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tv   The Claman Countdown  FOX Business  February 20, 2023 3:00pm-4:00pm EST

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but to work, put in the work that would give you the confidence to are not swept up. having said this, i am a proponent of active investing individuals having a greater say of the things they own and that means being not just your typical ups and downs but for wall street shenanigans ripped off because they have ripped off the public far too long. one area talking about, agree just over evaluations, i say borderline criminal. now much of them are taken private in substantially solid i feel. your member casper, open at 14, 50, of almost $16 and came all the way down at 690, half of the price. good news, it was up from the day before. ashley? >> you are absolutely right.
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no shenanigans on our watch. thank you very much, charles. yes indeed, the markets are today to get for the big week ahead. we are going to get earnings from a slew of companies, walmart, home depot nvidia, tjx, maternal to name just a few. plus major economic data to watch, existing home sales, fo mc, jobless claims and the core pce index. last week the fed was in focus and fears of the central bank raising rates for longer causing other nervousness. stocks were a mixed picture to end a week, s&p 500 representative the two weeks of the crimes in a row. however, since his october lows, s&p 500 has rallied 14%, not too shabby. quite the rebound for major averages but now morgan stanley's mike wilson says investors pushed stocks into the
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death zone. it sounds just as bad and just as fast as it sounds. it refers to an area on the world 14th tallest mountains of mount everest for the auction pressure is not sufficient to sustain life for an extended period. wilson saying investors followed stock prices to dizzying heights again, a place he says investors know they shouldn't go and where they cannot live very long. it is dramatic, is it not? can investors come out of the death zone unscathed or could there be catastrophic consequences? big questions. let's get to the floor, joining us this afternoon our traders, kenny and scott, an all-star team. kenny, let me begin with you. death his own. i said wow, that's dramatic. what say you? >> i'm in your camp, it's a bit dramatic. do i think we could see stocks?
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driving they are ahead of themselves? absolutely considering what we heard last week bpi and potentially what we will hear from the bc. will be as hot as we heard? all of that for the fed's narrative. i think that raising rates until june before they pause, i think the rate could go to summer five and a half to 6%, of the market is expecting that yet which is why we will see some pressure but i don't think we are going down s&p fight 3000 the way he suggested we might. >> scott, we've seen the slow reduction of inflation, it's slow, we are not making the programs we want but we know it's stubborn sticky but what does it mean for the market? is this year -- are we looking through this year 2024? >> inflation and interest rates are going to be on the election november 24, absolutely. we've taken -- eight interest
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rate hikes to knock 2.7% off ppi for 9.126.4. it's not going to cut it so i think the market, we are not in for a soft hard landing, we are in for a long landing. i think we could be in this and which i would call a death zone, not just dramatic selloff in the market but i think we will get through this at some time, ultimately i have a feeling if we are in it for another 18 months the feds will have to do the 2% mandate, maybe rate at 3% or something but ultimately, going forward i feel we are more in the 70s and anything else, if we start to see that rates rise, that will swell stagflation, i'm worried about that and overall generally worried about the market not giving us returns people expect, 14% since october lows. we might go into a dead zone of three or four years for the market yields five, six, eight single digits which gets people is concerning. ashley: should we be that
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surprised? a decade plus of cheap money sloshing around, everyone came to the trough and back then there were those who said we are going to have to pay the piper. that's where we are at. the fact that this could be 18 months of pain, should we be that surprise given how long we went the market out of whack? >> absolutely not. people forget they started stimulating back in 2009. that's 13 years of stimulation. they tried to normalize in the mid teens and in covid hit they were back to zero again but they've been stimulating for 13 years. the balance sheet is out of whack, not even talking about reducing balance sheets away say work so that starts to kick in, i think it will cause the markets to become frustrated and pull back. i'm still not convinced it's going into the mortgage stan lee
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call but i do think we could see where it's turning in place not doing anything and with rates approaching, you can get 5% on six-month and one-year now so if you are nervous about the market, you can shift money and earn 5% guaranteed sleep at night no risk. [laughter] ashley: i wish i could sleep at night but has nothing to do with money, i'm just not a good sleeper. scott. okay, what's wrong with grabbing a treasury getting four or 5%? is a good deal in this environment, isn't it? >> full disclosure we did it half of our families money with my entire family, we've moved some stuff, one year at one half% take that because who knows was coming around the corner, there's a lot of things, we have baggage from 2022 we did not solve and drove over the finish line into 2023.
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look what happened with savings rates plummeting, almost $1 trillion and at the same time the balances are seeing higher interest rates, 15% on average up to 19%. the consumer is about to crack, all these big ceos not just from tech countries but other companies laying people off because they seek was coming around the owner with the metrics they employ. i will have to side with them saying i think -- we've got serious bumps in the road coming up because of all these people that have skin in the game, these big companies are in the bumpy air and that's telling me this is not going to be over anytime soon. ashley: if i have time quickly, one stock pick, what can investors do in this environment? >> i will just go on the agriculture i see everyday, anything agriculture when it comes to fertilizer.
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it's a tech play as well as food plate and put them together, fertilizer. ashley: yeah and it's very quick to you kenny, what you like? >> i think it's going to be lithium play. lithium america i think is probably an interesting bit. ashley: that makes sense to me. as always, great information. the star team, kenny and scott, thank you both for joining us on a day with markets closed and the markets are closed for presidents' day. while that is going on, american eyes have been on ukraine and president joe biden's surprise visit to the war-torn country almost a year now after russia first invaded. the u.s. has been deeply invested in the conflict since it began. 2022, congress approved more than $113 billion worth of aid and military assistance with three fifths going toward ukrainian defense needs.
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the unscheduled trip apparently in the works for months to the final decision to send the president was made friday. white house officials according to war zone visit unprecedented in modern times. edward lawrence lived at the white house afternoon, what kind of message does an unexpected trip like this send to russia? >> this sends a message of support for ukraine and the fact that russia's invasion has not succeeded, president joe biden made the commitment that we will, the u.s. will support ukraine as long as it takes in the president announcing $500 million package for military a aid. the package included artillery, ammunition, and site armor systems and air surveillance radar but no fire just this time as the president visited, you can hear sirens go off and you hear construction behind me at the white house when the two world leaders flopped out of the
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church. u.s. told russia president biden would be on the ground to make sure there was no issues. here was his message while he was there. >> i thought was critical not be any doubt, none whatsoever about ukraine and their war against the brutal attack against russia. >> some security efforts the decision is slow to move because more weapons in ukraine, they are needed as troops on the ukrainian border two years ago, that could have been a deterrent if there are more weapons and ukraine. a year later fighting still slowly increasing the amount of weapons going to ukraine. ashley: it would be more possible if we give in ukraine the weapons they need to take the fight to the finish.
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that's the problem here, we can talk about being with ukraine winning the war but we don't give them what they need, those are empty words. >> the ukrainian president making his pitch to the president, president biden imprisoned that they need more weapons, better evidence to hold off russians worried about in the weather gets warmer for the spring, there's going to be a big push by russia into ukraine again. ashley: i think that someone in the white house looks out the window and as soon as i see edward lawrence getting ready to report they fire up the construction trucks. >> i will tell you this is the end, they are removing construction fence and that's was going on. the end is in sight. ashley: i'll believe it when i see it. well done, carry on regardless. thank you so much. to the moon means a whole different thing to investors of intuitive machines. the public space company working with nasa to put the next owner module on the moon.
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ceo is here next in a foxbusiness exclusive, claman countdown is coming right back. ♪
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that's why we just boosted speeds for over 20 million xfinity customers, on us. so you get more of the speed you need for day and night streaming. more speed you need when you're work from homeing. and more speed you need as your family keeps growing. check in on your current speed through the xfinity app or upgrade to the speed that's right for you today. a bigwig spacex, you must aerospace company invited customers to try it will warm service for $200 a month. as spacex crews repair for a launch to the iss sunday making history sending the first united arab emirate long-duration astronaut to space with two nasa astronauts and one caused north. an interesting trip but the company behind another mission is also making news.
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intuitive machines went public on the nasdaq last week under the ticker lunar, lunar. they have it. months before it's rover set to launch for the moon's south pole. the first of many missions to pave the way to get astronauts back on the moon for the first time since 1972. hard to believe it's been that long. cofounder president and ceo, stephen joins us now. great to see you. you have three nasa missions if i'm correct on the books right now with your lunar landers. one of the capabilities of your machines, let's start there. what can they do? >> look good to be here, thanks for having me today. we have an incredible capability of 2000-kilogram lander, 12 feet high. it can land softly on the moon taking about 130 kilograms of
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scientific payload or engineering payload to the surface. it can deploy rovers, hoppers or micro drones, it can deploy antenna mechanisms and provide the power and data necessary to collect the science about the environment of the moon and sense of interest of the moon and transmit all the way back to earth. ashley: is that the goal, the mission? where do you go from here? >> great question. what we do now is we have our business unit two provide latest access services for scientific discovery payloads. he take the payloads down to the surface to collect critical information about the future of human presence on the moon and how much we inform where the land and what the critical resources are. immediately grow from this smaller class to make class cargo lander which takes one to
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5 tons of metro services. greater instruments of importance to the surface. ashley: the goal is to have america boots back on the moon by 2025, is that feasible do you think? >> i'll tell you it's the first mover in the area trying to get us positioned for that, sustainable human service dozens. we are landing twice this year 2023 on the south part of the moon and we will deploy a hopper and rover and drill for water to determine whether there is water on the surface. this is an area we are going to the south pole region of the moon, incredible scientific interest to the global comm community. having united states returned their first is of strategic importance for the united states so we believe those two missions
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are first steps. we have a third mission in april of 20204 and we will continue and missions moving out delivering science experiments, engineering experience to prepare for the human systems that will be applied on the surface. ashley: i find it in a word, very cool, exciting time. you went public following the year of low ipo activity, he went public lastly, what was behind that decision? >> what we found is we could construct transaction that will fully fund the business plan moving forward profitability. regardless of what the market was doing, we are racing to the moon, a geopolitical space race and important to have reserves on the balance sheet to move ahead with technology investments while executing on missions and preparing for
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landings. ashley: very exciting, congrats for your efforts. two the stars and we will check back to check on the progress. this is literally back to -- thank you very much. income tax season is here and you probably already received your w-2 back from your employer. next, america's accounting, dan will be here to tell us what changes are in place for 2023 and how to get your refund back quickly and i hope fairly plain painlessly. next on the claman countdown. ♪
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guess what, less than two months ago until this year's tax filing deadline which by the way, not april 15 this year. that's because april 15 falls on a saturday and monday the 17th is emancipation day in washington d.c. so taxpayers have until tuesday, april 18 to file their returns. there are other changes taxpayers should be made aware
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of the joining me to help our viewers navigate tax season is america's accounting, all right, dan. favorite subject certainly for you. what the first thing a tax filer should do? obviously there are a million things for the what is the first thing you tell them? >> the first thing i would tell everybody out there is make sure your accountant is still practicing. why do i say that? there is a shortage of accounts, 300,000 plus accounts and there were two years ago so what does it mean? you know if you have a tax preparer so that's the first step. besides that, you need to get all of your information organized because that's key. when you don't have your stuff together properly, you miss something and when you don't have that information, you get a
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love note from the irs saying perhaps you didn't declare your income so that is important to make sure you are ready to have your tax return prepared. ashley: good advice. the most significant role changes from last year people should be aware of? >> there's not a lot of changes but you do have some out there, the tax brackets have changed a little bit. the standard deduction has changed also. the $300 charitable contr contribution, that's gone away this year and the childcare credit is much smaller than it had been so was going to happen is you may not realize when you file your return this year, it's not going to be as large because of a change close to the child
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and dependent tax credit. >> an interesting question, how should taxpayers handle reporting general where there were related to general welfare? disaster relief or inflation reduction act. how should taxpayers handle that? >> you have to look carefully because some things are taxable and some are not so this always goes back, do you think you're getting a refund or are you going to go without knowing these little details you could be in for a surprise and not a good one meaning instead of a refund, now you send money to our friends in washington which nobody wants to do. ashley: they truly don't and we know that. all the people moved and these issues are probably being dealt with in previous filing seasons but people continue to move in that can get tricky because
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depending on where you are, the tax code could be more beneficial to you but your previous state may come after you, right? >> absolutely. high tax states, they don't like to see their people moving to texas and florida, either no tax states or local tax states so you may well end up being audited to make sure you changed your state of residency. if you don't meet all the requirements of the state you left, they are going to pull you back in and say you owe us tax so you need to be careful when you move state to state as to what state you are leaving, what is their schools as far as you owe us money? ashley: when it comes to that they will be merciless to track you down.
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one of the biggest mistakes people make in your experience? >> it's not disclosing all information. for example you have people change their marital status and that could be getting divorced or getting married. they don't disclose that and they don't track all charitable contributions. if you are itemizing your deductions, you want to make sure you get the benefit of the. student loan interest you can get up to $2500 as deduction so don't miss out and moving expenses, you have to be active in the military so if you get moved and meet the requirements than you can get tax deduction for that and we want our military people to make sure they get everything they can. ashley: we do. we covid a lot of ground, great stuff. thank you for your tax tips,
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much appreciated. thank you very much. now this, let's look at the stocks in particular, how about meta- platforms launching a paid subscription service that enables users to verify their accounts. service will cost 11.99 a month for facebook and instagram accounts to sign up from a web browser or 14.99 a month forces assumptions through devices for android and apple ios systems, $15 a month. the service will begin in australia and new zealand this week. the national highway traffic safety administration asked tesla for more information if the driver was killed saturday when the model s car lot into a fire truck parked on the northern california freeway. highway patrol said it's not clear whether the driver was intoxicated or it was operating with automation for driving assistance features. the model s was among nearly
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363,000 vehicles tesla recalled on thursday because of potential flaws in its self driving system. separately, sigma lithium surged post- market friday on a bloomberg report that tesla is talking to potential advisors about the battery metals minor. in the meantime, disney's wasp want media earned 140 million in domestic ticket sales in its opening weekend debut, good according to box office tracker score, third highest grossing february release ever. another disney just to title, avatar, the weight of water and global this weekend will total gross stands at 2.24 billion in ticket sales. 2 billion to breakeven. it's past the 2 billion mark. united airlines making changes to its tools so parents can make sure their children younger than 12 years old have to pay a fee.
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the airline says more adjacent seating options will start appearing right away in the future will be incremented next month. the tool will be available to customers who book heavily restricted basic economies tickets which require passengers to pick seats at a cost. air passengers hoping to avoid recent nightmares looking for alternatives. private jet service wheels up. founder and ceo is here exclusively to tell us why flying private may be easier and cheaper. we'll see, then you think. we are coming right back. ♪
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the holiday weekend more than 6.8 million people traveled according to the tsa.
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we are still waiting on the final presidents' day weekend but when you compare this friday and saturday to those days for masters holiday weekend they were up 14 and a half%, not that. we are here in the foxbusiness exclusive, co of a jet company wheels up, kenny, great to have you with us. we all know the troubles the commercial airlines had, we had terminal closures, southwest meltdown over the holidays, near crashes. has all of that helped push the streets? i would say are traveling more and more. we have technology in our industry that needs grid for everybody. i'm proud of our partnership with the airlines who seems to be operating above and beyond what everybody else does in the commercial space. we've seen great interest in
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private aviation through the pandemic and we are in a great position here client more airports than anybody can getting you closer to where you need to go. ashley: that's a problem with getting pilots, is not an issue for your company? >> i would say the pilot issue industrywide was a challenge. we have partnership with atp and others to make sure pilots are here and happy. i want to say we have the greatest private group in our industry, great spirit, great hospitality and want to take care of our members 35000 feet so we are getting that back in balance. all the industry we deal with, our whole industry has been challenged but the good news is it stabilizing we want all ri right, we got the numbers on the screen, let's get down to the nitty-gritty where people think
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crime flying private jet, they think is money. tell me, how much is your subscription, how does it work? >> we have some tears, core membership on the screen, 17 -- five, connect membership 29.95 and a new global response product is not 95 which gets total medical repatriation in the world including covid positive so we are tearing up the membership and businesses can join 29, 29500 so we have different tears and a program and mission level for everybody. ashley: i know depending on demand it's about 5000 an hour of flying, correct? i don't know how many you can get on say myself and three other friends flew, about $5000 an hour, is that right? >> i was say 350, a baseline we
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started our business on and you can fly overly $5000 and occupied our divided by eight, eight captain chairs in the air so if you look from the spaces you are under $1000, all under 1000 an hour. we go all the way up to the midsized jet, the largest citation fleet in america and gulfstream's global, in the south so we up to the top. ashley: when you put like that, it doesn't seem more attainable for sure but many people are talking about recession, things are going to get tough for a little while this year as the fed raises just rates. does that affect your bottom line? >> we have the most asset like program meaning you don't have to make long-term commitment by a plane or a fraction to be part of the program.
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we are truly on demand and he could be counterintuitive as you get deeper into the year out of aircraft ownership, wheels of is a great spot for people who want 100, 200, $400,000 down for big businesses or to big businesses. you could see fires using wheels up safely without this. ashley: your stock is up about 9% year to date, pretty good. how do you plan to keep that momentum going? >> at the end of the day we outperform what wall street expects to take care of itself and we want to take care of customers and members. if we do that and everything will be right and we have an incredible group of people that are my wheels up partners and i say today's prices are not a
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reflection of who we are. two or three years we can improve out, we built the business up and did over 1,000,000,005 in revenue this year. what wall street is looking for with profitability we are committed to delivering that in a great experience in the sky. ashley: a good place to leave it. ceo of wheels up, thanks for joining us this afternoon. fascinating stuff and best of luck to the future, appreciate it. coming up next, charlie guess karina on quiet quitting, securities and exchange commission. what does it mean for gary gensler's plans to overhaul the esg and trading this year? could question and charlie breaks it down next. ♪
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one giant leap for mankind. wall street's top cop facing an alarming exit of veteran employees and what could be gary gensler's most important year. that doesn't sound good. charlie guess karina joins us. what's going on, do we know? >> we do kind of know. you usually see progressive
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democrats like sec chair on the side of the workers unions, we are not seeing that at the sec. his workload which the number and vastness of his rulemaking which involves esg, crypto, you name it, all over the place. plain old uncovering fraud is the workload is so high that we understand the union and workers are revolting and revolting with their feet, they are walking out of the sec. what's described to us as record numbers, get a load of this, in 2022 the attrition rate rose 6.4% overall and 3.8%, the highest in ten years. this is where it gets interesting and problematic. when you talk about senior officials and senior attorneys, they are part of the union at the sec and everybody but the top, it pointed people start political types not part of the
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union. a lot of people, most people at the sec are but the senior officials, the attrition rate is 20% after a rate of 6.4% in the previous fiscal year. this is getting pretty bad, both republicans and democrats worried about this weather gary gensler can fulfill the basic mission of the fec which is essentially to protect investors from fraud when he's got people running in different directions and people are quitting left and right. also we are getting numbers from the sec union, the sec did not return calls for comment, they are saying hiring is at record level, the attrition rate essentially is exceeding hiring because people, they don't want
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to keep up with it and they are going into private practice and things of that nature, not retiring totally, they are leaving the agency. in the past sec was considered one of the jobs, people stayed for years because it was fascinating work but wasn't a sweatshop. this according to people at the commission we are talking to under gensler, the sec is kind of like a sweatshop they would rather go with the private sector for they have to to billable hours and make more money but it's more boring and put up the garbage at least that's what they tell us. looking for a comment from the sec but they have no comments so far. ashley: does this -- well, i'm getting the sense that it's gensler's management style, extreme workload and i guess the question i have is, does this affect what he can do with regard to the investigations he
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wants to get underway? >> it's got to have something problem about the investigation, it essentially where he's taking the agency in terms of rulemaking. he wants to climate for corporations. he wants a crack down on crypto, he's in a lot of different areas people are saying how can you do this if people leave left and right? republicans and some democrats are going to question it. it's going to come up at the next committee rings, i'll bet on that. how's that? [laughter] ashley: that's quite a bit. okay, they're going into private practice in many cases back to the private world to make distant money, i understand t that. i guess a reputation, isn't he? >> i've met him once and thought is one of the nicest guys in the world. i don't get that impression, i think it's my way or the
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highway, very ambitious. he wants to be treasury secretary, building his resume and things by doing all of this, he's going to get to that next level which is treasury secretary obviously. you know why he's doing that, people rebel with their feet and walking out. these numbers so you know are staggering. i'm getting this from macaques as well as republic and and here's the other thing, if you follow his career he have the same problem at the commodity futures trading commission under a barack obama the reason why there is a union a unit at the sec is because of gary gensler, they felt he was pressuring him and working them to the bone so there was a union developed because of that. there's already a union and by the way the unit covers obviously college educated people, and my dad was a union worker, iron worker but it's a union that covers staff attorneys and officials below
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the appointed executives running the show so it just an odd place for progressive democrat. ashley: it is. charlie gasparino, putting his pinky finger on the line. that is impressive. thank you so much. impressive. fed watching with fomc minutes released on wednesday. core pce index landing on friday that will have markets moving one way or the other. jordan kimmel, value portfolio manager, great to see you, jordan. i looked at your notes, what i'm seeing now the market is in a rip tide so how do you play it? >> you play it with a lot of discipline. ash, great to be with you. you play with a lot of
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discipline. you don't need to react with news bit, every scratch of the nose by the fed. what you really need to do, i focus on high quality, high cash flow and the most trustworthy companies in america and if you, if you lead with the best companies and you really stick with the discipline on how have a way to fellterring through companies, those are the only ones in my portfolio. i don't -- stock market, i'm not a fan, a rah-rah. in fact in the best of times, ash, you know only 1% of public companies can get through my screens. so i think you do it with a diversified, healthy, strong portfolio and, mind your business. ashley: let's look at some of the opportunities you believe in. let's start with health care. tell me about that. amgen is in there, tell me about some of your picks.
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>> the way i do it, ash, this is not emotion. this comes right off my magnet screens which looks at high cash flow, high operating margins an accelerating margins. so amgen, clearly the leader in biotech t actually has been soft. i show it to you here. it is pretty nice to place to pick it up. collegium is a smaller magnet stock. number one of all medical health care companies the way they rank up and merck, again, standard, you know, large cap, dividend payer. again amgen and merck make it also through my fact screens of the most trustworthy companies. that is why i'm sharing them with you. ashley: very good. what about in the tech sector, what do you like there? >> so if you see what i'm showing you in the tech sector, ashley, it is not what everyone else is talking about. it is not the big megacaps, which are overloaded, overowned
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by institutions. these three companies i'm showing you, super micro is the number one ranked of all companies in the industry again. it's a semiconductor manufacturer. you know, amot, applied, it is an amazing little company that makes molders basically going into everything, whether military, auto, semiconductors. what these all have in common is accelerating margins, accelerating revenue and a couple of them, particularly they trade below one price to sales. these are value companies as well as momentum. that's the hallmark of what we call a magnet company. >> i got about 40 seconds. you have to talk quickly, jordan. i want to look at agro tech, scott shellady talked about this earlier. two names you like. >> i saw them on there. it is a really interesting subject. agco, it's a company where you
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realize the big farms don't have thousands and thousands of workers. these things are automated. they are using a.i. they know when to water, know how much to water. these farms have gotten incredibly efficient, agco is the magnet in the group. everyone knows jon deere, they exceeded. cash flow, margin acceleration, exactly what i do with every single stock i own. ashley: jordan kimmel, you did it, thank you so much. great to see you, jordan, thank you very much. >> great to be with you. ashley: thank you, jordan, same here. markets reopen tomorrow. they're going to be back and open, guess what? liz claman will be back with legendary emerging markets investor mark mobius, the murray twins and blackrock's head of i-share investment strategy. don't miss it that will do it for "the claman countdown". "kudlow" -- >> welcome to a special edition of "kudlow" i'

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