Wall Street Hit by September Blues?

" You know there to talk about. Again like you said how to play this market -- Robert crazy couple big stories are following putting fighters in the Houston area -- in the -- me you know would. This was sort of a release their pay two point three billion dollars the biggest ever settle with the Department of Justice freight. Health care fraud. Settlement with them invincibility doing a sort of off label. Describing and that other uses for drugs basically the size -- one has been approved by the FDA the Food and Drug Administration so this is something you know obviously. -- so expensive to manufacture drugs to come of the new Blockbuster drug that. Doctor companies like to find other uses for the until they can obviously and increased sales before they lose their patent in the generics command and other -- want competition so. This is something that drug companies. Do from time to time they just the winning officially do it in him are found to be officially. Doing this without FDA approval obviously they run afoul of the department of justice and other so. The FDA obviously -- is two point three billion dollar settlement that was the Baxter drug which is the main offender here. Was a pain drug. That was actually pulled off market back in 2005 this is a -- going investigation involved several other drugs to schizophrenia drug antibiotic and another Blockbuster pain drug. We're involved in this but something to watch on they had alerted investors to actually back when it reported fourth quarter earnings of sort of a footnote. The dead set aside two point three billion dollars for a charge to. -- percent the other big headline of the day came before the open -- at the ADP. But -- employment portrait -- drop yet was much bigger than expected not always the best. Harbinger of what we're gonna get on Friday from the big monthly jobs report but nonetheless people like to see what's going on in the private sector here -- To meet one of the things jumped outside from the fact those 298000. -- we were looking for a drop of 250000. Was what we're still seeing the the big drop in small companies of about fifty employees or fewer. I would add these companies down a 120000. That was the biggest drop of anyone of the bigger companies and as we've talked about from time to time. You remember back January through march ever even December through march did the number of sheer volume of 501 -- 1000. 2000 jobs we're gonna be cut at a time for companies that really. In -- we've seen the big companies really came through. You know it with them with a major acts if you will. Cutting earlier that the small companies in the incumbents still been laying off and now to me stood out 120000 the big companies only lost 60000 -- that something to keep it on that. Small companies and in a great breakdown I I got research and an economy showing that. Entrepreneurs and small business owners that they -- by earnings have really been dropping faster than employees of other companies have. Over the past several months that's something to watch because yeah obviously small business owners create a lot of jobs. That's an area that's really still be feeling the effects of the recession which may or may not have party ended."

" Maybe you might see productivity numbers Opsound that a six year high annual rate -- his his election to get less work for just -- that people that are working are working longer and harder and shall try to keep up yeah. Productivity increases --"

" And give that productivity report also something else you had them deliver cost. Dropping bigger than expected so they're not paying as much out to those who are there and hourly compensation. Adjusted for inflation was down 1% the second quarter to keep an -- The wages a lot of people are watching that of the hours worked did take up slightly last month. In the monthly jobs report but on Friday watch that because it was coming off historic --"

" You know marked his mention mark Lieberman our consciousness is that the T about compensation basic compensation talks about the hours not the actual dollars that you get what drives wages right if you working more hours are going to have more cash my theory is we -- in theory. We'll we'll overlook we're working more hours than we did in previous months are competition looks like it's higher because in more hours because he cut her hours cut back fanatic coming back that we may not be paid. More per hour may not -- acting races right you know that's that that's a different."

" We sell real wages dropping by what the -- fifty years last week so just -- and keep in mind we're looking for the consumer to come back we're seeing industry coming back. But maybe that's one of the reasons the market shrugging off when you CIS and number that you share. We're expanding in the industry but the consumer still not there because they're not feeling it. It dancing one of the reasons even though people that are I'm pretty -- recovery -- are pretty very very slow recovery start Robert thank you very much Robert great starting us off today again. Our -- take vice president and exchange is still ahead and up next bill dale from church group will be here. To talk more about the markets and how you can make love of money this is fox this is dot com life."

" Of their dale is here he's the CEO and chairman and that your X group -- I feel nice to have you as always and that's me that you know I was looking at -- that the yet your pre interview notes and how often taken a look at the markets are seen at the markets have been fluctuating between positive and negative territory than -- today. It's at about seventeen dollars. Ninety an 1850 leasing this is really going to be the stories sleepy summer yet but for the fall you gotta look coal plants that."

" In a trading range really since the markets took off back in March it's been a wider training range has been collapsing into more narrow trading range and technicians would know this is."

" And so what's called coil or trading and -- them declining trading range. Operate -- these areas can be very dramatic they can essentially shift major sentiment town move."

" I didn't get to visualize that they had classes that go back and forth throughout quicker than all -- and boom it's like springer is just getting loaded loaded up."

" It's really -- function of top price discovery is how the markets actually work. When markets trade sideways for a long period of time it looks as though. Volatility so down and and the mare sleeping but what's really happening is -- Bulls and Bears her. Building up positions are getting more more people are betting that the market's going to go up more more people of that market's going to go down."

" What are breaks out of -- significant significant range."

" Everybody is wrong dog pals on the other side and get these major break -- they're one of the."

" The greatest ways to make money quickly to market did you think is that we we follow -- within the school boards in the oil port every morning action -- Washington -- market and it's interesting you haven't seen these dramatic moves. And cooled -- it's hovered around 950. It really you know despite any real moves in the market you're not really seeing tightening up pregnancy -- great --"

" That's right even when we were going up to around a thousand we were always trading down around 800 middle part of that. Around 9:50 incidents -- the central area where the market has sort of been. Suggesting that this is a fair market price for gold over looking for the key events that can actually start to. Break it out of that range. If we break up to the outside looking around 935 and holding them for a couple of days would break -- to the outside reading closer right and yet to break -- to the upside I think the outside talking back to be around 1100 dollars we immediately knew I -- gold and that and that there. Well the message unfortunately probably is a little bit more fear coming back into the marketplace. But having said that to me a lot of messages and it depends if you're traitor you really don't try to search for the message to search for the trade. If you're really trying to look at it's a harbinger for where economic. You know where the economic trends are going. Be careful because schools need to -- a couple of different false warnings -- inflation's around the corner. Or can tell you that this fear on the market. Right now I think inflation be good thing for this market didn't I would suggest that were actually in the recovery -- you think it's more -- future business because that there's no sign of inflation yet there's all this talk that it might be there in the future but there's nothing yet it's happening at the commodity level but three going to watch inflation as credit markets improve your service here in. In the global commodities -- shoppers this sugars and look insurance and right by."

" I mean it's -- crazy taxi and it's."

" Senator Kerry as well whether element eyewitness it has LSU that -- on India right well in Brazil it's it's the input for ethanol which means trade on energy and in India and it's you know lack of -- that. But but the two together you've got inflation and that we're not seeing it natural gas for not seeing it in agriculture products here in North America so we don't have the demand in North America."

" Impacting local commodities that we are definitely seeing on the global markets."

" Good thing to watch along with the commodities so obviously is currency so tell us. Where the next move big move is in the dollar first ship adversity -- safe for example here -- we can also talk about the Japanese yen in the elections have been happening in Japan. Lately but this is all this talk the bigger picture talk is over the will the dollar read. We remain as a reserve currency the world all of further out in the near me how do you resolve this but I think. It for its involvement you can look at currencies you want to ask yourself one question my -- them trying to make money over the next week that might gain is that right play. Or do -- want to find out where the tide shifting -- sort of make wealth by. Getting on the right side of the time."

" The tide is definitely shifted towards a negative US dollar because we're issuing so much debt. By the time we get out this time next year we're going to be talking about deficits and debt levels that are at authority at record levels from that he's talking about a huge issuance of debt."

" The only way you really work your way through that is through general are hopefully a gradual devaluation of the so little really weak dollar mean and over again not to in the next month or two but over the long term we're we're the dollar. 42 -- or thereabouts against the Euro right now what are you talking don't you say in -- real weak dollar. Humble basically we -- we're talking -- a weaker dollar and 10% lower than where we are today okay okay now if we're looking at that you're gonna get some political pressure pushed back from Europe and some of these other countries that'd be perceived as losers in the -- Because they're all trying to everybody's trying to get a weaker currency -- an excellent export their way out of the problems they have so you're gonna get a little bit of at this not precipitous."

" Then it's going to be -- that the market can injustice we go along. Watch it though if it starts to run away from itself because that's when you start -- interventionist which starts with. Groups like the G-20 meeting coming up finance ministers this."

" Leaving the next question Peter Bryant is going to come on talk a little bit more about that but. We know the treasury secretaries made few comments about. Currency and -- in relation to China and in relation to -- overall the how we should feel about her own currency that ahead. What do we think his options are at this point seeing this season that it is set yet you know. How how can he can -- that's what I think happened yeah I think basically what's going to happen you can have a lot of talk and continual talk around strong strong dollar policy if only. To ensure that the decline is not precipitous got as an alien community a lot of posturing but -- hopefully it'll now letting it go down that it got help."

" Exactly right so and I think everyone knows it's on the on the way -- conversing in major shift to talk but Japanese lecture. Think one of the real thing to watch -- Japanese election isn't going to be US versus Japan are we going back. Maybe you know we've come a long way in the last twenty years in terms of relationship with Japan."

" I think what you're going to start to see that was a realization. That the new consumer the next twenty years is going to be in China and Japan exports are going to be starting to focus towards China perhaps a little bit away from United States' rights. -- go -- and having an."

" I was just going to follow on to can't really quick yet is when the policies of the new government coming into Japan is that. A lot of incentives for the Japanese consumer an eye on necessities on on a daily basis -- I don't on what basis to try to get this consumer to -- spending and we see that apparently we should say that the comparisons don't work believe she is sentenced. You know and sentenced here Republican because the focus for print or programs so as we're trying to make sense of it ourselves in the what was left -- a consumer."

" I think on the consumer side I think you're going to see a lot of pragmatism in terms of trying to do whatever they can't."

" What they have done in the past obviously hasn't worked so they're going to try to stimulate that to whatever extent little harder to do in Japan because if you look. Think of our baby boomer generation I don't like the Florida -- baby boomers -- there that'd be."

" They're kind of where we're going to be in twenty years in terms of their populations dispersed so they don't typically have a a strong consumer base to two."

" Drawn in the first place. I think what you really going to start to see is. Is Japan's future going to be based on exporting to the United States wolf the US consumers becoming what the Japanese consumer was twenty years ago. This is going to start to look at China and other and they."

" More -- any do you see that pattern being repeated by our government more incentives for consumers and -- based on what we're seeing you know the part of our dollar it's weaker yes I think -- for our our own communities getting into that it's not."

" Why did you speak and some really important that is are we going to be looking at another round of fiscal stimulus and and to that extent I think what we have to see -- degrees she's turning -- small bugs but. And if we can see industry starting to pick up on the spending I think government will look towards an exit strategy."

" My hunch is a surprise of coming at a G-20 will be a reaffirmation that they want to continue to stimulate the markets right now there's talk about."

" With all these green shoots in small bites that perhaps they there isn't -- political incentive to move forward. With a follow up meetings that'll take place in the Pennsylvania. But I think that you're going to find that in this fire's not out yet and I think there's going to be consensus around."

" And because not yet done to your earlier point we as you. A world community become more reliant it seems on the Chinese did you people so they're going to pull SATA that you talked about the the Japanese looking there -- said as they are. Exporter of choice of the American consumer slows down I mean for us to write to me for years last. And and it it inspection last five to ten years the talk has picked up up. Hey let's take advantage of China as a consumer market not just you know the export and you can do in the in the these cheap labor and always kinds of things that we know or. Have been there for forever but as a consumer market it hasn't. Taken off yet but you think it's about to -- a writer I think the pair."

" Levels between the 1970s right now aren't credible and take out Japan in the 1970s putting China."

" We can learn a -- well we didn't do right with Japan in terms of our trade -- policies going into the 1980s the tickets the end of the 1980s to turn some of those policies around."

" I think that's really where focus needs to be on China right now trying to get those markets opened up to a connects for US goods and their kid."

" It's going to be difficult though because you start from the much cheaper and."

" Costs basically talking iPhone really reject a document and China center on right here -- that's our edge our edge is we've got brand names and a lot of friends in China. Yes it's a decided that the generics -- for status symbol exactly right --"

" Big publicly -- were to leave -- that that is -- to Asia that. They -- the impostor Levi jeans to totally cannibalize business decision that -- and that's a good opportunity for entrepreneur right."

" they can create new brands that we start to adopt over here as well I think we're in the global economy it's going to be an -- plant in the next ten years and absolutely what we'll have you back over the next ten years time I went and what area are up at the extent that. Bill bill pedicure experience become rescission bill thanks a lot."

" So it becomes a somebody take what experts can be attacked a tape of I don't know it's really it'll tell us mixing and get tenure on the -- girls on the floor well cannot yield and feel attention here."

" Picking -- called for you have kept our let's go it to the New York Stock Exchange next as we continue foxbusiness.com live what we're still to come including. --"

" Coming up -- above eighteen on the east coast you know that he existed. He has whenever illustrious. Spades. Photographers experts and that too. And that he brought it into the region to watch that in fact that some labor they were heavily pretty special might. And it features and that some of these guys. If you get like -- you're talking about -- so veto glass bottles -- supposed to look like good wins may wish to have someone and evidently didn't happen. -- What they tell us you know we will we will quick questionnaire viewers out there hate that person September. You know really a hot it is there really occurs. With your that."

" I don't think there's occurs I guess -- yeah. It hit one of those months ago whatever regions that difficult month but I think it's a mistake and really it's a mistake to assume. That because of September has been. Every now and then problematical and then of course always followed by October right and -- people immediately go back to October of 87. And I mean my package then that twenty years and we still worried about October. I think get not necessarily what his pants that kid did he assumed to be pro life. September or could it turn out to be terrific month there I mean certainly the markets put on a marvelous performances. Since early march and there's no reason to assume that we're going to come off the rails here even know were probably due for a little --"

" migrated to the point that we shouldn't assume that it's not a foregone conclusion because a lot of these things are. You know you're playing with statistics although it is odd that September is down more than any other month and it's significant. And that way -- last September was an absolute nightmare Lehman would collapse everything else but let's just talk about this September in this market right now that she said. It could continue to go higher but it Teddy had a heck of Iran which still would make sense says started yesterday -- back -- little to admit."

" Well I mean I think you have to look at it today from two vantage point number one we've had a big. Percentage move off -- what turned out to be done loads at least we hope that the -- Late February early march but if you go back to where we were at the ended December 2008. Yes the market is up but it is up. In some cases single digits are very -- in the very low double digits and that is certainly very respectable. And I I suspect that that that is -- more accurate statistic tend to look at. But based on where we were in March where we are now considering the fact that we've had this very strong move -- very little correction we'd had. -- some minor correction it turns out to be minor. In early July you know member we closed. He ended June June 30 I think it was right -- the recovery -- we gave back a little bit in early July. And now we've been sort of on the run straight up since. Since the 16100. Level. I mean nothing goes straight up we're due for correction no matter what the rationality."

" And Teddy I'm that you're -- it was their writings are bored earlier -- said it it is this really is September thing or is it just and timing you know every even every recession. Patents at timeline because you have to break out of that eventually may not be beat because of anything you do it this. Time passes and things change and you had to say that I that heavy."

" Exactly -- I I think we all have to accept the fact that they were really nothing rational. About the stock market and an end and by the way there's probably not -- no. About. Out of day to day basis house factor price and the reason that their rights so much there's so much human input this so much emotion. That drives the decision making process and that and that. Decision making process is going to flip flop on his second the second basic. Based on headline news -- financial news world news whatever it is but. We know that markets don't continue in one direction forever right market always get -- they get -- they get oversold. What's a fair pricing for the market your guess is as good as mine does not -- your viewers to."

" Because of all those things -- that's why sometimes we get a news item like we did yesterday for example of manufacturing and looks on its face be good it is -- recession. Either is ending or may have already ended. Good news right the market sells off huge statue percent as a watch the stock market down while you know what it ran up 50% before that so yeah it's got -- of this -- So how does that set us up -- for Friday and the jobs report. Are we set up kind of with this bias sometimes we talk about the fix being in other words. You know you could find and -- reason when the number comes out. For the market to sell off -- rally had no matter why you could spinach in -- in the direction and and make haven't makes some sense even if it doesn't so. What's the bias in the market heading into this job for."

" What do you think well I think got clearly at with the market at current levels and and but the fact that we are in September. And we've had this big move. It is job number turns out to be. Not as good you know we've been dealing with a lot not as good as expected members now for the last six weeks but at that number turns out to be. Clearly negative or not as good as expected I suspect it's gonna have a negative impact on the market simply because the market. Seems to be looking for an excuse. Perhaps sell off here for all the reasons that we talked about. If on the other hand that never really does turn out to be better than expected and in fact is positive. It it it could turn out to be good for the market but we did have three -- four pretty good economic leverage leading up. Yesterday's bad performance and Friday's that we had you know that's that's slightly -- meanwhile Monday's market was off a little bit that -- terrible. And when you get to a market that sort is not reacted in a positive cash into the positive numbers. It's simply tells us that the market is probably overbought. And a lot of this a lot of these numbers are already -- and so. You know that the flip side that's going to be you're going to see continued weakness in spite of the fact that we're getting good numbers but it does not mean. That we're gone back to the march lows it simply means that we're probably just give it a little back. And that perhaps any selloff. Is is nothing but it about a buying opportunity that is selling opportunities."

" Sit Eddie let's talk about what the company that we talked about before being Citigroup we've just gotten that you million pounds that he can't be stuck added yeah oh yeah -- I don't remind them -- by the disease like Jagger. And well if you think this -- eight exemplifies the quite well right. If you look over the last year -- just look at that timeframe it's the city of staff accept -- I sat. But if you look at it the last four months this rally -- 170%. The point where with that so. At this point if people are looking at their portfolios that -- I I -- might either way back -- talent now. I mean -- nerves are in the market what do you do not -- what is the -- this it's time to sit act a little bit because hey everybody else might be doing you know our. In the opposite -- you -- how we're going to talk supposedly about city looked in the -- let's let's Circuit City now and I need to go more general after it."

" But I think I think the I think -- what you point out is that absolutely right out of money when you you know if you're fortunate enough not doable and city. I had to avoid it when it was trading below a dollar 99 cents clearly you had a great trade unfortunately. Most mortal myself included that happen now that Scott. -- you know sort of go from fifty dollars to 99 cents and and and probably wouldn't you know stupidly never sold it'd get hung on all the way down. So the fact this package value for the buck up the core values really nice but that is. That is a very shallow victory for those of us that have been like that stock. In terms of stadium what you do now I mean I'm not an analyst Tom gets to -- called a lack a lot of other people. You know basically -- gets put the way and I just got it's kind of a wing and a prayer position as far as I'm concerned. I -- hope one day I'll wake up. You know -- three years five you hit ten years from now I live long enough and and and that stock will be back at 102030 dollars I think anything is possible. In terms of just looking at stocks like city now. I mean if he never owned that perhaps it's an interesting opportunity. If you don't have for a long time I think it's going to be a source of frustration. For a long time to come -- you did Teddy comes on getting good mood you know and you."

" I don't -- I think yeah. Toward you know you how -- settings like maybe not including -- but not totally -- that he's coming on later that some difficulties because it."

" Can be applied to the market in general right in a lot of ways that you just described the city because. Admit this is why you sound you can practice of for a run relatively bullish when you come on here today because. Yet to run up a lot everybody says it's gotta pull back but I guess maybe -- water the point of some of the bulls is. As much as its -- it's still you know fairly significantly below where it was this time last jar when Lehman failed."

" Well you know I I once again I I don't I I'm not in addition make a fundamental case for or against city. At at four dollars and fifty cents a share -- to reorient -- six hours of care. You know I look at a stock like city -- BankAmerica which is another disaster that I won't for a long time along with a lot of by the people. And and basically at some point you get had to say you know what is this company going to survivors have not been surviving in the in the making case. That it will survive well I'll let you get to that conclusion. That basically buys stuff like that or if you won't keep him because time hopefully will make you right. Only that forty some odd years and I've been doing this. And I certainly I have had FactSet completely evaporated but but I've also had many stocks satellite city. Have actually turned out to be great investments if if your patient and you can wait and -- either way but. The waiting is the hard part some people just give up and they just kind of throw the baby out with the bath water."

" Hey -- where -- talking about down there than we talk so much about eight what's going on down on Wall Street but I -- guys talking about it reference to a guy yeah health care our. Hi Tim Geithner going date yet for the teach my seven if anything is part of power station that had floor."

" What cause I can't speak for anybody I think they held. I think the whole health care issue what do we look at it as consumers you know not not necessarily that how it would relate to the stock market or investors. You know I think most folks said that I -- about it and it and the floor contrary to what people I think generally believe is that is conservative it's a lot about things. I think employees that she got quite that quite independent and if anything leans more to the left. I think a lot of people are pretty upset about what's going on hot -- health care. And I think along with that goes on moving out of the topic of politics I think there are a lot of folks myself included. That think that perhaps they -- more political risk in the stock market at current levels that never is economically -- and the reason I simply say that. Is because there are so many potential changes coming out of Washington. Some of which she got to have very very big implications well I -- positive or negative and turn this facts. -- down the road. And that Wall Street in general is not comfortable. We change. I think of wolf we had its druthers they would prefer political gridlock. Because when things don't change it's easier for investors and treated like to make decisions looking forward."

" Let's take next time you are come on would you come up -- studio what happens once free here not just he's doing it at that have been better for you haven't done one of these -- and I didn't. Moving data -- you lunch afterwards has my love life to be good and chicken wings are just fine I'm on the -- to. Thanks patty -- take care of stuff -- can't say yes thank you take care to."

" Eddie all right the anti Cody Willard is coming up next he -- dressed up as Cody Willard but he will not sound like and formerly known. Yes yes it's like a symbol now you will not sound as he normally don't happy hour so stay tuned for that -- White -- still to come. -- from FOX & Friends talking gadgets that couple because -- development of the technology world to get into with Clayton and much more still to come as well that goes crazy head of the told you about earlier. Plus the stuff how --"

" She left me with Cody Willard that is. Like its wings off my face aren't so objects is just coating and -- had to go do report for Fox News you'll be back and in just a moment not -- Cody assure that happened did you come sure wasn't a refreshing to -- ran out when I showed I don't believe that the new body under citadel likes the well I have a -- when you get a chance we've been trying to chow down on -- you're used to do to show at a restaurant and bars are you know probably oh you're one of those I've -- I've been teeing you up with the anti Cody Willard today that you're going to come on say something like you've never said before not ever reform but did the last couple years anywhere where you've been mr. Anti government -- down on things and you read -- marriage break area on markets as well and using wrote a blog at foxbusiness.com. That. Was -- I don't know almost finding the bright side think well."

" What happened that little table prospective juror I mean I was I was very bullish from 2002 to 2000 -- in technology hedge fund we were. He made some good money into the in the bull market that. And I got lucky when I took this job and close the fund came here so far I sold everything at the top and it felt like a genius we but -- that the market topped out about -- Teddy on October ninth 2007 yes he's still down 36% from that point. -- Fox Business launch October 15 -- 2000 senate appointment and I was still the that's literally when muscle strain to manage money when we started October personal rehearsals I was didn't do that wasn't meant that the market was drive me crazy and I can come -- sick to my stomach holdings. At any rate I ended up. Getting lucky and selling everything okay. So I got there -- that's basically what it was a felt like things couldn't get any better than and I and we'd just doubled in the down moved the NASDAQ could double things were on fire as it was a hundred to 2% from its lows when I started. So the that we had things is good as they did we've seen what happened he had this major crash. What happened the other day -- the show and went over us talking this really successful hedge former hedge fund managers sold all of this stuff falls near the top and a guy made a lot of people lot of money system Cody you're dead -- been watching -- read your blogs and earlier bearish -- bridal for a long time but. You're dead wrong about the economy and I'm more bullish than I've ever bad effects of -- and so on this. The setup to get -- instead step back and."

" I don't know irritable -- for -- for the link up to that people ought to Cody -- dot com we already did that's a good website that we are we are definitely -- to -- if you can read along but the point is this -- come you didn't even in the -- you wouldn't want to name -- he's -- protect his -- yeah exactly and you've -- respected them. Section and he surprised -- that you -- actually going to have its say and what about when we had a vice chair because you don't hear anybody say that so that along the sentiments I'd have they that makes. Think as contrary Linear tech talk about insuring isn't a lot. That's contrary he has someone like that say that the -- that makes it there is so bullish -- first and president -- don't think that's contrary you know outlook there. If you guys that are bullish and long but not like that they didn't step back into what is the bullish case let's look at the economic bullish case -- like maybe what wrong what do you say essentially is. We take we're taking several trillion dollars from our future and pulling it into today and were put pumping it through the system what that does that pulls forward demand for everything for houses cars everything we see it in the 8000 dollar subsidy from homeowners. All that stuff pulls demand forward from the future so we're squeezing the next three to five years worth of demand. In the next year or two to prop up the homeowners the -- bankers everyone else like we're talking about going to save the economy. So you do you save the economy for the next say two years short term well course because it it will -- that would be available to kids right -- a good that would be couple's fundamental case and then of course the markets would extrapolate that now they've missed the top and we do have a bubble blow up -- when I go back to -- 14000 on the down. Right mind you. Why is that these are still much -- I don't think that's what's going to pan out I don't think the market's going to does want to count that out but. I think the markets that we finally we've had the tech couldn't. In Telecom bubble of the late ninety's we -- auto and housing bubbles and then you think there's another bubble -- I don't I think the market's not going to buy into this and we got a government spending bubble that is happening right now that's the AIG -- and probably America let the market -- not inflate along with that. I -- already bored already had figured it wrong about Citigroup Bank of America being okay for you over the next -- over the long term minority usually back by the -- about Citigroup is going to be zero stock fighters from today. Citigroup will be worthless village of Genesee and you thought you thought for a long time as a traitor that you can you say you sold out right the at the top of the market the market haven't dwelt on 40% of -- very well at the top -- and that's felt good about that so for the last couple years you've been a talk show host -- Fox Business not a traitor for so have you lost that mindset of a traitor in other words have you let your political ideology the by the receipt of every night you know your views in the world get in the way of the -- dubbed the view of the market. It's a great question and I can only answer as honestly as I can't I don't thinks. But you know and that's part of what the -- that you would see different if you were trading -- totally -- for all I know wiping -- percent walk right now that I can't put myself somewhere that I'm not sure what Ben Bernanke's thing that the economy would be much worse Lothian -- things did. Yeah I think he's nuts and I think I would be bearish right now I would have had a great year last year shorten the market's catch in the bottom. I'm Mike lawyer called. And it safe."

" Call upon the 6500 when we bought on March ninth a political blog posts don't panic now that we're here take the trade you're no longer be sure probably -- I think -- that this revisit those levels that's meeting to talk show host so yes that's secret histories and I have hit that on several hundred trades a day I used to do nothing but 1416. Hours a day. Look at the blinking stock chart right look at the blinking -- on -- screen and figure out violence and allocate."

" Looking at charts are always things -- not picky about politics that we we gotta run Peter Barnes he would come on the second but it's interesting BI the reason I brought it up. Charles Payne you know is on with us every morning and he and I were talking about and and Charles. Has similar made us maybe not exactly similar beliefs to -- way he looks at the world -- more and then politics everything else nestled similar concerns. Better voiced. And but he told you he's been riding the wave of the market up and yet to make stock picks all the time and still has a business that does that in. He just was making the points meeting he you have to divorce yourself for your political beliefs it and it -- that not by."

" Take -- I'm trying to do that absolutely and given advice I can go and I'm trying to get my mom advice from trying to figure out what do people at home what they should be doing with the money I am trying to be as objective. And all about the money as they can be but let's face it I am not a money manager anymore. So you shouldn't listen to me as one -- a pundit and our analysts and yeah yeah by the way our viewers think you kind of look calm today they're -- worried about you know why it's easier to be bullish than long. We're still managing money I'd be panicked freaking myself out right now but it's -- We bullish about what do they were understood it was wrong you know and the other -- you'll forget about something tonight they -- I'm outraged about a lot of stuff you know what I'm not going to I -- my wild and what's the quality that somehow all of the standup comedian approach now good -- to passive George -- of Fox Business take another -- Speaking at his feet below you don't know what the come up with Peter Barnes that's fair Peter Peter -- joins from Washington this three things Peter. Well those dreams you have a -- Cody always comes on -- and he actually just keeps coming back on the three things Peter we want to cover you're getting -- nervous one was. Jenna brought up earlier wait till the end your colleague Richardson didn't mention the Washington blogs at the heart -- to cancel can understand. The other is the G-20 at hit and the -- CFO MC minutes and that's really ready to GAAP but I think -- a lot of weight so what you pick where you want to begin. To each one here we didn't get the minutes yet."

" 'til 2 o'clock right well actually how about healthcare reform that's what I'm also covering today -- could not -- well -- So it's not a bad dictator we ought to talk well if -- things have picked one from column may want from column B. There are a number of new developments today in health care reform got -- which I which we do want to talk about pretty important it turns out that the F. President is considering making some kind of primetime address to the nation or perhaps a a speech to the joint session session of congress. On health care reform this coming after the August recess and which a lot of voters told their members of congress that they are very upset. About what's going on Washington they fear a government takeover of the health care system went in fact polls show that. Most people are fairly satisfied are pretty happy with the health care they've gotten now so what does all this change mean for them does -- threaten. There health care plans things like that. And poll showing that people are -- its support for a major overhaul healthcare reform is starting to fade. And people that are telling other pollsters as well that they're kind of confused about how exactly what's going on with -- health care reform. What as the president's proposal which he hasn't really spell that. I dress to try to kick start the health care reform. Debate on legislation that's moving through the hell right now."

" to let me tell let me ask you something about that before about the other subjects of the president he -- looks to be moving on. -- make a major address on this next weekend in that address Peter I guess it's likely that he will outline more specifics or at least that's the thinking. That it's it's -- strange that was in some ways that people want more specifics he's been listening closely to the president he said a number of times kind of what he wants so -- people -- is the recent poll numbers are going on health care because the president has an outline specifics I wonder or because people aren't. Happy with what has been outlawed by hit men and by his party."

" I think it's a combination of both as well as. -- criticism from the Republicans who have gotten a lot of traction on this particularly. On the spending side of the equation up at trillion dollars over ten years adding to the deficit adding to the national debt of course the president has said he will not sign any health care reform bill. That would add to the deficit or add to the national debt. But as the Republicans. Seem to be tapping skepticism about that. Out in the country. You know all these government programs tend to start small and -- get a lot bigger overtime that's just the history of a Medicare Medicaid and other. Similar programs and so. Yeah and and the -- a new poll shows up from CBS news don't like the quote the competition. But 60% of the people out there -- so say that they don't know what. President Obama's health care reform plan is right they know the broad goals he's talked about that don't add to the deficit cover the uninsured help control costs in the system your premium at home but. It's time for him. And according to his allies to now stepped up then and and be more prescriptive no right unintended."

" All right so -- there is something to that we'll see what he sets next week I'll believe the Fed minutes out because we'll get those say at 2 o'clock Peter but the mug quick. Point on the G-20 the finance ministers meeting that sets it up for the heads of state later on in Pittsburgh the finance ministers ministers will meet over it. It London over the weekend. What to expect. -- what we're going to a briefing this afternoon with Treasury Secretary Geithner who will lay out his agenda and for the -- warning from finance ministers meeting and that."

" Listen well a lot of the big issues are still on the table for the G-7. Where does the recovery stand where does the global financial markets stand is the global financial market truly stabilized. Or is -- going to be another hit to the system for example with all this commercial real estate lending and that is starting to what turned sour. Commercial real estate loans. So those would be on the agenda as well as some specific things such as you know international coordination of regulations. The administration as you know has proposed a significant regulatory reform package that's now working its way through -- hell a lot of other countries in the G-20 are also working on that but. You know you don't coordinate that somehow you get what. I kind of has called at a competitive distortions. Raise capital starts to flow down. Banks that have government guarantees and the other banks and other countries don't get government guarantees so you gotta watch all that stuff are."

" Peter no we you'll be doing that forced by the end -- Jenna and I were talking earlier we still can understand this whole thing about your colleague rich kids to be named heartthrob and are you largest car that he. Frankly -- mentor a lot of people would say you. And -- left off that list in Washington was put -- well actually it was if it was the top five and I was numbers say you're sick or identity and their heads down. Always be that the bridesmaid or if -- grew well we'll have I'm the guy that turned I'm the guy turned rich on to Brill cream forgot that I'm I'm a I do this are asked about that are free to take care have a treasure we know you'll see a hard time when he gets back from that you absolutely pathetic -- largest ever did the other that is going to wish he was never on that list. Okay thank you Peter. We have much more still to come here we got the crazy headphones. You're gonna really be amazed by these things were going to have the onset force. Speed of technology. Click -- of the Fox News Channel and FOX & Friends are residents. -- weekend or expert is coming up with so much. Some thoughts on Sony's. And and much more even."

" I saw some of what was -- pomp and want to get into so quick -- is next foxbusiness.com."

" This yeah yeah exactly rotten. The site of care and I'll -- that you welcome back. Thank you sorry that hit last a little longer than it was assumed the options. It's -- for a pop a policy studies at their report about executive compensation who tied to a we're talking about the -- iceberg you know some of these executives have -- big stock options Wilson big bonuses right. And they're going to make it -- money this year due in part -- fact the federal government is backing their their firms because there's actually rallied off those lows."

" It's a good point they've been doing now while they're cashing in monkey and a trailer that needed wing think certainly network if -- united a couple of weeks when you're gonna hide it. No attention doctor -- itself out as. Well to stability and again it's did you -- them with Internet. No that won't necklace and but all set up -- participants joins us now they -- send you our resident tech expert benefit due to his was nice but the he then that's fine it's all it's all right so we wanted to talk about a couple things while -- eats. I'd I'd want to talk that Apple and I saw the -- and upon the pre that I want to get to the the Sony. What do you make of these of if we are going to have any readers some point is that the is that the future."

" What I think 2009 is the year of the U -- as we saw obviously you can go to come out we saw Kindle DX obviously for back to school time with a lot of textbooks and people be able read PDF files now Sony though has been was out front on the but they have not had a wireless device once you could just sit there and think the book you want downloaded wirelessly. -- new daily edition -- we're seeing this announced last week is. Turned a lot of heads because Sony is known. A couple of these formats. But the ultimate media -- for the UND or these these other little proprietary. Bits of software that they come up with and they think the market is going to remember beta yet and nobody goes there -- no one goes in -- direction so it -- just tech world last week when suddenly Sony. Decided to be open. They said we're going to go with this. And have access to thousands. Excuse me. Thousands of free books that you can't get on the Amazon Kindle so I think this is an exciting device. So that's a big difference in -- and it's with a -- and -- and that's the big it's a close format if you -- inability Sony's gonna do that why it and the sunshine act because -- selling books right right. So it doesn't care about selling books Sony's hardware company Amazon wants you to go to the Amazon's -- want you to pay the price to download their version of the book. Look at all of the -- was -- is simple firmware update for them to switch to this format. They're going to have to do it because what Sony announcement this. It's not only is it touch screen its wireless will be over three G over eighteen -- but. If you're a member of a library your local library. This was what. Shocked ever like a really sad about this you can download digital books from the library for free and -- for 21 days and expires after 21 days so -- Davis -- a lot of people like. Yeah and you just have to have a membership with your local library with this device. By buying this device you don't ever have to actually physically purchase a book. -- in the stimulus and how many times you can profit. What what we will all have -- readers or is it all I I always keep wondering whether it's all one device sites -- read books from time to tell my phone -- anyway Kendall for iPhone -- here and I wonder whether that's the future or are we people will walk around big. Look at a lot of people who say the biggest thing NPD group just did his study few weeks ago and -- my -- of Iraq through -- look of one of the problems is people still like that tactile responsible that's the number one thing holding them back from getting him. But the people who actually played with any grief he reader and he started to use it for a couple of weeks. They -- they say I don't see myself going back I don't find it once you get used to it you don't you don't need to go back."

" Tiffany ran battery or at that time is that North Carolina anything that the -- during takeoff and landing is a problem for me."

" And yeah purely should have a comment we've had such a million times of the show but it did so it's a matter timing this will happen eventually and people like double you know. Be for either forced to change -- won't be getting what we're living in a digital world and I sound like work yeah."

" They celebrity could get rid of our viewers about how I think that the right pick people that they're better get these things eventually die and the people that are better flood eventually grow up. Up and bring up until -- happen to think about going to the yeah under your cycle I think he's getting anybody about the -- life people I mean think about the people's watching me feel right now right now. Think about this 10 years ago this morning and never have been killed all we until the -- off this show. Still has killed people yeah they're all there. I think about our parents are sitting down. Nothing right they wait till 5 o'clock at night that I don't watch the news or pick up a newspaper the tactile feeling the newspaper who knows that what they do it. The best in the funny quick start back as."

" Guide it yet this second don't want to read the -- that it want to read the New York Times -- my -- what that is what I'd like they didn't have a tendency to slightly. She's older than her you have your identity and could happen yeah. But it's something that. That's my best -- often that thank you. -- bugging residing at the newspaper spent all it's it's pretty consistent news that we can do that on line at my new York times of sex and -- is my computer outlets."

" Boy if you computers and can. -- result of the -- the deployment -- this weekend -- Brothers out the starting quarterback for Nebraska and his first game of the year is a set and."

" Yes they haven't talked had talked in like six -- feasibility. Nephew of the covenants that that you readers would be great spending going back so library format and in colleges as well Nina. They had the travel to a different kind of looks like you're traveling with the football team knowledge here for what it took Carlson."

" Doing textbooks special. For Fox News Channel and you know saying what you decently like -- hundred textbook. Special special piano on trouble textbooks for not only just the what's in them. But the weight of these things to people -- backs over a hundred pounds -- he -- a class one device that's this big. It carries that holds 3000 books. Yeah just don't drop on the floor like our guy that was writing you from Virginia. You're going to smash the screen. But yeah that's the only reason by the way I have a cover my iPhone so I was -- break. Costing you which god can we talk about Apple little that we have is a big event next week right what's going to get 9909. Coincidence with the numbers this it's always finally finally finally all the people who have been predicting a Beatles on iTunes event. Will we see return of Steve Jobs next week gene Munster reporting that yes we will -- Steve Jobs and actually Piper Jaffray analyst saying quite going to happen. But we I think we're going to see Steve Jobs I think we're also going to see a big Beatles event. Finally finally Beatles on -- two we've been waiting and waiting and waiting for. But I can be surprised everyone has been predicting Beatles and iTunes for awhile Paul McCartney said it would happen this year so we see Paul McCartney -- come out on stage like they did at tell you three. For the big Microsoft event and received just play guitar -- I don't know. But it could be the one more thing you know at the end of every Apple event there's the one more thing and will this be the one more thing what's -- going to be completely different device something else in the another option who knows just -- music player and camera. Well we know that the -- this is the iPod refresh just looking at the stock numbers all its views that are currently out there if you were going to go by an iPod today that are going to do it today if you want to get that Apple back to school special with you by MacBook pro back book. You get a free iPod touch all those shipments are not being refreshed and all these stores he skews a dwindling so people aren't getting access to these iPods anymore. We'll likely see the iPod touch -- a camera next week we'll likely see -- faster processor will probably have video to put a camera there has -- video like the iPhone three G yes. Question as to whether it'll have a microphone. It now has a microphone what that means is it could become a voice of a VoIP -- almost like a Skype phone. -- wouldn't even met at need to have AT&T. For your coverage."

" Electorate moves in with there is in this news Vonage which is -- company that regard discuss approved by Appleton have a map on the iPhone and I touch which might there you go play into that that -- they wouldn't even need a TNT you wouldn't even need an -- necessarily to make voice over Internet. It via phone calls interest and there's one more headline here's what I just saw I was just got to come down here and touching -- sets of words for parents that's on non seeking alpha blogs and the headline is. Is the palm pre a bust we talked about the palm -- that it was if you want me right first came out. And I mean that's a pretty quick judgment but and a down economy apparently promised not to in his balls they thought they would rather expected to sell -- predictions were like."

" 121 point five million devices that they were going to sell by now well it hasn't quite live up to that I think -- sold about 400000 devices. Now for sprint though it's been a big wind sprint obviously having some trouble. Paul obviously is smaller companies and -- so we were to hold leases to the same level of expectations -- would hold a bigger company and we would expect them to have much bigger numbers for the iPhone I think they sold one million iphones in two days over the first weekend. But this was still a win for Paul because they they're not huge company. It's still a great device we've seen all the marketing campaigns which have actually worked we've seen the research numbers show. That goes Paul those creepy -- commercials have you seen aware that we are woman sitting like going to. With a leaf pat she's out and garden and she looks all too it's weird she looks like -- not on the opposite the lady in the outer term minority report we see that. It's it's something -- is happening and it's you know hands across and there's this like half weird looking woman. In the middle of a field. -- people find those ads creepy but effective and so you have people who what."

" The show within the applicable effect but a -- favorite athlete that there with close the end them. Effective -- this is a good place even as always next time -- fit."

" As for your principal chip sell my office. There might not be a next time for New York clay you know it's my fault we killed off the whole audience and they're probably mad I had an annual -- what the -- or conversation -- thank -- coming from Pennsylvania that could see you next up to keep the -- this -- themes one we've been looking forward to it through. War the whole hour this whole idea of headset that makes you I could just think what I want to do you ever actually getting it announces go and break out like Eros guide -- CEO is going to be on at this at this time."

" In the name McConnell is that government it's right there from."

" Well that makes they want us Stanley Yang joins us -- at the."

" It's not about and it that I actually sat at family can explain this -- sky. What what what exactly you you think Cynthia --"

" Yeah well I hole and put on me our nearest guy mindset. And there's a censored here -- right this so it rests on your forehead. And on the sensor actually senses your Kiichi what we called the brain waves activities generated from the nearest. And from there we can interpret your thinking and turn into digital action."

" I guess we really dangerous -- have -- he got anything -- I attended a daily basis that I necessarily want anyone's notes how do you do that. Is there -- limits to what you can read her kidney is that basically my reading."

" Actually it doesn't mean exactly what you're thinking and read some concern emotional levels as well -- commands. That is exactly I'm reading your minds as tax. Okay so it is like sell it so it can get as an example that -- tested it sure yeah. Certain for example if I ask you to concentrate. Is an employee if you concentrate or focus. -- able to understand they are becoming more and more focused. And fans you to relax so -- is able to understand that you're relaxing. I mean you're doing meditation such as -- yoga. They can pick up that you're getting deeper and -- these are the practical nurses are wide video games and things like out of there is endorsed or more to. I'm actually more to it that currently most of our customers are in the game and entertainment area there's sort of toys are coming out for example the Star Wars force trainer. I -- Milton. Mattel is also coming out of --"

" So what is an inflexible so what is that you like your idiot kind of nine year old son is using a toy that what is it going to have him do it and how it is here the recent -- What is your guys at will allow him to deal with this game. Okay you can try to drive an object up and down and move it around. Would you mind. And really still a bit just it in our house in Canada UK yell back in apparent it blows my mind but that that would be pat pat when that -- none -- that. Again that. -- that produced it like that like when he actually concentrating. You know is -- if they would -- they would now. Is there any other way that's the gaming industry that you see see this being applied Stanley."

" Yes Italy or working with several organizations in the ATP ADHD treatment. We -- working with hospitals and doctors. Basically what we provide them. ADD. And they had a problem -- infantry. Those things that's always the gun went off so what is that educational so OK good that's that's good at is what the practical -- is that now go ahead I didn't want to catch up before you talk to the educational what the practical -- Correct. -- many children are many young adults are having trouble on understanding. Oh or focusing on their study. Instead of trying to give them the same standard away. Study or profit in the same course. Are. Our mindset can read how they're responding to the teacher are responding to the certain program. And give appropriate feedback as to -- if this certain area can be repeated. Or and certain areas should be enforced because he didn't quite understand. Who thought how do -- get here how on -- taking a look at here with this device. Actually done this device. If that's EEG device that's been around for a long time if you go to class of hospitals today. You can get everything measured. We simply took that big bulky medical system and put that into one chip and put in a consumer oriented environment. An outline that take yeah. We started out in 2004 when and Luis we started designing and chip in 06 -- we have you know what it it's it's sounded at first fund -- intriguing a lot of ways for the what the possibilities could be the future and right well."

" Yeah yeah it is that schools that you just get back and yet all sorts of learning centers resource is you know standardized testing -- that high concentrate. -- I don't I could I can have soft focus that it -- to the what."

" All right -- that it doesn't want to know what we're thinking Stanley thank you very much good luck with that good luck with everything okay thank you. Stanley Yang out of San Francisco so they're -- adjusting the fuel company is -- sky -- sky corporate so we have. Palin so one of things and thinking is you can watch the show later today on iTunes and -- that ceremony hi -- you can watch is on Hulu and we'll be back here tomorrow at noon to take everybody. -- that."