Transcripts For FBC Countdown To The Closing Bell 20121126

Form. Today were kicking off governors on the edge week on countdown to the closing bell. We are finding out how pennsylvania is affected by the budget mess. Governor corbett is talking about the impact on state finances but perhaps more importantly why he is not waiting around and he and his team are trying to work on make sure they dont fall into the abyss with the rest of the country. Now hewlettpackard is now up 2 1 4 . We just heard through reuters were confirming it here on fox business that a classaction lawsuit has been filed against hewlettpackard, a law firm were looking at this issue with autonomy, its a company they had to write down the acquisition by billions and billions of dollars. So clearly this is the breaking news on hewlettpackard right now. Not really moving that much. Still up about 28 cents. Apple as you saw up sharply. Analysts talking about a strong black friday for apple based on some checks on their stores. Analysts run in there and look at the stores and watch and see what people are buying. Apple is what people are buying. Were stuck in the pool of red with bits of green. Lets find out why and whether we hoist ourselves out of it. Lets go to our floor show. Ben willis, can we switch this tomorrow or is it a headline driven market . This is a natural pullback from overbought overextended rally we saw last week. Natural pullback. Nothing to panic about if you are a longterm investor, you should have your Shopping List ready to buy them as they come back in. I would like to see a little bit more work to the down side here before we continue what i think is an up trend into the end of the year. Liz can you catch the market bottom . Thats the question or do you just look at this and say it doesnt look so bad, why dont i try it here and endure a couple of negative days . There are going to be relative like there are lottery winners but i wouldnt bet my career on trying to pick a bottom. You buy them when you think they are at a fair price. Liz let me get to the cme and todd. Todd were looking at the questioning and hand wringing over the fiscal cliff. Do we put that aside and some earnings look good, some dont, lets pick the companies that look good and lets go for them . Thats always a safe philosophy. When you look at the next 12 sessions of congress that we have here before year end, you have to be concerned that some taxing policy rate hike is going to go into effect while some entitlement decreased spending is going to go into effect. I think ultimately the stock market not really going down. It is down slightly today after a big week last week, suggests to me that the fiscal cliff and greece will both get fixed in the coming weeks. Greece may take until First Quarter of 2013, but certainly what were seeing the Market Reaction is that something will get done. Liz let me get to the nymex and Jeff Grossman because it is stunning to me that one day were down 2 in crude oil, the next were up 2. 30 or whatever it was, now were pulling back again and suddenly people do not believe that we have this Strong Economy that they did on a day where decent data came out last week. Which is it . Good question. The bottom line is were in a trading range right now. This market has now for about the last six weeks between 85 and 89 dollars. You buy the dips, sell the rallies and work in between there. This market is not giving you any reason to break out of the range yet. Were waiting of course with news dollar wise, stock market wise, inventory wise, weather wise, anything that could really give you at least something to hang your hat on and at least make a serious line in the sand here, up or down right now. But right now theres just a market thats trading. The story of the day, though, liz, natural gas, which i dont know if you realize, its down almost 5 today. Liz i saw that. And i thought i just thought well maybe its just because were not really seeing as much snow as we expected here on the east coast tomorrow. Quite accurate. In fact there was an updated Weather Report i believe from the National Weather service that just predicts a little bit more of a mild winter in the midwest, which of course is the natural gas area that we always look at. The northeast is heating oil. Midwest is for natural gas. It seems that theyve tempered that a bit, and with that the market is coming off. Theres an option expiration tomorrow, and i think some of the real bulls that were hoping to see us over 4 are having their hopes dashed a bit by that Weather Report. Liz i know in cleveland it was always the lake effect or the Alberta Clipper coming down from canada. Absolutely. Liz my canadian mother always said stop blaming canada for everything. [laughter] liz good to see you guys. Thank you very much for the perspective. We really appreciate it. Right now Dow Jones Industrials off the lows of the session, down about 58 points. Talk about a contrarian. Okay, you have the u. S. On the edge of this fiscal cliff. Europe is still a mess with its debt crisis. China slowing down. What should you do with your money besides hiding it deep under the mattress . My next guest says theres only one place to be and thats the red white and blue usa. Neil hennessy is sounding like an olympic champ, usa, usa. You are over at Hennessy Funds after your name. I look at this and say okay good finally somebody who seems optimistic and you are, why . Very optimistic, you were just talking about earnings, they might be down but still earnin earnings. Companies made a lot of money in 08, 09, 10, 11, 12 and continue to make money. Liz while everybody else was whining and saying it is so awful, the world is ending. Exactly. If you go back to 07, height of Corporate Income at 1. 7 trillion dollars. Today it is at 2 trillion and people arent paying attention to this. Liz rates are at near zero. 30 year bond getting you 2 3 4 or a 10 year at 1. 68, 1. 70. Liz folks, you can hold all dow 30 names for 3 yield, which is obviously better than the 1 and change that you would be getting from the ten year because you feel so much better knowing that at least you will just get paid back in 30 years. So here comes the question, you know, you dont think were going to go over the fiscal cliff, but you think we should, why . Well, im just looking at if you go into washington, youre going to compromise for the sake of compromising, it is the same as making an acquisition for the sake of an acquisition, it doesnt make sense, if it is not in the best interest of the company or in this situation the best interest of the american people, why compromise . If we go over the fiscal cliff, on january 1st, i will guarantee you, and im not supposed to use that word in this business, that they will get it right within the next six months, and we keep talking about 600 billion dollars, thats a fiscal cliff. Its 50 billion dollars a month. Liz but in the near term if we were to do that and you know that wall street is so emotional, stocks might take a pretty dramatic hit, and what would you then say to your shareholders who called up and said i saw you tell liz dont worry about going over the fiscal cliff. Could you stand up to your investors and say dont worry . S absolutely because we have to get it correct. If you start to look at just the numbers, just because we go over the fiscal cliff, do you think the companies are going to start to lose tons of money . They are not. They are just going to continue to keep the money. If you go back and look at history, liz, you and i have been around a long time, you not as long as me, but you look at the late 90s and clinton raised taxes and everybody says look at how well we did. That was retail euphoria in the tech market. If you had a dot com next to your name, stocks went up. Liz why do people say that . It is what it is. It was reality then. But the rich, the people with the money stopped moving their money because tax rates on dividends and Capital Gains went back to ordinary income. Thats where you saw in 2000, 01, 02, market lost 45 of its market value. Liz you are not worried about what might happen here. Lets talk about one area this is stunning to me because neil is a smart guy, what he is saying here, one other country that you believe is poised to really run, if i heard it once and heard it a thousand times and still hasnt come to pass, what is it . Japan. If you look at whats happened with corporations over there, they are doing the exact same thing what corporations are doing over here, making tons of money. You have to segregate out companies, the economy, politics because essentially liz but overall its been dead money for years. Its been for 20s years and deflation its been for 20 years and deflation. Liz now in the 21st year we are going to be okay . Thats very funny. You should be on late night. [laughter] if you look at what japan is doing, raising dividends, buying back stocks, making acquisitions, doing everything right from a company perspective. Liz they have a pricey currency. If japan is so bad, why do they have the strongest current si in the world currency in the world . Liz i have no answer to that. Essentially at some point in time, its going to start to work the strength of the yen is starting to break and from what i know about commodities, after 33 years, once a currency starts to break and go one way, usually lasts five to seven years. Liz to i have ask you about the i have to ask you about the argentinean situation. Is there any worry about Systemic Risk of this becoming another at least worrisome greece type of situation . Im not really the one to ask that question to. You know, when i look at the amount of money that argentina borrowed in what the banks had to put into them in the 80s, forced by our government to put that in to save australia i mean not australia argentina, that became a banking financial crisis too. Liz okay. Stick around neil. Thank you. Liz because we need you. Neil hennessy has a whole bunch of names, some specifics because you just heard he said put the money in usa, usa. Hes going to say where, not the houses but the insert word here. Stay tuned for that. Closing bell is ringing in about 49 minutes. Will congress put together that budget deal that everybody can live with or at least some of us before the end of the year . Individual states like pennsylvania have so much riding on this. Feds are a big source of funding for every day programs in all of your states. Its day one of our governors on the edge series. Governor tom corbett on what it is like in his states budget war room and how he and his team are shoring up against the fiscal cliff. Its a fox business exclusive. You cant afford to miss it. What is your state doing . [ abdulrashid ] ive been working since i was about 16. You know, one job or the other. The moment i could access the retirement plan, i just became firm about it you know, its like it just hits you fast. You know, you start thinking about whats really important here. Liz so we were looking for some green on the screen and we found it. Two 3d printer makers. Nicole petallides on the floor of the new york stock exchange, big gains today there. Jeff flock is at the cme watching volatility and i guess the commodities are falling too. Nicole, why dont you take it first. These things didnt even exist a couple years ago. Nicole thats right. When you are printing and you want some good products coming out here, and so this is what were seeing here with two names on the move, 3d systems and the Ticker Symbol is triple d, thats a winner and stratuses are both posting big gains as you noted here. Take a look. Announcing the availability of some new models of its projet max professional 3d printer lines. This comes ahead of a big industry conference on november 27th through the 30th. Just the fact that these things are coming out with new printers, this is great news here for these two companies that are really jumping. One up 7 . 3d is up nearly 10 . Liz thank you very much. I ant believe you are not at Marshall Fields at what do they call it . Jeff i would much rather be there. Im in the s p 500 futures pit. Natural gas has fallen off the table today because of weather. But what are traders talking about . They are talking about the vix. You know, the vix right now if you take a look at the number, its at about 15. It was up 4 today. But what does the vix do . It gauges volatility. Why is the vix not running higher running higher . What is the vix for example . What does 15 mean . 15 is what they think the movement in the s p will be over the next course of the next year. On a monthly basis divide 15 by 12, it is about 4 they think in the next month, thats nothing with a fiscal cliff looming out there. Some traders think the vix is not a great measurer right now because they think some people are not getting into the market and trading futures and options because they think that, you know, the probability is that we will get a deal on the fiscal cliff. Others think that the vix just isnt tracking it very well right now because you wont begin to hedge your bets until you get closer to the deadline. We will see which way it goes. Liz you know, they are not wrong. The vix used to be. This market has evolved so much. There are many different ways of getting in and out of things. I think you are right on that. We will see you later. 50 states, all 50 will feel it in some way or another if we hit the fiscal cliff. How bad . How not so bad . Just 35 days left for congress to reach a deal on the budget. Now, if they cant, as you know, more than 600 billion dollars in tax hikes and spending cuts kick in. Some states not waiting around at all. We decided to launch governors on the edge. Find out what the leaders of each state are doing all week long. Finding out what they are doing in this period of tremendous uncertainty. We kick things off with pennsylvania governor Thomas Corbett in a fox business exclusive. And you are first up in governors on the edge week. Thank you very much for joining us, governor. Well, thank you for having me and thank you for having me first. Liz well, no problem, you know, we just wanted to know first off, i know you are being very proactive about it. Is it a war room . Is it a bomb shelter . Where do you guys gather, look at the budget and say we dont know whats going to happen, lets prepare for the worst . The Budget Office is in one building. They come over to a big Conference Room that i have. We were going through the budget earlier today talking about the budget that were drafting that has to be introduced in february to take effect in july of next year. But you almost have to have two budgets for next year and then if this goes into effect in january, what happens the remaining six months of this years budget and where were going to find the money if were able to find any money to replace that which wont be coming forward. Liz are you putting together two separate budgets depending on what the outcome . Thats interesting to me. You would have to do that; right . Right now we have the one budget that assumes they are going to do the responsible thing and not go other the fiscal cliff go over the fiscal cliff. If we as we get a couple more days down the road, were going to start drawing up the alternative scenarios of whats going to happen in reduction of services across the commonwealth of pennsylvania, particularly in the social services. For example, our special education, our Community Economic Development Block grants and workforce investment would all be dramatically affected by this federal money that normally comes to the state and right into the local communities that wont be there, at least at the levels that was originally put out by the government in the first place. Liz what keeps you up at night, governor . What part of all those worries concerns you the most . The cuts, the tax hikes . Usually i wake up about 3 00 in the morning and i wonder where are we going to balance the budget, first off with the economy as it is right now, it is just slowly increasing. We have a pension crisis just like every other state just about has a pension crisis. Liz you have had success. I want our viewers to know you have balanced balanced two previous budgets if not more, you have closed deficit holes of more than 4 billion dollars. You have had success. We went from a 4. 2 billion dollars deficit to two one time budgets with no tax increases. But we have pensions that are eating up a good portion of the budget that were going to have to address. If all of a sudden this federal money that has been coming to the state and going down to the local communities is cut off, were going to have to sit back and say what services can we provide and what services are going to disappear . But what concerns me more is the unemployment that its going to create. I think the cbo has said that unemployment could go over 9 . Liz youre ahead of the National Average higher actually. We created some tax incentives to bring the petrochemical industry, the plastics industry near that facility, that would create thousands of jobs more. We believe we could reindustrialize southwestern and western pennsylvania, if were able to move this forward, but the economy as you know certainly can have an effect upon that, and if all of a sudden we dont have the money there, i have to be concerned that Companies Wont invest the way they were going to invest. I dont think thats going to happen. But at least i have to understand that thats on the table. Liz we wish you good luck with all of this. At least youre being proactive. On top of it, you guys are one of the few states that has not one but two nhl teams, the penguins and flyers, so theres is a lockout there. Although i saw this weekend that a couple of Philadelphia Flyers found work elsewhere because they are out of work in a movie. They are great in it by the way. Everybody should know. Thats where they have to go, to hollywood to find work . Well, i havent seen it, but were growing industry here in pennsylvania for the movie industry. We have a lot of movies being filmed here. We have one coming out with tom cruise next month. Liz okay. What is that about . Let us know. Its called reacher. Liz right, its getting buzz. Yes, he filmed that in pittsburgh and they are going to have the world premier in pittsburgh sometime in the early part of december. Liz governor, you are going to hollywood, but staying in pennsylvania. Anything to get it done. Right. Liz thank you very much for joining us. We appreciate it. Thank you. Liz thank you very much. Governor tom corbett. Coming up tomorrow, in day two of our governors on the edge, we have delaware governor talking about all that hes trying to do to keep his state alive and kicking. Does he have two separate budgets . You know what . I bet you thats what a lot of these governors are trying to do with their budget team, have to be realistic if they dont know whats going to happen. We will be right back. Dow jones industrials still struggling but do have a nasdaq thats still in the green. Stay tuned. Coming right back. Liz Knight Capital chief ecutivive, remember him, the company had a big big glitch when it came to their Computer System almost went out of business. Liz charlie says almost went out of business, telling friends he does not want to sell all or part of the company he helped save from bankruptcy earlier this year. Does he have any choice, charlie . What do you mean he doesnt want to . Didnt he let them have certain investments that were very profitable for them and not the company or shareholders . Right, we should point out that yes, thats true. Some of these investors are very powerful companies. We know a pretty big trading firm, High Frequency traders and many others. Stifel nicolaus is in there. He basically sold to about dozen other investors who came in and gave capital, they do have a major say in his future. Heres what we know, most people think hes being pressured to basically sell all or part of the company. Theres a story in the journal about selling just the Market Making aspect. It would bring tremendous retail order flow. Because of trading volumes cutback, even High Frequency trading, their profits are down, not doing as much business, getting all that market from Knight Capital which i think it is the number one market maker it does help them. The issue is will he sell . He doesnt want to sell. They are trying to force him to sell. And if you sell the Market Making unit, you might as well sell the whole thing. Liz it was a 16 stock. Right, we should point out theres nothing left of the company after you sell the Market Making, so you buy the whole thing, thats whats going on here. We will know more by the end of the week. The interesting thing is he does not want to sell. What he has to do if he really wants to hold on to his job and we should point out he doesnt have a contract, which is another indication liz wasnt he rumored to be talking to etrade . That was a rumor. It was totally absurd because ken griffin owns 10 of etrade from citadel liz he would never do that. They just dont get along. As a matter of fact he went out and told people there was no way it was going to happen. I think it was one board member called up joyce and said are you interested and it leaked out . Hes not going there. Hes going to be here. He doesnt have a contract which makes you think this deal will happen. I can tell you this what will the deal be . If you sell the market maker, you have to sell everything. The bottom line is this, if you do a deal, youre buying the whole thing, do you want to spend up to a billion dollars . Does the company have a billion dollars for this . Liz if im a shareholder, im out of luck in any way shape or form; right . Well, if youre an old shareholder. New shareholders are doing very well. They bought a convertible share, 1. 50 even if you take out the premium right now, theres a premium built in about them selling the company, if you take that out, it was 2. 50, still made a lot of money. But now they are making now you look at the deal and it looks like a really sort of huge thing. We should point out if they do this, that company is done; right . It is going to get taken over. They will buy the whole thing. By the way, the stock is coming off its highs today. Liz i was going to say. Look at the three month. Yeah, but listen, heres the thing, why did the company put in money in this thing . Liz right. Heres one way they get out, they also want the inside track on buying that Market Making unit. It makes a big difference. But the bottom line is, joyce is saying no. Can he hold on . This is kind of an interesting thing. Liz charlie gasparino, the man who did cook his own turkey. No, i didnt, i made lasagna. Liz oh, thats right. Stupid me. Thank you very much. Yeah, you know, not everybody cooks turkeys. Liz not everybody. You are not sensitive. Liz i should be more sensitive. Charlie thank you. Closing bell ringing in 29 minutes. The Holiday Shopping season is to retailers what the super bowl is to football, everything, well almost anyway, a lions share of the profits. So many retailers pulled out all the stops opening on thanksgiving night. But guess what . They had some company or should we say competition from Online Retailers who arent waiting anymore for cyber monday. How is that changing the landscape for retailers with both brick and mortar and Online Options . Com score chairman talking about that, some of the best deals and whats hot. You cant afford to miss it. Look, if you have copd like me, you know it can be hard to breae, and how that feels. Pd includes chronic bronchitis and emphysema. Spiriva helps control my copd symptoms by keeping my airways open for 24 hours. Plus, it reduces copd flareups. Spiriva is the only oncedaily inhaled copd maintenance treatment that does both. Spiriva handihaler tiotropium bromide inhalation powder does not replace fastacting inhalers for sudden symptoms. Tell your doctor if you have kidney problems, glaucoma, trouble urinating, or an enlarged prostate. These may worsen with spiriva. Discuss all medicines you take, ev eye drops. 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Mcgraw hill says it will use the money for its Stock Buyback Program to pay down debt and possibly make other acquisitions. Now we continue our count down to the closing bell with liz claman. Liz i knew they would sell out of that wiiu. You could tell when we talked to gamestop. What did you buy on black friday . Did you have your Running Shoes on . Did you put on the steeltoed boots to fight the crowds . Or did you just kick back in your bathrobe at home . Online spending passing the billion dollars mark for the first time, 57 million of you visiting Online Retail sites, so obviously there are high hopes for cyber monday, but is the behavior changing . Should cyber monday be renamed cyber thursday as in last thursday . We decided to do a little countdown to the closing bell cyber search, some of todays online offerings. The trendy fitness and health monitor, have you heard of this thing, so many people are buying it. It is available at brookstone. We did some cost comparison, found it 22 off on price grabber. Com. Price grabber ceo by the way is in the 4 00 coming up in the next hour. For the little genius in your family, leapfrog, the hottest toy maker for little kids, offering online exclusive bundle option that saves you 10 today. And diamonds, i have to convince you of this, really can be a girls best friend. The prices of blue nile, putting it out online today, blue nile premium diamond earrings in platinum, 40 . The ceo of blue nile is coming up in the next hour by the way. Are retailers really offering their best prices right now or did they already do it . Comscore is tracking online Holiday Shopping activity. So far this year more than 13 billion dollars has been spent, up 16 from last year. Lets bring in gian fulgoni, comscore chairman. Hes joining me with a first on fox business. So many brick and Mortar Companies said were going to open on thanksgiving. I guess the Online Companies did too. What kind of impact are you seeing from that . The Online Retailers are a force to be reckoned with today. We have a situation in u. S. Where about 1 in every 10 discretionary dollars is spent online. So whether youre a multichannel retailer or a pure play Online Retailer, you really have to Pay Attention to whats going on there. It does look as if the season is beginning earlier and earlier every year. And its probably easier for an Online Retailer actually to market thanksgiving day as a day when you should be buying. A lot of people today obviously dont want to brave the crowds in the physical stores, so we saw a very strong thanksgiving day and an even larger than black friday day and today, monday, today will probably be the biggest day of the season. Liz but, you know, i began by asking should we rename cyber monday Something Else because people are now realizing that there is an opportunity that after thanksgiving day we had the head of paypal, ebays online guy, the mobile people, he said 5 23 p. M. On thursday of thanksgiving, people jump on their phones and they jump on their smart phones and their tablets and they start shopping. Is the whole landscape changing gian . I think it is. You mentioned phones and i think thats something thats really got the physical store, retailers very concerned. You have this phenomenon called show rooming where the consumer walks in to a store, touches and feels the products, takes up a lot of salespersons time and then when you think they are ready to buy, off comes the smart phone and off they go online checking prices and the next thing you know youre competing with the likes of amazon in your own physical store. It is a very very different environment for a retailer today. Liz what were they competing for . What was the hottest area that you saw when it came to online spending . Well, youve got the usual suspects in a sense. Youve got Consumer Electronics have been hot so far. Apparel did very very well in the first couple of days after thanksgiving. And then youve got computer hardware. Well also see no question this season an enormous number of smart phones and tablets being bought. And so youve got the devices that are changing the buying landscape being bought, you know, in enormous quantities at this time of year. So everything is going to change if it hasnt changed already this season. Liz okay. Is anybody holding back . Are any of these retailers holding back . Im talking amazon, walmart, best buy. Com, target, are they holding back, or did they all come out today with their Cyber Monday Deals . Because ive seen in the past the biggest shopping day of the year is december 17th . Well that used to be the biggest day. Liz what is it now . It is today, its cyber monday. So we saw that happen within the past couple of years that the timing changed from the biggest day being mid december to the biggest day being cyber monday. Whats really interesting about monday, though, is that it is when people go back to work and surprisingly about a half of online buying is still being done from work computers. Liz theyre faster. Theyre faster, but even though you know people have these high speed connections at home, theres a certain element of privacy that you get buying from a work computer, you know, at work, if you are buying gifts for people in the family. That seems to have not abated as time has gone by, and thats one of the reasons that cyber monday is so hot. Liz gian fulgoni, comscore chairman, thank you very much. Its been a great cyber monday so far. A fewwmore hours to go. After the bell, were going to talk to price grabber. Com ceo. This is the Price Comparison site. The best deals just one click of a mouse. 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Liz we have some big movers of the day even though the markets are kind of iffy at the moment. Lets get to sandra. Shes been looking at them. Sandra lets take a look at the markets. Nasdaq Still Holding on to a slight gain right now. Turned positive about midday trading. Up right now about 7 points while the dow is holding on to that 55 point gain. Sectors that were watching in these final minutes of trading here is particularly the retail sector, a few of the stocks in the green. But many of them in the red even after a 13 surge in Holiday Shopping sales over the weekend. But thats not enough to bolster the entire sector. Some of those that are in the green, best buy up 7 right now. A stock thats not done so well over the past year, but this as we wait to see what these final results are of the big cyber monday shopping. Best buy is a big part of that. The gap, by the way, an apparel retailer has made a big turnaround with the stock doubling so far in 2012. It reportedly had a very good Holiday Shopping weekend. Also guys one of the other stocks that were watching, lowes, Home Improvement retailers doing very well. Look at the new 52 week high for lowes right now. Up 14 cents at 35. 29. Look at the dow 30 right now. Very few stocks in the green. Hewlettpackard leading the way. Your biggest loser right now is cocacola. I want to finish off real quick as i hand it back to you. Commodities big movers as well. Look at the move in natural gas down 4 . Crude oil prices coming back down below 88 as well. Look at gold, losing a couple bucks today back at around 1750 an ounce. Commodities big movers today as well. Liz thats what jeff flock was telling us. Thank you very much sandra. Do you remember a scene in the movie where Michael Keaton said how about putting the mayonnaise in the can of tuna so you dont leave out the middle step. So not the tuna, but the mayonnaise. For a twist on stock picking in that vein, i know a little nutty, but i like the idea, how about not the housing stocks but the stuff that goes into the houses. Can i have an applause for that . Come on. [applause] liz look, it is a stretch. You dont like the homemakers at this moment, the housing stocks, but yet you feel theres some second derivatives here to play off what has been a pretty much improving Housing Market. It is not that i dont like the Housing Market. In fact i think the Housing Market is probably a pretty good place to be, but if you really go behind the equity rising in the homes and you start to look at whats happened over the last four to five years which is deferred maintenance on housing, so people are starting to put money back in to painting their houses, maybe putting some Crown Molding up, also buying some furniture, they are doing appliances, they are doing things a little bit differently now than they were in the last three to four years. And so when i start to look at, say, macys and their Home Furnishing department or lazboy. Or actually pier one. I dont know how they keep track of their inventory. Theres so much stuff in there. Its a middle range of the price range so somebody can go in and start to acquire and put a new lamp in their house or a new table or whatever. We like that area. We like the low end retailer because the shopper has shifted over the last three or four years to where they want more for less. We still like ross stores, dollar general, Companies Like that, liz. Liz some of these names have had significant pullbacks im talking about lower end retailers are you saying now is a really Good Opportunity to get in there. Correct. They are earning a lot of money. A lot of these companies dont pay dividends. If taxes dont change, you could see them initiating dividends. If taxes dont change on dividends, you will see a lot of these companies raising their dividends. But the low end retail, people want more for less. We have spoken before, four, five yearings ago, there is not one person we have spoken before, four, five years ago theres not one person who would have stepped into a walmart in manhattan, now they are trying to get a walmart in manhattan. Liz yes, you see high end 1 er 1 percenters [inaudible]. Lazboy, they ave the armrest that comes off, you can put the beer in the armrest for minimum movement, a big run up over the past year, do you think theres still more room to run here . That and a Remote Control really set that off. Essentially yes people are starting to go out. Look at what happened in the last four days, 60 billion dollars was spent on retail in the last four days. You are seeing that people are going to go out and maybe spend that 350 to 400 to 500 to 700 dollars to get a new lazboy that they have had for ten years. Liz thanks for joining us, neil. Neil hennessy of Hennessy Funds. When we come back, the white house releases a new report on impact of middle class tax cuts on consumers spending retailers. The chairman of council of economic advisors joins us live from the white house. [ malannouncer ] itthat time of year again. Time for cii price rewind. Because your daughter really wants that pink castle thing. And you really dont want to pay more than you have to. Only citi price rewind automatically searches for the lowest price. And it finds one, you get refunded the difference. Just use your citi card and register your purchase online. Have a super sparkly day ok. [ male announcer ] now all you need is a magic carriage. Citi price rewind. Buy now. Save later. I took my son fishing every year. We had a great spot, not easy to find, but worth it. But with copd making it hard to breathe, i thought those days might be over. So my doctor prescribed symbicort. It helps significantly improve my lung function starting within five minutes. 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But whether hes climbing everest, scuba diving the Great Barrier reef wh sharks, or jumping into the marke he goes with people he trusts, which is why he trades with a company that doesnt nickel and dime him with hidden fees. So he can worry about other things, like what the market is doing and being ready, no matter what happens, which isnt rocket science. Its just common sense, from td ameritrade. Liz okay, when Goldman Sachs added the stock to be wireless, usually goes up. It is going up. Up 1 right now. Nonetheless, what you saw today was a 52week high for yahoo added to the Goldman Sachs conviction buy list. The price target oldman is giving his 24, couple of dollars to go on that one. We will see what happens under the new ceo. Getting ready for the closing bell. Time to say hello to david asman. David hello there. Were seeing the market not as bad as it was earlier today, but the nasdaq tech stocks are roaring ahead like apple, facebook. Nicole petallides wearing red, ebay is having a great day, the highest level since 2005. Nicole that is right. So lets take a look, ebay hitting a multiyear high. This is all on cyber monday. The numbers up 57 yearoveryear. David lets talk about apple for a second. Now it is popping very well today. Lot of price targets have come down quite a bit, bullish on apple are bringing down their target quite a bit, right . Nicole 800, 900,000. Now theyre being a little bit more realistic. A buy rating, 675. Bringing it closer to the alltime high. Liz people who stuck with best buy are happy today. Suddenly somebody decides we like it. Nicole that is right, talking about sales, they have been a big factor. Best buy up almost 7 talking about electronics. David face