Skip to main content

tv   After the Bell  FOX Business  October 30, 2019 4:00pm-5:01pm EDT

4:00 pm
place to look at. [closing bell rings] technology has long term story. a place where we think you can make money as well. liz: we'll see if mark tends to be correct. i kind ever tend to agree with you, mark. thank you very much. second day in three days for s&p record. connell: all three major averages ending the day in the green after the fed decision, cutting interest rates by a quarter point. downplaying any expectations they will be raising rates anytime soon. the dow ending the day higher by 117, almost 118 points t was a volatile session. but at the end we traded up. good to be with you, i'm connell mcshane. melissa: i'm melissa francis. this is "after the bell." new record close for the s&p 500, its 15 of the year. nasdaq is hovering near record territory. we're waiting two high-stakes reports that could massively shake up the market one way or another.
4:01 pm
facebook and apple are set to report quarterly earnings. find out numbers here before it impacts your wallet tomorrow. whether you own the stocks or not it will tell a lot about the economy going forward. connell: we have fox team coverage ahead of all of that gerri willis waiting for all numbers on the floor of the new york stock exchange. edward lawrence, at the fed reserve in washington. deirdre bolton on the earnings. we start with you, ed. reporter: federal reserve cut 25 basis points off the federal funds rate. they did that the third time in a row. based on global economic slowdown and trade uncertainty. chair of federal reserve jay powell signaled this may be a pause in rate cuts that are coming here. the federal reserve, really market took off when i asked this question, how the federal reserve chairman answered the question. just listen. >> we just touched 2% core inflation to pick one measure.
4:02 pm
just touched it for a few months. we have fallen back, so. i think we would need to see a really significant move up in inflation that is persistent before we consider raising rates to address inflation concerns. reporter: he is saying no rate hikes until persistent inflation. market likes news. market is strong, consumer spending driving the economy, business invest remains slow. he point to the economic slowdown and trade uncertainty as a reason for that. the fed chairman says if you sort some of that trait uncertainty out, it may fix the problem. listen. >> we have that phase one potential agreement with china which, if signed and put into effect could have an effect reducing trade tensions, reducing uncertainty and that would bode well we think for business confidence and perhaps activity over time. so that has, has the potential
4:03 pm
for being an improvement in the risk picture. reporter: two fed presidents dissented for the third time. kansas city fed president esther george, boston fed president eric rosengren. both believe the fed met their mandates, stable prices and unemployment. it makes the fed rate 1 1/2 to 1 3/4. melissa: the fed heads try to make the tone as boring and low as possible. they must teach them that. gerri willis on the floor. >> we talked about how this is volatile day but on a federal reserve day you would expect a bigger move in the dow other than 115 points. typically jay powell tends to move markets big time one way or the other. usually negative. so this was considered a positive. i have to tell you, traders on the floor of the exchange saying hey, that was a good fed outing
4:04 pm
because the federal reserve president said really nothing they didn't expect. so you saw very little move. dow ending up 114 points. meanwhile s&p 500 hitting new all-time high. it had to beat 3039. coming in at 3046. very good indeed. good news as s&p 500 all-time high as you said. dow winners for just a second. j&j we talked about in the show last night, new tests of baby powder from a recalled bottle has no asbestos. that is very good news. it fueled the stock all day long. closing at 2.88%. meanwhile mcdonald's partnership with beyond meats appears to be spurring gains for that stock. as you can see right here. and feign alley, verizon, announcing a multi-- partnership that is really getting attention for that stock tonight. so all in all, the big news
4:05 pm
today, s&p 500, hitting all-time high. you can't beat that. back to you. melissa: gerri, thank you. connell: jonathan hoenig joins us, todd horowitz as well from the bubba trading show. we're waiting for big earnings reports. facebook, then apple a little bit later on but ahead of that, jonathan, what did you takeaway from jay powell today? anything? the idea, i guess, certainly not raising rates anytime soon, right? >> no, looks to be steady as she goes. data dependent what the federal lewded to. he is in a little bit of a sticky wicket. the market as we point out is at an all-time high. that is doing well. we had slower global growth. connell: let me interrupt this comment from the facebook earnings as we know them. the stock is up 2% as we seek. revenue in the first quarter looks at first glance to be a little better than expected at
4:06 pm
$17.65 billion for facebook. it was supposed to be up 26 1/2% from last year. it is up even more than that. i think. deirdre will join with us more on this in a moment. you will look at monthly active users, daily active users, also some ad revenue numbers. on monthly active users 2.45 billion is right in line. maybe a little better than expected, guys, todd, jonathan and, stocks coming a little bit off the highs. todd, from where i stand here, now some of this, i didn't give you a earnings per share number yet. we'll wait on comparing estimates. that might be better than expected but i'll wait on deirdre. going into the report how did you look at facebook, todd? >> i think facebook is, listen it's a great company. they get all the free data they want from their users and use it in the market to monetize that data. basically a money machine with very low costs to run that business. connell: yes, they are. i will jump on you guys again to
4:07 pm
go to deirdre. we'll come back to have a little bit after wider conversation once we have all the numbers straight. i started to go through it, deirdre. go through it again. tell us exactly what we saw. >> i have a beat. a non-adjusted number, one you highlighted, connell, 2.12 a share, compared to wall street expectations of 1.91. that is a gain of 10% if you compare this quarter with last year. revenue beating wall street expectations. 17.65 billion. that was versus revenue expectations for 17.37. you have increase of 27, 28% this quarter this year versus same quarter last year. so i think you started to allude to some of these estimates about how many people are using the product. as we know, i mean listen, brass tacks, people who don't like facebook, it is hard to argue with 2.7 billion across facebook, instagram, whatsapp, messenger.
4:08 pm
i think broader strokes are, i won't say saturated in developed world, the growth is coming from other places. waiting for a few of those lines as well. it does seem in fact -- saying 2.7 of this summer. you're right, melissa, seeing 2.2 billion. melissa: instagram, messenger. >> that is the whole facebook universe. this digital ad business, growing and growing. they have plans to monetize instagram, whatsapp, messenger. those are some larger themes. i'm looking for the breakdown of certain figures. of course i'm waiting for any headlines on some of these regulatory headwinds that they are facing as we know. current doj antitrust probe. current probe from the ftc. dozens of states attorneys general. that news may weigh on the stock postmarket. connell: all good. >> clear beat on revenue,
4:09 pm
clearly. more than 2 billion people using properties. connell: one thing, deirdre, i don't think we'll see yet, mobile ad revenue. i don't see it. >> i don't see it yet. connell: monthly active users, daily active users, facebook better than expected. joined by lance ulanoff. we get so tied up in quarter to quarter and also all the issues facebook has as mark zuckerberg or maybe regulatory concerns that deirdre mentioned. on daily basis around the world, 2.2 billion people are using facebook, instagram, whatsapp, messenger, every single day. lance, what do you think, face book? >> facebook is a teflon company. they keep saying they had a terrible 18 months. on earnings side they have not. i can see it is flattening out. i think back to the transition to mobile advertising. mobile advertising now makes up 94% of their ad revenue. it's a company that really did
4:10 pm
such a fantastic job over time. you know, i don't think that anything's really going to trade for them, especially in the regulatory space. maybe not even before the election. you can see everybody is busy doing other things. mark zuckerberg goes out there every once in a while to say how hard he is working to make sure facebook is fair platform for all even when they occasionally allow faked as to run. melissa: are we ready for lyft? lyft raising guidance, increasing revenue. we're seeing a few things cross. we want to confirm all details before we get to it. connell: we'll come back to lyft. uber's competitor. which reported tonight. apple still to come. let's stay, todd, on facebook for a moment. interrupted you halfway through the thoughts when numbers were coming out. to deirdre's point, pretty much everything so far looks strong here for all of facebook issues that seem to be in the news every single day of the week.
4:11 pm
continue, todd? >> no reason they shouldn't be strong. they get free market and people gladly hand over the information and use it regularly. where do you get a better marketing machine, very low cost, continue to market same people over and over again. target the market with new systems that they are using? it is a money machine. melissa: yeah. let's see, "fox business alert." we have lyft right now reporting third quarter results. gerri back with those numbers. connell: ready, gerri? >> ready to go. it's a double beat for lyft. the loss much less than anticipated, 41 cents a share. the loss. revenue beating by 63%, coming in at 955 million, double beat here. so good numbers there. listen to the rest of this, pretty amazing. active riders up 28% to 22.3 million. revenue per active rider $42.82. up 27%. they say they expect to be
4:12 pm
ebitda profitable. q4 20.21. that is not regular old-fashioned profitable. ebidta profitable. q4. the good numbers here. the stock popped after the close when they put out numbers, 6%. it drifted down a little lower since then. this is a food good report for them. more headlines before i go. continue to see meaningful improvements in monetizaton and strong operating leverage. and their net loss for q3 264 million stock based compensation and related payroll tax expenses. like every other young company paying their executives a handsome amount of money to stay on. back to you. connell: gerri, thank you. a lot going on here at once. almost you want to take a deep breath. that is not as bad as expected. we categorize company like lyft, losing money. they make a lot of money on revenue. one thing i want to say real quick is that, we'll probably
4:13 pm
have time to get into this in more detail in a moment, guys making headlines is not mark zuckerberg or whoever the ceo he have lyft is. it is jack dorsey who is on twitter saying they're banning political advertising from their platform. facebook is reporting its earnings. that is kind of an interesting statement to make. >> i mean well, it is kind of, seems like a slippery slope. if they will ban advertising are they also starting to look at all of the political speech going on there? also the political speech that kind of seems like political advertising? but it is also turning a way a lot of money. that is a hockey stick growth going into the end of this year and next year. they're just saying no to that, to steer clear of what is clearly a controversial sort of mess. connell: i wanted to mention that. we'll have time to put up tweets in a few minutes. in the midst of all earnings, that is coming out. we have to go to get a break in. apple is coming up. we'll get back to jack dorsey,
4:14 pm
everything else. good stuff. melissa: that is a shame. i had a lot to stay on lyft. i thought we were doing more. massive protests forcing chile to pull out from hosting the apex forum next month. what the move could mean for the u.s. and china ahead of a phase one trade deal? we are live at the white house with the latest. connell: plus we said apple is set to release its earnings report. that's moments from now. will it hold on to the spot as the most valuable public company? >> i'm in cupertino, california. apple set to report results in just a few minutes. we'll hear from company executives, including ceo tim cook. what went right in the quarter, what may have went wrong. what is happening next. ♪. ruggling actor, i need all the breaks i can get. line? liberty mutual customizes your car insurance so you only pay for what you need.
4:15 pm
that's a lot of words. only pay for what you need. ♪ liberty. liberty. liberty. liberty. ♪ (thud) (crash) (grunting) (whistle) play it cool and escape heartburn fast with tums chewy bites cooling sensation. ♪ tum tu-tu-tum tums cooling sensation. most people think of verizon as a reliable phone company. (woman) but to businesses, we're a reliable partner. we keep companies ready for what's next. (man) we weave security into their business. virtualize their operations. (woman) and build ai customer experiences. we also keep them ready for the next big opportunity. like 5g. almost all the fortune 500 partner with us. (woman) when it comes to digital transformation... verizon keeps business ready. ♪
4:16 pm
performance comes in lots of flavors. ♪ (dramatic orchestra) there's the amped-up, over-tuned, feeding-frenzy-of sheet-metal-kind. and then there's performance that just leaves you feeling better as a result. that's the kind lincoln's about. ♪
4:17 pm
wheeveryone is different.ta, which is why xfinity mobile is a different kind of wireless network that lets you design your own data. choose unlimited, shared data, or mix lines of each and switch any line, anytime. giving you more choice and control compared to other top wireless carriers. save up to $400 a year when you switch. plus, get 50% off when you buy any new lg phone.
4:18 pm
xfinity mobile. click, call or visit a store today. ♪. connell: so we told you about facebook and the stock price has, was popping higher after the earnings report. now it -- sorry, that's twitter. facebook popped higher after the earnings report. the joke that facebook reports earnings, twitter says no, wait a second we want attention for ourselves. jack dorsey, appropriate enough
4:19 pm
goes on a bit of a twitter rant to make news. deirdre bolton in the newsroom. that was interesting timing. no more political ads. >> here is what jack dorsey tweeted out, ceo of twitter, essentially saying long store short, they are not going to accept, pull the tweet up on the screen, to follow along as well, no longer accepting political ads. we made the decision to stop all political advertising on twitter globally. we believe political messages should be earned, not bought. why? he goes into a few reasons you see on subsequent tweet. this really does stand out to your point, connell, especially for what we reported yesterday from facebook with this open letter to facebook from 250 employees. of course we'll keep in mind that facebook has about 35,000 employees. that said, they did make their voices heard saying that listen, we screen and third party check ads from brands. thinking for example, proctor & gamble, from individuals, why not political
4:20 pm
figures? facebook did respond saying, okay we understand the point. we welcome free speech. et cetera, et cetera, but we will not be censoring any kind of political speech whatsoever. so it seems like twitter making a stand that facebook did not want to make, was clear about not making at least at this time. facebook though, even if you don't like the stock, listen, they hit every single metric. they beat earnings and revenue. i want to highlight the revenue growth. 29% revenue growth this year be versus this quarter last year. 17.65 billion. if you look how they're doing it, a lot of it is what you were talking about earlier with your guests, this mobile ad revenue. they continue to execute on that. i'm still crunching some numbers. seems like they even beat their own internal estimates for that particular part of the business. if you look at monthly active users, 2.45 billion was exactly in line. daily active users, slightly
4:21 pm
stronger. 1.61 was the metric. every single metric facebook looking for, exceeding wall street expectations. connell: they still have political ads. >> they still have political ads and tons of scrutiny. a current probe, current doj antitrust probe, one from the ftc, dozens of attorneys general. not as if this is one group. we won't forget either, they have actually already paid out a 5 billion-dollar settlement with the ftc. they have paid a few hundreds of millions of dollars to the uk and the eu so, they're not exactly untested. connell: no they're not. thank you, deirdre. we'll be back to you. melissa: bring back lance. i want to talk more about the breaking twitter story with political ads, pulling them. we were talking during the break, looking for twitter ads. we were trying to figure out where we saw ads before. i don't even really notice them. the fact they're pulling political ones, it is
4:22 pm
interesting. what are your thoughts? >> it is heart to notice them, ad promoting tweet, based on political campaign, who they want to see it. definitely a moment facebook is look at this, earnings, jack said hold my beer. say something really incredible here. you know, really what twitter is doing, taking spotlight off of it a little bit in area where everyone wants to look. are they doing right thing, giving everyone amount of space? there is concern, what about tweets that read ads is there a fair share of voice on there? i don't think those request hes go away. taking financial aspect out of it, taking that out of twitter's hands does ease it up for them. maybe they have a easier time in the next 16 months. melissa: that is a lot of money to say no to. >> i think it was going to be a hockey stick of earnings for those kinds of ads. you know it was really going to get intense over the next four
4:23 pm
or five months, the rest of the election year. this is a tough decision he. i can't imagine people who invest in twitter are happy about it. it is a bold decision by jack. i really want to see how it plays out. a lot of people won't notice the difference but the ad campaigns are probably going we just lost a tool. melissa: lance, thank you. connell: enough facebook, enough twitter. we have to get to apple. its earnings are expected in a few minutes. we'll have can't miss analysis for the portfolio and your tech habits coming up right here. melissa: right. it tells you so much about the economy. what is happening with apple? who is buying new apple airpod hitting stores today. what other new gadgets will apple have ready for the holiday season? what is the appetite for apple out there? we'll have that coming up. connell: on top of that, one of new york city's oldest newspapers, "new york times," trashing one of the oldest
4:24 pm
steakhouses. peter luger. it was a harsh review. among other things, they complain that the sliced tomatoes taifed like 1979. melissa: ooh. connell: we'll be back. ♪.
4:25 pm
4:26 pm
4:27 pm
melissa: "fox business alert." apple to report quarterly results in just a moment. let's go to deirdre bolton in the newsroom who will set up what to expect. >> i think the bigger picture we're talking about apple, is
4:28 pm
will its banking on wearables and services compensate for the fact that the iphone sales are declining? now granted they are still growing in the larger picture of things, but just down from the growth they used to see. you remember the days when they were like 60% of apple sales. that is no longer the case. so right now services represent about 20% of apple's overall revenue. so the company, tim cook, of course specifically, ceo has spoken to that saying we want that piece of the pie to be quicker. so, that is one thing that investors will be looking at, just how quickly can tim cook engineer this transition from hardware to services. we're also of course going to be waiting for any kind of details they will share about any of the streaming services. we know the apple streaming plus. skeletal point. will things come out. will they make other announcements. people are waiting for surprises. that sounds like a contradiction in terms. that is where things stand. i want to mention the stock,
4:29 pm
we've seen this make five new all-time highs this month alone. it is on a tear. it is up 54% year-to-date. if you look at s&p 500, 21 1/2%. i mean apple is crushing it so far this year. we'll see if it can continue. as far as brutal numbers, 2.84 a share i want to highlight represent a decline of 2 1/2%. if you look quarter on quarter. revenue to be unchanged if it comes in on target at 62.99 billion. melissa. melissa: deirdre, thank you. in case i don't get back here, sales for the current quarter are big things to look for and software services are the two big ones. connell: susan in cupertino will give us numbers as they cross. stock up ahead of them as we wait for them to cross. jonathan, todd, lance with us. i will leave lance out of it for a moment. he has new airpods pro with
4:30 pm
announce cancellation ability. jonathan, we'll get figures within seconds. what do you think of apple. we'll watch about non-i'm phone categories as deirdre alluded to. now it is about the watch. it is about the ear phone. connell: sorry. are we ready guys 20 go out west? thank you, jonathan. "fox business alert" with the numbers out. susan li spending the day in cupertino. i believe spoke to tim cook. give us the numbers, susan. reporter: a strong quarter for apple. the estimates are looking for 2.84 earnings per share. that is profit. apple cale out on top. they put in 3.03 earnings per share, stronger than expected. revenue beat as well. apple made $64 billion in the previous three months. looks like much higher than analyst estimates calling for something 62.99 billion. here is why the stock will rally
4:31 pm
is guidance going forward, heading into the all-important holiday shopping period. apple is telling us they're expecting to to make $85.5 billion to $89.5 billion in sales during the next three months. that is much higher than analysts forecast. analysts were looking something closer to 86.92 billion. i just spoke to tim cook. also the cfo. they tell me it's a very bullish outlook heading into the holiday season. in fact the u.s. economy to them looks very strong. i asked them, given that the interest rate cut that we got today from the federal reserve, does that help the consumer. from what they see, tim cook feels very good about the u.s. as for china, china has been really a laggard this year. he says that the bottom was hit in december and january. things have picked up. in fact for this year they might be down in terms of sales in china down 2%. which is not bad, given where they came from. the lagging iphone sales that
4:32 pm
really hammered the stock at the start of this year. as for tariffs, given that tim cook speaks a lot to president trump as weave seen, i asked him about u.s. china trade, how is that going right now? he doesn't know if the u.s. december tariffs will be repealed. ipads and iphones might be impacted with 15% increase in tariffs, from what he sees, he doesn't know anything we don't know, he is just going off what he has read, he is optimistic a deal will be signed next month at least between the u.s. and china a phase one deal we've been talking a lot about. apple tv plus launching this friday, the new streaming service, estimate cook is very excited about it. there is a lot to offer. there is a very aggressive price point at 4.99 a month. there were segments in apple's quarter that did miss. there are some points you came
4:33 pm
up short. where? mac revenue came in slightly softer than expected. mac sales 6.99 billion. analysts looking for 7.5 billion. they say that is tough compare when they also introduced the new mac models. also missing ipad sales. the street had high expectations for ipads in the quarter. they're looking for something 4.8 billion in terms of ipad revenue. what apple put in 4.65 billion. tim cook was a bit surprised i think you missed here. they said that was very strong quarter for ipads in many years. but the street has pretty high expectations. also there is still a strong dollar effect as well which impacted some earnings last quarter around. they are giving back $21 billion to the markets and the street by repurchases of shares. that is helping lift the stock price as well, when you take out supply in the market. all in all, very bullish, very
4:34 pm
optimistic heading into the all-important holiday shopping period. guys? connell: good summary. up 2% on the stock. susan stays with us. jonathan, todd, lance to talk a little more about this. susan gave us a lot of numbers, guys. many are very important. almost every analyst told us going in most important would be something she talked about early on, how much revenue would the company produce had this quarter, the one we're currently in, apple's first quarter. if they hit upper end of the range, $89.5 billion. that is way above estimates as susan pointed out, that would say new iphone is pretty appealing or at least they're confident. what do you think? >> i think one thing we know about apple, they always underpromise and overdeliver anyway. i don't think the beat is that big of a deal. it was expected. they had already beaten it down. but the stock knew going in, it rallied last three weeks coming into the number. typically the stock will sell off. apple has lot of work to
4:35 pm
reinvent theirselves, continue to maintain where they are. they are turning into what microsoft was before they reinvented themselves. more becoming a utility with a lot of cash. they are doing a lot of things, they should have bought netflix years ago. that is besides the point. melissa: lance, there is similar theme. they talk about, i remember software as services, when the phrase came out what does that mean? services revenue all-time high of 12.5 billion. that is one of the numbers we were looking for. the estimate was $12.22 billion. so they beat on that. that kind of speaks to the.that was just made, they're relying on these other, you know, sort of things instead of, instead of innovating the magical projects? >> that is actually what jumped out at me. when we look at product revenue. same time last year, 52 billion. this time it is 51 billion. then the big jump on services side, this is what apple is relying on right now. you know, it is delivering great
4:36 pm
products but getting harder and harder to differentiate the slab phones and people are not upgrading as quickly as possible. they are spending money on certainly on products like wearables. i have got the airpods pro with me right now. like people literally were lining up for these things this morning. so that's where they're looking. they're looking at services. two days from now we have tv plus which is going to be whether or not the shows are fantastic i think will be a revenue driver. because they undercut everybody on price. they were bundling if you buy apple tv, get it for free. i think it is cheap enough. a lot of people spend money there once you get them hooked on the service subscription, guess what? they keep paying. with iphones it changes. connell: there was some question -- jonathan, i'm sorry. >> that is apple's whole point, to introduce people to the ecosystem, give them opportunity
4:37 pm
to up sell on higher margin like the iphone and ears get them into the ecosystem. the stock doesn't lie f it was buy the rumor sell the fact you would see great earnings and the stock sell off. but the fact the stock hitting new all-time high of a hours gives it credit. connell: i want to ask you about that, i go back to what they said about the current quarter. where is the excitement when you talk to tim cook? if they hit the top end of the revenue estimate, that is blowout number. i was going to bring up something about apple tv plus. is it iphone itself old school or services items everybody else is talking about that everybody is fired up about? >> definitely services. cook and luca fired up about the services given this is all-time record when it comes to care, when it comes to cloud, when it comes to music. there is a big growth rate taking place in the services. the question on the market, will
4:38 pm
that make up for slowing, saturating iphone market. two point i want to bring up, interesting point tim cook brought up in the conversation about the apple card. they introduced it with goldman sachs and marcus, to me tim cook said it was the most successful credit card launch ever. how do you measure success? number of subscribers people signed up for it. you can bet they are looking to take this internationally. one more interesting point. i had to ask tim cook about crypto, since facebook is looking to launch libra. what about apple launching a cryptocurrency in the future? tim cook said there are some things government should handle and oversee, currency being one of them the military being the other. 5g we don't talk about upcoming product launches. connell: that is all good stuff. only thing i'm thinking,
4:39 pm
tim cook said that is the most successful credit launch ever, he is really hanging around the president. lance brought up, jonathan get your take on apple tv plus. they're giving away a lot for free. there is question how that affects margins. giving away all subscriptions free for a while. whether that is issue on financial side? what do you think? >> entertainment division. smartphones are competitive. entertainment business, they're wading into a very competitive industry, a very competitive part of the marketplace. whether it is disney. whether netflix. that is part of apple's whole strategy, connell. as you know, introduce people, key people in the ecosystem. he sell them on hardware and sell them on services as susan alluded to. they're delivering on the fact. connell: buy the new headphones and give away the tv plus. >> introducing as well. connell: in cupertino with tim cook, jonathan, todd, lance,
4:40 pm
thanks to everybody on the panel. >> phase one of the trade deal in jeopardy. a shakeup on the white house schedule. elizabeth homes blaming on shortage of shortages in the area, popularity of elizabeth holmes as popular halloween outfit here. connell: good stories today. risks and capture opportunities. we enable you to reach global markets and drive forward with broader possibilities. cme group - how the world advances. ♪ most people think of verizon as a reliable phone company.
4:41 pm
(woman) but to businesses, we're a reliable partner. we keep companies ready for what's next. (man) we weave security into their business. virtualize their operations. (woman) and build ai customer experiences. we also keep them ready for the next big opportunity. like 5g. almost all the fortune 500 partner with us. (woman) when it comes to digital transformation... verizon keeps business ready. ♪
4:42 pm
4:43 pm
4:44 pm
connell: "fox business alert." as we have been talking about apple after it reported latest earnings. stocks fluctuated a bit. still higher by 1 1/2%. beat the street on fourth quarter results it was holiday forecast. we go back susan li, people seemed probably most excited about that, was strong as well. what else are you picking out? >> absolutely. i think that was the guidance for the all-important holiday shopping period. that the iphone upgrade this year much more successful than it was last year. as you he said to us, the iphone 11, the pickup and interest and excitement has been there this time around. that is why heading into the holiday season they are very excited and optimistic that people will be buying once again. as for china, that was, shall we say a laggard, achilles' heel for apple this year.
4:45 pm
they're seeing recovery. u.s. china trade tensions. they're optimistic. tim cook is optimistic a phase one deal will be signed next month. things are improving. tariffs he says, he is optimistic they might be resolved at some point. also, i love the services and will it pick up also for the future since we are looking at saturation and maybe slowing down in iphone sales. we saw wearables up 50% in the quarter. services records in terms of care, music cloud, as well, something they wanted to highlight. and also you know, looking to get into other avenue streams. for instance the apple car. it was most successful, they see it in the numbers, most successful credit card launch in their view. they're looking to take that internationally. that is a sign for development and evolution from apple's business. away from hardware. if you have financials in the balance sheet that is a good point to grow. 5g, watch out for it. they can't comment on any product launches.
4:46 pm
they're comfortable with where they are. connell: susan li fresh off conversation behind the scenes with tim cook in cupertino. melissa: a change of plans. pulling out of hosting the asia-pacific economic for rim amid the largest protest the country has seen since its return to democracy in 1990. look at that they started two weeks ago over a 4% fare hike on capital city of santiago on the metro system. eventually they turned violent. they're growing in size and scope. a new venue for apec has not been found yet. president trump and china's president xi were expected to sign phrase one of a trade deal if everything went well. hillary vaughn from the white house with latest. what a mess. reporter: white house official said they didn't get the head's up, that the chilean president would make the announcement live. they would be backing out of hosting the asia-pacific trade
4:47 pm
summit set to happen in mid-november. he said it was quote a very difficult decision to cancel the conference but they had to use common sense as the country is gripped by violent protest, triggering a state of emergency. there was concern by the white house, because of ongoing protests the chilean government would not be able to guaranty security for officials attending the conference. white house deputy press secretary hogan gidley made a comment that it is our understanding that the organization doesn't have a secondary site prepared. we're waiting information for later information. we're looking to finalize phase one of the hoist tore rick deal with china and when we have announcement we'll let you know. the white house making it clear, this change in venue doesn't necessarily mean a change in plans to sign the phase one deal. it does spark a question where and when will the phase one deal be signed? china's trade team would prefer on neutral ground. not here in the u.s. a hiccup in
4:48 pm
location could mean logistically unavoidable delay for a few days for this phase one deal signing. melissa, there is looming deadline of september 15th when the next round of tariffs are slated to kick in. melissa? melissa: hillary, thank you for that. here to react, david asman. what do you think about this? >> i used to cover latin america. i loved going down to chile. it was a free market miracle in an entire hemisphere which was stuck in the statist policies. so you and i would have loved it. there was a dictatorship. that was awful. they somehow got interested in what the chicago boys were doing, free market guys, milton friedman, rest of them went down to sanity august go, back in early 19 80's, set it up as free market economy. when they got rid of dictatorship, the market economy said and it was set up three
4:49 pm
decades for economist grope. marxists they stayed there, they getting their feeling, feeling their oats again. they're causing a lot of trouble. the big question for us now, what happens with the trade de, the phase one of the trade deal that president xi and president trump were expected by some to sign when they were down there? maybe there will be a meeting in washington instead. who knows. melissa: yeah. i don't know, they said the chinese don't want to do that they want it to be on neutral turf. it is bad luck they set up this event. i think because of the timing. >> yeah. melissa: as the place where they were going to do it. then it falls apart. what is coming up on your big show, my friend? >> we'll talk about the impeachment process, whatever you want to call wit congressman babin, will join us, brian babin. judge napolitano on the mysterious death of jeffrey epstein. what is it going on with that?
4:50 pm
if it wasn't a suicide, it was a homicide, now it's a search for a suspect considering the high flying friends he had. melissa: david, can't wait to see you at top of the hour. big tech under pressure. we talked about it a little bit. smartphones are heating up. foldable might be the future. melissa: really? connell: fold it up. you can fold that. the rising business of wearables. apple taking on a bigger bite. we're breaking down some of its newest gadgets. that is coming your way next. don't go away. at 3m is that i'm part of a community of problem solvers. we make ideas grow. from an everyday solution... to one that can take on a bigger challenge. from packaging tape... to tape that can bond materials to buildings... and planes. one idea can unlock a breadth of solutions.
4:51 pm
at 3m, we are solving problems that improve lives.
4:52 pm
4:53 pm
4:54 pm
>> fox business alert. stronger sales boosting shares of starbucks after the hours. the coffee chain reporting 5% increase in global same-store sales, new delivery options boosted demand and helped stave off the competition. connell: battle of the best tech, we have been talking about
4:55 pm
a company following its beat on fourth quarter revenue, record revenue as a matter of fact there. and strong sales of wearables as part of that report. despite declining sales of its flagship iphone. the iphone sales year over year this time last year to now, down by 9%. so as companies like google and samsung ramp up pressure in the smart phone wars, can apple stay a step ahead? bret larson is here, you hear him on the radio fox news headlines 24/7 on your satellite radio. he knows everything about technology. >> i can look through the crystal ball. connell: the thing about the iphone is interesting because the sales have been going down and people get worried, but the iphone 11, the most recent, especially the pro version, that seems to be fairly popular, and the forecast was pretty good on sales. so let's talk about the iphone a little bit. is it really declining in popularity in your view? >> it is interesting because apple's take on the iphone -- you know, they stop telling us
4:56 pm
individual sale numbers so they won't say how many of them they sold. we know with the iphone 11 and the pro and pro max because there's the three in the line, we know they had to increase manufacturing to match the supply -- to match the demand. it was a very popular choice. apple seems to be clearly aware of the fact that folks aren't going to buy a new phone every single year. there's certainly a section of people that will do that. connell: you need a reason; right? >> right. connell: it seems like the camera, if you are into cameras, the camera was a reason this time. >> the camera is a big reason. they did a software update to ios, 13.2 which brings more features to the camera, that adds a fusion camera. i haven't had a chance to try it out. it is apparently amazing using software smarts to make your pictures better. they put the three cameras on this phone. now it has this ability to take wide angle photos, zoom-in, and the standard photos. that seems to drive a lot of people, but you're absolutely
4:57 pm
right in that it always takes something. most people like to do every two years. you know what? every two years updating your phone is absolute think right thing to do. -- is absolutely the right thing to do. that's about how long it takes for things to improve, faster, the price comes down, so that seems to be right. the iphone 11 kind of breaks that trend with people saying i'm just going to go ahead and get it because i want the better camera. melissa: i do. apple's noise cancelling ear buds, the air pods pro, they are hitting the stores. you have yours? >> i already have mine. melissa: what a show off. >> show off or total dork. [laughter] melissa: are they super special? >> they've done a lot of engineering on this. i met with them to get the full soup. they broke it down -- i met with them to get the fuel scoop. they broke it down. it has three microphones so it's listening to not only what's going on around you to cancel
4:58 pm
that out but it is also listening to what is going into your ear. if the sound is what's going into your ear, match the individual shapes of our ear canal, what have you, they sound really good. the pro has silicone on there. it has a snug fit so it will stay placed in your ear better. i was wearing them at the gym earlier, somebody could have been screaming fire, and i wouldn't been able to hear them. they worked really well. somebody was blow drying their hair and i couldn't hear it. melissa: that's amazing. >> sometimes you lose concept of your surroundings with noise cancelling. they have a transparency mode so it will listen to what's going on around you and incorporate that into what you are hearing so you are not completely cut off. melissa: you can turn it off; right? it is a safety problem. a lot of people in new york worry about that, you know, something bad happening to them, you know, getting robbed or something while you're walking with your headphones in because you are not paying attention to
4:59 pm
your surroundings. you can click it off easily. >> yes, spatial awareness. melissa: how much are they? >> 250 bucks, $249. melissa: wow. >> ton pricey side. -- on the pricey side. the wireless headphones are 150 to 250, although there are some that are even more expensive, some that mold to the shape of your ears. you can get those, but they will set you back 5 to 700 dollars. melissa: you are saying it is a deal? >> it is a deal if you buy them once every few years. this is something you won't want to buy every single year because the price will be too high, but the price point for the quality, it seems to be on par. the bose sound buds, similar feature set, but a $50 higher price tag. melissa: brett larson, thank you very much. connell wanders in every morning with his ear buds. connell: i do. the funny part, they are not even on at the time, but no one is talking to you.
5:00 pm
quick note, the world series is on fox, big fox, as we say tonight. and that is -- who are you taking houston or washington? >> houston. melissa: i will do the opposite. connell: washington? melissa: why not. bulls & bears now. david: a fox business alert, we got a very busy hour for you. first of all, fire fighters are now scrambling to extinguish a brand new california wildfire. this one scorching simi valley near the reagan national library. library staffers have been asked to shelter in place. we have a live report on the ground coming right up. look at this, the s&p 500 closing another record high as the federal reserve cut interest rates for the third time in a row, another quarter point. and now there's some breaking news on the tech front. we are getting a brand-new read on the state of the two of the biggest tech companies in the world, apple and facebook. they are both moving higher


info Stream Only

Uploaded by TV Archive on