want more money. which way do you want it. protest bailouts or protest that you're not getting bailed out? make up your mind. they just-- look, they're just putting a big smoke screen up. they want more stuff. stuart: i think it's the return of acorn, precisely the same tax particulars and out of bounds.
9:48 am
i want to bring up a dispute. >> go right ahead. stuart: a headline in the financial times today, data shift to give 3% lift to the u.s. economy. friday morning, we found out the latest gdp numbers. how fast and how big is our economy growing? >> and wait a second, the next part, this coming friday. >> yeah. >> because we're recalculating the numbers, it will show 3% growth. it's not 3% growth. it wouldn't be 3% growth without this recalculation, what's your point? >> my point is, again, stuart, you and i go back and forth on this, the economy is getting better in spite of president obama not because of anything president obama has done. if he just left it alone, it probably would be getting better at an earlier stage. we didn't need to be in this mess for five years, it could have been a three-year ordeal. stuart: can you say that this economy is getting that much better. hardly any growth in the fourth quarter of last year and cooked the books on this year's first quarter. >> a difference between the number, the new calculation and the old calculation?
9:49 am
i don't know either, but it's not going to be three full percentage points on gdp. we're the not going from a negative growth to a 3% growth rate because they changed the data. stuart: and you know, they say, friday morning, 3% growth, the recovery is on track, here we go, boys, everything is fine. >> great, that would be fantastic. let them. isn't it good that the economy gets back on track, if they want to play around with the numbers, play around with the the numbers. the reality, things are getting better. look, the stock market, we all know this. stuart: get back on-- >> we know that-- do we disagree on the stock market. stuart: no. >> the next market, the labor market, getting better slightly a little bit, stuart? we're the not losing or creating jobs, right? are we getting better? >> eric, eric, look, one new job is getting better. >> okay, good. now we have the stock market and the labor market. now what we really need turned around? as soon as the housing market turns around i'm telling you you'll see massive growth, stock traders. stuart: mass i have growth?
9:50 am
it's 9:49 see that clock? i've got to go to the growth report. you're wrong, eric, i can't believe how wrong you are. thank you for being here with us. >> can't wait until next. stuart: and what is gold doing this morning, up $28 an ounce, it was up 45 and now it's up 28. >> sell that. >> stop it. and you're listening to peter schiff. are you done? the maximum pain is here and anyone flying can expect delays at some airports. as we cut air traffic contollers to save money. we're doubling the amount of money we have, too. syrian rebels, what's with that. charles and liz are here. [ male announcer ] you are a business pro.
9:51 am
omnipotent of opportunity.
9:52 am
you know how to mix business... with business. and from national. because only national lets you choose any car in the aisle. and go. you can even take a full-size or above. and still pay the mid-size price. i could get used to this. [ male announcer ] yes, you could business pro. yes, you could. go national. go like a pro.
9:53 am
9:54 am
>> more maximum pain for you and new warnings that your flight may be delayed today at the furlough cuts to air traffic contollers and happened at precisely the same time that he we pledge to double our aid to help the syrian rebels, we're doubling it to 250 million dollars. delays at the airport and sequester cuts which cannot be avoided and double the aid to
9:55 am
syria. >> and i don't know, you do the math, and the burr lowing cuts with the air traffic contollers, 600 million dollars, they could use to 250 to stop the delays at laguardia or in newark or san francisco or l.a. or florida and it's pilots association and an airline association both say not necessary, because they can find the budget cuts elsewhere ar don't have to do the furloughs. stuart: and transportation secretary ray lahood says he doesn't have a-- >> the pilots say no. stuart: a brand new hour of "varney & company" with new number on housing, how many homes are selling and who is buying, investors or families, question good. and plus, rudy guiliani whether we should treat the boston terror suspect as an enemy combata combatant. lawyer or no lawyer. and this reminds a lot of obamacare, and can gives an
9:56 am
excuse to play nancy again. >> but we have to pass the bill so you can find out what is in it away from the fog of the controversy. @
9:57 am
9:58 am
9:59 am
stuart: a new hour of varney and companies. heads of realtors, second up on now we have your all-important home sales numbers. are we moving 5 billion homes a
10:00 am
year? second away from telling you. giuliani has an opinion and, yes, he is here. ♪ stuart: it is 10:00 o'clock precisely. we are just getting that existing home sale numbers. 4.92. that is not a good number. 4.92 million distinct homes being sold per year in the united states of america. that, by the way, is down from the last figures that we solve which were 4.98. 4.92 again homes on an annualized basis. by the way, the dow jones industrials has lost a little bit of ground since that was
10:01 am
announced. 4.92 million homes. jewels, come into this, please. i think this is a signal that housing is not recovering in the way that we thought. charles: there are still some question marks about it. prices are important, obviously. the initial reaction is right by the market. stuartt we were down .6% month to month down .6%. the downtrend is an important indicator peer we are off 45 points now. come on in, nicole. i am looking at ge. nicole: i want to take a look at
10:02 am
general electric. it has been the number one loser. that is because you now have the analyst jumping on board and ge has now downgraded from a neutral to an overweight. there not loving it. that is why they are doing this downgrade. stuart: that is a big job for a huge stock like ge. i want to move on to microsoft. nicole: it is unbelievable how we continue to watch microsoft with this dramatic move. microsoft does not move like this. there is no way to get a confirmation on this yet. showing a lot of backing. both the what they think about
10:03 am
steve ballmer. we will see what they think about splitting up the company. stuart: believe me, nicole, we will be following microsoft. i have to talk more about this housing number. i will call it negative news from housing. 4.92 million existing homes being sold in america at the current pace. that is down from the month before. down .6%. this seems to be a reversal of the previous of trend in housing and it is kind of bad news for the world market. >> you are right, stuart. stuart: a booming market would
10:04 am
over six again sales. >> exactly. stuart: anything to add, charles? charles: the price went up significantly. also, the amount of time a house is on the market. that is improving. the big red flag continues to be only 30% of buyers were first-time buyers. stuart: they cannot get a loan. they cannot qualify for a loan. charles: in the top one half metropolitan areas, it is cheaper to own and to rent. >> that is the best we have seen in seven years. that is pretty great. [ laughter ]
10:05 am
stuart: here is the question. whether the boston terror suspect should be held as an enemy combatant. >> we are trying to defend ourselves against enemy attacks. you do not give people lawyers. lawyers are for criminal process. you do not have a right to a lawyer here. stuart: very interesting. that was senator lindsey graham. joining us now is rudy giuliani. you were listening to the senate are there. you were nodding your head. >> yes. stuart: let me jump in. this man is a u.s. citizen. is it legit or the executive
10:06 am
branch of our government to say, i do not care if you are and i american citizen, you are in enemy combatant, you do not get a lawyer. >> what they would take out a bus station in new york, would they be an american citizen? no. they would be prosecuted in american courts. there was prosecution of a man who alleged to be an american citizen. they said to heck with that. you went to war with the united states. he was executed within three months. there are very strong laws for the fact of whether you are an american citizen or not, you joined a war with the united states, it changes.
10:07 am
he has the clerk war against us. how close of a connection was this to al qaeda? i think those are tough questions. i hope the administration approaches this kind of with a legal mind, not a political rights. i would like to push everything in the direction of enemy combatant, if we can get there. no time for on it. considering the fact that the obama administration has done away with all kinds of intense questioning, you will need more time. this guy will be treated pretty nicely. you will need time to get the information and to test the reliability of the information.
10:08 am
the idea of worrying about prosecuting him, would not worry about that at all. stuart: he will be found guilty. >> you can prosecute him and at least three places. stuart: supposedly do the exact opposite. can it deliver negotiate, couldn't he say, look, we will not execute you, if you tell us. >> it is a risk.
10:09 am
we tend to mess things up, rather than advance things. [ laughter ] stuart: mayor giuliani says he is and enemy combatants. >> either way the administration can get to that result. i do not know how strong the evidence is linking him to the al qaeda effort against the united states. i would go really far to try to make that case. stuart: eric giuliani, always a pleasure. thank you. we will hear from judge andrew napolitano this hour all. that will be at 10:35 a.m. how about those homebuilder stocks?
10:10 am
nicole: they are down. let's take a look at lennar. it is down about 2.5%. some big moves when you get into existing home sales which are less than analysts had expected. we did get one positive. right now, you can be it is tough to bounce back. stuart: thank you very much, indeed. i want to turn to charles now for a moment. his economy going through what may be called a spring swirled? are we losing ground? this housing development is more news to that effect. where do you stand on this? charles: it is a that the audience should be aware of.
10:11 am
beginning right around this particular date. last year we had a decided swoon . the stock market reaction has been a lot more negative than the actual fundamental news, the actual economic data. gdp was not that bad. all of that stuff did not really justified, necessarily the swoon. growth at 3%. now we are looking at this quarter. certainly glad into percent. we will slow down. to what degree will that be represented remains to be seen. it has been harsh. the last three aprils, right
10:12 am
around this date, the market began serious pullback. stuart: all right, charles. we will listen to you. we have to update you on what happened with the bird flu in china. it is a financial story. now we have 102 confirmed cases of bird flu in china. twenty deaths. a lot of people who get it are not coming in direct contact with infected birds. has it started spreading from human to human? that is a big question that doctors are trying to answer. seems like -- next, my take on the sudden push for new internet sales tax. it reminds me of this. >> we have to pass the bill so
10:13 am
that you can find out what is in it. it needs to be away from the fog of the controversy. ♪ i turned 65 last week. the math of retirement is different today. money has to last longer. i don't want to pour over pie charts all day. i want to travel, and i want the income to do it. ishares incomes etfs. low cost and diversified. find out why nine out of ten large professional investors choose ishares for their etfs. ishares by blackrock. call 1-800-ishares for a prospectus, which includes investment objectives, risks, charges and expenses. read and consider it carefully before investing. risk includes possible loss of principal. we don't let frequent heartburn come between us and what we love. so if you're one of them people who gets heartburn and then treats day afr day... block the acid with prilosec otc
10:14 am
and don't get heartburn in the first place! [ male announcer ] e pill eachmorning. 24 hours. zero heartbur ♪ stuart: profit came in lower than expected. lowering its profit forecast. we use caterpillar as an economic indicator over all. right now, the stock is pretty much flat. not a good forecast.
10:15 am
boeing began installing reinforced lithium batteries. the battery fix will reduce the risk of overheating and help to get the planes back in the air. sony announced a digital broadcast network that will air classic movies. sony has been doing well recently. down $0.32. more maximum pain from the government. we are live at reagan airport. that will be next. you can expect some delays, so quest pain. ♪ ustomized charts with leading-edge analysis tools from recognia so you can quickly spot key trends and possible entry and exit points. we like this idea so much that we've applied for a patent. i'm colin beck of fidelity investments. our integrated technical analysis is one more innovative reason serious investors are choosing fidelity.
10:16 am
now get 200 free trades when you open an account. [ female announcer ] from more efficient payments. ♪ to more efficient pick-ups. ♪ wireless is limitless. ♪ from tracking the bus. ♪ to tracking field conditions. ♪ wireless is limitless.
10:17 am
stuart: why don't we start the week by making some money. to do that, we often call in charles payne. charles: i know they wish they had not spawned them off right now. these chemical places have done very, very well. those are two areas that should do very well. not just for this year, but for the next several years coming. i think the downside is limited. they do report earnings later this week. my longer term target is like a year or two. i love the risk reward on it. it is not as volatile as some of the others.
10:18 am
stuart: eastman chemical. we are following it. maximum pending from the so cluster cuts. it is here. flight delays. how bad is reagan airport. any delays? lori: we have eight delays. none more than an hour long. the largest delay that we do have is to ottawa canada. nationwide, the most significant are coming out of the new york area. stuart: it is very limited pain attributable to sequester cuts at this point. rich: i would say so, stuart. stuart: it is limited pain as
10:19 am
long as it is not you. very good stuff. thank you very much indeed. take a look at the apartment. it is a two-bedroom, two bath in chicago. we want you to guess how much it would rent for. investors are snatching up investors to rent them. wait until you hear how much it would cost per month. that will be coming on this program. ♪ watch out. here it comes. a big new tax that almost all of us will have to pay. it came out of nowhere. here is my take on the internet sales tax. maybe we should run that nancy pelosi soundbite yet again. the one where she says you have to pass obamacare to find out what is in it. we first heard about a week ago. it was not until the weekend
10:20 am
that the details were actually disclose. we have a huge tax increase jet dropped on us with no time for real debate. just like that. you can tell they are desperate to rush this thing through before we all know exactly what it is about. make no mistake, this will be a real problem for the fast expanding on business. you are doing business with every state and city in the land. suddenly, you have to charge the sales tax for what ever jurisdiction you are selling into. you now have to know them all in detail. you have to be the tax collector. if you make a mistake -- do our leaders really believe that another tax will restore
10:21 am
prosody? do they really think that we are so stupid that we will just blindly accept another rush through legislation? a lady stopped me in the street yesterday and said taxpayers should form a union and go on strike. you know, i think she has a point. ♪
10:22 am
thank you orville and wilbur...
10:23 am
...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 everythg from the best experiences below... to the finest comforts above. we're not simply saluting history... we're making it. you are gonna need a wingman. and my cash back keeps the party going. but my airline miles take it worldwide. [ male announcer ] it shouldn't be this hard. with, it's easy to search hundreds of cards and apply online.
10:24 am
10:25 am
♪ stuart: it is a cell. we had a modest rally at the opening bell. that is gone. what is going on, nicole? nicole: it certainly is a nice winter. up over a book. they certainly continue face litigation charges. the company's numbers back came in their top expectations. that is some good news for the company. the ceo saying that customers are ramping up spending in north america. that is what we are looking at. the headwinds are behind them. we are seeing halliburton as a nice winter. stuart: thank you. let's ring in our real estate
10:26 am
guru. we have some pretty bad numbers at the top of the hour on housing. we are selling 4.92 dillion units a year. not good. >> we would love to see it at that 5.5 million mark. however, we have to realize that we are still in recovery. this is not a boom. people need to realize that. fannie mae just came out and said that existing home sales are expected to rise 5.1% this year. prices are going up. there is some good news and housing. we will be bouncing through these numbers, i, for the next couple of months. stuart: you always bring us great pictures of homes that you have for sale. we will start this morning with a out of chicago.
10:27 am
i believe that this is an apartment. it is $680,000 to buy it. let me ask you, how much money per month to rent that things? >> well, this apartment actually is rented. it is rented out for $6000 a month. the mortgage payment would be about $3000 a month. you will have some assessments. you will have your taxes and insurance. you will walk away with a pretty penny on and appreciated piece of party. stuart: this next one is in north miami beach, i believe. it is a house, i think. 1.35 million. what is the rent on that? >> this particular property will
10:28 am
read out for about $10,000 a month. this one is not rented. it is vacant. your mortgage would be around $6000 a month. that particular property is 3000 square feet, four bedrooms, three baths. two if you are an investor, you buy something like that to homes that you have shown us and then rent them out. the profit over and above the cost of the mortgage in the first place. >> here is what i tell people all the time. there are not there many times and real estate were you get an appreciation play as well as a cash flow play. with these prices, you are getting. you will have deductions and everything else on these properties and you are making cash flow every single month. stuart: you are selling your
10:29 am
services, we understand that. this one is from phoenix. $4999. >> this one rents for about $3500 a month. your mortgage payment will be about $1700 a month. this particular home is on an acre with a huge pool. it is a great family home. p2 if you bought this and rented it out, you would get a call in the middle of the night, there is a snake in my swimming pool. >> that is why you have a good property management company. stuart: we thank you. thank you very much indeed, tonya. that, just napolitano weighs in on the question, should the boston terror suspect the treated as an enemy combatant? lawyer or the lawyer?
10:30 am
10:31 am
10:32 am
10:33 am
stuart: two companies, two stocks in focus this morning. one of them is up, one of them is down. the position of the ceo is open to some question. first of all, general electric down very sharply today. are you saying just a mouth position as ceo is in some doubt
10:34 am
because the stock has done nothing during his tenure? charles: he took over september 7, 2001. i now have been through a lot of bumps and bruises, but the company that has the most global footprint of any company with the largest, largest market cap of any company in the world for a company legendary certainly has not been legendary. stuart: do you think it's ph were to say i am stepping down, have to find somebody else, ge's stock goes up? charles: if there was an orderly transition, to be 10% to the upside. stuart: now let's move on to microsoft. that stock is up today, significantly so. very close to $31 per share. 3.5% gain. there is a large hedge fund is reportedly taking $2 billion stake in microsoft, and there is
10:35 am
some talk that steve ballmer, longtime ceo, may break the company up which may imply he is going away from the top spot in all the broken up companies. liz: microsoft has had a lost decade. breaking u it up into three different companies. the offices and xbox, microsoft has a great xbox department. stuart: the windows deal would essentially be utility. charles: you talk about somebody hated on wall street. you have to talk about the old days, almost impossible, but on top of it, he has no imagination. he is a good operator, but what imaginative like they lost their magic overnight.
10:36 am
move out of the way. stuart: if there is a formal announcement by steve ballmer. charles: that stock goes through the roof. liz: lost a sense of the startup. stuart: small point of interest, i do own the stock but i cannot retire until it reaches $530 per share. we spoke yesterday with mayor giuliani. should the public treat the bombing suspect as an enemy combatant. now let's hear from judge andrew napolitano. >> look, constitution is the supreme law of the land. very dangerous times we talk about suspending constitution because the gravity of the harm and obviousness of the guilt. he is allowed to the full
10:37 am
protection matter who he has harmed or how much suspicion he has roused. if i was pretty giuliani, h he's not just a former mayor of new york, former u.s. attorney, district of new york in a serious student of the law, unlike a lot of public officials today. their argument is supposed he was trained by foreign government and was their agent and did this as the agent of a foreign entity, al qaeda or a foreign country that wish to bring down american society. what is the difference if you did that in uniform or out. that is their argument. the governor of massachusetts, the state police chief of massachusetts, the commissioner of police in the city of boston and the mayor of the city of boston have all said there is no evidence these guys had any involvement with any organized groups domestic or foreign.
10:38 am
they don't need to talk to him in order to obtain evidence. they have mountains of evidence, thousands of pages of documents. stuart: you get tremendous amount of work if you talk to him without a lawyer. >> they know a lot more about him than he will tell them. if they waive his constitutional liberties, there is no limit to the constitutional liberties of others. charles: if he had a couple of like-minded buddies, we already know him two that? how can we not know that without asking him? >> how can we trust what he is going to say to be helpful to us when he is sedated, a bolus just went through his neck trying to
10:39 am
save himself. stuart: we are clearly in a war. >> but we still have a constitution. stuart: world war ii, whatever he did, there were people who came to the country come american citizens not in uniform, they did not get memoranda warnings and one of them was executed. >> they were all executed except the american. there was a trial, was not a trial but our standards, but an in-depth comparison. we have declared war on germany, these were german soldiers who came in uniform and got out of uniform and invaded the united states of america. this is an american citizen who did not leave the united states, won't speak of the dead brother,
10:40 am
the one we're talking about, he is the same protections as you or charles or rudy giuliani or anybody. the president is not in a position to strip those rights. stuart: i want information. >> i want that information as well. stuart: if he gets a lawyer, we won't get that information. >> we will, the volume of information already have would fill this room with documentation. stuart: we don't know what they could get out of him. we don't know what we could get out of him. >> the fifth amendment prevents us from getting what he wants to get out of him. if you want to suspend his right, there is no limit. stuart: it is the lawyer that will stop us from getting what he wants to know. the first thing the lawyer must do is tell his client don't say a word.
10:41 am
>speaker that is what i would tell you if i was your lawyer. it is your show. liz: i am not sure the evidence is all in on this one. stuart: thank you. look, news alert. obamacare, san antonio-based eye doctor was life treating two twg doctors are literally walking out of this talk of implementing and complying with obamacare. we are men and women of the mind, not mindless drones. from an eye doctor. two more examples of what i'm calling the unraveling of obamacare coming from key supporters of the president. ing] ♪ [ indistinct shouting ]
10:42 am
[ male announcer ] time and sales data. split-second stats. [ indistinct shouting ] ♪ it's so close to the options floor... [ indistinct shouting, bell dinging ]'ll bust your brain box. ♪ all onhinkorswim from td ameritrade. ♪ how old is the oldest person you've known? we gave people a sticker and had them show us. we learned a lot of us have known someone
10:43 am
who's lived well into their 90s. and that's a great thing. but even though we're living longer, one thing that hasn't changed: the official retirement age. ♪ the question is how do you make sure you have the money you need to enjoy all of these years. ♪ stuart: gas prices rose just a little bit overnight. national average still $3.51. down a penny from last week put up a little overnight, interesting. the price of crude oil, $87 per barrel. keeping a close eye on gold at the price plummeted last week. they bounce this morning. existing home sales numbers came out down .6% month-to-month but
10:44 am
economists blame the lack of supplies in the marketplace. down to 4.92 million units. to the big board, bit of a selloff this morning. a modest rally, now down 72. apple barely recovering, 3.94 this morning.
10:45 am
10:46 am
stuart: we told you earlier you can expect some delays today because of sequester cuts affecting air traffic controllers delays about an hour in and out of newark airport. charlotte, north carolina, half-hour delays, sequesters being blamed. la guardia delayed on the porch of the two an hour. wind is blamed there as well as sequester. charles has an update on a disaster, take the disaster first. charles: one hour delay at newark is called monday. the disasters, you are right, your gut feeling is right on the ambulance chasers. they came up amazing numbers on friday, the stock was absolutely devastated you cannot even tell right now. it took a huge hit.
10:47 am
stuart: have you abandoned us? >> i didn't want to take as much of a hit. stuart: how about the winter you want to attract? charles: i have done on the channel sometimes this year, we did at february 2 it fell, i would take that here, the pullback continued all the way back to $40. stuart: we hear you. you're an honest man. an unintended consequence of obamacare, the brother of chicago mayor and former obama chief of staff rahm emanuel is a doctrinadoctor and has this to t the law. >> the first year is filled with uncertainty. nobody including the insurers, federal government knows how many people will come in, will there be a broad representation
10:48 am
of people uninsured or only the sick who go in. stuart: joining us, an opponent of obamacare. your take on his statement right there. >> zeke is trying to bamboozle us. it is the uncertainties of the law driving up the premium. insurers are forced to cover things in general they didn't cover before. if congress passed a law auto insurers had to cover wiper blades, you'd see kars car insue go up as well. the very sick need 17 times as much care. if you want to go for coffee every night and split the tab one night 12 came around and got a 12 course dinner, would that push up the tab?
10:49 am
$100 billion in taxes on insurance plans over the next decade, that alone $900 per year to the cost of somebody buying a family plan. it is uncertainty, but it is not the uncertainty bringing up the premium. liz: i hope obamacare covers the cost of your back care. >> three times as big as immigration bill. liz: what is uncertain is the cost to taxpayers right now for health insurance. >> it is going to be a roadblock of immigration reform because legal immigrants are eligible for taxpayer-funded private health plans the minute they arrived in the united states, and once it is immigration reform goes through, will add
10:50 am
$100 billion in the next decade. stuart: said the implementation is a train wreck. >> it is an apt description. from monday opening on insurance debate, to total chaos. the department of labor had to alert employers do not send out letters to talk about the exchanges. stuart: are you sure this will be an absolute mess? no way around this? >> i would take it from senator baucus. stuart: must be very careful how you lift. >> it is amazing, isn't it. stuart: thank you very much indeed.
10:51 am
a way to cut down on the government massive debt, we will tell you just how much money the government could bring in next. for seeing your business in a whole new way. for seeing what cash is coming in and going out... so you can understand every angle of your cash flow- last week, this month, and even next year. for seeing your business's cash flow like never before, introducing cash flow insight powered by pnc cfo. a suite of online tools that lets you turn insight into action.
10:52 am
10:53 am
10:54 am
stuart: police are searching for two suspects after a shooting of the 420 pot rally.
10:55 am
two people injured, this was an event to celebrate legal marijuana. one study shows the total benefits to state and federal government is around $20 billion, they get that through tax revenue coming in and less spent on law-enforcement. i don't necessarily want to deal with $20 billion, but when you dangle big dollars in front of state governments, they will go for it. before i don't think the study noted out the needs for the law to pay for them to collect the tax. once they see the great texas going on, marijuana leaves to eating junk food, have a snack tax leading to even more money.
10:56 am
stuart: it will be fully legal to anybody on the streets a year from now, 2014, the prices are coming way, way down. i don't know what those prices are, but they are way down because it is legal, you take the criminal penalty out because that is what it is. charles: a lot less kids going to jail, that is the social benefits. stuart: "the highlight reel" coming up next. you hurt my feelings, todd.
10:57 am
i did? when visa signature asked everybody what upgraded experiences really mattered... you suggested luxury car service instd of "strength trainin with patrick willis." come on todd! flap them chicken wings. [ grunts ] well, i travel a lot and umm... [ male announcer ] at visa signature, every upgradedxperience comes from listening to our cardholders. visa signature. your idea of what a card should be.
10:58 am
stuart: a big day, a big highlight reel. roll it, please. >> whether you are an american citizen or not, if you joined a war against the united states.
10:59 am
>> i hope the administration approaches this with a legal mind, not a political mind. there is no limit to the constitutional liberties. the fifth amendment prevents us from getting what we want to get out of him. stuart: all right. it boils down to a valued judgment. it will have to be made by the people sitting next to me. charles, should he be duke laird and enemy combatant? charles: i would say yes to liz? liz: yes. stuart: doesn't bother you that we would beat their oil, at least temporarily the constitution


info Stream Only

Uploaded by TV Archive on