Details, they develop, well get them to you. In the meantime, we turn to the marketsws. Call it a summers rally at the end of summer. Whatever your view, surely youve got an opinion on the market rally that was sparked after announcing his exit from the fed chief race. Any of you in stocks are pretty happy with the numbers. Major u. S. Markets to the upside right at get go, the nasdaq joined the party but lost steam around 1 45 p. M. Eastern time, right now down just about four points on nasdaq. This fiveyear anniversary of Lehman Brothers bankruptcy sparking the worst of the financial crisis, today a party. Lets talk about what is up today, Allegheny Technologies higher today after it agreed to sell tungsten materials unit. It is a very rare substance, it really only exists in a couple of areas, and so it is quite valuable. Allegheny jumping nearly 9 today. Its a great day to be in the restaurant business. Five be names reaching alltime highs including lets look at bob evans farms. Starbucks hitting alltime highs along with dominos and buffalo wild wings, but look at starbucks. Around the height of the financial crisis five years ago, you will see that starbucks was trading at around 8 a share. Dominos was around 12 a share, up nearly 400 as we look today. And Cracker Barrel reaching record highs, 42 times so far this year alone. Starbucks, for its part, has reached record highs 21 times this year. And speaking of five yearsing ago, president obama says the Financial System is safer today than it was when Lehman Brothers collapsed, but he admits the middle class is still not feeling the benefits of the ore coifer. So lets get right back to the rally. Its pretty impressive that we have this rally including the s p at one point jumping above 1700. That is a significant number here. So lets bring in our team covering todays top stories, peter barnes down in washington, d. C. With the, okay, if its not Larry Summers then who will be the next fed chairman question, Nicole Petallides reminding us how far stocks have come, sandra smith watching steam come out of some of trades, and first to peter with the future of the fed chairman. Peter, whats the chatter inside the beltway right this minute . Reporter well, liz, the white house declined to get specific on how and when it plans to move ahead with nominating a new chairman of the Federal Reserve now that the president s favored candidate, Larry Summers, has bowed out and left current fed vice chair janet yellen standing as the likely leading candidate. It remains what the president said and what we have said that he expects to have an announcement in the fall. And calendar watchers will note that we are still in the summer. Reporter play on words here. Summers [laughter] withdrew yesterday amid growing opposition to him among senate democrats, but analysts say that yellen is not a shooin. The president is also considering former fed vice chair don kohn, the president might also be looking at his predecessor, Roger Ferguson and, of course, there is some chatter about a remote, remote possibility that the president could ask ben bernanke to stay at the fed a bit longer or maybe for another term. Now, we talked to summers critic and yellen supporter Democratic SenateElizabeth Warren this morning about all of this. She is a member of the Senate Banking committee which will hold the confirmation hearings for this position. The president knows how important this is. Hes taking his time on this decision, hes consulting with a lot of people, and i think the president s doing exactly the right thing. Were just, weve got to play this one out. Weve got a little time on it. Reporter now, warren declined to comment on whether she would oppose anyone but yellen who, warren said, is has a strong resume, good judgment and works by building consensus. Liz . Liz okay. Well, as long as you listen to other peoples opinions, that sometimes definitely helps in that job. Lets get to nicole pet lee d. C. On floor of the New York Stock Exchange. As soon as people started to hear Larry Summers was out, you sort of watch the futures at night. Right. Absolutely, and that has been the sentiment all day long. Basically, the idea behind and were going to take a look at some of the s p 500 new highs as well as at the same time but as Larry Summers bows out as being the next possible head of the Federal Reserve fed chief, what happens is peoplety that the money printing people think that the money printing continues, and that brings optimism to wall street, right . Were looking at some of the names that were watching so closely, walgreens, starbucks, some of these guys have been expanding, making new products, some of the very familiar names, via come, tjx, so youre seeing its not only one area, but broad based from sector to sector. A great day on wall street as you noted above that 1700 mark on the s p for the First Time Since august, and the nasdaq, the highest levels since weve seen in 2000, 13 years that its been pulled back because of a trading glitch. Liz another trading glitch. Interestingly, all of you, listen to this, i have so many of the Silicon Valley companies when i was doing three days in a valley, does it bother you that nasdaq has trading glitches . Would you choose not to list on the nasdaq . It did not matter to them. They said you think we dont understand glitches when you have got a business . Sandra could probably weigh in more on that and also the fact that were seeing money come out of gold and looking at that, its down 1 today as well. Hey, as far as the glitches were concerned, traders are more prepared than they ever have been before, and theyre much more calm. Its just part of life as we know it now, and we are looking at gold prices on the cme right now up just a dollar after in overnight trading it topped a gain of 20 a troy ounce, right around 1300 in trading right now, but this is a sure sign, as i talk to traders down here on the floor, liz, that the markets now saying, whats next . At first they got some unserbty removed. Unserty removed, it will not be Larry Summers, but now who is it going to be . And that uncertainty creeping back in this last hour of trading, gold up a buck right now, silver up by a bigger percentage basis than gold. Also weve got the vixx that had been down most of the trading session. The vixx has now turned into positive territory. You are seeing that fear trade come back into the marketplace. Were also watching the yield on the tenyear right now at 2. 87. We had seen that yield come much low or or than that earlier in the day, so a lot of those earlier trades sort of coming undone as we go towards the closing bell on wall street. Liz, weve still got a huge fed announcement this week. Markets pricing in 10 billion of tapering, what if that numbers Something Else . So were certainly seeing that uncertainty play out in trading in these last few minutes of trades. Liz right. Sandras mentioning september 18th is when we get the fed decision. Thanks to peter very much, nicole, sandra, please stick around, were going to bring in our traders for the floor show. Traders at the New York Stock Exchange, cme group and the nymex. I saw you walking with cheryl about an hour ago remembering the five years. Lets focus on today now holding on to pretty significant gainings. Well, i think this is how would you like to be Larry Summers, the guy that didnt take the job . [laughter] i mean, thats really i dont know. Anyway, yeah, but i think were really going to have to, i think most people are focusing on the fact its probably going to be janet yellen, more than likely, 90 chance its going to be her, so i think were going to have to look past that the rest of the afternoon and tomorrow. Today im attributing to a lot of short covering, and i think were going on to debt ceiling, Housing Market and more fundamental things than worrying about who the fed chairmans going to be. I think its pretty much a given at this point, its east going to be janet yellen or perhaps ben bernanke staying, who knows . Liz listen, i wouldnt go. You never know. You never know. Liz in the next block, weve got two former fedex perts to talk about this. Theyve been on the inside. But let me get to gary, you see where we are today. The fed, obviously, gets either blame or credit for that because some people feel its not truly realistic, the numbers were seeing and the great increases in the stock market. But, you know, lets just say if your guy were in the president s ear, you know, generally here wouldnt you then say, hey, look what theyve done with the stock market . Boy, you hit the nail on the head in so many different areas with that. I mean, everybody, thats all theyre talking about, these numbers are so unrealistic right now. Evens saying that its priced in for wednesdays decision if they do even say anything. You know, theres nothing guaranteed that theyre going to come out and say, okay, were going to take 10 or 15 billion off per month. Everybodys still sitting on the sidelines, and speaking of that, these volume levels are horrible. There is so Light Trading going on right now, and again, everybodys waiting for wednesday. And then next week weve got germany. Their election coming up, and germany, theyre the big dog when it comes to the euro, and everybodys waiting to see if merkels going to pull this one out. And then weve got japan and, of course, our debt ceiling at the end of the month, weve got a lot to look forward to. Liz its always something. A year ago we had a litany of things that were on the horizon, right . Exactly. Oh, always. And, you know, it just keeps building and building and building. Its got a lot of people sitting on the sidelines scratching their heads saying where do we go, or do we just sit on the sidelines, wait for some strong decisions to come out and some strong timelines and then move forward and get back in . Liz lets me go to paul saks and, sandra, weigh in on pauls opinion at 106, were up, i would say, 1517 percent on the price of oil over the past year. Oh, im sorry, im trading gold, and let me just tell you the Options Market in the gold market is really pricing in, an unusual move coming in the next nine or ten days. Our front month, october, is trading a full vol to a vol and a half higher than the balance of the board. So i wouldnt assume there couldnt be a curveball coming our way in terms of someone that you havent mentioned, maybe a ferguson or a dudley for the fed. Liz well, yeah. Or a blinder, a cohn, a ferguson, thats been mentioned. Sandra, how do you expect the gold move once we get a decision if its a surprise . And, again, its not fall yet as weve heard from the Obama Administration. So liz, listen, i know the traders were talking to right now, last night at 6 p. M. Eastern when those markets reopened for trading, the futures markets, we were glued to our screens here in chicago because there was such movement. Gold had been up more than 20 overnight, and its flat on the session right now. Youre talking about a market that is watching every little piece of news to react to. So this is a volatile situation, its a sensitive market to every bit of news that comes out. You Better Believe theres a lot more volatility coming up because theres so much uncertainty with so many different events that your previous guest mentioned. Liz listen, we appreciate it. Weve got breaking news right now. At least one of the gunmen, the deceased gunmen in the massive shooting in washington, d. C. At the naval yard has been identified. He is aaron alexis, aaron alexis is the deceased shooter. We are still waiting on confirmation. He is believed to come from texas, hes got a texas address. The connection locally to the d. C. Area still not sure. You can imagine that over the next couple of hours more details will be released, but perhaps the most important be and it is not a detail is that 12 people have been murdered by two gunmen. One gunman now deceased, his name he has been identified is aaron alexis. More details to come. We told you wed keep you updated the second these bits of news come in. We do have the closing bell ringing in about 47 minutes. Lots more ahead from wall street and main street. Colorado, the floods have you seen this . Wiping out dozens of roads and bridges, hundreds of people missing. The disaster is also giving insurers many of them publiclytraded a huge headache. Were going to bring you the latest in a few moments. And are fed watchers already behind the curve even chattering about the next fed care chair . Next, how investors can play whoever ends being the chair. Does it really matter whos in charge . Thank you orville and wilbur. Amelia. Neil and buzz for teaching us that you cant create the future. By clinging to the past. And with that youre 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. Were not simply saluting history. Were making it. [ male announcer ] now, taking care of things at home is just a tap away. Introducing at t digital life. Personalized Home Security and automation. [ lock clicks ]. That lets you loser to home. Thats so cool. [ male announcer ] get 100 in instant savings when you order digital life smart security. Limited availability in select markets. Liz okay, so going back to this lary summers announcement, how many of you got email alerts this weekend announcing Larry Summers was withdrawing his name as a fed chair candidate . The he clearly knew he paced he faced an ugly confirmation battle. Now, the news immediately sent futures soaring. Will a more doveish fed chair emerge, doveish not more than ben bernanke but certainly more than Larry Summers, and how much does it matter to the markets . Lets bring in our brilliant fed round table, kevin hastert, senior economist in washington, d. C. , and we have ernie, former Vice President for the bank of new york Federal Reserve who is in our newsroom. Ernie, any surprise . What did you first think when you saw that summers was pulling out . No surprise, i dont blame larry. The knives were out. He didnt stand a chance. They just kept throwing everything up against the wall against him hoping that something would stick to get him out, and i think he took the right path. Liz kevin, all the business journalists were surmising as to why the markets were jumping, and its clearly because they felt he might have been a little more challenging to the conventional wisdom and that maybe the current socalled front runner, janet yellen, would follow in the same path which is very market friendly as ben bernanke. I think thats possible. You know, its really hard to see if you look at Janet Yellens writings that she would be much different from Larry Summers, so it might be that the markets celebrating the d. Although, you know, i think the real news here is that probably and ive been in washington a long time probably what happened is the end of last week the Obama Administration decided who they want the fed chair to be, and then started calling up the people that were on the list that arent going to be the fed chair and said youre not it and were going to see an announcement anytime soon. So id have to to say that, again, having been in washington, watched a lot of these things happen over the years that what happened was that they found their person last week, and theyre letting them take a graceful exit, Larry Summers. Probably janet yellen is going to be the fed nominee, and they probably decided that late last week. Liz do you think its going to be janet yellen, kevin . I do, yes. Liz what about you, ernie . I think it will probably be janet, but i have my other favorites. Don kohn, i think, is an excellent candidate, and alan blinder, princeton, also an excellent candidate. Liz well, he was just on our air earlier today, and we have a sound bite of him from the interview, and we want to play it so that you guys can hear what he had to say. Hes a very low key guy, but for those of you who listen to fed speak, he came up with the term soft landing and goldilocks economy, but hes also challenged other members when he was vice chairman of the fed. This afternoon on fox business. Would i want the job . Well, hypothetically i suppose so, but i certainly dont believe its going to be offered. Hopefully, hed take it. I think hed be a good candidate, ernie. I think so. He knows the fed, experienced. They all are. I mean, one of the things were very fortunate, all the names weve mentioned are well qualified. Liz okay, well, that as certainly good news. Are we behind the curve right now . Kevin, you first, while youve been talking about who will be the next fed chair, if ben bernanke starts tapering wednesday and makes that announcement wednesday at the Federal Reserve meeting and we, of course, will cover it right here on fox business he puts into play a system that would carry on for a couple of years, right . So does it really matter whos in charge . Well, of course it does matter whos in charge. And i agree that on wednesday i think theyre going to start the taper. I think the fed has mismanaged this one. What they should have done is way, way back they should have announced that theyre tapering today, and they should have bought one penny hess that month and then said, well, maybe well adjust in the future. [laughter] i think theyre going to get ahead of the curve and start tapering, but the fact that what they can do is taper just a little bit means that the whole question is going to be how fast do they get to the point where its zero, and that totally is going to depend on the next fed chairman, and i would guess that janet yellen will taper pretty aggressively if she sees signs of economic strength. Liz ernie, dare we spin it forward to rate tightening . Id want to say i started the program, and i began the end of the program. Liz okay. And if i were the president , id want to get this whole issue of chairman off the table. Nominate someone, just send it to the hill and get it done. Hes got enough to deal with on economic matters without this thing distracting him. Liz were grateful to have both of you, kevin and ernie, thank you so much. Again, the big announcement comes wednesday afternoon. I know you guys will be watching. Well be watching, well have it, and we will have market reaction. Kevin, former Federal Reserve senior economist, ernie for the bank of new york fed. Closing bell, 38 minutes away. This twitter ip work frenzys sweeping through wall street. When it finally goes public, its not going to be anywhere near as big as facebook, but youd think in the twitterverse and how were all talking about it that its going to be huge for different reasons. Which firms will get to join Goldman Sachs whos got the leadership position in getting a piece of the business . Charlie gasparino has exclusive new details. Hes running down here right now. He never walks, he runs. And also, a surprise on the possible timing of the offer, and he was right on the timing. Everybody else was wrong, charlie was right. And a es duck dynasty, bar none that guy on your screen, a member of the biggest Reality Show Team hit in the history of cable tv. Fox got an allaccess pass for the duck dynasty money machine. Discovery is the parent company, and were going to tell you what we found be out about the duckers in just a few moments. Weekdays are for rising to the challenge. Theyre the days to take care of business. When possibilities become reality. With centurylink as your trusted partner, our visionary Cloud Infrastructure and Global Broadband network free you to focus on what matters. With Custom Communications solutions and responsive, dedicated support, we consntly evolve to meet your needs. Every day of the week. Centurylink® your link to whats next. Nice car. Sure is. Make a deal with me, kid, and you can have the car and evething that goes along with it. [ thunder crashes, tires squeal ] so, what do you say . Thanks. But i think i got this. [ male announcer ] the allnew cla. Starting at 29,900. Im, like, totally not down with change. But i had to change to bounce dryer bars. One bar freshens more loads than these two bottles. I am so gonna tell everyone. [ male announcer ] how do you get your bounce . [ woman ] time for change [ male announcer ] how do you get your bounce . Trust your instincts to make the call. To treat my low testosterone, my doctor and i went with axiron, the only underarm low t treatment. Axiron can restore t levels to normal in about 2 weeks in most men. Axiron is not for use in women or anyone younger than 18 or men with prostate or breast cancer. Women, especially those who are or who may become pregnant and children should avoid contact where axiron is applied as unexpected signs of puberty in children or changes in body hair or increased acne in women may occur. Report these symptoms to your doctor. Tell your doctor about all medical conditions and medications. Serious side effects could include increased risk of prostate cancer; worsening prostate symptoms; decreased sperm count; ankle, feet or body swelling; enlarged or painful breasts; problems breathing while sleeping; and blood clots in the legs. Common side effects include skin redness or irritation where applied, headache, diarrhea, vomiting, and increase in psa. Ll count, ask your doctor about the only underarm low t treatment, axiron. Liz breaking news, in response to ts disastrous and murderous rampage by two gunman one of whom is dead the nationals braves game has been canceled tonight. Breaking news, we have just heard that they are canceling the baseball game tonight. The nationals, of course, in the al east, one of the Division Rivals of the braves nl east, rather. The braves versus the nationals, that game in the d. C. Area canceled due to the fact that there is still one gunman on the loose. The other gunman is deceased at this point, were being told, but 12 people have been shot and killed at a naval area that is in washington d. C. So this is very reminiscent, if you folks remember, of what happened after the Boston Marathon where they had to cancel a celtics game. There were all kinds of games in question, a hockey game. Just devastating and, frankly, disgusting that these terrorists can pull this off. Yes, terrorists, whoever they are, theyre terrorizing people killing 12 today. So as soon as we get more details, but once again, the baseball game in d. C. Canceled tonight. Lets turn to the flooding disaster in colorado. Seven people now confirmed dead there from that natural disaster. More than a thousand people are still missing, critical transport links have been destroyed. Alicia acuna reporting from boulder, colorado. Alicia . Reporter we just received an update from Larimer County north of where were standing, and what officials there are telling us is that they still have a thousand people in the outlying mountain areas that need to be evacuated, so theres still so much more work to do with regard to the flooding here. But we did get some encouraging news in that 1,000 people who are still unaccounted for, that number is starting to shrink, and its starting to shrink by the thousands. We want to be careful not to give too specific a number because it is changing by the hour, and thats because some people are finally starting to call in and let them know that theyre okay. So thats kind of helping authorities brick that number down bring that number down. I will tell you about a situation thats going on in lyons, colorado, north of where we are. This is a community of about 2,000 people that was cut off earlier. The National Guard was up there on sunday trying to rescue people in that area when they needed rescuing themselves. Thats because the waterway became so heavy that their high profile tactical vehicles couldnt handle the situation they were in. The army National Guard had to wait until this morning til the clouds cleared and the weather improved before they could get up in the air and go into that area to rescue their 15 members of the National Guard. So that has been underway to do. In addition to that, when it comes to the civilians who have been waiting for rescuing, there are at least 21 helicopters performing rescues. Fema has a couple of different urban search and rescue teams on the ground searching for people who still are stuck in their homes, theyre in cars, they fear, and all sorts of areas they have yet to find because, again, there are still so many people who are missing. One of the problems here though is that there are still people who are refusing to leave when authorities them them its time to go. Take a listen. Our resources that we are going through to those communities are limited. Weve got what we need, but we cant be going back and back and back to visit the same community over and over again. So as we go to each one of these commitments, were going to ask them communities, were going to ask them, please leave, and then were going to go on. Obviously, its difficult and stretches our resources thinner when we have to revisit or reenter communities later because theyve come on to other problems. Reporter now, were not expecting to get any rain in this part of the state for the rest of the week. However, the flooding is now moving to the ian part of the state eastern part of the state, and towns there are now getting pretty bad flooding. Back to you. Liz thank you very much. And, of course, insurers, and we always have an investable angle here, of course, massive issues when it comes to the humanity of it, but the insurers probably going to have to wait and see for a while there to see exactly how they will be affected. Well keep you posted on that. Lets get back to wall street. Charlie gasparino just came down. I told you he was going to talk about the twitter ipo which is very close, but he got Something Else on the london whale trade that is breaking exclusively to him. Well, jpmorgan is in the middle of settling this thing. The number, from what i understand from people close to the bank, is that theyre going to pay at least this is what ive been told at least 750 million as part of a fine, i guess its going to be broken up between the two main regulators investigating this, is starts exchange which is and the control of currency, leading them to to the errant london whale trader, jamie dimon initially the ceo said it wasnt a big deal, this guy got on the wrong side of a derivatives bet, it then cost the Bank Something like 7 billion. Theyre going to pay a fine, and the charges from what i understand are over not having the proper controls, you know, to prevent Something Like this. Its going to be interesting. Theyre going to admit guilt in this thing from what i understand. But heres the thing, i dont believe and i still have to report this out ttat theyre going to admit guilt to anything more than failure to supervise or failure to have controls. They are not going to anytime guilt to a fraud charge. That would be disastrous for the bank. Liz when admitting guilt, theres always a big deal. With it depends liz if you said heres the money, leave us alone. It depends on the language. If you say we admit to our guilt not having the proper, not having some control issues, its a little different than we admit guilt to a fraud charge. Liz oh, of course. And even a civil fraud charge. Liz a little bit easier to swallow. Well, you dont get youre not admitting guilty to fraud, and that means shareholders, its very difficult to come after the bank because of liability. But thats whats going on right now. Its kind of interesting that i was, you know, thats the bad news. Or maybe its the good news because theyre getting it behind them. The other good news is that twitter is now, you know, its Underwriting Team for its ipo, and whats interesting is this, from both jpmorgan and Morgan Stanley have been informed that they will join Goldman Sachs liz werent you saying that jamie dimon is friends with jack dorsey, one of the twitter founders . Yes. And theres a lot of outreach between the two. They are a big bank, theyre the biggest bank. Whats interesting, also, is that Morgan Stanleys going the play a role. The one thing from what i understand about this deal is that its going to look even though twitter doesnt want anything to do with the facebook ipo the Underwriting Team is likely to look remarkably similar. Listen, there could be a fourth or a fifth one in here, but from what i understand the top three underwriters are going to be goldman, Morgan Stanley, jpmorgan and that Morgan Stanley and jp have been informed theyre part of that team. The difference is that Goldman Sachs is the lead underwriter. Liz were hitting up against a hard break, but does the nasdaq get the listing . I dont know. Listen, i know theyre reaching out to them right now, the nasdaq is, so is the New York Stock Exchange. Its, you know, they may their case is like if you get in the nasdaq 100 or whatever it is, that index, it stops your stock from falling because people buy that whole index. The New York Stock Exchange is going to say that doesnt matter. Liz the machines are going to can cut us off, but charlie, thank you. All right. Liz closing bell ringing in 25 minutes. The wall street powerhouse that bob diamond built out of the wreckage of the financial crisis may not be so powerful five years later. He was the man who ran barclays which took over Lehman Brothers. We have the story next. Capital to make it happen . Without the thinking that makes it real . Whats a vision without the expertise to execute it. And the financing toake it grow . Whatever your goal, it can change more than your business. It can change the future. Thats why, at barclays, our ambition is to always realize yours. Liz well, it was about five years ai was doing a piece for fox business in beverly hills, california. We were all going back to our hometowns to talk about opportunity in america, and this was happening. The Lehman Brothers bankruptcy. And fox business actually got the first information on the friday before the actual monday bankruptcy that they would be shutting their doors. And you see these people walking out, it marked the beginning of the worst of the financial crisis. Lehman brothers assets in north america were bought by the british banking giant barclays. How has that bank been doing . Joining me now, just two blocks north of fox business is adam shapiro. Adam, i remember you running out the doors here in 2008 just two blocks away and putting a camera up to those glass windows, and it looked pretty upsetting, what we could see inside, how upset people were. Reporter it was upsetting when you would try to speak to the employees as they would come out with boxes filled with Materials Today had on their desk. But went you talk about what had been Lehman Brothers in the building behind me which is now barclays where barclays has gone, you know, they got caught up in the libor scandal, bob diamond issued a Statement Today saying that too big to fail banks still threaten the security of the global economy, that the steps taken so far have been insufficient and yet we have even bigger institutions. Lets talk about barclays because theyre getting ready come october 4th, liz, to raise a huge amount of capital, Something Like 9 billion worth of new capital because theyve been with having some troubles this year keeping their revenue and their adjusted income flowing. Lets take a look at some of the numbers. For july and august, their adjusted income was down 796 million. For the first eight months of this year through the end of august, august 31st, that adjusted incomes down 5 . So they filed the paperwork in the be u. K. And with the sec to begin raising capital. It will sound familiar to people who have followed the banking problems that large institutions have had going way back if you look at 2008. The regulators now require larger capital reserves, and once again we see a large bank, Second Largest Bank by assets in the u. K. , barclays, now going out to investors to see if they can raise more capital. Liz . Liz bob diamond was one of the most cautious bankers. He got such a raw deal, in my opinion, after what happened because, of course, it was a british bank run by an american, right, adam . They didnt like that. Reporter right. And there were two things. You know, you bring up a really good point about what happened back in 2008. You remember that weekend when all of the people were meeting down at the Federal Reserve . You know, bob diamond was trying to buy lehmans before it filed for bankruptcy, and the Federal Reserve, the people said, yep, do it. It was the regulators in the u. K. Who said dont do it. Barclays was able to buy lehmans, you know, Bargain Basement price, 1. 75 billion, a lot cheaper than it would have been prior. Liz that very sign over your right shoulder used to say lehman. Thank you very much, adam sham row. Shares of boeing look like theyre going to take off, lets head down to nicole on the floor of the New York Stock Exchange. Good news for boeing, a dow component. Reporter well, theres a couple of pieces of news, lets take a look. Why dont you guys bring it up, we cant bring it up over here. There was a decision over in south korea, and there are bidders, and turns out theyve been briefed and informed the president there that boeings silent eagle, that was the sole eligible bid, and that was according to some sources and reuters. That is great news for boeing. Its been adding more than 30 dow points, right . So thats good news. And, hey, i cant leave out a nice upgrade, too . Stern ag lifted its price target up to 164 up from 120. The analysts there said that it was a mustown stock. Among the large industrials. So unmatched visibility and massive backlog. So loving it. And you did see boeing jumping on that news and trading to the newest highs of 115. 89 a share. Liz listen, i just wish that those analysts tell us these things a year ago. We just showed the oneyear chart. Its been just a beautiful runup despite a few problems, obviously, with some of their jets. Nonetheless, boeing, an american stalwart here. Thank you very much. Closing bell ringing in 15 minutes. Investors buzzing about the Federal Reserve today, but theres Something Else that might have an even bigger impact on the markets. What is that . You need to know. Were going to break it down for you after this quick break. Dont go away. S screech ] [ male announcer ] 1. 21 gigawatts. Today, thats easy. Ge is revolutioning power. Supercharging turbines with advanced hardware and innovative software. Using data predictively to help power entire cities. So the turbines of today. Will power us all. Into the future. Amelia. Neil and buzz for teaching us that you cant create the future. By clinging to the past. And with that youre 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. Were not simply saluting history. Were making it. [ male announcer ] now, taking care of things at home is just a tap away. Introducing at t digital life. Personalized Home Security and automation. [ lock clicks ]. That lets you loser to home. Thats so cool. [ male announcer ] get 100 in instant savings when you order digital life smart security. Limited availability in select markets. Liz i finally watched duck dynasty. Okay, im sorry. [laughter] when it comes to big numbers, a es duck dynasty, its about the robertson family, and theyve got this business that builds things for duck hunting. This is a tv ratings sensation, thats old news. About 12 Million Viewers in its premiere last month. Fox friends went to louisiana to find out how this family beeame such a business behemoth, and the stars of the biggest reality hit in the history of cable tv. Lets listen. In a hundred countries. Are you getting response outside the United States . Oh, yeah, yeah. From all over. I did an event down in cancun, and the show actually came on, and i thought about who has to translate uncle cy . [laughter] [inaudible] thank you, cy. Liz hez these people are serious businessmen and women. Its impressive. Duck calls are still the robertson familys true money machine. More than 750,000 of them are expected to be sold this year alone. Now, they cost up to 179. 95 each, meaning that those duck calls are likely the rake in 45 million for the robertsons in 2013. Books are also a huge business. For example, willies book, the duck commando family, is estimated to have generated 12 million in sales so far. And then, of course, the hit tv show. Each cast member, they upped their money, right . Each cast members paid about 200,000 per episode which translates to 1. 4 million per person for the sevenepisode season. But perhaps the real money goes to discovery, and the ceo of discoverys stock has certainly done well, but the fact that this is a company that runs on a e which is the Discovery Channel is quite impressive. Its done very well, and i had asked david once, you know, how do you green light Something Like duck dynasty, he said, or Honey Boo Boo . You just have to have a feeling about these things. Pretty good feeling right now. The markets are rallying after Larry Summers withdrew his name to be the next fed chairman. Are you making a mistake by looking at those points on the calendar . Remember our traders at the top of the show were saying and then theres japan and the german election . Dan veru works for pal said Capital Management, i venture to say that you do not look at calendar points and invest around them. We talked about the call p daughter, about september and october tend to be rough months, but that has nothing to do if you have a longterm plan on investing and how youre structurally centered, you should those are irrelevant data points, and you cant even see them on a chart when you look back historically. Liz long term. Even if you look at the 87, 1987 crash, its barely a clip on the screen blip on the screen. But so many people reacted negatively. You maybe lost a generation of investors through that period, and now the anniversary of the bin doing of the credit crisis, many years there now itll be a blip on the radar screen as well. Liz everybody listen to the answer that dan gives, but im going to ask you the question, teach us how. Five years ago when lehman went bankrupt, the markets were gyrating, everyone was scared. What did you guy cans at palisades Capital Management do that day . There that weekend, because it occurred on a monday liz correct. We knew lehman was going to be bought or go out of business. And i remember having a Conference Call with my colleagues on a sunday evening after wed worked all day saturday, and while we were discussing it, bank of america acquires merrill lynch. So we kind of had this plan, wow, weve got to make certain changes to the portfolio, this is what we want to buy, this is what we want to sell, and then merrill gets acquired, and im like, hold it, guys, this is Game Changing again as well. And if you recall that week, by friday basically the market had gone nowhere. We had a huge drop monday and tuesday. By midweek there were talks of some extraordinary measures, and then tim geithner was rumored to be the im sorry, t. A. R. P. Was rumored to be coming into place. And that wiped out all the losses from the earlier part of the week. Liz so your point is underscored that if you try and invest around drama or points on the calendar, its not going to work. Its a losers game. Liz what are you thinking right now . Youve got three names. You have picked sea drill in the past. Yes. Liz it has a great dividend, but you pick it for the fundamentals of the company too, right . And were always looking for that market misperception on a particular company. We spoke with it seemed to be when we were buying the shares in the low 30s that there was a perception that the dividend was unsustainable and investors, it wasnt a widelyfollowed company, and people were concerned about the sustainability of the dividend. Liz there were analysts saying sell at 32, 38. You said, what . We bought as much as we could, and we bought more recently because we believe that the dividends grow, the visibility is there, their climates are the cream of the big oil companies, and, you know, deepwater drilling unlike other types of drilling takes a very, very long time. Liz 15year contracts that have constant money coming in. Board warner, auto parts. Yeah. Relatively new addition to the portfolio, but, you know, were looking at the auto sector and figuring out different ways we can play. Theres a Migration Technology wise to turbocharging gasoline engines right now. I think the perception is that the electric vehicle because of the success of tesla which, again, is selling so few units, that the internal combustions engines best days are behind it. We dont believe that to be the case. We think smart application and particularly things like turbocharging drastically improves performance and fuel economy. Liz dan has 4. 5 billion in assets under management. We have watched his company grow, and we hope to continue to watch it grow on your solid advice. Thanks so much. Thanks, liz. Liz and he shares it with you for free. Dan review, cochief Investment Officer for pal said Capital Management. Were about five minutes away from the closing bell. We need to remind you that, of course, we are following the shooting rampage in washington d. C. Businesses being such a horrific tragedy, its happening already, terrible Economic Impact on the capital, the nationals baseball game canceled because theres still a gunman on the list. Twelve souls dead at this point, markets are still higher. Stay tuned. Peace of mind is important when youre running a successful business. So we provide it services you can rely on. With centurylink as your trusted it partner, youll experience reliable uptime for the network and services you depend on. Multilayered Security Solutions keep your information safe, and secure. And responsive dedicated support meets your needs, and eases your mind. Centurylink. Your link to whats next. [ babies crying ] surprise your house was built on an ancient burial ground. [ ghosts moaning ] surprise ur car needs a new transmission. [ coyote howls ] how about no more surprises . Now you can get all the online Trading Tools you need without any surprise fees. Its not rocket science. Its just common sense. From td ameritrade. Liz and look at this rally. Hold on, although were not at 1700 for the s p, which, david, we had been earlier today. Amazing, right . David it is an incredible today when you think again of all the worries. Washington may have had a little effect although not so noticeable. Not the same on nasdaq where apple is dragging that index down. Liz lets get to nicole on the floor of the New York Stock Exchange. Shares of the Delta Air Lines geting a boost, extending shares from last week, right . Pretty impressive for delta. You have to remember one key thing. It was added to the s p 500 which boosts just about any stock. Just the fact they have been doing so well and moving it to new highs, and move to the high point of 23. 57. Up almost 100 this year. David apple would probably be positive if it were not for apple. Carl icahn thought apple was 465 was a bargain. At 449 it must be a steal thats true. Analysts havent been too hot on it. They finally got iphones they were waiting for. Tough time for apple. The other thing on the nasdaq a little trading glitch as well. Liz we need to look at bristolmyers squibb. Following the upgrade. Absolutely, liz. [closing bell ringing] david the bells are ringing. A split decision. We should emphasize on the positive side, the positive is much better than the negative. Yes, there is negative. You can see it there on the nasdaq which is down just a tick. A lot has to do with what happened at apple. But the positives on the dow and s p are strung enough i think give the day more of a positive tilt, certainly in light of the announcement that Larry Summers was pulling out. The idea being replacement for ben bernanke may be a little more accommodating to wall street traders than Larry Summers would have been, liz. Liz lets get to the front page headlines. U. S. Industrial production rose in august, by. Of a percent, helped by a bounceback auto industry. 4 of a percent. David shares of boise soared after it agreed to be bought by Packaging Corporation of america. The price tag