Stocks making mondays selloff at 129 points a thing of the past. Here we are, 14,000 appointments right now. Can i dow close above 14,000 . Floor traders weigh in and handicap it all for us. Im liz claman, the last hour of trading on countdown to the closing bell, stocks back in rally mode with the blue chips trading at fridays levels, the best in more than five years. Look at the brett, just 30 stock, but nonetheless, its incredibly strong, every member of the dow 30 in the plus column other than united technologies, maker of otis helicopters, down a dollar17. You see the averages on the lower right hand of the screen, dow, nasdaq always there, gains across the board. We wanted to highlight the strengths in Exchange Traded funds you may own, some in your portfolio, etf, the xlk. Its moving higher by 1. 5 . The health care spider up one and a quarter percent, and theres xlt, that moving up one and a third percent, all of them on a role so stocks in the aggregate looking pretty good. Look at the big individual winners today. Computer sciences rearing its head here, up nearly 10 making it the biggest gainer on the s p 500. The i. T. Service provider raised the 2013 forecast. We got blackberry, yes, not research in motion anymore. Okay, why is it stock doing beautifully after the incredible announcement . Nobody got excited about the disprks 10. Well, now they are excited about the z10 sales in the u. K. Looking healthy right now. Barclays making comments on that. Eaton up 5. 5 , better than expected q4 earnings looking at those three names. We have to mention dell. Yes, we do. Shares on a massive leverage buyout, the worst kept secret, talked about it for weeks, more than 24 billion, and the stocks up a percent. Not exciting. The buyout for 13. 65 a share. Founder, michael dell, taking back majority control, and at 14. 33 thats a message to Silver Lake Partners and microsoft involved that people are not that excited about this right now. Heres who is excited. Hp, okay, howard, hps spokesperson saying with all the debt, quote, del will leave innovation and customers at the curb adding dells customers will explore alternatives and hp plans to take advantage of that. Moving higher by three and a quarter percent. Yeah, thats as exciting you see it gets in Silicon Valley taking advantage of this. We have leverage buyouts better than expected earnings wetting the appetites of the bulls. Will the dow finish above 14,000 . To the trade show, cme group, and imex. Are you a believer in the rally considering we lost this amount yesterday on the dow . Well, i think after yesterday, you better be a believer. I suspect, liz, you know, next week, i think we have a big option expiration friday. Perhaps theres another opportunity to see if we can get some reversal into this dramatic uptrend were on, but i think at the moment, clearly, the bulls are absolutely in control, and i think they show us liz they were not yesterday, though, you know look at january. January was a spectacular month, up over 6 for the month. He really had not had a selloff. You had ripples out of europe yesterday which gave, i guess, gave some people an excuse to take money off the table, but it turned out to be a oneday wander, and you get in the bull market like were in at the moment, any of the selloffs are nothing other than buying opportunities, nothing fundment tally changed between yesterday and today, and i think the shorts, plus all the money sitting on the sidelines trying to wish them down, you know, talking about nothing more bearish than a sold out bull last week liz exactly. Theres nothing more bearish than a sold out bull. You cant wish them down. Everyonements to buy them. Liz john, do you agree, you can believe its going down, but its not. It went up, the yield on the 10year, now at 2. 01 at last check. What do you read into that because our investor audience own a loot of treasuries here, particularly, at the 10year level. Its funny. 10year levels below sunday night. There was a ripple out of the european Political Drama yesterday, italy and spain, reversed in the overnight, risk assets, and yields climb back higher a little bit at 2 , 2. 01, liz, still little value to be found, if any, in tenyear treasuries, but the global macroeconomic data is beneficial for risk assets given the backdrop of the central banks. The number was 55. 2, close to expectations. Liz yeah, thats true. Fridays unemployment number strong, and the data from china heals as well. With a lack of value in treasuries and with 7 trillion in u. S. Savings accounting making zero, the path of least resistance for equities is going to be higher. Liz elliot, theres not resistance on Oil Moving Higher 48 cents for crude, but taking into account what the dollar is doing here. Always. Crude moves in drabs, liz. Upticking recently, but a move in a 97 product is nothing to mention. Its interesting. I hear a lot of talk here, bull markets and how crude is joining the bulls. You know, for the majority of people out this, they dont want crude. You know, people talk about, you know, theres a supply and demand, people have money, buy more gas, and i dont buy into that philosophy. I think, like, i dont know, i think crude should be lower, but, you know, its following the bulls higher. Liz dont fall into the trap, thinking it should go lower. Good to see all of you. Thank you so much, gentlemen, some of the favorite traders. How will the Justice Department attempt to prove its case that the ratings house standard and poors had a rating crisis, and charlie has the latest. Before i get into this fascinating story, did you notice a subtle difference in the dell deal when it comes to microsoft . They were supposed to put Equity Financing into the deal. They just put debt financing. Liz they are into loans . They lent dell the money to do the deal. This is i you know, i dont know why theres not more reporting on this. I will tell you in, foxbusiness. Com has an interesting take on this right now about potentially microsoft risk adverse to dell blowing up in the future that you capability take it out of private equity to make money. Its an issue. They were going to put Equity Financing, every Single Person that reported the story thought it was Equity Financing. The initial reports, particularly, was Equity Financing, and its debt so it is weird. Youd think they want upside if it comes out to sell out, you know, in five years. Liz microsofts up a half percent. Its not a negative or a screaming positive. Im just telling you they did not put skin in the game. This is a loan. Thats key. This was supposed to be stock. Anyway, foxbusiness. Com, interesting story. Liz thats what the mafia does, heres a loan, when i need you, ill be there. Loans are like stocks, you basically control the company anyway. Anyway, were not getting into the mafia given my last name. My aunt in queens will be annoyed. Liz so you know what elliot warn said, charlie, says, who is this guy . I did not say that, by anyway, this is what they argue. Its an interesting case because in the past, standard and poors and the rating agencies got away from claims against them whether civil like, the regulatory actions against them. They base their entire defense and, by the way, this is not the first time they screwed up. Liz defensive aaa rating, horrible toxic orange county, aaa in orange county, new york city back before the fiscal crisis in the 70s, high ratings, and then the place blows up. Theres millions, and many, many others. What was the defense . First amendment. This is merely an opinion. Heres how the Justice Department goes at them. They show, listen, they issueded the conflicted ratings that violated their own corporate policies, that when the procedures of issuing ratings were violative of the policies and rely on Court Precedent that once you dont follow your own criteria, guess what . The First Amendment defense fades away. Liz what was the criteria . We had dick larkin on before. Dick work at standard and poors for two decades, knows about the internal workings. Theres something about being inside the box and outside the box. Youre not supposed to be a part of the deal. Youre not supposed to be saying heres how you do the deal. If you want x, and i think and a lot of people think, that, you know, s ps own rules which say you are supposed to be an outsider, an observer, allows you to issue an opinion as an observer, they were such a part of the deal, remember, without a aaa rating, you cant issue a structured finance vehicle; right, the cdos. Liz right, and they paid s p they would get paid and they told them how to do it to get the aaa, and they were an integral part of the deal, an insider of the deal is what dick talked about. Thats violative of their own internal criteria 6789 its an interesting story. I think that if this thing, man, stock is crushed again. Liz mcgraw hill, Parent Company of s p. Thats the Standard Defense of all the rating agencies. If that falls away, they cant rely on that defense. You know, they screw up constantly, and theres a conflicted business model. They are paid by the people they are rating. Well, then thats, you know, we are going to be talking a lot more to eagen of eagen jones, that policy could go by the wayside. Liz trying to have a different form of ratings. Where are they on that thing . Liz its kind of happening. Weve had them on. I think a muni bond call was mixed into that. Liz slight problem. Yes. Liz charlie, thank you very much, are you done . Done. Liz okay. Closing bill bringing in 50 minutes. You might care if theres no budget, but acting like a budget is miles away. This, as the president does not have a budget to present yet. He might not have bun until the beginning of march, but the cbo says we might really need one and soon. Why . Details from the nations capitol as countdown to the closing bell continues. Dont move. Investor. Yeah, im a serious investor but im a busy guy. It used to be easier but now there are more choices than ever. I want to know exactly what i am investing in. I want to know exactly how much im paying. I want to use the same stuff the big guys use. Find out why nine out of ten large professional investors chooseshares for their etfs. Ishares by blackrock. Call 1800ishares for a prospectus which includes investment objectives, risks, charges and expenses. Read and consider it carefully before investing. Risk includes possible loss of principal. Liz thats a lot of lipstick. Revlon soaring after a strong Earnings Report thanks to strong sales in the u. S. Nicole, in my hand, revealing it after, the lipstick, the revlon lipstick i use every single day without fail. Im not going to say the color yet. You want to know something . I was a lipstick in my hand too. Come on, get back to business now. Its not about the lipstick. Revlon and estee lauder. Ladies use the products. Revlon shares jumped 17 today. 2. 52 at 18. 02 here on the numbers, net income climbed 28 . They had acquisitions, strong sales numbers, that helped them move along not only here in the u. S. , but also in latin america m on this same day, we talk about estee lauder. Those stocks hit an alltime high today. The executives of the company talked about the customers being out there and spending quite freely. Heres a look at estee lauder, up six and a quarter percent. The cosmetic industry, even though the economy is fragile, these two names, liz, have done well. Liz yep, you ready . I use revlon, i do. Im afraid to mention the name of the color because theres a run on it, and i buy it by the dozen. It is number 405, silver city pink. Love it. Liz l. A. From the 70s, but i love it. Beautiful, i like it. Good job, liz. Liz im not repeating so you dont buy it out. Big Business Leaders just now arriving at the white house to meet with president obama to talk about what . This time, a plan for an Immigration Law overhaul. Is anybody listening to the big Business Leaders . The head of the Congressional Budget Office hopes so. He held a nos Conference Today acting as town crier warning about the nations budget and fiscal problems. Rich edson and peter barnes. The latest, who is there and what do they want to tell the president . Well, i think the president wants to tell them a thing or two, liz. You know, part of this is part of the white house reach out campaign talked to all the constituencies out here in the big battles over the budget and taxes and fiscal reform, and now, today, immigration. The president meeting with about a dozen ceos. They have been coming in here. The meeting starts in about five minks. Among them, the ceo of goldman sachs, cocacola, yahoo, among the executives visiting, again, today, weve seen them before, and this strategy has worked for the president. As you know, after he met with them, a couple of times, he got them, many of them to agree to hire taxes on the wealthy, and, eventually, cut that deal to avoid the fiscal cliff with republicans by getting the top tax rates back up to 39. 6 and families making more than 450,000 a year. The president continues the strategy to get the Business Community to his side and Pressure Congress to do what he wants. Liz they want to hire smart immigrants, they want, anybody, i think they do. Liz Business Leaders with a degree here to stay and start businesses here and not go back to china, india, or whatever country they are from. Rich, to you know. Whats the Congressional Budget Office expect in the years ahead. We got big problems. Yeah. The u. S. Faces large budget and economic challenges. Lets get to the budget portion first, expecting a budget deficit this year of 845 billion. The first year under a trillion dollars in five years. Then the budget deficit gets smaller. These are annual numbers, 616 billion all the way down to 476 billion in 2016 and continuing to rides from there under the weight of the increased interest payments, Health Care Costs. More folks going into entitlement programs for a total of 6. 9 trillion added to the National Debt over the next ten years. Get to the Economic Projections here. Cbo expecting real gdp growth, Fourth Quarter to Fourth Quarter, 3. 4 next year, averaging 3. 6 . The Unemployment Rate expected to be 8 this year. 7. 6 next year. The sixth Consecutive Year at 7. 5 unemployment. Thats the longest run in 70 years. Getting back to the entitlement programs, the cbo director says Health Care Costs eventuallily swamp the federal budget. Its possible to keep the policies for the large benefit programs unchanged, but only by raising taxes substantially for a broad segment of the population. He says on the flip side, the ben fits are the same, but raise taxes on the other end it. You cut benefits dramatically if you keep the taxes the same, something the u. S. Has to figure out. He said sooner rather than later. Talk about the budget cuts, liz, about to hit on march first, the sequester, you include that and the tax increases that it counts for a loss in gdp growth of one and a quarter percentage points, half because of the higher taxes, half because of the lower spending, and that translates to 1. 5 to 2 million fewer jobs. While decreases in spending, decreases in deficits in the beginning in the front end slow Economic Growth off the front, in the next ten years or so towards the back end of that, you see increased Economic Growth because you reduce the budget deficits. Short term pain for long term gain. Liz rich, thank you very much. Closing bell rings in 40 minutes. Its architecture frank gary would admire. Microprocessor architecture in the sweet spot with revenue jumping 20 last quarter as well as the stock hitting a record high. Should you invest in the very, very Interesting Company . Coming up in a fox business exclusive, simon on whats in the pipeline. Its a fox business exclusive. As we go to break, check out the chart. The charts been in fuego. [ kitt ] you know whats impressive . A talking car. But ill tell you what impresses me. A talking train. This ge locomotive can tell you exactly where it is, what its carrying, while using less fuel. Delivering whatever the world needs, when it needs it. After all, whats the point of talking if you dont have something important to say . Liz shares of british Chip Designer Arm Holdings hitting a 13year high today. Thats right, 13year high, riding the wave of smart phones and tablets. The company licenses listen, it licenses its technology, its chip Architecture Technology to other chip makers and gets a royalty own each chip shipped in devices. How long will the command keep up . Its looking good now. The Arms Holdings president joins us now in a fox business exclusive from san fransisco, and you look at the numbers here, and your q4 revenues. I look at revenues. Not big on ats because i feel it can be engineered. This is up 19 . Whats driving it right now . Which portion of the business, simon, looks the best to you . Well, across the board, weve had a very strong q4 and a very strong year. A lot of whats driving that is the success in growth of consumer products, smart phones, tablets, tvs, but they are designed into lots and lots of devices, really diverse range of applications, anything from refrigerators and toasters to antilock brake systems in cars and phones and tablets. Its a very diverse use of our technology, and look, many of the markets are growing. As a result of that, is a strong unit shipments for our partners flowing to us in terms of royalty and giving customers the confidence to invest in next generation of techn