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And you what's the -- with that the exit strategy didn't thumb -- that there's also if fallout from the -- bill which was introduced yesterday -- that -- talk about that a little more you're in the show.
About the effect that had on banks yesterday in the market in the -- had a positive effect on financial financial started to be bought -- investors came back to table after the bill is introduced the White House wants it to be stronger.
Republicans obviously don't want to bust through this thing that's their big thing right now it's not pushed -- with thirteen 136 page bill.
Let's look over and make sure that we're -- I'm in my head hurts just for them -- -- can break him we know they don't write that don't read it -- -- that Tony debates out cash and 20000 pages.
Looks -- -- -- a 200 page right but yeah.
2000 what is reading anything at this point and so we don't know what what they're voting on and that's probably why we're.
Point where -- Pelosi saying she's gonna go ahead with this self executing vote which is basically just deem and pass and don't let anybody vote it just goes all the way through and I.
Find the whole thing almost unconstitutional.
And needs judgment -- -- -- to.
It in the but the problem is it is constitutional doesn't seem like it would be but it.
It is and why is it because what you're doing is a two for one vote you're basically say -- that the house is gonna vote.
On the reconciliation but that they don't have to go back and vote on the senate bill and that's the competition says the -- says both houses the house and senate -- the -- all right and Oprah -- to be -- that your head was hurting but earlier today he -- -- wide -- in my -- so I didn't have passing it on me you're you're sort of let you know -- catching that.
Disease from you.
About getting -- -- confused -- any outfit there it's just like that purposely trying to confuse you it's like.
It's like one of those late childhood games I don't confuse people.
But I like you'll save you say -- too confusing for me I got to -- of the kids to soccer practice and that's a lot.
Come on different path that he had a lot of his -- president in the global investment strategist -- bloom mobile restricting do you think the same thing and it's just the -- ridiculous what's coming at a lot right now look at I'm getting -- brain -- just listening to you guys describe all the -- gotta have won the next ten minutes -- Pentagon -- Iowa I think this topic area obsolete -- you know yeah it is very confusing.
Weren't -- -- state of waiting and waiting for the Fed waiting for the -- -- -- what -- what the regulatory environment is going to be.
We're waiting and waiting and waiting were also waiting for the market to see whether or not gonna get confirmation of a new -- which we almost certainly will get in the S&P 500.
And let's see what the market messages after that.
But it's waiting because it's watching.
The theatrics going on in DC because -- -- -- rules up as we go I mean.
That's a big part of what the problem reconciliation in general that they're talking about with Health Care Reform it's the only thing is about 22 times since what nineteen.
-- -- And now -- sun will bring this up and reconciliation is -- views with.
Is Health Care Reform this is supposed to be something that's gonna decrease the budget I'm not seen it.
Your passion as well please not now I fact they have -- -- as we talk about Michael Jackson.
I don't know more positive side certainly to voluntarily -- and also put into the mix we're coming close to earning season.
So we're in this confession period right now let's see what corporate profits are expected to be first quarter and then guidance going forward.
With that said what do you what do you think we're gonna see a lot of corporations give us.
An early indication of what these are going to be.
I -- because that if -- especially that's the positive side we'll have a lot of them come out and give us the early signs say they won't -- Report earnings in three weeks they -- a pretty darn good we get that allotments to the positive they'll.
Definitely and expectations going forward guidance that kind of information is going to be very very important this is why.
When not if the market S&P 500 makes a new closing high and -- -- meaningful degree above 1150.
At that point you wanna -- confirmation by other indices otherwise the message of the market is telling you that something may be amiss something may be all right that we're not seeing -- -- -- because if you get great numbers coming in and you get very good guidance for the latter part of this year and her -- a lot of corporations have.
There -- awash in cash.
I mean internally generated funds -- way above capex spending for example they have backed at all levels of Iraq in 2007.
So therefore we really should see a significant increase in stock market action from it if you don't get that.
Then you want you want more respect that that's the message of the market confirmation.
Of new highs is essential.
The generals cannot move out without the infantry following you need the other indices due to global indices to follow wall so to make new -- now.
-- -- key point to keep in mind not only a lot of the regions of -- good 5% or so well thought there.
Recovery highs that they made back in January.
But also you've got countries like China.
Which made its high back in November of last year.
And it's a good 12% -- for that.
That's a cause for concern so we need to seek confirmation.
With good news comes out we get you know good corporate profits good guidance you need to seek confirmation the market action otherwise you're known is on a vulnerability.
In Arizona vulnerability is.
Once you -- the twelve month mark of a bull market.
And you know we're entering into the second and third quarter oftentimes a third quarters of bad quarter.
For the stock market that is on the vulnerability where you could very easily get that ten plus percent correction in -- market I think we're gonna get.
Are you anticipating good numbers though because there wouldn't be very easy to use the weather as a scapegoat and say.
Meaning come in positive in this is why and to take potentially a little bit of time in coming out with these good numbers I know.
Don't think that that's going to be the case.
The data that's been coming out on -- week to week basis of general economic information which -- track.
Has been tracking above consensus expectations.
So consensus expectations for the first quarter of this year are equal to -- Actual numbers in the fourth quarter of last year.
Which means the run rate could easily get up into the seventy plus solid number.
On operating earnings for the S&P 500 which would justify the stock market being at these levels are higher so no I don't think the first quarter is going to be a problem.
All right see you mentioned some of the other indices having to follow suit -- -- but we don't see volume.
We haven't -- volume in.
Years almost certainly in -- year since we started this -- and the other this global market if you will.
When are we gonna see that volume so we get above 1150 B get the 12100 on the -- we don't have volume that follows how can any investor take comfort and.
Two things with that one.
Most of the activity that's taken place in the market -- this bull market period has been from the fast money crowd hedge fund crowd that you don't have to more traditional investors coming and you don't have more mutual fund investors coming into the extent that you'd like to see them.
But that cash levels have been declining.
-- the amount of money that's been sitting in money market funds retail and institutional has dropped.
From the three and a half plus trillion dollar number to around three trillion dollars right now solid very very big number but it has declined so where is it gone it's gone to bond funds.
Okay and is also -- into the equity markets but from an institutional point of view.
Where's the transparency.
In terms of what's happening off the markets.
In the safety in the credit -- in the structured product -- we don't know we don't know how many things are being created there.
We've got problems with -- sovereign related issues.
And off balance sheet are items that have been created in the case of Greece Financial Times ran a story about Italy and the various municipalities and it.
What's the common thread here.
Municipalities are populated by and countries -- popular by politicians.
Well don't you think the same motivation might be happening in other realms where they might be constructing different kinds of instruments that don't show on on the on the radar -- Does that mean you support senator Dodd's financial reform -- you.
Think that it is necessary tests are overseeing this kind of stuff I think what you need in the dock it in in terms of financial regulation.
I think that what you need is more transparency.
You need to see what's going on and maybe we don't want me to see what's going on but some entity within government needs to know what could be a systemic risk.
And we need to find out what's buried.
Game in the off balance sheet related items and we also need to work on the part of analysts to dig -- to ask questions people like you know -- and when you get people over here and economists.
Grilled them on issues related to state like in the United States for example.
Are there are other issues -- around there that might be.
Instruments that are being created that we're not aware of that municipalities are doing we need to know this information it would be helpful.
I real quick here Vinny had to vomit I wanna know with the old 1150 which is what we're holding right now on the S&P other indices follow suit even if we don't get any volume.
The particular segments -- you like investing if you think OK now the next latest -- Well I don't know wanted to segments is industrials which has done very well it's finally come to light colored -- typical so that's come to life.
What I need to see is I need to -- info tech also make a big big that's that's a big area from.
-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- Good to see it and get all fired up to come on now -- we get take -- break we get back we are gonna talk more about the financial reform bill.
Then Michael Jackson didn't happen.
What about foxbusiness.com lot -- -- burns 1211 on the East Coast 9/11 on the West Coast didn't even have to count backwards almost always have to do a 26 points.
On the Dow right now -- positive.
We had a -- of a rally yesterday afternoon right after senator Christopher Dodd came out and unveiled the details.
-- for his financial reform plan banks started picking up and they sort of kept it going today and try to treat it is your partner in white and case the join us to talk about that.
You wanted to talk Michael Jackson but you're thirty years experience -- the -- fed.
Means we gotta talk about finance reform sorry about that but well what did you make of what you heard from.
From senator Dodd yesterday.
In terms of what makes this bill any different from what we've heard leading up to.
Well -- it's a total change as we got the Fed his first bill in terms of dealing with the Fed was to take that out of supervision.
He's come up with something much more like the house -- I haven't done a comparison but the house passed a bill.
Covering the same subjects.
What I do -- I give Tim Geithner a lot of credit for setting the format in the legislation he sent up to the hill.
Barney Frank and company take it in adjusted to what they wanton now Dodd has started the process in the senate.
But if these things get through with this that -- does get through the -- not clear that it will.
And -- -- conference committee that got a common framework to deal with it's it's not too alien bills coming together but you.
-- you light -- in it I mean we're talking about a resolution fun consumer protection the Volcker Rule is back.
You know this whole notion of systemic risk.
There's lots -- up the slots -- not like breaks lots to like I.
Think that dealing with systemic institutions the fifty billion -- banking organizations non banking organizations.
And having the Fed.
Over them is desirable and I'm prejudiced I think the -- is the best supervisor but I have friends and I asked them who they think the best this and they -- there's no difference.
And I think part of the criticism the Fed -- was really not -- and the Fed is.
Just as good in did just this poor and good jobs have been any of the supervisor in in -- What I don't like he has the -- losing its smaller banks that state moment -- -- -- -- -- -- 900 of them.
That gives the -- a lot of feel for what's going on in the real world as opposed to the big.
Fifty billion -- world and the president to the reserve banks.
What is president the reason -- -- do.
Participates in the FOMC -- votes or -- there and it expresses that view.
And then the other services really -- not too difficult how do you keep attracting the good quality presidents we have.
In the recent things without supervision.
Because I'm not it's not clear to me that all of the twelve reserve banks will have.
Major role to play with the larger institution that's not like the vocal -- I worked with Paul poker I have -- everyone says.
They always thought often thing -- tons of respect for Paul Beckham but but he's -- -- trading he's true to himself out.
And this goes -- -- and he has.
I I just don't think the -- and it's been a full.
-- proprietary trading.
In this -- draconian ways to deal with it can be dealt with through capital adequacy -- position of higher capital charges that that's necessary.
I find interesting on the prohibiting.
Private fund and hedge fund investment that.
Doug did not include private funds and in his -- of having to register with the SEC that happening private at great.
That must mean that he's concluded that they're not systemic and if they're not systemic then why can't thinking organization's -- -- -- -- That is up to private funds.
We -- yeah it's very confusing reappoint even about the proprietary trading to be Geithner has come out and said proprietary trading was not the reason.
For the financial.
-- demise that we had he he still heat.
Potentially is against the vocal right -- you know it the -- has to be prophylactic.
That someone thinks it's going to be a problem.
-- -- -- if the regulators do their job and one always hopes to do the job and impose a capital -- but -- the sufficient to -- the risk.
That shouldn't be a problem the consumer protection agency if you didn't like the consumer protection agency you're not gonna like the consumer protection bureau.
But that's that's the point is I think the point is you talk about the Fed.
The Fed is getting more responsibility at the same time losing a little responsibility.
We're not creating consumer protection agency but we're creating a bureau recreating the financial stability oversight council.
My question I hear all this stuff is do we need more of -- -- -- and we saw the treasury by the way still kind of lurking out you're doing something or rather.
Why we need more council's committees and what not to oversee let me just have better oversight I don't see the need.
The systemic council of all of all the supervisors.
Overseeing the Fed in the intruding in the way it's -- I question whether -- will it will really work.
The consumer protection bureau the Fed.
What -- -- reserve banks under the blood with supervises reserve banks.
-- at the site now this this bureau the Fed has no say report the only thing it will do -- -- states -- and communicate to anyone that it better -- just had better communication are we gonna have ever gonna have.
Worst communication one good thing in the bill takes one of the -- since they do on the vice chairman -- -- provision that makes.
They jewelry what's the effect of government to -- low today in effect does the governor of Maine governor over supervision then they'll become -- here.
I would have done the same thing with consumer protection made part of the Fed had another vice chair.
On the -- over it and make it happens -- of that person would sit -- And board -- and knowing what's going on with the economy getting up getting a -- -- equipment we have to wrap if you get the votes for this thing we know we got rob pull out there he wants to dismember the -- quite frankly so it is -- -- have the votes to put this push this through Khalili -- -- last 1000.
It will go through the committee clearly will echo through the senate I think he's got a real uphill battle.
They'll do some cosmetic changes I think in the committee -- they'll be some amendments the real question yes.
When he wants to get -- on the senate flow off what will the changes being what led negotiations -- really once again through Barney Frank that a lot of changes its.
The last day and when the house bill went through we'll -- to the same thing to get a bill -- Yes stuff.
Right now most likely see some changes -- -- there any great talking Ernie thank you very -- -- -- of political science degree of violence against innocent and he didn't change his partner and -- in case I -- some truth though right.
Principal that made him the rules as we -- that second look into understanding from the get go.
-- will need to be a parliamentarian.
Hey you know what I mean when this thing was first announced really it's been in the works for -- but certainly when the president announced the Volcker Rule about a month or so -- stock markets really took a hit well yesterday afternoon so far this morning in this afternoon.
Not so much Sandra Smith joins us right now from the Floyd and -- stock exchange Sandra we had a late afternoon rally yesterday reasonably positive territory it today or even positive pretty much all day long.
You have right now about 24 point in the Dow that they'll -- of that light volume that we continue to see one of the big drivers behind the rally that we're seeing right now.
And metal prices gold right now up more than twenty bucks.
There's some good news that includes natural resource is they're getting an upgrade from -- -- bank up right.
-- per share price upgrade on that on -- buy ratings.
We're seeing metal prices anything basic materials is very very hot today so that's what's driving the rally.
But Chris entry in this one for you everything's about tiger right -- tiger returning for a masters formally being announced.
I am watching Holloway get CBS and getting the -- they will be carrying the masters.
That's the obvious -- we've been watching got here also Callaway just -- here.
Tiger Woods coming back what that means for the game of golf and people being interested in buying clothes in clubs and all that's -- is attending the golf tournament Callaway shares up nearly 3% in response to that.
But some of those that dumped tiger along the way Gatorade owned by Pepsi X venture those -- -- actually down and they did react to the news so.
We've been watching that pretty intensely and crest.
-- -- I was just nonstop -- -- and I was looking at you know I've been watching since the announcement I've been watching the prices to attend the masters.
You you pay between 600 and G-8 1200 dollars -- for one day of competition after Thursday that have gone up since the announcement.
I have that -- full week right now just moved up to just -- -- 4000 dollars.
That and the masters that week that didn't keep watching it right and they're probably not gonna move as fast as the market would react -- something like that but I.
Certainly we continue to watch that.
Sandy don't want one of the reasons why Callaway is up to is because -- Phil Mickelson I mean Phil Mickelson and needs he needs tiger needs -- Callaway guy that's so investors see that they say hey this rivalry could mean something big for our guy.
Nicholson as well so I'm glad you brought that up.
Add -- I think also -- started using Callaway Kelly driver I mean.
What's going on there and that's just the -- fact that tiger returning.
That's gonna make all those stocks interesting to watch.
Obviously they had -- -- Adobe air also on ESP and as well as CBS.
-- gift and home I didn't watch Disney and Disney got initial spike on that but it didn't hold on like the other to actually come back in the negative territory but.
That's pretty fun to watch the reaction there of the pretty area that pasting equipment golf cart did just need anything and you can edit tiger's back or not.
I so badly want to tell you I don't Karen I'm not gonna watch but I will be glued to this green and I can guarantee you that.
I don't know if it's whether or not -- you know the general public wants to see him.
-- up after everything.
Aren't that just just general -- everybody want that -- ends when that bomb plot.
-- Watson thanks Santa -- -- -- Sanders manipulative stock exchange by the way that we get a masters I have a wedding to go to.
What he just punched -- in the gut right now.
And you talk about one of them with the worst time for the -- that not to go to -- web site that I go to weddings and a beautiful spring day beautiful spring day going to a wedding on the weekend -- Tiger Woods is playing in the masters.
And you understand that the couple did all this on purpose just to the issue -- -- -- and we sat around they.
It what do you like let's pick and I -- here just to pick up Chris not and then and let's go to the tiger -- -- cool tiger themselves.
Hold on not the (%expletive) me off what I'm saying is when you plan a wedding you have 52 weekends I take off Thanksgiving weekend.
You can't do a memorial on Labor Day but that's they'll give you a handful of weekends you got to look at the calendar opening day for baseball forget it.
You opening day football forget it yet March Madness the first two weekends in March Madness no chance.
You have arbor day a lot of different things that you can you gave you can have the winning on.
Humble fighter I've avoided trouble didn't.
It to them.
Seaspan believe it or not.
That's you go CE -- span video dot org and you now have access to 23 years of history they basically put everything.
Everything make -- possibly fine.
On the -- and you go watch everything that's ever been set on -- this is -- -- -- and sixty.
Thousand hours of information now.
Nick can you imagine all the like the little political -- out there just walked in looking for something that -- -- -- you know -- you know it's gonna -- Find clips that we haven't seen in years and there are going to be all over the place -- -- viral it's wild but -- that's a very cool didn't -- but TV for those of you out and can't.
It's like ESPN classic for Peter Barnes -- -- like from the other I'll go back and I'll watch football games you know from the eighties Peter Bart that he gets the meeting at 336 page.
-- what is it thirteen 136 page of financial reform.
Act he's gonna go to C span seeping in season that 1987.
-- about five presidential administrations the current one probably not so well but that being said.
There's a load of information for you.
Political pundit in people out there say that contends has.
Go to break.
Sandra Smith who is getting married soon it shines in and says.
Her wedding is on the day of the Kentucky Derby.
And -- I know all the.
Well let me tell this thing -- -- Atlanta that they shouldn't play and that wedding around your athletic and run for the roses come home.
This is dot com -- trees appearance for -- It's like the world's and other odds are good Chris congressman fall -- -- Wednesday and plan a New Year's Eve wedding though.
And we're worried latest clip because it's the most annoying day of the year to get now and -- by the way -- -- say yes and it.
Not WC like I did that -- peoples -- -- -- Big debate that saw a giggle at the end up on tell it's gonna be like a big hi all day that nobody wants to go -- and everyone's gonna go smiling.
And you're -- -- -- -- -- And the these words now because you in this mad at least you know you have your wedding if you have your wedding on the data Kentucky Derby -- -- -- that this habit at the Kentucky -- we can have where the big hats and -- -- -- -- And intimate -- and you could.
-- let's wait a big -- all us now.
Woods won a wedding in North Carolina that was a day of the playoffs and FL playoffs and -- the introduction of the -- bridegroom and has -- -- Withdrew from the kill me as people are screaming and yeah.
That's why I think I a couple of our biggest of -- is -- about a house right yeah.
Yes I've got to market movement -- -- if you do Martin movies Tracey look what's getting us when he went time.
And a heck of a lot.
Could the market had convinced relatively flat down a little that you see at one point -- non -- we talked about this earlier still falling down 20% at this point.
Reported fourth quarter results he sure is actually that we're clearly not good shares dropped 45%.
In the last year.
Basically they've mishandled their data -- the market doesn't want anything to do with it keep in mind -- the stock.
This it's genetic analysis products company was -- eighty.
At one point this year.
What does it say about Bulls and Bears in pigs up 88%.
From the about slaughtering thinks about it about a group -- in the -- -- -- -- I'd like to know and if you do I didn't tell us.
But but -- watch expects to report a steeper than expected fiscal fourth quarter loss sales decline.
Watch -- saying they're feeling the cuts of that you know cutback in luxury so.
Really it has received a lot of other luxury items -- -- off the show that's why I asked who -- remodel yeah I actually think that's the bigger problem you know you're right we talk -- -- Limited Brands earlier as well they declared a special dividend and they said they would buy back 200 million dollars with shared buyback doesn't impress me but.
Did he was sitting -- saying that companies have a lot of -- Second -- in a -- big company offered a big -- nice dividend in Mexico yesterday Limited Brands today.
Sniffles -- to see more of that Patriot -- reaching agreement to sell about one point five million tons.
Of coal to steel mills in the Pacific -- starting in April the stock moved on that about 5% earlier.
And -- and since that point this out earlier volume is huge on this stock amid speculation that the motorcycle -- potential target.
Of the leveraged buyout KKR's been mentioned but it's all speculation but let me take the call by the call option -- on this baby.
Yeah it's true the roof.
And the volume as well so.
Hot moved in today.
Matt to things on these market movers -- so -- Patriot Coal Pacific rim.
-- is not concerned about obviously not it's about cap and trade but not concerned about the Copenhagen -- coal fly here I don't know you know I care about they don't care -- This -- that's us and industrial revolution they're doing whatever they -- to grow in -- with a man stuff.
There's no way to stop and then paycheck -- actually been pretty solid through all -- space I mean it Motorola.
-- general right but I recently.
Yes -- -- -- -- I've scientists are a little bit volatile patriots enlightened slow and steady well into it pictured it in the best we've played -- K well it's a cool ETF about thirty coal stocks and it takes a big volatility.
But -- -- yet it still does move and really that's.
Harley-Davidson much like GM and some of the others in the finance arm was killing them.
-- To me it's like it is is the fact that they just can't make it right now and the need private equity to come and it's one of those things are private equity -- it for 567 years that and then sells it again at some point -- we kind of you know you don't think -- -- -- on the cheap here.
But you know who's gonna run I think when it comes early days yet to keep the management index is going to be something where it's just you know kind of a silent owner -- -- it becomes a -- management kind of turn around a bit.
I don't see it.
I mean I really don't see it though I'm looking -- -- -- I don't I'm not sure why that would even be it wouldn't -- takeover target these days can give all the companies here.
Exactly and -- it was one of the first to come down when we started this to say because unfortunately.
And it's -- pivot point thousand dollars salaries for big ticket let him.
Financing it's you know an -- points that would almost pay cash for it yet -- -- -- the proper introductions are in order here -- McCall president of -- financial group you got three stocks was today and you look at that.
Micro cap plays with -- he talked about a lot lately is all right you're worried about the market being flat here are you worried about maybe getting -- 10%.
Go -- to appeal of large cap.
Dividend paying stock an -- and McDonald's and Altria -- -- a little bit safe on the downside to not so much upset that you get the dividend.
You're looking at three plays that have a little bit more maybe on the upside but maybe a little more downside yet.
Exact opposite I do like the plate with dividends is a lot of nice dividend plays out there right now that's you know for another show I.
I like the Michael perhaps they're actually up about 9% -- today the -- about two and half or three depending what -- -- looking at didn't really struggle to Goodyear last year I think if that.
The overall comic continues to improve them that you know Michael perhaps we'll do well and we Seymour M and a activity and that's really positive for -- of them as well.
What has Neil engine which is any OG.
If you food safety test animal safety test.
And food safety is pretty interesting to the Gorzelanny -- mad cow that type of stuff -- is that -- actually does real well what was the sense of situations.
It record revenue record net income last quarter 67 straight profitable quarters I'll see you looking at you know it is a little more aggressive -- -- -- chart and it's a really actually a -- slow -- A stock I don't know but -- I'm really looking to pick up here that's the belief -- that movie food incorporated that's out that when talks about it -- seafood incorporated it'll make you change your mind about vegetarian if you make you become a vegetarian.
So certainly that's of the human mind to it thank you.
Actually -- -- like that fat -- this is -- I think it's like you know -- I loved it -- sucking up there before like I hate to be in a -- hate people sometimes.
So I'd rather fight a question just go online and -- the -- -- customer service that you're trying to do with your phone company.
Are taking a Verizon has -- us on the off my cable.
They -- 8000.
Different companies they work with this -- that cloud computing it's a big term right now technology.
Revenues were up 26%.
-- record earnings per share last quarter.
So you have something I think that he committed futures for customer service online but -- been to -- over 20% over the last year.
Still think that room I do because you're looking at a lot of growth you're looking at a full year earnings per share guidance about fifty cents next -- so based on you know.
Single digits per share price is actually pretty evaluations.
And then finally -- case you research this is a real interest in company what they do is they control about 100 different 104 different patent portfolios.
So if you're a better Chris and on week enterprise battle with something right right.
I think there's something anything you know what this meeting that's great invention now because that then they're gonna get the patent for in -- try to license it -- and make some money seem like him.
Allison what do you think you talk about it was so many people unemployed Tracy amber just went home from the stop giving -- on getting out.
Unemployment insurance those people will be forced to go into their basements.
And invent something in the cola case yet and yet I hit it yeah.
He's not the only duct tape and paper towel rolls could be the next great center basement -- All right so -- live person that's -- -- -- LPS and NEC -- you know and -- just to be clear micro caps have.
Market value under.
I think it's our product and -- -- -- -- I did I don't have any right now but you know I would look as if you don't like this I did he sees a micro -- the Michael kept ETF -- that's a great ladies exposure to the -- -- would you call this a lot of money.
That if you're doing single stocks yes but you by the ATF now that's an asset class that.
You invasive you know I think I'm -- -- Clinton -- The complex ideas -- come back exactly.
Michael Jackson -- I'm not gonna end this without.
-- back foxbusiness.com.
Live Chris cutter Tracy -- markets up 29 points right now that's better than a sharp stick in the evident again getting stabbed in the -- would be better than a sharp stick in the -- -- -- be too much into it.
Satcher and I don't I'm I'm guessing a sharp stick in the I would pardon of the most painful thing on -- But it is for those we don't know we'll have maybe haven't seen a show that's my father used to say they have better shots stick in the eye and I would always think.
Everything's bad -- -- -- yet what does that tell me nothing.
Resign his here's senior special writer for the Wall Street Journal to talk about banks.
And the fact that wait a minute some banks are actually Wendy I read your article that was very -- -- The banks that are actually lending.
And this time yes a lot of banks that are lending are small and medium sized banks and credit unions and -- institutions that.
Haven't been hit with large loan losses and have the capital to continue to make -- So what -- -- but let's back track actually because you've been in this business for -- now.
What what's different this time around or is this something you just never seen before.
Well I think we've seen this contraction in credit and if you look at the data that that we analyzed.
You see the big banks have really pulled back the largest.
Banks by assets to pull back like four point 7% in consumer lending.
And that's created an opportunity for some of these small and medium sized wonders and also these credit unions.
You know these big banks have been stress tested they've paid back its -- they -- their capital positions appear to be fine.
Why aren't they lending because I would when you look at on the surface you would think all they're in better shape than the smaller community banks have made a lot of mortgage loans that you either the smaller commercial mortgage loans that are going into default.
In local areas around the country it would seem to reason that those things to be in worse shape -- the big -- Well it depends on the institutions -- some of the smaller institutions have always been conservative lenders.
And haven't been settled by big loan losses some of the ones that are growing their lending are relatively young -- -- and so they're looking to gain market share.
And some of them just haven't offered some of these risky products and they have an opportunity to go -- in the market that.
-- money where it went up big banks -- -- medium sized regional.
It depends it depends on your situation for instance if you want to get a mortgage and you fit the standards for government backed mortgage.
You can go anywhere.
But if you needed Jumbo mortgage one -- it's too big her government backing or.
There's something a little different then you may want to look at a local Lan -- credit union that.
-- You know your market better credit unions also tend to have lower rates on credit cards for instance.
We also hear a lot of -- -- and regardless of industry but certainly banking and I see you walking up and down sixth avenue here in Broadway every bank -- says.
Company for all of your banking needs will be seeing more of that should we at the local -- more than regional level.
Well I think the local bankers say.
We know you better if you have a relationship with us we understand your situation and we can work with you and sometimes you'll see if you have a relationship.
A credit union might do you view.
A slightly better rate if you have direct deposited -- automatic on.
Payments so there's sometimes can be an advantage but you have to look into it and you need to shop around.
-- we're creatures of habit and we got back to our old ways you know so we're in this period now tightening 20% down all -- well -- crisp clean.
Are we and it eventually he created products come back market -- you know we've been through these cycles before and eventually credit loosen on.
Memories are short slide -- hopefully they won't be that short I mean right now I think.
Even the lenders that are lending are being conservative.
You know these very creative no money down.
You don't have to tell us what your -- it's our area I can't we're -- -- -- -- for a little -- You have memories are short and green as long as we know that for sure what about this bill from what -- senator Dodd yesterday.
And all the gyrations in where you think we might end up in the end is this gonna help.
Fix things on and it sort of depends on where we end up -- -- it -- you know we don't we don't know yet I know that there are.
You know a lot of very conflicting opinions about that isn't necessary do we need to rein in on -- industry.
Well I think that.
We you know we've seen that there haven't been.
Adequate consumer protections -- you know particularly in in in the mortgage area and I think a lot of people would argue that there are some changes that need to be made and some of the lenders that you see that are -- -- didn't make.
Some of these risky in these very risky loans.
Get a chance check it out the article ran on Monday Ruth appreciate good to -- -- thank you resigned as senior writer for the Wall Street Journal in the article of course about.
On how do -- recent numbers point that not only did banks post a seven and a half percent decline in lending last year but the largest 10%.
By assets at a reduction enough warning -- percent last year the bottom 50%.
Loans by 3% selecting some indication the smaller banks to lend.
-- this protracted TARP -- in the rules that they or the lack of rules that they.
He doubts surrounding the money they gave out they didn't make any suggestions -- require anybody to make any kind of -- so everyone just.
Beefed up their balance sheets and that's what we're seeing people continue to do.
Reason to lend money.
Let's not hear -- especially because you actually make more money with a low interest rates borrowing from bank to bank can get out there investing yourself.
Net charge offs that these banks with in terms of consumer loans credit cards over 10% right now think about that.
10% of loans and make democratic -- standpoint it is writing off what we talked about as an ex -- -- that was down that's a lot of that is why we're just writing it off.
And Shapiro joins us right now hello Adam.
Lou but -- -- -- he -- of Michael Jackson that's not enough but ultimately that's what.
250 million dollars for a 150 million dollars figured -- offered me 300.
And look at my sinkers he needs 300 to the payoff is bills and want my understanding I hope it goes to the kids you know -- all kidding aside and automatically that yeah that record managers and I just yeah.
This is Robert grant but I have to go and sustained in order for the kids to get anything is speaking -- death race -- that the kids can inherit something otherwise the kids get.
-- -- Gary Coleman.
I don't kids are going to facilities that that's a lot -- bankruptcy if parents.
I think it affects windows been battling.
Back in the news again.
-- -- back in the news but they're -- Lehman Brothers is dead and they're not rising from the day essentially what's happening is Lehman Brothers they exist in and a ghostly shape and very committed within spooky music.
The ghost of -- that lives in -- the halls of bankruptcy court in lower Manhattan it's known as Lehman Brothers Holdings -- And others about thirty billion dollar thirty billion dollars and assets that creditors still have -- to and -- performing assets and there are loans.
Evidence there's equity in his realistic.
And the the Lehman Brothers holding and had to establish from the -- remember Barclays and the -- -- bank.
Came in and they bought the already existing infrastructure to manage those assets and they took over their portions of -- So so the you know the gators in position you might -- Had to create a whole New Hampshire should manage these assets well instead of -- all those people go to -- 55 people go.
You can create a whole new company called it let -- cup.
Legacy asset management company -- love -- company that comes up with these kind of names member with -- general -- new.
Just like this that I think I -- now it's a great idea.
What you gonna do essentially in Templeton Stearns to create an asset management company -- hold the assets the creditors by the red creditor committee will have a great deal of power in determining what happens.
But the assets will be managed to profit will be made -- that money you'll go back to the creditors to the ghostly Lehman in bankruptcy court.
The potential exists.
For other companies in distress to have their assets managed violent capacity could make even more money profits of which would be return of the creditors that was the largest bankruptcy in his United States 682 billion.
To the creditors so so it looks like a good deal objections are due by April 5.
Hearing on this April 14 bottom line -- -- your stockbroker it's essentially the same thing you on the -- you on the stock.
But Baghdad for that's what they've proposing in court in a 176 pages of the most gripping drama I've had to read along.
I mean LeBron got off what the autumn of 76 -- -- -- I was 14100 you have a look there isn't another key aspect that.
That the fact that you can make look there's a lot of money being made on the season and managing these assets performing assets.
And there would be other.
Firms definitely take an interest in perhaps partner with land I did this is just speculation and I called -- -- -- interested in this.
Lack rob Carlyle force a lot of a lot of organizations want to make some money and his -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- This is what else planned -- into the gonna target other amenities to help.
Managed to bear their assets global financial institutions like banks insurance companies hedge funds and private equity funds that have failed.
-- in distress.
The people who they've assembled for land code which is essentially right now Lehman Brothers holding.
The people they've assembled.
I'm going to be this private firm that one day from now years from now could be managing assets from me actually perhaps assets from failed hedge funds and from failed.
Banks and -- and I -- I -- I call it lately.
Nine look at it just for the same reasons behind them but I think it's it's not -- I think it's great idea -- I.
Would note that you understand these numbers I just.
What us into this afternoon might look -- -- but it's gonna make it work but here's -- of these are not that it ever Dick Fuld talked about the week before Lehman went -- People talk about creating a bad back to manage the toxic assets -- Well essentially what this is these are not toxic assets through this -- assets -- mean this is the stuff the creditors want.
So what you're doing is creating a firm that can make money in those fees instead of you know just sitting there will go back to the creditors and you might make fees because you had this infrastructure to manage assets of failed distressed firms.
They can take on -- expertise doing this other distressed firms and those profits will go to the credit question.
Illegality between the money they make and if any civil or criminal.
Charges are pressed arts are.
But they've -- forget the criminal that's the simple this might well take a benefit -- monies fungible.
That's quite here in here's one issue that's interesting because the -- it when you read the document.
The creditor committee has a great deal of authority.
Wanted the judge approves this night before -- content exit yet do it creditor committee maintains a great deal of authority as they have now.
In that the traditional bankruptcy proceedings.
The question week.
-- would I say Carlyle or black -- just just hypothetically if I -- -- partner with -- -- go.
Would I want to do that if this creditor committees might have -- that kind of the force.
Pat that's the question that came -- from my had been as far as the criminal proceeding you know this that they think this stuff to take hasn't bankruptcy.
We will see thank you -- It.
Like having a hit it -- about it could end -- -- -- music for the rest for the remaining fifty minutes.
Yeah it really enhance.
The -- what did you.
I don't think that's.
That's totally ignoring -- a fan I obviously am ignoring God's artwork no well ignoring pay.
Treatment -- sky foxbusiness.com.
Live this -- Michael Jackson story intrigues me and I'm sure we'll have more kick the guy.
That he's dead than he was means a lot but I will say this.
My kids -- listening to Michael Jackson and I think that is important have a great into the green got -- little girl listen in on my second -- Come Pelosi you don't want your -- under the thriller.
It thriller and a really big I had -- -- I had -- -- -- -- oh my god.
If you -- yes.
They -- -- -- is a prepared to -- -- -- -- way to go and let the mullet and habits and not issued a statement relative to Michael Jackson.
I was also listening to Iron Maiden in 19838 no it wasn't Michael Jackson yeah I am now I did say he got them all but I should be embarrassed to say I had -- let -- -- Yes I was in the eighth grade in 1983 and I had no interest in Michael Jackson -- right now.
I did an idea now because I think this is cool he's got ten pounds coming out that I ten albums -- one -- It's going to be the soundtrack for that this is it that on the came out last fall so that's going to be one of them it's going to be a lot of new unreleased material some lose some live material -- Some stuff who knows what what it would have been a -- Michael -- the stuff that Michael didn't really want out of the vault that's what you might have to wonder about it mean.
-- obviously the best.
You know analogy this Jimi -- mean how many more albums is that got put out posthumously that he did your when he was alive and his Aussie Davis and just thought well you know it's funny and that's -- talking to -- parties that -- publisher of paste magazine if you don't know -- check out great music -- He he is again I liken it -- that old joke you know when's the last two -- album coming out nobody does that mean the guy they're finding material and everywhere but.
Really what's this about what let's go -- the deal first 250 million dollars blows away anything we've ever seen him in case he's got a 150 million dollar deal the false receipts yeah.
-- those were those are the biggest deals coming into this 250 million blows it away.
Ten albums over seven years.
Again most of its generally stuff for the re mix -- so it's a new version of thriller that you -- here before.
But -- -- really summed it up he says is not as much about Michael as it is about where the music business is heading you've got these big.
Huge groups that everybody knows and then there's a lot of the the guys who still trying to make it if you think about it the number of really huge bands is dwindling a lot of homered on the old timers like Eagles are still going due to.
They can still pack in the stadiums but.
The boss we have but -- do you think is some young guys it's really hard to think of young -- -- -- coming to these guys have catalogs it.
Everyone as household name with a year of Michael fan or not.
-- you know you recognize.
Eddie Van Halen ano one down beat it -- he starts yeah -- on that and and -- says you know this is more about the licensing.
Of the music.
Think about this Jimi Hendrix.
It's been in the is a lot of rumors about getting a solid rock band he's got a song in rock band already it's it was a state license that Sony is the one who pony up the -- -- fifty million when they signed nick Hendricks.
-- group last year his sister now heads up that and basically the quoted at times they will bow to make his music available through every type of media.
Get ready for the Michael Jackson of -- I think it's coming down its commercials dvds slide it's going to be the soundtrack to everything strike -- the -- -- seven years from now it's not gonna work.
-- -- -- -- 31 million albums it's just technology when it no question facing Atlanta now is the time right now is in the three years now.
And it's not that's just keep pulpit of and -- got licensed.
Michael Jackson you know what it's guitar here maybe doesn't work maybe it's a singing game and it's rock band -- guitar -- -- so you know.
There's going to be more this -- and get his own game they'll sell CDs at their companions who.
They're gonna come up find some more footage -- releasing a Hendrix -- dvds so yeah they find footage yeah concerts.
They'll release it looked for -- Sony is gonna make money list.
I'm sort of being with Chris on that time -- -- so that theory is that this state is gonna get about 200 million dollars of the 250 right and it needs it he's afternoon.
Kids -- because yeah -- in debt and yet pay the debt off to the kids can get something.
But seven years down the -- sounds like a really.
Long time for Michael Jackson hold -- I mean it's almost like me trying to sell Elvis Presley.
That's more than seven years but you know I'm saying -- Elvis Elvis Elvis Elvis they'll tell it but.
I can't -- this to my can't -- my life not enough and they want nothing to do with really nothing since that.
-- remixing a little less conversation really sort of brought him back to hear that and movies -- was -- -- I can't seem to have Vegas is O seven and ten year olds and twelve year -- a little less conversation.
Cigarette they can't help but you can't see seven and likely.
Some say at.
That's it you know it's as though it's not work and what -- -- -- don't -- elsewhere.
-- -- -- don't stop to get up and and don't forget the international audience I mean China this is that was one of the few international films let him last year.
And those settlers -- it it goes back to early ninety's but.
A teaching English in Prague right just a couple of years after the wall fell and I brought its music on cassette of course -- -- plant at.
X and within five seconds -- nailed Michael Jackson don't -- you get enough I mean -- use that right away.
This and among a handful of people.
There are big queen was really big there which is surprising guns and residency had.
Only a couple of really big names people know around the world outside the lasso Michael Jackson's one of the its sister and I love them more outside the US may -- that end.
And it does have a different than it hasn't -- appeal and in my little eight cleansing agents that ABC want to sound like all of them down.
Well all the wall was zenith 1979.
It lights haven't got any bad accident now.
That was it that was that he's not sure oh yeah still had -- him up on my -- tell -- of sound and later.
Yeah there could not hear about it right now kid thanks for the black and white one -- my parents -- It is.
And I'm done.
I'm done what he got -- -- -- tell -- -- -- on adults March Madness you know.
But he loves basketball society and nobody more than me it's aggravated people in Kentucky had a two separate stories.
That I saw that -- yes that's a little bowl television station on their website the first one involved a wedding that is correct charity wise.
And his lovely -- Tiffany.
Where do our part gonna get married at a UK wildcat wedding that's right the priest is dressed up as a -- -- -- it looks like the wrestling -- The group is an incumbent like there's the announcing the starting five at a basketball game coming in Kentucky the uniforms.
The bridesmaids are all in blue and white and he's winning Kentucky -- out there in Kentucky teacher it's.
In the audience watching so that's telling you think this is cool melodies have okay almost is that it's like that.
Asking your bride to -- to -- you mitigate you know they get another jump on the on our worst director and added an intimate private.
-- Especially if you what Thanksgiving this year this through with real quick Thanksgiving -- Thanksgiving Valentine's Day.
Hockey game Atlanta Thrashers about fourteen guys.
You know propose so by the third period.
This is a hockey ground blood thirsty you know they want they want blood.
The fourteenth died proposed who is is bride to be a hockey game that wanted to kill the guy -- both album.
Throwing rotten vegetables at a market understand the -- and look -- proposed -- -- Yes yeah.
This second story it without two of the better there's a dealership in Lexington Paul you know Paul Miller Ford.
Unveiling five -- in 2010 mustangs Jon -- parties the head basketball coach at Kentucky.
Call party edition mustang selling for between 40071000.
I guarantee you -- -- -- come party.
In about states blue and black it's got its signature on the back of it obviously as a special interiors while Kentucky Wildcats DC with the see low hill hitting me now 70000 dollars for the -- version that's Roush racing version -- more than a month out.
One where he is and -- would by the -- out there for people right now fighting each other in the parking lot to buy that car I promise you that.
I promise you that right now with Kentucky right now the number one seed number two overall -- -- sat.
We're moving on let's.
Melanie Fiona is here Grammy nominated artist the basketball fan man good for you you to forward this -- Yes you have to -- -- And you know from two rounds -- Well you know you're from Plano yeah hockey -- whether that's you know I I -- -- you -- but.
By default and then you understand what I was saying about -- people proposing on I -- you know I I get it.
I -- -- but I think I think this something sweet about it.
So it's actually my cousin big hockey -- -- big hockey fan and they put a puck in the wedding cake.
I think or something along those lines it a little puck in the latest it wedding it was like pucks -- -- -- -- terrible accident.
Does it suit anyway.
We're just talking about how Michael Jackson is this like the eight gaining lives forever and what's it like to be an up and coming -- in the.
This business these things you know it's it's it's a different felonies at me you know braking is a new artist now and -- got a lot of different avenues with.
You know the Internet and online back.
You know it is there's something to be said about the quality of music.
And what -- putting out so people will you know support your career -- just you know one of -- songs or what.
You know somebody like Michael Jackson I think.
This is true testament to what it is have a career I mean even beyond the grave so you know it's it's a joint ventures have been of Americans right -- life.
And just happy to be doing and taking advantage of every opportunity -- completely.
-- I -- -- about the bank in 250 mil yeah I wouldn't write your favorite -- get it we talk about the industry all the time and how young artists.
Really don't have a whole lot of choice to say hey you want system you'll put together downplay OK sign on the dotted line here and you'll you'll take -- yet and we'll take the rest of it.
Is that an uphill battle you have to fight all the time when -- -- -- -- you know what's I think important is that you have to educate yourself you have to knowing you gotta you gotta figure out.
How you gonna make it how you're gonna you know we're you gonna compromise we can cooperate.
It's really important -- to know where your strengths aren't you know as an artist sometimes yes some some artists they they take what they can get beaten and -- figured out afterwards and sometimes that ends up hurting them and sometimes they can figured out.
Performing is really big thing for for artists you know if -- if you performing right that's really -- -- -- Right exactly concerts but clearly did some great running -- -- got a Grammy nomination for your first album you're open for at least keys again then that's it must feels like cell phone something a lot of things that I regret I mean it just feels.
Great you know with from myself my team -- label we just worked so hard for so long and trying to make something that would.
He appreciated by the public and and now -- You know it's fine Grammy -- that's great.
-- Toronto boy and -- with the LA for a long time for awhile.
I actually never -- it but let him until I lived everywhere open in my suitcase exploit if I didn't got to pick up and go to LA every ethnicity is -- -- -- so how does that affect your songwriting and just the way you kind of look at the world and writings.
You know being western in background growing up and you know multi -- city of -- -- traveling recording my album.
It -- is always had a very broad perspective -- you think of the world people of music what music is supposed to be so.
You know I always just feel like I don't want to be put into one box -- category of what music.
You know can appeal to certain types of people and I just want to make.
Good strong and didn't help you know you're playing this Sunday rightly at least at the annual jazz in the garden -- and -- so cool also an ankle.
This is kind of a difference on the map right sleep a little sad if that's helping that you're kind of branching out from the typical.
Yeah whatever crap is on every.
-- and it definitely you know -- -- the bridge is a mix of different genres in music from souls aren't the two rock.
You know -- a big music lover of alzheimer's so the beauty about that is is that I can pretty much get on any stage from.
Reggae festival to the jazz festival to talk with the least -- hip hop concerts and you know the music fits all -- -- -- -- to spin and we are the world for -- how was that.
The highlight of my career you just being surrounded by Sony.
Legends I mean Gladys Knight Barbara Streisand's when -- me.
As a new beyond the black like it was displaced.
He was designed as a and it was talking to you it was it was a real moment in history just to be recorded -- Henson studios the exact same.
With the original and now we're the world was done in Quincy Jones Atlanta average there.
Just from history friends -- a -- -- elbowing for position I'm gonna get right fronts and it's like you know we can't know.
This stuff you know like if it for me I was just like let I'll take what I can get out -- Gladys and I am happy to be dead that's out of up and regimen -- -- and experts are saying.
I was about three then my dad he plays guitar so he would -- -- -- all the time and time outs started singing along with him and then they realized OK you don't just loved me.
If you actually can say consent act to get -- Exactly.
At the bridge.
Com nominated for a Grammy is an important for you right now just to be nominated to be included in that group or you like I got when.
I mean no you know it's it's a huge huge huge accomplishment just to be nominated yeah.
Actually you know it's my first year out -- -- released artist and album just released in November.
And down you know the company that I mean for ever history to have Grammy nominated -- see my name is just it's an.
-- so I feel like I -- -- -- I will hopefully winds up along the way by the -- -- nothing there now and you know I mean yeah.
Guys next duty in Miami.
And at concerts I've seen it and check out these key in the album is the bridge actually at least he's amnesty -- -- -- -- -- -- yeah.
-- thanks having.
Burns as my cohost next the minds of the honor I ask myself.
We'll see tomorrow along with trees that's.
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