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tv   Countdown to the Closing Bell With Liz Claman  FOX Business  December 28, 2016 3:00pm-4:01pm EST

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. >> that was a quick break, i'm back filling in for neil cavuto on fox news channel. tune in at 4:00 p.m., i will be there today, cheryl casone in for liz claman, over to you down at the exchange. >> we're going to try to turn the markets around. going to be tough. the march to dow 20k is slowing on the floor of the new york stock exchange. got to be honest. markets in the red right now. the dow near session lows, at 19,848. we shall see. a lot can happen in an hour. we shall see. the street awaiting new statement on the economy from president-elect donald trump that could come as early as an hour from now, of course, we're going to take that statement. and go from wall street to capitol hill. secretary of state john kerry warning the future of middle
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east peace is in jeopardy and a fiery speech, he defended the obama administration's policies for israel and the palestinians. backlash from the jewish state and america's incoming president seemingly boiling over with the white house. mr. trump calling out president obama and the u.n. in a new series of tweets promising change after january 20th. we'll talk about it. in jerusalem, you may have seen, this prime minister benjamin netanyahu issuing his own televised statement condemning mr. kerry's comments as anti-israel. a lot of back and forth between ourselves and israel today. back on the home front, though, amazon facing off against law enforcement and bentonville, arkansas. the online shopping giant echo device and alexa feature seen as the key to solving a murder. why isn't amazon going to help the police out? the right to privacy versus public safety debate.
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i'm cheryl casone in for liz claman on the floor of the new york stock exchange. let's start our "countdown." breaking news -- wall street losses actually accelerating. less than an hour to go until that closing bell, and it's been a rough day for the markets. started in the green, 9:30 a.m. eastern time, sentiment going away. the sales number, negative number for the year. that took the sheen off of the markets today, and one point the blue chip was only 18 points away from yes, 20,000. the hopes of dow 20,000 slipping away in the last hour. we shall see what happens. what's dragging the dow lower? big names, caterpillar, intel, american express firmly in the red, and yesterday's big
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performer losing glimmer today, graphics chipmaker, worse performer after short seller citron slammed the stock saying it is headed to 90 bucks next year. flipping over to a name posting blockbuster gains, take a look at, i love these guys, shares of kate spade jumping 22% after the "wall street journal" reported the hand bag and accessories maker is working with a bank to look at possible acquirors. kate spade may be up for sea. we shall see who the bidder will be. let's bring in floor show. we've got traders in the new york stock exchange and the cme group. teddy weisberg here with me at the new york stock exchange. it's been a while. i thought you didn't like me, i guess you are back. light volume. i wonder if this is a sign with the resistance to 20,000, talking about a president coming in and having the
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president make the change as he promises, is there nervous balance president-elect trump? >> always nervousness when we change personalities, the market is on a tear since the election. perhaps it's a little geopolitical stuff today. who knows? we can give a little back. i remember it took 12 years for the dow to get to 1,000 going from the late 60s up to 1980. not going to take 12 years to get on 20,000. it will happen when we're not looking. >> then you remember, it took about a month to get from 10,000 to 11,000, that was a slow slog. this wait and see, wait and see on a day-to-day basis. looking at real estate and technology, do you look at the sectors and say i know real estate is going to do well, technology, i'm thinking you're buying something because the
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market is coming back? >> you have to look longer term. i think the election was a game-changer, interests work higher and a lot faster than people think, i think it's the same sectors, the financials, the insurance companies. and i think this change that we're going to go through is not a couple of months, it's going play out over five or ten years, i think we're going to the other side of the mountain. connell: >> that's good we like that, and the financials have had a big move, i think we're at the beginning of that. >> interesting you bring that up. i want to go to alan knuckman at the cme. goldman sachs, the 1600 points gained in the dow have been goldman sachs. the three potential interest rates, we could be facing next year. some say not worried about it, some say could this be a problem for the economy. what do you say? >> i'm not so much worried about it. i agree with teddy, the financials have upside.
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they recently passed the halfway recovery point from the 2007 highs and the 2009 lose. they have a lot more upside potential, and i think they're getting a bounce because we're seeing oil stabilize, that's one sector holding the banks back because they had a lot of exposure and there were bankruptcy concerns. that is alleviated, higher crude prices help out the energy stocks, some of the sectors have more upside. >> oil going towards 54. you got higher oil, might have higher gasoline, i worry about the small business. that's just me. guys, thank you very much. teddy and alan, thank you very much. >> happy new year. >> happy new year to you, we got two more trading days. >> maybe for you. i'm done. >> teddy is out. drop the mic and go. good to see you. let's move to other big headlines we're following today. big news day, in fact. a war of words erupting between u.s. secretary of state john kerry and israeli prime
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minister benjamin netanyahu. kerry addressing reporters at the state department playing in an animated way whether the u.s. chose to abstain during the recent u.n. resolution vote. netanyahu wasted no time responding. listen to all this. >> i know that the incoming administration has signalled that they may take a different path, and even suggested breaking from the longstanding u.s. policies on settlements. jerusalem and the possibility of a two-state solution. that is for them to decide. that's how we work. but we cannot, in good conscience do nothing and say nothing when we see the hope of peace slipping away. >> we're not about to be swayed by mistaken policies that have caused great, great damage. israelis do not need to be lectured about the importance of piece by foreign leaders.
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>> joining us to weigh in what he makes from the comments from kerry and netanyahu, jamil jefford. i want to start with secretary kerry, we'll get to netanyahu. secretary kerry was incredibly bombastic, defensive, defending himself, his boss, is he worried about his own legacy in the middle of all this? >> no doubt, cheryl, thanks for having me. no doubt they are trying to defend the legacy. the administration and israel has been a disaster the last eight years, he backed the effort to achieve middle east peace and recriminations why that, and you see the secretary of state defending himself. this is a large part to pursue aggressive policy against isil and getting peace to the middle east. they haven't done that and looking to blame everyone for the problem. >> interesting secretary kerry
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kept talking about the presidents of other managers but this administration, the israelis said we've been dealing with this for eight years and feel shut out, netanyahu was snubbed by president obama when he came to d.c., wouldn't meet with him. do you think there is more to repair the hand at task for president-elect trump considering the rhetoric we heard today? >> there is no doubt it's going to be a hard process to repair the relationship. a strong relationship historically. we need to return the strong relationship. without a strong relationship between the united states and israel, we're not going to get to middle east peace. in the last waning days of the administration, it's shocking to hear this aggressive turn in the administration's policy that really, when they're at fault for this complete failure of policy, and it's really concern. >> benjamin netanyahu, a historic figure, shimon peres and netanyahu running the
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country together for so many years but seems to be dissent within the israeli government when it comes to netanyahu. he does have his foes. is that a problem for him as he ramps up this anger toward the 12 nations? >> netanyahu is a controversial figure here in the united states and abroad. the truth is he's a strong leader for israel and fighting for what they see as play in this effort, and there's nothing wrong with that. the reality is the u.s. has a role to play but a constructive role, bring the two parties together and find the vital center. the problem is this administration had a polarized view and impossible to get a deal if you have polarization one way or the other. that's exactly what they're doing here in the waning days of the last three weeks of this administration. >> i have to say president-elect was on twitter, which has become a normal occurrence on a daily basis. you probably saw it, we cannot
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let israel to be treated with total disdain and disrespect. they used to have a great friend in the u.s., not anymore, the beginning of the end of the iran deal. now january 20th fast approaching. if he's going to be so pro-israel as that tweet seems to say, does the president-elect have any chance of brokering peace between the israelis and the palestinians. if the settlement stops we'll go back to the table. does trump get in the middle of that, do you think? . >> the president-elect h run the policy the way he wants to. in order to make peace in the middle east, you've got to find the vital center and for the president can't be vital to one side or the other, if he's going to make a deal. other president views it the other way. donald trump made it clear, he intends to change the current u.s. policy. that doesn't mean you meet in the middle. there is a chance for middle east peace, if donald trump can
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do it, that's great, he's a deal maker, let's see him do it. >> what gives me positive feeling donald trump has a reputation he's very measured when you are in a room with him and takes all sides into consideration but he listens, maybe that will be an asset after january 20th. seems to be so far. jamil jafr, thank you. >> you're welcome. >> you want to keep your televisions on "countdown" tomorrow, guess who's coming back? she's back. liz claman fresh off a trip from israel. joined in an exclusive interview by former ambassador to the united nations, he is going to talk to her where he thinks the relationship between the u.s. and israel and unis headed. liz was in jerusalem getting introduce. so much to tell you about tomorrow. closing bell is ringing, we are about 50 minute away.
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we've got some other thing we're looking at today. travelers, one of the few names making investor money. the insurance giant one of the star performers since trump's election victory surging 15% since november 8th. and winter has come early for hbo's parent company time warner for the second year in a row. "game of thrones" took the top spot as the most pirated show of the year. i don't get it but you all love it. and "the walking dead" coming in second place. time warner amc entertainment, both lower today. coming up next, deregulating america. incoming president donald trump made it clear rolling back regulation says on the top of the agenda and the controversial dodd-frank could be one of the first to go. what will this mean for the future of wall street? we're going to talk about it. your insurance company
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liberty stands with you™. liberty mutual insurance. . cheryl: well, welcome back, delta air lines has officially canceled order for 18 boeing 787 dreamliner jets worth $4 billion. they were all for the order but nicole petallides at the delta air lines post.
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she's got more on the story. not good for them. >> reporter: that's right, not good news for boeing. delta says no, thank you, boeing, i know we acquired northwest back in 2008, and part of that deal was getting this order for boeing planes, 18 787 dreamliners, they canceled. that they're going to continue to have wide body aircraft from airbus, 25 over the next decade but the truth of the matter is they don't want this part of the deal, and so they're bailing out. one of the reasons that some of the airliners just don't want to increase their fleet is they still face high costs, airfares which they are not able to raise, and so a lot of the airlines are not rushing to order new planes. so with this cancellation we've seen boeing down and delta is lower today. boeing, i will note is the
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third best performer for the dow behind only goldman sachs and jpmorgan. boeing doing all right in the back half of the year. delta is down 1.5%, cheryl? cheryl: made sense, northwest did it years ago, you can't blame delta, good for airbus. nicole, see you towards the end of the show as we see you on the floor of the new york stock exchange we are live for "countdown." looking to ramp up our economy, president-elects trump pledged to roll back regulations strangling businesses, financial reform law dodd-frank, is that going to change? fox news senior business correspondent in washington, d.c. for us, peter barnes. >> reporter: president-elect trump said that president obama's financial reform law and regulations hurt economic growth. >> dodd-frank has been a disaster making it harder for small businesses to get the credit they need. >> we have to get rid of dodd-frank, the regulators are running the banks.
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>> reporter: mr. trump and republicans in congress want to repeal and replace dodd-frank which president obama signed into law after the financial crisis and billions in taxpayer-funded bank bailouts. it put limits on riskier bank activities such as trading in derivative securities, created regulatory bodies including the consumer financial protection bureau and beefed up powers for the federal reserve and other agencies, earlier in transition, mr. trump's transition website said the dodd-frank economy does not work for working people. bureaucratic red tape and washington mandates are not the answer. generally republicans have favored increasing bank capital as part of replacing dodd-frank, bigger cash cushions to absorb bank losses from mistakes, dodd-frank reporters caution mr. trump into rolling back the law. >> dodd-frank came into place after one of the worst
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collapses in decades there. was lacks regulation, that the banks were getting away scot-free and there rules on the books for citizens to protect savings, to protect mortgages and main street americans suffered. >> reporter: mr. trump may not favor total deregulation of banks, in october he criticized president clinton's reform of the glass-steagall act by spinning off banking operations, mr. trump supports a 21st century version of glass-steagall. back to you. cheryl: so much to follow. peter barnes out of d.c., thank you. we've got the closing bell ringing, about 40 minutes to go. you know most of you have bought an echo from amazon over the holiday. but can the echo and alexa the digital assistant solve a murder? police in arkansas say the answer may be yes. why is amazon refusing to help the police? fox business' jeff flock is on the case for us.
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and a busy day for donald trump. the president-elect expected to make new comments on the economy in the next hour. we're going to be listening. a potential roadblock on cabinet pick hurt mr. trump's plans to kick the economy into high gear. we have a political panel tackling that question and a lot more. "countdown" is live from the floor of the new york stock exchange. we're coming right back.
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cheryl: all right, we're getting some breaking news on the floor right now. japan's troubled auto parts company takata, we're told is nearing a settlement with the u.s. department of justice. this would resolve allegations of criminal wrongdoing how they handled the rupture-prone airbags linked to several deaths and injuries. the agreement expected to be reached next year, they would pay up to one billion and agree to criminal misconduct. it may take a little longer to
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reach a final outcome but that news just breaking. wanted to bring that to you. >> in this news we're following. bentonville, arkansas detectives are asking for a recording to solve a murder. victor collins was found dead in a hot tub at james bates house and alexa was in the room the whole time, may provide some clues what happened. a warrant was issued but amazon actually refused to comply. jeff flock joins us with the late on the case. here we go again with privacy versus safety. amazon is saying not so fast. reporter: major can of worms on this one, cheryl. no easy answer to it. i suspect we'll get one, but case of james andrew bates. he had a fellow, friend allegedly turned up strangled and drowned in his hot tub. mr. bates has been charged with murder but they have mainly circumstantial evidence.
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they want a subpoena a lexsa she's the voice on that amazon echo. you know you ask things like, you know, who won the world series in 1963, and how do i drown a guy in my hot tub or something like that. at any rate, that stuff is recorded when you have a conversation with alexa. that goes up to the cloud and the folks in arkansas would like to have access to that. amazon says no. here's their statement, just so you know where they stand. amazon says it will not release customer information without a valid and binding legal demand properly served on us. they object to overbroad or inappropriate demands. this could have a big impact on the sales of the echo. that is because if you think, well, it is listening to you all the time, which it is not -- it is listening to you all the time. i should make that clear. this is how the echo works. it listens all the time and records last 60 seconds to what you said. it doesn't transmit that to the cloud, when you say alexa,
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listen, that is what it starts transmitting to the cloud. that what they like access to as well as the last 60 seconds hoping there is something there that would be evidentiary as well. but at this point, no to from amazon and prosecutor tells fox business this afternoon, it will have more to say about this later today. cheryl? cheryl: we know he is going on trial next year. jeff, did you say alexa, how do you get a guy in the hot tub? is that what you said? reporter: kind of like siri, hey, siri, let's see, siri, how do i drown a guy in a hot tub? cheryl: test that out. not for real, i'll call you later. thank you, sir, jeff flock. cheryl: thanks, sir. closing bell, we have ringing with 32 minutes to go. it started out as cordial in
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oval office meeting a few weeks ago but the battle between president obama and president-elect trump and he is accusing president obama of creating road blocks in his transition. we have latest from the beltway. disney facing very sensitive production problem for the "star wars" franchise after the tragic passing of actress carey fisher. how disney plans to fill the unfillable void of one of its biggest stars. more "countdown" on the way.
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♪ cheryl: well, the count down to the white house is now on. 23 days until the trump team officially in the white house. the president-elect is able to get to work. it has been a revolving door of guests stepping foot in mara --
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mar-a-lago. it is never boring where you're watching donald trump. reporter: cheryl, especially right now we're waiting announcement from the president-elect we're told it will come here on the economy. the white house press secretary earlier today, sean spicer would not elaborate what the announcement will be about. we expect to hear in the next hour or some only to say that the announcement would be quote, very positive for american workers. so we await to see that. as you mentioned, cheryl, meetings are continuing at mr. trump's florida transition headquarters. once again here there is a theme involving ceos and heads of business. for example, today alone the president-elect has met with david rubenstein of the carlyle group, that being a large private equity firm. ike perlmutter, ceo of marvel entertainment. those on the meeting list, reporters spotted some key health care executives.
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dr. john knows worthy of the mayo clinic and paul rothman of johns hopkins as you can see walking out of the front doors there at mar-a-lago today. meantime the president launched a new attack at president obama early this morning who suggested last week he would have beaten his successor in a heads up race. here is what mr. trump tweeted, quote, doing my best to ignore president's inflammatory statements and roadblocks. thought it was going to be a smooth transition, not. just there at the end to clarify. we're awaiting a message on the economy. cheryl expect at some point we believe it will be in the next hour. back to you. cheryl: they started off getting along for a few days. reporter: a few weeks there. cheryl: blake burman in d.c. for more on the rift between our president and our president-elect, bring now in democratic strategist and
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fox news contributor julie roginsky and republican strategist adam goodwin. julieer this kind of sort of getting along. it is over now. is this politics as usual in a transition year? is this unusual? >> it's a little unusual. usually you have presidents trying to work incoming presidents trying to work with outgoing presidents a little more cooperatively i guess behind the scenes but this is an election unlike any other we've ever seen. looks like transition unlike any other we've ever seen. cheryl: we'll see what the tweetses say later today. >> exactly. cheryl: adam, as blake burman mentioned we'll hear from donald trump a statement about the economy. that is all we know. any guesses what you think he will talk about today? >> well you know, he said, cheryl, from the very beginning, the words invest in america that means something again. that really translates as investing in american workers. i think we'll see a lot of those
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kind of announcements leaning into and certainly well beyond transition. it is very interesting in the comments, in the review before we came on talking about the words smooth transition. look what happened, cheryl. 2016 was a year of political transformation. 2017 will be a year of government transformation. it is real change. where the status quo will be challenged. mediocrity will be challenged and seeing a lot of discomfort with the ship of state moving in a different direction. i think something americans voted for and they're cheering for. cheryl: we'll see what he says, julie, but at the same time as we were watching donald trump assemble his cabinet team, there was speculation he would be a little bipartisan to bring in some from the democratic side. he is almost done. anything left is a undersecretary position. is there any resentment from democrats that he didn't reach out more? >> i don't think there is any
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resentment. he would drain the swamp of lobbyists and goldman sachs guys and ceos. looks like the swamp is being refilled. same goldman sachs guys, different faces. same washington bureaucrats. the same ceo's of oil companies that we've seen in the past. so i would at least like him, forget the democrats. i would like him to live up to the campaign promise and drain the swamp quickly. cheryl: the market likes donald trump as president thus far. not liking it as much today for 20,000, adam. but at the same time, what is so interesting, when you look at donald trump who he picked, all outsiders. he said he would drain the swamp. he did say he would clean out dirt of washington. he is bringing high-profile business guys who have their own scars to bear. is that going to be a problem for the transition and will that be a problem as we start reviewing candidates next year? >> great question, cheryl. two things. you're talking about a lot of men and women incredibly accomplished at highest levels
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of business in the world. these are high achievers who are used to dealing with crises and challenges 24/7 but to borrow from my good friend doris kearns goodwin in her book, team of rivals, what you will see here will be an assembly of achievers. that is how i think these cabinet members will be remembered. i think the country should look forward to people of great quality and achievement who have the ability to bring it. i think urgency of points, made an issue in the last 24 hours, that's good. full and open debate and discussion will get us where we need to be but i think the president-elect will depend a lot on people that really demonstrated they can perform at highest levels. cheryl: i don't know about you two, i don't think i've ever been so intuned and excited about cabinet picks in my entire adult life. here we are. good to see you both. >> thank you. >> closing bell will ring, we have a good 22 minutes to go right now.
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we'll not make dow 20-k you know what? you never know what happens in 20 minutes. somebody could buy somebody. stay with me. president-elect trump talking about the economy in the next hour or so, but here's a question. will a strong u.s. dollar derail a manufacturing renaissance in the united states before he can even get his administration off the ground? there is a new money problem facing incoming president are real. could be facing your investments. "countdown" will be right back. your insurance company
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call for a free quote today. liberty stands with you™. liberty mutual insurance. cheryl: well the force is dark today as the world mourns the death of act crest carey fisher, best known as her role of
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princess leia in the iconic "star wars." fans expressing condolences to the actress's family, particularly her mother, debbie reynolds. if you're die-hard "star wars" fan and you're wondering about continuing the franchise, she completed the next film. the latest film will not be compromised because of her sudden death but questions remain on subsequent films in the franchise that were also supposed to be with his character. there is never another princess leia. this is tough on the disney family says bob iger of the loss. weak home sales data as it advanced for the second straight day and trading at 14--year high, you would think that would be good. since august, the greenback has gone up ten% on fears of inflation. this could threaten president-elect trump's manufacturing renaissance.
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this could be a problem for him, an unforeseen problem. with a stronger dollar that makes u.s. exports more expensive. that's an issue. are you with me, sir? can you hear me? >> yes i am. i'm sorry. hi, cheryl. i don't glob it will be as much of an issue as people think it is. i get this question a lot from ceos. they find out quickly it is not as simple as the dollar against the rest of the world. when you talk to the cfos and ceos, they talk about currency not just one way dollar against everybody else. they have lots of implications all over. what they try to understand where all these currencies could be impacting them. now when you start talking about ceos and cfos in the united states specifically certainly remains a topic but you're getting for example, people say well, maybe the dollar will strengthen against the euro but g, so
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not quite simple. then obviously president-elect trump has other things which may complicate this further that could well offset the dollar strength such as tariffs. cheryl: let me ask you about china particular. that trade relationship, he made very clear he is not happy with the relationship with china particular, and he has that, and an independent england to deal with in the next year, depending what happens with "brexit." what does it mean if we do have a stronger dollar? maybe you get a weaker chinese currency. what does that do for us, what does that mean for him? >> so the number one thing the united states has been trying to do for years they have been trying to get chinese to unpeg the currency. they have been loosening and slowly depreciating their currency. in 2015, it was roughly 4%. in 2015 it was another 6.8%. so they are already depreciates it. i think the president-elect trump and this current administration really wanted it to unpeg and go down quicker,
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that is the issue they have and that's what they're trying to achieve. cheryl: trying to find positive with stronger dollar, cheaper to travel around the world if you're an american getting on a plane. could be good for retail sales in particular, we shall see with a stronger dollar in your pocket if you're american. we'll watch the currency as well. thank you, sir. >> you bet. cheryl: well, we're sitting, we're down 107. the session low is 114. is it me? i think liz claman needs to come back tomorrow. she can do dow 20-k i think i'm missing it. anyway, closing bell will ring with 14 minutes ago. investors may not have found gift of dow 20-k under the tree. we still have a time to ring in the new year in style. our panel weighs in on the battle for 20-k as we count down to new year's eve. keep it right here, fox business.
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cheryl: all right, we've got
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closing bell ringing but we're getting breaking news on cbs i want to bring to you right now. this is pretty darn interesting, folks. bring you news on burke ramsey. this is jonbenet ramsey's brother. he filed a $750 million defamation lawsuit against cb. s for quote, perpetrating fraud on the public. there was a special cbs had done, the case of jonbenet ramsey. they aired it earlier this year. a lot seemed to point to him. let's be honest. he has filed a defamation suit against cbs. the stock is up 3.-- 37.5%. that news crossing, jonbenet ramsey murder. still captivating folks. we have a lot going on. one gal i've been spending my afternoon with is nicole petallides from the floor of the new york stock exchange. when we make it happen, not today. >> definitely not today. we're up 112 points -- down 112
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points. dow 20,000, forget it today. a lot of traders say maybe friday. people adjust portfolios and addressing last minute cash for window-dressing. bring attention to coach and kate spade apparel. kate spade was halted twice out of potential idea, from activist pressure they will have a sale. what happened was, coach also got a pop on this one. interesting. wells fargo thinks this is good idea for some branded names as phillip van heusen and vf corp. they may be looking for a brand like kate spade. cheryl: michael kors, lvmh. so many companies globally. >> they could use a great brand like that. as a result, we saw kate spade soar. coach is higher. coach still a winner. we'll watch what happens in the hot little retail. cheryl: it is handbags, accessories, shoes, we know very well. >> right.
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certainly one to keep an eye on. cheryl: nicole. thank you very much. see you later. closing bell, she is always here for the closing bell. not hitting it today. but re are looking at dow. we've slipped away further from the 20,000 mark. pressure from real estate. technology hitting markets today. remain shy at history-making level at least for now. investors watching a few things and focusing on 2017 overall. bring in james investment research and cio barry james. and mark lehman. the confetti is ready. it might be used for new year's eve frankly if we don't get the 20,000 number. barry, second highest level on the dow. there seems to be real resistance to hit that level. what is behind this? >> i think it has been the strong run we've had. the s&p is up about 9% from the election time. and it is only natural for the market to have a little bit of a pull back. also, a lot of folks taking whatever losses they can this
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year because they may not be as worth as much next year with tax cuts. i think that we're in a hope rally. it's strong. these tend to happen after elections going back to 1952. you get strong rallies up through the end of january. we're just in this. you tend to get a bit of a settling after that. i'm not really worried about this level. i remember back in 1980, we said dow 3,000 when it was 800, and people thought we were crazy. we'll hit 20,000, but probably slow down especially for large stocks. we think small stocks are the place to be. cheryl: only two trading sessions after today. then 2017 mark. one of the things we've seen, especially november, we saw huge influx into stock funds. average american, we finally see that momentum. is that the turning point for you, big rotation out of bonds into stocks? >> i think one of the themes we saw after the election. it will continue through '17.
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people are underexposed to cash equities. they have been for some time. i there is reason for that. through the crisis of' -- '08. people are spooked by the market. looking at fresh perspective that can be powerful for the investors over all through the 2017. cheryl: barry, naysayers the market has been riding on the trump train and too early to tell what the president-elect will be able to actually do once he gets into office. he has a lot to figure out. do you think that is a risk in the first quarter for stocks? >> it's a real big risk. as we've already seen with lockheed and boeing, when he talks those stocks move. we look at monetary risk and
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valuation risk. one thing adds volatility along with anything comes out of washington that isn't expected could definitely cause prices to move quite rapidly. cheryl: mark, a lot of overall talk about the economy as well, if the economy grows 3, 4%, if steve mnuchin said repeatedly on fox business network that is his top priority. if we get that, where could the market go for 2017 for a one year period? a lost viewers are looking long term? they're looking not at tomorrow but end of next year? >> that is a high bar. all eyes are focused on that. the administration as well congress focused on pro-growth agenda. we talk about that before. if you see visibility, we're seeing acceleration in the economy. i think you will probably see an acceleration in investment in the markets we talk about. you could see the market up 15, 20% in 2017. that will be combination of
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acceleration and growth and hope. those two things will be very powerful. you're setting yourselves up for a lot of expectations. but combination of what i described could lead towards a terrific 2017. cheryl: ready for more surprises. lord knows, 2016 is biggest surprise. barry, james, couple names throw them out there before we let you guys go. barry? >> i'm sorry. yes, i would like a couple small stocks in bargain areas, telecoms and discretionaries. vonage, big lots, aaron's. all small. we think small is way to be next three years. be overweighted in small cap stocks and bargain securities. they have been lagging most of 2016. they're the place to go. >> there you go. barry james, mark lehman. keeping it positive. guys, thank you very much for being here with me. didn't happen today.
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-- fox business, all three indices ending the day in the red. [closing bell ring] what will tomorrow bring? it will bring back liz claman from israel. maybe she brings us with 20-k. melissa francis and david asman for the "after the bell." >> market seeing the biggest drop since federal reserve pulled trigger on interest rates. i'm melissa francis. rough day in the market. david: seemed to go down when kerry was talking about israel. this is "after the bell." thank you for joining us. i'm david asman. we have you covered on big market movers. here is else we have for you. donald trump back to work at the mar-a-lago resort. we're awaiting a announcement from the president-elect. this hour we bring it to you. don't want to miss it. tensions escalating between israel and obama administration


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