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tv   Closing Bell  CNBC  August 14, 2017 3:00pm-5:00pm EDT

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>> >> and how about the white moose. i want to see this again a swedish white moose. only about 100 of them, and what a lovely animal that is. nice white moose. >> like the end of "cbs sunday morning. >> thanks for watching "power lunch. >> okay. we can't show the white moose video. that's done. >> what about the golfer >> the golfer we'll get to that's coming up. >> welcome to "closing bell," everybody. i'm kelly evans at the new york stock exchange. >> and i'm bill griffeth any moment now president trump is going to announce a new investigation into china's trade practices. we'll take you live there to the white house as soon as that gets underway this is the president, of course, facing backlash for his initial response to the violence in charlottesville over the weekend. it may have prompted that
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statement he made midday today which we'll talk about. >> meantime, how about stocks. the s&p could see its third 1% gain this year just in that territory right now. just under we'll tell you what's behind the move higher and see whether we can hold the gains we're drifting down a little bit in the final hour here. >> and this should be very interesting. after the bell, james damore, the engineer fired from google because of his internal memo on diversity. he'll be talking to kelly one-on-one to give his side of the story. looking forward to that an hour from now. >> he hasn't been shy about it so far. >> right. >> let begin at the white house where president trump is about to address china's trade practices. onlion javers eamon javers is standing by. >> reporter: should see that live on camera in a couple of moments. the president will sign a document which directs the u.s. trade representative to determine whether or not to investigate any china laws or policies that may be unreasonable or discriminatory related to intellectual property
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and technology transfer, so that's the official designation here of what the president is doing. obviously the symbolism here in terms of the relationship with china is so very important officials here at the white house though saying this is totally unrelated to the north korea talks that are going on simultaneously that the chinese are so important on, and they are also saying with this memo hand what the president is doing here is standing up for american companies and workers, and speaking of american companies, we saw this flare-up of tensions earlier today between the ceo of merck and the president of the united states in response to how the president handled the racist violence we saw in charlottesville, virginia over the weekend. the ceo of merck ken frazier putting out a statement earlier today in which he said our country's strength stems from the diversity and contributions made by men and women of different aiths, races, sexual orientations and political beliefs. as ceo of merck road a matter of personal conscience i feel a responsibility to take a stand against intolerance and extremism. with that frazier resigned from
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one of the president's ceo advisory councils. the president responding within the hour on twitter saying that now that ken frazier that is resigned from the president's manufacturing council, he'll have more time to lower rip-off drug prices so the president deciding to go after merck, go after the pharmaceutical industry and go after ken frazier directly in response to ken frazier's statement of conscience about how he felt about the way the president handled the violence in charlottesville. meanwhile throughout the day, we've seen other ceos reacting, also denouncing that violence but many of them saying that they are going to stay on the ceo advisory council here at the white house including jeff immelt of ge, andrew liveris of dow, stephen schwarzman of blackstone hand michaand michae dell, all indicating they are likely to stay on the council now. divided opinion in the wake of the president's handling of that racist violence in virginia. guys >> eamon, back on the trade
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investigation. that is within the rules of the world trade organization as i understand it, yes >> yes. >> they are not violating any rules by conducting this investigation. >> reporter: no, it's simply authorizing u.s. trade representative to determine whether or not he wants to conduct an investigation under the terms of the u.s. trade act, but, yes, you can emergency that the usd r will look at the president's announcement and decide to investigate. what they do from there is an open question, but i think the important thing today is the symbolism of the president doing this in the white house today, especially in the wake of his criticisms of the chinese for not being forceful enough in terms of north korea the officials here saying trade is trade and national security is national security, and these two things are not related, but the president himself has linked the two things over the course of the past year saying that the united states needs north korea -- needs china's help in terms of north korea and is willing to be a little bit more flexible on trade. if that help is forthcoming, the
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president is very frustrated with china and hasn't gotten the help that we would like to see and now we're seeing a very symbolic signing ceremony at the white house in just a couple of minutes time. >> eamon, a few hours back when the president came out with a strongly worded statement about what happened over the weekend he'll now have the opportunity if he chooses to answer questions thrown at him, right he made a statement and walked out. there's been a couple of hours now for him to gauge the reaction and for him to say anything further now, correct? >> you'll see reporters in the room there will be pool reporters in the room and they will try to throw some questions at the president as they always do and it's up to the president whether he answers those or not. typically presidents try not to answer them because they don't want to encourage the press to shout at them all the time but the president came under intense criticism for not responding to questions about white nationalists and nazis and not specifically denouncing them the president might want to go further out of his way to do that today, or his team might feel that he's very much cleaned
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that particular problem up today and they are ready to move on here >> okay. eamon, thank you see you later. >> you bet. >> we'll wait for that event to get underway here at the white house and we'll take you there live when that does happen we have come off the highs here we go the -- go to the white house. >> they have been looking out for their interests. they have not been looking out at all this is what i promised to do as a candidate for this office, and this is what i'm doing right now as president ambassador leithowser, you are able to look at all the trademarks, patents, trade secrets and other intellectual property that is so vital to our security and to our prosperity we will uphold our values. we will defend our workers, and we will protect the innovations, creations and inventions that
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power our magnificent country. thank you and god bless america. thank you all very much. it's a very big move thank you. and this is just the beginning, i want to tell you that. this is just the beginning where's raytheon raytheon, congratulations. >> mr. president, can you explain why you did not condemn
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those haters over the weekend? >> they have been condemned. >> and why are we not having a press conference you said on friday we'd have a press conference. >> we had a press conference we just had a press conference. >> can you ask me some more questions, but it doesn't bother me at all. doesn't bother me at all i like real news not fake news. >> mr. president, haven't you spread a lot of fake news yourself, sir? >> all right well, there's the answer to kelly's questions, no answers on the issue over the weekend eamon javers, the president saying that he's said apparently all he's going to say on the issue in charlottesville and then the process begins now on the trade investigation with china, and i'm curious he pointed out raytheon to begin with, i guess. that's one company that's been identified that may have been hurt by trade practices with china. is that the idea >> reporter: yeah, that's right. they have talked about intellectual property and a lot
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of companies have had trouble in terms of intellectual property in china, and you heard the president there speaking to that issue as well. likes the signing ceremonies what he was signing there, of course, not a law. he's signing an executive memorandum that directs the u.s. trade representative to determine whether to investigate any of china's laws that might be contrary to u.s. trade. this is a symbolic step and important and important for the president to do it on camera and also important for the president not to answer questions from the reporters. i think that was jim acosta of cnn who was in there as the designated pool reporter today the president denouncing him or the media generally saying as fake news. saying we've already held a press conference you get a sense of the president's mood there as he left the event. >> by the way, raytheon shares up a third of a percent today under their all-time high.
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eamon javers at the white house. >> let's get to the "closing bell" exchange with the market up 129 points. back below 22,000. joining us right now, that's oliver porsche with us at post nine and so is steven sarge gill foy and holly liss from btig sarge, you and i were talking earlier, do we call this a relief rally today what's your answer after last week the markets struggled when it did, seemingly as tensions grew with north korea. how do we define today's market option >> they will throw something in the water near guam and all bets are off. if the threat is truly starting to abate, then we can get back to worrying about earnings per share and central banking, and the next big bumper -- and tomorrow we have retail sales tomorrow as far as home depot and wal-mart and there's a lot to look at next week and that really should be our focus >> all get near vows with things
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like global thermonuclear warfare are discussed. we had a 2% meltdown of the market last thursday, and then we stabilized friday and came back today i don't think the market is real el focusing on this all much i think they are focusing more on what happened with the investigation into chinese trade and let's not forget the industries into the steel industry, steel dumping based on national security concerns there's a lot there and that probably has more to do with north korea than anything else. >> oliver, i was looking at some of the stocks, don't know if you used the selloff yesterday to increase or add to positions, smuckers on here, cisco, adp. >> not a lot to add other than new client money hand maintain our stance that right now after second-quarter earnings season things are looking pretty solid for the market you've got an environment where you had ten-plus person, growth for the adp and an environment where inflation is very low, certainly below the 2% target of
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the fed meaning that further interest rate hikes could be put off as a result. you know, you've got a decent growing economy. you've got some good data. you're heading into the latter part of the year at this point which tends to be one of the -- fourth quarter tends to be one of the strongest quarters of the market of all time generally speaking there's lots of reason to be optimistic, and we think that the market judged it right hon friday by shrugging off north korea and understanding so far the geopolitical events tend to fizzle out over time. >> holly, on the fed, new york president bill dudley said about an hour ago he would imagine in their september meeting that they will begin the process of selling off some of the bonds on the fed's balance sheet. do you think the market is ready for that is that priced in at that point, or what are you seeing >> i don't think it's entirely priced in yet, bill, although he did make those comments and we saw treasury markets sell off a little bit hon those comment, though if you look at it he
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didn't say anything really different from what he's been saying regarding his outlook for the economy. he still expects one rate hike by the end year if you expect a lot of fed members, they will say a lot of the same thing and whether the market is pricing that, it's the same story i'm not quite sure if they said they will start reducing the balance sheet in september or they will start laying more groundwork and details for them for the markets to digest. even though a lot of the fed members have said they don't think that there's going to be big repercussions, big market moves, volatility regarding their balance sheet drawdown, i don't know that i would agree with that statement. after all, we did see a big impact when they grew the balance sheet. i don't know why we wouldn't see an impact when they start curtailing the side of it, and maybe it doesn't come immediately. maybe it comes a little bit down the road as they start doing more plus, i don't know that they are going to start rates or continue to raise rates while they are drawing down the balance sheet at least to start, so maybe once we see both of those take place
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simultaneously, then you could see more volatility and more market movement naff. >> all right we don't have much time, oliver, but were you looking at adp before bill ackman >> we were looking at it and we increase it had when bill got involved. >> riding coattails. >> yes, exactly. >> what's your support level >> 2458. we didn't get that close got a little support at 2462 2469 on the s&p has been an absolute stop sign get up there we'll stop like we did earlier this morning 2458 is where you have to worry. >> numbers to keep an eye on appreciate your thoughts on today's market action. 46 minutes left in the trading session. here we go into the close with the dow up 129 points, and whatever we're calling it, a relief rally we've got plus signs today disney announced of course last week it was pulling its movies from netflix soon and now netflix is stealing a top hit-making producer at disney's abc unit a little tit for tat
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up next, what this means for netflix' future. >> james damore, the google engineer fired for his controversial diversity memo, he'll join us and explain why he's exploring legal action against the tech giant. >> we love hearing from you, folks. reach out to the show on twitter, on facebook send us an e-mail. you're watching cnbc, first in business worldwide a used car,
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truck, suv.
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okay plus signs today the dow now up 133 points. was up 160 that was our peak for the day and above 22,000 for a time. the big gainer, look at, that the russell, the nasdaq is no slouch either. a gain of 1.25% today.
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>> and netflix scoring a big win after scoring producer shonda rhimes from abc. >> reporter: one of the most successful names in broadcast tv which makes this such a big win for netflix as it works to reduce its reliance on hollywood company. her production company will bring new shows to netflix while their hit shows "grey's anatomy" and scandal and "how to get away with murder" will continue to air an abc they have announced deals with david letterman and the cohen brothers and it's also the latest split between netflix and abc's parent disney after last week disney announced it's pulling films from netflix in 2019 to create its own streaming service. that news pushed netflix shares down 5% last week. abc studios president patrick moran saying the network will
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continue to benefit from shondaland recognizing the success of their abc shows and other products in development. the shondaland imprint will be always be a important part of the abc studios. we wish them the best in the new endeavor netflix has a reputation for big production budgets and allowing a lot of creative freedom. we'll very to see how this can help netflix grow its subscriber base guys, back to you. >> we shall. be barron's out with a harsh cover story saying shares could fall substantially by 2020. netflix not only faces competition from disney, facebook and amazon, but that it really doesn't have the cash to create enough original contempt >> you know. i just realized the blockbuster sign there i'm slow to the uptake. >> it was pointed out to me, too. full disclosure. with me here is the interim
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editor-in-chief of barron' they don't have a problem attracting top-level talent like shonda rhimes and david letterman. >> miller world, it's the stuff they need to do if they are going to survive and less than the individuals or the individual company, what it means is suddenly netflix is conflicting with its distribution partners. that's a big problem. >> yes. >> if you think about back to the days when, you know, blockbuster was filing for bankruptcy because of the netflix competition, it was a wonderful new platform for disney and anybody else. now suddenly it has to fight for every one, and that's why burning cash at an increasing rate is really disturbing. i mean, it's a fairly mature company, but they went from 100 million, you know, in 2015 to 1.7 billion last year to a rate
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possibly 2.5 billion this year, an here's amazon looming which sneezes at free cash flow all the time. >> i now the commonality was interesting. you look at how viacom had super high debt levels and it has a movie studio so is the idea that netflix is kind of making the wrong decisions now while everything looks great that are going to leave it effectively paralyzed five or ten years down the road >> in fact, not only are they not making the wrong decisions, i think they are making a lot of right decisions. i think the problem is the market has assigned them this insane multiple. i realize this level is not that meaningful but, you know, we pegged it at 207 times this year's earnings, and frankly those are kind of aggressive earnings, as we point out in the article whereas time, hbo, takes a write-down when it discontinues a show and netflix
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keeps it on the books, arguing, that, well, we'll continue top stream t.fair enough even, if you're looking at industry comparisons it's not a great directional that all these things are moving in. >> what about the recent acquisition they made ofthis small comic book company i mean, this would seem to try and get around losing some of their inventory that they have from some of these partners that they have had in the past. buy your own. >> that's the point i made. >> this is what they absolutely need to do, but i sort of challenge anyone to name five miller world characters. it's not marvel. >> what that does is theoretically lowers their production costs, right? >> absolutely, but are you going to continue to pay for netflix so one of the things we're seeing is for this disaggregation suddenly espn is something you've got to bicep ratley kids any you have to bicep ratley, so in my house hold and i should tell you -- my son is becoming a world war ii buff we watched "the longest day" on
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netflix over the weekend how old is he? >> he's 10. >> wow. >> pointed out the things that they got wrong, big history kid. >> i'm going to hang at your household. >> but the point is netflix will just be one of many so he wants "star wars." his little sister wants muwana and am i going to continue to pay? are they charging enough sirius charges up to 20 bucks a month. >> whether you went to jack or jack came to you and said barron's is going to shorten netflix. how many times have you had to say no this is kind of call tearing people's faces off for years now. >> we're not arguing to short netflix. what we're seeing is we sure at heck wouldn't put money to work at 207 times aggressively stated earnings. >> that would be jack otter. you'll find him at bearoarron's. >> of the mag zone. >> and send our greetings of
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your 10-year-old. >> i have a feeling he'll be watching. >> i think we'll be working for him some day, too. >> thanks, jack. >> great to be here. >> 35 minutes to go. the dow is up 140. the s&p up about 1%. we're looking to see if this could be the only 1% gain in the index this year despite what a strong year it's been for the market 1.3% higher for the markets and 1.4 higher for the russ well a year when it's only been about hitting singles, no home runs. >> maybe this will be a grand slam never mind merck ceo ken frazier resigning from president trump's manufacturing council over how trump handled the racial violence and trump attacking him and drug prices. ahead, whether trump's relationship with the business community is starting to erode. >> first though, target is making a deal to expand its delivery services and ttbeer compete with amazon and walmart. we'll get details on that when kelly and i come back. whoooo.
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shares of target up 1.7% after announcing it's going to acquire transportation technology company grand junction, a company based in san francisco. it's currently working with target on its new york city same-day delivery pilot program. the deal is expected to expand target's delivery capabilities target will report earnings on wednesday, by the way. here's my question. >> sure. >> what does this do with-ups and fedex? and when you consider that amazon is also exploring ways to deliver its own stuff as well?
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>> i was looking into this company which was unfamiliar to me. >> yes. >> and it looks like they provide software that helps maximize the speed. >> it's a logistics company. >> a coordinator. >> yes. >> locks like they might partner with any number of different types of firms and perhaps this is a recognition on target's part that it doesn't have the software infrastructure to be able to do this for all of its existing stores. >> here heim connecting two dots that you never thought might be connected and probably shouldn't be, but you've got now programmers like disney and cbs and everybody. they are coming up with their own skinny bundle and companies and retailers like target and amazon are coming up with their own delivery services. it's a do-it-yourself kind of economy right now. >> what's that good? >> diy economy. >> we're going to build an etf for that. >> no doubt that's coming. >> let's get to a cnbc news update now with sue herera. >> hi, guys. vice president pence in colombia today speaking exclusively to
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nbc news about the situation in venezuela. >> the united states of america is committed to bring all of the resources of our nation, economically and diplomatically to bear, to bring venezuela back to the point where its people can restore democracy. >> no bond for the man accused of driving his car into a crowd of counterprotesters in virginia killing one person james alex fields jr. appeared via video conference in a charlottesville courtroom. he told the judge he understands the charges against him. and justin thomas picking up his first major golf tournament win and a cool $1.2 million. his putt on the 10th hole will forever mark the moment. watch this he had a routine eight-foot putt for birdie, but the ball hung on and hungon and there it goes for 12 seconds before dropping in. thomas birdied two more holes on the back nine and won the pga
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championship by two strokes. i could not be more thrilled for the kid. we had him on the show in january. went out to chelsea pier here on the hudson river and hit balls with him had i may be misremembering this, i don't know, we have video of this day. >> right. >> but it seems to me i recall justin saying to me, would you take a look at my swing, bill. >> i'm sure that's exactly what happened, i don't know. >> i'm sure you gave him a couple of tips. >> and since that day he has gone on to win four tournaments this year, including yesterday's major, and he's up for player of the year, so, i don't know, coincidence? >> no, i don't think coincidence. i think you were a major influence on him that's my take on all of this. >> thank you, sue. >> and the patience. you're a very patient person. >> oh, well. >> and he had a lot of patience. >> yes, he did. >> he did that. >> why is kelly chuckling in the background >> i'm attesting to his patience, and i think any
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would-be golfer, come hit with bill that's your ticket. >> that's exactly right. >> that's your ticket into the big leagues. >> thank you, sue. >> see you next hour. >> see you next hour here on the floor here with matt cheslock we've opened strong and even with dudley speaking and so much else going hon. >> there is a lot going on, this is the quietest retracement rally we've seen in a long time. break out the dow 22,000 hats for another day here, but the market is just showing although we're not getting intraday volatility we're getting pre-and post-market volatility. >> is that an etf phenomenon >> the etfs are a prevalent part of this market so you'll start putting more and more of the blame for the volatility on the etf market but it's really not more a washington volatility thing. anything that comes out of washington has seemed to send the markets moving and now that we're out of earnings season it's more and more in focus. >> and we've stopped watching
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the price of oil for directions about this market. has the market left it behind? >> i don't think it's left it behind i thought markets thought we'd see a retracement back to this level hand that's in the middle of everyone's range of 45 to 50 and now we're smack in the middle and now we need it to go higher opec has given us their best shot as far as taking oil higher it's not working, at least in the short term, so i would think oil might be soft until we start that back in the fall. >> and we'll see if it takes the market with it, too. >> i hope not. >> the matt, thank you very much matt cheslock. bill >> thank you 27 minutes left in the trading session. the dow up 139 points, just under 22,000 some silicon valley companies are shutting down accounts used by hate rally attendees like we saw in charlottesville over the weekend. um next, a look at how some startups are filling the void by offering services to the alt-right and he was fired by google on writing the memo why
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he thinks biology is one of the reasons why there aren't as many foe mail engineers in technology and coming up he'll join kelly to defend that ctreral ewn an interview you do not want to miss that's an interview coming up on "closing bell.
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plus signs for the market. call it a relief rally what do we want to do? a good start for the week after a rough week last week the dow up 137 points right now. just under the 22,000 mark. >> and tensions are heating up between some silicon valley companies and some members of the alt-right community. our deirdre bosa has more. >> reporter: hi, kelly and bill. tech companies struggling to find a balance between allowing for expression and also not providing a platform for hate speech take today, the neo nazi website daily stormer moving to google remains after go daddy said they would kick them off their platform, google since cancelling its registration there saying it violated their terms of service facebook, too, in a statement just now telling cnbc that they are actively removing any posts that glorify the horrendous act committed in charlottesville guys, there are an increasing number of platforms and services
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outside the big tech companies for far right activists to use, amounting to a shadow silicon valley some right wing activists banned from twitter or facebook have joined another social network called gab and there's a crowdfunding platform which has served as an alternative to patriot. voat is for people who can't on reddit and there's a wikipedia alternative where editors scrub elements of ideological bias. >> 20 minutes to go until the close. nasdaq is one of the best performers on the session. the small-cap russells are the strongest and still 50 points off their record high. >> and a ways to go there. >> and president trump is taking aim at high drug prices in response to merck's ceo resigning from his manufacturing council. up next, we'll hear from the head of another drug company on whether he owes worried about
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trump going after his industry again. >> plus, home depot has been outperforming the dow this year. coming up, a debate on whether you should be buying this blue chip stock ahead of the earnings it reports tomorrow morning. >> and then fired google engineer james damore is here to defend his controversial memo on gender diversity in silicon valley that's coming up in the next hour h.back in a moment. and the wolf huffed and puffed... like you do sometimes, grandpa? well, when you have copd, it can be hard to breathe. it can be hard to get air out, which can make it hard to get air in. so i talked to my doctor. she said... symbicort could help you breathe better, starting within 5 minutes. symbicort doesn't replace a rescue inhaler for sudden symptoms. symbicort helps provide significant improvement of your lung function. symbicort is for copd,
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welcome back strong day dow hanging on to a gain of 139 points its record high is 22,118. the s&p up is% on the nose see if it can have a rare 1% gain, only the third one this year danish pharmaceutical company lundbeck is teaming up with 23andme. approximately 350 million people are living with depression around the world. >> and these two companies are hoping to be able to better develop drugs for the treatment of these disorders joining us in a cnbc exclusive we're pleased to welcome the ceo of lundbeck here at post nine
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and also meg tirrell need to be part of this joining us from our headquarters thank you for joining us you'll find 25,000 people that you want to study. i also thought there is already known that there's a genetic connection to depression so what are you hoping to learn with this coined of a study beyond that? >> well, it's known there's some connection but we don't know exactly what it is so we don't know what genes are triggering it and under what circumstances. >> identifying the specific genes involved there. >> 23andme is to provide the logistics. >> also to measure online to measure from people how they feel and how the disease is progressing so they get the combination of live still factors and gentics. >> i see. >> meg >> this is meg tirrell and sorry i'm not there with you in person i want to ask you about the company's focus on central nervous system disorders, depression, alzheimer's, that kind of thing, but a there hasn't been a ton of focus on that recently among major
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pharmaceutical companies what do you see as sort of a landscape for developing drugs in that space. do we have enough of an understanding of what's going on in the brain to really make moves forward? >> well, we are a 100-year-old research and development-based pharmaceutical company and we've always focussed in psychiatry and neurology so we focus on depression, schizophrenia, parkinson's and alzheimer's. these are very, very difficult areas to do research in, but we believe they are so huge that needs are met there that we need to do it for the betterment of the patient. we struggle on even though we have many defeats we have many successes and we're able to bring drugs to the market which makes it easier for these people suffering from the devastating diseases. >> are these expensive because this morning the president was tweeting at merck about how he was displeased about high drug prices if there's more focus in washington would that hamper you
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guys in these efforts? >> we see long term and have been in this for many, many years. we assure we'll get a fair value for our innovation it does cost billions of dollars to make a new drug but, of course, there's also patent expiry and drugs become very cheap and that's the case with anti-depressants where generics are 80% of the market. we have very cheap therapies and new innovative therapies which will be a higher value and also higher cost per patient. >> there was a story in the "new york times" yesterday. very interested. you probably read it about the number of fda trials going on involving genetic-based drugs because all companies want to be able to patent their own gettic-based drug so there are hundreds, thousands of these trials going on, and they can't find enough patients to fulfill those. are you having that problem as well >> no. we are having more broad testing of our product we have in
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development so we don't really go for specific genetic profiles, depression, schizophrenia are broad diseases and very many patients in need so we don't target it on the genes but the broad population. >> i see. >> and this is meg again kind of coming at you from all sides here, that your biggest market is the united states despite you being a european company. when you see the president of the united states taking aim as he did today at one of the biggest companies in the space merck and calling their drug prices ripoffs, how do you respond to that? are you concerned? >> well, from moy point of view, from lundbeck's point of view we believe we provide value in all the products we bring to the market so we don't think we've ever seen rip-off prices i know there has been episodes with other smaller companies in the united states which is very regrettable, but in our case we believe we've brought true value to the patients. >> mr. schultz, we'll let you go now. thank you for joining us now. >> thank you very much. >> the ceo of danish pharmaceutical company lundbeck
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and, of course, meg, thank you you've had your busy day as well we'll be seeing you a little bit later, thanks. we're heading to the close 14 minutes left in the trading session. the dow up 137 points. when we come back, we'll debate whether you should be shopping for shares of home depot before the home improvement retailer reports its earnings tomorrow morning. and don't miss the one-on-one interview with the engineer fired the by google for his memo on why there are not as ennes.emale gier james damore will join us. we're back with more in just a moment ♪ top speed fifty knots life on the caribbean seas ♪ ♪ it's a champagne and models potpourri ♪ ♪ on my yacht made of cuban mahogany, ♪ ♪ gany, gany, gany, gany ♪ watch this don't get mad (bell mnemonic) get e*trade and get invested
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art cashin stopped by a moment ago to show an imbalance to the sell side of $400 million. we'll see if any of that is met, paired off there, but right now the dow is up 135 points meantime, home depot is set to report its earnings tomorrow morning. that stock is up 15% so far this year is the there still rom to buy it >> notably it's up in this kind of year. >> yes, exactly. >> retail apocalypse. >> tough year for retail. >> joining us our guests, one with an overweight on the stock and a contributor from s.j. retailer advisers and is much more cautious on home depot.
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i'm interested from your point of view, tracy, why you don't think home depot is a good valley. >> yeah, kelly, i have no doubt that home depot will be just fine during the report torme and here's the problem here. home depot hasn't missed in five years and they are at a point where gross margin has peaked. in addition, i'm going to say the thing in the room, amazon and everybody is going to roll their eyes at me, but with the kenmore appliance deal on amazon it shows you that the space is at risk. and e-commerce at home depot is growing 23%. that tells you that the amazon door is open so it's not immune here. >> all right david, bearing all that in mind why are you as positive on home depot as you've been >> we think there are structural advantages and differences between home improvement and home depot even within home improvement relative to the rest of retail. stacy is right to point out that amazon is a risk for all parts
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of retail. home depot's e-commerce business is driven by its holistic approach to omni channel you're talking about a company with 60% better return on capital than your average retailer, about twice the growth rate of the core driver, gross profit dollar on a comp base, sore for either double or 60% better in the key metrix you're looking at we're paying a 20% premium and we think a lot of risks that stacy is talking about is in the stock at these prices. >> david, i wonder if home depot at some point has a moment of reckoning if they always of a sudden have a choppy quarter or it's soft or there's a hiccup or a blip in other words, how consistent of results do you need to see to be assured that amazon isn't eroding this business? >> sure. you know over a long enough period of time there's always going to be rocky quarters or blips. first of all, we think the quarter was just fine so i agree with stacy there probably started a little stronger than it ended some of that is weather and how
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they will talk about the fall. you know, the consistency that they have built really comes from reinvesting in their employees, reinvesting in their relationship with the customer and being very patient as they approach the shareholder they talk a lot about the three-legged stool and we think they talk the talk and walk the walk around that, and that builds consistency never say never, but that sort of buffers some of the volatility from the business. >> stacy, i'm not exactly rolling my eyes on the amazon comparison, but, you know, it occurs to me, and this is from personal experience, maybe you've had the same thing, but whether i'm going to a home depot or lowe's or whatever, it's almost an impulse buy i realize i need a certain tool or a part or something, and i don't know that i need to wait 24 -- i don't want to wait 24 hours for amazon to deliver it to me. i want it know and you've got to run to the local hardware store, right? >> no, i think there definitely is some of that and certainly, you know, home depot is very exposed, you know, 40% of the business to the pro business
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which is less at risk, but i would also see with prime if you think the night before, you broke something or something is falling apart in your house, can you get it, you know, the next day typically on prime, so i do think that there's risk and also, you know, when you look at amazon and you look at a space like home improvement where the returns are so high, to think that amazon wouldn't really chase that down at some point, there is a major opportunity there, you know, they will figure out how to get it to your door next day and don't forgot these kenmore appliances are, are you know, have the echo in them so you can just speak to your appliances and replenish your needs and have them show up at your door. >> that's pretty cool, i will say. david and stacy, thank you both. home depot reports its earnings first thing tomorrow morning. with the dow up 144, we're coming back with the closing countdown in just a moment. >> and fired google engineer tmes damore defending his memo
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liberty mutual insurance. so that's the idea. what do you think? hate to play devil's advocate but... i kind of feel like it'rs a game changer. i wouldn't go that far. are you there? he's probably on mute. yeah... gary won't like it. why? because he's gary. (phone ringing) what? keep going! yeah... (laughs) (voice on phone) it's not millennial enough. there are a lot of ways to say no. thank you so much. thank you! so we're doing it. yes! start saying yes to your company's best ideas. let us help with money and know-how, so you can get business done. american express open.
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so you can get business done. ♪ i'm living that yacht life, life, life ♪ ♪ top speed fifty knots life on the caribbean seas ♪ ♪ it's a champagne and models potpourri ♪ ♪ on my yacht made of cuban mahogany, ♪ ♪ gany, gany, gany, gany ♪ watch this don't get mad (bell mnemonic) get e*trade and get invested two and a half minutes with the dow up 139 now it's monday, typically i don't look back over a period of time i usually do that on friday, but i want to do it today for a reason call it a snap-back rally or
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relief rally let's just see the magnitude of this go back six trading days can all of last week and today starting with the dow. we'll see what kind of a move we had. all know the problems we're incurring last week, the rising tensions with north korea, and then we had this bit of a snap back rally today with the dow up 137 points so we've gained back some of what we've lost in the past week or so. same thing with the vix. it had been down for a while and then it moved higher we got to, what, 15 or 16 and now we're back down again. we're at 12 at change with that decline of three points today and gold itself considered, of course, a safe haven play and had been rising a bit. i'm not sure that the decline today is that much in the scheme of things after the rise we've seen the past six days and then we've got the dollar index popping midday with these comments from bill dudley that maybe the fed at its september
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meeting will be starting the process and laying the groundwork for paring back its bond portfolio. >> you were talking about art cashin speaking of the sell imbalance and speaking about why the market is the way it is. you have to look at things on the horizon, jackson hole, central bankers making their comments and also what will haep happen on the context of interest rates towards september towards the end of the year and all of that in the grander scheme of things we've gotten back half of what we lost during the melee surrounding north korea last week if you look at the dow transportation stocks and look at the small-cap stocks and up 1.5% for both of those guys here if you look at the small cap russell 2000 index traded fund, the exchange-traded fund t.basically came to a technical level, the 50-day average price for that particular asset and it bounced right off of this so as people talk about the buy the dip mentality, a lot of charts indicate that that could be the
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case. >> and as we wait for the retail earnings which should be very important. >> home depot, walmart, target, all of them. >> stay tuned for that as well we go out with a gain of 133 points on the dow and even better gains for nasdaq and the russell. stay tuned as kelly goes one-on-one with james damore, that fired engineer at google for that controversial memo. coming up on the second hour of "closing bell" with kell el evans and company. see you tomorrow, kell >> thank you, bill welcome to "closing bell." here's how we're finishing up the session. looking at record highs. we're not there, but we did have a strong session the dow is up 132 points 21,990 its record high close is 22,is 18 so we'll well below that level. s&p 500, look at this. looks like a 0.99% gain. the dow up, by the way, two-thirds of 1% we'll see if the s&p shakes out
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a little bit we're looking to see if maybe it would have the third 1% gain so far this year, but it's teasing up and looks like it's getting close to that level with a 24-point gain. nasdaq up better than 1% 1.33% to 6340 and the russell 2,000s have been much harder hit staging a comeback of 1.5%, still up 56 points off of their record high closing levels those are the markets for you on the bell and in a few minutes james damore, the google engineer fired for his controversial memo on gender diversity will join us to give his side of the story. in the meantime sara hunt on set, portfolio manager at alpine funds and kevin o'leary joins us good to see you both overall, sara, a strong rebound today. what do you think is really driving these markets? >> i think you had a relatively good earnings season and people
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were using the excuse of what would happen in korea. really hart to say what's going on there and when everything seemed to calm down a little over the weekend i think you just resumed where the market had been headed prior to there being a little bit of of a dip there. >> where do you guys still think is the place to be as everyone looks at the fact that we're near all-time highs and seem to shake off every possible thing that you throw the market's way? >> i think it does make it a little bit tricky. i think there's some areas where you see growth defense stocks at all-time highs and you are starting to see growth for the first time in a while and fortunately a lot of what's going monin the world doesn't make it look like that scenario that's going to be in focus for quite some time so there's places there and places in energy beaten up badly as well. >> and you own raytheon and when he was signing his executive order giving the trade office the opportunity to investigate china over stealing u.s. ip he gave the pen he signed that with to raytheon. >> i would say there's a lot of issues about ip and there have
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been for a long time the question is how are we using this, and how is that going to be used and from the defend company's standpoint we like raytheon and they are in a very good place they do a lot of consulting and outsourcing work and we think that will continue to be more prevalent. >> kevin, broadly speaking you're bullish on asia as a region so you've got the north korea issues to deal with, china in the mix there, whether we we are pushing back on their stealing of ip or whether just their involvement with helping north korea or not, and then overnight arguably strong japanese growth numbers that helped get us to where we are at the close today. >> certainly beating the s&p, it's been the place to be in the last 12 months i think it will stay that way for the next year. the negotiations going on with china are health el. the dialogue we're having regarding intellectual property makes it best for the companies more than 50% of which are playing in china the fact that we're discussing trade and not healthcare i think
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is also good what lit up the markets this morning is trump talking about a quasi-timetable for tax, and i think this is the next big thing. if we can get some tax reform in the first or second quarter of 2018, the market will move on it in the next two quarters, and my sense is we may not get 15%, but if we get 22%, it's going to bring the market up another 10% to 15%, that's what i'm betting on. >> all right i'm looking at the nasdaq as well today some of the biggest point gainers, no surprise given their size including the f.a.n.g. names, facebook, amazon, alphabet by the way the end today might be nvidia with a strong bounceback after its earnings beat last week, and it had an upgrade today f.what you're talking about is right, a lot of investors want to rotate out of the growthy tech names and into something more eco-focused, industrials, materials and so forth, but today it didn't quite feel like we got there they are not quite buying it yet i guess is what i'm saying
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>> no, but i think healthcare and industrials and technology will continue to perform the big question mark sectors that everybody is waiting for the big move is energy which had a horrific earnings season just terrible, so what we wanted to see is an increase in the commodity price and a decrease in cost and we got exactly the reverse. costs are up and prices are down and that's bad and then there's the hope springs eternal forever on the financials, and so those are the two big question mark sectors going into this quarter, and we'll see how they do. >> in fact, sarah, they started the year off super strong. we started using the terms finergy. we've since run into roadblocks. where are you when it comes to energy and oil kind of moving back down and financials with interest rates moving back down again. >> >> well, on the energy side, we like dividends. bp is a pick of ours we're staying with actually held up better than some of the energy picks, and the hard thing right now in energy is exactly that point you're not seeing what you want
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to see and you're also looking in the financials, you were looking for higher interest rates across the board because you were looking for races that went on all year long and now it looks like we're pausing there and dudley came out and made some comments that sounded like december goes back on the table. seemed like in the last couple of weeks that the rest of the year was probably off the table and what happens with the balance sheet. that is the financials that's lost the plot. >> he said if conditions play out, aswe expect that's a trillion dollar if with this economy and this fed. president trump has mentioned making an announcement on china trade practices. eamon javers joins us with more. >> the president announced stepped-up trade action with china here at the white house. here's how he expressed just a few hours ago. >> today i'm directing the united states trade representative to examine china's policies, practices and actions with regard to the forced transfers of american technology and the theft of american intellectual property
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we will stand up to any country that unlawfully forces american companies to transfer their valuable technology as a condition of market access >> so what the president did today was sign an executive memorandum here's what the mum dumb would do it directs the u.s. trade representative to determine whether or not to investigate any chinese laws or policies that will may be unreasonable or discriminatory related to intellectual property and force technology transfers as you heard the president say there. the officials here at the white house are saying this is not linked to north korea. they are saying it's totally unrelated to the president's memorandum, but, of course, north korea and trade with china have been very much linked in the president's comments publicly as he worries about how to get the chinese on board with the united states in negotiations with the north koreans. also the president saying or officials here at the white house saying that the president is standing up for american companies and workers with this trade action today kelly, i also want to give you
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an update in response to that ken frazier decision from merck to step off the ceo's manufacturing council. we now have a statement from the afl-cio in terms of their membership on the council. they are saying we're aware of the decision by other members of the president's manufacturing council which has yet to hold any real meetings and are assessing our role so not clear yet whether richard trumpka will stay on that manufacturing council or not afl-cio saying he's assessing his role kelly? >> yeah. they had somewhat of a meeting on some labor issues eamon javers with more on the trade relationship between the u.s. and china let's bring in the president of china's beige book international and also with us at post nine. your whole approach is kind of gather stats on the ground about what's really going on in the country. just speaking about this issue of theft of u.s. intellectual property, what happens if the u.s. starts to take a harsher stance on that >> well, i think the glass half full version of this is that everyone agrees it's a problem,
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republicans, democrats there's no question that this is a major issue, the chinese know it, and the last few administrations have promised movement on this, and they haven't gotten it soy with a problem. we have solutions that hasn't worked and a status quo that hasn't worked. what trump is doing here saying we're putting another trade bullet in the gun. we're not firing it yet. starting an investigation. look at what the we have, holding it over your head and we want movement on this or else. >> what would the or else be it's effectively china's m.o. and did this when we were developing, stole trade secrets from the uk and built our own factories and china doing the same thing and this being as widespread and pervasive as it seems, if they prove that in certain cases, what is the united states going to do about it >> they will prove it because it's happening anything can happen or nothing can happen it could be part of a large grand bargain with trade he's got china and north korea and broad trade relations and
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what he's trying to do is force china to the table and is going to say we want movement on this, want movement on that and when the chinese get together with the americans there would theoretically being move president without having used section 301. just the threat of it is what he's hoping. >> he may be hoping that and even ceos who are vulnerable and victims of this behavior are afraid to do much about it because china is such an important market to them in a way they are probably pleased that the u.s. is trying to step up and play cop, but they will have to step up, too, aren't they? >> this is the glass half empty side of this there needs to be something done and this is giving the united states the opportunity to do that this was replaced by the wto in 1995 no movement on this. people like scott lincicome at cato are putting out a paper and it's a very good overview of how useless this law was pre-wto it's not as effective.
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the threat is more effective than the sanctions itself. >> mr. asia, kevin, what are your thoughts and reaction here as you look, you know, as excited as you are about the region >> i think the markets actually voted. it knows all of this coming. trump broadcast this during the campaign he was very xestic on tspecificd china. made it very clear, doing exactly what he said the chinese knew this. the reason the market hasn't really reacted at all is they expect this to be a very long drawn out negotiation because part of is t is also going to be the dismantling of tpp, the complete overhaul of nafta with the canadians and the mexicans this is going to take much longer than trump's mandate, and if he only has one term. if he's a two-term president which many people feel he might be, he'll actually oversee the change of this, but this isn't happening any time soon. this is years and years away, and the market, frankly, doesn't care >> and we'll have plenty more
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time to talk about it. we'll let you guys go there. kevin o'leary, sarah hunt and leland miller. thanks so much recall have breaking news on pandora. what's happening, julia? >> reporter: pandora announcing that roger lynch will join the company as ceo and president and a member of the board effective support 18th the company's interim ceo will continue in his role at chief executive officer. the company also announcing that michael linton, ceo of sony entertainment and now as chairman of snap will be joining the board of directors so just a little bit of bc ground on roger lynch, he was ceo of sling -- founded member of sling-tv, and is also a musician himself he plays lead guitar in a band called the merger, so some commentary here about how the company has -- how roger lynch has had great experience guiding companies through critical transformation periods back over to you >> the band is called the
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merger >> reporter: that's right. he's -- he's a musician playing lead guitar in a band called the merger seems appropriate for a ceo. >> all right he said he worked on acquisitions julia, thank you very much pandora shares responding positivelily, about 2%. up next, i'll talk to james damore, the google engineer fired for writing that memo on diversity. we would like to hear from you send us an e-mail over to you're watching cnbc, first in business worldwide stay with me, mr. parker. when a critical patient is far from the hospital, the hospital must come to the patient. stay with me, mr. parker. the at&t network is helping first responders connect with medical teams in near real time... stay with me, mr. parker. ...saving time when it matters most.
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welcome back last week silicon valley was rocked by a critical memo written by a google engineer about diversity at the search giant and what he called google's ideological echo chamber. the memo looked at what the author referred to as biological differences between men and women as a potential reason for fewer women living in the tech sector and criticized google for not accepting differing views. after the memo was leaked, the ceo sundar pichai fired the
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employeeization portions of the memo violate our work ethic at google and rarsless google and joining me now via skype is the author of that memo james damore thanks for joining us. >> thanks. >> for many people who aren't familiar with the back story here, why did you decide to write this memo three and a half years into your work at google >> yeah. i've just noticed any problems in google's culture and i really wanted to fix them. >> well, that's a pretty simple reason, but i just mean was there -- you had gone through some workplace diversity training or something like that. what was your, you know, moment that kind of made you say i have to write this now and i have to put this out there >> yes about a month and a half ago i
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attended a private diversity summit, and they revealed a lot of policies that i disagreed with, where we were pressuring individual managers to increase the diversity of their team, and we were really treating people differently based on their race or gender, and i felt that that was really misguided because it can cause a lot of actual intergroup conflict that's ultimately bad for everyone. >> james, that goes to one of the questions i've received about your memo. there are people that says why does someone feel the need to share personal political views in the workplace ? why do you believe this is a workplace issue rather than a political personal belief? >> many of the things i addressed were are the actual terms and conditions of the working environment and there are certain people who when we're actually using someone's race or gender to decide how or when they will be promoted or
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what team they will go on, that is affecting everyone at google, and that's creating negative stereotypes which is a real problem, and we've already seen it in academia and it's only going to get worse. >> i think you mentioned that you had worked on the memo with others or at least spoken to them about its contents before this were those other people at google who felt the same way as you? >> yes this is all within google. and -- and, yes, there was -- >> go ahead. >> there was a lot of -- >> so is it that people had felt that way all along, or it's gotten much worse lately, and was the intension of the memo to change the company's culture and is that going to happen now that you're no longer at the company? >> so i think that it's probably gotten worse over time for many of the reasons that i state where people don't feel like they can express a differing viewpoint, and so these policies only get more extreme so i do
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hope that google does address a lot of the issues that i mentioned and real ly empower people to express their opinion. that decreases employee output not being able to exprus your views has decreased worker output. >> and what kind of input have you gotten from other silicon valley companies since this publication? >> i've gotten a lot of support and it doesn't seem that google is an outlier in this. it happens in many other companies. >> if you worked at apple or amazon or whatever, do you expect it would be the same type of internal culture that you're aware of and that they would have responded the same way? >> it's possible i honestly can't say about any individual company, but i've heard a lot of feedback that it is very similar. >> i saw you were surprised that you were actually fired, and are you pursuing a lawsuit against
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google as a result of that >> yeah, i was very surprised because i was pointing out actually problems in our culture and potentially illegal practices that we were doing, and so i was really just trying to help us, and i never meant for it to be leaked at all i am pursuing legal remedies at the moment. >> what kinds of legal remedies are you available to you >> i'm still exploring that. >> is there anything about the memo that you would have said differently, omitted or included in retrospect? >> yeah. so i think i definitely wouldn't have used the word neuroticism though that's the actual term used and though the actual data i haven't seen disputed or
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proven false and hopefully there is a lot of good that happens from this so it's hard to really regret anything >> you mentioned neurotcism and one of the points is that women tend to be more quote unquote neurotic in the workplace. do you want to elaborate on that what you meant by that, or do you want to walk back from making that point at all >> neurotc ri sm measures, for example, how prone one is to anxiety, and so we had googlewide surveys that showed women were showing more anxiety at google, and we were using that as evidence that we're being sexist against women, but i was simply pointing this out to say that maybe we should control for someone's innate neuroticism and we can give a personality test to everyone and see if we're treating someone different or if it's someone's innate tendency to have anxiety. >> now, as you know, there's
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been huge reaction not only to what you said but also to the way that google has handled it in fact, there's been some alt-right sites calling for a boycott of google, and i think there might be some boycotts planned for the end of the week. do you support those efforts. >> >> i support google and i real do want google to improve i don't surprise efforts to try to hurt google directly. i think that google's culture really needs to change if it wants to do what's best for its employees and users though >> are you involved with any of the prance for the protests or boycotts or anything like that >> no, not really. >> do you think that those shouldn't move forward then? >> i -- i honestly don't know much about them, so i can't really comment. >> is that i know in some -- again, i use the tomorrow
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at-right loosely and i notice those are the kinds of people you spoke to is it you felt like that was the best praise to go to support your cries i have given interviews to many places, just gave an interview to cnn i'm not trying to favor one side or another i'll really trying to bridge the divide between the two sides and showing what the perspective is between, for example, the left and the right and how they can can be complementary to each other and how we shouldn't just see each other as mortgage al enemies that need to be destroyed. >> i don't think anyone is accusing cnn of being alt-right. that's for sure. i mentioned the fallout for some of your colleagues the ceo spinch yeah planned to hold a town hall after this memo
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became public and he cancelled it because of quote, unquote, doxing meaning that people who disagreed with you were being targeted and did not feel safe do you regret seeing your colleagues, your former colleagues being treated that way? >> yeah, definitely. i don't think anyone should be treated like that, and i -- and i think it was largely cancelled because there was still a lot of emotional tension happening at goingnd and they wanted people to calm down before that because they could have made the kemess anonymous show there was really no threat. >> i think that it was people who were against me because those were the people on twitter exposing internal google problems to the world and then they were the first ones to talk to ghizmodo and the it was said
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that the ceo should step down because of his handling of this issue. >> i don't know if his handling of this situation is cause for firing him there's many things in upper management, for example, no one in upper management felt like they could support me in any way because the end game would have gone against them so the whole structure of how things at google work needs to change. >> james, what are you about you? are you going to valley to work. are you brewinging on some of your undergrad work. what's next for you, do you think?
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>> i'm stilling that i this out. i'm looking forward to that, but i still like tech so i'll look for a job there if i'm not bl k blacklisted from a lot of these major companies. >> on that front, what message would you give to women at google or in tech in general who think you've created a household work environment for them? >> i would say that those really a distraction from the real issues that i was pointing out, and the real hostile environment that is currently happening at google and has been happening in many silicon valley companies where people that aren't in the left ideology can't express any of their viewpoints. we can't express any viewpoint that doesn't fall in line with the left's ideology and that's a real shame and that's really causing a hostile work environment. >> james, last question. did you vote for donald trump?
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are you a supporter of the president's? >> i -- i'm not really a -- i don't really pay attention to actual politics very much, the day-to-day politics. i'm mostly interested in the ideas and how we can bridge the divide between the two sides, and what's happened recently is just increasing partisanship which i really don't support. >> now you get work partisanship to deal with. >> thanks so much. >> james damore. the tragic death of heather higher over the weekend have hit many in business: as"ft money"'s
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steve, other than making me move stuff, i'm here at the td ameritrade trader offices. what are you working on? let me show you. okay. our thinkorswim trading platform aggregates all the options data you need in one place and lets you visualize that information for any options series. okay, cool. hang on a second. you can even see the anticipated range of a stock expecting earnings. impressive... what's up, tim. see options data like never before. with thinkorswim only at td ameritrade. welcome back we have breaking news on berkshire hathaway what's happening there. >> reporter: digging into berkshire hathaway's quarterly filing, interestingly buffet's investment company disposed of 10.6 million shares it held in general electric, a pretty small stake for berkshire. only $250 million worth. he's held that stake for a few years, and if you remember the
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history here with this company, jeff immelt, stepped down in mid-june right before with the quarter ended, and buffet during the financial crisis lent ge $3 billion which they, of course, paid back in 2011. that stake was as a result of warrants related to that loan. also in the filing, buffet took a new stake in sync any financial. those shares have been moving quite a bit on this news, as you can see there from the chart he took 17.5 million shares, worth about $521 million and also increased his stake in bny melon by 52% to it a.2 million >> leslie picker, thanks so much now over to sue herera. >> french police say an 8-year-old girl was killed and at least five people injured when a driver slammed his car into the sidewalk cafe of a
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pizzeria in a small town east of paris. the driver was arrested soon after. prosecutors are saying the incident is not terror-related a 23-year-old man was arrested early saturday morning in connection with a plot to detonate a vehicle bomb at a downtown oklahoma city bank. the complaint says jerry varnell initially wanted to blow up. federal reserve in washington, d.c. private attorneys hoping to represent mexican drug lord joaquin "el chapo" guzman failed to get assurances that they will get paid during a hearing in federal court, they were told there is no guarantee that prosecutors would not seize their fees if they could show that this money came from guzman's drug profits. and in just a few days big ben in london will go silent for perhaps as long as four years. it's due to major renovation work on the clock. it will be part of a $38 million repair project on queen elizabeth power which houses big ben. you're up to date.
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back downtown to you, kelly. >> that's a tricky renovation project. >> i know, it is. >> and it just doesn't seem right that you don't hear big ben. >> i know. >> it's iconic >> yes. >> good luck to them. >> sue, thank you very much. >> you got it. >> sue herera. time now for today owes fast take joining me is the one and only mr. guy adami to do the honors guy, thanks so much. >> kell, what's up great to be here. >> i'll tell you what's up, the price of bey coin. we have to bin with this over $4,300. i follow like it's a frenzy. i'm worried people are going to get burned what do you say? >> because that's what you do. you do worry and should worry. what do i say? first of all, soothesayer, are you familiar with that term. shakespeare spoke and wrote at soothesayers. >> fortune tellers. >> why do i mention this, our brian kelly has been on us for a couple of years. >> i'm not brian and i don't know about $4,300.
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>> if you're speculating at bitcoin, by definition there's a very good chance you'll be burned, your words, not mine, but than doesn't impugn the technology behind it. >> i know. >> it's a transformative technology it's here to stay. i'm telling you it ain't going away. >> i hope block chain helps with buying a house, transferring title ock sglumts whuments. >> whoa, whoa, whoa, you bring that up? >> moving on. >> moving on. >> aldi is not only mavisly expanding in the u.s. and testing a delivery nor partnership with instacard is walmart far enough ahead on this thread and when can i get my groceries on amazon prime >> i don't use this technology, should come at no great surprise the walmart technology is sort of a hybrid, right you order online and then you drive your little pacer or whatever you have to the local
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walmart and the little guy or gal comes out with your groceries and puts them in the back of your car fantastic, lost on me. fantastic. >> all right. >> the aldi, one in rockaway, new jersey i've seen, it crazy, right and they have their own food so unless walmart starts making stuff, their own brand, the walmart brand. >> they may have to. >> they already do, great value. >> i grew up with that stuff. >> we've got to move on to our last and final one here and we've got to talk about angry birds because, guy, $2 billion the finnish company behind that hit game of angry birds is planning an ipo that could value the company at that amount, $2 billion. guy, we've seen gaming companies go public before they good investments? >> madness, biggest thing to happen for finland since the 1962 summer olympics rovio, you're out of here. >> the pleasure as always.
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buy. >> fill you in on the back story later. president trump calling white spremp sifts quote, criminals and thugs this afternoon for some like merck ceo ken frazier who quit a white house advisory post. up next we'll speak to former ceo bill simon on how the president's handling of the weekend's events is impacting his relationship with american business
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my name is cynthia haynes and i am a senior public safety specialist for pg&e. my job is to help educate our first responders on how to deal with natural gas and electric emergencies. everyday when we go to work we want everyone to work safely and come home safely. i live right here in auburn, i absolutely love this community. once i moved here i didn't want to live anywhere else. i love that people in this community are willing to come
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together to make a difference for other people's lives. together, we're building a better california. welcome back the country is still trying to recover from the weekend's deadly protests in charlottesville, virginia. our kayla tausche is in the small virginia college town for a look at the impact these events have had. kayla? >> reporter: kelly, there's a police press event going on right now. they have said there's a hotline open for any witnesses who may have seen some of the events unfolding on saturday, but this community is in healing mode right now. local businesses are opening their doors right now and the community is about to expand by tens of thousands of people when the university of virginia students come back to charlottesville in just a matter of days to that end the president of the university is doing outreach to both incoming students as well as alumni of the statements said, quote, as a public institution we value
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diversity, inclusion and mutual respect. we value an environment in which learning happens the view of many of the groups who converged on charlottesville are in direct conflict with this such rhetoric is not intended to bring us together. it's intended to drive us apart. local businesses are united in their solidarity to stay open and to keep growing and to remain committed to this community and to the roots that they have put down here. we spoke to one business leader, a partner of an app company called willow tree earlier this afternoon, and here's what he told us. >> this is a macro thing i know the micro focus is on charlottesville right now, but these themes that the rally, these bigots brought to this town, is a national if not global thing fact that they chose charlottesville to come and do their rally and bring their hate is telling they brought it to this town because this is a community about diversity, about inclusion.
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>> reporter: and it is not just charlottesville. just about an hour ago the associated press reports that white nationalist groups are currently seeking permits for events forth coming to be held in richmond, virginia, college station, texas, where texas a&m as well as gainesville, florida, the home of the university of florida. we'll see what those communities decide in terms of the permits. >> thanks, kayla. the president being criticized how he responded to the violence this weekend. ren rensi now speaking out the president of the united states works for us and we ought to challenge him i wish he'd put me on the council and i'm sure mcmast per and kelly and those guys, they are tough people, and i'm sure
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privately they are giving him a performance review we better get together as a country and celebrate our diversity, celebrate our differences and celebrate the wonderfulness that comes out of all of that, so i'd be challenging him every minute of every day, and we should, and if he doesn't do a good job we'll boot him out of office >> mr. rensi's comments coming before the president spoke about that cleanse this afternoon, but his handling overall of the situation is what prompted m merck ceo ken frazier to resign from the president's council let's bring in john mcnabb, vice chairman of the american leadership council and bill simon, former ceo of walmart usa. gentlemen, thank you both for joining us mr. simon, as a former ceo yourself what do you make of the decision that mr. frazier chose here hand mr. rensi's criticism? >> well, it's a difficult situation, as you can imagine. you know, i don't -- i certainly respect what mr. frazier did,
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but the times that we're in are very, very difficult and we really need everybody pulling. certainly understand his comments and i appreciate his statement right up until the end when he resigned we really need everybody to engage and if the business leaders, the great business leaders withdraw or disengage because they don't like what the president is doing, and i agree, he should have responded much more quickly and much more forcefully, we won't achieve the things that we need to achieve i tend to side with what m mr. rensi just said and said stay on the council and battle him every single day that's how we get the progress that we need. >> you're actually saying that the executives -- because there's going to be more pressure put to bear on them our colleague andrew sorkin writing the only reason they are staying on the council is they don't want their business relationship with the government to be -- to be hurt here you're saying there's a legitimate reason to stay on the council even if you disagree with the president and certainly abhor the violence this weekend.
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>> you know, absolutely. we have to stay engaged. it's really, really important to if you disagree with him had i was a supporter of jeb i was jeb's treasure i'm not a trump guy and he's the president of the united states and we have difficult issues to deal with, both domestically and internationally and every one of those solutions will have to go through the president. the best way to do this is to engage and battlep and get your point across don't fold and walk away it's really important for us to stay engaged. >> all right john mcnabb, what's your response and advice to executives grappling with this issue? >> well, thanks, kelly the advice that i would have is let's stay engaged we need to all be americans, and we should not fall into the trap of identity politics what we need to do as leaders is focus on civil discourse i take a little bit of exception with some who have talked about how quickly or how slowly the
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president responded to the situation in charlottesville having been in a couple situations similar to that, stressful flying over north vietnam, i can tell you that it isn't easy to respond on the spot, and as charlottesville unfolded, the facts were unfolding themselves, and i think now there's a much better view of what is going on the attorney general has talked about a full investigation and getting to justice, and my sense is with the president i thought he handled it very well. if you go back eight years, go back eight years and then up until this current election, there was a lot of quick talk on situations that turned out to be not accurate, so jumping to the gun is one thing, and i don't think this president has been doing that >> all right gentlemen, thank you both today. john mcnabb and bill simon, appreciate it.
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>> now talk about a drop-off two years ago venezuela boasted profits in oil of more than $7 billion. those profits have now fallen far short of just $1 billion it seems impossible, but we're going to breakowthe mbs ghafr is dn os rophone feedback) listen up, heart disease. you too, unnecessary er visits. and hey, unmanaged depression, don't get too comfortable. we're talking to you, cost inefficiencies and data without insights. and fragmented care- stop getting in the way of patient recovery and pay attention. every single one of you is on our list. for those who won't rest until the world is healthier, neither will we. optum. how well gets done.
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michelle >> reporter: hey there, kelly. venezuela's oil company finally released their long overdie financials profits were to only $828 million. that's after the company says they sold $42 billion worth of oil. that's a margin worthy of a supermarket, not of a major oil company. and the auditors kpmg raised numerous concerns. we also learned energy company rosneft, 50% owned by the russian government, has given them $6 billion since 2014 the cash injections are labeled as prepayments for oil that rosneft will receive in the future however, slowly but surely as venezueezuela struggled, they'v begun giving rosneft ownership stakes in the oil fields instead and now collateralized 49.9% of
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venezuela's refineries in the u.s. meaning if they default, a russian-owned company could lay claim to u.s.-based refining assets pretty amazing >> keeps getting worse the more you learn about it, michelle thank you. michelle caruso-cabrera. one week from today, millions of eyes will be looking up at the sky and the sun. the countdown to eclipse mania is well under way. if you haven't made your plans already, forget it if you haven't gotten on the amtrak train already, you're not going to be able to rent a car we'll tell you after this. so who sent you? new guy. what new guy? watson. my analysis of sensor and maintenance data indicates elevator 3 will malfunction in 2 days. there you go. you still need a pass.
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welcome back maybe you've heard nothing about it or maybe you think you've heard everything about next week's eclipse jane wells has news for you,
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right, jane? >> reporter: oh, gosh, kelly, turns out all 50 states even alaska and hawaii are going to have partial eclipse if you're in the band where it all goes dark, the hype is eclipsing expectations weird ways peoplare e cashing in when "the closing bell" returns. the baby's room won't build itself. and her paw won't heal on its own. we're all working forward to something. synchrony financial can help your customers make it happen sooner. so she can plug into her dreams... and they'll have a new addition for their new addition. whatever you're working forward to, even if it's chasing squirrels, synchrony financial can help you get there. evena girl with golden locksls, broke into a house owned by three bears. she ate some porridge, broke the baby bear's chair, and stole some jewelry, a flat-screen tv, and a laptop. luckily the geico insurance agency had helped the bears with homeowners insurance.
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welcome back we're just a week away now from a rare total solar eclipse in the u.s. and most americans are only within about a day of the eclipse's path jane wells looks at all the prep going into what's turning out to be a very special and high-demand event. jane >> reporter: well, kelly, we are going to see this weekend a migration across america, the likes of which we haven't seen since the gold rush. as people invade a swath of the country starting in oregon, all through south carolina, to see the full e clims on mondclipse y colorado warning of traffic nightmares the population of wyoming could double yours truly and the cnbc team will be camping in madris, oregon, a million tourists could hit that state hotel rooms in goregon where the full eclipse is, going seven, eight times the normal prices. people are renting out their backyards on airbnb for hundreds or thousands and of course companies are trying to cash in. ♪
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♪ criskrispy kreme's glazed dought will go dark next weekend. a special eclipse train to carbondale, illinois, immediately sold out airlines have specially chartered flight to chase the eclipse. hertz overbooked cars in portland and is trying to apologize and ae coccommodate customers. goes on and on sales of solar eclipse glasses amston trying to reach out to customers who may have bought counterfeit fake ones. that would be bad. for example, do not wear these to look at the eclipse it will be bad for you and finally, kelly, states which depend on solar energy from california to north carolina are trying to make plans so the grid, the lights will stay on when the world goes dark next monday back to you. >> now, i did not think about that one those are your sunglasses, jane,
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right, those won't cut it, protect? >> reporter: no, we are allegedly going to have real solar safe glasses when i report live on monday, and here's my prediction, kelly. emergency rooms across america, especially in that path, are going to be filled with people who looked up then were like, oh, my god, i can't see. especially in states where pot is legal >> i hope it doesn't make me unpatriotic to think, i don't need to see it in person, i can kind of get the feel from pictures and things of what's going on i'm supposed to be doing a tv show during that time here in new york, anyway by the way, the krispy kreme doughnut might get me out of it. chocolate? this is new. then i think i'd get in a car, i would pay $1,000 for someone's backyard so that i could get to a chocolate krispy kreme >> reporter: kelly, you know what, even where you are, there will be a partial eclipse. the whole country will at least get a piece of it. only in that swath will it go dark and at midday, it will be crazy. >> and how long is it going to
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last, about a couple minutes, right, for those -- even if you're directly in the math, you only get two, three minutes of it, right? >> reporter: right it starts around where i will be in oregon, around 10:19 pacific, 1:19 nr tiyour time for two min. south carolina, an hour and a half later it actually moves pretty quickly while it's happening you better not blink or you'll miss it. don't look at the sun without the right glasses. >> i'll see you in a week, jane, i can't wait. >> reporter: okay. >> jane wells. that does it for "closing bell." "fast money" starts right now. "fast money" starts now, live from the nasdaq market site overlooking new york stis' times square i'm melissa lee. pete that jarn, karen finerman, tim seymour, guy adami netflix and disney heats up, approaches a top


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