tv Bulls and Bears FOX News January 3, 2015 7:00am-7:31am PST
2014. we hope the tradition continues in 2015. >> it will be better, we guarantee it. >> live animals. >> more of them. >> baby tigers. log on to foxandfriends.com fk after the show. what a year. wall street and main street both roaring. all while congress did essentially nothing. all markets way up. the economy chalking up its best performance in years. now, as republicans get ready to control congress the president is vowing to use his veto pen. will more gridlock mean more gains? i'm brenda buttner. this is bulls and bears. here they are. gary b. smith, tracy burns john along with chuck. welcome to everybody. tracy, more d.c. gridlock the better for stocks and the economy? >> yes. they general do better when it
is complete and utter standstill down there. why? all the uncertainty is out. we don't want to know there's a new tax or regulation. we don't want to know. we want to know they are fighting about what to have for lunch. we can go about our business and grow the economy. we have seen it time and time again. when there's gridlock in d.c. the markets do better. >> doing nothing isn't going to get us out of debt. it's not going to reduce the deficit. >> i agree with that 80% of the time. when the economy is humming along, you don't need to mettle with it. however, in a crisis you want a congressman or president that can do stuff. we didn't do anything in the last recession at all. a lot of stuff got criticized over time. if it never happened, we would have a serious problem on our hands like a lot of countries. you want there to be agreement.
we are not going to get rid of the deficit without strong action. we never return to the higher tax rates and spending we had in the '90s. we are in times now. we are running a deficit. >> gary b. is gridlock a good thing for stocks and main street? >> absolutely brenda. you know, it's curious. i have been reading articles this has been the laziest congress ever they didn't get anything done. survey after survey shows that people hate congress. why would you want something, an institution that you hate for them to do more? you know tracy hit the nail on the head. unless they are naming buildings, congress is redistributing our money or making new laws, which restrict activity. in the latter, you are restricting free enter prize.
i would like them to take 2015 and 2016 off. think about how they can do better, then come back. >> they did well with vacations chuck. what do you think of this? >> they are good at vacations. we are here now and there's nobody here. there's peace and calm all over washington, d.c., because they are not here. it will continue to be gridlock. the republicans won back the senate, but not the 60 votes they need to stop a filibuster. they need more of the same. the approval rating is so low because workers blue collar workers have not felt the recovery recovery. real wages haven't gone up in a long time. there's a lot of frustration for a lot of reasons. >> do you think it's a good thing for main street? >> i don't think it's a good thing. main street is being left behind. a lot of rich people are getting richer. blue collar workers are getting left behind. >> do nothing washington, what
do you think of it? >> this washington yes. the less they do the better. it's a proven fact every two years congress' collective i.q. goes down significantly. these guys are in exception. compare them to the past do nothing congress. harry truman's do nothing congress passed four times as many bills as this congress. when leadership leads they can stay on autopilot for some time. that's what this country has done for ten years. we haven't had grown ups in washington, d.c., for quite some time. at some point, deal with immigration and tax reform and an energy plan. they can't do that. they are playing their political base to get re-elected. >> washington may not be able to agree, but the president has been aggressive in using his executive authority to make things happen. i mean, it's not really gridlock, is it? >> it's scary, if you ask me.
the notion he can take out his veto pen agree, disagree make his own rules, why have congress in the first place? is he going to veto something? is gyrations flow through the economy. we need it to be peace and quiet. jonas brought up the debt. if you let people alone, go back to work they make money and eventually, you will get more taxes, more tax revenue. the problem is they don't know how to allocate it properly. until they get out, get rethought, i don't know what they have to do down there. hopefully, they rethink everything before they come out before the next presidential election. >> the president said, if congress doesn't give him what he wants, he's going to take care of it. that's not gridlock. >> you know he is ruling in the wrong era. he should have been king george i think, because he would have been very happy being the
emperor. you are right it's not gridlock. but, if his only recourse is executive action is to veto bill after bill, i'm happy with that. there's going to be more gridlock. before we move away. jonas said if times are tough, we kind of need the government. i think that was the implication. why? why do we need the government? why can't the normal price mechanisms and market work themselves out? the government doesn't create jobs, it screws things up. >> what do you think, john? >> look at the numbers of the stock market. it's safe to say some of the stuff they agreed on in '08, in '09 -- >> that is the federal reserve. >> the tax cuts were not the federal reserve. the cash for clunkers bailing out general motors. there were a lot of stuff we didn't like at the time. >> it didn't work. >> how much more would the stock market be up if we didn't do those things.
>> you think cash for clunkers is one of the reasons we are up? come on. come on jonas. cash for clunkers. >> a lot of people, including us -- high positive results. i'm not saying you want to continue them in good times and do more stimulus. >> you are reaching. you are reaching come on. >> tracy? >> come on. cash for clunkers is a mitigated disaster nothing to do with why oil is down. i love you but come on. what we need is someone to put their big boy pants on down there, big boy, big girl and really lead. let's do tax reform. you want to do something, do that. get rid of the regulations on small business otherwise, take the extended vacation and come back thinking this through. what has been done is all reserve liquidity.
nut thag the white house has done. >> chuck i bet you disagree, right? it's more than the feds. >> my big momma said you ain't gonna like this but you need to hear it. the little things he's doing don't affect the big picture. we need big things to go through. you can see the economy take off and hum. if you did tax reform for small business it's the end of the year and i came back writing tax checks on 51% of everything i made, i have to give back to the government. i eechl an llc, so i get taxed on being an individual. deal with issues like that. >> john, what do you think? >> out of 8 billion people on the planet, jonas is the only one that defends cash for clunkers. [ laughter ] >> i don't blame the president for executive actions. nobody is going to do anything. the problem is, you need comprehensive immigration reform. i agree with what he did. you need a comprehensive package
around that and to deal with cuba. we are not going to get that. it's meaningless. >> i think jonas actually sold his clunker. okay thanks, guys. imagine turning your back on your boss. a continuing showdown between police and new york city mayor bill de blasio mean someone has to go. cavuto is all over it. as gas prices are coming down and down and down what some states are doing to push them back up and up and up across america.
he had been wanted for more than a decade and there was a $5 million reward for his arrest. the bombings in kenya and tanzania killed 244 people. new developments in the search of airasia flight. four large objects on the bottom of the java sea. the largest piece is 59 feet long and 18 feet wide and aweirs to be a part of the plane's fuselage. it crashed sunday with 162 people on board. i'm kelly wright. you like the plunging prices at the pump? they may be about to jump. some states hiking the gas tax and more states gearing up to follow. gary b., just when we are getting relief, they want to take it away. >> of course brenda. if they can get their hands in our pockets to get more and more
money and play this, you know, apple pie song of we need to do the bridges and roads, they will do it. taxes in virginia which i'm next to are going to go up 45%. in maryland, i'm paying 27 cents a gallon. i know the argument they need to fix the roads and bridges. you know why they are in bad shape? because they are run by the government. can you imagine walking into a mcdonalds where the floor is crumble and the handrails are falling off? they are go out of business. no, i have to drive on i-95. hand it over to private enterprise, we would have better off. >> you like this? >> i don't. places like virginia and pennsylvania have a republican governor last year who passed there. you went through a budget process. everyone is going to clap their handses, we gave tax cuts back. at the end of the day, you don't have money to fix the roads and bridges. you add a tax to people paying
taxes, driving their car to work. let's not shift it to people with money to people driving to work. that's the problem i have with this. >> jonas? >> shifting the burden to the people driving to work. they have raised the income tax to fix the budget. a lot of states didn't drop as much as we would like. you can't keep squeezing the same lemon. you have to spread it, close the gap. we are going to need to close the gap. why not make it a gas tax? we are used to paying $3.84. it's $1.99. so it goes back to $2.20. isn't that better than income tax? i think it is. >> i feel like i am responsible for all the tahoes of the world that drive so much. yes, you should tax me. the problem is i don't know where the money is going to go. i will pay my taxes, i will pay for the roads and bridges if i believe they are going to spend
the money appropriately. they are not. the other part is the price of gas is low. yes. but it's not going to go away when gas prices go up. they are not going to stay low forever. like the airlines, you are going to continue to pay the fees. they are here forever. you have to wrap your head around that. that hits the lower middle class families hardest and they don't need that right now. >> gas tax, what does that do to your pick-up cost? >> takes it through the roof, especially the mileage i get. you pay for horsepower in some way or the other. >> we consume $134 billion gallons a yeemplt you should have $70 billion to go toward roads and bridges. now is the time to raise it if you are going to. the problem is, just like tracy said, 40% of the gas tax is being used for earmarked projects.
you can't trust politicians with money. adding more to the deal to stick their hand into is not a good idea. >> that's got to be the last word. thanks. cashing in. just over an hour from you, eric, what do you have coming up? >> president obama saying the race issues in the u.s. are healthy. does this look healthy to you? what's in store for communities and economy if no one put as stop to this. plus, after the ball dropping, the minimum wage in 21 states rising, not enough to satisfy unions. if they get their way will all workers pay? >> thanks. we'll be watching. up here first we have ways of finding things as simple as our phone and keys. why not the same for planes. is the latest air disaster proof we can't afford not to have it.
was there a way to find victims sooner in the airasia disaster? some are calling to put realtime tracking on all planes, no matter what the cost. >> generally, i'm not for regulations if they raise costs. on the other hand, i can track when my groceries are going to get delivered and when a car service is in the block. it's time to track a plane where it is. it's not that excessive or expensive. i the track a dog for $30 a month. this is something that needs the government to step in and require. >> it's not 30 bucks a month. it's a huge cost.
a canadian airline says it costs them 120,000 bucks a plane. that means higher air fares, doesn't it? >> not necessarily. through fuel efficiency because they are using gps to track the plane, there are a lot of efficiencies. you can make up for it in fuel alone. i done see why it's not already done. it should be standard on airplanes. >> gary b.? >> i disagree. this is another case of the government dictating how safe you should be and what you should do. here is how the free market should work. if an airline company's plane went down and they said we decided not to go with the tracker. what do you think would happen to that business. zero. no ceo, if he thought the passengers were willing to pay would go without the tracker. if they thought they would get away with it. not every car is a volvo. they advertise how safe they
were. there were cars that were less safe. why the government didn't say every car must be a volvo and have the safety stuff. the airlines would be willing to pay if the market is out there for it. >> chuck, what do you say? >> we are using a 1972 vw bug to track it. something very old and outdated. that is the free market. nobody is going to make them do it. if they don't have to do it, they are not going to. there's technology out there. this should be more cost efficient than $120,000 a plane. if i can track my dog, i should be able to find a plane cost effectively. >> tracy what do you think? >> it's a head scratcher. this is one of the few times that why hasn't the free market stepped up. why wouldn't commercial airlines do this? again, i track my kids for free.
you are getting robbed to track that dog of yours. we are tracking everything under the sun. this should be one of them. >> a good mom can track their kids. thank you to tracy and chuck for joining us. you ever wonder how good these guys really are at picking stocks? we have their best and worst calls of 2014, including the name that could have made you a 121% profit. [ male announcer ] fedex® has solutions to enable global commerce that can help your company grow steadily and quickly. great job. (mandarin) ♪ ♪ cut it out. >>see you tomorrow. ♪ ♪
it's the most fair and balanced way to make money on tv. our best and worst calls of 2014 and how you can profit from them. right now in the score board. so, we choose the bad and good here on bulls and bears. starting with the best to the worst or something like that. gary b. you are up first. march you said express big profits. itis down 20%. a bump before the boom?
>> i don't -- yes. yes, i think so. stock is bottom. i was trying to decipher that. i would hold on to it yes. >> on to number two, you said soda stream would be popping. instead it's sizzled. down 52%. falling below the minimum market cap. you like it? >> no i'm not convinced it's not a fad at this point. >> okay. now for the worst call in 2014. last february, you said safebulkers was about to have a big profit. the delivery has been delayed, falling 62%. also falling below the $500 million market cap. still a believer? >> no. energy and shippers were wrong. i like some of the energy stocks i was wrong on. the shippers, i see a lot of problems. i'd stay away. >> now, to the best calls. john, you are going to kick things off.
january, you said crack open a cold one with molson coors. you were right. it's up a cool 40%. time to tap more? >> no, i wouldn't be a buyer here. if you own it i would crack open a cold one and watch the profits. i think the stock is okay but not a buyer. >> on to number two. gary b. in august, you said make america safer. it secured our viewers 69% profit. time to stock up on more? >> i would not, brenda. i think it's overbought at this point, take the profits. >> for the number one call in 2014 jonas, last january you said southwest would be flying high. you were right. it's taken off 121%. stay and enjoy the ride or quit while you are ahead? >> you will do better in jetblue. >> thanks. you only get that fair and balanced pat on the back and kick in the butt here. that was then, this is now.
time for the best name to own in 2015 in predictions. gary b., quickly. >> verizon. >> john? >> gopro, up 50%. >> jonas? >> dowcal. >> neil take it away. just imagine turning your back on your boss for some new york city police officers, it was no problem at all. i'm neil cavuto. the national implications of a snub. ahead of the funeral of the second police officer shot in new york will there be another show that the force doesn't like. the nypd veterans turned their back on the mayor. if this happened in the corporate world would the boss have to go or would the people turning their back go? to ben stein along with larry and the co-founder of accountability