Skip to main content

tv   Closing Bell  CNBC  August 19, 2016 3:00pm-5:01pm EDT

3:00 pm
there chased them out. >> did they take the lava lamp? >> somebody threw the ball. don't play ball in the house. >> marcia. >> and the fake boyfriend. >> tim see mow, thank you for joining us. >> it was a good show. >> it was fun. >> tim, thank you for joining us. it was actually good. you were actually good. >> just happy to be here. hi and welcome to the "closing bell," everybody. i'm kelly evans at the new york stock exchange. >> happy friday. >> what's -- what's that? >> stop, stop, stop. it's not that evident. i'll bill griffeth he said moving on. stocks are in the red and well off the lows of the session. the dow off more than 100 points. investors continue digesting some rather hawkish officials. the nasdaq in jeopardy of snapping an eight-week winning streak. so many things to contemplate
3:01 pm
over the next hour. viacom battle may be nearing an end. ousting the ceo. we have the latest on the saga aenlg hearing from a top executive. plus, the latest on the race for the white house. we're going to speak exclusive today to the libertarian party vice presidential nominee, former massachusetts governor bill weld will be here. find out if he thinks gary johnson will keep rising in the polls and therefore attract voter who is don't like either donald trump or hillary clinton. meanwhile, the cdc saying the zika virus spread to a new area of miami. we'll have the latest and what the government is doing to stop the spread in a bit. let's start with the power struggle at viacom. apparently nearing a conclusion. julia boorstin has the latest developments for us right now. julia? >> reporter: hey, bill. sources tell cnbc that viacom ceo and president agreed to end their legal battles.
3:02 pm
with ceo stepping down and coo replacing him as interim ceo through the end of september. this would be a win for sumner and daughter sherri putting her in control of sumner's trust as well as viacom's board naming five new directors. but he is not totally losing. sources tell us he takes home $72 million in severance. that's on top of the $491 million in total compensation he's brought home from his ten years running viacom. that number is particularly stunning considering viacom's underperformance of the s&p 500 as well as of cbs. now, focus is shifting towards who will become viacom's permanent ceo and recombined with cbs a decade after the two companies split and whether cbs ceo moonvis could run the combined company. we're awaiting the official release of via coas well as from
3:03 pm
8k. sources tell me that lawyers are still finalizing the details. back over to you. >> julia, thank you. for more and reaction of the latest happenings, former executive jason hirschhorn joins us on the phone. thank you for joining us. the point you're making, operationally what viacom is doing to change to the environment is the very kind of thing that will keep driving young viewers away. how deep do the problems run at viacom while the management shake-up is happening? >> thanks for having me. i mean, obviously the problems are deep and really are two companies susceptible to the changing media habits of youth no more than disney and viacom. viacom hit more than anyone else. they saw the minutes spent drop by 35% since 2011 and the reality is if you follow the money, follow the engagement and
3:04 pm
kids and youth businesses are going is online and they need to start think how do they use their television business to drive online business? while the ad business is still okay in television, there's a moment that changes and certainly need to be ready for that and they are not at all right now. >> as you probably here, the number two shareholder behind sumner and viacom, he says maybe combine viacom and cbs and put les in charge of the operation. what do you think of that? >> i think there is no better media executive in the space. they're the gold standard. the real issues of viacom were the culture by philippe's reign and leslie is one of the most sort of celebrated and respected executives out there and more importantly people want to work and create for him. i know that there's a lot of dominos to fall to make that happen but he would be a fantastic executive for that. if not leslie, they have to look
3:05 pm
outside the viacom family and look at someone that respects television, understands the changing environment and also has an eye towards where the world is going and that's in the digital space. >> a key part of this, jason, the future of paramount, the studio, you know, while i know you were on the tv side of things, any sense for how important it is for viacom to keep that asset or get rid of it and try to improve what's happening at the core networks? >> listen. when you are in the entertainment business and you have a television and a film studio inside wells fargo up on company, you have leverage licensing. so the idea that if you can license a film that someone wants, you can imagine other television with it, i don't think paramount's over. it has issues. one thing is that, you know, obviously, there's good executives there but jim giannoplis just left fox and might be a gift from god that fell into the red zs tonestone'
3:06 pm
>> if you're an outsider watching viacom, knowing who controls what, would you want to become the next chief executive officer of the company? >> it is a really good question. i mean, when you see these things, what happens is the street gives you two years and then blow you out and the guy beyond that is the person maybe to get the credit for the turnaround. the reality is viacom will take sometime, whoever ceo walks in has to be given the time. i think the street's going to have to be patient and some of the greatest brands ever invented, reinvented themselves every five to six years and someone that understands the importance of culture and i want to state that the next executive cannot be a financial engineer or a lawyer or something like we have seen today. you're going to have to have those support staff and we need someone who's a creative visionary and understands technology and media meeting and people like iger and at disney are sort of great templates to
3:07 pm
work from. >> jason, thank you again for calling, joining us, providing a lot of good sense for when's really going on inside the company, the challenges they face. all right. let's get to the "closing bell" exchange for this friday. joining us, jamie cox, jonathan corpina and rick santelli is checking in from chicago. so, john, this week oil xonted higher, up about 10%. retailers struggled with all that's going on and pretty narrow market overall. what did we learn? where are we going here, do you think? >> the comments you made seem like it's the same comments for the last three weeks. this market continues to trade in a tight range. s&p on the low end. as high as 2190 and yet still went through earnings season. relatively positive and relatively positive economic data. no major headlines that have come out to really spook or help the market either way. it seems like we're in a summer
3:08 pm
doldrum and continue to be there. we're two weeks away from labor day and i think market participation is going to be down over the next two weeks. i think looking forward, investors will continue to look at the economicalen car. we get housing numbers early next week and gdp. investors continue to look for that $50 oil number to see if we get there. >> we have the bond market selling off here. rates backing up and equities, too. is that because of the comments of john williams this morning, another hawkish remark of a fed governor not known for being so? >> i think he wishes it was and he could get the market's attention. now, this is the 15th day, 1-5 day in a row looks to me every single day in august to settle in the 150s. we did get up close to 160 but like many other intraday peaks in 10-year, backing away again. yields closed up on the week but not very much. i think the dollar index is actually a better story. granted this 94 level in the
3:09 pm
dollar index could be support and go back to 2014 and drew a line around 94, 94.50, you would see that most likely it will hold. but i challenge any of you real technicians, put up a 20-year chart. it looks like it's hanging like an an anvil in midair and i'm bearish on the dollar index and even if the fed tightens after the election, even though they're apolitical entity, i think there is a high probability of another quarter point in december. every december, we could have normalized rates in about four years. >> yes. or thereabouts. hey, jamie, with the narrow market we have seen this month and part of last month, do you -- is that the kind of market you stay away from or do you see opportunity in that? >> well, there's lots of things going on under the surface. pay attention to the index, not seeing anything happen. earnings season finally caught up with utilities and telecom. both on the top line and bottom line, most of the companies in the spaces missed so a lot of
3:10 pm
people laughing at us talking about why to sell utilities and telecoms going into the summer see why that's needed. you can't own them because the dividend. that's one thing. also, semiconductors are doing quite well. there's plenty of things to be doing to buy or sell depending on the particular sector gives you but plenty going on besides the index, bill. >> rick, back to your dollar index, you know, we had the 20-year chart up there. are you suggesting that the dollar could fall down quite a bit? if so, is that compatible with rate hikes? it could be, right? we see the opposite with financial panic. the dollar rallies. >> i think right now the compatibility issue as to how everything fits in, whether it's oil, the stock market, the dollar, central bank policy, all of that, i think it's very counterintuitive as to how to move. i would not be surprised to see
3:11 pm
us much, much closer to 90 by the end of the year. wouldn't be shocked at all and much more shocked to be closer to 100 as we sit kind of roughly in the middle of the two areas. one thing i would say, the emerging market activity tells me that some big money is comfortable at the dollar isn't going to be screaming and i think that's one reason that the emerging markets will continue to do better. and a lot of these countries that compose the emerging market sector have started to issue much more debt in their own currency. that may be a great idea and if the fed moved maybe it insulates them a bit. history isn't kind to how their currencies move when androgynous factors seem to come back into the marketplace. >> i was going to ask you when you said 90, the dollar index or oil but maybe that's both if that happens, i don't know. john, what role will oil play getting ready for an opec meeting and anybody's guess to
3:12 pm
freeze production or not here. >> we have watched the volatility in oil and as i said before, as it gets toward the 50 level, a very psychological level for investors, i think investors will be a little confused how the market's going to react and how they should react to this. when you couple it with the uncertainty of the fed and other things there, it will force investors move away from the market in a short period of time. >> all right. folks, thanks, guys v. a good weekend. >> you, too. >> appreciate your thoughts on the market. 45 minutes to go here. a little bit more than that. dow down 45. selling pressure in yourp, too. s&p down about 4. interestingly the transports up. the nasdaq ever so slightly down. facebook muscles into the gaming world. they're teaming up with engine maker unity technologies and we'll discuss how big a threat facebook could become in the gaming space. also ahead, move over, hillary clinton and donald trump. libertarian vice presidential nominee william weld said his
3:13 pm
third party ticket is a force to be reckoned with. can an established bank move like a start-up? it's a question we get from some of our largest banking clients. the face of their business was tellers. then atm's. today it's their mobile app running on the ibm cloud. across every transaction, the hybrid cloud helps their data move quickly and securely. our clients are building out features and pushing updates faster, on five continents. with the ibm cloud, they can move at the speed of any start-up. from the creative galaxy in my idea box.
3:14 pm
would you help me make art? ♪ each one of our journeys ♪ keeps us young hey, i have an idea! ♪ we'll never get older... arty: go be amazing! amazing! announcer: give your cardboard box another life.
3:15 pm
you're here to buy a car. keeping the power lines clear,my job to protect public safety, while also protecting the environment. the natural world is a beautiful thing, the work that we do helps us protect it. public education is definitely a big part of our job, to teach our customers about the best type of trees to plant around the power lines. we want to keep the power on for our customers. we want to keep our community safe. this is our community, this is where we live. we need to make sure that we have a beautiful place for our children to live. together, we're building a better california.
3:16 pm
welcome back. facebook is getting into desktop gaming teaming up unity to develop games on the facebook platform. can facebook crack the top spot in this industry? let's ask mike olson joining us from piper jeffrey. you know, it's funny to think about us talking about desktop gaming. who wants to be in desktop anything these days? >> yeah, it's a good question. i think in general, if you look at facebook's goal here, it is to become more open and connected and i think ultimately that's what gaming's all about. i think the old view of gaming of sitting in the basement and playing games alone is over and now it's about multiplayer games on console or desktop or mobile with candy crush. so i think this new platform for desktop gaming is going to be a big part of that strategy and ultimately we think they're going to have some success in the casual gaming space. whether they have success in hard core games is another whole
3:17 pm
question. >> does it cannibalize gaming platforms or bring kelly evans back to social media and new people to the franchise? >> they have a huge base of gamers already. they have over 600 million gamers on the facebook platform. that's a pretty big number and what that does is it kind of causes all these developers around the world to salivate and say and this is a great opportunity for us to start making new games to be immediately pub lishled to the game platform. i think it results in it doesn't compete with things of ac activision or ea and it does compete with steam of a desktop of valve in seattle. and then ultimately could be positive for some of the mobile gaming publishers of zynga or glue. >> why is that, mike? >> well, if you think about the mobile developers, this, again, is going to give them a whole
3:18 pm
other avenue of a new audience to develop for. if you think about zynga in particular, they wanted the games to be more social and this will give them a new platform to do so and interest any enough, the current ce of zynga and unity games and facebook is partnering for this platform, conveniently worked as ea together previously. >> it's probably, you know, music to facebook's ears to hear they're all on this platform if that's where this goes. thank you for joining us. >> thank you. >> new avenues for shots on goal. great metaphor there. candy crush? farm animals? i mean, any of those? >> i did like sim tower. that was my favorite. i played sim towers or hours. the elevators are very difficult to get right. >> i'll take your word for it. 40 minutes left in the trading session here. the dow down 40 points. down more than 100 and it's come back to start close out the
3:19 pm
week. the s&p down 3. the nasdaq down 3. coming up, the zika virus spreading in miami beach as the centers for disease control give an alert. also coming up, william weld, the libertarian vice president s presidential nominee, former governor of massachusetts, of course. talks about his chances of participating in the debates.
3:20 pm
hey gary, what'd you got here? this bad boy is a mobile trading desk so that i can take my trading platform wherever i go. you know that thinkorswim seamlessly syncs across all your devices, right? oh, so my custom studies will go with me? anywhere you want to go! the market's hot! sync your platform on any device with thinkorswim. only at td ameritrade
3:21 pm
3:22 pm
welcome back. a look at these privately held prisons, shares of corrections group and the yeo owe group regaining some of the lost ground yesterday. up about 9% and 19%. >> regained a lot. >> they were down yesterday. corrections corp. said the contracts is about 7% of the annual revenue. geo group said discussions are ongoing. remember those shares fell sharply yesterday on the news that the government would phase out the use of private prisons. elsewhere, nominee donald trump clearly dominates the headlines with his remarks and the behind the scenes actions of the campaign. and that's been the case again today with trump campaign chairman resigning this morning following a shake-up this week. >> also trying to make headlines, in a different way srks the libertarian ticket. a former republican governor gary johnson and william weld joining us now in an exclusive interview is william weld, former massachusetts governor,
3:23 pm
now the libertarian vice presidential candidate. >> thank you for having me. >> sure. how would you describe, you know, the way the election's played out at this point and how you feel your chances are for november? >> it's feeling closer to show time. we were in miami and vegas last two days, salt lake today. albuquerque tomorrow. we have four rallies in new england next week. i think that we're going to achieve the 15% organically by the beginning second week of september and probably go into the end of september with 20%, 25 points. entering the final month with 25 points i think we would be extremely dangerous to the other two tickets because i think we have a series of winning arguments. >> under the rules for those that don't know, you see 15 points in the polls by the time the first debate comes around in order to be a part of that or at least governor johnson would participate in that.
3:24 pm
who do you appeal to? what's your message? onty trump and anti-clinton or trying to steal votes from one party more than the other? >> well, i'll tell you. my view is i don't know why any republican would vote for donald trump unless they were a party official. the guy is, always has been a new york liberal. you know, if he dominates the news cycles with bad news, okay, that's not really very impressive. i mean, i think he's intelligent guy and very entertaining but president of the united states? i don't think so. i think what so many people are saying actually has the advantage of being true. the temperament and character are real questions here. his business career, which he thinks is strongest asset, all those bankruptcies, all that bullying, i just don't agree. >> some have suggested mike pence as vp would be stronger candidate and some said the same suggestion of your ticket. what do you think about flipping it around? >> no one out west says that.
3:25 pm
my friends in massachusetts and new york who have known me for 25 years say that and i appreciate their generosity but no way. we got the right guy on top of the ticket. gary's a world-class athlete, successful two-term governor. nobody can say we didn't change our states. we both succeeded, democrat governors in blue states and yanked them in a more conservative direction on economic and fiscal policy. and we are small government. by definition libertarians are small government guys and we both were in office. our winning argument potentially winning is that we actually have done what needs to be done in washington now. we did it for two terms each. we were re-elected of huge votes in blue states so if i were a republican, i would vote for the ticket with two elected republicans on it. >> let's take the temperature of the libertarian platform then from an economic standpoint. as far as fiscal policy goes, donald trump wants to cut taxes and hillary clinton wants to
3:26 pm
invest more in infrastructure, actually they both do to some degree. where do you guys stand on that issue? >> you know, i personally think having the government combine take more than 33 cents on a dollar is immoral. and i would work toward that goal. that means cutting layers of bureaucracy in government. not just waste, fraud and abuse, but analyzing all of the bureaucracies in the federal government, personally i've been around government a fair amount and never seen a layer of government i didn't think had 10% of excess in it. not because of waste, fraud and abuse but because of misguided policies. >> there are voters who can get behind what you're saying fiscally and what you're saying even on social issues. what about on defense? you know, we're just now that the u.s. had to scramble fighter jets to protect itself in syria against the bombings that are happening there under assad. there's so much right now that
3:27 pm
people are concerned with outside of our borders and often feels as though the libertarian approach is to say just withdraw. >> oh no. the bed rom principle of libertarians on defense policy and military policy is indefensible defense and supremacy. not just superiority in both air and naval power. the only thing that's a little bit less neo-con of other people is libertarian philosophy, gary's amy philosophy is so keen about regime change because we think it has unintended consequences and we think -- that can be moral as well as economic and we think that happened in iraq and libya and sir why. >> let's put it to you this way. if you win in november, what do you do about syria? >> syria's a mess. honestly i think i would try very hard to work something out with russia and iran because that's the key to the kingdom and it wouldn't be easy with putin. you know?
3:28 pm
he'd play cute. but i don't think boots on -- the american boots on the ground is absolutely not the solution there. >> all right. to trade, we know that both trump and clinton would want to renegotiate nafta and mr. trump wants to get rid of it and he is not enamored with tpp either. when about the libertarians? >> that's just -- it's so unfortunate. we are strongly in favor of free trade. the only ticket in favor of free trade. we strongly support both tpp and nafta. in fact, i helped to negotiate that with president clinton, newt gingrich. and michael wilson in canada. you know, i think donald trump wants to go back to the buggy whip era and have tariffs like smoot howly and plunged the world into the great depression. we doesn't understand that goods aren't made in one country anymore. they're made in five, six, seven
3:29 pm
different countries so you can't regard free trade as being a series of bilateral sum games. >> okay. well -- >> i don't think the analysis is very sophisticated. >> i think it's clear, though, where he's resonated with voters is desire to eliminate the trade agreement that is he says have lost jobs in this country. he wants to bring them back here again and a lot of people for them, you know, especially those who lost their jobs, in certain parts of the middle part of the country, that's why they support donald trump. >> no. i do understand that. and when you have free trade agreements of any scope, you're going to win jobs and lose jobs. we'll win more than we lose with the highest productivity of any worker of any country in the world and i don't deny some low-wage jobs will be lost. the answer is not rip up the agreements. retraining and resettlement programs and focus on the areas that suffered losses and say,
3:30 pm
okay, this is a national cost of something we did that's good for the country and so the nation has to help bear this cost. and focus on those exact workers. not rip up the agreements that make us all as a nation more prosperous in the first place. >> i believe donald trump starting some big advertising today and he's had no problem getting in the news to this point and hillary clinton is very deep pocketed. what about you guys? i mean, now is the critical time to sort of penetrate the consciousness, especially to get the poll numbers up. how will you do that? >> it's changed in the last two, three weeks. we are starting to raise a million dollars a day. i mean, that's bernie sanders levels. and when we do get into debates, i mean, there's saturation coverage of all three tickets from then until november 8th so, you know, i'm understating it when i say i think we will be very competitive and money not even mrs. clinton's money will win this collection.
3:31 pm
if i i had to choose what i'd like in the last month of the campaign, between money, organization and momentum, i take momentum every time. >> so will traders on wall street. love momentum. >> governor, good to see you. thank you for joining us. >> thank you bill, kelly. >> governor bill weld. monday, do not miss john harwood speakeasy with gary johnson. that will air monday at 8:00 a.m. eastern time here on cnbc. time now far news update. let's get to sue herera. >> the pentagon says it scrambled fighter jets after syrian war planes targeted an area used by u.s. military personnel. the pentagon warned the regime to avoid action of u.s. and allied forces. no word on where that incident occurred. u.s. officials now say 96 single families homes have been destroyed in that huge wildfire burning in southern california. more than 200 outbuildings have also burned to the ground.
3:32 pm
the fire is in the fourth day and officials believe they're gaining some ground. it is now 26% contained. the fire has scorched almost 58 square miles. eddie bauer said the point of sales spots in the stores were hacked. the company is offering a free year's worth of identity protection to customers who shopped in stores from january until july. elvis has left the sinkhole. elvis is a miniature horse from kentucky. and his family thought he ran away. he was missing for ten days. until they found him 20 feet down in a sinkhole. the local fire and rescue squad moved in and pulled him out. he will be just fine. too bad he can't say thank you. thank you very much. >> missing for ten days? >> he was missing for ten days. >> holy -- he's okay? >> he is okay. isn't he cute? >> he was -- he was a much larger horse when he fell in.
3:33 pm
>> i think he was. i think he was. but maybe there's a bright side. they could get him out easily because he was thinner. >> wow. >> there comes elvis. >> so small. he's -- >> tiny. >> way to go, elvis. >> yep. thank you. thank you very much. >> thank you, sue. >> you're welcome. >> wait until you see next hour, bill. >> okay. there's a tease for you. >> yep. >> see you later. here's another tease. we're heading to the last most important half hour of the trading session for the week with the dow down 34. a leading trader will tell us what he's watching into the close for this final session. and the zika virus spreading in miami beach with some tourists among those infected. we'll have the latest developments and speak with a tropical disease expert saying the cdc should have done more to prepare for zika. stay tuned. ♪
3:34 pm
3:35 pm
amazing sleep stays with you all day and all night. sleep number beds with sleepiq technology give you the knowledge to adjust for the best sleep ever. the time is now for the biggest sale of the year, where all beds are on sale! save 50% on the labor day limited edition bed.
3:36 pm
know better sleep. only at a sleep number store. welcome back. deere and company rising on a smaller than expected decline in quarterly profits. i guess that's good news. largest agriculture equipment maker also raised its outlook for fiscal year thanks to cost controls so today a gain of 14% for deere and company. kelly? >> that's huge. thank you. i'm on the floor with trader
3:37 pm
matthew cheswelcome. >> i think it's a stock picker's market right now. we see we have the 10-year up. we have utilities down. transports up. all over the map here and not really gaining any traction one particular sector and what we're looking at down here. you have to be aggressive seeing a stock you like otherwise you're patient and probably wait this thing out. >> the fact that deere popped on the session today, does that tell you combined with the fact people looking for areas not fully valued here? >> yeah. they're very aggressive for two or three days and seeing. oil, the fact it slowed up today, the market's taken a breather, we have double expiration tonight and there's some volume and a position you're not sure about, get out of it tonight and re-evaluate approaching labor day. >> we'll let you get out of this position. bill? >> thank you. centers for disease control issued a travel alert for a new area of miami beach because of
3:38 pm
the zika virus. meg tirrell has news for us. not great news. >> no. it was spreading actively wynwood and learned today there's confirmed low call transmission in miami beach of the zika virus by local mosquitos. five cases in miami beach confirmed to have been acquired locally and the cdc issued the second of a historic travel guidance to that area. specifically, for pregnant women saying they shouldn't travel to the area of about 1 1/2 square miles of miami beach and wynw d wynwood. you can check out the travel alerts on the website of cdc. they said pregnant women should consider not going at all to miami-dade county. the whole county. so not just those two places. so, you know, this is alarming news and they say in addition to kind of some issues with miami
3:39 pm
beach, you know, telling people to cover up, use bug spray. people like to wear the swimsuits and miami beach, there's high-rise buildings and continue do the kind of spraying effective in others. >> are they telling all women to get tested for zika? >> pregnant women. if you traveled to that area, pregnant women should talk to their doctors about being tested and back to that point, there may have been active transmission going on. >> all right. meg, thanks. >> thanks. with the zika crisis increasing, several republican congressmen are calling for congress to intervene to pass a zika bill immediately. for more on the new travel alert and the miami-beach area and what can be done, bring in dr. peter hotez. you say the cdc is behind the curve here. so what needs to be done now to catch up? >> well, it's not that they have been behind the curve in terms of public health control. they have done a great job doing what they can with limited
3:40 pm
resources. remember, congress never provide the urgently immediated congressional funds to fight the epidemic effectively. i think my big concern has been back in july when we had that first initial evidence of transmission in miami, remember, we knew this was coming for a long time. we know that miami's vulnerable, new orleans, houston and so at that time back in july i said there's likely that transmission's going on in multiple areas of miami. for that reason, i made the recommendation that if you're pregnant or think you might be pregnant you want to avoid the miami area entirely. and i said that back in july and that was not quite the same as what we were hearing. >> how would you fight this? i mean, trying to get our arms around it is what we're doing right now to figure out the scope of the spread at this point. but how would you try to combat the spread of zika, doctor? >> well, i think we have to parse it out in two places. one, what we should be doing in
3:41 pm
miami and what we should be doing elsewhere. let mess take on elsewhere first of all. remember, there's likely transmission going on in possibly multiple areas on the gulf coast and in south florida where the mosquito is. that's what we have learned about zika over the last year. where you have the aedes egypte mosquito before and crowding and poverty to expect to see zika. so we're not -- what we're not doing because we don't have the funds is active surveillance. that is, actively testing people in major gulf coast cities and in florida to see if there's zika trance fission going on. in terms of miami specifically, where we know it's happening, what we have to do is control the mosquito. unfortunately, that's hard to do. the mosquito is not like other mosquitos. it's highly labor intensive and house to house to house doing spraying in and around the house, removing standing water.
3:42 pm
it's hard slogging. >> so, going back to what you were saying about where this virus could be or these mosquitos could be, implicates a lot of the country. i'm sure hesitation earlier in warning people of miami is knowing the damage to cause economically to the area now that this is, you know, when's happened and the same could be true of much of the southwestern u.s. when's the balance as far as you would go between kind of making sure that people are protecting themselves before we're fully aware of what's happening and making sure that we don't economically harm these areas, doctor? >> so, that's the number of questions. let's take it out in pieces. first of all, in terms of the risk areas, it's not really the entire united states or even the whole southern united states. it's specifically in south florida and gulf coast cities. those are where the mosquitos are at their highest rates and those are the areas of concern. and, you know, back in the
3:43 pm
spring and winter of earlier in this year, a number of us went to congress and said, look, this is not only going to be a huge public health threat and going -- the cities take a huge economic hit so the consequences are very dire. and that's why, you know, admittedly we were shrilled with congress to get the funds released. now we are trying to do this with not just one hand tied behind our back, really both of them an it's -- it's a real struggle. unfortunately, congress decided to go on vacation right at the height of our transmission season. we know historically with transmitted viruses it is august and september. >> doctor, our bio tech reporter meg tirrell is still here. meg? >> i've seen people advocating for a permanent fund so we don't have to go back to congress every time there's a public health emergency and try to get them to act. do you think something like that
3:44 pm
should be created? would it solve the problem and why don't we have something like that already? >> yeah, it's a good question. we could have learned that lesson during the ebola epidemic in 2014. actually, we could have learned it in the anthrax attacks of 2001. 2009 and ebola in 2014. we seem to have a short memory about these things and you're absolutely right. it would be great to have a way to mobilize emergency funds without having to go back to congress, especially now when things are so bipartisan in washington where it looks like congress can't organize a funeral at this point. >> i want to ask you about louisiana. horrible flooding again r. you now saying it could be the fourth whammy for the state and is it possible that the flooded areas become breeding grounds for this mosquito or virus or a different kind -- different kind of circumstances?
3:45 pm
>> well, even before the floods, coastal louisiana, like coastal texas, was already at risk. because we have the mosquito here. we have the crowding and we have the poverty. so, that was already -- we recognize that was already in zika's sites. the initial flooding and rains does wash away some mosquitos and worried about is as the floodwaters recede and then waters fill up with plastic containers, tires, that's what breads the mosquitos. yes, that area will continue to be vulnerable. up until the end of transmission season which goes to the end of september, early october. >> all right. doctor, thank you for your time. appreciate it very much. >> thanks for giving attention to the issue. >> you bet. dr. hotez of baylor university. we have a news alert on president obama speaking of which. >> hi, bill. the white house announcing that president obama will travel to baton rouge, louisiana, to tour the hard flood hit areas in that
3:46 pm
state on tuesday. august 23rd. now, that comes in the wake of donald trump's visit to the area today and republican criticism that the president has not paid enough attention to the hard-hit area. the president also saying here in the statement that the white house just put out he's been given a briefing by dhs secretary jeh johnson on the response and recovery efforts to the severe flooding and brief frgs the fema administrator while on vacation and the issue of the president being on vacation at the time when louisianans are dealing with such a natural disaster is a problem for democrats. democrats in the state have encouraged the president to come visit. the president's team says he's mindful, though, of the disruption that presidential level travel creates and they have coordinated and prepared for the president to go down there on tuesday, guys. >> fly over it in helicopter as we saw down the bad flooding in
3:47 pm
south america. thank you. >> thanks. >> after we spoke to that doctor, he indicated another -- so important is the floodwaters recede down there to make sure they're not turning into breeding grounds of spreading zika when people are extremely vulnerable. >> we're worried about the impact of rio. people coming back. i think that has a bigger impact right there. don't you? let's take a break. we have 13 minutes left in the trading session with the dow down 41. as olympic scandals go, the ryan lochte story might be the most bizarre. what it could cost him in sponsorship and prestige. stay with us.
3:48 pm
3:49 pm
3:50 pm
pebble beach concourse delagonce viewed as the premier automobile and the auction part of that event is an eye opener for automobile lovers and our robert frank can attest to that. he joins us from the garden of eden of golf pebble beach. robert? >> reporter: bill, that was perfect pronunciation. >> thank you. >> reporter: we'll talk about the shelby cobra, revolutionized american racing, saved it in the 1960s. this cobra is a 1965.
3:51 pm
could sell for a million dollars. the first ever made is going up for auction tonight. could become the most expensive american car ever auctioned topping $15 million. now, this car made carroll shelby, a texas chicken farmer, turned him into the father of american racing. this car, the first-ever made in very original condition. check it out. >> those imperfections and those individual aspects of it are what make it so special. it's got so much character. >> reporter: yeah. lots of character. now, the current record for the most expensive american car sold at auction is $11 million for a ford and carroll shelby created an ena true legend in american racing creating a lot of wealth for the owners of these cars. back over to you. >> i'm impressed they let you sit in it, robert. >> there's a guard nearby. >> reporter: it's comfortable.
3:52 pm
very comfortable. >> very good, robert. thank you very much. pebble beach. fun fact, my brother-in-law built a shelby cobra from a kit. >> what? >> they have them available in massachusetts. >> from a kit? you buy it at a home depot? >> no. a company that makes the kits -- >> that's impressive. >> you see more about the auction there. on the full screen. we'll take a break with the dow down 40 points. up next, david darst and the ok okay no anymore of the week. acronoka
3:53 pm
this car is traveling over 200 miles per hour. to win, every millisecond matters. both on the track and thousands of miles away. with the help of at&t, red bull racing can share critical information about every inch of the car from virtually anywhere. brakes are getting warm. confirmed, daniel you need to cool your brakes. understood, brake bias back 2 clicks. giving them the agility to have speed & precision. because no one knows & like at&t. enepeople want power.hallenge. and power plants account for more than a third of energy-related carbon emissions. the challenge is to capture the emissions before they're released into the atmosphere. exxonmobil is a leader in carbon capture. our team is working to make this technology better, more affordable so it can reduce emissions around the world. that's what we're working on right now. ♪
3:54 pm
energy lives here.
3:55 pm
mistier sli we are late. >> i'm very short and quick. forum. we have the fed in jackson hole next week and yellen giving a speech a week from to. people are looking for some indication, "o," oil up 20% from the august lows and helped the "r" resilience of profits and the fact that the dollar is weak, down 3% a couple of weeks ago. >> right. >> the "u" is unemployment claims. they have been below 300,000 for
3:56 pm
76 weeks now. indicating a little bit of tightness and fed, new york fed chair bill dudley says mid-income jobs created and the "m" is everybody should keep their eye on the libor change, there's some regulations, some technical things. $300 trillion of instruments are connected to libor and you don't want this thing to get out of whack and cause meltdown. keep your eye on it and what they do about that. with that, that's it! >> thank you so much. >> you're almost too good at that. >> have a lovely week. we'll come back right after this. thank you randall. every stitch and seam of your home insurance, tailored to fit you and your budget. with unique features, like claim free rewards... ohh! customized home protection extra features all at an affordable price! i'm going to live in this. in means getting more from your home insurance
3:57 pm
with an expert allstate agent. it's good to be in, good hands.
3:58 pm
3:59 pm
welcome back. heading to the close. courtney reagan with me. the three major averages, started the week all-time high territory and close there. i mean, look at this. after that mild selloff into midweek, finishing the week virtually neutral. the nasdaq looks like it will settle with the eighth consecutive week of gains here, courtney. >> despite big gains of retailers in particular, the sports retailers. foot locker up 12% for the week. nike and underarmour up. in the spirit of the olympic games, things are higher and earnings news, too. back to school plans with basketball shoes, for instance. that's the pops and the week is unchanged. >> narrowness of the market
4:00 pm
continued. see if that continues next week. >> volatility in retail. >> yeah. you can always find it somewhere. >> you can find it. >> thanks, courtney. >> thank you. >> going out with a decline of 45 on the dow. wwe superstars ringing the closing bell here at the big board. american airlines on aviation day at the nasdaq. stay tuned now for the second hour of the "closing bell" with kelly evans and company. have a good week, kelly. not going to mess with those guys. welcome to the "closing bell," everybody. i'm kelly evans. on wall street, the dow down 47. s&p down about 3. nasdaq nearly getting into positive territory, closed down about 2 points there. interesting to see the way the stocks fin initialled today. this morning, federal reserve president john williams making remarks, again, a hawkish nature talking about rate hikes and fed into what we're seeing here and an increase in interest rates to
4:01 pm
discuss in a bit. the battle of control at viacom may be over. sumner redstone reportedly getting replacing ceo dumond. we'll discuss in a bit. joining the panel, mike santoli. along with cnbc contributor evan newmark. welcome. for more, larry mcdonald and trader david seeberg joining us to kick things off here. mike, and how much do you think this is about the fed speak today? >> well, the fed speak is in most different directions. i don't really think it was tremendous because everyone really does realize in a week janet yellen will kind of tip the scales one way or the other in terms of which data points to emphasize. on a weekly basis, we lost one third of a point on the s&p 500. it couldn't have been more flat or neutral. within it, a lot of action. energy and materials up big.
4:02 pm
telecom, utilities down substantially. semiconductors at a new 16-week high. they want to have a move in the stock market but the bond market is stock steady. every single day for last two weeks, 10-year treasury yields close in the 1.5s. >> what do you think is going on, evan? >> summertime. market seems like it's marking time here. doesn't seem -- i don't expect much to come out of janet yellen next week, either. i think you won't see much activity. i mean, you never know what can happen. but it will probably be pretty quiet until september rolls around. because as mike said, the action is really happening in the bond market or rather not happening in the bond market. and when's going on with stocks is really a function of the bond market and the dollar and i think until that dynamic changes, you won't see much going on. >> i know it's august and we have had a lot of extreme events in the many augusts we have had and that's when things kind of
4:03 pm
started to hit the skids in '07 and greek debt crisis and then that flash crash. >> if something happens it's the function of the bond market and maybe not the u.s. bond market. japanese or european bond market. my gut feel is something bad or cataclysmic happens overseas before here. >> and what's happening with the yen and when's separate of that, portugal percolating in the headlines. describe the risks you see here. >> well, it's the biggest risk is the loss of credibility for investment bankers. if you look at the fed, we get a fed funds rate at 0.4%, effective fed funds rate, we are created close to 450,000 jobs to last 2 last months. janet yellen will try to defend the economy. and that potentially puts stress on the dollar. but at the end of the day, why
4:04 pm
haven't they hiked rates with 480,000 jobs that then you get to a loss of credibility and some point the market pushes them back because of that loss of credibility. >> what about portugal? what about japan? if we were just to get specific for a moment on things outside of our borders, is that where you would see potentially problems and angela merkel in italy this weekend. you know, again reminding us of some of the difficulties with the banks there. >> portuguese bonds have sold off the last two days. one of the problems is they need an investment grade. they need a ratings standard for the ecb to be able to buy their bonds and because of the socialist and some of the stances politically in portugal, there's a chance that they have a downgrade and then the ecb can't buy the paper and then you go back to a periphery. in other words, the southern countries in europe potentially showing credit stress and that leaks back over to the united states. >> what about japan, larry?
4:05 pm
i mean, it is really interesting to see how strong the yen has become against the dollar in a short period of time. remember i think the beginning of the year it was 1.20 and now flirting around the 100 mark. already that's hitting a lot of their big manufacturers. but could it hit markets more broadly? >> in january, kelly, wall street told us the average estimate for the yen for the year was 123. like you said, the yen/dollar is now 100. and the street's been carted out here. everybody's taken out of the trade. we want to be short the yen. long dollar/yen. and i think japanese equities here have a good chance of outperforming. u.s. equities. only 23% of the yap nees equities are above the 200-day moving average. at the end of the day, you have a good chance of bank of japan to finally do something to weaken that yen because you're right. it is causing a tremendous amount of economic stress on the
4:06 pm
country. >> is that the point you're making, evan? of course it's possible something happens and brings risk back to this market an you don't see anything that's necessarily trouble? some? >> it's most pronounced in japan and what you see going on in japan is basically it's a demographic problem, it's a structural problem. there's no real reason why the japanese yen should be so strong. it's very heavily indebted country but japan is kind of dead in the water. deflationary economy. the thinking of a lot of people, not just myself, is the governments around the world will start spending money. >> right. >> and you will see that. i don't know what will happen when that happens. you could seely see a new administration coming in washington and going, wait a second. people basically willing to end us money over 10 years. why shouldn't we deficit spend trillions of dollars?
4:07 pm
you can't see the result today. >> i think in the "journal" in an op-ed and arguing that people need to seriously consider issuing 50-year paper. >> i think the market attempting to try to front run that a little bit. i mean, you are seeing the kind of cyclical reinflation-type trades out there. whether it happens or not, i don't know. there's a sort of turning of tide of opinion saying fiscal stimulus is kind of a next step. whether it happens or not. so i do think that's where the talk is going. i don't know if the ax is going to fall. i was going to say, i'm confused by the idea that central bankers have both lost credibility and markets only kept afloat because central bankers are controlling everything. that doesn't make sense. >> one of the two things has to give. >> i think so. i think you can square -- square the circle on that one? >> if you want to do that, sure. >> i think you can basically arguing they're controlling the market. so in effect they are the market right now. so the ecb buying corporate
4:08 pm
bonds is basically they are controlling the market. it doesn't matter necessarily what investors think is right or wrong as long as there's a buyer, a seller of paper. the market is going to respond to that. so there can be no credit blbil but buying up the stuff, investors don't care. >> let's move on to retail. maybe more comfortable abe retail names reporting this week. foot locker and the buckle two bright spots, both rose today after second quarter earnings. let's get more of stacy widlit on the week that was. >> you only have to look at retail. that's where all the action is while everybody's at the beach here. i mean, these retail stocks are moving on average 10% to 20% and if i had to title this retail earnings season i call it trading places. all of the out of favor names, macy's, nordstrom, rallied on
4:09 pm
less bad, not saying good, just less bad. but the good news was inventories across the board, whether you're looking at today's foot locker or you're looking atwal mart or you're looking at kohl's or nordstrom, inventories are incredibly healthy heading into holiday season and that sent these stocks much higher. >> i mean, it's been a couple of quarters and the narrative of retail in general so negative. maybe except for the guys of home depot. when's happening now? >> i think stabilization generally and as stacy said, the inventories have gotten more rational. the top lines are not really growing that fast. even if you look at the companies that have kind of outperformed expectations, it is not necessarily as if they have great momentum on the top line. it's just things are less worse. also, there's individual stories within retail that make a lot of sense home improvement or the lower end consumer doing okay. those things make some sense to
4:10 pm
me. and then you have, for example, restoration hardware up more than 10% on an upgrade and a stock of 25% short interest on a summer friday, an upgrade and flies 10%, maybe the holiday season will be better. >> exactly. >> weird. i'm not trying to talk stacy's sector down. it's a weird sector because you have these tremendous secular forces that are basically destroying the entire sector. a few winners. but, you know, investors still like to play in these things. it's a weird thing. i won't say it's like home builders but you have huge forces going on with the likes of walmart and amazon and so what happens when the restoration hardware or a children's place in the scheme things? small and mid cap stocks as best. >> interesting about retail people will often start there looking at names because you can do channel checks, higher a satellite to check parking in
4:11 pm
the lot. there have been a lot of challenges here, so are we getting a sense that people are -- the ones that are winning are kind of working through those and embracing new hybrid online, you know, real estate future? >> what's really interesting is the winners, the long-term winners like a tjx, they reported really good numbers but the thing is the stock's fizzled because they've been in favor for so long and the ones that are out of favor with huge short interests are the ones reacting positively here. we have seen the transition to online which comes with a lower operating margin and i would also argue that a lot of these retailers really including macy's talking about omnichannel all the time in a lot of cases aren't really omnichannel. you know, a great example is bloomingdale's right now is doing free shipping over $150 online. if you go to the store and want your stuff shipped to your house, they charge you so to me, that's not really omnichannel and that annoys the consumer and
4:12 pm
things to be fixed heading into holiday. >> which is in a way an optimistic note if they can get it right. larry, quick last word before you go. hit on a number of risks but where do you think the best opportunities are in the market right now? >> i think the small banks heading toward next year, you could get a steepening of the yield curve and the small banks with the trump presidency or hillary presidency, a good chance especially with a trump presidency you have a very good chance of a small banks finally getting a better seat at the table. but that steeper yield curve helps the small banks versus the big banks and dramatically underperformed big banks and the small banks, nibble in here and you get a better buying opportunity and i think small banks over the big banks over 12 months. >> thank you, larry, for joining us. stacy, thank you so much, as well. >> happy friday. >> indeed. the battle of control of viacom taking a turn today. sumner redstone reportedly near
4:13 pm
a deal to oust the ceo. what the possible settlement could mean for the country. another prominent republican turning the back on donald trump and voting for rival hillary clinton. former treasurer who served under george w. bush explains why she is crossing the political aisle. that's coming up. what do you got to offer us today? ♪balance transfer that's my game♪ bank you never heard of, that's my name♪ haa! thank you. uh, next. watch me make your interest rate... disappear.
4:14 pm
there's gotta be a better way to find the right card. whatever kind you're searching for, creditcards.com lets you compare hundreds of cards to find the one that's right for you. just search, compare, and apply at creditcards.com. ♪a one, a two, a three percent cash back♪
4:15 pm
4:16 pm
welcome back. we have a news ate le s alert o. sue? >> according to "new york times," lyft has had talks with several companies in an effort to sell itself to those companies. it has not, however, found a buyer according to "the new york times." the company which as you know is based in san francisco apparently according to "the times" held talks or approaches to sell itself to companies including general motors and we had heard about that last week. apple, google, amazon, uber and didi according to a dozen people interviewed by "the new york times." those are unnamed sources, however. you might recall that last week general motors told lyft it was interested in acquiring the company. according to people that phil lebeau talked to. after soliciting acquirers and
4:17 pm
then lyft according to those reports last week rebuffed gm. that is little different take on a story that actually began last week. kelly, "the times" saying that lyft approached a number of companies, including general motors. so it's interesting to see how this all settles out. back to you. >> sue, thank you. this is percolating for a while. why is nobody buying lyft? >> the valuation. i mean, the last valuation based on a final sound is $5.5 billion. for gm that's a big bite. still a consumer of capital. right? not really a sure thing there's room enough for two big companies like this. same market. they're struggling to find drivers at attractive rates. >> does uber need to buy it? does it make sense of -- >> the funny thing is nobody can say today what the profit margin of these businesses is going to be five or ten years out. everybody's guessing. people putting money in at uber
4:18 pm
at $60 plus billion. it's a guess. >> they want it to happen. >> we don't want to take that bet what it looks like. >> what is uber doing? testing autonomous vehicles in pittsburgh. they're on to the next step and filter into the current business model. >> i don't think it ends well for anybody. you know who's the winner? consumer will be the winner. 100%. >> i don't mind that story either. >> 100% sure. let's get to the viacom saga continuing with sources telling cnbc that mogul sumner redstone and philippe dauman will end the legal battle. what would settlement mean for the future of the giant? joining the conversation is two guests. matt, what do you think is next for viacom here? >> well, i think they're making progress in a number of areas on the ratings. refreshing the content. doing more short form programming, programming apropos
4:19 pm
for mobile and nice advanced advertising. i think the worst of the crisis is past. i think the writing's on the wall that dauman would have to move on. i do think that we can get some stability here and reasonably short order. >> jeffrey, if we get that stability, the business as we discussed last hour has the challenges. notably retaining the audience, appealing to the next general. how do they do that? >> well, the entry is always reinventing itself. certainly, viacom at that point of the vie yative cycle themselves. new leadership will probably help that. new priorities within their cable network divisions and even the studio is going to be helpful. maybe a long process. not months or quarters but a year or two. but certainly, they have the resources to go after the creative side of the business and the strategic side of the
4:20 pm
businesses to make this a more profitable enterprise. >> matt, it's evan. i have a question for you. why is it that investors seem willing to put up with basically a lot of let's call it pay for no performance at viacom and at cbs? meaning, people like dauman were being paid and i think it goes for les moonves in the tens of millions of dollars year after year and then they get in a fight of redstone and paid off another $70 plus million. why are they willing to put up with this when in other industries they wouldn't? >> well, i think people haven't and i think that's one reason why philippe is forced out. they had too much of a private equity mentality. they thought the motes were bigger and aggressive share buybacks of numbers not economic right now to say the least and i think they took their eye off
4:21 pm
the ball in the creative business. you can't do that. 15 or 20 years ago, a shelf space, you could do that. but now with netflix, so many things happening on the social media side, younger audiences, just impossible to do that. i think they have done -- gone ways to rectify the situation and will get fixed. i think it was a good dose of reality and working towards that. >> jeffrey, with regard to the idea of selling a minority stake in the pa ro mount studios right now, less likely given the settlement or not, what are the merits of of that? to me, i don't understand necessarily why a company wants to buy a minority interest in a hollywood studio but giving $2 billion to viacom for that 49% stake, let's say, and they presumably buy a lot of stock srks that something that skri yeah come should pursue? >> i think paramount is not particularly strong financially the last year or two. so you could pick a valuation
4:22 pm
today, whether that 49% interest is worth $2 billion or $3 billion or $4 billion, whatever the number was and probably isn't anymore i don't think that the redstone family really has an interest in selling a minority stake. i think there is a bigger plan here for viacom in total. i'm not sure any of us really know what that long plan is, whether it's back with cbs or something else. >> right. >> but, you know, i think for paramount or selling part of the studio it's a little mysterious and most of their big feature films like let's take this summer in "teenage ninja mutant turtles" you had big foreign financial partners in the movies to take profits, should there be some. and then to sell part of the studio just seems like you're almost taking a double dip on what with a pa ra mount's value or what paramount could contribute when the success quotient improves at the studio.
4:23 pm
i'm skeptical of a sale or could have been a sale, whether philippe stayed around longer. >> thank you for joining us. >> thank you. >> that's the latest. >> kelly, i can't -- viacom, $17 billion equity market cap. philippe dauman took $5 million out as compensation. >> people look at that and shake their heads. we have a news alert on insurance giant travelers. seema mody has the details. >> thank you so much. we're just learning that jay fishman executive chairman of the board and the former ceo of the company has passed away and the press release it says he was an inspirational leader and built a team that's blishled travelers as a clear leader. jay will be missed by the entire travelers family. again, travelers mourning the loss of jay fishman, the executive chairman of the board and former ceo. he was 63 years old. >> that's so sad. >> yeah. he had stepped down when he
4:24 pm
got -- when the als worsened. very well respected in the industry and considered to be kind of a premature loss of an executive that booked a lot of value there. >> his success so, very good guy. >> same for jay, too. again, one of the best known names in the whole insurance industry. jay fishman, the travelers companies executive chairman has passed away. coming up, u.s. olympic swimmer lochte's latest bad behavior in rio. will that help him save the sponsorships? we'll hear from a top sports attorney and heading live to las vegas and jane wells is speaking to ufc champion connor mcgregor ahead of his revenge match this weekend. find out how much money is at stake on the "closing bell." there's a lot of places you never want to see "$7.95." [ beep ] but you'll be glad to see it here. fidelity -- where smarter investors will always be.
4:25 pm
if only the signs were as obvious when you trade. fidelity's active trader pro can help you find smarter entry and exit points and can help protect your potential profits. fidelity -- where smarter investors will always be.
4:26 pm
4:27 pm
welcome back. u.s. olympic swimmer ryan lochte apologizing for his bad behavior in an incident at a gas station in rio de janeiro last weekend. andrew ross sorkin is in rio with the latest. andrew? >> reporter: thanks. thanks, kelly. that apology came in the form of an instagram post. issuing a statement on that social media platform but already the apology is not receiving the reaction he may have hoped for. all over instagram and twitter
4:28 pm
users calling the apology a non-apology, specifically pointing to some language in the statement seemed to excuse the behavior he was apologizing for. lochte wrote, the following, it is traumatic to be out late with your friends in a foreign country with the language barrier and have a stranger point a gun at you and demand money to let you leave. a spokesman for the ioc said 8 million people were on twitter complaining and he said it's clear the population felt humiliated. the ioc spokesman said, i think the brazilian population will accept his apology and we want to put this matter to an end. as for the other swimmers involved this saga, gun mar bentz and jack colgan have returned and the other will pay $10,000 to a brazilian charity and unclear how it impacts
4:29 pm
sponsorship for lochte. he came with three sponsors. much less than going into the london games four years ago. experts we spoke with believe that number could get even smaller. we should also note that his lawyer saying to "usa today" this afternoon, this is ryan lochte's lawyer saying he was always telling the truth and complicated stuff here. we are trying to end on an up note and put this saga behind us with amazing sports and competition to take place tonight and over the weekend before the closing ceremonies on sunday, kelly. >> i'm excited for the triathlon. >> i love andrew's use of quite complicated. nice one, andrew. >> thank you. andrew ross sorkin on the ground for us in rio. we have richard roth here. the question for us and thank you for joining us down here is really what happens to ryan lochte's career now because people are asking about the
4:30 pm
sponsorship and there's no such thing as bad publicity. >> that's one of these times. ralph lauren, and speedo and air weave. they won't leave him. might be the best thing that ever happened to him. he was stupid, a bozo, a college type of act and drunk and bad things and should come out. apology as andrew said is not enough. he has to say, you know what? i made a mistake. i was nervous. i did something wrong and getting more sponsors. >> by the way -- >> the bad boy image. >> esquire reairing -- he had a show there? >> what would ryan lochte do. >> that will be -- >> my daughter told me it plumed new depths in expectations from the viewer. in terms of -- she said it was quite shocking show. i have not seen it. >> what he has to do is come out. i think the problem with ryan lochte, not a michael phelps or
4:31 pm
a great tv personality. he is not going on the networks and he has to come out an say, you know what? i made a mistake. yes, i was a fool. but i'll -- >> does he? i'm not sure he -- seems like he can moving on and tweeting something about other topics. >> i mean, i wonder about the idea that none of these sponsors will leave. maybe not a big investment at this point but how many of those brands say, we really need, you know, a world class swimmer in the ranks besides speedo? >> but let's not forget who he is. i agree with that, second most highest award winner the olympics. michael phelps is there and he is there. i agree with you. almost like michael phelps taken so much of the show and what is ralph lauren or speedo need another swimmer for? but the bad boy image may turn and people want someone who actually fesses up. >> what about the angle of not discussed a lot and they're
4:32 pm
representing their nation? there is this aspect -- >> we were told on the lacrosse team, you were representing the college. anything you do has that -- put it is reputation of that college on the line. >> so true. so true. the problem here is that because it's all this pre-olympic clatter about how bad brazil will be and dangerous and now brazil's saying, wait a minute. we did a good job down here. we did a darn good job down here. no violence, no terrorism, no police incident. i don't blame from brazil for getting upset and saying we did well. you're right. i think that he is to be blamed because he is wearing the usa uniform. >> he is the elder statesman of the u.s. swim team. right? >> 32 years old. >> 32 compared to other guys. they're like practically teenagers. >> richard, thank you for joining us. >> how low our expectations have become. >> with certain personalities, you put them in a box. squarely in the box. he is that -- box stays the way it is for now.
4:33 pm
i might turn in to the show. now i'm curious. time now for a news update. sue the. >> here's what's happening at this hour. president obama will visit baton rouge, louisiana, on tuesday. a white house statement says the president is eager to get a firsthand look at the impact of the devastation. more than 40,000 homes have been damaged from the flooding. heavy rains, of course, began last week. republican presidential nominee donald trump has unveiled the first television ad of the general election. it's titled "two americas, immigration" and focuses on not only immigration and national security. it is set to begin airing in four battleground states over the next ten days. hillary clinton, the democratic presidential nominee, also has a new ad running in ohio. pregnant women are being told to reconsider travel to all of miami-dade county. after a second zone of local zika transmission was identified in miami beach. an area that includes south beach. five cases of zika linked to the
4:34 pm
outbreak in the miami beach area. kelly, this is your friday cute video alert. these two albino baby lion cups born in crimea this week. the mom is sick and the zoo workers feeding and caring for them. they said to be growing nicely and from the looks of them they're doing okay. >> i don't want to inject negativity into this. i see crimea and go, wait. it has an unstable place right now. i hope they can take care of them. >> lion cubs or we'll volunteer, kelly. >> yes, we will. >> are they russian lion cubs or -- >> stop it. >> -- or crew yanian. >> twins. one could be russian. one could be ukrainian. >> they chose to be given birth under russian control. >> oh, there's buddy. >> what a great -- >> oh. >> i want to see the baby panda
4:35 pm
and freaked you out. >> looked like a lizard. >> we have cutis in mike's household, too. >> look at this. >> it's a -- >> they're not going to -- no cat photos from me. i'm anti-cat. >> a friday in august. >> if the cubs need to be adopted, we have a great home for them on the upper west side. >> absolutely. >> they'll do really well. >> beautiful bronx zoo. >> sue, thank you so much. >> you're welcome. >> have a great weekend. another day, another big change to donald trump's campaign. leadership, campaign chairman paul manafort resigning. when's going on inside the trump camp? unofficial trump advise rer larry kudlow joining us next and then rosario mirren and why she is crossing the ail to vote for hillary clinton. ting our brains so we can share our amazing trading knowledge. that's a great idea, but why don't you just go to thinkorswim's chat rooms where you can share strategies, ideas, even actual trades with market professionals and thousands of other traders?
4:36 pm
i know. your brain told my brain before you told my face. mmm, blueberry? tap into the knowledge of other traders on thinkorswim. only at td ameritrade.
4:37 pm
4:38 pm
♪ everything is cool when you're watching a screen ♪ ♪ everything is awesome, ♪ when you're sharing a meme ♪ ♪ a voice remote, "show me angry kings" ♪ ♪ you know what's awesome? everything! ♪ ♪ apps that please, more selfies, ♪ ♪ endless hours of the best tvs ♪ ♪ brand new apps, shows to go, ♪ ♪ awesome internet that's super whoa... ♪ ♪ everything is awesome xfinity. the future of awesome. presidential nominee donald trump changing his tone in charlotte last night experiencing a word he hasn't used much before. regret. >> sometimes in the heat of debate and speaking on a multitude of issues, you don't choose the right words or you say the wrong thing. i have done that.
4:39 pm
and believe it or not, i regret it. and i do regret it. particularly where it may have caused personal pain. >> is this a new donald trump? joining us, former treasurer of the united states under president george george, ro sar yeah mirren and senior contributor and unofficial trump adviser, larry kudlow. welcome to you both. larry, first to you, there's been a lot of drama in his campaign. is this, you know, a new chapter again here? >> it may well be. it may well be. i mean, he gave a terrific speech in charlotte. prior to that, he had given three really strong policy speeches on economic growth which i thought was particularly good if i do say so myself. also on national security and crushing isis and also on law and order, defending the police so you got a bunch of solid
4:40 pm
speeches. he changed the tone last nightment it could be a reset. and if so, i still think he's very much in the game. he's got some ground to make up but it's still plenty of time. >> rosario, what would he have to do to get your vote? >> he lost it. there's nothing he can do. no redeeming quality whatsoever. he had lost it, he lost it and then he just kept on losing it to the point that not only does he not get my vote, not only am i not going to vote for him but i'll vote for hillary clinton. and that, kelly, is -- has come through a lot of very strong personal introspection. you know, what do i really stand for? what do i really believe? and i know one thing. i don't believe in him. and i don't believe in the party that he has hijacked. i continue to be a republican. i was a very proud republican since 1984 when i voted for the
4:41 pm
re-election of president reagan. i voted and campaigned for president papa bush and george bush and mccain and mitt romney. i was a delegate to the last five conventions. >> yeah. >> but he lost my vote. >> larry, so how -- what does he do now if this is happening? >> i respect ms. marin. mr. trump said a bunch of things off the cuff as he acknowledged in charlotte last night he shouldn't have said. i've mentioned them on air and let's not rehash the issue. look, if you won't vote for trump, i get it. i will say this. i think ultimately trump's issues, if he stays on message, on the economy, on taxes, on lower regulations, on obamacare, on foreign policy, i think he is going to do very, very well. i'm not hearing any growth, for
4:42 pm
example, regarding mrs. clinton. wants to raise taxes across the board, increase regulations. take obamacare. right now obamacare which is a key issue, it's in a death spiral. trump wants to eliminate it and start over and free markets into it. mrs. clinton wants the bail it out. another bailout and basically wants single pay earl health care. to me, those are the big policy differences and contrasts. if mr. trump stays on message, he has a good chance of getting through on that message. >> rosario, are you willing to accept the platform of hillary clinton? because it sounds like it might include a lot of policy proposals to go against what you worked for in the past. >> yes. you know what? it's a matter of trust. larry used a very interesting -- if he says on message. if. the question is if. we already know what the answer is. he's not going to because that's not who he is. he's not a thoughtful individual. he's not somebody who thinks
4:43 pm
things through, who has a very well thought out -- he shoots from the hip and it wouldn't matter so much if we were not the leader of the world. but can you imagine this gentleman -- i don't care what his policy proposals may be, he cannot control himself. he cannot control his thoughts. and he certainly cannot control his mouth. now, we are the leaders of the free world. can you imagine him? you know, the question is if. i know he cannot. >> larry, last word. >> i'll just say this. i don't like to do personal stuff. i don't like to do personality stuff. mrs. clinton is one of the least trusted people in poll sicks. he polls on that are awful. i just want to put that aside. i believe trump intends to stay on message for economic growth and health care reform and energy reform and specifically also protecting borders and national security. if he does, i will just repeat, if he does, i think a lot of people who are against him right now will come around for him in
4:44 pm
the next three or four months. i appreciate what ms. marin is saying and i hope she keeps an open mind because hillary clinton has policies to damage the in addition's economy and health care and security. >> libertarian ticket going after those voters, too, as we heard last hour. thank you both for joining us. very much appreciate it. and monday don't miss john harwood speakeasy with libertarian presidential candidate gary johnson monday at 8:00 a.m. eastern. now, the internet long been blamed for the death of print journalism and doesn't mean people aren't reading the news. coming up, the founder of bun e bundler. we'll see how it could keep newspapers and sub skrimscripti along. mcgregor versus diaz part 2. jane wells is in las vegas for the ultimate fighting event, right, jane? >> reporter: oh, kelly, it is a hot one in vegas and not just
4:45 pm
the weather. this weekend could be the biggest fight in town but the biggest winners, according to wme, they hope are them. the ufc's new owners even as they compete against the olympics, yes. and pre-season football. save me. we'll have the story when we come back. and death. for partners in health, time is life. we have 18,000 people around the world. the microsoft cloud helps our entire staff stay connected and work together in real time to help those that need it. the ability to collaborate changes how we work. what we do together changes how we live. mapping the oceans. where we explore. protecting biodiversity. everywhere we work. defeating malaria. improving energy efficiency. developing more clean burning natural gas. my job? my job at exxonmobil? turning algae into biofuels.
4:46 pm
reducing energy poverty in the developing world. making cars go further with less. fueling the global economy. and you thought we just made the gas. ♪ energy lives here.
4:47 pm
but i keep it growing by making every dollar count. that's why i have the spark cash card from capital one. with it, i earn unlimited 2% cash back on all of my purchasing. and that unlimited 2% cash back from spark means thousands of dollars each year going back into my business... which adds fuel to my bottom line. what's in your wallet? welcome back. connor mcgregor facing nate diaz again this saturday just five months after diaz beat him at the welterweight level. jane wells in las vegas catching
4:48 pm
up with both fighters and i'm sure it was a colorfule, jane. >> reporter: kelly, you know, this is the biggest fight of the year potentially for the ufc and not even about a title and it's not just about a financial winfall for everyone involved. this one's personal. >> like i said, [ bleep ] team diaz. if you're down with team diaz, then [ bleep ] you! >> reporter: connor mcgregor has a lot on the line after stunning defeat at the hands of diaz last march. they face off. ufc's new owners paid $4 billion for the league and hope to get the money's worth and the fighters. last time you told me you were going to breeze past 10 million. will you make more or less money this fight? >> i don't show up and fight for a reduction so, you're certainly will make more money this fight.
4:49 pm
>> nate, how much will you make this fight? >> this ain't the money channel. you know what i'm saying? less than i deserve. >> reporter: all right. espn is reporting that there's still tickets available inside the arena. the real money, of course, is in pay-per-view and the hope is selling $1.5 million in march and right now another thing the new owners have to think about, fighters thinking of unionizing and we talked to some of them about it. back to you. >> wow. unionizing. i'm -- i would imagine, i don't know. what do you think? mostly just a money issue, jane? is it that they're getting injured? >> reporter: it is about -- all of the above. now, first of all, dana white, the president, reportedly said they can't unionize. they're contractors, not employees. the fighters say they have health benefits or medical care if they're hurt in fight or fight camp.
4:50 pm
nothing outside of that for their families. i would like to have dental and a 401(k). >> yeah, no. >> they're not worried about teeth at the end of a fight but they care about the dental benefits. >> they better if -- i was goin
4:51 pm
4:52 pm
4:53 pm
4:54 pm
4:55 pm
say, evan, a promising thing and amazon does a sub skrimgs model for the kindle and not if nobody's reading and newspapers is the one area this seems to be falling through the cracks. >> isn't there a distinction of creative musical content and copyrighted and exists and a lot of reporting which is affect? such and so much happened? opposed to color reporting or long form journalism. and i guess how do you get consumers who have very ingrained hobts to recognize the differentiation? for most people, 95% of what they consider news is kind of vanilla steps? >> absolutely. this is why the economics are so hard for journalism right now. and the thing is, there's still a lot of journalists at the journal and at "the times" and do research and then the blob
4:56 pm
walks away with it. others want the full story luckily. presented well, i recommend it to you -- >> we have do go. we have to go. >> you'll pay 30 cents. >> i don't know if i'm going to -- >> they would. >> subscribe to "the journal." it is a wonderful experience. best of luck. truly appreciate you joining us. >> thank you. latest news on lochte when we come right back. there's a lot of places you never want to see "$7.95." [ beep ] but you'll be glad to see it here.
4:57 pm
fidelity -- where smarter investors will always be. if only the signs were as obvious when you trade. fidelity's active trader pro can help you find smarter entry and exit points and can help protect your potential profits. fidelity -- where smarter investors will always be. she said i should think of my teeth like an apple. my hygienist said the most random thing. it could be great on the outside... ...not so great on the inside. her advice? use a toothpaste... ...and mouthwash that strengthens both. go pro with crest pro-health advanced. it's uniquely formulated with activestrength technology... ...to strengthen teeth inside... ...and is better at strengthening the outside... ...than colgate total. crest toothpaste and mouthwash makes... ...my whole mouth feel... ...amazing. advance to healthier gums and... ...stronger teeth from day one. my check-up was great. crest. healthy, beautiful smiles for life. will your business be ready when growth presents itself? american express open cards can help you take on a new job,
4:58 pm
or fill a big order or expand your office and take on whatever comes next. find out how american express cards and services can help prepare you for growth at open.com. find out how american express cards and services what is freedom? yes, it's riding a horse across fields and stuff. but it's mostly getting to watch your directv with unlimited data from at&t. we're setting families free. so they can stream away - and not squabble over who's using how much. so go, family. watch. freedom. ha! seize the data! get our best unlimited plan ever so you can stream and surf all you want...with unlimited data from at&t
4:59 pm
gawkers main media site gawker.com shutting down next week following univision's purchase of the company. on wednesday, gawker piled for bankruptcy due to the settlement in hulk hogan's privacy case funded by peter thiel. jon stewart appearing on comedy central's now canceled nightly show joked that maybe thiel's reach doesn't stop at gawker. >> it's, you know, it's the last show. i'm trying to -- >> last show? oh my god, did you piss off peter thiel? what happened? >> peter thiel while being upset at the prominence of gawker.com is even more so. >> seems like he's been installed as the sort of general enemy of journalists. there you go. >> that should end well for
5:00 pm
everybody. thank you both for joining us this afternoon on "closing bell." that does it for us to close out the week and the 2016 olympics from rio is next. an opportunity to salvage some sort of medal

75 Views

info Stream Only

Uploaded by TV Archive on