Nov 14, 2012|
What's Up On Wall Street - Liz MacDonald, Fox Business
Transcript - Not for consumer use. Robot overlords only. Will not be accurate.
Good morning and welcome to the financial exchange seems some stranger market action here that it it down instructed the negative territory for the strangest part. Of the market activity so far this morning June is. -- we talked about FaceBook and how they were unlocking a lot of shares for sale in November bright young eight nearly 800 and just put a number on it. 804. Million of shares got unlocked today by FaceBook. Yet the stock is up two dollars and 2180 I want to get it just needs some help out do that well maybe Liz MacDonald can help yeah. He should maybe maybe she can expect 'cause I kind of figured in the trade would go the other day Liz MacDonald is an anchored down of the Fox Business Network. She's followed this FaceBook story since March Liz Larry -- I'm doing great it to be recognized. So how did I blow so badly on this FaceBook -- I. You'd love it and keep it at all I mean this year penetrated -- or that and respect between them but it'll. There's a lot of questions about the number views there's space bucket cleaning. Lotta Lotta questions. The it but the pain has won one billion users. Not a double counting is that analysts are finding. And lot of speak -- -- in and the numbers that we don't really know what the real corporate. And I'm awake at eight but make money off and the art -- -- I think. On mobile phones I would -- but we need to and you know that mobile phone don't think cookies. Became attracting users Peter noble on. -- I've got five kids and all my kids have started to stop using. FaceBook and they're I don't know why general it's bad it's not just one of my five all five -- Art art art like they might check on FaceBook once every couple weeks where is he used to be at least at least it used to live on FaceBook. -- that's such an important point because it's the children you know -- -- like this in California and showed economic different children -- and trends. There's also networking and you know when you think about it but not mine is just one big social. You know app the application. That can becoming elsewhere editor at figuring Twitter at an economic at a at the immediate. Yeah we'll find out a year to right. Is that that he always find out after your kids know with the -- it's a. Another problem -- you're probably on the right track what their deal and I don't want that -- parent it's a. But it they're sick of their mother asking them who who's that her music earlier in the picture where are you dating her are you. Abide by that I have a son in college at city he said dad I'm not isn't FaceBook any work -- mom is is -- me and god forbid if your if your child starts to date somebody up right. The eight then mom and dad start stocking the person you're dating if it. It it that's what happens yeah. They how far apart help me out here and help our audience out. You know we're facing this fiscal -- the market has been ugly for a week. In in in light of this. With how far apart -- Boehner and president. No I -- editor. As a football field was an -- you know they're probably at its era minor build our our. Com and you know that the enforcement because many think about it but at that list was not created by -- -- -- they it was a development you know -- congress but now let. A year late that year. And though you know what are we being in the market acting any of it note that there is now off there's been you know -- and a part of and the upper bracket events are based -- locking in their campaign now yup. Before they -- that act the bill up on capital -- by the -- didn't -- they're gonna go up. According to Ernst and young -- 45%. When you count the health reform act -- beat the. -- this would make seat that's going to be tough fund dividend paying Sox are in in some ways. Up and Peter it has been it can't reliant it is count in only get microscopic you know. Interest rate. And now they've been relying on -- -- the -- ethnic. Well it gets -- pay the dividends of pride maintained that they're gonna have to pay a higher rate of tax on those dividends that they may have bought shares of AT&T thinking. Well this is great I -- to pay 15% tax and then next year that 15% tax could go to I think 4344%. Naming an ad in the state rate as. Four point and what we're seeing his -- actually 2009 time company's historic record their capitals -- -- not paying out dividends they'll. Being a number of companies last their -- actually. It's a lot of emanate between on the ended the year I. Now I mean you know at least on that already. You know basically company name but you know we got to -- an act -- L owners -- private that is that -- I think the there. The company through -- a -- a possible act like LGL 400 million. They're not minority can he could and -- let me. And active people a year that's and that's -- one -- like George that the baby is in -- were in is that it under the the. We saw -- little deal up here in mass we saw. Priceline by kayak and it was all motivated by tax -- so. Are -- hate list thanks very much for your time appreciate it. Thank -- Liz McDonald joining us from the Fox Business Network down in the Big Apple. New York City yes hey you know the there's a lot of concern. Out there -- I get emails from our audience I can't text messages from the listeners. They want to know what is the financial future hold if you have a question if you want a text me. A question if you an email me question my text number is 68680. My email address is very Armstrong at wrko.com. Saying your messages through June will service your interpreter as a matter fact I think you've already stocked up a few -- -- I've got one right now they say hey -- my daughter a single parent mom of two children. Cannot continue in her underwater present home and only has part time job. In this job she just started a 401K she's considering declaring bankruptcy if she does this will she lose her car and her -- The 401K I can tell you know she will not when you go through bankruptcy your 401K is safe assuming it is less than a million dollars and I think that's a safe assumption. In this scenario that you just described parts of the 401K is all right. The car on the other hand. -- the judge could say you know yet to fork over the carpet. I think it depends on the value of the car as she needed to in order to support her family and go to work the judge I just say you know what the car's got. -- it's worth two or 3000 dollars I'm not gonna make you EE give up the car. In order to go through bankruptcy so certainly the house but it sounds like she's upside down on the house anyway -- there's not it's not losing anything there. Car. Could she lose it yes -- she she could very well. Lose the vehicle forward -- however were remain a safe and protected us. Can't pay Barry I found a Condo in New Hampshire worth a 170 grand and I'll love it be perfect for me. But my home in Wayland is full of generations of stuff that would take me six months to clean this place. The estimated value of that property 500 grand with a small mortgage of eighty grand. Would reverse mortgage be a good group and keep my savings are cash. -- You know well here's the thing -- -- the the -- property she's probably in and up selling at some point right. And reverse mortgages are wonderful but they're generally reserved for situations where you -- remain in the property for at least five years and here's the logic to. The costs associated with a reverse mortgage are very high relatives say a home equity line of credit or some other form of financing so. If it's a six month and I think that's what she -- -- it's a six or seven month deal before he. Moves up there. My advice to you would be. Go in and talk to your banker your credit union about one of two types of loans to home equity loan. Or home equity line of credit both of them are free as in effect right so you don't have to pay. Closing costs to get home equity loan or line credit. That's gonna say you might pay a higher rate you may have to pay for 5% interest but so what you're not paying any closing costs annually and be in the loan for six or seven month period time. That makes more sense than going through the process of getting in reverse mortgage I want another -- no later you'll do take a break. But our text number is 68680. June will service your interpreter saying your messages to a 686 city or send us an email at my email address is very Armstrong at WRK a dot com.