Wayne rogers and company. Connell some news on the fed from five years ago. Lets go to Nicole Petallides and the dow is up today and Nicole Petallides at Stock Exchange. Nicole good morning. We are seeing some up arrows and major averages pushing them into positive territory for the week but looking here like the dow is going tab three straight weeks of gains, 60,154 last friday. Squeezing out gains is a good way to say it. Up 1 1 4 . The tech having nasdaq doing well, also up 1 3 of 1 . We are seeing gold higher by 5 and buying across the board for retailers to drugs to banks, transports doing well, we have gone some notes out from the big houses such as jpmorgan this morning saying to buy equities, dont sit on the sidelines, lot of movers, a hewlettpackard, ala of movers here will keep a close eye as well. Connell thanks. Dagen breaking news from the Federal Reserve, central bank releasing transcripts of its meetings from the height of the financial crisis in 2008. Connell coming through these pages including peter barnes who you are looking at on the washington bureau,. Hundreds of pages from 14 scandal and the emergency policy meetings it held in 2008 as the financial crisis started to build and former fed chair ben bernanke and his colleagues feared that all of this could tip the economy into a second Great Depression. We are coming through these transcripts fur nuggets and we found one already from janet yellen who is now the current fed chairman. At the time she was president of the San Francisco Federal Reserve bank and once again pretty prescient on her outlook for the economy and how bad it was going to get. According to the transcript of the september 16th meeting, in the past several weeks my head office and Branch Directors have become decidedly more pessimistic about the economic outlook. My own assessment of incoming data coincides with theirs. The risks to the forecast are decidedly skewed to the downside. Then she cracked some jokes say in my contacts in San Francisco report cutbacks in spending are widespread especially for discretionary items. For example east bay plastic surgeons and dentists know if that patients are deferring elective procedures. Reservations are no longer necessary at many high end restaurants and Silicon Valley country club with 250,000 entrance fee and 7 to 8 year waiting lists that have seen the number of wouldbe members shrink to a mere 13. Plaughter. Back to you guys. We will keep coming through this. For more nuggets like that. Dagen you are covering details on the president s day budget proposal. What is in it. President obama proposed changes and Corporate Taxes on companies with foreign operations. And obama age saying the white house views the existing provisions of the tax code as loopholes and methods to avoid anti evade taxes through shifting profits overseas and other means and they have been made increasingly easier, Officials Say by digital transactions. The administration said it will release details of these proposed changes in its fiscal 2015 budget on march 4th but in the last budget the president proposed nearly a dozen changes in International Tax loopholes that would have raised 157. 5 billion in new Corporate Tax revenues over ten years but those changes like others the president has proposed in recent years went nowhere in congress because of opposition by republicans and some democrats to raising taxes on corporate america. They say it would hurt the economy and job creation, no reason to expect anything different this time around especially in this Congressional Election year. When the ceo of a big Company Calls his Washington Office or Washington Office and says i read in the wall street journal warsaw on fox that this was going to happen the guy who is running it will say dont worry about it. It is not going to happen and we will keep you informed. The president and republicans say they favor comprehensive reform that would eliminate lots of tax breaks like these to allow lower more internationally competitive Corporate Tax rates to boost the economy and create jobs. Dagen thank you, peter barnes in washington. Connell what peter was talking about, the budget from the president is expected to bring back a recurring theme that we talked about over the years, higher taxes on a ridge. Dagen the wall street journals jane freeman joining us with more, higher taxes and higher spending. He really is not trying to play nice with the republicans at all. We remember a very brief moment early in his first term when he pretended to care about deficits and appointed by erskine bowless commission and ignore their findings. He is really saying he wants to drive spending to 3. 9 trillion a year and i think basically having run four straight years of trillion dollar deficit a lot of people in washington think they deserve a pat on the back, the deficit is only half a trillion dollars a year so the Spending Party continues. Connell what are the odds of how much of this wont spend on education as i said a moment ago a lot of stuff we have been talking about seems like a replay of many of those issues. Whatever the odds of is getting done . It wont get all of it. Cant be that optimistic if you are a taxpayer. The sequester is over and holding spending in check for a couple years. Republicans agreed that eventually he will get rid of that. Spending is going up and that means taxes are going up. Peter talk about higher Corporate Taxes and International Taxes especially hitting tech companies. Pharmaceutical companies and if you are a higher income person you have to expect danger and that side. Dagen if you push for increased spending 56 million in new spending he is going to make the argument that the stimulus worked and looking back five years ago that is a tough argument to make at this point. Is impossible because it failed on its own terms. The way they got it enacted was the charge saying it would keep unemployment from rising above 8 , and above 8 . On job creation effort hadnt been for this energy boom he tried to stop at every turn it would look even worse. We are still below the number of jobs we had precession, a boom in the energy sector. Connell a few more nuggets along those eyes. That was five years old but some of us i never they fer elective surgeries. I dont know who janet yellen was referring to. Dagen talking about we will learn more about these from these fed transcripts as we pour over them. I think what you are going to see is she is very good at collecting a lot of economic data, good at summarizing it but if you are someone who makes a sound currency, we are going to see very aggressive about printing more money. Dagen if you lose elective surgery as an economic indicator, that is most effective in the los angeles area. Connell james freeman, thank you very much. Dagen bond investing, where do you put your money, which types of investments are the best, which countries are the best, my next guest thinks european nations have turned the corner. Bob auwaerter, fixedincome at whether you put your money in treasuries or u. S. Treasuries it all depends how strong the economy is. Do we even know at this point . Is it tough to tell . It really is difficult given all of the weather. We are doing some analysis to see if there might be a payback in payrolls, payrolls have been very weak so far. There might be a little bit of one but right now with the ten year, 275, probably fairly priced at the moment. Dagen what about emerging markets . There has been incredible volatility in emerging markets, some in bergen emerge in markets. Turkey and the ukraine. Some of these countries looks incredibly troubles, they look a lot healthier now. It is interesting. We are seeing all the turmoil, bond prices are all over the place. And people were worried about spain, italy, portugal, those countries, kept coming down. They were papered over by the European Central bank, a very easy monetary, below 4 . A couple years ago they were worried about potential default. Dagen in the United States, lets talk about the Federal Reserve and these 6. 5 Unemployment Rate benchmarks. Some concern seen in those fed minutes from the other day. Do you think the fed is still looking at the Unemployment Rate and do you believe shortterm Interest Rates could go up sooner than some think. I dont. The media hype about approaching this raid, the Labor Force Participation rate has gone down dramatically since the Global Financial crisis and you can argue what the causes of it odd but shows that theres a lot of slack in the labour market, still a lot of people unemployed for six months or longer. Why would you tie in in the labour force environment . Doesnt make sense to me. Dagen do you think the Bond Buying Program is finished in increments during each meeting and will be done by the end of the year . That is going to happen. You would have to have a tremendous fallout in the economy. If they would turn around and slow that down or stop it, the market would start panicking that they know something we dont. Dagen talk about looking at the world of fixed income in the United States, how attractive municipalbond savvy in. They certainly rallied this year but do you still like, last time 2430 year municipal debt, that part of the market is attractive. Equivalent yields and adjusting to that basis, 6 to 8 , the previous conversation looking at the new obamaplan which calls for higher taxes on a rich. I havent seen the details but i presume income taxes might be involved and will only make the more attractive if that gets through. Dagen one last thing. In terms of what we hear from the emergency manager in detroit and how much of the hair cut could creditors get on the municipal debt. Will you expect, could it potentially roil the municipalbond market . He is going to hair cut bondholders relative to pension holders. Theres one big obstacle. He has to get through the bankruptcy judge and i have been impressed by this bankruptcy judge taking the fairly common sense approach. I dont think kevin mores Restructuring Plane will be as he laid it out. And previous comments. Dagen great to see you. Bought our from vanguard, take care. Connell you heard a brief reference to the ukraine and more news over there. They have a peace deal in place. To stop the bloodshed. We have the latest coming up. Dagen we will talk about detroit and dealing with bankruptcy as well. U. S. Olympic speed skaters, underarm wills the cover their very fine bodies. 2022 is the next one that goes until then. Connell a new bankruptcy plan is today and we will look at what creditors and retirees will get on markets now. [ male announcer ] how could switchgrass in argentina, change engineering in dubai, aluminum production in south africa, and the Aerospace Industry in the u. S. . At t. Rowe price, we understand the connections of a complex, global economy. Its just one reason over 75 of our mutual funds beat their 10year lipper average. T. Rowe price. Inveswith confidence. Request a prospectus or summarprospectus with investment information, risks, fees d exnses to ad and consider carefully before investing. Dagen shares of priceline. I cant talk. What is going on . Nicole look at price line, hitting a record high of 133,312. Great move over the last year, up nearly 90 . The news today pushing up 3. 5 to the upside is about its latest quarter and the quarterly profit that came in was better than expected. There are other travel sites also including kayak. Com and voter. Com and they boosted their presence particularly in asia and were talking about travel bookings overall. And increased booking, renews for priceline up 45. Connell we have breaking news out of detroit. We will talk in more detail about it later. We have the filing from the emergency manager in detroit to fix the debt and lead bankruptcy to look into restructuring the 18 billion in debt cuts to pensions and creditors offering a blueprint to emerge from bankruptcy that we talk about in detail. Some of this may be unprecedented. All the details with steve later on in the hour. Dagen a news alert on the delicate situation in the ukraine. Opposition leaders and the government striking a deal earlier today in hopes of ending this crisis. As part of the deal ukraines president agreeing to early elections and a revamped government to strip him of some power. Amy kellogg is live in moscow with the very latest. The problem with this is a lot of protesters are saying it is not enough for the president to hold early e elections. They want him to go to jail for the death of so many protesters. The numbers on the death toll have fluctuated, but the magic on the side of the protesters is saying 70 guys yesterday, these people are not just happy for early e elections but want retribution and are still out on the square in very large numbers even though the official group is supposed to represent a protesters sign on to the deal today too. Also very good signs, the parliament has already voted into action or voted to bring back the old constitution which limits the president s powers. The president himself will sign on to this as well but he would have to be aware that any footdragging on it would be playing with fire at this point. In another sign on the kind of negative side or foreboding sign that things have unraveled a bit more, a brigade of Police Officers from western ukraine have come to kiev to join the protesters and a lot of people are saying he have already lost control of western ukraine. With as many as 70 protesters killed yesterday, earlier in the week will be for a long time, a anger, many of those who died, doctors who treated them, the heads, hearts and lungs and appeared to be a sign of sniper fire. Dagen thank you, amy kellogg in moscow. From love to hate, the Speedskating Team and under armor, controversy at the end. Connell the u. S. Post office is helping steve jobs to save that troubled agency. Details coming up. Connell making some money. Charles payne is here, 55 or 6 , had to check the last few seconds we trust that is about right. Dagen glad you had to say the name of that company. Charles it is a Business Information company. Now headquartered out of pennsylvania, reported a nice number, the stock is up. And 37, wall street is different. And they have a rating on it or neutral rating. They came out the gate release strong. I like the fact that in america their numbers were up 27 or 29 . It is a disruptive play. You got to see the dashboard, people in the same organization can work and have some unique things to pick up. They get some huge clients around the world. Connell interesting dimension the analyst be to try to get ahead of the missing a of great and everyone else will jump on . Charles so funny. If everyone has a sell rating the next one has to be an upgrade. You want to write that one down . I will leave you some pearls of wisdom. Dagen it is hard for me to gain more. Only got down to go. Charles the first 10 are easy to lose and after that but i do like it, guys. Technology, bigger names, and the surface companies, that are really disruptive. Connell thanks a lot. Dagen we will see you tomorrow morning at 10 30 a. M. Eastern time on the fox news channel. So u. S. Speedskating team and under armor, and there are reacting, renewing its partnership, despite the controversy the suits provides that the sochi olympics will design skating outfits, for the next two winter olympics. Beginning in south korea. Going to 2022. Underarm assigned exclusive uniform agreements with u. S. Bobsled skeleton and gymnastics teams as well as the canadian snowboarding team. They were not performing well. That was a photo of shawn davis, they switched to the older suits, they still didnt metal. Still perform slowly and to the controversy was the reason and underwriters taking the high road i think. Connell costs that excuse off the list of your in speed skating. Tech sector pushing the nasdaq to new highs. We will talk about tech stocks and your portfolio. Dagen the Postal Service planning to launch a commemoratives steve jobs stamp. Details ahead. [ male announcer ] youe watching one of the biggest Financial Services cpanies in the country at work. Hey. Thanksor coming over. Hey. [ male annouer ] how did it come to be . Yours . Ah. Not anymore. Its a very short story. Come on in. [ male announcer ] by eting you morehan halfway. Its how edward jones makesense of investing. 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We told you they just released details of the debt plan. We have analysis of that just ahead. And a trivia question, what do steve jobs, Jimmy Hendrix and the peanuts gang having common . Dont give it away. The answer coming up in a few minutes. Dagen that is really not nice. The peanuts gang don heads, they are not on apps. Shares of groupon struggling with its online coupon business. What is the latest . Nicole apps and had been meals that the pittsburgh mcdonalds. Groupon forecast not good news. What we are seeing is stock is down 17 , 17. 5 to be precise, 8. 48 a share for groupon. They came out with earnings and their forecast is below analyst expectations. They have had a nagging daily deal business, they need to grow revenue Going Forward and we are seeing them get hit hard. Over the last 52 weeks it has been good news for groupon, a 75 in that period of time but it really is one of the biggest losers on wall street. Phil mike croft and joins us, and tech stocks, these things that would continue . Tech stocks are in a good place depending which ones you talk about. New tack, anything that will be cloud related that has some leverage into the cloud is going to do well as well as old tech. If you look at the old tech names which are trading like value stocks, all of those should do well given that technology is being billed out particularly around world, complete penetration. Technology is replacing people everywhere you go. Connell depending on where we look, new and old will do well. Or there is a bigger upside in some of these Smaller Companies . Bigger upside in Smaller Companies but more risk to diversify your holdings but if you want to participate and look at the long term in a modest way go with the oldline companies. Connell let me talk about the market in general terms. In the ukraine and other issues in syria, what are in the news. In terms of markets, we have emergingmarket news that led to the correctional while ago but we dont hear it being related to Financial Markets as much as we do, should we be thinking about these geopolitical concerns . I really do. Our market if we isolate it should do well. The market is assuming at some point this year the economy, gdp will grow 2 , 3 , 4 , any bad news is being shrugged off to to the weather. Weather that is true, we will have a better idea in march if we have a cold march. But the real achilles heel to the market is global geopolitical situation. Every corrections that turns into a crash has happened for reasons that were unknown prior to its occurrence and those reasons could come from anywhere. I would say, i would look overseas to china particularly, problems in the ukraine, markets paint no attention to that, egypt still in turmoil and iraa no one knows what they are up to but i am sure it is no good. Connell perhaps not but the Financial Market correlation is more china. Is that a slowdown in the economy or the political stuff between japan and china . What you most worried about with china . I am a little worried about the political turmoil between them and japan but more worried about the fact the chinese have never really been too straight forward as to the health of their economy or its direction. We have given them a lot of hope and the economy is in somewhat of a turmoil. The credit cycle in coming to an end and it could end badly, it could overwhelm the markets. Connell that could trigger a big sell. Whereas ukraine would not be good news but if things hypothetically got worse again not much of a concern, china could be the spark or the trigger for some sort of big selloff, big odds on that or back of your mind . It is in the back of my mind. Look at the ukraine. Who knows what russia is going to do . Vladimir putin is the most respected men in the world but is a wild card. If theres a wild card in the world he is one of the big ones and he could send tanks into the ukraine. Another hungry situation. Connell my thanks. We started off so positive how tech was going great and all of a sudden i change the subject. Sorry for depressing everybody. Good to have you on. Thank you. Dagen the post office is hoping steve jobs can do for it what he did for apple. Good luck with that. The Washington Post has released a list from the Postal Service containing all the approved subject for next years fault collectible stamps. The usual historic events, socially, art pieces, more modern icons including music stars, celebrities and the apple founder himself. The post notes this is part of the service after the bell to attract the Younger Generation of stamp collectors. Johnny carson, jimi hendrix and peanuts, the game there, also slated for the 2015 election. Connell you dont collect stamps. Dagen i did when i was little. I also collected rocks. Dont do that anymore. Connell detroit releasing the final parts of the bankruptcy plan. Little while ago as a matter of fact the detailing how the city will cut its 18 billion debt load so we will talk about that coming the. Dagen working sick. More and more people are showing up at the office when they should probably be at home. We have a surprising numbers. [ bell ringing, applause ] five tech stocks with more than a 10 . Ange in afterrket trading. All the tech stocks with a market cap. Of at least 50 billion. E up on the day. 12 lowvolume stocks. Breaking into 52week highs. Six upcoming earnings plays. That recently gapped up. [ male announcer ] now the world is your trading floor. Get realtime market scanning wherever you are with the mobile trader app. From td ameritrade. I am joline kent with the fox business brief. House of cards demanding millions of dollars in tax credits in the state of maryland little production, it pushed back the building schedules for the third season for tax credit for the project. Analysts estimate, injected 52 million. Net income of 6. 5 million for the Fourth Quarter. The company says it will pay a dividend of 7. 2 billion in the federal government next month. With the previous payment, 160 billion it received during the 2008 financial crisis. Major restructuring reportedly on the way at royal bank of scotland. Taxpayer backs to cut between 20, and 30,000. That is the latest from the Fox Business Network giving you the power to prosper. [ female announcer who are we . We are thinkers. The job jugglers. The up allnhts. And the ones who turn ideas into action. Weve made our passions our lifesork. We strivfor the moments where we can s, i did it we are entrepreneurs who started it all. With a signature. Legalzoom has helped start over 1 million businesses, turning dreamers into Business Owners and were here to help start yours. Dagen breaking news out of they troy, kevin or submitting to restructure the citys 18 billion in debt. Connell jeff flock joins us with his glasses on. This is it. The plan of adjustment filed moments ago. The city manager here, i am fire and police pension. Judge stephen rose is the guy who makes a ruling on this. The federal appeals court, Six Circuit Court of appeals in cincinnati has ruled tuesday that it will hear appeals from creditors and pensioners and everybody else on this subject directly. So this could jeopardize everything. The judge, roads, earlier indicated the city could cut pensions in his ruling, they want to appeal that to the sixth circuit and the 6 affected in cincinnati now says they will hear that appeal. Doesnt mean they will agree and blow the whole thing up but that pcould happen. Those are your two headlines. Finally a plan that has been filed. Everybody takes a hair cut, main street of less than wall street and it could be appealed and the judges in cincinnati in the sixth circuit will hear that. Those are your headlines out of detroit. Dagen jeff flock. Connell Steve Malanga joins us from the manhattan institute, listening to jeffs report as we were, jeffs analysis, means 3 win and wall street win. What would you add . We expected first of all, private foundations stepped in, want to bailout pensions. That is why essentially you are getting more recoveries from pensions. The other part of this, this continues this notion that bond holders not only get 20 but kevin or came from the private sector. He took one look through this chase, at the way the finances were done in america. I dont buy this stuff. He is shaking up wall street, he has told the bondholders they are unsecured. That is unprecedented. Dagen hasnt shaken up the market. Those bonds have rallied this year. Talking about trading in other securities but Going Forward for instance people on wall street are already talking do we do swaps transactions any more . Essentially what the judge had said is financial expertise to would link the troy so this complicates the transactions clearly being questioned, the judge invited him to sue because he thinks the transaction are illegal. They draw a pension of borrowing that they did saying michigan lost. More than half of all municipal debt in america circumvents constitutional limits on borrowing and connell interesting to take a wider view of this. There is a wider meeting for markets. When will we see it show up . Dagen at risk of getting a haircut if you alone a generalobligation bond. If you want to own a generalobligation bond from utah or taxes you are not feeling a lot of risk right now but a couple of things. Number one, pensions are being put above bondholders. That is something other experts, richard ravitch, former head of mta new york want bondholders dont think youll get recovery in a lot of these cases where pensions versus bondholders, that is something that is new. Paul volcker and his group said the same thing. Theres a new landscape for those kinds of municipalities that if you have trouble, if you are triplearated that is an issue. Dagen what about other troubled cities . Have their finances are they in better shape than they have been . Are we staring at another deflate . That was much talked about. Everybody is marginally better but only marginally better. A lot of fiscal experts, a new paper came out in the National Bureau of economic research, government entering a new era of fiscal freeze. This is going to go on for years because these pensions, new jersey is a good example, pension costs are eating up whatever additional taxes are being raised. The money is not going back to what it used to go to. This is essentially a new dynamic. Connell our most of those situations, fiscal freezes put in place, at least in your view from what you look at manageable or are you worried about other political blowups out there . When it is about pensions as long as theres money to paa people now is manageable for next weekend of the week after. If you look at chicago some of the Pension Funds are 25 funded, 75 and funded. There isnt a way to figure out how to bring them a lot of it depends on Municipal Bond holders. Are they willing to buy chicagosor at some point do they say this is too much of a risk and i will go someplace else . Dagen in terms of detroit do you think the plan gets detroit on the road . If it were 100 accepted it would be but that is not the way chapter 9 works in municipalities which it has to be in negotiation with all parties of i expect things will be changed. Connell to recap the detroit plan jeff talked about it and cuts to the police and fire is 10 , general tyrees 34 , bondholders 20 recovery which is better, big picture better for the main street and wall street folks is the idea. New dynamics. Thank you. Dagen thanks so much. Connell we are all familiar with the coworker who can stop coughing and sneezing that cannot comes to work. A new survey found this phenomenon is fairly common. People working sec. Public health firm Nsf International says one in four americans go to work when they are sick. Many claim their bosses expect them to come in no matter what. Others were worried too much the work would piloted they missed a day so they would rather go in. 17 of workers say they stay home only if a Doctor Orders them to. Otherwise they are coming in to work. Dagen existing home sales plunging to their lowest levels in 18 months. Sandra smith is going to look at housing. Connell we were looking at the winners today that we are seeing on the naadaq. We will be right back. Connell breaking news on ukraine. We were talking about the deal struck by Opposition Leaders in the government. The white house weighing in with the statement welcoming the agreement but saying it remains prepared to impose sanctions if needed. The focus now is unemployment in the agreement and ending of violence. Dagen existing home sales and in the last level since july of 2012. Connell sandra smith joins us with the trade. Sandra here is the number were watching. Existing home sales plunging 5. 1 in january on a monthtomonth basis. That is the lowest number we have seen in about 18 months for those existing home sales. Obviously that would be concern for the Housing Market the green arrows across the board when it comes to the major Home Builders and wants to identify couple of these and why they may be higher. Jane mccammon made a bold call in january for these Home Builders, basically pinning it on inventory, existing home and newhome inventories have been shrinking and some of these housing numbers might not look great but that will give homebuilders pricing power. Identifies his favorites, d. R. Horton, a lot of momentum to the upside, bold call on his price target, 27 a share, 233 4. He likes pulte group which is higher than a third of the year but not without volatility, 20 and change, this will go to 24 a share and also in addition to pulte group and d are hoarding he likes while and group, higher than a third of the year, a little momentum to the upside calling for the stock to go to 50 a share, 43 and change. This is a positive way to look at this housing numbers that not a lot of folks are happy to see today. Connell sandra smith with the trade today. Dagen coming up in the next hour of markets now more on those homes sales numbers, lowest level since 2012. Debate coming. Connell we are talking about ukraine throughout the day, disagreement to end the classes in the capital city of kiev. Amy kellogg is reporting from moscow and she will be coming up at 1 00 with that story. Iprise a simple question in retirement, will you outlive your money . Uhhh. No, that cant happen. Thats the thi, you dont know how long it has to last. Everyone has retirement questions. So ameriprise created the exclusive. Confident retirement approach. Now you and your ameripise advisor can get the real answers you need. Well, knowing gives you confiden. Start building your confident retirement today. Ukrainian lawmakers are coming to blows before reaching a new truths. I am cheryl casone. I will take you through the next hour of market now. Also, this today. Markets react to sales of existing homes. We have an allstar Housing Panel to take you through all of those numbers and also give you some investment ideas. The olympic team re upping with the baltimorebased company through 2022. We have all of that and more coming up in the next hour of markets now. Hello, everybody. I am cheryl casone. Taking you through the next hour of markets now. The reaction was frankly a bit surprising. We will get our experts to weigh in on that. Lets bring in Nicole Petallides from the floor of the new york Stock Exchange. I was just looking at some of the numbers here. The dow is up 30 points right now. What i was looking at was to see how they were doing for the week ending here. For the week, you have a winning week. You are up three weeks in a row. Next bags as far as your due date. Cheryl we will check back in with you three 15 minutes from now. Lowest level since july of 2012. Joining me now for our last day of our special series of business of real estate i first want to talk to about the numbers that we got. Pretty rough. Especially for those firsttime homebuyers that are not in this market whatsoever. I think it is really about consumer confidence. Interest rates are going up. It is the blame game. Pricing is inventory. Inventory is down. It is half of what it was five years ago. The traction on the decision to buy, i think that that is a confidence thing. Balance sheets with personal families are low. Cheryl i want to get your initial reaction to the numbers that we got today. Think you, cheryl. I think mitch nailed it. Consumer confidence reflects the Macro Economic conditions in the country which are bad. We can ask it anyway we want. We can blame it on weather. Fundamentally, the job market is weak. It is also a seasonal condition. The investors are pulling back a little bit. We are still seeing millennials. 30 of them are still at home living in their parents basement. We will see what happens in the springtime. Cheryl you talk about millennials. Sitting at home. They do not have a job. They have a ton of student debt. Lets talk about commercial real estate. Give us what the senses for you on that side of the trade. The sentiment is not the complete opposite of housing, but it sort of is. When the stock market is volatile, it tends to go to assets that are more durable in difficult times. Was talk about geography first. We like to look at which markets are strong from a macroeconomic perspective. San jose is an example of a really strong one. From a commercial real estate prospect, they are gone. Cheryl where business is booming. Two and a half times the gdp in the United States. There is a micro economy that is strong from creating jobs. Follow the business. What about the residential side . They could use the same phrase, follow the business. Even parts of nevada still seem to weather the storm. Is that where the money is now . I would put at the markets. Homes versus apartments that are affordable. Dallas and houston, actually, it do double crown there. Those are markets where if you look at the affordability index, they are considerably lower. Cheryl tim, same question to you. You have walkable amenities and whatnot. American dream is still alive and well. One of the wildest things is they interviewed people who were doing went on their mortgage. 65 of them still thought it was a good choice to buy a home in the next transaction rather than renting. Affordability is a huge driver. Affordability rates, for housing, have never looked this good. Cheryl i only have about ten seconds. I want to get your reaction. What do you make of it . It is so funny. There are always ways to make it look less impressive. The bottom line is, they made 50 billion to the federal government in 2013. I think we should stop talking about winding these guys down. Cheryl thank you. Thank you, cheryl. Cheryl more now on the developing story that we have been following out of washington and the Federal Reserve. The central bank releasing transcripts. Peter barnes is digging through the pages. Transcripts of 14 scheduled an emergency policy meetings that the fed held in 2008. This stuff was hitting the fan, as we say. Bernanke and his colleagues worried that the economy could tip over into another Great Depression. In september, bernanke comes in and starts talking immediately about the significant stresses and market, problems going on that aig, problems in the dollar funding market. He puts on the table, auuhorization for these swap lines to help Central Banks overseas manager crisis. I want to i do not want to put a limit on it. He does get pretty serious about this. At one point, he is talking about the merits of action in the merits of not taking any action. Frankly, i am decidedly confused and very muddled about this. We will collectively do our best to deal with these very stressful financial conditions which i do not think will be called fort sometime. However, he comes back at the end, at that point, i think our policy is looking pretty good overall. Our current fund rate setting is a appropriate that but, i do recall, died december, they had cut that rate to near zero. We will keep going through this. Cheryl we have certainly lived through an incredible part of history. That is for sure. James leventhal. Before we get to stocks, i want to take a look at stocks. We had that tepid month of pull. Now it looks like we are actually coming back. You are saying that is a good thing. We definitely are not out of the woods. We think 2014 will be a good one for the markets. You will sell what is expensive and by what is cheap. Cheryl this one i am actually fascinated with. You are going for big lou right now. The stock has lost over the last year about 7 . Now you are saying buying opportunity. We have been building a position here. This chart is almost reminiscent of hewlettpackard about three years ago. It is above 30. We think the same thing will happen with ibm. We do not think that it will get as bad as hp. Cheryl they are definitely trying to make that move. That is ibm. Lets move onto the next one that you like. It is down about 20 over the last year. There was a lot of volatility in the year. This company is a hedge fund. When you strip out that volatility, what you have is an iron ore producer that is trading at about 60 of book value. You are supposed to buy that all day long. I do not know what the next will bring. Cheryl you have never been short term. Lets talk about what you are selling. United. This has been a wonderful long for us for years. I have nothing but positive stew say about it. I used to ride motorcycles when i was much younger. Every time i got off of one, i sort of wiped my brow and said few, i got out of that one. Cheryl this is through a merger. This has been great. It has created a lot of value. It is time to find the next stock that is trading down here. Lets take a look at the other one. It is a real wrote that has had its price inflated a little bit further than we think it should. The growth rate cannot sustain the level it is that right now. As the Keystone Pipeline gets approved, and we think it will, it will take some off of the rails. Cheryl lets take a look at it another shot we have been watching this week. Under armour shares hitting a new high. They make up. We are all kosher now. Also, new concerns that thyroid canner is being overdiagnosed. A new study showing that many patients may be wasting time going for and paying for care they do not need. Doctor mani will weigh in on this one. [ male announcer ] evenore impressive than the research this man s at his disposal is how he puts it to work for hiclients. Morning. Morning. Thanks for meeting so early. Co on in. [ male annncer ] its how eard jones mas sense of investing. [ male annncer ] its how eard jones sometimes they just drop in. Always obvious. Cme group can help you navigate risks and capture opportunities. We enable you to reach Global Markets and drive forward with broadepossibilities. Cme group how the world vances. Cheryl 16,174. Positive for the week. At this point, we are in the clear. We will see what happens as we go into the closing bell. I want to show you what is leading the dow. Lets bring in once again Nicole Petallides from the floor of the new york Stock Exchange. Nicole we are checking on the medication types that. Lets see how they are faring right now. It is very evident why they are doing what they are doing. Look at strayer education. Strayer is the one that came out with the Fourth Quarter numbers. The earnings beat the street. Now it is lifting entire groups up along with it. Devry, for example, up 6. 5 . Itt, apollo group all without the arrows. Cheryl thank you so much. U. S. Speed skating and under armour renewing their Olympic Partnership despite controversy. It will design skating outfits for the next two winter olympics. Beginning with south korea. Under armour has also signed uniform agreements with the u. S. Bobsled skeleton and gymnastic teams as well as a canadian snowboarding team. Take a look at shares of under armour. Under 13 and change. Cheryl detroit putting the final pieces of its plan in place to deal with the motor city 18 billion debt debacle. A deal has been reached in ukraine. You are watching markets now on fox business. We will be right back. See whats new at projectluna. Com no two people have the same financial goals. Pnc investments works with you to understand yours and helps plan for ur retirement. Talk to a pnc investments finaial advisor today. What is this place . Where are we . This is where we bring together the Fastest Internet and the best in entertainment. We call it the x1 entertainment operating system. It looks like the future we must have encountered a temporal vortex. Further analytics are necessary. Beam us up. Thats my phone. Hey. [ female announcer ] the x1 entertainment operating system, only from xfinity. Tv and internet together like never before. Cheryl a news alert for you on the delicate situation in ukraine. The white house is weighing in on a deal to end the violence. The administration welcoming the agreement but warning it remains prepared to post sanctions, if needed. Amy kellogg is standing by with more in moscow. Amy. I think that no one is under any illusion that this is a completely done deal. It looks fairly good. There is definitely a lot of armtwisting. Caught on camera telling one of the leaders this is the best you are going to get. If you reject this, it will be martial law and you will all be dead. Compromises about everyone having to give something. There are quite a lot of people out on the square tonight. They simply want president to go to jail. They do not want early elections. They want him to be punished. Things are moving along quickly. The protest activity has been granted. The former Prime Minister has been in jail for several years. There is a lot of momentum. Ukraine is affectively not listening to kiev at all at this point. We have to remember how much bloodshed there was this week. Some of the worst scenes we have seen so far. Horrific scenes of people being treated in hotel lobbies, dying in hotel lobbies. Deal is, in agreement for this change in the constitution which is taking hours from the president , new elections at some point in this year. Thank you very much. Cheryl we want to bring you the latest development out of detroit. Kevin or submitting his plans today to restructure the cities that word in. Lets bring in jeff flock with more. Jeff no winners in this. This is the plan. Much of it unsecured. The bondholders would take a cut, well, lets start with fire and police first. A cut of 10 on their pensions. The general retirees 34 . The general would only recover 34 of their own money. Fire and police, if they approve this, theyre cut would only be 4 and ten of 10 . A judge is at the sixth circuit. Everyone who does not like this plan can appeal it directly to the sixth circuit. What detroit would spend Going Forward. This is their weight forward plan. 520 million over the course of the next six years to tear down these abandoned structures in detroit. They would tear down 4 day. It is kind of like a divorce. If everyone is unhappy, maybe it is fair. Cheryl talking about trying to save a city that has lots of walks. They have to do something. They have to do something and they need the money to do it and they do not have it. Cheryl jeff, thank you very much. A little lighter story. One girl scout in california sold over 100 boxes of cookies in only two hours. I want to tell you her strategy and why she is being called a genius. There is an app for that. An app that can use your location can be very helpful, very useful. Is your phone gps tracker a threat to you . That is all coming up for you in the next halfhour of markets now. [ male announcer ] once, there was a man who found a magic seashell. It ld him what was happing on the tradg floor in real time. The shell brought him great fame. But then, one day, he noticed that everybody could have a magic seashell. [ indistinct talking ] [ male announcer ] right tre in their Trading Platform. [ indistinct talking continues ] [ male announcer ] so the magic shell went back to being a. Shell. Get live squawks rit in your Trading Platform with ink or swim from td ameritrade. Cheryl back to the new york Stock Exchange. Nicole petallides. Nicole take a look at what iss3 happening. 58. 70 a share. The profit dropped 6 . Some of the other names are ones we have been watching all day. The outlook really is disappointing. Also, an electronic retailer, it dropped 43 yesterday. 43 . It is gaining back a little bit. Dish, when you look at this, there is higher revenue per user. It is hitting a new high on their numbers for priceline. Cheryl Thyroid Cancer has tripled according to a new study. Is it because it is overdiagnosed . Doctor manny joins me now with all of this. Tumors are being removed that should not be removed. An epidemic of Thyroid Cancer. It is more cancer being developed . The answer seems to be no. Doctors are being more careful. Sometimes they follow with radiation. They could be follow. Now their arms of treatment. You can look at prostate cancers. Cheryl labeling a disease as cancer means treatment is necessary. One of them is maybe this to many should not be called cancer. If i tell you you have cancer, you will immediately say get it out of me. They are looking at whether or not small hyroid tumors can be followed. Exactly. I think that this is a very good paper. It will bring to the attention that maybe all of this over treatment and overdiagnosis needs to be looked at carefully. Cheryl where are we right now in Cancer Research . This is a disease we have been actively pursuing for 40 years. Over the last year, especially in 2013, what we are seeing is that since people are living longer and if you look at Population Dynamics back to 2020, we will see far more cancers than we have ever seen before. Every cancer is probably these to be treated individually. Cancers are very unique to the individual. You will have to take into account the biology of the individual when you look at those tumors. That is a long way to wait. Cheryl it will probably get a little bit more complicated. One of the biggest arms of investment is going to be cancer treatment. Cheryl doctor manning, thank you. Happy friday. All right. The proposal to break california. Clearing the hurdles to qualify for the ballot. The golden state has grown so big. It has become economically and structurally inefficient. It is now on comparable. Despite having the highest minimum wage of any state, protesters are pushing for the minimum wage in seattle and Washington State to go to a whopping 15 per hour. This is on the heels of a cbo report. It would cost the u. S. Economy overall 500,000 jobs. And she may be the capital hero of the week. I am talking about the 13 euro california girl scout who decided to sell cookies outside at a San Francisco pot dispensary. Business off the charts. 117 boxes of cookies and just two hours. That is almost a box per minute. She is being hailed as a savvy genius in the smartest earl scout in the country. Not everybody agrees. Issuing a tweet saying we do not allow our girl scouts to sell cookies in front of marijuana shops. Business is good. Just a thought. You go, girl. Coming up next, we have a new twist in the cyber threat story. Startling new report is that hackers can pinpoint your location using gps driven mobile apps. We will be right back. I and adam shapiro with your fox business brief. Groupon warning about rising market and acquisition costs in the Fourth Quarter. They projected a loss of two centsfour cents a share. American agriculture is experiencing a boom with market values reaching record highs. A major restructuring rapport coming as royal bank of scotland plans to cut between 20,030,000 jobs. The bank is also expected to further shrink its operations. That is the latest from the Fox Business Network. Giving you the power to prosper. [ car alarm chirps ] male announcer ] we dont juscertify our preowned vehics. We inspect, analyze, and recondition each one, until its nothing short f a genuine certified preowned mercedesbenz for the next w owr. [ car alarm chirps ] hurry in to the mercedesbenz cerfied preowned sales event. Visit today for exceponal offers. Visit today for exceponal offers. So ally bank really has no hthats ght, no hidd fees. Ounts . Its just that im worried about, you know, hidden things. Ok, whys th . Well uhhh. Surprise um. Well, its true. At ally there are no hidden fees. Not e. Thats nice. No hidden fees, no worries. Ally bank. Your money needs an ally. Cheryl the cyber pandemic. Pinpoint user location using data at. Experts say that is not the only app that is vulnerable to that type of exploit geared for more on that lets bring in alvarez and mark goldman. Tom, hi, how are you . The crutch of this report came around this. Is this happening on our phones . It is happening on our phones. It is not just one Security Company that is discoveeing these vulnerabilities. They provide the type of sniffing and stopping capabilities we speak of here today. Cheryl shortly after being contacted we implemented measures to enhance security. Why was it not build and to protect the privacy. Cheryl onlin that is the first type of mobile activity. Whether or not our phones are in jeopardy . Phones are in jeopardy. There are capabilities that have been developed. That being said, you really need to choose who you do business with more wisely. Whether that be for a fee or not. Cheryl they were found to be malicious. That is astounding. It is astounding. It allows that platform to be hacked. In saying that, we need to recommend that certain types of devices are safer than others. Producing capabilities can hack your life. How do we protect ourselves . The most important, corporations, when they build these kinds of app should be Building Security at the get go. They are very savvy. They should not be thinking about these things. They used apps that allow them certain functionalities. Cheryl okay. Thank you very much. David williams. Why do you make of the activities questionnaire. We are looking for resistance cheryl we have been looking at gold also. We move into the final hours of training on this friday. I think that gold in the Precious Metals will have a nice run. They have really taken a hit the last two years. The beginning of this year, we have had a nice run so far. I think that will continues. There is a lot of routes to run. Cheryl David Williams on the floor of the new york Stock Exchange. David, thank you. Thank you. Cheryl fannie mae turning a profit of six and a half billion dollars last quarter. That is eight straight quarterly profits. It will pay a dividend of 7. 2 billion to the federal government. We all hated. We all do it. Coming to work while we are sick. Get ready to grab that. I have a really bad cold. Steve jobs, he left a remark on apple. The u. S. Post office is hoping he will be a will to do the same for them. We are coming right back. In the new new york, we dont back down. We only know one dirtion up so were up early. Up late. Thking up gamechanging idea like this dozens of tax ee zones across new york state. Move here. Expand here. Or start a new business here. And pay no taxes for 10 years. And a new tax free plan. New opportunities theres only one way for your business go. Up. Find o if your business can qualify at startupny. Com cheryl at this point, the dow is down for the week. We have to get this number to make a positive for the week. We are just slipping out of the range. I do want to show you really quick, the heels of existing home sales today. One of the sectors that i want to take a look at is homebuilders. The homebuilders are actually all positive right now. The existing home sale weakness, it could be that homebuilders new homes will benefit as they begin to build up their inventory. Homebuilders can benefit. There is your dow. Well, we are all familiar with that coworker who cannot type coughing. Others were worried that too much work woodpile love. This is my sanitizer. I am really sorry, buddy. I do not want to get you sick. Thank you. The post office is hoping that steve jobs can do for them what he did for apple. The Washington Post has released a list containing all of the approved subjects for next years electable fans. Among the usual historic event, social leaders are actually more modern icons. Apple cofounder himself, steve jobs will be a part of this. This is all part of the Postal Service attempt to attract a Younger Generation of collectors. Johnny carson, jimi hendrix and the pete peanuts. The einstein of our time. They come up with all those amazing ideas. Who knew that you needed to phones. I never knew i needed those things. I do now. Thank you, steve jobs. A deal to end the violent clashes. Will the truth told this time . Bracing for another polar vortex. Yay. Frigid temperatures and snow are expected to blast much of the country as early as this weekend. I guess my cold will not be going away. The motor citys plan to dig out bankruptcy and the 18 billion that they are holding. Markets now continues after a quick break. We asked people a question, how much money do you think youll need when you retire . Then we gave each person a ribbon o show how many years that amount might last. I was trying to, like, pull it a little further. [ woman ] got me to 70 years old. Im going have to rethink this thing. Its rd to imagin how much well ne for a retirement that could last 3years or mor so maybe we need to approach things dferently, if we want to be ready for a longer retirement. We are thinkers. The job jugglers. The up allnhts. And the ones who turn ideas into action. Weve made our passions our lifes work. We strive for the moments where we can s, i did it we are entrepreneurs who started it all. With a signature. Legalzoom has helped start over 1 million bususinesses, turning dreamers into Business Owners. And were here to help start yours. Turning dreamers into Business Owners. Coach calls her a team player. Shes kind of special. She makes the whole team better. Hes the kind of player that puts the puck, horsehide, bullet. Right where it needs to be. Coach calls it logistics. Hes a great passer. Dependable. A winning team has to have one. Mebody you can count on. Somebody like my dad. This is my dad. Somebody like my mom. My grandfather. Im very pround of him. Her. Them. Adam ashley webster, trying to restore the peace. Signing a compromise deal to end violent clashes that killed 77 people. Adam we have insight from assistant secretary of defense k. T. Mcfarland with protesters in Independence Square denouncing the pact. Lori stocks end on a positive note, the dow currently up 19 points. The sales pace of existing homes in january flowing to the lowest levels seen in more than a year. We have the chairman and cofounder on whether or not this Housing Market is buckling under higher Mortgage Rates and the cold winter we just went through. Ashley speaking of winter we found a lot of it this year and is not over yet. Another dreaded polar for tax on the way. The forecast when the next blast of brutal cold temperatures will rise in your neck of the wood. Lori google working on new Smart Phone Technology that can build a virtual 3d model of your surroundings but first, time for stocks, lets head to the floor of the Stock Exchange, Nicole Petallides, the dow could see three weeks of gains if we were to close at this level. Nicole we are watching and now, 60,154 is the number to look for so we are just under that. If you gain a point or two we have the winning week on wall street which would be three 3 weeks of gains for the dow jones industrials. We are off of earlier highs, the dow looking pretty flat, gold has been gaining, the vix, the fear index pulling back, not seeing much volatility. At the moment a lot of up arrows, banks and retailers doing well, and the airlines doing well. When it comes to the traders they seem to think the momentum is to the upside besides mixed Economic News and that seems to be right now what we are focusing on and hold on to the green. Ashley the latest on the ukraine, Ukrainian Government and Opposition Leaders reaching a deal in hopes of bringing an end to the violent clashes that that number has been going up a little bit by some accounts. Former Deputy Assistant secretary of defense k t mcfarlane joins us with more on what is next for ukraine. Thank you for joining us. We apparently have a deal in place although we heard this before when we heard of a truce earlier this week that again resulted in violence. Do you think we have finally gotten an end to this . I dont think so. What we should watch for next 48 hours is the former president of ukraine in jail, she was jailed by her political opponents, she is now they voted to have her released. We will see if she is released. Does she become a rallying point for the various rebel groups . There is no one opposition group. There are a lot of them and they have different objectives. At the end of the day you have to worry about chaos, particularly what does russia get out of it . Should be a cautionary tale. What ukraine has done, ukrainian leaders who are corrupted in every way have gotten ukraine so badly in death that it needs a bailout and it needs a bailout immediately. The russians have promised to do that. We are not showing up with the check. Sandra speak to your point about this being the end, not the beginningis agreement is nof the process but the beginning of the process. Im wondering what role the military is playing. That is the key question. So far the military stayed in the barracks. U. S. Seeing police, riot police. What will happen is if things get out of hand again. Another outbreak of violence. Will the military come out of the bear . Will the president decide to call off the military and if so when they show up who do they support . Did they support the government . Because right now they are not answering the phone and they are into that and we tried to. Apparently the press secretary at the pentagon this morning said the secretary of defense they are not picking up the phone. Ashley we know there are portions of this country that wants to ally themselves with the west, with the e. U. But a look at ukraine as their own. They will step up with a big checkbook and they control the energy. Ukraine is completely dependent on russian natural gas and russians have shown in the past they have no trouble turning off the spigot and letting the ukrainians shiver in the dark to make a political point. Why does russia and the ukraine . Vladimir putin sees himself as peter the great. He is reclaiming the great russian empire. He said the greatest tragedy of the 20th century was the dissolution of the soviet union. He is claiming it back but he has some significant economic interests. Natural gas and oil flows through ukraine, all the pipelines, there are ports on theeblack sea, that they need. Those are key for the russians to have access to the black sea and mediterranean and historically ukraine is the breadbasket of the region. Wont let that go. Sandra Vladimir Putin send vladimir lukeand in. Is there any significance to that . It is all wait and see. Look like they got a deal but that deal could dissolve within 12 minutes. Ashley how does this whole thing play out . What will happen in ukraine, hopefully a peaceful resolution that they find a compromise between east and west, the ukrainian people are the big losers at the end of the day because they dont control their own density and it should be a cautionary lesson to us. Energy independence, controlling your own finances and controlling your own energy. If not, somebody elses making those decisions for you. Sandra here at home the disappointing housing report that some say is leading to this not so great rally we have on our hands. January existing home sales dropped for the fifth time in six months to the lowest level in 18 months. David linder is cofounder and chairman of we max. The laaest evidence of a slowdown . Or is it just because we had some bad weather and everyone will come back and start buying homes when things warm up . The weather had a huge impact. Slowdown not just person juries but appraisals, inspections and the rest of the process. I dont think it is a trend. Sandra 1 what will happen when we fought out in the spring. Will there be a lot of pentup demand for not only existing homes were talking about today but new homes . Putting off the buying process . I think there is a demand out there. We are going to have a better market this year than we did last year. Is a trend that keeps improving. Sandra we talk about international demand. A lot of International Dollars buying up real estate, we see a lot of volatility in new york realestate but at this point we are seeing 50 of buyers being multicultural in the United States. This is a target. You are talking about a lot of International Dollars affecting the u. S. Realestate market and there is even more to come. What is your outlook . 8 of residents in the United States last year were bought by foreigners. Theres a flight to safety, a lot of people are uncomfortable in south america, central america, europe that would like to have assets outside their own country, plus it has been a bargain purchasing time. Sandra where are you seeing the most interest . Is it along the east coast are i you seeing it spread west from International Buyers . It is very regional. The southeast part of the country gets most of their purchasers from the caribbean, south america. You people are getting a lot in new york from europe. The pacific brim is all coming from china, asia and so on. Sandra what is your take on the Housing Market . I just read a report from analysts that ive very bullish on the Home Builders. On this bad news, actually up today and their theory is because we had such a crunch in existing and new homes available on the market that the Home Builders building new homes and those that are selling existing homes have huge pricing power. We are looking at home prices up 10 from where they were even a year ago. Is that likely to drive the market Going Forward . The pentup demand is there. The increases last year were 10 to 11 . We dont think that is sustainable. I think most economists are saying probably 4 increase in price collapse, that is very regional. Sandra what is the most important thing to see in the Housing Market . To get the Unemployment Rate down . Interest rate factor . Lending . What would you like to see the most improvement in the u. S. Housing market . The employment picture, high unemployment gives you for consumer confidence. When people are afraid of losing their jobs they stay out of the market for bigticket items. As the economy picks up speed i think you will see a return to a more normal realestate markets throughout the United States. Sandra thank you, thanks for joining us. Ashley southern america is ready to file for bankruptcy protection. Energy future holdings previously arranging for loans to keep two u. S. Subsidiaries afloat during bankruptcy proceedings, months of talks failed to rework 40 billion in debt. Sandra highspeed traders, the new service is criticized for giving big investment houses and unfairly on marketmoving news. Warren Buffetts Berkshire hathaway owns business wire. It gives certain clients an unfair advantage. Now those traders have to use the same sources as you and i . Ashley speaking of speed, what suit problems could few u. S. Speedskating and under are renewing their partnership through the 2020 to olympics. Underarm ceo kevin plank is defending his companys speedskating sudan told usa today the company will continue to invest in these socalled mock 0. 39. And in south korea underarm shares getting a boost on that, hitting up fresh alltime high despite the controversy over the suit being responsible for the disappointing results. Sandra the fed wordplay, a look at how close the ben bernanke and co. s first words in the financial crisis. Ashley technology able to protect the likelihood of alzheimers, diabetes and Heart Disease among other things will be talking with the company that has that market cornered. How it managed to hold on at 90 of the genome markets. Sandra the city struggles to 18 billion in debt. Details on that ahead. [ male announcer ] this m has an Accomplished Research and Analytical Group at his disposal. But even more pressive is how he puts it to work fohis clients. Morning. Morning. Thanks for meeting so early. Oh, its not a big deaat all. Come on in. [ male announcer ] its how edward jones makes sensof investing. Ashley of fox Business News alert, Federal Reserve releasing transcripts of its meetings at the very height of the financial crisis in 2008. I am sure it makes interesting reading. Peter barnes coming through hundreds of pages. Peter the fed releasing transcripts of 14 scheduled an emergency policy meetings it held in 2008. At the beginning of the financial crisis former chairman ben bernanke and his colleagues feared to to the economy into a second Great Depression and the transcripts bring home a point that i catch a lot of flak for around our shop and that is my parsing of all these said statements all the time. I always tell you every word and every word changes critically important and at the height of the crisis a day after the Lehman Brothers bankruptcy on fomc meeting on september 16th, listen to this, read this, this is a debate over picking words in the statement, closely versus carefully and weather which word might send a signal to the markets. Jeffrey lacquer, richmond Federal Reserve president says including closely, what does that imply about the opposite . Are we going to take that out . And former fed governor says we have done things, wording things in the past like in a timely manner. This is an adjective. Ben bernanke says no. It is an ad for. There goes my credibility, everybody laughs. Ben bernanke says what we have done in the past is use a new phrase, that means we have to throw this phrase out. Mr. Chairman, i would support carefully. The former vice chair says lets use the word carefully. Less of a code word for a possible fed action and they have a vote on this. It is unanimous to use the word that they are carefully watching Financial Markets in their statement, not closely. These words matter. Sandra they do matter. It is typically an ad for. Typically is an adverb. Peter barnes. Sandra lets check the markets. Nicole petallides on the floor of the Stock Exchange watching an earnings winner and loser. Lets look at winners and losers. I know of hewlettpackard has down arrows but we are calling it a winner because it hit a new 52 week high earlier today. The numbers it came out with in the latest quarter we could see revenue doing well but also earnings per share of looking at hewlettpackard, meg whitman turning the stock around and the company in particular and we saw growth in areas we havent seen so that is good news of his pulling back. Groupon is down 20 at the moment so this is below of the day was 818 and it is 221 and theyre forecasting a quarterly loss. Not good news and that is why you see it to the downside and they had the lead deals and a lot of competition. Ashley costcutting plan for detroit, it needs one. Emergency manager kevin or filing a Restructuring Plan to save the city. We have the details next. Sandra tornadoes ripping through Central Illinois and cold temperatures returning as the polar for texas slam much of the country again. The forecast coming up ahead. [ male annouer ] whether it takes 200,000 parts, 800,000 hours of supercomputintime, 3 million lines of code, 40,000 ss of eyes, or a million sleepless nights. Whether its building the worlds most advanced satellite, the space station, orhe next leap in unmanned systems. At boeing, one thing never changes. Oupassion to make it real. Oupassion to make it real. Sometimes they just drop in. Always obvious. Cmoup can help you navigate risks and capture opportunitie we enable you reach Global Markets and drive forward with broader possibilities. Cme group how the world advances. What is this place . Where are we . This is where we bring together the Fastest Internet and the best in entertainment. We call it the x1 entertainment operating system. It looks like the future we must have encountered a temporal vortex. Further analytics are necessary. Beam us up. Thats my phone. Hey. [ female announcer ] the x1 entertainment operating system, only from xfinity. Tv and internet together like never before. Sandra the latest out of detroit. The struggling study filing its plan to restructure its 18 billion debt in hopes of emerging from bankruptcy. Jeff flock is in chicago with details of the largest municipal bankruptcy in u. S. History. Just what was in the 440 page document that i am sure you read through . I have been reading at the last few hours. Fascinating stuff. Only 30 of the business is in default have an actual license, about a license to operate. One fun fact from all of this. This is what the city is proposing in terms of winners and losers. Nobody is winning here, some just losing less than others. They would like to thirtyfourth patch to people that old city pensions, general city pensions, 10 pension cuts to police and fire retirees. Those would be reduced if these guys agree to this cut. Secured bondholders would get 100 of what they are owed, mainly water and sewer bond holders. The rest of them generalobligation bond holders which you think a secured by city taxes not so much. Only 20 is what the city is proposing to give those guys, 0. 20 on the dollar. You dont think it is moving fast, look at the time line on all of this. Back in july the city filed for bankruptcy protection under chapter 9. In december the judge ruled that the city could move forward with bankruptcy protection and that it could cut city pensions. That was the historic ruling and today the city has filed its bankruptcy exit plan and engineers are going to be able to appeal directly to the sixth Circuit Court of appeals in cincinnati, appeal this whole process. Judge roads overseeing this whole thing and kevin war, the city manager, put this plan to get there. Fascinating to read it all because there is some much about the troubled deflate is in. Last year talk about uncollected taxes, 250 million in uncollected seatac and property taxes and income tax. The citys the mess. Cant even afford to collect its own taxes. It is a mess. Ashley adam shapiro has been following the detroit story. What are your thoughts on the development . Adam there are so many moving parts but the key to all of this is the appeal that is going to take place before the sixth u. S. Circuit court of appeals. What they are appealing is the troys eligibility to file for bankruptcy under chapter 9 of the federal Bankruptcy Code but the others thing to keep an eye on is the bondholders, generalobligation bond holders of the detroit plan works, it take 20 , that is what they i going to get, 0. 20 on the dollar and that could have impact on the Municipal Bond market Going Forward. Now the municipalbond market remain stable as traders will tell you but whole lot of things coming to an inflexion, puerto rico next week with hopefully the details of their giant, 2. 8 billion debt offering, this situation in detroit which has not played out, the judge has to improve but other municipalities that will be in trouble. Could see a spike in the cost of borrowing for municipalities way outside before it which means you and i as taxpayers may be paying more. Ashley given what is going on in detroit, a selffulfilling prophecyyas the tax base goes down and 0. 20 on the dollar for the general bondholders, a cut for general retirees, it is terrible but isnt this what it is going to take to get the city back on its feet . That is what Kevin Norwood say. The people who are general bondholders, in some cases you have institutional investors, grandma and grandpa who thought they were making Estate Investment and would be paid from those bonds and they are not going to get it. Ashley how long will this be tied up in the courts . This could go on and on as this continues to go down. You will see this situation move through Bankruptcy Court buu the this will not happen quickly and you have so many other municipalities watching it even though the law is different wherever you go. Vallejo, calif. Moodys may enter bankruptcy yet again. We have a pension crisis page at fox business. We talk about detroit, you can read the latest about vallejo and as well as puerto rico and the details of that debt offering. Sandra foxbusiness. Com. Ashley thank you. Ashley breaking news shares of barnes and noble, the stock rocketing higher on record private Investment Management Firm Asset Management has proposed to acquire 51 of barnes and noble borrowing the company at 22 a share. 18. 64 as it continues to spike up 1. 92 which is a 32 premium what theyre paying for the current market price. That would be a few minutes ago but the current proposal increased from november of 2013 to the board, valued the company at 20 a share. We are talking a substantial potential sandra the latest set by google for global domination, we will tell you what the tech giant has up its sleeve. You have to see it to believe it. Ashley technology turning the Health Care World on its head. It is called genome sequencing, using your own dna to catch diseases before those risks begin. Coming up next, the ceo on cutting costs and be right back. [ bell ringing, applause ] five tech stocks with me than a 10 . Change in aftermarket trading. All the tech stocks with a mark cap. Of at least 50 billion. Are up on the day. 12 lowvolume stocks. Breaking into 52week highs. Six upcoming earnings plays. That receny gapped up. [ male announcer ] now the world is your trading floor. Get realtime market scanning wherever you are with the mobile trader a. From td ameritrade. Sandra more on the breaking news on barnes noble. Lets head down to the floor of new york Stock Exchange where Nicole Petallides is sanding by on that. Nicole. There is a lot of news on barnes noble. The stock was halted and now reopened. Gs Asset Management is seeking to buy 51 of barnes noble, this is the value, 2 a share. Gasset wants 22 of the nook segment valued at 5 a share this well continue to follow. This stock has a huge spike, up about 7 at the moment. Barnes noble, one weve been watching and, as i take a look here, i will put a longer term, get a feel how it is doing. Intraday we clearly see the pop but over time, it has had a rough year and it is off the highs of may and the like. So over the last year certainly3 has been dwindling. Im going to just pull up a fiveyear chart so i can competent a better feel. This certainly a lot of volatility and not back to the years of 2009. Back to you. Ashley nicole, thank you very much. It is a historic scientific breakthrough. The force company to reduce thee cost of mapping human gee moment 1,000. Ii will lumia is the name in human gee home mapping. Doing 90 of human genome mapping. He talks about his company and how it may transform the health care industry. Staggering fact here that the first genome sequence required 3 billion and 13 years to sequence. Under this new program that you are now testing, you can do it for a thousand dollars and get the results in just 24 hours. How are you able to do that . Well the technology that we brought to the market now has embedded in it a tremendous set of breakthroughs that have allowed us to effectively break what is considered the sound barrier of human genomics and that is crossing through the thousand dollar barrier. This is years of vesselment work at illumina. Improves density what we sequence much like what happened in the semiconductor industry. This allows us to produce from one estimate five human genomes in a single day. Ashley this gives you or whoever is looking at results complete picture of someones hereditary information, is thaa right . Thats correct. Ashley tell me what are the implications of that . Well implications are quite broad. So particularly in clinical environments we can use dna sequencing or genomic sequencing to help diagnostically determine what type or what subset of cancer a patient may have. We can use genomic information in the baseline genome called the germ line which allows us to determine what drug may be more effective or what drug may have sideeffects. Certainly gives you tremendous amounts of information about your ancestry and traits as well, hair color and eye color. Ashley so could you take it to the point where you can predict ailments or risk that is a patient faces based on the results of this . Potentially so. I mean we are learning more and more about the human genome and the s10 we recently launched we think will propel the whole area of Population Based genomic sequencing which will give us more information about the longterm risks and Predictive Value the g no, maam. Today the use of genome sequence something in diagnostics and treatment decisions. Ashley fascinating. How has your company essentially managed to dominate this space . One of our key values is innovation is in our dna. We take this very, very seriously. So we produced a whole stream of new products we brought to the market on very fast and rapid time scale. We continue to drive down the cost of doing human genome sequencing and improve the economics and the scale as well as broadening the ability of our customers to integrate an entire solution. And by that i mean not only focused on the sequencing and ease of sample prep and simplifying informatics. And that allowed us to hhve a strong, Competitive Position in the marketplace. Ashley as we continue to look forward, what is the next big step . This is huge but whats the ultimate step do you think, jay . We envision the day where physicians and patients cant imagine making treatments decision without having access to their human genome sequence. We think everyone has the potential to get sequenced over next fiveyear period lets say to include it in their Electronic Medical record and use that to manage their health throughout their lifetime. ashley very, very fascinating stuff. Jay flatly, thank you so much for joining us. We appreciate it. Thank you. Sandra breaking news. Following the compromise deal that we talked to kt about earlier in the hour in the ukraine, that compromise deal, more breaking news on that. We are now learning that president obama will be speaking with vladmir putin, the russian president. Well continue to bring you all of that as it breaks but that is an important development. All right, amazon attempting the antiiamazon, ashley. The online giant in talks with retailers to bring highend merchandise to its site. Ashley another round of snow and frigid temperatures ready to slam much of the u. S. We have got the accuweather filthy forecast for you next. Dont go away. [ male announcer ] how could a luminous protein in jellyfish, impact Life Expectancy in the u. S. , real estate in hong kong, and the optics industry in germany . At t. Rowe price, we understand the connections of a complex, global ecomy. Itsust one reon over 75 of our mutual funds beat their 10year lipper average. T. Rowe pce. Invest with confidence. Request a prospectus or summary prospectus with instment information, risks, fees and eenses read and consider carefully before investing. Crestor got me highrisk patient bad cholesterol to a goal of under 100. Way to go, crestor yh tting to gl is a big deal, especially if you have high cholesterol plus any of these risk factors. Because you could be at increased risk r plaque buildup in your arteries over time. So, when diet a exercise arent en to lower cholterol, adding crestor can help. Go, crestor oh, yeah [ fale announcer ] crestor is not right for everyone, like peoplwith Liver Disease or wen who are nursing, pregnant, or may become pregnant. Tell your doctor about other medicines yourtang. Call your doctor rht away if you have muscle pain or weakness, fl unusually tired, have loss of appetite, upper belly pain, darurine, or yellowing of skin eyes. These could be sigf rare but seris side effts. Crestor yes [ female announcer ] ask ur doctor about crestor. You cant afford your medication, astrazeneca y be able toelp. Im jo ling kent with your fox business brief. Railroads reached an agreement with the department of transportation to adopt voluntary Safety Measures after a series of accidents involving crude shimments. The agreement calls for railroads down trains through cities and bolster Emergency Response planning. Netflix hit drama series house of cards demanding millions of dollars more of tax credits from maryland after pushing back the filming schedule for the third season. They say the first two seasons incheck projected 250 million in marylands economy. Fannie mae will make payments with its previous payments it repaid the 116 billion it received from taxpayers during the 2008 financial crisis. That is the latest from the Fox Business Network, giving you the power to prosper. Ashley it is time now for your tech minute. Retail therapy. Amazon loooing to bring j. Crew, ralph lauren, Neiman Marcus and other merchandise to its website. The online giant would not sell the items directly but listings are linked to retailers own site. It provides amazon with more Customer Data and new enticement for its prime shipping program and more traffic for the retailers. Shares of amazon up over 31 in the last year but today moving slightly lower, down about half a percent. Wheeling and dealing. In addition to googles 3d mapping smartphone pretty fiberoptic they are also making news, acquiring a londonbased company identifying and blocking online traffic fraud. Google vowed to take thebot program seriously. They mimic computers and create ad impressions that could be sold to advertisers. Terms of that deal were not disclosed. A have a passion for fashion. Check out baubles from cuff. Latest in wearable technology. The San Francisco startup have accessories made of metal that act like remote controls for the wearers smartphone. For example, tap your bracelet it will send electronic distress signal with a predetermined recipient with your location. Cuff is advertising personal security as main uses of trendy wearables. As for the cost, accessories range from 50 bucks to 150. Sandra . Sandra ashley, several buildings and homes were destroyed in Central Illinois as high winds combined with a cold front causing multiple tornadoes to touch down in the area. The frigid cold is not over yet as the polar vortex is set to return to the midwest this weekend. Accuweather has the details. Justin. Sandra, thats right. Unfortunately we have Severe Weather now and we have more cold returning early next week. March is around the corner. Typically a month of swings but looks like were swinging down into the low territory here with some more cold for many, many people. Severe weather ongoing right now, east of our nations capitol. This includes cities such as philadelphia, virginia beach, roanoke rapids, raleighdurham. The big concern is damaging winds and very heavy toe ringsal downpours. Ponding on the roadways likely. Well see major airport delays. This stretches southbound toward myrtle beach, thankfully clearing off the coast into georgia. This is the see rear threat today. Later on this evening were finish withed that. Early next week here is the cold. One of many round ever cold likely to come. Well see snow rolling into portions of midwest. This is sunday, couple inches maybe several inches of snow from pittsburgh back to new york city. This will create more traffic delays. This is potential for more snow midweek this is wednesday, thursday time frame. Back behind that, you guessed it here comes the cold. This will be brutal. A piece of the polar vortex is flies south and east. Well be back into the deep freeze part of next week into next weekend. Quite cold outside next week after a brief warmup this week. Sandra all right. Justin, thank you so much. You gave us a lot too look forward to there. That being said were taking a look how this is affect some of the Commodity Prices particularly those commodities you use to heat your home. Natural gas prices have been spiking. I have to show you this. Is rbob gasoline. This is natural gas. One of the only Energy Commodities up in todays trading session. Up just a third of a percent. Here is the real story, guys. For the week, natural gas up 18 , an incredible surge in prices there. Looks like it is on pace to finish the week above 6 a btu. As that happens, i want to point out the yeartodate change. Were up about 47 for the year in natural gas. That means youre paying 47 more if you use natural gas to heat your home. Youre paying that much more to heat your home than we were when we started 2014. If you use heating oil, Heating Oil Prices down today. Yeartodate they have also been on the rise. So it is costing everybody a little more to heat their homes. Speaking of the natural gas rally, adam shapiro talks to bret harvey, chairman and ceo of console coming up on money at 2 00 p. M. Right here on the, sorry, Consol Energy on the Fox Business Network. Youre going to want to watch that one, guys because this is just a remarkable time as far as the Energy Prices are concerned. Ashley . Ashley thank you, sandra. We have some breaking news. Another look at the shares of barnes noble. The stock rocketing higher on reports that the private investment firm, gAsset Management proposed to acquire 51 of the barnes noble, valuing the company at 22 a share, 30 premium to the current market price. The companyyconfirming that proposal to fox business. The current proposal by the way increase from gAsset Management 2013 november to the board which valued the company at 20 a share but up sharply on that news. There is a crackdown on the streets of venezuela. Sandra for the latest on the president Nicholas Maduros socialist government. That is coming up. Theres this kid. Coach calls her a team playe shes kind of special. She makes the whole team better. Hes the kind of player that puts the puck, horsehide, bullet. Right where it needs to be. Coaccalls it logistics. Hes a great passer. Dependable. A winning team has to have one. Somebody you can count on. Somebody like my dad. This is my dad. Somebody like my mom. My grandfather. Im very pround of him. Her. Them. Ashley for the latest on deadly protests going on in venezuela the country is dropping terrorism and murder charges against the Opposition Leader lopez but he still faces 10 years in prison for arson an conspiracy. Fox newss Steve Harrigan is in miami with the very latest. Steve . Ashley, those protest that is began earlier this month in the capital city of can rock cause have caracas and is around the border region with colombia and where residents say it looks like a war zone and Nicholas Maduro is warning that he will send in military force. So far eight protesters have been killed in the demonstrations including a 22yearold beauty queen who has become the face of the Opposition Movement the opposition plans on major march a demonstration on saturday which they hope remains peaceful. As far as the Opposition Leader, jail. He turned himself into police earlier this week. He is calling for protests to continue. The real question whether this hardline crackdown by venezuelas relatively new president , 51yearold former bus driver, is going to work. So far the only effect it has had to bring out more protesters into the streets of venezuela. Ashley, back to you. Ashley keeping a close eye on that situation, Steve Harrigan, thanks so much. Sandra now as we do every 15 minutes lets check the markets. Keith bliss on the floor of the new york Stock Exchange. Keith. How are you, sandra . Sandra what is the latest down there . What are traders thinking . Looks like were being back near flat line on the dow. We are only up eight points. We were up much more during the session. What is the thought down there. It is. It has been kind of a sloppy tape. We have very much a bullish bias. Internals of the market are ver much intact to go positive. It will probably take a few more days next week but we see no reason why we wont set alltime high in the s p 500. Our target is 1858, 1860. You see the markets kind of went flat certainly most of the traders down here are watching the hockey game right now. Sandra wow. Thank you very much for that, keith bliss. My pleasure. Ashley should have asked the score. 10 canada apparently. Sandra or turn on the smartphone you can get the score there. Turning a it into a smartphone. Ashley very smartphone. Googles prototype that will create a 3d map of your surroundings, how cool is that . Well show you next. [ male announcer ] if youre taking multiple medications, does your mouth often feel dry . A dry mouth can be a side effect of many medications but it can also lead to tooth decay and bad bath. Thats why theres biotene. Available as an oral rinse, toothpaste, spray or gel, biotene can provide soothing relief, and it helps keep your mouth healthy, too. Remember, while your medication is doing you good, a dry mouth isnt. Biotene for people who suff from dry mouth. Sandra breaking news on barnes noble. Take a look at those shares spiking, well off the highs where they initially when on this news. GAsset Management, a private investment company, made a proposal to buy 51 of barnes noble at a price of 22 a share. That is up from a previous offer it made for 22 a share. They sweetened the offer ere. But as you can see shares initially spiked higher into the 19 range. Now they have since come off there at 17. 90 a share. Perhaps investors are not all together convinced this deal will happen but shares up more than a buck. By the way google unveiling a prototype smartphone capable of creating a 3d map of the users surroundings. Another of their ever growing arsenal of innovations. Jo ling kent joins with us more. Jo . Ashley, it is called project tango. The goal is to give mobile devices human scale of understanding of space and motion. They will have 500 phones with censors designed to create a 3d model around you which will run android will make measurements per second to capture things like inside of a building or a street youre walking on. Google is joining apple and intel adopting this type of technology. Intel unveiled designs for laptops that could be included with a 3d camera. You might remember on thanksgiving last year apple bought israeli 3d Technology Company for 360 million. Google is saying they will ship the protypes to select developers, basically gaming enthusiasts, navigation enthusiasts by march 14. According to the website theyre targeting other junkies who think of cool way to use this phone. Ashley . Interesting stuff, jo. Thank you. Sandra more breaking news for everyone. St. Louis fed president James Bullard speaking out on the economy. Headlines are catching our own peter barnes. Pe catching your eye there . These are headlines from the dow jones newswire on remarks made at a luncheon. James bullard of the st. Louis fed said 6 unemployment would probably be full employment in the u. S. That is significant. Sound a little bit hawkish because were at 6. 6 on Unemployment Rate. If 6 is full employment rate the fed will have accomplished its mandate and goal of full employment with a 6 number maybe sooner rather than later. So, got to, watch, were going to watch this and see if it gets any traction from the full fed. He also says that the weather has affected the economic numbers this winter. Weve seen softer economic indicators. Attributed to the weather and he says the recent data hasnt deterred his outlook on the u. S. Economy which is for expansion this year. Back to you. Sandra all right, peter. Well it is significant simply because six 1 2 had been a benchmark. Thats right. Sandra this is indicating new benchmark. Peter barnes. And tightening or raising Interest Rates. How long will we keep blaming the weather . Probably into july. Sandra adam shapiro is in for Melissa Francis on money today. Adam. Adam sandra, blame the weather on something else. The price of your cup of coffee is going up. Not because after drought here in the United States. Well hit that. Let me tell you about this. Not one, not two, but three exclusive interviews which you can make money today. From the gap executive wage raising wages for thousand of workers to a state governor who wants to drill the land on his own terms. Energy giant riding the natgas rally. We have you covered with biggest stories affecting your investments. Because even when they say its not, it is always about money. Adam hello again. I want to show you something. Check out the big board right now. Dow is up five points. S p 500 up two points and nasdaq up six points. Yesterday we had arne sorenson, marriott hit a new 52week high today. You were listening and liked what he said. Nicole petallides on the floor of the new york Stock Exchange. Nicole what have you got for us . Good afternoon, adam and everybody. Were looking at a few movers, some companies that released some news and look at stocks that go along with them. Gold is up almost seven bucks. Newmont mining