Nightly Business Report (PBS) - 2006-11-08

Channel: malgent

Transcript

Language: English (original, YouTube automatic captions)

[0:04] On Wall Street, investors bid up stocks,

[0:06] sending the Dow to a new record high

[0:08] close as they get a clearer view of the

[0:10] post-election landscape. The blue chips

[0:12] gained 19 points and the NASDAQ rises

[0:15] nine.

[0:16] >> In Washington, the new leadership on

[0:18] Capitol Hill is already shaping up the

[0:20] agenda for the 110th Congress. We'll

[0:23] have complete coverage of just what the

[0:25] changes could mean to Wall Street and

[0:27] Washington. Shares of Cisco Systems take

[0:30] off an after hours trading as the maker

[0:32] of networking equipment turns in better

[0:34] than expected earnings after the bell.

[0:36] We'll get the latest from Cisco CEO John

[0:38] Chambers.

[0:40] >> And Microsoft makes it official, setting

[0:42] a final rollout date for consumer use of

[0:44] its new Vista operating system. The

[0:47] software giant says it's the most secure

[0:49] product it's ever put on the market.

[0:52] >> I'm Paul Kangas.

[0:53] >> And I'm Susie Gar. This is Nightly

[0:55] Business Report for Wednesday, November

[0:57] 8th. Nightly Business Report is made

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[2:03] Good evening everyone. Democrats

[2:05] celebrated today their big gains in

[2:07] Washington and that propelled blue chips

[2:09] on Wall Street to a new record. The Dow

[2:12] added almost 20 points, closing at

[2:14] 12,176.

[2:16] And the Nasdaq rose nine points to a

[2:18] nearly six-year high. Investors spent

[2:20] the day assessing which businesses are

[2:22] likely to benefit over the next two

[2:24] years from the new Democratic leadership

[2:26] on Capitol Hill. Scott Gervey reports.

[2:29] The stock market dropped sharply at the

[2:31] open but recovered almost immediately.

[2:33] Investors apparently shrugging off the

[2:35] likelihood of any major market impact

[2:37] from the shift in political leadership

[2:39] in Congress. Analysts say Wall Street

[2:41] was already anticipating a shift toward

[2:44] the Democrats in this midterm contest.

[2:46] But with the economy strong, few feared

[2:48] the outcome.

[2:49] >> I think the results of the election are

[2:51] factored in by the market. The market

[2:53] was anticipating that we would still

[2:55] have divided government. That is the

[2:57] case. And uh in in that regard, we don't

[2:59] anticipate a lot of big changes in

[3:01] economic policy coming out of

[3:02] Washington.

[3:03] >> There were interesting sector movements

[3:05] today with agriculture surprisingly

[3:07] strong. Some speculating a result of the

[3:09] Democrats support for alternative fuels.

[3:12] There was weakness in the healthcare and

[3:14] pharmaceutical sectors. These are areas

[3:16] where Democrats are generally seen as

[3:18] supporting government constraints as a

[3:20] means of making health care more widely

[3:22] affordable. Stocks in companies doing

[3:24] stem cell research rose. Reversing the

[3:26] ban on federal funding of stem cell

[3:28] research is one of the Democrats

[3:30] announced goals. But in spite of these

[3:32] specific moves, the markets in general

[3:35] took the election in stride, seeming to

[3:37] be more glad it is over than upset with

[3:39] the results. I think people were maybe

[3:42] looking for evidence that there was a

[3:45] real shift in in Americ's thinking. Um

[3:48] whether anti-globalization or

[3:49] protectionism registered as as a big

[3:52] theme. Um whether we'd see an

[3:54] endorsement of bigger government, more

[3:56] regulation, I don't think we really saw

[3:57] that in the election. I that's not what

[3:59] this election was about. So I think the

[4:01] markets got worried about that. But now

[4:02] that the outcome is behind us, they know

[4:04] it's going to be pretty much business as

[4:06] usual for the next two years. Analysts

[4:07] say the markets are also encouraged by

[4:09] pledges of bipartisan cooperation made

[4:12] today by leaders on both sides of the

[4:13] aisle. Although they observe the pledges

[4:15] are easy to make but have been difficult

[4:17] to keep in the past. Scott Gerby Nightly

[4:20] Business Report New York.

[4:21] >> Wall Street opened with a modest

[4:23] sell-off on the election results,

[4:24] sending the Dow off 31 points and the

[4:26] Nasdaq down seven. A rise in oil futures

[4:29] and political uncertainties kept stocks

[4:31] on the defensive through the noon hour

[4:32] with the Dow still off 31 points, but

[4:34] the Nasdaq improved to a two-point gain.

[4:37] The market's mild downturn attracted

[4:39] buyers this afternoon, lifting it to a

[4:41] positive close. Dow industrial average

[4:43] gained 19.77 to a new record closing

[4:45] high at 12,176.54.

[4:49] The Nasdaq Composite was up 9.06 ending

[4:52] at 2384.94.

[4:54] Standard and pores 500 index added 2.88

[4:57] 88 to 1385.72.

[5:00] In the bond market, the 10-year note

[5:01] rose 632 to 101 and 2732, putting the

[5:05] yield at 4.64%.

[5:25] A blockbuster quarter for Cisco Systems,

[5:27] which reported record quarterly profits

[5:29] and sales after the market closed today.

[5:31] The world's largest maker of internet

[5:34] gear posted earnings of 31 cents a share

[5:36] in its fiscal first quarter. That was 2

[5:38] cents more than estimates. Cisco's

[5:40] revenues also came in higher than

[5:42] expectations, up 25% to 8.2 2 billion,

[5:47] $300 million more than estimates.

[5:50] Contributing to that sales gain, Cisco's

[5:52] acquisition earlier this year of

[5:54] Scientific Atlanta, the maker of TV

[5:56] cable boxes. The stock surged as much as

[5:59] 7% in after hours trading after closing

[6:02] at $2510 in the regular session. Joining

[6:05] us now, Cisco CEO John Chambers.

[6:07] Congratulations, John. John, on a great

[6:09] quarter,

[6:10] >> Susie, thank you very much. It's a

[6:12] pleasure to be on your show again. You

[6:14] told analysts on the conference call

[6:15] after your announcement today that

[6:17] you're forecasting between 24 and 25%

[6:20] revenue growth for the second quarter,

[6:22] the current quarter. That's really big.

[6:24] What's going to be driving that growth?

[6:25] Where's it coming from?

[6:27] >> Well, this is kind of the exciting thing

[6:28] about our announcement uh today and

[6:31] really where Cisco finds itself in the

[6:32] market. We're growing in all of our key

[6:35] geographies, whether it's in the

[6:36] emerging markets, Europe, North America,

[6:39] Asia. We're growing across all of our

[6:41] products. And it's not so important

[6:42] their names in terms of routing and

[6:44] switching and new advanced technologies

[6:46] and services, but the balance is really

[6:48] good. And we're growing in large

[6:50] customers, small customers, the home

[6:52] marketplace and service providers. So it

[6:54] is that balance, Susie, that is so

[6:56] unique. But perhaps the key takeaway is

[6:58] the network's changing from something

[7:01] that you travel through to it's going to

[7:03] in our opinion become the enabler of all

[7:05] forms of communications and IT which is

[7:08] a nice way of saying whether you're in

[7:09] the home marketplace as a consumer or

[7:12] you're in the business side of the house

[7:13] the role that networking will play in

[7:15] your future becomes more and more

[7:16] important and can cisco executes well

[7:19] our growth should be there. So I guess

[7:21] that CEOs and chief uh investment

[7:24] information officers have been uh uh

[7:27] budgeting for technology spending. What

[7:29] are they telling them telling you when

[7:30] you meet up with them?

[7:32] >> Well, I think that more and more of the

[7:33] CEOs and government leaders as well are

[7:36] understanding not just technology but

[7:38] especially network technology will

[7:40] enable their ability to be more

[7:41] competitive in this global environment

[7:43] to drive productivity more to enable

[7:45] better service if you're in government

[7:47] to the citizens. So in many ways

[7:49] technology and especially network

[7:51] technology is agnostic in terms of form

[7:52] of government or business. It just

[7:54] enables us to do our business better to

[7:56] be entertained better or to provide

[7:58] services such as healthcare and

[7:59] education more effectively on a global

[8:01] basis.

[8:02] >> How about economic conditions? How is

[8:04] the US economy helping or holding back

[8:07] your business?

[8:08] >> Well, we view the US economy as solid.

[8:10] Uh we were a little bit more cautious

[8:12] than some of our peers were two quarters

[8:14] ago, a little bit more optimistic a

[8:16] quarter ago. And this is how kind of

[8:18] Cisco views a market. We don't react to

[8:20] the ups and downs. And I think that

[8:21] allows us to plan three and five years

[8:23] out. We see the US economy at the

[8:25] present time is coming in for a soft

[8:27] landing. Time will tell if that's right

[8:28] or wrong. But our business in the US was

[8:30] extremely solid, growing at about 19%

[8:33] year-over-year, growing 30% in service

[8:36] providers, 20% in the enterprise

[8:38] marketplace, 20% in the commercial

[8:40] marketplace, and in the single digits in

[8:42] the consumers, Susie. So again, it was

[8:43] that balance that was exciting.

[8:45] >> That's very impressive. There's been

[8:46] considerable discussion about what

[8:49] impact the uh yesterday's elections and

[8:51] the change in the Democratic leadership

[8:52] in Washington is going to have on

[8:54] American business. In your view, what

[8:56] impact do you think the changes in

[8:58] Congress are going to have on American

[8:59] business?

[9:00] >> Well, and let me just talk about my area

[9:02] of expertise from a technology

[9:04] perspective

[9:05] uh which political party is in power uh

[9:08] is is kind of an agnostic issue. In

[9:11] other words, the Democrats and the

[9:12] Republicans both view the value of

[9:15] high-tech as being very large. Secondly,

[9:17] they view the value of networking,

[9:19] whether it's for education or healthcare

[9:20] or business as being very positive. So

[9:22] whether it's in this country or around

[9:24] the world, I think you find that

[9:25] government leaders regardless of the

[9:27] political party or former government are

[9:29] very positive on technology, especially

[9:31] on networking technology. And Cisco

[9:33] forms very tight relationships with

[9:34] government leaders. But in in that

[9:36] sense, do you think any change in US

[9:38] government spending or war priority

[9:40] spending will impact Cisco in

[9:42] particular?

[9:43] >> Well, we do well regardless of where the

[9:45] spending goes. Our federal business was

[9:47] up 10% this last quarter. Our balance

[9:50] across the globe was very good. So,

[9:53] wherever they spend money, usually we'll

[9:54] get our fair share of it if we execute

[9:56] well. And that really speaks to the

[9:57] changing role that Cisco and the

[9:59] network's going to play in the future in

[10:01] terms of spending for communications or

[10:02] IT.

[10:03] >> All right. Well, good luck with

[10:04] everything this current quarter. Thank

[10:06] you for coming on the program,

[10:07] >> Cy. It was very It was a great pleasure

[10:09] to be with you. Thank you again.

[10:10] >> Thank you so much. We've been speaking

[10:11] with John Chambers, the CEO of Cisco

[10:13] Systems.

[10:14] >> More now on the shift of political power

[10:16] in Washington. Tonight, it appears that

[10:19] Virginia Democrat Jim Webb has held on

[10:21] to his lead over Republican Senator

[10:23] George Allen, which would give the

[10:25] Democrats a majority in the Senate.

[10:27] Democrats have already claimed a

[10:28] majority in the House and the

[10:30] congressional shakeup has already shaken

[10:32] up the White House with Defense

[10:33] Secretary Donald Rumsfeld resigning

[10:35] today. We have two reports as our

[10:38] coverage of Capital Impact 2006

[10:40] continues looking at the agenda and the

[10:43] issues. We begin with Washington Bureau

[10:45] Chief Darren Gir.

[10:48] >> Good afternoon. At her first news

[10:50] conference as speaker to be, Nancy

[10:52] Pelosi made it clear there's a new

[10:54] economic agenda in Washington. Democrats

[10:57] will start with legislation increasing

[10:59] the minimum wage, cutting interest rates

[11:01] on student loans, letting the government

[11:04] negotiate lower drug prices for

[11:06] Medicare, and repealing tax breaks for

[11:08] big oil.

[11:09] >> Democrats are working for an economy

[11:11] that enables all Americans to

[11:13] participate in the economic success of

[11:16] our country. Moments later at his own

[11:18] news conference, the president admitted

[11:20] his party had suffered what he called an

[11:22] election night thumping. Andy said he

[11:25] would work with Democrats to hike the

[11:27] minimum wage, provided Congress added

[11:29] protections for small business. Energy

[11:32] independence and immigration reform are

[11:34] other issues where the president said he

[11:35] might be able to cut bipartisan deals.

[11:38] And against what now seem insurmountable

[11:40] odds, Mr. Bush still held out hope for a

[11:43] legacy-making deal on entitlement

[11:45] reform.

[11:47] Social Security is uh you know it's it's

[11:49] people are generally riskadverse when it

[11:51] comes time to social security. My

[11:53] problem with that is is that the longer

[11:55] you wait the more difficult the issue is

[11:57] going to become and so I'm going to keep

[11:59] pushing it.

[12:00] >> But the bipartisan tone would not extend

[12:02] to what the president called matters of

[12:04] principle. Analysts include in that

[12:06] category Mr. Bush's top achievements, a

[12:09] market-driven Medicare drug benefit and

[12:11] tax cuts. On that turf, analyst Kim

[12:14] Wallace reminds investors Democrats

[12:17] still don't have the muscle to overcome

[12:19] a veto.

[12:20] >> We're telling them to look at the facts.

[12:22] The tax cuts of 01 and 03 are on the

[12:24] books through December 31st of 2010.

[12:27] It's highly unlikely that this 110th

[12:30] Congress takes up fiscal policy. Most of

[12:32] the fiscal policy pressures are

[12:34] backloaded for this decade.

[12:35] >> President Bush and Speaker De Pelosi did

[12:37] not mention trade policy today and

[12:39] there's a good reason why. Washington

[12:41] insiders now predict two years of rising

[12:44] protectionist sentiment and they don't

[12:46] expect the new Congress to renew

[12:47] legislation making it possible for the

[12:49] president to negotiate new trade deals.

[12:52] Darren Gersh Business Report Washington.

[12:56] This is Stephanie Dub. One reason

[12:58] minimum wage is on the top of the

[13:00] Democrats agenda is that voters

[13:02] overwhelmingly supported it at the polls

[13:05] yesterday. In all six states where an

[13:07] increase in the minimum wage was on the

[13:09] ballot, voters approved it. In Missouri

[13:11] and Montana, the approval rate was more

[13:14] than 70%.

[13:15] >> Sets the sails and the wind at their

[13:17] back in Washington DC. Uh you're going

[13:19] to see Congress push that issue and it's

[13:22] not going to be complicated with um

[13:24] other provisions that the Republicans

[13:25] were putting on in the last legislative

[13:27] session. Voters in eight states passed

[13:29] restrictions on eminent domain, making

[13:32] it tougher for local governments to

[13:33] seize property for private projects.

[13:36] Arizona voters went farther, approving a

[13:38] measure that would require compensation

[13:40] for seized property. But voters in

[13:43] California, Idaho, and Washington

[13:45] rejected that idea, and voters in Maine,

[13:47] Nebraska, and Oregon rejected

[13:49] initiatives to impose tax and spending

[13:52] limits. voters probably wanted to give

[13:55] local governments more flexibility to um

[13:58] not restrict and hamstring their ability

[14:00] to solve problems, to spend money, um to

[14:03] get a handle on land use when they

[14:05] wanted to.

[14:06] >> In California, Proposition 87 failed, it

[14:09] would have taxed oil industry profits to

[14:12] fund alternative energy. Observers say

[14:14] that may dampen enthusiasm in Congress

[14:16] for a windfall profits tax on the oil

[14:19] industry. I think this suggests that the

[14:23] incentives will move towards other

[14:25] areas, not so much tax increases, uh,

[14:28] but other ways of motivating these new

[14:30] investments.

[14:31] >> Business groups call the election

[14:32] results a rally of the radical middle

[14:35] and experts say the ballot initiative

[14:37] signal a mood against shrinking state

[14:39] and local government. Stephanie D,

[14:41] Nightly Business Report, Washington.

[15:09] Mark your calendars. Microsoft will

[15:11] start selling its new Vista operating

[15:13] system to retail customers on January

[15:15] 30th. The company says the new software

[15:18] is rock solid and ready to go and should

[15:20] be easily adopted by consumers. Vista

[15:23] includes improved qual improved security

[15:25] features and Microsoft says those

[15:27] features make it the most secure system

[15:29] it has ever shipped. Also, Paul,

[15:32] Microsoft reconfirmed today that its

[15:33] Office 2007 suite of software will be on

[15:36] the market later this month. Microsoft

[15:39] stock was among the most actively traded

[15:40] on the NASDAQ today, Susie. And we'll

[15:42] see it in a moment as we look at our

[15:44] stocks in the news tonight.

[15:49] Most active big board issue on 23

[15:51] million shares. Fiser losing 43 cents on

[15:53] concern that the Democratic Congress

[15:55] could impact drug pricing in a negative

[15:57] way. Apparently, Motorola down 45 cents.

[16:00] Lucent moved up 3 cents. Merk & Company,

[16:02] another defensive drug issue, down

[16:04] $1.56. But in addition, Merc disclosed

[16:07] it has four separate tax disputes in the

[16:09] United States and Canada with a

[16:10] potential liability of $5.6 billion.

[16:14] Exxon Mobile on the higher oil prices

[16:15] today gained a $160, fifth in volume.

[16:18] Time Warner down 16 cents. AT&T edged up

[16:21] 7 cents. Sprint Nextel 35cent gain.

[16:23] Walmart stores down 62 cents and

[16:25] Hallebertton 10th in volume rose 17

[16:28] cents. United Health Group off a $157.

[16:31] Managed healthc care firms are viewed as

[16:33] vulnerable to lower profits under the

[16:35] Democratic Congress. Let's have a look

[16:36] at how some of the other stocks in this

[16:38] sector fared. Etna down nearly a dollar.

[16:40] Humanana losing almost $3.5 and

[16:42] Wellpoint down a $132. Another group

[16:45] under the gun, so to speak. General

[16:47] Dynamics among defense contractors

[16:49] off$151.

[16:51] And uh let's have some others in the

[16:53] group and have a look at them. Loheed

[16:54] Martin losing just over a dollar.

[16:56] Northrup Breman off $142 and Rathon off

[16:59] 72.

[17:00] On the upside, Scottish Power plc rising

[17:03] uh $7.30.

[17:06] There's speculation the company may get

[17:07] a buyout offer from Iberrol. That's a

[17:10] big Spanish utility company. And on the

[17:13] downside, another Scottish firm, the

[17:15] insurance company Scottish Re losing a

[17:17] $163 Score Management said it will not

[17:20] make a buyout bid as has been rumored

[17:22] occasionally. and Hospira, which makes

[17:25] medical products. Third quarter

[17:26] operating earnings came in at 45 cents a

[17:28] penny below the street estimate.

[17:30] Standard and Pors cut its price target

[17:32] for the stock uh by $3 down to $36 a

[17:35] share. Sabes the auction house off $281.

[17:39] Wedbush Morgan brokerage downgraded it

[17:41] from buy to hold on a valuation basis.

[17:44] And Medicine's pharmaceutical rising

[17:46] $249. The company got FDA marketing

[17:48] approval for its Zeanna acne gel. JP

[17:51] Morgan upgraded the stock from neutral

[17:53] to overweight and after the close metist

[17:55] reported thirdarter uh earnings

[17:57] excluding items were 28 cents a share

[17:59] and that was 5 cents better than the

[18:00] street expected. Google topped the

[18:02] active list on NASDAQ with a gain of

[18:04] $243. Cisco closed up 26 cents but you

[18:07] heard those earnings for the first

[18:09] quarter 2 cents better than expected and

[18:11] the stock and after hours trading was

[18:13] just above $27 a share. So a nice move

[18:16] up. Microsoft now, of course, the new

[18:18] Vista is ready to go, almost 3-cent

[18:20] gain. Apple computer up a $1.94. A top

[18:23] official at Apple gave an upbeat outlook

[18:25] on holiday sales for its iPod products.

[18:29] And then we see Intel with a 9-cent

[18:30] loss. That was fifth in dollar volume.

[18:33] Looking ahead, we see Research in Motion

[18:35] rising $210, Yahoo at 29 gains, SanDisk

[18:39] lost 24 cents, Broadcom a 9-cent drop,

[18:41] and 10th in volume was Dell losing 38.

[18:45] Trimeis moving up a$189th percentage

[18:47] gain there almost 23%. It's a drug

[18:49] developer and it's a third third quarter

[18:52] turnaround earnings of 16 cents versus a

[18:54] loss of 15 cents last year. And then

[18:57] True Religion Apparel down 580. The

[19:00] company sells upscale denim clothing and

[19:01] a reported lower than expected

[19:03] thirdarter profits and gave a

[19:05] disappointing outlook.

[19:07] The voting is over and now the analysis

[19:10] begins. So, will the new leadership of

[19:13] Congress and leadership of the 50 states

[19:15] offer some investment opportunities?

[19:17] That's the topic of tonight's street

[19:19] critique. And joining me from New York

[19:20] is Kevin Dew, managing editor of the

[19:23] financial education website

[19:25] minionville.com. And Kevin, welcome back

[19:27] to Nightly Business Report.

[19:29] >> Thank you, Paul.

[19:30] >> Give us some examples of companies whose

[19:32] stocks should benefit from the change in

[19:34] congressional leadership and the reasons

[19:35] why. Well, right off the bat, we can

[19:38] talk about Fanny May and Freddy Mack.

[19:40] And why are these companies going to

[19:41] benefit? First of all, they have they've

[19:43] had horrible accounting issues. Fanny

[19:45] May hasn't even filed an earnings

[19:47] statement since 2004. So, why are they

[19:49] going to benefit? Well, there's the

[19:50] perception that the Democrats are in

[19:52] favor of a little more lenient rules

[19:54] over the oversight and regulation of

[19:56] those two companies. And today, they

[19:57] were up 2% just about. So, that goes to

[20:00] show you.

[20:00] >> All right. How about uh a few other uh

[20:02] stocks that might benefit?

[20:05] Well, the first uh the first thing we

[20:06] can talk about is an ETF. Alternative

[20:08] energy is going to be a democratic hot

[20:10] issue. There is a powershares Wilderhill

[20:13] clean energy ETF that invests only in

[20:15] companies that are dedicated to

[20:17] alternative energy and energy

[20:18] conservation. That's a way to test that

[20:20] thesis out in real time. But a company I

[20:22] like more is called Corn Products

[20:24] International. And uh they're not even

[20:26] really related to uh to alternative

[20:28] energy. instead as their name might

[20:31] suggest they're related to corn and the

[20:32] and the and and producing corn products.

[20:35] So uh that that might be a good way to

[20:37] play like

[20:38] >> ethanol. No ethanol production there.

[20:41] >> No, they're related. So as long as the

[20:43] price of corn is going to go up, then

[20:44] they're going to do well.

[20:45] >> How about some stocks that could be hurt

[20:47] by the change in leadership?

[20:49] >> Well, minimum wage is going to be a hot

[20:52] button issue as well. There hasn't been

[20:53] a minimum wage increase in a number of

[20:55] years. So whether you're afford that or

[20:56] not, the bottom line is that companies

[20:58] uh that uh that employ a large number of

[21:00] minimum wage workers such as Walmart,

[21:02] such as certain restaurants like

[21:04] Cheesecake Factory, their operational

[21:06] costs are going to go up

[21:07] >> and that could hurt. Yeah. Is there

[21:09] another sector that you think could be

[21:11] negatively impacted?

[21:13] >> Well, the pharmaceutical uh sector. The

[21:15] Democrats have made clear that they want

[21:17] to sit down uh with companies such as

[21:19] Fizer and Lily and bring the drug makers

[21:21] to the table. And anytime as a

[21:23] businessman you sit down with

[21:24] politicians, the results can either be

[21:26] bad or weird and and that's not good for

[21:28] for uh Wall Street at all.

[21:30] >> So Fiser and Lily and and big drug

[21:32] companies like that you think will be

[21:34] negatively impacted.

[21:35] >> Yep. I I think that that's going to

[21:37] happen. Sure.

[21:37] >> Kevin, do you personally own any of

[21:40] these stocks or are you in short

[21:41] position any of those that we've talked

[21:43] about tonight?

[21:44] >> Uh no, Paul, I'm not.

[21:46] >> Okay. Well, I want to thank you very

[21:47] much for joining us tonight and sharing

[21:49] your knowledge. Sure thing.

[21:52] >> Our guest Kevin Dew, managing editor of

[21:54] minionville.com.

[21:58] >> Tomorrow, coffee. Everyone, we talk with

[22:00] the head of Starbucks about where the

[22:02] coffee company is heading.

[23:08] Heat. Heat.

[23:12] Here's

[23:41] A look at what's happening tomorrow on

[23:43] the economic calendar. October's import

[23:45] export prices come out. Also tomorrow,

[23:48] the first look at the University of

[23:49] Michigan's take on consumer confidence

[23:51] for November and September wholesale

[23:53] inventories. As for earnings, Deutsche

[23:55] Telecom, Cost Pharmaceuticals, JC

[23:57] Penney, Viacom, and Walt Disney are

[24:00] scheduled to report.

[24:02] >> Recapping today's market action, the Dow

[24:04] hits another record high as investors

[24:07] think it's business as usual after the

[24:09] elections. The Blue Chips gain 19

[24:12] points. The Nasdaq adds nine points. To

[24:14] learn more about the stories in

[24:16] tonight's broadcast, go to Nightly

[24:18] Business Report on PBS.org.

[24:21] >> And finally tonight, if you manage your

[24:23] business by pushing the envelope,

[24:25] keeping people in the loop and thinking

[24:27] out of the box, well, you might not be

[24:29] managing it for long. A new survey shows

[24:32] jargon like that can alienate staffers

[24:34] and leave the boss looking weak and

[24:36] untrustworthy. The survey was done by a

[24:39] British firm called Yuggov and found

[24:41] almost 50% of those surveyed thought

[24:43] jargon caused misunderstandings about

[24:46] roles and responsibilities in the

[24:47] workplace. Among the other phrases seen

[24:49] as counterproductive, blue sky thinking

[24:52] and taking the helicopter view. So if

[24:55] you need to touch base with someone

[24:58] going forward, Paul,

[25:00] >> you should probably not hit the ground

[25:02] running. I'm more likely to hit the

[25:04] person that uses that overworked going

[25:06] forward phrase. I've come to detest it.

[25:09] >> That and all eyes all eyes are on this

[25:12] and that.

[25:12] >> I couldn't agree more.

[25:14] >> That's Nightly Business Report for

[25:15] Wednesday, November 8th. I'm Susie Garb.

[25:17] Good night, everyone. Good night to you,

[25:18] Paul.

[25:19] >> Good night, Susie. I'm Paul Kangas,

[25:21] wishing all of you the best of goodbye.

[25:24] >> Nightly Business Report is made possible

[25:27] by Franklin Templeton Investments. Our

[25:30] unique perspective helps us see domestic

[25:32] and international markets in a different

[25:35] light.

[25:37] Franklin Templeton Investments

[25:40] gain from our perspective

[25:44] >> and by AG Edwards.

[25:47] This program was made possible