Skip to main content

tv   Street Signs  CNBC  August 2, 2013 2:00pm-3:01pm EDT

2:00 pm
above the two-year 7% mark at various times, not only in the week but during particular trading days. like now the ten-year is at 2.61%. lots of earnings next week in the media sector, disney, time warner, 20th century fox, dish media. rest up, ty, going to be a busy week. >> that does it for this edition of "power lunch." see you when you get back here. >> "street signs" begins now: >> another trading week nearly in the books, another week where stocks move higher. retail investors piling in. housing and car sales are hot, and there's even talk of mansion shortages. this is dangerously looking like 2006 all over again. a huge week for social media. facebook and linkedin soaring and buzzfeed's ceo on why and what may be next and why all the 20-somethings at your office may be costing your company and the
2:01 pm
economy big time and the hottest smartphone company in the world right now might just be a name that you certainly would not expect. and just now george clooney, that handsome fellow right there, slamming a very well-known hedge fund manager in the form of dan loeb. hear what george clooney had to say. bring you the headlines, just an excuse to show george clooney for all the ladies out there. hi, everybody, mandy is back on monday. the dow jones industrial average on this jobs friday not doing a big move here. look at that. we're down 13 points. the nasdaq is up. the nasdaq has become the story, folks. it is up nearly 2% this week alone. it is now up 22% this year, incredible run for tech. let's get right now to the trading floor. bob and rick. bob, today not a big move for the dow, but once again it's a week where we're shrugging off anything and everything and we're moving higher. what's going on? >> yeah, they are ready to guild the lily, disappointing report.
2:02 pm
whisper comments on the floor, all around, 200, 225, 162, a disappointment, but, look, all you can say is watch the action and conclude that any dip continues to be met with -- with buy the dip mentality. sorry to use cliches. the volume isn't heavy, a light friday but take a look at vix. you think traders are worried. nobody is buying protection. the vix is collapsing, lowest level since march or so and that was a six-year low. buy the dip, still very much intact. >> ipos, they are red hot again. going back to 2006. >> one by-product of the hot stock market, nobody does an ipo in august. next month six. three the entire year of august at the nyse. look what happened. you're right. i think it's 2007, brian, put up the ipos in august.
2:03 pm
we're expecting 16 ipos in august. seven last year and four before, the last time i saw 16 ipos in august was 2007 and we may even get more than that. the big thing here, my thought, brian, about why we're getting the stock market, the new high is driving the ipo market. that's the single most important thing, and we've got some big growth sectors, cloud xugt and nat gas and biodeck diesel. and finally you mentioned this last week, the facebook ipo, back at $36. a number of people i talked to said, you know what, getting back to 38. that kind of matters. really put a crimp in the ipo market so let's throw that in the mix as a possibility. >> tell you what, rick santelli, you kind of heard my sarcastic take at the short, mansion shortages, million dollar cars, housing is hot and ipos hot. i'm starting to feel a little
2:04 pm
nervous. >> yeah, people don't think quantitative easing is making a difference but yes, it is. >> where do we go? it's not what we've done but where we're going >> you know the answer. the answer, the country, the entrepreneurs, the underpinnings of what makes this country great, how it's changed history in 237 years, everybody knows what to do. we just need to let the forces do their thing. all this tweaking i think is throwing everything out of whack. it's all out of faze. i wish we had a shortage of every product in this country and just because somebody is successful like carl icahn buying mansions i don't think that's a negative story at all. but i understand the country can't be great without a great middle class and that is the story. it's a story the president talks about, so the difference is how do we get it, and that's the philosophical divide that has been plaguing congress for years. >> we have got a segment coming up in about 20 minutes that is
2:05 pm
going to explode your brain. i'm going to ask you a question before i let you go. do you think a job is a right or a privilege, a good paying job? >> i think it's a choice, because -- listen, brian, when i went to college, we had encyclopedias, when you wanted to go study up, you had to go to the library and take out a lot of books. when i look at what the world and the knowledge and the wealth of information two buttons away from a computer that costs less than a pair of gym shoes or telephone i don't think there should be any excuses, and if people have handicaps or they can't learn and can't get the skills, those people need help. >> yeah. >> the problem is there's a boat load of people that don't fall in that category that are getting help that i think is pressuring a lot of the politics that drive the country. >> well, i think a job is a privilege, not a right, but you're not going to believe a new study on the millennial generation, what they think. >> tune in, rick.
2:06 pm
>> brian, do you think anybody could ever set you back, if you were canned tomorrow and you couldn't find a job, you would change your skill set. if you had to work three jobs, would you not? >> that's right. >> i busted my butt every single day because my parents are no, but, hey, my daughter is sleeping in nice hotels. where's the cycle? rick, it's a different topic, different day. have a good weekend, buddy. >> watch the segment. >> you, too. >> despite guys like trying to find crazy explanations stocks go up for one reason, folks, more buyers than sellers and there's been a lot more buyers and sellers lately. bank of america data showing etfs topped 6.6 billion last week compared to 1.6 billion in outflows from bonds. bob, you kind of heard our talk, you know, rant, whatever you want to call at the top, everybody loves stocks and housing is hospital starting to get nervous that things are
2:07 pm
almost too euphoric. what's your take? >> i'm not sure euphoric yet, brian. we've traded past the upper end of the range we established before, but there's still a lot of doubt out there, a lot of naysayers, i think the market will continue to climb the wall of worry and the fact that stocks are cheaper than a lot of other things and a lot of other things have ceased to be attractive. cash seized to be attractive some time ago and now bonds are struggling and stocks have been the game in town. there's more money coming in as you pointed out. >> is the stock market then, bob, fundamentally attractive based on earnings, valuations or price-to-book sales or is it simply the best of any other option? >> it's certainly some of both, but i think it's a both and and not a both or and that is to say stocks have a yield higher than a ten-year treasury. that's almost unheard of. mostly it's a handful of stocks and that alone tells you relative to something else
2:08 pm
stocks are pretty interesting. dividends are going up at a double digit rate. last time i checked the earnings reports are great, nothing to write home about but they are making a positive move in the right direction. you put that all together and i think the market grind higher. look, we're not going to go up another 18% as we have since the first year in my opinion but i think the market ends higher than where it is today. >> brian hamilton, your firm does data mining better than any firm in the world and you're generally an optimistic guy but you're starting to get a little nervous too. tell us why. >> here's why. we are 48 months into an expansion, no doubt about it. rick is totally right, but, remember, the average time that happens is about 55 to 58 months. we're going on the back side of that, and our unemployment rate is still too high. >> okay. so just because though we're 48 months in and the average is 58 months, that doesn't necessarily mean, brian, that we have to contract. that's the average. you could skew the mean and
2:09 pm
security average no matter what. what are the odds that we go up or down? >> it's hard to say. look, we look at data over the past 80 years. we're four into this very strong expansion, been talking about it for the last four years and unemployment is still too high. there's still too much people on the fence in terms of hiring so we can never predict how long it's going to continue going, and when a recession might kick in, but we're getting on the back end on the 17th or 18th green basically. >> josh brown, on the show a lot, he had a really interesting blog post and opinion the theme on our show for two years, that despite all these things going on, china fears, european worries still high, jobs still under historical growth, gdp, we have powered through it. is it because of the resiliency of the american consumer, or is it really because we've fundamentally misestimated and maybe misestimated the positive impact of a housing recovery?
2:10 pm
>> some or all of the above as usual and i might add a couple other more things to it. listen, nothing like my house price going down that causes me to worry and nothing like my house price going up to make me spend a couple more bucks, and i think that's certainly been part of the driver. it was part of the fed's objective in all they have done to create some more confidence, and we've gotten some on the consumer side and we need to convert that to business confidence so we get more capital expenditures. i think with a lot of excess capacity, as brian has point out in labor, but also lots of other places we have further to go in this business cycle. >> very quickly, brian, if you had to guess 12 months from today would the unemployment rate be higher or lower? >> i think it will be lower, but, remember, a year ago i was saying it would be about 6% right now, so that shows you my predictive ability. >> i told people you were an optimistic fellow. >> that's true, but, look, here's what's happening. we are growing -- private
2:11 pm
companies are growing 10% a year. it's unbelievable. average net margins about 6% to 7%, very high. good cash flow, why are they on that fence, and as we keep going down that line i still get worried about that unemployment rate because if we're at 7% or 6.5% when things are good, what happens when we turn bad? remember, we are a cyclical economy and always have been so we can't plan on continued growth forever basically. >> brian hamilton and bob nevall, take care. have a great weekend, guys. >> thanks. >> a developing story that we're keeping an eye here at cnbc on is this. u.s. officials have issued a travel warning to all americans abroad after an unspecified threat from al qaeda. a number of u.s. embassies in the middle east will be closed this weekend. these are posts that are normally open on sundays. state department issued a statement saying that terror attacks could take place between now and the end of the month. a travel warning is in place until august 31st.
2:12 pm
we'll keep you updated on this developing story all day right here on cnbc. well, a huge week for linkedin and facebook. does this open the door for a twitter ipo? we'll debate. plus, millennials have been called from bratty to entitled to genius and a new report that says how they might be crushing the company you work for and a blockbuster fight. george clooney throwing stones at hedge fund manager dan loeb. much more on this simmering debate coming up. twees us @streetsignscnbc. we're back right after this. [ male announcer ] come to the lexus
2:13 pm
golden opportunity sales event and choose from one of five lexus hybrids that's right for you, including the lexus es and ct hybrids. ♪ this is the pursuit of perfection. ♪ ♪ "first day of my life" by bright eyes ♪ you're not just looking for a house. you're looking for a place for your life to happen.
2:14 pm
2:15 pm
another deadline approaching in the dispute between cbs and time warner cable. the two are in negotiations over programming fees with you have been unable to come to an agreement. the deadline now has been extended several times and another looming at 5:00 eastern time tonight. that's less than three hours from now, folks. time warner cable briefly pulled cbs stations from cable systems earlier this week but then restored them as the two sides agrooet greed to keep on talking. time warner cable shares, by the way, are down on speculation that it will be left on the sidelines amid rumors of industry consolidation. well, from so-called old media, which is doing pretty well, by the way, to social media, linkedin crushing it. julia boorstin spoke to the ceo earlier today. julia? >> reporter: well, brian, linkedin results blew past expectations and shares soaring 11% today on 138% growth and earnings per share and
2:16 pm
accelerating user base growth. the stock is up 425% since linkedin's may 2011 ipo and now the ceo says the next phase of the company's growth hinges on mastering global. >> i think for a number of websites that the challenge has been navigating the transition from desktop to mobile in terms of advertising. for us stgz one of only three diversified business lines we're in. we ear in talent solutions an premium subscriptions and by virtue of mobile we increase the upickity with which people can generate value. >> weiner praised ceo mark zuckerberg of facebook of doing a good job of navigating their transition from desktop to mobile and explains why linkedin is taking a similar approach with sponsored contonight. >> sponsored content and updates, as you mentioned for facebook, sponsored stories, it's working, and we're seeing
2:17 pm
higher levels of engagement via mobile-sponsored updates via traditional mobile display. >> and that higher engage president, especially on mobile devices, is what they are translating to higher revenues. find out more from my interview on brian? >> we now want to bring in buzzfeed president john steinberg. your company is rhett who had and facebook red hot and linkedin and yelp hotter than all together. are you getting worried about the exuberance? >> i don't think it's exuberance. this is the stuff we talked about every time i come on and cramer has been the only one that agreed. they have made the transition to mobile and did it despite the doubters, 40% of the revenue coming from mobile and linkedin, 30% accessing them on mobile devices. companies with increasing engagement and increasing mobile monetization and the ad products just like we have of sponsored content in the feed that works orders of magnitude better that
2:18 pm
be display. it's a pogging as part of a big transition going on in media right now. >> where do you see the transition ultimately ending up, john? when i look at the platt forms, i can see the advantages of all and buzzfeed but what i can't see is everybody existing in their current form in a couple of years. >> i think it will be massively disru disruptive. when you looked at the article about the aging of the television audience, young people are not watching television like they used to or subscribing to newspapers. people will be getting their news, especially young people, 18 to 34, from online, a whole new crop of media companies arising and a crop of linkedin going into conference right now. on the conference call people talked about how the program they have on linkedin and how that's one of the big drivers known gagement in more page news. julia boorstin started it out in her program as well and now you can get it on linkedin instead
2:19 pm
of cnbc. >> in addition to cnbc, john, but i do think you make a good point. there's a shift to mobile. everyone walks around all the time with the mobile devices and what that shift to mobile is doing is changing the way advertising works. instead of display ads being the way that people get advertising online, advertisers are realizing in order to get their message across on these smaller devices they have to make their ads more like content. that's what buzzfeed does and what linkedin is doing and twitter and facebook and the sea change to more content-like advertising will effectively have ads being more targeted, more useful and less annoying, and i think that this world of, you know, cost per clicks for banner ads is really, really changing and that's thanks to this mobile transition. >> julia, i was looking 59 click through rates the other day, right, on some of the mobile ads, 0.3% and the highest was telecon. >> that's for mobile banners. look for mobile content, 1%, 2%,
2:20 pm
3% click-through rates. that's what we see on buzzfeed, moves minds in a rhetorical role. banners never worked. they were a bad product for 20 years. finally mobile is happening, finally the great companies are going into much better ad products and it's working, back to where we should have about in the first place. >> john steinberg, great discussion as always, buddy. thank you very much >> thanks, brian. >> julia boorstin, we'll see you soon. >> thanks. >> up next, george clooney says hedge fund hot shot dan loeb knows nothing about business and slamming hedge funds and we'll have the latest and an interesting segue, taco bell says get ready for the dorito loco taco but the flavor is a mystery. what should it be? if you had to pick a flavor for a taco, right, what would it be? let us know. ♪ [ male announcer ] you wait all year for summer. ♪ this summer was definitely worth the wait.
2:21 pm
♪ summer's best event from cadillac. let summer try and pass you by. lease this all-new cadillac ats for around $299 per month or purchase for 0% apr for 60 months. come in now for the best offers of the model year. a talking car. but i'll tell you what impresses me. a talking train. this ge locomotive can tell you exactly where it is, what it's carrying, while using less fuel. delivering whatever the world needs, when it needs it. ♪ after all, what's the point of talking if you don't have something important to say? ♪ if you don't have something important to say? a quarter million tweeters musicare tweeting.eamed. and 900 million dollars are changing hands online.
2:22 pm
that's why the internet needs a new kind of server. one that's 80% smaller. uses 89% less energy. and costs 77% less. it's called hp moonshot. and it's giving the internet the room it needs to grow. this going to be big. it's time to build a better enterprise. together. vietnam in 1972. [ all ] fort benning, georgia in 1999. [ male announcer ] usaa auto insurance is often handed down from generation to generation. because it offers a superior level of protection and because usaa's commitment to serve military members, veterans, and their families is without equal. begin your legacy, get an auto insurance quote. usaa. we know what it means to serve. (announcer) scottrade knows our and invest their own way. with scottrade's smart text, i can quickly
2:23 pm
understand my charts, and spend more time trading. their quick trade bar lets my account follow me online so i can react in real-time. plus, my local scottrade office is there to help. because they know i don't trade like everybody. i trade like me. i'm with scottrade. (announcer) scottrade. voted "best investment services company."
2:24 pm
and welcome to the season finley ail of "the earnings squad." i'm melissa lee joined by my earnings squad partner herb greenberg laughing and smiling with joy and cnbc's josh lipton. got to get to the scorecard. 78% of s&p 500 companies have reported so far and 68% beat estimates and 9% met estimates and 28% coming in below estimates and we're looking ahead to hear to some of the names coming out next with reports, michael kors being one, reporting, before the bell on tuesday and expectations are very high. they have reported 28 straight quarters of positive comps and 12 straight quarters of 35 plus percent comps and there's some expectation that they will be consensus and saying based on channel checks they are saying that the consensus estimates right now look to be a little conservative. what we're looking for is any evidence of continued share gains versus coach which has been lacking, the price performance of michael kors so far this year and any sort of commentary on back to school season since we'll be seeing
2:25 pm
that and a lot of analysts with leather handbags and mobile accessories and watches, typically back-to-school items, want to see how those are selling through but a little nugget brought up by jpmorgan and that is could kors be included in the s&p 500 because it's now eligible to be included. it's been i'm yoed for a certain amount of time and that could mean about shares that could offset the shares offset by sportswear holdings and michael kors himself if that's been an overhang on the stock as of late. >> when they reported in may they said they expected the quarter to look okay. no room for error on this one. >> no. >> so 35 pedestrian run so far this year. not bad in accessories. tyson foods meantime reporting before the bell on monday, so, josh, you've been looking at this for us. >> tyson food, think chicken, pork, beef. got a food theme, herb, with my earnings squad today. >> like it.
2:26 pm
>> tyson food writes before the bell stock up 45% this year. a huge move. when you talk to analyst on the street, those more bulled up central is china, and the argument is with the meat scandals there, the food scares, tyson will argue it's poised to benefit because it has its own controlled secure chicken farm so it will benefit as china tries to recontrol its food system. >> when you look at sales growth it's still so tepid. sales earnings growth, last quarter not so great but does not matter. >> 47% year to date. >> we've seen that over and over in this market. >> that chart can be duplicated for how many stocks. >> for a lot of stocks and we'll listening for any commentary on the merger that the ceo said would benefit tyson and herb
2:27 pm
you're taking a look at a battleground stock. gm. >> with the season finale next year, loaded with companies. gmcr, green mountain, tweeted out otr global. actually put out a report this morning saying green mountain continues to lose share to profit label even as it increases proposes, so it will be very interesting to see if they can pull a rabbit out of the hat, something that may help them in the earnings. monster beverage comes out and sales and earnings have been in reverse last quarter and last quarter off a cliff and then noodles, the hot ipo, and i think this could be very interesting when i talked about it recently that comp store sales fell and with chipotle coming back with its comp store sales, it should be interesting. >> that's today's "earnings
2:28 pm
squad ""and i think for the season. >> that's unbelievable. no balloons, no fireworks. >> we're all on twitter so hashtag us, even between seasons. >> whoa. >> i've got to wait now for "game of thrones" and "earnings ground." you will not believe who makes the new hot smartphone and is quietly making waves and it's actually sort of in the middle of a fight now between george clooney and hedge fund manager dan loeb, and what's it like to invest like a billionaire? well, there's an apf to do with that. we're not done. stick around. customizable charts, powerful screening tools, and guaranteed 1-second trades.
2:29 pm
and at the center of it all is a surprisingly low price -- just $7.95. in fact, fidelity gives you lower trade commissions than schwab, td ameritrade, and etrade. i'm monica santiago of fidelity investments, and low fees and commissions are another reason serious investors are choosing fidelity. now get 200 free trades when you open an account. sorry to interrupt, i just want to say, i combined home and auto with state farm, saved 760 bucks. love this guy. okay, does it bother anybody else that the mime is talking? frrreeeeaky! [ male announcer ] bundle home and auto and you could save 760 bucks. alright, mama, let's get going. [ yawns ] naptime is calling my name. [ male announcer ] get to a better state. state farm.
2:30 pm
2:31 pm
we call this "street talk," stock stories you probably aren't getting elsewhere. let's bring in our friend walter white for a couple of names in the news. first off, radioshack. shares plummeting, down more than 10%.
2:32 pm
overnight downgrade by s&p, herb. this is a company that when you look at it and look out at their financials you've got to wonder. >> well, you know, moody's already did this back in march and the cdss, credit default swaps. >> i knew swings again, credit default swaps. >> this is in one sense not a surprise, giving people to sell. when you talk to the bulls they say the company is working so hard to basically get rid of the bad products and reducing what's in the store and revise lating the stores, there is a run to story out there that some people will think it will show itself the second half of the year. >> a published report that recently said they hired restructuring advisers. >> they have. >> if you're radioshack, you're obviously preparing for anything. >> right now -- >> if that story is true. >> this is a death to this company t.air piers to be, but we've seen that, and that's when everybody wants it. it's the fear in the stock, not saying it will go away and not saying it won't. >> all right. a lot of people forget this is a
2:33 pm
$20 stock two years ago. >> been around a long time. >> and that now will change. >> unless amazon comes and buys it. >> kind of jumping around today on "street talk." groupon upgraded to overweight from equal weight. >> we'll see -- groupon -- >> groupon has been viewed as a dog, but if i came to you and said how much -- >> one name you've been keeping
2:34 pm
a close eye on is blythe, not danner but bth, put out an original red flag on this name here on this very fine program. they are known for visalis. >> a multi-level marketing cop r company. >> the company came out today and we know why they -- the ipo was pulled and i'll tell you why. it was pulled because sales were down 47% year over year. >> in the press release the company tried to point to the 3% sequential decline in sales. had to do the month. >> companies have to highlight the good. that's what you do. that's what your pr department is all about, right? >> i'm just here saying that this one is imploding. >> they are breaking back, they are. herb greenberg, thank you very much. >> all right. have you heard about this next story? >> yes. >> unbelievable. >> on deck, dan loeb over here
2:35 pm
and george clooney over there and maybe a perfect storm of controversy. kids these days, wait until you hear this exclusive study that we've got on how often the millennials are changing jobs and how much it actually costs companies every time they do. i say get off my lawn! but first tell us what's coming up on the "closing bell," bill griffith. >> mr. sullivan, stay away from his house. linkedin shares up big today. that stock up more than 100% just this year. we'll hear from somebody who says it's time to get out of linkedin and we'll talk about why. also, is anemic growth in this country the new normal? we'll hear of the trio of top economists and we'll get their outlooks and brazil's rich et man has lost $30 billion in just the year and a half and we'll see how he can perhaps get this lost fortune back again, if ever. maria and i look forward to seeing you for the very
2:36 pm
important last hour of the "closing bell." "street signs" is back after this.
2:37 pm
[ indistinct shouting ] ♪ [ indistinct shouting ] [ male announcer ] time and sales data. split-second stats. [ indistinct shouting ] ♪ it's so close to the options floor... [ indistinct shouting, bell dinging ]'ll bust your brain box. ♪ all on thinkorswim from td ameritrade. ♪ time to have new experiences with a familiar keyboard. to update our status without opening an app. to have all our messages in one place. to browse... and share... faster than ever. ♪ it's time to do everything better than before. the new blackberry q10. it's time.
2:38 pm
where would you like to go tonight? ♪ [ male announcer ] it's a golden opportunity to see how lexus effortlessly connects you to where you're going. ♪ come to the golden opportunity sales event and experience the connectivity of lexus enform, available on all lexus models, including the es and rx. ♪ this is the pursuit of perfection. let's get back down to your day's top story, the jobs report and the topic getting hotter as
2:39 pm
the day goes on is this. is obama care leading to a surge in part-time workers? now many people out there saying yes. steve liesman says probably not. he's here. why say no? >> it may yet but not seeing it in the data, brian. first of all, the growth rate of full-time workers is faster than the growth rate of part-time workers, and i want to show you some data we put together here. this is the share of part-time workers in percent of the total workforce. look at the graphic and here's what you see. the butk of the increase in percentage where parth tim workers were more was in 2008. since then ups and downs but since then the trend in the peak is downward so ultimately that share is declining, a slight increase but the administration contends that some of that is a result of the defense workers being furloughed because of the sequester. that may be true. that may not be true. you can't explain it all through the health care act and take a look at this piece of data from
2:40 pm
the empire state survey of the new york fed. what it shows is there has been some effect. 35% say because of the health care act i'm making no change but one out of four have done more outsource, 5.4% shifted from full-time to part-time and 6.5% have fired or refrained from hiring workers because of it so there is an impact out there. this study was done before the administration lengthened out the time for compliance and for enacting the employer part of this thing. bottom line i think there's been an impact, but it's been very small, not nearly as dramatic as some of the more hysterical commentary has been made it out to be. >> whenever say obama care there tends to be heated conversation and we'll wait to see if it happens in the data. >> it's not there now. had a huge surge in part-time workers this year. last year you had it the other way around. overall the growth rate of full-time is outstripping the growth rate in part-time and that's an important change. >> steve, stick around, there's a fascinating story sure to tick
2:41 pm
off all the kids out there that could be employing america's millennials, those born between 1983 and 1993 would be a drag on the economy. cnbc today says this. it costs companies between $15,000 and $25,000 overtime a millennial changes jobs, and those that can get jobs are changing jobs, a lot. the kids have no qualms about not only changing jobs but going to a direct competitor. joining us now, one of the authors of the survey, the founder of millennial branding, a generation research and consulting firm, if that's even a word. >> happy to be here. >> i don't know. i'm stuck in the middle, right. my dad lost his job when i was 14, you know, and he struggled -- he was so incensed about the job-hopping nature of the millennials but i'm sort of in the middle. what's the survey say? >> the survey says 45% of
2:42 pm
companies are experiencing high turnover for millennials and compared to the previous research we've done millennials leave in two years whereas bloomers leave in ten years, so it's completely different the way they look at it, and what we've found was millennials are looking for a strong corporate culture and that's what hr professionals are seeing is they need to build a strong culture to connect with millennials. >> how about like working, getting paid? a job is a privilege, not a right, support your family and support the economy. is there any of that in there or is it like i want all these training programs and to support a cause? >> well, if you look at the unemployment rate, it's more than twice at much for millennials. >> which means they should be twice as happy to have a job. >> hang on, brian. >> what brian is getting at and
2:43 pm
what andrea, the producer of the show was trying to say, she thinks they are spoiled brats, is that what your survey is finding. are these spoiled brats here? >> absolutely no. they choose meaningful work. >> that's why i say. >> flexibility over a higher salary. it's not as important compared to older generations, and so we work with and we found that this is really going to be a huge issue for a company because not only does it cost between 15,000 and 25,000 to replace each millennial, but in the next -- next year 36% of the u.s. workplace will be millennials. >> if it costs $15,000 to $25,000 in total costs to a company for somebody to change jobs, right, i mean, there's got to be some loyalty there, do they not realize that because that hurts other people at the company. when a company has to spend money on somebody who comes in for eight months and leaves, that's a raise somebody is probably not getting. they had a job that's probably not going to be hired up.
2:44 pm
two out of every five people on the planet live on less than $1 a day. >> the problem is that a lot of these companies are living like it's 1960, and they haven't changed the process because we're always connected. when you go home from work, on vacation, connected to the work force through your co-workers, friends and -- >> nobody is not saying there shouldn't be workplace flexibility, all live on our smartphones. how about this, dan? should a 28-year-old be loyal to the company that he or she works for? >> i agree, but i think there needs to be a new employment contract whereas millennials have to be accounted for their jobs and show the results and the results are the most important thing. is this person delivering, and if they are not, they should leave, but if it's the right corporate culture and have the work ethics they should be
2:45 pm
promoted and not based on age. >> you would expect younger people to leave and have time at a particular place? >> any question whether a millen -- >> there is no evidence. think about what it was like decades ago. >> how about companies every six months? >> i left jobs every six month. i couldn't find the right place for a while and i'm not really sure why i've stayed, anyway, that's another story. but as a young person -- >> you're an outlier. >> that doesn't work, that doesn't work and you move on until you find a place that works. >> you find the right corporate culture that will support you and your ambitions and you'll stay with them longer if you find that so companies need to do a better job of finding the right people in the first place rather than just hiring, you know, just hiring based on a
2:46 pm
resume. needs to be a complete picture of them as a person and you can find that online. >> thanks for making me feel like an old man. i'm going to go home and watch "matlock" right now. get off milan, dan. >> breaking news groo from green mountain coffee? >> insider trading charges filed against a former employee. the employee is a chad mcguinn eswho worked in the i.t. systems department, and he is alleged to have traded in usually out of the money options ahead of information that was then released to the public, out of the money options. the company has responded saying that green mountains was reason the entally individualsed into the investigation into mr. mcguinnes, he's been terminated. no evidence of -- once again,
2:47 pm
insider trading charges alleging $7 million in that scheme, mostly trading in out of money options and chad mcguinn es, green mountain employer, and s his -- >> stocks not not moving too much. no allegations of the company doing anything wrong but maybe one rogue employee. coming up, dan clooney taking dan loeb to task. we'll tell you what he said. we'll dig into this juicy story coming up. ber! to help support regularity! i want some... [ woman ] hop on over! [ marge ] fiber the fun way, from phillips'.
2:48 pm
humans. we are beautifully imperfect creatures living in an imperfect world. that's why liberty mutual insurance has your back, offering exclusive products like optional better car replacement, where if your car is totaled, we give you the money to buy one a model year newer. call... and ask an insurance expert about all our benefits today, like our 24/7 support and service, because at liberty mutual insurance, we believe our customers do their best out there in the world, so we do everything we can to be there for them when they need us. plus, you could save hundreds when you switch, up to $423. call... today. liberty mutual insurance -- responsibility. what's your policy? all your important legal matters in just minutes.
2:49 pm
protect your family... and launch your dreams. at we put the law on your side.
2:50 pm
george clooney and dan lobe are in a fight sort of. we'll see if the notorious sharp-tongued loeb responds. >> he gets a little heated about hedge funds. the hollywood star slams loeb who's pushing sony to start of
2:51 pm
its entertainment business. clooney claims the hedge fund manager doesn't understand. some of its recent flops but the oscar-winning actor and producer counters the business ebbs and flows and flops are as much part of the hit. if you look at those guys, there is no conscience at work. it is a business that is only about creating wealth where when they failed they get bailed out and nobody gets fired. clooney claims a hedge fund guy is not. he's taking a direct shop at loeb. he says i would call him a carpet bagger and one who is trying to spread a carpet of fear. clooney is especially critical of the hedge fund's impact on jobs or lack through of knowing that a move will employ 300
2:52 pm
people while it's in production. third point, declined to comment. >> dan loeb has got a smarp tongue and he's not afraid to tell people what he thinks. maybe he'll buy sony pictures and be clooney's boss. >> sure. the hottest smartphone in the company in the world right now just might be sony. that's right. sony. agreed, it is a small total number but it's a big game for their lean. let's bring in jonathan gellar. jonathan, i understand it is a drop of water in the smartphone motion, $9.6 million, but is it a big jump? >> it's better because they're making progress. at the end of the day there are one of few manufacturers actually making money. it's just apple and samsung and
2:53 pm
pretty much sony, which is kind of incredible. >> why do you think they've enjoyed a little success with this line? >> i think one of the reasons why is they launched it very, very early. they got in at the right time. they actually make a decent phone and they have some pretty cool stuff coming up. >> so you check out everything. there's all kinds of phones out there. moto x. you brought it in for us. >> think google and motorola got it right because they're focusing on the consumer. >> can i see it, please? >> sure. it's a breath of fresh air because android is very
2:54 pm
technical, very geeky. they've actually kind of cut through that and taken the apple model of saying, you know what, we're not going to make a phone for a small group of people so it's comfortable, fits in your hand. >> i thought the move was toward gigantic phones. this is maybe wider than an iphone. >> it actually has a screen that's way bigger than an iphone and what they've figured out what to do is a new process that gets writ of the bezel around it so you're kind of holding a screen in your hand. you can also customize it any color you want, you can order it online. accent colors, wood phones, and they're spending half a billion dollars in marketing. >> there was a big story where they've surpassed apple in terms of downloads but apple is higher because i assume they can command more money for their
2:55 pm
apps? >> they're better quality. you know, google's never released numbers so we actually don't know how much money if any they're making on their stores. but in terms of money they've paid to the developers, we don't know. >> appreciate it. bgr. one of my stops every day. warren buffett? there's an app for that. that's next. that's why the internet needs a new kind of server. one that's 80% smaller. uses 89% less energy. and costs 77% less. it's called hp moonshot. and it's giving the internet the room it needs to grow. this going to be big. it's time to build a better enterprise. together.
2:56 pm
[ agent smith ] i've found software that intrigues me. it appears it's an agent of good. ♪ [ agent smith ] ge software connects patients to nurses to the right machines while dramatically reducing waiting time. [ telephone ringing ] now a waiting room is just a room. [ static warbles ] [ telephone ringing ] now a waiting room is just a room. ♪ "first day of my life" by bright eyes ♪ you're not just looking for a house. you're looking for a place for your life to happen.
2:57 pm
a lot can happen in a second. with fidelity's guaranteed one-second trade execution, we route your order to up to 75 market centers to look for the best possible price -- maybe even better than you expected. it's all part of our goal to execute your trade in one second. i'm derrick chan of fidelity investments. our one-second trade execution is one more innovative reason serious investors are choosing fidelity. now get 200 free trades when you open an account.
2:58 pm
good news, stoner. taco bell adding a third flavor later this month. they announced the news via social media outlets. it's expected to be released august 22nd. you tweeted us your ideas. sur rah cha, chocolate, how about making a taco that tastes like a taco. >> do you want to invest in a billionaire? there's an app for that. >> there's an app called i billionaire. it takes guys like buffett, more than ten billionaire, it tracks their portfolios and then you put your portfolio in what stocks you own and it can tell you, well, like bill ackman
2:59 pm
you're overdisperse in this stock. i like the fact that investing as a billionaire doesn't make you a billionaire. they can lose a lot more and still be fine where if you lose 80% of your nest egg, that's your requirement. >> and billionaires have a lot longer time line because they have the ability to suffer capital losses. they can take a big enough stake to push people around kind of like a dan loeb. >> my theory is if you want to invest in warren buffett, invest in berkshire. >> that's expensive. >> i want to say if you want to invest like a billionaire, become a billionaire first and then you can invest. >> what do you think of this clooby stuff? >> i think it's fascinating how specific and strong his views are on hedge funds and it speaks of the whole divide.
3:00 pm
>> he knows how young kids feel. slamming wall street gives you positive press. i understand it. thanks for watching "street signs." mandy is back on monday. "closing bell" is next. have a fantastic weekend. we'll see you soon. hi, everybody. happy friday to you. welcome to the:. i'm mari maria bartiroma. >> job numbers in terms of job growth, minor selling in the stock market. a bond market rally that brought the yield in that ten-year note down more than 10 basis points today. >> you would have expected a bigger move given the move down in the ten-year. >> if they considered bad news to be good news


info Stream Only

Uploaded by TV Archive on