Skip to main content

tv   Countdown to the Closing Bell With Liz Claman  FOX Business  February 9, 2016 3:00pm-4:01pm EST

3:00 pm
. trish: it is the 100th anniversary of the new hampshire state primary. it is a very big day. voters have just about four more hour goes and cast their ballots, and we have very special coverage live from new hampshire, join neil cavuto and me kicks off at 7:55 p.m. eastern. sending it over to lori rothman for liz. >> thank you very much, trish, it may be fat tuesday in new orleans, but certainly not on wall street. markets may be little changed up a couple of points on the dow but sure been a roller-coaster ride for investors this week. with giant swings of 100 points or more, investors continue to be extremely nervous about what lies ahead? with oil prices, the federal reserve, and overall the global growth picture. so right now the dow jones industrials after falling below 16,000 today, currently, 16,054 and up more than 27 points. oil falling nearly 6% today
3:01 pm
dropping below $28 per barrel. how low will the crude barrel go? but someone will certainly be celebrating in new hampshire tonight. it's primary day. and the republican presidential candidates have been crisscrossing the state hoping to convince undecided voters who they should choose. billionaire businessman donald trump and vermont senator bernie sanders are expected to win in respective primaries but many questions remain. can senator ted cruz capitalize on his win in the iowa caucus? and will senator marco rubio's debate performance end his momentum? will the republican governors be able to gain traction? what will kasich, bush, and christie, the governors as they're called consider a win. what happens to hillary? will a resounding loss to sanders hurt her and beyond. former senator bob smith, fox
3:02 pm
business reporters on the ground anddown political panel. i'm lori rothman in today for liz claman. let's get started, started with the "countdown." all right, as you all know, the new hampshire primary race heating up. wall street cooling off a little today, but it was exciting and it's not over yet. the dow is up over 40 points, the best level of the day, 16,071 and climbing, the reason for the turnaround throughout the hour. oil is a significant strain on the stock market as you know settling at $27.94 today. been down four consecutive sessions and the energy sector the biggest laggard on the s&p 500. look at those downs on the major u.s. oil companies, exxonmobil a member of the dow is off 12 cent bus showed you the dow coming back slightly.
3:03 pm
chevron off 3%, anadarko, devon energy down 4% and 3.5%. one name to highlight is twitter, the little blue bird hitting another all-time low for the second day in a row. this is a proverbial canary in the coal mine down 2% decline trading at $14.61. talk about the tech sector as a whole and what twitter says about projections going forward. voting well under way in the state of new hampshire. the granite state with polls open until 7:00 p.m. eastern, kicking off a contest where several candidates are eyeing a comeback. on the democratic side of course senator bernie sanders. next door vermont local hero looking to rebound from narrow loss to hillary clinton in iowa. on the republican side, you've got candidates battling behind donald trump, with the race's
3:04 pm
governors, john kasich, chris christie and jeb bush looking for redemption after missing the leader board entirely last week. let's start with peter barnes, chatting at poll stations as they cast their vote, what are you hearing, peter? >> reporter: we were out in merrimack, the home to the largest voting precinct in the state of new hampshire. 18,500 voters registered to vote there, so as you expect some of the candidates were showing up on the republican side including dr. ben carson, he was out there greeting voters, and skied him, do you have to finish in the top five to keep your campaign going? here's what he said. >> i'm going on regardless of what happens here. you know, as long as i continue to have, you know, millions of people supporting me and social media and people donating and people asking me not to drop out, there's no way i'm dropping out.
3:05 pm
i'm carrying forward because it's a process. it's a nine-inning game. not a two-inning game. >> reporter: and the turnout in merrimack was running a little low but also ran into the secretary of state bill gardner who said he was sticking with his forecast for a record turnout tonight here in new hampshire for the primary. 550,000 votes. lori. >> that would be something, peter barnes thank you so much. don't miss fox business coverage, neil cavuto anchors our coverage beginning at 7:55 p.m. eastern. bond king bill gross was on yesterday and told liz claman what action he would like to see from the fed. listen. >> it's obvious that on a global basis, the united states and the fed, you know, is the global banker for the world. it's obvious that increase in
3:06 pm
interest rates has dramatic repercussions in terms of risk assets, equity prices and global bond prices, and so i think at some point they have to rethink what they thought for the past several years. >> is that what's needed to rethink what the fed thought. >>er with going to hear from a fed official, the fed official herself tomorrow. let's get to that with traders at the new york stock exchange, the cme group and the nymex. stephen guilfoyle joining me from the floor of the new york stock exchange. sarge, midafternoon note, you were prescient suggesting the turnaround might be ahead of the fed chair janet yellen commentary, she begins two day congressional testimony. what do you think? >> i think that's exactly what we're seeing, a little help from deutsche bank. there are rumors they're going to announce a buyback. that gave us a push off the lose. now that we tackled 1860, the technical level on the s&p 500
3:07 pm
we expect to see short covering ahead of janet yellen in the last hour of play here. 1872 is realistic. >> we are seeing a session high on the dow. 69 points, 16,096. to larry shover at the cme. investors dip their toe to a little more risk today, how would you characterize the risk we're seeing? . >> the way to characterize it is the market is exhausted. the pockets of vulnerability have all been exposed, not that we can't drop further, we clearly could but right now people realize the risks are up to the upside. yellen speaking tomorrow, dragic on the 15th and the plaza accord at the end of the month, not to mention china comes back from holiday with aggressive stimulus, anything can happen in the oil markets, the market is vulnerable,
3:08 pm
overly tired but the risks right now are to the upside. >> we're seeing, stephen, back to you, the market revhigher right now. 100 points higher in the dow. yellen has to calm the markets and investors are optimistic she will, in fact, do that. stephen guilfoyle? >> i don't know you were coming to me. exactly. the big fear i actually have in the back of my mind right now, we all expect janet yellen to adjust her outlook, what if she tries to adjust what the market's doing to her outlook. she would come off as hawkish to get market expectations in line with the fed, if, in fact, the fed is intent on doing something. which is what they will do. >> i'm so confused, reverse psychology is what you're doing. elliot warren, the nymex
3:09 pm
another big decline. cracking $28 a barrel, looks like we're seeing divergence in stocks at the moment. what's the oil story right now? >> i never bought into the oil and stock lock step issue. >> you're kidding? that's been the theme for weeks, why? >> i don't think it should be happening. i was on here last week, i made the exact same comment. i'm not an equity expert, my thing is oil. i expect oil to keep going lower and can't comment on the equity markets. >> calling for $25 oil now. what's your bottom? >> it could go to 20. it could go anywhere! i think it goes under 20 bucks actually why. not? >> why not? >> commodities always do whatever is going hurt the most people. it's a fact of life as a trader and natural gas or crude, and that's the way it really is, so i would look for crude to continue lower. >> all right, larry, where do we go from here?
3:10 pm
where do the s&p futures? a lot of data with the economy and the fed tomorrow. what do you want to see happen? >> well, i just want to see janet yellen just take march off the table, the pink elephants out of the room. maybe start lining the dots up with the market and what that means is that the market is implying no more rate hikes this year. they're expecting to be four. maybe she'll reduce that to 3 or 2, something a little more realistic that will act as a tailwind. reiterating what she said all along will be healthy for the market. liz: elliot warren seeing oil falling below 20 possibly and seeing the market come back around, taking microviews of this. in any event, gentlemen, thank you so much. stephen guilfoyle, the sarge, depending who you ask, larry shover and elliot warren.
3:11 pm
disney shares falling to 14-month lows ahead of earnings, a generally weak market to say the least of recent days, immediately following "countdown." up next, it is election day in new hampshire. donald trump and bernie sanders expected to finish on top, but the polls have been wrong in the past. our political panel tells us we should believe the front-runners are locked and how tonight's results in new hampshire will shape the rest of the 2016 race? "countdown" coming right back.
3:12 pm
3:13 pm
we ship everything you atcan imagine.n, and everything we ship has something in common. whether it's expedited overnight... ...or shipped around the globe, ...it's handled by od employees who know that delivering freight... ...means delivering promises. od. helping the world keep promises. the access informationlows us to from anywhere. the microsoft cloud allows us to scale up. microsoft cloud changes our world dramatically. it wasn't too long ago it would take two weeks to sequence and analyze a genome. now, we can do a hundred per day. with the microsoft cloud we don't have to build server rooms. we have instant scale. the microsoft cloud is helping us to re-build
3:14 pm
and re-interpret our business. this cloud helps transform business. this is the microsoft cloud. the conference call. the ultimate arena for business. hour after hour of diving deep, touching base, and putting ducks in rows. the only problem with conference calls: eventually they have to end. unless you have the comcast business voice mobile app. it lets you switch seamlessly from your desk phone to your mobile with no interruptions. i've never felt so alive. make your business phone mobile with voice mobility. comcast business. built for business.
3:15 pm
. lori: all right, we gave you a view from the gop, but when it comes to the democrats, senator bernie sanders doing whatever he can to get people to the polls. his campaign reported more than 50 requests for rides this morning and more than 400 over the weekend. that's a real good sign as he's relying on getting the young voters and undeclared voters to the polls. how is hillary clinton making her last-ditch effort to voters? mike emanuel is with hillary's camp in manchester. mike? >> reporter: we saw secretary hillary clinton make four stops today trying to connect last minute with new hampshire voters. clinton was out and about
3:16 pm
trying to shake hands, pose for photos to try to connect with voters on the critical primary day. new hampshire is famous for folks making a decision at the very last minute, but did not hear bold predictions from her today. >> we're going to keep working literally until the last vote is cast and counted. >> what's the prediction for tonight? >> i just love the way new hampshire does this. i like the way that the people of new hampshire take it so seriously, they focus in on the issues, and they keep coming back, don't they. you know what? i am just looking for a great election day. >> reporter: she did not give us a definition what a great election day would mean. lori? lori: right. that was kind of interesting, right? she didn't sound optimistic about new hampshire. if it does go hillary's way,
3:17 pm
where does the strategy go from here? >> reporter: super pac supporting hillary announced major push in terms of african-american media, priorities usa announced it is hiring an ad agency specializing in african-american media for the obama campaign during the 2008 and 2012 cycles. the african-american vote is a key constituency for mrs. clinton. clinton did go to flint, michigan for the water crisis there. known for having a large african-american community. on the campaign calendar moves south and west, there will be a more diverse population, but there's also another democratic debate thursday night. if it's a tough night for her tonight, that debate may be more critical than ever. lori? lori: getting started with both parties. mike emanuel, thank you for joining us. appreciate it. >> reporter: thanks so much. lori: in the republican race, donald trump is likely to want to polls but the jury's out who will come in second.
3:18 pm
last night at midnight, ohio governor john kasich won the most republican votes in dixville notch. but the community has been an accurate predictor who will be the democratic and the republican nominee. joined by richard goodstein, and former special assistant to president george w. bush ron christie. great to have you both. all right, mr. good stein, if hillary does manage to win, that could be something considering bernie sanders is a local hero, a hometown guy, if hillary is able to do it, what's the likelihood of hillary being able to pull it out in new hampshire. >> there was a cnn poll yesterday that had her down 26, bernie up by 30 points as this race is heavily polled a month or two ago. the reason she didn't give anybody a straight answer to the question is it is perfectly obvious that bernie sanders is going to win.
3:19 pm
the question is what the media does does, he win by 20 or does he win by the low teens or maybe the single digits? if it's the latter, she's a comeback kid, right? bill clinton, for all the fanfare about new hampshire, he lost to paul tsongas in 1992 by 8 or 9 points and he was a comeback kid. lori: that was brilliant on his part. and she won in 2008 against barack obama. sorry to interrupt you. we'll see what happens there. bernie as you said has to win by a wide margin to propel momentum in south carolina on super tuesday, right? >> absolutely. look, the democrats and republican calendar now crosses. the democrats go to first nevada then south carolina. the republicans go to south carolina first. the fact of the matter is iowa, new hampshire and vermont, bernie sanders home state are the three whitest states in the union. lucky for him that we had such a nondiverse constituency.
3:20 pm
the talk two weeks ago is what if bernie wins the first two states? he lost the first one, not by much, it's going to be worse for hillary a breakeven proposition and if the polls hold in south carolina and the other states hold, she is looking in pretty good shape. lori: okay, bring in ron to talk about the gop side of things, and obviously, we know, ron, that donald trump can win in the polls but can he get people physically in the polls in new hampshire? >> i think that's the big question, good afternoon, lowery. if you look at what happened in iowa, trump was all about his name. all about getting people into the stadium, but could he get the ground game out there to get the folks to go to the polls and vote for him. i'm looking for a surprise tonight. i think donald trump will pull this out. the question is and people are wondering who's going to place? who's going to show? what we're going to see is a good night for the republican governors still in this race. marco rubio, the senator from florida, i think took a very bad stumble during the debate last week, that's hurt him.
3:21 pm
the momentum from strong third place finish evaporated. so the question is does a john kasich surging, jeb bush who's looking good or chris christie get on the winners platform in second or third? lori: ron, you're not even mentioning senator cruz. obviously aring the new hampshire demographics, few evangelicals there. i think cruz has the bar set so low, he's zooming onto the next location, to the next primary. >> that's right, lori. senator cruz could do well, he could surprise and come in third, he's already got his eyes on south carolina, he's going to do surprisingly well with the evangelical community out to nevada. but senator cruz doesn't have at much at stake where the governors if they don't win are going home. lori: richard, we've heard a lot -- i don't know if i could say a lot, but a lot of rumblings from michael bloomberg, the former mayor of new york city. >> we have. lori: what do you think he's looking at in new hampshire?
3:22 pm
is there an outcome that would encourage bloomberg to officially enter this race? or how is he messing or influencing things right now? >> right. so i would be prepared to bet any one of your viewers, you included if hillary clinton is the democratic nominee, michael bloomberg is out of the race. no reason to get into the race where hillary clinton is the standard bearer for the democrats, and have to take the biggest banana peel in the world for hillary clinton to stumble. if that happened, bernie sanders will not be the democratic nominee. they guarantee you as well, it will be joe biden or somebody else. the odds of michael bloomberg to get into the race, he likes to be in the limelight. the odds of him getting into the race are extraordinarily slim. i don't think they're going to influence anybody sinking in new hampshire, in south carolina, in the march 1 primaries. i think there's a little self-indulgen self-indulgence there, fine, he
3:23 pm
deserves it, nobody should watch this network and think michael bloomberg is a factor in the presidential race. lori: do you think he's more critical to the republicans or democrats? >> it's more critical to the republicans. look, bernie sanders has this locked up in the democratic side as my good friend richard said, once you get on states that don't have as white of a demographic, senator clinton will do well. for the republicans, a lot of them are running out of money and momentum. if they don't do well on the stage tonight, they're not going to have a viable candidacy to go to south carolina, to go to the sec primary on march 15th, they're going to run out of gas if they don't do well tonight. lori: richard goodstein and ron christie, great discussion, thank you for your time. >> thank you. lori: tune in tomorrow morning for all the reaction to tonight's new hampshire primary results. maria bartiromo has it all covered with former congressman eric cantor. former senator al d'amato and
3:24 pm
many others. "mornings with maria" begins at 6:00 p.m. breaking news, shares of anadarko petroleum have been halted. we will head to the new york stock exchange next to tell you why. shares of apc halted after a decline of over a dollar per share. we'll find out what's going on with the oil company after this. "countdown" continues after this.
3:25 pm
this just got interesting. so why pause to take a pill? and why stop to find a bathroom? with cialis for daily use, you don't have to plan around either. it's the only daily tablet approved to treat erectile dysfunction so you can be ready anytime the moment is right. plus cialis treats the frustrating urinary symptoms of bph, like needing to go frequently, day or night. tell your doctor about all your medical conditions and medicines, and ask if your heart is healthy enough for sex. do not take cialis if you take nitrates for chest pain, or adempas for pulmonary hypertension, as it may cause an unsafe drop in blood pressure. do not drink alcohol in excess. side effects may include headache, upset stomach, delayed backache or muscle ache. to avoid long-term injury, get medical help right away for an erection lasting more than four hours. if you have any sudden decrease or loss in hearing or vision, or any symptoms of an allergic reaction, stop taking cialis and get medical help right away. why pause the moment? ask your doctor about cialis for daily use. and for a $200 savings card, go to cialis.com
3:26 pm
3:27 pm
3:28 pm
. lori: 32 minute away from the closing bell. if things continue, no one knows, your guess is as good as anyone with a crystal ball. dow up about 9 points. the dow surged at the top of the hour, up 100 points after opening down 100 points. volatility is through the roof. 8:30 a.m. we will see the release of janet yellen fed testimony before congress tomorrow and thursday, that's likely to have a big impact. crude oil prices, the oil barrel to be exact was way, way
3:29 pm
down today, down by another 5, 6%, that hurt the energy sector. shares of oil and gas exploration company in particular, anadarko down, it had been halted, it has been reopened. you have to follow this moment by moment. there is so much going on, and things are changing so briskly. ashley webster joins us from the floor of the new york stock exchange with the latest. is this necessarily bad news on anadarko? >> reporter: well, a sign of the times, lori. oil closing, settling this afternoon at $27.94, down almost 6% on the day. the fourth session in a row it has fallen. big impact on the oil and gas companies, anadarko trading in this stock, the ticker symbol, apc, would stop this afternoon, that i have announced they are cutting dividend from 27 cents to 5 cent, that is a 22 cent per share cut in the dividend. that move alone will free up
3:30 pm
$450 million in cash because given the environment they find themselves in, a cut in the dividend is probably the wisest thing to do to create more money. it's not the first time we heard this. we heard other smaller companies have to eliminate the dividend altogether. huge oil companies said that would never happen. with these prices of oil so low for so long, it is really difficult for companies to remain viable and continue to explore and produce oil and narl gas. anadarko cutting again, the dividend from 27 to 5 cents, 27 cents to 5 cents, saying this is the environment that has forced the move because of the low oil prices. i have a feeling, lori, this won't be the first nor the last company to do this. lori: the exploration companies, independent companies, so many of the companies are seeing layoffs, especially houston as a hub,
3:31 pm
it's having a fundamental impact to the down side on our broader economy, and see it across the wider market. ashley webster, thank you so much. >> my pleasure. lori: still ahead, senator ted cruz won the iowa caucus and game into new hampshire with a lot of momentum. could the granite state be the momentum killer? cruz's message resonating or is he in for a long night? bob smith is a cruz supporter and he'll tells if you the momentum mojo is still working. back live to new hampshire for more on tonight's presidential primary when "countdown" comes right back.
3:32 pm
3:33 pm
we're the hottest young company around but if we want to keep the soda pop flowing we need fresh ideas! >>got it. we slow, we die. >>what about cashing out? no! i'm trying to build something here. >>how about using fedex ground for shipping? >>i don't need some kid telling me how to run a business! i've been doing this for 4 long months. >>fedex ground can help us save money and deliver fast to our customers. not bad, kid. you remind me of a younger me.
3:34 pm
>>aiden! the dog is eating your retainer again. let's take a short 5-minute recess. fedex ground is faster to more locations than ups ground.
3:35 pm
3:36 pm
. lori: new hampshire primary day. the battle between the front-runners has been heating up in new hampshire, where the first primary vote is taking place today. senator ted cruz is fresh off a win in iowa, he claimed victory in the state's caucus, he could face more headwinds in new hampshire where there are far fewer evangelical voters. joining us with his take how cruz will come out in tonight's vote, former republican senator from new hampshire bob smith, also a cruz supporter. senator smith, great to have you, great to meet you. you are supporting senator cruz in new hampshire? >> i am, and proudly so. lori: okay, i was coming right out to say i don't think the
3:37 pm
cruz people have high expectations for outcome in new hampshire. what is the best-case scenario for senator cruz? >> i don't agree with that at all. lori: fair, okay. >> we're in this as competitors, respect the right of the voters to make the decision, and our intention is to take everything out of the locker room and leave it on the field. thousands of phone calls, thousands of knocking on doors. thousands of dollars spent in advertising and thousands of voters that senator cruz has met person to person eyeball-to-eyeball over the last several months. so you know, we understand that the voters make the decision. we're not in the prediction business, that's the voters make that decision. lori: i respect that decision, if you look at breakdown, the demographic, you don't have the evangelicals. he had a fantastic turnout in iowa. going forward, everyone says cruz should cruise through south carolina on super tuesday, new hampshire probably not his cup of tea, if you will. >> there are some even evangelicals here, but in
3:38 pm
addition to that, lori, you also have what we call the reagan coalition. those who supported ronald reagan in 1980, antitax people, anti-spending. these who oppose government spending. right to life. pro gun. a huge coalition of conservatives here that go far beyond the evangelical message, if you will, and they said the same thing about ronald reagan in 1980 and look what happened there. lori: good point. i tell you if you are following donald trump and his battle against cruz, i mean i'll give that you one, that has become bitter, nasty, vulgar toward cruz, you must see backlash, right? helping you out here, from the trump camp maybe going to cruz because of what's unfold the last couple days in terms of how trump treated cruz, not only with language but criticizing him for not supporting waterboarding and interrogation? >> i think senator cruz is in
3:39 pm
good company there. mr. trump has been pretty aggressive against others, certainly including jeb bush and whoever seems to decide to pick on in any given day, but senator cruz is above all that. he really is, he's just a decent man of high character. good christian man who believes what he believes, and says it like it, and he tells the american people that he is a consistent conservative who will change this country. he will change the cartel in washington and that's why so many people attack him. i don't think the thing between donald trump and senator cruz is personal. certainly not personal on senator cruz's part, i know that. lori: i know you said you're not making predictions here. what would be a fair expectation in terms of how senator cruz will perform in new hampshire? >> i'm not going to go with expectations. i'm not trying to duck your question. we don't do it that way. let me give you an example. one of our supporters in not a
3:40 pm
large community town, knocked on 5,000 doors. that's one person. this is the kind of enthusiasm that he has. so look, we want to be competitive. we are competitive, and we're going to let the voters make the decision here in new hampshire. lori: curious on your thoughts on the other candidates. senator rubio for one, obviously, came out of iowa strong. third place, but he and his followers, supporters were pleased with that, but then the last debate really struggled. governor christie really went after him, and a lot of people are not sure how rubio will come out of new hampshire. any thoughts on senator rubio today? >> you know, it's interesting, senator cruz won the iowa caucuses with more votes than anybody in the history of the caucuses and supposedly come here and not do so well. and rubio finishes third and suddenly he's on the rise. look, rubio did not have a good debate, that's generally accepted but again, the voters
3:41 pm
have to determine that. i think the key with senator rubio is he doesn't match the rhetoric that he uses whereas senator cruz is consistent. senator rubio, just one example, is the gang of eight, i know everybody hears about it. it's a big deal. this is by supporting that legislation and cosponsoring and help draft it, it was president obama and charles schumer, that was a liberal legislation that provided for more amnesty without getting the borders closed. so that's a huge difference in terms of of being a consistent conservative and one who goes against -- supports the washington establishment. lori: appreciate your thoughts. senator bob smith, thanks again. >> you're welcome. lori: can senator cruz keep the momentum going? neil cavuto has all the action from the new hampshire primaries beginning at 7:55 p.m. eastern. fox business is the place for 2016 coverage. after zipping up 100 points at the top of the hour, that's
3:42 pm
obviously faded now. story is oil. oil lower again today, driving energy names down further. look at that, apache off almost 6% today. bp down 3%, conocophillips off almost 2.5%. got to get to phil flynn from the cme to tell us if there is an end in sight to the downward spiral? more "countdown" coming straight up.
3:43 pm
3:44 pm
you pay your car insurance premium like clockwork. month after month. year after year. then one night, you hydroplane into a ditch. yeah... surprise... your insurance company tells you to pay up again. why pay for insurance if you have to pay even more for using it? if you have liberty mutual deductible fund™, you could pay no deductible at all. sign up to immediately lower your deductible by $100. and keep lowering it $100 annually, until it's gone.
3:45 pm
then continue to earn that $100 every year. there's no limit to how much you can earn and this savings applies to every vehicle on your policy. call to learn more. switch to liberty mutual and you could save up to $509. call liberty mutual for a free quote today at see car insurance in a whole new light. liberty mutual insurance.
3:46 pm
. lori: closing bell rings in about 14 minutes now. market searching for direction here at the high, the dow is up almost 110 point. at the low down 146 point. let's call it unchanged. the dow down 13 points. oil and energy stocks, oil and gas stocks continue to be the big drags on the market today.
3:47 pm
oil a driver of recent swings. closing at $27.94 a barrel, down another 6% today. oil prices have been hit by increases in global supply and concerns over demand growth easing this year. so price futures group senior market analyst phil flynn joining us with where crude prices go next? sir, nice to see. >> you hi, lori. good to see you. doom and gloom today, if you look at the national reporting agency, watch the oil market lori. the international energy agency doubled down on the bearishness of the market, basically saying forget about the rally are any hopes that oil supplies get in balance any time soon. they don't see it happening. they say those are false hopes and that put a negative mood in the marketplace. later in the day, we did get a report from the u.s. energy information administration and closely watch short-term energy outlook that came out today.
3:48 pm
they had a similar bearish expectations. while the energy information administration does see a substantial drop in u.s. output, they are predicting much lower prices going into next year. we're seeing their crude oil price for brent crude was lowered by a whopping $7 a barrel. that's for the entire year, lori. that added to the negative news. good part of the forecast, they dramatically lowered gasoline prices they say is averaging below $2 a gallon for the entire year next year. so that's the good part of the market. the bad part of the market is the lower energy prices taking away confidence from the overall global economy right now. the big drops in energy stocks are weighing on the mood of the market so it's not helping our 401(k). lori: how much more bearish can you get, phil, on crude oil prices, $7 further down? will it hit zero?
3:49 pm
is that a likely possibility? crazy! >> right. according to these guys, yes. i don't think so. the bearishness is crazy. i will caution, that's when it's time to be looking the other way. listen, we're going through a historic cutback in capital spending, energy companies cancelling projects that are going to total billions of barrels. if the international energy agency's outlook on the global economies in china and the united states are wrong. if they're overestimating the doom and gloom, we'll see the market get in balance a lot quicker. but the market doesn't want to look a lot far forward, they're look at the numbers today and it's not pretty. lori: the bottom is close, phil flynn, thank you as always. >> thank you. lori: the u.s. is on the cusp of recession and the atmosphere is prompting more share buybacks where investors may find good opportunities. which stocks are in the basket that will help you in a down market?
3:50 pm
to fox business' liz macdonald. >> hi. we know the tech sector in a world of pain and was in a sweet spot. for investors lori, look at the stocks in the tech sector now in aor -- sector that are now in a bear market. h-p, micron, ebay, yahoo! in a bear market and apple of course. but goldman sachs, you're right, they're saying there is hope, even though the nasdaq composite is basically wiped out all of its gains in 2014. what they're talking about is the fourth-quarter earnings season is just about over, and when that happens, the blackout period for stock buybacks is over, too. meaning stocks basically -- companies can announce stock buybacks. looking at companies like nvidia, cisco, apple, verisign and juniper networks could announce stock buybacks, that
3:51 pm
could put a floor under the stocks or drive the eps in the stocks higher. lori: the dow is down about five points. we're going to come right back after this.
3:52 pm
3:53 pm
. . . .
3:54 pm
lori: shares of disney falling to 14-month low. ashley webster on floor of the exchange. disney, come on, "star wars," what's up? reporter: "the force awakens." slipped below 90 bucks a share at 89. tale of two stories on disney. on upside, certainly "star wars" movie will really help bottom line. we have $899 million here in the u.s. more than a billion dollars in sales worldwide. that's the good news. and, the bad news? espn, entertainment and sport programing network, a growing number of people are cutting the cord. that really hurt disney because
3:55 pm
that represents a huge revenue flow for them. espn, analysts would say disproportionate share of cash flow comes from espn. disney acknowledged they are losing subscribers by the millions. so this report be interesting to see what they say about espn. what they think going forward. and of course that all determined how we see the stock figure out. we're expecting it to come out 4:15, 15 minutes after the bell closes. we'll be here to report all key numbers. lori. lori: es -- espn has been a problem. dow crossed unchanged level 72 times. right now off the lows of the session. we were off 140 at one point. it is not enough to help a bruising start to the year for the tech sector. nasdaq down close to 14% this year. lost all of it is gains since late 2014. are we about to see the tech bubble burst? are there still opportunities for investors?
3:56 pm
with me gerber ceo ross gerber and david dietze. what do you think about the tech sector, the best performer last year, the weakest? is it suffering from the broader global economic slowdown? is it collateral damage to that? or is it something specific to technology right now? >> i think it is both. it was outperformer, nasdaq last year. there are macro headwinds they're facing. first of all some of america's biggest ex-povertiers. to extent we have concerns about the global economy that's a big headwind too. china is their big market. what is going on in china. the enigma wrapped up in a rid ditch. i think there headwinds in the sector. lori: ross, your thoughts. everybody is icing tech bubble burst but is it similar to what happened in '99 and 2000? >> it's not even close. that is the private technology market. important to understand the
3:57 pm
difference between public tech companies and private companies. it is not hurting investors we don't own the stocks. it is vc problem. the public tech companies are doing phenomenally well. many of these companies reporting great quarters. we love this opportunity right now. i think it is a great time for investors to be very selective to begin buying some of these companies. lori: david, you have a specific strategy investing in tech, that is seek yield? >> absolutely. believe it or not there are great yield plays in technology. we would mention, for example, qualcomm above 4%. seagate is above 7%. even ibm is giving you a pretty good deal. there are pockets of value even if you're concerned about value and dividend income. lori: 10-year yield is 1.74 at last check?
3:58 pm
>> people say why stay in the market. s&p 500 on average yielding more than half a percent more than the 10 year treasury. over time that yield has gone up five to 6%. where are you going to be better off in couple years when you are starting with more being income? lori: ross, you said you were up great opportunities. you sent ahead of time, facebook, gilead, alba bet. your tech names. are you seeing bargain because they have come down so much. is it as simple as that? >> it is as simple as that. apple and gilead had great years in 2015. there is a lot of worry what is their future, what is the the next product. i love that, worry, worry, worry. you have seven pe, rising dividend with both companies that will do great things. we have companies with higher valuations like alphabet which i still call google. and facebook. google and face book dominating
3:59 pm
the ad market. this will be opportunity whether you want to go to lower pe, safer plays and higher p-e growth plays. i own both and i think they're great ways to invest. lori: appreciate your optimism. appreciate your insights, gentlemen. that's it for "countdown to the closing bell." lori rothman sitting in for liz this afternoon. she will be back tomorrow. now to my colleagues, melissa francis and connell mcshane. melissa: thanks, lori. new hampshire 44% of the state is not registered as either democrat and republican as votes are up for grabs. candidates making a last-ditch effort for their support. we could be in for a big surprise. >> should be a lot of fun for the battle for second on republican side everybody seems to talk about. will be revealed starting in just a few hours when results come pouring in. we'll have you covered this hour. talk about the markets. we have all-star guests and slew of reporters up in new hampshire weighing in on significance.
4:00 pm
race. who stands to come out on top. melissa: first to the markets. [closing bell ring] melissa: nasdaq is down 15 points. connell: oil price is interesting one, right? 28.5with nearly 6% drop. melissa: wow, that ia huge move. connell: you would know. absolutely a huge move. scott shellady joins us. out at the cme. boy, what happened today, scott? >> looks like the bottom came out. we had some negative news about where some international agencies thought where the supply situation would go. right now you're catching a falling knife. i do feel at some poin

61 Views

1 Favorite

info Stream Only

Uploaded by TV Archive on