tv Countdown to the Closing Bell With Liz Claman FOX Business February 29, 2016 3:00pm-4:01pm EST
show, "making money," also joining us with special coverage will be trish regan, so you do not want to miss it. and of course, tune in tonight at 6 p.m., on tonight and every single night. liz claman, you had a rally, maybe you can resuscitate it. [laughter] liz: we shall try, and we will get any details as soon as we get them on that possible student with a gun story. in the meantime, major mud slinging on the gop presidential campaign trail. finish everything from little hands to orange skin, the irs, the kkk dominating the headlines ahead of tomorrow's all-important super tuesday primaries. donald trump a big target of the attack but also leaving an opening with a clumsy response to the fact that a former grand wizard of the ku klux klan has thrown his endorsement to the billionaire businessman. and then there's this: a "time" magazine photographer getting roughed up by the secret service at a trump event in virginia. take a look.
not the optics desired ahead of the vote as more than one-fifth of the nation as it appears trump and people around him take aim at journalists. this as a new national poll shows trump expanding his lead over senators marco rubio and ted cruz. trump with 49%, rubio with 16, cruz with 15%. by the way, ted cruz is expected at any moment at a rally in san antonio in his home state of texas. in this room we may get him in front of a camera, he expects a very good super tuesday, and he'll need it. we'll listen for anything else he has to say. the apple versus the fbi fight isn't going away, in fact, it's ramping up. congress expected to cut to the core of apple's argument tomorrow when fbi director james comey tangles with apple's top attorney on capitol hill. one of the cyber community's most prominent experts with me live. fireeye president kevin mandia shares his view on what he says is the right solution to this
fight over whether apple should crack open a dead terrorist's phone. on the leap day, ooh, now we're down 84 points for the dow. the markets were leaping into the green, but now not so much. we're lining up traders to ask should we beware the eyes -- ides of march. plus, warren buffett says the economy is way better than what the politicians say. charlie gasparino on that. jeff flock telling you why you're playing high prices for pork. we're less than an hour to the closing bell, let's start the "countdown. ". ♪ ♪ ♪ liz: and here we go. 58 minutes left for the last trading session of the month, and at this hour we can tell you that the dow and the s&p even with the red on the screen with the nasdaq down about 18 points. maybe on track to close out february to the upside. but you look at the nasdaq, it's struggling as the index is set to close lower for the third straight month in a row.
that hasn't happened since september of 2011. interestingly enough, two of the nasdaq's biggest winners in 2015, netflix which rallied 134% in 2015 and amazon which jumped 117 president, are both down more than 7% this year. it's a mixed picture right now today for those names. but let's take a look at oil because that seems to be always the driver here. oil settled lower for the fourth straight month in a row, but prices jumped 3% after china moved to boost its slowing economy. what they did was they added stipstimulus by allowing banks to lower their rainy day reserve requirements, and saudi arabia pledging to work with the other crude producers to, quote, limit market volatility. i'm here to tell you that basically means nothing. oil did close higher by about 3%, you can see it trading at $33.75 per barrel. taking a big hit today and over the last year, lumber liquidators falling another three-quarters of a percent for ll.
it's not so much what it's doing to today. this is a new low amid battered sales for ham nate flooring that was made in china, sold by the chain. the annual, i guess the annual high of the stock was $a 52, it's at $1 is.01 right now -- 11.01 right now. let's get to some breaking news right now. presidential candidate senator ted cruz is expected to speak any minute at a rally in the san antonio shrine auditorium. cruz is staying close to his home state of texas ahead of super tuesday. he is sure to address the latest trump taunts and tumbles. we're going to listen closely for anything new on that. meanwhile, to trump, he is still fighting to clean up controversy. a racially-charged brouhaha that began with this man, the former ku klux klan grand wizard, david duke, has endorsed trump. the billionaire candidate struggled and fumbled with his
initial reaction to that report. watch. >> i don't know anything about david duke, okay? i don't know anything about what you're even talking about with white supremacy or white supremacists, so i don't know. i mean, i don't know -- did he endorse me or what's going on. i have to look at the group. i mean, i don't know what group you're talking about. you wouldn't want me to condemn a group that i know nothing about. liz: trump, who is a candidate who claims to have, quote, the best memory, now blaming, quote, a bad earpiece for his comments, saying he couldn't really hear what he was being asked. he certainly could hear the name david duke and the words white supremacy. senator rubio wasting no time hammering trump for failing to condemn the klan. >> he's unelectable now. he refused to criticize the ku klux klan. he's now been given three interviews. this morning on the today show he blamed it on a bad earpiece, that he couldn't hear the question. i don't care how bad it is, ku klux klan comes through pretty
clearly. liz: this coming the day before the super tuesday showdown. 595 delegates up for grabs. let's get to fox business senior washington correspondent peter barnes who's in virginia with the latest on both the dems and the republicans on the campaign trail. this kkk story suddenly seems to be, certainly, catching some fire here, peter. >> reporter: yeah, that's right, liz. and virginia, of course, a critical primary state for both democrats and republicans on super tuesday, tomorrow. so we've had three candidates here today. donald trump was campaigning here earlier today, dr. ben carson for the republicans, and as you can see, i'm at what's going to be a rally for hillary clinton in northern virginia. but let's start with the republican, the latest poll numbers from the republicans. you mentioned them, cnn and orc show trump now at 49% nationally, well above his rivals, marco rubio at 16 percent, ted cruz at 15, dr. carson at 10 percent.
and john kasich at 6 percent. now, here in virginia hillary clinton will be speaking shortly at george mason university. why? well, because she is still lagging among younger voters who have been flocking to bernie sanders despite her big win this weekend in the south carolina primary. sanders still won the youth vote there, was one of the only demographics he did win, 54% to 46% according to fox news exit polls. and that has not stopped clinton from talking like a front runner simultaneously attacking her democratic rival and the republican front runner today. >> i do have a difference with my esteemed opponent who wants free college for everybody. first of all, that makes it really hard to control the costs. you've got to have some cost control in there because it's going up way too much. but i also will tell you i am not going to ask you to pay taxes to send donald trump's youngest kid free to college.
>> reporter: so a twofer dig there for hillary clinton. you mentioned there are 600 odell gates up for grabs for the republicans, there are 865 up for grabs tomorrow for the democrats, about a third of the total needed to clip. the nomination for the democrats, 95 here in virginia alone. liz? liz: oh, peter, thank you very much for setting that up. and by the way, we need to tell people that right now the s&p has just dipped into negative territory for the month of february. listen, four minutes ago i told you it was positive, but we are now pretty much just off session lows at the moment. the dow took a dip, was down more than 100 points just a second ago, so we're watching this very closely. we will have much more on the 2016 race later with our political panel. a couple things, they'll talk about what republicans plan to do in the event of a trump nomination, and on top of it, more on that video we showed you of the reporter getting man handled by secret service at a
trump rally. and by the way, trump's people have responded saying that any inquiries about that situation should be directed to local law enforcement except that it was trump's secret service who was apparently manhandling that reporter. i don't know if we have that video right now. we can either show it now or we'll show it in just a minute. ing maybe the candidates might do well to address the economy and whether the flight to treasury bonds is a worrisome sign. right now down 90 points for the dow jones industrials with about 51 minutes away from the closing bell. the final trading day of the month of february. over the weekend warren buffett certainly addressed it, in his annual shareholder letter he revealed he reduced his muni bond and high yield bond holdings amid ongoing concerns. such a poor investment tool that they, quote, should come with a warning label. what's he doing instead?
he's heading into treasuries. traders at the new york stock exchange, the cme group and the nymex, scott, what'd you think about buffett's comment about that? >> he's got a long-term time horizon, and anytime you hear him say he's going into treasuries, you know, i think equities actually get a little bit nervous. overall he's been very successful, people like to follow what he's doing, and he's been pragmatic. he's been buying extreme dips and one of his comments not today was the market's not cheap, but it's not so overpriced, and i think that's the problem with investors right now. they're trying to figure out how to base the p of s&p earnings, and right now they've come down. to sustain a move in this 1950s era of the s&p is hard. and we lost a 50-day moving average. technically, we were looking at 1942 to sigh if we would hold that, and right now we're underneath it. short term that's not a positive either. liz: yeah, treasury yields of about 1.73% for the ten-year. joe cusack, as we look at the markets over the past couple of minute, we took a leg down.
remember, we were higher considerably earlier today. the dow had been up 86, the s&p had been better by 10. we've seen a bit of erosion here, certainly. what do you think that can be attributed to? >> yeah. well, right now it's the market is very uncertain. technically, it looks like it should break up, you know? it's getting over that 1950 mark. right now there is really no reason. the bond yields between treasuries here in the u.s. and germany have, the gap is getting bigger, and you know what? take a look at the nikkei. watch the overnight action, and you're going to see that the japanese markets are coming under pressure, and you're going to see the s&p get under a lot more pressure. liz: yeah. nikkei 225, fell about 1%, hong kong could be one and a third percent. it was a tough day, certainly, in asia. luke, what's happening with oil today, a move to the upside of about 3% but, you know, we'll work to figure out volatility, say the saudi arabians. again, you really can't believe
any move, but this has been a tight trading range between 34 and, what, $29 a barrel over the past couple of weeks? >> yeah, it has. but you already mentioned all the news that's had oil up today. it was the news out of saudi, it was the chinese stimulus, and buffett had some positive comments to make about the u.s. economy. but the thing i'm looking at right now is the dollar index. dollar index has been strong the last couple of weeks, and oil hasn't gone down. they have an inverse relationship. so i think oil's going to stick around here for a little bit. let's see what happens. but it's starting to find a good floor, if you ask me. liz: okay, a floor. i've heard that before -- [laughter] we're looking around 33. hey, it's been one of the biggest questions i think that a lot of smart people on wall street have gotten wrong. thanks, guys, good to see you. we're 48 minutes away from the closing bell. this is a touch and go session, folks, because we could get a lot worse or marginally percent. two big names, dupont and caterpillar, extending friday's
gains into the dow winner's circle today, but this is changing as we speak. visa is converting negative, dupont as well. apple also having a kind of a granny smith day. lots of green ahead of its big faceoff with the fbi on capitol hill tomorrow. apple up just a fraction. lawyers for the tech giant looking to make the case that unlocking the iphone of one of the san bernardino terrorist shooters would open the door for hackers to wreak havoc on personal safety and privacy of apple owners, leaving millions exposed. but as terror attacks both in the real world and online continue to mount, compromising millions of americans' personal data, could protecting personal privacy actually be making us less safe? cybersecurity guru kevin mandia of fireeye here with us in a first on fox business interview. his better way, he believes, to solve this standoff. more "countdown" on the way, don't go away. dow is down 101. ♪ ♪
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radar. the company has partnered up with several firms including at&t to track your travel and behavior through your cell phone as you drive or walk by the billboards. the company then takes the info and provides it to advertisers. oh, and guess what? i bet that if your phone is tracked as having walked by a certain billboard, they'll assume you looked at it which, excuse me, i don't always look at every billboard, and then they'll send you stuff? i don't want to know. clear channel outdoors stock, it's trading higher by about 1.25%, it's still a $3.60 for cco. look, this is all a big discussion from collecting data to refusing to release data to the fbi. apple is headed to the hill tomorrow as general counsel is set to testify with fbi director james comey at a congressional hearing. the electricity between the two more like lightning bolts. apple's counsel has already said
it will tell lawmakers once that iphone in question -- that of a dead terrorist -- is unlocked as the fbi wants, hackers could wreak havoc on personal safety and privacy of apple device owners. is there a way to calm the standoff between fbi and apple? joining me now, kevin mandia who does all kinds of breach investigation and is a leader in this. first, give me your stance on whether apple should open the phone. >> this is a very complex issue and, by the way, both sides are well intentioned. one side looking to represent the privacy of citizens and individuals in an international community and another side that wants to protect folks. i think we could come to the table and both sides would agree we don't want bad things to happen to good people. and i think what we're going to see merge from this -- and this discussion needed to happen -- it's going to be an ongoing discussion as technology changes everybody's sense of privacy throughout the future. and we'll see something emerge where hopefully both sides can say here's what we can do to
prevent harm to innocent people while still protecting the privacy of citizens. liz: if you were advising east side here, what would you -- either side here, what would you say they can do? that's what i'm dying to do. is there a way that apple can appropriately, without compromising its entire situation of software and its proprietary stuff, can it do this and help the fbi and yet keep the rest of us completely private? >> well, i think it's going to be hard for apple to promise any kind of back door because the day they create it, let's say they sat down with the best scientists in the world, and they have them, and they create great encryption that does have a back door or front door, whatever you want to call it. within 24-48 hours there's going to be freely available encryption that we can't break available to those users that want to use it. so i think that the end description issue's a real tough one to solve because there's other third parties that can provide those solutions if apple chooses not to. so that's going to be a tough one to be a solution. i don't see a back door into
this as a realistic solution simply because of that work-around. liz: well, yeah. and also we just showed a cyber alert to the left side of the screen there saying that 700,000 extra people had their information compromised through the irs. so when you do have any kind of little chink in the armor, in a way isn't it almost like there is that possibility? people should be looking at that? that said, we were wondering last week when we spoke with the former head of the cia, james woolsey, about whether this goes all the way to the top, he's what he said. listen, and then you can comment. >> i think under the current structure it will probably go to the supreme court, but i don't think that's the way we want things to work out. i think you have to change the structure to let both sides win. liz: what do you think? all the way to the supreme court? and then what? you leave it up to i wouldn't say the youngest people in the world sitting on the supreme court who might not have, you
know, extreme knowledge, and everybody's got an ageneral da here. you start to look at the constitution. the constitution says keep things private. >> right. well, absolutely. at the bottom line, there's a lot of people that have a core philosophy that the last decision maker you want in any decision is a court of law making it. you always want to work things out ahead of time to the benefit of both parties. liz: yeah. >> here we have two parties, reasonable parties. they want the same objective; protect citizens from harm. so hopefully, those two parties working together can solve to this and come up with a reasonable way to work together before we let the courts decide how they must work together. liz: well, we'll be watching it. kevin, great to see you. thank you very much. >> thank you, liz. liz: kevin mandia, fireeye president. he's the subject of today's claman confidential, the exclusive content you can only find at lizclaman.com. kevin's going to talk a little bit more about why keeping your data safe online is like a game of hockey. yes, he'll explain that.
and follow me on twitter @lizclaman. by the way, we're-at 19,000 followers on facebook, pushing for 20,000. always links at lizclaman.com as well. closing bell, we're 38 minutes away. despite last week's gains, pfizer and nike falling into the red today, weighing on the dow. and the seesaw ride continues for jpmorgan. shares under pressure again after the bank announcing the dismissal of two senior staff members over compliance issues. jpmorgan falling 2%. on the flip side, we'll talk about one major market winner. bringing home the bacon in a big way. lean hog futures. jeff flock live at old elm farm in sycamore, illinois, where they are pigging out, literally, as prices soar. right, jeff? >> reporter: did you know pigs have teeth, liz? i don't know if you knew that, but i can attest to that. [laughter] maybe in a minute we'll come back and talk about them eating
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liz: let us take you to san antonio, texas, where texas senator ted cruz is speaking live. he's hitting his competitor, donald trump -- at least he was a minute ago. let's listen in. >> at "the new york times" the story of donald trump saying that he doesn't belief what he's say -- believe what he's saying on immigration, that all of his promises to secure the border are not real. and if he's president, he doesn't intend to do what he says. "the new york times" apparently has this on tape, but it was an off the record tape. so "the new york times" has said they will not release the tape unless donald gives them permission to do so. i call on donald, ask "the new york times" to release the tape and do so today before the super tuesday primary. one of two instances. it is either false, and if donald didn't say that to new york times, then he deserves to
have this cleared up, and releasing the tape can clear it up. the alternative is that it is true, that not only did donald trump fund the gang of eight rubio-schumer amnesty effort, not only did he give over $50,000 to five of the eight members of the gang of eight, but that he actually now is telling "the new york times" editorial board, pay no attention to what i'm saying on immigration, because i, donald trump, don't intend to do anything. i'm saying i'm just trying to -- you know, he recently said he loves the poorly educated. well, i hope that's not the case that donald trump is telling "the new york times"' editorial board that he is deliberately misleading the voters, and he has no intention of doing anything. he's saying right now. that tape can clear it up, and the voters deserve to know if he he said something different when he's talking to "the new york times" than he does when he's talking to the voters, and we deserve to know before super tuesday. >> senator, are you prepared for a contested convention? >> no.
and i will say, you know, a contested convention is the great hope of the republican establishment. it is how they are drowning away their sorrows. they say, well, have a brokered convention, and all these crazy voters will go one way, and then we'll step in with all of our money, and we will anoint our white knight to ride in and save the day. that's not going to happen. >> they tried to do that with mitt romney, are they trying to slip him in? >> look, we will see, but we're not going to have a brokered convention. the voters are going to decide. and it is very clear, it is very clear that the only campaign that can beat donald trump -- and, in fact, the only campaign that has beaten donald trump -- is our campaign. look, here in the state of texas the polling shows we've got a considerable lead. i think we're going to have a very good night in the state of texas. i would note that the other candidate in the race, marco rubio, is losing his home state of florida by 20 points. that's a real problem.
you can't beat trump if you can't win your own home state. >> senator -- >> last question. last question. >> [inaudible] does that hurt your argument that donald trump is basically -- [inaudible] >> jeff sessions is a good man, he is a good friend, and he is a principled senator who fights passionately for his causes. donald trump's record is open for everyone to examine. it is a fact that for four decades donald trump has supported open borders. it is a fact that donald trump supported jimmy carter over ronald reagan. it is a fact that donald trump supported hillary clinton and chuck schumer and harry reid, and he supported john kerry over george w. bush. nobody who supports open border democrats for 40 years can care about securing the borders. it is a fact that donald trump had a $1 million court judgment against him for hiring illegal
aliens. it is a fact that right now donald trump's hotel in florida brings in hundreds of foreign workers rather than hire american workers. and, indeed, his explanation for that that he did in an interview just after the last debate, he said you can't find americans who are qualified or who want to work as waiters and waitresses. that explanation is patently offensive, it is false. there are millions of americans who have worked as waiters and waitresses and want to especially in some swanky hotel in palm beach where people are tipping with $100 bills. but out of roughly 300 americans who applied to work at that hotel, donald hired 17. instead he brought in hundreds of foreign workers that he could pay less money, that he could control, that were captive. they couldn't quit, they couldn't leave. and donald cannot abuse our immigration and take advantage of american workers and at the
same time pretend to be a champion of american workers. and i would note this secret tape that "the new york times," if it is, in fact, the case that "the new york times" has a tape showing donald saying he doesn't believe what he's saying on immigration right now, then the voters deserve to know, and you should be very troubled by a candidate like donald trump who tells "the new york times" one thing and the voters another. although i would note donald has also told us that he would be a very, very different person the day after the election, that he could be in his own words the most politically correct perp on earth. let -- person on earth. let me tell you this, the day after i'm elected, i will be the exact same person i am today, a principled constitutionalist. and i will mention here in the state of texas five year withs ago, i promised the people of the state of texas that if i was elected, i would go to washington and fight with every breath in my body to stop obamacare, to stop amnesty, to
secure the borders, to defend this nation, to defend the bill of rights and religious liberty, and i have done that every single day in the senate. that's why we've got the tremendous support we have in the state of texas, because i've honored my commitment to the men and women who elected me, and i will do the same -- [inaudible] >> you've off pointed to senator sessions when describing your -- [inaudible] the fact that he's endorsed donald trump now, what does that say about donald trump. >> >> look, donald trump's immigration record is a matter of public fact, public record. donald trump's record on immigration is terrible. >> [inaudible] >> donald trump's record on immigration is terrible. no one who gives hundreds of thousands of dollars to open border democrats can be trusted to secure the border. and the fact that there are now
reports that donald trump is telling "the new york times" he intends to go back on everything he's said on immigration right now, there is a reason, there is a reason. [inaudible conversations] >> i have no idea what trump said. >> senator, if you win -- [inaudible conversations] if you win the nomination, if you win the nomination for the presidency, what is going to be your message to the dreamers and to the mothers who are trying to decide whether they vote for -- [inaudible] >> listen, my message in this election is that we're going to bring back jobs and economic growth. >> to the dreamers. >> we are going to enforce the law. and president obama's executive amnesty is illegal. it is contrary to the law. a president doesn't have the authority to ignore the law and refuse to enforce it. as president, i will enforce the law. [inaudible conversations] liz: okay.
and that's senator ted cruz. oh, boy, this just ramped up. ted cruz is saying that there is a secret audio recording that "the new york times"' editorial board has. wouldn't be so secret. it apparently comes from same audio recording back on january 5th that in portion "the new york times" had already released after donald trump said that he, quote, never said he would impose 45% tariffs on the chinese. new york times said, no, he actually did say that. they gave out this piece of the audio. now ted cruz is saying on that same audiotape you have donald trump basically walking back his promotion of building a 10-foot wall between the u.s. and mexico and that he really wouldn't put forth the promises that he's talked about when it comes to sealing off the border. let us bring in on this breaking news mary ann marsh who's a democratic strategist along with matt schlapp. right off the bat, matt, your reaction to this new -- i guess
could you call it a bombshell that ted cruz is floating here? >> well, it's always interesting within a republican election contest, liz, to be bringing in "the new york times" and think that "the new york times" could be helping ted cruz is a little bit ironic. liz: good point. >> what i do like ted cruz is doing is he's hitting donald trump on issues. and i really think that's going to resonate with voters if he goes into super tuesday. marco rubio is also going after donald trump, but there's a little less seriousness to it, and it's a little more personal. hitting him on the issues, that's what the voters want to hear. liz: mary ann, this has become a huge food fight on the republican side. so far the dems are starting sty from taking pot shots here, but who needs enemies when you've got friends like rubio and cruz? >> no need, let the circus continue. and that's exactly right. first of all, ted cruz doesn't have the standing with voters to make these claims on his own. the only voters who might believe him are in texas. so he has to bring in a third party.
and ironically, the third party validater in this case is "the new york times." highly unlikely that many voters in the republican primary -- let alone those who are inclined to support donald trump -- are going to believe anything from "the new york times", and it's very late in this campaign to start doing this. liz by the way, we should explain that this supposed audiotape was supposed to be off the record. so i guess you could say, matt, that if they release it, what does that do to their reputation? as journalists, we never -- hopefully -- say off the record and then release stuff that's suddenly on the record. >> yeah, i think that's exactly right. i think, you know, look, the point he's trying to make is this. whether or not there's a tape or not, ted cruz is trying to say, look, i'm the reliable conservative, the orthodox conservative, i'm the guy you can count on every issue that matters to you. donald trump, he's had a record where he has moved around, to his own admission. but he's moved to the conservative side on a lot of these questions. so that's the question for voters. are you willing to take an
outsider who's going to take a 2x4 to washington and break it all up, which donald trump is going to do, or do you take ted cruz who's also an outsider who you know everything that he stands for? liz: and on top of all of this, it now ramps up that press versus donald trump argument that has been out there. by the way, this came out today. a bit of videotape of reporters, in fact, it was a photographer from "time" magazine being completely manhandled by secret service who protect donald trump. that guy doesn't look like too much of a threat at the moment, but, you know, he was trying to show 'em you grabbed my throat, you grabbed my throat. and, boy, you see other cameramen saying take it down a notch, everybody needs to calm down. but, again, this is out there, and the trump response so far, mary ann, has been any inquiries should who to local law enforcement. those guys who are manhandling
him are not local law enforcement. >> yeah, they're secret service. and, again, everyone has really underestimated just how shrewd a campaign and a politician donald trump has been. he has inoculated himself against much of this because as we all know from watching these rallies, at every single one he criticizes the media. he's been able to establish himself because people have known him longer than ted cruz or marco rubio, because he's been in the public eye for decades. and the person they've seen in the public eye for decades is the one they're seeing on the campaign trail. liz: but isn't it interesting, don't you find this interesting, because early in the campaign, early in the battle for nominations on both sides it was hillary clinton who was really beaten up about having put reporters in a sort of makeshift pen with a rope around us. >> with a rope around us. liz: everyone said how could you, how could you. well, at least they weren't beaten up here. who knows the circumstances, i but when you see stuff like that, it certainly raises all kinds of questions.
and on top of it, matt, the ku klux klan issue today. >> right. liz: that is rearing its head. i'm going to show viewers what an earpiece looks like. we all have these earpieces that go in our ears through which our executive producers and producers can speak in our ear or when you're remote like donald trump was during the cnn interview with jake tapper, he's blaming a, quote, bad earpiece on why he couldn't hear the direct question of why haven't you come out and said i hate david duke and the ku klux klan, i want nothing to do with them? >> if you're asking me, he has said that, he's said it on social media, and he's made it clear a couple of times -- liz: disavow is an s.a.t. word. why can't he simply say i abhor white supremacists, i want them no where near my campaign? >> look, i think he has to keep saying this. that was a bad interview with jake tapper. it's unfortunate that whatever happened with his earpiece happened, he's just got to keep working it. liz: doesn't he have to come clean though? clean this up in a more clear
fashion? >> i agree. what i mean by working is he has to make it very clear that the kkk is vile, ab hobbit and un-american. -- abhorrent, and un-american. i know that's where donald trump is, and he's got to just keep making his position clear on this. liz: and right now we have governor perry on stage introducing ted cruz for this event in san antonio, texas. mary ann, is cruz out if he doesn't win the state of texas? >> of course he is. and just to go back to matt's point for one last second, i don't think this is a problem in the republican primary. it will be a problem in the general election because you've already seen african-americans come out in higher proportion numbers in the democratic primaries than they did in 2008 -- liz: for hillary clinton. >> exactly. younger voters, women, i think a lot of independent women, even moderate republican women would take offense to this and vote democratic. as to ted cruz, he not only has to win texas, for him to catch donald trump who has a 70-plus lead in delegates right now, he
would then have to win every single state after that. that is not going to happen. liz: every show on fox business has requested donald trump to come on and talk about the kkk. we will let you know if he does. he has come on many times, so he's been very open to speaking, but not so far today -- >> but he has been clear. he's been clear about his statement on this. i do think he should keep working it. liz: okay, yeah. clean it up. mary ann, matt, great to see both of you. good comments all around. you all need to stay with fox business this entire election season. it matters to your wallet, it matters to your portfolio. charles payne is kicking off our super tuesday coverage tomorrow starting at 6 p.m. eastern. you've got to watch charles followed by lou dobbs and neil cavuto. fox business all-stars bring you instant results and analysis from that business and investment point of view. that's all night on super tuesday. closing bell, we're about 17 minutes away. warren buffett called out the 2016 presidential race candidates in his latest shareholder letter saying the economy is way better than
politicians are leading us to believe. but charlie gasparino coming down now to say the oracle of omaha is getting this one wrong. charlie breaking it next. ♪ ♪ (gasp) shark diving! xerox personalized employee portals help companies make benefits simple and accessible... from anywhere. hula dancing? cliff jumping! human resources can work better. with xerox. which allergy? eees. bees? eese. trees?
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♪ ♪ liz: arguably the greatest investor of our time, warren buffett, putting out his annual letter to berkshireaway shareholders this weekend. millions of people jump on the web to read it. stressing among other things, he believes the u.s. is, quote, already great as in we don't need to make america great again. this is what he wrote: it's an election year, and candidates can't stop speaking about our country's problems which, of course, only they can solve. that view is dead wrong. the babies being born in america today are the luckiest crop in
history. charlie gasparino, and you say what? [laughter] >> i say he's full of it. now, first off, i have immense respect for mr. buffett as an investor. he's, obviously, really good at that stuff. and he's, you know, not just like a flash in the pan. warren buffett's been doing this for how many years, 50 years? liz: well, yeah. he just had his 50th year at berkshire. 19% return every year overall. >> this is amazing. but we should delineate between his investing ability and what he feels politically because often that colors, you know, those two don't mesh, you know? ken land gone's a really good financier and great philanthropist in new york city, he's horrible when it comes to picking political winners and, you know, his support of chris christie who flamed out bigtime is just the latest example of that. and i think buffett is that as well. i mean, listen, one of the things that buffett is worried
about is the fact that both parties right now are attacking what is really tepid growth, 2% growth, falling wages, and unemployment that's dropping as people leave the work force. we have a very low work force participation rate, and on both parties, bernie sanders and hillary clinton, trump and everybody else on the republican side are attacking that because it's so obviously bad, and it says something about president obama's policies that warren buffett sat there and cheered on and supported. so, you know, remember he's talking his book here. liz: he looks at a broad sweep. i've covered him for many years, as you know. he looks very long term. one of the things he said in here, we can put up the quote. america is, quote, the golden goose of commerce and innovation. and it will continue to lay very large and longer eggs. the country needs to make sure it has a solid safety net to help people who lose jobs. he's worried about robotics, you know, hurting jobs, and he
brought up dexter shoe which he used to own in maine when cheap shoemaking went over to china. >> china! [laughter] liz: 1600 people lost their jobs. >> trump talks about china a lot, as you know, probably our next -- liz: but america innovates. they don't whine mostly. >> what's the last great innovation we had? was it twitter? i mean -- liz: twitter? innovation? well, go to the web, all kinds of medical innovations and medical devices. >> how are we going to put people to work when we have the highest corporate tax rates, when we have very low growth in terms of wages? the middle class is -- the working class of this country is seeing some value out of what donald trump's saying because -- not because of what warren buffett's saying, because they see the reality. liz: well, i think his point was it's terrible and a mistake to bet against america. and, you know, you can go back in history. king george tried to bet against
america. >> i know that -- liz: the germans of world war i and ii tried to bet against america. >> but bet against america under obama and warren buffett's policies is a good bet. liz: are you just jealous he's richer than you? >> let's face it, he took this whole building, multiply it by ten, he's richer than us. [laughter] okay, got that. got that. i'm talking about economics here, liz. do you have some sort of weird crush on him? liz: no, it's the other way around, charlie. >> i don't know about that. your eyes light up whenever you're -- liz: hey, he's a good get. speaking of good gets, the 5 p.m. eastern show, the deirdre show, she's going to have donald trump's spokesperson, katrina pearson, so you need to stay tuned. >> china! [laughter] china! liz: including what senator ted cruz just said and there's some audiotape from "the new york times" that insists donald trump
would not follow through with his promise about immigration. >> you know what i love about donald? he has ways of saying things. china, billions -- liz: huge. >> it is fun. liz: we're coming right back. the dow is down 100 points. look what you did, charlie, thanks a lot. [ beep ] but you'll be glad to see it here. fidelity -- where smarter investors will always be. if only the signs were as obvious when you trade. fidelity's active trader pro can help you find smarter entry and exit points and can help protect your potential profits. fidelity -- where smarter investors will always be. . . . .
liz: two pieces of breaking news. the dow is down 91 points. looks like it will be positive for month of february but not so for the s&p. it has now within the last couple minutes dipped into negative territory for the month. on top of that we have news on valeant. it is falling precipitously. let's get to adam shapiro at new york stock exchange. adam. >> canadian drugmaker is down almost what, 17% right now. bloomberg is reporting that the company is under investigations by securities & exchange commission and this is previously undisclosed probe. there is another protect that goes with purchase of another company that valeant was
attempting to purchase this is new investigation from the sec. one of the reasons perhaps you're seeing valeant down almost 17%. liz? liz: adam, thank you very much. as we look at markets losing steam, let's get to sam stovall, we're talking fed, politics, jobs, people's money. here we are, sam, we're looking at real weakness in final hour of trade. doesn't look positive for february or at least the nasdaq. why not? where is the struggle here? >> investors trying to figure out whether rally we've seen last couple of weeks is beginning of a new longer term upward trend or really just a head fake, a counter trend rally. even a rally within over all bear market. so i think that 1950 level is very important but it is like a rusty door. you're not getting it open on the first try. liz: i like that analogy. somebody bring in the wd 40 because we're having real trouble here with the markets. all red on the screen.
i want to quickly get where you feel there is opportunity right now with so much of a cloudy horizon? >> our belief, you still have opportunity for technology, consumer discretionary, and also believe it or not, for health care, even though the last report on that canadian pharmaceutical company, also both sides of the political spectrum, talking about making changes to health care, let's face it, we had new record number of or i should say highest number of new entities approved by the fda in the last 20 years last year, that track record we think will be eclipsed this year. you get a company to come out with a really good blockbuster drug, i think everybody will be looking at health care favorably once again. melissa: sam, you just talked about track records. you have a great track record of seeing how markets move on all different pieces of news. this election battle that's going on has gotten extremely ugly. is there any way that maybe hurts markets at all?
>> usually in the year in which sitting president either chooses not to run for re-election or is not allowed to run for re-election, actually the markets is down on average during that calendar year. so we're sort of under a dark cloud to begin with. with such a contentious primary as well as potential for the election, i think only can get more rancorous as we go forward. liz: sam stovall, great to see you at s&p i.q. capital. we appreciate it. what is negative for february, s&p, nasdaq and junk bonds, once again a negative return. that does it for "countdown to the closing bell." david, melissa over to you. david: liz, appreciate it. melissa: thank you so much. less than 24 hours away from one of the most important events for the race in the white house. millions of americans vote this week in the biggest day of the primary system yet. david: indeed will be something to watch. with hundreds of delegates up for grabs there is a lot at stake for the candidates.
does that explain all the mudslinging between top three republicans in the campaign trail this wait until you hear what was said today. melissa: we have surprising results from a new national poll. we'll break down numbers are now coming up. [closing bell rippings] david: -- rings. david: here is where we're ending the day. here is the downside on dow jones industrials. switch down to the bottom of that chart there. crude was up 3%. remember how stocks and oil have been tracking each other closely last couple months? not today, going in opposite directions. melissa: that is interesting. while markets wait for tomorrow, here is everything you need to know now. david: 24 hours before the biggest event in the race for presidency, super tuesday, 12 states, i were concluding texas, massachusetts, virginia, colorado and others hold primaries and hundreds of delegates