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Oil slid again. The december jobs report was generally positive but some traders focus on weak wage growth. Meanwhile, investors couldnt help but watch nervously as the three day terror rampage in france came to a deadly end. Four hostages and three terrorists killed in two locations as french authorities moved in. One suspect remains at large. Heres how the markets looked at the close. The dow fell 170 points. Nasdaq lower by 32 and s p off by 17 points. For the week all three indexes were down by about a half percent. More on that december to remember jobs report. A more than forecasted 250,000 jobs were added last month and the nations jobless rate ticked down two notches to 5. 6 the lowest in more than six years. But the report wasnt all positive. Hampton pearson takes a closer look. Reporter 2014 was the best year for hiring in 15 years. More than 2. 9 million americans have found jobs in the last 12 months. The Unemployment Rate is at a six year low but wages now at about 24 an hour on average actually fell last month and wage growth for the year is just 1. 7 leaving economists expecting wage pressures to increase. 25 states in 2015 are planning to increase minimum wages and you get a pop in wages related to that. Reporter job growth widespread including highway sectors including construction added 48,000 workers. Professional and Business Services which includes accountants and architects led the way with 52,000 new employees. The Unemployment Rate fell however because many jobless workers gave up looking for work and are not counted as unemployed. And the Labor Force Participation rate. Americas working or looking for more dropped to 52. 7 , a 37 year low. I think what were seeing is the longterm unemployment continuing to withdraw from the labor force. Thats why i think its important to have targeted policies to keep longterm unemployed searching for jobs. Reporter the cross currents of the job market were clearly visible today at this jobs fair targeting the hiring of veterans. A top recruiter for an auto repair business said hes feeling the wage pressure to hold on to his best workers. Over the last several months i notice we offered several pay increases to our technicians. Thats just how the business is. Reporter recently retired from the military pete crusoe has been out of work for 13 mopts but sees signs of economy improving. My take is youre a one man economy. Youve got to put yourself out there and find the best thing that you can find. Reporter as for the fed, stagnant wages to already low inflation has some Monetary Policy makers in no rush to raise interest rates. We shouldnt be raising rates before 2016. If things transpire as im expecting, employment has been good. Ive been expecting that. Im hoping that inflation is going to pick up and i think we need to see more of that. Reporter 3 million more people earning paychecks along with lower gas prices is putting more money in consumers pockets and that increased spending in the coming months should give a further boost to the job market. For nightly Business Report, im Hampton Pearson in washington. Lets get more on jobs report from ethan harris at bank of america, merril lynch. Good to see you, ethan. How worried are you about the two negatives in the report . Participation rate or the wage growth or lack thereof. The lack of wage growth i think will be fixed as we start to see a much lower Unemployment Rate. When we get down to around 5 or so, i think workers are finally start to get some negotiating power. So i think the weakness in wages is behind us and we start to see improvement in the year ahead. Workers abandoning the labor market the drop in Participation Rate is a longrun issue. Its been a big movement. It takes a lot of productive people in the economy and hurts our tax base. Im very concerned weve taken a permanent hit to some degree in terms of our working population. Why is that happening do you think, ethan . Discourage workers who have basically given up or not happy with the wages they could make or demographic, a lot of baby boomers moving out of the workforce . I mean its a little of both and we hope its mainly temporary. Its certainly the case that its been a miserable job market. If you take a thousand resumes out there and get no interviews youre going to stop looking. So that should improve and those people should come back at least see if things are improving. Pick up in wages will also draw people back but some of this is permanent. Some of this is people retiring early and probably never coming back into the market and of course the general ageing of the baby boom population. But it is a challenge for the economy going forward. If we have less workers going forward, we have less people to support the Social Security system and so on. Theres a little bit of a dark cloud there in that report. Right. What about growth overall . Youre a little bit above the streets consensus for growth. Tell me why . Well i think that the u. S. Economy is finally coming out of what weve been calling a rehab recovery. I mean we had the worst banking and real estate crisis in modern history. You always get a very slow healing process coming out of those kind of crises. Adding to the pain weve had constant austerity and brinkmanship moments in washington with tax increases, spending cuts fiscal cliffs. This is all very bad for confidence. The good news is both of those big head winds i think are behind us now. I think well see a more normal budget process in washington. We wont see shock out of washington and the banking real estate sector are in much better health. I think were ready and were already showing signs of healthy growth in the United States. On that optimistic note well leave it there. Thank you, ethan harris from bank of america merril lynch. Thank you. The data showed the biggest drop in the u. S. Oil drilling rigs in 24 years last week. Today, domestic crude finished 43 cents a barrel lower, 48. 36. Benchmark brent crude closed lowest levels since april 2009 at 50 a barrel. A major ruling that could mean construction on the Keystone Xl Oil pipeline will resume soon. Nebraskas Supreme Court overturned a Lower Court Ruling blocking the proposed route of the controversial pipeline in the cornhusker state clearing to move forward. The house overwhelmingly passed a bill authorizing the completion of the keystone xl pipeline. The senate will take up its own version of the legislation next week where its almost certain to pass but the bill is anything but a done deal. John harwood joins us now from washington with more. The president already said he will veto any keystone legislation if it passes congress but could todays ruling by nebraskas Supreme Court either change that promise or flip some wavering democrats, particularly in the senate to the side of voting in favor of it . I dont think so. I think the nebraska Supreme Court was simply a delay in the process. I dont think it was something with the substantiative outcome likely to it was anybodys vote one way or the other. Today, you had a vote in the house well short of what you need to override a president ial veto. We expect the senate vote will also be short of that number. So republicans can put pressure on the president through this vote. They cant make him do it. However, because the president and i think weve talked about thef taylor is not outright opposed to the pipeline. I believe whats likely to happen is a period of negotiation in which the president says you want keystone . What are you going to do for me . Well what would happen out of that . What kind of negotiations might take place, whats on the table . Wheres the rigwiggle room . The president has priorities. For example, the Wind Energy Tax credit is due to expire very soon. The administration favors it. Republicans have been skeptical. Thats the kind of thing. The other steps the president has taken to try to reduce increase gas mileage of cars reduce Carbon Emissions and act on Climate Change to a Different Energy basis, wind solar, other things. I think the administration would be open to a conversation that would involve some of their priorities being affirmed if in fact keystone were able to go through. All right. John to another story out of d. C. We want to get you read on. The white house proposing a 60 billion ten Year Initiative to pay for two years of community or Technical College for any american as long as they keep up a 2. 5 grade point average and work towards a degree. That plan call for states to pay a quarter of that cost with the federal government paying the rest. What are the chances, john that that Initiative Gets any funding from congress . Not great, i dont think, sue. Even though it was promising for the president to be joined in tennessee today by both senators. Lamar alexander, the Top Republican on education in the senate and bob corker this reflects the administrations look for ways to raise longterm Living Standards of the middle class that have been stagnant for so long and a lot of people think that making sure that Quality Community college is available to train people and get them matched up to the jobs that they are evolving Technology Based economy needs, is a key to the future. Whether or not this passes congress or not, the fact that the president is elevating the priority to it many states including tennessee with a republican governor already are doing is a sign of where policy in the country is headed. Its going to be tough though to get a new spending Entitlement Program through the u. Congress. John thanks. Appreciate it. You bet. John harwood in washington. Still ahead as we continue bargain hunting for blue chips. Our market monitor tonight found some and he said theyre ready to bou california is aiming for the record books with the biggest state Budget Proposal on record. On the heels of two years of budget surpluses, california governor jerry brown now proposes a 113 billion budget for this year. The biggest one ever for any state, anytime, anywhere. The plan calls for more social Service Programs but less funding for the university of california system than the schools had requested. An activist looking to shake things up at dupont and thats where we begin tonights market focus. Announced plans to nominate its own slate of four directors to dupont ford as it tries to push a breakup of the company. The industrial conglomerate said it would review by triian. Shares off by 173. 50. Steve madden warned investors that performance over the slo than expected so 2014 profit wont meet wall street estimates. Blames the slow diahann as the west coast ports and other factors. Despite that shares rose to 32 a share. And inflasis beat expectations. The indian based won more contracts from businesses. Shares up to 43. 56. Starbucks announced chief operating officer who helped lead the massive and successful restructuring is taking extended unpaid leave from the chain to spend more time with family. Shares fell more than 3 to 79. 79. Changes in General Mills to tell you about. The food company is cutting 500 jobs with the closing of two pils bury factories. Doug boy is out of business. Last year aims to improve profitability. Down to 153. 03. Now might be selling insurance. One analyst said the search giant will debut an Auto Insurance shopping site and consumers able to compare and buy policies. Class a shares of google off 1 to 500. 72. Tonights market monitor is a Value Investor likes low price to earnings ratio and very little debt. He is randall elie president of the edgar lowemex company. Its a pleasure to be here. That sounds like a pretty good recipe. Little debt good price to earnings ratio, good dividend. What sectors of the market do you find some of these stocks in. | were finding that the long time theme of the last shall be first or probably be first, we are finding that energy and telecommunications which were the worst performing sectors of the s p 500 last year are probably the place we find the most valued stocks right now. Interesting. Thfls like the dogs of the dow theory here. Lets start with one of your picks. At t with a very plump yield at 5. 6 . Just to own that stock and get 5. 6 you can count me in on that. Three times the ten year yield of the treasury. This is a company, the Biggest Telecom company in the u. S. And most people forget it because its not in the glamorous family business. 57 on that stock, correct . Almost a double. Wow. All right. Move on to exxon mobile. That plays to the energy play you mentioned a little bit earlier. What is your price target on this . It looks like its ripe for the picking because its been so beaten down. Thats right. Here we look for more than a double. This stock, we would not consider overvalued unless it was over 180. The product we sell, we have to use. No doubt about it. And the price in oil falls and most observers seem to believe it will continue falling, the seeds of eventual rise are being planted. You have market increasing and supplies falling. Randall, your third choice is another company. Im happy to say i know all three companies youre picking tonight. If either of the first two hurt me i can turn to the third one for ban aids. You wonder how we make money with these names. Tell me about johnson and johnson and why you like them. 120 as the price target on it. Thats right. Similar to exxon, we have to use the product but here you have a growing market and thats ageing americans. Despite all of our problems you notice i include myself there, its a relatively well funded market segment. So i think you have to see for earnings and as a result we dont have to look for as great returns since we think the returns are more solid, even in a recession. You named three names with good price targets on them but what about the overall market . What kind of a year are we going to have in stock . Well i certainly dont expect a bear market anytime soon but i think the market is at least valiant in the longterm and im not looking for the shock rises weve had the last three or so years. You look at 2013 for example with the s p 500 up 30 . I would not expect to see that regularly in the next two or three years. Your fund was up about 15 last year. Not many managers were able to do that. What worked well for you last year randall . It was primarily Companies Like the health care company. The johnson and johnsons the mercks. We also had a substantial position in i. T. And for technology with intel being a big holding of ours. The stock that two or three years ago people thought couldnt bang its way out of a wet paper bag, it really came through with a rise of over 40 . Randall thank you so much for spending time with us. We appreciate it. Have a great weekend. Thank you for having me. Randall elie with the edgar lomaxwemax company. Another upstart looks to give a womans touch. Nearly two months after the violence and looting that ripped apart ferguson missouri some of the citys Small Business owners are still trying to rebuild and recover. And theyre getting help from some unexpected sources. Kate rogers has more from ferguson. I was shocked. I went into shock. I felt totally violated. Scary. You dont know where to go. Reporter wau knee that morris been in business for nearly 30 years watched the location she had in town for a decade burned to the ground on the news. I feel a lot of people hurt by this. Reporter luckily for juanita, eric lee saw business damaged on tv. He reached out to juanita and helped with a crowd funding page on gofundme. Com an online fund raising platform. Today, juanita raised nearly 23,000 on gofundme. Had plans to move from this location behind me where nothing was salvageable to a new spot she got yesterday. I thought the internet would be a really powerful tool to make a difference. Reporter t has also proved to be a powerful tool for dawn marshall who owns hi ra chi pizza. Protests outside of her store caused to change hours because customers couldnt get into the restaurant. Facebook promotion helped the store to sell out for the first time in december. We love our customers, our community. Its like a family here. Reporter then theres Brian Cay Mitchell who refused to miss a day of business even though the riots filled the streets just footsteps outside of the door. The Fitness Instructor boarded up the windows and persevered Holding Classes daily despite unrest. He just took out a Small Business loan from the Economic Development project in st. Louis to attempt to regain some of the business he lost. Were very cautious. Were very vigilant. But we were not scared. This is our community. Reporter bryant said his business logo has taken on a more literal meaning. Our logo is you will survive and that logo has taken on a totally, totally new meaning. Its a universal message now. You will survive and we have. The community here in ferguson will survive as well. Reporter a city that lost so much is ready to move forward. For hoenightly Business Report, im kate rogers. New york city requires a license on its taxicabs called a medallion and the price paid for those medallions down about 30 from the peak back in 2013. That time above a million dollars. Why . Credit is one reason and the rise of the apps like uber and lift directing riders to black cars. Bright idea is a new competitor app driving female customer traffic and creating new jobs. Its amazing you make more money as a taxi driver than your profession. Reporter in october, nancy, who asked us not to use her last name drive on for sheet taxi an app based run by women for female clientele. Nancy one of a couple hundred female drivers who have come on board. I said wow. Thats for me. Reporter the drivers can choose to use the shetaxi app while theyre on the road even as they work for existing car Services Just as they might with uber. When a customer books a car through e app using a credit card rkts shetaxis keeps a propie tear percentage of the fee and the rest goes to the driver. Some drivers like nancy only work with the app because business has been good for them. Shetaxi helped nancy get a license and figure out how to buy a new car but nancy is not an employee. She is in business for herself. Flexible schedule. You are your own boss. Shetaxi founder said she wished for a service like this to help shuttle daughters for an afterschool. You feel your children are safer because of incidents with woman. Reporter considered shetaxi is not profitable after two months but has high hopes to expand into other cities probably as soon as next month. She got the idea after noticing car services for women were flourishing outside of the United States and in new york city where there are 50,000 taxi delivery and black car drivers, only about 5 are women. The fear factor i think was a big factor why women was not part of the industry. Reporter fear . Sure. Back in the 1990s, about 60 homicide drivers a year and that dropped to less than 30 a year. I dont think in the past worked . Reporter in new york city half of all taxi riders are female and mateo sensed an opening betting women are more comfortable ridin with female drivers. I understand that the man supplies whats not will. Reporter the original plan was for women only but that could have run into legal challenges. Men can use the app but must be accompanied by a female if they request a woman driver. The men that do call are interested for family members, either daughters, wives, sisters. Reporter shetaxis did get the attention of civil rights attorney saying a business cant pick customers or employees according to race or gender. If there is a male who wants to drive and is denied that opportunity or a male who wants to be a passenger and is denied that service we would speak up and give serious consideration to filing a claim. Reporter so far, that hasnt happened and customers like new Yorker Bianca lakio seem to appreciate having a choice. Being with the woman driver, change from business attire to manhattan offered us thumbs up. It would give us a sense of security. I think its a great idea. I think women dont often get an opportunity to drive taxis, so yeah. Why not . Great. Because we cant do it by ourselves. Weve got to have the women there. I think thats a beautiful thing. Reporter and if you happen to get a ride with nancy, expect to make a new friend too. I make them talk no matter what. Im very friendly. Woman to woman. Thats all it takes. Reporter service is available in new york city the surrounding area as well but inside the city limits shetaxi is called sheride because regulates the way the business can use the word taxi. Youve got daughters. Would you feel more comfortable with a female driver does it matter . I think i might, actually. My dad, my husband and me driving the kids around but i think i would. Interesting. All right. Theres the story. Thats it for nightly Business Report for tonight. Im sue herera. Thank you for joining us. Im tyler mathisen. Thank you from me as well. Have a great weekend, everybody. Well see you on monday. Gwen terrorism and its consequences abroad. Politics and its consequences at home. Tonight on washington week. Here in europe we believe in freedom of expression, of press and of thought and we cannot be silenced with these cowardly attacks. Gwen a deadly and bloody attack on a satirical newspaper. Hostages taken at a kosher deli. And a renewed debate about homegrown terrorism. This time in france. And the world is watching. I want the people of france to know that the United States stands with you today, stands with you tomorrow. Gwen in an instant, fears of islamic extremism are once again front and center, as are. In washed, a republicanled

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