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tv   Mornings With Maria Bartiromo  FOX Business  September 4, 2015 6:00am-9:01am EDT

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fox business reporting that wynn convinced trump to sign the rnc loyalty pledge. wynn is one of trump's key political advisors. one day after reports that china had warships off the u.s. coastline, we learn russians have intelligence ship off coast of georgia. capable of cutting undersee communications cables and sensors. this is home to the u.s. ballistic missile submarine fleet. nfl will appeal the court ruling allowing tom brady to start with the new england patriots. his attorney says the star quarterback just wants to play ball now. >> tom is just delighted to be back on the field. from the beginning he frankly has been a victim in all of this. and all he has wanted to do is get back to focus on his team, on his fans, on what he does best. and he is delighted to have the opportunity now. maria: tom brady's attorney,
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jeffrey kessler, will be my guest in few minutes, 6:30 a.m. eastern time this morning. force friday for "star wars" fanatics. the movie, the force a wakens will not be released until dice but friends sy is building -- december. thousands in "star wars" garb were in line. lego sets and action figures and characters from the film went fast. they feel momentum for the toys will continue well into the holiday shopping season. back to the top story and top story at "wall street journal." investors await jobs report. this is the last jobs report before the federal reserve meeting september 11 and 11th. this will be key on their decision making whether or not or not to ace rates. they expect the unemployment rate to drop to 5.2%. hank smith with us. huge implications for jobs and
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markets. what are your expectation. >> our expectations it will come around consensus. if you look at trends, unemployment claims, jobless claims near record lows. they have been for a while. all of the employment trends are moving in the right direction. i don't think this jobs report is growing to influence the fed. maria: you don't? >> i think what is going to influence the fed is volatility. if we have heightened volatility from now into the fomc meeting, we don't get a rate hike. if volatility simmers down a little bit, i think we do get a rate -- maria: interesting you think they're watching markets so closely. >> absolutely. maria: dagen, they have enough data in terms of where we are in the economy to make a decision, no. >> unless it is really horrific. unless you have a horrible jobs report that is shockingly bad. goldman sachs in its note, i thought this was interesting, pointed out one thing because i'm a dork and i always go for the most obscure data point, but there was some data from the conference board recently, for
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the first time since early 2008, the difference between the people reporting jobs are plentiful versus those reporting that jobs are hard to find was zero. this is really positive sign for a much stronger labor market because since early 08 it has been people have been greater percentage of people have been reporting jobs very hard. maria: you have to believe the jobs market is getting better. we're seeing better numbers every month. only issue is wages and labor participation rate. >> but wages are improving, stubbornly but gradually. look, if it was just about economic data we would have a rate hike but there are more things going on. maria: you think so? i don't know about that. >> you have inflation target. i don't know where that all of sudden became so paramount of importance to the fed. and now this global volatility and you hear in the headlines all the time, a global recession is lurking, whatever that means. but the major economies are expanding.
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>> australia is close to recession for the first time in almost a quarter of a century, about 24 years. canada heading into a recession. maria: japan. >> japan. >> brazil. >> any country dependent on commodities. >> right. >> any county dependent, whether australia or brazil is headed in the wrong direction. that goes to maria's point, what would be impact of this commodity bubble bursting on this country? and people need to dig deeper. and into what the impact is going to be here. maria: what is your take? we've been talking about this all week. knock on effect that will result in crash of commodities, has to do with the banks that lent money to the commodities companies. >> right. to your point, our economy is 70% driven by consumer spending. maria: fair point. >> so that is a huge plus. the consumer hasn't spent gasoline dividend. maria: she thinks they will do it in the holiday.
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>> i think it is starting to happen but the data will confirm that. but they have been improving savings. maria: 5% savings rate. >> consumer is in excellent shape. our banks are in excellent shape. our economy is in very good shape. maria: dagen, are you safer? do you save. >> i try. maria: i'm a big saver. when i was little girl i'm always saving, saving. my mentality. what i do. >> my husband is a huge safer. is extremely frugal. maria: you're a spender. >> i am a spender but i will say this. i sound like a broken record but your 401(k) plan, because it reduces your gross taxable income, which is critical, particularly with taxes going up, but it takes money right out of your savings account, i mean out of your paycheck, puts it in wherever you would like to put it. maria: so important. >> if you want to buy a house you can borrow from yourself and borrow from the 401(k) plan, pay your interest and comes out
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of your paycheck to pay loan back. maria: which i wouldn't recommend but it is all right. >> rather than borrowing cash for down payment from your relatives or somebody else, taking out credit card, taking cash advance on credit card, borrow for 401(k) from down payment. good idea. >> rephrase that for yourself you like to the support the economy? >> yeah. maria: are you saver? >> i like to support the economy. maria: you're a spender. i'm sorry. i'm sorry. i'm just chatting. the so oil this morning is low. we got to talk about oil prices, dagen. they closed higher for the fifth time in six trading sessions yesterday, despite rise in crude this week. labor day gasoline prices are still slated to be the lowest in 11 years, exactly what you've been expecting, dagen. gas is going to go down and that will help the consumer. >> that is exactly what i'm hoping. maria: phil flynn at cme in chicago with all the action this morning. good morning to you, phil. >> good morning, maria. tell you what.
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amazing when you get light volume how one headline can really move the market. early this morning oil prices were really going down because of weak know in the stock market. mario's magic was wearing off from talk of qe and concerns about today's jobs report. when we got headline from "wall street journal" those chinese ships actually went into u.s. territorial waters we seemed to bounce off the low right when the headline came out. we were easing back a little bit as we get prepared for jobs. this market continues to be volatile today. maria: phil, thank you. phil flynn, looking at oil here. we will check back. hank, oil a huge story this morning especially ahead of long labor day weekend. do you agree with dagen and her point that something has got to give, consumer saving a lot of money at the gas pump and they are going to spend it. >> no question. timing couldn't be better, back to fall and school. holidays. reformulation of gasoline. that will bring prices down as well.
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so i think, since when was low oil considered bad? only in the past 10 years. on again. off again. >> john hoffmeister was on the show. we got a lot of twitter reaction. maria: former president of shell. >> he was talking about the need for higher oil prices to support these energy companies that are heavily leveraged, to prevent job losses in this, like, a dozen states around the country. people are like, is he really saying that he, you know, because that is not good for consumers. higher oil prices in general. so next time oil is at 100 bucks a barrel, you better advocate for he lower prices for us. >> it is not good for businesses other than that small energy sector, i shouldn't say small. maria: my favorite comment this week was from iran oil minister, okay? or was it finance minister? oil minister in iran said, oil
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prices at 70 to $80 a barrel is fair. i'm sure you think so. but will it ever go back to that? i don't know. >> good luck getting back to that level. maria: take a break. coming up cracking a very important oil threshold an pledged loyalty to the party but has the party pledged loyalty to donald trump? that's next. headlines topping "the wall street journal," putin pitches for foreign investment in russia's far east. would you put your money russia's far east. russia is turning to china to develop resource rich season. andy murray ignoring open's endorsement deal with underarmor and wearing his own sneakers. facebook advancing bizarre ambitions. making groups easier to use as trading forum. coming right back with more on all of that. ♪ can a business have a mind?
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>> best way for the republicans to win is if i win the nomination, and go directly against whoever they happen to put up. and for that reason, i have signed the pledge. maria: yes, that happened yesterday afternoon. republican frontrunner donald trump finally deciding to sign the republican national committee pledge, swearing off a third party run if he does not win the party's nomination. with his signature all 17 gop presidential candidates signed pledge to support vent wall candidate, but this move may bring with it backlash from biggest supporters. so far trump painted himself as anti-establishment candidate but signing this pledge may complicate that image. joining us "fortune" senior writer mimi easton. good morning to you. >> great to be here, maria. maria: your observation on
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signing that pledge. >> donald trump is casino builder, right? maria, let's talk bets here. rnc making a bet they can keep this guy inside of tent, force of nature they have been flummoxed what to do with. they don't want a replay of 1992 when ross perot ran as spoiler and bill clinton got presidency with 42% of the vote against george h.w. bush. that they're worried about that. a bet on donald trump's part that he can get the nomination of this party despite a history that does not favor outsiders. he would have to defy history. >> nina, dagen mcdowell, so good to see you. there is talk whether this hurts donald trump because now he is in the fold of the republican party. and, what was helping him is that he was defying everything about running for public office. this brings him closer to a traditional politician, yes or no? >> i don't think it hurts him.
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he is still donald trump. he is still, the rich guy who comes off as blue-collar. he is still the guy who is able to define his opponents so blythely with comments about jeb sh le, o he jusa low-ergyuy. hes habeenble reay risen thpollbaseon w hes. i n't ink is wl ha ythi to wit cou hel m wi sompeop whowho ve qstiod hiloyay to e pty bore at. >> at what point in the cycle does donald trump have to articulate his plan and move away from these sound bites that are capturing some of his audience? but so far there has been no articulation of details? >> that is what is so interesting about him. he has gotten away with not having details. effect much that make it look like he is standing up to washington paralysis, right? makes him look like he can actual wave a wand to get things done. you're right, this will come to an end.
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there will be more scrutiny about his positions in debes foexplkeep i time, and say, 2008 cycle, you have rudy giuliani at 30%. you had fred thompson at 15% and nominee, mccain was way down, distant fourth. so you can't just rely on polls right now. maria: nina, who do you think has articulated that ireconomic vision best out of all of the candidates? i'm talking right and left? >> boy, that is a good question, maria. i think, i think all of them have kind of struggled with that. maria:. love appeal. started off with centrist stance, standing up to unions. and drifted to the right in an attempt to hopefully capture iowa. yet he hasn't done well in iowa. i think all of them are struggling on how to articulate
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something that really, plays to people. keep in mind, donald trump is, he a populist, right? so he can, he can say, you need higher taxes on these hedge fund guys at the same time he wants to build a wall against illegal immigrants coming in. >> he struggled in the interview with hugh hewitt yesterday. hugh was putting pressure on him. maria: foreign policy. >> to talk about leaders of these various care organizations. maria: but is he supposed to know every extremist name at this point? that is a little credit here. >> you actually are, because he lacks in foreign policy issues. at least know names, leader of hezbollah and hamas. you know who did well? or better? carly fiorina. maria: she is terrific. >> carly's really done well if the polls. she knows what she is talking about. i interviewed her at length. did first interview on foreign policy she pointed out she knows
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some leaders, she dealt with putin. dealt with, knows leaders in the middle east. she knows bebe. around shy likes to point that out. that will come across as strength in upcoming debate next week. maria: she is doing great, really. really articulated policy solutions as well. nina, good to see you. thanks so much. >> good to see you. maria: nina easton joining us from fortune. you may think twice before biting into next grilled cheese sandwich. kraft expanding recall recall of american cheese singles. tell you about it. back in a moment. you are looking at two airplane fuel gauges.
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maria: welcome back. wall street gearing up for latest employment data.
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economists expecting 220 thou knew -- 220,000 new jobs. he is calling below the consensus. bank of america, michelle meyer. >> thanks for having me. maria: how would you characterize the job market. what would you expectation for the jobs report. >> looking for 200,000 in headline non-farm payroll, 5.2% unemployment rate which i think is a pretty good report. 200,000 job growth a month is double what you need to break even given population growth. remember labor force has shrunk. so you don't need to see as many jobs to keep up with the change in the population. maria: why do you think it has been so hard to move needle on wages? why do you think the participation in the employment market is so low? >> both of those are critical questions. i wish i had easy answer. unfortunately i don't. i think on wages i do have something to say for the pent up wage deflation argument.
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wages are so sticky during the downturn. don't have to increase wages as quickly. if that is true, perhaps you need unemployment rate lower. before you really start to see wages pick up. >> on the participation rate, really a balance between demographics, and then, disenfranchised workers. maria: demographics are people are aging out of the market. >> deciding. i have enough savings. i don't need this versus, i just can't get a job anymore and i'm frustrated. >> those demographics are strong. if you control for the business cycle and only allow demographics have kicked in, you would have seen drop in participation rate regardless. you can't fight demographic factors. i think key, did this recession force people into retirement a little bit earlier than they would have been otherwise? so it accelerated in
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participation. >> i will ask something maria has been on top of not just this week but last several weeks. the downturn in energy price, hard-hit energy companies, layoffs all year long, what will be the impact on the job market and our economy, particularly with all of these commodity-centric countries, really flat on their backs because of the commodity collapse? >> sure. so drop in energy prices certainly created winners and losers. losers being energy producing companies. and, countries and so, states in the u.s. -- like texas. then you have particularly winners on other end which are consumers realizing lower gasoline prices and should be benefiting from a pickup in their purchasing power. in terms of drag to the labor market in terms of energy companies shed workers. we've been seeing impact now through the entire year. started in around january, started seeing cuts in order of 10 to 15,000 a month from energy
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related jobs. maria: is there further knock-on effect when you look at some of the leveraged players out there? that is really what we're talking about. we're trying to zero in how big of an impact this will have? >> there is uncertainty could there be systemic issue in sense of financing that has been involved. seems like there could be spillover, certainly, doesn't feel the same way as the markets crisis and that, housing bubble popped and that hit the average person. it hit their household balance sheet. you don't have the same linkage with the drop in energy prices. maria: all right. are you recommending that people look at this market and basically buy into it based on the fundamental outlook? i know that is not what you're telling client, but in terms of what you are telling clients with this volatility? >> i will leave that to the -- he is awesome and make that call. i think, from my perspective i think you should look past some
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of the swings in the markets and look what is happening in the underlying economy. that's where you are still seeing further emproblem. and healing. i think fed will see that. maria: michelle. good to have you on the show. michelle meyer, bank of america merrill lynch. coming up. stunning ruling in favor of tom brady. that is up next. ♪
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the contrarian ..
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maria: breaking news come investors looking to eight or 8:00 a.m. eastern this morning i'm at the labor department has to say about jobs. i am maria bartiromo appeared friday september 4th ahead of the long labor day weekend. exit patience for the jobs report due ahead of the opening bell will set the time for markets. 220,000 new jobs expected to have been created and the
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unemployment rate is down to 5.2%. those numbers have been two hours. features indicate a lower opening for broader averages. i want to say sharply lower opening, but in this environment i don't know if that is sharply lower with stocks down 185 points this morning. also weaker in your. britain, france, germany better than 1% throughout the morning. >> the best way for the republicans to win is if i win the nomination and go directly against whoever they happen to put up and for that reason i have signed the pledge. maria: yes, he has done it. donald trump really not a third-party bid by signing a pledge not to do so. a big role in trump's decision. fox business reporting when convinced trump to sign the rnc loyalty pledge.
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it i fce friy fo"sta wa" faticson'te reased unlecemr but overnight thousands dressed in "star wars" garb went to disney stores in 10 stories on turn square in new york and action figures with new characters from the film and off shelves fast. retailers expecting the momentum to continue into the holiday shopping season. turning to deflategate. another suspension overturned firm goodell. the legal saga has been seen in -- nfl. saying he found several significant legal decisions these in-house the 10 investigated accusations. joined on the phone is jeffrey kessler, t you.
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what did you do when you heard the news? >> well, i first got a message asking how did i react in that decision and my response was what decision because the reporters had at first. then i was quite thrilled. maria: in terms of this case, what do you think the judge saw that pushes him in terms of overturning the four-game extension? >> there were two points the judge was moved by it. the first was the complete lack of notice that any player could ever be fined for anything first post to the being generally where somebody else's conduct. the findings at the wells report were so limited after spending
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$3 billion to try to put together a case in tom brady that the judge found there is no notice that could ever be the basis for any type of discipline. the other problem was the hearing procedures themselves were fundamentally unfair, that we were deprived of the evidence we needed, deprived of the witnesses we needed. there is no real independent report. all of these points of the judge to conclude that this was an arbitration which did not meet the legal test. >> do you think this is more about the nfl and goodell santos had all this negative press. we have to look as tough as nails and we are not going to take anything said tom brady takes the fall on this one. >> i can't speak for why they do this. if i was on the weak side, i would wonder why is this a good
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idea for folk all? why do we want a system like this where instead of talking about the stars of the game the opening day fans have to be suggested to legal issues and yet the nfl process that the only link i won't negotiate a fair system of discipline. if we did that, you wouldn't hear anything about this. maria: how concerned are you, jeffrey, about the appeal from roger goodell. >> i have no more concerns than it was about the legal posits who said we could win this case. we know if this is a case where the arbitration was legally and fundamentally wrong. i have no reason to conclude exactly the same thing. maria: the reaction has been incredible.
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after the decision, one of the dunkin' donuts in maine posted a sign that says judge berman gets free coffee for life. i want to know where your coffee is. >> i've had enough couple of nice offers for clam chowder that i will be taking up at some point. maria: jeffrey, good to have you on the program. congrats to you. jeffrey kessler joining us. some of my meals are describing their own generation. wait until you hear about this stunning new polls. we are back in a moment. ♪
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maria: well, apparently millennial student not think much of their own generation. a pew research poll released today from 59% of millennial subscriber generation and self absorbed while 49% said they were wasteful. are these characteristics unique or just something they will grow out of with age. join us as a man who works closely with millennial of super bowl champ and movement mortgage cofounder and ceo, casey crawford is that this. thank you for joining us. we have a lot of questions for u.s. all about the game. but i've got arrested first about your business. your mortgage business targets millennialist.
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tell us about that. >> we think it's one of the most exciting. melinda is make up the largest percentage of home buyers. over at 33% are millennial finishes growing. maria: they are saying that generation is wasteful. >> we are all self absorbed. as much time as we talk about the flaky, we are a little self absorbed. recent millennial center the marketplace in a bit way over the last couple years. millennium is making $70,000 a year on average and that is helping them in the market. 25% still have debt. maria: 25% is a huge amount of money borrowing money from mom and pop. >> they'll have programs for less than 4%. maria: 3.5%.
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maria: does that surprise you would not be that big portion? >> very much. but the millennial sparked homebuyers as a result of the recession. ultimately you do buy a home. you don't stay in an apartment or moment dad's house. >> is the live events are happening, they start to buy homes and get serious and jump in the market. they want their mom and dad often times struggling to make mortgage payments lose the house a lot of times. it's a love for this generation to jump in the home market and doing it later. football has been entertainment. got to be the super bowl and have a lot of great experience
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there. maria: do you have your super bowl ring on? >> i gave it to my dad. it was a great time, a lot of fun. at some point i wanted to step in a tin of votes and impacts lives in a deeper way. i thought of doing not a spring in capital to communities. we help millennialist and first-time homebuyers across the united states. dagen: home buyers, does he do the deal. make me hate tom brady a little bit more. are you happy with what i'm yesterday? >> let's get back to playing football. this is about the game. let's get over him back to the game. dagen: osaka and about so much of what we do on the field is mental. how much do you think this whole deflategate saga has gotten inside tom brady's head?
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when you've got this stuff in your head you don't play as well. >> tom brady has ice in his veins. he's one of the best guys to ever play the game. i don't think this is going to last. dagen: t. think it hurt his relationship with belichick? >> that is a good question. dagen: on the surface it looks like brady got thrown under the bus. >> the nice thing is everybody hated goodell. her coming back together. dagen: it wouldn't think so. he's well regarded by the ownership. the players and owners need to come together to put a great plot on the field. everybody wants them to come together and keep dirty laundry inside the house.
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maria: they are going to be playing to kill. dagen: i hope they get crushed. i hate the patriots. he's a thug all fan and i hate the patriots. maria: how do you really feel? >> the last guy that pays a euro a bigger pan out. maria: who is the super bowl champ? >> super bowl champ is russell william redeem himself. dagen: i will get on board with that. maria: you are looking at rogers replaced by right there. >> i loved that job. i loved that job. maria: you've got a mortgage business right now. you're doing a great job financing that you thank you so
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much. casey crawford he features showing a broader average. look at the market down 260 patient. nicole petallides, over to you. reporter: we talk about the russian ship this morning being called an intelligence ship off the coast of georgia. capable of cutting undersea communication and other samples. teen georgia is home to the east coast ballistic missile submarine fleet. kraft now expanded the recall of kraft singles products. 335,000 cases are being called back because they didn't strip of packaging film a stick to this life after the rapper and cause a choking hazard. the recall covers kraft singles american, white american cheese as well. check the expiration dates from the days december 12 through march 2nd. now we'll talk about snap chat.
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pushed into the biggest incitement paying dividends paid to social media company have 4 billion daily views. that puts it in the same league as the macho men face the period berea, snap chat reaching that mark after the live nation just to name a few. snap chat now has a valuation of about 16 billion. 4 billion pieces unbelievable. maria: the numbers are mind-boggling when you look at the daily users of facebook and what you're talking about in terms of snapchat. chat is not publicly traded, but what do you think this means for the whole sector? they keep growing in terms of daily usage and views. do you like this technology? >> we do, but we are in the old site because of emphasis on dividends. that takes us away from that. i am not on facebook. i am not linked to and all of
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that. >> you're an investment professional. you can't be on it. there's no denying the companies are huge audiences. dagen: you can have a nap like this that comes in and continues to disrupt what we think is a solid company that you can come in and kind of take over and build critical mass extremely quickly. dagen: i don't get it. i don't use it. i am committed to twitter and mr. graham and face the lesser extent. >> maria, don't laugh. i looked to my 12-year-old to know. they were asking me about facebook. i said no you're not getting a facebook page. then they were a histogram and a snapchat. he is snap chatting from a roller coaster.
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but what i am saying is this is where the growth is an one of the problems is twitter doesn't have the user growth. they are not appealing to the masses, but snape chided mr. graham and facebook are more to the masses. >> ringo, you just hit on it. nicole, thank you so much. >> the latest installment already causing fans to line up around the world. we'll take you there back in a moment. >> chewie, we are home. hey, how's the college visit? you remembered. it's good. does it make the short list? you remembered that too. yea, i'm afraid so. knowing our clients personally is what we do. it's okay. this is what we've been planning for. thanks, bye. and with over 13,000 financial advisors,
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we do it a lot. it's why edward jones is the big company that doesn't act that way.
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maria: welcome back.
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thousands stressed in "star wars" garb flooded to toys "r" us and toys "r" us and disney stores in times square in new york city for the first release of the toys tied to the field getting their hands on everything from a customized papers with more i want to bring in fox news reporter diana calzone. >> thank you for bringing me in. maria: what is behind all of this? >> urc and excitement. people are riveted, standing in lines at 12:01 waiting to get in stores. what you see a super fan collectors hoping to buy toys between price points like $1900 to $200. they buy them for cheap and hope to resell them in the future on ebay and google and things like that. dagen: baystate in my ear, nurse. a lot of these people are in the 30s and 40s. they remember when the film came on. they have nice income and this is what they collect. maria: my husband.
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>> i think 1993 was the first film. dagen: 1977. >> they are bringing a millennialist in the younger audience. this is projected to make the merchandise allowed $3 billion just for merchandise. they are saying this year. next year to make more. they are going to make good on their investment. maria: disney is on fire. even in that darned good media stocks skidding crash, you look at it over the long over the long-term and it's gone straight. >> espn is not going away. maria: do you like it as a stock russian ark >> idea. we have owned it since april 1809. remember april 1809. are any of you calling to a theme park?
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train to all of them are offered the highest. given this huge selloff we see. i think you have to digest that a little bit. it is a buying opportunity. dagen: i just love that these people are lining up outside the stores. it just warms my heart. >> this is from disney infinities again. this'll be worth something in the future. the force is strong with you. maria: why is this so coveted? let's show the camera. >> at the eye in a new york city apartment. you always make it a good investment in the "star wars" universe. maria: how much is this cost me? >> you have to buy the whole game. that is why he is so special. dagen: any of the toys stricken
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by the new characters will be hot. >> what is really cool as there's clues for the upcoming movie. that is why disney is doing this. you're just building up the hype around the film because you figure out what the plot line is. >> we haven't seen a new "star wars" since 2005. the mac i'm curious to see if they age hans solo and princess leia because i can't wait to see how they look on film with the toys along with them. >> anything about ageism bluebook s&l. maria: we will see if this gets people in the theaters. such fantastic systems at home. nobody goes to watch movies. the numbers are way down. dagen: this will top jurassic world in multiples.
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>> the fan base is just so huge. maria: thank you it will be watching your reporting, falzone. nicole petallides standing by with your atf report. reporter: we are looking at a lakeside in particular, the oil service holders trust which is a basket of energy names to oil under pressure again today. you can see a six-month chart. he saw the peak in may. jan cubbage at august had slipped down. they are trying to give it ago. yesterday was a sat energy stocks but under pressure ahead of the key jobs report. much more coming up with maria bartiromo and "mornings with maria." stay with us.
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maria: breaking news now, investors looking towards 8:30 a.m. on the east coast bid with the labor department says about job creation and job story.
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a maria bartiromo. happy friday september 4th. with me this hour, fox business network's dagen mcdowell, jack otter and bill orlando. here they are. expectations for the august jobs report due ahead of the opening bell today. 220,000 new jobs are expected to have been created in the month of august and the unemployment rate is expected to kick down to 5.2%. features expect a lower opening this morning. we are expecting a top opening down 200 points. stocks are low risk while in europe. weakness across the board in the u.s. down 1% into britain, france, germany down between one and three quarters of better than 2.5% for the major averages here. >> the best way for the republicans as if i win the nomination and go directly against whoever they happen to put up and for that reason i have signed the pledge.
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maria: donald trump really not a possible third-party bid by signing a pledge not to do so. casino giant steve when playing a big role in trump's decision. fox business reporting that he reporting that he convinced him to sign a loyalty pledge as one of the key political at risers. one day after reports that warships after the cosine renouncing the russians have an intelligent ship across the coast of georgia. kingsbury georgia is home to the u.s. navy east coast ballistic missile submarine fleet. deflategate will not go away. the court ruling new-line tom brady to start the season with the new england patriots. last hour the star quarterback didn't get a fair shake. >> the other problem is figuring procedures themselves were fundamentally unfair, that we were surprised at the evidence
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we needed, the witnesses we needed. there is no real independent report and all of these points cause the judge to conclude that this was an arbitration which does not make the legal test. >> the movie the force of akins will not be released until december but overnight passes it people invest in "star wars" garb flooded the toys "r" us in disney stores in new york city for the first release of the toys tied to the film. lego sets an action figures with new carrot tours with fast food retailers expect the momentum to continue into the holiday shopping season. this top story of "the wall street journal." investors await the jobs report. last major report before the federal reserve decision on december 16th and 17th. expectations call 220,000 for the month of august in the unemployment rate to drop to
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.2%. bring in our panel. jack to your expectations for the big ramifications. >> the number we see at eight or dukakis under 200,000 as they sat on what we've seen in previous august. we look at the past five and they were on average moved up 79,000 jobs. last august the initial number 102,000 was revised to 213. >> i'm sure you've been holding people's hands the last couple weeks was so much volatility. if you see a number below expectations, had allocated money? >> we been talking to clients about the issue always to get them prepared for what is about to happen. we are a little below a 212 because of the claims data. there's a bigger story. deutsche bank reports over the last 27 years, this number has missed under 21 times by an
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average of 50,000 jobs. but the consensus at 220 that suggest the number would come in 170, 180. from a fans did we know historically over the course of the next two jobs report, a look at revised away. we will end up at two december, because the act cavalierly enough to say the number missed by 50 but we know it's revised away. we hiked anyways? >> why would they put so much in the number? >> this is the last big number the federal get on september 16th and 17th. the optics here are important. the fed has told us and fischer reiterated. we completely.
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we know that number is going to be revised over the next two months. we will hike anyway. dagen: at that number to not live in september and was in december. i skipped the joker because there's no press conference so i think the first time they make a move they will do it when you have immediate for jay elliott can come out and explain their reasoning. >> that is exactly your point. the fed has the dual mandate. the labor data today will be soft. today's numbers out that the fed has to make a pretty good case two weeks from now provided the go-ahead at hike. one will be unemployment rate ever talk about the caveat with the low job participation. that was say something into the hourly wages. everybody wants the number to take a pioneer. if the number is low the same people who didn't answer the phone and gave them a low number
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you probably won't see a big jump in wages. if you do, that will suggest inflation. dagen: there was wage pressure in the beige book they use out, out in pockets around the united states. midwest new york and northern california. you are starting see signs of that. >> wage pressures are really starting. we been starting at the 2% level. who would want to see the number at 2% or 4%. maria: you need to rise. >> the increase in wages. historically when cycles have bottomed, the bottom that 2% level. we have every expect this number will go higher. will this even the jobs report? maria: we had hank smith on earlier saying the federal reserve is watching the market volatility. the cover of parents magazine is about your annual survey. you have spoken to all these masters of the universe to find
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out what they think. i want those perspective the first tell us what you've learned. >> they look past the recent volatility to the end of the year, as far as 2016 and they see about 10% from here, the median estimate for the 2150 up about 10%. so one thing they are looking at is the evaluation of market right now. we see a better valuation than we were seeing before. for instance, the s&p selling at 14.5 times earnings estimate which is slightly below average. another interesting point is a lot of strategists look at earning yield. the inverse of the price to earnings ratio is 6% right now in the high side especially compared to bond yields about four percentage points that is very high.
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comparing stocks to bonds is a meaningful indicator that suggest the market can go to. train to the you spoke with expect the market to be hired by year-end. do you agree with that? >> absolutely. full disclosure my boss might have the survey. but jack is exactly on the point. as in strong, labor market regardless of what has happened today is strong. we are big model guys as well in our calculation is the stocks are 70% undervalued relative to treasuries. we haven't seen bubbles this low since march of 09 or last.tober, the summer of 2011. we think this is a good inflection point for longer-term investors. the issue is not domestic fundamentals which we think are pretty good. that is what is created 12%
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correction. >> the so-called fed model when you appeal stock fund bonds is what bonds are doing. they are sending a signal. jeremy grantham, one of my favorite says dotson three years couldn't care less what bonds were paying. maria: kodak said. that's a very good accent. [laughter] >> okay, the point is bonds can go up and heard the outlook so i wouldn't put too much in it but right now to suggest stocks are better. dagen: the federal reserve is watching for market volatility. you have nothing to fear and panic in the treasury market that you've seen in the stock market. is that a sign that there's some comment there? corners of the credit market has been very sharp.
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>> i would take exception to that. treasury yields benchmark tens or 250. they got down to 190 a week ago. do you have this bike to 53 treasury yields went down to 190. that extreme point suggested stocks were sold. >> that is by taking focuses so much. dagen: i am a huge loser and nerd. i like credit markets. maria: we will talk more about this. in addition to today's job reports, two presidential candidates, carly fiorina and mike huckabee. we will talk with both of them after the show on fox business and get more granular comments about their visions for the economy and creating jobs. moving forward with a peace broker plan minus mcdonald's
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resulted in a great opportunity for burger chains across the nation. we will tell you about it. big headlines, putting pitches for foreign investment in russia's far east. russia turns to china to develop the resource rich bridgend. the british tennis champion ignored the open endorsement deal with under armour for his own sneakers. facebook advances bizarre ambition. making groups easier to use at the training forum. we will be right back. ♪ i asked my dentist
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get one inspired by dentists. with a round brush head. go pro with oral-b. oral-b's rounded brush head cups your teeth to break up plaque, and rotates to sweep it away. and oral-b delivers a clinically proven superior clean vs. sonicare diamond clean. my mouth feels super clean. oral-b. know you're getting a superior clean. i'm never going back to a manual brush. maria: welcome back. happy friday. not such a happy one for the bulls. the dow jones industrial average was off of the lowest i should point out is still expected down
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160 points. when i was about the jobs number out in about an hour and a half. let's get to nicole petallides for the other headlines. reporter: good morning. most clerks in kentucky say they will begin issuing marriage licenses again today. this after a judge jailed county clerk and davis after being held in contempt for her refusal to issue marriage licenses. kraft now expanded the recall of kraft singles products. 335,000 cases being called back because of a thin strip of packaging film then they stick to this place after you remove the wrapper. there may be another piece underneath and cause a choking hazard. american, white american cheese. expiration date december 122 march 2nd. burger king finally making peace burgers days after proposing a hybrid that whopper with mcdonald's to raise awareness for peace day.
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burger king is agreeing to team up with other chains including danny's, way back burgers. basically getting ready for peace awareness. these minus mcdonald's are said to have bill on september 21st back to you. maria: oil prices trading. gasoline has fallen to the lowest level in 11 years. get a check on energy. keep it right here on the fox business network. ♪ @
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maria: welcome back. oil prices slightly lower after closing higher for the fifth time in six trading sessions yesterday. despite rising crude, labor day gasoline prices at the lowest in 11 years. phil flynn at cmu right now in chicago. good morning to you. what is happening? reporter: good morning, maria. people will be celebrating this weekend. gas prices almost a dollar lover than they were last labor day. that is another $1.5 billion in their pockets. hopefully they spend it this weekend and get the economy a boost. i don't know if that'll happen. it's all about the jobs report right now stronger than expected jobs report in the inverse will be true as well. back to you. maria: watching the windows describe themselves as cap has
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come a self absorbed, wasteful, greedy according to a new poll. former nfl tight end super bowl champ and the mortgage cofounder and ceo casey crawford to join the last hour said that is not stopping them from buying homes. >> you know, we see millennialist and a big way over the last couple of years. but when meals are making $70,000 a year on average that is really helping them enter the home buying market. maria: they have the money to buy the house. >> 25% still get money from mom and dad said there are still those phone calls. maria: casey crawford. i will bring it -- thank you so much for joining the conversation. i want to get your take on the broader market right now. tell us what you think. >> sure, three of my five kids are millennialist and they have apartments. they don't have interest in buying a home right now.
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i think it is a major market in uci researchers at some of the inner city development, especially cleveland for example. >> put millennialist aside. >> it is still very slow. the purchase market is very commit very slow. depending on where you are geographically across the u.s., i think you've got some on d.c. and even here in new york and north carolina doing very, very well. for the most part it's rather slow across the country. maria: why? >> i think consumer confidence just isn't where it needs to be. >> i realize it's only in it total, but have they started families? >> as far as i know they don't have families. >> back 10 years ago when the very first thing you did when he got out of car colleges who were
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successful unless you bought a house. that's gone away. you don't really need a house as a single person. you need an apartment. is more young people around you that much you have a spouse and three children were five children, you need five bedrooms. >> is his folks are getting married a little later. maria: connect the dots. we have the number coming out. do you think it's just not as strong as it should be, but it's not off the charts a great story. how does that jibe with what you are saying that things are improving? >> consumer confidence looking at the. we are sinning and poster session highs earlier this year. from our perspective the confidence has improved. will we see in terms of millennialist of economic fall. these kids over the last five or 10 years graduated from school, couldn't get a job so they move back in with mom and dad and sleep in the basement.
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in the last year or so, job prospects for kids have improved. they start to get jobs in the household formation numbers have gone vertical. it seems as if they are getting done for delayed gratification of their life. they go to apartments, maybe they get married, start to have kids and then received maybe the purchasing. the cycle looks elongated, but i don't think it's completely eliminated. >> yeah, that is true. we could use another stimulus from the federal government. maria: you think in order to get the housing market -- >> well, go back to 2008. there was an $8000 tax credit for purchases of homes and we experimented with our recently was given a thousand dollars back to our customers buying homes in the market share went up by 40%.
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dagen: i think all-caps bears will agree you are welcome to do that as a private business but we are not going to find that the federal government. maria: you bought more fiscal stimulus. >> the economy is not weak like it is in no way. >> that's debatable. maria: you think it may be? >> i don't think we are seeing the confidence. maria: do you think that i should raise rates in two weeks? >> it won't be that much. i will send a signal across the world, across the country and the world. if a researcher ran a playable bms. maria: so what are you doing, do you grow through acquisitions? >> no, we don't. one customer we do grow that way. maria: we appreciate it very much. marc stefanski.
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hillary scandal has passed opening the door for more obama agenda. stay with us. can a business have a mind? a subconscious. a knack for predicting the future. reflexes faster than the speed of thought. can a business have a spirit? can a business have a soul? can a business be...alive?
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. maria: breaking news we are about one hour away from a major report investors look to go about labor day labor department what it says about jobs hi i am maria bartiromo it is friday, september 4, welcome back to the program, still with me fox business network dagen mcdowell, "barrons".com editor, phil orlando if federated investors expectations for august jobs due out ahead of the opening bell for those on radio expectations call for 220,000 jobs, added to economy, in the month of august unemployment rate ticking down to 5.2% futures indicating a much lower opening for the broader averages we are off lows certainly still weak down 17107 points from dow industrial, you do scene weaker 1%, stocks lower in
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europe take a look at britain france germany all down between 1 1/2 and 2 1/2% throughout the morning, force friday for fanatics will not be released until december frenzy billed overnight thousands in "star wars" gar]floodeded toys "r" ussand disney stores for firstries of toys, in lieu of characteristics from film went facet retailers expecting momentum to continue well into the holiday shopping season. let's turn to 2016 campaign, remember this from last month's republican debate, in cleveland. ch. >> who is unwilling tonight to pledge your support to, the eventually nominee of the republican party and pledge, to not run and independent campaign against that person? again we're looking for you raise your hand now, raise your hand now if you won't make that pledge tonight.
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>> mr. trump. >> well less than a month after donald trump changed his mind ruling out a possible third party bid. >> the best way for the republicans to win, is if i win the nomination, and go directly against who ever they happen to put up, and for that reason, i have signed the pledge. maria: but will donald trump loyalty to the gop hold? should his poll numbers drop i want to bring in accountability project founder also joining from us washington, d.c., fp1 strategies vice president of communications ashley, good to have you on the program this you so much for joining us let me kick off with you ask you what do you think about this is daying enasked a really smart question to one of our are guests trump seen the as you know outside the o box guy not traditional establishment guy does him signing the
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pledge, change the perception of him that he is no longer sort of outside the box? >> his one thing that donald trump can do well it is spin, this man, is going to be able to take his base voters bring them to republican party the reality is, i don't think he actually thought he was going to make it this far now that he is this far, he needs that help the republican party brings jeb bush is not bringing it right now, clearly, so they need him just as much as he needs them, and, you know, aside from infrastructure, that the fact that he needs to win primaries needs infrastructure support, in iowa new hampshire all these other states south carolina he needs money right now has problem where he is saying i am not going to accept money over 100 dollars guess what the republican party can do a lot of the work that he doesn't have to deal with. >> super pac you don't know where that is coming from could be bankers lobbyists it could be hedge fund people people that he supposedly fighting so you know he is it is all about image right now for trump. dagen: that is dog and pony
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show? he can rip this up yesterday when i was watching it, what difference -- >> surprised that didn't happen. >> with donald trump at this point you never know he is going to commit to something till he actually does it then spend time waiting for him to well can dick himself. >> for the most part i think the party had to be enforced for swoun on republican ticket i think a point to make there, wahs i don't think donald trump would like it if he becomes the nominee, and someone runs a third party candidate against a him why trying to do the same to somebody else try to stabotage you pledge to support nominee to go fence the democratic nominee clinton biden o'malley whoever it might be at this point the whole reason for this pledge not try to enforce rules on anybody, but trump is
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playing by his set of rules there is other people in the race jeb bush says i've been voting republican entire life there have beene there are people dedicated to party cause not wishy-washy on issues. >> phil isn't it interesting the establishment guys are all the way at the bottom of the list, and the outsider of the box guys and gals at the top like donald trump, like dr. ben carson like carly fiorina that also speaks to the customer kefs we were talking about he said last guest not where it should be. >> people are mad as hell. >> throw bernie sanders into the mix, people are frustrated with status quo if you will i think why you are seeing the counter cultural outcry for some sort of of outside help. >> dagen right on the person next to me we watched live on tv he said how long is that going to last, and he won't just spay i don't like this anymore there will be a slight some imagined slight or real slight you guys broke you know
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your promise to me so i am doing this. >> have to sign something similar to this if he was going to run in south carolina, so that was one of the first state make a commitment to make a commitment, to back to get on the ballot the primary ballot to back the eventual nominee kaith privately and publicly he was going to move that direction. >> how big of a deal. >> i think a huge ordeal i think he is not going to violate the pledge, i think he has to in order to move forward as a real candidate you know he got his orders they are loyal to him now probably going to push out a lot of other conservatives on voters they can't keep up with you know, the press can't keep up with money can't keep up with support there is no if jeb bush can't -- >> not conservative now that is not the whole -- >> the voters that are secretive are supporting him whether he is conservative or not, a different question it is whether or not -- he has that. >> mickey, said that people, that are republicans and you know i found this absolutely ridiculous are supportive of
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obama policies when they think donald trump said it i think a huge problem here because i think we as a republican party, as base need to look at that and say, is this the guy we want to be the president of the united states or republican nominee. >> some of the. >> it is going to fade it is going to fade. >> this is more about jobs that is guy going to be running on jobs. >> if a jobs, your fired. >> o all the other candidates in the race right now all of the others ben carson jeb bush even carly fiorina -- say i snow how to bring jobs that is what people want right now they want jobs. >> -- does he know how to bring jobs. >> no, he does not, look at -- other people on republican ticket who have records as jeb bush 1.3 million jobs to florida governor, cut unemployment to 3.5% when he was -- and yet you have a guy says you're fired. >> world upside down ashley
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sounds like a democratic, and you sound like a republican. >> what? you are arguing against donald trump. >> i don't think neflz, if any d dis-- well, be honest you want donald trump to go begins hillary. >> i want him gains bidesen imagine from biden and trump. >> a lot more -- >> when he was talk about trump and antics, you are a liar leading in the polls -- >> remember the key here is all about personality ashley said. >> people is for in it louisiana more people think obama was responsible for katrina than bush -- >> clearly this is personality driven, if you don't like
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obama you don't like his policies, if you do like donald trump you like the same policy, because you think the donald is there. >> more specific you know it is early in the game these guys and gals have got to put a plan forward. that resonates with people that has specifics on it. >> donald trump doesn't have those donald trump has zero specifics. >> who does? >> come forward with a real specific plan on the economic story jeb bush has for month and half been saying that he had a conservative record i am only one here had -- >> how comes not resonateing. >> a guy named donald trump in the race taking all of this seriously out of the race. >> donald trump is a very smart politician, he says he is -- anything -- >> that is the problem with parties right now they are investing -- politicians. >> not in politicians can lead
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leadership. >> rohe needs to drink red bull. >> trump is right he is low energy trump is in your face chewing the camera lens off. >> that -- >> thank you, ladies, really good. >> spirtsdz debate i like to say big morning on varney an he company two presidential candidates carly fiorina former governor mike huckabee, tom brady wins round three against nfl signs pointing to roger goodell coming back for more the man's investigation led to lifetime ban of pete rose he formed major league baseball special council john dowd is weighing in next. back in a minute. ♪ (trader vo) i search.
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proourdz fundamentally unfair we are the he deprived of evidence we need deprived of witnesses we need there was no real independent report. all of these points caused the judge to conclude that this was an arbitration when did not meet the legal test. maria: that was tom brady attorney talking with me in the last hour, about the court
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decision, returning the star quarterback to the football field, john dowd told us on this program this would be the result john's investigation, of course, led to the lifetime ban of baseball hit king pete rose john do you do joining us right now on the show good to see you tell us why you agree with this ruling. >> well the judge the judge really exposed the commissioner's ruling, and i agree with it because it is it is so fundamental. notice the right to confront witness right to have evidence, et cetera, and judge did at a masterful job exposing the deficiencies in the commissioner's ruling i will till i read sally jenkins this morning i think time for new leadership, in the nfl. >> so wait a minute let me ask you about that roger goodell says he is appealing this decision you broke with the commissioners, in sports your -- are you calling for
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goodall's stepping down? >> well i think the nfl owners really ought to think about new leadership, this was a this was a terrible, terrible case. and the judge exposed it all. and they got it wrong completely from beginning to end, and hurt tom brady forever. >> you think it hurt him forever? >> sure. it is always going to be part of his legacy, i am afraid. and it is -- you can't run a league you can't main good discipline if people don't have confidence in the system. if it is not fair, honest and transparent. those are the keys. and in my blog i laid out five suggestions they could straighten it out but you've got to have the right leader and if you don't have the right leader it is not going to get done. >> jack otter from bar randoms.
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>> i have a very different experiment i don't agree with fair traisht my perspective of 8-year-old boy i hate seeing a guy really looks like he played a game with these footballs, getting off scot-free starting begins pittsburgh you can play fast and loose with rules doesn't make difference that doesn't mean nfl did right thing they should have done it better i am sad the guy is going to walk on the field sunday. >> there is no evidence of it the problem is, you are guessing speculating there is no evidence of it, they had five months to produce evidence didn't produce evidence, and cheated on rules a standard a mere gus never gave notice of the violations, never gave notice of the consequences, fungal to earn a life of leave we deal with reputations people get notice they get notice of the
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consequences of being aions treated fairly a right to be heard they get a right to corroborator witnesses begins a them. that didn't happen here this is first year law school stuff, judge berman did a magnificent job in that opinion, laying it out, you know, shame on nfl for doing it. maria: sounds like you think they were trying to make an example of tom brady let me bring in phil from federated investors. >> i am saying process problems with goodall i concede that point to jack's point, there is still unanswered questions who deflated footballs integrity of the game is still very much in question. and we don't know what -- what happened here we need answers to these things, as a fan, who is to say that another quarterback is not going to do the same thing. >> lab that john. >> two people, two people in patriots punished ban fishered the game, number two in terms of the integrity of the game, even referees officials, and
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the colts agree that the patriots won the game fair and square. after all, in second half, when the balances were properly inflated you know the 28-0 for the patriots even the colts concede, so no one involved in that game is questioning the integrity of that game on january 18th including, including the federal judge who read the entire record. >> we will leave there it great to have you on the show we appreciate your insights thanks so much. >> you bet. maria: we will see you soon coming up are you wondering why millions of "star wars" fans are lining up whether movie woes to the debut until december, back in a minute. do you want to know how hard it can be to breathe with copd?
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. maria: welcome back overnight thousands of people dressed in "star wars" garb flooded toys "r" us disney stores in times square for first reese of toys tied to the film legos light saifrz with more on frenzy, bring in director programming entertainment eric moro also sees wikipedia largest "star wars" fan community on internet did not know that existed joining me paul, creator of the eepd bb8 he remote control droid good to see you thanks for joining us, are you surprised, by what is happening home start with you paul in terms of all fans wanting toys we have a lot on set i should point out. >> i am not surprised.
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at what is happening, but i never anticipated to be thising magnitude incredible. >> tell us about your product next to you. >> this is. >> can we zero in on bb8, a new droid in the force awakens what is special if you have authentic movement he is a ball of joy when he moves head stays floating on top we kind of have that same mechanism working here that they have in the movie. >> how do you control. >> it you control with smartphone, android or ios there is an app here not only can you drive it, you can have them go on patrol do holographic messaging. >> very cool. >> i'm down. >> you are down. >> yeah. >> tell us about products on set right now so we can get a sense of really what we are talking about in these toys
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that everybody was waiting in line for? >> yeah, well you know, you know, the buzz in our community is amazing. that combb8 to i hot toys of highly accepted disney infiniti 3.0 another one that fans are just dying to dig into, it is the perfect matchup of video games, but also collectible figures, and a great kind of entry point for the family to play along. >> how much are these figures retail? >> well you know it is across the board, i mean i don't know the exact to be honest with you i don't know the 7custom and practice retail price they are releasing various charactersets characters from prequel series today's kids have grown up with then you
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have figures from original trilogy films adult fans have grown up with, so you know, it makes it this kind of universal game player. >> bb8, is 150 dollars. >> yeah 150 if you can get one if you can get one. >> is that the big -- if you can get one. >> talk about that what about supplies are you going to have enough to meet demand. >> we have to -- we made so much we made 10x what we normally make, and amazon sold out in 13 minutes. >> wow! are you kidding me. >> they had a lot sold sought. >> how do you get hands on it? >> not -- >> stores opening today that haven't that didn't have them -- apple, best buy even bed, bath and beyond is carrying it but, you got to go --
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>> i wondered if investments buy them now resell after the film. >> a lot in the box for just that at "barrons" we think disney hasbro target you are going to see a bump because of these figures. >> of course, stocks gotten killed. >> good time "star wars." >> we like disney stoksz gotten oversold something like this is exactly the tonic to sort of get investor attention focused back on them. >> is that what you think is going to happen with this film? >> oh, definitely, definitely it is going to be a free-for-all between now and december 18, it is crazy. >> eric moro, paul, and phil orlando i want to thank you gentlemen for being here today thank you so much we will see you soon the jobs' report special, every angle of the report covered with charles payne monsters joany court inner going to tell us where jobs issue we are back in one minute's time.
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maria: breaking right now august jobs' report just 30 minutes away good morning, everyone. happy friday i am maria bartiromo, in 30 minutes we are expecting to see 220,000 jobs, added to the month of august forfeitl fort economy unemployment compensation rate is expected to fall 1/10 of a percent to 5 and quarter percent ahead vlt report weakness for markets take a look where we stand near the lows of the morning once again, with mirror 1/2 before open dow industrial down. >> s&p nasdaq underwater started in europe seeing losses there as well, our dagen mcdowell, jack otter charles payne host of making money, and monster worldwide joanie courtney on deck the jobs' report for the economy, and your money, first the august jobs report will likely be scrutinized more than most now that federal reserve is poised to raise interest rates will today's numbers show what fed is looking for policy makers in july say searching
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for quote some further improvement in the labor market before raising rates how much more improvement is needed want to bring in john brady r.j. o'brien managing director from cme, john what is the magic number are you expecting the fed to i raise rates in a week and a half? >> they should raise rates in a week and 1/2 challenge with this number it could further erode, or at least test fed credibility i think the fed wanting to move away from zero balance last six months always find a reason not to answer your question, market 215,000 nonfarm payroll 5.2% unemployment rate the august number just happens to be most heavily revised nonfarm payroll number in the calendar year, it tends to come in 40,000 soft over next two months gets prefaced about 06,000, so, a problem for the fed today, is if this number nonfarm number is close to 150,000 because traders policy
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makers say okay will it beat 200,000 let's say by october? >> the revision, if unemployment rate upto my recollection the fed also got a challenge say maybe we make it october fed credibility is most important trade today. >> that is exactly what he we were told the beginning of the program we've got a history of august underperforming and that is the question, we bring in master here charles payne, charles what are you looking at with in number how important? >> obviously very important, you know the idea the fed credibility is on the line right now, i don't know that they have a lot of credibility, i am quite frank even notion central banks i know keith mccullough is different dissident do i agree look what happened yesterday in europe ecb, and mario draghi, these guys can't get it done as much as we've complained, criticized, points fine, at china trying to manipulate their markets four
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trillion dollars out of ether sort of manipulation is it working mechanisms we use judge ruled against yavl about procured of it all procedure how we are doing this central banks inability of money to get to main street in my mind an atrocity this number, by the way, idea 200,000 is a good number anything below that mediocrity is rieldz our economy is -- >> totally. >> our should we farther along no, i am glad the congressional bank pajama party is about to end janet yellen is going to put clothes on go to work all other central bankers we will i stand lone if we start tightening us and u.k. that is it. maria: you are expecting a tightening you bet me 20 bucks fed is going to raise. >> i would never bet you 20, i bet john -- >> i bet -- >> i am on that bet. >> i lost the brady bet, by the way. >> i think the big thing fed has been talking about, for you know, really the whole
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past year is that it is not just about headlined number it is wages, it is going to be about labor participation. and i think that is why they truly have not raised rates the concern has been around, the size of the workforce is shrinking people are not participating, in the workforce, so we need to see those numbers start moving the right direction. >> when thinking about a rate increase think about europe they hiked said oops we messed up then they eased again, the fed does not wanted you think janet yellen concerned now major wakes up gets out of bed would have to get back in bed that would not be good so once they start this path as low as it is going to be want to stay on pathogen. >> i gis you are saying 5.2% unemployment rate if combined with people coming back into the job market, and maybe a 230, 40, 50 number might solidify -- >> i was thinking about this
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this morning i thought of you. because what has gone on since 2008 really, people who disagree with thet's policies have disagreed with what washington is doing, you have been a loser if you bet based on political leanings people who don't like president talk down what is going on in this country if you bet along side of that thinking, you've lot of out. >> i had a radio show kfi based on california orange county a lot of conservatives i always said guys please do yourself a favor, this disassociate dislike for president policies for the fact that a great american companies on sale right oi now. >> by the way, also, rallies play a lot of this, china is so important now first leg of the rally was really the global economy coming to the rescue particularly china why caterpillar did so well apple did so well this rally i wouldn't skai a rally because of president obama, by the way, when minions talk about that you hear to your point
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people say what is going on in this country wages at all-time low percentage gdp but profits are all-time high, half those profits came from outside of the -- >> i got to pushing back on you now, you are telling me profits all i am a high the performance second quarter up .04%. squat. no growth no growth. >> energy, though i think significantly more, energy impact on energy is has been, it is like someone dropped a nuclear weapon on them, take that out we are up, pretty good. >> made connected yes, stocks have gone up, profits have gone up, revenues have not kept pace. >> one of the things profits have gone up because companies have been holding the line on wage increases, wages we can't to see go up labor share of gdp, has been shrinking, in recent years, that concerns a lot of investors, because some point that is going to reverse, revenues have to keep
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pace. >> and they blame obamacare speaking about that. >> being of course. >> i am just saying. >> obamacare -- >> that is the point i think joanie -- i was asking last nights on the show is this indeed the new paradigm shift, you know we saw productivity numbers this week ago ag and productivity miracle for me euphemism we could fiery people not hire them back that is productivity miracle. >> companies are hiring different so jack to your point that they he will held down wages they have also held on hiring that is why not seeing robust you know months of 300,000, you know or more, in job creation it is because employers are contenders, we make that investment, do we really add, and so, focused on that, cutting costs, trying to drive you know, obviously profits to the bottom line but top line revenues are not grg as much. >> you know the question i am going to have for you ask you every month, where are the jobs, so that is what i know our viewers want to know john brady back to you a second
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bring up what charles said energy a key sector to keep an eye on oil industry, hammered by low prices, we've been debating on this set now for weeks, the knockon effect of the sell-off in commodities you are you spepg being noon being noon being noon febt to the economy oil 46 dollars probability means more job cuts. >> that is right -- maria, maybe some job cuts in the center of the country but keep in mind as oil has been volatile it was extremely volatile this week volatility moved higher in most front month oil contracts the story i gos that some of the builds in texas oklahoma not as strong as one would think global a demand continues to out strip, globe supply by 2.2 million barrels a day, and our new best friends in iran want glob crude oil close to 70, to
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80 dollars a barrel if that happens hiring would reverse we could see hiring start to resurface again, in the plain states the places like that. >> i think you make a great point we said earlier iranian oil minister yesterday said that he thinks 70 to 80 dollar a barrel oil is fair. >> -- i bet do you. >> ready to come only as much as 600, million barrels day. >> 08 is fair charles, we don't wish a doubling in oil prices just for job creation in one industry 70% of the economy ask is consumer driven every single one of us benefit from lower oil and gas prices. >> including those paenz. >> yes crucial point one thing in jobs errors manufacturing is going to take hit a the rest of the world is not buying from us services will do better because that is the domestic, oil helps manufacturing, she helps manufacturing it is a boon to area of the economy that needs help. >> big time we know you have
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to get back to desk for number out in 20 minutes we appreciate your time, john. >> thanks maria thanks for having us. >> john brady in chicago coming up waiting for latest read on labor markets a big number the wage numbers something i know charles payne has an opinion on going to talk about that joanie is going to tell us where in this economy are we seeing companies hire? we will be back. ♪ ♪
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everywhere that we go he makes people laugh and makes people smile and i feel like i have that quality. he's the one that always takes me fishing. i watch golf with him. [laughing] i watch him cook, 'cause when i grow up, i want to be a cook too. we have the same faces, like this. dad is the one, when you fall that picks you up. that unconditional sense of presence and um, reassurance, is really what makes him my father. the unemployment numbers what they say in about 15 minutes core part salaries top concern for the federal reserve sluggish rise in wages july jobs' report found the rise in hourly pay has been slowing, charles today's report could prohibit whether the slowdown
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is mom tarry blip or beginning of a sluggish trend what do you see as the reason behind sluggishness for wages. >> i think a couple things we see, like extraordinarily high job openings, you've got a tepid people working still very tepid high skills might leave one job demand higher salary somewhere else not like normally would there is the thing talking about more and more that midskill level, not -- you know not necessarily college degree not necessarily high school, that is another problem as well, so you combine all those things, and the fact that employers still have luxury of being delivered on hiring process that is what we get i think. >> isn't that the issue, companies can and want to hire, workers but they don't have skill set. >> that is required, so where are the jobs viewers want to know who is hiring who isn't. >> there are jobs out there across the board. different industries different sectors but the hottest
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certainly technology, you do have to have a very specific skill set and experience, you know, software developers, application developers programmers, analysts rolls are in such strong demand right now everything involving like big data analyzing big data some of the hottest jobs out there, and skills that are in demand. but then on the other side there is also administrative assistants coming back, we are seeing a surge of that, retail workers, that we have heard layoffs recently there is a lot of retail jobs out there, so it -- you know there is a lot happening, in many different sectors. >> one big issue with tech though think how many jobs exist, one favorite example facebook, market value 250 billion, 10,000 employees, that is the new that is the new economy, old economy ge, market cap 250 billion, 300,000 employees versus 10,000, so this change in the economy is progress it is good
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going to happen but going to be a lot of dislocations in the process. >> the workforce looking different that shift seeing companies are hiring differently sometimes may only the want that contract worker to come in and do a project, or we're seeing people, that want to work more, on kind of what they are saying the gig economy, the on demand economy could really change the way the workforce looks. >> you do see the minutes paid by giant retailers going up that is going to continue to trickle through next couple years the gap mcdonald's -- >> you know. >> -- dagen, higher than actually federal minimum wage fairly low but definitely going up several dollars. >> social media has been really big factor in driving that up has to do with customer service you will see that people are hiring more customer service reps paying
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trailer workers on front lines more, because if one has a bad experiencing they are out there -- >> hire minimum wage that is the thing that you are -- >> i hope not. >> minimum, that big companies pay, it will start showing up in numbers absolutely. >> i am saying if minute wage if a company goes from paying an employee 725, to 15 dollars. >> that is not going straight to 15 there is no way, listen -- >> cut jobs, guys you know that. >> first cut hours mall wart just did that. >> then cut jobs. >> walmart says raising wages a month later we have got to start cutting hours after that they got to start cutting jobs that even -- >> you snow. >> making it work. >> pays better doing very, very well part of the reason customer service as well -- >> that is why a lot of companies paying people more because they can't keep them, and they need better customer service people tweet about the
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lousy service and it ends up hurting the business. >> you are right, social media, impact, jobs report minutes away we will see if numbers confirm what we are talking about a blockbuster month? how will it pay play into fed plan for rate hikes -- usually an under performer expect weaker-than-expected numbers all-star panel weighs in on jobs, next. so you're a small business expert from at&t? yeah, give me a problem and i've got the solution. well, we have 30 years of customer records. our cloud can keep them safe and accessible anywhere. my drivers don't have time to fill out forms. tablets. keep it all digital. we're looking to double our deliveries. our fleet apps will find the fastest route. oh, and your boysenberry apple scones smell about done. ahh, you're good. i like to bake. add new business services with at&t and get up to $500 in total savings.
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not the other way around. maria: welcome back on watch the minutes away from august jobs' report a decision in less than two weeks by federal reserve will fed ray of rates how much looking at the jobs' report in making that decision, steve from heritage foundation joins is steve could today's jobs' report be factor.
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>> i think fed is 50-50 when rates go up or not, by the way, i am very much in favor of a rate increase regardless what happens with jobs number i think it could help the economy, i just wanted to add one quick thing, i was listening to your fascinating conversation you guys just had you know charles payne is exactly right. when i talk to employers around country maria you know what they say biggest problem is right now finding the right employees finding you know, amazing thing here we have you know millions of people out of the workforce can't find a job, but it is this skills mismatch maybe the biggest single problem in the economy, part of it you know kids are graduating from college, with sociology degrees mob wants it. >> h-- nobody wants it. >> how do you get the training to thrive. >> probably, implode educational system to be quite frank, jobs how many for eners, i am not trying to be -- trying to disfor eners how
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many graduate from american universities every single year with amazing degrees, donald trump, gos bag to my question first place why are not we graduating high school kids who should be filling those spots in the first place. >> the survey now and then a supplemental, that is not long ago what had what are was toughest things advanced math skills number two pink unctuali. >> this is why let me say one thing it is important, this is why raising the minimum wage is such a terrible idea because what are minute wage jobs vast majority starter jobs raise hand if first minute wage mine an hour working in a warehouse what you learn charles maria on first jobs, is punctuality how to be nice show up in time, all of that stuff those job skills that kids are not learning a big problem.
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>> i have to add one of the things we are seeing with customers fat monday maybe fortune 1,000, 500, they are now recruiting at high school level. going into high schools telling them, here are the jobs where they are on in the the future you need to get degrees in science math, and engineering, they changed it for kids consulting firms they are so concerned, that they are not going to have the talent when they need to hire them, recruiting at much lower grade level. >> that could change educational system if you -- change the thinking of teenagers about how much am i willing to pay, for an education, based on what i am going to get paid, when i graduate. >> the basics like steve was saying having kids learn getting in on time doing -- >> you have to learn by experience, my first job. >> my first job i got fired, i mean -- fired from some -- >> kleinfeld departments my
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first job i was a stock girl carry all big woegd drefrs heavy unfortunately before i put them back into stockroom would try on dresses. >> and i was dreaming about my own wedding -- >> i learned a very important lesson quick in my career -- >> case do your job. >> i working in mcdonald's in this down i knew rush hour crowd coming if for lunch break would make too many quarter pounders you shsaw burgers making one in the back -- superburger. >> oh, my gosh. >> thank you steve moore. can a business have a mind?
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ing ) - okay, josh, do your stuff! okay, people, you know the drill. - canned foods only, guys! - ♪ sometimes you got to give and not receive ♪ ♪ sometimes you got to live what you believe ♪ ♪ open your arms, 'cause that's where it starts ♪ ♪ right here with you and with me ♪ ♪ what the world needs now is love... ♪ ( josh speaks ) ♪ a little help from up above, fit to make... ♪ a message from the foundation for a better life. >> breaking news, we're moments away from getting the august jobs report. economists or calling for 220,000 jobs created in the month of august. we're looking at a weak market this morning.
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we're expecting to see the market open down about 125 pointsment we should point out, charles payne, this is off the weaker levels the morning. we have been down almost 200 earlier, but this is an important jobs number. charles: obviously. and how they interpret it, we'll go back and forth. we'll have more than one interpretation. the fed meetings, the markets go up and down and a lot of people play catchup. >> and we'll ask the real number. market turmoil has to play into the fed's decision as well as the real number. dagen: i think that anything bad is bad for the markets. higher thinking of investors is skewed toward a global recession. it means-- . charles: i agree a thousand percent. >> and june, july, wages, trying to look at labor participation rate. are we see more people into the work force, there's a lot to
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dig into, more than just the headline number. maria: and the wages have been stagnant for so long. we're expecting to see a movement in wages as well as the labor participation right. we've got peter barnes on the scene and he's got the number. >> nonfarm payrolls rose 173,000 new jobs in august, below expectations, up 173, below expectations, but the unemployment rate fell to 5.1%, a bigger decline than expected and the lowest level since march of 2008, seven and a half years ago. there were significant revisions up for june and july, a total of 44,000 more new jobs than previously reported and the unemployment rate falling for the right reasons. the labor force was steady and more people found work. wages took a healthy jump last month, rising 0.3% to $25.09 an hour, but still up only about 2% year over year.
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average hourly work week rose over 36 hours. and 62,000, leisure and hospitality, plus 33,000. and state and local education jobs as the school year kicked in, and professional and businesses services up 33,000. check the last month that looked like they could have been affected by the economic turmoil here and overseas. manufacturing fell by 17,000 jobs, maybe because the high dollar hurting exports, mining and logging, which includes oil production down 10,000 jobs. retailers added just 11,000 jobs last month and that was a big slowdown from previous months. construction was basically flat. the u-6, the big picture look at the unemployment jobs, the jobs market, 10.3%, the lowest since june 2008. so, that slowly grinding down.
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maria. maria: thanks very much, peter barnes with the latest numbers there. 173,000 jobs added in august. you were right on, that it was going to be below expectations. >> i think this was 250. and you add that to wage growth. not huge, but about the eoe eth- better than recently. if in fact this is going to decide the fed, this is a raise the rates number. >> is peter still there. maria: peter barnes, are you still with us? >> yes. >> the 173, you're saying that the private sector only created 150,000 jobs last month? >> that's right, charles. 33,000 jobs mostly in government, mostly state and local government hiring for the start of the school year. maria: let me bring in steve cortez founder of vara cruz, what's your reaction this morning? >> very underwhelmed.
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i'm a product of the 1980's, back then 500,000 jobs were added and we were a much smaller country. is there an improving labor market? yes, at an absolutely snail's pace. it's nice that the wages are picking up we're only at a 2% club. in a year of recovery we should be at 4%. health care and education skyrocketing and 2% is not allowing them to participate in the american dream on main street. maria: we had been down 180 earlier and down to 120. the market improved the last couple of hours or so. what is your reaction to this report? >> it's tricky here, my guess is stocks, i'm generally bearish because i'm skeptical on global growth. i think the u.s. for a long time has been atlas carrying the globe on its shoulders.
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whether atlas will shrug-- i do not believe in this environment that the fed can jump the rating rate and that might help equities for the near term. dagen: on hold for how long. the expectation has been they're going to raise in september. they can wait for december, several more jobs report or as jack was and talking about all morning the revisions to this report and we'll clearly see. peter noted 44,000 extra jobs added in the month of july and june, so revisions there, better there than originally reported. maria: and what does the report say where the jobs are? >> when you look at that, i'm surprised there are not more jobs in the professional and business service sector. that number is low, so-- >> that's been a place of hiring. >> yeah, that was a significantly low number. i would expect with revisions next month that we see that number bump back up because those are really where the jobs are at. you know, retail again, has been a little bit stronger, so
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the retail only came in 11,000. so, you know, what is surprising to me is that we didn't see more construction jobs this month. you know, the housing numbers have been so strong. you hear the craze with, you know, home depot and lowe's and the home improvements projects and people are back into investing in their homes. new home sales is up. i'm surprised even some from a commercial standpoint we didn't see more construction jobs added. to me, the most interesting thing in this report is that 196,000 people entered back into the work force, so, just about 200,000 people participating again. and then unemployment went down, it was up at like 8.2 million unemployed people and we saw that come down by 237,000 people. so, those are two factors, less people with unemployment and more people participating, which is really driving that unemployment rate down.
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dagen: it came down for the right reason. >> for the right reason this time, really shall the first time that's happened in a long time. maria: charles payne, how do you feel. charles: the number came out and the dow didn't move. maria: now we're back down. charles: it's a tight range, reinterpretation, reinterpretation, we know the history of these things. the federal reserve to make a policy decision on a hunch that these numbers are going to be significantly revised higher, i just don't think that's going to happen. if it does, and back to dagen's point. i think the stock market wants to see good news, we want to see the rate hike for the right reasons and that the u.s. economy is chugging along. i think that it can handle 25 basis points, not for wall street because america-- >> i think if it doesn't raise this year, i think the market sells off. dagen: i totally agree with that. i think that the federal reserve, if it raises, it will
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raise because, hopefully, the economy is strong enough to handle it because it needs it because of an up tick inflation and i think that if they don't, i think that katie bar the door, because it would send the signal that the economy is in much worse shape. maybe not in september, but certainly by the end of the year. maria: yeah, yeah. dagen: it's a $20 bet. >> maria, you know what the 10-year bond is doing. maria: we're going to see that, nicole petallides on the floor of the new york stock exchange, looking at the fend funds rate and in terms of equities we're back at the lows. nicole: that's right. the dow futures down 191 points near the lows of the morning. we're looking at the 10-year bond, 2.13% and i just checked, fed funds futures to try and get an indication of what the futures traders are betting on. interestingly enough, maria, for the month of september, that 16th, 17th meeting, originally this morning at 5 a.m. it was 27 it%. that has since bounced to 19%
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for september are to the october, a possibility of a hike, 36%, and so, obviously, the bet continues to be for the december meeting, that 53%. dagen made a great point earlier citing that the october meeting didn't have the press conference following so it was less likely then and that may be true as well the and the other thing that's coming into play now is 25 basis points versus 50 basis points and if they do that in december will they actually do 50 and give a bigger jump? that will be another topic of conversation as well. maria: that's the lows of the morning. thank you. things are worsening, i'm wondering what the reaction is about? how do you analyze the he reaction? >> i think more to do with the economy than the fed because the bond market is not moving at all. what people are doing, saying, this global turmoil is reflected in the u.s. economy and that's why you're seeing the stocks and keep going down.
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221. charles: we started the conversation about the fed credibility and the bank credibility and off-springs or proxy or take things where they normally wouldn't go. if they allow the free market to be free, there's pain from time to time. and we should go through life and never have hiccups and bumps and bruises, maybe the fed is inconsequential nonators what they do. dagen: if the market is trading down. what is the most important? the unemployment rate is significant improvement, but the job creation is-- >> well, 200,000 in the labor force is a nice start. i mean, we have millions left. i don't know that one number, positive number is enough to erase the fact you have more people have more or less given up on the american dream and sit on the sofa and play video games because they have they don't have confidence.
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hitting the bricks over 300 million jobs created. 1.6 million, over half of them is because people ran out of unemployment benefits and this to look for jobs. maria: peter barnes, we've got more. >> i want to talk about janet yellen's labor market dashboard. maria: and you were at jackson hole last week. >> i was. maria: yes. >> she wasn't. [laughter] and peter-- >> one of the things she was looking at is people working part-time for economic reasons and we actually saw a reversal in that last month. 6 1/2 million people working part-time for economic reasons, an increase of 150,000 people over the month of july, and we've been seeing that number trending down and it took a big reversal last month. she watches that and also, this 2.2% increase in average hourly earnings year over year. remember, a lot of that might be driven by this-- the increases in the minimum wage that have been kicking in
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at companies and in states across the country. and not necessarily by market forces, by necessarily more demand for workers. dagen: peter, i just wanted to back up. so that working part-time for economic reasons was up over july by how much? >> 150,000 more people. dagen: that's a big number. >> that's a big number, yeah, that will give the fed pause. maria: i guess there were reports yesterday in terms of strategists out there in wall street, basically speculating that the selling is not over. even though we have been seeing stability in the last couple of days or so that we're still in this corrective mode. it certainly feels like that this morning. charles: charles you've got to retest the bottom and the dow back to 15,666, an ominous number to be sure, that would be what, what, another 500 points, almost 600 points where the futures are pointing right now. and also, remember, guys, they say on wall street, the market
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doesn't begin until everybody comes back after labor day. the month of august has extraordinary moves in part because the big boys are out, chilling out at the hamptons or wherever they chill out and we'll know a lot more and get a lot more clarity on the markets when they come back. over the last few days we've and getting reports on the big guys, i call them the pharaohs of wall street. >> they took a trip to-- >> david einhorn terrible month. maria: look at government jobs 33,000 up and you've got manufacturing and mile per houring in the dump, no surprise there with what commodities have done. joey, comments on some of these numbers? >> yeah, i think that we are all going to be hoping for some upward revisions to these numbers because they do seem very low. i mean, health care, obviously, has been one of the strongest sectors, we've seen that across
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the board. nurses are in demand. maria: we're going to need more in health care profession. >> that's a strong number. for the past few months we've seep it at 30,000. and we've seen a strong need for health care workers. construction, manufacturing, to have a loss of 17,000 jobs when we start today see some expansion. even though it was slow, we were seeing expansion in manufacturing. so, that is a real disappointment. what is interesting is, i always look at the temporary numb number. part-time workers and then temporary workers. temporary workers grew by 10,000, showing employers are adding temporary workers. they're using labor differently. they want more flexibility in their work force. last month, it was a negative 9,000, so, that's about 20,000 jobs from month over month. >> and that is how recoveries go. they start with the part-timers
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and once they get enough confidence, wish that would happen, bring them on full-time. one thing we should think about, the markets, japan and australia got hammered last night, thursday, and look at mining, australia, it fits together. and that's why-- >> and it's the first time in 24 years-- ments canada in is in recession, and japan is in recession. let's not forget about japan in recession. and the global is slowing. steve cortez you've been talking about this and why you're bearish on the market. are you a seller down 200 on the dow? >> i don't know if you sell here, i believe that the fed is on hold. in general, do i think that lower prices back in? yes, i do, sadly, because of global growth. i think that the united states is doing relatively well. but you mentioned the trouble spots on the globe. australia dollar six-year long and hong kong closed at i believe, a three-year low. the risk is still to deflation,
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not inflation. if the fed-- look emerging market stocks have been down now seven weeks in a row something they've not done in four years. if the fed raises rate into that kind of a global slowdown, i think it truly risks an emerging market collapse on the fed knows that and won't do it. maria: emerging markets. you talk about the last several weeks, how about the last several years, there's been no let up. does anybody on the panel see a catalyst for the emerging markets to start moving off again? >> i was talking to a guy who looks at long-term investing. ten years going forward in the u.s. based on current valuation, sees 2%. and emerging markets 7% over the next ten years. the price to earnings ratio, it's going to be a rollercoaster, and you're going to get hurt if you buy today. ten years out he sees great opportunity there and domestic investors should think about this. we all tend to be overweighted domestically.
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you look at long-term. dagen: no we don't, not anymore. the money has been going out of u.s. stock funds since the downturn. >> the average person is very overweight u.s. equities. dagen: you're saying what financial advisors say they should have been putting their money in the emerging markets since '08 and that's where they've fallen on their face. maria: and now in europe. we'll talk about that when we come back. peter barnes and steve cortez, thank you for joining the conversation. creating 173,000 job in august, below expectations called for a growth of 220,000. futures have been bouncing around for weak today. take a look, we're expecting a decline at the open about 178 points. more from our panel after the short break. hi my name is tom. i'm raph. my name is anne. i'm one of the real live attorneys you can talk to through legalzoom. don't let unanswered legal questions hold you up, because we're here, we're here,
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and we've got your back. legalzoom. legal help is here.
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>> a big morning ahead on "varney & company." two presidential candidates, carly fiorina and mike huckabee, we'll be talking with them after the show on fox business. stay with us at 9 a.m. for stuart's show. the economy created 173,000 jobs in the month of august, missing the expectations, calling for 220,000. the unemployment rate in august fell to 5.1%. our panel is still here looking at the repercussions here and the impact of the dow jones industrials futures right now. down 200 points. it's going to be another tough day at the office. what do you to in this environment, charles payne? >> i would think that most people have taken action the last three weeks, some people took losses, some people raised cash, some bought some things. and consider this, we're into a three-day weekend, how scary is that? and then we've got to deal with china on monday and haven't had
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to deal with them for a couple of days. we've got a lot of dark clouds on our horizon. >> do you have a portfolio with a level of risk that you can live with? and i think that people ask that question and made those decisions and made those moves. >> unfortunately-- >> a week ago. >> with individual investors and i deal with them. a lot of them come to me and they say i want to be an investor and own stocks. maria: that's not a trader. >> when they go down, you know, in these kind of environments, they don't have the nerve or-- to hold on. we're talking dow up 190% and gives back 12% ap people are taking losses on things more than likely they'll regret six months from now, a year from now, certainly as an investor a year from now. if you open a pizzeria in new york city, if you sold it on day one, you'd only get half the amount you poured into it. you approach that as a business owner. if i buy nike, i'm not taking a loss on it.
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i don't care. maria: you've got to be long-term thinking and your cover story is long-term thinking over the weekend. >> and it's semi long-term and the end of the year, see 10%, now 11. >> that's the short-term. maria: that is short-term, but i'm saying-- look who you're talking to. long-term thinkers. i agree. a target for year end is not long-term. >> this has got to be a gut check now. how painful is this for you? we're only back to what, probably the beginning of the year, middle of last year right now. so if you can't take this, it's time to get out of the kitchen because it could get a heck of a lot worse. >> in this issue, strong market crazy world. it will hit stands tomorrow morning. you also have an article about dividend payers and about income. so, looking for ideas, safety ideas in a market that's down 257 points, by the way.
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we're down 260 on the dow. >> a couple of our writers come from different angles and we excluded telecom and they're yield, 3, 4%. maria: give me one or two. >> i can't because we're not recommending, but-- >> what good are you? why did we book you? [laughter] >> and as of yesterday, 5 1/2% and today probably yielding more than that, garmin, they're not the sexy one in thiswarable technology, but they have an interesting balance sheet. charles: that's the point, these attractive yields, can they maintain them? >> garmin, and the energy companies don't have the cash flow to support the juicy dividends. >> and keeping those dividends or the stock-- >> chevron in part because of the dividend, they'll fire people about of they cut the
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dividend. maria: and in the sector, don't worry, we're keeping the dividends where it is, we're going to cut 1500 jobs, but the dividend is safe. dagen: and the stock and a potential dividend cut, too. >>. maria: they're not going to cut dividends in the energy sector. >> it feels like they never got enough. when they cut the dividend, oh, man. maria: we've got a serious situation, the futures at the low decline in the trading at the opening 300 points. dow futures down 284, talking a decline of 1 3/4%, know the a lot of places to hide in the market. dagen: this is a sell first, ask questions later market. that jobs report was not enough to warrant that down turn. charles: people should not change the channel. we were up a hundred points yesterday and gave it back. these guys starting up or down 200 points is par for the course.
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maria: you're right. joey, is there anything from the report that you can glean where the growth is it? >> everybody is looking for growth at 2% and in a world where interest rates are at zero. >> where is the growth coming from? you know the hottest sector still remain to be technology, health care, pharmaceuticals, you know, those companies are still hiring. they have many openings out there. they're having a difficult time actually finding talent and we talked about that before, but that is a very, very big challenge. what concerns me on the other side, is retail. retail, we only saw 11,000 jobs created when in previous months we've been creating over 30,000 jobs. so, we've heard about a lot of layoffs coming in, you know, certainly the retailers, energy sector, of course, has been one of the hardest hit in this area, but this is the time right now that retailers really start to ramp up they focus on--
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>> ramp up-- >> we've heard year over year that normally retailers are ramping up for a good holiday season. we're not showing that as much, so we need to see what's going to happen now. maria: this has been an amazing conversation, everybody. want to thank dagen mcdowell, charles payne, joey, don't forget you can catch charles payne with i can making money on charles payne. he will have the closing numbe numbers. charles: and a box of kleenex. maria: and a box of kleenex. appreciate it very much. the market is down 270 now. 30 minutes away from the opening bell. we'll be right back.
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>> i want to show you the futures right now where indications are that we'll see a decline in the dow jones average, back and forth from the lows this morning. we're looking at a tough opening although we are
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fractionally off of the lowest levels of the morning. of course, this is after the unemployment report. the unemployment rate fell to 5.1%. 173,000 jobs created and that will do it for us. i'll see you next week. happy labor day everybody. stuart varney, have a great show. you have a big one. stuart: we do, indeed. isn't this a smart move to buy stocks before a three-day weekend when the market has been all over the map? we're going to find out today. good friday morning, everyone. first up, that weak jobs report, that's the way i characterize it, 173,000 new jobs and the participation rate stayed at a generational low. investors not happy and the dow will drop, 260, 280 at the opening bell. donald trump confused by questions on foreign policy? is this a repeat of the sarah palin, i can see russia from my house gotcha question? he doesn't care. he is at a 30% support level way out front. will joe biden


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