The Dow Nears 13,000

Jeff Macke analyzes the morning business headlines.
6:51 | 02/17/12

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Transcript for The Dow Nears 13,000
Taking on -- what is business headlines is Jeff MacKey co host of break out on Yahoo! finance Jeff good morning to you good morning -- very busy Friday just the past hour got some numbers on inflation for the month of January. Labor Department says consumer prices rose. Point 2% what's your read on that. It just terrific near Israeli point 3% was expected by economists and they really thought this might be pushed -- a little bit by the price of gasoline which is moving quite a bit higher. But -- you -- -- include food and energy. The inflation level is low that's bullish anywhere you look at. Yeah -- well and speaking of bullets and the Dow. Very very close to that thirteen thousand -- and we're looking at the boards right now up about 46% at 12100950. Just fifty shy of that mark. If -- already hit back today. Yes OK he's. Shall I elaborate what I would please do -- -- This stock markets and whether you believe in this -- thing or not they like big round numbers we're gonna go to thirteen thousand. That's going to represent multiyear highs and -- you expect markets the kind of idol below that level or around that level. I'm a buyer there if you hang out at thirteen thousand I think we're going higher this year than bullish aspects of this market are still in place so we're going higher it's just a matter win. Now -- what and the question that Butler and -- as with a big performers -- for the year stocks that didn't do quite so hot 2011 companies Netflix Bank of America. Why -- these losers performing. -- confluence of a couple different events one. People are reaching out to risk your names -- one of buying stocks that really haven't performed in years. Because they think they're gonna get more bang for their -- and in this case they are on the other side about -- people betting against these stocks the shorts. Well you know they've made quite a -- profit if you look at Netflix over last year -- so. The shorts are still up 60% and so they're going to be buying and they say if you have those two together you create a lot of natural buying and not many sellers -- these names. I wouldn't play them it's a high risk zone the deep under the water if you will. But if it's an interesting fact and it happens usually pretty much every year so few people taking profits leaving their cash in the markets yeah yeah out there thereon. United -- people -- just on the sidelines we've seen mutual fund outflows. For eight months and came in flat in January. The retail investor just hasn't been by -- -- and they're gonna have to start because -- in a pretty terrific rally. Parliament its earnings numbers out today from Campbell Soup Heinz K. Swiss we will look for anything big bill -- also making some numbers today. You know it -- the interesting thing is a combination of Campbell's soup -- And General Mills Campbell's and General Mills both had really soft revenues I think your music consumers from shopping a little smarter in the wake of -- Great Recession. Case which was a disaster but they don't have a lot of names going on that area and Nike. Need -- -- as they don't have that happening so we've seen yeah I'm pretty good numbers overall there's definitely evidence that the consumer while spending. Slightly less suspending it smarter. And that's been these companies -- handle it and stocks -- up. We would be remiss if we didn't head overseas and talk about what's happening in Europe and -- specifically -- -- -- -- Greece is actually getting closer to that bailout now. We heard this before over the probably replay the tape a couple times and have the exact same line on their. Is there any reason -- what we should believe that this now this time is different that they are gonna get a deal done. Well I think what you have to believe is that a deal just doesn't matter. Politicians and Greece have been running on the idea that they're gonna reject this deal with kind of a weak economy not so they're voting for -- -- the same time. -- has elections in March and so by April whatever deal they signed is going to be done. As -- imagine these austerity measures are really unpopular Greece and increasingly so in Germany without the Germans on board the Greeks are going to be on board either. I don't think it matters what -- -- side. Just operate because -- obviously gets all the headlines for Spain and Italy not doing so hot themselves are those of bigger concerns -- have to worry about later on down the road. We're gonna have to worry about him at some point my personal theory is that you take that you're zone you're gonna take basically a bifurcation of the northern countries. And the -- in the northern countries like Germany continue to do okay. And there's a perception there that they're bailing out degrees the world be Italy's of the world. It's getting increasingly contentious with the Germans being accused of all sorts of horrible things allusions to World War II. Going on in Greece and Italy where as the the Germans themselves are getting tired of putting -- of these shenanigans and -- may not take part in any deal. -- and obviously -- Key player in any kind of negotiations -- and doctor -- -- -- but apple now because Apple's got a bit of a story on their hands today the company may not be allowed to use the term -- In trying to. Al you know can't use its own name in China what what -- that -- that. I'm just -- complete lack of respect for trademarks and copyrights in China and that'll do it. Gap that'll do an -- it's. As it turns out apple trademark or whatever it's called over there I guess -- tried to trademark the name iPad 2009 -- -- -- on the paid the money and now. They're just getting ripped off straight -- to right. It's a battle that continues to happen folks ought to be pausing now. To look at that whole Chinese -- story because this isn't new McDonald's has been ripped off what -- -- brand. It happens with Pepsi it happens lot of brands the United States is going over there and were reliant on those exports really gets the next leg -- the economy. Is absolutely fascinating to watch that happen because every other country in the world just whatever -- have to -- abide by that but China. Seems to be the player that can get away with back and -- well any other huge -- one thing they've got trillions of dollars and so you know we get the political rhetoric that we're gonna crack down on China. And take with a -- -- right exactly is Zynga. They have new game plan all to decrease the dependence on FaceBook because really mean they're the ones that if any FaceBook pretty much put on the map what -- we see from them coming out. I will promise him fall off the map they're talking about getting their they're basically focusing on their own web sites and they have to sell the same virtual goods they do on FaceBook. That's pretty tough to do that's not just going to happen for a company with over 90%. Of their business reliant on FaceBook. FaceBook and -- small number kick them out pretty much on a moment's notice and that's a real strong -- you're going forward -- FaceBook is under. On -- -- before we go everyone's getting in on this the Jeremy -- an action of course he gets -- -- -- -- court again tonight against the hornets. Predictions catch phrases what do you want to throw out of the -- Jeff. I think it's a landfall. For that and northeastern area they of these sporting goods companies organized with -- this core source of an awful -- formed but between that the giants and -- mania. The revenues are going to be Twitter for the sporting goods company so what do I make and it. Profits that's what I make -- his money -- is imminent trade these names long. And that's exactly -- Lazio take one last look at the -- very quickly began trading in positive territory little -- -- 128 points they're 121900. Could be hitting thirteen thousand Jeff MacKey. From a partner Yahoo! finance thank you so much sir have a great weekend absolutely you --

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

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