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tv   Markets Now  FOX Business  October 31, 2013 1:00pm-3:01pm EDT

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earnings beat expectations, we are breaking down the numbers with all-star analyst. lori: obamacare taking its toll on the president's approval rating, looking to smooth things over with senate democrats, the latest from the belt way just said. >> looking to with to bring in tax revenue but judge andrew napolitano says it is an invasion of privacy and it could change life as we know it. lori: looking at the business of helsinki and the still showing no sign of slowing down and you won't believe how much we expending on costumes for our heads. actually i would. adam: you would? when a and guilty as charged. adam: the dow is positive.
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>> at the halloween. the dow is down 9 points. we have the nasdaq and the person the in the green on this final day of a great month of october. the broader market 4% this month. we will take it. you with a nearly year there is concern that the fed won't be as inclined to keep the stimulus coming as long as we are hoping. release solid midwest manufacturing number is bolstering that belief, the dollar up, commodities down and that is where we are trading today, stock has been all over the mack in after-hours after the earnings report, stock as much as 18% and when it opened this morning was down 5%. now you can see a green arrow, there is concern in despite the numbers the younger teens are not using facebook as much among others things. adam: teenagers say i am so over is that.
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thank you. lori: the higher dollar impacting trade and commodities, gold futures doing the impact of the fifth heat over as well. phil flynn of price futures joins us in the trading pits of the cme. >> they scared the gold, we are down 27.2, even silver down 107 and we saw no follow-through asia, strong dollar in asia difficult demand weakened in a little bit. china continuing tests purchase a lot of gold but not as much as the market hoped for. only 100 tons in september. india raising interest rates but down a wire pressure on this but mostly about the fed. let's see the fed is like poltergeist redoing the same thing in history is not what any realization what was going on in the real world but the numbers and the government shutdown didn't affect the fed's decision, the purring on the table so we could slowdown moves we might have seen in these
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markets and that is what we are seeing gold today. lori: is a oil drifting as well? >> it is the physical side of the market. gasoline and diesel fuel falling back now kind of the opposite. crude is holding in relative to the product, that could be a sign the market is looking at the refiners coming out of maintenance. the margins have been pretty good to reduce gasoline and diesel and i am sure those refineries can't wait to get their hands on the money and want to do that so today relatively speaking we are seeing products weaker compared to crude. lori: thank you. adam: conoco phillips posted results this morning and chevron will report before the bill tomorrow. which stop reigned supreme at half oil prices when on their bottom line? president james joins me to break down reports, the one
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thing i think we are seeing is the squeeze on margins because of increased capacity in refining but less demand for refined products. is that accurate? >> to clarify conoco phillips no longer has refining exposure but exxon does. margins were relatively slim in q3 as was the case, they did improve. que tu was love for exxon. what we are seeing particularly in exxon is a nice catch up trade. this is a stock that was really out of favor for all of 2013. the earnings last quarter, particularly ugly and expectations got so low that even though the results were certainly not an overwhelming it was more than enough to get the market excited again which is why we are seeing a nice uptick
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in shares today. >> you call a contrarian stock. why is that? >> for the first time in three years going back to their acquisition of 2010 is an intensely disliked stock in the energy complex. typically exxon is the ultimate energy blue chip, a consensus by and for twenty-third team has been a consensus to underperform just about everything else in the energy sector and we think it is going to be an excellent catch up trade and we are seeing that today. >> it is down 2.5% year-to-date, up 2.6% but you have a strong call on this. >> we upgraded the few weeks ago precisely on this premise that admittedly if oil prices continue to be has strong as
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they have been, defensive names like exxon might not be as much in favor as we would like, but in the context of the raymond james thinks of oil prices and looking for a correction in oil prices next year there should be a flight to quality trend and that is how all exxon can benefit. adam: if there's a correction in oil prices in 2014 will, could get hurt by that? >> absolutely. exxon would as a natural hedge the refining business and chemicals and konica does not, it spun off of it, downstream exposures year-and-a-half ago so it is not effectively a pure play on the commodity. some natural gas but mainly oil and keep in mind the leverage in conoco phillips is relatively high so lot of dust on the balance sheet, it is outstanding cash flow. enough cash flow diminishes
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which we think it will next year's than the gap between how much they spend and bring in will get wider and that is not good for a highly leveraged company to be in. adam: there is a report about incredible amounts of oil generated out of the gulf of mexico which we couldn't have foreseen three years ago after the tragic spill. whose dance to make out the best? would it be shell? exo and? who is in place to make money off of the increase production? >> the vast majority of u.s. growth in oil production is coming from onshore areas but the gulf of mexico is also recovering since the days of mccondo. exxon and conoco phillips to not have a lot of exposure to the golf. chevron does, shell does, bp does and there are smaller companies as well. smaller independent players like
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marathon for instance, murphy, they have exposure to the gulf as well. adam: we will keep checking these oil prices and get chevron november 1st. it has been a pleasure. lori: the obamacare rollout with a heavily on the president's image. his approval rating hitting an all-time low. rich edson joins us live from d.c. with more. >> americans don't like anyone in washington, showing much what a fox news survey revealed last week, 42% of americans approve of president obama's work, 51% disapproved. first time in this poll more americans disapprove and approve and you approve of either major party, 22% say a positive view of the gop, only 37% favor democrats. after a difficult government shutdowns stretch for republicans democrats are now facing opposition over the botched rollout of healthcare
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about god and americans losing their cheaper insurance plans despite the president's promises. some democrats are calling to delay a key piece of obamacare and with that senate aides say chief of staff dennis mcdonald dean shoes of fixing and marilyn catheter are meeting with senate democrats this afternoon. president obama continues defending his promise that americans can't keep their insurance. stuart: if you are getting one of these letters just shop around in the new marketplace. that is what it is for. because of the tax credit we are offering in the competition between insurers most people are going to be able to get better comprehensive health care plans for the same price or cheaper than projected. you are going to get a better deal. >> the law does discourage cheaper bare bones plant and create new minimum insurance
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standard leading to the cancellation of many of those plans. back to you. cheryl: thank you. adam: federal aviation administration announced today that airline passengers will soon be able to use electronic devices, things like thereaders and games throughout the flight. before the new rule can take effect the airlines have to demonstrate that their aircraft won't be at risk because of potential interference from the portable electronic device. voice calls connecting to the internet are still prohibited and our expert airline person -- cheryl: can it did in the wake of the pilots? adam: of the pilots are playing, first to file with the faa. they said they could have in place as soon as tomorrow. and you can't make voice calls. cheryl: apple shares losing market share. the tech giant global tablature checking to its lowest level ever. the ipad market share fell in the third quarter to
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twenty-nine.6%, 40.2% last year, quite a slide. android tablets are benefiting. samsung filed 123% gain over the last year so apple's decision to shift its 5 and lunge to the fall from earlier in the year may be partly to blame for the decline in market share. adam: shares sinking 10% after the company posted disappointing second quarter results even worse. sony cutull-year profit guidance by 40%. the result could give hedge fund investors more support in the call for the company to spin off the entertainment division which dragged down earnings. he will be getting a lot of attention, the big daddy fair article coming out so maybe is discussion about sony will be tracked from the article, nothing to detract. cheryl: municipal bankruptcies, cities on the brink, detroit's first and foremost and it is not alone in the debt battle. who could be next? a look just ahead. adam: egypt regretting taurus
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after recruiting billions because of the revolution. they expect a complete recovery by 2014. is that possible? we will ask a top tour operator coming. lori: mcdonald's taking of the success of its copy into your kitchen. details straight ahead. [ male announcer ] what if a small company became big business overnight? ♪ like, really big... then expanded? ♪ or their new product tanked? ♪ or not? what if they embrace new technology instead? ♪ imagine a company's future with the future of trading. company profile. a research tool on thinkorswim. from td ameritrade.
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adam: let's check the markets lauren simonetti on the floor of the stock exchange. you are looking get beauty in the ems. >> talking cosmetics. both moving in opposite directions on opposite news but avon products first, the ceo said this was a challenging and tough quarter. look at the reaction down 21% on wall street on earnings that disappointed. avon is warning of potential regulatory settlement of bribery probe that could cost more than expected. estee lauder is another company that had a new high. they are seeing strength and a lot of regions that do business and they make mesquita cherries and glory knows what i'm talking about. you might wear some of this when
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you come to work. >> sometimes it is a you have to take off. >> it takes longer and longer as time goes by. >> i wish i was a man every morning at 6:00 a.m.. >> we have to move on. thank you very much. >> charles payne looking at linkedin, why is that stock catching on this time around? charles: etna october it $220 a share, held their and promptly went to $250 a share. we are right around that point where it held before and what cards typically tell you where all the weak hands are so for the most part most of the weak hands just not too long ago dumped their stocks and stopped
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selling, the only one holding is not going to sell tomorrow. and it could gain some momentum. >> two things really upset people, one was the change in guidance but it seemed as if a piece of gross of signing up new users and slowing down. is the problem? charles: you got the momentum stock, fifty-nine million members. this is not like one of these frivolous, this is something people actually use. they will have a pretty good time monetizing it. international growth up 66%, u.s. growth of 51%. lori: benefiting from the success of facebook and twitter debut which is getting great reviews. charles: some people think twitter poses a challenge to them. i don't think so. it is like a hedge fund manager compared to the lead to taco
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bell. you might have a problem. lori: a french margarita at taco bell. what about the thing that you at the bone to pick with me? lori: that was the commercial break. charles: avon recently -- one of my big ones for the year but we are holding on for right now. lori: stick around because i will pick this bone for you but good news for mcdonald's. coffee if you are a fan of joe, especially in the fast-food chains, mcdonald's is working with kraft to make sure packaged coffee is available at u.s. grocery stores. test markets will be selling them in single, format single -- mcdonald's has had success with its in-store coffee creating competition for stocks and dunkin donuts. mcdonald's packaged coffee is already sold at grocery stores.
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that is a mouthful. mcdonald's coffee rolls off the tongue better. neil: to elizabeth macdonald is here with a look at which u.s. cities could flood toward bankruptcy. said in to see if your home town is on the list. lori: getting a lot of traffic today, halloween, big bucks for the candymaker. more on that. it's a growing trend in business:
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>> 23 minutes past the hour your fox news minute. global chemical weapons watchdogs says syria has made the deadline for destroying the equipment used to make chemical weapons and filled munitions with poison gas. that news comes from the organization for the prohibition of chemical weapons the day before the deadline. the confirmation of janet yellen to head the federal reserve is one of the confirmations that may be blocked over a dispute
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over the attack in benghazi, libya, senators john mccain and lizzie gramm say will happen unless the obama administration releases more information about last year's deadly attack and let survivors talk with lawmakers. lawyer for ed snowden says his client has a new job working in technical support for a russian web site. ed snowden fled to russia and was granted asylum to escape charges that he uncovered a mass surveillance program at the nsa. those are your news headlines. the fox business network gets you back to lori and adam. >> you thought was just before it strapped for cash, more cities are struggling with low cash reserves, at that interest costs and huge pension costs. others have big trouble so what cities of looking at? some may surprise you. here is liz macdonald by joining us with the bottom line.
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liz: this comes courtesy of the wall street journal. let's look at the map of u.s. cities, you are going to see fresno, topeka, charleston, new orleans, cities across the country, if i live in those cities would is going to happen. those cities can still borrow, going to mean any markets and borrow. 21 to watch is ten cities with the lowest cash reserve and detroit on this west, allentown, glendale and new orleans, philadelphia, patterson, new haven, the ones that according to what we are hearing in new york having difficulty in connecticut difficulty borrowing in the mini market so that is the map we think is one to look at so going forward, the other trends we are seeing that is so important is we are seeing a trend of more cities, towns and villagess merging police and fire departments and emerging cities. you see that in california and
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michigan where if they're struggling they're making the right move to merge their operations and entire governing operations across the board. >> there was a report the detroit pensioners, many taking a haircut, $0.16 on the dollar. it is people. the city's having any luck renegotiating these? liz: we opposed that to the guys on wall street, working in bankruptcy court, are they getting their money back on the dollar? some of these judges are taking a hard look how they run their pension funds and taking a tougher line. will play get more money out of the bankruptcy court? not sticking a $0.16 on the dollar? this is a trend we're seeing in detroit and other cities should pay attention. adam: they are paying attention to san jose, it is a fight between the unions, that will set a precedent for these other
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cities going forward. thank you very much. adam: it is halloween today and the house ways -- holidays going to dogs. people drinking up their dogs and cats and telling customs soaring. i have miniature dachshunds. the retail federation reporting sales of pet costumes jumped 68% in recent years from $220 million in 2010 to three seventy million in 2012. the top selling pet costumes this year include snow white, big bird, e.u. or, the devil. kerri candy will be consumed in my house alone, 4% of all can be consumed in the u.s. occurred on this wednesday meaning big bucks for candy companies. national confectioners association expects americans will spend $2.4 billion on halloween treats up 1% from last
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year. forget recession. adam: the best costume for an animal is that video on youtube of that catch writing a shark. that would be a great cost him. adam: -- lori: hotdogs are hot dogs literally. a little catch-up down the back. it is hilarious. adam: taking a huge hit in the wake of violence in the middle east but now egypt is looking to turn things around. bernard: lori: one operator think there's a possibility of pandering more. ♪ (vo) you are a business pro.
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adam: want to check stocks again for you. do it every 15 minutes. back to the floor of the new york stock exchange. lauren simonetti, we're looking for direction. where are we headed? >> we have the dow in the green up two points but take it on last day of october. three hours left in the trading session. all three major averages in the green. earnings in focus today. got to talk about expedia, this stock has a sugar high on halloween, up 17%. numbers were really good. gross bookings in the third quarter increased by 15% primarily driven by trip advisor, they do business with them, bringing a lot of leads and leads turning into bookings. expedia a winner. this is our candy bucket, almost almost decimated. adam: any candy corn in there. >> no. we have a lot of hersheys in here. adam: chocolate. grab the candy corn? >> candy corn is gross. adam: candy corn is as good as
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gold. lori: are you kidding? adam: candy corn index. catch you later, lawyer rin. lori: i knew that is why liked it. candy corn. adam: best thing on earth, after scotch. lori: bring you the left over candy corn because we are in the minority. pull out the fannie pack and camera, egypt wants the business. they are launching ambitious campaign to lure back foreign tourists deterred by all the political turmoil in recent years. they are aiming to attract 13.5 million visitors next year that will bring in $11 billion in desperately-needed revenue. bob drummond specializes in tours to egypt. welcome to the show, bob. wonderful to have you. >> thank you, lori of the nice to be here. lori: general tours, great to have you once again of the your tour company, very old, 194. very well-respected. your tourism philosophy based on the genieve peace conference after world war ii. >> we build bridges between
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countries. >> thank you. so why are you recommending people visit egypt now? >> well, they may want to hold off a couple of months. i think we need to see a little bit of calm there but egypt, you know is so high on everyone's bucket list. i can't tell you how many people mentioned, gee when do you think it will be safe to go back to egypt? point of tract i think the government is doing the right thing, trying to drive tourism. that is their biggest source of hard currency of course. they really have the infrastructure in place for tourism, as tourism and refined tourism. smaller groups such as we do. they have some of the best hotels in the world. the four seasons is in cairo. kupinski, fairmont. they have marvlous facilities along the nile as well. they're ready to receive tourists but the political environment is not conducive to
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tourism, particularly in cairo. lori: what are you telling customers with inquiries traveling to egypt right now? what are you hearing? what is your relationship like with the cairo tourism execs? >> well the, the marketplace is still quiet at this stage. you know the political turmoil has been so well-reported, that people are very aware of it. i saw yesterday, for example, one of the muslim brotherhood chief fellow was arrested but the imf is there today and there's incoming resources from some of the arab states, from the u.a.e. for example. so there's a clear recognition that egypt need to stablize and, you know, we can see a turn around fairly quickly if that were to happen. we had experienced in '90s. lori: i should let our viewers know we have the delay in the connection. forgive me, sir. not just egypt, right? in recent history, obviously israel provided quite a hot spot
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in of itself. what is advice for people trying to make a decision, americans, trying to make decision on international destination? >> curiously israel's travel is up for americans. even though, you know, there are occasional bombings in easy and boredwer syria would make it look like a hot spot. point in fact people want to still go to the holy land. americans are a more sophisticated than they used to be. they watched world on television and less fearful than they used to be in the past. emerging destinations are really a focal point for what we do. bringing people to more authentic cultural settings, making use of the opportunities to really see a society up close and intimately. there is lot of support for that. so, if there is a bombing, doesn't mean for example, anymore that all tourism to the emerging destination of burma will come to an end.
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so it's different than it used to be. lori: yeah, you might want to have that insurance policy up in front too. thank you so much, bob drum. >> that is always a good thing. lori: bob drum of general tours. >> talk about taking sexy out of the super bowl. godaddy is giving up on the racy ads for the super bowl after 10 years. find out why coming up. lori: guess who is coming to dinner. jamie dimon making a trip across the pond. fox senior correspondent charlie gasparino has details who he is whining and dining with. ♪ more than a new interior lighting system. ♪ it is more than a hot stone massage. and more than your favorite scent infused into the cabin. it is a completely new era of innovation. and the highest expression of mercedes-benz.
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>> i'm cheryl casone with your fox business brief. boeing announcing it will ramp up production of a 73aircraft. boeing currently producing 3planes a month. it will increase the rate to 42 planes a month by earlier next year. once fully implemented the 737 program will build 560 planes per year. manufacture everring activity hit the highest point since 2011. 65.9 from 55.7 in september. it is the biggest monthly jump in more than 30 years. higher customer demand and inventory replenishment are cited for increase. warning for retailers of morgan stanley. bank analysts predict this will be the weakest who say season since 0.
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morgan stanley expects shoppers to trim spending, consumer confidence to remain low and mall traffic to be weak. that is the latest from fox business, giving you the power to prosper.
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adam: jamie dimon may be in the doghouse with the u.s. government but sources tell charlie gasparino that the ceo of jpmorgan was being wined and dined with the royals in london last night. charlie joins us with some exclusive details. now did he actually get to meet her royal highness and have dinner or second string? >> prince andrew, where would you consider him? adam: i would consider that a snub. if you want to "meet the royals" you want to meet the queen and king. >> this is really negative story. i thought it was good. he met with prince andrew, part of jpmorgan international council. top fishes that work for jpmorgan and people consultants with jpmorgan.
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henry kissinger is part of this thing. tony blair, former u.k. prime minister. they met with u.k. officials, global financial leaders in london and jamie dimon spent last night at a private dinner with the council at buckingham palace with prince andrew. i guess sponsored by prince andrew. the interesting thing is this. as this is going on in london, from what i understand dimon is over there today as well doing the same sort of stuff they're still negotiating the big deal and big mortgage settlement with the government. i talked with jpmorgan officials over last couple days. i will say this, with near certainty, you can never say 100%, with near certainty, they say this deal is going to get done. so i'm just pointing out, yes, you read the report that is there is roadblocks and stuff like that. we reported some of that. i'm going to tell with you near certainty, jpmorgan think that is the dole and, basically along the lines of what you've been reading, a nine, i guess nine that is left, $9 billion settlement. adam: we have 5.1 billion with
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fannie and freddie. >> they may find a couple other billion here and there to throw in. the sticking point on the fdic issue whether they can ask the fdic cover some of wamu problems. this is about mortgage fraud. jpmorgan says it inherited some of the fraudulent mortgages from wamu whether it did a assistant takeover of wamu during the financial crisis. here is the problem jpmorgan has with all this, while dimon is meeting in the u.k., it has a gun to its head. they know it. this is, you know, in the end they're just going to have to fest up and just do it and, you know, they want to get this behind them. they know that. adam: but you pointed out yesterday and this is really key, you can have a discussion when a bank takes over another bank, they took over bear stearns, they assumed liability, they admitted they take the liability, but when the fdic coordinate as takeover of failing bank by healthy bank is different. when you assume the liabilities and banks say we want it but
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don't want to have the responsibility. >> you stole my conversation with josh rosner. it was a good spirited talk. what he says that jpmorgan knew it would get hit with the liabilities because it reserved and held reserves. so what they're trying to do now is do a do-over when they don't deserve a do-over. they knew it. they held reserves against it. when you take over a bank like you don't know how -- adam: the nightmare is going to be, right. >> we're talking five years after the fact here. you know, did they ever really think they would be, you know, raked through the coals? is that the right cliche? adam: we can use that one. a lot of cliches but not prime time. >> dragged through the mud, okay, on wamu and bear stearns. remember they inherited their liabilities. these are just not liabilities. this is fraud. adam: by the way -- right. >> by the way, unlimited fraud. adam: there is difference between the bear stearns
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takeover and fdic negotiateing a takeover. you have to have the fdi consider to negotiate future takeovers to protect depositors. >> right. adam: if banks can't feel they go to the fdic for a failed bank -- >> and get unlimited liabilities, this will be issue for banking system going forward. that is the problem. that is where the government knows it has an issue, okay? adam: that is the gun to government's head. >> there are a little bit of guns to both heads. one things the press did, we've been criticized by liberal media, left media, we brought these out. that is putting a hold how much the obama administration will push jpmorgan. that is why there is going to be a deal. they will stop at some point. jpmorgan will fest up at some point. i don't think it will happen this week. i know it will not happen today. dimon is in london. you would think he would be here for it to happen. look for next week, you know and we'll, something will likely happen. this thing is going to get done at some point. i can't give you a 100%
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certainty. i give you near certitude. >> a lot faster than they get the health care act computer system fixed. >> this will happen first. then the obama administration will work on the website. adam: charlie gasparino, thank you very much. okay. lori: markets are a little changed but data out there setting tone. mark newt tan -- newton, greyhound partners, on the floor of the new york stock exchange. paring october gains today. setting tone was chicago manufacturing report, out of the park. is this good news, maybe bad news scenario again by way of the federal reserve? >> oh, i don't think so. i think the news was probably more positive than we've seen out of the indicator past couple years. that is interesting because couple weeks ago we got negative print on pmi. the data in general is lackluster with the lower payroll data and so -- lori: why not better market response then? >> well, look market has been up 13 out of 15 days. now it simply stalled out. tough to push higher here.
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interesting the sentiment regarding the fed shifted dramatically almost overnight. everybody thought we would taper march and april. after the hawkish statement, everybody suspects we might take december and january, put that back into the equation. silently, fed officials are uncomfortable with qe and realize it has to end sooner than later. we seemed to stalled out. market down typically down last day of the month. it has been down eight out of last 10 months. lori: like window-dressing settings up for newmont? >> correct. lori: that is correct mark. adam: thank you. adam: we're looking for what supermodel joining danica patrick in the godaddy super bowl commercial? you will be disappointed n surprising marketing about face the world's largest web provider decided to drop the sexual nature of advertisements and looking to bring with humor. godaddy's leadership believes it is new time, time to create a
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new brand message that focuses attracting small businesses, when the first super bowl ad aired, 2005. today it is worth more than $1.3 billion. lori: maybe, amani excuse to show that video over and over again. do you know what web daddy does? adam: godaddy? it sells domain names. lori: you're in the north -- minority. adam: it registers the domain name. lori: it made it into a billion dollar firm. let see if they keep up make it without the shock factor. government wants to track your driving thinking it could be tracking you for tax revenue. adam: judge andrew napolitano is fired up. you want to hear what he has to say about all of this.
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lori: big brother may be getting even bigger. a new movement among some politicians calling for black boxes to be installed in your car. fox news senior judicial analyst andrew napolitano has legal insight on this issue. judge, the first thing i'm thinking of. we pay tolls and easy pass here in the northeast. why this now? >> for those of us live in new jersey the system for paying tolls for the turnpike which runs up and down the spine of new jersey, north and south you pay by the distance you travel. you get on, get a ticket. when you get off you pay by mileage where you travel. you do that by computer where you don't have to pay cash or pay cash to the attendant. the money from the turnpike goes to maintain the turnpike but the money that we pay the at pump in new jersey, the tax on gas does not go to maintain highways. it goes to the general treasury
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of the state of new jersey. thus is the case for the gasoline tax throughout the united states. adam: couldn't make it a dedicated tax? >> politicians will not abide the dedication. turnpike authority is a separate corporation that owns the turnpike. adam: right. >> so the politicians can't steal that money without commiting a crime. adam: that never stopped them. >> but here's the point. this is just a revenue-generating mechanism. first the government says use more efficient cars. so we go to more efficient cars. government says we have to find another way to tax you because more efficient cars using less fuel. adam: discussion about puting a device in the car that would read mileages you drive and track you essentially. could you fill out, my odometer said this and end of the year said this and charge you based on that? >> yes you could. the device is more insidious than that. it not only reads amount of gas you wouldn't, reads where you went, and reads how long you idled. reads how fast you went. reads whether you came to a
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complete stop at stop sign. you want to get a ticket three years later, mr. shape pirro, you ran a light at 6th avenue and 47th street in 2006. what? we have a computer, we have a computetory prove it? do we really want big brother in our faces like that? common. lori: there are certain insurance companies will offer incentive if you do have the black box or some way of monitoring driving habits, give you a break on insurance. does that make it sound better? a little better deal? >> a better deal for people willing to sacrifice their privacy in return for a few dollars. what i suggest people do with black boxes in the cars now? take them out. lori: when driving across the bridge dash. >> sometimes that black box can save you. sometimes when you're accused of a vehicular infraction, the black box will prove that the police judgment was wrong and yours correct. you take it out at your peril, but this particular black box we're talking about would be a criminal offense to remove it.
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lori: go on. adam: nationwide looking at this. >> this is by state. right now it is by state. lori: different technology than they use in the airplanes? the black box is answer to all problems -- >> it is different technology than used in the airplanes. it gives them all that other information. you idled for too long. you burnt too much fuel in 2006 when we caught you for that, stop, going through the red light we ticketed for you now. lori: all passengers on the airline are not privy to that information and their personal privacy and, you flew from los angeles to new york, full stop. that's all you did. >> here is something i suggest everybody look at. will these black boxes come about after a great debate in state legislatures like we are having now? or by some executive or secret governmental decision? because if it is the latter, you know it is not popular. if it is the former at least people participated in the democratic process. either way a violation of privacy. lori: nothing is sacred anymore. >> unfortunately that's true. pleasure. lori: fortunately you're able to join us today. >> thanks for having me.
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adam: we'll turn to something sweeter, candy corn. he doesn't do sweets but candy corn. call it hills epsend rath effect. markets took a plunge when jon hilsenrath said tapering was on the table for december. he comes here next when tracy byrnes and ashley webster take you through another can't-miss hour of "markets now" so we could be a better, safer energy company. i can tell you - safety is at the heart of everything we do. we've added cutting-edge technology, like a new deepwater well cap and a state-of-the-art monitoring center, whe experts watch over all drilling activity twenty-four-seven. and we're sharing what we've learned, so we can all produce energy more safely. our commitment has never been stronger.
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ido more with less with buss energy.hp is help. soon, the world's most intelligent servers, designed by hp, will give ups over twice the performance, using forty percent less energy. multiply that across over a thousand locations, and they'll provide the same benefit to the environment as over 60,000 trees. that's a trend we can all get behind.
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ashley: good afternoon, everybody, i'm ashley webster. tracy: i'm tracy byrnes. happy halloween. call it the hilsenrath effect. markets took a plunge 24 hours ago when "the wall street journal"'s jon hilsenrath that the fed still has tapering on the table for december. we happen to be joined by that very man, jon hilsenrath, the man that can apparently move markets. we'll go and find out what is next for the fed.
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elizabeth macdonald will be here to go one-on-one with him. you don't want to miss that. ashley: faa says yes to using some electronic devices on planes. you still can't make a cell phone call. our twitter question, should be able to? tweet us. tracy: what is the point? are you using electronics anyway? ashley: you're supposed to turn them off when they take off and land. tracy: everybody does that, sure. ashley: well, now we know you don't. tracy: exactly. turning gamblers into traders. cantor fitzgerald tries it and may face charges for money laundering. we'll talk to a former federal prosecutor ahead. ashley: in tech minute, what the heck is google up to. mysterious barges in california. like plot of mysterious bond movie. what are they doing? it's a mystery. anyway, markets search for gains, gold down almost 2% the day after the fed makes no changes to its bond-buying
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program or interest rates for at that matter. we have team coverage with lauren simonetti on floor of the new york stock exchange. sandra smith in the trading pits of the cme. lauren, let's kick it off with you. >> hi, ashley, hi, tracy. gold is down and because of dollar is up. you have jon hilsenrath on the show and taper by the fed could happen sooner than many people think. that is why the markets are stuck. dow is down a point. s&p is up a point. great october for stocks, up 4% for the broader market. leading the market today, sectorwise, discretionary stocks, consumer stocks leading way. financials are lagging. if you look at dow visa, american express are losers. on top of the blue-chip average, exxonmobil on earnings. boeing is up 12% this month some nice gains for them of the back to you, tracy and ashley. ashley: thank you, lauren. the dow essentially right where it began. sandra, gold dropping steeply
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today. >> big selloff there and as lauren said this is all about the u.s. dollar and the fed's potential next move. it is hard not to walk around on the trading floor not see a chart of u.s. dollar index or euro currency on traders screens. pretty much everything you trade is based on the u.s. dollar. right now we're seeing u.s. dollar index back above0 first time since october 16th. it has been up five straight days and continues bullish momentum. euro currency very weak against the u.s. dollar as well as many other major currencies. weak precious metals as a result, guys. when you get a rally in the u.s. dollar you get a drop in the precious metal prices. all these commodities are denominated in u.s. dollars and when the greenback is up, these go down. silver is the worst performer at the contract me today. down about -- cme today. down about 5%. gold, huge at 1323 a troy ounce.
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all aspectlation grows in the investment community we could see the fed taper its asset purchases by year's end. citigroup and barclays both put out notes today. they are speculating we could see the end to tapering or trimming of tapering by the end of the year. that is why the bets are heavily on. as you hand it back to you guys, copper, more of an industrial play. more than the fed's statement yesterday, copper prices would be way up today, guys. we got the huge pmi number, purchasing managers index out of chicago, huge economic news but copper still down today. you have to believe that is fed and dollar play right there. back to you. ashley: a lot of pressure with a strong dollar. sandra smith at cme. thank you so much. tracy: the fed basically surprised no one yesterday with the decision to continue with its current pace of its bond-buying program. markets are slightly higher than the decision. the comments came after from one of our next guests.
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it sent the dow tumbling down. you can see in the chart right hire on the screen, those of you watching, "wall street journal" chief economic correspondent john hillsborough with us and very own smarty pants, lizzie mcdonald here. jon, everyone saw the chart and listening on cirrus 113, your comments that tapering is still on for december. how did you get access to the bat phone by the way. >> i wouldn't read too much into that. i was reading the same statement everyone else was reading. the fed came out from the meeting in september, bernanke said in the press conference they could start by end of the year. all the forward-looking comments in statement in october is the same. it is logical. but i think people need to catch a breath. this is always the case in the market but there's a very big difference between still on the table and likely. you know, i think it really,
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truly depend on how the economy performs over the next few months and we don't know how the economy is going to perform over the next couple of months. so we have to see. i mean i would have to say, there are real hurdles to them pulling back on this bond-buying program. when they meet in december they don't have a lot of time really to make a decision about whether the economy has weathered all the fiscal storms for instance. tracy: right. >> so, you know, it is, there are hurdles to this but i think people should understand there is a difference between on the table and likely. tracy: it's a great point of the lizzie, pull you in. it is on the table i will lose five pounds before the holidays but is it likely? probably not? >> that's a great point. yeah, we, me too, i'm on same boat with you. tracy: he is right. we can talk about this six ways till tuesday but will it happen? >> it is odds whether they happen by december. jon makes a great point here. the i can issue here the fed for
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the first time made a september minutes than, reiterated it, almost carbon same line, hawkish line, read like this the committee sees improvement in economic activity and labor market conditions and growing underlying strength that made the wall street chatter boxes go off and go best second quarter. i'm hearing what jon is hearing. i'm hearing by at least by march of next year you will see the fed starting to dial back. whether we see first indication of a cut back in december remains to be seen. we have budget fights out of washington, d.c. by mid-january, tracy and ash too. tracy: that is real interesting point. no real talk of a government shutdown. everyone read the statement. peter barnes pointed it out first to us it was kind of about mortgage rates, right? they pulled back so apparently things are getting better. >> well, i think that was just a nod to reality. so in their statement in september they said financial conditions had tightened and
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there was some concern about that. well, it's a fact that financial conditions have eased since the september meeting. long-term rates have come down and stock prices have gone up. so i don't read too much into the fact they took that part of the statement out because they're kind of acknowledging reality. i mean i think what really matters here is that the framework that they have had after their september meeting which was basically, they're waiting some confirmation that the economy will pick up hasn't changed. if they get the confirmmation, what people in the market should be responding to now is data and economic data because that is what the fed is looking at. that is what will drive the decision much the problem that the data will be scuffed for the next month at least pause the data collection agencies were shut down for 16 days earlier in the month. tracy: i want to ask you both before we go, lizzie, you first, are you worried about the yellen confirmation hearings at all? >> no.
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that senator paul holds it up? no i think she gets confirmed. i think budget settled in dead of night late december or january when markets are looking elsewhere. i think we'll see budget deal to offset a debt seeing crisis. that is separate from what the federal reserve does but as jon points out they look at all sorts of economic indicators. and i'm thinking, jon can talk to this, the labor force partial rate is very low. that is another economic indicator they will look at as well. tracy: not good. you want to address that and your yellen concerns if any? >> let me talk about yellen for a second. i think her confirmation hear is very important but people are focusing on wrong thing. the question whether she will get confirmed or not. agree she will most likely get confirmed. this is the chance where we get to see yellen and hear her talk about how she envisions herself running the fed. i think it will be a very important moment for the market. and you know, she could give
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some indication about what she thinks about the bond buying program and whether she wants to keep it going. that i think will really capture the market's attention. it will be the next market moving event. tracy: mid-november, for those of you marking your calendar. >> mark it down. tracy: jon hilsenrath, liz mack marks thank you both so much. ashley: this is a talker today. the faa, federal aviation administration, expand their electronic device use on planes finally but coming up we'll talk with the former faa inspector general and our twitter question today, should you be able to make cell phone calls on planes as well? you still can't. tweet us. your responses coming up. tracy: would be a little annoying. even the coast guard can't figure out what google intends to do with barges in san francisco and maine. we'll look at possibilities in our tech minute. ashley: wonder what is on there. we take you behind the big businesses of haunted houses. tracy: i'm scared. ♪ [ male announcer ] it is more than just a new car...
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ashley: you know what that means, time to make money with charles payne. he is looking at technology sector with silver spring network. >> hey, guys. smart grid play, they have been threatening us with the smart grid for a long time. listen, stock's up a lot. i will get to that in a minute. they did report pretty good numbers, record revenue, record gross margins. gross margins 42% from 31% a year ago. making cash as opposed to losing money. what i like they were founded in milwaukee, wisconsin. taken on international feel. during the quarter they had a deal in brazil, they're in portugal, cope -- copenhagen. they say it will be a 20 billion-dollars market next few years. it is fragmented. there are a lot of smaller players, but feels like they're gaining traction. two quarters ago they had 80-cent loss. then this earnings report they
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actually had a profit, 19 cents. everything seems to be coming together. now the stock is extraordinarily volatile t was high as $33 in august but where it is now i think is still a buy even though you chase it today. tracy: do your subscribers own it? >> this is one we don't. i just started looking into this today and i haven't had a chance to mention it to them. i really like this one a lot. it will end up being on trading service as opposed to buy and hole service. tracy: where do you get out? >> because of the beta. i think it makes a major breakout at 22. close at 22. kind of there i let the stock tell me. tracy: or you have to come back and tell us. >> hopefully i can. ashley: charles, thank you very much. >> thanks, guys. ashley: good stuff. tracy: all right, it is quarter past. we have to check on the markets. lauren simonetti on floor of the exchange. lauren i too love candy corn. i can't believe you're a candy corn hateer? >> i try it. not a complete hater. tracy: come on. ashley: is that un-american?
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tracy: totally un-american. tracy: you have to talk about exxon but i was more concerned about the candy corn. >> i love you're in the spirit of halloween, tracy. tracy: i am. i have a little orange going on. >> i love it. i have black which is kind of boring. talking energy earnings. three stocks all to the upside, conoco, exxon. exxon is actually up 1.8% right now, but contributing nine 1/2 positive dow points. basically the dow would be down without exxon. this is from exxon the world's largest publicly-traded oil company earnings report. profits were lower but beat expectations. production higher but profit margins thinner. it's a western. back to you. tracy: thanks, girl. see you in 15 minutes. >> okay. tracy: president obama plays offense as new polling finds his popularity is at new lows. we have details ahead in the fox minute. ashley: the faa changing its mind on using some electronic devices on planes but guess what, you can't still make a cell phone call?
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thank goodness. i don't want to sit next to someone yakking away. our twitter question, should be able to make that call? your responses later. the euro is continuing to lose ground to the u.s. dollar but a mixed picture today. the pound and the canadian dollar actually gaining ground on the dollar as is the japanese yen. we'll be right back.
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>> 20 minutes past the hour, i'm arthel neville with fox news minute. syria has made the deadline for destroying equipment used to make chemical weapons and fill munitions with poison gas. that comes from the organization of prohibition of chemical weapons a day before the headline. looks like troubled launch of obamacare and recent government shutdown have taken a poll on president obama's image. according to new nbc "wall street journal" poll only 42% of mr. obama's job performance is approved. that is down 5%age points from earlier this month. according to the just-released calendar, the house of representatives will be in session 113 days next year. that is down from this year's
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scheduled 126 days. many house members part of their time on the campaign trail running for re-election in the 2014 midterm elections. those are the news headlines on the fox business network. get you back to ashley and tracy. ashley: arthel negative very, thank you very much. >> you're welcome. >> preparing for takeoff no longer means shutting off the electronic device. well, kind of. the federal aviation administration easing regulations when you can use your cell phone and tablet during take off and landings. delta and jetblue submitting e device plan to the faa you could use devices soon as tomorrow. joining us mary schiavo, former inspector general at department of transportation. thanks very much for joining us. we'll get into the cell phone issue. you can use the e device for reading, working, playing games, movies. is there any proof that these were dangerous in the first place? >> no. most of the proof was, came from
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various stories, someone said they thought it might have. when the pilot gave an order to shut everything down the problem went away. except by that point you move ad few hundred miles from where you had the interference. it was always, you know, just stories or reports and so the fa. a has moved finally to make things fit the, fit the science which, no documents problem means that you should be allowed to use them. tracy: mary, tracy byrnes. you alluded to cell phone thing. why not cell phones? other than annoyance, rudeness factor of your neighbor talking entire time what's the difference? >> because the cell phone issue is not a federal aviation administration issue. the cell phone ban is federal communications issue. it is different frequencies. for the airlines to allow these personal electronic devices they have to certify to the faa they have tested planes and they can with stand high-intensity radio frequencies. new planes can.
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they're built that way. this is tougher on older airlines. the cell phone is slow government agency and slow one. the fcc is even behind the faa. ashley: i'm always interested, mary, pilots themselves sitting in the cockpit nearest to the instruments were already using e-devices and using internet connections, right? >> that's right. the pilots already have an electronic flight deck, electronic flight bay. they have been issued laptops. they're already using them. some of the testing airline has to do if determine the electronics pose a danger closer to the cockpit or not. so they will be checking into that too. pretty hard to argue there is a problem when the pilots are up there working on laptops. tracy: truth of the matter, if you can get wi-fi you can face time and make calls and do all that kind of stuff anyway. don't really need the cell phone to come on board. do you think they are going to pursue this with fcc? >> no. i don't think i will pursue with the fcc you're exactly right.
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airlines have incentive to make sure their planes are certified for peds, personal electronic devices and airlines with newer, modern equipment will be able to do it literally, not overnight but right away. they have to come up with placards and warnings and what they tell passengers and those kind of things. once you can do that, and you will have to airline wi-fi network. you pretty much have equivalent of all communications you need. i don't think the fcc will be allowing cell phones anytime soon. ashley: mary, flying these days is a bit of a nightmare experience. once you get through security, you're on cramped planes. you're being charged for everything including the air these days inside the cabin. finally good news for the passenger, isn't it? maybe something airline industry gives back to the passengers who seem to be paying fees everywhere they turn and having to put up with some pretty poor service. >> well, i see it the other way. the airline can now sell more wi-fi to all of us who will be
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unable to sit there for two hours. we will have to get on wi-fi. they could stand to make a little money, more money, that's true. one way of looking at it. mary, thanks as always for joining us. >> thank you. tracy: she is dead on. another fee. but she's right though, one you will be -- ashley: i watch movie on my own device and not turn it off. so i guess that is something. tracy: woofy with the kid. i don't know. turning gamblers into traders, how about this? can't it fitzgerald tries it and may face charges of money laundering. we're on the case next with a former federal prosecutor. ashley: what is google up to? mysterious barges parked off waters of san francisco and maine. inquiring mind want to know. guess what, not even coast guard can get answers what they're doing there hmmm. ♪
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tracy: 90 minutes til the close, take a look at your dow 30. a lot more green than red on the screen, definitely more than yesterday. exxonmobil was just talking about having a real good day, that's your big winner. your loser is visa. been talking about starbucks and mcdonald's, mcdonald's is up today too. lauren simonetti watching gaming earnings. no more starbucks, huh? >> i did look like candy corn for you, tracy, i didn't find it on the floor. mgm and boyd down sharply, mgm down 6.25%, it posted a narrower third quarter loss, but margins are a problem. in las vegas where mgm operates a dozen casinos, so those are some problems and headwinds for this stock.
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back to you. tracy: thank thank you, laura. ashley: cantor fitzgerald wanted to shed its boring image, so it opened up sports viewing spots in vegas. something went wrong along the way, and now cantor may face charges of handling illegal bets and laundering cash. joining us, former federal prosecutor doug burns. thank you so much for being here. >> my pleasure. ashley: you know, you look at this case and say what in the world was cantor thinking about when it wanted to get into this business? the profit margin extremely low, but you open yourself to these kind of charges. >> absolutely. everybody who looked at this came with the exact same philosophy you did, why in the world would they go into gaming? it's an interesting animal, for lack of a better term, because it's legal in some places, and it's kind of hard, jurors very
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often, you know, it doesn't hit 'em as viscerally as, you know, murder and robbery and this and that. but the thing about gambling is the ancillary crimes that are associated with it. you have money laundering as you just mentioned at the outset, dealing extensively in cash which reeds to, big surprise -- leads to, big surprise, tax evasion. and then loan sharking because people need money quickly. societies founded on gambling for the ancillary stuff. but you're right, it was a surprising move. ashley: so in this case we have one person that's being targeted, the company itself as a whole is not right now. is that correct? cantor gaming itself. >> no, you're exactly right. what happened, and it's kind of interesting the rhetoric and public relations spins that came out, but an individual named michael colbert, an executive with them, was charged with a federal crime which is violating nevada gambling laws and federal
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gambling laws. and the point is the rhetoric part i was referencing was that he was on his own, we had no idea -- ashley: distancing themselves. >> and i think the very, very good question you're raising is, wait a minute, where is this going to lead to? because he's cooperating. will they make another case? if so, against who? and then back to the original premise, will it have turned out to be a huge mistake in the first place? i think you're right. ashley: a number of different agencies are part of this, you know, investigation, new york city police department, internal revenue service, treasury department, it's a mouthful. inspector general, the federal reserve board, the nevada gaming, i mean, there's multiple agencies all getting in here. >> that tracks what i said earlier which is you've got all these ancillary things. so you'll have a money laundering task force, you'll have the irs in there, the fbi, and the point is it really is the stuff that spills out of gambling. and by the way, in this colbert
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case, actually, they were using runners -- allegedly -- to place bets. so what that means is it may be legal to have legitimate individuals in good faith, doug burns, ashley webster walking in placing a bet, but we can't send multiple runners os spence my on -- ostensibly on behalf of ore gamers. ash alabama hopefully, doug, you'll come back and explain more. thank you. don't forget, stay tuned to "countdown to the closing bell" when liz claman asks the man himself, howard lutnick, about cantor sports betting operations today at 3 p.m. eastern. don't miss that. ♪ ♪ tracy: go from swipe to slip. apple losing market share, third quarter down to 29% compared with 40% same time last year. this is apple's lowest point to date. the slip is due to the push of
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ipad launches to the fall. now apple is certain to make up some ground with the all-important holiday season, so have no fear. and who doesn't love a mystery on halloween? hmm? the coast guard, not so much. they visited the secret google barge that is floating in the san francisco bay and some speculate is a floating data center while others guess it might be a floating google glass store. really now? google has refused to acknowledge any connection to the san fran barge or others like it, including in portland, maine. the coast guard is very hush hush, at least one employee signing a nondisclosure agreement with google. i say it's a floating bar and they're dancing, and there's strippers all night long. ahead of next week's highly-anticipated twitter ipo, the social network site has been hit with a lawsuit. welcome to the public markets. two financial firms claim that
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twitter used them to arrange private sales and market value without any intention of closing the deal. the firms are looking for lost fees and compensation for damages. twitter has denied the allegations and says the company has no relationship with the firm. you know i'm right about the barge. ashley: the ever-popular stripper barges, they're everywhere. [laughter] thank you, tracy. well, that's one theory. dell is changing the way it manufactures some of its laptops, and the reason why may surprise you and perhaps disgust you. the story ahead. tracy: and on this halloween, a story to scare and surprise you. what is that? [laughter] the big business of haunted houses. i am chicken, i would never go to a haunted house. we're going to speak to a scary insider, next. ♪ ♪ it's a growing trend in business:
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ashley: breaking news for you, a government official just announcing their adding experts from three major tech companies to work on the problems around the health care dot golf went site, the obamacare web site. rich edson joining us now with the latest from d.c. what took so long? >> reporter: they're calling in google and red hat, this is coming from the administration
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right now. michael dickerson is a site reliability engineer with google, and he is working with qssi, the general contractor, to leverage his experience using large, high-throughput applications to improve reliability and performance on, part of the tech surge the administration announced a couple of weeks ago. red hat and google employees and will include individuals with expertise on site reliability, stability and scalability, all things that the administration has admitted is lacking. back to you. ashley: all right. need all the help. thanks very much, rich, appreciate it. tracy: you hate to give a nod to the donald, but that was his idea from the get go. call eric schmidt. the business of scare, there are 1200 haunted houses in the u.s. they actually make up to $500 million every year in revenue from ticket sales of these things. this doubled in the last decade according to trade group america
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haunts -- that's for real. so what's behind the rise in popularity? we're going to bring in amber, owner of the haunted attractions in kansas city. this is a cool business to grow up in, because you've been doing this forever, right? >> i have. i was 5 years old when my mother and grandmother started the industry, so you're here -- happy halloween -- in the heart of kansas city, in the heart of america and where the haunt industry actually began. ashley: so, amber, do you always dress the way you're dressed right now? is this a yearlong thing? >> you know what? it does take a year to prepare, but the black lipstick and glitter only comes out on halloween. ashley: ah, too bad. tracy: the bulk of your revenue comes october/november, right? what do you do the rest of the year to, you know, put food on the tablesome. >> well, it's definitely a seasonal business that is very difficult, and we've had indiana credible growth -- an incredible
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growth. we operate four here in kansas city, and we actually commercial lease the space that we don't utilize for the haunted attractions, and that helps cash flow year round. a lot of the other haunts will have other businesses that they work in. a lot of the attraction owners now will actually work in the industry to make props, to actually make masks, to work in makeup to where they're working in their field year round, but they're able to sell that to other haunted attractions and newbies coming into the industry. ashley: amber, does it get harder year after year to scare? we've become so desensitized, especially the younger generation, to what we consider scary. is it hard to, you know, to get people to get a good fright every year? >> you know what? yes and no. yes, technology has definitely changed from 1975 to 2013, and you're right, the teenagers today have quid owe games that -- video games that they are playing with every day, the movies and the special effects
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are astronomical so, yes, it makes our job harder. and we're also high technology now too. when you walk into one of our scenes, you break a laser beam that creates this whole environment. but that is the key. we touch all your senses, and it's also about the fact that you're in the action. you live within that scene. and so that's a whole different feeling, and that's bringing your own adrenaline. we studied the psychology of fear and phobias, and the way that the haunted attractions are laid out brings those elements into play. and it make a big difference when you're there or you're watching other people get scared which can be very humorous. [laughter] tracy: humorous, i guess. people do enjoy this kind of stuff. i am scared of my own shadow, so i wouldn't even walk across the street from one of these things. have the zombie movies helped though? i've got to believe kids want to be zombies now, so your haunts are the place to be. >> you know what? this is the year of the zombie, unbelievable.
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you'll see that vampires, waive wolves, these -- wear wolves, these types of creaturessing continue to change every single year. it's definitely something you're bringing to life, but, yeah, this is the year of the zombie. we have zombie walks here in kansas city as well as other attractions across the country x. these types of mainstay characters, the more classic characters, is something we continue to work with. ashley: what frightsen you, amber? >> there's not a whole lot that frightens me. tracy: good answer! [laughter] ashley: i believe that. tracy: good stuff. thanks for being here with us. screams and laughter from kansas city. ashley: there you go. thank you, amber. well, superstorm sandy washing out halloween celebrations last year. today trick or treaters are dealing with a storm moving from the nation's midsection into the east coast promising a lot of rain, wind, maybe even tornadoes.
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let's head to the fox weather center and rick reichmuth who has the ghoulish details. >> reporter: you know what? it was two halloweens in a row that we had big storms across the east coast, and there's another one, but it's farther off towards the west this year. take a look at this. incredible rain falling in towards parts of new england, but the worst is definitely across areas of that central gulf area. one tornado watch is about to expire at the top of the hour, and then there's another one right here, this one goes until 7 p.m. so potentially dealing with a few tornadoes today, definitely some very strong winds and maybe a little bit of hail. but a lot of areas, unfortunately, dealing with some big problems here. this is our setup that we've got going on. yesterday we had it around the austin area, up towards over 11 inches of rain, so major flooding, and that's happening now across parts of louisiana and across parts of missouri later on in the day. this is hour the storm shapes up, this is the future radar. go through the next couple hours towards 6 p.m. as the kids are
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trick or treating. areas of the ohio valley, the great lakes, still down parts of that central gulf dealing with significant rain. tomorrow your morning commute is a big problem all up and down the eastern seaboard, this is finally out of here by the time we get towards saturday. but this is one problem you'll have towards the west of us guys and tonight for trick or treating, the plains are looking good, much of the southwest and most of the west coast you're looking great for your trick or treating tonight. ashley: it could be worse, as they say. rick reichmuth, thank you so much. he does his own makeup, did you know that? tracy: he's so multitalented. ashley: i saw him just doing his own makeup. tracy: it's quarter til, we head down to the floor of the new york stock exchange. mark newton joins us. you were with us yesterday right after the fed announced. everyone was talking about it potentially being on the table for december,, you believe like, huh-uh, not today. pretty much everybody agrees with you, are we back to normal trading for a whilesome. >> i don't know about normal
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trading. the market's been up quite a bit over the last several weeks, 7%. but that's going to continually be a question, when is this tapering going to happen? even a hint of it yesterday sent indices down, it hasn't even been mentioned yet, much less has it happened. so my thinking is still it's probably march, april. the economic data certainly isn't going to improve substantially enough for anything to happen in december or january, so it would really only be a case of trading face. tracy: it keeps the skittishness around, right? this uncertainty, you almost wish themed give you a date so you could put it on the calendar and work around i want. >> i think that's part of the statement was a little -- the reason that the statement was a little more hawkish. i think behind the scenes people are uncomfortable with the fact that tapering hasn't begun, and it probably needs to happen -- look indices right now back in the green for halloween, and we're going to close almost 5% up for the month. incredible.
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tracy: it's all because of the candy corn, mark newton. thank you very much. [laughter] ashley: you're a big fan of candy corn. it's just a big -- tracy: you know what it is? ashley: it's a sugar thing wrapped in wax pair fin. tracy: you eat so much today that you don't want it the rest of the year. that's what happens. ashley: scary. sony blaming its movie division as the stock plummets 13%. dennis kneale ahead on whether there's any hope for a recovery. tracy: speaking of movies, one more halloween story before we leave you. we're going to tell you how to easily tour some of the scariest locations from your favorite horror flicks. the dow's up 25 points. don't go anywhere. ♪ ♪ tdd#: 1-800-345-2550 trading inspires your life. tdd#: 1-800-345-2550 life inspires your trading.
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ashley: sony in a setback. sony's stock down 11% today as the stumbling electronics giant posts a surprise loss of almost $200 million. dennis kneale has more of what's going wrong there. >> sony blaming the flop of two mega budget summer films, white house down and will smith's after earth. white house down cost $150 million to make, plus marketing, took in only $73 million in the u.s. after earth cost $130 million to make bringing in only $60 million in the u.s. but worse, the company reducing its full-year earnings outlook by 40%. the setback on the soft side of the house coming just when it looked like sony was starting to make some progress fixing the hardware side, stemming losses
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in its razor-thin electronics business. sony cut sales forecasts for computers, video cameras, it ran a loss in five of eight major segments. the tv set business finally was in the black a quarter ago, it lost over $100 until in the september quarter. this tumble is a tough blow for the sony ceo. he was installed last year to succeed howard stringer. only months ago he had fended off the intrusions of hedge fund rabble-rouser daniel loeb who had pushed to have sony spin off a piece of its entertainment business and use the cash to resurrect the battered tv biz. he argued that the troubles in electronics were siphoning off focus from the entertainment business, and now both businesses are hurting, ashley. ashley: they did have some pretty spectacular flops, didn't they? the amount of money -- >> they sure did. i hear in the short term you end up making it back, and the long tail that they talk about. but overall, tough for sony
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right now. ashley: they're always just one blockbuster away from getting right back up -- >> it's a hit or miss business. you want enough other types of brands -- tracy: like music and all that stuff. >> yeah. but sony, i think they should think about that split up. daniel loeb thought they should -- tracy: because what's their bread and butter right now? >> right now both businesses are kind of hurting. but the electronics business, never been a whole lot of synergy, and today when you look at the market, you feel like the content guys really are in charge now because they're selling that same thing to many, many platforms over there, and maybe they ought to free that thing up from the electronics guys. ashley: dennis, thank you so much. appreciate it. tracy: all right. so just in time for halloween, all you horror buffs out there whoever you are, there's a mapping software company that has rolled out an interactive geography of horror map that
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shows you where more than 200 of the scariest movies took place. the massive mansion in "the shining" where jack nicholson famously yells, here's johnny, is in colorado. how about the haunted house taken over in poltergeist? that was in california, and, of course, there's also godzilla which took place in tokyo, japan. the map uses data from imdb and wikipedia to plot out the locations and are sorted by decade. ashley: it's kind of interesting, if you're into horror movies -- >> godzilla, not a horror movie, i'm sorry. tracy: the mechanical monster, you mean? [laughter] jaws now, i still can't watch it because i am chicken, but it is very mechanical and not -- ashley: at the time i wouldn't even go in the bathtub, you know? [laughter] what can you say? i wouldn't. tracy: i wouldn't either.
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i'm total chicken. liz claman is not, and she's here. "countdown to the closing bell" is next. the dow's up 15 points. she's got some good stuff coming up. don't go anywhere. ♪ ♪
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♪ liz: good afternoon, everybody. i am liz claman. it is the last hour of trading. major indices regaining the footing after taking hits from lackluster earnings reports from companies like avon and craft. some green on the screen. not too horrible. if you are watching after the close yesterday, this is fascinating. shares of the social networking site pop as much as 15% in the after-hours market. that was based on strong earnings growth and a lot of leaf this company has got it going on. the gains quickly evaporated after the earnings conference
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call where executives talked about facebook wendelin popularity with the oh so important demographic, the teenager. apparently teens are tuning out. the fact that has reached maximum capacity in facebook ads. back to where it hit yesterday. just about a percent and a half higher. you can see there is a gain nowhere near the 15% gain initially absorbed in the aftermarket session. á this is a company that went public at 38. we have seen the ads for men's warehouse and with the famous tagline you are going to like the way you look, we guarantee it. shareholders probably the like the way .mac look of a counter offer. boosting the $2.3 billion bid for men's warehouse. can you see these two get together?


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