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tv   Power Lunch  CNBC  October 2, 2017 1:00pm-3:00pm EDT

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you'll see the momentum continue >> quickly, gm taking out high earlier today. >> exactly i think this is the highest since the bankruptcy look, it's an animal it's keeping on going. >> all right >> so many names you could talk about today, honeywell, citigroup. >> thanks for watching see you tomorrow "power" starts now a massacre in las vegas, the worst mass shooting in modern u.s. history a gunman opening fire at a music festival on the las vegas strip. at least 58 dead, more than 500 injured. the suspect, a 64-year-old local resident president trump weighing in on this deadly event now twice today. how do we protect america's soft targets? what impact could this have on tourism, live events, how we live our lives we are live on the ground in las vegas. >> welcome to "power lunch," everybody, i'm brian sullivan with tyler mathisen and michelle caruso-cabrera as michelle laid out, a horrifying attack on the country
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overnight. it is a sad day everywhere, including wall street, but investors continue to believe in american resilience. manufacturing data came in very strong earlier today and the major index is responding, all hitting new interday highs we are sitting on session highs right now. health care your best performing sector, energy the weakest, gold hitting lows not seen since mid-august oil is lower on signs of higher output meantime, general motors hitting new highs. >> thank you, brian. tyler mathisen here, welcome, everybody. we begin with the deadliest mass shooting in american history we have team coverage. kayla tausche with reaction from president trump and the white house. first, though, let's get to jane wells live on the ground in las vegas with the latest at this hour jane >> hi, tyler yeah, we're at the southern end of the las vegas strip here, where they still have it shut down, and it will be hours before they open up this area again. you can see the mandalay bay behind me there. they were saying that guests who
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had been rushed out last night could get back in, but they are stopping anyone coming from this direction. this is not the side of mandalay bay where the gunman was he was just to the right on the east side shooting across the street there, where the mayor described him as a crazed fanatic full of hate for some reason he decided to mow down a concert venue of 22,000 people. we have video, you've seen these pictures all night long. it was just chaos and horrific the latest numbers are 58, possibly 59 dead over 500 injured, but it's not clear everyone has been accounted for. there have been pleas on social media from family trying to find loved ones they are going to open up the convention center at 1:00 p.m. local for reunification for people trying to find their loved ones no doubt there were people here from all over the country, perhaps all over the world this is an international destination, and we do have a picture of the man who is now dead committed suicide, police say.
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64-year-old stephen paddock, who somehow managed to get several weapons into his hotel room unnoticed. the sheriff even saying there were room service people coming in and out of the room, but they didn't notice anything amiss they call him a lone wolf, there's no international connection the sheriff says it's difficult to determine what his motive was, because he was a, quote, psychopath, and they have no reason at this point to suspect him. a short time ago we saw people, they were dragging their luggage down as they were trying to come out of here. mandalay bay is owned by mgm resorts and earlier today the ceo sent out a message saying our hearts and prayers go out to the victims of last night's shooting and their families and those still fighting for their lives, and there are many of those. we are working with law enforcement and will continue to do all we can to help all of those involved in fact, mgm resorts is looking for certified trauma counselors to go to circus circus to help with people in need of that.
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one last thing, guys, there are lines of hundreds of people lining up to patiently donate blood today, as this city tries to pull together that's the latest, back to you >> definitely heard the call for the need for blood thank you, jane. white house responding to the mass shooting with the president making an on-camera statement just a short while ago saying he's headed to vegas this week kayla tausche is live with the latest kayla? >> throughout the day the president has been fielding condolences from the international community. canada's justin trudeau tweeting his thoughts prime minister theresa may of the united kingdom calling and speaking with the president and offering her condolences earlier today and currently going on a long scheduled bilateral meeting between president trump and the prime minister of thailand, on what the president called a very sad day as the united states continues to grapple with this overnight tragedy. there's a cadre of press here and no doubt they will be discussing a wide array of issues, but certainly this shooting is front and center the president did not answer
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questions shouted by the press pool of whether this was domestic terrorism, whether there needs to be a conversation about gun control, but he did say earlier today he spoke to the relevant law enforcement folks out in nevada, he is planning that trip to las vegas for wednesday, after he visits puerto rico tomorrow, and he has ordered all federal flags to be flown at half staff throughout this entire week earlier today, in official remarks he made in a diplomatic room, he offered sympathies for those families mourning their loved ones >> my fellow americans, we are joined together today in sadness, shock, and grief. last night a gunman opened fire on a large crowd at a country music concert in las vegas, nevada he brutally murdered more than 50 people and wounded hundreds
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more it was an act of pure evil >> many white house officials have taken to twitter to echo that sentiment tom bossert tweeting just one word, "senseless," just about an hour ago there are many questions for sarah huckabee sanders, the press secretary, and we'll have an opportunity to ask her those at 2:00 p.m. eastern >> thank you very much so many questions, so few answers at this hour as we look ahead, many are wondering how we can secure so-called soft targets, like this venue in las vegas, sports stadiums, whatever, and whether we need tougher protocols, even at hotels now. chad sweet is cofounder of a global security and risk management firm, former cia and homeland security official and robert strang is ceo of investment management group, former cochair of the new york state terrorism task force gentlemen, glad to have you here chad, let me begin with you.
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is there any way that you really think we could have prevented this kind of thing from happening? or are there ways we could have minimized the number of causalities once it started? >> that's a fair question, and i think at the end of the day the regrettable answer is in a free society there's no way to eliminate this kind of risk, but there are ways to potentially mitigate the risk and if we think about an incident like this, think of it like a kill chain. to the left of boone, to the left of the incident, there are a number of steps you can take to do preincident training, threat intelligence, i will say in nevada when i was chief at homeland security, they were one of the first states to stand up intelligence fusion center and they've been the forefront of information sharing among all levels of government to try to address threats like this, and regrettably in this case there wasn't an early signature. in addition to intelligence
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sharing, you can also do a number of steps to establish a secure perimeter using various types of screening technology, and as we saw, unfortunately, in paris and the horrible attack at the ariana grande concert, the perimeter there was established and that actually forced the perpetrators to conduct their attack on the outside of the perimeter, limiting the number of causalities, so there are things we can do to mitigate these kinds of risks >> yeah, i don't know what kind of security they had at the perimeter of this event, robert, but obviously this was an event planned from above, shooting down on a crowd of some 20,000 people are there things that hotels could do to secure the insides of their hotels against guests who may be -- i don't know about how or what weaponry was used here, whether this weapon was something that he brought legally and was licensed to carry, and you can carry weapons into these places. are there things hotels should
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be considering >> well, that was certainly one of the first things when i was cochair for the state terrorism legislative task force that we looked at after 9/11, was in new york city, las vegas, and other populated areas, there's so many soft targets, that people are in and out on a regular basis, whether it be port authority, grand central, think about so many of these things we can move the perimeters out, we can have more armed security at these locations, but we're never going to be able to really fully secure any of these soft targets. i mean, think about just getting on an airplane and what you go through to get on the airplane would we want to do that every time we walk into a restaurant or to a hotel? so, in terms of you gather your intelligence, you do your perimeter security as best you can with armed security, trained individuals, and you have a response team. and a perfect example is exactly what happened today in las vegas -- last night, because those police were able to respond because they are a
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target city, just like new york, and they do these drills on a regular basis. if they haven't responded to quickly, identified the room so quickly, and entered so quickly, perhaps there would be more tragedy than we're seeing today. >> chad, let's go back to the hotel aspect, if we can. we know the shooter had probably multiple big weapons for that distance a lot of ammunition. how do you think he got them into the hotel that would not be an easy task there would be a lot of material >> the good news, as was mentioned before, unlike other cities, las vegas, the casinos have spent millions of dollars on various types of security, including, by the way, facial recognition and camera technology, so there will be ample amount of forensic evidence to identify if, in fact, this individual had any accomplice, because as you said, to move that amount of ammunition and weapons is no small task the second thing i would add, though, going back to the original question of technology and are there other things we can do, robert is right, we have
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to strike a balance, but there are many technologies that we have where we can actually increase security without diminishing the individual freedom, and if you look at things like, for example, in other incidents we've seen the use of acoustic technologies where if a shot goes off as in this case, you can help police to immediately identify where the angle, the trajectory of the bullet came from and have immediate rapid response, and rapid response is part of the key. if you look at the unfortunate incident in mumbai where ten individuals basically held down a city of 20 million people for four days and killed 163 people, they basically didn't have a rapid response and their police are not armed on a regular basis with lethal weapons. so the united states has developed a system where we have at homeland security, where i used to work, a grant program where we've worked very hard to help police forces up their game across the country and we're cross supplying various technologies and techniques and
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training that we know in the military can be safely deployed in limited cases in the domestic context. so the closing point i'd make is, many of those who called for reducing or stopping the use of our advanced technologies in the military in the law enforcement context, that is a dangerous proposition and many lives would have been lost in this case if, in fact, the s.w.a.t. team, which is an advanced technology and trained team, was able to make that rapid response >> right robert, you said we're never going to be able to completely prevent these things, but i could see a response from private industry possibly, maybe hotels will now screen luggage it happens overseas in some places where there are issues with terrorism is it possible we're going to start seeing that kind of situation when it comes to concert venues i understand this guy did not go into the concert he shot from above, but when you think of ariana grande, do you start associating a ticket with
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an i.d.? there was a time you could get on an airplane without showing an i.d it was 30 years ago, but it was allowed. all of that is different is it not likely private industry is going to start doing those kind of things in order to try to prevent this? >> michelle, we've already started a lot since 9/11 take a look what we've done in new york in terms of our immediate response unit, our hercules teams these are the kind of thing that train the hotel managers and security people and work very closely now. they do have red flags, do work on intelligence, do look at who's registered in the hotel. you're taking it to another level, and i'm not sure whether or not, you know, we're going to be able to do that i'm not sure whether or not, you know, business meetings, other types of coordination and restaurants, people in and out of the lobby, and that's just hotels they do have some control over their soft target. there's so many places we have no control, more like port authority or grand central or think about some of the big hubs around our cities around the
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country, where people are in and out on a regular basis so we can always reduce the risk, and i think here in hotels we've learned we can reduce the risk even more the response today was perfect in terms of getting up there and stopping in a very quick amount of time -- >> i hear that, robert, but you know what the whole world hears when they hear that? more than 50 people dead, even though the response was fantastic. >> it's tragic >> even though the response was textbook, that number is going to sound very high, and i just think there's a lot of people out there who are going to be this balance that you highlighted so perfectly, what are the choices we make as a society between civil liberties and safety i think people are going to start worrying and leaning more towards safety >> well, you know, i think we are. and i think we've come a long way and we're moving in that direction. not only with all the technology that's available, but even with the manpower and the the training, the coordination between the public and the private sector we're seeing all this.
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look, we've stopped about 14 incidents in new york since 9/11 due to good police work and intelligence so, you're right people do see the tragedies. these things are awful, but you've got to look at the lives that have been saved, look at the things that we've done to try to reduce the risk and that's where we have to continue to focus. >> so, chad, quick final thought if i might for you when i go to a large event, usually a ball game, particularly if i'm taking my child with me, i think about these things i think what am i going to do if something bad happens. what do you do, what advice do you give to people going to a concert, maybe going to a convention, maybe going to a football game this fall, what do you do personally when you're in a large crowd? >> great question. step number one is situational awareness. we don't want to let the terrorists or crazies like this impede our freedom, but at the same time there's much we can do to secure our families and ourselves, and if you look at again going back to the issue of using technology to help offset
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some of the advantages the adversary has, there's a thing called power shot, for example, which is a simple app you can use on your iphone in the event of an active shooter situation, you can know what the police know, what are some of the egress or areas to evacuate and that's the kind of thing we can all do as citizens second thing, going back to the issue of general technology and awareness, ifyou look at that rapid reaction issue, there's a lot of passionate feelings about gun ownership, but i will tell you if you look at, for example, the garland, texas, incident when citizens and other individuals have the ability to have a response capability in an event that an incident happens, that also helps to provide an added layer of defense against a horrific accident like this. if someone in the room next door to that shooter had had their own weapon, that's an opportunity to actually even before the police got there, to help neutralize the threat >> interesting thought
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chad, thank you very much. robert, appreciate your time >> thank you american flags at the white house and on capitol hill flying at half-mast today following the shooting in las vegas. question now is, will this event bring washington together or will partisan divide continues to divide the country? the efforts to get anything done on capitol hill are still in focus, and we'll hit that angle when "power lunch" returns most etfs only track a benchmark. flexshares etfs are built around the way investors think. with objectives like building capital for the future, managing portfolio risk and liquidity and generating income. that's real etf innovation. flexshares. built by investors, for investors. before investing consider the fund's investment objectives, risks, charges and expenses. go to flexshares.com for a prospectus containing this information. read it carefully.
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my fellow americans, we are
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joined together today in sadness, shock, and grief. last night a gunman opened fire on a large crowd at a country music concert in las vegas, nevada he brutally murdered more than 50 people and wounded hundreds more it was an act of pure evil >> that was president trump reacting to the deadly massacre in las vegas will this horrific shooting help bridge the divide that has gripped washington and what role, if any, can the government play to keep these kinds of events happening in the future joining us now, jed greg, former governor from new hampshire, and evan bye, former democratic senator and governor from indiana. gentlemen, good to have you here governor, your thoughts this morning as we witnessed this horrific event in las vegas and what do we do as a nation about
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trying to bridge this gap that we have between civil liberties and safety >> well, it's a horrific event and it's incomprehensible to anybody who thinks in rational terms, and you can't imagine how anybody could do something like this and the horror for the folks who suffered through it, is going to be there for a long, long time can you bridge this issue? yes, you can, actually i believe that if people of good will, and i think the vast majority of americans are of good will, participate in a civil discussion in a society ruled by law, which is what our nation is all about, you can bridge these types of issues, and individuals like this, they'll still act like this, but they won't undermine the fabric of our society, which is a society extraordinarily strong and kmitd to tcommitted to the f individuals and freedom of our culture. >> governor bye, same question to you >> michelle, i think this strategy, this horrific tragedy,
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will bring the country together for the next several days, but if history is any guide, regrettably other events will come along and this will no longer be on the front page and people will go back to their previous ways of behaving, but i hope perhaps this can remind us of our common humanity those people that were slaughtered there, we don't know if they were democrats or republicans, liberals or conservatives. we do know they are our fellow americans and we need to focus on those things we have in common to bridge this gap, because at the end of the day, our personal well being is inextricably tied up with the freedom and well being of our fellow citizens. >> and governor gregg, there will be a response, statements made, debates had, but in the end do you, a, believe any government action will be taken legislatively or otherwise, and, b, if so, do you believe there should be? >> i would doubt there's any
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specific action that will occur from the initial response and what we've heard and the sheriff's statements, the man was a psychopath and he was using weapons, which were probably illegal and it's very hard to see how you can control a psychopath i do, however, hope, and evan expresses it so well as he does on so many issues, that it reminds us we can't allow our nation to be dominated by a culture of hate, and unfortunately what's happening today is as a result really of social media, the providers of hate and purveyors of hate are given a disproportionate microphone to their size and number in my opinion >> i'd like to pick up on that thought, governor gregg, and turn to you, governor bayh, setting apart what happened in las vegas today, who knows what the motivations of this individual were.
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obviously, clearly, madness was at work here i'd like to hear you talk about the divisiveness that is so prevalent in our culture and country today. everything seems to fracture along partisan lines, opponents or adversaries are demonized, whether you're on the left or on the right. it's not just mr. trump's supporters who have been the victims of that. people said awfully nasty things about mr. obama, as well how do you diagnosis the divisiveness and how do you begin to heal it >> well, tyler, that's an excellent question, and i wish there was an easy answer, but there's not. i think as judd would affirm, this has been a long time coming in our country back in my father's day, democrats, republicans, liberals, conservatives had their policy differences, but they got along personally and tried to find common ground.
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now too often we define ourselves by our differences rather than realizing the vast majority of your viewers and citizens really have a lot more in common than we do that distinguishes us one from another, and the extremes on both sides just play on that so my -- both right and left so my direct answer to your question is, the time has come for the vast majority of your viewers and americans who are in that middle ground, who want a functional government and want to reconcile differences and try to find common sense solutions to our problems, for them to be as motivated and involved as the extremes are the middle needs to take our country back >> governor gregg, how do we get from the rhetorical point that governor bayh just made, and lots of politicians would say the same thing that governor bayh just did. how do you get from that rhetorical agreement that we ought to come together on our similarities rather than be divided by our differences, how do you convert that into action? >> leadership. not allowing the base of either
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party, which unfortunately the base tends to be rather vitriolic to dominate the debate just this week, interestingly enough, two senators are going to introduce a fairly substantiative and thoughtful approach to how we straighten out the health care mess we're in that's a step in the right direction. i would hope this tax reform bill coming down the pipe, there would be some effort of bipartisanship there, there's a great opportunity for bipartisanship there i believe as evan just said, the middle has to start stepping up and drowning out the hard left and the hard right and making it clear that they are there to govern and we're going to govern and the american people want a government that works. >> governors, thank you. still ahead, a developing story we don't want to lose sight of, and that is puerto rico we have the latest on the recovery and whether progress is being made, and if so, how mh anhoqukluc that's next.
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contessa >> yeah, brian, so we're seeing a lot of traffic here in this tourist area, but look, there's a police officer directing traffic and a line outside of the atm here we know the port is now connected to the electrical grid, and the fema cargo has been moved, but still only 20% of all commercial containers has
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been moved off the lot where we checked in last week we rode along with a trucker over the weekend for a weekend of work and took nearly two hours for a load pickup that should have taken ten minutes a. cargo container was stored at a different terminal than lifted he took the container to a food distributor servicing walmart, sams club, costco, and many others, and the distributor has so many orders, so big, that plaza provisions can't keep up they said they are going to have to postpone 16% of the trips today, even though they are staying open until midnight tonight. the drivers, all but one, have show the up for work, but plaza provisions says still ten employees at one location still unaccounted for. >> we have 500 employees, of which some we have not heard of yet. there's many that we have, that have reported, many of them reported to work even on friday,
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but there's still some that we have not been able to reach, and we're very concerned about their safety >> i want to give you a sense, we drove the whole island over the weekend, only 5% of electrical grid is back up and running. that's really for the priorities hospitals, the command center, the airport. 15% of cell phone towers operational, and crowds of cars cluster where their drivers can find a signal. 65% of gas stations up and running. the lines are very long, but the good news is, we're starting to see them lifting the ration limit so people can fill up their tanks when they go there, and the military presence on that whole perimeter road around puerto rico was obvious. and then when we're driving, you guys, you see these mountains, they are supposed to be full of lush, tropical foliage they look like the desert mountains in palm springs where i used to live entire island stripped bare of palm fronds, branches, agriculture, and yet the concrete houses that so many puerto ricans have are standing,
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their roofs intact, it was remarkable to see the difference between the housing stock here in puerto rico and what i saw in irma and harvey. guys >> what's the difference between the major cities and the countryside, contessa? i assume the infrastructure is better in san juan and people are better off there, or no? >> well, look, in san juan, about 57% of the people have running water at this point. you go to some of the other districts here, and that's 20% of people have running water they are rushing generators out to keep the pumping stations up and running, but that doesn't solve the problem of broken water mains, so running water is a big deal people can live without electricity, but they say i really need water in my house. i don't know that one specifically but i can tell you, if you're here, you can get a great dinner out, you're hearing live music
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on the sidewalk, having to fight traffic. out in the other parts of the island, you can find restaurants up and running on generator power, but it's much starker and much more somber >> got it. all right, thank you, contessa, live in puerto rico. still ahead, the market once again shrugging off the terrorist event, shooting event, hitting record highs is there anything that can shake investor confidence? that's next. throughout my career, i've been fortunate enough to travel to many interesting places. i've always wanted to create those experiences for others. with my advisor's help along the way, it's finally my turn to be the host. when you have the right financial advisor, life can be brilliant. ameriprise
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hello, everyone, i'm sue herrera. here's the latest on the las vegas mass shooting. the death toll rising to 58 after a gunman opened fire at a music festival on the las vegas strip last night 515 people have been hospitalized it is the deadliest shooting in u.s. history the suspect has been identified as 64-year-old stephen paddock police say he was shooting from the 32nd floor of the mandalay bay hotel and that he killed himself before they arrived. they also say they have yet to determine a motive his brother spoke outside his home in orlando. >> our condolences to everyone we just don't understand
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it's like i said, an astroid just fell out of the sky, and we have no reason, rhyme, rationale, excuse. there's just nothing >> president trump says he will travel to las vegas on wednesday. he spoke from the white house this morning, saying the shooting was pure evil and the nation must stay unified the president and the first lady will hold a moment of silence on the south lawn in about 15 minutes. that is the news update at this hour i will send it back to you, michelle >> thanks very much, sue let's get more on the ground in las vegas. jay gray is standing by there. jay? >> yeah, michelle, i want to give you an idea of the situation here right now the las vegas strip shut down at tropicana avenue, if you know where that is, we're at corner of tropicana and las vegas boulevard. you can see the police barricade right here just behind that barricade is where the attack took place and
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where a massive investigation continues right now. we're learning more about that investigation and what's been uncovered here the man who apparently carried this out, 64-year-old stephen paddock, was staying in the mandalay bay hotel for four days before this attack he apparently shattered two windows inside his room on the 32nd floor so he'd have two different positions to shoot from at the concert just below his window we know he had ten rifles inside that room, apparently turned one of those weapons on himself when police moved in, and the tactical unit found out where he was by a smoke detector, smoke filling the room from the amount of gunfire that was being rained down on that concert below we know that he had a large gambling transaction here in vegas. we don't know if it was a win or loss, but we know he had that transaction and others, and that he liked to spend time here, would come down for days, was semiretired and living in
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mesquite, nevada the fbi has said repeatedly that he has no ties to any overseas groups, and they are stressing that's something they'll continue to look into, but it doesn't seem to be the case at this point two cars have been confiscated by police, they are poring through that more guns have been found in his home in mesquite, and they tell us this is an investigation, michelle, tyler, brian, that's going to continue for quite some time here. they are still going through the grisly task on the ground of identifying victims and ultimately will have to move those victims at some point. that's the latest right now live in las vegas brian, back to you >> jay gray in las vegas jay, thank you certainly difficult day for all of america, but the business of business does go on we found out today that manufacturing in this country remains very strong. that is helping stocks hit new record hies. joining us, chief investment
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strategist for northwestern mutual management. welcome. >> thanks for having me. >> tough day, but let's do what we do and talk about the markets. despite everything, stocks are going up the ism report was very, very strong do you feel in any way, though, however, that the markets on some measure may be out over their skis just a bit? are you concerned about evaluations, given the incredible eight-year bull run that we've had >> sure, i guess valuation to me is not a timing tool, so i don't know many markets that simply rolled over because of valuation. typically it's because of the economy, so the economy and the markets do rhyme you mention the ism, which to me now i believe we've had eighto the last ten of the new orders, leading indicator, has been above 60, which is something you typically see at the beginning of a cycle, not the end. so given my outlook on the economy, i continue to believe markets will be higher, just valuation as more of a magnitude tool >> you think we're at the beginning of another leg of economic strength, earnings strength >> we're getting closer to the
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end, but every single economic expansion in the country has ended with inflation rising and right now we don't have that we have moderate inflation i don't believe we're japan where we're going to roll over and be at the end of deflation i think the market has room to run. >> you buy any sector indiscriminately, or what areas of the economy benefit from that the most right now >> sure, i think you want to stay away from the yield sensitive sectors, and be more in the cyclicals >> avoid utilities >> avoid utilities if you tell me what the ten-year treasury is doing, i can tell you if it's underperforming or outperforming the s&p 500. >> inflation is sort of the flip side of what kills economic expansions is rising interest rates. interest rates typically go up because there's inflation and the fed wants to come in and tighten. this time there isn't rising inflation, but is possibly going to be a new fed chief in five months, who might be more, quote, hawkish than the current fed chief.
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>> i agree 100%, but i don't think anyone in the federal reserve wants to short circuit the market maybe the federal reserve is too worried about the market, that's one thing i do worry about longer term, but i believe they want to keep and do no harm to the market they view the longer term cost of that, certainly there is one, but, you know -- >> i think they care more about the economy than the market, but whatever >> they make the linkage janet yellen, every time she reminds you she's willing to do more if need be. janet yellen in her post meeting press conference the other day said we're going to put caps on how much we're going to take off the balance sheet, and other potential market strains >> but you keep talking about janet yellen, and tyler's point is, she doesn't appear to be around for much longer at this point. >> that's the question >> does that change of leadership undercut your assumptions at all, wait to see who's there? >> certainly, i wouldn't place my whole outlook based upon what
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the fed is going to do or not do i think the economy is much more important, and if you look at the consumer right now, same place it was in the late '80s. >> you haven't mentioned the tax debate >> i think it's the icing on the cake i think corporations have to spend money, because they have now run out of cheap labor to exploit. they can't find people to hire going forward, and they need to replace the plant property equipment in this country. >> bringing up an important point, brent, and i wonder if maybe that is the wild card in the deck here, economic debt, which is how much longer than the economy expand if we simply run out of workers or qualified workers? 6.1 million open jobs in this country. we don't have a job problem, we have a worker problem. >> yeah. i also find it pretty funny that people worry about artificial intelligence and robots are the same people that worry about productivity >> they don't go together. >> absolutely. if we're an aging society and our workforce is growing less,
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we need productivity gains >> you said you would avoid things interest sensitive, like the rates and utilities. would you buy banks, then, which are the opposite >> absolutely. right now banks are tied to the yield curve and i think rates are going to rise. we also like international stocks and that's aposition we've had. >> everything but the united states >> pretty much >> really? the whole thing? >> em and the euro zone were the two favorites we had >> em goes down when interest rates are going up >> that would be our opportunity to add more. >> why >> because i think their growth is going to be more, valuations are cheaper, and policy has been, quite frankly, they've been cutting rates, too. so i'm not suggesting there won't be a hiccup, there was in '04, was in 1994 -- >> little over a year ago when we had the tantrum and em sold got hammered >> yeah, time rising is more than six weeks, so in 2004 i believe when the fed raised rates the first time, em did
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fall, but when nothing broke currenciwise, which is what everybody fears, that would be the opportunity to add more because i believe they'll have rising growth through the next few years. >> thank you, brent, thank you very much. >> thank you check out shares of general motors, hitting new all-time highs. look at that take that in $42. turning up the heat on tesla planning to roll out a new slew of electric cars will the grand plan take the stock even higher from here? we'll take cselo agm alor okt and more after this. ur money? yeah, i got some financial guidance a while ago. how'd that go? he kept spelling my name with an 'i' but it's bryan with a 'y.' yeah, since birth. that drives me crazy. yes. it's on all your email. yes. they should know this? yeah. the guy was my brother-in-law. that's ridiculous. well, i happen to know some people. do they listen? what? they're amazing listeners. nice. guidance from professionals who take their time
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to get to know you.
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so what else is new? humm..she's doing good. she needs more care though. she wants to stay in her house. i don't know even where to start with that. first, let's take a look at your financial plan and see what we can do. ok, so we've got... we'll listen. we'll talk. we'll plan. baird. the auto maker ramping up plans to take on tesla phil is in chicago with the story. hi, phil >> tyler, when we talked last week about gm shares breaking up, two things driving it, autonomous drive vehicles and
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electric vehicles. we'll talk about autonomous drive in just a bit, but first about electric vehicles and announcement from general motors coming within the last couple of hours, the company is going to be ramping up its push into electric vehicles, introducing 20 new models by 2023, including two new electric vehicles in the next 18 months you might be saying to yourself, wow, why are they pushing e.v.s and why are so many automakers pushing e.v.s. here's the reason why. look at the number one market in the world when it comes to electric vehicles, it's china by a wide margin. remember, there are reports out of china that that country may move towards banning the sale of new gasoline or diesel-powered vehicles by 2030, 2035 the bottom line is this, they are pushing electric vehicles. gm well positioned in that market meanwhile, on the autonomous vehicle front, deutsche bank saying we put the pieces together, talked with enough executives, with enough people in the industry, to believe
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general motor is moving towards cruise automation, bought for a billion last year, they have been investing and developing out in california, and they believe, deutsche bank believes, we could see them deployed in some urban markets within the next couple of quarters, at least on a limited basis that's why when you look at shares of general motors, this is a stock at an all-time high back to you. >> do you think people are surprised by gm stock strength >> the insiders at general motors are not surprised they've been frustrated for a long time that they've been laying the foundation for these moves and they have been frustrated that other auto stocks, other suppliers, have been moving higher over the last 12 months, 15 months, and they've done nothing they finally feel as though they are getting recognized for the steps that they have been taking and will be taking in both
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autonomous and electric vehicles >> that's what -- i want to pick up on a point you just made there, phil. when we say this is an all-time high, it sounds really, really good, but the truth of the matter is, this stock in, what, seven years is now, what, $6, $7 above where it came out at >> reporter: it came out at $33 and i remember being on the floor of the nyse interviewing fund managers, consultants in the auto industry, everybody saying there's no doubt these guys will be at $50, $60 by the end of the year it's been hovering in the $30s or $20s ever since >> it's seven years ago. that's about 3%. okay >> you could have made more money in a lot of other stocks >> phil, thanks. >> reporter: you bet it's certainly a difficult day everywhere but we are a business network there are several wall street calls to let you know about today, including a small cap one that says they may get 15% to
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20% upside that's next. before we do that, rick santelli at the cme for today's bond report >> you know, if you look at a two day of tens lots of information. first we made our high yields long before the sun was out for new york before our time zone. but we are still hovering at what would be the highest yield close since the 13th of july, as you see on that chart. dollar index, little different look at the two-day chart. it's really holding its gains quite well, up over half a cent. the next chart shows you we haven't closed at this level since about august 17th. many traders watching the dollar index, especially in context of a key technical level, around 94 "power lunch" will return in two minutes.
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there was research over the weekend before word of the las vegas shooting came out. it's our job to stay on the markets, make sure you are aware of some of the calls today let's get to it. >> the first is stanley black & decker morgan stanley overweight from
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equal weight analysts believe the company should continue to drive returns due to somewhat he calls breakthrough initiatives, specifically the launch of craftsman into big box retailers. also e-channel markets and potential revenue synergies from other acquisitions raises the price target to $169 from $154. >> the second, seagate technologies, stx. upgraded to a buy from hold and the target boosted to $50 from $47. analysts say the first quarter tracking anyoinline with expectations he likes the fact hedge fund value act has taken a nearly $1 billion investment in the company and also likes it that seagate was part of the group doing a deal with toshiba's memory gate business it pays a 5% dividend yield. big price target >> next, another call from morgan stanley the analysts say they have done research about the muscular
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dystrophy drug and are confident the company will deliver strong third quarter results. they think there's room for expansion. there will be a lot more upside when it launches the new drug. price target is $60 right now. stands at $49. >> big day there final stock is compass materials or minerals. small cap call of the day. kansas-based salt company. they make other minerals salt, the main product that's upgraded to buy from neutral. stocks down 15% this year so analysts out defending the name, thinks we will see higher free cash flow growth over the next several quarters the target on compass minerals, $76, about 15% upside. tyler? >> folks, thank you. still ahead, the latest on that deadly mass shooting in las vegas. how can you secure live events like this one was? we will hear from a guest who says there's no standard in this country and it's not safe. eatainabt at he's lkg ou ahd.
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i can't wait for her to have that college experience that i had. the classes, the friends, the independence. and since we planned for it, that student debt is the one experience, i'm glad she'll miss when you have the right financial advisor, life can be brilliant. ameriprise
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♪ can i kick it? ♪ yes you can ♪ can i kick it? ♪ yes you can ♪ can i kick it? ♪ yes you can ♪ well i'm gone good afternoon welcome to the second hour of "power lunch." the nation still trying to make sense of the worst mass shooting
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in modern u.s. history as we have been reporting, a gunman fired off countless rounds into a music festival on the las vegas strip last night at this time, police report that at least 58 people are dead, up from earlier counts. more than 500 now injured. we are live on the ground in las vegas and a white house briefing is set to get under way just minutes from now >> we will check the markets right now. all three major averages are hitting new all-time highs today. the dow is up 130 points, sitting around session highs at this hour. the s&p is higher by eight points, the nasdaq up nearly 12. looking at gold and oil, both are lower today. gold is lower by a little more than $7. wti off by $1.13 trading at $50.54 per barrel. big gains in the biotech sector today. hitting a new 52-week high >> let's get to the latest developments on the attack in las vegas and head back to jane wells live in that city. >> reporter: hey, guys yeah, i'm still here on the
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southern part of las vegas boulevard. there's mandalay bay behind me on the 32nd floor, the gunman killed himself last night after murdering 58 people, at least. there are still some in critical condition. nbc news is reporting stephen paddock is the son of a bank robber once on the fbi's most wanted list and called a psychopath why did his son carry a cache of weapons to a room with a view of ai concert across the street it all happened 13 hours ago it seems incredible that one person could cause so much death and destruction, but police believe it was this one man. we have his picture, 64-year-old stephen paddock, a los angeles native who had lived in several places may have worked as an accountant according to nbc news, he had been recently placing some very large wagers here in vegas they say he committed suicide in his room they aren't sure if it happened as they entered, or at some time before they have been searching a couple properties he owns in
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mesquite and also the reno area. the big news here, of course, is as they try to figure out what to do next at these hotels and casinos where security is important, but this is also a place where people have fun, where they come to let go and relax. i do know of at least one company now where they are reassessing do we need to start searching bags after something like this happened we did reach out to the convention and visitors authority about this and they said quote, the thoughts and prayers of all of las vegas go out to the victims and their families this was a horrific yet isolated incident at this time it is important to allow the las vegas metropolitan police to conclude their investigation into the incident and to attend to the needs of the victims and their families las vegas is a strong community that will work through this tragic incident. 43 million people, tourists, visitors, came here last year. it is the lifeblood of this city that is now being overshadowed
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by real blood today as they try to figure out who this guy was, why he did it and what they can do to try and prevent it in the future as the sheriff said earlier today, it's very difficult when someone is a lone wolf like this to stop him. back to you. >> you hinted at this. las vegas is the largest hotel market in the country. beats out orlando and new york city so the question that you raise there about what are the hotels going to do privately, never mind what might be mandated by the governments in terms of trying to keep their venues safe, is a key one for them, while at the same time, not trying to spoil the experience >> reporter: absolutely. think of the millions of people who come here for conventions every year you go to the convention center, there are no metal detectors there's nothing like that. if you are in one of these large casino resorts, obviously there are security cameras everywhere but to actually get into your room, you just need to show that you have a key card and they will let you up.
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even in this case, the sheriff was saying that room service was going in and out of the room and they didn't notice that there were at least ten rifles in there. by the way, we do have sound from the sheriff earlier, again, talking to the difficulty in predicting someone like this coming here and doing this listen >> i can't get into the mind of a psychopath at this point this is an individual who was described as a lone wolf i don't know how it could have been prevented if we didn't have any prior knowledge to this individual it wasn't evident that he had weapons in his room. we have determined that there has been employees going to and fro from his room, and nothing nefarious was noticed. in the original briefing we believed that he was in partnership or companionship of a female and we have determined the female is out of the country. we have been in contact with her and we plan to engage her upon her return to the country. >> reporter: one can assume that
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after this, there will be new employee training to make people be more vigilant and more noticeable of what's going on in the rooms of people who stay here >> jane, you referenced at the beginning, but talk to us more about what you may know about paddock's father there will obviously be a lot of theories, lot of speculation over the next couple hours and days, but it sounds like we have recently learned that to your point, his father was on the fbi's most wanted list as a bank robber who, as i understand it, was described to your words as a psychopath with suicidal tendencies what do we know about his family history? >> reporter: crazy, it is a crazy story. nbc news has uncovered this information that his father, benjamin paddock, back in the late '60s, robbed at least three banks, was considered a quote, diagnosed, excuse me, at the time as a psychopath, and armed and then eventually was arrested i don't know if he is still alive. but paddock's brother has been
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interviewed today saying that, you know, he was a low key guy this to the family is like quote, mars has landed on us it is just devastating to the family he, for all intents and purposes, was a relatively mild-mannered guy as far as we know there is this -- there are these reports again from nbc news that he had been in las vegas and had recently made some very large wagers worth tens of thousands of dollars tens of thousands of dollars, for a man who is 64 and known as an accountant. it isn't known whether he won or lost but one has to assume there was a lot of premeditation involved in driving to the mandalay bay with at least ten rifles, checking in to a room on the 32nd floor with a direct view of the strip and right across the strip, a large concert venue where there would be 22,000 people and yet, he also managed to kill 58 or 59 people in the span of however many minutes it lasted
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it's stunning. >> what is the approximate distance, jane, to the extent that you know or can estimate, between where he was and where the venue was? >> reporter: well, we do have a map which we can go to as well as i'm trying to show you here you are looking at the south side of mandalay bay it's sort of a triangular building the east side is where paddock was. he shot across las vegas boulevard, he shot across the strip, directly across the street you might see that sign for tao, a club it's beyond there. it's called las vegas village. it was right across the street, sort of a large open space they have used for different events they were having this concert there. in fact, in august, that's where we were, our crew, we were checking into that area to get credentials for the mayweather/mcgregor fight. that was kind of a venue for that press area as well. so probably 100 yards from his
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hotel room, maybe more, to the location where he was shooting people it appears that he also killed people who were not just at the concert but in the surrounding area but again, it is amazing that a man authorities have had practically no contact with was able to murder at from like a sniper location, 58, possibly 59 people, injure over 500, though we don't know how many of those injuries were caused in the chaos afterwards and trampling i mean, it was just nuts, from what people say. >> jane, the last point. "newsweek" also reporting that his father, this benjamin paddock who was on the top ten most wanted list for a short time, his final arrest took place in las vegas >> really. wow. >> jane, thank you very much >> reporter: i read that, too. amazing. >> jane, thank you very much an outdoor concert venue is
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known as what's called a soft target and these sites are very hard to protect. eamon javers joins us with more >> the answers you get from experts are maddeningly frustrating in terms of both what businesses should do and what you yourself should do if you are caught up in one of these incidents that seem to be happening more and more often these days here's what we know about some of the mass shooters the fbi did a study looking at mass shootings between 2000 and 2013 what they learned is 486 people were killed in that period of time over 1,000 casualties in total only 28% of them, though, involved law enforcement actually exchanging fire with the shooter. that's a relatively low number it gives you a sense of just how quickly these things happen. 13% of the incidents ended after unarmed civilians restrained the shooter. that's not law enforcement, but
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just people who happen to be on the scene. 40% of the shooters committed suicide, as seems to be the case in this incident in las vegas last night 15% involved shootings in more than one location. so these incidents happen very very quickly it's often the people who are on the scene who are the ones that have to respond to them. what should you do if you find yourself in one of these situations what the experts have told me over the years is there are three options, depending on how close you are to what's happening. you can run, you can hide, or you can fight. the best thing to do, they say, is to run. immediate speed and distance, get away from the source of gunfire if you can, as quickly as you can, is your best option. failing that, you want to hide barricade doors if you're in an office situation, office type setting, turn off your phones, play dead if the shooter is making his way through a room in which you find yourself. then at the absolute last option, they will tell people that you may have to fight you may have to be prepared to throw something at the shooter,
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something at his face, a heavy object, and do everything you can to disarm that gunman, separate him from his weapon as quickly as you can that is the absolute last option, they say you don't want to find yourself fighting with an armed shooter in any kind of location, ever. the best option is just run, run, run but you saw from what we have seen of the location in las vegas that people did that, yet because of the location, the vantage point of the shooter, they had no option there was no place to run to that was safe. guys >> eamon javers, thank you very much joining us is joseph jocalone, formerly a sergeant with the police department, also a professor at john jay college of criminal justice and chris swecker, former fbi assistant director there are obviously more questions than there are answers. i think right now, the question most seem to be asking is how did this man who had allegedly gambled tens of thousands of dollars, so spent time at tables, how was he able to
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secure such an armament, such a cache of weapons and ammunition, into a hotel room at a very populated hotel that was also cleaned by hotel facilities workers during his stay? how do you think he was able to bring this up to his room unnoticed? >> well, i will say i stayed out there last week about two doors down and i could envision a scenario where he could have hid his weapons in duffel bags and things that people that are cleaning the room won't go into. but let's face it, he turned that place into a fortress with multiple firing positions, lots of ammunition, and at least eight to ten high velocity shoulder-fired assault weapons it's a legitimate question i can see smuggling a few guns into a hotel room easy ten guns, you wonder why nobody saw anything at all, whether if you see something, say something
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rule wasn't violated a little bit. >> we will get into issues of civil liberties as well but a lot of talk about securing the premises i think we all recognize that in many situations, probably most, it is simply not going to be possible but how about understanding the people behind this as we have reported, this guy's father was a bank robber he was described by the fbi as a psychopath with suicidal tendencies he was last arrested for bankruptcy in las vegas and sentenced to 20 years in prison. how do we better handle the prevention side of this? >> we do have a mental health crisis in the united states. as a former police officer, i dealt with this on a daily basis. there's a lot of people living amongst us on the streets that need help and they're not getting it so of course we are going to look into that one thing we find very strange out of this case is that he has really no social media footprint. he doesn't have any information out there about anything that he was angry about or anything like we saw with the shooter in d.c.
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with the senators and congressmen. this one is going to take investigators a long time to try to develop a motive. you know what, they might not actually find one. >> they are searching his properties right now we presume if there are electronics and computers, et cetera, they will be looking through those to try to find some motive. we see "usa today" reporting that he could have used a trigger crank which is something to help you shoot a rifle much more rapidly can you tell us anything about them, how common they are, what kind of impact would it have had in his ability to injure the number of people that he did >> well, i'm not familiar with that kind of device although i was a s.w.a.t. team member when i was in miami i do know that ar-15s, aks have pretty good range and accuracy these weapons were clearly on fully automatic. no doubt about it. i don't think you need one of those cranks to do what he did
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i think he would have had to have had multiple firing positions, eight or ten weapons fully loaded with extended magazines ready to go so he wouldn't have to reload, just move on to the next weapon >> did he have to be a very good shot or is the distance and just the vast number of people all in one place mean that he could kill numerous people >> i think he would, although there's a lot -- all these people packed into a small place, but to inflict over 700 casualties, he had to have -- typically when you are on fully automatic you're not very accurate but here they are all cued up in a mass, they don't know where the sthots ahots are coming frod all you have to do is aim in a general direction. i saw people on video just standing there for a good two or three minutes while the firing was going on, which was curious to me. i guess they just couldn't figure out where the shots were coming from. >> or indeed, what the shots were there were reports people thought it was part of the show, maybe fireworks.
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i find myself wondering, when you have these kinds of large events, whether it's going to a ball game at met life stadium, once you get into and through whatever security perimeter there may be, those perimeters are set up to keep bad guys out and make sure gate crashers don't get in, but once you are in one of those places, those very same barriers make it very difficult to get out quickly, certainly to get out in a case of panic, which there surely was here how do you balance those two things in other words, creating security on the entrance and then facilitating quick egress when you need to move out? >> that's the million dollar question we saw this in the uk at the grande concert where the attacker couldn't get into the venue and probably the same thing here it's too hard of a target to get in they are concentrating on something on the outside in order to do so when you are looking at a half a mile perimeter, that's
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impossible for law enforcement to cover you're right you have to be able to try to figure out where is going to be the easiest way to get people out. this was an outdoor venue so there was very little cover or concealment they could use to even hide behind you saw it these people were just targets unfortunately, we need to do a better job i think this is keeping up, police executives up all night to figure out what to do >> it was a different but sort of similar people in a confined space in the pulse nightclub in orlando. there was one or two exits and people just couldn't get out so they were fundamentally captured by their surroundings chris and joseph, thank you very much >> the deadliest shooting attack in american history. stocks are still hitting record highs today. what are the markets focused on? we will go down the nyse and find out what traders are talking about. the dow is higher by 128 points.
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stocks rallying to intraday highs. the s&p 500, nasdaq and russell 2,000 would represent yet another record closing high. does this market still have a lot of room to run as we head into the fourth quarter? let's bring in kenny from o'neill securities and jack ablin, chief investment officer and six other titles with bmo private bank welcome, guys. kenny, last week, scott wapner was here and said a poll of a
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lot of traders indicated that something like 78% of those traders or investment analysts think stocks can go higher will go higher from here but 0% of them, 0% of them think stocks are anything like cheap in fact, most of them think they are expensive. how do you square the two? >> i would agree, because i'm in that same camp we are at high valuations, yet this market does not want to go lower no matter what you throw at it. it does not want to go lower now we went through -- ended up being a very strong third quarter into the fourth quarter. we have earnings starting next week so people are focusing on earnings they are really starting to talk about and focus on the underlying fundamentals are getting better so the market feels much more secure in terms of janet yellen tapering and rates rising. actually, people look at that as maybe it's finally really here maybe we hit escape velocity and the market and the economy will do better so we are going to normalize. that's all bullish look at this feels like today we are just
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going to go higher only thing that concerns me a little bit is that volumes remain low and complacenccomplae vix is an -- near an all time low. yet all that being said, i think we go higher >> while you were talking, i was thinking exactly how you concluded that jack, your take on this, and to kenny's point, hey, now maybe everybody is believing this really is here to stay and it's going to go higher and complacency is low is that the time i want to start getting really worried or not? >> well, it's funny because one of the things i had been concerned about was a lot of the leadership is large cap growth generally, large cap growth outperforms small cap value when we have got economic uncertainty, when things are starting to, you know, trend lower. one of the nice things i have seen over the last couple weeks is the smaller cap names are starting to take a leadership position if we do start to see small cap value lead the fang stocks, if
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you will, that's actually a good sign that investors do believe we see growth ahead and fundamentals are improving >> are you waiting for that to happen before you do something what do you think right now? >> right now, i'm still underweighted u.s., largely because of the valuation issue and we have put most of our incremental equity overseas, development market and emerging. because they're still trailing our progress their central banks got into the act after ours did their rally's trailing ours. they are starting to show some strong economic strength and they are still trading, while we are making 50 new highs this year, they are still trading 20% to 25% below their all time highs. we think there's more room to run overseas >> when you are making markets on the floor you seeing that same kind of action among clients? are they deciding they want to focus more on overseas stocks compared to u.s. stocks considering the valuations >> listen, considering that i'm representing clients both domestic and abroad that are
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investing here in the u.s., i can have a conversation about what they are doing or thinking about europe i agree with jack, there is certainly some room in europe. i do think there's opportunity there. but that being said, his other point about the russell small cap starting to lead, we are starting to see that happen here in this country which is what gives it a little bit more credibility in terms of it still has room to move higher. >> kenny, thanks very much appreciate you being with us >> coming up, we go to puerto rico for a live report on the latest efforts to restore power and lir d d tetohedeveaianwar t people there
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president trump heading to puerto rico tomorrow after a weekend of controversy over just how efficient the recovery operations are going contessa brewer is live in puerto rico with more. >> reporter: look, we are seeing progress the operation is going the restaurants here in san juan and in areas across the island are serving diners, they are back in business that's happening even in areas where there's very little to no running water. but i drove the island, i got a good look at what the crucial needs are here, and with no electric power, no running
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water, we needed brute strength, we watched lufthansa employees push open a hangar door to make room for a delivery of supplies. that airline sent 80 tons of water, food and other goods from frankfurt for its 400 employees stranded on the northwestern part of the island >> our employees have suffered and struggled to get gas, to get water, and in the immediate aftermath of the storm, most people had provisions in place those provisions are now running out. getting food, the queues for gas, i'm sure you're seeing it, are incredible the availability of water is extremely limited. >> reporter: general buchanan in charge of the military's response on the island just really nailed it when he said look, it looks like an atomic bomb went off in puerto rico we drove the whole length of the island, down to the southern coast and back up to san juan, and the infrastructure is
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intensely damaged. but hey, puerto rican houses are made of concrete so largely, they are intact with their roofs still on that was remarkable to see we also saw 5% of electricity restored and utility crews tackling what looks to me to be a massive job. 15% of cell phone towers are operating and where that's happening, drivers are clustering in their cars to make use of those signals as you mentioned here, the president is coming in tomorrow. relief flights are being hosted, helicopters leaving for that purpose, have shut down in preparation for the president's arrival tomorrow that itself is causing controversy, much like his weekend flurry of tweets did as well guys >> contessa brewer on the ground in puerto rico the oil market closing for the day. let's go to jackie deangelis >> crude prices losing about $1, testing the $50 mark
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the session low was $50.07 reports from last week that opec output is on the rise combined with u.s. producers adding rigs, leading some to feel the market has gotten ahead of itself on price once again there was a demand boost when the refineries came back online after harvey but that's normalized a little bit. the story appears to be the same at this point. higher prices encourage producers to pump, more supply comes online and down goes the price. also note the dollar index rising could be adding some pressure towards that $50 mark as well. back to you. >> jackie, thank you very much the top story, gunman opening fire on a large outdoor concert area right now, there are 58 confirmed dead more than 500 were injured in las vegas. how do we protect these massive outdoor gatherings can we two security expertsoiusn sthanext jn o focused on what you love, not how your money will last through retirement. we make it easier to plan for retirement
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this is a live shot of the white house, where president trump and first lady melania trump will lead a moment of silence to honor the victims of that mass shooting in las vegas. expect that to happen at quarter to the hour. now to sue herera for the latest >> thank you very much here is the latest on the las
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vegas mass shooting. the death toll now stands at 58 after a gunman opened fire at a music festival on the las vegas strip last night 515 people have been hospitalized it is the deadliest shooting in u.s. history the suspect has been identified as 64-year-old stephen paddock we are beginning to learn a little bit more about him. multiple senior law enforcement officials say paddock had been gambling heavily at casinos in las vegas in the past several weeks. he recently gambled more than $10,000 per day on multiple occasions. his brother spoke outside his home in orlando. >> i mean, it's his fault that he did this. but i would like to know where he found the machine gun because that's not something that's that easy to come by, i assume. and he's not -- he has no criminal record. he has nothing, nothing, nothing. no affiliations with anything. there's nothing. >> president trump says he will travel to las vegas on wednesday. he spoke from the white house this morning, saying the
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shooting was quote, pure evil, and the nation must stay unified. as tyler just mentioned, the president and first lady will indeed hold a moment of silence on the south lawn shortly. that is the news update this hour brian, back to you >> sue, thank you very much. it is a sad question now to ask, but are people going to be afraid, too afraid, to attend a big outdoor event like the concert last night we are joined with more from los angeles on this. julia? >> that is a fair question now what will this shooting make people think will it make people more concerned about going to concerts the route 91 harvest festival where the shooting occurred last night was run by live nation, the world's largest concert company. no official comment from live nation yet, but its ceo tweeting quote, our hearts are with the victims in las vegas, their families and loved ones who are grieving this morning and to our live nation employees. now, live nation shares are down a bit on this news this is the second time this
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year that there was a major attack on one of live nation's concerts it was just this past may there was an attack at that ariana grande concert in manchester after that tragic attack, live nation outlined new security measures for all its events, including making all bags subject to search. it along with other concert and event companies have protocols in place that they don't disclose, and in addition to their own security concert promoters and touring artist teams usually work with local law enforcement. as for the question of whether people will change their behavior now, in june after the manchester attack, a gallup poll asking americans if they are less willing to attend events with thousands of people, 60% said no, there is no impact, they are not less likely we have to see how those poll numbers change there are certainly massive global events coming up including the winter olympics in south korea in february followed by the world cup in russia in june and july. guys, security will very much be in focus >> from experience, incredibly
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intense as well. thank you, julia we are waiting for that moment of silence at the white house. while we do, let's discuss more about what we have been talking about throughout the show here what do you do about large venues can they ever truly be secured we are joined by paul worthheimer from crowd management strategies. also, ron hosko, former fbi assistant director he has lots of experience when it comes to large events like the olympics, the world cup, et cetera gentlemen, good to have you here crowd management strategies. what do you say to what happened in las vegas could something have been done to keep more people safer? >> a terrible, horrible, event for sure yes, i think there are a lot of questions that need to be asked and they need to be asked about the crowd management plan and especially about the emergency plan there seems to have been none in place or none used
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that made it more complicated for people to escape harm's way. >> give me an example. if you are managing this event, you are telling your employees ahead of the event in the case of emergency, do what? >> well, first of all, you want to make sure you have trained employees in proper number we don't know what that situation was yet. and you work out various risk assessment plans certain scenarios that could occur. certainly a mass evacuation would have been a reasonable scenario not just for a shooter maybe severe weather maybe a stage collapse maybe a fire there should have been a plan to help people escape or seek safe refuge somewhere as you can see from the videos that were played, mr. aldeen sensed something was wrong, said
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something to the effect that doesn't sound right and the stage went dark and that was it. people were left on their own. >> they weren't sure where the bullets were coming from ron, you have helped with very large events are there evacuation plans at places like the olympics, et cetera, and can you really put that kind of thinking into every little single concert that happens in a country >> yes, at bigger events that have a longer time window to plan out, particularly when there are celebrities or protectees coming to the event, there are often weeks or months to think through a security plan, to train people on that security plan and to manage security by both attendees and vips in an effective way one of the challenges goes to your second question the notion of placing a perfect bubble around a venue starts to
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come apart as simply as this just a few blocks from me is what used to be known as the verizon center, where the d.c. hockey team and basketball team would play, major concert venue for big stars to come here on a regular basis. >> hold on, sir. i will interrupt you because we are expecting the president to come out for a moment of silence here, supposed to happen at 40 minutes past the hour. i'm so sorry to interrupt you. >> that's okay >> have we seen the president yet, guys? here we go
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[ bell rings ]
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>> president trump and first lady melania trump observing a moment of silence at the white house in the wake of the events in las vegas last night. let's go back to our guests who are helping us try to figure out whether or not there are things that could be done to keep people safe. mr. hosko, you were just about to answer the second question i asked you about if you are going to have an emergency evacuation plan at every single event where people are amassed, is it possible to actually do that and have the quality of training that you need for every single time that americans come together >> well, once the venue has a regular plan and is rehearsed, practiced often, all employees are trained against it on a regular basis, you may have a
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workable plan in place what i was going to say is right down the street at what used to be known as the verizon center, the verizon center itself may do and seemed to do a very effective job with security. plenty of security personnel, walking you through a hand-held mag to check you for weapons or heavy metal on the way in. the problem is, with any security of that nature, you are creating a chokepoint, essentially squeezing the bubble, squeezing the balloon and what manifests itself in the streets of washington, d.c. around every concert, around every big league hockey game and basketball game, is the streets outside the venue are full of people just like at this event in las vegas. and those people to a determined attacker are going to make a better target than people inside the venue. all i need to do is get to -- to come into the street and open fire >> as a virginia tech hokie, particularly close to my heart,
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i went to the memorial on saturday of that shooting in 2007 we heard a lot about quote, securing the perimeter after that event if you know virginia tech's campus it's impossible what we learned was basically that the shooter, who i would never name on television, ended up having a fairly long history of psychiatric issues. should we be focusing more on that a lot is coming out about the stephen paddock's father being a bank robber, being a psychopath, according to the fbi, this guy clearly had some issues. do we need to focus more on identifying potential suspects and seeing the signs rather than trying to secure that which cannot be secured? >> absolutely. i think it's a combination, really, because your threat posture has to be based on intelligence we can secure almost anything, any bubble, almost perfectly although when i was the agent in charge of criminal over here in washington, d.c., shots were fired that struck the white house. should be the perfect bubble but it can get through
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but i think it has to be a combination of things. what is the threat level, what do we understand is the threat, what does our intelligence tell us and then who do we see as potentially threatening actors you hit a great point. we can talk about gun control, but we should be also talking about mental health in america today, the lack of treatment of the virginia tech shooter and so many others, jared loughner, holmes out in colorado you can tick them off. sae sandy hook we have to be paying attention to mental health and how do we care for these people and keep high-powered weapons out of their hands. >> there is clearly a mental health crisis in this country. thank you very much. appreciate your time i'm sure we will talk to you again. coming up, more on protecting those soft targets with the head of one of the country's ggt biesmall operators. that's next.
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with last night's tragic shooting in las vegas, what steps if any can be taken to improve security at places like movie theaters, restaurants and big shopping malls joining us on a "power lunch" exclusive are courtney ragan and peter lowey, chairman of the los angeles county homeland security
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advisory council, which makes him uniquely qualified to talk about today's event. courtney, take it away >> thank you very much, tyler. thank you for joining us here today. we just had a moment of silence from the president and the first lady after the tragic shooting in las vegas here we are in this open air beautiful mall in los angeles. you are the co-ceo of westfield that operates this mall, but you also are the chairman of los angeles county homeland security advisory council what are you doing to keep shoppers safe? >> firstly, thanks for having me today on what is a very difficult day. thoughts and prayers go out to all of the victims of the shooting unfortunately, this sort of thing is more prevalent than it should be. it's hard to narrow in on how we can keep the city and the mall safe for customers >> we want to get to the business of why we are here today. that is of course the grand reopening of this mall you spent $1 billion to give this mall a major facelift and
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an expansion at a time when many look at retail and say physical retail is not the future why spend $1 billion here on this mall? >> well, i would argue that the reports of the demise of the mall industry have been the mall industry have been far too exaggerated, but on the other hand, lot of the malls in the country and a lot of the physical assets are aging. and you do need to upgrade the mall, you do need to have the best retailers, and every 20 years or so, you need to spend that kind of capital to remake the mall and here at century city, i believe we have the mall of the 21st century in what used to be the city of the 20th century. >> and so speaking of upgrading, this looks a lot more like a city and a lot less like a mall. there's more food and restaurant concepts here than there are clothing stores. is that the key to the mall of the future, make it look less like a mall? >> well, exactly right the idea is to keep the customer coming back, give the customer something that they like to do and not just come to shop, but come to a place where they want to be, they want to relax, they
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want to meet their friends, they want to create their own physical social networks and here at century city, when you look at it, 45% of the retailing is fashion, 25% food, another 25% entertainment. so it changed the whole nature of what a mall is. >> there are a lot of different types of tenants here. there are three different gyms there's an eatery. we talked about the restaurants. there's an amazon books. binobo's that doesn't sell inventory you can take out of the store. what the key tenants of the mall and the mall of the future for westfield properties >> even though business is a little difficult for the department stores, bloomingdale, nordstroms, top two department stores in the country who give a very good service and great range for their customers but then you come down to the new retails we have here, we have 200 shops here and about 90% of the retailers are new. some 50 stores in the mall are new to los angeles, itself so we just got to keep changing
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the variety and giving the kucht h quu customers what they want and giving them an incredible experience. >> thank you, peter lowy, co-ceo of westfield of century city mall in los angeles. >> courtney, peter lowy, thank you very much zblmp. rit dk,e' gng find out if gold is a good bet for your money "trading nation" is next
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all right. let get back to investing in trading. the trading nation team ask the should you invest in gold? jina oppenheimer gina, do you think the gold is a solid investment for our viewers? >> i don't now here i am. >> i think she doesn't -- >> do you hear me now? it's brian sullivan. >> ari, can you hear me? okay we've lost gina and ari. okay we're going to get them back we're going to take a -- >> reset >> we call it a reset in the television business. we're going to reset that. more with "trading nation" right after this short break >> and now the latest from tradingnation.cnbc.com and a
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horrific events like what we saw last night in las vegas, what can be done in the future. one thing we talked about, i thought was the most interesting part is evacuation measures at events where you have a lot of people you go through this on planes all the time here's how we're going to evacuate in the case of emergency, but it almost never happens. at any kind of venue and maybe that's going to be something -- i know, i think about it personally whenever i go to a large event, but does the venn you owner and the promoter of the event also have to start thinking about this >> maybe there needs to be a pregame or pre-event announcement that tell s you where the nearest exits are. last week at the chicago/green bay packers game, there was a lightning storm, they had to evacuate the stadium for the lightning. they did it very, very quickly one of the things is how businesses are going to have to we write their financial formulas to take security more and more into account. it's going to cost them more they're going to have to invest more in high-tech securities, physical barriers and the like
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it's going to change some of the equations for business even more than it has already. >> i wonder if this will change our behavior it has not in the past unfortunately, too many of these events -- >> this is -- >> -- in america obviously will go on. >> we have trucks drive into things, now shooting from above. it is really a different kind of threat. >> thank you for watching "power lunch," today, everybody >> "closing bell" starts right now. welcome to "the closing bell," everybody, i'm kelly evans at the new york stock exchange. >> i'm bill griffeth we start with the big breaking story. you've heard it by now, the largest mass shooting in u.s. history. a 64-year-old gunman firing at that music festival on the las vegas strip last night officials say that at least 58 people are dead. more than 500, incredibly, have been injured and we get right to cnbc's jane wells who ha

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