Social Security Boost, Housing, Earnings Reports Up

Ellen Braitman discusses the morning business headlines.
6:59 | 10/19/11

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Transcript for Social Security Boost, Housing, Earnings Reports Up
Dow futures were flat this morning a day after the index rose a 180 points. Joining me now to discuss the business headlines at this hour celebrate and from Bloomberg TV not -- -- to CEO -- Stephanie good morning so we've got. Busy morning here let's start with an announcement a lot of people are talking about acting about 55 million people an increase in Social Security payments -- this have. Line came out just over an hour ago three point 6% increase it kicks in January on what it is is tied to -- the cost of living adjustment. We have not had an adjustment since 2009. Because inflation was flat. In till we have had that surge as we now about earlier this year. And that's why this payment is happening it kicks in automatically. -- 467 dollars or so on average per month for the typical Social Security recipients so -- A lot of folks who depend on those paychecks -- am getting a bit of a sigh of relief that's absolutely okay about an hour ago as well. The Commerce Department released new numbers on housing starts they were up. 15% for September is that strong enough to signal a turnaround. Yes I was pretty -- right that acts on an -- anywhere ever hear those kinds of numbers. It was apartment building so what's happening here we know folks are losing their homes to foreclosure we -- people are putting off buying homes because they don't have a -- they're not -- What those values are going to be up further down the road so what's happening is builders are adjusting. So they're building more multifamily housing and that's really where you got that it pops -- me. You know in terms of the takeaways is signaling a really on any kind of bounce back or you know overly on the housing side. -- also in the last -- the Labor Department came out with new numbers for the Consumer Price Index what's the message there. -- -- this is going to be tied to that Social Security story we're just talking about because it comes down. To inflation and it was an -- rate part of the reason again at that Social Security -- arteries in the Social Security payments. Are going up so in September. The good news is that pace of growth slowed down so it was the slowest pace of growth we've seen in three months. And it was as your point 3% increase if you take out the volatile food and energy what -- like to look at that so called core rate Dow was up just 110. Of 1% -- inflation is -- But folks looking at this report and not calling it what you call a hot report. When the numbers are really run -- okay -- breaking news to tell us about Abbott labs what can you tell us about it. -- -- -- came out earlier today and they said they're gonna split. Into two separate companies its accompany that. Naics drugs it also has medical devices and because of the company's reliance on Hume -- It's anti inflammatory drug very popular for respiratory or -- -- -- -- On because of the reliance on that drug this stock has underperformed. Compared to the overall say health care in -- -- so the company's gonna split into generic drugs and medical devices. And then a company that is focused on on research based -- so we're seeing the Abbott shares I get a pop up 7%. I -- when I last looked at the stock on this news OK let's turn out their earnings Morgan Stanley is among the companies reporting today what's -- take away that -- -- there. Right it was -- scouring these financials to get a sense of kind of health backed companies as well as consumers but Morgan Stanley obviously more dependent on. On corporate customers they mean much better than expected they did have this accounting change that a lot of the big financial companies. Have been getting help from this earnings season but they also. Did well and had much more stock trading. Compared to a year about -- was significantly up higher than we've seen at other banks. So Morgan Stanley doing real well here when it came to this report I believe also the exposure that they reported. When it comes to European banks lower -- some folks have been -- that's interesting that coming off the heels of that negative Goldman report hearts and it seems like a mixed back there. Aren't let's talk about apple missing estimates from the street yesterday what exactly happened. And how has the stock and reacting. I know they're net income was up 54% seeking help. I and -- how -- adding a million iphones but. Analysts on average had been looking for twenty million I've. To have been. Bought so here's what's happening it seems a lot of folks held off for the four -- -- which of course when one's elders on Friday. So that was after the quarter ended this toxic -- you know when I last -- it was off about 5%. And it is the first profit -- the company has had in more than six years but of course a lot of that. Kind of comments out there are very on positive today could spokes you know these you know before -- -- -- is selling like hotcakes I passed the this -- -- add. Fifth and fifty ninth yesterday and they were about -- like -- 150 people in line waiting to get into the store to buy a phone and as we now a lot of desperate don't even have the funds available they're sold out. -- and we've heard so many good reviews about that song -- is so hard to keep page whether this is -- -- downturn for this company. Certainly not -- we're still talking about Europe and and we're still waiting for some sort of resolution in the Euro debt crisis today we're here about massive strikes that have brought -- basically to a San standstill. Workers -- right government cutbacks -- what else going on. Yeah -- you know you know -- of course is is the epicenter and that their country is facing potentially more cuts workers there are striking about that. And really -- -- weaken talk about all these US earnings. Rolling in but it really seems like the stock market especially. These days is depending on the headlines. Out of your site yesterday when we went into rally -- Right despite that loss for example at Goldman Sachs because there were reports saying that France and Germany had agreed to increase the bailout fund but conflicting reports that we're not really -- -- what's happening on that front. But we do know for sure that October 23 there's another meeting. Where leaders in the eurozone are getting together to try to hammer out some kind you know. I don't want called bail out my right yelled out some kind of you know programme were gassed up planet they're going to be taking -- what you watching today Allen. You know I'm -- down here at the markets we do you currently have. A flat market you know the Dow and the S&P are unchanged the NASDAQ downpour can't separate thank you I'm at apple right it makes at 15%. Of the NASDAQ-100 so as apple -- -- -- Is the NASDAQ and ago and also -- -- at the Fed officials saying that the Fed policy mr. dollars and it's appropriately easy and that. Our relapse for the economy He says it's unlikely to watch in those headlines it's times like traders on the sidelines right now I'm rate and Bloomberg TV thanks so much on a great day it is -- --

This transcript has been automatically generated and may not be 100% accurate.

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