Skip to main content

tv   Countdown to the Closing Bell With Liz Claman  FOX Business  July 13, 2016 3:00pm-4:01pm EDT

3:00 pm
he is in a meeting with senator sessions. go to my facebook page and let me know who you would prefer, sessions, gingrich or governor pens from indiana. i will see one bill o'reilly's show tonight so tune in on the fox news channel. i will see you tonight. over to you. liz: we have something developing at the white house. president obama is holding a white house meeting with police and civil rights leaders after saying the nation is not as divided as we have seen but we need to work to bring things together, this as the first funerals of dallas officers killed in last thursday's attacks are taking place in dallas. thousands of mourners turning out to say goodbye to hero cops. this is sure to play a major role in the 2016 election, hillary clinton discussing the topic from a historically significant location in the land of lincoln. donald trump spent the day
3:01 pm
meeting with those finalists to be his apprentice, or more accurately running may. our political panel is reacting and giving important insight ahead of what we are expecting today which are brand-new state polls. this happens as the united kingdom get the new prime minister. teresa may now the leader tapped with an ugly divorce from the eu answer country looks to hook up to other nations both big and small. we are live with ambassador gordon gray of the us and israel, what she needs to do to save her economy. on wall street check it out. record closes on site right this second as the tao in the s&p fight for a new page, the tao jumping 32 points, oil is sputtering below $45 a barrel. we are less than an hour to the closing bell, the markets, poke stocks on play, start the countdown.
3:02 pm
the bull are fighting for oxygen in the final hour of trade and have it at the moment right out of the gate this morning, the tao and the s&p hit new record highs and lost them but now they have got them back. any gain on the tao, the s&p will be enough to get us to records once again. we have 28, s&p 500 stocks hitting lifetime highs, names like consumer things you use all the time, pepsi, monster beverage, kellogg, cisco, up 2%. interesting with general mills and a bunch of news, kellogg got the benefit and this surprise developing in the oil market all day long but look at the aftermarket numbers, oil below $45 a barrel, down 4%. yesterday i told you the global glut had not disappeared and even though weekly crude stockpiles fell 2.5 million
3:03 pm
barrels, that drop was less than the 3 million barrels expected, we see the price tanking but it was worse for gasoline, inventory showed a surprise build of one.2 million barrels, what trades on the wholesale market plummeting 31/3% on the aftermarket trading session. a big international handshake, no kia teaming up with samsung agreeing their patent drove is more powerful together than apart, the two reached a deal to cross license their patents, no kia moving higher by $.33, a gain of nearly 6%. them sung doesn't trade here specifically, but you look at what it is going at, 1220. president obama holding a meeting at the white house between police officers, mayors, academics and civil rights activists. the president working to find the common ground he spoke so eloquently about at a dallas
3:04 pm
memorial, leaders of the black lives matter movement sitting alongside law enforcement and government officials to discuss racial disparities in our criminal justice system. this as the city of dallas prepares final goodbyes to the 5 officers killed in last week's deadly shooting. funerals for three of those fallen heroes taking place at this hour in dallas, farmers branch and texas, you are looking at pictures of cleveland, the attack in dallas is creating concerns over security in cleveland for the gop convention where tensions are expected to run high. let's take you to cleveland, blake berman learning how officials are prepping for what the convention might bring. we know the so-called black cancer group wants to carry weapons while they protest where you are. >> exactly right. the new black panther party saying they will do that.
3:05 pm
ohio where we are is an open carry state. they say they have the right to do so. it is their second amendment right. they have been threatened and ty y want to have their safe insured. the underlying theme of all this is trying to ensure they feed everybody here as we are anticipating protesters, supporters, tourists, delegates, bring them here to dc and that is a security concern and a security issue right now. let me show you where you are in front of the convention center, signs the convention is almost here but not entirely here. these are steel barricades that four or five feet high, 50 yards or so. that is the convention center, and the quicken loans arena where the actual convention will take place. a while ago the secret service part of a news conference, signs of stuff like this according to the last few days or so. >> in the last 72 hours secret
3:06 pm
service started pre-placement of assets going up to secure national special security venues. we are looking at the full support of the department of homeland security and department of justice and federal bureau of investigation. >> if you have never been to cleveland just to give you an idea where we are, the football stadium where the cleveland browns played. over here you have the convention center and a few blocks that way the quicken loans arena. a couple people we talked to, the head of the police union said the convention center and the queue will be the safest places on the planet next week. the question is everywhere else, when you bring in those protesters, that is what they are trying to work through. trish: blake berman in cleveland. foxbusiness will have wall-to-wall coverage of the republican national convention next week. democrats from philadelphia, you will not want to miss a minute of it. breaking news, this sometimes
3:07 pm
happens, companies miss release -- the railroad company was expected to report their earnings after the bill. we have -- they are out right now. you see stock jumping 4%. earnings-per-share at $.47, they are citing a couple of head winds, among them a strong dollar they are saying is causing problems, real challenge with the economy and transition in the energy world, lower oil prices so you have less transport on railroads moving the energy around the country so csx is jumping 4% on trading volume of 11 million shares. quite a shocking end of an era unfolding in london is david cameron who spent 6 years as prime minister of the united kingdom stepped down. you see him walking to the microphone at 10 downing, three
3:08 pm
weeks after the uk voted to leave the european union. cameron was a staunch remain supporter. taking his place, former home secretary and new conservative party leader per teresa may, she becomes the second woman in history to hold the title of uk prime minister and it carries with a long list of challenges, the most daunting being negotiating the exit from the european union. her background, she is the daughter of a vicar, interior secretary, people are saying her business and economic backgrounds are lacking. will she be able to solve britain's business challenges? without the eu will she turn to smaller countries like israel to keep her country's economy afloat? israel is one of the united kingdom's top 5 trading partners. the us number one. with me now is former israel ambassador to the un, the uk and hudson institute distinguished fellow along with former us ambassador to the european union boydone greg. the breakup. you have today the fed president
3:09 pm
of st. louis, james bullard, saying brexit will have 0 impact in the us. i'm not so sure globally. what do you think of the impact? >> he is right about in the united states and stock market is reflecting that it is not going to be severe. we will suffer a little bit with our export because of a higher dollar but i don't think it will affect us. it affects great britain much more and it affects the long-term, it affects the european union. >> you did what i was thinking, put it back in the lap of teresa may who has a huge challenge. you were the is really ambassador to the united kingdom when all kind of trade reels were being struck. does she need to turn to countries like yours to say let's make a deal? >> absolutely. the first thing people should remember is she is the second woman prime minister and from
3:10 pm
the conservative party, and at the eu, she has to move the united kingdom out. he has huge challenges and before coming and i heard boris johnson would become the foreign secretary. that is a hell of a challenge. in any case, israel, top technology, cyber, amazing relationship of entrepreneurs in the united kingdom. this is one of the growth engines, this relationship from my point of view on the economic, political and military cooperation continue. the right thing to do. trish: it would make sense for teresa may to do that, strike bargains, strike new relationships with countries like that so let's talk about the fact the european union leading the charge to say too
3:11 pm
bad, you can't get the trillions of dollars in euros when it comes to the clearing operation this london used to have a grip on. how do they hold on to the banking jobs. 's they are related to exactly that, clearing all those derivative and currency trades? >> i am not sure françois hollande can clean that out of london. i don't think all those moves will take place and there are plenty of safeguards and's banks, but it is not going to be easy. it is not going to be without friction. it is a tough job for the prime minister. trish: the european union is not
3:12 pm
interested in holding hands as we are in this country when we are getting along. what would it behoove a country like israel to do? reach out proactively to the united kingdom? >> israel is a startup nation. the uk, this was a startup. and create a whole range of agreements all over the world. and number one on the list, the fifth strongest trading partner, the priority, especially as we have this front line of technologies, this is the future. trish: you mentioned this is good news, breaking that boris johnson is named foreign secretary. what does that really mean? he was definitely part of the exit plan, the leave.
3:13 pm
>> england was still part of europe, doesn't want to see a complete divorce, the market in europe for british exports. it is a good move to bring him back in. the interesting thing about israel is great britain can do europe a great favor if they came up with his real to make is real the silicon valley of europe. europe needs the innovation and entrepreneurship israel has and to some extent, there could be a place that comes out of this that we haven't fully appreciated. liz: your making ron smile. we appreciate it. closing bell ringing and 40 minute. s&p and the tao. here is what is bringing the tao along, heat map of 30 names that comprise the tao. microsoft and verizon at the
3:14 pm
top, interesting to see we still have that record. coming up on the floor show experts on whether this record can hold for the next 42 minutes and you won't believe the places pokémon is showing up, players are thrilled, others outrageous this excites but also insults. we have that story for you. tesla in trouble, elon musk defiant about keeping the autopilot feature in action between 2 major government watchdogs, after a deadly crash. that is all i had on countdown. i'm billy, and i quit smoking with chantix. i decided to take chantix to shut everybody else up about me quitting smoking. i was going to give it a try, but i didn't really think it was going to really happen. after one week of chantix, i knew i could quit. along with support, chantix (varenicline) is proven to help people quit smoking. chantix definitely helped reduce my urge to smoke.
3:15 pm
some people had changes in behavior, thinking or mood, hostility, agitation, depressed mood and suicidal thoughts or actions while taking or after stopping chantix. some had seizures while taking chantix. if you have any of these, stop chantix and call your doctor right away. tell your doctor about any history of mental health problems, which could get worse or of seizures. don't take chantix if you've had a serious allergic or skin reaction to it. if you have these, stop chantix and call your doctor right away as some can be life-threatening. tell your doctor if you have heart or blood vessel problems, or develop new or worse symptoms. get medical help right away if you have symptoms of a heart attack or stroke. decrease alcohol use while taking chantix. use caution when driving or operating machinery. most common side-affect is nausea. being a non-smoker feels great. ask your doctor if chantix is right for you.
3:16 pm
you stay up. you listen. you laugh. you worry. you do whatever it takes to take care of your family. and when it's time to plan for your family's future, we're here for you. we're legalzoom, and for over 10 years we've helped
3:17 pm
families just like yours with wills and living trusts. so when you're ready, start with us. doing the right thing has never been easier. legalzoom. legal help is here. won't replace the full value of your totaled new car. the guy says you picked the wrong insurance plan. no, i picked the wrong insurance company. with liberty mutual new car replacement™, you won't have to worry about replacing your car because you'll get the full value back including depreciation. and if you have more than one liberty mutual policy,
3:18 pm
you qualify for a multi-policy discount, saving you money on your car and home coverage. call for a free quote today. liberty stands with you™. liberty mutual insurance. liz: the csx train pulled out of the station before the bell, the company was support to report burnings after though, more than an hour ahead of it, let's go to the stock exchange, jumping 41/3%. >> not only is csx benefiting from this report but the airline sector, the railroad sector and all stock sitting session highs. in the second quarter, $.44 with the expectations a better profit and in line revenue.
3:19 pm
that is pretty decent, the interpretation on wall street, 12% from this time last year, shipments, analysts believe the worst of that slump is behind us. overall volume down 9%, the worst behind according to analysts led by a 30% decline in poll shipments. csx is sticking by of guidance, declining for the year, there is some relief, and the earnings report, shares were lower, surprise early release. back to you. liz: a fast fingered earnings release. let's get to this, looking at records at this moment. are markets experiencing a mass psychosis? that is what is happening right
3:20 pm
now. investors causing the worst set up for the treasury market he has ever seen in his career and has been in the is is a long time. looking at the 10 year yield, 1.47%, not too far from what we saw last week but we are down 1.39. and where should investors be instead? and john cortina, makes it look like they don't deserve it. >> quiet day today into tomorrow and friday, large economic calendar, yum brands tonight, jpmorgan reporting tomorrow morning and a large ipo, so today was setting up everything that will come at the end of the week. the market has taken a little bit of a breather, every single day, not healthy for the movements. it is somewhat welcoming.
3:21 pm
liz: is that right? is this mass psychosis? investors are buying names like starbucks, facebook, manufacturing, are they wrong to do that? >> no. as long as we are going to keep low interest rates, you are going to get lower rates, more negative yield, so many central banks determined to do more stimulus, the european central bank, bank of england, bank of japan said they were going to do it. where else do you go? the stock market? maybe put on head strategies, realize there is a lot of risk of their but these returns, look awfully good and that is what investors are doing. liz: look at oil, consumption is not running at a major clip but we have a great job number last week for june jobs. it brought the markets back to the green today, just after
3:22 pm
2:00 pm with the regional picture of what is happening, labor markets are stable, consumer spending is generally positive. most show decent stability, boston and chicago -- things are modestly decent. oil is dropping on a couple different issues. we saw a drawdown not as big as people wanted to see. >> it is not as much as expected. inflation and employment, underemployment is a huge problem. >> usage is not as high as it might be during peak earnings season in the summer. >> peak driving season of the summer and oil in general not moving that worries me, how can there be growth?
3:23 pm
and no one using commodities. just doesn't make sense to me, volatility and oil coming up. the last time i saw a drawdown in the market, started in the commodity and oil and doesn't look at. i don't believe the market right now. liz: you don't leave the oil market. great to see all of you. the tao is still on track, watching the clock ticked down in its final hour for record gains, let's see if we can do that. the high of the session up 45 so watch 42. we have lost some of that. a different picture after the arts and crafts retailer lowered second quarter forecasts, the retailer said buying back 11 million shares sold by shareholders, bain capital and blackstone groups, 6 and two thirds%.
3:24 pm
donald trump is out for blood, not referring to hillary clinton, charlie gasparino has new details about donald trump's latest $10 million fight. charlie is about to break it. that is next on countdown. when a moment turns romantic why pause to take a pill? or stop to find a bathroom? cialis for daily use is approved to treat both erectile dysfunction and the 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, . . . .
3:25 pm
re than four hours. if you have any sudden decrease re than four hours. or loss in hearing or vision, or any symptoms of an allergic reaction, stop taking cialis and get medical help right away. ask your doctor about cialis and a $200 savings card.
3:26 pm
3:27 pm
3:28 pm
liz: in the link ever an eye, a massive moneymaker. "pokemon go" app wept viral a new feature comes to the game, ads. the app developer confirms sponsor location will come to app, in hope of monetizing the runaway success new game. the "pokemon go" app is selling despite outrage over the game leading players to sacred sites including 9/11 memorial, the holocaust museum in los angeles and the concentration camp
3:29 pm
auschwitz in poland and as well as lawns and driveways of regular people. what is happening players show up in all the locations looking for that cartoon character or so, what is being described, what we describe as pixilated scaf ven vendinger hunt. scavenger hunt. the "pokemon go" craze has them catching more than 100 species of pokemon. there is one in the studio. oh look, oh. this is our little guy. isn't that cute? [laughter] epic waste of time, people. we have breaking news right now, we have to get to coming out of new york state supreme court. donald trump is apparently suing a former campaign employee for $10 million for allegedly breaking a confidentiality agreement but there is more to
3:30 pm
the story including a lover's spat, charlie? what? what? >> should point out this is a suit against sam nunberg former campaign aide fired over course of last year. sam allegedly issued, i don't want to get into too what he did wrong, issued a tweet that some viewed was racist. used foul language, it came to light. corey lewandoski, then the campaign manager sued him. he has since moved on working for cruz. here is where ted cruz's campaign, the one that lost, donald won the gop nomination. here is where it gets interesting. there was a story about a month ago that said corey lewandoski, before we was fired, the campaign manager for trump, had what many people thought was a lover's quarrel with, with hope hicks, the campaign manager. spokeswoman. liz: communications person.
3:31 pm
>> this occurred on page six of "new york post." the story you can read about it. after that story leaked, trump's, trump's legal team believed that sam nunnberg, the guy that was fired, leaked it and sent him a notice they were going to sue him for violating his confidentiality agreement. liz: for $10 million? okay. >> when you work for trump you sign massive confidentiality agreements this is all in the court papers today. the suit, they have been fighting, wrangling back and forth for the last month or two whether they would sue or not. sam thought about suing him back or filing court papers. today the rubber met the road. they couldn't reach a agreement. trump sued him for 10 million. he answered the suit from what i understand, in those answers and documents you get the road map to what happens. he actually says, nunberyl says
3:32 pm
i'ming finger for the leaking the story. liz: between hope hicks and corey lewandoski? >> i don't know if he says that there are specific names in the documents but he gives you enough information you know it is those two because he references the "new york post" story. you can put it all together. that is essentially what is happening right now. liz: okay. >> i think bigger question to ask, why are we talking about this in the middle -- listen, donald trump's on the verge of picking his vice-presidential running mate. huge decision for him. liz: why are you talking about this? >> because this is just the weirdest campaign i ever heard in my life, you sue a campaign aide for 10 million because he violates a confidentiality agreement? okay, maybe he did but, i mean, you think they have bigger fish to fry at this point. liz: one week before the convention. >> one week before the convention this is what is going on. i kind of knew a little bit about this because i have a lot of sources in that community and
3:33 pm
i saw this percolating. i will say this. i don't know who the source was for the "new york post" story. i don't think it was sam. liz: okay. that is your opinion. we shall see. >> it is based on my reporting. i don't believe it was sam. liz: okay. >> i'm telling you, that quarrel, whatever you want to describe it, lover's quarrel or just a quarrel quarrel, that quarrel occurred out in public. there were other people that were there. liz: okay. >> just telling you, i heard about it too. and telling you, he didn't tell me. so there you go. liz: will put it on foxbusiness.com? >> do i have to write this one? liz: a little bit. people are interested. >> meanwhile valeant is down a gazillion percent. liz: meantime i have to get pokemon goo off my hand.
3:34 pm
spending millions of bucks to prevent hackers from taking over your car while driving it. hackers did it last year. what chrysler fiat is doing to stop it. we have latest numbers from these must-win states. but looking to spoil both donald trump and hillary clinton's hopes for the white house is the libertarian ticket. former governors gary johnson and william weld, both joining me right here tomorrow in a "countdown" exclusive, right here. please do not miss this, william weld and gary johnson. coming back right now. dow up 26. i have asthma...
3:35 pm
...one of many pieces in my life. so when my asthma symptoms kept coming back on my long-term control medicine. i talked to my doctor and found a missing piece in my asthma treatment with breo. once-daily breo prevents asthma symptoms. breo is for adults with asthma not well controlled on a long-term asthma control medicine, like an inhaled corticosteroid. breo won't replace a rescue inhaler for sudden breathing problems. breo opens up airways to help improve breathing for a full 24 hours. breo contains a type of medicine that increases the risk of death from asthma problems and may increase the risk of hospitalization in children and adolescents. breo is not for people whose asthma is well controlled on a long-term asthma control medicine, like an inhaled corticosteroid. once your asthma is well controlled, your doctor will decide if you can stop breo and prescribe a different asthma control medicine, like an inhaled corticosteroid. do not take breo more than prescribed. see your doctor if your asthma does not improve or gets worse. ask your doctor if 24-hour breo could be a missing piece for you. see if you're eligible for
3:36 pm
12 months free at mybreo.com.
3:37 pm
3:38 pm
liz: hillary clinton invoking history today, speaking at the old statehouse in springfield, illinois, discussing importance
3:39 pm
of uniting the country after a week of racially-charged attacks in dallas, louisiana and minnesota. by the way where she is standing is the same exact spot where abraham lincoln delivered his famous address about the peril of slavery, declaring quote, a house divided against itself can not stand. she used opportunity to rail against his competitor and his quote, divisive stances. >> i do wish donald trump would listen to other people once in a while. he might actually learn something. but he has made it clear that's not his thing. as he has said, he only listens to himself. this man is the nominee of the party of lincoln. we are watching it become the party of trump. and that's not just a huge loss
3:40 pm
for our democracy, it is a threat to it. liz: this comes on the heels of a pretty major piece of news here. three polls out of battleground states showed this race is about as tight as can be. it is in ohio, it is tied there. you see trump's got a lead in pennsylvania and florida but within the margin of error. let's bring in marianne marsh, democratic strategist and michael goodwin, columnist for "the new york post." michael, the polls show it is razor thin. how does each candidate jump ahead as we face conventions. >> when you look at the polls you can understand exactly what both these candidates are doing. hillary clinton has been slipping in the polls. donald trump catching up. that has been true for six weeks, you see that the fact she had her best june. he had a terrible june. he is within three points much her or less in every one of these battleground states. previous polls last few weeks. these polls confirm it. so when you see hillary clinton
3:41 pm
in illinois talking about race where lincoln had his great speech as you noted a moment ago, liz, she is peeping not only to african-americans who overwhelming support her and latinos and democrats and trying to peel off white women in the suburbs. that is who the speech is directed to. she is trying to appeal inciting this. donald trump is playing divide and conquer politics. echoes nixon in 1968 law and order candidate. he will win with white men, period, end of sentence. liz: michael, he owns the white male vote. he needs to get more. >> sure. liz: how will he do that? >> both of them need to get more. they're both stuck in the 40, 42% nationally. she goes a little higher but never gets close to 50 in any reliable poll. i think this election is still up for grabs. neither one of them should recent easily. about her speech in illinois, she is no abe lincoln. that speech, you know, it is
3:42 pm
supposed to be unifying speech but really just an attack on trump if that is how she will unify the country it is not going to work. liz: at a time, mary ann, even the president said yesterday, we must unify. george bush said it. bernard kerik, the former police commissioner of new york pd saying that is exactly what we need to do. both sides are very guilty of calling each other names or at least criticizing. the american public would like to see jobs. they would like to see solutions and crossing of the aisle on certain occasions i think? >> and i agree with you, unfortunately what you see with these terrible events we've seen in orlando, in dallas, in baton rouge, in minnesota overtake all of this. you see politicians, candidate for president, trying to use the opportunities to draw contrast. donald trump did it last night with hillary clinton. hillary clinton did it today with donald trump. that is the environment we're in. you will see it next week during the republican convention.
3:43 pm
hillary clinton will campaign next week. which democratic nominees have not done. that is not a thing we've seen before. liz: neither will drop the swords. michael, ask you about vp picks because donald trump is very close. >> quickly to mary ann's point. both have very high negatives and high unfavorables they're trying to drive other ones really higher. that is what they're about now. as for the vp pick, i think mike pence is very solid choice for a lot of republicans. i think all of the vp picks he is talking about more about governing than they are about campaigning. i believe trump feels quite confident in himself as campaigner of the what he wants he said, get somebody in there to help him assuming he is elected work with congress where he was no experience and ruffled a lot of feathers. pence, gingrich, sessions, all of them speak to the same experience level and skill level in congress. liz: we started with mary ann. we will end with michael.
3:44 pm
great to have you both of you. >> thank you very much, liz. liz: anytime. 17 minutes before the closing bell rings. dow is up 32 points. s&p and dow hoping to scratch out new record highs. we're there for both of them. nasdaq slightly lower. check out the bombshell video. a tesla driver using autopilot feature but completely asleep at the wheel. wait until you see how the camera comes over, listen, he looks like he is out cold. this as elon musk's empire is under attack. should investor and consumers be running for the hill and understand this is technology that must be used responsibly? we'll battle this one out live, next on "countdown."
3:45 pm
♪ before it became a medicine, it was an idea. an inspiration. a wild "what-if." so scientists went to work.
3:46 pm
they examined 87 different protein structures. had 12 years of setbacks and breakthroughs, 4,423 sleepless nights, and countless trips back to the drawing board. at first they were told no, well... maybe, and finally: yes. then it was 36 clinical trials, 8,500 patient volunteers, and the hope of millions. and so after it became a medicine, someone who couldn't be cured, could be. me. ♪
3:47 pm
won't replace the full value of your totaled new car. the guy says you picked the wrong insurance plan. no, i picked the wrong insurance company.
3:48 pm
with liberty mutual new car replacement™, you won't have to worry about replacing your car because you'll get the full value back including depreciation. and if you have more than one liberty mutual policy, you qualify for a multi-policy discount, saving you money on your car and home coverage. call for a free quote today. liberty stands with you™. liberty mutual insurance. liz: remember this video.
3:49 pm
about a year ago hackers demonstrated how they were able to take over a jeep cherokee remotely and control its systems and driver couldn't do anything about it. not long after chrysler recalled a million vehicles vulnerable to this type of hack. now they're fighting back. the automaker launched a bug fighting progr 150 to $500 to help the company find flaws in the vehicle software. fiat trading down a percent. tesla shifting into high gear after what appears to be another controversy for the electric car company. while tesla's autopilot feature has been thrust under quite the microscope after a fatal crash involving a tesla model s in may. the company is defending the system calling autopilot safe but pinning it on consumers, for, quote, misusing the technology. as sec investigates whether tesla breached security laws when it failed to tell investors
3:50 pm
about the fatal crash. the "wall street journal" reporting that they reported the crash to the national highway traffic administration but not to investors in security filings before they did a big $2 billion float of the stock. "wall street journal" auto industry reporter mike spector team scored a one-on-one with tesla ceo elon musk in today's "wall street journal" we bring in gerber kawasaki, ceo, who is tesla bull. mike, you first. how does this alter tesla's future. >> elon musk said in the interview they will put out educational blog post. that is sass it acknowledgement that even though they warned drivers to be alert and sign disclaimers, there is stuff in the owners manuel they could have done a better job this does not make your car a driverless car. just assists your driving. >> part of this is on of course the people who buy these cars. i don't know if you saw this, ross, we, before the break showed video of a driver who appeared, appeared to be out
3:51 pm
cold, completely asleep, catching flies. his mouth was practically open. here he is is in the blue car and you know, blaming tesla when somebody misuses it, might be a real stretch here. look i'm not exonerating tesla entirely not explaining to people how to use this thing but what do you make of it as a tesla shareholder? >> first of all you don't want to be responsible for anybody dying. that is a really sad outcome from a guy who really tested the limits of the tesla autopilot system, he videotaped it often. i saw videos he done in the past. he pushed it too far and he died. it is really sad. that being said, this technology is amazing in its transformative and make the road safer. let's not be confused by the short-term hiccups. there are many plane accidents on the way to get autopilots to work on planes. we use it now all the time. it is normal phenomenon. liz: it is in beta stage, michael.
3:52 pm
he was very clear on that. beta means? >> beta means test phrase. he is right, this is the test phase for the software but driverless cars don't drink. there is potential safety benefit. many drivers point out, take out iphone and ios, beta crash phases, can't use email, the car crashes and you die. liz: misunderstanding what beta means to tesla for autopilot. any system with less than 18 miles, one billion miles of real world driving. the autopilot is named after aereo craft autopilot, always expected the pilot must stay alert. ross, there is material disclosure to the sec the fatal crash happened mayth. that is important to note -- may 7th. but may 18th they sold $2 billion in a float but they had not reported that to the sec they reported it to nhtsa, the agency that oversees these type of crashes but when you're putting stuff out there for investors wouldn't that be
3:53 pm
material, is that the question? >> yeah i think it is material and i think it's a mistake. not like these guys don't have enough lawyers and security lawyers working for them and i don't think they knowingly try to cover it up but it's a mistake. you know, elon has got a lot of things going on at the same time and he needs to focus on tesla and making cars and he will be better off. i think it is a mistake and he will pay for it somehow. liz: mike the stock is up over past five years, 600% but it is down year-to-date. we're a business network, you look at this and say what? for anybody looking to buy the stock there are still glitches here. >> look, the stock has not been negatively impacted too much by this incident. liz: up 2% or down $2. >> day after this came out it actually rose. so not a huge impact for investors at this point. look, automakers don't disclose every crash to the sec but this autopilot has been marketed so aggressively, investors buy
3:54 pm
tesla shares because they think they're on technological cutting-edge. that is were the rubber meets the road. liz: great to have you both of you. >> and there is also, sorry. liz: quickly. >> a lot of liability shifts to tesla because of this. this is something that's material. liz: mike spector, "wall street journal," ross gerber, gerber kawasaki ceo. we're in record territorier to for the dow and s&p. we're coming right back. don't go away.
3:55 pm
3:56 pm
3:57 pm
liz: breaking news, folks the dow is on the verge of another all-time record. s&p scaling slightly up the flat line. we have alpine fund. mark, your thoughts on these markets once again. >> we forget about "brexit," that's for sure and i think obsession and search for yield will continue. that is kind of what we're looking for in our alpine dividend fund. it will raise dividend
3:58 pm
consistently. that diffentiates from big chunky yield like utilities overvalued to a certain extent and dividend growth rates will not be 20%. we're finding a lot of opportunities where there are 20% growth opportunities. liz: mark, we have an election. that is not a news flash for anybody out there. nation's crumbling infrastructure, no doubt going to be at the forefront of economic side of who gets into the white house. you have an infrastructure fund. interestingly enough it is doing really well. up 11% year-to-date. what is it and how is it working so well in advance who we know or don't know who might be president? >> whoever your politics are, both candidates talked about increasing infrastructure spending next year as a pigbig part after stimulus package. the trailing yield is 4.3%.
3:59 pm
we think you're at crossroads of infrastructure spending. central banks throughout the world including u.s., it has exhausted monetary. they have to switch to fiscal. big plan is infrastructure standing. a lot of that will be on the infrastructure play. liz: except this time it has got to be infrastructure spending plan, goes to bridges tunnels, public works that work. two names you like related to that. at&t and then a spanish truck truck play which is down about 13% year-over-year. as we bump up against what looks to be record right now, for the dow up 24 points, where do you think market goes over the summer? >> i would look for spots and i think income will be 50% of the total return you make here on out. income concerns are a big part of it. the big company is you have a benefit or opportunistic benefit
4:00 pm
that "brexit" did damage the stock price because they operate airports in london. liz: guess what, mark. we're cueing fireworks because we have -- >> another record. liz: another record. mark spellman gets to look at it. [closing bell rings] thanks for joining us from the alpine funds. connell and medical list pick it up here. i hand you fireworks, gang. how about that? melissa: we love it. connell: perfect. celebration for markets. closing at another all-time high. s&p barely squeaking out a record as well. we'll cover it all. i'm connell mcshane once again for david asman. melissa: good to see you. glad you could join us. i'm melissa francis. this is "after the bell." we have you covered on big market movers. here is what else we have for you this hour. big swings in the swing states. donald trump and hillary clinton now polling neck-and-neck in states that could decide the election. this as trump meets one-on-one with his short list of vp candidates.

94 Views

info Stream Only

Uploaded by TV Archive on