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tv   After the Bell  FOX Business  April 10, 2015 4:00pm-5:01pm EDT

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shades of green, but the russell turns positive and so does everything else, david. david: all right. well, we're taking a look at all the indices. actually, the vixx was down to 10 about a year ago, so -- but for the past three months for the year, this is a low for the vixx. it's just extraordinary that you can have so much volatility. we haven't is even talked about oil. but -- we haven't even talked about oil. all of the indices are up, the vixx is down, it looks like a good way to end the week. liz: we've got so much more, you can't go away. "after the bell" starts right now. ♪ ♪ david: today's market action, ken mahoney, he's here to tell us the number one thing he's telling his clients to buy right now, and mark lieu chinny is here to give us three hot stocks you should buy right now as well. gentlemen, good to see you.
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oh, there we go. we do have scott bauer. he's at the cme. scott, let's start by talking about the vixx. a lot of people say it is too low when you consider all of the problems in the world, problems coming up with earnings, perhaps now is the time to hedge by buying in. of course, you can't buy the vixx, but you can buy vxx. what do you think of that play? >> well, there's no question about it. i mean, you guys know i harp on this all the time. when we've seen the vixx get down to these levels, i always say stay long the market and buy your protection. you've got to do the same thing right now. it is just too low. i'm not saying we're going to get a market correction imminently, but there's so much going on like you just said, you know, in the world. we have earnings coming up right now. why not buy this cheap protection that is at absolute historical lows and just stay long in the market through earnings? there's no reason not to do that. p i mean, i just, i can't harp on that enough, you know? we're asking what do traders
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think of it? traders here think it is absolutely ridiculous, and every person i know of is staying long this market and buying protection because it's just too cheap not to. liz: right. don't fight the tape. >> it's almost -- i know. the tape is saying that we're going higher. it really is, and that's what is, you know, the contrarian belief here is the tape is saying it's going higher. but, you know, it's almost like you went to go get car insurance, and your agent tells you, you know what? we're to going to give you the next nine months for half of what you were paying. liz: why not? >> why wouldn't i? liz: let me jump in here because we're watching a market that grinds higher, that's the term that you're using, mark. as it grinds higher, you wonder about overall earnings, whether they'll be negative, but do you agree with scott that you can't not be in this market at least in some way, shape or form? >> well, i do. and i think the market continues to climb a wall of worry. we know earnings season is not
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going to be particularly good. obviously, we have influences from whether it's the weather or the port strike and, certainly, the strength of the dollar which was up 9% in the first quarter alone are all going to collectively conspire to be a headwind to earnings reports. i think investors are seeing through that, plus they're continuing to ride the wave of liquidity that the fed promises by continuing to defer when that rate hike is likely to happen. so as a consequence, i think you do need to stay long equities. unlike operating with the hedge using the vix, we suggest dividend-paying equities are the better choice to ride through the potential volatility. david: ken mahoney, not only is the vix pretty low, but oil historically speaking. it was up a little bit today, almost 2%, which i say is a little. usually we have these swings of 4, 5 and 6%. it was up. i'm wondering if the oil selloff is over, what do you think? >> i don't think so. any asset class, any sector that sells off violently like that, you generally get a little bounce, maybe a short cover
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rally and go back to retest which we're doing now. if you look at the fundamentals though, supply and demand of oil, we're still calling for lower oil prices. i'd with waiting for a time when with any sector, you know, don't throw the baby out with the bath water. the baby's still hanging out a little bit. [laughter] we still call for lower numbers in oil, and we think we're going to see that in the next couple of weekings. liz: he's stoic when all those people are yelling. what are they yelling about, scott? >> you know what? there actually was a big buy order. traders that have been long today, they're just getting out of some of their positions, maybe flattening out going into the weekend which is a great thing to do given all the earnings coming up next weekend. you never know what can happen over the weekend. liz: and again, we're getting globally a lot of buys whether it's the dax in germany, we're seeing historic highs at the hang seng in hong kong, right? >> yeah. >> one thing we're looking at, too, if you look at your
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timeline, you know, may 12th is coming up. that's when greece is supposed to make that double payment. there's a lot of math around greece, like i said, earnings are coming out, you want to buy volatility. you want to buy vxx, the sister for vix. david: right. there are two votes. mark, you want to make it three? before you say, we are -- i think it's a pretty sure thing we're going into a pretty negative earnings season. given that scenario, don't you think a little vxx would be wise? >> well, that's one way to approach it, david. ours is to take a position in dividend-paying stocks. a company like mcdonald's, for instance, with a 3.5% dividend yield. we were buyers last fall of general electric -- david: by the way, let me just give you kudos for that. did you know that a huge stock buyback was coming down the line? because that, that was probably -- let's put up ge so you can see that 11% gain that ge had today. that's really what led to the
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majority of the gain. >> no doubt about it. we didn't know that. but what we did know was that jeff immelt was working feverishly on his legacy. and one of the things he had promised to do was continue to unwind the amount that finance plays in its role, ge capital in the role of ge, the conglomerate. so that worked on them selling off the finance business, the appliance businesses as well as the real estate portfolio collectively, unlocking the cash to allow for not only this buyback, for them to continue to raise the dividend going forward. we thought that would be enough to have increased sponsorship in the stock, let alone today's announcement. david: congrats, by the way. liz: that's a good one. ken, whats' your best move looking ahead? -- what's your best move looking ahead? >> i'm in love with biotechs, but we have to wait for the pull banks. and the -- pullbacks. biotechs don't get caught up with the stronger dollar, the euro. it's more bottom withs-up, and there's a lot of exciting things happening in the biotechnology
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space due to the human genome studies and so forth. and they're really a farm system to the big pharmaceutical companies that want to buy them in late stages phases. so we really like the biotech. again, you have to be patient, you have to buy the pullback. a couple weeks ago we had a nasty pullback. so we like biotechnology away from the headlines and the dollar strengthening -- liz: away from the screaming at the cme. cafd david i love that sound in the background. liz: great to see all of you, have a great weekend. david: all right. we were just talking about ge's stock getting a huge bump because of its stock buyback, but also because of its huge decision to get out of the banking business. with zero interest rates and a whole book of new banking regulations, the banking business just wasn't worth it for general electric. how many other banks are going to follow? with us now is peter wallison, american enterprise institute fellow and author of "hidden in plain sight," which is all about the banking crisis of about
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seven yearsing ago. how much of ge's decision do you think had to do specifically with the fed's policy decisions of recent years? >> i think it's pretty close to all of ge's decision is based on that for a couple of reasons. first of all, the dodd-frank act which was adopted in 2010 has really suppressed the growth in the economy. and if you look at what the banks are are actually doing -- now, ge is not a bank, ge is a finance capital, ge capital is a finance company -- but the banks have about, oh, $4 trillion in reserves at the fed which they're not using because can't find things to invest in, they can't find loans to make that are actually, as a matter of risk/reward, worth their doing. so they are keeping their money at the fed and earning 25 basis points on that. david: yeah, it saves money -- 25 basis points is not a lot, but at least it's something, and it's a guarantee from the the federal reserve. i'm wondering in your
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description of what's happened to commercial banking, has commercial banking become a money-losing operation? >> i don't think it's necessarily a money-losing operation. lending is not necessarily a good business to be in now. but banks provide an awful lot of other kinds of services to corporations, and those fee-based services are probably going to be profitable over the long term because many other institutions cannot provide it. the nonbank system, the securities system is really what finances corporations in this country, and banks are no long or significant for that, but they do provide a lot of other nonfinancial services to their clients, and they can make money on that. so banking is good, but getting out of the financial business now made a lot of sense for ge. the one thing you may remember that they were december may noted as a systemically important financial institution back in september of 2013.
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that puts them under the control of the fed. they're not going to be able to be very innovative or original in their activities under the control of the fed, so they didn't see any percentage in this, it seems to me. david: well, besides the fed, and i agree with you, that has an enormous amount to do with it. zero interest rates hurt commercial banking in many ways, but there's banking regulations, of course, dodd-frank, and then there's a host of other regulations beyond dodd-frank that the fed is imposing op banks, and there are banking liabilities as well. back in 2014, and it might be just as bad this year, u.s. and european banks paid nearly $65 billion in penalties and fines. that's a 40% increase from 2013. that might be an obstacle to banking as well. >> sure. that is for the banks and for what they did during the financial crisis, allegedly during the financial crisis. but i think in ge's case, they were not really subject to any of those kinds of problems, but
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they were subject to bank-like regulation as a systemically important financial institution, and the management of ge must have said we're not going to be able to make any money in this business if the fed is going to regulate us. david: yeah. finally, a question about where all those companies -- there are a lot of small and mid-sized companies that went to ge capital more loan, sometimes just for payrolls. where do those companies go now for those loans? >> that is a big problem. that is the, i think, one of the problems in our economy right now is that there isn't, there aren't enough good sources of capital for the small companies, for the local companies, for the mid-sized companies. those -- the companies that do not have access to the securities markets because they are not registered with the sec, they are actually having trouble financing themselves. and that's one of the reasons why the economy is as slow as it
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is, i think. david: we may need a whole new system of banking, commercial banking, in order to fit those needs we now have. peter wallison from aei, good to see you. thank you so much. >> thank you. liz: investor appetite for asian stocks in particular soaring with the nikkei hitting a 15-year high and, of course, japan and the hong kong hang seng index gaining the most many three years. should you follow the crowd to asia? david: also the faa singling out one specific airline for what it calls systematic hazards involving internal safety checks. you cannot afford to miss this story, coming up. liz: and wait until you hear this statistic, 52% of americans are not invested in the stock market at all. are they shooting themselves in the foot? we're going to debate it, next. ♪ ♪
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liz: the dow shooting above 18,000 ty for the first time since early march, closing the week up 1.68%. which names led the games, which ones fell short? david: do you know who knows? lauren simonetti down at the nyse. >> hi. and the dow is about ten points away from its high of the session today. this is what led the dow, no surprise here, guys, general
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electric. look at that a, a near 11% gain. very heavy volume for ge shares. also boeing, another industrial, up almost a whole buck today. really was a good day for these stocks, good week as well. let's show you losers this week, but here's the thing, walmart was down about 1% this week. merck, you're looking at today's change. it was, actually, higher for the week which goes to show you even the losers on the dow turned out to be not that much of losers after all, right? [laughter] liz: you bet. lauren, thank you very much. lauren simonetti. >> thank you. david: here's something you don't hear every single day, faas has singled out united continental for what it calls, quote, system systematic hazard, stepping up its oversight of united's internal safety checks including crew member qualification and pilot scheduling. this comes after veteran united pilots also criticized the airline systems months ago. united says it has taken
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corrective action in response to the faa's concerns. the faa says it is still reviewing united's response. liz: coming up with our panel, more than half of americans don't even own stocks, not invested. are they shooting themselves in the foot? we're talking about playing the spring real estate season and this week's triumphs and stumbles. but first, legendary investor byron wean telling us just yesterday right here what abenomics in japan is working for that country. >> the japanese market benefits from low oil prices, it benefits from are a weaker yen. i think the yen will be weaker still, and i think that'll be good for japanese exports, and i think you can make money there. liz: and the proof is in the pudding, or in the moji, whichever. the nikkei breaking 20,000 for the first time in 15 years. so is now the time to load up your plate with the ration-flavored --
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asian-flavored stocks? we bring in our panel, gary b. smith, steve loeb and bob rice of tangent capital. gary, why not? the nikkei breaks 20,000 for the first time, isn't it look out above? >> well, here's my, here's my concern, liz. most people out there, including myself, aren't really experts on the japanese market or the nikkei. my gosh, i'm barely an expert on our market. i think if you don't understand another, a foreign country or another market, at the minimum you should give your money to someone that does or completely stay out of it. liz: or you know, stephen, that abenomics involves keeping rates ridiculously low, making sure the japanese stocks benefit from a weaker currency. isn't that enough to know? >> yes, liz, it is. there's so many reasons why i think ace ya is a very, very good -- asia is a very, very good place to be. i think there's a tremendous
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rotation from west to east in this world, unfortunately. the infrastructure bank in china in which, actually, japan and the u.s. are the only two countries not to join. great britain defied the u.s. for the first time, i think, since the end of the second world war -- liz: that's a reason to invest in asia? >> no -- well, you're seeing massive infrastructure building in asia, in japan in particular. it's a long-term case, infrastructure, trillions of dollars in asia. short term abe wants everything to work. one sign that things are working is a higher japanese market. they have taken quantitative easing to the next level, they're not -- liz: and we know, bob rice, that when our central bank did that, we saw a six-year-long bull market. you in or you out of china and japan? >> i'm out of japan. liz: you've made your money? >> well, no. look, at this point you're looking at an economics minister. their economics minister today said, you know, asset bubbles are kind of a good thing so long as they don't get big.
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[laughter] he really did say that. and the bank of japan is literally printing money to buy stocks. if you want to buy into a state-sponsor ised bubble, a great place. liz: whether it's japan, hong kong or the u.s., listen to this statistic,. >> e men, more than half of americans have no stocks or stock-based investments, no 401(k)s, nothing. make the case for people to get in on the markets or not, stephen loeb. >> it's a tough case. short material, yes, the market's going higher until we have inflation in this country, until you see a spike up in oil. now, for those 52% that don't have stocks, i would probably stay away. liz: why? they're got to man for their requirement. the government's not going to do it. >> they do. but what you have in this world, as i said, you have this massive transfer from west to east. everything is going east. if you want to play it, play it perhaps with precious metals, with commodities, with specialized investments that are
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not part of the s&p, etc. if you do want to play it, buy small cap value funds, small cap growth funds by vanguard. liz: what do you say, bob? money in the market or the mattress? >> you can have your cake and eat it too because a lot of mutual fund companies go both long and short the market. so that allows you to be in on the long side, but it has some built-in shock absorbers on the south side, and that's a really interesting new development and something important for people who are not in the market today to enter, as you were just hearing, a dicey proposition in a safe way. liz: well, over time, i think since 1930, the market has returned anywhere from 9-11%. so some people say you've got to be in to win. all right, gentlemen, thank you. coming up, the housing market's spring selling season showing some promising signs so far. how can you profit? plus, this week's big winners and losers, stay tuned.
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david? david: my favorite. also is a shaky iran nuclear deal about to die at the hand of the ayatollah? if it does, would that be such a bad thing? and their countries are less than 100 miles apart, but they've never come close to meeting face to face until now. what president obama and raul castro's expected rendezvous will mean for the decades-long cuban embargo. that's coming up. and tell us what you think about that, should the u.s. drop the embargo against cuba? send us a message on facebook or tweet us. your answers straight ahead. [ male announcer ] legalzoom has helped start over 1 million businesses.
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or is it more of a multifaceted thing? >> you're talking about the housing area? liz: no, i'm talking about food. yes, housing! [laughter] >> i would stay out of housing. you know, liz, you know the old cliche a recession is when someone else loses your job, depression when you lose your job? i'm in the housing market. i'm trying to sell our house. i can tell you right now i think it is worse than the home builders and the real estate people are saying. i think they're talking their book. i think we're in for another meltdown. i'm trying to get out now while the getting's good. >> i, basically, agree with that gentleman. we have one thing in common. i mean, we may have a lot more in common, but we're both baby boomers, and there are so many out there. they're the house-buying -- or were the house-buying part of the population. they're not going to be buying houses. instead the people buying houses don't have the income that the baby boomers had at the same time -- liz: are you not looking at this chart on the screen?
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the home builders' etf seeing an exponential jump -- >> that's exactly why, liz, i would stay away. if you're going to buy a housing stock, make it nvi. they have a business model that insulated them in 2008, 2009. but otherwise toll brothers, pulte, i would stay away. i'd rather buy a house. i think you're going to buy a house and watch it appreciate. liz: well, hopefully it'll continue this trajectory over at nbr. bob, are you taking a different side? >> the high end homes are doing well, the low end homes, i think, have got some room to rebound. so if i were going to be playing this, i'd look at kb because they have a big chunk of their -- liz: how about the derivative plays like the eagles of the world? >> general racks, i agree with you, i think that's a smart play, yes. liz: yeah. they make the generators, and everybody now is building that into building a house. >> exactly. and you've got to worry about -- liz: gary b.'s just looking at
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me like, liz, i've been there, i have the generator, i have the big house, it's a nightmare. >> thank you. [laughter] liz: okay. a lot of political business and market action this week. time to pick the biggest winners and the biggest losers. stephen loeb, you're up first. >> biggest winners this week, liz, and i think it's very significant, were the industrials. i think you're seeing a turn toward worldwide growth. now, i know i sound like a broken record, but we need it here desperately. asia's going to get it in a big way, and we're not talking about $100 billion market, we're talking trillions of dollars. you're talking about a pick up, i think, in commodity prices and inflation that is just over the horizon. liz: all right, bob, who's your winner? >> i'm a mets' fan, so i want to say matt harvey, but it's general electric pointing the way here. what did they create, $25 billion worth of value? liz: today. >> it's pretty wild. and you're going to continue to
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see these big stock buybacks, you know? obviously, financed by these uber-low interest rates. look what apple did. you're going to continue to see that, and that's an interesting way to think about the market right now. liz: gary b., your win. >> the 20-year treasuries. i'm kind of going against the grain because they didn't crash. everyone says rates are going to go up, and the tlt is hang anything there. i i like it. liz: let me get to my win, anybody who invested in the german dax. did you see this? germany hitting record after record. it's one country in europe that has its act together. two more losers, gary b. smith, who's' your loser this week? >> oil. we're still awarn in it. it's -- awash in it. liz: stephen look? >> oil -- liz: what's your loser? >> retailers. [laughter] somebody had to take the beating. the other side of the industrial growth play were retailers,
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health care to a small extent. liz: you know, steven disagrees because he's written about 39 books on oil. bob, who's your loser? >> the oil patch. the guys who are working in the oil patch because the oil where it counts is falling like a stone. liz: my loser, my los angeles kings. sorry, i had to pull it in. they're not making the stanley cup playoffs, let alone the finals. they won the stanley cup two years out of four, and now the monarchy has fallen. they're not even making it to the playoffs. gentlemen, have a great week. thanks. gary b., stephen loeb and bob rice. david: just one week after reaching a framework for an iran deal, the country's supreme leader blasting the deal calling the u.s. deceptive. we're the deceptive ones. could this actually, though, be a good thing? we'll tell you why. also a tornado bringing chaos to parts of illinois as a large storm system rumbled through a lot of the country. we are live on the ground with the very latest. the future of the market is never clear.
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>> liz: president obama and castro are going to meet this weekend highest level between the two countries and more than half a century so what is on the top of the agenda? joining us live from the white house to vacation
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between the president and castro has continued to a headline the summit but the white house said they spoke by phone on wednesday to discuss wide-ranging topics it with the differences both presidents are attending similar events but the deputy national security advisers said today they will have a more direct interaction tomorrow. q the in u.s. broke off ties in 1961 ever since it went back public they one of the state sponsored terrorism list. they did make their recommendation but president obama has not made a decision rhodes said there will be a very specific guideline. >> does cuba provide support for terrorism? have a engaged in actions to
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provide support for international terrorist organizations. >> the potential does have critics them were born in havana tuesday it is undeserved. >> a country cannot be removed from the list of state sponsors of terrorism continues to pursue the same policies to provide support of international terrorism. as far as a possible time frame the white house did not provide that today. liz: should the u.s. dropped the embargo against cuba? send us of message or tweet me us. david: trash talking the new nuclear deal. >> the other party to a stubborn treacherous and hard to do with and is known
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to be trickery after haggling and stabbing others in the back. david: those are our new allies. could this be a good deal? with it the better if they shot themselves in the foot to kill the deal? >> when the part of this plays to the home crowd that they are not backing down but parted is they are demonstrating with more sophistication than though whitehouse. david: they could overplay their hand. maybe they underestimate congress where democrats oppose the deal as well spirit that is a separate
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issue if it would move for this potential issue whenever it is but as far as the iranian leadership leader has already said they're the end of june of course, we keep talking because as we do they continue their program. david: some people even suggest there is it the opening to though real-world plan because kissinger did the same with china but he chided with george shultz to write the op-ed to say as it is the projected nuclear agreement will reinforce not resolve the challenges in the region. he thinks it is a bad deal. >> it is. and trying to respond to
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secretary kissinger's comments. but from the iranian perspective we're already taking the floor of the break with the sanctions. they are eager to get in there it is easier and easier as the white house will normalize relations for the sanctions to be bypassed. with the idea to somehow keep them at the table at this point is insane because they are winning on these negotiations. david: as the iranians are moving a naval ship into the yemeni coast the saudis put together a big coalition with the turks, many
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egyptians, u.s. e or pakistan to stand up to use saudi arabia. if there is a conflict that the saudis don't like then we could see the strait of hormuz. beckett causes huge economic problems. >> just as they tried to peddle the idea that they also try to peddle the idea with this nuclear issue. to your point with the arab coalition that takes form florida yemen the foreign minister was in islamabad to convince the government not to take part in that coalition. meanwhile we want to talk
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with iran in good faith is nonsense. david: the bottom line is saudi arabia paid for pakistan's nuclear program and it has nukes and they could get them if they wanted jews. >> absolutely to show how complex it is but the saudis have been the enormous contributor providing them with a tremendous amount of aid. but at the same time despite that the iranian leadership could strongarm the pakistan days. david: michael baker think yogh -- thank you very much. liz: ditching the fashion world. with the hefty a fast-food chain with now the billion
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dollar franchise he is on his way opening restaurants -- two restaurants per week. next. david: a devastating scene as a tornado rips through the region. live i'd steer clear. straight talk. multiplied by 13,000 financial advisors it's how edward jones makes sense of investing. when the moment's spontaneous, why pause to take a pill? or stop to find a bathroom? cialis for daily use is approved to treat both erectile dysfunction and the urinary symptoms of bph, like needing to go frequently, day or night. tell your doctor about all your medical conditions and medicines, and ask if your heart is healthy enough for sex. do not take cialis if you take nitrates for chest pain, as it may cause an unsafe drop in blood pressure. do not drink alcohol in excess. side effects may include headache, upset stomach, delayed backache or muscle ache.
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liz:. david: emergency workers going house-to-house after a tornado was up braintrees destroying buildings and illinois. jeff flock is on the scene. >> today they found one additional body with two dead and 11 injured. there is a lot of activity. i am surprised how quickly the communities can start to come back. these are the new light poles or power poles. they just brought those in and getting ready to put those up. but get the pictures of what it looks like cutting across the. this community was ground zero but it took out farm houses over a fairly wide
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area. i talked to the of governor earlier a new the republican elected governor who got press for cutting the budget people want to know if they would have the impact on any type of data of recovery. it is of a tough question budgets need to be cut but there are needs. i will leave you with some still pictures we cannot get you deeper into the damage. every structure in in this town is damaged or destroyed david: congrats getting up to ask that question. liz: have you heard about this company is provides
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fast food that is healthy but also profitable freshy opening in average two locations per week? what is the key to building $1 billion brand? let's ask freshy founder food knew nothing about food? to read the first day we opened was the first day in the restaurant business. liz: how is that possible? >> it is not rocket science. i would not fail due to hard work. i was settees manhattan delis that had fresh food bars with lackluster service if you could pray and the produce like starbucks did the coffee me outside of new york? so that is what i did. liz: now you have 160 locations in 13 countries?
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not just here in the west but canada. austria switzerland swedish and kuwait uae columbia. costa rica. >> is us testament we are a franchise model so we can scale that spirit alive and well as around the world. they are largely millenials. the management team of the oldest person at 33 years old. hiring staff it is a unique dynamic. liz: the bohol doritos $7 why do i choose that over a burger or a shake or fries it is healthier but give me something more. >> is the epidemic around the world that not even in the up primary market was
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less than 50,000 we doing well. and you can get into our business for less than that. liz: though warrior bowl. don't you worry about scaling up too quickly? because that tends to be a mistake. >> i did not go into business life failed my business class is that i continue to be as maniacal about failure i care less about a successor to has failed before us. they fail because they get complacent not constantly innovating. we think of freshii like fashion always on the cutting edge, causally innovating going to the masses. freshii will constantly innovate with the affordable price point. liz: people complained about the government to say it is
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a recession but that is when he launched. >> during a recession where people were madoff and did many cases given severance packages. and freshii was interesting fit. >> we don't disclose what we're not quite there yet. liz: going public might be next. david: combat command writes a book. apple changes things up. will the new strategy pay off? reaction from the apple store next. >> coming up on my show at the top of the al were new questions about the safety of one of the biggest airlines after a scathing
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emerson. starts at 6:30 a.m. - on the (vo) rush hounose.und here but for me, it starts with the opening bell. and the rush i get, lasts way more than an hour. (announcer) at scottrade, we share your passion for trading. that's why we've built powerful technology to alert you to your next opportunity. because at scottrade, our passion is to power yours. . >> preorders for the apple watch kick off today. eager shoppers better be prepared for the wait. shipments are stretching into summer. >> fox business' cheryl casone joining us live from outside the apple store in new york city. are you buying one? >> eventually i think. i might wait for version 2 of
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the smart watch. to see what the version 1 is going to look like and if people like it. we spent all day here today. store never closes by the way. they closed to set up the watches. we got reactions about the watch, and honestly the reaction was mostly positive! >> the watch was amazing. it looked really neat. the wristband felt incredible and it was another one of apple's revolutionary products. the one thing they didn't like is it didn't have games yet. apple if you are listening, add games so they can play with it, too. >> i liked how it ranged from the more sports one to the more expensive one that he could wear with nicer clothes and stuff. >> reporter: here's the challenge now for apple. it's really, they got buzz obviously, if you can't get it you're going to want it more. that's the thinking behind the machine that is apple. at the same time, you have to have an iphone and there's a lot of question marks about the
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size of the screen. some people said i don't like the size of the screen, it's too small. i need something larger. that was a common reaction. that was my reaction. i will say that overall, the launch has been positive for apple. the only question mark is the shipment dates and supplies. fox business this morning, quote, unquote delivery being pushed out, yeah, several months believe it or not. guys. we shall see what happens and if is this good for the bottom line at apple. >> we shall see. cheryl casone. we have been asking if the u.s. should drop the embargo against cuba? spencer says --
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. >> okay irngs we had two people who said yes, is that right, producer? a consensus. "the willis report" is next! >> hello, everybody. i'm gerri willis, and this is "the willis report," the show where consumers are our business. the feds take on united airlines for a series of safety violations. we'll examine how serious these problems are. and if it's safe to fly the friendly skies? tornadoes rip through the midwest. >> take a look at the barn over there. gerri: more severe weather is forecast as the storms move east. also hillary clinton is about to announce her candidacy for president. >> sources say hillary clinton will announce her candidacy for president sunday. most likely via social media. gerri: will he run for the center or wage a far left campaign as some supporters want? we have our eye

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