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tv   Varney Company  FOX Business  May 16, 2019 9:00am-12:00pm EDT

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will the democrats do anything about it with him. dagen is in new york. >> new york mayor running for president. why? because we should never underestimate the ego, arrogance and self-delusion of any politician. bottom line. maria: great to see you all. thanks so much. right to "varney & company." stuart, take it away. stuart: i thought dagen was talking about me. just saying. good morning, maria. good morning, dagen. good morning, everyone. serious stuff now. is this a new cold war? sure looks like it. not with the soviets, no. now it's china. an executive order from the president declares a national emergency that would ban telecommunications equipment from foreign adversaries. american companies will need a license if they want to sell anything to huawei. that is china's national technology champion. the temperature is rising in the tech standoff. th this is supposed to be separate from the trade fight and there's no real progress to report there, either.
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talks are supposed to resume but there's no set date. there is a military standoff, too. there are disputes over militarized islands in the south pacific and china's client state, north korea, recently fired off missiles. you take it all together and it's a standoff that's growing increasingly hostile and it doesn't look like this is going away any time soon. next case. walmart. they have announced strong sales earlier today and there is a china angle there. walmart sells a lot of stuff made in china. their same store sales went up 3.4%, that's a pretty good economic indicator. walmart's the biggest retailer in the world. a top executive says china tariffs could mean higher prices. they are monitoring the situation. let's get some fire, shall we? in a moment, you will see the 23rd democrat enter the 2020 race. new yorkers know him very well. we will check the market. it's going to go up a little at the opening bell this morning. and we're going to show you
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75-year-old mick jagger exercising vigorously just weeks after heart surgery. personally, i would like to see keith richards up there, too. "varney & company" is about to begin. there's plenty of money in this world. there's plenty of money in this country. it's just in the wrong hands. as president, i will take on the wealthy, i will take on the big corporations, i will not rest until this government serves working people. stuart: i'm sorry, i don't mean to be funny here. didn't he look like he was the prow of the "titanic"? hold on a second. the president has weighed in, tweeting about the de blasio announcement. ashley: he is. in pure presidential form, this one, as you can imagine. here we go. the dems are getting another
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beauty to join their group. bill de blasio of nyc, considered the worst mayor in the u.s., will supposedly be making an announcement for president today. he is a joke but if you like high taxes and crime, he's your man. nyc hates him. stuart: he came on strong on that one. nyc hates him. elizabeth? liz: yeah. even "the washington post" ran out of headlines. new yorkers don't like him, they don't want him, he gets booed at the christmas tree lighting here in new york city, gets booed at parades all the time. why? because government overreach. he has no feel for the private sector and how the private sector pays for big government programs. he gave a half-hearted statement about amazon being chased away. his wife runs a quarter billion dollar mental health program that is so ineffective, new yorkers know about how ineffective it is, that even nypd does better than what his wife is doing. insider crony capitalism deals with the mayor all the time here
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in new york, and the daily life here in new york ain't so great under this mayor. ashley: no. stuart: don't be afraid to pile on, liz. liz: we are old new yorkers from the 1800s. we have been through a lot of mayors and we have a lot of firemen and teachers in my family. he's not high on the radar screen. stuart: you can be sure elizabeth macdonald will feature politics throughout today's program and keep piling on bill de blasio. good stuff. welcome back. good to see you. let's get serious again. china, remember when joe biden said this. roll tape, please. >> china is going to eat our lunch. come on, man. they're not bad folks, folks, but guess what? they're not competition for us. stuart: we have a new fox poll, 42% of voters say joe biden would do a better job protecting america's interests with china, 42%, better job than trump at 38%. fox news contributor gary kaltbaum with us now. we occasionally ask gary for
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comment on politics, international relations. >> i just want to discuss liz. stuart: i can't believe that fox poll. 42% think biden's better with china than trump? >> what day is today? that will change tomorrow. stuart: thursday. >> i wouldn't worry about it too much. it's still may. things can change. stuart: all right. let's talk market for a second. we've got this overriding sense here of a standoff between the two sides. cold war. that's not good for the market, is it, overall? >> it shouldn't be, but when all is said and done, interest rates and earnings will win out. interest rates i think were less than 2.4 on the ten-year. we are now talking about the fed easing. if they do that, that is a tail wind for the market. and earnings are not great, they're not really that good, but decent enough. but i think right now, you buy only pullbacks. you do not buy when the markets move up. i think we are probably, i hate saying this, but probably range-bound for a little bit. we had a magnificent four
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months. you just can't keep going up forever. i suspect we will have some more corrective work here. we will go up, pull back, and we'll flush out the leaders in the next couple months. stuart: let's have a look at walmart. i like their revenue coming in 3.4% higher, same store comp sales, 3.4% up. they had their e-commerce business was nicely higher. >> up 37. yeah. stuart: the stock now moving up, $103 a share. do you like it? >> i'm not an owner of walmart only because i don't want to own companies that do $500 billion in sales. it's very tough to grow a business and i'm a growth stock guy. but to have 3% comps for that size company is fantastic. stuart: is it an economic indicator of a strong economy? >> as walmart goes, $500 billion in sales will dictate what's going on with the consumer, and the consumer's a huge part of the economy. most definitely. stuart: glad to see you here in new york. i think it's the first time we have ever shaken hands, isn't it? >> no. two months ago, i shook your hand.
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coffee time. i make such an impression. stuart: i wanted to talk to you about the chinese coffee company. i'm really intrigued at this. cheaper coffee, different flavors, big expansion plan, competition for starbucks. i like them. >> huge competition. 20 months ago they had one store. they are going to have 5,000 stores in the next two to three years. they are much smaller, they are mostly i think 90% of them are like you show up and it's from delivery. starbucks is now going that way also in china in order to compete with them. the race is going to be on. this is going to be some huge competition for starbucks. stuart: you like growth and that's growth. >> absolutely. i think they lost $85 million last quarter, luckin. they will have to start making money going forward. they are trying to sell it as a technology company to the stock market but no, they sell coffee. stuart: i'm interested. kind of like the idea. gary, thank you for coming back to new york.
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>> pleasure's mine. stuart: my memory, right there. okay. you are going to see a spectacle today, if you really want to watch it. it's on capitol hill. about 20 house democrats are going to read the entire mueller report, nonstop. congressman rob woodall, republican from georgia, joins us now. congressman, you're in for a 12-hour marathon reading. what do you make of this? >> stuart, i did a search on google this morning. it took me about a tenth of a second to find that report available online for free. this is absolutely a spectacle. the rules committee is the gateway to the house floor. we could be talking immigration, we could be talking public housing, we could be talking food, we could be talking national security and instead, we're in the political stunt business today. it's a disappointment but it's not unexpected. stuart: yeah. stuff can't get done if that kind of stuff is being read aloud for 12 hours straight.
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i'm interested in this infrastructure deal. you are on the infrastructure committee in the house. i put it to you, congressman. yes, we should get an infrastructure deal going but we never will. not in this congress. what do you say? >> i'm going to try to prove you wrong. i'm going to work every day to prove you wrong because we need an infrastructure deal. this is a bipartisan issue. if nancy pelosi would stop the political stunts and focus on -- stuart: she won't. she won't. why should she? >> i tell you, she has the second highest approval ratings in the country, behind donald trump, and she has the second highest disapproval ratings in the country behind donald trump. she is trying to manage this radical left wing in congress and it's a very difficult job. transportation is about the folks in the middle, it's about working class families across the country trying to get to their children's' soccer games, it's about trying to get the goods to walmart. we need to get this done. we had two bites at the apple, an infrastructure bill this year and highway bill next year.
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perhaps those things will get combined. but we can get it done and we must get it done. this is what the constitution asks us to do. stuart: please come on back when we have some real progress and something actually gets done, because we would love to see it. congressman, thanks for joining us. we appreciate it. thank you. let's check futures again. we are going to be up at the opening bell. not a huge move, up about 74 points, fractional loss for the nasdaq. flat, to slightly higher, characterize it that way. now, that is a rabbit sculpture. it just set a record at auction. wait until you hear how much that sold for and who bought it. president trump releasing his immigration plan today in a speech in the rose garden. he wants immigration to be based on merit. i've got to tell you the plan is dead on arrival in congress. something else that just won't
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get done. north carolina becoming the first state to sue the e-cigarettes maker juul for deceptive marketing and for targeting teens. what a story. they are going to outlaw juul? "varney & company" just getting started. incomparable design makes it beautiful. state of the art technology makes it brilliant.
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stuart: let's have a look at goldman stock. there you go, up $1.39, almost $200 a share. they are buying united capital and paying $750 million in cash for it. united capital is a retail investor, okay? goldman's up about .7%. amazon announcing its new fire tablet, including a kids' edition. the price, $99.99. amazon stock going up again, $1,883 per share. north carolina suing the e-cigarette maker juul, accusing the company of marketing to underaged teens using unfair and deceptive tactics. joining us, josh stein, attorney general of north carolina.
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mr. attorney general, what do you want out of this company here? do you want to change their behavior or put them out of business? >> definitely change their behavior. i'm not trying to put juul out of business. there are adults who prefer vaping over smoking and i've got no problem with that. but juul has targeted young people, including minors, in the way they have designed and marketed their product, and they are deceiving the public including minors about how addictive the product is. that's what i want to change. i want to change their behavior. stuart: north carolina is a tobacco producing state, isn't it? >> yes. it absolutely is. stuart: are you going against your on interests here? >> my interests are very clear. that is to make sure that children are not injured through corporate bad behavior. that's what i'm concerned about. we have a company that has targeted young people in terms of how they've designed the product, how they've marketed
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the product and how they've distributed it. as a result, we have an epidemic and those are not my words. those are the words of the trump administration surgeon general and fda commissioner. this is a growing crisis. if you don't have kids in middle school or high school, you may not be aware of it because it is so new, it's only in the last three years, but if you do know kids in high school, ask them. they will tell you it is everywhere. you cannot go to a school bathroom and not encounter kids juul'ing. stuart: it's really quite something. i know you're right, from personal experience and the experience of my friends, you are definitely right about this. but is there one way that you could put your finger on that would absolutely stop youngsters getting hold of a juul e-cigarette? you could discourage it but how do you absolutely stop it? >> the most effective thing that could happen is to get rid of the fruit and dessert flavor pod. 81% of kids who juul say they do
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it because of the flavors. they like that sweet flavor. then they get a little bit of nicotine buzz but that nicotine buzz is incredibly intense, then it hooks them. it addicts them to the product. right now, tobacco cigarettes, they can only be in the normal flavor of tobacco or menthol. if what we want to do is help adults get off of tobacco or menthol flavored cigarettes, we can allow them to have tobacco or menthol flavored juul. we don't want to have mint or creme brulee or cool cucumber or mango which are the flavors kids are smoking. stuart: josh stein, attorney general, thanks for joining us, sir. appreciate it. >> stuart, thank you. stuart: california concludes pg & e, the big utility, did indeed cause that big wildfire last year that killed 85 people. now what? ashley: now it's up to the local county district attorney on whether that person will file
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criminal charges. don't forget, this sparked the campfire that killed 85 people and wiped out the town of paradise, california. this transmission line that apparently, according to a "wall street journal" investigation, was supposed to be -- have maintenance which was delayed continually which helped contribute to the sparking, then there's the question of vegetation. was the vegetation and the area around the transmission lines properly maintained, which officials say was not. don't forget, you have the environmentalists on the other side of this equation, wouldn't let them do any of this. they are in bankruptcy protection. they are already facing $30 billion in liabilities. this will just add to that. stuart: bottom line here is californians will be paying a whole lot more for electricity in the future. no way around that. ashley: no way around it. stuart: check futures, please. we open the market in 12 minutes' time. we will be up about 80 on the dow, down about three on the nasdaq. how about this one. college athletes could be
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looking at something of a financial windfall. the ncaa may let them profit from their names and likenesses being used on video games. good story. we've got it for you.
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stuart: let's bring you to the art world, shall we?
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jeff kunz' rabbit on your left becomes the most expensive work at auction sold by a living artist. how much? liz: $91 million. stuart: who bought it? liz: bob mnuchin, steve's father, on behalf of a dealer who we don't know. stuart: how did christie's describe the rabbit? liz: i don't understand the art world. they said it's wholly in inscrutable. ashley: it's a rabbit. liz: it is an iconic piece of art. originally in 1986, $40,000. that's what it went for. $40,000. maybe they will bring more rabbits. ashley: they will breed? stuart: i will take the offspring for a million. liz: exactly. stuart: the ncaa may consider cutting athletes in for a piece of the earnings pie. sharing the name, image and likeness rights for college athletes. ashley: right.
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ncaa rules say you can't pay students like they're employees. they formed a group that says maybe -- now that rule, by the way, by the ncaa, has undergone several legal challenges but has not been beaten down. many people believe the amount of money that these players generate whan they do for the colleges, they should be compensated, names, images and likeness could be a way of compensating them for this. but they are going to look at it and see whether it's feasible. not anything for sure for now. stuart: the question of whether or not you pay college athletes has been around for a very long time. ashley: that's not part of this discussion. stuart: no, it's not, but this would be a tiny back doorway of getting them something because names and likenesses. let's check futures. we've got something in from sarah sanders, presidential spokesperson. she just said they, the administration, finalizing the schedule for mr. trump and xi jinping to meet at the g-20. the conference is next month. whether or not it's a formal
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bilateral meeting, that is still being worked out. but they are going to get together, sort of. dow industrials not up that much now. 50 points higher. the nasdaq down about 12. the opening of the market, next. ♪ i think i found my dream car. it turns out they want me to start next month. she can stay with you to finish her senior year? of course she can! [ laughter ] [ groaning ] hey! want to drive? really? [ engine revs ] do you think we can do this, rob? things will be tight, but we can make this work. that's great. ♪
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stuart: an elon musk company
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spacex launching dozens of satellites to be used to provide internet from space. who is musk's competition? liz: he's trying to beat out amazon and also softbank, one web, also facebook has been trying to launch balloons around the earth. here's the thing. estimates show you need 12,000 of these satellites in order to beam internet to the earth. stuart: 12,000? liz: 12,000 around the world. so this effort, efforts like this have bankrupted prior attempts by satellite operators. but this is really a push, an interesting push by spacex in a new area. stuart: 60 going up or went up on that rocket. liz: tonight. cape canaveral tonight. look at that rocket go. i love rockets. stuart: okay. no comment on that one. we are gearing up for the opening of the market this thursday morning. looks like we might be ever so slightly higher for the dow
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industrials, maybe a little lower for the nasdaq composite. sarah sanders from the white house said earlier this morning they are trying to work out the terms under which xi jinping and mr. trump would get together, not quite sure how they would get together for a meeting at the g-20 next month. that could be a positive on trade. here we go. we're off and running, it's 9:30. we're on the upside in the very early going. 66 points up, we can see there. that's about a quarter of one percent. now we're up 70. we've got about half, two-thirds of the dow 30 on the upside. now we're up 94. a bit better than we thought we were going to be. 98. buy something, we will be up 100. there you go. almost. i will leave it at that. not all the dow stocks are open. the s&p also shows a gain of one quarter of 1%. nice gain there. how about the nasdaq? we are supposed to see it go down. no, it is up a tiny fraction. .07%. here's something we should pay close attention to. that's the yield on the ten-year
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treasury. this is the key interest rate. the last couple of days, we will be down around 2.36, 2.37, now 2.40%. thursday morning, who's with me? scott martin, john layfield, ashley webster and elizabeth macdonald. first to you, scott. the president is going after huawei with a new executive order. american companies can't sell anything to huawei without a license and our chip makers are taking a hit because of that. would you buy the chip makers on this dip? >> well, on this dip, yes, but i don't think the dip is done. it's fully dipped. i believe there's some value in the chip makers, amds, intels and so forth. i'm just not taking a swipe at them just yet. i do believe as sentiment gets worse on this, as maybe we do finally follow through with this huawei ban, that is the time to pick up some of these chip makers because they will recover just like the market will. stuart: what i'm trying to do is get a handle on this
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america/china conflict here. the standoff between the two. what's the effect. we can see the chip makers are down this morning. we can see the dow, though, on the upside to the tune of 112 points. i've got more on this china trade story here. look at ford. they may be laying off thousands of people because of the tariffs imposed by -- on chinese products. the stock actually is up this morning. come in, john. is this going to affect all auto makers? >> i think it is. not necessarily gm. i own ford, by the way. got about a 6% yield. i like ford here. gm has moved a lot of their production over to china so they produce actually more cars in china right now. i think unfortunately, that's going to be a fallout from this trade war, you will see a lot of production move out of the united states, move into places where tariffs are not susceptible to tariffs. both companies coming here and going there and that's what gm has done. stuart: the news of the day is walmart. they reported much better same store sales, up 3.4%.
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i'm not too interested in whether you buy this stock or not, scott, i'm interested in whether that report from walmart is an economic indicator that the economy is doing well. what do you say? >> i agree. walmart's gigantic in this country, certainly and worldwide, so that's a good sign. especially as we have gotten data recently that talks about the death of the consumer again. it's good to see these numbers come in. a couple of take-aways on walmart's numbers today. first of all, same store sales really nice growth year over year in the first quarter but also the fact they mention tariffs and the impact on prices it may have for you at home that goes to walmart and buys products. tariffs may impact prices to the upside. stuart: okay. but is it a good economic indicator? what do you say? i think it is. liz: i think it is, too. you know, more than half of its sales come from groceries which are here in the u.s. scott makes an important point, though, in the balance of that. and yes, he's right about the fear of the death of the consumer tipping us into recession. no recession indicated yet by any wall street analyst we watch. stuart: look, we are extending the rally. the dow industrials this
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morning, i thought they were going to open with a -- triple digits, there you go. up 108 as we speak. lets lee at so's look at so other markets. oil, $62 per barrel at this moment. that's up about 70 cents. look at the price of gold. i think that's going to be down. yes, it is. we are off four bucks there, $1293. show me all the big techs, please. they have been all over the place. actually, mostly lower although some have survived nicely. apple is down again, $189. alphabet, google, up a little. amazon up 15 bucks this morning. facebook is down a fraction. microsoft, back to $126. all right. the dow component cisco posted better profits. it said tariffs did not have that much of an impact on it. that is up 4%. jack in the box says it's going to remain a stand-alone company, will not be sold. investors kind of like that, i guess, up 60 cents at $78. investment firm t. rowe
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price sold most of its holding in tesla. show me tesla this morning. i'm sure it's down. can we see it, please? i think that's a smart -- what do you see, john? is that a smart move? t. rowe price out of tesla? >> absolutely. look, i love elon musk. i think he's one of the best ceos in the world. america is lucky to have this guy. took us to the front of the space race. america is very lucky to have this guy. he took us on the front of the space race. we're losing to russia and china before elon musk. now tesla last year launched more missiles alone than russia and europe combined. hel he's done a great job. one thing he can't do is manufacture cars. he builds a great car. he can't manufacture. he can't do the old school stuff. because of that, i would not be a buyer. ashley: delivery problems is a huge issue and the continual round of fund-raising when he said he wouldn't need to. there are issues here. tension with federal regulators. it goes on. stuart: we had the guy on the show yesterday from the "wall
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street journal" saying they have a crunch coming. liz: cash. stuart: they're in bad shape. liz: t. rowe went towards waymo. that's where they are putting their money when it comes to robot cars. stuart: still got a gain of 100 points for the dow industrials. look on the left-hand side of the screen. social media stocks, facebook is down a bit but twitter, snap, alphabet on the upside. we are showing you these because the white house has launched a tool to report censorship on social media outlets like the ones on your screen, facebook, youtube, instagram, twitter. do you really think big tech will pay attention to this? scott? >> no. you know, they have already started to kind of i think pay attention to this from other things that have leaked out, not from what the white house has done. some of the bias we have heard about at google and twitter. to me, there's a movement being made but it's also consumer driven. the other thing that i get with this is that if you go on facebook, go on twitter, search stuff on google, you have to do your research. if people don't just believe at
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face value what they see on say facebook, for example, and go other places and do their research, that will impact the companies and drive them more to be real about who they are. stuart: here's a story that really perked my interest, beyond meat. has it been on a tear since its ipo? yes, it has. now the chain, tim horton's, they are going to sell beyond meat sausages. okay? look at that stock price. liz: it's the most successful ipo of the year. stuart: i've forgotten what it went out at. liz: it's up 250%. it's nearly quadrupled. stuart: it only went public a couple weeks ago. liz: that's right. $87 a share right now. stuart: $91 a share. liz: yeah. it's really moving. stuart: you've got to say it's taken off. ashley: it has. stuart: john, i know you're in bermuda. do you have this stuff out there in bermuda? >> no. we just got rocky 2 at the local movie theater. we are about 30 years behind. no, we don't have it. we won't get that for another 50
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years. i can't believe this thing tastes like meat but apparently it does. this thing apparently is the new hot product. stuart: okay. show me walmart again, please. the chief financial officer of walmart has said that these tariffs, these extra tariffs -- ashley: what scott just said, they know it's going to increase the costs. bottom line is do they pass them on directly through to the consumers, do they try and bite some of those, kind of eat some of those costs? either way it's going to hurt their bottom line. does it affect consumers, ultimately, if they are paying more for goods. stuart: it's interesting. you have this standoff, america/china. the standoff is primarily about trade. we've got ford maybe laying people off because of the tariffs. auto stocks down because of the tariffs. we've got chip stocks down because of this executive order, you can't do business with those guys over there. yet dow industrials overall, we are up 112 points. how about that. on the one hand you've got this
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face-off and this fight. on the other hand, you've got a very nice rally on wall street all over again. dow's up 110. nasdaq is up 32 points. go figure. m going i'm going to try to down -- can you show me big tech again, please? big tech, is that what we've got? it's coming, i'm told. there you go. apple is down this morning. alphabet's up a fraction. amazon is up $27. $1898 is the price. i'm going to wrap this up. we are up 120 points for the dow industrials. 9:40 almost eastern time. john, scott, thank you very much, gentlemen. we appreciate you being here. again, we are up 120 points. there you have it. how about that. a chinese drone maker going after go pro with its new high tech action camera. should go pro be worried? we will talk to the company's ceo in our 11:00 hour show.
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big changes to the test the high school students take each year which will give them an adversity score that takes into account their social and economic background. what? more on that, i promise you. it's capitalism versus socialism week on fox business. next we talk to a guy who used to be the national chair of the young peoples socialist league. now he advocates against socialists like bernie sanders. i want to know what turned him around. we'll find out. what if numbers tell only half the story? at t. rowe price, hundreds of our experts go beyond the numbers to examine investment opportunities firsthand. like a biotech firm that engineers
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stuart: well, well, well, it is a genuine rally. we are up a half percentage point. that means we're up 136 points as we speak. well, it is capitalism
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versus socialist week on fox business. i want to bring in the author of this book, "heaven on earth, the rise, fall and afterlife of socialism." joshua is the author of the book which really goes right after the socialists. joshua, i'm told that you were an ardent socialist when you were a youngster. what turned you around? >> well, i certainly was. it was really my work on behalf of socialism was really the most important thing in my life. i turned around in stages. the first thing was realizing that as bad as i thought capitalism was, that communism was so much worse, it killed people by the tens of millions and capitalism didn't do that. then that forced me to look more deeply at the abstract idea of socialism itself, how did it create such a monstrosity, and i started seeing that this was just an illusion, and the
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illusion was largely that wealth would just exist or come from nowhere and that what we needed to think about was how to divvy up this wealth that descended on us like manna from heaven. i started to realize there was a much deeper question which is how do we get the wealth in the first place. stuart: good question. i was a socialist when i was a young man at the london school of economics, and i turned around fully when i arrived in hong kong, which was a free market capitalist economy, extremely dynamic with almost no taxation and it absolutely worked. that really turned me around. then of course i arrived in america and we were off to the races. however, i do want to talk to you about the brits. they may test a universal basic income scheme. if the labour party, a socialist party, they come to power, they give us ubi, universal basic income. your reaction to that, please?
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>> well, two things. i saw that their plan was to test it in six cities. i just had this image of london emptying out while everybody moves to those cities. but on a serious plane, that's exactly the point about creating wealth versus distributing it. they seem to think that the money is just there and all we need to do is find a nice plan for the government to give it to everyone and completely oblivious to the point that it's not just a matter of how you circulate the money, it's a question of how you can have an economy that keeps generating things for people. stuart: josh, it is immoral. you work for money, don't you? you have to put some effort into it. if it's just showered on you, it's utterly meaningless and in fact, i think it's wrong to take it from somebody who's working and give it to somebody who is either not working or doesn't want to work or earns a low
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income. i just think there's a moral component here. what do you say? >> well, there is, but i would be careful because there are people in genuine need. there are people who, for different reasons, of age or health, young age, old age, whathave you, who can't support themselves and i think society owes it to them to -- stuart: but this gives money to everybody. >> this is money for everybody. money for the poor, money for the rich, money if you want to work or you don't want to work. this is really a scheme that's both of very dubious moral basis and also cockamamie economic basis. stuart: i think you're absolutely right. joshua, thank you very much for joining us. i hope you tune in to fox business this afternoon because this is what we're all about. capitalism versus socialism. we've got a town hall, starts at 2:00 eastern time. charles payne hosts. i will be there chiming in on the virtues of capitalism.
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depend on that one. let's move on, the tsa, the people i associate with airports are sending 400 workers to the southern border. why is airport security personnel going to the border? liz: because they are swamped at the border. we keep hearing from officials how dire the situation is. jeh johnson, obama's former homeland security secretary, said in the first two months of the year border apprehensions equalled the population of orlando. it's estimated the border crossings for this fiscal year will equal or surpass potentially the size of the population of san francisco. i just want to put it in perspective. the court cases already, 860,000, equals more than people who live in detroit or memphis. they are totally swamped. the issue is summer travel season is under way, so will that pull that away from the airports. tsa says no, we are fully staffed, but they are pulling off people from ports of entry at san diego, el paso, so when
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you pull off from border checkpoints it leaves it wide open for drug cartels and other miscreants to abuse the system. ashley: it's a crisis. how can you say it's not a crisis? it is a crisis. you are having to pull workers away from airports now to go to the southern border to try and help with the surge. stuart: the population of orlando or its equivalent has just arrived in america in the last eight months. liz: two months. stuart: two months? liz: that's what jeh johnson said. stuart: two months, they are taking in a new orlando. it will happen again in the next two months and the next two. ashley: overwhelming. stuart: i wish i got a single line, a one-line explanation. ashley: we have amazon, we have, look, we only have two in the red, apple and 3m. stuart: we did get a very strong reading on the midatlantic states and the manufacturing industry. philly fed report was strong. we had only 212,000 new claims for unemployment benefits. that's a very, very low number. we've got economic strength
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again coming from walmart. maybe that's the explanation. we are up 177. ups, now using drones to deliver medical supplies. this could be a real game changer and a lifesaver as well. i think it's the first commercial drone use in america. ups has got it. they will explain it in a moment. this is not a bed.
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stuart: look at this. now we're up almost 200 points. we did have some strong economic news out this morning. the philly fed, we also had walmart coming in very nicely. ashley: unemployment claims. stuart: unemployment claims, first time jobless claims. all of it shows positive for the economy. markets reacting with a nice gain. how about bitcoin? what's the reaction there? well, it's down $300 but thaps at $7,800 a coin. a little gee whiz for you. ups using drones to deliver medical supplies to hospitals. yeah, they're doing it. joining us now, daniel ganyon, vice president of global health care marketing with ups. is this the first commercial use of drone delivery? is it? >> yes, well, thank you for having me, stuart. yes, it is. in the u.s., it is the first commercial revenue producing
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drone application. we are pretty excited about it. stuart: what exactly are you delivering and to who? >> so, well, ups has had a focus on the medical industry for quite awhile now. what we're doing is we're moving blood tissues, blood samples and tissues, on the wakeman hospital campus. generally the benefit here is normally these blood samples are moved on the campus with local couriers, it can take anywhere from 45 minutes to an hour and a half, and the drone program actually allows this to happen in under three minutes. stuart: i'm sorry to interrupt you, but you've not yet gotten legal permission, regulations are not yet on your side to deliver by drone outside that particular college campus? that accurate? >> that is accurate. we expect to actually get full approval here by august to go ahead and expand to additional hospitals. stuart: what kind of routes will
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the drones be taking? i live in rural america. do you have a route system laid out over the top of roads, for example? how you going to do it? >> great question. so this application is specifically for urban environments and it's for hospital campuses. so the strategy is to start just with hospital campuses, out-patient clinics, and moving blood samples to centralized labs. i will say this, that we've had a rural solution out in rwanda and it's been running since 2016. we are going 100 miles and delivering blood to remote villages. really, that's saving lives. you would not believe the number of women who die because of afterbirth hemorrhaging. that rural remote application has been very, very effective for quite a few years. stuart: thanks very much for coming on the show and explaining all of this, because i think this is a real breakthrough and i really hope you can go further with this
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later on this year. thanks for joining us, sir. appreciate it. thank you. >> thank you, stuart. stuart: something different. the nba's new orleans pelicans. their season ticket sales got a boost after the draft lottery. is this going to be about zion williamson? ashley: it's all about him. that's how they reacted. they sold more than 2500 season ticket packages, within hours of the lottery win for them. at one point there were so many people coming in and going online that their webchat function was knocked offline. lot of excitement in new orleans. they still have got to draft him yet. let's just remember that. but obviously the excitement is tremendous. stuart: he's good. ashley: yes, he is. stuart: new york city mayor bill de blasio is running for president. i don't think he's got a chance of winning. so why is he getting into the race anyway? i will try to tell you, after
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stuart: a few days ago the mayor of new york held a gathering in trump tower, half a mile from here, just over there on fifth avenue. bill de blasio was standing just a few yards from the golden escalator which donald trump used to announce his run for the presidency. the de blasio event did not go as well. his comments were drowned out by the music which trump tower people deliberately amped up. it was overshadowed by protesters with signs calling him the worst mayor ever. umdaunted his honor is back. he announced he is running for president in 2020. this time he made the announcement from the security of a youtube video. he is i believe the 23rd democrat in the race. he is on the far left-wing, should i say the edge of his party. green new deal, free health
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care, above all, stop trump, that is his message. he is a bully says the mayor. i've beaten him before and i will do it again, enquote. look, i don't think he will win the democrat nomination. i can't see america voting for the socialist mayor of new york city. why is he, so many other rank outsiders are they running? a cabinet post. isn't that what the also-rans really want? if democrats win in 2020, the new president will look for officials with some name brand recognition. de blasio to run the thal protection agency? he would love it. he is a green new dealer. how about speaking circuit? if you're running for president is on the resume' your speaking fee goes up. what about a book? presidential politics in the dark age of trump. you get a good advance for that one. the circus is upon us. those democrat candidates on the
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screens will start the debates next month. they will desperately trying to score points, make headlines. bill de blasio will stand out. he is six foot five. i bet you watch. somebody on that stage will challenge de blasio on homelessness, rampant in new york or the subways, dirty, crowded and prone to delay. trump made politics entertaining. bill de blasio will no doubt keep it going. the second hour of "varney & company" is about to begin. ♪ stuart: look at that. 205 points, to the upside. i would call that a rally. some strong positive economic news this morning, up we go. now the latest on mortgage rates, i'm all ears. ashley: i know you are. down to 4.07%. just down a tick or two from 4.10 last week. look, the real economy remains
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solid, we know that. steady job growth. it is believed these combination of things despite what is going on with china and some other flies in the ointment we are heading to a stronger home sales look for the summer. the problem has been affordability and number of homes on the market. it has been frustrating as we say, job market is great, everything is strong. why isn't the home building and the home selling industry picking up more steam? we shall see but 4%. 4%!. 30-year fixed. stuart: it is fantastic. we're not going to say it again. ashley: no. stuart: i started at 12 1/2%. you started at 16%. liz: did it again, didn't you. stuart: we did. a few individual stocks we are watching. starting with walmart, sales up 3.4%. comparable stores. we also have cisco. better profit, better revenue there. they say tariffs had little impact on their business.
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those two stocks, the most dow stocks, adding roughly 30 point to the dow which is up over 200 points. it's a rally, this thursday morning. let me get back to my take. new york mayor bill de blasio makes it official. yes he is running. his honor, he is the 24th? ashley: i have seen both numbers. went third. stuart: 23rd. i got that wrong. i lost count dare i say it. brad blakeman, come on in please. i can't wait to see 23 candidates on the stage debating next month. how will it go? >> i think it will be like a saturday night live skit. the markets are rallying because de blasio leaving new york even for a short stint. stuart: that's terrible. >> this guy has been utter disaster in new york city. we've seen it. you work in the city. i visit there quite often. i've seen deterioration. he is taking on very people who
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are lifeblood of the people. those are business people who build skyscrapers, employ people. no more skyscrapers in new york. no more cars in new york. new york will be a ghost town if de blasio ever made it to the white house. stuart: sheer number of democrats who are challenging mr. trump indicates there is a widespread feeling mr. trump is vulnerable. i don't think, the candidates on the screen, they all can't win but it's a symbol of how they think that mr. trump is vulnerable. you take him on about that, wouldn't you? >> yeah. i think they think that the president is not only vulnerable but what about their party? the dysfunction of having 24 candidates, and we're not at the end. there will be more joining the circus, tell as lot about where the democratic party is. what kind of party are they? does joe biden even fit into the democratic party of today? joe biden was progressive but he is not a socialist. he may have to become one in order to get the nomination.
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stuart: that is the overwhelming tilt of democrats declared so far to the left, far left. brad, stay there please. more for you in just a second. got to get back to the market. we have a very nice rally in progress, up 210 point. getting on for a 1% gain this morning. listen to what sarah sanders told reporters about china trade talks. roll tape, please. >> they're still finalizing the exact schedule for both leaders whether there is formal bilat or pull aside. that is to be worked out. we expect them to meet each other and meet -- stuart: that is vaguely positive news about a possible meeting xi xinping president trump next month. vaguely positive. she is the senior vice president at ubs in new york. cathy, welcome to the show. >> thank you for having me. stuart: i read your stuff. you say there is 60% chance of
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the trade deal will be resolved in the next few months. 60% chance. doesn't sound like much of a big time chaps to me? >> that is pretty good chains. that is base case scenario. we have see them, we heard about them getting back at the table, having a conversation. that's what we want to see, having conversations. that would be positive for markets and economy, you are expecting pretty good chance? >> some sort of a deal. role off tariffs, chinese concessions. nobody will be 100% happy with what they get but a agreement is give-and-take. stuart: you are a calming voice. >> thank you. stuart: you are. you are senior vice president after major investment company in new york city, you are a calming voice. is that how your company sees it? do you think that is how wall street investors see it. >> that is how my company sees it. ubs is 60% base case scenario.
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it is important to be calming, there is so much noise in the market and so much volatility. individual clients are need to know if they're invested for the right reasons and time frame. stuart: i'm not in danger in the market as we speak? >> we have to see your individual position but the -- stuart: you're cool with that? most of our viewers are long-term investors. >> i agree. stuart: we don't have many traders. >> that sounds like our clients, same thing, long term. stuart: reassuring calming voice. >> yes. stuart: from cathy entwhistle. first time on the show. you will be back. >> thank you. stuart: brad blakeman come on back in please. you know what i'm talking about here. attorney general bill barr he asked speaker pelosi, quote if she brought her handcuffs when the two saw each other at the peace officers memorial.
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seems like the whole thing, investigations, subpoenas, i think it is descending into farce. i don't think you give me an argument, are you? >> absolutely not. democrats got independent counsel. they got one. they said they would accept the report of mueller. they won't. they never will. it is never good enough. attorney general barr is not the president's personal attorney but in this case he has to protect the innocent. in this case the president of the united states. two years of investigation, multimillion dollars spent, millions of documents congress will not accept mueller's report. it is conclusive, definitive, it is the end. i think the american people are tired of it. stuart: you do know 20 house democrats will stand on the floor of the house today read, line by line for 12 hours the entire mueller report. you know that will happen today? >> absolutely this is how they spend the people's time this is how they do the work. maybe they should be up for $15 minimum wage? that is about what they're
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worth. stuart: oh, that's cruel. brad blakeman, thank you very much, sir. see you soon. get back to the market. nice rally. 200 point higher. not bad. 25,854. farmers, yeah they could feel the pain from the china trade war on tariffs. coming up we're talking to a congressman that represent a farm-heavy district in pennsylvania. he says trump's tariffs will be successful. he says it is worth the short term pain. go gopro, chinese drone maker, has two cameras, with two screens, $50 cheaper than the top of the line gopro. should gopro be worried? i will ask their chief executive nick woodman on the show next hour. ♪
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stuart: strong economic news coming out this morning. that is helping the market. we're up 3/4 of 1%, 25,800. that is where we are right now. i have some breaking news. let's update the condition of jimmy carter who earlier this week broke his hip. liz: he is out. he will teach sunday school this sunday with a broken hip. he is our country's oldest living american president. so it is really astonishing. he is 94 years old. he broke his hip monday. he is out of the hospital, will teach sunday school, monday morning. his wife, rosalynn carter is back in the hospital. she is feeling faint. stuart: 94, breaks his hip on monday. teaching sunday school on sunday. liz: amazing. stuart: what a man. tip my hat to him. china trade, get back to it.
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congressman joyce from pennsylvania. you're from a farming district but you support the president's tariffs. essentially the farmers in your area are feeling some pain but you say you have to hold on? >> stuart, good morning. that is what farmers tell me every weekend when i go home. they have incredible support for president trump. they know we'll face a temporary rocky road, but if we don't bring this to the floor right now, we don't bring the negotiating tools that tariffs allow the president to do, we're not going to be successful. when the economy is booming, when the gdp is at the highest, right, when unemployment as 50%, 50-year low, this is the time that we've got to do that. yes, the agricultural industry in my district has over 5000 participates. farmers realize, if this isn't achieved now, we're kicking the can down the road. the president has the long game in his heart. he knows how to negotiate. that is why pennsylvania 13
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overwhelmingly voted for and supported the president in the last election. stuart: i have to bring to your attention a "qunnipiac poll" which put mr. trump against joe biden and joe biden came on top by 11 point. now how are you going to turn that around? how is the president going to turn that around in pennsylvania? >> stuart, i don't have a lot of faith in the quinnipiac polls. i think i recall in the last election they put hillary clinton winning pennsylvania by more than 5%. we know what happened there. i know that when i listen to the farmers, when i listen to people in gettysburg, chambersburg, huntington, altoona, somer set, when i go home they say support the president, stay the course this is who we sent to washington. we've seen the success. we've seen the success of the tax cuts. we've seen the great appointment
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he made to the supreme court. south-central pennsylvania is behind the president, continues to behind the president even in the face of these tariffs. stuart: a vital state in the 2020 election. as i understand it the president is going to pennsylvania next week, for a big rally? >> yes he is. stuart: is it monday? >> it is early next week, yes. stuart: will you be with him? >> no. i'm going to be here in washington. i'm in the shadow of the capitol right now and i will be here doing what i've been sent to washington do, and that is voting. stuart: congressman, thanks for joining us, sir, we appreciate you being here. >> thank you very much. stuart: back to the big board, unlikely rally. ashley: gained a little bit of momentum this morning. stuart: seems to have. we went in at 9:30. the market opened up. we were down a little bit, no, we were up. futures suggested we would be up 20 or 30 points. the market opens, bingo, we're up one one hundred points.
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within an hour we're up nearly 200 points. big tech is doing very well. not all of big tech but some of it. walmart is doing well. cisco. >> amazon is having a blowout day. stuart: amazon is having a blow out day. liz: less than 1000 points from the all-time high. stuart: crept up on us. this continuing fight about trade in china which dominated the market for a long time. here we are, with no talks scheduled, no serious talks scheduled. liz: right. stuart: tariffs imposed by both sides. nobody backing off very much, the dow off 200 points. less than 1000 from the all-time high. go figure, viewers. go figure. big changes coming to the s.a.t.s. colleges will be factoring a student's economic background and where they grew up. they will factor that into the results. apparently not just about academic achievement anymore. we'll try to explain all of that, after this.
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stuart: almost the high of the day. we were up 220 moments ago. now we're up 216. we'll take it. that is a rally. strong economic news is clearly helping the market today. now the college board plans to give an adversity score to every student that takes the s.a.t. lauren simonetti is looking into this. if i'm poor, from the wrong part of town, how you define that do i get extra points? >> you get fewer point. so it's a scale. this comes from "the wall street journal." we have reached out to the college board who will not
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affirm or deny this story but they are in charge of the s.a.t. 50 schools apparently have tested it this year. a scale of one to 10. 50 is average. if your score, they look at 15 different items, not race. so your background, where you live, your family's income, the high school that you went to, to kind of paint this picture of where you come from. if you go below 50, that is hardship. if you go above 50, you're privileged. they're trying to figure out a way schools can use this to boost your status. sometimes the s.a.t. doesn't test your resourcefulness, how much you have overcome because of income inequality. that is what it boils down to, this is a very sticky area for many schools, goes under category of affirmative action in a sense. stuart: you've been on the phone all morning? >> all morning trying to get answers. stuart: is this about race?
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>> i couldn't get anybody confirm that they did try testing an adversity score, which is troubling. stuart: so the bottom line is, it is not just academic achievement? it is background will be factored into your s.a.t. score? that is type of affirmative action i think. to help poorer people? >> one person i spoke to said, this is a way of getting at race without really getting at race. i want you to consider something else. there is a lawsuit against harvard and it is by asian-americans. they say since we typically test well, we'll show you the numbers, these are the numbers, these come from the "wall street journal" if we can put them up on the screen right now, if you look at average s.a.t. scores, asian-americans score 100 points higher than whites. whites core 177 point higher than blacks and 173 point higher than hispanic students. the asian students are saying, it is harder for us to get in because you're holding to us a
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higher standard. there is all sorts of storylines emerging around adversity score. ashley: does it affect your score, to stu's point? it is hard to understand, because you overcome adversity do you get extra credit is what i'm saying? >> i think you would. you wouldn't know because the student will never know what the adversity score is. it gets better. stuart: it sure does. >> we need answers. >> yes. stuart: when you factor in the college admissions scandal you should think about that. that is part of the big picture of admissions to colleges. >> they're all trying to broadent base, the students they let in. yale has done a very good job with this, if you look at first generation student to yale, for instance. in the past several years almost doubled that number, for low income groups. if you put the two categories together, it is 20% of their class. stuart: but the bottom line is, i hate using that expression but the bottom line is, it is not just pure academic achievement? >> nope. stuart: a lot more pose into it.
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>> a lot more. stuart: whether it should or should not is another story entirely. >> as you know with operation varsity blues the college admissions offices have a little bit of a headache. stuart: you've been work are hard, lauren, and the results were good. >> do i get 4.0 on this segment? stuart: diversity score. great stuff, lauren. check apple, please. it is having a rough go recently. however, in our next hour, we have a market watcher who says that thing there, apple is a screaming buy. he makes his cast at 11:30. then we'll have brian kilmeade on the show. he is back there from a trip to the border, he stood there, you see it, watched migrant men, women and children walk into the country. happened time after time. standing there watching it happen. the kilmeade report from the border. after this.
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♪ ♪ baby you can drive my car >> you like it? stuart: i like the harmony. it is a sharp edged kind of thing. [inaudible]. i promise. ashley: appreciate it. stuart: how about this, boris johnson, the former british -- ashley: another mop top. stuart: thought of as england's donald trump. ashley: yes indeed. stuart: he is running to replace prime minister may. what is his platform? ashley: he says he will, listen, theresa may will try for a fourth time in early june to get
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a brexit plan through. at that time she has said she will lay out the timetable to leave. essentially the firing gun has gone off now. boris johnson saying i'm in, i will run to lead the conservative party. he didn't in 2016 saying it want right time. boris is interesting character. sometimes rubs the people the wrong way in westminster. out in the countryside, bookmakers have him favorite, four to one. he could be the new leader of the conservative party. stuart: he was born in new york city? did you know that? ashley: one of us. yes. stuart: he is american. if he was prime minister of britain i would think he would have to renounce his citizenship. have you heard of cabbage? they are a lender to small businesses. they lend money to small businesses. we have the man who runs cabbage today. rob, welcome to the program. >> thanks for having me. i really appreciate it. stuart: i want to get into whether small buyses are needing more loans because tariffs from
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china. first of all what about your partnership with alibaba? we think of them as china's amazon. what are you doing with them? has that partnership been affected by the china trade dispute? >> so what we're doing with them we're allowing small businesses in the u.s. who buy products on or through the alibaba platform to check out using cabbage funds to pay at point of sale with a loan we provide them instantly. stuart: so you're intier med aries. >> we allow them to acquire products build businesses, from suppliers who sell on alibaba.com. stuart: are you noticing small businesses needing more loans because of china tariffs? >> you know what? i don't think that is the case. we're up 50% year-over-year. in terms of loans we're putting out. we're having a solid performance. i wouldn't attribute it to, wouldn't attribute to the tariffs although we're paying close attention to that anytime you put a tariff in a situation
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like that, it has a disproportionate impact on the small business community that really can't hedge against those types of global risks. stuart: if you're up 50% year on year, that has got nothing to do with the china tariffs? it is really about the success and growth of small businesses in the economy, isn't it? isn't that the story? >> it is absolutely the story. we're seeing small businesses are growing faster than ever before. we see demand for the product. what i say is good demand. not kind of demand we're borrowing whether or not dollars coming tomorrow. you're borrowing because you know dollars are absolutely coming tomorrow. you're growing that business. stuart: very strong growth. you're up 50%? >> that is not on a small number. last year we put out 2 billion. we have 185,000 customers here in the u.s. we're seeing huge demand, huge growth of numbers of customers seeking capital because i think they feel positive about the economy, feel positive about the prospects. stuart: you don't have branches, do you?
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you just have online? >> no we don't have branches of the we announced a partnership with on line only bank and startups and figure economy workers and others who are actually in a lot of community where banks are closing branches. so when you're online only you can serve businesses everywhere. that is what that partnership is all about. stuart: kabbage with a k. >> with a k. stuart: rob, you are its ceo i believe? >> i am. i am. stuart: 50% up year on year. success. >> thank you. stuart: we like success on the show. >> we love it. stuart: we love small business. we really do. >> we do. stuart: rob, thanks for joining us. the ntsa says tesla's autopilot system was engaged during a fatal crash back in march. that sounds to me like bad news. liz: bad news. the stock is under pressure. this happened march 1st according to the government regulators. the semi-truck was turning left. a man in his tesla model 310
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seconds before the crash puts on autopilot. the car is going 60. that car was supposed to be able to detect other vehicles in its path. the car wend under the semi trillioner, the passenger, driver, 50-year-old driver died. this is issue. this happened in delray beach, florida. same thing is unprobe, investigation 2016, gainesville, florida accident where similar thing happened. that driver also passed away. the no hands were on the wheel. the auto pilot was engaged. that is what the ntsb is finding. stuart: all kinds of jurisprudence, legal, how will it be taken legally when autopilot or driver less cars have some kind of a problem? liz: great point. stuart: we'll have to find that out before serious expansion. liz: is maker of the software liable? stuart: look at the stock, 229 on tesla. wasn't that long ago it was 300
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plus. now you're below 230. ashley: yep. stuart: we're coming up on 10:36 earp time, get to it precisely, 10 seconds away, we go to brian kilmeade. the host of the brian "brian kilmeade show." he often joins us. every thursday he joins us. 10:36 he joins us. ii want to talk to you about the trip to the border. tell me how you brought back the video of people walking in, walking in, explain it all. >> essentially the border is patrol is crying out for help. they don't want your sympathy. they want it fixed. lindsey graham has the things to fix it. we'll go to the rio grande river. we go beyond the fence, barrier, retaining wall and bollard fence. we're riding along on a dirt road that is smooth. we look over an underpass. there are 70 hondurans that have turned themselves in. it is raining. some of these kids are three
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weeks old. one was three months old. two kids clearly have infection or bronchitis. we're asking them how they pot here? they said they walked. how did they hear about it? on television. i said the news? this is through an interpreter? every border patrol agent has to speak spanish. no, they're running 30 second ads. how much did they pay? 6 to $8,000 to be brought here? who are they paying? drug cartels. you're paying the drug mob to give them more money to create havoc on border. so they can get more drugs, sneak that through our border. while i'm doing the interview. we look over at a road perpendicular as opposed to one horizontal. we see other people walk up. we find out where they're from. cuba. this wasn't the kasich months ago. cubans came through florida. the word is, southern border, mcallen, texas area is most
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open. some had folders. here is my paperwork. they don't qualify for asylum. the word we're letting them in anyway after 20 days. hello, they get on a bus go into the america. it is catch-and-release. stuart: there is no attempt to stop, and send back. >> can't. stuart: there with welcoming arms. come on in. that is what they're saying? >> you know, stuart, these guys saying you're not letting me. what do you mean? we need 45 days. we need 60 days. we could handle it. we need a bunch of judges to handle it. the minute you cross, did it right way, thousands of dollars, pass a test, waiting list. what people should understand it is not just stuart varney doing it the right way. brazilians are doing it the right way of the costa ricans are doing it the right way. people from sudan, doing it the right way because they don't have the option of going through the south part. unless they get dropped off to pay a lot of money to go there. why is it fair to them these
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people are coming in the wrong way? stuart: no. >> look at lindsey graham, what he put out there. that is what the border patrol says would solve the problem. i'm not interested in the president's plan. that is for 2020. i care about 2019. four major things could happen. it is not fair to the men and women who are doing this at the border. they're in a facility that holds 300. they have 8600 when i left. ashley: wow. stuart: hey, brian, hit nail on the head right there. i don't think people realize this is a crisis. you showed it just right there. >> yeah. stuart: brian kilmeade. we're out of time. that was good. thanks very much indeed. >> stuart, appreciate it. stuart: ben, glieb, comedian, has a show on netflix. he says he is running for he president. i want to know if it is serious or a publicity stunt? he is on the show next hour. 75 years old, "rolling stone" frontman, mick
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jagger, look at him. he tweeted himself of new video dancing. weeks after he had surgery to replace a heart valve. looks like nick made a full recovery. the man is 75 years old. liz: amazing. stuart: jagger and rolling stones will tour this summer the first show in chicago next month. well-done, mick. hope i can do that. ♪ termites, feasting on homes 24/7.
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we're on the move. roger. hey rick, all good? oh yeah, we're good. we're good. termites never stop trying to get in,
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we never stop working to keep them out. terminix. defenders of home. stuart: high of the day. i would love to keep in touch with this. that is a rally. we're up nearly 250 point, as liz said earlier. we're less than 1000 points away from the all-time high.
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liz: that's right. stuart: it's a rally. here is breaking news, uss abraham lincoln aircraft carrier group is stationed in the arabian sea. it arrived there two weeks early. ashley: to show the intent, it want to be there, send a messages that u.s. central command placed forces in region on high alert. the big question is why, what is all this based on? there is a belief that the pentagon may release satellite photographs that show cruise missiles aboard small iranian vessels. that may be part of this scramble to put a military force in the region because obviously that is of much concern. nothing official from the pentagon. they may declassify some of those satellite photos we're told. that will give you an indication why there is such high alert. stuart: that is good explanation. cruise missiles on small boats will get you anytime. which have zuhdi jasser,
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commenting on islamic affairs. you say iran is losing control over its own people, that is why it is lashing out overseas? >> absolutely. this is narrative and their arc for people who understand what is happening in the middle east. this is not new. and now it is becoming worse. they have been bad actors in yemen. basically the houthi have become the hezbollah of yemen driving the chaos there. genocidal support in syria with the assad regime. they have been creating belligerent acts against the saudis with underwater activities of small bombs against shipping lanes there. at the end of the day, this is not new. this is the way they are operating. when they get more unstable internally they create more regional chaos to machiavelli shift the focus away domestically. we can't respond with appeasement. it will not work, has never worked in the past against
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middle earn folks. we tell them there will be a response. this is not warmongering as the left wants to see. at the end of the day, not only in our interests but allies interest. stuart: the people of iran are in a very tough spot. their economy is collapsing. there are food shortages, shortages of base being commodities, they're in a tough spot. if they revolt or take to the streets in some way they could be shot as they were shot 10 years ago. >> i'm so glad you brought that up, stuart. there is nothing more pro muslim doing what the people believe in i think in iran, not what the regime wants. the left almost like the same playbook as maduro where they're citing with the tyrants and not the people iran. the people are not saying "death to america," death to israel anymore. they're saying death to khomeni. death to the islamic tyrants removing their society. women are removing the hijabs. they like the sanctions because it is strange you lating their
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regime. they're seeing breathing room because they're having voices heard and at the end of the day -- stuart: do you know that for a fact, saudi, they're shouting death to khomeni, and woman are removing clothing, special head coverage? a absolutely. we've been tweeting pictures out through activity in iran and by tens of thousands. tons of hashtags, freeing women's rights. if people follow actually what is happening, not doing talking points of iranian lobby, obama administration has been, if i having false information, they know what is happening in iran. stuart: do you think there is a flashpoint coming? >> that is a good question. we've been hoping that there's a flashpoint, regarding internal issues in iran. but we don't know. all i do know, stuart, what makes us safer is not appeasement. they are telling us 60 days away from a breakout point for nuclear arms if you will, and
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that tells you that the old nuclear deal was a sham and it wasn't working. so, internally there may be a flashpoint coming. the economy is tanking. if it wasn't for russia and china helping their economy they would have fell a year ago. but that is the unknown part of the equation as they're getting support from other bad actors globally. stuart: zuhdi jasser, thanks for appearing with us today. no thanks, stuart. stuart: high of the day. up 230 points for the dow, best part of 1% that is a rally. who have we got coming up on the show? that man, walking striding vigorously to the studio, charles payne, a capitalist success story. you will hear from that story. he came from humble beginnings. hear from the man now, in our studio no less. ♪
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stuart: dow industrials up 240 points. you're getting close to 1% gain. strong economy. strong performance from walmart. up she goes. 25,800 right there. as you know by now, capitalism versus socialism week on fox business. we want to bring you a
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capitalist success story. look who is here. charles payne, the man himself. you're quarterbacking this whole thing at 2:00 this afternoon. >> i am, i am. stuart: take at least one minute to tell me your story. >> well, i grew up all around the world until i was 12 years old as an army brat. we moved to harlem in the '70s. most violent, poor neighborhood in america. i found out you can went without heat or hot water. never had money. never thought about money single day in my life. as oldest kid stepped up. started cleaning windows with windex and paper towels. stuart: that was you? i'm not making a joke how you started out. >> i started equating money with wall street. at 14 i told my mom i will work on wall street. and i did. stuart: what did you do? >> i started out as broker. i started out as an analyst. i really loved it, stuart but i didn't make any money.
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first year at e.f. hutton, 13,000 which was most money i ever made. when i got the offer i was tear in joy. me, my wife, daughter, one-year-old, living in a room in apartment at harlem. we were able to get our own apartment. after a year or so doing that i became a broker. i had my epiphany. wasn't i thought it was. selling house stocks to make money. not stocks i thought people should be in. i've seen the fallacies of capitalism. i've seen the fallacies of wall street first-hand. i have seen them. there are legitimate gripes. we want that thing aired on the show today. stuart: i think capitalism versus socialism is the overriding issue for the 2020 election. >> bottom line. stuart: am i wrong? >> you're 100% right. no matter how dress it up, "medicare for all," paying all student debt, we're talking about greater government control, less opportunity for upward mobility. even in a fact to the point of crushing success, to sort of level the playing field. it is an issue that i think a
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lot of wealthy people and certainly a lot of corporations on wall street ignored for far too long. the arrogance is making it worse. stuart: america is all about capitalism. it is all about upward mobility. that is what the show is about this afternoon. >> it is except there is bunch of people, millions and millions, who are stuck, who are stuck, stuart. now they're saying maybe the system doesn't work for them. not just on this side the atlantic. stuart: for those people who are stuck, what liberates them, socialism or capitalism? >> that is what we'll discuss during the show. that is the question. that is what people decide november of 2020. what is going to liberate me, so i get quote-unquote, my fair share. you've heard this term thrown around for a decade. people will make the judgment. it's a serious, serious conversation. we'll start it today. we'll continue it for a long time. stuart: put it on the screen, please. it is going to be 2:00 this afternoon. that will be 2:00 p.m. eastern time on the fox business network. capitalism versus socialism hosted by this man right here.
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>> i look forward to you coming on. stuart: i will be there. you know where i'm coming from. >> we have both sides. we have strong folks who are articulating socialism for a long time. stuart: well-done, charles. see you at 2:00. thank you, sir. happening today, president trump will submit the plan to fix the immigration crisis. this is not just about securing the border. he wants to bring more talented people into the country. merit-based immigration. what a shift we have from today. my take coming up. big guests coming up. nick wood man, ceo of gopro. does he regret the situation taking his company public that is a fair question in that day and age. hour three of varney coming up next. ♪ metastatic breast cancer is relentless,
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stuart: any country should be allowed to decide who it wants in. it is a basic national right. if you lose control of who's coming in, you've lost control of your country. america has lost control of who's coming in. the president wants to fix it. he will submit his plan today. now, this is more than border security, although that is surely a priority. it's about america making its own choice, deciding ourselves who we want. that's at the heart of president trump's plan, bring in those we want and need, bring in people with the skills that are in short supply in our economy it's called merit-based immigration. does your application to come here have merit? that's the question we should be asking. it's a turn away from what's been called chain migration, the mass migration of family members, only your children and
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spouse would be allowed in under the president's plan. it's a turn away from the lottery system. no more chucking your hat in the ring, we might literally win the lottery so why not try. the lottery green cards would go. skilled workers who have merit would take their place. in fact, it's a complete turn away from immigration as we know it today. from borders open to all to borders open to those we want. of course, there will be a discussion of who we let in. let the debate begin. but let's be clear. we should be calling the shots. it is our choice. the third hour of "varney & company" about to begin. stuart: just after 11:00 eastern time and just after 8:00 in california. let's get reaction to my editorial direct from the white house. mercedes schlapp is here, white
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house director of strategic communication. mercedes, this is a merit-based plan but it goes nowhere in congress without some democrat support. can you get them on board? >> well, first of all, your editorial was perfectly said. i want to say that. this, what the president is leading on and what he's focused on is both the merit-based immigration as well as securing the border. there are structural changes we need to make to ensure that we're able to close the legal loopholes in order to address this border crisis that we're seeing. in addition to making changes to the asylum laws and strengthening those asylum laws and allow the agents to have the ability for expedited removal of those coming into the country illegally. so that is one of the main pillars in addition to the merit-based immigration system. as we know, and you've seen, in the united states, our system is very unbalanced. really, the only way you can come over here to get a green card is if you have a family
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tie. that's the vast majority of it. over 70%. we want to stop diversity visa lottery which doesn't even take into terms the criteria of skills. what do we know, when we bring in those with an education, with higher skills, those with exceptional talent, that benefits our economy, it allows for greater contribution to our country as well as ensuring that the people that are coming here first and foremost love america. stuart: but you have virtually no democrat support. that means it's not going to go through congress. >> well, the first step in this process is to ensure that we unify the republicans. for some time now, we have talked about what republicans have been against when it comes to dealing with this issue on immigration. look, it's complicated, we know it. there's been decades and decades where president after president haven't been able to resolve this issue. but we know something about president trump. he's results-oriented. he wants to hone in and send a very clear message to the
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democrats of what is your plan, what do you have to offer, because right now, what we know from the democrats' side, all they want is chaos and open borders. so we are presenting a very common sense plan that we are going to be talking with democrats as well to say let's get on board, let's figure out a way that we can work together. stuart: can you bring me up to speed on this possible meeting between xi jinping, china's leader, and president trump at the g-20 summit next month? we've heard vague ideas that maybe they will get together. can you give us something concrete? because everybody's looking at the china trade dispute and they want to know are they going to get together and discuss it? >> look, i have no information at this moment in terms of potential meeting between the two leaders but what i can tell you is that the president has a very good relationship with president xi. as we know, we got close to a deal with china. they walked away from it. the president obviously moved
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forward on sensible tariffs to continue to place pressure on china. we cannot allow the status quo. it has been an unbalanced relationship -- economic relationship with china where they have stolen our intellectual property and stolen our technology. we want to be able to move forward on reciprocal trade. we want to be able to reduce our trade deficit with china. that's why the president has stayed strong on this. we will continue negotiations and tariffs, yes, they have been part of this because we have to continue to apply pressure on china so that they change their behavior. stuart: you've got to make sure you've got political unity among republicans. i do see some beginning to peel away, the longer this trade dispute goes along. you've got problems in the farm belt. you've got to be worried about that. >> you know, of course the president cares deeply for our farmers. it's why we moved forward on a mitigation plan several months ago and obviously, it's something we will continue to focus and address. one thing that i have to say is that even with these tariffs
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being applied, we have seen our economy continue to stay strong. we have seen increased revenues. we have seen more individuals now in jobs than ever before. we have seen wages rise. so the american economy is strong and so we know what the president is doing. he's very strategic when it comes to these trade deals and what he wants to ensure is that when we go and work on a deal with china, that it is the right deal for american workers. stuart: mercedes schlapp, right there at the white house this morning for us. thank you very much for joining us, mercedes. we appreciate it. >> thank you so much. stuart: sure thing. got to get back to the big board. liz: look at that. stuart: close to the high of the day. 28 of the dow 30 are in the green, that means up. there are only two, chevron and 3m, on the downside. we are up almost 1%, 250 points. the s&p and the nasdaq, they're
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almost positive -- ashley: oil has come back now, about $63. up $1.50 a barrel today. stuart: that's iran. ashley: energy sector has been moving higher. good economic news and some decent earnings. stuart: crude oil at $63 a barrel because of iran. you're right about the economic news. good earnings came from walmart. ashley: yes. stuart: 3.4% gain in same store sales. ashley: comp sales in first quarter the best in nine years. liz: so interesting, we are 500 points away from the all time high close at this point. there are dozens of media pundits and analysts saying we are going to go into recession over this fight with china. i just think it's striking this is how the market is right now. stuart: walmart says you have this big increase in sales, 3.4% i think it was, same store sales, comparables over a year ago, that's a strong economy. ashley: very. stuart: that's a strong consumer who is out there spending money in the biggest retailer of them aum. what am i missing here? ashley: i think it's a proxy for the economy.
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stuart: still up 250 points. ah, yes. make that 23 democrat candidates. new york city mayor bill de blasio officially running for the presidency. he will be at the unveiling of the renovated statue of liberty museum. that is his first public appearance since he made the announcement. it was a presidential tweet earlier about bill de blasio. liz: quote, the democrats are getting another beauty to join their group. bill de blasio of nyc considered the worst mayor in the u.s. will supposedly be making an announcement for president today. he is a joke but if you like high taxes and crime, he's your man. now, nyc hates him in caps right there from the president. bill de blasio went on "good morning america" and called the president con don. stuart: con don? liz: con don. trying to convince working americans he's on their side. right now, the government is not on the side of the working people. here's the thing. city council of new york blasted bill de blasio for not creating jobs. he's created more city government jobs.
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and new york city has wall street helping it, the trump market boom. so i mean, his arguments are pretty weak when you listen to polls of new yorkers themselves and his own city council saying you failed in your promises of job creation. it's not happening. stuart: you can't criticize the president on job creation. lowest unemployment in whatever, 49, 59 years. there's more jobs open than there are people looking. it's a bad strategy. especially if amazon walks away from your city. ashley: exactly. stuart: doesn't give you the 100,000 jobs at $100,000 a year that you were expecting. explain that one. they're warming up for the announcement. go pro, nyou know them, technology company that make the cameras, strap them on your head and take off for your adventure. that's the kind of video you create. the leader in drones, a chinese company, released a rival camera. so is go pro worried?
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i will ask the stceo because he on the show next. i don't know what's going on. i've done all sorts of research, read earnings reports, looked at chart patterns. i've even built my own historic trading model. and you're still not sure if you want to make the trade? exactly. sounds like a case of analysis paralysis. is there a cure? td ameritrade's trade desk. they can help gut check your strategies and answer all your toughest questions. sounds perfect. see, your stress level was here and i got you down to here, i've done my job. call for a strategy gut check with td ameritrade. ♪
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stuart: let me put it like this. the wearable camera war is heating up. the chinese tech giant dji just announced a new cheaper camera. it will compete directly with go pro. so why don't we bring on nick woodman, who is go pro's ceo. there he is. he's on the show this morning. welcome to the program. good to have you, sir. >> thank you for having me. stuart: as i understand it, the chinese product, the dji, they've got two cameras on this thing and a screen so you can take selfies. you've got competition. you worried? >> we take competition seriously and we have always had
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competition through the whole history of go pro and we fared very well and have maintained our leadership position around the world because our pace of innovation leads to simply the best product. we are dedicated to delivering our customers maximum value for their money and the strength of our brand is significant, so while we take every competitor seriously, and we had many, put it politely, imitation competitors from china over the years, who seek to essentially mimic what we do but never quite match or even come close to the quality and performance of what we build, this current competitor doesn't seem to be any different and that's just when you consider our current products 07 black which is america's bestselling camera. what we've got on tap for later this year as well even widens the gap. stuart: are you going to diversify? i think of go pro as essentially a one product company.
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the go pro camera. any plans to diversify at all? >> well, we make several cameras. we make four currently. then we have a suite of mobile applications that have roughly 16 million monthly active users which is pretty significant and we have our plus subscription business which is growing with 220,000 paying subscribers, up 50% year over year. we are diversified in that sense. you're right, the go pro brand is much bigger than our current product offering. so we do think that there's an opportunity to scale the brand in adjacent product categories that are lifestyle oriented and motivate people to live a bigger life and pursue their dreams. yes, there is an opportunity for further diversification. stuart: i think your best publicity is always the videos that people make. we have just been running some of them. in the wave as they go surfing right there and jumping out of planes, that kind of thing. that's your best publicity.
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you are now a public company. are you happy to be a public company? >> oh, absolutely. that's a great question. i get asked it all the time. the reason why i'm happy to be a public company is it forces us to be much more disciplined and focused than we might be as a private company. business is sport and there's no more demanding sport than the public markets. they really force you to be on your game. it also helps us track the best talent which we have at go pro. we're 900 people strong and i'm really proud of what everybody's accomplished over the past couple years to put go pro in a situation of strength and growth and returning to profitability. part of that is because we are a public company and have to be at the top of our game. stuart: my family is several members of my family have go pros and we have great videos from all over the place shot on the go pro camera. thanks for being with us today.
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we appreciate it. >> thanks so much for having me. i appreciate it. stuart: sure thing. got it. we continue of course our capitalism versus socialism theme on the fox business network. with a look around the world. jackie deangelis did the legwork for us although many equate socialism with venezuela, how is it working elsewhere? she has the answers for us next. i switched to liberty mutual, because they let me customize my insurance. and as a fitness junkie, i customize everything, like my bike, and my calves. liberty mutual customizes your car insurance, so you only pay for what you need. ♪ liberty. liberty. liberty. liberty. ♪
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stuart: there it is. good graphic, that one. capitalism versus socialism, theme of the week on the fox business network. jackie deangelis is back with us, with more of a global perspective on socialism. okay. here's the story. i think of venezuela, that's when i think socialist, venezuela. >> that's what i think. stuart: bernie sanders says no, look at europe, the scandinavian countries are socialist. how do they perform? >> well, that's the thing, right. nobody wants to get up on the platform and say we are going to be venezuela or come with me, that's what we're going to do. they say look at these nordic countries, norway, sweden. the first thing i tell you is the populations are drastically
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different. norway, five million people. sweden, ten million people. we have 325 million people. we have to support that population. second aspect of it is they're not really putting the same amount of government involvement in business that other real socialist countries are. so a lot of people would actually argue and say it's not really socialist at all, and the taxation policies are a little bit different, too. there's a vat tax. so the consumers are paying into the system. it's not necessarily the corporations. and i would just say this in terms of europe. we focus so much on brexit right now. remember the eurozone, that crisis? remember what got us there? it doesn't always work so well around the world. stuart: cradle to grave security. cradle to grave welfare. which is not sustainable. unaffordable. and in the crash it just fell completely apart. this scandinavian socialism, that is intriguing because that's what bernie sanders says. oh, look at denmark, for example. >> aoc says the same thing, too. they say people are happier there. and they live longer.
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that may very well be true but at the same time, you can't compare apples and oranges. the systems are completely different. if you bring even some of those reform policies here and try to impose it on this size population, the question is will it work. stuart: norway, by the way, is the richest country in the world because of offshore drilling. >> drilling. stuart: tell that to the socialists. >> resources. stuart: jackie deangelis, thank you very much indeed. we will see you this afternoon, i'm sure. >> 2:00, charles payne. stuart: one more time, please. 2:00 eastern on the fox business network, capitalism versus socialism, town hall. anchored by our friend charles payne. i will be there. we will see you at 2:00. let's go to the movies. tickets are getting much more expensive, right? well, theaters are trying to get around -- get you off of netflix and into their seats promising gourmet food, maybe a little alcohol. it comes at a price, of course.
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here's robert gray, fittingly in los angeles. robert, why go out and spend a ton of money when i can stay home with netflix? tell me. reporter: yeah, stuart, it's the premium experience. that's what they are hoping to sell you, right? you travel first class. take a look at the amenities here in this theater. in the upscale pacific palisades neighborhood, every seat is a let er leather recliner, the same you will find in vip sections of nfl stadiums. you can order anything, ahi burger, at the touch of a button. they will bring you your drinks right to your seat. of course it will come at a price. the cheapest seats here start at $15. that's for a matinee for kids and seniors, $27 for your prime time tickets for "avengers: endgame" this weekend or whatever else you are looking to see. clearly, this, they are trying to use the premium experiences, as you mentioned, to battle the big streamers and get you back
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out to the big screen where you can come sit, have a full meal, have this table service and then you don't have to do the dishes afterwards. i know you are always looking for a bargain so i found one for you. in parsippany, new jersey, they have $5 tickets just for you. stuart: i'm there. i'm on my way. robert gray, thank you very much indeed. very instructive item right there. 27 bucks for a leather seat. listen to this. there's a new lawsuit and it could kill commissions for realtors and eliminate the job all together. our south florida agent flagged the story. should realtors be worried? we will tell you in a moment.
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unemployment claims. stuart: walmart. ashley: walmart earnings were good. best first quarter in nine years on a comparable store sales comparison. stuart: that it? ashley: yes, and perhaps rumors there will be a meeting between the president of us and them, so to speak, at the g-20 on the china trade issue. all of that and maybe people are just tempted to come back into the market right now. we had some big selloffs and i think they're looking at it as an opportunity. liz: traders are turning off the noise and looking big picture. this is the rodney dangerfield market that gets no respect. the best market in generations. it really is. stuart: walmart is the most important because their same store sales were up 3.4%. that's a very strong economic performance. look at it. $103 a share. i think that's got a lot to do with the 250 point gain. let's celebrate. come on. market's up. i think we should bring in a market watcher. we've got one available.
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he's sitting right next to me. it's ivan fineseth. he's got an interesting point of view. you are seeing apple as of now, i think it's $186 a share, is a screaming buy. make your case. >> two reasons. i still think that president trump's goal is to fight tariffs with tariffs with the ultimate plan of eliminating tariffs which will be positive for ap e apple. but i think president trump was emboldened a couple weeks ago with the strong gdp numbers and the strong unemployment numbers to take a tough stance on trade. that's when he really started to say hey, things aren't going fast enough, i'm going to increase trade tariffs unless things move. the other thing is trump likes to tend to, he's the ultimate soviet negotiator. he likes to get up from the table before he thinks the other guy will. stuart: soviet negotiator. that's a new one on me. >> remember khrushchev pounding on the table, we will bury the west? stuart: you're not concerned about the supreme court ruling which opens apple up to all
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kinds of litigation in the future? >> i think that -- for the most part i believe apple does really treat its developers on its app platform well. stuart: look, it's at $191 now. it's a screaming buy to you. where is it going? >> into the low 200s. stuart: low 200s. >> yes. they continue to roll out these services they have coming out, the new apple card, the tv platform, the gaming platform, the music platform. that will help them monetize their one billion or so apple phone user base. stuart: extract a little money out of the billion people. >> yes. i think they also eventually go to a subscription model for the phones themselves. stuart: i think the future of lyft and uber lies in self-driving cars. i think they said that themselves. which one leads in that field? >> i think first, the fact that we have these two public companies, uber and lyft, we now have a category of transportation as a service. in 2018, consumers spent $1.2
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trillion on transportation, including owning a car, renting a car, insuring a car, fixing the car, and last year's combined revenue of lyft and uber was about $7 billion. so less than about a little over half a percent of the entire transportation industry. yet transportation as a service is growing very fast. millenials, especially urban millenials are not buying cars. people are using on-demand ride sharing more and more so there's a huge growth opportunity. a couple of the areas, lyft has -- sorry, uber has uber eats for food delivery and uber freight and lyft is really focusing on health care transportation because it's a huge market because there are a lot of people that cannot get, older people that cannot get to the doctor on their own and even more importantly, your insurance company and medicare in many cases will pay for the ride. sometimes the doctor's office will also pay for the ride.
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stuart: so ivan doesn't really mind too much about the ipos of both companies which did not go well. >> no. stuart: you're looking longer term. >> it's a category. stuart: both you think can go up? >> yes. stuart: significantly. >> also the other participants in the category are developing autonomous vehicle technology which i think -- now, uber and lyft are both focused on development but i think they are more focused on the deployment. for example, lyft just announced a partnership with waymo and are debuting ten robotaxis in the phoenix area. they will have drivers in them to kind of watch over what's happening but this is a first pilot program of basically autonomous taxis. stuart: uber is at 42. where's it going? >> we don't currently cover uber yet. but i have a buy on lyft and i think lyft could probably go back into the high 70s to low 80s. within the next year or so. stuart: okay. we like hearing news on stocks which can go up and which you
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think will go up. ivan feinseth, thank you for joining us. fix that cough. you're almost choking here. >> sorry. stuart: there you go. all right. all right. we have word of a new lawsuit that's kind of taking shape, not sure about this. questioning commission rates for realtors. samantha debianchi is with us. you found that story for us. tell us about it. >> i think there's a big question out there as to why you are paying 6% to real estate agents. it's totally understandable. why would you when a lot of buyers, over half of buyers look online, they find their home, but 87% of them still use a real estate agent. it shows that even with technology out there, people still value a real estate agent. stuart: but the lawsuit alleges collusion to fix the commission at 6%. that's the allegation. >> so what they are trying to say is why are we paying 6%, where did the 6% even come from.
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there is zero answer to that. there is no reason why it's 6%. it's been 6% for awhile and actually, commissions have gone down from 6.1% in 1991 to 5.1% in 2016. stuart: okay. all right. look, suppose this lawsuit was successful. >> sure. stuart: the plaintiffs win. the lawyers win. what happens? >> i mean, at the end of the day, you could say sam, i want you to list my place but i'm only going to pay you 4% or 3% flat, then it's for me to decide well, am i going to take 3% and not pay a buyer's agent, am i going to take 1% and give the buyer's agent 2%? but then you have on the other side of it these buyer agents looking and saying well, if i'm only getting 1%, 2%, why am i going to show that property. that's where the problem is. that is the question. if you look at australia, for example, australia, those real estate agents take 1% on average, about 1% to 3% sometimes for these listings.
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and the difference there that nobody talks about is they will say let's say again we are in australia and i'm listing your place, i get 1% but i'm also telling you all of the marketing expenses that you have to pay for, not me, whereas here, the 6%, if it's 3% to me and 3% for a buyer's agent, i'm not only getting 3% but i am also paying for all those marketing and advertising fees. stuart: if the lawsuit is successful, do commissions come down? >> that, i don't know. i'm not an attorney. i would hope not. stuart: if the lawsuit is successful, could commissions be wiped out? >> it basically could. stuart: on the grounds it's collusion. >> it basically could. stuart: you don't think that's going to happen? >> i don't think it's going to happen. stuart: is it a small jurisdiction lawsuit? >> that, i don't know. i believe it's in minnesota and it's happening right now and someone's stating it's not fair that they have to pay these agents when they find the homes and they did all of the work. so why does the 6% exist. i can tell you many examples as to why that 6% exists.
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stuart: okay. >> if you don't want to pay that realtor 3% to 6%, guess what? you're working with the wrong person. stuart: okay. okay. talking up your book. thank you very much. >> thank you. stuart: new york city mayor bill de blasio giving his first public appearance at the statue of liberty museum as of right now, after announcing his run for the presidency, that is. we are listening to what he's got to say. if he says anything real good, you know, dramatic, shall we say, you will hear about it. that's a promise. then we have spacex, an elon musk company, launching dozens of satellites to deliver internet from space. has musk got any competition? liz: he's got amazon, blue origin, he's got one web funded by softbank. this is quite a venture, what elon musk is doing. five dozen satellites to beam the internet around the world.
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it's an expensive, expensive thing to do. cape canaveral tonight rocket launch from spacex. stuart: oh, okay. that's like a giant roman candle. ben gleib is a comedian, he hosts a show on netflix. he says he's the first comedian to ever livestream a full set on facebook. again, live. to me, the man is an example of capitalism. but he calls himself a compassionate socialist. he's on the show. i'm going to ask him why. ashley: why are you compassionate? stuart: i will ask him. first, though, we are talking hard line trump on both china and iran. tom tilis, one of the gop leaders in the senate, joins us on that next.
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stuart: take a look at these social media stocks. they are taking a hit from the white house. the administration's rolling out a new tool that lets users, you and i, report content on facebook, twitter, youtube, that has a political slant to it. perhaps one that we don't like. anyway, no reaction on the market whatsoever. facebook, twitter, snap, alphabet, all of them on the upside. president trump's taking a hard line on china, cracking down on chinese tech companies like huawei. come in, senator tom tillis, republican from north carolina. senator, i know that you stand behind the president on this, the hard line that he's taking, but can you maintain political unity from other republicans and democrats to stand behind the president? >> well, i think we have to stand by the president first and foremost. the republican members. but i think increasingly, the
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democrats have been in classified briefings and public briefings. if you take a look at huawei in particular, they steal intellectual property theft, they have a product that's inferior, it costs more in the long run and creates a great vulnerability. we need to completely eradicate it from the whole of government. i would also tell the cloud-based computing companies out there who are buying this inferior, more at-risk product that they should do the same. stuart: no question in your mind, the hard line will be maintained and political unity will be maintained vis a vis china? sure of this? >> well, i think that we have to give the president all of the tools. the last thing that we can do as republicans is undermine the president's position of strength in negotiating with china. we all have concerns long-term with tariffs but if we divide and prevent the president from using every device available to confront a military threat and an economic threat, i think that we are making a mistake. stuart: it's the same question about iran.
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we've got the "uss abraham lincoln" the aircraft carrier in place. we've got a bomber group in place. we are looking at iran, taking a very hard line on it. same question. can you maintain political unity with your hard line on iran? >> i think we can. i think that the president's demonstrated he does not like military conflict. in fact, he was discussing the possible withdrawal in afghanistan and iraq even ahead of schedules that we would feel comfortable with. so the president does not want to put men and women in uniform in harm's way. but the only thing that iran responds to is power, and threats. if they are going to threaten us, threaten the region, we have to be prepared to make it clear there would be a consequence for that. stuart: where do you think this election's going? we are running a special on this network. we have for much of the week, capitalism versus socialism. that seems to define the election in 2020, doesn't it?
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>> well, i was in the chamber when the president very strongly rejected socialism and i saw a lot of discomfort on the other side of the aisle. this country does not want to become a socialist democracy. i think they reject it at every level. if that becomes the defining choice in next year's election i think we will see president trump win by large numbers. stuart: the mayor of new york city has just declared for the presidency. bill de blasio. how many people in north carolina would vote for bill de blasio for president? >> not enough to get over 50%. the people of north carolina like women in government, they like what republicans have done since they took control of the legislature to put more money in their pocketbooks, to reduce regulations, more people are at work than a very long time in north carolina consistent with the country under the president's leadership. so i don't think that goes very far. i'm sure they're very nervous, with the primary field, many of them trying to espouse the
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virtues of socialism. i noted with interest the concept of a compassionate socialist. i don't know how anybody who takes your freedom away is particularly compassionate but we will let that debate play out in the election cycle. i don't think it will work out well for them. stuart: we will have that debate in just a moment because as you referred to, i have the compassionate socialist on this show. thank you, mr. senator. we appreciate that. tom tillis, good man. thanks for joining us. see you again soon. >> thank you. stuart: all right. better check walmart, because that's one of the reasons why we have a stock market rally today. strong sales both in store and online. their chief money guy says they are monitoring the china tariff situation. walmart deals heavily with chinese production. the stock, though, very close to a high at $102.93 right now. it was $103 moments ago. that is helping the dow rally some 277. better take a look at tesla as well. their bad news of the day, the
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ntsb says auto pilot was engaged during that fatal crash in florida back in march. that is bad news for tesla. the stock is now at $228. next, the compassionate socialist, ben gleib. got a show on netflix, successful comedian. why is he a socialist? why is he smiling like that when i call him a socialist? watch out, son, you're in trouble after this. okay, i picked out my dream car.
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stuart: i want to show you this, just moments ago at the white house. president trump welcoming, let's get the official title correct here, welcoming the president of the swiss confederation. far too easy to say prime minister of switzerland. he's the president of the swiss confederation, just walking into the white house right there. back to our theme, capitalism versus socialism. let's bring in our next guest. hps he's a netflix branded comedian who brands himself as a compassionate socialist. the man on the right-hand side of the screen, ben gleib. ben, welcome to the show.
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you tell me, define yourself. what is a compassionate socialist? >> thank you, stuart, for having me. i have to correct the record. i define myself as a compassionate capitalist who is just not afraid of certain socialist programs. stuart: okay. i thought you were a compassionate socialist but you're not. >> no, sir. i'm a compassionate capitalist. i put compassionate in there because while america needs capitalist to thrive and to grow and to create the robust economy that we need, we also do need socialist programs to be able to bring up those who are struggling, which should be a non-controversial issue across party lines, because you need people on both ends of the spectrum to be able to thrive so that even people who are struggling, lower income workers, middle income workers, are able to put money back into the economy. stuart: sure, look, there's no disagreement here. i mean, i think you need capitalism to create the wealth which can then be used to support those who are most vulnerable in our society.
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i don't think there are many capitalists who will say you can get lost, you get nothing. i don't think many capitalists say that. >> but why is it then framed as a battle between socialism versus capitalism, when in reality, we are partly capitalist and partly socialist? stuart: well, i wouldn't say partly socialist. this is a capitalist society. we do have a welfare net that catches those people who might fall underneath it. we are a compassionate society. wouldn't you say that? i think america is a compassionate society and i say that as an immigrant, someone who is looking at it from the outside. >> well, it's great having you here, by the way, but i would -- stuart: thank you. >> -- definitely say that. i would also say, one other thing if i may correct the record that was left out of my intro, i do have a show on netflix but i'm a candidate for president of the united states. i'm running because for some reason, regular people keep getting left out of the conversation in this country because all we allow in the conversation, all we allow as
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candidates that are taken seriously is career politicians or the super-wealthy who are removed from everyday americans. that's why i have thrown my hat into the ring so i can help us realize that it's not about polarizing our nations on two sides. it is about finding a middle ground, stop being -- to pit each other one side against the other, left versus right, rich versus poor, but we are a blend in this country. we are a capitalist country that encourages growth and encourages people to live their best lives and strive to become better and earn more while telling them we will be there for you. we have been failing on the side of being there for those struggling. i think it's because our politicians do not know the struggles of everyday americans. stuart: i contest that, quite frankly. i really would. but i have only got 20 seconds left. >> contest it real quick for 20 seconds. stuart: you've not declared as a democrat, have you? >> i am declared as a democrat. i'm trying to get 65,000 donations to get into the democratic debates. go to gleib2020.com, give me a dollar and i will be on that
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stage and a regular voice might be part of the conversation for once. stuart: okay. we are out of time. ben gleib, i correct the record. you are a compassionate capitalist. glad to have you on the show. come back again. >> glad to have you in america, stuart. stuart: glad to hear it. come back soon. we appreciate it. thank you very much. more "varney" after this. . .
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stuart: you know we've almost erased all of the losses from earlier this week. >> that is amazing. >> if we're up 294, we're up 283, petition close, all the week's losses are erased. this is big rally. looking at 280, nearly 3 point gain better than 1%. amazon, look at that. close to $2,000 a share all over again. it has gone straight up
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recently. back to the old high. at one stage it was well above 2,000. $2100. liz: it was. stuart: it is up 43 bucks. the rest of the big techs are sharply higher. i hate to point this out but microsoft is at 129 for heaven's sake. not that long ago it had sunk to 122. liz: that was painful. nasdaq and s&p also retraced monday's losses. so all three indices are retracing monday's losses. jo that's right. walmart is one of the big reasons. ashley: good earnings, first-quarter earnings. same-store sales up 3.4%. the highest level in nine years in that first quarter period. and their e-commerce group by 37%. walmart doing very well. stuart: it is an economic indicator. ashley: yes. stuart: if you're selling 3.6%, 3.4% sales up same stores, biggest retailer in the world, in america your sales are going
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up 3.4%. ashley: good for economy. stuart: mcdonald's, $200 a share. neil, it is yours. neil: we have a lot going on. this is the first day we've wall street rally even though in the face of not so good news on the u.s.-china front. increasing tensions, walmart cfo, those tariffs hit, you are going to get hit. walmart will get hit, a lot of people will get hit. we'll get a read from the former wells fargo ceo on all of this, former american express ceo on all of this, a host of top money guys on the planet investing on all of this. meantime to edward lawrence is is in the middle of a you will of this at the white house and what comes next. edward? reporter: escalating trade

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