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tv   Markets Now  FOX Business  May 1, 2013 1:00pm-3:01pm EDT

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♪ melissa: welcome. i am melissa francis. lori: good afternoon. i am lori rothman. today's report is not good for the economy. good enough to keep us hooked on the side. melissa: north dakota energy boom exploding. the state holds way more oil and gas than previously expected. whether this date is ready to deal with the boom. lori: and insider look at challenges facing the fcc chairman. president obama was nomination is expected next hour.
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the latest out of boston. three more suspects have been arrested in connection with the marathon bombing. let's get to the new york stock exchange and nicole petallides. nicole: yesterday was a new record all-time closing high. over the last hour or so, we have seen a little of a loss. the tech heavy nasdaq is the worst of the three. we have gotten our adp report numbers. not as many jobs were added as many had hoped. merck has been weighing on the dow jones industrials. right now about eight negative dow points come from mark.
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that is a disappointment. it is down about 2.5%. much like what we saw from pfizer yesterday. lori: thank you as always. you and 15. melissa: the move showing oil hit a record high. phil flynn is in the pits of the cme. do we have storage for all of the oil? >> we are running out of it. i can tell you that. it is all about the oil boom you will be talking about a little bit later. we are hearing concerns out of saudia arabia. they are getting nervous. should they expand, should they not. it is not all for the better.
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there are concerns about the economy right now. can the fed save the oil market right now? commodities are contracting and there is a lot of concern. china, the second biggest consumer, their numbers are bad. oil is really down right now. whether it can bounce back or not may depend on what the fed has to say later on today. melissa: phil, what about natural gas? >> knocking off the 2011 hide. we are seeing natural gas as a risk aversion from oil. melissa: great. phil flynn, thanks so much. great news from the northern plains. finding twice as much oil and three times as much gas as
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previously estimated. what does it mean for the state of north dakota? joining me now is senator john hoeven. in terms of tax renewal, i mean, right now the state is taking in just under a billion dollars. that will jump to 2 billion-billion dollars. >> good to be with you. this is really good for north dakota. it is good news for the country. industry thinks it is actually low. that means a lot of energy. that means a lot of jobs. our state is very strong. we have no debt.
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melissa: if you look at the revenue it will bring into the state, you do generally realized that there is more there than you originally thought. this is not totally uncommon, but it is creating some interesting problems for your stay. for example, mcdonald's is giving a signing bonus to get people to work there because there are not enough people in the state to fill all the jobs that you have which is incredible. we have other states where there are so many people unemployed. burger king is offering people $5000 just to sign on. do you have enough housing for all the people you need to bring in in order to fill these jobs? how is your state dealing with these problems? they are great problems to have
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call but problems nonetheless. >> you are also right in terms of the impacts. we are not the fastest growing state in the country. the reasons i pushed them to do the updated study is to attract more private investment. we want to attract shopping sites, movie theaters, restaurants, all of these things. we need private investment and private development to go along with the public infrastructure that we are developing. that is also why i work hard on things like the keystone exxon pipeline. melissa: absolutely. let's talk about housing first. near the airport, the land is
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selling for as much as $180,000 an acre. you have company coming in to build big multi family units. 727 single-family homes. how are you attracting more investment like that? are you giving them tax incentives? what do you do? >> absolutely. we are providing all kinds of incentives. that is exactly what this updated valuation of our reserves is all about. this energy play will be a long-term play. bolts and oil and natural gas. they indicated three times as much natural gas as estimated. this is going to be a long-term
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play. we are attracting people to develop it so they will be able to recoup their investment. that is vitally important. melissa: you are your own of merging market. north dakota, the smartest state in the nation. both california and new york have these huge pension liabilities. thank you for joining us. >> thank you, melissa. appreciated. lori: traders on the floor have an edge over other investors. adam shapiro has the story. >> we are talking about the computers. when firms play footers, what they are getting is a confirmation that the order has been executed. they are getting it a couple milliseconds prior to everyone else getting it.
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they actually said there may be times when customers can experience a latency of a few milliseconds. these instances are not consistent. in english, yes, high-frequency trading does give an advantage to some people. they are implementing additional hardware, software and architectural upgrades. english translation, we are trying to level the playing field. back to you. lori: appreciate that. that you, adam shapiro. melissa: facebook expected to report after the bell. lori: home ownership rates way down. renting is up.
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melissa: we are separating the barcode. lori: do you think you know the first item ever scanned? melissa: i do. we will tell you just ahead. lori: let take a look at metals while we had to break. we are back after this. ♪
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♪ melissa: it is time to make some money with charles payne. we are in our spring colors. we are trying to inspire everyone to feel springy. charles: maybe we should havewa. investors have really good memories. they all started in april. what they all have in common is
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they have been sharp, they have been swift and they have been tough. last year was actually the best. the april 2, 0111, also complicated by the debt ceiling debate. those are huge sharp declines in a relatively short period of time. i have to tell you that i do the making money with charles stuff and i got an e-mail today. the very worst one i have done so for he bought it. he told me he was nervous. that is not investing in the market every time a stock goes down. what i have noticed is so far it has been more of a stock market phenomenon then an economic phenomenon.
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although, last year we did have a little bit of the client here and there. this year, right now, so far, it looks like we are swooning in effect of the economy. lori: what is the likelihood that this is just an outlier? charles: obviously, without the near all-time highs territory if we had not rebounded from those positions. without a dow, we are hearing from ceos. they are saying take our word for it. the second half of the year will be better. essentially, this is what we will have to do but today we look at adp, construction, you know. these bumpy rides, along with the idea of being an investor. if you are going to be a
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traitor, perhaps, that is something different. melissa: that is so true. charles payne, do so much. lori: thank you, sir. nicole petallides on the floor of the new york stock exchange. nicole: if you were hoping for a dow 15,000 sooner or later, you are a little disappointed to david we did see triple losses. it is down about 97 points. the nasdaq composite is down three quarters of 1% of the s&p is down over a half of 1%.
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the adp report was really disappointing. let's talk about facebook. right you see it down 1%. 27.52. it went up to $45. it was a $38 ipo. here it is right now. we will keep checking on this one. lori: unreal. thank you. melissa: coming tonight on "money", frank visit nine oh. he has left jpmorgan. he is the ceo of first data. it is the first official exit interview. don't miss it. lori: in the meantime, inside the svc, robert dowell joined those exclusively.
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melissa: a downright awful adp jobs report. lori: the very latest out of boston. three more suspects arrested this morning in connection with the marathon bombing. ♪ i'm telling you right now, the girl back at home would absolutely not have taken a zip line in the jungle. i'm really gd that girl stayed at home. vo: expedia helps 30 million travelers a month find what they're looking for. one traveler at a time. expedia. find yours.
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♪ >> i have your fox news minute. boston police say three additional suspect has been taken into custody in connection with the boston marathon bombing. the chargers will accuse them of providing some sort of assistance or coverage to the main suspect. tamerlan tsarnaev is now dead and his brother, dzhokhar tsarnaev, now in federal custody but they both were fellow students of bombing suspect of dzhokhar tsarnaev. the two new suspects were taken into custody on april 21 the charge against them will be obstruction of justice.
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fox news has confirmed the third suspect in custody is a u.s. citizen. as more information becomes available, we will report it to you. back now to melissa and lori. lori: this chapter is clearly not closed. my next guest says predictable central bankers are leaving the door open for some profitable trade. axl merck joins us now. since bernanke is bailing on jackson hole, it is probably a lame duck. >> to your point, you may not like them. you know what obama, bernanke, merck are up to.
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that provide some opportunities. bernanke is at risk of becoming a lame duck. everything has been pushed higher. the only reason you are buying stocks is because of quantitative easing. the currency market, specifically the dollar, is a place where you can express your view on what a be happening to our printing presses. lori: it is fascinating. considering the euro is also easing that the fact that the euro is showing so much strength is kind of surprising to a lot of people. >> well, it is. look at something like apple. the euro has sold off quite dramatically over time. there is value in the euro. there are many reasons why it
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could go higher. they have been marking up liquidity in europe. the federal reserve is more demand driven. there is talk about and interest rate cut in the euro zone. it is pretty useless. it is the week countries that need lower rates and they have been getting lower rates in the market. we called the euro the potential rockstar of the year. we have everybody else "printing money." the fed is not done printing money. in britain, tte current head of the bank of canada will come in. the europeans are the ones left there. the reason they have all of this pain is big they have not printed all this money to cover
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up their problems. that will continue. the euro will continue go higher, and our view, white substantially. yes, it can reach 150. lori: where can you go to a safety right now? >> there is no such thing as a safe haven right now. you mentioned gold. we like gold. not because of the issues in the euro zone. we like it because there is too much debt in the developed world. the japanese, birds and americans will all go for inflation. the printing press is the world less traveled. do not trust your own central
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bank no matter where you live to take care of you. equities is one place where you can try to stay, but it is very volatile. lori: axel, always great to talk to. >> my pleasure. melissa: is the american dream fading? lou dobbs is here next. lori: let's look at a dow component for you. most are lower. dow performers are at&t, walmart and pfizer. we are back after this. ♪ she knows you like no one else. and you wouldn't have it any other way. but your erectile dysfunction - you know, that could be a question of blood flow. cialis tadalafil for daily use helps you be ready anytime the moment's right.
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melissa: time for stocks now as we do every 15 minutes. let's head to the floor of the new york stock exchange. nicole petallides is
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standing by. we're 30 minutes away from the fed decision here. >> that's right. so obviously key to see what our policymakers are thinking these days. they will be waiting for that. at the same time we have big news in the telecom and mobile world. look behind me. you see some pink on the floor? check it out. this is because t-mobile today, now, at tmus is up over five 1/2% for t-mobile today. started trading. this is of a the unit of deutsche telekom acquired and merged into metropcs. so even if you put in pcs, the old ticker of metropcs, you will get it. mobile. we had the ceo on earlier with us today on the fox business network and obviously a good day for trading here for it. mobile. back to you. lori: nicole, that's great, thank you. homeownership now at the lowest level since 1995. only 65% of the americans own homes they live in. that is according to latest census data. is it another sign the american dream is should we be concerned?
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lou dobbs is here. pick it up. >> it is to the issue of being concerned. it is as if we're replex sievely concerned about change in statistical banks of information. at this point i don't think there is anything to be concerned about because we're looking at a housing industry that is in recovery whether multiple family homes or single residences. homeownership became a mantra. melissa: that's the problem. that is how we got into this mess. it became a core value you know. >> going back to 1994. the community redevelopment act. suddenly clinton and the boys were deciding they would make this, it is just silly. i think what we have to wait and see to, to examine what the impact is, because rent has been a perfectly honorable position to be in throughout our history. and, i think it's basically a healthy time. we're looking at 65% homeownership. i mean that is pretty darn
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good when you think about the fact that most people said they're retiring. nearly 60% of the them don't have enough money to retire. so, i'm i'm not sure how you square up those numbers. melissa: yeah. >> you have a lot of stresses and strains within the households of this country right now. let's see how it plays out. melissa: difference between renting and buying is just the difference how you finance the place you're currently living in. we put it forward as a value, but for a lot of people, it doesn't make economic sense if the house isn't going up in value. a lot of people depended on that happening over a long period of time and thought of it as retirement savings. turned out not to be the case when the housing market collapsed. or used it like a piggybank and pulled all the equity out. it is healthy to get back to basics and have people putting money down or maybe not buying if you can't afford it, doesn't make economic sense. >> my wife and are fortunate buying a house 30 years ago we still live.
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we raised a family in that house and have no interest in moving. and i think right now, you're looking at a lot of people who, uncertain because of their job prospects whatever it may be. >> right. >> mobility requires that capacity to pick up and go where the jobs are, where the economic opportunity is. and i think that's a wonderful thing. lori: yeah. >> upward mobility means being mobile. melissa: that's a great.. >> that is our urban core are so caught in generational poverty is because they're not being incentivized to move to the jobs. melissa: yeah. >> for various reasons. and that's wrong and, you know this president and others should be working on it. the two hardest hit ethnicities right now in this economy are blacks and hispanics. and, that mobility is so essential to go to where jobs are. they're few and far between. you have to be able to move to them. lori: that should be the american dream, that potential for upward mow built. i think what is striking
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about this research is the fading american dream, whether it is a home or just opportunity. right? so i think you hit the nail on the head by bringing up that issue. >> we talk about fading american dream, really this is to me about fading leadership. this is an aggregation and this is not a partisan statement in any way because it applies to both republicans as well as this president and democrats. this is a group of leaders who are bereft of originalty and ideas and passion about the welfare of others that isn't based on the dependency of government programs. but rather inspired ideas about how to create opportunity for millions. and, this president is laying down. the democratic party is laying down on this issue. the republicans continue to talk about budgets and debt. my god, quit boring us. come up with new ideas. do something for the country. lori: thank you, sir. catch lou with us most days
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at this time at 7:00 and 10 eastern. we have the victoria toensing, former chief counsel of senate intelligence committee. she is representing one of the whistle-blowers. don't miss it. >> thanks, lori. lori: a venture capitalist, lobbyist and friend of president obama, tom wheeler expected to be nominated the chairman of the fcc next hour. before that a look at what he faces should he be confirmed. melissa: current fcc commissioner robert mcdowell joins us excludes sievely. -- exclusively. that is coming up next. we get ready for the fed announcement. wow, yield is dropping dramatically, six basis points. we'll talk about that. lori: safe haven today. friday night, buddy.
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>> i'm cheryl casone with your fox business brief. shareholders of mcgraw-hill company given a green light to the name change. mcfwrau hill financial will have a new ticker to go along with its new identity. they will trade under mhfi. they have traded under the mph ticker since the '50s. according to new surveys small business owners are feeling more optimistic about their company. small business index jumped seven points thanks to owners feeling more upbeat because of improving finances. in a separate survey by the kauffman foundation and legal zoom, 84% of the
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entrepreneurs were confident in the first quarter about their company's profitability in the next year despite feeling good about their pros prospects saying owners are pulling back on some hiring plans. that's the latest from the fox business network, giving you the power to prosper.
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lori: won't be official until next hour, president obama's new pick for sec chairman is drawing controversy and fire from consume earth guys. what might a member of the fcc say about that? dennis kneale is here and snagged fcc commissioner robert mcdowell. >> thanks, lori. thanks for being with us, robert mcdowell. tell us what you know about tom wheeler who president obama is likely to nominate the fcc chairman in the 2:00 hour? >> i have known tom for several years. he used to head up a trade
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group that represented cable tv industry and another trade group that represented the wireless industry. for the past few years he has been a venture capitalist. he certainly understands the capital markets and business. he is also 67 years old. so he is a grown-up. he doesn't really need to prove anything to anybody. i think, i have a lot of hope here. you know, this is a political process. elections do matter. philosophically and from a partisan perspective he and i probably don't share a viewpoint on certain things but i think he will be pretty thoughtful. he is very knowledgeable and has long leadership skills so there's hope. >> talked to some industry people and they like the idea. i look at bios of previous five fcc chairman. usually law clerks, lawyers, government bred, government jobs, this guy is really a business guy but some industry executives wonder because he was a prolific fund-raiser for president obama is he going to really reflect industry good, economic policy or just going to do what president obama wants? what do you think?
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>> well, so this is a political process and he is being produced through a political process and he still has to get confirmed by the senate by the way. there will certainly be political pressure on him from various groups. he had to get the endorsement from some left of center groups and so you have to ask, what does that mean for the future when it comes to some of the dicier issues? but the good news is that he is at the end of the his career. he is 67 years old. and, this is a capstone. he doesn't need to prove anything to anybody. >> right. >> he is very strong-willed. he has strong leadership characteristics of the so i remain hopeful but also cautious. >> okay. and commissioner, let's talk about some of the dicey issues. this is rather devisive agenda. talk, three topics. net neutrality, spectrum options and harder regulations for wireless. why don't you run through those if you would. tell us about net neutrality? >> net neutrality is basically regulation of internet. it has been struck down by federal appeals court once when the fcc tried this
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several years ago. another federal appeals court will probably strike it down later this year but the fcc could try to the regulate the internet the way it did mow no polely phone companies, under old laws that go back to 1934 ore back to the 19th century. that would be disasterous for stocks in, cable companies and telcos and all the rest. >> amazing that is even a possibility that the fcc would do that. shows you how an agency, i'm know you're part of it and hunger to regulate and grab more turf. what about spectrum auctions? i love this. the government decade ago gave spectrum to television local tv stations we'll buy back the free spectrum from them so we can resell it to wireless companies? >> yeah. by the way i voted against all that stuff about expanding fcc authority. going forward that is how it works as congressional statute out of law of congress to give tv broadcasters incentive to release some of their
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spectrum so we can license it to wireless broadband providers. hope it works but there is lot of room for error there. that is probably a couple years away before we actually see an auction. >> don't let at&t and verizon bid but take down billions of dollars government need to receive. lastly, wireless, two years in a row, i think it is fcc staff came out with a finding we can't really determine whether the wireless industry is competitive enough. never mind we see at&t and verizon killing each other in commercials. what is going on with that? is this bureaucracy, fcc's attempt to start regulating the wireless industry, isn't it, you will move and take them over? >> exactly. lay down the foundation, lay down the pretext so they can have more regularlation in the space. wireless industry is crown jewel of the american economy for years and years precisely because it is deregulated, not regulated from the beginning. think about all innovation an investment going on that is really changing lives and literally saving lives. that is because it has been
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deregulated. it would be a shame and crime if they regulate it more unnecessarily. >> thank you so much. commissioner robert mcdowell. extraordinary for sitting member of the fcc and front run the president's nomination announcement and i love you for it. >> you bet. my pleasure. melissa: he was so plainspoken and such a great interview. >> wish he weren't leaving fcc. melissa: i don't know what to do with myself. i'm in shock after the interview. he was fantastic. lori: very honest answer. >> so bizarre, a government regulator doing that. i can't believe it. >> he is deadpan man walking leaving fcc in days apparently. he can say whatever he wants. melissa: whatever. lori: i voted against that. melissa: so as we do every 15 minutes let's check on the markets. john corpina, meridian equity partners on floor of the new york stock exchange. we're accelerating losses here. the market is down 14 points. what is going on here, john? >> we have a couple of factors. as we got to the end of the month in april some fund out
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there needed to be in into the market and were buying into the market. soon after they get into the market and statements are being printed out they will start making sales as we head into may. the second factor we have fomc comments coming out in another 15 minutes or some anytime we get the comments that come out of washington we're hoping for good information. we're hoping for some transparency. sometimes we don't get enough information that gives us ability to make more longer term decisions. if we see the normal blanket statement we've seen month in, month out, investors might take opportunity to take short-term profits off the table. once again we're in the middle of earnings season. facebook is coming out after the bell today. not that facebook is real market mover. that is just household name. people focus on it and recognize it. melissa: jonathan, thanks so much. good stuff. >> thank you, melissa. lori: a chance to buy a piece of the empire state building. latest on the new york courtroom battle over the iconic new york landmark. melissa: quick programing note. we have the business of
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travel tomorrow on fox business all day. we have a lot great stuff. don't miss it. lori: let's show you some losers on the nasdaq. back after this this is $100,000. we asked total strangers to watch it for us. thank you so much. i appreciate it. i'll be right back. they didn't take a dime. how much in fees does your bank take to watch your money? if your bank takes more money than a stranger, you need an ally. ally bank. your money needs an ally.
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melissa: following up on story we brought you yesterday on empire state building ipo a new york judge, peter sherwood rejecting arguments that the ipo would violate state law. the ruling allows real estate tycoon peter mall ken and his son to raise a billion dollars to take the empire trust public. once they get 80% approvals from shareholders the remaining holdouts will have 10 days to agree to receive
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$300,000 per share. if not they will be bought out at $100 a share according to really old contract. very interesting. lori: seems like an obvious choice to me, right? >> seems pretty straightforward but you know. lori: it is an iconic landmark here in manhattan. happy birthday to the bar code. today, marking 40th, 40-year anniversary that the scanning technology has been around. in today's technology-savvy economy the bar code sure goes beyond the checkout counter at grocery store, serving purpose for smartphone scanning and online shopping of course. that could come in handy one day, the first item ever scanned with a bar code was wrigley's chewing gum. melissa: a pack of gum. that is very interesting. that will be on a game show some time. lori: or snapple cap underneath it. melissa: there you go. yahoo! ceo, marisa mayer infamously known for banning employees from working at home, is changing company doubling amount of maternity
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for expectant mothers is 16 weeks. including eight weeks of paternity leave was not previously offered as all. the moves comes as she looks to compete with benefits offered at large internet companies in the bay area. that is lot of positive pr. lori: to make up the negative pr from banning others from working at home. melissa: she is turning it around. we have a former jpmorgan former coo top lieutenant to jpmorgan. he is going to join us to discuss his high-profile exit from jpmorgan in the wake of london whale scandal. how he will tackle the his new role as ceo of first data that that is exclusive 5:00 p.m. eastern on fox business. mr. fix-it. at jpmorgan chase. one of jamie dimon's top lutz for a long time. he is going to join us exclusively. lori: great guest. we'll be watching that. we're watching the fed minutes away from the fed statement on the economy and its future plans for
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stimulus. seven minutes away. the decision comes out at the top of the hour today. and ahead of that we want to show you bond market. melissa: look at that. look at that? lori: 10-year note yielding 1.61%. a class being flight to safety. soft economic data here. the stock market selling off. gold is breaking down. so there are your market gyrations ahead of the fed. tracy byrnes and ashley webster will bring you the decision plus all the following market reactions to the decision with their all-star panel. that is next. stick with us here on fox business. ♪ [ cows moo ] [ sizzling ] more rain... [ thunder rumbles ] ♪ [ male announcer ] when the world moves... futures move first. learn futures from experienced pros
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tracy: welcome back. i am tracy byrnes. ashley: i am ashley welter. waiting to see if the fed will
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make any changes to it stimulus plan. will the fed give any hints about when it will pull back on quantitative easing? the answers are just moments away. tracy: let's check on how the markets have been doing. started out with dad news from adp. the dow is down 109-point right now. olio, of course, down as well. inventories are up. therefore, the price of oil is down. we have an all-star panel to guide us through this. portfolio manager -- pretty
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cool. our very own nicole petallides is at the nyse and sandra smith doing her last hurrah today. nicole petallides, let's head to you first. nicole: it is interesting how we are moving to session lows. the dow jones industrials are down about 115-point right now. most of the economists are not expecting to see much change. the language is to see if they really cut back on these purchases. will they make any changes? we are in this wait and see mode ashley: you expect the fed to taper purchases. the growing number of analysts say no, this is going into at
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least the spring of 2014. >> we are not expecting anything right now. they get to play this game for a little while longer. things will be looking pretty good. our estimate is that growth will pick up closer to year end. all of a sudden, that 85 billion is now 48 billion. the u.s. government will issue much less that. ashley: thank you. some people think that maybe they will keep the mortgage backed security purchases the way because they believe that is showing some progress.
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they may end up cutting back on the treasury. we are saying that money filtered down into the economy. let's go to peter barnes with the fed latest position. >> no change in current monetary policy. quantitative easing returns. let's go right to the economic analysis right now. labor market conditions have shown some improvement in recent months on balance. the housing sector has strengthened further. this goal policy is restrained
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economic growth. longer-term inflation expectations have remained stable. the committee expects that economic growth will proceed at a moderate pace. the committee continues to see downside risks to the economic recovery. inflation over the term will likely run at or below its 2% object to. the committee decided to continue purchasing additional mortgage-backed securities. these actions should maintain downward pressure, support or good markets and help to make our financial commissions.
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they will continue purchases of mortgage backed securities. the committee is prepared to increase or reduce the pace of its purchases. the support continued progress towards maximum employment expects monetary policy will remain appropriate for a considerable amount of time after the economic recovery strengthens. the committee decided to keep the target range at zero-.25%.
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inflation between one and two years ahead is projected to be at no more than half a percentage point above the goal. when they decide to move that, it will take a balanced approach. once again, the policy statement this today is 11-one. back to you. ashley: peter, they do so much. tracy: interesting; right? let's bring back our panel to get some reaction to all of this. michael, i have to do in first. you are a portfolio manager.
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you are probably doing a little secret happy dance right now. the money will keep coming. >> for equities and other assets, it increases the likelihood of further increases and further bubbles driven by monetary policy. for other assets and treasuries, as well, there will continue to be downward pressure. there is a lot to be thankful for here. and the long-term, all it really is doing is masking the issues. that will have a bad ending at some point in time. i just do not think we know when that is. i did not hear anything about slowing down at the end of the year here.
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this could go on for a while into 2014 or 2015. ashley: talking about endings, at some point the rate will go up. could we push the economy back to where we started this whole mess if the fed does not get this timing right? >> i lewdly. the two michael's definitely agree in this case. if you look at 2.5 gdp growth underneath that, 8.1% growth in durable goods spending -- what the fed is doing is making houses and cars more affordable for people. as soon as rates go back up, that affect is gone. once the bubble is gone, by the way, rates are at their lowest level since 1896. you know they will go back up.
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everything they have tried to do will go away. i completely disagree with the fed's statement that fiscal policy is a drag right now. look, the economy is growing in the face of reduction and government spending. they are trying to give the credit to the monetary guys. and they win, tails they went. the economy always loses with this kind of policy. tracy: sandra smith, i want to toss it out to you. sandra: we have seen the bond market continued to see buying. it was up earlier in the session. obviously, this is investors flocking to the safety of government debt.
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the short end of the curve holding onto the gains it had earlier in the day. we are also looking at the currency markets. the u.s. dollar has erased it earlier loss. we are looking at the un right now. the professional traders mostly look at the s&p 500. we are up just slightly above where we were, or we should say off the lows of the session from where we were prior to the fed announcement. there is a little bit of buying on this announcement. it is also a lack of confidence that we are seeing from the fed. if they do not see things getting better or the economy improving enough for them to signal the end of that program, then things may not be as good as some may hope. that is why we are not seeing a huge rally back.
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they mentioned, obviously, that the fed will be watching labor and inflation. jobs report on friday is the next big key in -- indicator. remember, we are seeing not signs of inflation. many of them seeing significant selloff in the month of april. back to you guys. ashley: thank you very much, sandra. let's go to drew. if we get something equally horrendous this friday -- >> i think one of the interesting things is they blame fiscal policy, but they don't
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blame any other policies. there may be a slowdown in the 20-49 category of employment numbers. the reason being they want to stay below. they want to stay below the 50% level. tracy: michael, i will bring you in one more time. we have heard talk of that. there should be more fine. are you in that camp that we should put more money in? >> based on the previous action, sure. i would rather go the other way. it is suppressing market activity.
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i think it hinders us long-term. i think the one thing that is interesting is gdp number that came out last week, while most of it was private sectors spending. a lot of it was based on consumer spending. we may see a slowdown in the second half of this year as a fax of that slowdown. i could see further buying under that scenario as well. tracy: a very good point. thank you to our panel. nicole petallides sandra smith will be back with us.
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ashley: i think the fed decision today -- anyway, there is so much more to come today. we will be crunching the numbers next. tracy: this cme admitting that some high-speed traders do actually have an advantage over others. that story is coming up. first, before we go out, you have to check on oil. supplies are up, price is down. ninety dollars, or $0.80 a barrel. we will be right back. ♪ friday night, buddy.
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standing by. your car is nice and shiny. jeff: i will show you that in a minute. first, i want to give you the ceo of turtle wax. this is the bottle i remember. this is the one i used to have that i shined my dad's car with. how do you take this iconic company, you know, has this great history and innovate with new products? >> we are the leader in wax technology. we evolved to be the leader in scientific restoration for the rest of the car. jeff: you have a new product where you can wash your car with one bucket of water. you call it weren't free. >> you are getting shined and
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wax. both in one. jeff: you benefit from people getting their cars longer. >> look at your beautiful card. a 1994 mercedes. look at it really pop. you should have shined and be now going home. jeff: shined and the. it is called black box. it is only for black cars. tracy: all for a good cause. such a team there. that is a check car, jeff flock. i am loving it. ashley: it is just a quarter past the hour.
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time to check in with nicole petallides. nicole: let's talk about what we are seeing. the dow jones industrials are down about 95 points. we did see the dow with session lows. down about 114-point. remaining at a very tight range. they said they can increase or decrease or reduce the buying. it shows they are just about ready for anything. they will remain highly accommodative. interestingly enough, the vix is to the upside. back to you. ashley: thank you. we will be back in 15 minutes.
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tracy: we will increase, we will decrease, we will do whatever you want. all right. coming up, some guys have all the luck. high-speed traders can execute deals a fraction of a second before the rest of us. we will have the details on that story next. ashley: let's take a look at how the u.s. dollar is moving right now. the dollar slightly dropped against the yen after the fed statement. now, it is slightly higher. we will be right back. ♪ for seeing your business in a whole new way. for seeing what cash is coming in and going out... so you can understand every angle of your cash flow-
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♪ >> 22 minutes past the hour. i have your fox news minute. in boston at 3:30 p.m. eastern, a court appearance is scheduled for the three additional suspects taken into custody in connection with the boston marathon bombing case. obstruction of justice and making false statements is what they are being charged with. tamerlan tsarnaev is now dead and his mother dzhokhar tsarnaev now in federal custody. two of the suspects were both
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students at the same school. both were taken into custody on april 21 and accused of violating their student visas. the third suspect in custody is a u.s. citizen and also a friend of dzhokhar tsarnaev. those are your headlines. back to ashley and tracy. ashley: thank you so much. appreciate it. tracy: the chicago merchant tile exchange admits that high-frequency traders have advantage over everyone else. i know this drives gerri willis knotts. gerri: they are trying to get an edge while they are trading. this is being questioned all over the country now.
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high-frequency is corrupting the cme, just as they corrupted equities. listen to that. they put two out at the same time. they are moving the market in order to make money. we will be talking about this on my show tonight. lots of questions. it is an open debate. ashley: interesting. technology out.
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stripping, if you like, the system in place. should it not be allowed, in your opinion? gerri: i am not a fan. let's stand back five steps. who is this market for? what is the purpose of them? is it to enable and insist on a handful of highly, you know, or is it really to make sure that people in this country can finance businesses invest in businesses, i want to see individual investors be able to play in the market and have confidence. tracy: are they playing at that level? let's bring in charles payne. what happens in dark pools is kind of irrelevant to me.
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charles: i think we sort of mix apples and oranges a bit. someone at the cme gets in front of their traits. gerri: what about the flash trash? charles: if you had a tight stop, you may have gotten stopped. listen, i wish that there was less of this high-frequency trading. i wish there was more broad mainstream participation in the market. i am not sure to what degree it is. gerri: we had a survey just last week that showed 76 people did not want to invest in the stock.
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they do not trust the markets. tracy: let's take the last 30 seconds. charles, how can you not, when you hear the fed trigger-happy, it will keep coming in one way shape or form. charles: listen, i do not see what the impact of the fed has been. it has not inflated, at least unofficial inflation. then we are learning about the housing market. homeownership at the lowest level since 1995. are you kidding me? the angry spark kind of caught my attention. what they have done so far -- and all to jerry's point, i think it takes away confidence. gerri: we are not playing.
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tracy: it is exactly why people keep buying bonds. charles: if we could accept that okay generally we will take a hard landing, don't stop it and then climbed back. tracy: let it go. ashley: charles payne, thank you very much. gerri willis, will be talking more on "the willis report" tonight. don't miss it. thank you. tracy: coming up, facebook opening investors will like its quarterly reports. we will have a preview next. ashley: plus ethan allen chairman will tell us how the company plans to rebound from a disappointing quarter. first, take a look at some of today's winner and losers on the s&p. ♪ she's still the one for you -
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♪ tracy: 90 minutes until the close and 30 minutes after the fed said they are prepared to increase or decrease. stocks cut their losses on that. nicole petallides at the new york stock exchange. nicole: they are basically saying they are ready for anything. they know that the risks remain to the downside. you are seeing the vix, the fear index, to the downside.
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the labor market fell. unemployment still remains-hi. tracy: fox business will have complete coverage of facebook earnings on after the bell 4:00 p.m. eastern. ashley will be breaking them down for you. ashley: the milken global conference in los angeles wrapping up today. liz claman is there. she joins us now. liz: let me tell you guys, i just finished a conversation that you will be able to see out 4:00 p.m. eastern. he used to work with mike milken back in the day. it is just another day. wait until you hear the business
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leaders we are bringing you. a fox business exclusive. mike white is the chairman and ceo from direct tv. he is on a piano right now that is called the $2 trillion battle for your living room. mike white. he is dead on the fix the debt campaign. also, brian cavanaugh. when you think of big business leaders, you have to think of this gentleman. he has been in the game. he is one of the most popular people there. we will be talking to brian cavanaugh about that and so much more. all of these people who are here, wait until you see some of our special guest starting at
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3:00 p.m. eastern time. ashley: looking forward to it, liz claman. we will be watching right here on fox business. tracy: olio closing down $2.43 at $91. two days loss over 2.5%. ashley: inventories are up. ashley: coming up. american backlash against obamacare. obamacare. most americans would repeal it, if they could. tracy:even ethan allen trying to bounce back. let's check out your treasuries as we head out to break.
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♪ @
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♪ >> i am cheryl casone if you're fox business brief. the central bank did signal it would increase or decrease depending on how the job market and inflation performance.
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president obama announcing to more cabinet nominations a short time ago. tom wheeler. president obama also picked another two house the federal housing finance agent fee. expecting to emerge from bankruptcy protection between july and september. the new kodak will focus on commercial imaging and printing. that is the latest from the fox business network. giving you the power to prosper. ♪
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♪ ashley: in today's medical dollars, many americans are either upset or confused about the state of healthcare legislation.
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no surprise. 54% of americans would actually appeal obamacare if they could. 42% are unaware if it is even in place. doctor manny alvarez joining us now. >> everybody is confused. i am confused. i am supposed to apply it. everybody is very aware of the 15,000 pages of regulations. hospitals are hiring lobbyists and people that can interpret the law so that they can apply it. you can only imagine what a consumer feels like. doctors feel the same thing. nothing is changing. people are feeling very disappointed. tracy: maybe they are starting to understand that this thing is
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really bloody confusing? >> they understand that. medical conditions may be a problem. they understand that they will not be getting questions in regard to their previous medical history; however, those questions have been replaced by questions on your finances. it is how much do you make? how is your 401(k)? people get confused when you start asking about money. ashley: forgetting obamacare, was the system badly broken? what is the way to fix it? >> you have multiple things. litigation issues, medicine that is sometimes for-profit we are top-heavy when it comes to procedures. a lot of things may not be necessary. we have a lot of procedures, you know, like plastic surgery.
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and lots of stuff that is fluff. preventative healthcare has not been a ticket item in the past. a lot of investment technology. there is a lot of competitiveness in the technical world. that then pieced up the price. everything is procedure oriented beard i get it. something had to be done. tracy: what is the hospital you are with doing to prepare? >> we are looking at outcomes. we are focusing on not returning patients back to the operating room. we know we will not get reimbursement if i operate on
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you and you get a complication -- tracy: that is good. you have to do it right the first time. >> unfortunately, in medicine, there are side effects. things like that. that is what we are to concentrate a lot on. ashley: doctor manny alvarez, thank you so much for joining us. appreciate it. tracy: you are going to get six hours to have a baby and that is all. you are done. tom wheeler to be the new chair of the sec. dennis kneale has been checking him out and joins us now. dennis: the next trillion dollar man. cable, wireless and if it did the kids its way, and ever
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larger chunk of the internet. he is a partner at a venture lobbyists. that could bode well for business. they have often criticized for policies that keep trying to control internet access. they grok down on broadcasters wing cable got dirty a decade ago. tom wheeler is also an obama loyalists. he served on the president transition team. will he you to policies that he would have pushed or will he execute the more regulation is better of the obama
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administration? i asked robert mcdowell about this last hour. he acknowledges the politics of it all. >> this is a political process. he is being produced by the political process. he still has to be approved by the senate, by the. dennis: the pressure has already begun. some consumer groups wary of his longtime service. now, wheeler will not have long. the agenda includes three biggies. when in doubt, the fcc always wants to regulate more. tracy: don't they all. thank you. it is a quarter till. time for stocks as we do every 15 minutes. jonathan is with us today. give us your post game wrap up after this fed meeting.
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>> we keep getting faked out by this. eventually, we will buy into the program that we are seeing here. we are waiting for some transparency. we are waiting for some guidance of what things will really look like going forward. we still pretty much get the same state that we have seen time and time again. i think we get interest that comes in. as we got closer to this comment that came out this afternoon, we have some short-term profit coming off the table. this is just a short little rattle in our market. clearly, when we get unemployment numbers coming out on friday, that may gauge us where we are for the next week or so. tracy: you are exactly right. thank you, john. we keep waiting for something. ashley: i think there've been it would be more interesting in about three weeks.
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tracy: i will be up all night waiting for them. ashley: ethan allen. his bottom line next. tracy: let's take a look at some of today's winners and losers on the nasdaq as we head out to break. we will be right back. ♪ clients are always learning more to make their money do more. (ann) to help me plan my next move, i take scottrade's free, inranch seminars... plus, their live webinars. i use daily market commentary to improve my strategy. and my local scottrade office guides my learning every step of the way. because they know i don't trade like everybody. i trade like me. i'm with scottrade. (announcer) scottrade... ranked "highest in customer loyalty for brokerage and investment companies."
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the local. ashley: the federal reserve is sticking with its federal plan. peter barnes is at the white house with more.
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peter: this is what you pay me to do. we want to point out that i know there has been some reporting on this already. on fiscal policy, last time around, in march, they said fiscal policy had become somewhat more restrictive beard today it is restraining economic growth. this would allow the fed to continue with this kind of stimulus. the second change is they added a sentence specifically on whether, on the size of asset purchases, it has never said this before. they are ready to increase or reduce. this is the first time it
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signals an increase, potentially. if all this stuff is not working and fiscal policy continues to be a drag on the o'connor, could the fed go over 85 billion a month? it is signaling that it could. take a listen. >> a lot has been done on the budget side. fiscal restraint at the beginning had a fight on the overall economy. peter: chairman bernanke has always said all this stuff is conditional. our fiscal policy is making conditions worst qe4 ever. [ laughter ] tracy: qe infinity.
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the big infinity sign. furniture maker, ethan allen, is fighting back. joining us is farooq kathwari. ethan allen chairman and ceo. tell us what happened with hurricane sandy. >> first of all, it is an interesting world that we live in a world of expectation. the fact is our earnings were up 50%. on top of 100% earnings before. tracy: you guys blew it out the window the last time you were here. >> we never miss our numbers. we were up 50% on earnings. we are coming up with a concept to design, manufacturer.
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we run sawmills and vermont. we make sophos, chairs, even lighting. the good news is this, we have made many things. we are more efficient. sales were up 50% in earnings. now, you know, part of what we can say -- when this happened, 28 of our stores in long island, new jersey were out. you know, the fact is, we have to run our business. ashley: a big part of running that business is healthcare costs. we just had on doctor manny talking about healthcare.
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how much of an impact will that have on your bottom line? >> it is a challenge. technically, all of them are full-time. not only the people who work for us, but families. one of the factors of better earnings was somewhat lower health costs. we are what is called so-called self insured. we pay the bills. we have worked very hard to manage. we have healthcare programs. incentives for people to remain healthy. we have to do it. tracy: people should be taking lessons from you. let talk about china. last time you are here you had opened up your flagship store in china. >> things are going very well. they have had increases on ethan
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allen, approximately 70 location. over 60% of the products is made in the u.s. tracy: is that cost-effective? >> well, it is cost-effective in the sense of it is our brand. it is our quality. it is what we do. if you can make it cheaper someone else -- if you saw earnings, they are somewhat impacted by less sales in china. tracy: yes. we had a busy day. unfortunately, we have to cut this off. china is definitely a place you have to be. thank you very much. two exclusive interviews with media giant coming up live from the milken institute.
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liz claman will take you through the next hour of trading. "countdown to the closing bell" is next. ♪ or risk. or risk. you can't say 'one size fits all'. it doesn't. that's crazy. we're all totally different. ishares core. etf building blocks for your personalized portfolio. find out why 9 out of 10 large professional investors choose ishares for their etfs. ishares by blackrock. call 1-800-ishares for a prospectus, which includes investment objectives, risks, charges and expenses. read and consider it carefully before investing. risk includes possible loss of principal.
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♪ >> calling all ceos, we are talking to the top guys as some of the world's most envied companies. michael wants direct tv chairman and ceo, relativity ceo, brian cavanagh, the man who brought a money ball approach to movies. facebook. it all comes down to add space and whether those pesky ads are causing mark zuckergberg to lose bread. we will tell you what to express -- expect an earnings said after the bell. and it is a turnaround time for j.c. penney? a new campaign aimed at getting you back. >> a very simple thing, to listen to you. >> but will it do the trick? ♪ >> this is a special edition of "countdown to the closing bell" live from the

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