Alex Witt | July 06, 2013
>>> time for the big three money headlines this morning. they are gas price surge, jobs jump, and the dow catapulting to 60,000, really? details from retail economy analyst. good morning to you. let's go to gas prices first. holiday weekend. people are out and about. combine that with unrest in aoe egy egypt.
>> political analysts are not only watching the situation in egypt but oil analysts are watching that. right now crude is trading $102 a barrel. as this unrest unfolds, they're expect to go trade at $110 to $112. that will impact the gas prices in a negative way. the ici, is saying that consumers pretty much spend around 6% to 13% more in gas prices in the summer months. we're spending about $3.50 a gallon now. but as this unrest unfolds, we can almost guarantee we will spend more on gasoline.
>> okay. what about the jobs numbers on friday. interpret the numbers and how you think they read.
>> right. well, the unemployment stayed at a stagnant 7.6%. but we added 195,000 jobs. also, small businesses added about 25,000 jobs, which is a good thing. however, because analysts are saying that that number, they were expecting it to go down to 7.5, having it at 7.6% doesn't mean we're out of the clear yet. so they're waiting to see what happens next month and see if that number comes down a little bit.
>> here's something that left me scratching my head. the dow reaching 60,000? says who?
>> wishful thinking, right? a hedge fund manager runs baron capital. $7.6 billion in his fund. he buys and holds that stock. so he's saying if you go ahead and think about invest anything a company for its value and if you hold on to it you're going to make about 7% on that and really make some money on that. now, he's basing this on the fact that the dow has increased over -- it's gone from maybe 1,00015 years ago to 15,000 now. as he projects forward, he expects that to go up to 60,000.
>> sounds like you have to hang on to it for a lifetime to get that.
>> at least for 20 years,