Transcripts For FBC Markets Now 20130829 : vimarsana.com

FBC Markets Now August 29, 2013

Than expected. The second take on the secondquarter growth, but nothing to brag about. Secondquarter gdp growth revised upward versus the streets estimate of 2. 2 . This is as we are reporting the last gdp report before the fed reports on whether or not it will paper, some transparency at the next meeting next month. His 2. 5 growth good enough . Then, welcome to you. Forecasting 3. 3 expansion rate into 2013, so it is two and. 5 right now. Growth is only a lousy 1. 4 , but if you cut out the cutbacks, growth around the range of two and. 5 . So the fed is seeing a rate private sector demand supporting higher hiring and todays data is broadly supportive of their moves to cut back qe3. Lori lets talk about the strong upward revision in the Second Quarter. Economies are pointing to export growth. An inventory. Can you expand why we saw such a big jump. Inventory stuff has been choppy, but there is something important with the trade deficit. There is large gain for export in the Second Quarter we saw evidence the euro zone was ending its recession, some of the latest data on china is showing acceleration on their activity, so that is broadly supportive of not only overall u. S. Growth but the u. S. Cap the market and Financial Market incorporations to benefit from the ability to sell more goods overseas. Lori does the export growth signal to you possibly a stronger jobs report next week . What are we looking at . Payrolls created . We see jobless claims hold down near the record lows since the crisis ended, generally positive steady as she goes for the labor market, nothing. The robust numbers he wanted to see come out of such a deep slump but something you can still be able to the unemployment and keep growing jobs faster than the rate of the population. Lori what do you see the headwind to the economy now . We are gaining up for another budget battle in washington. Any of these risks in your mind . Some of the concerns appear to be fading a bit but with the budget battle will be the overhang the next few weeks. These things tend to go down to the wire. That puts us on edge through at least midoctober. That is a something that could really hold back the market for the next few weeks and of course has a potential of serious negative effects on the economy. Lori thanks for your insight. Thank you for having me. Adam shares of vodafone and verizon are jumping on word vodafone is selling its stake in Verizon Wireless to verizon. Verizon is talking to several banks about borrowing billions of dollars at the purchase admitted to cost the company up to 130 million if it actually closes. Lori u. S. Military stepping of the middle east adding a fifth Navy Destroyer off the coast of syria. Action would be legal but shouldnt take place until after u. N. Investigators return. Rich james rosen reporting the attack is very likely focused on delivery systems, Weapons Systems use or could be used to deliver chemical weapons coming from fox news james rosen. Waiting to address congress on this issue, 6 00 tonight when Obama Administration officials will brief congress about the intelligence and perhaps what it plans on doing from here. The Administration Says this week it will make public intelligence they have showing the Syrian Regime used chemical weapons but when you talk about the impending action may be taking place, you have the president of the United States and across the ocean the Prime Minister of britain both selling intervention. We said stop doing this, that can have a positive impact on our National Security over the long term. May have a positive impact on chemical weapons not used again on innocent civilians. It is this house that will survive what steps we next take if you agree to the motion i have set down, no action can be taken until we heard from the u. N. Weapons inspectors and there has been further action at the United Nations and another vote in this house. Those of the conditions that we the british government, the British Parliament are setting, and it is absolutely right that we do so. Rich the british Prime Minister and president are running into those conflicts. Asking for a congressional conversation as to whether or not inventio intervention is ape in this case. We will see when the congressional briefing by you ministration takes place. Lori thank you for bringing us up to speed. Adam giving Energy Traders a chance to catch their breath and reassesses supply concerns after closing the highest level in two years. Oil is trading lower by 1 today Still Holding about 109 per barrel. Thank you for joining us. There have been some calls of oil briefly hit an analyst 150 per, that would be brief and come back down. That is a bit overdone, isnt it . It would seem so, but nothing is really off the radar given we dont know how much will be impacted should the worst Case Scenario happen in the middle east, the worstCase Scenario being unrest spreads from syria to other countries and there is some sort of material supply loss. That is unlikely and unlikely that we will see 150, anything like that. Adam it is the contagion perhaps, not really sure which side is better for the United States whether it is the rebels in syria or this dictatorship in charge, but if this spills over into iraq we talk about disrupting Worldwide Oil supplies . Yes. I have so much more supplies than syria. Iraq closer to 3 Million Barrels per day. That said, what were seeing across middle east and little smoke and mirrors, were seeing supply loss is already in iraq itself and libya has been huge, somewhat off the radar at least overshadowed because of syria. They have been producing as much as 1. 4 Million Barrels per day, down to 200,000 per day because of worker protest and oil terminals. That is targeting the market, so even if we did not have everything going on with syria, we would like to see support for crude this week. Adam say it plays itself out over the next two weeks. When a moving toward october, where will we have, will Oil Prices Fall back below 100 per barrel when the syria issues are off the table . Hopefully that would be the case. Seeing demand not just in the u. S. And globally pulling back a little bit, but the problem is wmissing these supplies, actualy in iraq next month potentially coming off, even though we should see demand, they may see lower supplies. Around 100 level. Adam dont they have capacity to increase production . Theyre holding back on production, are they not . I read something that they would likely increase to make up for the shortfalls, currently just below 10. That is a sign they are getting a little nervous and so they should be when we see these in libya, iraq, iran, algeria, et cetera. Adam we will talk to you after the syria situation is in the rearview mirror. Thank you. Lori gold prices down by the most in two weeks. Excitations for an imminent usled military strike on syria begins to fade. Also driving losses betterthanexpected gdp and jobless claims data which may reinforce the fed claims for stimulus. Lou dobbs tonight retired fourstar general joins me sitting in for the dobbs tonight. He will give me his thoughts on what our involvement should be if at all. At 7 00 and 10 00 eastern. Hope you will join me. Adam ford returned to michigan to build its very much in demand fusion sedan. Lori millions served, thousands of strikes. Workers demand higher pay. Adam Silicon Valley budget busting campuses. We will give you a sneak peek inside with the architect. You know throughout history, folks have suffered from frequent heartburn. Butetting heartburn and then treating day after day is a thing of the past. Block the acid with prilosec otc, and dont get heartburn in the first place. [ male announcer ] one pill each morning 24 hours. Zero heartburn. Adam ford is kicking off production of the fusion midsize sedan at the michigan plant. This marks the first time the fusion will be built in the United States. The move expands the fusions availability by 30 in places like san francisco, was endless and miami where the car has been selling in less than 20 days. Not bad if you compare that the average industry average. Of 60 days. This to say about beating toyota in california. Clearly the consumers will decide, but i tell you they love the fusion and i not only like the fusionbased model with gas, but direct fuel injection and turbocharging and more fuel efficiency but they like the hybrid and the plugin hybrid and the highest growth area is in california. Adam investors like the news as well. Ford shares are up on that news. Lori lets check the market, Lauren Simonetti joins us on the floor of the New York Stock Exchange taking a look at earning winners and losers. Lauren lets talk about guess shares. They raise the fouryear numbers but there is weakness at the company. 40 of the sales come from america. That does not mean europe is not a concern. Or is coming out of europe, that is the concern here. Nonetheless this is a winner today. Also wants to show you williamssonoma. They own pottery barn, Pottery Barn Kids and they seem to be the merge in the two companies. Struggling a little bit, having to discount pottery barn looking a little bit stronger but nevertheless this stock is weak today. Back to you. Adam time to make some money with Charles Payne. He is getting your profits with Ecommerce Company helping you get discounts and talking about groupon. Charles i reluctantly came over to groupon. Couple hours ago i went to their website and they demanded my email to give me nice discounts in chicago. Im looking at the tape and the action. It was not the ideal like facebook grabbed every single penny under the sun. But they tried to change valuation metrics, they lost a lot of credibility. This stock is on the verge of becoming a momentum darling. It was 27 back in 2011. One of these stocks breaks out 11, people are going to buy this stock. It might even turn into a daytrading darling. Lori a lot of these guys, there are lots of these guys, amazon has local deals. Adam you dont need to groupon anymore. Charles the street says the company will grow 25 every single year for the next five years. They think the top line will be there. They dont have to do a lot. The stock is down dramatically from where it was. They chipped away at that. I think it will be one of these names people will say groupon is up. Adam they had to restate the earnings at one point. Charles they tried to reinvent accounting rules. They tried some things that were a little flaky. That is why the stock is paid a heavy price for it trying to bring in more people, credibility gets back. This will be one of the momentum stocks. I think people will pile in. Adam watch groupon and watch Charles Payne. Make even more money with Charles Payne right here on the Fox Business Network. Charles we are talking about the crash, everybody is worried about the crash. Adam you mean my wi miley cyru. Lori did you know twerk is in the dictionary now . Interesting. Lets not be Debbie Downer today. That yosemite fire is racing east now prompting more evacuations for residence but there seems to be signs of progress. The latest next. Adam 15 per hour. They are picketing at fast food chains today. Lori and look at dollar today. Safe haven play, we are back with more after this. Nascar is about excitement. But tracking all the action and hearing everything from our marketing partners, the media and millions of fans on social media can be a challenge. Thats why we partnered with hp to build the new nascar fan and media engagement center. Hps Technology Helps us turn millions of tweets, posts and stories into realtime Business Insights that help nascar win with our fans. 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 23 minutes past the hour. Hello, everybody. This is your fox news minute. The giant wildfire Near Yosemite National Park grew by several Hundred Acres overnight, but that is a relatively small increase compared to recent days. It has burned more than 300 acres and containment only at 30 . The Obama Administration is announcing two new steps on gun control which will not require congressional approval. It will curb the impact of surplus weapons. The ministration proposing a closer loophole allowing certain weapons reregistered to corporations without background checks. Gun legislation collapsed in Congress Earlier this year. Good news for some runners, in the field at the Boston Marathon will be larger next year. 9000 additional runners accepted bringing the total to 36,000. More than 5600 runners had to stop on the course when two bombs went off at the finish line this year. They will be invited back. Lori thank you so much. So you may not be able to get your fast food fix today as what is expected to be the largest nationwide strike by fast food workers hit the country. Elizabeth macdonald has the bottom line. Liz we have been tracking dozens of walkouts across the country and we have a map of about two dozen of them. Planned walkouts in milwaukee, chicago, san francisco, l. A. , san diego, indianapolis, tampa, florida, boston, new york city. They want 15 per hour. 15 is not even twice what they make, but they want the right to unionize, collective bargaining for higher wages in the future. The problem is the franchisees are run by mom and pop. If we are forced to pay wages we may have to automate your job, cut the worker hours, we may have to have kiosks or ipad to take your place. Because these are basically entrylevel jobs, they are not meant to be jobs for people who are parents. That is where the debate is right now. Adam youre the average age of people working in fast food i read it was 28, Single Parents doing this. On the other side the union behind the organizing effort says mcdonalds made billions and billions of dollars, that may be the corporate parent, not the franchisee. Liz your first point is one in four of these workers are possibly parents. A big chunk of the money goes back to the parent company. They have to buy their food and supply, the profits back to the parent company. So what is going to happen is this, the worker movement, they know number one social media event. Number two, they need more press coverage. Sometimes these are oneday events and the coverage goes away, so they are planning future walkouts. We are hearing this could spread to the retail sector. Could hit macys, sears and walgreens. This is just the beginning. Lori look at the balance sheet, certain percentage of your profit or other revenue should go to wages. If you are a franchisee and there is a scale of what they are bringing in, that percentage should be a fixed percentage, fair and simple. Lori it is the worker, franchisee and parent company. Lori thank you. It has been a week since the nasdaq flash freeze, but still no answers. Adam next, Charlie Gasparino will join us to talk about whether or not that will change. Change. Exquisite details coming up. Lori lets break down the indexes and show you who is up, who is down. A look at the chart of the Dow Jones Industrial average is. We are back after a short break. [ male announcer ] imagine this cute blob is metamucil. And this pk is the inside of your body. See, the special psyllium fiber in metamucil actually gels. And that gelling hes to lower some cholesterol. Metacil. 3 amazing benefits in 1 super fiber. Metacil. announcer at scottrade, our clto make their money do more. Re ann to help me plan my next move, i take scottrades free, inbranch seminars. Plus, their live webinars. I use daily market commentary to improve my strategy. And my local scottrade Office Guides my learning every step of the way. Because they know i dont trade like everybody. I trade like me. Im with scottrade. announcer scottrade. Ranked highest in Customer Loyalty for brokerage and investment companies. Lori it has been 15 minutes since we checked in on the New York Stock Exchange. Concerns of syria appears to be on the back burners. Lauren that is exactly right it the dow industrials up by 45 points. The nasdaq is up by 30. For the week we have down arrows across the board. Off about 1 this week. Telecom leading the market if you look at the dow, you have verizon on top and at t near the top. Back to you. Lori thank you, lauren. Okay, breaking news, nasdaq set to bring announcement on flash freeze as soon as today. Charlie gasparino has the latest for us. Charlie around 2 00 we will get from what i understand and more detailed explanation on exactly how that happened, the security information processor. How that information, which potentially be blessed nasdaq were saying came from that problematic information how that cause a freeze in the stock market trading system. We will guess that at 2 00. We should point out i will be speaking sometime today with him and we will update people when i can on that. 2 00 is when this stuff will be made public. The latest version went down, what with this thing say . Here is my surm

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