Health. All three indexes finishing in the green. But one big dow component went in the other direction and that was general electric. G. E. Hitting a 6year low. A 6 billion charge related to their insurance operations. The company says its considering all of its options including a possible breakup. G. E. Stock losing 10 , and its down 40 the last 12 months. The volatile ride known as bitcoin dropping more than 20 tuesday forcing the cboe to temporarily halt trading on its futures exchange. It dropped below 10,000 before rebounding. The news comes amid the announcement that governments will be cracking down. Apple announced a 2,500 stock granted for most of its employees worldwide and are expected to contribute 350 billion to the economy the next 10 years. They will build a second corporate campus and paying a record 38 billion in taxes when it brings home a boatload of cash from overseas. Amazon announcing it narrows its list of candidates down to 20 cities. Its expecting to spend 5 billion in the area it choose and hire more than 50,000 people. Of the remaining 20 locations, more than a quarter are along the northeast corridor between boston and washington, d. C. Maria the Dow Jones Industrial average closing above 26,000 for the First Time Ever wednesday. Just nine trading days before it closed above 25,000. So this is the perfect time to hear from my special guest, north island cofounder Glenn Hutchins is here with us. When you see Something Like that, 24,000, 25,000, 26,000, what do you think in terms of market valuations and the backdrop driving this market . Glenn hutchins the tax bill will generate by some good estimates 710 earnings. But if you look at valuations over a longerterm time period, they are very high right now. There is the potential that they are dangerously high or moving into that territory. I dont think we are on the precipice of something. Because there is a new sugar high ingested by the markets from the thanks reform. But sugar highs pass pretty quickly for anybody who has children and reality sets in. Maria these are important points you make. Can you really call it a sugar high when we know its actually adding to earnings . You and i were around in 1999 when everything was going up because you had x number of hits to a website. But here you are talking about savings on a corporate level that will be added to the earnings. You said 710 . There are experts Like Deutsche Bank that say earnings will be up 12 and corporate earnings on the s p 500 are expected to be up 20 . Isnt that a fundamental backdrop and not necessarily a sugar high . I dont think so. The cbo, Congressional Budget Office thinks well add 1. 5 trillion to the National Debt as a result of this tax bill. Even the dynamic estimates get you to a trillion. And thats before interest. Because you have to pay interest on that debt you borrowed. So we are somewhere between 1. 4 to 1. 7 trillion of added debt. You are taking a post money, borrowing it and putting it on the government Balance Sheet and handing that over to corporations in the foirnl of in the form of earnings. In the near term you get increased corporate earnings. But in the longer term you have to pay that back. Maria in terms of this market move, you never know whats on the horizon. Would it be the Federal Reserve that he raises rates too many times because they see the economy getting better, winding down that Balance Sheet as a reason to disrupt this rally thats been in place now for a year . What would it be that actually turns this you said this is dangerous. I said long term potentially. There is a famous this time many different. Only fools try to predict these things. But two things could happen. One is the stimulus causes inflation to overshoot and the economy catches up from the longterm drag financial crisis. Labor markets get hot and wages go up. Thats a classic cycle. Work your way through equitybased bubbles as opposed to debt fuel problems is a much easier thing to do. We live in a perilous world. North korea, middle east, all these issues going on. We are going to switzerland next week and there will be a lot of the conversation about that at the World Economic forum. What i just told you about valuations comes to me from some of the Worlds Largest allocators of capital. They understand this, and they are prepared to act when the problem hits. In other words, a lot of people think they can get off the moving train before it crashes. Maria is there anywhere to hide . Glenn hutchins not bitcoin. Maria Glenn Hutchins, we are back in one minute. Announcer did bitcoin go bust this week . Glenn hutchins with his surprising take. Then at your next meeting, set your seat height to its maximum level. Bravo, tall meeting man. Start winning today. Book now at lq. Com start winning today. Pssst. What . I switched to geico and got more. More savings on Car Insurance . Aha. And an awardwinning mobile app. That is more. Oh, theres more. Mobile id cards, emergency roadside service. More technology. I can even add a new driver. Right from her phone geico. Expect great savings and a whole lot more. Like you do sometimes, grandpa . And puffed. Well, when you have copd, it can be hard to breathe. It can be hard to get air out, which can make it hard to get air in. So i talked to my doctor. She said. Symbicort could help you breathe better, starting within 5 minutes. Symbicort doesnt replace a rescue inhaler for sudden symptoms. Symbicort helps provide significant improvement of your lung function. Symbicort is for copd, including chronic bronchitis and emphysema. It should not be taken more than twice a day. Symbicort contains formoterol. Medicines like formoterol increase the risk of death from asthma problems. Symbicort may increase your risk of lung infections, osteoporosis, and some eye problems. You should tell your doctor if you have a heart condition or high Blood Pressure before taking it. Symbicort could mean a day with better breathing. Watch out, piggies get symbicort free for up to one year. Visit saveonsymbicort. Com today to learn more. If you cant afford your medication, astrazeneca may be able to help. My business was going nowhere. So i built this kickin new website with godaddy. Building a website in under an hour is easy 68 of people. Who have built their website using gocentral, did it in. Under an hour, and you can too. Type in your business or idea. Pick your favourite design. Personalize it with beautiful images. And. Youre done and now business is booming. Harriet, its a double stitch not a cross stitch build a better website in under an hour. Free to try. No credit card required. Gocentral from godaddy. I cannot imagine managing my diabetes without my dexcom. This is the dexcom g5 mobile continuous Glucose Monitoring system. A small, wearable sensor measures your glucose every 5 minutes and sends the data to a dexcom receiver. Dexcom helps lower a1c and improves quality of life. If youre over 65 and you have diabetes, you should have a dexcom. If you get a dexcom, youre going to be very glad that you did. Visit dexcomnow. Com to learn more. Maria it was quite the week for bitcoin, the crypto currency trading below 10,000 after hitting 20,000. It started to slide shortly add jamie dimon told me this. Let me ask you about bitcoin. That was a community made that it was a fraud. Which i regret making. The bitcoin was what the governments were going to fear that bitcoin gets really big. Maria in an interview with the financial times, Glenn Hutchins was called the first establishment investor who took a deep dive on bitcoin. Can you tell us your position . My primarily interest, i have some etfs that have expose our to the counsel. But my primary interest is in companies that use Bitcoin Technology to revolutionize the way we move value around the world like we used the internet to revolutionize the way we move information, voice and video and commerce around the world. And so whats the most of important thing . Information and value. Maria you can move money. Its not free because there are transaction fees. You can move money and do it among musclely. Not anonymously. Usethe cost of a trust is why costs are so high from moving money around. Since you and i have to trust each other intermediaries get to insert that trust, they take await fraud risk and custody risk and they charge pore doing that. Maria is that why the big banks were initially sceptical on bitcoin because its removing them . Glenn requires like the interest Glenn Hutchins its like the internet was in the 90s. We are now beginning to create Engineering Solutions that can move that just like the point snement, the math solution and Engineering Solutions. We have the math solution and now we are beginning to have the Engineering Solutions. The. Now we are moving out to address the credit cared and remittance market and machine to machine payments. And building the infrastructure. Then those come snrits to come up with Business Models that solve customer problems. Thats 510 years away. This is a small, nascent industry that has a chance to be transformative but has to do a lot of work. The bitcoin price is a distraction. People are looking at the wrong thing. They are look at historic value, the gold equivalent instead of the means features of it. And bitcoin could be the wrong solution. Bitcoin could end up to be beta max and some on the early could turn out to be the right answer. Maria how do we know which one it should be . Glenn hutchins we dont. Can you take that technology and turn it into a solution that solves an important customer problem and allows you to build a problem around it . Are you going to be pets. Com or google. I think its very, very important for this to work inside the framework. If you go back to the early days of the internet and Computer Technology there was pie in the sky thinking this would get rid of commerce step its always been out there as a parallel thread in technology. But the banks as regulated entities, deposittaking, lending organizations will always be bulwarks of the system. The bitcoin technologies will allow us to address the parts of the businesses that arent in that regulated sector. Payments, remittances. They can work in collaboration with the regulated parts of the industry to become a part of legitimate financial system. Maria i think part of the reason bitcoin sold off is people are worried about heavier regulation. People say why would i tone one of these crypto currencies when they are not backed by the faith and credit of the government. Glenn hutchins there ought to be smart regulation of this industry. Bitcoin is like the various currencies are more like industrial metals. Bit coins more like corp than gold. People buy and sell corp. But the reason why copper is valuable is because its used in wiring homes and has industrial applications. Tin and zinc have industrial applications. Bitcoin solutions get implemented companies will increase their value. Maria stay with us. Well find out where glenn is finding opportunity. Announcer the markets continue to hit unchart territory. So how is Glenn Hutchins investing during this amazing run . Its easy to think that all Money Managers are pretty much the same. But while some push High Commission investment products, Fisher Investments avoids them. Some advisers have hidden and layered fees. Fisher investments never does. And while some advisers are happy to earn commissions from you whether you do well or not, Fisher Investments fees are structured so we do better when you do better. Maybe thats why most of our clients come from other Money Managers. Fisher investments. Clearly better money management. With expedia, you can book a flight, then add a hotel, and save. Everything you need to go. Expedia i tabut with my back paines, i couldnt sleep and get up in time. Then i found aleve pm. Aleve pm is the only one to combine a safe sleep aid plus the 12 hour pain relieving strength of aleve. Im back. Aleve pm for a better am. Maria we are talking to Glenn Hutchins. You are a titan when it comes to investing. We know your background. Particularly when it comes to Financial Services and technology. You are relatively new firm, north island, is scaling that up and acquiring companies, Technology Used in Financial Services. Where are you finding opportunity . Glenn hutchins we are building up five Platform Companies in scale businesses that operate at the intersection of Financial Services and technology. The First Investment was a Trading Technologies company and we infused capital to buy Knight Capital and we are combining the two companies and creating one of the Worlds Largest electronics marketers. My partner is the chairman. Its a team effort. But the and so we believe that has what that is is a company with cutting edge technology, High Frequency technology pointed in the right direction which is market making. 270 markets trade electronically around the world. Maria i dont think they had a down day. Glenn hutchins they had very few. They built a phenomenal business and we are pleads to be their partners. Then we are building up three or four other of those platforms such as software payments, and other verticals like that. The idea its not a private equity fund, its five separate companies well hold and manage, operating at scale at the intersection of Financial Services and technology. Maria when you look at the industry, Financial Services and technology, how does it change in the coming five years . Tell us how it grows. Glenn hutchins there are massive changes. Induced mostly by technology. So Financial Services has from the beginning of time been an industry most of susceptible to technological disruption. Almost everything it does can be digitized. So the now with this massive pace of technological change, where you have the mobility, its a lot of things people do in terms of their Financial Services can be done on these devices. Where you are introducing Artificial Intelligence and later quantum computing into the cloud. You can have a lot of analyst is and intensive activity happening there, where you are also seeing significant advances in the way in which we compute so you address your computing differently with artificial reality. People can have consultations with advisors. So the whole then highfrequency Trading Technologies used for market making. All of these changes in the way in which we work with our technology and what our technology does for us will hit very early on Financial Services, fundamentally transform. And thats not to mention the bitcoin telling we were talking about. Our view is to find a segment fairly disrupted by this. Harness one of the technologies for competitive advantage and use it to build a business for the longer term. Maria within Financial Services . Glenn hutchins within Financial Services. We only want to operate in areas where we have fundamental domain expertise in which we can select a very small number of bits in which to concentrate our risk and focus our management attention. Maria glad to see you. More wall street week y after this. The wrong insurance plan. No, i picked the wrong insurance company. With new car replacement™, well replace the full value of your car plus depreciation. Liberty mutual insurance. But on the inside, i feel chronic, widespread pain. Like most people. Fibromyalgia may be invisible to others, but my pain is real. Fibromyalgia is thought to be caused by overactive nerves. Lyrica is believed to calm these nerves. Im glad my doctor prescribed lyrica. For some, lyrica delivers effective relief for moderate to even severe fibromyalgia pain. And improves function. Lyrica may cause serious allergic reactions, suicidal thoughts or actions. Tell your doctor right away if you have these, new or worse depression, unusual changes in mood or behavior, swelling, trouble breathing, rash, hives, blisters, muscle pain with fever, tired feeling, or blurry vision. Common side effects dizziness, sleepiness, weight gain, swelling of hands, legs and feet. Dont drink alcohol while taking lyrica. Dont drive or use machinery until you know how lyrica affects you. Those whove had a drug or alcohol problem may be more likely to misuse lyrica. With less pain, i can do more with my family. Talk to your doctor today. See if lyrica can help. Yes or no . Do you want the same tools and seamless experience across web and tablet . Do you want 4. 95 commissions for stocks, 0. 50 options contracts . 1. 50 futures contracts . What about a dedicated service team of trading specialists . Did you say yes . Good, then its time for power e trade. The platform, price and service that gives you the edge you need. Looks like we have a couple seconds left. Lets do some card twirling twirling cards e trade. The original place to invest online. Maria time for a look at some of the market events next week that could affect your money. The manufacturing pmi and the price index is o