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Transcripts For CNBC On The Money 20170311

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Future. Now becky quick. We begin with distracted driving. The number of deaths from Car Accidents in the United States has hit its highest level since 2007, and the reasons range from higher speed limits to drunk driving. But there may be one other big factor. Phil lebow has more. Driving in america has become deadlier. The National Safety council estimates more than 40,000 people died in car a accidents last year, the most since 2007. It caps the steepest twoyear rise in auto fatalities since 1964. Some is because drivers are going faster as states raise speed limits, while distracted driving remains a huge problem. Ironically, highway deaths are rising even as new technologies like lane Departure Warning systems are becoming more common. But the National Safety council says some of the new systems are being ignored by drivers. There are happen tick warning, oral warning, visual warning. Some of these warning are confusing to drivers and some of them are the functionality is really not there and so drivers are turning them off. Reporter doug simpson, the founder and ceo of navdi think hes has a way to keep drivers from picking up their phone. Since late last year they have sold a device that projects navigation texting on the screen in front of the driver. People are going to make phone calls. Theyre going to use turnbyturn navigation, theyre going to listen to music. This is a far safer way to do those things in the car than the alternatives. Reporter deborah herzbon disagrees. Doing these things dont make it safer. It splits attention between the roadway and these tasks. Reporter in fact, many drivers remain their own worst enemies when behind the wheel. Thats why automakers and Tech Companies are investing more than ever in technologies and systems to keep us from crashing into other cars and pedestrians. But based on the latest numbers we are a long way from reducing highway fatalities. Phil lebeaou, chicago. Can too Much Technology be a bad thing . Joining us is robert sinclair, manager for Media Relations for aaa northeast. What do you think of an app like navd where it is putting your text on the windshield in front of you . The problem is not technology but the task being done with the technology, and the Aaa Foundation for Traffic Safety did comprehensive tests going to 2013 and following on the two following years using helmets to measure brain waves, heart monitors, tracking the eyes. We created a scale to show the levels of danger in using these technologies on one to five like the hurricane scale. We found things listening to the radio one. Talking on the phone, two. Then we get into the danger zone, three. Thats receiving, responding to a text. Number four was updating social media, number five is wait, wait, people are like putting out sweets while driving . You can do it in the car with the kusht state of technology. It is extremely dangerous. The level of distraction gets into a zone where people have inattention blindness. You may be looking at the road but not seeing what is in front of you, pedestrians, cars, red lights, stop signs, those sort of things. Theres no technology we are aware of that would enable you to do these functions while driving safely. So i understand the founder of navds point that we dont think people will stop doing these things, why not come up with a technology that should it off so it cant happen while operating a car. Thats what we think should happen unless and until you can come up with a technology to allow it to be done safely. I dont think theres any doubt that the rise in death is related to this. The government says up to the a third is the result of distracted driving. We are seeing people are driving more because gasoline is cheap, but they think behind the wheel is down time. Driving is multitasking. It you have to be aware of the rules of the road, of the cars. It is a weapon. It is a weapon, not dangerous just to yourself but to other people on the road. What do auto manufacturers say when you bring this up to them. They tell you voiceoperated technologies mitigate these things. We did a test of them and we found theyre ot all created equal. Some are better at recognizing voice commands and responding but others are worse. Not only that, in a further study we found theres a hangover effect. After using the technology, your mind is still distracted after finishing using them for 15 to 20 seconds. You might try to do it at a red light or Something Like that, but once you start moving after stopping using them youre distracted. What does it mean from the governments perspective . The government cant keep up with the advance of technology, it moves too quickly. They have to study things and deliberate and come up with some sort of regulation to deal with it. We think it is up to the consumer. They are ultimately the ones that are going to make the decision as to whether or not theyre going to use these technologies. No one is twisting their arm to do it when theyre behind the wheel. Thats why we have the information, these studies that show it is dangerous no matter what, and hope it will keep people from doing them when driving. Thats all we hope, is people hear that message. So far, yeah. Robert, thank you very much. I appreciate your time. It is an important message. Thank you for having me. I appreciate it. Thank you. Now, here is a look at what is making news as we head into a new week on the money. A strong report for the month of february. The u. S. Economy created 230,000 jobs. The Unemployment Rate edged down to 4. 7 and there was strength in construction and business services. Average hourly wages were up by 0. 2 . All of this increases the likelihood of a fed rate hike next week. It also sent stocks higher in early trading on friday, after the dow narrowly broke a threeday losing streak on thursday. The s p 500 and nasdaq following suit. It may not feel like it, but americans are richer than ever. U. S. Household net worth climbed to the a record 92. 8 trillion in the Fourth Quarter of 2016. The surge in stock prices and a climb in home values added more than 2 trillion to that number. Radio shack is declaring bankruptcy again. The Electronic Store it close 200 had of its remaining 1500 stores. As recently as 2013 it was the eighth Largest Electronics dealer. They face more competition from online retailers and other chain stores. Business is booming at shipyards across america. With president trumps plan to build up the military, the u. S. Navy could add more than 75 new ships to its fleet and that means military builders will be hiring. Huntington ingalls will have 4,000 jobs to fill. Kate rogers report from mississippi. 26yearold jeffrey is a veteran of the iraq war. He is building ships for the u. S. Navy. Im honored and proud to be a part of it. I know what it feels like to be on the other end of equipment bit by american workers. Reporter cofer has been in the Huntington Ingalls Apprenticeship Program three years. Spending time in the classroom learning basic math to naval architecture and working in the shipyard. We move around the yaerd. We see different stages of ship construction. I have seen everything from how material comes into the yard to how the systems are tested and sold to the navy. Reporter he said his past experience pushes him to pay close attention to craftsmanship and detail while on the new job. While i was in iraq, all of the things that were a threat to me i didnt want something that was avoidable to cause me injury or to kill me. So i dont want our sailors to have to fear that as well. You know, i want them to know that the work we do here and the work i do is quality work. Reporter industry level craftsman like cofer where he is based in newport news can make between 36,000 and 57,000 a year with opportunities for over time and benefits. Like many in the industry, he is feeling optimistic that donald trump can be good for the industry if he can make good on rebuilding the military. How is the Company Feeling . Reporter the ceo feels optimistic. Theyre moving forward with plans to hire 4,000 workers. He talked about he thinks trump will be good for business but Everybody Knows trump has to get congress to lift the defense sequester which caps the spending until 2021. He will feel better if that comes to fruition, becky. Thank you very much. Kate rogers. Up next, were on the money. Skip the furniture and Department Store and buy a mattress online. A dream come true or a nightmare . Later, the best deals for march. What to buy and what to avoid. First, take a look at how the stock market ended the week. Sleep, it can be a precious commodity and getting enough shut eye is recognized as an important component of good health. What you sleep on can be as important as how much you get and theres a new way to get a bed these days. Casper is an online tartup that will deliver a mattress in a box straight to your door. Philip krim is the cofounder and ceo. Thank you for being here. Thank you for having me. Why mattresses online and who is buying them. One of the first things we thought about when we had the idea for casper is how to help consumers avoid the traditional retail experience. Buying a mattress in a store ranks as one of the worst consumer experiences. We knew if we wanted to offer a great experience we had to let customers avoid the store and learn about the Products Online and at your home. We believe the only way to know if it is right for you is to try it at home. The only reason i would go to a store to buy a mattress is to lay on it and see what it feels like. Thats what most people think. But laying on a mattress 15 seconds, it is kind of perverse. They hate a commissioned salesperson is going to stand over you and try to sell you something more expensive. The bed bug issue freaks me out. If i dont like it, how do i cram it back in the box and give it back to you. You call us up. We will pick it up and donate it locally. It is completely risk free and that way you know if you like it. You sleep on it. That makes a lot of sense. You take the hassle and risk out of it. But the idea every mattress is the same. There are people that like firm, some like soft. Theyre all the same . It is one feel. When you check into a motel, they dont say what kind of mattress you would like. The reality is stores use that as a trick to make you think you have to go in. Theres no reason you need 70 things that look the same. Now that you mentioned it, every bed i have slept on in a hotel has been okay and hasnt bothered me. What is the universal feel. The way we talk about casper is the right firmness and sink. It supports you with amazing comfort, and it really has to do with the design brief. When we went out to build the casper mattress lets build the most comfortable mattress. It turns out if you use state of the art material it out there you can use a a universally comfortable mattress. How many returns to you get, what is the percentage . It has been below what we expected. The vast majority of our customers like our products and tell friends and family. Is it more or less than 20 . It is below what we heard industry averages are, though we dont break it out. You have a second mattress for dogs, what is this . We launched the dog mattress in august. People love it. Really it was inspired by our customers. One of the most popular posts on social media theres puppy. Had when someone unboxes the casper mattress they show their four Legged Friend and show him on it. We thought why not come out for a mattress designed for our dogs and puppies. It took months to develop it, but if you see it, it is a great product. Thank you for joining us. Great to see you. Thank you so much. It was a pleasure. Up next, were on the money. Love a good bargain . Whether you shop online or in stores, there are deals to be had in march. Well tell you where to find it. Later, smooth jazz and coffee played a big part in kenny gs success. March comes in like a lion, goes out like a lamb, but somewhere in the middle it is actually a good time to look for bargains. Exactly for what you may ask. We have answers today with smart shopping expert trae bodge. Thanks for being here today. Thanks for having me. What is the best thing . You say first on your list is apparel. If you think spring apparel i would think it would be better to wait until after the season. Why is now a good time. I thought so too. I work with slickdeals. Net. I had them do digging in their back end to let me know what is good to buy right now. They said historically there are really good teaser deals around right now for spring apparel for men, women and children many we are seeing sales like walmart is having a childrens sale that starts at 1. 47 so thats good one to look for. American apparel actually has 50 off everything. So there are are some good deals to be had. Again, it is a little surprising. It is a little weird. You say it is a good month for parents of little ones. Why is that . Diapers. Com is having a 25 off sale. Target has a deal if you spend 75 you get a 20 category. Good savings in the baby category. Are they hoping to get you in the door, on the site . Both of course. It is a a very sleepy time. Theres not a lot going on, not a big sales weekend happening in march, so retailers tend to get creative now. What if i have money burning a hole in my pocket and im looking for a big ticket item what should i shop for . I would say home afliens big or small. Im seeing deals at cokohls, about 20 off there, 25 pest off at lowes, 20 off sears. A great time to invest in appliances if you need a new one, right. Are there certain things i shouldnt buy at this time of year, that i will be ripped off if i look for . First of all lingerie. This surprised me a bit. What . Slick deals found Victoria Secret leads the pack, they have semiannual in june, and a lot of competitors follow suit. I would hold off there. Hold on home improvement. Those tend to happen around memorial day, and tvs. We see great prices on tvs from black friday up to the super bowl, but now is not a good time. You might see a deal here and there but you will not have a lot of choice so i would hold off a bit on a tv if you need one. Do you think there are better deals online or in stores . A lot of times were seeing them flat across the board, were not seeing big differences in between because retailers are approaching things in an omni channel now. Some of us like to shop online, in store, so theyre catering to us across the board which is nice so we can shop the way we want. Thank you for joining me. Thanks for having me. Kenny g is a music superstar. Which business titan left him star struck . I thought this guy is incredible. Hes charismatic, he is a winner. Here are some of the stories coming up that may impact your money this week. On monday, it is national napping day. Youre going to need it to make up for that hour of sleep you lost to daylight savings time over the weekend. On tuesday we will be getting a gauge of wholesale inflation with the Producer Price index. On wednesday the Consumer Price index gives us a read on inflation. Wednesday is day two of the fed meeting. Thats where theyre expected to raise interest rates. Thursday marks 18 years since the dow first kissed 10,000. And on friday get ready to roll in the green. It is st. Patricks day. You may know kenny g for easy listening jazz and tax phone playing but theres a lot more to him than music and long hair, like his longtime investment with coffee giant starbucks and why he felt accounting was his calling. I never really wanted to study music. I love music, i love playing the saxophone, i love the sound of it, but i didnt want to actually study the details of why this chord works with that chord or that note works with that. I just wanted it to be from my heart. Once you got the degree in accounting, did you do anything with it . No, i didnt have to. I talked my dad into giving me enough money to float me for a couple of years so i could try this music thing. If it worked out great, if it didnt i was going to join my dads business. A cup can will of years went by and i was doing pretty good so i never had to go back. Youre somebody that has been a smart investor on the way. Youre one of the early, early investors in starbucks. How did that happen . Everybody knew about starbucks in seattle. There was one starbucks store and it had a reputation for being the best coffee. I met howard and honestly i had had thought, this guy is incredible. Hes charismatic. He is a winner. I said, whatever youre doing, i want to be part of. So and i invested more because of him being such a dynamic guy, and im sure you have spoken to him before. You have seen, he is an amaze inguy. Hes stepping down now as reo, going to be tepg stepping back a little bit. What do you think about that . I think if thats what howard decides is best for starbucks, you know, he has done great so far for making the right decision. So i would never question anything he thinks is the right thing to do. You are more than an investor, right . We all know about the albums for sale at starbucks and you were the very first album they showcased there. I think, yeah, i think it was 1994, my christmas album miracles. Was the first Time Starbucks gave a try to sell music and it was a huge success, for me as well as it was my record being sold. It was very good for me, and starbucks obviously felt it was good for them and decided to continue selling music. Yeah, i was happy to be part of the very first of that. Do you think the art of investing is at all related to music, too when it comes to that or is it a left brain, right brain . I wish. I wish i could get my sax in my hand while watching the stock report and go, oh, that one. It doesnt work like that. I guess im lucky in a lot of ways, but i ask smart people what they think before i would invest a large amount of money into anything. Really interesting guy. I want to offer my thanks to kenny g. Thats the show for today. Im becky quick. Thank you for joining us. Next week meet a woman who took the plunge creating her own business as a professional mermaid. Thats right, you heard it right. You have to see this story. Each week keep it right here. Were on the money. Have a great one and well see you next weekend. You wont see these folks at the post office. They have businesses to run. They have passions to pursue. How do they avoid trips to the post office . Stamps. Com mail letters, ship packages, all the services of the post office right on your computer. Get a 4 week trial, plus 100 in extras including postage and a digital scale. Go to stamps. Com tv and never go to the post office again. Hi there, live at the nasdaq markets on this snowy friday afternoon. The guys getting ready behind me. Here is what is coming up on the show. Theyre here. Yes, they are. Snap options are finally here. Well show you how to use them to get some of your money back on the snap ipo. Plus but coke investors havent had had much to smile about in the past year, but theres something in the charts that suggests that might change. Well explain. And the gold is on its worst losing streak in two years. Well tell you why there

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