Early 2008 dropping to 326,000. The average of new claims over the past month fell by a smaller 4,500, the lowest level in ten weeks. David and the top floor auto sellers in the country posted double digit yearoveryear gains amid continued demand for trucks. General motors led the pack with a 16 percent increase in sales. Liz its going to cost more to put gasoline in the engines of those. Take a look at crude rallying nearly 3 today on increased optimism about future Energy Demand following better than expected economic data, specifically manufacturing data in the form of the ism. Prices rose 2. 86 settling at 107. 89 a barrel. David and billionaire carl icahn has filed a lawsuit to try to block dell from setting a new record date ahead of the crucial shareholder vote tomorrow. Icahn included a list of demands including that the ceo and his affiliates be prevented from voting any shares brought after february 5th. Liz more details on u. S. Manufacturing, the highest level in nearly two years last month. The ism surged to a realizing of 55. 4 compared with 50. 9 in june. After the bell on a busy day starts right now. Liz record day for stocks, lets get to todays big moves. Weve got eugene pro fete, Portfolio Manager with two ways to make you money, and scott in the pits of the cme. Scott, to you first. The number one driver of these moves today. I think overnight chinese manufacturing combine with the the fact we had a doveish draggy today and fed yesterday. Those are the reasons were this high today. David but the increase in Interest Rates, a huge jump, 13 basis points. First of all, does this show that bernanke has lost control of Interest Rates and, secondly, why didnt they spook the well, two things. Im not saying i agree with this rally, but those are the reasons also i think that thats going to be the next fight coming up for the next six months. You might see those bond traders over there take the fed to task and pressure them with those Interest Rates. But, you know, believe me, the next move in Interest Rates, obviously, is going to be a little bit higher, but i think theyre going to be the ones that a drive this market. The truther is room is the tenure, its not the the tenyear, its not the stocks. Liz the tenyear hit a two year high in the last hour. I think weve got people moving out of that, going to the equity market, i think thats a mistake. If youve got an aunt that died today and left you 15 million . Do you want to pile in . Absolutely not. But what weve got happening in front of us, i think, is slowly but surely a battle between the bond market and the fed, and its going to be interesting to see how that shakes out. David scott, stay with us as we bring in eugene. First of all, lets talk about financials, because when you think of Interest Rates, you think of financials, you like financials right now. They must be preparing for these higher Interest Rates. They know a lot more about Interest Rates than we do. How are they preparing for it, and why do you think theyll do well with higher Interest Rates . Well, david, good to be back. Its all about net interest margins, and as Interest Rates move higher, thats going to be very positive for earnings for banks. When the Interest Rates are low and the spreads are really low, they really were only making money because they were being supported by the fed. So the fact that that david hold on to that, let me stop you there, didnt they get used to that . I know thats why they were liking these low interests and, of course, they were able to make dollar trades based on them and everything, but the bottom line is people get used to things. Are they prepared now to move to a new environment where theyll be making money in a different kind of way . Well, i think they are, and thats why we have become more constructive on financialings. Actually being able to make money by banking by making solid loans. The economys improving a little bit, and theyre going the get a better spread on their money. It also sets up the stage as the fed begins to come out of the market if, in fact, they do,backs are going to be healthy. Banks are going to be healthy. Liz okay. We know to go to ashley weaponster, hes got kraft numbers. Were just going through these. On the eps, earnings per share, the estimate was for 66 cents, its coming in at 1. 38 including items, but if you take out a 62 cent benefit and a charge, the actual operating profit is 85 cents eps which is a nice beat on that line. But the revenue coming in just a little short. The estimate was for 4. 81 billiin, the actual number is 4. 74 billion. Kraft reporting that organic net revenue falling 1. 2 on lower pricing. Also theyve been coming under pressure for Higher Commodity Prices in the Second Quarter. So they beat nicely on the eps but a slight miss on the revenue. Liz scott, kraft in essence, yes, has done well, but they say that the timing of easter shipments weve heard a couple of Companies Say that the timing of easter actually mattered to their numbers in this time around. Theyre saying timing of easter shipments negatively impacted revenue growth. And then to the last point that was made, you know, these Commodity Prices if you take a look at them verse is us the equities, there needs to be a big correction here. Either the equities have to come down fast and catch up or commodities need to rally. Theyre going to start to see better results going forward, because i think Commodity Prices are generally lower except for energy. So keep an eye on the things they need; beef, cheese, milk, whatever. Those things, i think, have come off. David well, eugene, one of the things you cant argue with is the prices at the Grocery Store are more expensive. Companies like kraft have to keep up with the price of commodities. Is that going to be a hold on profits going into the next quarter . I think it might be. What happened with kraft has happened to a lot of companies, theyre beaten on the bottom line david but not on revenue. Exactly. Youve seen that quite a bit. And i think thats one of the headwinds with the market being higher that you have to Pay Attention to. This is consistent with what we saw, what weve seen in United Technologies, weve seen it with american express, just across the board youve seen about 70 of companies not really beating on the revenue line while exceeding the earnings expectation line. Liz and let you like United Technologies. First, show us the money hold on one second, weve got linkedin numbers. Hold that thought, eugene. This is a big one, ashley. Just the headline numbers so far on the eps we have 38 cents on the adjusted earnings, that beats estimates of 31 cents and revenue on 363. 7 billion. That beats nicely the revenue, but we do see the stock moving lower, so were going to get into the guidance and look at some of the numbers in here to find out why david by the way, look for total users. Total useers were expected to be around 24 million up from 225 million. Keep in mind, this is a stock that is up over 100 year to year, so it would be hard for it to really beat expectations, because expectations were already high for this stock. For the last eight quarters that linkedin has been a public company, by the way, it has beat analysts earnings and revenue estimates, so i think traders were kind of getting used, scott, to this being one of those companies that would beat on a regular basis. I think so. All the negative publicity last year and early this year was positive for linked ip because they do have paid prescriptions. Thai been the one to be on while facebook has problems, but those revenue numbers are fantastic and so are or those earnings numbers. Its just whether or not they cannily up to they can live up to expectations. Liz United Technologies is one of eugenes pick names today. Why . Well, you see manufacturing improving across the board. Also in europe manufacturing is getting a little bit better, and you just saw itts numbers. United technology is one of the strongest industrial companies, its a good early play on economic expansion. Its very diversified with otis elevator, exposure to aerospace. So we think its a very good entry point for a security thats a really good franchise name. David by the way, youre going to want to stay tuned because we have the ceo and president of itt coming up, a company that does very many of the same things. Great to see you, eugene, thank you very much. Scott, were going to see more of you coming up. Liz a fedfueled quarter. Cme Group Reporting strong earnings as trading volumes surged on speculation of fed tapering. Were talk to terry duffy about the quarter, the latest trends and where he sees these markets headed. David also we know diamonds are a girls best friend, as liz is demonstrating right now, do they let you show that off or is that one of yours . Blue diamond, blue nile reporting its fifth consecutive quarter of double digit growth as consumers said i do to diamond rings. Up next, were going to be talking to the ceo of blue nile in a fox business exclusive. Harvey kanter. [ malennouncer] surprise youre having triplets. [ babies crying ] surprise ur house was built on an ancient burial ground. [ ghosts moani ] surprise your car needs a new transmission. [ coyote howls ] how about no more surprises . Now you can get all the online Trading Tools you need without any surprise fees. Its not rocket science. Its just common sense. From td ameritra. Its delicious. So now weve turned her toffee into a business. My goal was to take an idea and make it happen. Im janet long and i formed my Toffee Company through legalzoom. Never really thoht i would make money doing what i love. [ robert ] we created legalzoom to help people start their business and launch their dreams. Go to legalzoom. Com today and ma your business dream a reality. At legalzoom. Com we put the law on your side. Liz act vision earnings out just moments ago, nicole has them. Well, the gamers are feeling hot because act vision is doing great in their numbers here for the latest quarter. So take a look right now. You can see the bid ask for it is surrounding the closing value, 18. 19 was the closing value. Lets take a look at the numbers earnings per share, 8 cents a share, that surpassed analysts estimates of 7 cents, and lets talk about revenue, revenue also beating, 608 million versus 60 d604. 8 billion. The bidask is surrounding the closing value. A couple of more things that they forecast a quarterly profit to surpass analysts estimates. So not only beating for the quarter, liz and dave, but also givingok that is favorable. The world of war Craft Company is the largest, right . They are the Largest Video game publisher, and you may remember some headlines recently when bobby kodak and the team has been buying back some shares. Back to you. Liz thank you, nicole. David we said were going to have scott back at the cme, weve got a substitute. We are going back to the cme, and they reported a 27 rise in quarterly profit in the Second Quarter driven by renewed market speculation over when the fed is going to tighten monetary policy. Liz okay. In fact, just a few days after ben bernanke hinted at possible tightening, the trading on the cmes exchanges hit an alltime record. With us now is that substitute for scott, trly duffy terry duffy, chairman and executive president. Terry used to be a trader, so its good to have you here. Certainly the activity, the action of trading this past quarter was pretty amazing. And youre creating the fed crediting the fed for at least those moves, but will the trend hold up in the current quarter, terry . Well, thanks, liz and david. Yeah, well give the fed a littte credit for having, obviously, maybe a potential change of heart on policy. In all honesty, liz, what weve been able to do here at cme to come up with new products to generate more volume for the exchange, and that adds to our bottom line. So, again, innovation of new products whether theyre Interest Rate related like the shortterm 30year bond products that we created, also on the deliverable swap futures contract that we created, also new products help us liz innovation, sure. David capital, no matter how you cut it, capital is coming to the cme. A lot of capital is moving to the cme. Its a big, big, new part of our capitalist system here. Im just wondering if all of those regulations, those banking regulations coming out of washington, coming out of the fed somehow help you in a way as its more difficult for a bank to attract capital, maybe that makes it easier for you to attract capital, no . Well, i mean, you could look at it that way, david, but sometimes these regulations become so complicated and overburdensome, nobody even understands them. And when you dont understand them and its tough to be in compliance, people dont participate. Im a big believer in havingless regular haitian less regulation. Putting more teeth into the rules. Have a rule to have a rule,o right . So i think we need to compete in the global marketplace. You know, weve passed out frng here in the united states, were still waiting for europe and their regulations. So, you know, weve gone a long way in your regulations our regulations, so lets not keep piling them on to pile thhm on. Lets put teeth in the laws we have on the books. Liz there was a day, im guessing it was around june 19th because i was in chicago for your pinnacle awards there. But that day a lot of traders ran up to me and said, liz, did you see how many copper contracts were traded . They hit an unbelievable number. You know, its fascinating to watch each of the individual contracts go through, but what does a day like that tell you, and how much did Something Like that contribute to your quarterly numbees . Well, im not quite sure about the copper volume on that particular day, liz, but right around that time period that you were here we did around 26. 9 million contracts in one single day which is the largest day weve ever had here at the cme group. And what was interesting about that, there was several emails sent around to the executives in technology and other parts of the business risk, and everybody says, is everybody okay . Youre thinking 27 million contracts, the biggest day in history, and the replies came back why is everything fine, whats the problem . Which goes to show you that the infrastructure that we put in place is truly amazing, and the volume that we can run through these doors is outstanding. David terry, for a long time as the government was slow to react to jon corzines role, if any, in the shenanigans he was involved with, you were advocating, look, theyve got to take a much closer look are you satisfied now that the government has done everything it can to investigate that case, or is there more to be done . Personally, im never going to be satisfied. The clients that use our marketplace were out a significant amount of money for a significant period of time, whether thats five minutes, five months or five years is way too long. So until every penny is returned to every participant in our marketplace, i will not be satisfied, and even then the sheer fact that it happened is something that needs to be dealt with. And this goes back to what i said earlier, david. We have a lot of rules and laws on the books of the united states, lets start putting some teeth into them. If somebody violated the rules by going in and using customer funds for their own proprietary position on sovereign debt positions, that is against the rules, and that should be dealt with. David make it simpler but tougher. You have to. Ful. Liz well, its tough for me today because im david what is that youve got on . What are you wearing . Liz im coming through on the bet i made. Im a kings fan. The last time you were here i said if blackhawks win, i will put on the jersey because i know my kings are going to wwn. Guess who didnt win the kings . So we say congratulations to chicago. I know jonathan taste is watching, the whole team of chicago, congratulations. I come through. Atta girl, liz. I cant see it, but what number are you wearing there . David no number. Liz the National Hockey league store right down here on 47th was kind enough to rush one over, and they say that all the numbers david by the way, this one is 100, the one with the number is 200, so thats why shes not wearing a number. Ill make sure we get it autographed by the team. David wow. Thatll make it priceless. Great stuff, terry. Liz its killing me as a kings fan to wear this jersey. Lets go right back to Ashley Webster for more. Ash . Brave lady, liz. Talking of numbers, we do have some numbers, more numbers on linkedin. As we said, they beat on the top and bottom line quite nicely. They also managed to grow those use withers that david talked users that david talked about earlier. We were hopeing for around 240 million for the quarter, it grew to 238, so thats a good number. So perhaps lets put the little bit of pressure after hours is the fact that its guidance for revenue in the Third Quarter coming up just a little light. The estimate was for around 383 million, the estimates coming in around 367373 million, so just a little light on the revenue, but some of the other numbers pretty good. David yeah. And what has happened, by the way, since it went downed in the bid after hours is that it has come up again. You can see right now it is trading well above its closing price. So after people picked through the numbers and realized looks pretty good, theyre trading higher. Well see if it sticks that way. Thanks a lot, ashley. Liz thank you. I finally got out of the blackhawks jerry. Die son jerry. Diamonds are forever, but how they buy them is changing fast. In a moment, the very latest shopping trends in an exclusive interview with the see you of online jeweler, blue nile. David all right, we also have a fox business exclusive coming up with one of the countrys top corporate lead