Stocks: 5 things to know before the open

Click chart for in-depth premarket data.

LONDON (CNNMoney)

Here are the five things you need to know before the opening bell rings in New York:

1. It's all about Japan: The Bank of Japan has shocked global markets by boosting its aggressive stimulus program in an effort to keep the country's economic revival on track.

Japan's Nikkei index surged by nearly 5% to hit a seven-year high and stock markets around the world are rallying.

Asian markets closed with significant gains and European markets have jumped by at least 1% in early trading.

U.S. stock futures were also surging by more than 1%.

"The move by the Bank of Japan was not only unexpected, but shows the divergence between the major central banks around the globe as the Federal Reserve has just ended monetary stimulus and the Bank of Japan is speeding up the printing presses," said Angus Campbell, a senior market analyst at FxPro.

Related: Stocks give investors a big October treat

2. Stock market movers -- Starbucks, GoPro, Citigroup: Shares in Starbucks (SBUX) are taking a tumble -- down by about 3% premarket -- after the company said it expects profits will fall short of expectations during the next three months.

Shares in GoPro (GPRO) are surging by about 15% after the company reported a better-than-expected third quarter and issued an upbeat forecast for its business.

Meanwhile, Citigroup (C) shares are off by about 1.5% premarket after the company said it had to revise its third quarter earnings. The bank said profit was $600 million lower than previously stated due to higher-than-expected legal costs.

Related: CNNMoney's Tech30

3. Earnings: There are plenty of earnings to watch Friday. Anheuser-Busch InBev (AHBIF), Chevron (CVX), Clorox (CLX), and Exxon Mobil (XOM) will report earnings before the opening bell.

Overnight, Sony (SNE) reported a second quarter net loss of $1.2 billion, and the company confirmed it's on track to lose a staggering $2.1 billion this fiscal year. Shares edged higher, but missed the rally that other Japanese stocks enjoyed.

4. Economics: The Bureau of Economic Analysis will post monthly personal income and spending numbers at 8:30 a.m. ET.

The University of Michigan will report the final version of its monthly consumer sentiment index at 9:55 a.m. ET.

5. Thursday market recap: U.S. stocks closed higher Thursday. The Dow gained 221 points. The S&P 500 closed 0.6% higher and the Nasdaq moved up by 0.4%.

First Published: October 31, 2014: 6:08 AM ET

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Bank of Japan stuns market with even more stimulus

HONG KONG (CNNMoney)

In a surprise announcement, the central bank said Friday that it will increase its purchases of longer-term debt, building on a stimulus plan first announced a year and a half ago.

The bank will now make asset purchases at an annual pace of around 80 trillion yen, an increase from the previous 60 to 70 trillion yen target range. The Nikkei jumped by as much as 5%.

The bank's decision was far from unanimous -- five board members voted in favor of additional stimulus, while four voted against the proposal.

The additional stimulus puts the Bank of Japan at odds with other central banks, including the U.S. Federal Reserve, that are scaling back or ending their stimulus programs.

Related: Can anything save Sony?

The actions are meant to boost Abenomics, an ambitious plan for economic reforms championed by Prime Minister Shinzo Abe.

The idea is that further easing, combined with government spending and structural reforms, will stave off deflation, leading to more robust growth for the world's third-largest economy.

While Abenomics has put an end to 15 years of falling prices, critics say it has failed to lift wages, bring more women into the workforce or boost exports.

Related: Japan's economic revival is in jeopardy

Abe has also failed to push through many key structural reforms, and the window for real change is closing quickly.

One major problem is that the "virtuous cycle" promised by Abenomics supporters has been slow to materialize. The thinking was that an increase in sales would boost corporate profits and lead to higher pay for workers, who would put more disposable income toward spending.

Much of the economy's recent poor performance was attributed to a recent sales tax increase. Consumers rushed to make big purchases in the first quarter before the tax kicked in, but many closed their wallets after it took effect.

First Published: October 31, 2014: 1:47 AM ET

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Can anything save Sony?

TOKYO (CNNMoney)

Major rating agencies Fitch and Moody's have downgraded the company to "junk" status. Standard & Poor's has warned it could soon do the same. The company has announced plans to scale back its smartphone business.

On Friday, Sony reported a second quarter net loss of $1.2 billion, and the company confirmed it's on track to lose a staggering $2.1 billion this fiscal year.

Since assuming Sony's top job in 2012, CEO Kazuo Hirai has spun off the company's television business, sold its Vaio PC operation and slashed thousands of jobs in a bid to rapidly restructure the company.

These are the kind of changes that investors have been calling for. But so far, the CEO has little to show for his efforts.

That stands in stark contrast to Sony's glory days. The Sony Walkman revolutionized the way people listen to music, and Sony's Chromatron and Trinitron lines brought color television to the masses.

But engineers across the company say they are not dwelling on the past. Instead, they are hard at work developing products that might revive the firm.

At one Tokyo campus, a deputy manager demonstrated a credit-card sized electronic device that is designed to replace a wallet full of cash cards used by millions of Japanese consumers. The device connects to a smartphone, and allows users to easily buy train tickets or snacks at the convenience store.

Sony (SNE) is also developing "SmartEyeglass," a wearable pair of glasses that the company says will act as a second screen for a user's smart phone and eventually incorporate facial recognition technology.

Related: Movie theaters ban Google Glass and other wearables

The criticisms of these products are familiar -- Alibaba and Apple already have payment apps, and Google Glass already exists. Where is Sony's next revolutionary offering?

While Sony waits, the company will rely on proven strengths, including its PlayStation console and high-res audio division. The company's Hollywood studio is in good shape, as are its imaging and finance units.

Related: The world is running out of plasma TVs

But can Hirai accelerate change, and answer critics including activist hedge fund managers like Dan Loeb of Third Point? Loeb has pressed the CEO for a more far-reaching restructuring of the company, including a spin off the film and music division.

Analysts say something must be done.

"In high grade products, they still have relatively strong brand recognition in the Japanese market. But globally, unfortunately, no," said Makiko Yoshimura, an electronics analyst with Standard and Poor's. "It's very tough to maintain competitiveness of technology. It's a very tough challenge."

A walk through Toyko's world famous Akihabara electronics district reveals the difficulty of the task facing Sony.

Hirroki Ueno, a young salaryman, holds an iPad as he speaks to CNN.

"Sony doesn't seem to be making new products like they used to," Ueno says. "It seems like they haven't done much in the last 10 years."

First Published: October 30, 2014: 10:33 PM ET

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Baby Boomers say they aren't moving out of their homes

NEW YORK (CNNMoney)

In a survey of 4,000 Baby Boomer households conducted by the non-profit Demand Institute, 63% of Boomers plan to stay in their current home once they retire.

Much of that has to do with the recession. The financial crisis put an end to years of rapid wealth accumulation, causing the typical Boomer household's net worth to fall to $143,000 in 2013 from just over $200,000 in 2007, according to Federal Reserve data.

Related: Why everyone is moving to Texas

Not only that, but this generation is also carrying a lot more mortgage debt. The survey found that the median outstanding mortgage balance for 50- to 69-year-olds was $118,000 in 2013, up from $48,743 in 1992.

"Boomers' nest eggs have shrunk dramatically in recent years," said Jeremy Burbank, vice president at The Demand Institute, the non-profit think tank run by the Conference Board and Nielsen. "Financially, this generation is not necessarily ready for retirement, and half of their assets are tied up in their homes."

Related: How to avoid homebuyer remorse

Not everyone is planning on staying put, however; 37% of the Boomers surveyed said they were planning to make a move.

Nearly half of the movers said they wanted to get a bigger place -- and that they intended to spend more money on it. But with a median net worth of just $40,000, this group was among some of the least wealthy surveyed. In fact, the report found that many of those who were looking to "upsize" were also looking to switch from renting to owning.

Those who said they plan to move into a smaller home were much more affluent, with a median net worth of $322,000, the Demand Institute found.

Related: Asset allocation; fix your mix

Whatever the size of the home, Boomers seemed generally unconcerned about whether or not it would be "aging-friendly" -- even though a whopping three-quarters of them reported having significant health issues, such as cardiovascular conditions, arthritis, obesity and high blood pressure.

And only one-in-five of the movers said they intend to live in senior housing.

Instead, many of those surveyed said they plan to use their money to remodel things like kitchens and bathrooms in order to increase the value of their existing homes.

More than 17% of the 76 million Boomers are already retired and about 10,000 will reach the traditional retirement age of 65 every day for the next 15 years. And even though many Boomers plan to stay in their current homes, the Demand Institute estimates that this generation will purchase about $1.9 trillion in homes over the next five years.

"Their choices will have a real impact on the housing sector in the next several years," said Burbank.

First Published: October 30, 2014: 7:29 PM ET

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Bank of Japan stuns market with even more stimulus

HONG KONG (CNNMoney)

In a surprise announcement, the central bank said Friday that it will increase its purchases of longer-term debt, building on a stimulus plan first announced a year and a half ago.

The bank will now make asset purchases at an annual pace of around 80 trillion yen, an increase from the previous 60 to 70 trillion yen target range. The Nikkei jumped by as much as 5%.

The bank's decision was far from unanimous -- five board members voted in favor of additional stimulus, while four voted against the proposal.

The additional stimulus puts the Bank of Japan at odds with other central banks, including the U.S. Federal Reserve, that are scaling back or ending their stimulus programs.

Related: Can anything save Sony?

The actions are meant to boost Abenomics, an ambitious plan for economic reforms championed by Prime Minister Shinzo Abe.

The idea is that further easing, combined with government spending and structural reforms, will stave off deflation, leading to more robust growth for the world's third-largest economy.

While Abenomics has put an end to 15 years of falling prices, critics say it has failed to lift wages, bring more women into the workforce or boost exports.

Related: Japan's economic revival is in jeopardy

Abe has also failed to push through many key structural reforms, and the window for real change is closing quickly.

One major problem is that the "virtuous cycle" promised by Abenomics supporters has been slow to materialize. The thinking was that an increase in sales would boost corporate profits and lead to higher pay for workers, who would put more disposable income toward spending.

Much of the economy's recent poor performance was attributed to a recent sales tax increase. Consumers rushed to make big purchases in the first quarter before the tax kicked in, but many closed their wallets after it took effect.

First Published: October 31, 2014: 1:47 AM ET

15.30 | 0 komentar | Read More

Can anything save Sony?

TOKYO (CNNMoney)

Major rating agencies Fitch and Moody's have downgraded the company to "junk" status. Standard & Poor's has warned it could soon do the same. The company has announced plans to scale back its smartphone business.

On Friday, Sony reported a second quarter net loss of $1.2 billion, and the company confirmed it's on track to lose a staggering $2.1 billion this fiscal year.

Since assuming Sony's top job in 2012, CEO Kazuo Hirai has spun off the company's television business, sold its Vaio PC operation and slashed thousands of jobs in a bid to rapidly restructure the company.

These are the kind of changes that investors have been calling for. But so far, the CEO has little to show for his efforts.

That stands in stark contrast to Sony's glory days. The Sony Walkman revolutionized the way people listen to music, and Sony's Chromatron and Trinitron lines brought color television to the masses.

But engineers across the company say they are not dwelling on the past. Instead, they are hard at work developing products that might revive the firm.

At one Tokyo campus, a deputy manager demonstrated a credit-card sized electronic device that is designed to replace a wallet full of cash cards used by millions of Japanese consumers. The device connects to a smartphone, and allows users to easily buy train tickets or snacks at the convenience store.

Sony (SNE) is also developing "SmartEyeglass," a wearable pair of glasses that the company says will act as a second screen for a user's smart phone and eventually incorporate facial recognition technology.

Related: Movie theaters ban Google Glass and other wearables

The criticisms of these products are familiar -- Alibaba and Apple already have payment apps, and Google Glass already exists. Where is Sony's next revolutionary offering?

While Sony waits, the company will rely on proven strengths, including its PlayStation console and high-res audio division. The company's Hollywood studio is in good shape, as are its imaging and finance units.

Related: The world is running out of plasma TVs

But can Hirai accelerate change, and answer critics including activist hedge fund managers like Dan Loeb of Third Point? Loeb has pressed the CEO for a more far-reaching restructuring of the company, including a spin off the film and music division.

Analysts say something must be done.

"In high grade products, they still have relatively strong brand recognition in the Japanese market. But globally, unfortunately, no," said Makiko Yoshimura, an electronics analyst with Standard and Poor's. "It's very tough to maintain competitiveness of technology. It's a very tough challenge."

A walk through Toyko's world famous Akihabara electronics district reveals the difficulty of the task facing Sony.

Hirroki Ueno, a young salaryman, holds an iPad as he speaks to CNN.

"Sony doesn't seem to be making new products like they used to," Ueno says. "It seems like they haven't done much in the last 10 years."

First Published: October 30, 2014: 10:33 PM ET

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Samsung profit plunges 60% amid smartphone troubles

HONG KONG (CNNMoney)

The South Korea-based firm posted operating profit of 4.1 trillion won ($3.9 billion) for the third quarter -- a 60% decline from the previous year.

Third quarter sales were also lower than the previous year, falling nearly 20% to around 47.5 trillion won ($44.6 billion).

The earnings report was actually stronger than analysts had expected, pushing Samsung shares trading in Seoul up by 2%.

The company blamed the lackluster performance on weakness in its smartphone business, which has lost ground to high-end competitors, including Apple (AAPL, Tech30). At the other end of the cost spectrum, upstart smartphone makers like China's Xiaomi have also stolen market share from Samsung.

Related: Forget Samsung, Xiaomi is China's new smartphone king

The pressure on Samsung is part of an industry trend, driven by declining margins and growing saturation in the smartphone business. The company has been forced to rely on sales from other parts of its business including semiconductors and other technology to offset smartphone losses.

Samsung said it "cautiously" expects an earnings increase next quarter as it plans to ship more TV products.

Related: Want to invest in Samsung? Good luck!

Mark Newman, a senior research analyst at Sanford C. Bernstein, told CNN before the earnings release that Samsung can regain market share if it acts quickly.

"What Samsung really needs to do is be more aggressive," Newman said. "They've been too arrogant that they could continue to maintain significant market price premium with lower spec products."

-- Andrew Stevens contributed reporting.

First Published: October 29, 2014: 10:30 PM ET

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Ballmer: Clippers' opener is a 'product launch'

Laguna Beach, Calif. (CNNMoney)

Steve Ballmer, the former CEO of Microsoft, (MSFT, Tech30) is finding that owning a basketball team isn't so different from running a tech company.

Ballmer bought the Los Angeles Clippers in August for a record $2 billion -- and Thursday is the season opener against the Oklahoma City Thunder.

"It's a product launch for all intents and purposes," Ballmer said at a Wall Street Journal tech conference in Laguna Beach, Calif. "You have no control over the outcome."

Related: Under Ballmer, L.A. Clippers bench iPads

"You can build a great product, you can give it all the good marketing, you can tune it, you can tweak it, you can worry about it -- but we still gotta win the darn game tomorrow night for this story to have a good next chapter."

Ballmer, who is still Microsoft's largest individual shareholder (with no plans to sell), said he's far from abandoning his role in the tech industry.

Related: Murdoch takes ownership for Myspace failure

"I've learned as much about machine learning in the last three months getting ready for the Clipper home opener as I did in the last three months I was at Microsoft," said Ballmer, referring to a partnership with an L.A.-based startup that will use the arena's cameras to analyze plays and engage attendees.

"We've got stuff with tech that we're absolutely doing," he added.

But the excitable executive is looking forward to other things, too.

"Fergie's going to sing the national anthem," said Ballmer, who broke out in her new song, "L.A. Love" at the announcement. "La la la la la," he sang.

First Published: October 29, 2014: 11:18 PM ET

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Stocks: 4 things to know before the open

LONDON (CNNMoney)

Here are the four things you need to know before the opening bell rings in New York:

1. Get ready for GDP: At 8:30 a.m. ET, the U.S. Bureau of Economic Analysis will release its first official reading of gross domestic product for the third quarter.

It's widely expected the economy grew by 3%, which would be solid, but not stellar.

Keep in mind, the first estimates for quarterly GDP tend to be a little off. The numbers aren't set in stone and will eventually be revised.

Also at 8:30, the Department of Labor will post data on weekly jobless claims.

2. Market moves: U.S. stock futures are not moving too much from their Wednesday closing levels.

One stand-out performer ahead of the open is Visa (V). Shares are pushing up by about 4% premarket after the company reported quarterly earnings that beat estimates.

The latest reading on the CNNMoney Fear & Greed index shows extreme fear has been shaken out of the market. Investors are still feeling relatively fearful, but the mood seems to be under control.

On Wednesday, U.S. stocks edged lower. The Dow Jones industrial average lost 31 points, the Nasdaq slid 0.3%, and the S&P 500 declined by 0.1%.

Related: Billionaires double since the financial crisis

3. Earnings: The New York Times (NYT), MasterCard (MA) and Kellogg (K) are set to report earnings before the opening bell.

LinkedIn (LNKD, Tech30), GoPro (GPRO), Groupon (GRPN) and Starbucks (SBUX) will report after the close.

Related: CNNMoney's Tech30

4. International markets overview: European markets are mixed in early trading. The banking sector is looking particularly weak, especially among those banks that recently failed a regulatory health check.

Investors are watching various European economic figures coming in on unemployment, inflation and consumer confidence.

Asian markets were also muddled.

Samsung was commanding the most attention overseas after reporting a big plunge in quarterly profits. The company's smartphone business is getting squeezed by competitors at both ends of the price spectrum.

However, investors had been bracing for the worst and the results weren't as bad as expected. Shares popped by about 4.5%.

First Published: October 30, 2014: 5:56 AM ET

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Regulator calls out student loan industry

Graduates cheer during the Bowie State University graduation ceremony in May 2013.

NEW YORK (CNNMoney)

The report, which doesn't name any individual companies that collect on the $1.2 trillion in student debt, was compiled between March and June of this year.

Related: Do any of these practices sound familiar? Tell us about it.

The agency found these companies would charge borrowers late fees on all their loans when payments for one fell short -- even if the rest were paid in full.

The CFPB spotted lots of other little tricks: minimum payments were overstated and late fees got charged to some borrowers even if they made payments within a grace period. Or servicers might fail to provide necessary information borrowers needed to deduct student loan payments from their taxes.

Related: These nine people are drowning in student debt

In more serious cases, some borrowers who fell behind on payments were told they couldn't dismiss their student loans in bankruptcy even though there's a slim possibility in cases of "undue hardship".

Some debt collectors called borrowers at inappropriately early or late times. The CFPB identified 5,000 such calls during its 45-day examination period. One borrower reported got 48 of them.

Related: Abolish my debt too, Occupy Wall Street!

The agency, born of the Dodd-Frank financial reform bill, said in a statement that firms with questionable practices are contacted for corrective measures. In particularly severe cases, it opens investigations.

First Published: October 29, 2014: 7:46 PM ET

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Samsung profit plunges 60% amid smartphone troubles

HONG KONG (CNNMoney)

The South Korea-based firm posted operating profit of 4.1 trillion won ($3.9 billion) for the third quarter -- a 60% decline from the previous year.

Third quarter sales were also lower than the previous year, falling nearly 20% to around 47.5 trillion won ($44.6 billion).

The earnings report was actually stronger than analysts had expected, pushing Samsung shares trading in Seoul up by 2%.

The company blamed the lackluster performance on weakness in its smartphone business, which has lost ground to high-end competitors, including Apple (AAPL, Tech30). At the other end of the cost spectrum, upstart smartphone makers like China's Xiaomi have also stolen market share from Samsung.

Related: Forget Samsung, Xiaomi is China's new smartphone king

The pressure on Samsung is part of an industry trend, driven by declining margins and growing saturation in the smartphone business. The company has been forced to rely on sales from other parts of its business including semiconductors and other technology to offset smartphone losses.

Samsung said it "cautiously" expects an earnings increase next quarter as it plans to ship more TV products.

Related: Want to invest in Samsung? Good luck!

Mark Newman, a senior research analyst at Sanford C. Bernstein, told CNN before the earnings release that Samsung can regain market share if it acts quickly.

"What Samsung really needs to do is be more aggressive," Newman said. "They've been too arrogant that they could continue to maintain significant market price premium with lower spec products."

-- Andrew Stevens contributed reporting.

First Published: October 29, 2014: 10:30 PM ET

15.30 | 0 komentar | Read More

Ballmer: Clippers' opener is a 'product launch'

Laguna Beach, Calif. (CNNMoney)

Steve Ballmer, the former CEO of Microsoft, (MSFT, Tech30) is finding that owning a basketball team isn't so different from running a tech company.

Ballmer bought the Los Angeles Clippers in August for a record $2 billion -- and Thursday is the season opener against the Oklahoma City Thunder.

"It's a product launch for all intents and purposes," Ballmer said at a Wall Street Journal tech conference in Laguna Beach, Calif. "You have no control over the outcome."

Related: Under Ballmer, L.A. Clippers bench iPads

"You can build a great product, you can give it all the good marketing, you can tune it, you can tweak it, you can worry about it -- but we still gotta win the darn game tomorrow night for this story to have a good next chapter."

Ballmer, who is still Microsoft's largest individual shareholder (with no plans to sell), said he's far from abandoning his role in the tech industry.

Related: Murdoch takes ownership for Myspace failure

"I've learned as much about machine learning in the last three months getting ready for the Clipper home opener as I did in the last three months I was at Microsoft," said Ballmer, referring to a partnership with an L.A.-based startup that will use the arena's cameras to analyze plays and engage attendees.

"We've got stuff with tech that we're absolutely doing," he added.

But the excitable executive is looking forward to other things, too.

"Fergie's going to sing the national anthem," said Ballmer, who broke out in her new song, "L.A. Love" at the announcement. "La la la la la," he sang.

First Published: October 29, 2014: 11:18 PM ET

15.30 | 0 komentar | Read More

Peter Thiel: We live in an anti-tech world

Laguna Beach, Calif. (CNNMoney)

That's the message from Peter Thiel, the enigmatic entrepreneur who's now targeting Hollywood for what he describes as an industry-wide negative portrayal of technology.

"Most people don't like science, they don't like technology," Thiel said at a Wall Street Journal tech conference in Laguna Beach, Calif. on Tuesday.

"You can see it from all the movies Hollywood makes, where technology kills people -- it's dysfunctional, it's dystopian," he said. "People prefer to retreat to their Victorian houses."

Related: VCs won't be giving startups less money

The billionaire PayPal co-founder also cited Wall Street's preference for stock buybacks over new investment as evidence of "anti-tech" sentiment.

"If you have a tech company that's sitting on mountains of cash, it's telling you that it has more money than ideas," he said.

The outspoken Thiel, who was also an early investor in Facebook (FB, Tech30), made headlines last month for criticizing Apple's (AAPL, Tech30) lack of innovation.

While he said he has "no clue" how to change society, Thiel is bullish on startups (he's invested in Lyft, ZocDoc and Airbnb) because of their innovation potential.

Related: Google searching for cancer cure

"I think you can convince a small number of people to work on doing something interesting and something new," he said. "Startups and new company formation is so important to the technology story in our time."

Thiel said that while the government played a huge role in technological innovation historically (like the 1940's Manhattan Project to build the atom bomb and the Apollo program of the 1960s and 70s), the government (and big companies) could be doing more to propel technological change today.

"I do think there's an enormous gulf between Silicon Valley and Washington, D.C.," he said. "D.C. is dominated by law and process. Silicon Valley is dominated by engineering, by substance. It's very hard to get reasonable science, technology policy when people understand these areas as poorly as they do in D.C."

First Published: October 28, 2014: 11:04 PM ET

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Stocks: 6 things to know before the open

Click chart for in-depth premarket data.

LONDON (CNNMoney)

Here are the six things you need to know before the opening bell rings in New York:

1. The end of stimulus: The Fed is expected to announce the conclusion of its massive stimulus program this afternoon. The quantitative easing program, which lasted for six years, is widely credited with supporting the economy and driving investors back into stocks in the aftermath of the financial crisis.

In addition to the expected stimulus announcement, the Fed is also set to give more details about plans for interest rates at 2 p.m. ET. Most investors believe the first rate hike won't occur before June 2015, and many are betting it won't happen until the end of next year or later.

Any surprise announcements could have a big impact on trading.

U.S. stock futures were relatively flat ahead of the major Fed announcements.

2. Facebook flop: Shares in Facebook (FB, Tech30) are off by about 7% premarket after executives revealed plans to ramp up spending next year. Expenses in 2015 are expected to rise by as much as 75% versus the current year, which is irking investors.

Premarket data shows Facebook's fall is dragging down the Nasdaq.

Related: Fear & Greed Index

3. Earnings: Hershey (HSY), Hyatt Hotels (H) and SodaStream (SODA) are among the key companies reporting quarterly results before the opening bell.

Visa (V), Baidu (BIDU, Tech30), Weight Watchers (WTW) and Kraft Foods (KRFT) will report after the close.

4. Russia-Ukraine gas talks: Investors are keeping a close eye on Russia-Ukraine energy negotiations. Russian Energy Minister Alexander Novak and Ukrainian Energy Minister Yurii Prodan will attempt to hash out a temporary contract for Russia to deliver gas to Ukraine over the winter. This is a contentious matter since Russia completely cut off gas supplies to Ukraine a few months ago.

Related: Oil trading around $80, but Russia budgeting for $100

5. International markets overview: Major European markets are edging up in early trading.

Shares in the healthcare firm Sanofi (SNY) were dropping by about 4% in Paris after the company announced it was booting out its CEO, Christopher Viehbacher.

Asian markets mostly ended with gains. The Shanghai Composite index led the pack with a 1.5% jump.

6. Tuesday market recap: U.S. stocks closed higher at the close of the previous trading session. The Dow Jones industrial average gained 188 points, nearly erasing its October losses. The S&P 500 closed 1.2% higher and the Nasdaq was up 1.8%.

First Published: October 29, 2014: 5:55 AM ET

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Millionaire tax on the ballot in Illinois

Illinois Gov. Pat Quinn, a Democrat, is running for re-election and backs a non-binding ballot measure that would impose a millionaire tax to help support schools.

NEW YORK (CNNMoney)

Prairie State voters next Tuesday will be asked whether they think the state's constitution should be changed to impose an additional 3% tax on income over $1 million. Revenue from the ballot measure would help fund schools.

The vote is non-binding. It's simply a measure of public support for the idea. So even if it passes, it's unlikely that the state's millionaires will be shelling out more anytime soon.

Some observers call the measure catnip to entice Democrats to vote in the midterm elections.

But Illinois' finances are also in bad shape.

And its fiscal woes could worsen in January, when the state's single 5% individual income tax rate is scheduled to drop to 3.75% and the corporate income tax rate is set to fall as well.

"Either we'll need to raise more revenue or cut spending," said David Merriman, a professor of public policy at the University of Illinois at Chicago.

Other states, of course, considered or enacted higher taxes on millionaires in the past decade.

California in 2012 approved a 3% additional tax on income over $1 million that will be in effect through 2018. Revenue raised is going largely to schools.

In the wake of the 2008 financial crisis, Connecticut, New Jersey and Maryland temporarily imposed a higher rate on high-income households -- both above the $1 million threshold and below.

Related: Voters to decide on raising the minimum wage

In 2010, Bill Gates Sr. backed a ballot measure that would have required Washington state, which has no individual income tax, to tax adjusted gross income over $400,000 for couples ($200,000 for singles) at 5% and income over $1 million at 9%.

Revenue from the Washington measure would have paid for middle class tax relief as well as education and health services. But it was defeated at the polls.

Some New Jersey Democrats, meanwhile, have also tried and failed to raise the tax rate on those making millions -- sometimes to offer property tax relief and other times to help the state make its pension payments. This year they proposed a 10.75% rate on income over $1 million, which is what the rate was in 2009. The top rate currently is 8.97% on income over $500,000.

At the federal level, Democrats have repeatedly floated different types of millionaire taxes.

One that's gotten the most attention is President Obama's proposed "Buffett Rule" or "Fair Share Tax." That proposal called for those making more than $1 million to pay at least 30% of their income, after charitable contributions, in federal taxes.

The most recent incarnation of that idea came from Senator Elizabeth Warren, who proposed that the 30% minimum be imposed and used to pay for a program to help student loan borrowers buried in debt.

First Published: October 29, 2014: 6:23 AM ET

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Apple VP: When we make mistakes, we fix them quickly

Apple VP says company quickly fixed iOS bug.

NEW YORK (CNNMoney)

When the company released iOS 8.1 last week, there was a bug in the iPhone and iPad operating system that disabled cellular service for as many as 50,000 users. Apple moved fast to release a patch, and on Tuesday Apple VP Greg Joswiak apologized for the mistake.

"We don't make many of them, when we do make them we recover very quickly," said Joswiak on during an on-stage interview at the Code/Mobile conference.

"By the way, our software updates, as you know, get extraordinarily quickly adopted," he added, in a subtle dig at the fragmented Android OS.

Related: 21,000 push Apple to replace 'defective' MacBook Pros

He attributed the error to an issue with the way the software was sent over servers and not the iOS itself.

This isn't the first or last slip-up to hit the company, but how it was handled shows how Apple (AAPL, Tech30) has changed over the years. In the '90s, the company was still struggling and had its share of major missteps.

"Some of it was trying to make cheap products that were trying to chase market share instead of trying to chase experience," said Joswiak. "You make that mistake once in your life, you're not going to make it twice."

In recent years, Apple's approach to perfecting its users' experiences has meant letting other companies make the early mistakes with new technology. Instead of coming out with the newest technology, Apple will pour more time, money and resources into being the best.

"We have this belief that we don't have the necessarily be the first to do something, we have to be the first to do it well," said Joswiak

Related: CVS and Rite-Aid dragging you into a fight with Apple Pay

The Apple Watch is not the first smartwatch, but it is still one of the most heavily anticipated. Apple was pretty late to the mobile payments game, and one of the last hardware manufacturers to adopt the NFC wireless communication technology. But one million credit cards were activated on Apple Pay in the tool's first three days. The company is working with three major credit card networks and six of the largest banks.

The rumor mill loves to speculate about Apple's next big ideas. Perhaps it's as easy as looking at what other companies are already doing, poorly.

First Published: October 28, 2014: 6:47 PM ET

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Facebook spending spree irks investors

A big logo created from pictures of Facebook users worldwide is pictured at a company data center in Sweden.

NEW YORK (CNNMoney)

That message came loud and clear Tuesday afternoon, as Facebook (FB, Tech30) shares sank nearly 10% in after-hours trading following a conference call in which executives revealed plans to ramp up spending next year.

Chief financial officer David Wehner told analysts that Facebook's expenses in 2015 will rise between 55% and 75% versus the current year.

"We believe that we have very substantial growth opportunities in front of us, and we plan to invest aggressively to capitalize on those opportunities," he said.

Wehner added that Facebook's revenue growth for the fourth quarter of 2014 will slow to between 40% and 47% versus a year prior, down from 59% for the third quarter. He attributed this slowdown to new investments as well as stock-based compensation related to acquisitions the company has already made.

Related: Surprise! Twitter is not Facebook

Chief among those acquisitions is messaging service WhatsApp, which Facebook bought in February for a staggering $19 billion. The company followed that up with the $2 billion purchase of virtual reality firm Oculus VR, and has made a number of smaller acquisitions as well.

Amazon shares took a similar plunge last week as the company recorded another quarter of losses owing to its continued investments in new initiatives.

Wehner said Facebook's increased costs next year will come from a number of areas, including new hires, improvements to its existing service and investments in Oculus and WhatsApp.

The news came as the social network reported third-quarter earnings Tuesday that showcased its continued success in mobile advertising, which made up roughly two-thirds of its $3.2 billion in sales.

Facebook (FB, Tech30) had an average of 703 million users per day on mobile as of last month, up 39% from last year.

Overall, 1.35 billion people -- nearly half the world's Internet users -- logged in at least once a month. That figure was up from 1.32 billion last quarter.

Facebook's shares are already up nearly 50% this year and are trading around their all-time high, buoyed by the company's success in mobile advertising.

Web users are leaving their desktops behind and flocking to mobile devices. January marked the first time ever that Americans accessed the Internet using smartphone and tablet apps more than they did on PCs, according to comScore.

Related: Virtual reality movies are coming

Facebook's challenge going forward will be to generate new revenue streams from acquisitions like Instagram, WhatsApp and Oculus, while continuing to generate user growth.

"This may sound a little ridiculous to say, but for us, products don't really get that interesting to turn into businesses until they have about a billion people using them," CEO Mark Zuckerberg told analysts Tuesday.

Facebook and Google (GOOGL, Tech30) have been investing aggressively in new technology to position themselves for a future in which their current business models become outdated. Google has made headlines this year with a number of purchases, including smart appliance maker Nest Labs and drone maker Titan Aerospace.

First Published: October 28, 2014: 4:53 PM ET

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Peter Thiel: We live in an anti-tech world

Laguna Beach, Calif. (CNNMoney)

That's the message from Peter Thiel, the enigmatic entrepreneur who's now targeting Hollywood for what he describes as an industry-wide negative portrayal of technology.

"Most people don't like science, they don't like technology," Thiel said at a Wall Street Journal tech conference in Laguna Beach, Calif. on Tuesday.

"You can see it from all the movies Hollywood makes, where technology kills people -- it's dysfunctional, it's dystopian," he said. "People prefer to retreat to their Victorian houses."

Related: VCs won't be giving startups less money

The billionaire PayPal co-founder also cited Wall Street's preference for stock buybacks over new investment as evidence of "anti-tech" sentiment.

"If you have a tech company that's sitting on mountains of cash, it's telling you that it has more money than ideas," he said.

The outspoken Thiel, who was also an early investor in Facebook (FB, Tech30), made headlines last month for criticizing Apple's (AAPL, Tech30) lack of innovation.

While he said he has "no clue" how to change society, Thiel is bullish on startups (he's invested in Lyft, ZocDoc and Airbnb) because of their innovation potential.

Related: Google searching for cancer cure

"I think you can convince a small number of people to work on doing something interesting and something new," he said. "Startups and new company formation is so important to the technology story in our time."

Thiel said that while the government played a huge role in technological innovation historically (like the 1940's Manhattan Project to build the atom bomb and the Apollo program of the 1960s and 70s), the government (and big companies) could be doing more to propel technological change today.

"I do think there's an enormous gulf between Silicon Valley and Washington, D.C.," he said. "D.C. is dominated by law and process. Silicon Valley is dominated by engineering, by substance. It's very hard to get reasonable science, technology policy when people understand these areas as poorly as they do in D.C."

First Published: October 28, 2014: 11:04 PM ET

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Tim Cook: Apple Pay signup is 'fantastic'

Laguna Beach, Calif. (CNNMoney)

More than 1 million credit cards were activated to work with Apple Pay in the 72 hours following its debut, and the service is already the industry leader in contactless payments, Tim Cook said Monday during an interview at a Wall Street Journal tech conference in Laguna Beach, Calif.

"And we've got the whole rest of the world," the Apple CEO said. "We're only in the U.S. right now ... but the early ramp looks fantastic. It's sort of that 'ahh' moment. You use the phone and that's all you have to do."

Cook's optimism comes amid news that CVS and Rite Aid have both stopped accepting Apple Pay. One of the reasons? They want to keep collecting data on shoppers.

Cook drew a clear line on Apple's privacy policies.

Related: Google: Tim Cook is wrong about us

"We believe that your data is yours," said Cook. "We're not about collecting every detail about you and knowing what time you go to bed and where you spend your money, what things you searched on, none of that. We don't read your email, your iMessages. If somebody tries to get your FaceTime records, we can't supply it."

Cook acknowledged, however, some pushback from law enforcement agencies on recent iOS 8 updates (which have added further measures to encrypt data).

"I look at that and say: If law enforcement wants something, they should go to the user and get it. It's not for me to do that," Cook said.

Related: Is Apple the perfect stock?

Cook also revealed some details about the Apple Watch, including his expectation that frequent use will require the devices to be charged daily. The new watches are slated to come out early next year.

First Published: October 28, 2014: 3:24 AM ET

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Jack Ma: I don't shop online

Laguna Beach, Calif. (CNNMoney)

"I don't shop online, but my wife buys everything at home," Ma said during an interview at a Wall Street Journal tech conference in Laguna Beach, Calif. on Monday. "We buy sea crabs, fresh crabs, all kinds of things."

Ma's surprising lack of online shopping experience doesn't seem to have impacted his business savvy. In September, Alibaba (BABA, Tech30) went public with the largest IPO in history. And Ma -- who once was an English teacher making $20 an hour -- is now China's richest man.

Related: Battle of the billionaires

"You've made more money in Alibaba in the last 90 days than Amazon (AMZN, Tech30) has made in the last 20 years," said Dennis Berman of the Wall Street Journal, who interviewed Ma. "That's actually true."

But Ma is far from complacent. In fact, the entrepreneur said he's always looking about a decade ahead.

So what's in the future for Ma, Alibaba, and China?

Related: China is real winner from Alibaba IPO

Ma raised the possibility of working with Apple (AAPL, Tech30), saying that he's "very interested" in a potential partnership between Alipay (his payments company) and Apple Pay.

"I hope we can do something together," he said.

Apple (AAPL, Tech30) CEO Tim Cook, who took the stage after Ma, said he too would be interested in a collaboration.

First Published: October 28, 2014: 2:12 AM ET

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Stocks: 5 things to know before the open

Click chart for in-depth premarket data.

LONDON (CNNMoney)

Here are the five things you need to know before the opening bell rings in New York:

1. Twitter trouble: Shares in Twitter (TWTR, Tech30) are taking a nose-dive -- down by about 11% premarket -- after the company forecast its revenue in the final quarter of the year could come in below market expectations. Meanwhile, results from the latest quarter were in-line with expectations, and Twitter's user base continues to expand, but at a modest pace.

2. More earnings: Investors will have plenty of quarterly reports to digest Tuesday morning from companies including Pfizer (PFE), DuPont (DD), 1-800-Flowers (FLWS) and Coach (COH).

Facebook (FB, Tech30), Electronic Arts (EA, Tech30) and Marriott (MAR) are among the firms reporting after the close.

Related: Fear & Greed Index

3. Market moves: U.S. stock futures are perky as investors wait for the latest Federal Reserve meeting to get underway Tuesday.

On Wednesday, the Fed is widely expected to announce the conclusion of its massive stimulus program. Known as quantitative easing, the program is credited for driving investors back into stocks in the aftermath of the financial crisis.

The CNNMoney Fear & Greed index shows investors still feel very fearful, but fear levels aren't quite as extreme as they were earlier in October when markets were highly volatile.

U.S. stocks closed mixed Monday. The Dow Jones industrial average finished 12 points higher, the S&P 500 was down 0.2%, and the Nasdaq barely budged.

Related: U.S. is 65th in world on gender pay gap

4. International markets overview: European markets are all rising in early trading. The Dax in Germany has been a stand-out performer after posting a 1.3% jump.

However, shares in two major U.K. banks are extremely weak. Standard Chartered (SCBFF) shares are falling by about 8% after the bank posted earnings that disappointed investors. Lloyds Banking Group (LYG) stock was off by about 2.5% after confirming that it was cutting 9,000 jobs.

Shares in BP (BP) were relatively flat after the oil giant reported third quarter earnings.

Asian stock markets ended with mixed results. The main indexes in China both jumped by about 2%, but markets in India were weak.

5. Economics: The S&P/Case-Shiller home price index will come out at 9 a.m. ET. The Conference Board will publish its monthly consumer confidence report at 10 a.m. ET.

First Published: October 28, 2014: 5:53 AM ET

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Madison Square Garden to explore split

HONG KONG (CNNMoney)

The sports and media operation would include the NBA's New York Knicks and the NHL's New York Rangers, as well as the MSG television network. The second firm would include MSG's booking, production and venue management operations.

The company's legendary namesake arena, which sits atop Penn Station, has hosted numerous political conventions, marquee boxing matches and concerts. The company bills it as "the world's most famous arena."

Should the MSG (MSG) split come to pass, it would be the latest in a string of corporate breakups pushed by investors that see value in smaller, more nimble businesses.

Hewlett-Packard (HPQ, Tech30) has announced plans to split into two companies. EBay (EBAY, Tech30) is spinning off PayPal. CNNMoney owner Time Warner (TWX) spun off its publishing unit Time Inc. (TIME) a few months ago. And another media company, USA Today publisher Gannett (GCI), plans to separate its newspapers from its TV station business.

Several well-known consumer companies have also announced breakups or are in the process of doing so.

"Investors favor companies with greater strategic focus on their core businesses," MSG CEO Tad Smith said in a statement.

MSG shareholders would own shares in both new companies.

Related: USA Today owner spins off newspaper biz

First Published: October 28, 2014: 12:42 AM ET

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Jack Ma: I don't shop online

Laguna Beach, Calif. (CNNMoney)

"I don't shop online, but my wife buys everything at home," Ma said during an interview at a Wall Street Journal tech conference in Laguna Beach, Calif. on Monday. "We buy sea crabs, fresh crabs, all kinds of things."

Ma's surprising lack of online shopping experience doesn't seem to have impacted his business savvy. In September, Alibaba (BABA, Tech30) went public with the largest IPO in history. And Ma -- who once was an English teacher making $20 an hour -- is now China's richest man.

Related: Battle of the billionaires

"You've made more money in Alibaba in the last 90 days than Amazon (AMZN, Tech30) has made in the last 20 years," said Dennis Berman of the Wall Street Journal, who interviewed Ma. "That's actually true."

But Ma is far from complacent. In fact, the entrepreneur said he's always looking about a decade ahead.

So what's in the future for Ma, Alibaba, and China?

Related: China is real winner from Alibaba IPO

Ma raised the possibility of working with Apple (AAPL, Tech30), saying that he's "very interested" in a potential partnership between Alipay (his payments company) and Apple Pay.

"I hope we can do something together," he said.

Apple (AAPL, Tech30) CEO Tim Cook, who took the stage after Ma, said he too would be interested in a collaboration.

First Published: October 28, 2014: 2:12 AM ET

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Tim Cook: Apple Pay signup is 'fantastic'

Laguna Beach, Calif. (CNNMoney)

More than 1 million people signed up for Apple Pay in its first 72 hours, and the service is already the industry leader in contactless payments, Tim Cook said Monday during an interview at a Wall Street Journal tech conference in Laguna Beach, Calif.

"And we've got the whole rest of the world," the Apple CEO said. "We're only in the U.S. right now ... but the early ramp looks fantastic. It's sort of that 'ahh' moment. You use the phone and that's all you have to do."

Cook's optimism comes amid news that CVS and Rite Aid have both stopped accepting Apple Pay. One of the reasons? They want to keep collecting data on shoppers.

Cook drew a clear line on Apple's privacy policies.

Related: Google: Tim Cook is wrong about us

"We believe that your data is yours," said Cook. "We're not about collecting every detail about you and knowing what time you go to bed and where you spend your money, what things you searched on, none of that. We don't read your email, your iMessages. If somebody tries to get your FaceTime records, we can't supply it."

Cook acknowledged, however, some pushback from law enforcement agencies on recent iOS 8 updates (which have added further measures to encrypt data).

"I look at that and say: If law enforcement wants something, they should go to the user and get it. It's not for me to do that," Cook said.

Related: Is Apple the perfect stock?

Cook also revealed some details about the Apple Watch, including his expectation that frequent use will require the devices to be charged daily. The new watches are slated to come out early next year.

First Published: October 28, 2014: 3:24 AM ET

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Ferrari's invitation-only supercar

LONDON (CNNMoney)

The Ferrari Sergio, produced in partnership with Italian design firm Pininfarina, is a car that's so limited and unique you have to be invited by Ferrari to buy it. The automaker is creating only six Sergios and they're estimated to cost millions each.

Ferrari told CNNMoney it pre-sold all six vehicles to deep-pocketed die-hard Ferrari fans in the U.S., Europe and Asia. If you haven't received a call from Ferrari yet, you're out of luck.

Ferrari, which is owned by Fiat (FIADF), has built a world-class name for itself based on its reputation for exclusivity. It capped production at 7,000 cars per year to ensure demand consistently outstrips supply, making its cars all the more desirable.

However, after a recent management shake-up, the company said it will ramp up production by 5% this year to ensure its waiting list doesn't get out of control.

While vehicle output may be increasing, limited production cars like the Sergio help Ferrari keep its exclusive edge.

Related: Ferrari recalls 3,000 cars for entrapment danger

The automaker also offers a "one-off" program where rich car collectors can buy a completely original car that they help design themselves. Each car costs millions.

"It's as far removed from mass production as you can get," said Ferrari spokesperson Jason Harris.

Ferrari has only created about a dozen of these bespoke cars since the "one-off" program launched a few years ago, but it said the program is gaining traction, which could be helping the company's bottom line.

Ferrari reported record revenue in the first six months of this year, up nearly 15% compared to the same period in the previous year, even as it sold fewer cars. Profits for the period also rose by 10%.

Musician Eric Clapton helped design this original Ferrari. It's one of a kind and estimated to be worth millions.

Clients who signed on to buy the new Sergios have made their commitment before the road-ready car design has even been finalized. Ferrari engineers still haven't figured out how to craft a vehicle that is based on a whimsical concept car that was designed without a windshield and side mirrors.

The concept car was on show in London this month. Deliveries of the six Sergios are expected in 2015.

Related: Steve McQueen Ferrari sells for $10.2 million

Related: Lamborghini Huracan: So good, why spend more?

First Published: October 27, 2014: 4:57 AM ET

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Stocks: 4 things to know before the open

Click chart for in-depth premarket data.

LONDON (CNNMoney)

Here are the four things you need to know before the opening bell rings in New York:

1. Banking bonanza: Investors are expressing their dismay after the European Central Bank revealed that 25 financial firms failed an extensive health check. Shares in about a dozen European banks are tanking Monday morning, with Ireland's Permanent TSB bank tumbling by 24% and Italy's Banca Carige falling 18%.

However, shares in the Greek bank Eurobank are rising by about 10%, even though it also failed the tests -- investors were expecting even more dire results for this particular firm.

"[The ECB] gave the European banking system a reasonably clean bill of health," said Kit Juckes, a market strategist at Societe Generale. "The ECB [is] observing [that] only a smallish number of banks have to raise a modest amount of capital. It's either a reassuring or a naive picture of the banking system, depending on how you want to read it."

Most major European markets were declining by about 0.5% in early trading.

Part of the decline was related to a new report out of Germany showing economic conditions in the nation continued to deteriorate in October.

Related: Fear & Greed Index

2. Market moves: U.S. stock futures were barely budging from their Friday closing levels.

At the close of trading last week, the Dow Jones industrial average jumped up by 0.8%, the Nasdaq rose by 0.7% and the S&P 500 added 0.7%.

Gold prices were declining slightly and oil prices were up a touch.

Related: Fed set to finally get out of the market

3. Earnings: There will be plenty of quarterly results to sort through Monday.

Allergan (AGN), Merck (MRK) and Citizens Financial Group (CFG) will be reporting earnings before the open.

After the close, we'll hear from Twitter (TWTR, Tech30), Buffalo Wild Wings (BWLD), Crocs (CROX) and Denny's (DENN).

4. Economics: At 10 a.m. ET, the government will release data on September pending home sales.

First Published: October 27, 2014: 6:03 AM ET

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Paying thousands before health insurance even kicks in

NEW YORK (CNNMoney)

That's because more employers are offering consumer-directed health plans, which usually come with high deductibles. In 2015, 81% of large employers will offer at least one of these plans, up from 63% five years earlier.

Consumer-directed plans typically carry deductibles of $1,500 for individual coverage, more than three times higher than traditional policies, according to the National Business Group on Health.

And these plans will be the only choice for a growing number of workers. The share of larger employers offering only consumer-directed policies is jumping to 32% for 2015, up from 22% this year.

Deductibles are soaring for traditional insurance policies, too.

Deductibles for individual coverage at all firms have jumped to $1,217, on average, up 47% over the past five years, according to the 2014 Kaiser Family Foundation/Health Research & Educational Trust report. In high-deductible plans, they have hit $2,215.

Employers say they want more accountability, and higher deductibles force workers to take a larger role in their own care while shifting more of the costs to them.

Share your story: Are your health care deductibles going up?

Participants in these plans often have to pay more out of pocket -- not only for deductibles, but for doctors' visits, labs and procedures too.

On the plus side, they benefit from lower monthly premiums. Also, many employers contribute to savings accounts to help workers cover these costs. Annual checkups and preventative exams, such as colorectal screenings and mammograms, are free, as mandated by Obamacare.

Wells Fargo (WFC) switched to only consumer-directed plans in 2012. This year, the bank's employees can choose between two high-deductible policies -- one at $2,000 and the other at $3,000.

Doing so helped Wells Fargo keep plans affordable and allows it to offer a broad network of doctors and hospitals, said spokeswoman Richele Messick. "It gives them greater visibility into the cost of care and how they spend their health care dollars," she said.

Related: 5 ways you pay more for health insurance

Wells Fargo contributes up to $1,000 to workers' accounts, depending on their salary and the plan they choose. Employees can also earn up to $800 by participating in corporate wellness programs, including health screenings and quizzes.

For many, however, high-deductible health plans are a burden. They are nearly twice as likely to skip going to the doctor when sick or injured as those with traditional plans, according to a recent survey by the Associated Press-NORC Center for Public Affairs Research. Also, they are more likely to have difficulty paying other bills and to have decreased the amount they save.

Medical care has become more costly for the Vance family under a high-deductible plan.

Melissa Vance has had to go back to work. Her husband's employer just jacked up the family's deductible from $0 to $5,000. The Columbia, S.C., couple has four children with chronic conditions that require frequent lab work and costly medications.

Last year, Vance estimated she paid $2,000 for the family's health care. This year, the tab will likely surpass $10,000, which she said will take them years to pay off.

"I have a stack of bills I haven't even opened," said Vance, who now works part-time as an administrative assistant. "I get nauseous every time I look at them."

First Published: October 27, 2014: 6:26 AM ET

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Elon Musk warns against unleashing artificial intelligence 'demon'

NEW YORK (CNNMoney)

Musk, who promises to take humans to new heights with space and battery technologies, was especially grounded in his latest caution on artificial intelligence.

He told an audience at MIT on Friday that "we should be very careful about artificial intelligence," warning it may be "our biggest existential threat."

"With artificial intelligence, we are summoning the demon," he said.

"In all those stories where there's the guy with the pentagram and the holy water, it's like yeah he's sure he can control the demon," he continued, to some laughs from the audience.

Musk then cracked a smile: "Didn't work out."

His Tesla (TSLA) electric vehicles and SpaceX rockets, which recently won a multi-billion dollar contract with NASA, have pushed the limits of their respective technologies.

Musk hasn't embraced artificial intelligence, a field of study at MIT and other schools with significant ethical considerations and business potential. He has previously cautioned it is "potentially more dangerous than nukes."

But he has invested in artificial intelligence companies -- because, he told CNN's Rachel Crane recently, he wanted "to keep an eye on them."

"I wanted to see how artificial intelligence was developing," Musk said in the CNN interview. Among his questions: "Are companies taking the right safety precautions?"

Related: Google snaps up artificial intelligence firm

On Friday, Musk was responding to a question about whether artificial intelligence was "even close to being ready for prime time?"

"I'm increasingly inclined to think there should be some regulatory oversight maybe at the national and international level, just to make sure that we don't do something very foolish," Musk said.

Tech entrepreneur Marc Andreessen -- of Netscape fame -- is on the same page. Don't be "freaked out" by Musk's comments, he seemed to say on Twitter.

"Famous last words. Actually, they would be famous ... if there were any humans left alive to hear them," Musk posted in response.

Andreessen replied: "Sadly, that also means you'll get no credit for being right."

First Published: October 26, 2014: 1:45 PM ET

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'Collabition.' 'Decisioning': The worst corporate jargon around

NEW YORK (CNNMoney)

For instance, when you're asked to "strategerize a greenfielded, collaborative solution that considers the equities of all stakeholders" you may think you should do something eco-friendly.

But you'd be wrong.

According to one CNNMoney reader from Alexandria, Va., who was asked to do this very thing, what you're really supposed to do is just work with everyone on your project to come up with a solution.

Or consider the role of peanut butter. Unless you work for Skippy, you may wonder what it has to do with anyone's job. But if you ask the numbers guys in your division, they may talk about how "we peanut bread spread the dollars across all segments."

The real meaning? We allocated money to every department (or region or category of expense), according to another reader, who works in the insurance industry.

Linguist Geoffrey Nunberg, who teaches at University of California, Berkeley's School of Information, equates corporate jargon with high school slang -- the kind teenagers use to sound like they belong.

"Using it marks you as an insider," Nunberg said.

Plain English seems to be in particularly short supply when there's potential to scare the pants off the rank-and-file.

Quiz: Are you a corporate jargon junkie?

One reader got word that management planned "to leverage internal efficiencies by enlisting external resources, thus driving a reduction in operating costs, thereby enhancing shareholder value."

Translation: Layoffs are coming. That way we can promise to reduce our operating costs, which Wall Street loves! But don't worry -- we'll outsource the old jobs to an outside firm, which may even hire the very same folks who get pink-slipped!

"Good thing no one ever asked how much money we saved, because the answer was none. Our operating costs actually went up," said a CNNMoney reader in Sarasota, Fla., who worked at a company that promised to "leverage" and "enhance"

That may help explain why outsourcing is such big business. An invitation to an industry conference about the practice promised to "have one foot planted in the reality of present day, and the other in the future, so we can develop a realistic roadmap for crossing this chasm from today's tactical efficiency to our utopia of achieving genuine business value and alignment between business operations and corporate objectives."

Plain-English translation: No idea. But utopia sounds nice.

Related: Workaholism: Regain balance before you burn out

Judging from the slew of submissions from CNNMoney readers, there's a long list of words and definitions that you need to know to be an insider these days. Here are 10 of our favorites:

Ideation session: Sure, you could just say you're having a meeting to come up with good ideas for a new project. But why not hold an ideation session to action plan a strategy?

Collabition: Word mash-ups can be fun. Or they can make you cringe. Exhibit A: collabition, an ill-conceived merger of "collaboration" and "competition." It's a close cousin, of course, to coopetition (cooperation + competition).

Onboard: Training new employees is essential. So is persuading colleagues why your proposal is a good one. But "onboarding" them makes it seem so much more ... sporty?

Rightsize: Getting rid of workers sounds like a such a downer. Why not keep things upbeat and say you're "rightsizing" the company.

Decisioning: Making a decision. Really, why is that so hard to say?

Parking lot: When you don't want to talk about something -- say when you're running a meeting and get caught short by a question -- you might say "let's put that in the parking lot."

Level set: When someone says, "let's level set" or "we need to level set with the group" it's akin to saying "we should get together to figure it out."

Unsuck-it.com, which deciphers business jargon, offers another definition: to agree on expectations.

Or you can use it to postpone dealing with something unpleasant, such as when someone questions the wisdom of what someone else says. "Once that phrase gets pulled [in a] meeting, the glaring disagreement is kicked along to be dealt with later," said one reader.

Cadence: Who says marching band has to end when you leave school?

When you're in sales, you might call clients once a month to make sure they're happy. But apparently it sounds much better to tell your team to "establish a regular cadence of outreach with our clients to ensure we are delivering value," a reader wrote.

Updation: Merely an awkward way to say "update." A reader from North Carolina said it began as a joking term when his company was developing its current operating system. Now it actually appears in the operating system as an "action description."

Open/ing the kimono: To reveal or be transparent about something. Several readers nominated this as a contender for all-time worst corporate jargon. Agreed.

Said one reader: "I end up visualizing whoever said it and I really don't want to .... Plus, in my experience, the person then proceeds to lie, which makes the phrase even more abhorrent."

First Published: October 26, 2014: 3:38 PM ET

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Howard Lutnick donates $25 million to college

NEW YORK (CNNMoney)

Howard Lutnick's philanthropic efforts -- especially since the September 11 attack that claimed hundreds of his New York employees -- got $25 million deeper this weekend.

The gift is his largest to Haverford College. Lutnick's mother died when he was in high school, and his father passed in his freshman year. The school covered his tuition, and Lutnick graduated in 1983.

The donation is the cornerstone of a $225 million capital improvement project and brings his total contributions to the Philadelphia-area liberal arts college to $65 million, the school said.

Lutnick has become known for his donations, and those of the brokerage Cantor Fitzgerald.

Each year on 9/11, the company donates that day's profits to charity. The firm says it has so far made contributions totaling $101 million.

First Published: October 26, 2014: 4:47 PM ET

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NYC tabloids keep a straight face on Ebola

NEW YORK (CNNMoney)

In the hours before Spencer was diagnosed he had gone bowling, rode the A train and stopped by a meatball shop. But there was not a single pun to be found on New York City newsstands Friday morning. No hysteria and no sensationalism.

Instead newspapers like AM New York went with just the facts. The free daily's front page simply said "Ebola in NYC" and showed a picture of Spencer in a hazmat suit while caring for victims in West Africa:

"We didn't want to be alarmists," said Pete Catapano, executive editor of AM New York. "Obviously it's a scary subject... We wanted to be very direct, very straight-forward."

Related: Syracuse University disinvites journalist over Ebola fears

The Daily News also took a tempered approach with its front page:

The New York Post (which is infamous for its outrageous covers) was a little more brash with its "Ebola Here!" headline, but did stick to just the facts:

"A subject like this... people make jokes about it. That's not our place to do that," Catapano said. "We just wanted to be very respectful, and let the story speak for itself."

Related: EU pledges 1 billion euros to fight Ebola

First Published: October 24, 2014: 5:39 PM ET

17.42 | 0 komentar | Read More

The Ebola stocks: Effect of an outbreak

NEW YORK (CNNMoney)

Some people have considered canceling visits to big theme parks and have aired worries about whether airports and public areas are safe zones.

It's no wonder that investors are assessing Ebola's impact on the economy. Stocks of companies that make drugs that treat the virus have had a wild ride.

It's no small issue. Ebola has killed nearly 5,000 people, mostly in West Africa. The deadly virus has killed one person in the United States and on Friday, a doctor in New York City became the fourth person to have tested positive for Ebola in the country.

One trader, Dave Lutz of Jones Trading, has compiled a list of stocks that are either directly impacted or could be affected by the spread of Ebola.

Canadian biotech firm Tekmira Pharmaceuticals (TKMR)' stock surged in September after the FDA authorized the company's drug for patients with Ebola in the United States. Shares have since pulled back. The company has started limited production of its drug, TKM-Ebola, which will be available in early December.

BioCryst Pharmaceuticals (BCRX) is another small biotech company working on a drug that could be used to treat Ebola. Its stock has been on a roller coaster ride lately.

NewLink Genetics (NLNK) is working with the World Health Organization and other agencies on an Ebola vaccine. Its shares have surged 57% in the past month.

Companies that make protective equipment for healthcare workers or provide services to governments have also seen gains. Lakeland Industries (LAKE) said in September that it was boosting production of the protective suits in response to growing demand. It's stock has surged 76% in the last four weeks.

Alpha Pro Tech (APT) also makes protective equipment for healthcare workers. Its stock jumped 5% on Friday alone.

Some investors believe the airline industry is also vulnerable to the outbreak. Concerns about air travel rose this month after a Dallas nurse, who treated an Ebola patient, flew round trip between Dallas and Cleveland before being diagnosed with the virus.

Though airline stocks were hurt earlier in the month, they are now near all-time highs after reporting record setting profits.

Cruise ship operators have also been in focus after a healthcare worker who handled Ebola test samples was quarantined on a cruise ship earlier this month. Shares of both Carnival (CCL) and Royal Caribbean Cruises (RCL) have been under pressure recently.

Hotel chains could also be at risk if worries about Ebola cause people to curtail their vacation plans.

Hilton Worldwide (HLT) and Starwood Hotels (HOT) are on Lutz's list...

...as are amusement park operator Six Flags (SIX) and movie theater company Regal Entertainment (RGC).

First Published: October 24, 2014: 4:39 PM ET

17.42 | 0 komentar | Read More

The best time to book your holiday flight is...

NEW YORK (CNNMoney)

A new survey shows the lowest prices for domestic airfares are found eight weeks before the departure date, around 19% below the average fare of $496, according to the Airlines Reporting Corporation, a travel industry research group owned by the airlines.

The report, which was based on ticket sales between January 2013 through July 2014, also found Sunday is the cheapest day to buy plane tickets. This Sunday marks nine weeks until Christmas week, so the clock is ticking.

"It's about time we stop believing in the airfare voodoo that Tuesday is the best day to get good ticket prices," said George Hobica, president of Airfarewatchdog.com. The average domestic fare paid on a Sunday is $71 cheaper than on a Monday, the most expensive day, the report showed.

Getting a deal on holiday travel is always hard, but maybe even more so this year, according to Keith Nowak from Travelocity. He said supply and demand is in full effect, giving airlines the pricing power.

Passengers are flying more this year than in the recent past, but airlines aren't adding more seats, he said. "You've got passenger loads growing faster than seats being added. It's clear given the current load factors, holiday planes are going to be full."

Related: Hottest places to travel this winter

The most recent data from the Department of Transportation showed the number of domestic fliers in July was the highest since the end of the recession. U.S. airlines carried 385 million passengers, up 2.1% from 2013.

Here are four expert tips to snag the best deals this holiday season:

Book early. Booking early doesn't always mean better prices, but you're more likely to get the flight and seat you want, especially given the expected high demand.

It's all about value, said Hobica. "You can get a good deal on an ugly, ill-fitting cashmere sweater, or you can pay a little more and get what you want. Flying out at the crack of dawn, jammed in a middle seat is the ugly sweater."

Related: How much should you really tip housekeeping? A travel tipping guide

Be flexible with dates, airports. Put in multiple nearby airports and try different arrival and departure dates when searching for flights.

"You want to open up as many fare options as possible to increase your chances of finding the best deal," said Nowak.

And it's not just about the ticket price. "Smaller airports might have significantly lower parking prices. If you're gone for a week, that can be a lot of savings," he said.

Be persistent. Travelers can hold seats for up to 24 hours without purchasing them with most airlines now, said Hobica, which can make a plane appear fuller than it is and discourage potential fliers.

"People hold seats and then release them. Keep checking the flight, you never know when something might open up."

Travel on the holiday. Flying on the actual holiday tends to bring lower prices. "If you fly late Christmas Eve, on Christmas Day or on January 1, those are always the cheapest days and times to fly," said Hobica.

Related: $134,700 one-of-a-kind trip for fashionistas

Consider Europe. If visiting grandma in the states isn't a requirement, travelers can find cheap affair to Europe right now, said Hobica.

"And if you are in the mood to splurge, business class seats are 50-60% cheaper to Europe during the holidays."

First Published: October 24, 2014: 3:01 PM ET

17.42 | 0 komentar | Read More

The Ebola stocks: Effect of an outbreak

NEW YORK (CNNMoney)

Some people have considered canceling visits to big theme parks and have aired worries about whether airports and public areas are safe zones.

It's no wonder that investors are assessing Ebola's impact on the economy. Stocks of companies that make drugs that treat the virus have had a wild ride.

It's no small issue. Ebola has killed nearly 5,000 people, mostly in West Africa. The deadly virus has killed one person in the United States and on Friday, a doctor in New York City became the fourth person to have tested positive for Ebola in the country.

One trader, Dave Lutz of Jones Trading, has compiled a list of stocks that are either directly impacted or could be affected by the spread of Ebola.

Canadian biotech firm Tekmira Pharmaceuticals (TKMR)' stock surged in September after the FDA authorized the company's drug for patients with Ebola in the United States. Shares have since pulled back. The company has started limited production of its drug, TKM-Ebola, which will be available in early December.

BioCryst Pharmaceuticals (BCRX) is another small biotech company working on a drug that could be used to treat Ebola. Its stock has been on a roller coaster ride lately.

NewLink Genetics (NLNK) is working with the World Health Organization and other agencies on an Ebola vaccine. Its shares have surged 57% in the past month.

Companies that make protective equipment for healthcare workers or provide services to governments have also seen gains. Lakeland Industries (LAKE) said in September that it was boosting production of the protective suits in response to growing demand. It's stock has surged 76% in the last four weeks.

Alpha Pro Tech (APT) also makes protective equipment for healthcare workers. Its stock jumped 5% on Friday alone.

Some investors believe the airline industry is also vulnerable to the outbreak. Concerns about air travel rose this month after a Dallas nurse, who treated an Ebola patient, flew round trip between Dallas and Cleveland before being diagnosed with the virus.

Though airline stocks were hurt earlier in the month, they are now near all-time highs after reporting record setting profits.

Cruise ship operators have also been in focus after a healthcare worker who handled Ebola test samples was quarantined on a cruise ship earlier this month. Shares of both Carnival (CCL) and Royal Caribbean Cruises (RCL) have been under pressure recently.

Hotel chains could also be at risk if worries about Ebola cause people to curtail their vacation plans.

Hilton Worldwide (HLT) and Starwood Hotels (HOT) are on Lutz's list...

...as are amusement park operator Six Flags (SIX) and movie theater company Regal Entertainment (RGC).

First Published: October 24, 2014: 4:39 PM ET

15.30 | 0 komentar | Read More

NYC tabloids keep a straight face on Ebola

NEW YORK (CNNMoney)

In the hours before Spencer was diagnosed he had gone bowling, rode the A train and stopped by a meatball shop. But there was not a single pun to be found on New York City newsstands Friday morning. No hysteria and no sensationalism.

Instead newspapers like AM New York went with just the facts. The free daily's front page simply said "Ebola in NYC" and showed a picture of Spencer in a hazmat suit while caring for victims in West Africa:

"We didn't want to be alarmists," said Pete Catapano, executive editor of AM New York. "Obviously it's a scary subject... We wanted to be very direct, very straight-forward."

Related: Syracuse University disinvites journalist over Ebola fears

The Daily News also took a tempered approach with its front page:

The New York Post (which is infamous for its outrageous covers) was a little more brash with its "Ebola Here!" headline, but did stick to just the facts:

"A subject like this... people make jokes about it. That's not our place to do that," Catapano said. "We just wanted to be very respectful, and let the story speak for itself."

Related: EU pledges 1 billion euros to fight Ebola

First Published: October 24, 2014: 5:39 PM ET

15.30 | 0 komentar | Read More

The best time to book your holiday flight is...

NEW YORK (CNNMoney)

A new survey shows the lowest prices for domestic airfares are found eight weeks before the departure date, around 19% below the average fare of $496, according to the Airlines Reporting Corporation, a travel industry research group owned by the airlines.

The report, which was based on ticket sales between January 2013 through July 2014, also found Sunday is the cheapest day to buy plane tickets. This Sunday marks nine weeks until Christmas week, so the clock is ticking.

"It's about time we stop believing in the airfare voodoo that Tuesday is the best day to get good ticket prices," said George Hobica, president of Airfarewatchdog.com. The average domestic fare paid on a Sunday is $71 cheaper than on a Monday, the most expensive day, the report showed.

Getting a deal on holiday travel is always hard, but maybe even more so this year, according to Keith Nowak from Travelocity. He said supply and demand is in full effect, giving airlines the pricing power.

Passengers are flying more this year than in the recent past, but airlines aren't adding more seats, he said. "You've got passenger loads growing faster than seats being added. It's clear given the current load factors, holiday planes are going to be full."

Related: Hottest places to travel this winter

The most recent data from the Department of Transportation showed the number of domestic fliers in July was the highest since the end of the recession. U.S. airlines carried 385 million passengers, up 2.1% from 2013.

Here are four expert tips to snag the best deals this holiday season:

Book early. Booking early doesn't always mean better prices, but you're more likely to get the flight and seat you want, especially given the expected high demand.

It's all about value, said Hobica. "You can get a good deal on an ugly, ill-fitting cashmere sweater, or you can pay a little more and get what you want. Flying out at the crack of dawn, jammed in a middle seat is the ugly sweater."

Related: How much should you really tip housekeeping? A travel tipping guide

Be flexible with dates, airports. Put in multiple nearby airports and try different arrival and departure dates when searching for flights.

"You want to open up as many fare options as possible to increase your chances of finding the best deal," said Nowak.

And it's not just about the ticket price. "Smaller airports might have significantly lower parking prices. If you're gone for a week, that can be a lot of savings," he said.

Be persistent. Travelers can hold seats for up to 24 hours without purchasing them with most airlines now, said Hobica, which can make a plane appear fuller than it is and discourage potential fliers.

"People hold seats and then release them. Keep checking the flight, you never know when something might open up."

Travel on the holiday. Flying on the actual holiday tends to bring lower prices. "If you fly late Christmas Eve, on Christmas Day or on January 1, those are always the cheapest days and times to fly," said Hobica.

Related: $134,700 one-of-a-kind trip for fashionistas

Consider Europe. If visiting grandma in the states isn't a requirement, travelers can find cheap affair to Europe right now, said Hobica.

"And if you are in the mood to splurge, business class seats are 50-60% cheaper to Europe during the holidays."

First Published: October 24, 2014: 3:01 PM ET

15.30 | 0 komentar | Read More

The Ebola stocks: Effect of an outbreak

NEW YORK (CNNMoney)

Some people have considered canceling visits to big theme parks and have aired worries about whether airports and public areas are safe zones.

It's no wonder that investors are assessing Ebola's impact on the economy. Stocks of companies that make drugs that treat the virus have had a wild ride.

It's no small issue. Ebola has killed nearly 5,000 people, mostly in West Africa. The deadly virus has killed one person in the United States and on Friday, a doctor in New York City became the fourth person to have tested positive for Ebola in the country.

One trader, Dave Lutz of Jones Trading, has compiled a list of stocks that are either directly impacted or could be affected by the spread of Ebola.

Canadian biotech firm Tekmira Pharmaceuticals (TKMR)' stock surged in September after the FDA authorized the company's drug for patients with Ebola in the United States. Shares have since pulled back. The company has started limited production of its drug, TKM-Ebola, which will be available in early December.

BioCryst Pharmaceuticals (BCRX) is another small biotech company working on a drug that could be used to treat Ebola. Its stock has been on a roller coaster ride lately.

NewLink Genetics (NLNK) is working with the World Health Organization and other agencies on an Ebola vaccine. Its shares have surged 57% in the past month.

Companies that make protective equipment for healthcare workers or provide services to governments have also seen gains. Lakeland Industries (LAKE) said in September that it was boosting production of the protective suits in response to growing demand. It's stock has surged 76% in the last four weeks.

Alpha Pro Tech (APT) also makes protective equipment for healthcare workers. Its stock jumped 5% on Friday alone.

Some investors believe the airline industry is also vulnerable to the outbreak. Concerns about air travel rose this month after a Dallas nurse, who treated an Ebola patient, flew round trip between Dallas and Cleveland before being diagnosed with the virus.

Though airline stocks were hurt earlier in the month, they are now near all-time highs after reporting record setting profits.

Cruise ship operators have also been in focus after a healthcare worker who handled Ebola test samples was quarantined on a cruise ship earlier this month. Shares of both Carnival (CCL) and Royal Caribbean Cruises (RCL) have been under pressure recently.

Hotel chains could also be at risk if worries about Ebola cause people to curtail their vacation plans.

Hilton Worldwide (HLT) and Starwood Hotels (HOT) are on Lutz's list...

...as are amusement park operator Six Flags (SIX) and movie theater company Regal Entertainment (RGC).

First Published: October 24, 2014: 4:39 PM ET

17.42 | 0 komentar | Read More