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The s p 500. In record breaking territory. There it sits at 1740. 86. Now, there is one way to buy this s p very cleanly or there are several actually, but one of the cleanest is the spider. The spy, and there you see that it is up about 22. 22 year to date. Bob, deuces are wild on that one. Show you the many ways you can own the s p 500. You can slice and dice it a lot of ways. You can own the s p 500 through an Exchange Traded fund three ways, all three of the biggest etf companies essentially offer a way to buy the s p 500 he just told you about the s py. Ishares offers the s p 500 and called the ivb. Virtually the same product. Vanguard enables you to buy the s p 500. Same product. The voo. All low costs like. 05 . Terrific way to get broad exposure to the market. The s p is market cap weighted. Supposed you wanted to do equal weight, all five stocks in the s p 500 equal weighted. The rsp, rydex does one. For the market cap weighted s p 500. Suppose you dont like all this volatility, buy the low volatility part of the s p 500. What they do is own the 100 stocks with the lowest volatility in the s p 500. Owntition like consumer names like up 16 , under performing the s p this year. You want the other thing, you want a lot of action . How about high beta names. These are the companies when the dow when the s p is up theyre up more on a daily basis. This has been a big performer this year. Its up north of 29 and here, tyler, youre going to own things like tech stocks and financials that move more. So the s p 500 is up 1 a day, some of these stocks might be up 1. 5 . Who knew you could slice the bologna this many ways. Growth ways, value ways, lots of things we can talk about. Exchange traded funds allows you to buy all slices of the market these days. Thats why i like the idea. Thank you very much. The nasdaq is up. Lets see, up 38 points right now. 3901. 75. 100 points away from 4,000. Many investors play the index through the triple qs and they are up 25 this year. Sheila dharmarajan is at the nasdaq but focusing on the russell 2,000, also at alltime highs. Sheila . Yeah. Tyler, its not always about size when it comes to stocks. The little guys are having their big day in the sun. The russell 2,000, Small Cap Index hitting an alltime high today and the s p 400 mid cap index hitting a record high. A lot of momentum when it comes to these smaller mid capsize names. I spoke to seth at Serious Research who specializes in the stocks and he think we can continue to see this momentum going forward. Really two reasons he points to. He says one, if you take a look at valuations of the small guys, he says, theyre still in check with historical averages. Great chart that shows when you take a look at sales, were not out of bounds when it comes to valuations for small stocks. Also, he says the credit cycle upswing, thinks were only about halfway through the upswing and what we will see in the latter half is the benefit to Smaller Companies as they get more loans. A lot of momentum along the way of the small cap stocks. As bob was mentioning traders telling me look when it comes to looking for alpha you look at the small guys, they tend to be more thinly traded, tend to have bigger bumps to small caps are coming out ahead. Sheila, thank you very much. Power player time, the s p, fed, and the mess in d. C. With katie, chief Investment Officer at northern trust, bob pisani is with us as well. Katie, want to read something from one of your companys notes earlier today and then take a stab at translating it. With the u. S. Fiscal situation reaching a near term resolution we expect steady Global Growth to join with easy Monetary Policy to support a continued constructive Capital Market outlook. Let me translate that. Buy stocks now. Its the perfect combination, tyler. Weve got very strong fundamentals, reasonable valuations and accommodative central bank. But havent stock prices gotten a little bit ahead of earnings . I mean youve got a Third Quarter earnings reporting season right now where the earnings are coming in kind of flattish. I mean theyre not and Revenue Growth isnt all there. And yet, stock prices have run away this year and continue to. Right. Weve had a mixed bag with earnings this year, although this quarter although we have seen more beats against low expectations and youre right, earnings multiple expansion has done the heavy lifting this year rather than Earnings Growth and we see that shifting into 2014 and beyond where earnings will have to do more of the heavy lifting. Isnt the other issue the lack of an acceptable alternative asset class. Bonds arent going to pull it down. Cash isnt pulling it down. And, of course, commodities still in a fairly slow growth global environment. Its tough to say anything else other than i have to i have to be in stocks. Absolutely. Its a risk on market and with an accommodative central bank keeping rates low for an extended period of time. Were not going to see a hike in fed funds until 2015 or beyond that. We will be in this position for some time. Times forward earnings, can you make a case we should be higher than that . Were close to historic averages. You know, this part of the cycle you can still see a little bit of boost from multiple expansions. We have 11 earnings estimate for the s p 12 months forward. Which gets you 5 to 6 higher than we are now on a price basis. Modest expansion. Bob was togging about the different ways to play the s p 500 index through etfs. How do you come down on that . I mean, it would be hard to argue that you could have done a lot better than a 22 gain, just by putting your money in an index fund this year . Absolutely. Should that be the core holding for most people . Your base, your starting point as an investor is to own the market. The market will give you an equity beta, risk premium over time and to the exit tent you want to outperform the market thats where you look at active management tilting your portfolio. Start there. Exactly. You can generate alpha using Exchange Traded funds by yourself now. You yourself by choosing other than basic s p, you can generate your own kind. Let me lead you into a discussion of sectors you think might do a little, you say the s p, maybe another 5 or so over the next. What sectors could outperform if i want to put more ornaments on the christmas tree. Weve seen within sectors in the earnings season, we have ibm and google in the it tech sector different results. Weve got s p morgan in the Financial Sector and Goldman Sachs versus wells and some other companies. Youve got desperate results. We think the story is more nuance than looking at sectors and we were a focusing on high quality stocks, stocks that have really underperformed in the last year and more than that, as low quality has rallied. Time to do serious stock spiking. Sector themes here. Google versus old tech ibm. Big cap financials versus regional banks, for example, which may offer more alternative attraction. There are sectoral feed plays that are working here. There are. If im recalling, you and your firm alike have been fairly positive on europe and japan. Still feel that way . Absolutely. Weve seen some of the same fundamentals in the u. S. Untolding in europe, improvement in the macro environment across developed europe including the uk and jap pan as you mentioned and we see still an accommodative bank. So lets go back to the fed now. As weve gotten past the washington mess have we . At least temporarily, where does the fed night your think stg. Thinging . What has happened makes the think morgue difficult. The fed mentioned in its minutes the reason for not tapering was based on three key components. One was economic numbers were not sustainably improved. Well, we have, you know, for a data dependent fed were on data deficiency right now. We dont think the numbers are going to be improevlgved over t next second months. The second thing the housing market. Weve had a notable rally in the tenyear. We have to see how that thats mortgage rates. The third thing they mentioned are we out of this mess, the debt ceiling, and the crisis. Two important dates coming up both in 2014. We think the feds taper is pushed out until at least march. Thank you very much. Higher or lower than where we are at the end of the year . S p higher. There you go. Like the folks from barcelona yesterday. Weve been waiting. School kids all said its not working that old trade. Have a great weekend. Melissa, up to you. Trip down memory lane here. Google went public back in august of 2004 and how far the stock has come. Thanks to our handy stock chart system we call the storm. We can see the stock is up more than 1,000 from its ipo day and today, it crossed the 1,000 mark for the first time. Google adding 35 billion in market capitalization today and that is equal to yahoo s market cap in a single day. Put this in perspective. If you invested 10,000 in this stock in 2004 you would have, drum roll, please, 100,000 or if you put 100,000 in it would be a million bucks. Better than 1,000 . It is the same. You get the picture here. John is live in san jose working on a story we like to call google 101. John . Quiet storm chart with melissa. A look at where googless money comes from and goes. Revenue wise four main buckets. Google cites network, motorola and other. Websites, this is the big one, including search and youtube. That brought in 9. 4 billion in the quarter and a main growth driver was youtube where brand advertising up 75 year over year. A lot of that growth is on phones and tablets which are now almost 40 of youtube traffic. Next, we have google network. Those are as google sells on other websites, second largest pot of money at 3. 15 billion, actually flat year over year in the quarter. And third is motorola which clocked in at 1. 18 billion, a big operating loss of about a quarter billion dollars. Motorolas revenue down 56 from a year ago and expenses have been slashed to googles investing heavily to try to make sure the future of android phones doesnt get defined by others. Then finally we have the other revenue bucket, which includes things like chrome book laptops, chrome dongles, google play. Not a lot of profit margin. Those are getting Google Hardware in peoples hands getting them using google services. That fuels profits in the website group. What are investors optimistic about . Mobile, video and international. Googles mobile growth like facebook has been impressive overseas and bulls are hopeful that projects like youtube and chrome cast will help the company gain share of tv ad budgets in the future. All right. John fortt, thanks. To Jackie Deangelis for a market flash. Headlines crossing on motorola solutions. Reuters reporting the company is looking to sell its land business and crane is reporting msi offering buyouts to managers and senior level workers at its headquarters. The stock was lower than spiking on these reports. We are watching shares up over the flat line trading at 60. 93. Jacki, thanks for that. Back to google and also broaden out the discussion to some of the other players. Who is winning in the mobile monenitization race. Natty covers the tech space. Brian analyst withing wh wedge partners. Natalie, google, the market says, is winning at this point. Its winning, right. And mobile is the big concern, right. As john fortt pointed out, there are a lot of arms to this beast and thats the problem because theres, you know, the mobile devices and so theyre in motorola, mobile advertising, theres android, so theyre not quite sure where is the biggest money there and the nature of this beast is everyone has a mobile device and sometimes two and its hard to assume undivided attention. They dont know how to advertise to us yet. This device and that device and want to be on our television with the chrome book. How do we assume people are paying attention enough to sell them something. Something we see in broadcasting. Hard to assume undivided attention. Hopefully everyone is paying attention right now. Of course they are. Brian to you, google a lot of analysts are saying today, really making some traction when it comes to mobile moneni monenitizati monenitization, cost per clicks down, paid clicks, that surged. Can we put to bed this notion perhaps google is not as successful at mobile monenitization, has it turned the corner in that investment story . It has and were seeing that in their results. As a user im also seeing it as i actually use google on my mobile device. Whether im doing a search or using youtube, i am seeing a lot more ads that are smart, that are targeted to me, that im actually using and clicking on. I think they have it turned the corner and you know, a critical number they gave in their report was 1. 5 million Android Devices activated a day. Theyre only in the first of monetizing that global base. If google is winning does facebook have to lose on any level . I dont think so. Facebook is doing a great job as well. They do a great job of on the mobile side of serving targeted ads to their users. I mean what i see is i see apps sent to me targeted at me that im clicking on and downloading because they know so much about me. They know my demographic, what i like, they know what i follow. So i think facebook is actually this last two or three quarters, doing a great job of monetizing the mobile users with very smart targeted advertising. A lot of halo affects in todays session when it comes to the google impact. Not just facebook, but also you take a look at the chinese internet stocks surging in todays session. What are the halos you would buy into based on googles results and halos you would fade at this point . This is a vote for all of mobile. Anybody whos business is really relies purely on the mobile environment, this is a sign were still in the early days of monetizing the global base. Two trends that are critical here. Smartphones are only about half of the global phones sold around the world. So we have about 1. 4 billion phones sold a year. Only about half are smart. Were still half way there to monetizing, you know, the global opportunity. That 1. 5 million unit a day number i mentioned for android thats just the start. That number could be 2 plus Million Units a day. I think anybody who plays in the mobile side from small, you know, app players like blue mobile to players like twitter and everybody in between whos trying to mon tize this global user base is somebody worth looking at. Got to leave it there. Natalie thanks to joining us. Brian blair thanks to you as well. Were just Getting Started on the power lunch show. See this guy, this is dan mangen going through the health care websites and found a lot of stuff we dont know about the problems behind them. Why some may be saying blame canada. Its a friday of big strikes. If youre not impacted by one thank your lucky stars. Back in a flash. Avo what kind of Financial Consultant are you looking for . Talk to us today. Strikes around the world, start in baltimore, mary lapd, port workers are off the job. They are servicing cruise ships that go out of the harbor there. The problem is container ships that make up a big majority of baltimores shipping traffic. Bay area Rapid Transit workers are off the job. Theyve been flirting with a strike for weeks. Had one earlier, now made good on the threats and bart is basically shut down. In italy, a massive general strike has brought the nations Transportation System to a halt. Busses, trains, and the like and you cant strikes without talking about france. There students are in a day two of a walkout they are protesting the eviction of two students from the country. One from albania and the other from ar mania. Melissa . State and federal Health Care Exchanges have been plagued with technical glitches since the websites launch. Power lunch has been following the story from the start and proud to introduce the glitch squad, Welcome Health care editor dan mangen, surfing these site. What have you found . A lot of problems like a lot of people are experiencing and its not just the traffic that everybodys been blaming the feds have been blaming for. You know the slowdowns. Serious problems with the enrollment, quality, being sent over to the insurers. Are medical records not accurate . Whats happening is people are having a very hard time logging on to the sites and when they get through, very few are enrolling and when they enroll all that information gets sent. Those get sent in a batch to the insurers and what the insurers are find repeatedly is that those cant be processed in the form theyre currently in because they lack either essential data, questions about whether or not theyre accurate, or in some cases an obvious problem where spouses are being listed as children or multiple spouses. So insurers are having to hire people to go through these by hand which is not as its designed to do. Big problems here. The Company Behind the exchange is a Canadian Company. They had success setting up the state run exchanges. A lot of fingers have been pointed at cgi of a Canadian Company and got a 92, 93 million contract. People are asking them questions and theyre kicking the questions to health and Human Services which isnt saying much about their involvement in it. The interesting there is that cgi federal also was intimately involved in designing connect for kentucky and that has done phenomenal well. The numbers i looked at before i came downstairs they have the secondhighest level of enrollments in the united states. Kentucky is relatively small state. Exchange with volume in kentucky. In kentucky. Two different exchanges. Thats a state run exchange and the feds are running exchanges for 36 states. The question there is, is it cgis fault or a combination of factors because the feds are dealing with other issues than kentucky is. It was shocking to find out this contract was given to a Canadian Company in the first place, but also if you read about the technology the federal exchange is based on technology thats what, a decade old . Usa today how can that be . Had a damming story saying a, this technology is a decade old, two, take six months or so to weed through the problems and get people enrolled by the deadline and then after that they should scrap the system because its that screwed up. Starting with an old system that cant handle the volume at this stages. This is like a commodore 64 running the latest apple app. Dan, thank you. Thank you. The words tech bubble yesterday. Is he right . And gold, its been a wild two days in the gold pit. The gold etf really moving up almost 4 in the two days. We will take you to the nymex to help you get ahead of the next moves. Stay tuned. [ banker ] sydney needed some Financial Guidance so she could take her dream to the next level. So we talked about her options. Her valuable assets were staying. And selling her car wouldnt fly. We helped sydney manage her debt and prioritize her goals, so she could really turn up the volume on her dreams today. And tomorrow. So lets see what we can do about that. Remodel. Motorcycle. [ female announcer ] some questions take more than a bank. They take a banker. Make a my financial priorities appointment today. Because when people talk, great things happen. Welcome back to power lunch. Take a look at shares of boeing today up despite an announcement that the company will adjust the production rate for the 7478 program through 2015 because of lower market demand for large passenger and freighter airplanes after hitting an alltime high yesterday the stock hit another one at the open despite the downward adjustment it is still seeing green after the news. We are watching the stock at 122. 39. Tyler. All right. Jackie, thank you very much. Bob pisani, has just joined us. Another big day for the s p 500. I want to know were at historic highs not just on the s p 500. We can invest in other things on the markets. I want to show you the sectors. The dow transports you can own that in Exchange Traded fund, the s p mid cap and those are things like airlines. Those are things like home builders. Some abstract intellectual idea. There are stocks underneath and the russell 2,000 a historic high as well. One of the things that characterized this market is the fact we keep getting rotations. Technology stocks were weak. Today theyre the market leaders. This goes on on a regular basis. Health care up front one month, fall back and materials will come to the floor or industrials. This rotation of the market is one of the reasons weve done so well this year. Nothing is dominating overall. We have a number of factors at our back right now. Interest rates keep dropping. Three, four days in a row on the downside. Thats a big help. The dollar is down. At an 8 month low on the dollar index. Thats really helpful. Euro is getting strong. Certainly worried about that over there. We have mixed reports on earnings in the areas i really like. The big Global Industrial names. General electric did well, parker hanna fin raised their guidance, 112 for parker, inger sol rand and their revenue guidance. Honeywell lowered their 2013 revenues overall and theres google. Bob, hang with us. You talked about technology being the sector leader today. Kenny is with us, director with enoel security, cnbc market analyst. Google today the 1,000 club, theres one sign of something we obviously should take note of. Right. Yesterday, art saying in reference to the tech stocks saying, quote, i worry were beginning to hear things that are reminiscent of the 1999 2000 period. The number of hits, eyeballs, so kenny, should we be worried tech is topee. I think you hahave to start be cautious. The mentality the way it felt during the dotcom bubble, you shouldnt no matter what, people just had to get in it at ridiculous its not there yet, but tech hasnt had a breakaway yet so far. Not yet. I think arthur makes good points about how they start to value these things. Except number of eyeballs, when they did this in 1999, youll recall, there was no earnings at all. Right. That was created these new metrics because they had no earnings. This is not the case today 37. Right. Google has real earnings, not an Imaginary Company where were creating metrics that dont matter. We know the company delivers. Its just matter of being ka shus. It feels like it does start to get a little bit a little bit frothy, right. I think thats what you have to be careful of. Can you imagine going a week without google in your personal life . I use i still use it as a main search. Occasionally i get concerned when i hear about things going on about how they track people. It worries me about that. I wish i could feel a little more trust in that level. Have to call your friends and ask them any questions. Books you have to go to the library, you have to look at a rand mcnally map. Or asking friends for directions. Shelf full of books in 1997 that was Just Companies looking up how much they earned, before the internet, how much they earned. Remember when we used to do that collect the yearly reports. The value line binders. I kept track of them. Probably worth something these days. They probably are. Thanks a lot. Uptown to nasdaq and sheila dharmarajan. Well, markets on fire, tyler and the nasdaq is no exception. The nasdaq 100 composite hitting a fresh 13year high. You were were it talking whether tech is getting frothy. Keep in mind we are 20 away from the alltime high the nasdaq hit in march 2000. Were still a little ways from that. As for the winners, google of course the big one leading the way today. Its also having a very nice halo effect when it comes to other internet stocks like facebook and linkedin, all those names higher on the day. Amazon hitting a record high today after an upgrade by ubs to buy. Ubs saying look, theres a the lot of momentum when it comes to revenues at amazon. People underappreciating the kindle business and advertising business. There is one notable sector left a little behind in todays rally and thats the semiconductors. And one of the big losers, did turn in a profit but forecast was disappointing and that is a theme weve heard from all the Semiconductor Companies this week, whether intel or cyprus or fair child. Certainly a sector to keep an eye on and whether that weakness will it continue. Tyler . Sheila dharmarajan, thanks. The Metals Market closing for the week. Sharon epperson is at nymex. Metals a little lower, gold prices down ability 9, around 13. 13. Were going to close. Its been a very tight range for gold here in the floor six, only about a 5 range or so. Things, of course, after a big this, of course, after a big week for gold. Gold posting its biggest weekly increase in about two months time and many traders watching what happened in washington, covering short positions in the last session, and, of course, today just taking a breather from it all. Were continuing to watch what happens in the physical market as well. Many traders saying that is going to be a key determinant of where gold prices go from here. Keep your eye on platinum because platinum is now outpaced gold in terms of the gains were seeing in terms of the level of prices and this is the biggest premium platinum has had over gold since the middle of september. Back to you. All right. Thank you very much, sharon epperson. Run through the bond sector. U. S. Tenyear the yield the lowest level in 12 weeks and european bonds including the german ten year on bets the fed in the u. S. Will keep up the Bond Buying Program in the near future. The fire season, one of the worst on record, flames are threatening parts of the sydney area. That story coming up. Plus, what new jerseys new senator means for wall street and business big and small. Why one senator could have a huge impact on washingtons attitude on business. Thats straight ahead. Americans take care of business. They always have. They always will. Thats why you take charge of your future. Your retirement. Ameriprise advisors can help you like theyve helped millions of others. Listening, planning, working one on one. To help you retire your way. With confidence. Thats what Ameriprise Financial does. Thats what they can do with you. Ameriprise financial. More within reach. Amazing and terrible video coming from australia a few ours ago. Nearly 100 wildfires are burning across au stral yaes most populated state tonight. Several homes and buildings have been burned to the ground. The fire covers 330 square miles. Strong winds and high temperatures fueling the flames surrounding sydney. Hundreds have been forced to flee from their homes. Tyler. All right. Grocery store operator safeway boosting stock buyback by 2 billion and shares right now are higher by a big nickel there at 33. 43. Kansas city southern posted higher Third Quarter earnings and revenue as shipments increase. The Railroad Company you see them, up 4. 25 at 117. 41p. Honeywell lower than expected revenue and the company cut its full year forecast citing delays of closing of sales to some customers and down about 84. 26. Shopper trek says the Government Shutdown did hit the retailers. Store traffic fell 7. 5 between september 29th and october 5th compared with a year ago. Melissa. Tyler, google powering through the 1,000 share mark for the first time. Only nine years ago it made its wall street debut at 85 a share. Now most Companies Split their stock to keep share prices lower for the average innvestor but nt google. Better to split your stock or not. Jackie deangelis took a look at numbers. 85 a share, that is pretty remarkable. With this move in googles share price a lot wondering if it is better for the company to keep for the Share Performance to keep the price high or split it. We did look at the numbers. The data team helped us do it and they ran the numbers. What they found might surprise you. First, consider the thousand dollar club. Priceline joined in september, hit the alltime high on october 3rd, 1,074. Now its slightly off that level but it is holding pretty much steady. Apple never made it to 1,000 but it got close hitting its alltime high in september of 2012, 705. After that, the stock selling off pretty steeply though making a slow comeback. Weve been watching that closely. Compare those stats however to companies that have performed, stock splits and how theyve done in the six months after splitting. Apple up 2 postsplit, exxon down more than 10 , walmart up about 15 , while jpmorgan was down more than 11 . To get a little better sense we took an average of Ten Companies, six months postsplit and saw they were only up 4 . Same Ten Companies a year later they were only up 2 . Overall the group that split didnt necessarily see such great returns. But also take into account, market timing, these stocks, of course, could have been influenced by other factors as well. Other stocks to watch, mastercard trading over 700 right now. Interesting to see the split is in the cards for that company. We should be clear for the average investor out there it doesnt make a difference if the stock splits. Thats just all this is just dressing. Right. Icing. That is a fair point. Its true but it does seem to encourage people to get in because they can afford the share price easier. Doesnt make a difference. Market capitalization, another key difference. Priceline 53 billion compared to google, which is 291. Tyler, down to you. All right. Folks, thanks very much. Democrat cory booker beating republican challenger Steve Lonegan in a special election to represent jersey in the u. S. Senate and fill out the remainder of the term of the late frank lautenberg. Hedge Fund Managers couldnt be happier. Why . Cnbc. Com Enterprise Reporter lawrence joins us now with the answer. Did i do justice to your name . You did. Thank you for that. Lawrence, why does this Investment Community like cory booker so much . Whats the origin . Hedge funds love cory booker because they feel he thinks like them. He takes a practical, nonpartisan approach to problem solving like they treat their investments. They hate the partisan bickering in washington like what we just saw which almost made us default on our debt. He could be as some have described Charles Schumer as the senator from wall street and before him al damato. He could be a senator if not wall street private equity lane in greenwich or sand hill road . Thats right. He certainly enjoys a the lot of wall street support. He hit the big money trifecta, ton of support from hollywood like steven spielberg, Silicon Valley like Mark Zuckerberg and wall street, Julian Robertson and others. Hedge funds have been giving him money. Tons. He outralzed lonegan 11 million to 1 million. Doesnt he have to run again next year. Like the debt ceiling stuff we have to do it again in june for the primary and november for the election. Has he taken any positions that we know of that are notably favorable towards business . Hes tried very hard and with some success to revitalize downtown newark and attract businesses and keep their largest single business down there is prudential. Actually, one Hedge Fund Manager told me that was interesting, if he were giving money in his selfinterest he would have supported lonegan which would have kept his taxes lower. Two issues that hedge funds seem to like about booker. One is his support for israel which is important to seth [ inaudible ] and the other is education reform big for Julian Robertson of tiger, and john griffin of blue ridge. He has attracted money from hollywood and Silicon Valley folks like mr. Zuckerberg and oprah and others to that cause of education reform in newark. Thank you very much. Youre welcome. How to navigate uncertainty on wall street and in washington when it comes to your 401 k . Well cover that. Plus a negotiating masters tips on getting yourself a better salary. Ill be listening. More power in two. [ bagpipes and drums playing over ] [ music transitions to rock ] make it happen with the allnew fidelity active trader pro. Its one more innovative reason serious investors are choosing fidelity. Get 200 free trades when you open an account. In the wake of the Government Shutdown and debt ceiling debate, a study shows staying the course can pay off significantly for retirement savers. Sharon has that. Melissa, uncertainty in the economy can definitely create fear among many investors and many of them choose to sell at these times. Take the bear market in 2008 for an example when you look at what happened to the s p 500 was down about 40 that year, a lot of investors rushed to sell their portfolios and sell a lot of the stocks have seen big gains. A new study out shows that for consistent savers, 401 k account balances increased by 23. 5 on average from 2007 to the end of 2011. Taking in account that bear market period. Consistent savers saw balances increase from 76,500 at the end of 2007 to 94,000 in 2011 on average. The average balance for all 401 k savers declined from about 65,000 to 59,000 during the same period of time. Somebody whos still working and employed and saving can take advantage of a crisis by putting new money to work at potentially lower prices and thats really how wealth is created. By accumulating shares and accumulating wealth at lower prices and then when a recovery does come, your wealth begins to compound. Thats one reason to stay the course. Another one the Financial Advisors say is make sure you rebalancing a mix of assets, at least once or twice a year. Thats another way that youre going to be able to see longterm growth. Theres a lot more advice from advisors on cnbc. Com. Check out my story posted now. Back to you. Thank you very much. Next up, a worldclass negotiator gets a few off the wahl questions from us. Things like how do you negotiate with your kids and how do you negotiate a better salary. Thats next. Stay with us. Coming up on street signs the top of this hour, if you listened to Herb Greenberg about Intuitive Surgical you might not be surprised by the stocks cliff fall today. Well have him back on. The good might be defying gravity. Is google the Company Still cool . Thats outrageous. Our special friday segment where we look back at three amazing outrageous thought provoking headlines from this week. Todays commentary is brian. All that and lots more from our guys. Look forward to that, mandy. Hes a fivetime nobel prize nominee known for his negotia negotiating skills. Bill richardson wrote how to sweet talk a shark. Question number one, what would he do about the mess in washington . Get a mediator. I think they hate each other too much. Bring in somebody like timothy geithner, hank paulson, somebody with credibility. The reason that geithner and paulson would be good, is they know budgets, they know taxes, they know economic growth, they know the severity of the situation, a default. Republican secretary of the treasury, a democratic secretary of the treasury, both have credibility. Theyre outside players but they know the inside of government. I think thats what you need. I would start where you want to be. And let the employer bring you down. Secondly, dont talk yourself out of a job. Be humble and talk about how you see your role in expanding this job and finding ways to make it more interesting. Talk about the Company Rather than yourself. And lastly, show some enthusiasm. Show that youre committed. Show youre a team player. Remember, with your family youre not negotiating the bad guys. Youre negotiating with your family. Dont act like a dictator. End up find out where you want to be at the end of the discussion with your family, with your kids. Be humble, be reasonable but know where you want to end up. Let everybody talk but set a kind of a deadline. You can do that about when you want this discussion on whether youre going to take a trip, what college your kid is going to, where youre going to end up at the end of the discussion, but smile, keep it personal, be positive, but remember this is your family. Its not a dictator. Youre not negotiating with a bad person. Youre negotiating with your own good people. And i think governor richardson understands that the best negotiators in the world are your kids. Ones 13yearold long shot bet makes him 200,000. Youll never guess what he put 80 on. Facebook is changing its privacy rules for teenagers. Should parents be concerned all today in our power rundown after this. I know what youre thinking. Transit fares as in the 37 billion transit fares we help collect each year. No . Oh, right. Youre thinking of the 1. 6 million daily Customer Care interactions xerox handles. Or the 900 Million Health insurance claims we process. So, its no surprise to you that companies depend on todays xerox for services that simplify how work gets done. Which is. Pretty much what weve always stood for. With xerox, youre ready for real business. I put in the hourswhere i am today by luck. Which is. Pretty much what weve always stood for. And built a strong reputation in the industry. I set goals and worked hard to meet them. Ive made my success happen. So when it comes to my investments, im supposed to just hand it over to a broker and back away . Thats not gonna happen. Avo when you work with a schwab Financial Consultant, youll get the guidance you need with the control you want. Talk to us today. It is power rundown time. Melissa and kayla are ready to go. Start with facebook, it is going to allow users under 18 to make their profiles public. Are you concerned about your kids on social media . It is also the topic of the day on finance. Yahoo. Com. 35 say yes, i closely monitor my kids activity, 11 say no, only to connect with people they know and 54 say im not letting my kids near social media until theyre older. I dont know what that means and how old is old here. Lets talk about facebook. I guess what this means is if i wanted to and under 18, i could let anybody look at my page, right, melissa . Yeah. The rules right now if youre under age, you know, your post is made available to a limited audience. If you want to go public there are a lot of popup windows. Do you want to trust a 13yearold or 14yearold to make the decision to have their posts become more public than with a limited audience and that really is i dont know, tyler, you talk to a 13yearold recently thats not a decision i want in a 13yearolds hands. Kayla, what would stop a 13yearold saying they were 23. Like myself youre saying. No. Heres the thing. Kids have been doing that for a long time already if they wanted access to some of these networks. I dont understand why a kid would do that. The distinction you made is an important one. Even when kids under 18 sign up for facebook they will still by default have a more private profile. They have to click to make it public and if you do that youre going to get payback. Young people dont think facebooks cool anymore. So maybe this is a nonissue. Maybe so. I say only let the kids use the computer in the public family room where you can see it. Thats my house rule on that stuff. Good luck with that. Youre right. All right. Next, payback from chinese mistresses in a recent study of the communist Party Politicians who have been punished for corruption, 95 found to have affairs, 60 kept an ongoing mistress and in the age of social media scorned lovers in china getting revenge online by posting believe it or not embarrassing photos. Kayla, should this shock you . Are you surprised . Im not at all. I think this was an idea borrowed from the u. S. Some people may remember just a few years ago, i think it was about three years ago when a mistress of a Senior Executive at oracle named Charles Phillips used hush money he had given her to take out billboards in high traffic city centers like time zaushgs San Francisco square and a boat load of other places, he had to leave oracle and make a public apology. Hes the ceo of infor. That was an extremely public way to seek revenge there. Seems like its not uncommon. This is an extrapolation of what goes on in terms of blowing it to the tabloid press. Now using the equivalent of twitter. This could be a growth market. There is a trade for you. Love that. Talk about a lucky win. In january of 2000 a man made an 80 bet one day his 18monthold grandson would play soccer for his home Team National son of wales. The grandfather banking more than 200,000 on that bet this week. Harry wilson is the youngest man ever to play for wales. Thats a long shot bet, melissa. Like a deep out of the money call. The risk reward to the upside. Caused tloil place that bet, 2500 to one. Why not. I would bet on a number of professions, in fact. The payoff is so big. Very little money but you had to know where to place it. He acts like this was luck, he just shook a hand of a Drinking Buddy to make this bet. He called up a betting firm in london and said i want to put my money there. That takes effort and conviction. You can do a lot of bets in britain. Thanks very much. We appreciate it. Just talking about facebook, obviously wait until you see what the stock is doing today. Thats right after this. Check out shares of facebook here. New high on the back of googles results up 186 in one year. Tyler . You know, melissa, the s p at a record high level. Lets look at three of the top performers in the s p 500 including google today. And a couple of others, first solar and chipotle mexican grill. That will do it for power lunch for a friday. Have a great weekend. Street signs begins right now. Everybodys working for the weekend and happy friday, everybody. We made it. Which is quite an achievement when you consider the nail biting in both washington and on wall street this week. Lets check off exactly what we have achieved. Deal in d. C. , check. New alltime highs in no fewer than four stock market indexes check, more stocks at record highs than we can count, check. Lets get straight down to bob pisani at the nyse and hope you still have nails left there, bob. So much for the sell on the new scenario. A lot of guys who

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