Week. I think its a perfect buying opportunity. The market still has a lot of room on the upside. Not a lot. Lets say 5 or 10 . One investment idea. Technology right here right now. Most hated sector around the world. It is. All right. Thank you guys. See you later. Going out near the lows of the day. Right now reading the closing bell, new york city celebrating 25 years. Theyll be appearing at carnegie hall. As we head towards the second hour, waiting for the interview with the ceo of clorox. On the second hour of the closing bell. And it is 4 00 on swallow street. Do you know where your money is . Im Maria Bartiromo on the floor of the new york stock exchange. The market posting the first triple digit loss on the dow industrials of the year after closing above 14,000 on friday. The market has retraced quite a bit of that today. Were also following a developing story at this hour. The Justice Department planning to file a suit against Standard Poors. Mcgrawhill clobbered today. Also moodys down with it. And the dow down 130 points at the close tonight. About 1 lower at 13,880. Nasdaq composite also gave up about 48 points as you can see there. Almost 1. 5 on the nasdaq. And the s p 500 tonight down 17. 5 points. Joining me now is peter sorrentino, craig hodges, and our own rick santelli. Good to have you on the program. Peter, your thoughts on this lawsuit. How significant is this for these companies . S p and moodys . It is very significant. I think a lot of people have really let this slip out of their minds in terms of the ultimate kind of consequences for what took place several years ago. And it has to be atoned for. And this is going to way heavily. A loft of people have put this out of mind. Do you own any of these stocks . What do you want to do with this kind of news on the out and the uncertainty . Two of the things we never want to get in front of is a regular tear change in legal actions. If we did own them, wed be out of them right now. This is the thing we dont want to take chances with. I see. Wheres everybody else on this in terms of this Market Reaction . I mean, craig, was this justified, you think . Sharp declines on moodys and s p. Yeah. I dont know how justified, but the market being so strong, its looking for an excuse to go down. This could well be a reason. You know, some sort of headline risk like this. Youre always exposed to. But here at the hodges funds, well use the selloff to buy great businesses on sale. So we are seeing a lot of opportunities out there. Rick santelli, what about that trade coming out of fixed increase going into stocks . Are you a believer or no . Is it gaining traction or no . You dont have evidence of it . No. I personally dont see a huge sector change. I think its always going to be out there. And i think with a lot of money sidelined, its just putting money to work. Many believe its going to end up in equities. To be up 12 basis points in a five year to date or 21 basis points in a ten, as large as that may sound, i dont think thats near the big horse power ultimately that trade could generate. On the rating agencies, you know, it sounds a lot like sour grapes. I think the Rating Agency made a bunch of blunders. Theyre not going after him. He was highly aware of what was going on in derivatives. When we were downgraded from aaa. It seems like thats what was the time period some of these early talks about this developed. Seems like sour grapes to me. Your thoughts on rick santellis commentary there . Rick is true, but again, i think in the words of rahm emanuel, lets not waste a crisis here. I think this is a chance for the doj to go in and basically make some new rules. And so why waste the opportunity . You got guys out there to go after, use them. Peter, let me ask you about this market here. Weve seen a big runup in 2013 obviously. And theres debate going on if in fact we are seeing money come out of fixed income and move into stocks. Or whether or not the money is coming from sidelined cash. Money markets and corporate cash. Whats your take . Who is really driving this market . And does todays selloff interrupt that . I dont think it interrupts it. What we did see in our at least from our work is were seeing cash coming in from the sidelines. App lot of money on the retail side and mutual fund complexes. There was a lot of selling pressure. But remember the funds closed their books in october and november. That money had to go back to work. What were seeing is that cash rolling back into the market place. So the volatility has been ab normally low. And those pendulums tend to swing back and forth. To see some volatility come back in would be healthy. Craig, are you putting new money to work here . How are you invested . Yeah, we are. I would agree. This is very were in the first inning. One out in the first inning of this recovery. We had 400 billion come out of domestic equity in the last four years. 400 billion out, only 19 has come back in. So this is very early. We see some themes. Housing, some related companies in housing look good. We see a theme of crude oil being transported by rail. Mexico, from a lot of the companies were hearing, mexico is a very misunderstood situation. Theres some opportunities there, we feel like. Jobs are leaving asia and going to mexico. The labors not as cheap, but you save on transportation costs and logistically you can get goods quicker. Thats benefitting mexico. Theres a new report thats going to benefit the rails. Its cheaper to drop products there than in long beach. And so theres a lot of rail car barges, kirby corps. Weve been covering this move into mexico. A lot of money moving i said weve been covering this money moving into mexico. Recently we had the finance minister of mexico on. What about the drug trade . Should we not be worried about the adverse risks there . Yeah. And thats one reason why its an opportunity. Because the perception is still very negative. You ask a hundred investors, 95 would say they wouldnt touch mexico. But it is an improving situation. Thats where youre going to make your money. Buying things that are perceived as negative that has some upside. Weve got seven or eight companies that were buying right now that we think are going to benefit from the resurgence in mexico. Their gdp is going to be twice what the u. S. Is. Such an interesting story. I love it. Well keep talking about that. Thank you, everybody. Well see you soon. Back to our top story. The Justice Department reportedly planning to sue Standard Poors for fraudulent rating bonds that led to the financial crisis. Moodys was also down big because there was a fear this could spread to the other ratings agencies. Joining me on the phone ed aderino who covers both stocks. Whats your reaction to this . A little bit of deja vu. Theyve been through the wringer many times. I dont know if you recall the recent financial crisis. They were in front of just about everybody. Theyve been, you know, diced and rediced. Investigators have been all over that company with a fine toothed comb. And over the centuries many years, there have been many lawsuits. They have won every single lawsuit. Never lost a lawsuit. One of the key strengths of these companies is courts upheld time and time again that a rating is an opinion. Its not a prediction of price. Its not a prediction of fault. Theyve been upheld as opinions on the culpability. I dont know what the governments new attack will be, but they have been beaten and beaten and won. In the last hearings a couple years ago, i think a senator the two weeks of hearings stood up and said this is the best system weve got. Thank you very much. So i dont know what and according to what im reading somebody sent me something. Apparently the government is threatening to sue. So what i hear you saying, ed, you think this is overdone. Are you saying this is a bond opportunity . I dont know if theyve got a new tactic. But connecticut sued, new york sued. Everybody sued them. Under whatever brilliant lawyer came up with and the laws have stood behind them. Maybe the Justice Department has a new tact. But it seems this is another witch hunt. Okay. But what about the pile on . The fact that once you see the doj getting involved in Something Like this actually readying to put the suit forward, you see others coming forth. Investors who lost money. Are you expecting a pile on who create problems . Maria, i dont know whos left to sue these guys. Theyve been sued by everybody. Im sure there are lawsuits outstanding now. But theyre getting dismissed. I dont know what new tact the government is going to try. All right. Well leave it there. We appreciate your time tonight. All right. Thanks very much. Ed atorino. President obama calling for smart spending cuts. But what does that mean . Well get washington speak translated by former gop senator judd gregg . And did beyonce blow out the lights at the super bowl . Maybe. Well talk about that. The superdome power outage. Also the beatles said money cant buy you love but can it buy you happiness . Well see what the millionaires say. Stay with us. Is is for real thi. Is is for real thi. Step seven point two one two. Verify and lock. Command is locked. Five seconds. Three, two, one. Standing by for capture. The most Innovative Software on the planet. Dragon is captured. Is connecting todays leading companies to places beyond it. Siemens. Answers. Welcome back. The dow industrial it is pulling way back from fridays 14,000 peak in a significant way. Lets get to bob pisani recapping the movers. Biggest declines of the year. Declines up 1. 5 to 2 in all the big names. But please note compared to what happened in europe, this is small potatoes. Put up some of what happened here. Nothing yet in italy the oldest bank is being investigated. The problem is draghi was the hes being drawn in a bit. Spain calls finish the Prime Minister to step down. France and germany on the downside. You see italy down 4. 5 . Damage worse there than here. India investing. Even overseas investing. China. That fxi was also on the weak side. What was the gainers . Well, its the risk off trade stox. The bond funds did well. And people who were investing in shorting the stock market like the sds did well today. Finally is this the start of a consolidation flat lining . We dont know. But the vix moved up. Id say right now 1 decline 100 point decline after a thousandpoint move still pretty small. I think we have to wait for another 300 or 400 points before we get concerned. Automatic spending cuts looming large and will occur in less than a month without some kind of d. C. Deal. Heres what president obama had to say about spending and taxes last night on cbs news before the super bowl. There is no doubt we need additional revenue. Coupled with smart spending reductions in order to bring down our deficit. And we can do it in a gradual way. So what does smart spending cuts mean . Judd gregg is cochair of the fix the debt campaign. Robert reich is from the university of california at berkeley and author of beyond outrage. Both are cnbc contributors and we thank you for joining us. Good to see you both. Senator gregg, whats a smart spending cut . Whats that mean . I dont know. I think its a washington speak word for probably no cuts. No cuts . Thats the tradition in washington. They say if its not a good cut, dont make the cut. The fact is theres going to have to be decisions made here. Taxes were raised at the end of the year. And we know we cant get to the fiscal responsibility we need without our entitlement accounts. Theyll vo to step up. Do you think we will actually see spending cuts on the entitlements . What i think is going to happen here is youre going to e see the sequester. Its going to go forward. The pressure is going to be so strong from groups that benefit from those accounts there will be a coming together to relieve that pressure and moving over and doing something on the entitlement side. Which is where it should be done. You cant get all the money you need out of the discretionary side. The way these are structured, over a long period of time it doesnt have to be tomorrow. In order to put in place programs can be sustained. Do you agree . You said congress should enact a trigger for spending cuts . Whats that mean . It means that in the shortterm, you dont want to have spending cuts or tax increases on the middle class because the economy is still fragile. We still have high unemployment. But over the longer term particularly when we get to what i consider to be a trigger, maybe 3 annualized growth and under 6 unemployment, then you want to have some mandatory spending cuts and tax increases to bring the deficit down. So do you think thats what well see . I mean, theres been such an inability to come up with actual ideas on what to cut. How do you think this plays out . Look. By the end of march, were going to have 85 billion of cuts which will be devastating to the km i. Could result in about 1. 7 drop in our growth rate this year. Which is already going to be very slow. Some people say its not going to be more than 2 . We dont want to go there. What ought to happen instead, it seems to me, we want to trim the military budget and get rid of corporate welfare, a lot of stuff that is not necessary. And in addition close some tax loopholes. Why should anybody be able to deduct mortgage interest more than 45,000 a year. I would like to know the response to those yed . Those are ideas that have been tried and you cant get to where you want to go with them. We gave it the 600 billion of new revenues at the end of the year. What we need to do is address the issue. Medicare, medicaid, social security. Thats whats driving this deficit. You got a retirement population that has doubled. And you simply cant afford these programs as theyre structured. And you need to change them over the long run. And youre not going to get there by cutting defense. And youre not going to get there by raising taxes. Youve got to address the problem which is entitlement spending. Heres one of the major problems with regard to medicare. And that is Rising Health care costs. Already 18 of total gdp. Seems to me the best way to control medicare and medicaid, those are the ones out of control. Social security is not out of control. Its medicare and medicaid but it hasnt been fixed. The best way to deal with medicare and medicaid is to get Health Care Costs under control. What you want to do is basically use the bargaining of medicare and medicaid so that providers move from a fee system, a fee for Service System to a fee for healthy outcome system. Wouldnt you agree . Well, absolutely. As you know, thats the proposal being pushed forward by dartmouth your alma mater. Has a lot of viability to it. But its easy to say but its hard to do. The point is, however, that youve got to have a president whos willing to step up on the issue of medicare specifically and say were going to try to control these costs and not just add to the costs. Theres three things that could be done in medicare that would make a big difference. We could adjust to go raise the age over a long period of time so that people over the age of 20 arent impacted but you change it over a long period of time which benefits it. And third values in outcome system than utilization system. None of thats being done. Its not being talked about. All thats talked about in washington is raising taxes. Senator, i think theres a great deal of support for the values in outcome. Moving from fee for service to fee for healthy outcomes. The problem with the current cost of living increase understates the inflationary cost of health care for the elderly who are paying a larger portion no, it doesnt. No. Their dollars for health care. Youre wrong. Youre simply wrong. Why . Going to a chain cola does is say that it anticipates what human nature is. If you raise the price of milk, they will stop buying. The fact that people are going to buy less milk into it. Chain says you account for that adjustment. Are either of you surprised that the markets have not reacted to this at all . I mean, a were seeing people put money into the market consistently even though we know we have these major issues on the horizon. Were the best horse and glue factory right now. Look around the world. We are a great country. And we have great potential. Our problem is our fiscal policy is broken and were headed towards a fiscal insolvency situation. People look around and say were better off than anybody else so put the money there. At some point theyre going to stop putting the money here. Were going to have to devalue the debt to do that. Whats the catalyst to do that . I think the sequester is going to be a huge catalyst. I think well go into sequester. And a lot of these programs effected are very personal. Meals on weals, head start, low income energy. And so to relieve that pressure there will hopefully be a sense in congress and the president that theyve got to look where the problem is. Entitle accounts. Maria go ahead. Final word. Raise the ceiling on income subjective social security. I didnt hear that among the senators possibilities, but i think thats very, very important. Actually we did that in the Simpson Bowles bill as you probably know. That was part of our bill. But it has to be enacted. Wed love to have the president enact it. It was his commission. Great point. Well see you soon. Appreciate your time tonight. Up next, banner day for clorox. Hitting a record high. The ceo will speak with me about the Bright Outlook after the break. Then later trying to turn off the profits. Wait until you hear what theyre saying about the most expensive musical ever made. Dont miss my new documentary tonight betting big on broadway. Thats tonight. Back in a moment. Im only in my 60s. Ive got a nice long life ahead. Big plans. So when i found out medicare doesnt pay all my medical expenses, i got a Medicare Supplement insurance plan. [ male announcer ] if youre eligible for medicare, you may know it only covers about 80 of your part b medical expenses. The rest is up to you. Call and find out about an aarp Medicare Supplement insurance plan, insured by unitedhealthcare insurance company. Like all standardized Medicare Supplement plans, it could save you thousands in outofpocket costs. 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The rating agencies the worst performers today. Federal and state prosecutors planning on bringing civil charges against Standard Poors for wrong doings in the ratings of mortgage bonds prior to 2008. Mcgrawhill parent of s p closed down nearly 14 . Its second biggest oneday drop ever. Its rival moodys also finished down deep in the red. Back to you. All right. Thank you so much. Clorox shares hitting a new alltime high today after the Consumer Products giant reported an increase in sales. Cleaning supplies saw a 17 jump thanks to the flu outbreak. Joining me now is ceo donald knaus. Nice to see you. Nice to be back with you. How can you characterize the quarter . Price hikes helped give the boost a bit, right . A little bit although we had 5 volume growth as well as 9 sales growth. It was a good quarter. Let me give you the highlights. The 9 sales growth, 5 volume growth. Thats the strongest organic growth in five years. 7 was organic. I think another highlight was the continued margin expansion. We saw another hundred basis points of expansion. Then the last six months weve seen margins coming back. Thats been a help as the commodity environment get more benign. The interesting thing is the before tax earnings were up about 22 but we paid a higher tax rate. We paid about 34 in taxes. All in all top line strong volume growth. Great margin expansion. And the earnings followed that. So what about 2013 . Hows it looks . What would you expect . A lot of analysts out there question whether or not the sustainability of this organic growth is on track. So how do you ensure that it will . If you go back the last 18 months weve averaged at the top of our 3 to 5 top line target that weve had with the investment community. 18 months weve done this. As we look into the second half of the year, were comfortable where the consensus is. 3 growth. Were going to lap almost 6 growth from last year in this period of time. You mentioned the flu at the outset of the session here. The flu is probably about 10 of our growth in the quarter. It wasnt that much, frankly. I think youll see more of that manifesting itself into february and march. I think well feel optimistic. We did take our outlook up on the top line. We were at 2 to 4 topline growth of the year. Now were at 3 to 5 . Were feeling comfortable well hit in the middle of that range or higher going forward. What kind of a 2013 are you looking for . Where are the catalysts . The catalysts really are innovation across all of our brands. Its been very strong. Last year and this is ending in june, we had about 3. 5 points of growth from new products. This year we see another 3 points or so coming from new products. The interesting thing, maria and we talked about this before, two years ago if you looked at our categories they were declining 2 . If you look at the last 13 weeks, theyre growing 1. 5 . Were getting back to the historical category growth rates weve seen. You take that category growth rate and add oub innovation on top of it, and youre looking comfortably in the growth range for the year. Thats where we think well be. Is what do you want to say to investors . Theyre expecting dividends, buyback programs. What shareholder friendly moves might we expect . From clorox and again well look at the dividend in may with the board. Clorox for 34 years in a row have raised their dividends. Weve got a 3. 3 yield today. From our investors should expect that to continue. Our First Priority is supporting that dividend. And of course using some capital to keep driving growth in the business. Well leave it there. I like that. Great analysis on the dividend. Good to have you on the program. Thanks so much. Thank you. Donald knaus joining us. Hartford financial just posted numbers moments ago. Find out how he plans to keep building on that stock. Then let the finger pointing begin. We have the latest on what caused last nights power outage at the super bowl. No, it was not beyonces fault. At least probably not, anyway. And then can money buy expensive watches but can it buy happiness as well . Well talk about that. Frank will have surprising results from a new study. Back in a moment. I love making money. I try to be smart with my investments. I also try to keep my costs down. Whats your plan . Ishares. Low cost and tax efficient. Find out why nine out of ten large professional investors choose ishares for their etfs. Ishares by blackrock. Call 1800ishares for a prospectus which includes investment objectives, risks, charges and expenses. Read and consider it carefully before investing. Risk includes possible loss of principal. To compete on the global stage. What we need are people prepared for the careers of our new economy. By 2025 we could have 20 million jobs without enough College Graduates to fill them. Thats why at devry university, were teaming up with Companies Like cisco to help make sure everyone is ready with the knowhow we need for a new tomorrow. [ male announcer ] make sure americas ready. Make sure youre ready. At devry. Edu knowhow. Bob will retire when hes 153, which would be fine if bob were a vampire. But hes not. Hes an architect with two kids and a mortgage. Luckily, he found someone who gave him a fresh perspective on his portfolio. And with some planning and effort, hopefully bob can retire at a more appropriate age. Its not rocket science. Its just common sense. From td ameritrade. Welcome back. Shares of Power Company entergy on the heels of last nights blackout at the super bowl. They blamed it on an abnormality at the superdome. Dont blame it on beyonce. The nfl is now saying theres no indication that the power outage at the super bowl last night was caused by beyonces halftime show. And entergy the Utility Company provided power to the superdome said not us, distribution and transmission fees were working at all times. The new orleans electric utility said they sensed an or normality cutting power. The root cause remains unknown. Entergy finishing the day down 1. 1 . Expected to report Fourth Quarter results. Looking for earnings of a buck 40 on sales. Maria, back to you. Thanks so much. Who says money cant buy happiness . Rich people. Thats who says it. Robert . Hey, maria. Thanks. Benjamin franklin says a rich man is he who is content. Spectrum just surveyed those worth 500,000 or more and the vast majority said it cant buy happiness. 44 saying no. What can money buy . When asked what it means to be rich in america, a vast majority 84 said it could bring more security. Only 34 said it brings more happiness. And 33 said more responsibility. Americans taking a practical view of what money can and cant buy. The financial definition of rich is also very subjective. When asked what income you need to be rich in america, the lesser wealthy said 250,000 or more. And a little bit more said 450,000. The richer folks, those worth 5 million or more said it takes more. Only 18 said 250,000 and a vast majority 45 said it takes at least 450,000 a mor. So in the end, enough is never enough at least not to the content. So why did the rich people always say it . You know, i think the wealthier you are, the environment you live in makes you believe that it takes a lot more money to feel wealthy. Again, youre hanging out with wealthier people. Youre always looking up. The lower down you go you have a misconception of what it takes to feel wealthy in america. We want to bring in wendy walsh to talk about whether money can buy happiness. You agree with the findest wealth does not buy happiness . I do. Isnt it wonderful were hearing it out of the mouths of wealthy people . The truth is money only effects happiness if it moves you from poverty to middle class so you can get rid of the worry about whether to keep a roof over your head or food on your plate. After that its all about good healthy relationships, your physical health, doing acts of good. Though things become a lot more important than just material things. Robert, what have you found from your reporting . Ive interviewed hundreds of millionaires and billionaires. I have to say most of them are pretty happy, but money is a magnifier. Whatever your current psychological state, money tends to magnify that. So if youre already very unhappy, money can actually make that worse. If youre happy with a job you love, if you have strong relationships and youre contributing value to the world, i think money only makes that sort of sense of well being even greater. Thats an Excellent Way to look at it. Im going to agree there. It is a giant magnifying glass. Happiness is about 50 genetic anyway. Youre born happy or depressed or sad or angry. So then you add maybe 10 has to do with wealth, getting out of poverty into middle class. Theres a whole 40 that we can do a lot to feel happier in our lives. And it makes sense that money just adds becomes a magnifier. If youre one of the unhappy people genetically and you work hard thinking if i have money people will love me and ill have power. Then you get it and youre still not happy, thats pretty depressing. Youre right. Thanks so much. Well see you soon. Appreciate it. Thanks wendy and robert. Up next my interview with the hartford financial ceo. How the company is dealing with the new health care law. Keep it here. And well talk about the profitable journey through the great white way. Dont forget to watch my special betting big on broadway. Thats tonight at 9 00 and 10 00 p. M. On cnbc. What you think. Its a phoenix with 4 wheels. Its a hawk with night vision goggles. Its marching to the beat of a different drum. 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See your doctor, and for a 30day free trial, go to axiron. Com. So who wins in worldwide grosses . The answer the Broadway Musicals with grosses fast approaching 11 billion. Betting big on broadway premieres tonight at 9 00 p. M. Eastern on cnbc. Meanwhile, yum brands the owner of taco bell, kfc, and pizza hut were supposed to report earnings tonight. Were still waiting for the numbers. Lets get to jane welles now. Over to you. Weve been trying to call Investor Relations there. No longer picking up the phone. Im sure theyre getting flooded with similar calls to ours. The numbers are usually out by now. The street is very interested in what yum has to say particularly about china where kfc is a huge business there. Most of their sales come from china. And where the Chinese Government has been doing an investigation into antibiotics and chemicals in the poultry there. It really hit kfc in china hard the last two ek wweeks of decem. Theyre waiting to see the store sales. And we have to see what it will mean for 2013. They are guided to 20 growth. But we dont know yet if theres a change in that. Once we do, ill let you know. All right. Thanks so much. The hartford out with earnings moments ago. Estimates of 30 cents. The company also reported better than expected revenue of 7. 74 billion. Thats a 30 increase from the same quarter a year earlier. Want to get reaction from the hartford ceo liam mcgee who joins me now in an exclusive. Thanks for joining us. Hi, maria. Great to be back with you again. So you just released you got permission for an extraordinary dividend of 1. 2 billion. Whats the strategy . Well, first of all id say it was a very successful quarter for us. As you noted our core operating earnings were 54 cents. It was also a very eventful quarter for the hartford on two fronts. First of all, we made progress in transforming the firm towards our property and casualties and group funds. And we sold three life businesses for good financial terms to three good strategic buyers. And as you note, we announced this afternoon at what we think is a very acretive plan which includes about a billion dollars of Debt Reduction in our holding company. And a 500 million Share Buyback plan. In addition, were going to preserve capital in our life subsidiaries to have the flexibility in these improving markets. Especially with the yen dollar to be opportunistic to reduce or eliminate that risk which should be good for shareholders over time. So are you still in the middle of the deleveraging . I know that early in 2012 you set out to simplify the company. You set out to sell assets. Where are you in that process . Are you done selling assets or not . Yes, maria. We announced in march that we were going to put our available Annuity Business under runoff and sell our individual life business. Sell our retirement business and a broker dealer business. Those were all completed by the end of the year. As i said earlier, very successful financial terms to three strategic buyers. Created about 2. 2 billion of capital Additional Capital flexible for us. Were through that process now. One of the steps was to announce this Capital Management plan that you noted to reduce debt by the billion dollars, half a billion dollar Share Buyback and keeping capital in our life subsidiaries so we can either reduce or permanently move the aid business off our books. Let me ask you, because most people are expecting aig, provincial to come under oversight as is systemically important financial institution. Is the hart foshd at risk for that . How does it impact the hartford . Were pretty sure we will not be a sifi company. So you wont but under that systemically important . Thats our belief, yes. What can you tell us about pricing . Youre one of many insurers that have raised prices in recent years. Hows that look for 2013 . Well, Fourth Quarter was very promising from a pricing perspective. In our commercial property and casual businesses, examples our renewal rates were up 9 versus 8 for the year. We expect attractive pricing going into 2013. I think ourselves like other leading underwriters are on margins and combine ratios. Might give up business in the process of doing that. I think the focus on profitability is key for us. Because what shareholders expect. And the market is becoming more accustomed to that. All right. We will leave it there. Thanks so much. Always nice to see you. Thank you so much. We appreciate your time, liam mcgee joining us. Will stocks bounce back tomorrow . Our pros will weigh in next. Stay with us. How do traders using Technical Analysis streamline their process . At fidelity, we do it by merging two tools into one. Combining your customized charts with leadingedge analysis tools from recognia so you can quickly spot key trends and possible entry and exit points. We like this idea so much that weve applied for a patent. Im colin beck of fidelity investments. Our integrated Technical Analysis is one more innovative reason serious investors are choosing fidelity. Now get 200 free trades when you open an account. Welcome back. Earnings alert. Yum brands, the owner of pizza hut finally out with earnings tonight. Lets go to jane wells with the story. Well, they beat for the quarter but the guidance was not good and it is sending shares down afterhours, for the quarter, they beat by the street with 83 cents a share. The street was looking for 82. Top line came in better than expected, too, at 4. 15 billion. China same store sells fell. They grew 3 in the u. S. And 3 in the rest of the world. Analysts were looking for 4 , the rest of the world. But heres the outlook. Because of whats happening in china, they are saying they were estimating a midsingle digit eps decline in 2013, versus a year ago. Excluding special items. Earlier, they guided to 10 eps growth. Now they are saying because of the situation in china, midsingle digit eps decline. This includes an expectation for a significant decline in eps performance in the first half of the year. Maria . All right, jane, thank you so much. Well watch the stock. It is down better than 4 right now. 30 seconds on the clock and our next guests are going to tell us what to be prepared for tomorrow. Joining me right now, rick fea , and bob phillips. Gentlemen, good to have you on the program. Rick, kick it off with you. 30 seconds on the clock. What are you watching for tomorrow . Sure, well be watching the tenyear treasury, really. We see a yield under 1. 95 , as possibly bringing more of an equity selloff into the marketplace. Well always be focused on any headlines out of the middle east or europe, such as the syria headlines this morning. And with the economicalen dar being very light this week, were going to be focused on just how stocks are trading. We believe a short, shallow pullback this week and well be watching the financials, most importantly, to see if that has to change and maybe well see something a little bit more. All right. 30 seconds on the clock. What do you want to be prepared for tomorrow . Thank you, maria. Based on hedge fund public disclosures, alpha clone hedge long short index has Delphi Automotive as one of its largest constituents. They release earnings tomorrow. Well see that. 13f filings are trickling in. And were paying close attention to apple, as it is a really large holding, the Largest Holding in the index. To see whether hedge funds have trimmed or turned bearish on the company. All right, well leave it there. Last but not least, bob, you are up. Take the wheel. 30 seconds on the clock. What do you want to look at . Maria, tomorrow were watching the ism services survey. That survey in december was up several points more than it had been for several months. We think if its a good number tomorrow, it will be a good indication of the growth of the u. S. Economy and likely will let investors discount the negative Fourth Quarter gdp report from last week. We are looking at the report tonight on the Service Sector in china as an inz kay or the whats going on there. Well leave it right there. Thank you so much, everybody. Well see if theres any followthrough to this selloff, down 130 on the dow. Well, there is an old adage, you can make a killing on broadway, but you cant make a living. Ill speak with a few producers still going at it despite the risks. Stay with us. [ male announcer ] when we built the cadillac ats from the ground up to be the worlds best sport sedan. People noticed. The allnew cadillac ats 2013 north american car of the year. For a limited time, take advantage of this exceptional offer on the allnew cadillac ats. Ive got a nice long life ahead. Big plans. So when i found out medicare doesnt pay all my medical expenses, i got a Medicare Supplement insurance plan. [ male announcer ] if youre eligible for medicare, you may know it only covers about 80 of your part b medical expenses. The rest is up to you. Call and find out about an aarp Medicare Supplement insurance plan, insured by unitedhealthcare insurance company. Like all standardized Medicare Supplement plans, it could save you thousands in outofpocket costs. Call now to request your free decision guide. Ive been with my doctor for 12 years. Now i know ill be able to stick with him. Youll be able to visit any doctor or hospital that accepts medicare patients. Plus, there are no networks, and you never need a referral. See why millions of people have already enrolled in the only Medicare Supplement insurance plans endorsed by aarp. Dont wait. Call now. Finally today, my observation on putting money to work on broadway. Ive covered this for a year now, about making a bet on the big white way. Theres a saying you can make a killing on broadway, but you cant really make a living. Investors with strong stomachs bet the bank. At 75 million, spider man turn off the dark is the most expensive musical ever team. Im going to sit down with the shows producers tonight as they talk about the backstage drama that nearly destroyed the show. This must have been a tough thing to swallow, the New York Times writing this is a national joke. They called it vulgar before they seen it, knew anything about it. And major disagreements with the shows original key creator and director, which led to her departure and sparked a legal battle over royalties. We werent ready when we started our first preview. Technically, we had no ending. As youre talking, im thinking, well, the show spent 75 million, you know, before a single tijt hcket had been sold. Do you think spiderman was rushed in front of audiences so producers could begin earning money on that . And wait until you hear her answer. But of course, there are plays that have done extraordinarily well. Such at phantom of the oprah. In tonights special, ill speak with one of the investors in phantom, jim friedberg. You cant make a living in broadway, but you can make a killing. And jim knows it, because he made quite a killing. I kept saying, this could be a very big hit. Youve almost certainly heard of the s