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tv   Countdown to the Closing Bell With Liz Claman  FOX Business  May 22, 2017 3:00pm-4:01pm EDT

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regan or on facebook. tell me what do you think how president trump is doing right now overseas in his big first trip. you know, we've been talking about principled realism. this is the term. he coined it. they're going to be writing about this in political science textbooks years from now. liz is next. liz: thank you so much, trish. president trump historic first overseas trip pumping up u.s. markets in this final hour. look at the dow. up 87, though, off the earlier highs of more than 100 points to the upside. this after the announcement of $300 billion in business deals with saudi arabia as the markets charge higher, a huge chunk of the deal involved defense but the president is on the offense in the search for lasting peace between israel and the rest of the middle east. this as he follows centuries of. and benjamin netanyahu in just
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the last hour dining and discussing a bond between our two nations. but is it iran with russia's support not only the biggest impediment to the use the but a first on fox business interview, former prime minister of israel is here with us in studio. israel peace a possibility or a pipe dream? and how do israelis really feel about helping arm syria? we'll ask him. back home, there's slashing and burning and also some building up with the president's budget that's about to be unveiled. our political panel on whether a balanced budget will be doable or pretty much hard to achieve as peace in the middle east. plus, the sale of the century. what this spray pained skull pulled in by that artist on your screen at the massive art auction and what it says about our economy, or at least about the big job creators.
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the ceo is here first on fox business. it was a huge auction for them. and ford mows down ceo mark fields. we'll get you a live report on the automaker's reasons for letting a ceo go. we're less than an hour to the closing bell on this monday. let's start the countdown. ♪ ♪ liz: breaking news with the dow up 87. there's a last-minute strategy session going down both at the white house and on capitol hill ahead of the big unveil. tomorrow the white house budget will be released but ahead of that, we just learned that vice president mike pence will be specifically meeting with house weighs and means committee chairman kevin brady among others to talk tax reform. not just the budget. they will be talking about tax reform. so i need you to watch the lower ticker here. watch the markets because any time there appears to be some type of break through with tax reform, the markets move higher. the president of course is looking for a legislative
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victory, even as the fruits of his oversees trip are helping move stocks higher today. stocks really began a gain after a weekend that saw the announcement and then the official come to affect moment of $300 billion worth of deals between the u.s. and saudi arabia. so you see the dow up about 86 points, seeing a gain of half a percent. the nasdaq on you at 6,127, up 43 points. now, one beneficiary when especially you look at the dow of the saudi windfall is boeing. it is absolutely one of the top gainers in the dow at this hour. it is up $2.36. well off the highs of the session. see, over the weekend as soon as people began to realize that the aerospace giant had agreements to build military and civilian aircraft for the saudi kingdom, including those the helicopters and also some wide bodied jets the gulf airlines, the stock was raring to go at the open. still, it is on the move to
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the upside. also gaining today, the usual suspects big tech names continuing their march higher. amazon already hit an all-time record earlier today but if it closes anywhere to the upside, that will be i believe its 18th record close. let me just check that. yes, the 18th record close of this year alone. we have amazon up 8 peace officer $66. microsoft moving higher by just 54 cents. but still looking at a decent gain of three-quarters of a percent and apple once again charging higher by three-quarters. three 25-cent pieces. huntsman, the chemicals company, which is going to combine forces with swift counterpart claireiant. this is a all stock transaction that includes a 14 billion-dollar chemical giant worldwide. so you see shares of huntsman down nearly 2%. right now investors aren't loving this deal, but we'll keep an eye on it. breaking news right now we have president trump
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continuing the first major foreign trip to israel at this hour. sending a powerful message to the world, and that message is america stands with israel. what you see him doing here is walking up to the holy site for jews and certainly in jerusalem and israel, and he's placing a wish on a piece of paper. and when you go there, you see a lot of crumbled wishes from over the decades of people who have put their wishes. i've done it. i know a lot of people at fox have done it. it's just an incredible moment and clearly president trump could feel that emotion there. the president meeting with israeli president rubin as well and then of course israeli prime minister benjamin netanyahu earlier. the two nations vowed to work together to defeat terrorism and bring stability to the middle east. let me get to blake burman. live in jerusalem. blake, even far away from home, though, the president still not able to shake some of the controversies of last week. >> that's right, liz. these two president trump, benjamin netanyahu largely
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stuck to the script here during the first day of meetings talking about iran, the peace process, syria, and the like. however, they both made a little bit of news when they both responded to a shouted reporter question earlier today as it relates to intelligence sharing. let me take you back to earlier this month when the president in the oval office met with top russian diplomats. and while the white house has not yet confirmed, nor have they denied that the president shared classified information with the russians in the oval office, it is of the reporting of the fox and others that the intelligence in question was provided by the israelis, hence the question today about intelligence sharing. might thereby any push back from either side on intelligence sharing, however, both leaders, the president and the prime minister netanyahu kind of pushed back on the notion that there was any sort of problem as it relates to that. listen. >> never mentioned the word or
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the name israel. never mentioned during that conversation. so you have the story wrong. never mentioned israel. >> now, this clearly, liz, has not had any negative effect, at least publicly. in fact, just about every single turn today when president trump and prime minister netanyahu were together, netanyahu of us going out of his way to sort of give the sense that he feels that trump is the ideal partner on the world stage. >> i think we quote each other. we understand each other. and so much of the things that we wish to accomplish for both our countries. but i want to thank you, especially today, for your deep commitment to israel's security, its well-being, and its future. >> liz, 10:07 at night here in jerusalem, the day almost done for president trump. and tomorrow will be yet
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another interesting one as well before he leaves for the vatican. first thing in the morning, president trump heads over to bethlehem where he will meet with the palestinian leader. liz. liz: blake burman, thank you very much. we are going to get a very unique perspective to the president's historical visit first on fox business. the nation's former prime minister oh ud. he is going to be here. i'm going to ask him what about sharing intel that may have come from israel. what about this opportunity of seeing peace? can donald trump achieve it? find out first on fox business coming up. also in a little bit more than an hour from now, vice president pence the original story that he would go to capitol hill in an effort to revive momentum for president trump's economic agenda, specifically the speller budget. but now it appears he is going there to talk about tax reform.
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that's what fox business is hearing. some distractions of the fall out of the president's firing of former fbi director james comey and investigations into ties between president trump and the russian government. let us get to adam shapiro at the white house. adam. >> and one thing you need to keep in mind, liz, about the meeting that will take place is that chairman bradiy is holding that hearing tomorrow on the border adjustment tax and how it in the words of the chairman can help create jobs and grow this economy. but the trump administration has said through the treasury department that they don't believe the border of adjustment tax as it's proposed will work, but they're willing to listen. so this presumably could be part of that, especially as we wait for that hearing. but the other thing we're waiting for are the details on the president's 2018 budget proposal, and we expect to get those details confirmed later this evening. but already we know from
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reports in the washington press that the biggest potential savings or cuts, depending how you look at these would those two news organizations which have seen the budget proposal come from what happened in congress through the affordable health care act and the house bill to repeal obamacare. cuts of $800 billion over ten years to medicaid. so that is a big portion of what we expect to be in the 2018 budget proposal, along with cuts to several programs. because in march, the administration outlined what it was seeking, potential cuts to the statement department 28%, cuts to the agriculture, commerce, energy, transportation, and how are you doing of. now, there will be spending increases. remember, the president made this a key part of his campaign platform to increase defense spending over $50 billion. but there's also the potential to make the burden on graduates from colleges and universities and secondary education who are burdened by their student loans.
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there are rumors that there will be some form of forgiveness for student loans after several years. right now there's a program after 20 years when you've paid more than 10% of your income. so the trump administration is expected to help ease the burden on students. keep an eye what happens in washington. you have this coming public tomorrow. then you have nick, the director testifying before the house on wednesday and the senate on thursday, and you have secretary of treasury mr. mnuchin also testifying on wednesday about this budget. liz. liz: adam, thank you so much. we're watching the budget. there's a lot of flashing but a lot of spending too. it's a strong start for the week. for the u.s. stock market, thanks to the lift from the u.s. arms deal with saudi arabia. that's pretty much lit a fire under defense names but the overall market is moving higher. why inspect because even if you don't own a single defense stock, a bunch of other widely-held companies are alsotr
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deal the saudis have struck. ashley webster with big names here. >> once you open the checkbook, it's a good thing. and you start adding the zeros, 300 billion defense stocks, also the oil stocks. but look at the markets themselves. up about 1%, the nascar getting a nice boost today. boeing leading the way on the dow along with cisco and 3m. but i wanted to talk about oil closing at 50.73 was the official close today. this is after hours. that is a one-month high and opec has its meeting this wednesday and the theory is that they will extend the production cut. due next month. it looks like the saudis and iraq are all behind the deal to extend the production cut through the first quarter of next year. now, how much compliance do we actually see with opec? by some estimates, about 90%. but the problem for opec, liz, is that even if they cut production, there's still plenty in reserve and let us not forget that u.s. share oil
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continues to crank out products. so it's kind of a counterbalance. the more that opec cuts, the more gets pumped out of the ground. so all eyes on opec this thursday. liz: ashley, thank you very much. ashley webster. and now the dow is climbing back up. remember, session highs for the dow jones industrials up 109. we're up 92 right now. good for just under half a percent. well, just because president trump is overseas with the closing bell ringing in 47 minutes, as he wraps up his first day in israel, his administration here at home working to press forward with his economic agenda. not just the budget but tax reform as well. and what made -- what this man made with a couple of yards of canvas and spray paint just became the sale of the century. the guy running the
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publicly-traded company at the center of the record art sale is giving his first business network interview right here on fox business. on how dramatically this thing went to auction. he's going to describe it and explain what it says about the economy coming right up. ♪ ♪ what we do every night is like something out of a strange dream. except that the next morning it all makes sense.
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liz: okay. so we already showed you boeing, which is really boosting the dow jones. but let's show you how defense stocks other than boeing are jacking up the markets with about 43 minutes to go in the trading session. traders knew that the $300 billion worth of deals in connection with with this weekend's visit to saudi arabia was coming. but included in those transactions nearly 110 billion in arms deals. and we're not talking about ford, unlike what you see in the hands of the saudi host here and president trump in riyadh. we are talking about ships, planes, and parts. the defense sector up today in the wake of the news, it is really driving the markets. names like lockheed martin. how about general dynamics? they are posting didn't even gains here anywhere from two-thirds of a percent to 1.5%. other companies getting a boost from saudi deal making include general electric,
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exxon, honeywell and, yes, berkshire hathaway. warren buffett is under that umbrella, makes those parts to let the f35 stop midair and hover. it's a jet that hovers, austin. have you ever seen that? beyond cool. i got to see it at the berkshire hathaway shareholder. plus, it could double its gains over the next year and a half, even if warren buffett steps down. is the president gaining some political momentum during his trip? here to talk about it horizon investment chief global strategist and democratic political analyst cathy. gregg, when he left his approval ratings were not great. but something tells us that they will be better upon the return because he so far is looking very presidential, he's fair, going both to the palestinians and the israelis
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and to the pope. what do you think is going to happen? >> well, the big thing is that nobody is talking much about russia, and i think we have several days until that cools down. we get comey testifying in another week or so, liz. but i think for now a little hiatus on russia helps him as well. liz: kathy, there's a deal that has been struck, and that is certainly good news for u.s. companies. but what jumps out at you from this trip? >> well, he has been presidential, and we haven't been hearing much about russia, so that does stand out from this trip, so i am impressed with the way that he has been behaving. we're not quite sure what's going to happen with the saudis. is this good? are they going to use these weapons in the future with their situation with yemen? what's going to come out of this? so there are some uncertainties. but in the long run, it does look like it's going to be good for the economy. so good for mr. trump. good for president trump on this trip. liz: okay. let's get to the economy but more importantly
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perhaps the budget. now, tomorrow the official unveiling is happening. we have got some idea of in the budget and of course there were a lot of cuts to things like antipoverty programs. but there were outright we're not funding this anymore names like the national endowments for the arts. can he pay for all of this without ballooning the deficit? >> well, the problem for him is going to be that moderate republicans. not democrats but republicans are going to resist really, really deep cuts. i think that's going to be difficult. the other point i would make, liz, is that i wasn't great at math in high school. but for him to say we're going to have 3% gdp growth with interest rates not really going up much. first of all, there aren't enough workers and state after state, the labor market has gotten incredibly tight. so the math to me does not add up. i think the tax cuts are still alive. i think the spending costs will be watered down a lot.
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liz: kathy, looking at cuts. now, again, this was when president trump issued his first idea of the cut. >> and epa. liz: but you have to agree there's bloat. we have to cut some spending. >> right. but there's bloat in the military as well. from what i understand, there's one civilian for every active duty member. so right now, we don't need what he's anticipating for the military. we actually don't need that kind of military spending. so if you look at a bloat in the military spending alone, that's a little bit odd. so we need medicaid. we need to help america's less fortunate, let's say, and that's just not happening. we're giving up teacher's incomes for military spending. so it's soldiers for teachers. that's not healthy at all and i don't think congress is actually going to like this
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budget at all. it's not going to pass. liz: well, again, it's a starting point. gregg, we just got the news as i was sitting down here on the set right before 3:00 p.m. eastern that mike pence is going to go to capitol hill, talk to kevin brady about tax reform. yes or no? are we going to get tax reform done in 2017? >> we'll get it done. 2017 could be a stretch. a lot of big issues. the big one tomorrow is this border adjustment tax. i'm sure brady and pence will be talking about that. this is a glacial process. i think it will be another ten months before it's finally wrapped up. liz: okay. it does take a long time, and we'll be watching. thanks to both of you. chief strategist and democratic political analyst cathy. >> thank you. liz: gang, the closing bell is just 37 minutes away. lack at our dow 30 heat map? if you go up to the upper left, you see cisco systems. it's leading the dow 30. remember, boeing is in second
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place here after several firms reiterated outperform and overweight ratings with price target ranging from 33 bucks to 40 bucks. right now it's at 31.81. and an art world stunner. $110million after fees for this painting. that's the most ever for an american artist. what it says about the american economy. it's a first on fox business interview with ceo smith straight ahead on countdown. he's coming right up. you have to hear how it went down. predictable. the comfort in knowing where things are headed. because as we live longer... and markets continue to rise and fall... predictable is one thing you need in retirement to help protect what you've earned and ensure it lasts. introducing brighthouse financial. a new company established by metlife to specialize in annuities & life insurance.
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talking gigantic waves. he was the buyer of this painting at a sotheby's art action for record-breaking $110 million. that folks, is the highest price ever paid by a work done by an american artist. they say a good indication how the economy is doing whether the wealthy are investing in art and in 2016, auction and private sales fell about 11%. but are they back now? if so, why? sotheby's ceo tad smith joins us. the first interview since the massive action. i want to hear about the moment, the moment that painting was being auctioned and there were two bidders by the end, correct? >> yes. liz: describe the scene. >> first of all you could hear a pin drop. we have a marvelous action ear named ollie barker. he held the room in perfect suspense in his hands. we were simply waiting to know whether there was going to be the next bid and then there was.
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another wait, and then it stopped and everyone you knew, the hammer came down and history was made. liz: i heard when it got above 80 started to hear gasps. >> interestingly the first gasp when he started auction bidding at 57 million which is is the world record for basquiat until yesterday. there were multiple gasps after 80 or 90. liz: not everybody's taste. he died at age 27, half haitian, half puerto rican is very hotç right now. >> extraordinary artist. >> the second highest painting that sold that was a roy liechtenstein, am i correct? >> yes. it was a beautiful liechtenstein, $24 million it, was an incredible work. liz: what does it say about the economy? i'm not saying the american economy, we had a japanese buyer for the top one, which has more
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money, which countries? >> truth is, liz, it is everywhere around the world. if you look at world billionaire, you thought i only want allocate my 5% of my net worth to buy it, there are 58 people that could afford to buy it. there are 320 using the measure in the united states. liz: these are the job creators. ken griffin, the chicago hedge fund manager bought a daconning for million dollars. had guy creates jobs. how you do you see it play out when art buyers are calling in. >> world is full of entrepreneurs creating immense amount of wealth and enormous amounts of jobs and incredibly amount of capital built up. that is why you see philanthropy and art growing. pictures are not expensive, in relation to the wealth created, they are less expensive. liz: donald trump has yet to
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pass tax reform and a budget, yet psychologically you seem to be a lift, do you feel that. >> there are definitely animal spirits kicking off since the last election, no doubt about it, but the truth is the administration needs to get promises done if we sustain it. in europe, united states there is a good growth outlook. we feel good about it. liz: good to see you, tad. >> thank you. liz: the wholesale, reaped 320 million for the night. liz: can we show theres. >> $57 million. blue and pink. liz: absolute stunner! >> we thought about it put them on you for the show. liz: why didn't you think about it? >> next time. great to see you, liz. liz: he told me at consumer electronics show that henry ford would want him to do everything he could for the shareholders. today mark fields is in no
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position to do anything for ford shareholders, he lost his job of the shake-up revving up the auto world. president trump overseas making history at the western wall. the first sitting pus president at the holy site, will trump make more history? former prime minister of israel, ehud barak will join us first. stay tuned. ♪ will you be ready when the moment turns romantic? cialis for daily use treats ed and the urinary symptoms of bph. tell your doctor about your medicines, and ask if your heart is healthy enough for sex. do not take cialis if you take nitrates for chest pain,
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>> i want you to know how much we appreciate the change in american policy on iran which you enunciated so clearly just an hour ago. i want you to know how much we appreciate your bold decision to act against the use of chemical weapons in syria.
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and i want you to tell you also how much we appreciate the reassertion of american leadership in the middle east. liz: israeli prime minister benjamin netanyahu not splitting any hairs, being frank with joint remarks with president trump two hours ago. that ends day one of the president's historic trip to israel. is the president, who has said he desperately wants to strike a lasting peace deal the man to accomplish it? we asked former israeli prime minister ehud barak who joins us here in a "first on fox business" interview. good to see you. is the one? can president trump be that man who does it? he talks about "the art of the deal." >> it could still be the case but we have to wait and see. there is a great opportunity not just the oneç of what netanyahu just said. basically trump came to the region and said, put aside for
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near term, put aside human rights, put aside promoting democracy, we want to focus on fighting radical islamist terror without mentioning the word radical and focus on cornering or countering the iranian nuclear hedgemonnic aspirations. that is good news. you can use the common interests or created between israel and arab sunni leadership, the ones who are in riyadh. he might be able to do but it all depends upon the capacity to tell leaders abu mazen to talk. liz: saudis are thrilled because they dislike the iranians very, very strongly. so president trump struck this $300 billion deal with the saudis, 1,110,000,000,000 with
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defense. how does the u.s. -- 110 billion. how israel feeling arming the sad dis. >> we have to reach a understanding with the wider region about a common objective. that can not fly out israel and the palestinians finding a way to move forward on the israeli-palestinian -- liz: are you worried one day the saudis wake up with new leadership if something happens and they want to attack israel using american weaponry? >> i'm worried. america is committed to regarding our own deals with 40 billion over the next 10 years. until now, both president bush, jr., then president obama and now trump, they're all committed to keep this -- let me just mention something in regard to the previous question. when trump looks at the globe right now he feels probably five hot spots, north korea, iran, syria, china and
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israeli-palestinian issue. the israeli-palestinian issue seems to be. smallest in reach and highest in rewarded. no situation you might risk the destruction of something like this or the need to send an urgently aircraft carrier groups. it is all seems from washington to be a naval quarrel, two families that have, two families families -- who will own the 12th and 13th one kind of issue. we are focused on our security but there is an opportunity here if, if trump would be gracious enough to tell both sides, sit down, provide your own plans. if you can produce your own plans, i will bring mine and take it to washington, to the europeans and to the security council t might accelerate the whole process. liz: he seems like a man who has no problem doing something like
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that. before we go quickly, are you concerned at all this discussion that he revealed certain details about some intelligence that maybe israel had given to him regarding an isis plot to the russians? >> i think this is a little bit exaggerated there. is no intelligence relationship on so open, so intimate, on raw material level than between israelis and your intelligence services. sometimes mistakes are done. usually by people who are not used to it. liz: not to worry. >> i don't think that any lessons will not be drawn from this event. some lessons will be drawn. we can continue moving forward. liz: thank you so much, prime minister. wonderful to have you. >> thank you. liz: former israeli prime minister ehud barak says it can be done. this is a huge opportunity in the middle east. closing bell, 18 minutes away. he may have had the president's ear aroundç vice versa but it wasn't enough to keep ford's ceo
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mark fields in the driver's seat at one of detroit's big three. in fact it may have hurt him. jeff flock outside of a ford dealership in chicago. i imagine they're glued to the television. reporter: surprised is the word on the street, liz. record profits, record sales for ford but mark fields is looking for work. maybe he is not looking for it yet but he could find it i guess. full story in a minute.
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for a free quote today. liberty stands with you™ liberty mutual insurance. liz: we have break being news. in an attempt to drive up sagging share price, we have a brand new ceo at ford motor company, jim hackett. he will take over as ceo replacing mark fields. hackett is best known as ceo grand rapids, michigan furniture
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company steelcase for two decades before joining ford in 2014. he worked on whole automated car division. unbelievable what he has done. under fields's leadership, ford's stock dropped 40% despite strong sales of the f-150. jeff flock at a ford dealership in jeff? reporter: jim hackett billed as a visionary of sorts, liz. he is six years older than mark fields. hackett is 62, fields is 5. 6. spent half his life at ford. rescuing that big blue oval, taking it out of hock. if you look at the competitors for the auto industry right now, it is not conventional competitors, it is apples, googles, as well as tesla.
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during mark fields 'rein, their stock up, ford is down. if you're mark fields you have to say what is this all about? 2 1/2 million vehicles. tesla sold 76,000 vehicles. if you look at, ford made $4.5 billion last year. tesla loss $773 million f you look at market cap though, because of the share price, tesla now dwarfing ford. ultimately, liz, i think that was kind of it, you know the board kind of lost faith in mark fields. they like jim hackett because he used to be on the gm board so people knew him pretty well. you may also know he was interim athletic district tore at university of michigan, who hired jim harbaugh as the football coach. in addition to being the ceo of steelcase. he did a great job there. bill ford says this guy is visionary. they love him in silicon valley. he may be older than mark fields
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but this guy is the future. we'll see. liz: nothing wrong with older, experienced people. you shut them out, that is ageism. jeff flock -- reporter: i'm getting there. liz: you and me. from four wheels to two wheels, the hottest thing in exercise right now was in las vegas. i just got back from the hedge fund conference at salt. those who know me i'm a big flywheel fanatic. sara rob owe hague again, is awesome, raced to las vegas. she opened a pot-up spin studio at the hedge fund conference to keep the c-suite over achievers from too much sinning in sin city. i spoke to her exclusively of trail expansion and big announcement for flywheel in thç future. let's talk about the growth of the business, because you're nationwide right now. >> he yes. liz: how many more studios do you plan to open?
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you have just come on board from equinox and before that, you have been at gatorade, nike. she turned around the gatorade brand while she was there. this doesn't need turn around. it needs explosive growth. >> that is exciting to me. we're in 42 studios in new york, major markets. we're in is being dairy markets. we succeeded in raleigh, north carolina, proving that it works in secondary market. we're bullish about studio growth. we'll announce we take the experience anywhere in sense of streaming content platform you can achieve by the bike have it in your home. liz: similar competitor to say peloton which we heard about? >> peloton definitely started that part of the business. we see it like extension of the studio business. someone like you, you love flywheel. you take flywheel. you're on the road in a city where our studio doesn't exist. you can tap into instructors you love and take -- liz: where do i find the bike?
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>> get the bike in your own home and have the content on your tablet. liz: there you have it. fly wheel taking on peloton. if that weren't enough, you have to hear what she said about the possibility of an ipo. you will find all of that and all kind of other exclusive material from my salt conference appearance by the way, not going to say who, there is a billionaire investing in peloton. the big battle is own. closing bell eight minutes away. the dow jumped up above 100 points. now up above 96. gop agenda and stocks seemingly back on track. so why is 6 billion-dollar market maven, hank smith of haverford saying the best offense is to be defensive? he is coming right up. don't go away. looking for balance in your digestive system?
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♪ liz: the golden arches are glowing as we look at the markets with the dow up 98.
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mcdonald's is very much a part of that. let's go to new york stock exchange. i saw the movie, the founder, about ray kroc. it was amazing, right? >> it was fabulous. michael keaton amazing. what an interesting story was. what a concept those two guys started mcdonald's has. listen this, stock continues to break records. on track for a 17th record this year. it is up 22% year-to-date. by the way mcdonald's also in the process of trying to reset the button on its franchises. it is agreeing to pay up to 55% of upgrades for all the mcdonald's restaurants. they want to improve the technology. they will even change the uniforms. this is all a part of refreshening of the brand. whatever they're doing, because mcdonald's shares continue, is being only to apple own the dow this year. liz: everybody talks about the fries. i talk about the apple pie. caution, filling is hot, so good. >> can't go wrong.
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liz: the stock can't go wrong up 22% as you said, ash. hasn't been in the red at all today, we have the dow up 99 points. been a little bit of roller coaster volatility in the last week. today's "countdown" closer says the bull market will continue to run but he needs you to do something different with your portfolio, that is to play defense. hank smith, chief investment officer at haverford trust. i don't know if you saw it. sam stovall of s&p i.q. the note was called the lenny penny portfolio -- worried that the sky is falling even though it is not. what do you say? >> liz, we think you need the balance between offense and defense, in a 2% economy, that makes sense and until we get tax reform or tax cuts, until we get more regulatory reform and more infrastructure spending, let's stick with this 2% economy. we know the stock market can do
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well in that environment. it will do even better if we can get those tax reforms and regulatory relief as well. so, for now, play offense and defense. have exposure in industrials, basic material, financials on your offense, technology, but don't ignore health care, consumer staples, utility, your defensive sectors and by the way they have worked pretty well so far in 2017. hence mcdonald's, a classic defensive stock. liz: you like j&j i'm assuming that is the defensive part? if the president decides big pharma is quote, getting away with murder and institute some type of price contro fr even talks about it, doesn't that put in more offense or riskier category? >> well i think so. j&j is a classic health care company, one of the strongest, and don't forget, they are the beneficiary of the single biggest trend and that is the aging of populations around the
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world, not just in the united states. so we're going to need their consumer products. we'll need the pharmaceutical products and we'll certainly need their medical supply products. liz: okay. you know we're near session highs if not at for the nasdaq so there is a decent day here. hank, you and i have known each other a long time. how long have you been at haverford? >> just 26 years. liz: when you started, how much assets under management, i want viewers to know why they should be listening to you back then? >> we had about 350 million in assets. liz: today you have? >> a tad over 7 billion. liz: tad over 7 billion. slow and steady. not that slow. hank, thank you so much. >> thank you. liz: hank smith, haverford trust chief investment officer. we're off the session highs, up 89 for the dow. we're looking at strong day for
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technology. it is netflix anniversary going public. [closing billion rings] big day for the nasdaq. there is the closing bell. connell mcshane in for david and melissa francis for after the bell. >> hi, liz. stocks coming into the close are in good shape. the dow ending in the green for the third consecutive day. we're up as liz said, up 90 points. i am connell mcshane. in for david today. melissa: welcome, i'm melissa francis this is "after the bell." more on big market movers. here is what else we have for you covering this very busy hour. vice president mike pence on his way to capitol hill to meet with congressional leaders pushing for political victories on health care, tax reform and the big budget rollout expected tomorrow. details on what we know now. >> we love israel. we respect israel. and i send your people the warme


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