tv Power Lunch CNBC September 4, 2012 1:00pm-2:00pm EDT
>> i like guy's silver trade and throw in juniper networks. i think it's bottomed. >> why? >> why? fundamentals starting to turn and tacticals. >> see how lucky you are with an extra eight seconds bottom of the show? you get to talk more. "power lunch" begins right now! >> halftime is over. "power lunch" and the second half of the trading day starts right now. >> and welcome, everybody. to what i call the second new year's day every year. there's january 1 and the day after labor day we're all back to work. but not sue. she's out today and will be back tomorrow. summer is over and so is our being above the 1400 mark on the s&p 500. above it -- there it is, below 13,000, flirting with that line all session long. let's talk netflix taking a
beating today after amazon announces a partnership with epics and could give amazon a big leg up in the business. you see the stock down more than 6%. the three things, where do we stand on the markets and the fed and perhaps most critically here. if you've been away, don't worry, i'll be catching you up. simon on europe, steve on the fed and bob on the markets. >> thank you. we hit four year highs the middle of august. since then, it's been tough, the four year high, the middle of august. the trend is to the downside. the biggest pressure is risk on group. material stocks, down the most. 3, 2%, you're looking at a one month chart of materials. this is the classic risk on
trade, global names that would benefit from improvement in the global economy. the risk on trades instead of the dollar, on the weak side and indicating concerns about slower growth is outweighing the lower dolla dollar. >> all right. thank you very much. the fed is up next. what can that mean but steve liesman. steve. >> seems likely the fed will act when it meets next week. three reasons, the data has been fair to midland with 2% growth seen as insufficient to bring down the unemployment rate and fed chair ben bernanke laid the groundwork suggesting quantitative easing could help the recovery and stagnation is a great concern. the open market committee said many voting members saw the need for additional easing
quote-unquote fairly soon. the action would likely be a combination of additional qe and extending the period the fed forecasts it will keep interest rates exceptionally low. >> there's the old saw the fed does not like to act in the immediate precedent to an election, is that not true? >> it has acted before a presidential election and will if it thinks it needs to. >> simon, where do we stand? >> basically, tyler, investors are caught between two forces, the ecb will do what's necessary to hold the euro zone together with the board meeting thursday and on the other hand, the economic situation is clearly deteriorating. spain's unemployment rate rising .8 and although the rise is bad news, the increase is the smallest since 2006. but spain's unemployment rate stands 25%, the highest of the european union basically 1 in 4 workers is without a job.
moody is changing its outlook on the aaa rating to negative warning it may down grade the block if it decides to cut the ratings of the key budget backers of france, uk and netherlands. the president, marion draghi confi confirming to european lawmakers it will end up buying maturities of spanish and italian debt up to three years in duration in the secondary market. that would be a big thing. >> let's talk most particularly what the bankers and policymakers are likely to do. it sounds like both of you are saying these next 10 days are days where there will be action taken. steve. >> if you're addressing that to me, i think it is not necessarily true, because what -- this is where i think there may be disappointments in the market. draghi has said, yes, we will buy your bonds but you need to apply first for a full bailout and conditionality.
we want to be in your capitals telling you what to do and i don't think madrid or rome are ready to do that. >> i wonder if the phrase "the bond buying plan" coming from the ecb thursday is a little overstated. i think they may hold back in part because you have that german court ruling next week. i'm not sure how much we will get, a little more than we had. i don't think they will be ready to roll out the term sheet and be explicit what they will give the market until after that ruling. >> i agree with steve. i can't imagine what mr. gragg hi will say that will satisfy the markets at this point. the financial press brought themselves into a laster over the idea there will be an elaborate program, yield caps and convinced themselves there will be an elaborate program. >> we know that's under discussion and know the ecb said they will come in. the exact mechanism to come in has been leaked out and we know they're talking about it.
i don't know if we will get what we want, like a term sheet, here's the details on thursday. i'm being told they may hold back because of this court ruling. >> how will they do things like yield caps when the primary mandate is to fight inflation. if they have to turn around and raise interest rates, wouldn't that destroy the idea of yield caps? i don't understand how you do that. they can't commit to that kind of thing. >> broadly speaking, most people feel the summer's market performance was better than most people expected heading into it. now, as we turn to the fall and elections and uncertainty in the u.s. about the fiscal matters the country faces, what are people telling you about expectation expectations in the last four months of the year? >> the expectation oh overall community feels is berke-draghi is much in evidence.
ism is below expectations, better than the rest of the world but still contracting at this point. the big question is will any serious consideration trump that? >> that's not correct. it is not contracting, still growing under the ism number. >> the manufacturer and component was as low as 49. >> it's the contracting level for the economy down around 42 or so. >> all right. there we go. we have to leave it there, guys. we appreciate the conversation. simon. >> let's talk about the automotive section. toyota's u.s. sales were revealed today, more than 45%. ford sales more than 12% in august and gm sales up more than 10%, despite gains, clearly problems for the american carmaker, rising inventory and potential loss of market shares. phil is live. >> i think we will see it pick up in market share.
the numbers bigger than expected. let's look at august for the big three, all of these coming in slightly ahead of estimates. you see what the numbers were and the estimate, anywhere from 3 to 4% above the estimate. a couple story lines popping out looking at the showrooms last month. jpmorgan is estimating the august sales rate will come in at 14.5 million vehicles. that's above previous estimates closer to $14 million. ford says it will raise its fourth quarter production by 7% or 50,000 vehicles. one other note, volkswagen, august sales up 62.5%, the best august since 1973. let's look at some other automakers, foreign names, toyota, nissan, hyundai. that hyundai number, only up 4%, they're constrained, making as many vehicles as they can with their capacity limited in the united states. and shares of ford and gm, one
more thing to keep in mind, these stocks might be getting bounce in part because on the conference calls between ford and gm, their pickup sales were improving because of the housing market, a slight recovery there. it's a little early to say a big bounce but there is positive signs of the housing market helping pickup truck sales. >> thank you. now, it is the democrats' turn. delegates are getting settled down in charlotte, north carolina and our chief washington correspondent is in nascar country live. john. >> reporter: this is the week democrats get to answer all the grief they took from republicans last week, largely about the economy. it's a complicated question. paul ryan was on the campaign trail yesterday posing the question ronald reagan posed to jimmy carter very devastatingly effective at that time. here's paul ryan. >> when you take a look at what we're going to hear in charlotte today, the president can say a lot of things, and he will, but
he can't tell you that you're better off. simply put, the jimmy carter years look like the good old days come paired to where we are right now. >> president obama was campaigning in ohio yesterday and he turned that question around. why? because the republican governor, john kasich has been touting a round to in that state. he said, wait a minute. if the republican governor gets a credit, i should, too. >> john kasich stood up there and told everybody that ohio is now number 1 in the midwest in job creation. fourth best in america. which got folks kind of confused. if it's all obama's fault and nothing's going right, what's going on in ohio? >> this is something the president's team considers a hidden advantage in many of the swing states where both sides are fighting it out, the unemployment is lower than nationally and economic growth is higher, guys. >> thank you very much.
as we start the democratic national convention, we will ask you in our poll question for the day, do you think you are better off now than you were four years ago? there are the various answers, yes, things will get better. no, but things will improve. yes, but things will get worse. go and vote. we have a poll from deutchable analyst, the fourth time they switched their risk on-risk off trade regarding oil. here's where the oil board is right now. the call from paul is for wti to go to $72 a barrel. that is a 30% fall from where we are now. the prediction, a 30% fall to the end of next year. paul, welcome to the program. why so bearish. >> i think you have the supply growth seeing here in the u.s. and keep in mind, that's light
sweet crude we're seeing developed here, at the same time falling light swede crude in the u.s. and the big thing is the china story and multiplying effect. not only is europe into china but china into the middle east. >> laboratory elaborate on that? >> it's gdp sensitive, not china. if china begins to slow, the knock john effects in oil could become a self-fulfilling downturn in all prices that exacerbate itself. >> the other thing is that oil prices are accelerating, important to you. >> because you're bouncing off demand and oil prices goes up, demand wanes, because there's no supply growth with u.s. is why there is a change in development of the cycle and why we're changing. >> what does that mean for oil
stocks? >> they're discounting $90 oil and well over $110. brent here is what i'm talking. it doesn't look as bad it might because part is already discounted. a move of the scale we're talking about would clearly be a negative and sensitive to other stocks on the upside. it's difficult to want to own stocks in a bear core and partly discounted in this stocks already. >> good to see you. joining us from deutche bank. >> thank you. another tough day from facebook, after a string of them, the stock hitting an all time low. next up, with one of the biggest analysts covering the dot-coms thinks about facebook right now. before we get there, five big names for a tuesday afternoon, general electric down a little. microsoft, ditto and walmart by 90 cents and home depot and morgan chase down fractionally.
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up a little bit. 1.584 on 10 year note and 2.698 on the 30 year treasury bond. consistent with basically where we've been over the past 6-10 weeks or so. that is your bond report for tuesday, september 4th, simon. >> thank you. importantly facebook shares hitting a new all time low after the biggest underwriters of the ipo cut their prices on the falling stock cutting it to less than half its ipo price since may 18th. here's what noted internet analyst, mark ma hanie had to say about the stock on squawkbox this morning. >> for investors, we're not buyers here. >> where are you a buyer? >> two things -- three things, we want to see lock j-up expirations continue to roll off and re-acceleration in revenue growth and probably need mobile to hit to do that and thirdly, you need something in the
mid-teens really obvious to discount to growth rate. almost every internet ipo over the last 18 months traded off materially into its ipo price into lock-up expiration. what you're seeing isn't that surprising given what's happened to the other stocks. >> of the major media stocks, only linkedin has grown and the othe others, groupon and zynga, down. diana. >> it shows the biggest year-over-year gain in home prices since august of 2006. take a look. core logic taking an 18% jump from one year ago including distress sales. and take out those prices and 4.3% and seeing even bigger annual gains predicted including 4.6% including distressed sales.
it's important to be careful with these comparisons. we have a big piece running on dotcom, and keep the privilege last year was the hangover from the home buyer tax credit of '09 and 2010. prices in july are up 3.8% from 2011. prices in july 2011 had dropped 4% from july 2010 due to the end of the tax credit which temporarily and artificially juiced sales and prices. compare july 2012 to 2009 and home prices are down very slightly down 1%. really, no gains from one of the worst years in housing. add to that mortgage rates are a full percentage rate lower this year than last year, should give buyers far more purchasing power and should have boosted home prices higher than we're seeing now. still on the way up. simon. >> a cautionary note.
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as you probably know for the last few decades, september has been the coolest month. dow down 80 and nasdaq down a third of a percent. and only the russell moving higher. it by a fingernail. time to analyze this and join us this week is scott freeze, the president of one street financial. good to have you with us. >> glad to be here. >> barclays from ibm from underweight to overweight, 240 to 208. they say ibm will continue to outexecute competitors like del and hp and gain shares.
agree or disagree? >> disagree. there are a number of reasons. part of the reason is currency issues are out of control. we still see problems with the euro and u.s. and don't think that cured its problem with ibm. the secondary concern is bichl is 11% of diamond's earthquakes tf. if you do have some macro event where the markets sell off it will impact ibm more than competitors not in so many indices. >> quickly, is hp and dell the computer sect now? they don't make computers now. >> that's a tough sell. if it was 1998. >> take a look at the shares the
past month. they are up better than 25% on gamestop. agreed or disagree? >> undecided, throw a little wrench in there. not against the rationale. it was up 25% this month after being down 25% coming into it. it's flat over a three month period. the whole rationale for the upgrade is more games are coming out and more titles are coming out. for that to really work, why don't you buy the component. they have a licensing agreement with the largest selling game of the holiday season. why not get into activision or eia, electronic arts if that drives revenue for gamestop. >> the best you see is neutral. >> to jpmorgan upgrading tivo to overweig overweight -- from overweight to neutral, and multiple of 2.5 x. how's that for jargon, the stock is trading 29% below the three
year mean. i understand that last part. shares falling 29%. do you agree or disagree? >> i disagree. they are cash strapped. i don't doubt they will win every patent suit that will come out of the woodwork. the problem is tivo is cashed strapped. they have $3 a share on the stock itself. i don't see how they can generate enough revenue with the legal expenses to actually overcome the price target set. all three of these issues, have severe technical issues weighing on them, where they'd have to -- >> so -- i love it when you disagree, scott. two out of three disagrees and one neutral. to brian shactman with a quick market flash. >> real quick, we keep an eye on a wide range of stocks. take a look at yahoo! year end to date, down 8% but a pop of
1.5%. no discernable news of note but notable it's moving. coming up, islands and castles for sale, how greece and italy hope to raise money, how much these things really cost. the metal market is about to close shop for the day and we will hit the floor at nymex after we come back. at usaa, we believe honor is not exclusive to the military, and commitment is not limited to one's military oath.
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gold is riding high into the close, a bit below 1700. jackie has the number. >> gold up about $9 today, hitting 1700, the highest level we have seen in 16 months. we did back off but hold pretty steady from then on. the next level we're watching for, traders telling me to watch for 17.25, depending what we see from draghi and the september 12th and 13th meeting. and the unemployment report could influence what bernanke does with qe-3. and gold prices in euros touched fresh highs, interesting to point out at 2012 we were at
1326.91, just 2% lower than last year's record high. in terms of record levels, silver, a nearly 10% gain in the last two weeks, 3.5% than we've seen in gold, some expecting $35 by the end of the year, copper lower earlier in the session but rebound i rebounding the end of the session. the concern, growth in u.s. and china. and watching platinum and palladium prices are moving in line with the other industrials. >> thank you. significant moves. are those reflective what we're seeing at the nyc? bob? >> the answer is no. she had a very good point. commodities, gold and silver might be doing very well. in the last month, the weaker dollar hasn't been a big help to commodity based stocks one of the problems the market has had. look at your market leadership group. all the big risk off-risk on names are to the down side. energy, technology, industrials,
all to the down side. that's been a problem and been a theme for the last month. today, the market leadership telecom, consumer and utilities, declining to advancing side of stocks, bottom line, that's a very narrow market leadership. sickly calls had a problem the last month. four year highs on s&p about a month ago. there's a chart on the morgan stanley cyclical edadvance and down about 3% since hitting the new highs. weaker dollar is not helping, more concerns about the economy. >> seema on nasdaq. >> all eyes on apple. the september 12th event, a lot of excitement, pointing to the iphone 5, we have to wait, anal up about .8 and netflix better than 6% down after amazon struck the deal with epics giving access to avengers and hunger games. social media stock you were
referring to before under pressure, facebook down about a percent. and a prostate cancer drug getting approved three month in advance, huge move and up better than 5%. josh is with the "financial times." welcome, josh. it won't be easy for the president. how is he going to make his case his economic programs are working? how is he specifically, and his follow democrats, how are they specifically going to answer that question, are you better off than you were four years ago? >> it's a tough, tough question, tyler. my colleagues and i have been looking at this intensely. one of the things the president can do, he can say the scenario under me is going to be better than under mitt romney. we've seen him talk about this time and time again in speeches in virginia, elsewhere leading up to the convention essentially
saying romney will put us back under george bush b policies. i won't do that. he can't necessarily run on his record. the deficit has increased while unemployment has not dropped nearly enough. >> two central questions, are you better off than you were four years ago? is the country heading in a better direction than four years ago? right direction? wrong direction? i guess he can argue, compared with the fall of 2008, the country is in a better directive state than it was at that time. >> in theory, because it's no longer coming out of a boom and bust and all of that. at the same time, there's still a lot of pain. we look at disposable personal income, income after tax and inflation, the only reason why it's gone up under obama is because of those tax cuts set to expire at the end of the year. in order to delivery a
meaningful vision, he has to show how the private sector can grow, not just the public sector. as we know, because of the debt, polit public spending will drop. >> josh from "the fiscal times," thanks for being with us. very interesting story. nation star mortgage, their mortgage servicer of over a million mortgages, they went public in march and more than doubled. today is their lock-up expiration of 70 million shares, up 3.5%. in sharp contrast to another ipo last spring. >> mr. shactman. now another look at a debt crisis in europe, going to reduce their debt and a look at five trophy properties up for sale. >> thanks for having me. the governments in greece hope to save $2 billion from selling off land and properties, not to down play the pain these
countries are going through, the crisis has created true treasures for investors who do have money. we start in italy hoping to unload more than 350 properties. one is the orsini castle in lazio and built by the pope and fell on hard times and used more recently as a security castle, what we call a prison until the 1990s, taking any offers there. and palazzo gualdo, in milan for $38 million. or you can pick up this palace. and greece selling a chunk of mykonos for $160 million. the governor is hoping the buyer will build a luxury resort there. also, a giant slice of beachfront in corfu, mentioned in my favorite book, "odyssey" as the island of the magic ship
and let's hope these sales will provide magic for greece. >> these are owned by greece? >> they are completely owned by the government and can put them up for sale and do what they want. >> these haven't been maintained. when you look at these, you're selling state treasuries and selling history, they haven't been invested in and maintained. the hope is somebody private will buy these, restore them to their former glory. >> let's say i wanted to put a bid in on one of these things, how do i go about doing it, number one and number two, are the governments putting restrictions on who can bid. in other words, does a greek national have to buy the greek properties and italian the italian? >> lots of red tape. very difficult to find out who to contact to sell these things and why we haven't seen any deals and not to mention who owns these properties in greece, doing lease-holds unclear whether you will own part of the island or not.
that's where the rubber hits the road to see if you can do a deal. >> some strings attached? many strings. >> if you're just switching on to cnbc, welcome here to some big headlines this tuesday. mna action kicking off the new month. f valeant pharmaceuticals buying medicis. and smithfield foods, going higher with demand and campbell soup is trading at levels not seen since 2010, the company easily topping profit estimates this tuesday. the invite of the year, mark your cards, apple sending out invitations for a september 12 event. looks like the new iphone 5 will have the latest scoop on that ahead. apple not the only one
trading tools for all. like our all-in-one trade ticket. we put strategies, chains and positions all on one screen. start trading today with optionsxpress by charles schwab. in today's yahoo! finance poll, we asked you as the democratic national conventional begins, do you feel better off financially than you did four years ago. the vast majority of you say, no, you don't feel better and in fact, things are going to get worse. let's see what's coming up on "street signs" with mandy. >> hi, simon. coming up at the top of the hours, are we going to get a september stumble after a
sizzling stumble and we will see the debate live on the democratic national conventi conventional, has hollywood lost the battle to get us out of our living rooms into the movie theaters. and joining us from "street signs," i want to get to brian for a market flash. >> thank you. look at warner wrcx, up sharply. you might say, drugmaker, defensive day, why not? this ireland based company doesn't have a dividend, not a defensive play from that privilege, simon. back to you. >> thank you. it is a big month for tech. get ready for september smartpho smartphone smackdown. apple sending out special invites for september 12th, saying it's almost here. could it mean the iphone 5? look at the reflection on that shadow, a ton of other products being unveiled by amazon, microsoft, motorola and sony.
jon fortt is live. you will be busy. >> reporter: it will be the iphone 5. whether you're an apple fan or not, that's the most important product. unless it completely flops, it will be the top selling smartphone model in the world because they have so few models. this is all about tablets. and they were nice enough to demo them for us. here's what's so crucial to understand. these are like an almost elimination tournament. nokia and google protecting its ad business with moat ra la and the regular season in mobile is about to come to a close and we will see who will make the playoffs. the most interesting battle might well be google versus amazon and the 7 inch tablet throwdown. both of them selling tablets pretty much at cost. amazon had a head start and will
try to stop google nexus 7 from going anywhere. a new 8 inch ipad from apple next month could make it tougher for either of them to do really well. >> lots of new tech toys to go over this fall into the christmas season. my son will want every one of them. thank you. let's talk about mobile devices becoming the new front in the global war against cyb - cyber-crime. eamon javers has the new threat on social media. >> hi. mack has the second cybersecurity report and the details show the threat is going mobile. look at some of the findings in this report. see what i'm talking about. starting with the sophistication of the attacks and targeting specific information. they know the information inside your company they're going for now and just targeting that rather than a broad blanket attack, using social media, twitter and facebook to gather information. that makes that malware e-mail
seem much more realistic than the old-fashioned days of the nigerian scam from fake prints you didn't believe that one and might believe these. mobile devices under attack. android's system is the most targeted. virtually all new mobile malware detected in the second quarter was directed at that android platform. if you have the iphone, you're not off the hook either. clearly the threat is going mobile with these devices. maccafee told me this morning a lot of corporate security is built around the desktop but not as robust as mobile devices and could be the secret back door for hackers. >> you said the evildoers are looking at my twitter feeds and facebook profile to gain information. what are they divining from that? >> mcafee said if you post about your golf outings and list your friends and colleagues from work there, they can craft and e-mail
to you that seems like it's coming from one of those friends you've already listed on your facebook and it will look like it's an e-mail about this week's golf tournament. in reality, it's malweare and they're facting that based on your friends and interests and it really look more realistic to you and you might click on that rather than the old days of nigerian e-mail, almost nobody believed that one, these are harder to sift through and look pretty real. >> they look more innocent than the old ones. for a market flash, we go to bri brian. >> netflix at the bottom of the s&p 500 and tiffany is down sharply 4%. some insiders selling, a director sold half a million shares at 3.75%. groupon down 80% from its ipo
and touching a new low. over to you. >> thank you very much. coming up on the program, hanging up on voice mail. could the rise of texting and other tech trends lead to the ultimate demise of voice mail? plus, the organic food industry is a multi-billion dollar industry? is the actual cost worth it? we're sitting on a bunch of shale gas. there's natural gas under my town. it's a game changer. ♪ it means cleaner, cheaper american-made energy.
welcome back to power line. look at shares of bidu. they introduced a mobile web browser for android devices 20% faster than previous ones, don't yet have one for the apple ios. time for truth and justice. first up, gentlemen, two democrats saying two very different things about the state of the economy. here's what the governor of maryland, martin o'malley, said over the weekend. >> can you honestly say that people are better off today than they were four years ago? >> no. but that's not the question of this election. >> but the governor feeling some heat has since backed off his remark, saying now that our
country is becoming stronger, not weaker. meanwhile, the former u.s. treasury secretary, roger altman says when the current headwinds abate, it is possible the u.s. economy will surprise us all on the upside for the next few years. is he right, john carney? >> i think altman is probably right. he spent the weekend in jackson hole. remember we had that giant conference we made a big deal out of it on cnbc? altman was there this weekend because his god daughter, richard fisher, the vice president's daughter was getting married on his ranch. >> he was polluted by bulls. >> he had all those guys out there talking to him. i think he had a little bit of informed message. >> mr. altman, i have respect for him, implied it may take four years for headwinds to subside and when they do, things might get better. a little worrisome, four years.
>> there are a lot of pluses going on in the economy people aren't really paying attention to. >> there's a new stanford study that finds eating organic foods are on average, mow more nutritious than conventional foods? do you buy organic? does mrs. pisani buy arganic? >> i don't. but i have respect for people to do it. it's more expensive. if it's beneficial health-wise, it's better. the problem we have a huge lo y lobbying constituency growing. it's like global warming, you have to take a political position. >> where i live in brooklyn, we're way beyond organic, we eat locally grown, seasonal food. we like to know a lot about where our food is but not government grown organic, what methods were used and if you're going to pay attention to your food, that's what you do.
>> i prefer high concentrates of chemicals in mind. i look for long chemicals. >> the stanford study said organic fruits and vegetables did have mo pesticide residue. i thought that's why you bought organic? >> it may not be that significant. >> annie's an organic maker is at a new high. >> there is money in it. voice mail messages are down 8% in july and those listening to those messages has dropped by 14%. are you too impatient to leave or pore importantly, would appear, listen to a voice message? >> i haven't listened to a voice mail message in months, hardly any the last couple of years. voice mail is a dead technology. people now want to get text messages and get e-mails. even that is going away. you want people to get through to you quickly, voice mail is really inefficient. >> and e-mail is going down. you know what the e-mail open rate is only 20%, on average
people only open 20%. >> because there's too much copying going on, irrelevant e-mails. >> voice mail is a broken technology. there are services that will convert your voice mails into text messages, google voice does this and that works better? the amount of tweets that go on in the united states will max out two years from now and begin declining. >> what will replace them? >> telepathy, direct vulcan mind mail. you and me together -- >> i walked into that. >> nobody has ever heard of is what will replace it. something new will come along. whenever you have a giant technological problem like too many e-mails, we replace it. >> tyler, back to you. >> i have a concept, speaking to people face to face, that might replace it. i'm a dinosaur. let's talk about hailing a taxi in new york city. you come here for a trip in business or holiday, it's just gotten a lot more expensive. starting today, cab fairs up 17%
or 50 cents for each fifth of a mile. it's the first time fares have gone up since way back in 2005. i think the guys deserve a raise. a one-way ride from jfk international airport, they say, where america greets the world on this receipt, it will now run you about $61. how do we know that? the receipt from one of our "power lunch" producers who was surprised to find out about the rate hike this very morning on her way back from vacation. you should know, though, $61 to mid-town. a heck of a lot cheaper in london, where according to the world taxi meter.com, a one way ride in a licensed black cab from heathrow to the middle of the city will cost about 56 pounds, nearly $90. perhaps the most expensive airport to inner city cab ride in the world is in japan. a one-way fare from nor rita international airport from the heart of tokyo will cost you
$174. 20,000 yen! i don't know whether they tip over there, maybe they do or don't. i figure the tip there is another 30 bucks on that fare. >> maybe the airport is just further away. >> you know, i don't know that. i've been there but never driven from norita into the city. >> next up, we willful up on that organic study and look how it may impact stocks like whole foods. a top analyst tells us what he thinks about the organic sector. don't check out, coming up. [ male announcer ] let's say you need to take care of legal matters. wouldn't it be nice if there was an easier, less-expensive option than using a traditional lawyer? well, legalzoom came up with a better way. we took the best of the old and combined it with modern technology. together you get quality services on your terms,
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the first day of trading in september and you can see it is negligent territory and quite a decent range financially. we were down almost 100 points earlier in the session. a lot to play for and importantly, at the beginning of this program, our own fed watcher, steve liesman did raise the prospect of qe-3 next week stronger than i heard recently. >> he was pretty definitive, really definitive, quite so. what do you expect for equities? >> i think we have a rough road in front of us based on these qe concerns. people are excited we will have