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tv   Mornings With Maria Bartiromo  FOX Business  May 22, 2019 6:00am-9:00am EDT

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over his role as wolverine. cheryl: why him. tracee: why not. 10,000 people have signed the petition. they say no one can replace hugh jackman. cheryl: it would be a comedy if danny devito played wolverin pl. we want to a look at futures before we send it over to maria bartiromo for "mornings with maria." you do have a mixed market, maria. the dow is unchanged. "mornings with maria" starts right now. maria: thank you so much, ladies. good morning. i'm maria bartiromo. happy wednesday. it is wednesday, may 22nd. your top stories right now, 6:0. retail's terrible tuesday, the sector hit by a round of weak earnings and tariff warnings. those stocks got crushed. we take a look at what's in store for today with lowe's and target among the names reporting this morning. trade uncertainty, china's
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ambassador says beijing is ready for more talks but it comes as the white house reportedly is ready to expand the black list on chinese technology firms, perhaps four others. breaking news this morning, a california judge reportedly ruling against qualcomm, saying the company violated anti-trust law. what it means for the technology giant, it too having a tough week, just after recently settling a similar suit from apple. new coke making a comeback, it is all because of a netflix hit show, stranger things. we've got that coming up right here, "mornings with maria" deposition exhibibegins right n. ♪ only for a minute. ♪ i want to change my mind. ♪ this just don't feel right to me. ♪ i want to raise your spirit. ♪ i want to see you smile.
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♪ know that -- maria: we want to kick it off with lowe's earnings, they are out. it is a mixed report. let's get to ashley webster with the numbers. looks like a miss on earnings. ashley: the retail woes go on for another day. on the earnings per share for lowe's, it's down 2%, coming in at $1.22, the estimate was for $1.33, so 11-cent miss on the earnings. on revenue, $17.7 billion, just about where it was estimated, perhaps a little higher than that. perhaps more of an impact will be that lowe's is actually reducing its growth outlook for the rest of the year. in the last quarter they projected 3% sales growth. now it's down to 2%. so that is certainly going to hurt the stock. same store sales for lowe's, up 3.5%, better than the last quarter which was up just a little less than that. overall, these soft numbers in retail are certainly starting to
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be a trend and certainly the outlook, that guidance has been pulled back a little bit. it doesn't say anything about the chinese tariffs or anything like that but of course we'll listen in on the conference call to see whether they're giving any particular reasons for this. comp sales, first quarter, 4.2% according to this which is a little better. but overall, that earnings miss does hurt and the guidance as well, maria. maria: that stock down better than 2% right now. we'll get back to you as we see more news in the retail space. other breaking news, a legal setback for qualcomm. a judge ruled that the company violated assent trust laws, -- anti-trust laws, saying it unlawfully suppressed competition in the market for cell phone chips. qualcomm settled a similar suit from apple. the stock is plunging on the news, down almost 11% right now on cal qualcomm. futures are mixed. it's very much a flat morning as we see here. dow futures down 5 points, s&p futures down 1 and-a-half,
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nasdaq down 12 right now after all three indices finished in the green yesterday, led by technology. investors like the news of the potential easing of trade restrictions against huawei. this was the a 90 day reprieve that the white house is offering so huawei can settle current business affairs. so it's a 90 day reprieve. u.s. and china trade talks largely on hold for now. the u.s. will hold a meeting in paris with japan and the e.u. tomorrow to discuss the situation. the chinese ambassador to the u.s. was on special report last night on fox news. he said he's keeping the door open for more talks. watch. >> china remains ready to continue our talks with our american colleagues, to reach a conclusion. our door is still open. it's quite clear, it is the u.s. side that more than once changed their mind overnight and broke the tentative deal already reached. so we are not -- we are still
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committing, we are still committed to whatever we agreed to do but it is the u.s. side that changed its mind so often. we want to meet the growing aspiration of our people, 1.4 billion people for a better life. that is our -- we have no interest, no intention to seek global dominance or to compete with anybody else for global dominance. maria: this as the trump administration is considering putting five additional chinese surveillance firms on the black list. that means they would be banned from using american software. joining me right now house financial services committee member, anthony gonzales. thanthank you for joining us. can you discuss the national security risk around huawei for us? >> absolutely. so with huawei and zte, i think what you're looking at are two companies that if those technologies are here and prevalent in the united states, they could be used to surveil the american people just like they're doing in china to their
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own. and so i am in full support of what the president and administration are doing to push back on china and to make sure that we are keeping those technologies away from us, so long as we can't secure them. maria: initially the chinese agreed to codify into law that i.p. theft was against the law, against chinese law, and the forced transfer of technology as well. but then they reneged on everything and changed the fundamental issues of that deal. so whether it's espionage or theft of i.p., how are you really going to change a culture in china to get a deal done? >> well, i think that gets into how do we verify the terms of the deal once the deal is struck. so i'm in full agreement with you. just because it's on a piece of paper, even if they sign the document, i'm not fully confident they'll comply it. it needs to be a trust but verify system. the administration is well aware of that. they've been working on that for a long time.
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china did back out, they did change the terms of the deal. that's not good enough. i applaud the administration for walking away when they did. maria: how far are you willing to take that? what if there's no deal at all? would you be okay with that? >> i think no deal is better than a horrible deal. certainly one that doesn't protect the american people. maria: let me move on to the head winds in terms of the budget. congressional leaders say they are on a path to reach a deal over spending caps in the next two years and increasing the debt ceiling beyond 2020. the sticking point is nondefense spending. how are you going to get spending under control when we know it's the entitlements in terms of spending growth that's the budget buster and military spending continues to go up. >> yeah, i mean, i think you hit the nail on the head there. and frankly this is one of those issues in divided government where we're probably not going to get as much progress as we would hope. we're just not fully empowered
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here. the negotiation will take place. we'll see how it progresses. i look forward to working with my colleagues to get to a fair resolution. maria: you've got to get the debt ceiling up, right? >> it seems that way, in order to get this done, yes. maria: new pressure on house speaker nancy pelosi after several house democrats are calling for a formal inquiry to potentially impeach president trump. a democratic caucus meeting to discuss oversight and investigations is scheduled for later this morning. the president just tweeted about it early this morning. here's what he said. everything the democrats are asking me for is based on an illegally started investigation that failed for them. especially when the mueller report came back with a no collusion finding. now they impeach president trump even though he did nothing wrong while they fish. after two years of an expensive witch hunt, the president writings, the democrats don't like the results a and they want a do-over. in other words, the witch hunt continues. he writes the democrats are getting zero work done in congress. all they are focused on is trying to prove the mueller report wrong.
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the witch hunt. and then he writes presidential harassment this morning. your thoughts? i mean, obviously -- i don't see an end to any of this. how are you going to get anything done in congress for the american people when you've got this constant barrage of demands to see the president's tax returns and investigate the president and lead to impeachment. >> well, i think the president's right on this. we've been here now almost six months and i feel like the entire time we've been here we've been fighting over whether or not to impeachment the president. as a result we haven't goten things like usmca, we haven't gotten to healthcare, we haven't gotten to anything of consequence because we've been wasting our time. if we're here a handful of days of month and we waste that time, going after the president, we're just not going to get anything done. the american people deserve so much better. maria: is there anything you can see, that you can actually get done with your colleagues on
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the left? >> i do believe we can get usmca done. i think the pressure is starting to build there. mexico has gone ahead and agreed to a lot of the terms that we asked for with respect to labor. and then also the steel and aluminum tariffs have been lifted temporarily. we have a path forward there. we just have to get the bill to the floor. maria: that's if she brings the bill to the floor. is there any timing on that? do you have any vision on that? >> i know that the discussions are ongoing but again, i think the progress that's been made -- i sincerely believe you're going to start seeing -- especially over the next week, all members of congress will be home in their home districts, you'll see midwestern members getting pressure from their constituents, why aren't we voting on this, this is going to be good for our the community. pressure in this country builds from the bottom up, not from the top, down. i think that will ultimately be what pushes this bill forward. maria: congressman, we'll be watching. thanks very much. anthony gonzales joining us this morning. apple with another fix for its
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troubled laptop keyboards. dagen's on that this morning. dagen: good morning. yet again, apple is promising to fix its macbook keyboard. the issue is the butterfly keyboard. it's meant to be low profile and very fancy and guess what, third generation and they still don't work. here are the macbook's affected, the macbook air, macbook pro. here are the problems people have been experiencing, even three generations in of these keyboards. well, the letters or characters repeat unexpectedly without your finger on the key. the characters, letters don't a appear keys feel sticky and don't respond. here's what apple is planning to do they're changing materials in the keyboard mechanism. apple didn't say whats specifically changed but it says it's going to help with the issue. also all the macbook laptops with butterfly keyboards are eligible for apple's program or covered up to four years after the original purchase. why is this a big deal? apple shipped about 40 million
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of these laptops just between 2016 and 2018 and the majority of them have this butterfly keyboard. the other types of laptops not made by apple have a ski sore sr keyboard. scissor works, butterfly, not so much. back to you. maria: thanks so much. an iconic american beauty company could soon be sold. cheryl casone has nose details in headlines -- those details in headlines. cheryl: the avon lady, remember her. reportedly avon is nearing a deal with natura cosmetics. the price tag, more than $2 billion. avon famous for the door-to-door sales force. they've been under pressure from the rise of online beauty sales. there is the stock in the premarket, up almost 22%, avon products. saudi arabia and the u.s. are changing their energy roles. the kingdom entered a 20 year deal to buy liquefied natural gas from u.s.-based sempra energy. historically the saudis have been a major supplier of oil to
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the u.s. but with the boom in shale drilling, here in this country, the energy department is predicting the u.s. will become a net energy exporter by next year. british prime minister theresa may trying again to get her plan to leave the european union approved. this time she's a offering lawmakers a chance to vote on whether to hold a referendum, only if they back her latest deal. this is the latest attempt to persuade parliament to back a divorce agreement which would allow the u.k. to make an orderly departure. within not departing, that's theresa may. maria: coming up, crisis at the border, a processing facility closed down after one teen migrant's death from the flu. the fallout coming up next. and wild weather causing damage across the country? who is in the storm's path? we've got it all next.
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at the facility died after being diagnosed with the flu. joining the conversation, kevin kelly and mitch rochell. dagen as always, of course. great to see you this morning. thank you for being here. there is a crisis at the border and we continue to see stories about people dying, kids coming over the border alone. it's actually really significant and you don't get anything from the democrats on this because they want to impeach the president. >> i think that's a great point and it's being echoed throughout the border states. i was in arizona last week. at every lunch, dinner, you name it that i was talking to people, they are very concerned about this, especially because they realize these are human beings and they want to help as humanly possible. people were discussing there's collections at churches to help donate to charities down there to figure something out. they think everybody has their head in the sand in the northeast. they're saying is anybody trying to figure this out? dagen: it is a crisis. for any of the deniers out
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there. there is hope -- you were on this, lindsey graham trying to change the laws to rationalize things that encourage people to bring minor intuse the done -- minors into the country from noncontiguous countries. there is hope. i don't know in the next year and-a-half as the democrats try to unseat president trump and remove him from office. legally or maybe with shenanigans, i don't see how anything gets done. how bad does it have to get? for democrats who said the white house was separating families at the border and he was hurting children, i think now that that's on them. children are being hurt. it's because of their inaction. they own some of this at this point. maria: when we took the show to the border a couple weeks ago, some of the kids that i met and parents with their kids, the reason they were so sick is they had been traveling for three months p.
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okay. so you've got one woman holding an infant. she said i hitchhiked here. i walked for the last month. i mean, it's just nuts to see the dangerous position people are putting their children in. and there's the renting situation going on where i heard that mothers are renting their kids for $140. $140, they give the child to a smuggler. they come over the border with the child. once they're over the border, they're done with the kid and either the child is going back, the mother will do it again for another $140 or, i don't know, the kid is in a dangerous situation. >> the pace of all of this is accelerating. it's getting out. it's well-known in those countries that you can come up and there's a way to make money and it's only going to accelerate. maria: big news on the investigating the investigators story. last night we learned from john solomon from the hill that the president is going to declassify in the next couple days, he's going to start declassifying some of the documents that are
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classified that are related to the fisa warrants that were gotten to wiretap on carter page and george papadopoulos as well. we'll wait for those. they could be very telling. had they will obviously expose how they defrauded the fisa court to get those warrants. we'll wait for those. extreme weather, tornadoes ripping across the plains states, the forecast coming up. tesla making changes, taking steps to improve sales, what it's doing. tesla stock down almost 2% in the premarket. we've got more stocks lower in retail. back in a minute. ♪ take you for a ride in my big green tractor. ♪ we can go slow or make it go faster. ♪ down through the woods and out to the pasture. ♪ as long as i'm with you, it really don't matter.
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maria: welcome back. well, wild weather is slamming the midwest still, just a few days away from memorial day, tornadoes, storms ripping across oklahoma. janice dean is in the fox weather center this morning. janice: we saw over two dozen reports of tornadoes across the plains states and take a look at some of these reports, not only tornadoes but we have flash flooding, the reports of the high water rescues yesterday were incredible and then the hail and the damaging winds. today, we have another threat. we don't think the explosive threat that we have seen over the last couple days but certainly some of these same areas could get hit with hail, damaging winds, flooding rainfall and isolated tornadoes today. in some of these areas, 4 to 6 inches of rain in a very short period of time and that's why we have this ongoing threat of flood watches and warnings in the same regions, oklahoma through missouri, up towards the ohio river valley, parts of
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techs as. we've got more rain in the forecast as we get into friday and the long holiday weekend. behind this, cold enough for some snow across the higher elevations. if we weren't talking about severe weather, we would certainly be talking about the threat for heavy snow over the rocks ease, incredible as we get into the later part of may. flood advisories remain posted for all these areas vulnerable for flooding, down the mississippi river valley and watching the same areas get hit with more rain in the forecast. look, there's the snow across the higher elevations of the rockies. here's the forecast today, the other big story is the incredible heat across the southeast. 92 in atlanta, and we will take 76 and mostly sunny in new york city. back to you. maria: we will take that for sure. thank you. janice. retail in focus, we're waiting for target, first quarter earnings out momentarily. we've got numbers here and reaction when they hit the tape. and then 1985 revisited, the netflix hit stranger things brings back new coke. we'll take a look.
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maria: welcome back. good wednesday morning, everybody. thanks so much for joining us. i'm maria bartiromo. it is wednesday, may 22nd. your top stories right now, 6:3. we're focused on retail earnings. we've seen a lot of slowdown within a number of retailers this week, target's numbers are due out any minute. we'll bring you those numbers and analysis. we had lowe's out earlier, same store sales were 3.5% higher. the company is cutting the full year profit forecast and look at the stock, big concern for the entire sector has been tariffs. lowe's is down 8% on the lowered guidance for the year. target is out. looks like it's a beat this morning on earnings at $1.53 a share versus an estimate of
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$1.43. target shares have been trading down in the last month as you can see from this chart and in the last -- yeah, in the last month here, this is year-to-date chart at 71, 96 on target. revenue also a beat, $17.6 billion on revenue at target. we're going to get to ashley webster and get more on that coming up. this is certainly one bright spot it looks like. we'll see what it says about same store sales and as well as the guidance because that has been the issue that what has been sending stocks lower. breaking news this morning, elsewhere, a california judge ruling against qualcomm, saying the company violated anti-trust law. that stock is plunging on the news as well. take a look at qualcomm shares, down 7.5% right now. the broader market's quieter than this. the dow futures are up 2 points, s&p futures down half a point, nasdaq down 6 and a quarter. we're going into a long holiday week went the memorial day
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holiday on monday. markets are closed. yesterday stocks rallied. technology, industrials, all leading the gains which brought the dow industrials up 198 points. the s&p was up 24, almost 1%. the nasdaq was up 83 points, better than 1% on the session yesterday. european indices this morning a lot happening in europe with the fq100 up 37 points, one half of a percent. cac in paris up 13, dax index in germany higher by 59 points. in asia overnight, investors remain cautious ahead of the u.s. trade fight with china. tensions are continuing. the ambassador to china telling fox last night that the door is still open to resume trade negotiations. he blamed the u.s. on everything. breaking news right now, we told you the target earnings are out. they were better than expected on the top and bottom line. ashley webster is looking behind the numbers and ashley, good morning to you. ashley: good morning to you. maybe bucking the trend that we've seen on retail numbers,
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pretty good from target. headline numbers, earnings per share coming in $1.33, had that beats the estimate by 10-cents. revenue, $17.6 billion, $17.5 billion was the estimate. so a slight beat on revenue. look at the key numbers here. same store sales, up 4.8%. the estimate was for 4.18%. the traffic growth was up 4.3%. digital sales up 42% year over year. this has been a big push by target to really ramp up their online business. seems to be paying off. and also they're maintaining their full year guidance, both for the next quarter as well and for the full year, no dropoff, no cutting back on the guidance. so you put all that together and you can see target in the premarket up 8%. again, maria, bucking the trend of other retailers who have struggled in the first quarter and have also declined or lowered their guidance for the full year. so target pretty good report indeed. maria: i know.
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this is definitely a bright spot in what has been a weak environment. thank you, ashley. we're going to talk more about that. we're joined by retail analyst mary efner. thank you for being here. how would you characterize so far what you're seeing? target is doing well this morning, stock is up. as we just saw this chart. but recently we've seen a slowdown in a number of retailers, right, for their quarterly numbers. >> in the traditional department store space, if they didn't have anything in one of the key sectors of the market, nobody came in. the key ones are sneakers, licensed team merchandise, cosmetics, home goods, which is really part of the reason that i believe target did well in addition to a few other things. but no, otherwise it was a very soft quarter for apparel and other sort of non-descript items. >> what's interesting, weather is what everyone was citing. kohl's were like nobody wanted to buy springwear because it was gloomy and raining. target actually beat on same store sales by half a percent
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which is huge and they reformed their guidance. dagen: i want to add to that. kohl's blames weather and for lowering its guidance for the full year, they blamed the import tariffs. that's going to be the crutch, the excuse that these companies use to explain away bad management and a bad product. >> when i was working for department stores, if i had blamed weather on any of my businesses, i would have been shown the door. i don't buy that at all, quite frankly. get the product right. the tariffs i do believe will have an impact and i think that is valid but the other, no, i don't buy that. >> blaming the weather means they don't have omni channel down. just because the weather's bad doesn't mean people will stop spending money, vis-a-vis, we see target, target had great sales and that was through the omni channel, through the websites. >> i believe a lot of stores who complain about weather are the same ones who have not evolved assortments and relied on brands that are no longer relevant. i don't buy it.
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you're right, with bad weather you can still shop online. maria: go back to tariffs for a second you say this is going to have a devastating effect on some of the hottest areas of retail. >> maria: what's your vision here. because it doesn't look like these tariffs are going to be lifted anytime soon. >> a lot of the sneakers and the shoes and boots, fourth quarter businesses wer we're not that fr from that, they're going to get the tariffs. that will be devastating. the companies don't have a plan b, we'll get it somewhere else, they'll produce it somewhere else. they largely rely china. sneakers is one of the hottest businesses out there right now. in addition to that, a lot of places, big box stores in particular get merchandise from china and back to school, fourth quarter just around the corner. maria: the fight is just getting bigger. it's the lead story in the journal this morning, the u.s. is putting the brakes on chinese
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tech job seekers. china has not been able to penetrate the u.s. semiconductor industry. semiconductors will not go and share their intellectual property with china. the u.s. is slowing approvals for the country's semiconductor companies to hire chinese nationals. this is getting deeper and wider in terms of the fight with china because of national security. the tariffs will be in place. >> right. again, they're not going -- the stores are not going to be able to do anything about it this year. they'll have to have a long-term strategy into 2020 to figure out how to get out of this because you can't just pass this onto the customer. their customers are middle income families who can't absorb this or spend that much extra to make up for this. >> how agile is the supply chain for the typical retailer? the buyers just can't pivot and say we're not buying it -- the president says we're not buying from china, we're buying from somewhere else in southeast asia. >> right, right.
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so with -- it depends. i'll tell you two scenarios. number one, cat categories like shoes that have to fit, a certain way of making them, there is no plan b usually. same thing with like a victoria's secret, with bras, they have to hit, they're engineered. those are difficult to do elsewhere. t-shirts, there are other options. denim, another one that's difficult. back-to-school is right around the corner. as far as i know for most companies out there, it's going to be a challenge. dagen: which companies prepared for this years ago, have the most diversified supply chain, do you sunshine. >> i think the ones who worked with somebody like a lee and fung. they have backup plans all over the world. i would say some of the -- probably -- i don't know this for a fact. i would imagine it would be walmart and target but again, they're such big companies and have such vast quantities coming
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in, i don't know how quickly they could back it up for this year. dagen: do they eat the tariffs, though? as long as the supply is there for sneakers do, they eat the tariffs or spread the cost increase across literally all its merchandise. >> when i've seen this in the past, not to this degree by the way, but normally it's spread over a number of categories that would be able to absorb it and not -- and have subtle increases be passed on to customer. so it will depend by company. everybody is trying to figure that out right now. i don't know that everybody really took this seriously and prepared for it especially in time for the second half of the year. >> mary, real quick. do retailers have the cash flow to pre-buy for the christmas holiday season now to get ahead of the tariffs? >> so some companies do. two companies i really like who would be prepared for this, i believe, would be ross stores and t.j. maxx.
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they're very agile. they always have money to move around and they're doing well and i see no signs of that slowing down. other companies, like the traditional department stores, i think that would be more difficult. you made the comment earlier, do people go into stores anymore. right? so they do. but -- >> that was an attack at me, by the way. >> come on. i told it over here too. i'll get you for that. yeah, the department store's getting back to that, i think it would be more difficult for them, as we saw with jc penney, they're having a harder time. that makes it really challenging. maria: this is a china issue or is it a consumer issue as well? is the consumer weakened hear or are you still -- weakened here or are you seeing the strength and spending power of the consumer sustained? >> i see the spending power sustained for now. maria: for now. >> if this happens, if these go through, we're going to have an issue because these companies will not perform well. you'll all be talking in six or nine months about how poorly
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they did because they had extra tariffs and then it has a ripple effect in this economy. maria: so we'll watch that. mary, good to have you. tesla cutting prices on two of the most expensive models. cheryl casone with details there in headlines. cheryl: that's right, maria. tesla slashing the price of the model s sedan by $3,000. and the price of its model x suv by $2,000. the company also bringing back free unlimited super charging. they're trying to sell some inventory cars. these latest moves come as tesla's stock drops to the lowest point since late 2016 with several analysts questioning demand for its cars. the stock is down in the premarket, almost 2% as you can see on the screen. american airlines eliminating oversize bag fees for certain sporting gear and musical instruments. a passenger has big items like a surfboard or snowboard can check
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them as standard baggage. travelers are charged $150 for other big items, including hang gliders, scuba tanks, because they need special handling. i always take my scuba tanks when i travel. okay. all right. finally, there's this. coca-cola is bringing back a product flop. >> first time, first love, electricity flows like the very first kiss. cheryl: new coke making its return as part of a promotion with the netflix show, stranger things. this show, if you don't watch it, set in 1985. that's when new coke was born. the soft drink didn't last very long. consumer backlash led to the quick return of the original formula. new coke won't be available in stores. have you to buy it on coke's website. that was known as the biggest marketing fail of the 1980s, new coke. i tried it as a kid.
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horrible. dagen: it tastes like pepsi. a bigger fail, though -- >> clear pepsi? dagen: mcpizza. mcdonald's had a pizza. maria: those a bigger fail. >> on the tesla thing, it's interesting. the tax situation where they lost their subsidies and now they have to discount their car pricing to kind of match what the subsidies that went away. dagen: it's not totally gone. it's phasing out. >> exactly. maria: all right. we'll take a break. when we come back, trade tensions spilling into the markets, investors paying close attention, the recession risk is what we're talking about coming up. the terminator and the law arnold schwarzenegger supporting a he tobacco ban with one exception. we'll tell you what it is. stay with us. ♪ hit me with your best shot. ♪ why don't you hit me with your best shot. ♪ hit me with your best shot. ♪ fire away.
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maria: welcome back. headlines across america this morning. nwf daily reports florida's space coast is bouncing back with help from spacex, boeing and blue origin. new life in the real estate along the coastline thanks to the new space age. the area a front roeper. to watch new rockets fly. beverly hills votes to ban new cigarette sales, eliminating the sale of virtually all
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recreational vic neo nicotine p. there's one except, they can keep cigars as long as they smoke inside three dedicated lounges. the new york daily news write goats arrive in new york you city. these summer interns will spend days eating weeds, bugs and whatever else they find in manhattan's riverside park as part of a conservancy initiative. i didn't know they had a goat initiative. >> this isn't new. >> this is in my neck of the woods. people with a lot of property will rent goats, $8 a day, have you to fence them off. maria: you want them to eat the bugs and weeds. >> they eat everything. >> they do this at my church in soho. it's funny. you would see goats wandering around and the tourists are like what's going on in manhattan. dagen: the goat farms will bring the goats in. if they're not managed properly, they can get out and wind up somewhere they're not supposed to be. maybe not in new york.
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that's happened in other cities. >> the trick is, it's $8 a day. they don't tell you how much it costs to build a fence so they don't escape. >> it could be good to let them out on the streets. it's dirty here. they can start in the parks and maybe they can do bill deblase bladeblasio's job. maria: u.s.-china trade tensions trea threatening a recession, we've got details. how likely is that? stay with us. ♪ when something's going wrong. ♪ you must whip it. ♪ now whip it. ♪ into shape. ♪ shape it up
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maria: welcome back. futures this morning are lower, take a look. it's fractional moves, quiet morning. but dow futures indicate a decline at the start of trading
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by 15 points, s&p down 3, nasdaq down 19. markets reacting yesterday to the trump administration's temporary exemptions to an export blacklist against huawei technologies. the move expected to ease tensions for a 90 day period. investors are watching recession risks due to the ongoing trade turmoil and story in the journal this morning about the u.s. slowing down chinese technology job seekers and slowing down the approval for the semiconductor companies in the u.s. to hire chinese nationals in engineering positions. joining me right now is wealth portfolio manager and market strategist michael lee. good to see you. i mentioned the story in the journal. it shows you that the u.s. is not backing down and they're continuing to push back on china's bad behavior, certainly anything related to national security. so what does it mean for markets, if we don't get a deal? >> you know, i don't -- i think we're going to end up with some sort of volatility and selloff
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when we go to a full 2 a 5 25% n everything. that's got to be the base case scenario for the markets going forward. i don't think it has that big of an effect on the overall economy. i think it causes short-term turmoil 678 i. the chinese government, the chinese economy is a house of cards. they are supposedly 15% of the world gdp, yet less than 1% of international transactions are settled in local chinese currency. they printed $30 trillion of currency since 2001. now they're in a double definit. they're in a capital count deficit as well with corp sigh flowing out of the -- currency flowing out of the country. they need currency from all over the world to be able to fuel themselves. now that the money's going out, what are these tariffs going to do to china?
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they'll slow exports. it will destroy foreign investment. >> they certainly impact a lot of the markets. one, they actually sell treasuries to raise money but then the other thing too is i've seen dr. copper has gotten sickly, it's down over the last three months, indicative of what happened to the he global supply chain. if we look at global pmis they're in retraction and the economy is slowing globally. it's not just a china story, not just a u.s. story. i'm worried just because germany contracting for four consecutive months. that's not good. so my thing is, i'm worried about the market for the rest of the year. we have margin pressure. cost of goods are going up vis-a-vis the tariffs. labor is going up. how do you position yourself in this market? >> i'd say it's important to remember that it's the u.s. gdp that drives the world growth, not the other way around. things at home are spectacular. there's 1.3 million more jobs than people looking for work,
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3.2% gdp growth in the first quarter. most talking heads, most people looking at the market are applying the zero multiple to the long-term effects ofs massive structural tax reform, massive structural deregulation. as well as adding a half a million new manufacturing jobs in just over two years. the multiplier effect these things will have for many years to come, so i think you're going to see a lot more resiliency and this business cycle will be extended a lot further. you're seeing the slowing overseas because the u.s. has become a more attractive investment. so where are you going to put marginal dollars to work? in the u.s. where it's booming or other places in the world with structural issues. dagen: european debt, i have to pay them to own their debt. sorry. [ laughter ] >> so no l centra no central bar created inflation. what they can do is curb inflation. bullard is talking about maybe we should cut rates to generation inflation.
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i don't think that's -- i don't buy it. maria: you make good points. i wonder what your point about copper tells us, that's an important point too, cop earn cn 17% in three months. thank you, michael lee. back in a minute.
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maria: welcome back. good wednesday morning, everybody. thanks so much for joining us. i'm maria bartiromo. it is wednesday, may 22nd. your top stories right now 7:00 a.m. on the east coast. a a mixed picture this morning for retail sales. target is the standout on the upside. it was better than expected earnings and sales that put the stock on an uptrend. it is up better than 8% on target. lowe's however is down 8.5%. it is under pressure after it cut its full year earnings guidance. we've got both stories this morning and a bifurcated retail sector once again. a california judge ruling against qualcomm, big story here. the company violating the anti-trust laws. the stock is down 9% right now on qualcomm. and trade uncertainty has other markets in flux. china's ambassador told fox news
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last night that beijing is ready for more talks but it comes as the white house is reportedly ready to expand the black list on chinese technology firms and slow down the hiring of chinese nationals at u.s. semiconductor companies. futures this morning trading lower. take a look. as you see, dow futures down 20 points, s&p futures down 3, nasdaq lower by 20. this after gains across the board yesterday. the indices higher at the close, 197 points higher on the dow, three quarters of 1%. s&p yesterday up 24 and the nasdaq was up 83 yesterday, 1% higher at 4:00 on wall street. in europe this morning, the markets are higher as well. fq100 up 31 points, cac in paris up 5 and dax index in germany higher by 28. asia, mixed story. worst performer was the shanghai composite, down one half of 1%. the $90 million mystery has been solved. find out who purchased the jeff
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kunz rabbit sculpture. joining me to break it down, dagen mcdowell, kevin kelly and pwc partner mitch rochell. great to see you this morning. >> good morning. i'm glad we're covering the qualcomm situation. that has wide-ranging implications especially when it comes to 5g. if you remember when qualcomm and the ftc settled, intel completely pulled out. 15 minutes later they pulled out of the entire 5g modem chipset market so qualcomm can have that. now you have the department of justice coming in and saying ' violating the sherman act and you have to renegotiate and we'll nut a monitor for seven years. this is going to hurt the administration when they're trying to impose a lot of their licenses and whatever technology licensing to china. maria: tell me about the monitoring for seven years, this is really significant. >> they're going to put in a federal monitor.
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bernstein, i was reading about this, expect that qualcomm will appeal and ask for a stay. and so we don't know if this is going to actually happen. what the monitor will do, is actually make sure that qualcomm is not doing exclusivity deals, is renegotiating contracts. this is pretty interesting. because arm holdings which is owned by soft bank has licenses out there, their technologies. if you're saying qualcomm is a monopoly, then you've got to apply that same thing to soft bank's arm holdings. maria: qualcomm is getting hit with this other order from the u.s. government, because it's one of several companies that hire chinese engineers and the u.s. is sharply slowing approval for the company's semiconductor companies to hire chinese nationals for advanced engineering jobs. this is according to the journal this morning who says they speak with industry insiders, a shift that comes amid broad white house efforts to he protect u.s. technological know-how writes the journal this morning.
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this is a big deal because the semiconductor sector has not been penetrated by the chinese and they have been able to hold onto their intellectual property and not go expand in china. now these companies will not be able to hire chinese engineers. i think that's fascinating. dagen: they wouldn't if they thought hiring chinese engineers would put i.p. at risk. it's like who knows better, government or private industry. i would argue the private industry is probably already very cognizant of this. i'm curious how big of a -- it's certainly another shot across the bow in terms of the u.s. getting tough with china but on a ground level -- maria: if you've got projects across the world and chinese nationals want those jobs, these companies will not be able to hire them. i think for the government to get involved in who can hire and that you won't be able to hire chinese nationals, my point is this is basically telling the chinese get out. we're not going to work with you on so many levels if we continue
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to believe that your people are coming in and stealing our trade secrets. >> this is not just a u.s. story. it was in the journal the other day that european companies complained the last two years about the forced technology transfers that have happened. the u.s. taking the lead. we're not going it alone. it's important to note that the u.s. has a coalition of western democracy that's are trying to protect our interests. dagen: and other asian nations too. >> i echo dagen's point. if the businesses aren't worried about the chinese nationals being a security threat, why are we? maria: i think it's a big story. i think we are worried about it. that's why the government is getting involved, telling these companies not to hire chinese nationals. what i want to see is if we're actually going to take the next step and that is try to limit chinese students in academia which is another issue. >> i'm sure that's next. maria: that's also -- dagen: with these centers, these learning centers the
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chinese established at universities here, the universities knew that it was a problem and a lot of major universities have gotten rid of them in recent years because of the threat of theft, essentially, of intellectual property theft. they were very cognizant of what was going on. maria: there are still so-called confucius centers in and around silicon valley that is sharing information. this is a story that keeps getting bigger. the other behavior on the part of the chinese, they're rounding up muslims, and they're putting them in what they're calling reeducation camps. reeducation camps so that muslim cans learn the chinese culture and reeducation camps are guarded by machine guns. it's just extraordinary. >> that's a story that's not getting enough attention. maria: it's not. the national security risks are real. that's what the whole fight is about. president trump just tweeted. he said this, without the l illegal witch hunt my poll numbers especially because of
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our historically great economy would be at 65%, too bad. the greatest hoax in american history. the president writes this morning. we'll get into the investigate the investigators story coming up. we want to look at cloud computing, the focus of deloitte's latest leadership publication, taking a deep dive into the security of cloud services, pioneered by amazon, microsoft and google. demand for services expected to grow to more than $400 million by next year. joining us right now is the ceo of deloitte. this is a big opportunity in terms of so many big and small companies wanting to put data into the cloud. >> you look at the migration into the cloud that's been happening over the last three to four years. it's giving quantum computing and some of the things you were talking about, also given the privacy issues and cyber security issues around the cloud, so there's a lot to thing about. companies as we know are very aggressively moving to the cloud. >> it's pretty fascinating. cisco said by 2021, 94% of
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compute power will be done in cloud data centers. infrastructure as a service is the biggest booming area. will it remain these three big players. in 2012 it was only amazon. rack space was a distant second. that's when you saw google and microsoft enter the space. it's so costly. so is this the triumph that we're going to see going forward. >> i think they're clearly the big three. there's an ecosystem around them with lots of companies getting into cloud. whether they'll be as big as the big three is next to be seen. what's next after cloud? the question is five years ago we weren't talking about what's next by 2022, or 2023. as we think about connected cities and smart nations, 5g there's a lot to talk about when it relates to the future of mobility. maria: does i the cloud have unlimited capacity? what's the bandwidth of the cloud? this is -- i mean, the more we put into the cloud, what's the
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bandwidth? >> there's private cloud, public cloud. maria: is it unlimited capacity? >> i'm not sure it's unlimited. it's as much as companies are going to want to migrate and put into that and then there's -- the clot icloud is just the hig. what you put in it or on it is the company's responsibility. >> the limit is the infrastructure we put around it. microsoft said we need 4,000 more data centers by 2020 alone to meet more demand. the limit is the infrastructure that we build out. so whether it's -- this goes back to the 5g situation the antennas we put on, the cell phone towers we put out. qualcomm's chief technology -- >> i want to go back to personal data privacy, it's a big issue. companies did a globally -- globally it's an issue. in the cloud is it safer or less safe? >> a lot of people ask that question. i don't think there's an answer to that. the cloud providers say how you
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put your trucks and cars on the highway is up to you. so i think it is up to each company's responsibility, whether it's safer or not. i think there's some tools when you put something in the cloud that are actually better for companies to use, analytics, to drive their cyber hygiene and yet there are some people who say the cloud is not as safe as your private networks. but nevertheless, that migration has -- the train has left the station on this. >> all of the trains have left the station. >> think about employees where 75% millennial, of our 100,000 people, and they're wearied about data in the cloud or in the social media. we put out a report where close to 80% said they're weary about how companies use their data. dagen: why don't we talk about personal responsibility and people withholding their data. again, i say this a lot. but everything that i've ever told facebook about my personally, because again,
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they're constantly combing for more and more -- doing deep dive into your personal information, they want to know where you live, it's all a lie. everything that i've ever told them about me is not true. >> they buy banking information. they know who your contacts are. it doesn't matter what you tell them. that's why we're having this privacy concern. dagen: that's why i don't use it anymore. you can serve up as many ads to me and i'll never see them. maria: it's really hard to cancel facebook. right? it's even hard to delete it. you're about to embark on an exciting move for your career. you take over the wnba commissioner in july. congratulations. >> thank you. maria: this season tips off on friday. how will your business background shape this new role? tell us what you're expecting. >> as we know, sports is big business. the wnba has been one of the few if only women's professional leagues that has survived and sustained and i think from a business perspective coming in, looking at the player
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experience, the fan experience, kind of bringing, again, broadening the fan base amongst millennials and digital natives an driving it to a level where the league can thrive, i think it's an important moment for women's leadership in sports and especially team sports. we've had fabulous individual sports leaders but team sports -- i think the wnba is at the point where everyone is committed to make it work. the product on the court is amazing. tips off on friday and looking forward to taking on the new role. maria: that's fantastic. dagen: it can potentially change lives, taking a young girl to a wnba game, it's that moment of realization of like i could do that or it's just -- it's a testament to strength and perseverance and just athleticism and talent. it can change the way that women view themselves and the way the world views. >> these women are college graduates, they're very smart. >> every one of them is a
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college graduate. >> they're smart and athletic. they have a strong social voice. they want to have a strong social voice. i played basketball. this is something i wanted to do with a broader women's leadership plat form and passion for the game. maria: it's a dream job. >> it's a dream job. maria: do you feel it's more important to get bodies in the seats, so you get more audience watching or is it more important to have a digital strategy so you can get interaction with people watching the game from home? >> i think it's both. getting more fans in the seats is a key criteria to meet -- to make the league successful and to inspire not just women and girls, but men and boys. there's nothing that inspires more than sports. people are consuming sports on a whole bunch of different digital platforms. we need to broaden the revenue base with maybe some creative things, e-sports and things like that. this is evolving and the women's game front and center. we're looking forward to tipoff
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on friday. maria: kathy, come back. going to the wnba. a big loss for qualcomm this morning, a cou california judged the company violated anti-trust law. stock is plummeting, down 10%. back in a minute with that. run with us.
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because we like to. we think it's... fun. introducing the all-new 2019 ford ranger built for the strangest of all creatures. maria: welcome back. as we've been reporting this morning a legal setback for qualcomm. cheryl casone with more details. cheryl: a federal judge ruled the company stymied competition in the market for cell phone chips. the stock is a little better in the premarket than it was earlier. it's down almost 10%. it was 12.5% before. the judge ruled that qualcomm used its position to exact excessive licensing fees, saying it strangled competition. the ruling comes one month after qualcomm struck a deal in a separate lawsuit brought by apple. the judge telling qualcomm it must renegotiate licensing agreements with the customers. the ftc lawsuit was filed three days before president trump's
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inauguration. apparently a priority in the last days of the obama administration. well, scammers using facebook messenger and other apps to trick users into thinking they donated money to terrorist groups. first they make contact through the apps with a story about financial hardship. they ask for money. later, the scammer tells the victim they gave money to a terrorist group and they ask them to contact a lawyer. then the fake lawyer who is part of the scam instructs victims to pay at least $1,000 for a retainer. federal officials are warning law enforcement callers never request money over the phone. somebody from law enforcement never asks you for money over the phone. all right. and what is 24? alex, yeah, it's this guy, james holholzhauer extends his winning
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streak. his total winnings, close to $1.9 million. he has a way to go to catch up to ken jennings record. that record was $2.5 million, a 74 game winning streak. this 30-something guy may break that record. he's on a tear. maria: coming up, 2020 presidential race, how a former cabinet member is helping to raise millions for president trump's re-election bid. she is here with us. details coming up. urban outfitters jumping into clothing rentals. details on the subscription plan. urban outfitters down 6.5%. back in a minute. ♪ it's always better when we're together. ♪ yeah, it's always better when we're together. ♪ woow!
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maria: welcome back. 2020 in focus, money obviously key for candidates including president trump. a former trump cabinet member helping the president on that front. joining us now is former administrator for u.s. small business, linda mcmann. it's great to see you this morning. thank you for being here. congrats on the new role. tell me what the priorities are and how you're going to execute. >> the priorities clearly of the super pac are to raise money for the re-election of the president and administration has acknowledged that this super pac america first is the official super pac for the re-election of the president. our goal is to raise about $300 million. it's a very crowded democratic field. we need be in the field, doing our polling, doing voter registration, doing our data mining. and so those are the things we're going to be focusing on over the next two or three months. the balance of the money of
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course gets spent as we get closer to the election, on ads and more messaging and so we're going to be busy over the next year and-a-half. maria: how do you do it? where are you looking? is it corporate america? how do you raise that kind of size? >> we do go to corporate america. we also do go to wealthy donors who really do want to see this president get reelected. we are mining that field all over the country. there are many, many donors who are willing to put money forward to reelect the president. they like where this economy is. they like capitalism over socialism. they like the effects that tax cuts and regular a la tor regulk -- regulatory rollbacks have had on the economy. they want to make sure we reelect president trump as president of the united states. >> are you concerned or is the pac concerned about what happened during the mid-term elections. it was start lick tit was startg
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in-roads that were made in certain territories, the state of arizona, the senators, one of them is now a democrat representing the state. so is there a concern about what happened in the mid-terms and whether you can actually meet those goals on fund raising. >> certainly we want to make sure that we are covering all the bases. i think what we're looking at, at our super pac, is focusing on six states. we know that if we don't get florida, georgia, north carolina and ohio, michigan and pennsylvania, president likely is not to win re-election. so we're focusing really on electing president trump the governor of each of those states and really putting our power behind messaging, voter registration and turning out the vote in those states. i think if we focus in those areas, and get those required electoral votes, president trump will clearly win re-election. >> linda, mitch rochell. one of the things that the
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democrat candidates are doing, many is sort of bottom, up, grass roots effort, is that part of your approach to raising money as well? >> we do have that in place. we do reach out digitally to small donors, to get those incremental dollars in. but our focus really is on the larger donors and the larger amounts. so i'll be traveling all over the country, talking to many people about making those donations to re-elect the president. we're having great success. i think the donors are looking at this election as being so critical. maria: let me take you back to your sports days. we've been talking about the nfl this morning. the nfl has agreed to study the use of marijuana as a pain reliever for players. as you know. jack brewer says a lot when eggs ohe'son this program, that woule better than using opioids for the players. what's your take on using marijuana as a pain reliever for
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the players? >> i've seen with personal experience, members of my family, close to me and other friends who have used medical marijuana for pain relief, cancer victims, those who have had surgery that other medications couldn't help and so i've seen that medical marijuana has been a great relief for those particular patients. so i think that the president's right in supporting this. tracee: state's right and support for medical marijuana. maria: i guess it would be better than an opioid, which is highly addictive. >> well, clearly the overuse of opioids is not a good thing. i don't think the president gets enough credit for the crackdown placed on trying to reduce the use and prescription of opioids. really has been an epidemic. he's had some good policies in place to reduce those. >> you brought up the great point, you said you support the president on the state rights when it comments to marijuana. this actual -- the situation we're having is they're having a hard time doing banking given the fact that federally it's
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still illegal. would you want to see the president in the next election cycle pivot and start to support a federal support especially for banking for medical marijuana. >> i'm not going to get ahead of the president on his policies but i think he's looking at it the way he should at first and that is through the states and many, many states, i think there are over 30 states that approved the use of medical marijuana. i think that's a good way to go and the states i think are clearly doing the right thing in putting forth the use of medical marijuana. i've seen the evidence ebbing ef it personally. maria: what do you make of joe biden and how successful he's been able to raise so much money, running away with it on the dems side. >> i think he a has great name recognition. when the field is narrowed down and we have an opponent to go after, we'll see how the failed
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policies will hold up. it's very simple to me. you look at under vice president biden, we had jobs lost and under president trump we've had jobs gained. we've had the economy grow. i think the president clearly has such a strong economic record to run on and he'll put forth those points himself. i think he's going to be the clear winner. maria: there's also the china issue as well which they're very different on also. linda, good to see you again. we will be watching. thanks very much for being here. president trump just tweeted about the southern border. here's what the president just wrote. much of the wall being built at the southern border is a complete demolition. and rebuilding of old and worthless barriers with a brand-new wall and footings. problem is the hateers say that is not a new wall but rather a renovation. wrong. and we must build where most needed. the president writes also tremendous work is being done on pure renovation, fixing existing walls that are in bad condition and ineffective and bringing them to a very high standard. the president is not backing
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down on this wall. coming up, a troubling trend, attorney general bill barr speaks out on how the president's agenda is being hampered by lower court injunctions, its effect on the political process coming up. a legal set back for qualcomm. a judge ruled the company did violate anti-trust law. the stock is at the low of the morning, down 11.6%. back in a minute. ♪ dude looks like a lady. ♪ dude looks like a lady. ♪ dude looks like a lady. ♪ heading into retirement you want to follow your passions
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rather than worry about how to pay for long-term care. brighthouse smartcare℠ is a hybrid life insurance and long-term care product. it protects your family while providing long-term care coverage, should you need it. so you can explore all the amazing things ahead. talk to your advisor about brighthouse smartcare. brighthouse financial. build for what's ahead℠ maria: welcome back. good wednesday morning, everybody. thanks so much for joining us. i'm maria bartiromo. it is wednesday, may 22nd. your top stories right now. mixed picture for reef tail this morning. target beating estimates, same store sales up 4.8%. the stock is higher by 6 and a quarter percent. look at lowe's, under pressure, down better than 8%. the company cut its full year
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profit forecast, retail is very much a mixed story once again this morning. then there's this, a california judge ruling against qualcomm, saying the company violated anti-trust law. the stock is plunging. this is the new low of the morning, down 12 and a quarter percent on qualcomm this morning, down $9.62. broader markets flat to lower, take a look. dow industrials down 50 points, now this is the low of the morning as well. dow jones futures indicating a decline at the start of trading, s&p futures down 7, nasdaq down 33 points. markets have worsened in the last 20 minutes. yesterday the market rallied, ending the day near the session highs, the dow industrials were up 198 points, three quarters of 1%. the s&p was up 24, the nasdaq was up 83 at 4:00 on wall street yesterday. r european markets are taking a cue from wall street's yesterday's performance and trading up for the most part. fq up 22 points, the cac is now down 7 and-a-half in paris. the dax index in germany is up by just a fraction. in asia overnight, investors are
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cautious ahead of the u.s.-china trade tension. we don't know where this is going. next time the president meet with president xi is at the g-20 meeting. we don't know if there's an official meeting set. chinese ambassador to the united states told fox the door is open to resume negotiations. urban outfitters announcing a new monthly service, we have details. then this, the $90 million rabbit, the mystery buyer has been revealed. we have it. stay with us on that. first, our top story this half hour, a legal set back for qualcomm. a california judge ruled the company violated anti-trust law, saying it unlawfully subpressed competition in the market for cell phone chips. qualcomm settled a similar suit from apple. the stock is down 12 and a quarter percent. joining us now is senior judicial analyst judge andrew
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napolitano. your reaction? >> this is an anti-trust case, filed by the federal trade commission, in the waning days of the obama administration but aggressively prosecuted by the donald trump doj. whether they're therwhether them mri kayimplications, we don't k. the judge said the prices are too high. how can a judge decide they're too high? there are certain anti-trust violations that she did find, like if you sell to me, you can't sell to anybody else. that is clearly -- that is a per se anti-trust violation, intended to harm competition. these are not trials in the traditional sense. these are cases with a couple years of discovery, you dump all the discovery along with the legal argument on the judge's desk. the judge reads everything and rules and she ruled yesterday. >> exclusivity is the biggest
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problem, the issue she had under the sherman act. it was fascinating that once qualcomm settled with apple, intel left. there is no competition, right, because it's so cost prohibitive to enter this market, create the intellectual property, that they're able to charge what they charge. >> that's part of their defense. their market share has gone down. secondly, the people that we deal with, that you think we've hurt, there many times the size we are. >> apple is the most profitable company in the world, complaining about the prices. >> this will bring up a class action case that exists for the ultimate purchase, the people that buy the products that have the chips in it -- >> my phone is too expensive because of you. >> precisely. that will be a windfall for the plaintiff's lawyers who will get a huge fee and the owners of the phone will get a coupon for $5 off the next time they get a phone. maria: the lawyers always win. i want to ask you about the trump administration, the
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injunctions. william barr spoke out on the trend of lower court injunctions issued against the trump administration. watch this. >> the department's best estimate is that throughout the entire 20th century, 27 nationwide injunctions were issued. since president trump took office, federal courts have issued 37 nationwide injunctions against the executive branch. by comparison, president obama's first two years in his first two years district courts issued two nationwide injunctions. what we have as a result of this, we have dreamers who have been in limbo since then. the political process has been preempted and we have had over a year of bitter, bitter political division in this country including a shutdown of unprecedented length. >> let me tell you what he's talking about. maria: he's doing a good job. >> he's pointing something out that most people don't he know
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about. even i who follow this stuff i'm startled by the figures. ordinarily if you ask a federal judge to enjoin the executive branch from doing something, the federal judge agrees, that injunction over applies in the area where the federal judge has jurisdiction. in manhattan that would be the southern district of new york, manhattan, the bronx and westchester county. these federal judges have been doing something they rarely do, they've been doing it a lot under the trump years, and that's what the attorney general is complaining about, issuing nationwide injunctions. the government is not only enjoined from doing this activity in the place where the judge sits, but the whole nation. that is very, very unusual. remedy for this is an immediate appeal to the appellate court. many of which have upheld these injunctions. so his beef is not just with the trial judges, the beef is with circuit court judges, appellate courts that held them up.
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the supreme court rarely rules on injunctions. they're injunctions that happen before the case is tried. the supreme court wants to rule after the case is over so they have all of the evidence before it. maria: some of this is part of the resist movement that is just resist, resist, resist this president and as a result, we had the government shutdown, we're not getting usmca done, we've got lag time on all of these important things. look at the border crisis. look at health caver and where it is. we're not getting anything done. everybody on the left is resisting this president. dagen: this is more insidious. these are judicial appointees who are legislating from the bench. it's an abuse of their power, is it not? >> it's an abuse of power to legislate from the bench. some of it is following standard rules. let me give you something that will startle you. question, which circuit court of appeals undoes these injunctions the most? the ninth. maria: i was going to say, the ninth. they hate president trump. >> that may be a misleading
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statistic because they have the most to undo. most of them are issued by trial judges in the ninth. a lot of circuit courts say this isn't a national issue, there's no reason to enjoin them in new jersey when you're in san francisco. maria: investigating the investigators, we now know that it's really resonating in terms of what this group of people did in 2016 in the election, john solomon broken a lot of news on this story. he was on hand at thi hannity l, talking about the president declassifying fisa documents. he said the president is going to start declassifying those documents relating to the fisa approach to get that warrant to spy on american citizens, he thinks he's going to declassify them in the next couple of days. watch this. >> i have confirmed that some time in the next seven to eight days, the president will declassify the first of many documents. the first one we used to call bucket five, the statements that the fbi possessed about the targets before it went to the fisa court. >> here's what he talking about.
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the president offered to do this a year ago and was dissueded from doing so by the intelligence community, domestic and foreign, that were involved in this. i hope it does -- it is e exposd because the american public has a right to know what was done. >> does it have to be redacted? >> if it's redacted, what's the expense of exposing it. the president wants to expose all of it. you heard me say this many times. the problem with fisa is that it is so secret. if you go to a judge, a regular judge to get a search warrant and the search warrant produces evidence of crime and somebody is prosecuted, that person's lawyers get a copy of what you gave the judge and they can interrogate everybody involved. if you go to fisa, and you get evidence of crime, that person's lawyers never get what the government gave to fisa. therefore, the government is lacey, sloppy, corrupt, lower case c and one-sided. it doesn't present all the information to the fisa judges because there's no mechanism to
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check their misbehavior. maria: these documents i understand are about how the fbi talked about the people that they were wanting to surveil. it's basically going to expose the fact that some people in the fbi knew that the people that they were surveilling did nothing wrong which is going to be so incredible. that's why people want to see these documents, because there's a lot of speculation that there was real abuse to the fisa court. i understand what you're saying about the secretive nature of the fisa court. i'm talking about what the fbi presented to the fisa court to get them to say, yeah, go put a wiretap on carter page. >> if the president does not expose this, there's nothing to prevent it to keep going on and on. i shouldn't say nothing. congress can do something about it if it wanted to reform fisa, something some of us have been arguing about for a long time. maria: much to come. dagen: congress reform?
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ha! >> reform thyself. maria: coming up, don't buy that dress, rent it. urban outfitters has a new monthly service. the mystery is solved, the investors who shelled out plenty for a sculpture revealed. incomparable design makes it beautiful.
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seconds until the driver buckles up. this works when the teen driver mode is active. you can find it in 2020 chevrolet traverse, malibu and colorado models. parents can set maximum speed and awe audio volume limits. urban outfitters offering customers the chance to rent its clothes. the subscription service allows customers to borrow up to six items. the cost, $88 a month. if you fall in love with the outfit, there is an option to buy. this coming one day after urban outfitters reported better than expected earnings. stock getting hit, down about 6 and a quarter percent right now. well, we know who the mystery buyer is of jeff koons' rabbit sculpture. hedge fudg fund manager steve cn is revealed as the one who paid $91 million for the piece you're seeing on the screen. that is a record for a living
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artist at auction. i still say it's not a piece of art, it's a big old rabbit. that's my opinion. maria: he is known to have big art and a big collection and likes things like that. cheryl: if you can afford it and you love it, great. >> this makes sense. stevie cohen just sold his penthouse in the west village for some 30 some million. it's not going in there. maybe he sold it so he could afford this $91 million raab. maria: 90 plus mill john. >million.coming up, the vegan d, doctors urging parents to rethink plant based diets for children. big convo on this set for that. back in a minute. ♪ if you close your eyes. ♪ does it almost feel like nothing changed at all. ♪ and if you close your eyes. ♪ does it almost feel like you've been here before.
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maria: welcome back. the vegan debate, doctors in belgium are saying that parents who impose a vegan lifestyle on their children ought to be jailed. researchers calling the diet unethical because it doesn't provide proper proteins or amino as i'd tacids to help the child. dr. mik, what do you think of this? >> i think this is incredibly restrictive and crazy in terms of their policy that they're going to be jailing parents. the vegan diet could be healthy or it could be unhealthy depending how you follow it. generally this is not a diet i recommend to young children, newborns, pregnant moms. you can do it in a healthy way, where you get regular blood tests, supplement vitamins and
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minerals you don't get from the foods. to say we're going to jail parents that are doing it -- maria: dagen, you do it in a healthy way. you're a vegan. dagen: i don't eat bad stuff. but it is really critical. i'm always curious about this. what supplements should vegans be taking? >> what i recommend to my patients, calcium, iron, vitamin d&b 12. those four are really important. iron, calcium, vitamin d and b12. you don't get the dairy product in and b12 because you don't eat meat. >> iron, calcium, b1112 and wha? >> vitamin d and jink. mariazinc too.dagen: vitamin dm the sun if you're outdoors or not. >> not enough. dagen: b12 is one thing vegans won't get in their diet period.
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>> i also check it on a blood mariabloodtest. maria: you're a vegan for 30 days? >?do you get b12 shots? >> i've been eating meat for my whole life, i don't think i'll get into a deficit. i'll check blood levels afterwards. >> plant proteins are really good. one of the arguments is they're not getting essential amino acids and proteins. plant proteins are phenomenal for you. >> the reason the vegan diet received so much air time, it's a good reason, for those who eat unhealthy for their entire lives, they can reverse 45r rehe -- reverse heart disease by eating a vegan diet. you can go vegan and be unhealthy. coca-cola and bread is vegan. and if i'm eating just coca-cola and bread all day, that's not healthy. there's a way to do vegan that's
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healthy and there's ways that are not. prosecuting parents is not right. dagen: pasta and se vegan chee, you can eat it every meal vegan cheese is super high calories and fat. maria: do you like being a see began for this 30 days? >> i've been suffering, to be honest. i love fish. it's one of my fainter foods to car -- favorite foods to eat. maria: you love fish. i never heard anyone say that. >> you're not getting vitamin d. you're like me. >> i was in miami this weekend, i feel like i got a little. dagen: the only thing i miss is fish. >> maybe pescatrian is a better option. dagen: thank you, dr. mik. do i look wan and washed out? i'm the color of an aspirin. that's my natural color. maria: but you feel healthier. >> i feel good because i'm
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exercising, eating a balanced diet. it's about being smart. talk tour doctor if you're thinking about starting a new diet. maria: thank you so much. stay with us. a legal set back for qualcomm. a cala california judge ruled ty violated the anti-trust hour. details next hour, right here. i'm working to keep the fire going for another 150 years. ♪ to inspire confidence through style. ♪ i'm working to make connections of a different kind. ♪ i'm working for beauty that begins with nature. ♪ to treat every car like i treat mine. ♪ at adp we're designing a better way to work, so you can achieve what you're working for. ♪
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us. i'm maria bartiromo. wednesday, may 22 top stories right now 8:00 a.m. on the east coast, a tally of two retailers target shares soaring are better-than-expected earnings, lowe's is plummeting, after company slashed full year earnings guidance take a look target up 7 and kwaet percent lowest down better than % qualcomm to watch plummeting almost 11%, after california judge ruled that the company did in fact violate antitrust laws are broader markets now looking, a little lower take a look things turned decidedly negative this morning, we are down 100 points on dow right
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now dow futures decline a third of a percent start of trading s&p down 121/2 nasdaq futures lower two-thirds 1% after gains across the board yesterday on wall street major indices nearing highs of the day at close, now up 197 points on dow yesterday, s&p up 24, if nasdaq up 83 at 4:00 on have wall street yesterday, almost 1% in europe story mixed take a look ft 100 down as cac quarante down 26 points dax in germany lower by 54. worst performer in paris and germany in asia overnight markets mostly higher exception of china, shanghai composite down one half of 1%, there is trade uncertainty working through markets, although china's ambassador to the united states, was on fox last night he said that beijing is ready for more talks however comes as white house is ready to expand the blacklist reportedly on chinese technology firms, those firms will be banned by huawei. >> push for impeachment yen
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tense foois nancy pelosi facing growing pressure from party to start proceedings to intreech president trump she will face questions from caucus in next hour, stories coming up wednesday morning joining me to break it down fox business network dagen mcdowell, benchmark managing partner kevin kelley pwc partner mitch roschelle great show. >> retail is interesting, because everyone of these companies talking tariffs, excuse weather we said earlier now tariffs interesting to see how this plays out to retail industry had so many challenges last thing they need is tariffed. >> will they pass on higher cost of tariffs to consumers put it on consumer squeezed higher gasoline higher products for everything, and slow down the economy. >> one thinging the i dufrtsdz of notes from border adjustment tax two years ago, that national federation said 700 dollars is impact if board adjustment tax this is kind of a border adjustment tax at the
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time national federation thinking would get best long-term for consumers. >> endangering would be layoffs important engine for job growth you can have a spread out, those theologic eat some comforts of tariffs spread it out. >> for a while p. dagen: for a while but when you make hiring decisions in united states based on the tariffs, that is where you would see it again i don't digress we've got to get on other guests what does federal reserve do sits back it can be inflationary, and suppress the economy at the same time. >> i don't know this administration has another alternative in terms of keeping the chinese to their word make sure, that the chinese do not continue to steal, what is america going to do if chinese keep reneging on the promise to stop stealing intellectual property -- >> chuck schumer support this
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the president in this regard but going back to first question does two retailers pass costs to consumers first line of defense for retailers we have heard them you can talk about this they would slow discounting so back-to-school comes you will see macy's 20% off not 25% off try to manage, some discounting efforts that is where they -- dagen: that is they raise msrp make you think you are getting 25e% discount you are not again. >> you would say spit in moo i face tell me it is raining, right. >> some of those department stores have a tendency to do that. >> rick rogers here alabama congressman, new jersey congressman joining us momentarily former defense economic minister under angela merkel gutenberg joining us, charlie in the house as welcome a big hour right here, we want the kick this hour off with u.s.-china trade in froef chinese ambassador on fox last
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night saying beijing is ready for more talks blake burman with the very latest on that white house this morning. reporter: good morning to you as well this weaker xi jinping said country at starting point of the long march continuing to add to questions as to where uus and china could go last night chinese ambassador to u.s. appeared on special report with bret baier struck a much more optimistic tone as relates to u.s.-china sayings there could be potentially a trade deal so long as both sides have the political will. >> china remains ready to continue our talks with our american colleagues, to reach a conclusion. our door is still open. reporter: our door is still open he says but directed blame at u.s., for the breakdown in talks, now u.s. trade team as you know said it was china who earlier this month backed out of multiple
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pledges, including changing chinese laws to implement agreements within the prospective trade deal chinese ambassador to u.s. said slast night it is the u.s. at fault. >> it is quite clear, it is the u.s. side, more than once changing mind overnight broke the tenor of the deal already reached, so we are not -- we are still committing, we are still committed to whatever, work to do but it is your side that changes mind so often. >> meantime fears about china rand spoeshl surveillance here inside u.s. continue as bloomberg is reporting this morning that trump administration, is considering adding five chinese companies to the blacklist similar to what huawei has just undergone, chinese companies that deal in surveillance video cameras really those companies could be added to that blacklist. maria: blake thank you so
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much blake burman at the white house, joining me ranking member of house security academy congressman mike rodgers new jersey congressman jeff van drew thanks very much for joining us, i want to start with china congressman rogers i want your take on this this to me a national security story from day one we talk about economic story trade story talks collapsed will you give our audience a full picture of the national security risks around china. >> we've got to understand, that this technology, that they are involved in is -- is pervasive through our economy, our country. and not just economically but national security infrastructure we continue to turn away ignore this. we have to -- to restrict their access to our technology. maria: i am talking about congressman van drew the idea that china right now, we know
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that he there have been several trade secrets stolen from american companies, you know motorola intel cisco settled with huawei i am also talking about china, putting military bases across the world, setting up islands in the south china see putting military bases on that, i mean the chinese have an idea in their heads to about dominant a program to be dominant not only industries u.s. wants to be number one in but also from military he perspective what is u.s. he supposed to do in terms of pushing china back if not tariffs are there levyers to push. >> i think there are levyers we are pushing we can't really turn back at this point everyone must understand the seriousness of this china does want to be number one you can't blame them that is nature of international politics international government, but quite frankly,
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i think america has to stand their ground, you know, they hestone our technology, they have manipulated their money, they have engaged in all kinds of -- activities that really certainly are negative to the united states of america. including the stealing of intellectual property this is serious stuff i heard the conversation about how much it can potentially cost everyone. if trade tariffs continue to exist known wants them we all like free and fair trade but on the other hand how much does it cost united states of america, if all the technology we develop and everything else we do we are actually working in unfair footing moon this is something we cannot tolerate we have to show strength stability continue to move forward, hopefully, we will come to a final solution with this, hopefully, you know, china really does mean what it says, that it is going to move
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forward and really make some changes here, i know. maria: yeah. >> on lighter note, there was some discussion that their government moves slow they wouldn't be able to do as quickly as we would like as i've said before believe me if china especially a nation that ruled the way china is wants to move quickly, they can move quickly. >> top-down economy right xi jinping says this is going to go this way, it will go this way. that is another worry if china wanted to dominate the world, it is a communist country does in a mean wants communist processes throughout the world? so are you about comfortable with no deal gets done then? >> i am not comfortable with no deal gets done ultimately, it is harder on everyone, it hurts us, it does hurt china. maria: you do want some kind of -- on economic side of things. >> absolutely i wish this was over tomorrow i think they wish it was over tomorrow remember. maria: seems like ones of those issues that both sides can agree on, congressman, rodgers, but there is pressure
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on house a special nancy pelosi house democrats calming for form inquiry to potential impeach president trump meeting scheduled this morning president said this, everything the democrats are asking me for us based on an illegally started investigation, that failed for them especially when mueller report came back no collusion finding now say impeach president trump even though he did nothing wrong while they fish. so i want to get your reaction to this obviously, congressman van drew your colleagues on the left first congressman rodgers tell me your reaction, and what the republicans are going to do, as democrats try hard, to take down this president. >> well, i don't think nancy pelosi is going to be able able to stop it she has so many members of our caucus in far left ran in primaries on the issue of impeaching donald trump, it didn't matter that there was nothing to the mueller investigation they did nothing wrong they are just
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completely consumed with hatred for this president i think they don't want go into primaries in connection year without impeachment vote i don't know how she is going to stop it we are going to continue to remind them, on the other side of the aisle as well as the american people at every turn, this president done nothing wrong the mueller report, demonstrated it two years 25 million dollars, to prove what we knew from the beginning he did nothing wrong there was no collusion there was no obstruction all he has done get this country back in good financial standing good standing in the world. >> congressman van drew we've spoken about this a number of times you and knee not only could do we know he did nothing wrong in clerms of no collusion but pause in clays policies that motivated the needle on economic growth your reaction to this is there is bottomline are you going to vote to impeach president trump? >> i -- unless there is new information, that i have not seen to this point, that is not my desire, and i will not so i have made that clear
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before. and simply because we have to get work done, i don't mean we are passing foreign legislation in house of representatives, some of it some of it has even wen bipartisan at times i know we are working on veterans issues, yesterday. so we can, accomplish goals and get some work done, which is our responsibility for the next year and a half, actually, bills that will become law to answer some of the problems that we really have, in the country. we're going to have an election in year and a half this is not whether you like donald trump or hate donald trump at this point. the point now is we want to get work done, and i quite frankly from one person's viewpoint don't want this going on and on and on until election then god knows what is going to happen then. >> i think it will hurt democrats american people seal sniments they want something done one key piece of legislation is usmca do you
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want nancy pelosi to bring the usmca will to the floor for a vet. >> i do i want other work done as well absolutely, yes. >> will you vote for it? i believe i will. maria: all right this is one piece of legislation, that would be a o mover, it would actually do smpg for the american people, do something for american people we would like something to get done other than constant fighting, you made great points congressman van drew the quarantine teen at he border congressman rogers u.s. customers border protection has stopped taking in detainees in mcallen congress a large number of migrants suffering from flu like symptoms a teenager at that fast died after diagnosed with flu i was at the border, i saw these sick children they are hitchhiking walking for months, of course, sick when they get to america what should be done about this congressman rodgers. >> we have secretary mechanic lien testifying for homeland
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security academy on house side making the point we need the supplemental passed the president asked for 4 1/2 billion dollars, 3.3 for humanitarian aid, for very problems you described. >> i know congressman van drew you agree with a lot of that we will be right back gentlemen thank you so much. >> thank you. >> ♪ . >> run with us. in the unstoppable john deere gator™ xuv835. and be prepared to go the extra mile. because when others take rain checks... ...we take the wheel. with 3-wide seating, heat & a/c. this is the coolest, most comfortable gator™ yet. nothing runs like a deere™. run with us. ♪ test drive a gator™ xuv835 at your john deere dealer today.
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earnings, on the floor of new york stock exchange details i know you've got eye on fed we will get fed minutes out today the slon 150 earn. >> so much moving the market maria investors focus certainly on retail space and fed agency i mentioned, now target earnings, double beat this was big number, and 1.53, 10 cents ahead of expenses what is really important here what investors are focusing on digital numbers digital sales growth 42% in the quarter. target a company competing with likes of amazon, walmart
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online this company making a strong showing, on the other hand it was sort of a tale of two retailers this morning lowe's missing on its eps by 11 cents an issue for the stock you can see, that is trading lower this morning, slashing full year earnings a concern for investors, saying that higher costs are a problem, remember this is a transition period for the company, installing new ceo less than a year ago yesterday home depot reported as as well strong number that company saying same-store sales growth slowest in three years focusing on two as sort of a barometer how consumer is doing right now last but not alleviate qualcomm down presession federal judge siding with ftc saying qualcomm used anticomprehensive practices when it came to chips it uses in smartphones. >> we will watch big moves, coming up protecting heartland
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live to illinois how china trade dispute has taken a toll on america's farmers theresa may under pressure outlined a brand-new plan for britain exit from the european union it is already facing scrutiny we've got the details back in a minute. >> ♪ when i wake up, oh, i put on my make-up, say a little prayer for you, i'm combing my hair now ♪
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maria: we'll we'll u.s.-china today tensions affect ping markets major retailers warning tariffs will impact chinese goods from lower guidance to higher prices that is what we are seeing in this market futures down 97 points, chairman ceo of. >> great to see you thanks for joining us.
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>> glad to be here you've got 300 billion dollars in assets under management deal flow at firm, you are a great window into what is going on in face of all uncertainties what can you tell us. >> look take snapshot today, you wouldn't think there is a lot of you turmoil investors on retail fully vestsdz cash all time historic lows when i look at pipeline on institutional side equity capital and m&a, pipelines are very robust so we see strong activity as long as the economy cooperates. >> i was going to say one interesting aspect for we are positiono positioning for second half of the we are we've spooen advantages higher because every moiment expansion we haven't much on earnings but revisions downward where do you think investors should position themselves for second half of this year one of the things we have seen semiconductors come down off chinese concerns i
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mean good for our strategies i focus on data center cell phone towers focus on infrastructure side of the allergic so i think that is going to pan out i am worried about the names -- >> dike cybering kalz under terrific, pe, 17, 8 p.e. interest rates are under 00 basis points in terms of positions i think you have to about a little cautious second half of the year we see range 2700 to 3,000, we might test lower end of that range in the summer. but you know, without -- you know huge shock we think markets go higher. >> i mentioned that your investors are fully invested we hear a lot of cash on silence, that unique to your investors that are fully invested or do you think that cash isn't really on sidelines. >> i think some of the cash on
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funds, institutional side i think we are talking about average wealth management, retail investor is fairly engaged, compared to what we normally would see, as a percentage of cash, in a u.s. -- >> some people think markets are underestimateing the threats of china maybe things you just said you are expecting a slowdown second half of the year, we're getting fed minutes out today as you know april 30, may 1 meeting minutes on those -- that those two days, what do you think the fed is saying in face of all this? are they on hold for foreseeable future or are they going to need to consider cutting rates to meet inflation target 2%. >> i think fed is on hold i don't think the fed is going to react to equity markets. in terms of cut they are going to look at the months, nominal gdp growth productivity, the numbers are what they are going to look at. but certainly, i believe they are on hold, there is not i
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don't see a weight increase inflation doesn't seem anybodil anywhere even around the corner sthipt if anything i think the chances are fed cuts in second half. >> do you think the fed is worried about asset inflation we have heard them talk about that time amend time again, we are talking about minutes, then minutes come out look at that we've seen some action inflation actual hitting people people's -- your clients, pocket books, right asset inflation up on housing right we have seen it more expensive we have seen cars more expensive, gas prices are going up, education is going up so there is a real -- inflation effect that is happening that is hitting people's pocketbooks do you think that keeps the fed on pause right as opposed to a cut? >> looking on screen mcmnuchin arrived on capitol hill going to testify in front of the house fvenl services committee. >> i that lbl interesting. >> we are showing as you talk. >> that will be interesting i
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think fed most looking at is inflation. for the most part, they have a dual mandate certainly have hit employment mandate but look, inflation one and half percent transitory i am not so sure transitory especially with pressures in europe when you look at spread between u.s. 10 year say look how low it is look at german bond spread all time historical high so i think, the fed is on pause. if not you know, glancing at the other way a little bit. >> some people think europe bottomed what do you think? >> well, from your looks to -- >> okay. >> i do have a -- i see -- europe has been so much in this negative interest rate that if they can get by that get some growth, that could be a real positive for u.s. market. dagen: endanger with federal reserve tariffs not only
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impact imported, washing machines gone up double-digit percentage in united stateswhile poole raising prices tariffs do not impact business that is danger fed does nothing. >> i think even if inflation would be above 2, 2 and a half, i think the fed will get it go we've been so long below 2 that running hot in inflation, i guess hot would be 2 1/4 not going to cause rates to be creased i don't see rights going up. >> works with wagers growing 3 -- if wage growth slows down that is a problem. >> exactly. >> 3 and a quarter%, before you go did you want to speak to -- >> the hat that you brought -- >> it is really good, okay first time in 49 years, you weren't each around 49 years
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ago st. louis last flight, let's go blue, stanley cup i have a lot of clients in boston that are really mad at me. >> want it be speak to buddies. >> i believe the hat is okay. >> i don't know if i am going to wear my buddy is in boston i kind of like that. >> i am not going to like it if you don't, okay? [laughter] >> thank you so much. >> thank you all. >> breaking news, thank you for joining us qualcomm speaking out on antitrust ruling says strongly disagrees with ruling, and will seek an immediate stay and appeal of that ruling qualcomm shares down 12%, as you can see right now fighting for farmers we are taking you live to illinois for a deeper look how are a trade dispute is hitting america's hearsland theresa may under pressure outlines a brand-new plan for britain's exit from european union critics are speaking out already details right after this.
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call usaa to start saving on insurance today. retail this morning target beat expectations same-store sales up 4.8% stock up almost 7%, on targets right now, lowe's different story it cut full year profit forecast stock right now is down 9 1/4%, as you can see, california judge ruling against qualcomm this morning, saying the company violated iept trust law qualcomm will appeal company just said that last few minutes responding to this, stock-still down, better than 12%, news this morning on sprint t-mobile merger reuters report being doj antitrust staff is recommending blocking the deal we got news yesterday, that it would go forward, final decision business top officials not expected for up to a month, as
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you see stocks are reacting now down one 1/2% down 4% after a rally in them yesterday trump administration, could blacklist chinese surveillance companies, dow futures lower we understand this fight with china, is deepening dow futures down 97 points s&p down 121/4, we are seeing turn around markets higher when we started the show two and a half hours ago ft 100 struggling to stay positive up two points guac guac in paris down 28 half a percent dax in germany down 51 almost half a percent in asia overnight investors cautious about u.s.-china trade relationship, tensions continue, the weak spot there was shanghai composite, down half a percent, the chinese ambassadorship to the united states on fox news last night with bret baier said the door is still open, to resume trade negotiations but still no
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dedicate set mnuchin arrived on capitol hill moments ago for a hearing, before the house financial services committee hearing under way hillary overdrawn there is on capitol hill this morning with a preview, hillary. reporter: maria mnuchin arriving for round two, between the house financial services committee chairman maxine waters and treasury secretary, this follows a showdown in april between two where mnuchin explained to waters how to banning a gavel in order to bring hearing to order waters will ask mnuchin under oath if president instructed him not to release tax returns to congress after mnuchin refused to comply with congressional subpoena asking for documents, saying the request is not serve a legitimate legislative purpose, the "new york times" reporting last night, a leaked draest legal memo from irs staffer claims agency has no choice but to honor congressional requests for the returns, and then up to the president to invoke executive
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privilege if he does not want them handed over, irs spokesperson says memo was written last fall but it quote not the official position of the irs, the hearing is under way now, expect more fireworks. >> we will expect that all right the truth is one reason for this hearing that is for show. so that maxine waters and her and her colleagues with an just beat up mnuchin. >> that is why nancy pelosi is having a conversation about impeachment proceedings they come out they will send out e-mails all constituents to raise more money to then resist, resist, resist this is all a money grab for them about show. >> why is it o how helping mrn people dagen? dagen: by the way, if you are clearly, these democratic lawmakers try to work up material ahead of time maybe somebody should have told congressman maxine waters major banks didn't have do
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student loans weren't in student loan business. >> lay that on marriay juror bas the americans on hook to bailing out, the program tens of billions of has already lost on that program in coming years she is trying to make these guys the bad guys. maria: we will see what is exposed about what she didn't know, today. so we will -- dagen: hire people to work up material and sometimes falls flat. >> yeah, we want to turn to european election that is big weekend 28 eu kinds, are holding parliamentary elections tomorrow as growing nationalist movement gaining popularity across europe joining us kt gutenberg a pleasure. >> great to be an here. >> access what is going on in europe in terms of movement to the right. >> we had a glimpse of hope a few days ago when the austrian
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government crumbled because of behavior of the far right coalition partner -- didn't have repercussions in other yuan countries member states far right movement still rising there they will come out rather strong probably the end of that election, and that turns into a shift of the overall european construct of a decade a closing between conservative party socialists don't last longer this. >> this is about economics right germany where you are from we have steen, all the economic data showing contraction in their economy not slowing growth it is. maria: -- one economy -- >> pmi -- germany below 50, 14 -- four conservative months that is not good, in the -- the entire continent seeing
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more -- >> a lot of people would say it has it has its -- connection to the relations. >> they are worst ever but not main reason others would say a chinese influence that is coming in, it is the lack of strengthen within european union right now, and so therefore watching the development over there is nothing you can underestimate from this perspective over here as well it is a crucial election, and a lot of those hopefuls like macron, will lose significantly in european elections -- i am concerned to be honest about what is going on then we have the whole show in england. maria: what about brexit? >> the eu -- >> well, it is every single day another bizarre chapter being added by theresa may to alice in wonderland whatever you may call it teresa in wonderland latest bold move a hold me in power move nothing
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else vote for fourth time make it an referendum her party members specifically remainers are fuming i think endless process between u.s. and european european one that is damaging both sides. >> that is she is waffling from the start. >> going from hard brexit to harder brexit to hardest brexit what is end in site will they leave or not? probably a bizarre form of brexit another day, and nothing predictable any longer she has to step down, obviously, however they are having said that we might have something like boris popping up boris johnson. >> very well -- >> what do you make of huawei and the fact that, you know, the europeans refuse to understand the national security issues that mike pompeo is economying to communicate u.s. government temporarily easing trade restrictions imposed last week on huawei technologies now one
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way or another five other chinese companies may be added to that blacklist u.s. is serious about huawei. europe not so much. >> there is a difference between communicating your concerns, or throwing threats across the atlantic, and if that continues, with the on theality tonalityou why will see stubborn reactions i have my doubts i am skeptic about intelligent huawei wants over there i don't see them moving as long as we don't find common grown to you to detail with each other treat each other. dagen: but that seems -- >> from an american that seems so insane. to blame oh you don't like the way i communicate? but i am trying to help you. i am trying to prevent china from doing to you what it has done to the united states. . >> a lot of europeans dagen would say you try to help us or do you try to get most out
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of the situation just for yourself. >> there is no doubt allies -- china has score system they track citizens, the end of the year you get a score, about the way you behave if you smoke maybe a demerit you won't be able to get on train maybe do you think the fact you haveh infrastructure chinese are tracking europeans? >> well, i have -- i have as i said i have my doubts this is a right solution to take and the thing -- and the one thing that right now pretended we can handle it we haven't anything damages so far we are hequally as skilled. >> are they? out of europe. ones we have -- the chinese hequally stepping into our businesses keep doing so we've got to be cautious we have to fight the fight together just.
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>> what is. dagen: again, you don't like the way united states and people in administration communicate, it is like that seems silly we are trying to improve alliance improve relationship, with germany by helping one another. >> i would be happy if that would be the case but listening to former colleagues in germany they have the impression you always have public side there is -- success if you are strikeer stronger on other hand -- >> kt come by more often. dagen: yeah. >> please. >> good to see you. >> thank you so much fighting for farmer we take you live to illinois, for deeper look at the trade dispute, when we come back. . >> it's time for our memorial day sale on the
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>> welcome back american farmers hit heard by trade negotiations president trump is preparing to announce another round of aid to the farmers, jeff flock is live this morning, in fairmont illinois with a lot more jeff good morning to you. reporter: insurer do need it maria top of the green bins at farm maybe you see it out there on windy day here on illinois plain, we talked to heart farmer some on twit said that is one farmer's opinion what do all farmers think i will tell you what we did producer sput together a survey farm brewer put out some results from that put numbers up, a full third of
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farmers that we surveyed said they were starting to loss confidence in the president able to to get a deal, another third said confident another third flat-out not confident your farmer you are president illinois soybean growers association beans hit hard as well as hogs are you confident. >> kind of a complicated question, since you know all commodities have taken large hit here over last year and one half tariffs have come on to about quiet honest i was optimistic in the beginning, and really lot to would be a compromise or resolution to tariffs very quickly but as things keep kind of progressing, and we're not really seeing an end quick. >> i want to put next set of numbers up farmers nine out of 10 say you are take unfair burden of this correct. >> farmers are we are taking a huge burden right now huge
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risk, we and soybean farmers bottom line 20% hit here. >> how much did you lose. >> for us franklying operation was around 600,000 dollars what we had took hit on a lot of operations can't take that kind of a hit we can't hold that on very long. >> i appreciate itgoing to be with you all day on farm as sun comes up i want to leave you with the last what one last screen there, and that is the number -- the number of people that say that the trade negotiations will impact their view of the administration, farmers supported president trump, 60% said though this is starting to impact their view of the administration. tough out there so that aide could not come soon enough if we can get it. maria: we will watch that jeff flak, this morning, coming up start your engines the indy 500 kicks off this weekend, we will speak with the once raceer making history back in a minute. ♪ . >>
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maria: start engines 103 indianapolis 500 roars back memorial day week charlie great to see you thanks for joining us. >> thanks thanks for having me. >> now do you prepare for the big race sunday tell us that. >> well, as a driver with diabetes all about managinging blood glucose, news taking -- keeping track of what blood glucose is doing with continuous monitor i have sensor on body transmits to display i am able to get blood
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sugar on steering wheel. >> how do you like that. dagen: it is anybody who is even taking a couple lapse around a track, ven a pace car knows how difficult given heat adrenaline when a that would do to blood sugar how is the car though? >> well it is -- it is awesome, anything that you can do 230, 240 miles per hour, in is amazing, the modern indy cars don't have power steering power brakes you know how challenging and physical that is, so for me it is really important to keep up on my blood sugar make sure that i am good to go from green flag to checkered flag. >> mitch? >> charlie, this sport has gotten a lot of attention of late, and some of the eradicat ratings have gone down as you start the season how do you feel about crowd supporting the effort out there?
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>> well, the indianapolis 500 last few years has only grown honestly since 100th running indy 500 in 2016, when we sold out the indianapolis motor speedway crowds north of 300,000 people each and every year, for us, the tv numbers have been flat or increasing, you see attendance at other indycar series races as well so as a sport health, growing i am excited for race weekend this weekend being one of those 33 drivers taking part in the event. maria: amazing charlie we are rooting you on from afar thanks very much for joining us. >> thanks for having me people can follow me on social at char bee kimble we will do that now. >> final thoughts from all-star channel we'll be right back. >> and as a fitness junkie, i customize everything, like my bike, and my calves.
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maria big show, great show, mitch. >> retail earnings were mix bag, consumers are still driving the economy. maria: they are. dagen: qualcomm up 54%. >> some have had hard time 5%. maria: have a great day. sti, take it away. stuart: good morning, everyone. it's a real tough time to be a retailer. sector is taking on the chin. bad weather did not help sales nor millennials, the amazons are this world are making difficult but look of future, threat of more tariffs on chinese products, that's really hurting stock prices, just take a look at nordstrom, they are down a whopping 10%. this is a gigantic department store


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