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Other devices that come I thought Mary -- hi I am crazy man that's Chris -- -- we are here and you dig.
So you can -- and -- is dot com website and on the Fox News channel's website in the statute and section which is all good so high -- fat people out -- Dow down 88 points.
You know I'm I'm I don't want to say that's not so that considering sentiment seems to be -- so down in the dumps lately I know Christiane like that because we've.
Unfortunately talk glass half and -- a lot.
But considering got a fair -- negative news is what closes on the rise in jobless claims.
It isn't even argue could viewers.
I think it is what it is still I think the it was the market seems to look for reasons to sell.
It it takes a lot of momentum forward to move up even though we have moved up seven days in a -- even -- just barely yesterday adding when you when you get that.
Moment of deciding to sell a whole lot of people sounds silly volumes would be indicative of that and that's we've gotten we've done.
Big days to the downside.
Smaller days continuously the upside -- a -- -- downside.
Just the Dow very -- -- up street David Martin had earnings this morning -- talk more about them now.
You know they're -- -- main street saved Wall Street right in those numbers that it was the consumer.
Doing better credit quality is better than -- JPMorgan did okay.
You would have thought that the rest of the banking industry would have done would have been listed on the JPMorgan -- -- and it wasn't so.
You know I think there's also a lot of worry about just trading block trading revenue in that in this let most recent quarter for the banks and yet we see elegantly Stanley.
Got that Bank of America city on Friday.
We've got so Goldman early next -- -- we're going to be getting these hard and fast rob Russell president Russell and company joins us right now from Dayton Ohio.
Rob tough talk as little about what you thought it -- -- what -- thinking on the market action here over the last couple weeks we had.
Six days or seven days to the downside than six days -- the outside a mixed bag yesterday it looks like today where we're heading in the wrong direction.
Yeah unfortunately our christened their -- for having me on today.
We've seen we've seen that kind of volatility -- last few weeks like you said.
-- I think the market is really starving for some good information.
I think the market if it was a human being it would be a glass half full.
-- a human being.
Unfortunately though the data that we're -- doesn't support some kind of a strong economy you know we salty the home buyer tax credit expire.
You know we spent most the TARP money it's kind of like kick in the bird out and asked to see if they can fly and I think the economy's slack and some things here.
Why don't let me ask you with that said we're looking for is so we're starting for some positive information.
I look at Intel I look at even -- -- -- with a -- -- -- And certainly JPMorgan this morning.
That's all good information are we kind of expecting too much maybe you're expecting more than we wearable flow and earnings -- -- really good to impress us.
I think it does I think we we need to we need that real real positive.
And numbers in growth and earnings reports yeah it was great getting that from Alcoa and even JPMorgan but look at JPMorgan stock today you know -- Their profit increased what's 76%.
You know it unfortunately the street -- -- said -- on the head you said we're looking for reasons to sell.
And I think it could be even possibly oversold right.
Okay so what happens going forward for the rest of earning season now are we gonna continue to -- as Chris said these high expectations.
And then be disappointed when we don't get them does that send the market tailing back down.
It very well could be -- this whole year's been nothing but a tennis match between the Dow 101000 have you noticed that.
-- -- and we're gonna continue to we're gonna continue to see that you know back and forth now but you know we work with people -- -- -- network people that are fifty plus.
So those folks -- our main objectives to help them sleep well at night so we're looking at.
We're looking at different strategies to help protect their life savings because they're either real close to retirement are meeting and every time.
You -- that I'm glad you thought you know then yacht club out of Rollins I'm glad you brought that up rob because.
We actually had email this morning and a -- and -- shows -- company that -- and Arab part of and it was it an elderly gentleman who said look.
Oh the retired people or close to retirement -- really hurting right now because he can't make any money putting money in the CDs or money market accounts these conservative vehicles.
What are we supposed to do and our answer was really got to change your investment strategy what do you tell people to change it -- can't take on -- that was more risk at that age in this environment.
In your right because you know your -- and and money market -- -- next to squat.
-- have their volatility of the market so people kind of -- between what we advocate to our clients is to build.
Their portfolio very much like a house and I called the fiscal house.
He got to start with a strong foundation and that's where you get your your safe your principal guaranteed accounts okay.
With the roof of the plan though that's free -- equities you know your futures commodities that's free future growth that's for the risk comes along.
And and in the walls of the plan that's -- use your alternative investments in -- vehicles that are not correlated to the stock market.
And having a blend between the foundation in the walls and the roof.
Serves our clients very well they did very well in 2008.
And I think having that right type of allocation what I call true diversification.
That's what will serve those those folks well had a right financial planner to rob quickly what sectors and okay well I you know it if your company I would bleed red white balloons so don't get me wrong with on a lot to say.
I really see opportunities outside the United States.
Because the reason we're seeing this volatility is simply uncertainty effort and on your program before.
Many times so in terms of sectors.
In the US.
I like health care because the demographics the largest part of our population is the boomers they need health care more than anybody.
I like the consumer staples as well.
But I think there's opportunities outside the United States.
In -- people don't talk about Indonesia too much.
You know China's middle class has just exploded -- who.
Who serves the middle class in China it's the Indonesians.
So there's and another way to kind of play China but ended in a different growth story.
Yet -- actually we are talking yesterday about how Australia as well is it.
Indirect shining -- you rob thanks so much your being with us and share your thoughts.
My pleasure rob Russell president -- -- coming out and they in Ohio.
And we get a key to the more about these banks and we are honored to have balloon -- does he does know this is your first time here in our new digs that honored.
Back and let -- I think it really geeky guys.
In a letter -- throughout my back it's killing me how tell us -- going to go to break and you can't -- I went through Moody Blues concert last night -- -- my fourth when you lose them there.
That's awesome for literally -- actually traveled out to the middle of New Jersey you're.
-- -- Because that's how dedicated I am an analyst and save lives during the vacation is Elizabeth during the break on all on the side -- -- -- -- -- -- -- takes him on Palin to blues song for you.
-- -- -- -- -- -- -- Hello everybody.
Look who's here and he a couple of my craft along with and I need not -- thing that he -- I.
It's funny -- is silly thing if there's Justin Hayward and they're just.
Can you believe it's just the little dance move that -- -- her.
-- gonna get hurt the other side since day.
The purpose was it every bit original member in the -- -- those Prius -- Everyone loves Elizabeth and love every minute you lose a good not right -- -- suddenly Joseph Biden now not everybody loves in my everybody general and I think he's created no lying down front row.
And I FedEx or woman saw them a hundred times a month and.
And I care either I citizens like the idea behind -- -- -- we're in the middle learning from the mine and a near Manila the other thought that that it serves now yeah this is a great story on its banks in general in the city you know specifically they're going to be coming out tomorrow with -- again I didn't -- -- -- -- And -- looks -- -- at nickel a share vs I think 49 cents or so a year ago and.
I think though Vikram Pandit life we sat down them.
Yesterday and he's saying that the government -- say that'll get out of date ownership by the bank by the end of the year they -- about 18% -- Citigroup.
And they know that bank of faith no longer careening around a hospital -- in the got to get out of the government's emergency room.
As -- set by the end of the year.
And it but he thing he's essentially say that they did the core earnings that power it's in place for the company.
It's got a global footprint that Mike -- the US bank and that's interesting CITIC -- at the better global footprint.
-- JPMorgan Chase and Bank of America -- -- well positioned to go up against.
You know far banks like HSBC.
This stock is still priced like an item on a fast food manufacturing -- -- you know and the insider that figure this enemy.
Why -- we -- for Allison chairman AIG is at 25.
And AIG also got a and the government rescue but by the way.
Taxpayers predicament and will learn about 10910 billion bucks unless you apply here to a term -- not going to be a bad deal for taxpayers asked well why is that what the answers that question what's it -- simple -- question it's because of it -- it -- Thank you for the question shouldn't dilution thirty billion shares outstanding because it -- for the rest of -- of it -- Consistently hit -- yes and that's up from six billion and you know this stock.
-- -- below the market value is its price -- for the consumer to win you -- not like it's lower -- the pets here.
Of the forty billion outstanding 3030 -- six or in this whole thing with our events of ours when no one -- well -- the other question Sudan as you say it's got to get the best global footprint.
-- that also means.
Spreading out of risk -- maybe not been -- -- -- risk is much and that is as much of a concern with everybody.
And any any right yet that the very good point and you know look at that CITIC Group.
It's basically trying to sell their try to asset strip the company down.
They have Belichick the -- of a France's GD yeah -- and ended GDP economy in the UK.
Let's put this in -- didn't he contact.
Is striking me about what's going on what -- really check had bounced in the stock market it has -- down in Washington DC.
We had 1010.
Of the country's top.
US bankruptcies of all time happen within the past decade five during this crisis.
And a number of them outstripped that bankruptcy of Enron you know so.
That's where -- and Citigroup anything is sort of like a barometer of what's going on the economy they wrote that bubble let up high -- -- five dollars a share.
And other writing it down there.
Over -- the consumer but you know what the difference though is spending.
-- -- city as the largest global footprint vs -- JPMorgan they had the crappy SP are about like people look at city as the evil demon.
-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- I'm pretty parent I'm playing the way people view city is the evil empire that Russell I don't give it to -- whereas if I'm an artist yes exactly how to act.
Jamie -- he's the hot beat the white -- he came in he was talking to the president he's he's -- seems to be the voice of reason that they attend going to do no wrong later this city on the other hand.
I think what kind of -- yeah Ronald Ellis faces in his had near death experiences.
Four of them since the early heat season -- collapsed four times.
So you know the thing is is that the crew did and yet and -- a catastrophe had sandy Weill's supermarket financial model.
Which was Willy -- little -- you don't tablet yeah he's just for the private equity model of rolling up businesses that had no cohesion.
Fifty different technology -- fifty different -- at Citigroup fifty of them.
And you know they have five different head four to raise that -- -- one not -- reason you know I mean so.
There are silos within silos within -- doesn't have that moment you know that -- Time Warner -- doing the same thing Dallas right -- -- the right.
It just seem to be like the cool thing to do at the time has standing up while it's safe to put Citigroup by the white knuckle right -- really did and you know now -- you know I think the sense from talking after comparing yesterday we've moved fox that as we sit down the that they're beyond the dark days there are no longer feeling like they need to fill the family silver.
He and his face authentication but we it has seen in as traditional moreover much more the traditional thing yeah operation that's that's good and then when mine and that's the -- Sent to us yesterday.
He said we're good at the end that we're going to be even when everything take advantage -- what's -- on American -- -- -- to sit -- tell you that someone -- -- and -- -- would.
Fold without the man that also flatter.
Certainly get to you.
As you like I was you'll lose maybe go back at her and my nose the FBI would fold like your back -- -- don't -- drag limited.
Many many I love your -- as exclusives cutting area city covenant banks -- that's well.
Maybe we keep talking about the banks now Matt Albrecht finance of -- isn't and hasn't CNN's imports.
Standard and Poor's with us now to to keep talking about this.
We got bank earnings -- We didn't hear from -- them we started with JPMorgan today Chris and I were talking about how.
They're saying that the consumer was what helped that their numbers that can be a case across the board.
Well I think it's certainly -- -- the possibility we you know we expected weakness in the investment bank in the trading operations and we saw that.
You know kind of uncertain results -- securities servicing and asset management and those -- consistently that and really the big surprise that you know the headline every knows is that credit reserve.
That the release of of loan loss reserves and that was really what drove that bottom line number and certainly.
I think JPMorgan is one of the better -- firm so they -- army be able to release.
You know have a bigger a larger magnitude of over.
Reserve releases than some of their peers may but you know overall we could see that throughout the industry is -- -- scene you know some similar trends their loan books.
-- you know we'd be talking body cells be -- tech Bellwether they may set the tone for some attacks that we're gonna see there in this earnings season.
Is it going to be the case that JPMorgan Chase this morning because we've got Morgan Stanley coming up.
Bank of America city tomorrow Goldman Sachs next week wells obviously on the docket -- well will they follow suit and also have good quarters or some of them gonna have.
Really -- quarters.
Well I mean certainly when you look at a Goldman Sachs or Morgan Stanley.
You know the big -- today from JPMorgan was that loan loss reserve.
Release the end JPMorgan -- I'm sorry Morgan Stanley entanglement -- don't have that loan book the fall back on the sale of the retail you know the result would suspect.
Got customers doing better this quarter and that's an offset the weakness in investment bank.
We won't see that there and so there's still a possibility we see some weaker results from a Goldman Sachs or Morgan Stanley.
But as far as the banks go I mean they each have their own quirks their portfolio and so.
-- -- you know you you mentioned Wells Fargo they've got the option arm portfolio that Edwards Wachovia.
Acquisition and that certainly kind of -- for them and so each each loan book has its own quirks and -- feel the differences there but generally I think if you look across their businesses.
You know better credit metrics -- nonperforming loans.
And you know weakness in familiar areas we expected there to be weakness and I think that's probably know that there trends are consistent probably cross industry.
Yes and that being said you know these banks -- their own little risks -- exposed the housing market was exposed to the consumer things like that.
Let's put it all together now on talk about how this financial regulation this new regulatory reform is going to affect the overall industry.
Do you know we see.
Already with the card act that's been implemented or is being implemented we've regulation -- as far as.
Some of the overdraft fees those are going to impact these banks.
Now the big question mark is and all this new regulation we really don't know I mean we've got the guidelines for we don't have the specific rules has really things that are going to be implemented over the next five to seven years.
So we won't know really -- impact for quite some time but.
We can look at and say look profitability gonna come down in some of the trading businesses because things are all going to be -- now.
With greater consumer protections means you know probably that the -- are gonna go up for a lot of customers that may not have had them in the past because these banks need to make up.
-- -- that they're losing elsewhere and you know.
They're they're a lot impacts that are really hard to determine at this point but generally.
Greater capital requirements more restrictions on what they can and can't do.
It's going to reduce profitability is just a matter of years now really before we know the specific impact and how these firms are going to.
Engineer new products to.
You know meet client needs also to you know resume and and and sustain their profitability.
Matt I think maybe as much as any other industry the conference call -- earnings season is very important -- these banks is not just about earnings and certainly is about.
Credit quality asset quality -- well what do you see across the board.
We have positive things and Jamie -- this morning but do you see trouble on the -- -- industry -- balance sheets in good shape.
Well certainly when you look at them compared to a year ago.
Though -- -- much better shape they've they've they receive the TARP capital than they were able to tap the public markets and raise a lot of capital more than they needed.
They -- now well capitalized regardless you know the Basil restriction regulations coming on the pipeline in the new.
Finreg -- that the -- voting on today I mean regardless of what those capital requirements are I think a lot of the big banks themselves are well capitalized.
And at this point when you look at the housing market they're still weakness there with -- a high unemployment levels.
There's a lot of uncertainty is -- the markets we don't know if that's a sustainable economic recovery are these temporary -- the rotor re you know we're gonna face the double dip.
Those are great uncertainty is right now and they've got to be conservative in the capital management they've got to be conservative in.
What they guide to and -- really that was I mean there -- some optimism around their credit portfolios but certainly.
A decent amount of skepticism -- well as far as what part of the cycle were in.
And you know I think that's probably prudent at this point because there are so many uncertainties I think going forward we're gonna see.
You know a slower but sustainable I think economic recovery that it's gonna have bumps in the road and we're not gonna see blow -- quarters every quarter from the from the big banks but certainly.
You know the from the conference call perspective.
You know things are looking up a little bit from a credit perspective and for JPMorgan.
Matt thanks so much for sharing your thoughts with us.
Great thanks revenue Matt Albrecht financials analyst at Standard and -- equity research you know we talk about these balance sheets.
Did -- mortar presence had a ton of cash on hand late.
And so the question is what do you do with it you know they're talking about -- increasing dividend to 2011.
-- -- admittedly saying I did get -- at that yeah.
-- it but you can yeah.
Actually killed us into -- eleven -- -- quickly adding him.
-- This don't think about it that much when I decided I tell you acquire.
-- -- let them to Disney about golf.
Golf and business.
On and then to come together what could come together this weekend -- play the open championship at Saint Andrews right now in Scotland.
Which by the way is a fantastic course for tiger -- was favorite courses on the face of the planet has won the last two.
Open championships they played at Saint Andrews -- a very good day today first round was today Tiger Woods five under par finished in the top ten.
But maybe even more notably is John Daly former British Open champion who is right now in the top five.
And you -- -- you gotta think Madison avenue is loving this setup right now because either one wins.
We'll have that scenario out as John Daly is a -- win.
What if either one of -- one.
I think Madison avenue and love it because they love the comeback story now is it too early for Tiger Woods that's my question for you John Daly hasn't won a tournament since 1995.
In you know AA.
He's lost he's had marriages fall parties and -- probably John Daly as being a train wreck.
But if he comes back to win you would love that because he's an -- -- we've -- -- train -- experiences in our lives just like John Daly.
But Tiger Woods Tiger Woods comes back -- -- -- -- except in his Madison -- ready to bring him back with -- that's my question for you you can -- for a little -- if you like you know.
-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- idea -- -- Irish as well I never want.
No he won the British Open but he has -- -- -- -- in that one.
Did -- -- Tiger Woods no.
OK so you didn't exhibit a that some might actually it wasn't this -- the burst open and he's playing against.
Tiger Woods -- -- well yes I was not in the -- that's placing is never ever as a back into the net head to with a win a major championship.
You gotta have really strong mental capacity.
John -- at this point and his career I don't think his game is is mind is in tune with his game enough.
To be able to play with the best golfers in the world for four straight days in an attempt by but -- is there a good time but doesn't have an edge because maybe Tiger Woods isn't mentally there because he's been with oh I don't know if -- women -- -- last year not now John Daly doesn't have an edge in anything except maybe quarters.
And in the final.
That that's what John Daly has an edge of a tiger -- -- epithet that at the buffet table.
And that that's about it as though some notes -- John Daly just.
And John noted by the the first one to tell you that has I was game is not into the top in a long long long long time five cents and then I will answer -- not your final question.
Yes that's an -- will take you back open arms because it we'll say we're gonna -- based on the fact that he is a damn good golfer and look he won again.
Came back and won -- -- loved and they -- this year and I say they think I say -- -- a totally different stick this time it's gonna have nothing to do with tiger the man it's tiger the golfer knowing known as you talk about what he does.
Off the green with.
Keep an this weekend if he wins on Sunday -- -- barely get a hero's welcome back here in the states especially for Madison avenue and it is yes probably not from his wife we'll take a break now.
-- -- -- And I liken it went on a 107 points on the market this after of course we -- flat yesterday and yes he -- not you know one point two upward of four points roughly flat yesterday -- The united databases before July 4 it looks for certain like -- going to have -- today with whom in this market lower for the most part it's.
Filing system to you do yet camera shot the other side of threes of the of the that it can.
I don't know what is about the new digs them and I mean I think the computer away from -- -- you have more time and in this case and I.
The coal late.
Look at me look at how clean.
Calm and collected -- spaces this is MySpace here violet a late hit in the van and he went on a road trip you -- the line this is mice side of the desk.
-- not cross on my side -- -- in -- and now goldeneye and perfect.
I am usually under state of or does Austin and I'm not -- been does look every time we got into the -- -- -- -- it just.
Okay okay okay did -- -- -- I -- not because it's a huge mover.
But because that was the topic today it was down about to present when I left my desk is strong results their seeing their recovering from their wounds soured loans getting better again saying main -- the reason it's coming back because the consumers getting better that means less delinquent loans.
Second quarter earnings though were up 76%.
From a year earlier.
That's some that Bank of America Citigroup though nothing really move in on its coattails it wasn't like we saw Intel yesterday it or the other day Intel.
Came out great earnings all the tech companies last CNN financial zone and didn't bring down -- arena pharmaceutical -- a Biotech company.
They have this study showing that their obesity drug is working.
Keeping things keeping it off better -- Jackson gave a placebo out.
And the drug and the drug worked I love these placebo test by the way I.
Because anything other than a placebo should work no -- the -- things is the -- the blank.
With a capital.
Mental thought of me taking a Willis it's gonna make me lose sweeten the -- been there done that no more could -- But that NY magic agreed to be acquired by -- say this is insurance -- deal.
But again backed -- private equity was seen a lot of private equity money come forward and Goldman Sachs is involved in the deal -- It's valued at about two point 224 million dollars but in my magic is up about point 2% this.
And that NBT why we were told about this earlier this is vitamin water.
They're gonna be acquired again -- private equity Carlyle group buying the company in a 3.5 billion dollar deal this is one of the largest.
Transactions to take place to take a public company private basically since the credit bubble.
-- in its infancy to childhood and a good point this morning about vitamins not being regulated exactly and I get that it's more like you know supplements.
Any health food store you go and all those supplements.
They aren't most of them are not regulated by the FDA.
Well and to -- earlier point all the vitamin companies are today ship all of them all up today I don't know whether riding -- or what yeah.
But maybe that's part of it.
And that -- M is up they inked a deal for BP biofuels North America to -- so there BP -- has been acquired uranium.
98 million dollars the stock was up 62%.
I thought I hit that.
And that's a good way to end it if you on that -- -- and gnashing -- -- Michael -- -- us right at record financial -- -- of the Cato institute and he's never gonna continue his -- -- with about earnings a little while ago -- -- talk with you about this financial reform bill.
That I guess hasn't moved through the cloture and in the senate and I know it's going to -- it did do that.
Age adjusted OK analogue no doubt we got to sixty so we got the sixties move to close you'll go to a vote will go to the president's desk as it stands right now.
There are no surprise that he really kind of acknowledge this is gonna look like for a while that's -- the banks are really not really taking it on the -- too much today the last few days but how detrimental will this really be for banks -- -- -- -- -- It's.
Good it's got to be a -- there's certainly will be lower profits they're going to be higher compliance costs -- this is good for anybody it's going to be good from bank lawyers and bank auditors and bank accounts because there's going to be increased demand for that.
So there's going to be -- cost pressure and there's going to be profit pressure.
You know it doesn't look like it's necessarily the end of the world a lot of things like proprietary trading there are tons of holes and it -- so you know this is not the worst thing for Wall Street I think it's actually far worse for main street and as for Wall Street.
So we're gonna see certainly some lower profits in this -- I guess we can at least say now the bills out there and we know that it's going to be -- -- -- -- -- past.
Yeah and it's interesting was it -- can't figure out what it's gonna cost them at the end of the day.
TV -- and didn't Morgan's earnings report today there was -- paying in 82 pages on.
How the -- -- reform will affect them in qualitatively and they couldn't they just couldn't come down to a number they have no idea.
Well one of the interesting things about this and I guess that goes against what I just set about to resolve the uncertainty but there's so much of this congress is taken to the regulators.
It's really -- Indian at least a year before in the S and in the SEC's got like fifty rule -- under this bill.
So that -- until these details actually get flushed out it's really kind of hardest thing -- the bottom line impact is going to be.
-- really a lot of the important decisions are going to be made by the regulators.
In some of these things yourself bag they can really and that really bad they can end up -- economy Joker -- -- not bad.
At all marked the populist fervor behind getting this done was really prompted by taxpayers having to bail out banks so that thoughtful that they had to bail out banks.
Maybe eat your viewpoint is this doesn't prevent that adults who they Don Nelson area.
Not -- -- I think this is bigger than the two biggest disappoint things about the -- -- it doesn't end too big to pay out actually continues to codify it very.
I think that approach if I was gonna be generous to the authors of the bill I would say that there approaches.
You can end its -- just -- but he clearly doesn't ended.
And then the other part of this is it doesn't and the bailouts you know there's some cosmetic changes -- what the Federal Reserve can do you know they have to get the sign -- the Treasury Secretary.
But I think we all know that for instance Hank Paulson was in the room every time that Ben Bernanke down out AIG or bear anybody else.
So to me that that's a non change.
And any of the bail outs that were done in 2008 can still be done this bill you know really doesn't change at all of course I think the authors of the bill would tell you.
Well we need that as a last case scenario but I I think I'm certainly skeptical about I think the American.
Public is skeptical that I don't really think is very strong evidence of the bailouts were actually needed or effective.
So this bill does not end bailouts does not end too big to fail.
-- at the bottom line is it just promises us at the same regulators you missed -- last time for somehow gonna get it right next time.
And came ready no mention -- -- -- those -- at all either have.
Not and that's maybe you know I think this sends -- this this sins of omission in this bill or worse than the essence of commission.
You know they really just leave out anything that matters Freddie Fannie aren't there as you mentioned and in -- their -- -- -- mention is when they get special privileged.
And differences as I mentioned the proprietary trading well it's all right to proprietary -- for anything any instruments they're exempt.
This despite the fact that most of what bought bear -- downs hedge funds were preach proprietary trading and Freddie Fannie instruments.
You know so that really even look at the details of making any change the -- -- No changes -- -- it scares me the monetary policy we see today is it's very similar to what we saw that led up to the bubble.
No changes there they they essentially punted on the real question of credit rating agencies which I think we're.
Big contributors to the crisis.
So but anything that got us here you know is actually absolutely -- so I I think it's fair to say.
This would have not have avoided the last crisis in a lot of ways this is sowing the seeds for the next crisis and in the best advice I'd give anybody -- this bill passes is.
-- try to find a way to protect yourself the next crisis is definitely got to come within 1015 years and.
And just quickly before we go out the process now.
I know they meet again -- -- but when do we expect a final vote.
Well bill the cloture vote is really what counted we'll get a final vote you know probably around 3 o'clock.
You know they're trying to make sure -- can get it to the president's desk this afternoon or are tomorrow worst.
So it'll be you know before the markets close today I think you'll have CEO -- -- final passage from the senate.
Mark thanks -- thanks mark now my pleasure my.
Andrea from the it was -- -- is getting -- up to date on his thoughts obviously not a big fan financially for reform bill in the big thing is that any.
You could basically sum -- up and that.
Regulators have the authority they had before and -- failed before what makes -- -- gonna succeed now.
And he's right the consumer's gonna get hit by this.
You gotta wonder though if the market reacts on the just the finality of it and my diet we're done we know what to expect we compliant we can be at a cost.
Yeah I mean whether they react positively in exactly the I think earlier in the wee bit Monday Tuesday we kind of said all right they're gonna get the votes and it seemed it.
Well if I'm wrong it's your right when Scott Brown came in alleviating pain because Susan Collins came that we were down we knew -- was gonna happen and you're up early in the -- -- maybe that was it the right moment we said okay.
There must not that's a break we'll be right back up continuing to talk about banks.
And we -- the level and other BP S and all the -- -- -- him.
Quarterback and Michelle Chris cutter Tracy -- Burnett talk about BP and then in the first you've got talk about apple in this big press conference tomorrow from mother California headquarters -- with a -- easier edit.
And chief of engadget dot com talk about that you will be covering said press conference now.
One of the big.
Knocks on apple over the last couple weeks is you guys aren't talking about this once you guys give us a statement about it the analysts are talking consumer reports is talking but apple isn't talking so what are they gonna -- Well they release a couple of really weird.
Statements they have set a few things but they didn't know what everybody wants to hear -- that is how you to fix the problem they -- they really haven't been getting out front of this thing.
Tomorrow at a press conference we don't really know what -- -- say I -- -- one of two ways it is ahead this thing's broken we screwed up.
We needed if you were probably the numbering about will replace it we're down we're changing the designers have been how they didn't say that.
But with the -- is everybody loves -- stone we've have a very minor problem with some units if you experience that problem come -- we'll give you one of these bumpers you know which.
Clears up the problem most people don't experience -- I think it'd tomorrow's going to be a lot of them talking about how great the product is that how well it's been doing -- how much people love it.
So I think they kind of just -- -- say hey.
A few people are having problems not everybody's out and then that's what I suspect but we we don't really now so it's -- -- cleaning session.
Who gives -- cheerleading session who leads this year I think he's going to be jobs.
I'm big enough fairly confident that he's gonna be.
Leading this conversation.
And -- does.
So all the while he usually don't -- realize that we have flown over the 2995.
Bumper that he did the Soviets basically just a rubber band that goes around the phone is 29 dollars you know the thing about the -- some people see it badly some people don't see it all I've had good luck with my -- I don't see the problem.
Lesson like with the government so the thing is you get the idea is the problem is created by by making contact between these two sides of the film which have -- -- antenna on.
You get something on top of that you know make contact anymore you're not causing any interference that's why the these -- were at the 29 dollars and frankly if you design a beautiful phone like this you know you go on and on about.
How great looking I found at any -- about how sophisticated this new antenna is.
Not everybody wants but this bumper on -- and I mean I certainly done and a lot of people tell us on the anomalies -- the apple they're also doing -- software fix -- and they've got a new update coming at me.
Fix some of what people are seen.
Yeah you know so.
It might not be hey you've got to put a bumper on May just be you got to upgrade your -- this but it is also this is really the first time in a long time apple -- -- taken a hit.
The PR perspective on one of their products and it will be interesting to see how they deal with they had went on.
-- -- it is in the other things that they they're growing and growing you know apple -- the small little company they were few years ago.
With the iPhone.
Everybody has one you know your mom has one you -- -- -- goes too far well a lot of people out of that.
So now it's it's apple I think is not well versed in -- -- And big PR problem like this on a large scale so I think they really needs -- -- they've got to do something strong tomorrow.
Hopefully they're gonna say we have -- -- a software thing or there are few broken units.
Bring him back will get them swapped out for -- -- -- but we don't right now it's anybody's guess what they say were recalling them.
I think to recall it's really unlikely.
I mean -- -- they'd be admitting to -- detective systemic problem which I don't think they're gonna do I don't think it's apple style and lets it really is no other choice.
I think -- I think a recalls by the least likely of of all things can happen tomorrow I think most users are happy with their -- I think there's a few really vocal people who are experiencing problems and they need to address that.
They sold one point seven million units in the first three days and I understanding is -- so somewhere around one millions apple doesn't release numbers.
So it's always a guessing game release numbers on their terms you don't see it's when they want to make a statement.
Yes -- the probably say hey we've sold four million of these things we've sold five million of these since launch which would be a staggering number.
And and they're going to say most people.
The vast majority of the uprising in 99% of our customers have a return them are happy with the product and haven't complained about any antenna issues and it toppled does -- say they talk about the really good stuff first.
He forever addressing.
-- also saying that they might come out tomorrow and announce that the new product gore knew something in the pipeline sort of again to camouflage this whole.
-- there wouldn't -- a lot of yes.
We heard some rumblings though maybe they'll announce -- Verizon iPhone I just think at this point they need to put a period on the this sentence that is.
-- this enterprise broke and and then they can talk about another product I think he's -- to -- as far as coming to Verizon people would just say -- great a broken front I have to Verizon.
If you've seen those dot commercials to a Washington -- in the shadow under those against The British Army set you'll know that.
Other car companies look to Toyota and said aha.
Now we got you're gonna take advantage of this will win.
-- motor roll some of the -- be able to take advantage of this or they still so far behind apple is just a done deal I think that they actually have taken some shots there's there was a Motorola -- -- took some shots has said from the -- you can hold the stone however you want an idea get -- new -- act to get noted how everyone Nokia actually I did.
Did a blog posts and and said hey -- phones you can own any -- you want but I mean.
That's pretty that's low hanging fruit really for these guys I mean -- done a great job with their Droid line on Verizon -- a lot of Verizon -- out there.
I think you're doing okay on their own of course it's great when apple stumbles a little bit and you get a chance to come in and say -- Our front is it happening these issues -- you need a phone that's gonna reliably get reception.
You know check out destroyed his -- and we take shots it's literally down.
It's as terrible as that CN parent are you.
I know you -- I know you capitalize on the opportunities you had its recent low hanging fruit I was -- and.
I mean why not he doesn't give a little kick in the I mean just good to see it in this case got to keep from -- engadget.
Dot com check it out the latest on apple was going to be covering -- whole -- -- -- you know California 2 -- 1 o'clock eastern time 10 o'clock.
At 10 o'clock not central to a specific time yes yes and those tirade I was back okay.
Adam Shapiro joins us right now he's and a little you eastern time you incentives I'm Adam even Africa where are -- Chris is not use -- -- in the world is -- and it is game throw a -- I'm in back in myrtle grove which is also port sulphur Louisiana we are back on dry land that's all that matters -- that rock and on the but I -- -- you see you back on -- overdosed on Dramamine it off and end but there are a lot of people who are not.
Well over this week in trying to get this thing fixed and it just seems like for once actually that we -- getting news almost every hour that things have changes that we can apply -- Pakistan -- where are.
Right right OK this is where we stand right now that is the cap is on.
That test that began yesterday around 330 they stop because there was a leaky valve.
They remove the valve they fix -- -- they put it back on.
And now they're going to begin testing the cap now keep in mind yet three things going on here first the cap.
The cap if it works would have the potential to stop altogether the flow of oil and gas into the Gulf of Mexico but that's a big yet.
Second they now have the possibility.
Of collecting a majority if not all of the oil at the top of the that flows out of the well take it to the top of the Gulf of Mexico and put it into different tankers and wells burn it off.
So that is something that is in place although would take him awhile to ramp that up.
The third issue and the only real issue here that matters to the world I would guess is that to kill this well once and for all.
But put it in the ground and -- it.
Never have to deal with it again the relief wells that are being done they are literally.
-- five feet from the crucial turns and they can intersect that the leaking well.
Still about thirty feet from the actual intersection.
That will not be complete until mid August if it works.
So -- that those -- the way things are taking place right now as I'm speaking to you oil continues to flow into the Gulf of Mexico although they are getting some favorable weather conditions.
Which is keeping the oil away from shore at this point.
Adam thanks man thanks Adam you've got it -- -- -- immediately be I know that changes every ten minutes I can't keep up.
This is what I'm seeing how do you believe anything -- I don't know I mean I don't so I'm -- and trying to.
-- need to move than than than than thirty feet in the next month and they don't even though it's gonna work -- do you carry the well is it me or like could I have done a better PR job with this company because.
They come around they say we've done and next day they come out when he had not much and then and then about a week later we -- again we did it.
And you -- it's probably the worst PR job but I -- ever I mean when you talk about I wanna get my life back.
Yachting and his CEO hasn't -- idea and I think that's the course I mean this is where is he all right ever -- It is never thought it's been two months of nonstop gaps if you will buy this company stock and and then all the stuff you're here -- about the people.
On the ground who aren't getting their sex or the people that want to come in with products that work they're not letting him in like what.
I think the current time we got to -- quick break look at how far out shining my head is it's like I dumped my head in the oil -- down there in the gulf like -- Now I say it means I've got to fix that -- -- -- I -- buddy Chris cutter Tracy Byrnes.
I'm like I'm trying really hard to find you this chart it was such a great char and I will find it was show's over about how.
US our last guest if the others.
Were keeping up yet rim and and -- -- start.
Act -- I think it was.
Goldman Sachs and put it out in a stock appreciation that deal now it's like phones Apple iPhone here and thorough analysis here and -- knew like bad recently since 2005 when the -- started you see the extent of the iPhone.
And the only make up what we -- single digit percentage.
-- -- -- believe me talking about here because for example Nokia so he's actually an awful -- of phones around the world but not as many here in the states -- -- -- -- big differences.
It's a little behind there cell -- might -- some brand always leave.
I'm just saying iPhone is off to the races and they haven't even tapped in to for instance when you.
Does that look like Iran and not on an idol didn't get -- that we're gonna get to look what they've done a second.
Earlier today on -- company -- on the fox does -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- And I said what -- -- Thomas said.
I hope lord doesn't strike you down because illustrates again at the -- tech guru here -- -- -- all kinds of difficulties.
And I better.
-- get out my kids the avenue and back about it in my second gives.
I can't find -- -- story on the web I'm so bad I'm terrified of where you are on the -- caught my -- as in New Jersey residents.
My -- cuckoo for Google Maps -- -- new -- teaching hospitals are campaigning to be the sole dispensers of medical marijuana.
Medical marijuana is legal in my funds in New Jersey is it right now and then went but it is -- illegal it's almost positive legal already so his underdog and -- diligence and obviously still listen the play and basically says that what the university school and environmental and while the differences.
Would be home.
Of all the medical marijuana.
Really often read between Syria -- arms and would it would basically be the alone farmer supplying marijuana to sixteen of -- largest forty teaching.
Hospitals in this and -- he Robert Wood Johnson in New Brunswick seem barn -- this.
Usually hospital and in Newark so basically.
About USA sixteen and if -- largest fraternities on -- Think sixteen point largest teaching hospitals in New Jersey will get medical marijuana grown by Rutgers University.
Sixty of that yes yes is it looked at other largest teaching hospital sixteen -- in New Jersey.
On -- and so we're going to be nice -- wants to be the sole supply.
Well not records.
I take that back to teaching hospitals want to do this all in record so I'm not gonna blame the record president for this but it's a money maker for -- -- -- about.
Okay yeah and that's that's very good point they're gonna get funding for this and all that kind of good funny element.
Would you -- your -- -- -- and if you do most.
The largest amount of marijuana you couldn't get in New Jersey will lead.
At the allow me read it again for parents out there in -- record university's school of environmental and biological sciences -- we -- applying.
That's cool media in my eyes and community if it is high school seniors right now and think about going to rikers.
In Houston I got that call right out applications I know it's.
It's pretty crazy -- that's what it's a money maker precedent if Obama doesn't do it somebody else's then it.
Right my -- in coolers and another school in the majors he.
The Rutgers made my this will grow at Rutgers are growing and I would throw -- already -- -- at letting it happen this program in place if it means.
It's a money maker had been you know defending -- if -- if they if they decide to grow medical marijuana they're gonna grow it somewhere so grow at a controlled environment at Rutgers University.
There's like thirty fraternities and records you know -- and I'm sure there's plenty of popping and smoke there already with moderate to Denny joins us here on the desk.
Founder of -- market and online marketplace for organic products.
Not including not.
Not candidates may not Karen bass -- -- -- -- -- -- This can't shower curtains you know very very popular I mean Hendrix Alec and shell -- when they get what some people.
Know you'll personal than -- you can't make in the US unless maybe Rutgers opens -- and I think the country ahead shower curtain just can't grow them in the US we've got to be important which is really unfortunate because -- sales thru the roof.
We have a company that -- -- that's called being products based in Chicago I mean being union products but find a money market and do a search first and shower curtains.
And they're cutting and sewing these sharp turns in Chicago which isn't done anymore and people are doing this in China they -- anywhere but Chicago.
So we've got a small company making products in Chicago and sales -- through right now.
Now -- market is it just this is us that's of one product of many did she -- market.
Essentially you guys aren't online marketplace.
-- small producers that don't have the economies of scale that they're own web site of their own distribution whatnot and it's all organic.
Products right correct natural to organic natural to again -- necessarily have to be -- -- correct to correct.
So think of whole foods but imagine if those online and a wider breadth of products he had a shower curtains.
You got your personal care products yourself or lotions and yet it's poised to got snacks.
And what we're seeing people come just looking for one product -- aluminum -- deodorant very popular now to -- -- norm.
Big debate in the industry.
-- original -- -- -- on this and I think.
Yeah I'm just hanging on each person carries an eye out checking girl goes out of aluminum free deodorant -- again you know example.
Cancer looking for toys that they feel good about -- kids using putting them now also played alternatives if you will we've got a great but -- me out of recycled cardboard.
It's Stewart's base -- these -- for the multi box for its you know recycle cardboard beautifully designed by comical green lullaby.
The looking at their toys noticing it with and is a great personal care for me to -- can pick -- wall on here.
The -- for -- is very very important so.
She's -- people understand -- -- Etzioni organic.
Similar right yes.
Yes very good -- no -- who we met people from Nancy.
Talk a small businesses so FC east were crashing out of crafting good -- -- sell it on Etsy yank Chris said it very eloquently thanks for coming that don't have that.
Basically the cost and take the stuff to China send it out -- the team's.
So -- I come to you I have an organic.
I come you had a -- how -- -- make a deal.
You come -- -- would make the process crazy -- I'll upload your putts on -- you send us a sample we have stepped prove your sample -- -- -- review process if we accept your application and as a filtering process there.
Then we give you passed without clear up put your putts on -- the world who were specifically looking for companies that have story not just have -- -- are excited to tell their story.
We want to know the two women who are looking for the perfect toy for their kid couldn't find that the site ability themselves -- -- we've got 24 year old who started so lunch is often a farmer's market New Jersey.
Name of the company bunny but.
But he loves -- not -- -- but the but part to those bodies and it's you know it's -- didn't like -- -- and that she's upload -- pox on fantastically low on the site and as you said she won't have the marketing distribution right.
Money in the million dollar budget the Procter & Gamble will and we provide a place where her customers -- looking for products.
It's that sits -- you what do you make it again organic little -- learn something like and I start time of the day.
Say she's got this thing is she tells it was organic had a you know it's organic that's a big problem right now is in -- out of one's interest that a lot popular -- -- -- organic.
Got to be where possible.
Right -- and it is an issue.
Highly recommends that companies get certified by the organic -- associations there are various certifying bodies out there.
And a whole foods just an issue -- in the paper this morning.
We push you to be certified by third party not by us because we are a bit biased third party that's already respected in the industry.
Try to get your product -- we know customers are looking for your point yeah.
Some on -- -- so there's food there's holds a few -- stuff for babies I'm sure the baby stuff.
He's -- and I got to believe that yes there are moms who have told us you know what I had my -- I'm thinking about what's in my house when I clean my house -- we've got to furniture polish people don't realize what they polish there would -- -- -- from terrific amount of toxins that reflect.
So they got a natural furniture polish and then it goes to their toys the bottles they're using the food.
The clothing a lot of great kids clothing out there -- these T shirts me out of organic cotton.
Is that the heat -- he is because of the yet to keep deny -- keep in mind your customers.
Correct -- you know what we're not seeing nothing -- cream there is this perception that it's very expensive.
Maybe a small premium what we're doing to deflect that is we're trying to -- people to share.
So if you share with their friends with just puts in there you know August is to show them what you're shopping and they'll love to rave about the natural putts they just found.
Especially -- exactly exactly -- the sharing program so coming -- -- -- give -- conservatives.
Had they go.
-- -- -- -- -- -- There you go to share with friends.
You pass on this count your friends get shown what your shopping to get -- show you what they're shopping for its work fantastically well about 50% of people show up.
Elect to share with their friends and know that are you making money.
We are making how you make money.
We're making money because we take it -- that transaction fee every kind of ourselves so there's no upfront costs that were in it with these companies.
When they succeed we succeed -- -- consignment.
Yes there's we would look at it and it -- continental and I use correct eight months now eight months now already -- and he was your grandfather.
My co -- his grandfather -- -- yeah.
Arms on the west side of Chicago and -- -- and thirties -- every customer by name knew exactly what prescribed and that's the feeling we're going for here.
Kind of -- get to know you homey feeling.
But you know mainstream America this isn't for.
The Berkeley California person than buying organic 120 years this is for the mom was saying I'm trying to think about what -- bring -- -- my house helped me out and by the way.
I'm not gonna sacrifice I'm not gonna sacrifice about -- -- -- -- -- The design you know he's this process very well -- it's aids AV EES market dot com at the -- say.
Let's check out and shower curtains -- -- -- off the air here who exactly Amundsen who then you.
Vision down from -- markets -- into one final look at the market before we get data here down 88 points that's -- that he called karma that's exactly yes.
-- that better and how it is just barely by percentage points.
I love it we'll see Obama.
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