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I welcome such -- dot com hi Tracy Byrnes Chris -- market is down about -- damage to about their complaints are now.
-- -- a -- hit wearing green for about five points I think would I could.
Argue we've been in a little bit of a holding pattern ever since the jobs numbers came out which wasn't we're not that great -- -- Not a terrible actually mean to see 444000.
-- initial claims.
All of this again is a little bit worse than expected but the fact it is not getting any closer to that 400000 numbers really disconcerting to me.
And even though Friday's you know -- funds report was outstanding this weekly numbers just terrible every single week.
That was watching the futures this morning right when that came -- -- -- slightly positive and we immediately went to slightly negative and that's really I think the -- right now.
It's not a great deal of negativity but there's enough to where any little piece of news like data descended negative even if it's just a little bit like right now down 34 -- -- Russell -- on the banks right the we got back into grown up coming out now basically it's attorney generally are attacking all the banks.
Here's my thing with that I mean on one hand this guy just need to cause a feel -- -- I mean he should just pick up.
-- -- take on -- do something with his spare time is cause right now as the banks Wall Street it's very good PR person isn't for governor's run right.
The problem is if you shoot enough eventually and it's something so is it is lose lose for the banks.
It in his yes yeah I really thought -- that I thought hey every one of these bass -- this analogy yesterday afternoon in what he's banks as a target.
So anybody's ever played.
Any temple football guys still play like -- number Oklahoma drills that's of the banks -- going through right now we've lined up and when you just smack.
And hit the -- funny.
-- base there has -- eight -- avenue Oklahoma drills so you modest we'll get line first and get it over with that's that's how we felt in high school football that's toggle Goldman Sachs to.
-- -- -- -- -- -- All right we -- to -- on us first all right we will take a first because eventually.
You're gonna get to every what you have a you have a look at every single one of these banks and a mortgage portfolio that's the -- Right and there's no item from there right now we we're -- to leave -- hot.
-- acting CEO points and wealth management with us now.
Didn't we think -- this market -- -- on it you know pretty apathetic but maybe we're wrong.
What's your take on all this after hearing those jobs numbers this morning.
Lessening of those job numbers and and right now the market's going to be trading -- sideways pattern ever since last week.
And that pull back that we had -- it's gonna create higher volatility.
We get a lot of -- were expecting this pullback in May but as we push through this volatility over the next four to twelve weeks or so.
Alternately the market's going to push into new highs for 2010.
And I think we've seen the top of the market for this year.
When there's a tremendous amount of momentum still available to help push that market higher -- -- be really choppy in order to get that right up there.
But that's that's -- -- short term our number one focus is where do we see the market truly -- struggle on the other direction.
Because we do believe that this year there will be that turning point.
Where the market wall real life what's going on because one of the think it's also helping the market go up.
Is the fact that most participants are in complete denial of what's going on around the world and here at home.
And when it starts to turn we really think the market's gonna hit free fall much like oil did back in 2008.
Ultimately the Dow could really end up closer to 5000 by the end of this year.
David what's gonna cause that turn is it going to be events because it just seems like the market feels like he gets top topping.
You -- had that 10% pullback and a lot of people that were on the sidelines say OK now's my chance negated when are we gonna stop that trend.
And had a -- sent down in another 10% down.
Exactly all the way on our indicators that we look at.
This next rally that that we're expecting in the market is is what we anticipate to be the last rally of the year.
Ended in what some of the causes that you asked about.
There's a lot of -- deal to this summarize.
One of them is is is it this'll get GDP in this country.
And and when you guys -- -- talking a few minutes ago you're you're addressing this yourself when you're talking about.
And -- second quarter GDP comes out it's going to be a good number it's going to be it's gonna show growth.
However it's going to underperform.
And I've been saying all year that in order for the mark to sustain the prices that it has today.
Earnings estimates and GDP have to continue to exceed expectations.
On an ongoing basis to support these prices.
This next quarter we're gonna see where that's going to underperform and we're gonna start to be Equity One of the catalysts to help pull it pull back.
Another one we look at the banking sector.
Is a number that we always look at will -- with you seem to be stabilizing or improving.
However at the same time the faults are going up.
And the reason is because banks and the government there which of course today are kind of one in the same.
They've well all their chips on the table betting that housing prices and real estate prices are going to go back up.
And so they can no longer hold out so the defaults are gonna start rolling -- this year as well.
Which of course there's a year lag but we're gonna see record numbers of foreclosures.
In the -- a few years here.
In this country and that's another major count this course the market will trade in advance the ball.
That did it actually let's talk a little bit about the housing market -- we got numbers today saying that the foreclosures are actually not as bad.
I read it as so what could see your point we're looking at anywhere from four to five million foreclosures this coming year verses.
About two point 82 point nine million in 2009.
So what does that say then about the recovery going forward.
You know what it says is that when when we first attacked the recovery in the stimulus plan and and and all the acts that were taken around the world.
It it worked but what it did as it was just a really big expensive band aid to postpone the inevitable.
So you can't ever argue the fact that it didn't work it did it it worked until it ended and now with Andy and so.
That's what's keeping these foreclosure numbers and lol now.
That's why again early look at the default because again delinquencies are low but was look at the default on the rise.
That's what's gonna push that.
Out because again.
The government and the banks were banking on housing prices going up and it just didn't happen and it can't hold out any longer have to start defaulting on a lot of those mortgages.
David I've heard it from a lot of folks you know a lot of volatility over the next few months maybe another it -- higher and then 2000 -- not going to be very pretty what do people do that in 2011 -- they stuff it in -- under the mattress and investing in gold.
What are people to do then -- kind of ride this out you know over the next couple years.
Yet -- out -- in the very immediate time when the -- this when this starts to turn.
And the market goes and that freefall they keep my on the free fall they're seventeen.
Trillion dollars of leverage.
Inside the financial system -- United States only runs about twelve -- trillion dollar deficit.
So yeah we have more dead in the financial system and what the United States has all together so there's a lot of debt there.
So -- takes a handful of hedge fund managers to get margin calls to get this thing rolling.
So when he start to get that real quick drop down.
Are -- -- we're gonna use these -- cash we big cash is gonna be the best alternative water based heads are spinning.
And then once you get your bearings there might be some other opportunities I'll have that come back on what you know at that time.
Right now though cash is definitely the best place to -- We'll definitely have you on David that is for sure you're in the -- all right.
That sounds -- that I did at the joining us CO cornerstone wealth management out of Toledo Ohio we -- things in my we got a lot to get to today.
Lot of talk about housing that is for sure.
A lot of talk about the debt clock we talk about that a lot -- Boeing company earlier this morning twelve -- and actually as David.
Sort of misspoke but I can understand it because it's easy to keep the lose track of this thirteen trillion dollars and in a little bit they even before the end of the show -- fourteen trillion dollars -- -- today on that fact Friday it's unbelievable so we've got a lot to talk about the about the show.
But before he gets anything else -- want to look like Iran.
I have been sad news but lungs.
And -- surprise.
Anyway you can you elaborate further and no video editing -- -- -- that but but some -- sells the five dollar fine.
Yet they are trying to trademark as if you -- really believe this they're trying to trademark the foot long -- Now inadvertently some letters have gone out from their legal department saying you can no longer -- -- long and they sent -- some hot dogs.
Yeah -- yeah he's not consistent right so these not so -- insane.
Nobody -- and that's a -- has since you know.
But enacted the letters saying okay -- -- hot dogs.
Just for sandwiches so they're trying to stop every -- -- long as they're gonna trademark beef but long.
Can I say one more time via subway sandwich com -- dollar.
The -- five dollar -- long I could understand certainly.
Now before long word for -- long is what they're trying Abby volatile hot dogs that's ridiculous now and they don't and they look hot dogs -- -- fifty years.
A hundred yet you -- whenever -- carnivals and what not to forget about that but that that the foot long sandwich maybe with a five dollar -- -- for sure.
They -- I mean is -- December -- where you grew up.
-- -- -- -- It's -- -- he just said I need to its hoagie and a bogey in midwest -- A Pennsylvania right Pennsylvania Ohio Michigan it's -- heat but is that nick maybe that's not -- poll today that many got to be a poll question tomorrow well.
What do they call a cynical grinder.
Places you know yeah.
Wish I went it.
Oh but we've narrowed it down to a talented excessive calls in a way yes dear lord and I think where many.
Polo shirts we do have a look although it's.
A little wedge I thought it was like -- latest today.
If you don't read you'll let -- we think it should have been through feasibility the woods these acts you needed you -- grind down.
All the local wage all right here's our poll for the data how -- the deep water horizon spill impact BP your your choice is the company will never.
Begin -- public trust in the US the company will be fine look at Exxon.
They've recovered from -- these of course or number three is just too early to tell -- make sure you give us not only.
Your opinion on the answers one of those three but also all your thoughts on the sites.
The results later in the show you haven't haven't did I do it's that big -- The within the company will be fine actually I would expect that's what I think that's what I would eventually down the -- really bummer is that they started these high look at us we're so green commercials like fourteen minutes before this it's the heads of the timing alone something like that always comes back it's on -- I mean -- because I would -- that break a lot more when we come back the -- -- -- -- -- -- You know you wouldn't believe this is gaga pulled because resentment so much fun talking about not not today -- -- about BP today because we're gonna talk about this political theater on.
I would Jeff -- light.
Tracy was just got so it's not describing -- perfect sandwich -- during the -- -- did that wedge.
And then -- some whatever you wanna call it what would make you perfect sandwich since you're Italian is an out of.
I can make -- and now it's going to be but if -- more.
Going to go to town it would certainly be fresh -- -- tomatoes.
Project a little comical note this is this is an oil output -- -- -- -- Live.
-- -- from Italian -- -- Bulgarian let me levs joins us see on the desk before is that is that and that's the patent.
Emerging year of -- to deceive good to be here I tell you what we'll what do you call in Bulgaria we're wondering is it in wedges and it right there -- a subway.
-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- While.
Substantial step to learning a lot of help around the area I had the talent it's -- I let.
Let's stay with the European thought process here and let's talk a little -- what your thoughts about what's going on there right now and last night overnight last night for us.
I'll Portugal they said they're gonna raise taxes cut spending -- staying the night before.
Very few riots in -- get word today that some unions and Spain are going to go ahead and and and at least strike yet what do you make of sort of the way it is moving around Europe.
But I like the common and very few rides and stuff actually right yeah I know I think they have to they have no choice not been given of the monetary authority -- -- them that monetary policy so the only other way to deflate the economy's going to be through fiscal measures.
And unfortunately that's cutting the public wages the pensions thirteen fourteen salary.
And and obviously businesses -- have to follow suit and I think that that effort and -- together they can probably.
At some point down the road -- the -- a statement sustainable place and they -- today.
I'm which obviously Greece is the worst of the worst -- but all of these countries have been punished by the bond market CBS has blown out and -- -- -- mostly for the same kind of reasons.
Too much debt too much deficit or some combination there.
So that's a -- Western Europe what's the story in Eastern Europe is it similar.
It's it's actually pretty different I'm surprisingly in the past when you've had the European.
Western European type of issue.
Emerging Europe just had has the same amplified and that's being kind -- case maintenance in the past.
Now the debt situation in east and Europe is actually a lot better than they -- and and Western Europe.
I'm so if you're looking at a debt to GDP levels and Hungary is the only plays.
Way it reaches the eurozone average -- -- for the people and that's a 60% if you look at Russia that's of about 10% so.
They don't have the same kind of issues but the markets sold off in in a response to that risk reduction sentiment and it wasn't necessary and we worried about Russia defaulting effect Russia would just in the market a couple weeks ago and issued -- probably the best kind it could have found.
They found they got -- greater good -- with that so not the issue there but sentiment -- -- over the same.
Its European -- we're gonna dump it because we're afraid of what's going to happen.
Well they -- debt issues in Western Europe -- southern part of the eurozone.
In this currency issues as well what about the currency issues.
In terms of bomb in the former Soviet bloc countries Eastern Europe -- is stable.
-- -- -- -- -- -- And we actually fairly bullish and emerging market parents is not necessarily in Eastern Europe because it had.
Different issues going on there but if you look at our stands -- some of the Latin American currencies the export oriented Asian economies we've had some pretty bullish stance is there.
The bigger question to us is really what happens next so now that the Euro zone has had to create this huge bailout package and that's going to bail out at the end -- -- -- What's going to happen to the countries that aspire to be a part of the Euro zone to adopt the Euro at a point in the next.
345 years is that the best option for that.
I mean our whole investment case is based on convergence on Eastern Europe getting closer to Western Europe.
Is that the mother which should be striving for and today.
-- so those are a bit philosophical question that haven't been resolved yet but their interest in questions in the marketplace not necessarily shorten investment concern.
But if you Poland -- have a credible Central Bank credible monetary policy.
-- -- -- only country to the -- the recession last year out of the EU.
What do you do the end of the Euro.
It's a good question -- bigger question I guess is with content.
Staying power -- you haven't now let's focus on your part of the world and I have money right now -- should -- put it that and if so where the well I think you're asking long -- mutual fund guy of course he should enjoy your money there and a we think that's good opportunities that we found certain spots in the market that didn't necessarily rally as much last year that made a small caps -- -- -- -- opportunities.
I'm some of the frontier markets that don't necessarily enter the headlines too much.
I'm like Kazakhstan Romania some of the politics.
In fact the baltics have actually had a very impressive recovery and -- just did what Greece is supposed to do without though the writing.
So the -- a similar situation to had a huge bubble situation about three years ago.
That blew up and they had to deflate the economy very dramatic thing they did and now Estonia -- -- -- ready to gently around.
Who would have thought -- two years ago Estonian -- -- indeed he was down 1516%.
And -- I don't wanna join -- home.
But there's little economy so let's kind of separate the -- you if you're small economy like Estonia you probably better off inside the Euro zone.
That's obviously all the questions about the Central Bank independence about credibility.
I think you're better off inside but if -- major come country like when.
Then it's more about I think it's more of a public debate that question.
Elected to see you thanks for coming but it to be there.
But mile portfolio strategist for the -- they're paid emerging Europe fund that is good stuff you have to have you on again glad because I think we are so focused right now on.
Western Europe -- the southern part of Western Europe in the European economic unity deal.
It's probably the place -- -- money and awareness and -- for sure.
In the brick countries -- that about it all right let's go to Peter Barnes right now in DCE.
Talk a little bit about housing all right we've certainly heard about Fannie and Freddie.
The endless bailouts Peter but.
The FHA could it possibly be any of the bailout as well.
Listen there are critics out there who say that they FHA may need a bail out of the tune of fifty billion dollars but the FHA keeps saying.
No it has it has adequate reserves.
At the Treasury Department about thirty billion dollars to help a cover future losses but.
All this is a big debate over counting the bottom line is that a lot of its mortgages from.
Are going bad.
And -- the last thing the administration wants is to have to announce another government bailout.
-- haven't unlimited backstop by the government why would they need a bail out on top of that.
Well that's true I mean -- they do have the ability to go to the Treasury Department.
And get money but guess what people would call that a -- none -- that's -- that from the taxpayers and so they want to avoid that and it looks like that.
Trying to do anything serious about fixing FHA fixing Fannie and Freddie is going to be delayed until at least after the election is just too much of -- hot button issue and those three entities.
Are insuring or backing.
More than 90% of all of the mortgages not right now right out there right now they are the mortgage market and the FHA.
Backs mainly first time.
Homebuyers new mortgages -- first time homebuyers so its role is critical.
To the housing market right now.
Did they just recently asked him but between the two -- another nineteen.
Billion dollars they didn't get that are we just gonna wait you know they got they got am -- yeah yeah yeah -- electricity -- the Christmas Eve announcement was no pressure right back Barry we did unlimited have backs that.
That's exactly right the first the backstop originally was something like what a hundred billion H -- -- -- -- it raised to 200 billion -- And then on Christmas Eve last year I was here in the bureau working.
And I remember when I got the press release that that said well we decided to rewrite these contracts and now we take it away any cap.
On the amount that we can they give to Fannie and Freddie and so of course.
Critics there are looking at -- we are in a 140 billion could get as high as 20300.
Maybe 400 billion -- it's all over is asking you chassis basically.
The checkbook -- yeah they've got they've got to credit line with threatens treasury it continues to invest.
And the company still like continue to suffer the consequences of underwriting all these than ensuring all these bad mortgages during the housing bubble.
-- -- one of those Peter you have rights.
Give -- and DC thank you so much.
I OK I.
-- unlimited checkbook.
I need to know what people think about BP answerable for questions for the day how will the white water horizon spill impact impact BP.
And wouldn't talk to Jeff Flock little later on the show he's down Louisiana we want to know what you think will it.
Children -- never recover will they recovered just like Exxon has for the most part because -- just too early to tell really the issue.
Don't know the fan I don't ever be on offense to get some solid choices -- don't -- in the -- yeah.
Logic of everything that I wanted to move up to Pacific -- all the above.
-- -- -- -- progressive but we're just now yet we're still southern foods -- For those grinder hungry thugs is going to be a poll question one of these days got -- -- it.
I would contract what is patently they're thinking that way you act gala this year.
They're both here actually potentially even -- -- -- -- -- -- -- Donna have you.
Had a salad sitting across the studio here just let you know solid passing of the illness -- drooling yeah.
Have loves dogs.
I the debt -- just keeps going I'm telling him it's scary out there when -- show you some new numbers out from Moody's check out this screen.
We're talking about.
When the US might lose its gold plated triple -- credit rating in this is the fight -- score for the US government right.
It determines how much they pay for their dead how much we might see ultimately in higher taxes.
Moody's is saying -- -- very important on this score they say that tipping point is when -- Interest on debt is more than 18% of revenue and they are saying this can happen in 2018 they are using white house budget plans to figure this out so these are not numbers out of the year these are actual numbers that the White House -- put out.
Even worse guys listen to this if interest rates go up so that the macro economic world shifts a little bit I think a lot of people out there think interest rates could go higher.
You could see that 18% threshold hit in 2013 two years from now now that means.
It's going to be a lot more expensive to run the US government and as we've seen we've done a really poor job lately they're trying to contain those costs.
You know we just heard that we had an 82 billion dollar deficit for April that was four times last April's levels.
Think about this this is April people -- let's get a lot of tax revenues in April April supposed to be a good month and the federal government.
So lots of concerns out there about the credit rating again it's just like -- -- can score and only it's for the federal.
And I think he would you believe.
The numbers are ridiculous because when you all of Varney coming this when he was just trying to -- back of the envelope in the -- was.
All the -- -- just going out of my calculator was smoking and it wouldn't take all zeros what LLC and its sales the calculator folks.
It's 42000 dollars per -- now -- break it up and that's up from 36000 dollars per person just a few months ago that just give you some idea how rapidly it's growing pretty.
Out what you do with that.
How would he use that 42000 dollars of that was in your hot little hands which educates kids -- you make sure that you could retire comfortably -- so many other ways we can use that money.
Rather than paying off the data and federal and its four billion a year -- a day excuse me right that he -- to -- how to act I ordinary about thirteen trillion is current estimate by the end of the week that will be -- total national.
And I -- by issues.
In the debt service will think about simulate Tracy.
You right now have.
Three dependence so it's it's basically 42000 dollars for you times for until you become an empty -- right until they -- Yeah that's supposed to send you money that's the way that's supposed to eventually that I got -- -- up yeah.
I -- numbers are definitely scary at this thing my -- right now and all the numbers are living and I.
Don't know what on any of Elian's.
Look mortgage debt going up consumer debt go it's my great I don't think.
Close that computer and violence in the market is moving though it's moving.
It's saying about slightly higher than it was when we first started the show right we're down about 24 points something's noticing those kind of wishy washy day with -- jobs move it.
That's -- Cisco first Cisco.
I don't know what happened in Cisco.
Fiscal third quarter profits surged 63%.
On higher expected sales and margins fell a little bit.
But they called the fourth quarter guidance that's their next quarter going forward mixed.
I killed and you know -- also to came into in there -- -- comparing to IBM's numbers begin who have rocket numbers Cisco didn't here's what it is.
Tom you're right on the same day at Cisco reports IBM says we're gonna double profits by 2015 and then long from now guys and for a company like that can be done about how to take how long it takes for -- -- to move IBM.
As a pretty big hit.
To double profits by 2015 is solid in -- due to software.
Cisco on the other hand that's more the of the of the hardware that cuts if you will of -- the Internet around the world seem to think it wouldn't affect them that.
If that's not gonna say it's not have been filling Apple's app level arson -- aren't aren't what they.
It looked like more food it's -- like our first guest -- -- -- said today EU gonna have to beat expectations and the thing that Cisco did had a great quarter.
But they're guidance was -- you know the guidance was what we told you it was going to be before essentially many investors say.
All you didn't even raise guidance -- wonder though if your profits of 63% -- you do it on purpose to massage expectations.
You know 63% increase in profit that's -- number you can't replicate.
Often so do you do then on purpose to massage expectations I don't know I don't know it's just me -- -- -- sprint.
This was your fox fifty -- today sprint actually so -- -- today it announced its gonna sell new prepaid wireless service.
-- -- Only can sell a lot of stuff that Wal-Mart thank you -- Want that hanging get a prepaid why you attribute wireless service and -- can -- -- at Wal-Mart I mean why did I mean.
That I gotta -- I had a field trip to Wal-Mart on this thing that it gets me with sprint -- That whole space in general is so confusing right now the cellphone space yeah I don't -- -- that -- into our guy from phone dog just about Howell.
Every day it's this company's -- this we're waiting on this for what you're waiting on the four G phone for my from apple.
We're waiting on Verizon to get the iPhone.
For rising Google say they've got a competitor for the iPad yes -- one publication Silicon Valley says it's a myth.
The product doesn't exist it's -- its Verizon putting pressure on.
Apple to give them the iPhone -- quicker.
I don't think it's crazy it's given you it's at it's worst -- -- -- -- -- we got that right yeah and then did not have an affordable unlike many as you just coming in if they'd have.
I become motionless I don't know what to do now because you imply you -- know by now because because I'm still using my doubtful -- it's because I don't know where to go from.
Here that's that might be gone too far you still using the dial -- like -- was -- -- Barney he's he's the one that you got the ring up and speak into the to the operator first.
I connect me to San Francisco plays.
One of those types of things.
For your shoe phone.
-- -- -- -- -- -- -- -- -- -- Foods and it could be do we got it today I think fiscal second quarter earnings yet again -- 91% they beat expectations same store sales -- -- let me -- was bad.
Not really bad people had been ten bucks on granola and happy about it doesn't that defy logic completely applies plug into the -- go to Wal-Mart for you to system in a wireless service.
While I go to wolf.
-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- I've never at all with either side I've Wal-Mart and -- with some analysts to place -- have to visit but my understanding is that the experience.
Is worth the trip.
News you're going grocery -- for the experience.
-- but yes you're -- and I got my life was pathetic and I carry data if this is your S&P 500 -- hit 52 week guys suck it up almost like 89% earlier.
Oppenheimer upgraded the stock and you know what happens when -- upgraded to.
The company analyzes is a computer company that analyzes business trends that are doing just fine and dandy and number one is a big deal today.
Well it was yesterday actually was announced SAT.
Made an all cash bid for the technology -- side based in a deal valued at about five point eight billion dollars as if he's gonna pay 65 dollars a share for side -- at 56%.
Premium and the closing her eyes on Tuesday.
Good day to be -- -- well yesterday I was -- They're going after oracle and at the sights set on -- it I mean that's perfectly round them to accept new German company common in.
Most thought about it -- right now Tyson slocum joins us he's director of public citizen's energy program joins us from DC Tyson welcome to the show.
-- great to be here -- -- Kerry Lieberman they've got this climate build and -- -- yesterday telling the details about this villages that.
I don't want to go through all how many thousands of pages it but he won't get into it but did this to me to decide that -- thousand page yeah.
-- reading right so what it does is it gives up billions of dollars in new financial incentives and regulatory -- backs.
To try to quickly build twelve new nuclear power plants.
It gives billions of dollars every year for all coal fired power plants to try to pursue a technology called.
Carbon capture and storage where you try to stuff.
-- -- underground instead of releasing them into the atmosphere it sets up a cap and trade that.
System where we've got a a a national cap.
On greenhouse gas emissions.
That declines over the years and the electric utilities and the oil companies are going to be trading these credits.
And they can also purchase offsets -- from.
An international timber company operating in Indonesia us instead of reducing your missions at a refinery.
In California you can purchase those offsets that the plant some trees halfway across the globe it didn't -- the bill has a lot of industry support.
It'd be support from the environmental community is not to universal because we don't think that it goes far enough and we don't think the consumer protections are robust enough.
And to be frank I don't think this thing has has a shot of passing.
This year they waited way too long they didn't even have a Republican up on stage Lindsey Graham who has worked.
With senators Kerry Lieberman on this wasn't there allegedly because he's protesting immigration but I think he's trying to save face because this bill is just not moving anywhere and I I think that.
We've got support of both parties to do something on climate change but I don't think this bill -- Presents that effort the Tyson I made an attempt to understand it and this whole notion that the states -- need to -- other states drilling because it affects them.
-- that seems so counterproductive it dismissed it in big all things seemed to me like it when they had no intention of going anywhere.
What I don't know if it's kind of productive I mean as we see from the current crisis in the gulf.
Just because you've got it in oil well that spilling -- off the coast Louisiana.
-- -- -- does not respect state boundaries it's gonna go to wherever currents take it so you've got to have.
A cooperative arrangement here states should not be able to unilaterally pursue.
In energy project that might have negative repercussions.
For its neighbors -- how has this.
-- really impacted -- -- this legislation that's on the table right now or any -- impending climate change legislation going -- Why I think it's it's dramatically impacted things I mean a month ago the consensus was after President Obama.
Made his announcement that he was going to lift the moratorium on drilling off of the East Coast and parts of the Gulf of Mexico the consensus was.
We're gonna have -- expanded offshore drilling all over the country.
I think with this golf crisis reveals is that the mantra of drill baby drill.
Doesn't really emphasize the risks that are inherent with offshore drilling in this risks with a lot of of of technologies.
But oil as we're seeing here doesn't mix well with water and it doesn't.
Mix very well with with marine ecosystems and and this is really quite devastating if in addition to the fact that eleven people lost their lives with the explosion.
OK so if this fails as you said it probably well what's next.
-- I think what's next is two to restart with something new and and yeah we've got a bipartisan climate bill in the United States senate.
Senator Maria Cantwell a Democrat from Washington State.
And a Republican colleague Susan Collins from Maine.
Have -- -- 39 page climate bill called the clear act my organization supports -- a lot of other organizations out there have been behind it.
It it -- a a cap on emissions it requires producers and importers of fossil fuels.
For the right to to pollute.
And the government takes that money and immediately refunds most of it back to families in the form of a monthly check to offset the higher our energy prices.
We talked to a lot of Republican offices there's been support for people recognize.
That if we're going to address climate change which we need to do.
We shouldn't create a whole list of winners and losers and this thousand page bill by Senator Kerry and Lieberman.
Is filled with special interest loopholes and the bid the fingerprints of different lobbyists all over and that's not the way to do legislation American people want simplicity they want transparency.
And I think a 39 page clear act.
By that's got bipartisan support -- that state senate I think that's pretty good start.
Tyson and having a really a hard time getting around the concept of a 39 page.
Bill and I could actually passed.
You know that congress everybody can read including congressmen and women by the way.
If our viewers want to read this bill because of that they can actually do as their place that they could find it.
Yeah -- -- to Google and.
And type in Thomas.
And that's the -- -- Thomas Jefferson and that's the legislative web site.
For congress and and go to be a 111 congress and -- in the clear act but CL BA AR.
Acts and and although -- the folks up there can access the Dillon read for themselves.
Tyson it's always good to have you here but I gotta tell you this notion of a bill that doesn't have perks.
And Christmas tree dressings for other people with whom I am with you in this -- slam -- not -- -- -- Tyson -- thank you so much for being with -- director of public citizen's energy program.
Really cool 39 pages long I -- heck yeah.
To show you though that.
It can't be done folks I mean these thousand plus I even thought this morning we had Mimi Roth on odd Stewart Marty your good friend.
Always -- was about your children's health and obesity and things like that talking about the legislation that the First Lady is supporting 125 pages long -- Think that's reasonable 125 pages that's nice that's you know that's thrown reading.
And 39 pages is even better 39 you know never ever pass -- I love this.
Optimism but it's just as -- not until it's too -- -- seriously it's.
There's not enough.
The only means you any easier than reading -- 39 page.
Bill is voting on our poll by the way so good -- So do it right now how -- the deep water horizon spill impact BP your choice is the company will never again regain the public's trust.
The company will be fine just look at Exxon or it's too early -- -- when we come back.
Jeff Flock is gonna join us from Louisiana he's got an oil spill update for us I think today -- supposed to be today that it finally reaches our assures us.
Let's hope not we'll check in with -- and.
Oh hi this spoke about we're coming up Paul we can't I still can't decide I'm getting out after being on offense.
We -- about the poll results before it to give.
You your results wouldn't -- -- I'm gonna go way it and it's taken me awhile but they come out and skate I will say this though that BP.
It's more about BP issued an industry -- asking BP has had -- history of screw ups along the way but I still -- that it that might be true.
But in this particular case we always thought about a rising tide lifts all ships yes -- if he's the falling tide drops all ships -- it it becomes more difficult.
For the others to get over this hurdle becomes a bigger -- now they have to -- -- -- I agree with you I think BP though comes out of it okay.
They self -- to the tune of billions and billions of dollars.
-- they can write a check for the clean up now all the the lawsuits that'll come later on down the road that might have some type of an impact we've already seen in in a filing that Transocean rig the owner of the -- Said that this will have a material impact.
There's your accounting term a material impact on anything moving forward yet that needs is big and that's where we have to tell you about it as a public company so.
Their feeling is not only to clean up.
And -- insured to the tune of hundreds of millions of dollars but also the it impacted their reputation into their income moving forward the revenue moving forward because they're part of this.
Isn't like you to.
I'm getting -- because you kind of things so it's like Transocean almost like -- I'm looking for the sympathetic ear here it's I think we're down we're hurt but it's all BP's fall.
And that's really what it is at the end that right we're gonna take this big fat hit we're gonna suck it up for the team.
But it's because of them.
Com we'll see BP is the one company that when we talk about reputation.
You've got a choice you're driving on the hood -- BP stationing go to -- and on quick trip whatever the case may be.
And avoid BP altogether if you feel that way so that our poll results.
We -- most of the people up by the way a BP will be fine.
So a great majority there in -- -- and I agree if you.
Second was it's too early to tell and then just a few people were less than 10% saying that BP will never be the same but even if you look at that you have -- Close to 10% that's pretty good percentage that would say BP we'll never be able to.
Recovered all -- mean you know you compared Exxon and Jeff Flock was on the business channel earlier pointing out how we're not even close to the damage Exxon's done.
And you remember the video like -- and upon the birds out -- -- covered with oil -- it was so much more dramatic I felt like it's a completely different.
You know some type of loyal to thicker although I was in a much smaller contained and yet -- -- survived.
Is what you're saying -- and then yet if I feel like Exxon.
Is this whole Exxon nest was bigger and more costly and more automatic on air and again we sold these oiled birds and he brought tears -- your eyes.
And yet they survived which is why I'm gonna go with I think -- you make it.
Let's go to Jeff Flock right now he joins us from Venice Louisiana he's been their for the last couple of days now and yes it is today's the day that we're expecting oil.
Landfall in earnest and today is also very big day because we're expecting this this top hat.
The second option of BP is using a plug a -- -- take it take effect right.
Well -- you make interesting points there one Natalia in terms of when the oil is gonna get short -- -- who who believes.
That we really didn't land on the moon that there were just pictures of that I think there really wasn't an oil spill out there there's just been pictures beauty and it's never gonna come on the -- on it on the beach I mean we've been waiting for this for two weeks.
Here's here's the point I would make about that one.
About a 120.
Barrels have been spilled thus far.
BP said that he has cleaned up it thinks about 97000.
Of those barrels now.
They have headed a lot of this -- but the -- so that may explain some of it.
And also this is you just pointed out very different oil from Exxon Valdez spread over a very different kind of area very large area.
So you know that's that one they are trying out there now just to get that top hat solution and a place at the same time they're hiring folks.
Who work on these boats here that says Leo was this the Lois.
What's the name of this again Bob -- what's the name of -- low weight you lost some sort got it wrong this is a shrimping boat they would typically be out of course that the shrimping.
-- -- not closed.
But they were hired this -- today.
By -- BP.
To go out there if -- put the head out about noon local time.
-- they got a able bodied crew in there.
And they'll go out and try and be in position if they do get part of the slick it comes to the India's sensitive areas they're deploying these.
A boats in the shrimpers out to those locations.
So that they'll be in a position to either stop put up with -- absorbent boom more corral but other boom and -- maybe you could see some of the shrimp boats are already out.
Some are still here in -- but it's shrimping season they typically -- making some money right now so they can pick up a few extra dollars from BP.
As well saving their beds they'd be pretty happy about that.
Jeff are they becoming a little more confident now you mentioned 120 million barrels 97 of them already being cleaned up we haven't seen it on -- yet are they becoming more confident that maybe there -- This season won't be lost and they will be able to make a livelihood this year.
You know on the one hand there is some parents some optimism about that -- because they simply haven't had it as you said hadn't seen that the worst effects but thus far here's the other concern though on -- on the shrimpers.
And that is the dispersants that are being used down there.
The you know that's a chemical which has never been tested at low depths.
But they know that if you put it on this surface it breaks up the oil.
And -- it combined with the air and combined with the sun it it really -- the oil.
Down underneath where it's much colder where you don't have the sunlight where you don't have the air.
What's the effect down there is are they and perhaps making this seem a bit more toxic than just -- -- -- down there.
It's a real concern on the part of these shrimpers I mean they're not -- you know with a lot of college degrees in chemistry or toxicology.
But I think it's a valid question to add to be asked by anybody if it's a process that haven't been tested.
They got to worry about your future.
And these guys where it already though -- I -- they haven't been working and they haven't been paid.
When you're talking about more unemployment basically.
Exactly it's a -- shrimping season and you know I don't know we get back to the the -- you're about to save you know.
These boats although they're not fancy take a look at this I thought this one looked like some metaphors -- this one over here.
You know I mean.
You do that to make a pretty big investment in it and that the story shrimping season you're at the point where you've invested the most money that you put -- And you've got nothing coming back and so this is the worst possible time for this bit.
He's got Jeff thank you so much Jeff good to see -- they -- at an expert Jeff isn't doing a fantastic job down there and -- as of the date on what's going on again today the data top hat that's the latest smaller.
Good capture mechanism that BP is gonna put -- that week is supposed to happen at some point time and also the fear that today might be the day that some of that will finally -- washing up -- Pump and they need a plan B this doesn't like that you Quincy we're hitting -- -- a great plan B I would think that break when we come back.
May is national sight saving month we'll tell you how to help your kids.
With a lot of this ultraviolet light out there don't -- That was my kids and sunglasses and trying to get them to Wear them when they're babies which we tell yet.
It's easier to come -- Mount Everest have been there doctor Kevin Nicky up to -- optometry can accommodate up the -- -- pediatric because I'm hungry.
That's spokes -- for the reminder -- Can prevent I this American foundation is here.
This is very serious issue line missing kids summertime is coming many kids do not want to Wear sunglasses he has to be cream them from head to -- and we miss.
The most important -- anybody that's right one thing that a lot of things that parents forget is that their eyes are just as sensitive to that as their skin to damage from -- real light.
We don't see it acutely in children the damage is actually cumulative thing that occurs over many years and it leads to cataracts and macular degeneration.
When -- older as well as skin cancers of the islands.
So one of the things that we tried to include in -- to parents is to try to protect their eyes as well as their skin with the sunblock.
You know it's interesting to us really -- notes.
Just about you know with some of the common myths and things like that about.
About -- I damage because I think people don't really necessarily understand I mean.
-- -- hungry she leaves here today in such good shoving care it's.
No doubt upon a whole issue protecting her eyesight by doing that you know that.
-- -- could not.
You expect that -- -- Thailand's cat scan your -- yeah.
Me -- now it's -- that's not true.
You know hundred years ago when people didn't have a good diet.
-- provided nutritional supplements that you need for your -- to function properly but -- in these times with.
Normal good diets or just -- all vitamins that's that's no longer true.
The biggest thing that we can do now is to protect the eyes we want to have the young kids.
Protected from ultraviolet.
You want to find some blesses.
That say they're 100% UV blocking.
You also want to find ones that are really strong -- -- something what called poly carbonate which is with.
Protective goggles -- made.
You know the cheaper ones he combined the toy store toys that you need a much.
Using a brand name but Toys -- Us who might just be there just play some lessons they can shatter and break when the kids get hit with a ball or fall -- So protection is is a big thing so you you what really wanna look -- want to say 100% UV blocking.
And that -- well because kids are very cognizant of the way they look to even very young children you see them looking in the mirror and if they and some glasses.
It like this particular brand is called real -- shades they're very good.
And you know they have a -- of that they fit well with kids like come and they look cool only come and lots of different colors that's the type of thing that will.
Prevent problems when they're 304050.
Years old that's what you're really investing -- Senior notes you said that one of three children the United States is perceived quality I care are critical eye care before they just six what is critical eye care.
Well there are many things didn't go wrong with children's -- and and many of them are preventable.
A lot of children have promised to go undiagnosed simply because they seem to be -- properly.
We have a lot of children were blind in one line or have very unequal prescriptions -- may have cataracts and may not think of cataracts and children.
The many things these things going undiagnosed and by the time we see them and tried to remedy it they've all -- develop something called amply opium which is a condition where they're -- can no longer use the -- If we find that when they're young this can be addressed and taking care of before they have damage or vision loss.
-- clue to close the television.
How bad is that trying to read when it's dark in the real money these are all the things that -- -- obviously told us.
And then we -- that from now there that is not true.
This it can give you some headaches -- to -- but it's really not going to do any damage and you know this isn't exactly the TV back on TV well I was told -- do it now I was told the same thing I guess -- -- become an ophthalmologist improvement on the wrong but I -- -- I guess that I've -- so much TV in my life and I continue do so even in in these latter stages that I would have already been.
I was like I'm mr.
Baku had that that come true you know so it was still basically the biggest thing we can do for kids and now comes summer is -- -- -- Yes you want to make sure that they're protective that they really block a 100% that the UV because some.
A lot of sunglasses don't if they don't say 100% UV protection and you want to protect them the business and sports and other accidents like that fly guys are more sensitive but in other more susceptible to damage.
They can be simply because they don't have as much known in them -- and in them to absorb the UV light.
So there are there arson there is evidence.
Light -- people having a higher incidence of macular degeneration which can be.
And some studies link to ultraviolet exposure.
I think -- -- to come up with a cool line at kids.
That's with this that's so bad no doubt that otherwise I wouldn't go near them as well they had an honest lol this is like babies yet but for an eight year old it's very hard to find -- -- actually for an eight year old -- their heads to little big for those two little favourite big ones.
It is very difficult and actually this is just one pair -- as I -- -- I'm not affiliated with this company but I've been very impressed by their glasses.
And -- they have a whole line that goes up into the between group that age group they're specifically marketed and designed just for kids and they have a very impressive.
Line of products and I'm telling you might my daughters -- Wear them and I think a lot of other kids with two.
Real kids real kids real kid shades no that's -- I mean.
So real kid she -- dot com all one word.
Right doctor Maggie good to see him now entering come on by -- -- -- national sites saving month let's start with the kids.
Yeah yeah because my daughter the other day asking me if she what the DNJ man on my sunglasses and could she have them I said it means you don't.
Get them exactly but that's.
It's I tell him look let's -- I'll tell you look call mile high it's good that we're talking about -- hot Austin -- it's bad for your eyes tear gas -- stop writing.
Everybody this is what happens in Montreal they win at the Montreal Canadians with a playoff series not the Stanley Cup body in the Eastern Conference finals.
They they are now in the Eastern Conference finals they won the Eastern Conference.
My eyes and what do they do in Montreal course they ride which is similar to what they did -- and 2008 they rioted similar to what they did in both 1993 in 1986 they rioted they've broken deals we'll see foot locker gets and here they've broken a liquor stores.
That and riot police had to use.
Here aghast c'mon guys you people riot by the way but I wouldn't get out of that and when you win.
There were 21000.
Fans in the Bell Centre which is where they play their home games there to watch -- on TV.
It was not even there it was it was in Pittsburgh and they Ryder.
And they won in May not -- 21000 but people spilled -- the streets and right they always do this in Canada.
I don't understand that they did in Vancouver.
So not too long ago -- haters you know however if you know Latin -- -- celebrate the missile that was another.
Good -- and 55.
Maurice Reshard was actually suspended and they -- so badly that Maurice -- had to -- on national TV he of course is a hero national hero.
To plead for calm.
All is well it literally what it was like so please.
It's gonna get only worse if they win the Eastern Conference finals and play for the Stanley Cup you imagine the Blackhawks Canadian hands two original six teams I know you're looking forward of that.
And -- what you -- time.
We're done for the day are -- and has said that I said dean today it's deeds he would -- -- today ability combat doesn't -- without my glasses.
So that doubt I'll have a Dow Jones is making -- I said that it was indeed it's a they have those not calls on canal street here -- as you could make those for kids apparently made his fortune -- you your kids would love.
The way but you know I'm Tony it's been -- -- -- you -- glass is on the may look bumble bees because there's no in between their two little for the Elmo aerial slapped.
And they are too small for.
Mean you know don't get lazy stuff that -- so we got -- all right be thinking about what they call sandwiches in your neck of the woods -- that -- -- -- -- definitely.
-- -- -- -- -- -- -- day but we're better than we were restarted the show down thirteen points on the doubt we'll see everybody -- special show on the film industry you don't.
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