tv Varney Company FOX Business May 8, 2018 9:00am-12:00pm EDT
maria: great show, dagen mcdowell, jon hilsenrath. dagen: i chose you instead of met gala any day. charles: charles payne for stuart. president trump will announce his decision on iranian nuclear deal this afternoon. most signs pointing to him tearing this thing up. iran is already warning against that. meanwhile the markets wait for the president, stocks are down this morning after pairing gains after announcement. for price of oil, believe it or not, it's actually oil, dispute of the news with iran and don't forget venezuela, people think it should be going higher. and then we have this, the antitrump attorney general of new york resigns suddenly after
the solicitous report of allege abuse of at least four women. we are covering all of this, plus primary day in four states. varney & company is about to begin. ♪ ♪ charles: amazing video from hawaii's kilauea volcano. ashley: look at that. that's speeded up time frame video. carton right there, ford mustang, gone. try to explain that to the car rental place. it's getting frustrating now for those people being forced out of homes, 1700 of them. there are report that is some people refuse to leave. i can't imagine you want to stay with that coming at you. the eruptions have slowed down slightly but that does not mean according to geologist that this
is over. not only do you have molten lava chewing up homes and forests and what have you but gas that is could be lethal, sulfur dioxide is part of this. bottom line, authorities are saying, with to have let nature play this out. unfortunately for people they have no clue it's going to be and whether the home is there and how long to get back. geologists have no idea. weeks, months. devastating. charles: let's take a quick look at futures. the market was higher yesterday but paired the gains into the close on a lot of news items. by the way, this is about as good as it's been all morning long, so we are actually building a little bit of momentum as we head into the open, dow jones, futures down 13 points. all the news surrounding president trump's couple things here, one proposing to claw back $15 billion of federal spending, part of that 7 billion coming from the children's health insurance, come on in brian brendberg, business professor at
king's college. the thing is when you hear children taking the brunt of this, it's going to anger a lot of people. >> yeah, this is money that was allocated and not spent, they are taking money that was budgeted, nobody spent it, the problem with this money, charles, if you don't do this, it becomes part of slush fund and gets reallocating. bottom line you never do anything about spend if it hasn't been spent yet. charles: the trump administration over the spending bill, it was totally he ran against, everything the republicans stand for, it felt like it was authored by democrats and this goes some way toward that but is there any chance of using the same sort of ons cure -- obscure rules to claw back? >> we are talking about $15 billion here, this isn't even a drop of the total spending that we are talking.
republicans in congress want to take some credit for the 15 billion, hey, we are crawling back spending, no, no, you have to go a lot further than this, you can probably get 45 billion in clawbacks, but the bottom line unless you do something much bigger than that, you are doing nothing long-term about deficits and the problems that we have. charles: speaking of which, the budget office saying that april was the best month in history, get this, the best month in history for the budget, a 218 billion-dollar surplus. [laughter] liz: by the way, i'm back. ashley: welcome back.charles: i wouldn't miss if -- you if you didn't look so good. liz: look at this, a pot of money. the cbo didn't see this coming. these are the federal forecasters we pay money to get it right. you know why it came in, because of economic growth last year.
we have now seen the president under his administration almost 3% growth better than at any time for four quarters, obama hit one quarter of 3% growth and now the at landa fed -- -- atlanta fed -- that's my point. economy was in deacceleration. charles: having said, supply side economics, this is two days in a row where there's more actual proof, it's not theoretical, minnesota, utah, connecticut, we are talking anywhere from 300 billion to $1.3 billion in surplus, guess what, you lowered tacks, people keep more money and spend it and circulates and comes back to the government, what's wrong with that, brian? >> nothing is wrong with it. but what puzzles me is how people deny the basic reality. it's nice to get data, though, because we can get a sense of
how this actually works and what might happen in 2018, i think there's more of this to come. the effect to have tax cuts still have not been felt by most people. they are going to realize that over time this year and i think you're going to see trend drive forward. ashley: when was the last time illinois had a budget surplus? [laughter] liz: we are laughing about that, oh, my god. charles: i want to ask you about something, we know consumer spend asking two-thirds of the economy. there's more proof that it's going, we saw in gdp number, late yesterday we got news that credit card debt was lower, sharpest decline in 5 years, professor, consumers, are they still haunted in your mind by this great recession, why if their wages are going up, greater job security and the economy is growing, why are they pulling back? by the way, this is two consecutive months of pulling back. >> but march was a decent number for consumer spending. look, i think we had a great
quarter in the last quarter of 2017, people spent a lot of money around the holidays. charles: since then, they have pulled back sharply. i'm not -- i think it's smart. i hope the fed doesn't overreact because it's consumer scared by the great depression not getting over skis. >> they are feeling much better about unemployment numbers. we got below 4%. that's going to be good. through the rest of the year i see consumer spending strengthening, we are move get away from christmas and feel good about their job situation. when you feel good about job situation, you spend. charles: president trump will announce about iranian deal. all right, brad, simple question, in or out? >> well, that's a good question but the president can do two things, he can cancel the deal outright or he can apiece our
allies by saying, we will give them a certain period of time to renegotiate. either way it's dead as written. it's been honored in the breach. president trump is sticking up for us and allies. charles: iran says, hey, we are reaching out and all of a sudden it looks like somehow we are going it alone yet again. the notion that this administration is isolationist with respect to economics, policy, how does the white house deal with that? >> it deals with it by being principled, if donald trump was not tough on china and allies, we would have never made progress with north korea as we have been seeing, there's promise there now. never for decades. the same thing can be said about iran. unless we are tough on adversaries, then they are going to walk all over us. america made a bad deal. our allies were complicit in that. donald trump is saying, we don't
make bad deals in america. iran knows they played us, john kerry is over there trying to influence against the united states and i think that you talk about collusion, there's collusion right there. charles: brad, the president tweeted, by the way about john kerry this morning, john kerry can't get over the fact that he had his chance and blew it. stay away from negotiations, john, you are hurting your country. what do you make of this, shadow diplomacy? some say it's a violation of logan act and private citizen shouldn't be interfering in something like this? >> citizens cannot interfere with countries that are at disagreement with america. there is no country that's more in disagreement than iran. he was complicit in making this deal. we couldn't have made a bad deal in iran without the secretary of state john kerry. he is now a private citizen, he's interfering against the rights of the united states and the fbi should pay him a visit.
charles: so before i let you go, i want to get this in a nutshell because the counterargument here is that getting out of this deal will actually help iran, you know, maybe speed up expedite their nuclear ambitions, create oil prices to go up hurting the american consumer and distance us from european allies. the counter not necessarily argument, but how does the white house make sure it articulates to the american public, once again, america first strategy. >> well, first of all, the agreement is being honored in the brief. the israelis gave us hook line and sinker on exactly what they are doing. this agreement isn't worth the paper it's written on. the american people have to understand that a bad agreement is bad for us. yeah, we may have to, you know, feel some pain, but it's a lot better than -- than the nuclear weapons that are being amassed in iran and ballistic missiles and the terrorism of hezbollah,
al-qaeda and others by iran. no, this has to stop and iran, we can put punishing sanctions on iran and that's what we should do. charles: brad blakeman. >> thanks, charles. charles: meanwhile new york attorney general eric trump attack dog quits over charges, the question now is who replaces him. the judge is next. president obama been out of office for two years but according to report, the obama loyalists, silent army still alive in washington. more varney next. there's nothing small about your business. with dell small business technology advisors
the unknown parts of living with parkinson's. what plots they unfold, but only in my mind. over 50% of people with parkinson's will experience hallucinations or delusions during the course of their disease. if your loved one is experiencing these symptoms, talk to your parkinson's specialist. there are treatment options that can help. my visitors should be the ones i want to see. charles: attorney general jeff sessions sending strong message to the caravan of immigrants on southern border. ashley: jeff sessions is saying, zero tolerance policy and it's in place, he wants to send message to the world that you cannot come to the united states and enter illegally.
listen to this. >> if you cross the border unlawfully, then we will prosecute you. it's that simple. if you smuggle illegal aliens across our border, then we will prosecute you. if you are smuggling a child, then we will prosecute you. and that child may be separated from you as required by law. ashley: so what is required by law if you're caught coming into the country illegally, six months maximum penalty in custody, very rarely used. two years if you're a repeat offender and one of the situations coming with children, they may very well split you up. you go to facility to be processed, the children go to refugee center. charles: perhaps that would be the ultimate deterrent. ashley: maybe, we will see. charles: onef the trump's administration biggest opponent has retired. eric schneirderman has been accused of violence against
women and drug abuse. all rise andrew napolitano is here. judge, obviously a rising star in democratic party, a big voice, mega phone, a thorn in the side of president trump. >> yes, he was very much a thorn on the side of the president. publicly and privately. publicly leading the charge in litigation against the federal government. litigation that can be taken up by whoever replaces him. privately it's very interesting, you know, i have to read a lot of stuff for work here and one of the things i was reading, some of it is solicitous, the peter strzok, lisa page emails, text messages, they reflect a lot of meetings outside the justice department with members of the doj and the fbi and one state official, not federal, eric schneirderman was present at a lot of those meetings, speculation, it was sort of their insurance policy because donald trump can pardon anybody for a federal crime but he can't
pardon anybody for a state prosecution. i honestly believe that attorney general, still the attorney general till the end of the day, schneirderman, was contemplating indicting either people around the president or the president depending upon the outcome of the mueller investigation for violation of new york state financial laws which have a low bar, they're a little bit easier to prove guilt than the federal statutes. now the question is who replaces him and how does it happen? it's an odd system. he's popularly elected here, but yet he will be replaced by a vote of the legislature, so some name will come up. now, can you think of a prominent democratic ex federal prosecutor who lives in new york city? if the legislature of the state of new new york picks him, thorn
the side of governor cuomo, but b progressive that schneirderman was. charles: speaking of schneirderman, he was significant in the sort of me too movement. >> yes, he was. charles: he layed it out there pretty thick and heavy. >> i don't know about these allegations but they must be profound because he went -- he felt like that -- either it's the bubbling beneath for the surface a long time and the evidence is overwhelming and couldn't stop him. charles: president trump put a tweet years ago that alluded that something was going to happen to him and he mentioned anthony weiner and others, but one of the things that eric schneirderman that had girlfriend and in the course of drinking, he would choke her, spit at her.
>> claim that that was consensual. nobody, the four women here, no one is saying that any of this was consensual. so the big picture here is who wanted him to go as quickly as possible, not his opponents but democrats, they did not want this albatraz around their neck. he resigned within two hours of governor cuomo said he had to go. liz: he hit two women so hard he needed to see doctors. >> how do you defend against that? there's no defense. this may not necessarily be good for the trump people because he might be replaced by someone whose political goals would be the same but his personal behavior would be acceptable. charles: yeah, this particular office has been a political launching pad. >> i think he thought he was going to be governor. andy cuomo was attorneying --
attorney general before governor. liz: if reports are true, he's a monster. >> it's hard to believe that he's not true. a summary resignation like that. charles: appreciate it, judge. how is this for a stat, 8% of all greenhouses gases come from airlines, may tell to leonardo dicaprio as he fights global warming. [laughter] charles: markets edging back, we are down a lot more than this, we will be opening up in just less than 10 minutes. mom, dad, can we talk?
sure. what's up, son? i can't be your it guy anymore. what? you guys have xfinity. you can do this. what's a good wifi password, mom? you still have to visit us. i will. no. make that the password: "you_stillóhave_toóvisit_us." that's a good one. seems a bit long, but okay... set a memorable wifi password with xfinity my account. one more way comcast is working to fit into your life, not the other way around. mr. elliot, what's your wiwifi?ssword? wifi's ordinary. basic. do i look basic? nope! which is why i have xfinity xfi.
it's super fast and you can control every device in the house. hey! let's basement. [ grunting ] and thanks to these xfi pods, the signal reaches down here too. so sophie, i have an xfi password. and it's "daditude". simple. easy. awesome. xfinity. the future of awesome. charles: were going to keep playing number game, we have another one for you. a tenth of global co2 omissions. ashley. ashley: nature climate change, you know where this is coming from, u.s. notorious related to car omissions. the aviation in this country, 12th biggest carbon omission in the world. china number two, india number
3, méxico number 4 and brazil number 5. bottom line is the thrust of this article is that, well, you know what airlines will have to start paying carbon taxes. liz: how about celebrities? ashley: that's a good point. they say air passengers will double by the year of 2036 to how many, nearly 8 billion people traveling a year. in other words, it's going to get worse. charles: china would be number one then. [laughter] liz: right. middle class in china and india. i love guys like leonardo decaprio, polluting just to fly around the world to talk about climate change. you know, they say, we need government laws to stop climate change but they don't have the self-discipline to fly commercial. charles: you know what, the people at the events that really hypocrites in my mind, at least george clooney say i can't fight
climate change because i will never give up my jet. thanks a lot, guys. in the mean meantime, folks market open in five minutes. not a lot of panic, anxiety, wait and see approach to this market. the market has made remarkable reversible but needs further cat -- catalyst, varney & company will be right back. metastatic breast cancer is relentless, but i'm relentless too. mbc doesn't take a day off, and neither will i. and i treat my mbc with new everyday verzenio- the only one of its kind that can be taken every day.
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>> all right folks open bell just 7 seconds away, in fact, five seconds away and look something of a mixed open here. remember are, though, we've had a remarkable stretch in in market where market has shown thursday, we especially saw friday, with a 500 point reversal and then again another up session yesterday. you can see, however, right now a start or populating our board more red than green the screen. general electric piepgding nibbles here and there a lot of people guess maybe the worse is over. disney surprisingly lower but i think they have earnings report that has got some interested right now. take a looked a s&p 500 yesterday also higher. that i don't know if that's the right quote for the s&p. >> i got the s&p down -- about .2. of course a check on our nasdaq down about -- because nasdaq is regained a sort of momentum if you will.
all right mean tile, big news comcast reportedly getting ready to go ahead go head-to-head, in fact, with disney for 21ist century fox. joining us now ashley webster elizabeth macdonald mike murphy and brian. big decision on 2 p.m. what impact mike is this going to one market? >> wonder if this is one of the new events market had a really nice move up and weathered the storm and moved up last few days into this event. but i think if the president can get his point across in a way that the markets understand lays out in a clear concise fashion markets will catch earnings. but markets looking for -- >> to be honest i don't know. i don't know if the market wants him to stay in necessarily if they want him to move out necessarily. i'm not starting out i don't know what the market -- i think that's the biggest thing is -- on the rhetoric it can add to the uncertainty. allies would that help? >> i'm not sure about that. i think mike has it spot on that if he's clear, if the president says listen, this is what the
u.s. and world needs. if iran starts expanding its nuclear capable with advance centrifuge then snack back sanctions will take place there's nothing objectable because that's what obama said would happen but market could come down if he's clear in rit rick and spot on about iran is doing in violating the deal. >> other aspects that obama administration didn't account for right the ballistic missiles ambition spreading terrorism around the world in large part that to pallet of billions that we supplied them with. those are element it is that i think weren't taken into account that probably have to be part of a fresh check lust of items to enter any deal. >> markets want clarity on this if the president is clear the rest of the world will follow and markets will be woke with that. >> all right folks wal-mart and sames club pharmacy says they're going limit customers locally prescription to just one week supply -- company it sounds like a good idea. would anyone october to this? >> no. i don't think so. >> i think we know for a fact
that it's over prescription of these opioids got us where we are now. any effort to come back. fair enough. 115 a day in this country die from opioid addiction so i think that this will be if nothing else it will be good press for wal-mart but help a lot of people. >> in the house and senate also moving forward with panels going to go deeper into this. i believe that drug companies have come into focus here, but other side of this is people who are real serious genuine pain saying we have no alternative and getting very afraid because unless you've been playing in that bed with that kind of pain you don't understand what it's all about. >> absolutely, that's why cannabis industry is also having such a big move to the upside a lot of startups and we run a venture capital fund startups using the medical marijuana and a lot of people getting behind that now. >> is that one of the reasons administration is looking the other way right now, you think? >> i think they have to do thing about about that because it is legal up in canada but as a country we to make a decision if we see marijuana as gateway drug
or if we don't. i think there's a lot of positive medical uses for it. >> all right folks, of course, don't forget apple. getting closer to that trillion dollar market evaluation. all right here's the the big one a trillion bucks by memorial day, absolutely. really, it will get there. you look at the quarter they put up and again so much negativity around the stock and missed product cycle so many making these sames. catalyst, though, because we saw a major 20 point move off a the low of earnings but they don't report for another three months now. >> so still trading in the teens as far as a multiple goes. still has a lot of cash they could look to pull levers as far as cash goes they could also remember they once split the stock down to 80 which you know doesn't do much for it but the optics of that would probably get more people in there buying. >> it will go up stock buyback so makes that earnings for share number great and momentum driving it 195 to make it first 1 trillion market valley company
but it is the one to hit it first. before amazon before the others. i think it is -- >> to watch that. mike i want to ask you because one of the things that bothered me with this whole happen l thing and roll of shorts in the market. you know, apple short position went from 33 million to 43 million in the month before they reported wall street was negative, you have down it grades to everybody that went on tv said they were going to miss -- what is there something inharnghtly wrong when you've got long short position in street talking down these stocks at the same time? >> i don't think there's anything wrong, and if anyone was watching stuart's show they got it right because we talked about apple before earnings and didn't think they were going to miss but fine to give your bearish stance and a lot of a times people come on there talking their book that's fine. but i think elon musk takes it to a whole other level there are people getting against his company fine. there were people betting to this number and they've got it wrong they missed badly and
lost -- >> i don't worry about that but individual invest or tore spoofed from time to time and may have sold tesla at 40, 50, whatever or apple -- at 164 -- and now we're talking about a hitting 200 in a month speaking of mosque by the way putting his money where his mouth is buying more shares of tesla that company, of course, is just days after he was topping these short sellers. he bought 33,000 shares around 300. does he like that? >> i don't. so i've been a huge fan of elon musk so brilliant running free great businesses, but when someone is going public and fighting short sellers we've seen it in the past. usually it doesn't end well and to come out to say they will not need to cap to raise markets it was a huge misstep by elon mosque and if we were loan the stock i would be a seller right here. >> what about brian, the ceo putting his money where his mouse is that's account for something. >> well his mouth has been in the wrong place so much and putting his money somewhere.
but i think the problem with elon muck if he's trying to manage a company in a process at a different level than he has in the past can he move from entrepreneur to manager to corporate leader the way he blaifed on that corporate on that call the other day suggest he's got a lot of room to grow. putting his money there to say look i can do this i'm in for this and make mistakes but i'm not backing down. >> he shouldn't have said not to raise more capital but they have -- it in the market to raise capital what he could do we know is this company was insol vengt about eight years ago and took a stake. toyota bought into the ipo also there were talks between tesla, e elon musk, and larry page at google to tesla to sell itself to google. that could be down the road because that debt swamping shareholder equity that has been underwater balance feet. >> let's talk about another sort of formally hot spot zillow doing well on the environment and fell short. company remember this company when it said iten plays to buy and sell homes, so maybe brian
that was a hint that they were grappling for ways to sort of -- ways to grow this business. evenings yeah they're surging for something and problem is if they go into this business it jeopardizes with real estate agents one of their big soirses of revenue so a see a company trying toking for out how do we grow, where do we go from here and answer is is not clear so seeing the stock get hit. that is where you hit that balance sheet. when they have so much information at their disposal they acquire and take this big data it is artificial intelligence data mining to find ways to monetize that stuff. >> they're going to know where you should buy a house and what house to buy before you know that you like that house. not put it to you. exactly. >> i am okay because i think that, all of these companies in the space they're gobbled up by some of the competition that you have a few big players in the real estate market. and you pointed it out, data is the key e not only in residential as we have here but
also in the commercial side. >> all right folks now let's take a look at snap -- oh, snap. hey, hired amazon exec who led the whole foods integration to be their cheer officer mike there's got to be a good move for the company. >> too late too late? >> it might be. i really want to find the reason to buy s.n.a.p.. but i think that the -- i can't. even down here at the prices. you know if you told me six months ago you can buy it at it been i would have said i'm all in but i'm not. i think they're losing a lot of their audience. i think inis a gram stories is taking a lot of the snap, the snap audience. >> too cute when they changed platform and celebrities coming out i heard the day they did this he told me the short the stock. i didn't listen to him and then three weeks later all of these celebrities started saying -- yeah. but they instantly the audience didn't like it. >> i'm with mike but always pulling my students where they are on platforms they line.
definitely more interested in instagram right now than snap. snap blew it with the resign. >> is it instagram is keeping fk io live. nevermind data it scandal new reuters poll suggested speaking of facebook users in the states they remain loyal to the company and -- is anybody surprised -- >> didn't -- were you personally hurt by that scandal is? the answer is you didn't feel personally hurt by that scandal right that your information was data mine and sold for political purposes? nobody could show how you were personally hurt by it and feels word that you're stalked by facebook when you leave the qbs to go to other websites. that's the creepy part it have. you turn off your dwois and still flolings you around and creeping deeper and deep entire is our homeses and no place to hide. >> there's already no place to hide but that's technology. right we talk about it with amazon and facebook like that's the world we live in and unless we're all going to gulf up phone and computer know what we're doing so ting that's why people talking and get off facebook
then we saw earnings people were want getting off facebook but getting on facebook so i think facebook will be fine. >> thank you all very much. let's take a quick look at the big board open for ten minutes now off 33 points. not a big, big deal just yet. we do have a big loss, however, at hertz almost self-explanatory you see über and happening with others. the stock, though, getting hit pretty good. also there's capital one to resume stock repurchases -- after the self 17 billion dollars in mortgages, the stock up on that news. sales down at dish network, however, better than wreath anticipated slightly so a fractional move on theup side. wal-mart no longer partnering with über and lyft for deliveries. wal-mart is no longer partnering with either of these guys for online delivery and it's pretty interesting because that's been a big win e per a whole lot of restaurants see what comes of that. mirk, brian, thanks a lot. appreciate it. one more check before we go to the big board doug up about 36,
35 points. how's this for a headline? obama silent regulatory army is still on the march. we're talking about his army, the report behind that headline is next. also, a new version of the hyper loop that goes more than 600 miles per hour but how close is it to reality? again, we know a man is a good showman can he deliver? more varney is next. i'm just worried about the house and taking care of the boys. zach! talk to me. it's for the house. i got a job. it's okay. dad took care of us.
>> all right we went to break and market started to break down just a little bit more. here i think you've got some interesting things going on in the market well, catch back up with that in the meantime carl icahn with xerox so go to nicole petallides on the floor of the exchange. nicole what's going on? hoonchts he's saying the deal that fuji film is not rhee
reducing reducing that letter and they basically saying without the current ceo who guaranteeing job and new deal without that ceo without the people with some of the people on the board that they can unlock shareholder value 40 a share. and they think there are lots of companies waiting to kick the tires on xerox. so doing it again that's what carl icahn does it. pfnlings nobody does it better. thanks a lot nicole. >> well turning to op-ed from the hill of titled obama regulatory army is still on the march. joining us now is -- point founder charlie kirk we've heard over and over again how better bureaucrats those assigned to jobs during the obama administration has befuddled president trump in all of these efforts from -- you know, getting folks clear for new jobs, getting new rules in place, just they just been robot or speed bumps but they've been affected. >> that's right. you know that's kind of the silent army is what i call it unelected they're unknown and completely and totally
unaccountable. primarily through the federal trade commission you have these bureaucrats that are still continuing what was called operation choke point. going after a lot of different particularly payment processers by the way, are the backbone of the american economy. people you know really take for granted that there's a collection of a couple of hundred companies that do all of the payment processing essentially they act as a middle man between the merchant and venders and customers and what obama really did is he tarlgted these industries i think -- on ethically and unconstitutionally and president rightfully ended this back in august but there's evidence that suggest that this unelected unknown, and unaccountable army of regulators are still going after the backbone of american business, and so this is the deep state that you and i always talk about it and has great worries for whether or not you know the economy continue to grow, and look we're going to compete ourselves out of the world market with our own regulation. that most people don't even realize exist. >> this just so a partner of
social justice narrative that, you know, large businesses banks, processers, have taken advantage of main street and somehow they've got to be brought to their knees, although we've never learned how that actually helps the average american. >> yeah, exactly right charles and let's pretend all of the payment processers decided to close their doors overnight. that would shutdown the american economy instand taken it usely über, amazon net flix anything that young people use, credit cards for it would totally shutoff and what the ftc is doing is they're going after payment processers not saying you're breaking the law. but they're probing with regulation which adds tens of millions of legal liability in cost which rises the cost of doing business and shutdown business all across the country and so my recommendation to president is you have to investigate the federal trade commission. there's unbelievable amount of increase happening on the basis level of payment processers and banks and charles you and i both know just because someone gets
rich doesn't mean someone gets poor. it is fundamental that we protect the basis of the american economy at the silent regulatory army is held accountable because look, we can't vote these guys out. no one know who is these people are. we can vote our congressman our senator but we can't vote out regulators to what i call fourth branch of government extremely dangerous. >> they piepgd a way to burrow in there and survive administration after administration after administration. charlie, what can the president do? you talked about an investigation. but what about the -- new head of the ftc or is there one, or how do you -- break this psych is? >> so there's just been a new head put in which is great he's going to hopefully investigate a lot of this. but -- people close to president obama will tell you that this was one of his focal points it was obama care, and the federal trade commission. because if you're able to grow the bureaucratic administrative state, with that you're able to penalize business which is you disagree and if we're perfectly honest it has pams processers
that are predominantly conservative republican so if you're able to go after these type of businesses you can have a political benefit so i think needs to happen is congress needs to pass a bill to allow president of united states with force to go after these agencies have at will government employees audit behavior and protect backbone of the american economy. >> where else are you seeing this? because this is not the only agency that we've seen this -- >> well, the ep airings and scott pruett has done a great job of helping reform it. i call the epa employment prevent agency where you have a puddle in the back of your yard and you have to register with a federal bureaucrat or authority but this is across the froth now mind you we have over 2 million full-time employees where their daily job is to create liabilities not assets. they go after american businesspeople. after american entrepreneurs. we cannot expect to compete globally if we have our tax dollars working against those that pay taxes. >> charlie thank you very much.
insightful stuff. appreciate it. we have a quick check of the market here. you can see well first of all 21st century fox again, more potential takeover news there. that's stock hitting all time high, of course, markets overall we've got the dow jones industrial average now, trading a little lower, down 67 points gaining some momentum to the downside a handful of stocks higher. nevertheless, not, not worrisome but reflective of the ages going into 2 p.m. meanwhile ibm makes big jump in plow computing, why well because that's where the money is and they've been way behind but the question is, how secure is jr. data that you download to the cloud? find out, next. ♪ most people come to la with big dreams. ♪
>> welts it's primary day. >> let's untay the primary for the race for senate here in ohio because you've got jim who is the congressman from the 16th district served four terms enforced by president trump, in fact, robo calls going out today urging people at least republicans to vote for him versus mike gibbons co-chair of the trump for president campaign here in ohio. gibbons is native born in ohio that's the northern part of the
state. his picture is also from the northern part of the state. they have spent a great deal of money to try to win this primary. but then you've got the victor that's going to face brown the democrat in the northern part of this state, of course, it is state sherrod brown in favor especially when it comes to tariffs because ohio is steel company so whoever wins in the republican primary is going to have to face brown and key winner will be the reporters charles because they get ice cream in cincinnati and in cleveland covering that election in the fall. >> you never bring any back from me. thank you adam shapiro. appreciate it. [laughter] >> fox business special election coverage starts opportunities at a 8 p.m. eastern, of course, you do not want to miss it. meanwhile ibm wrapping up a cloud business and ibm senior vice president -- who is going to talk more about this. sir, ibm has been criticized a long time for their tepid interest into cloud computing
this move your latest move going to be enough? >> well, good morning charles. so we've got some exciting news from the red hat summit here in san francisco. and this is a sequence of moves i'll come back to are overall cloud business out of ibm are combining forces to really enable enterprises to take advantage of the move to hybrid cloud. really leveraging everything from private cloud and public cloud, data management combined with red hat containerrership platform gives enterprise for the first time a complete set of capability that they can exploit cloud capability where is they want on premise or off. in a way that's secure, manageable automated and really let's them take advantage of all of that. would you call it a game change orer? >> industry game changer? >> absolutely i would call it an industry game changer and embracing container embracing lean notion is something both our companieses believe in and -- this technology called container
is really going to enable people to make things a lot more affordable and a lot more secure. than has ever been possible so far. i think that that's the big difference for both of us. >> we have to leave it there thank you very much and congratulations really appreciate it. thank you, guys more varney after this. >> yes, we will have more varney. well sure, at first, but jj can help you with that. jj, will you break it down for this gentleman? hey, ian. you know, at td ameritrade, we can walk you through your options trades step by step until you're comfortable. i could be up for that. that's taking options trading from wall st. to main st. hey guys, wanna play some pool? eh, i'm not really a pool guy. what's the hesitation? it's just complicated. step-by-step options trading support from td ameritrade a few problems actually. we've got aging roadways, aging power grids, ...aging everything. we also have the age-old problem of bias in the workplace.
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>> on the east coast 7 a.m. out west i'm charlie gasparino charlie paine, it is decision time to make announcement on whether or not to stay in the iranian nuclear agreement we have angles on that covered the former president of she will oil will tell us the impact on price of oil and nigel will give us political impact as well. we're all over it. also primary day ohio, indiana, north carolina, and west virginia all heading to the polls. but it is the race in west virginia that has really the president and the gop watching
very closely he's been urging voters to stay clear of don blankenship this as hay head to the polls and president trump wants to get back half of that to come from hill to children's health insurance nancy pelosi says it is just another example of republicans taking from american families and giving handouts to corporations plus since elon musk unveiled concept of the hyperloop in 2013, in a credibly fast transportation system other companies have been working with hard on their own version. we've got one of those competitors. they say their rain is faster and cheaper than elon musk you're watch withing a second hour of "varney & company." ♪ snots happening this hour republican leadership holding its weekly news conference watching closely and we'll bring you any breaking headlines right now i want to check on the big
board the dow opened relatively unchanged under fair amount of pressure since. a lot of anxiety, of course, today and a lot of big announcements coming out and then big tech we checked names every single day on this show they've done extraordinary well nothing necessarily standing out big time. meanwhile fox hitting all time high, and take over speculation continues to grow with that particular stock. and then there's ge believe it or not today -- it is one of the dow biggest gainers every now and then folks kick tires thinking perhaps it t can't get any worse than the last ten years mow this hour, president trump is talking to the president of france. informing him of his decision on iranian knew leer deal and hear what it is in four hours from now joining me and all of us is former shell officer right offer the bat what happens to price of oil if america leave this is deal? >> i don't think we'll see too much of a shock charles. not in the short-term -- i think that real problem with -- you know pulling out of the iran
deal is that i suspect that sanctions would be reimposed which then puts iran back in the isolation chamber that they were previously in. which will i think, cause them to play more havoc, the region and it is the upset and distress across the region that i think would have more impact on the jo yo pll price to pay for oil. no telling what iran are might do. but if western oil companies are prohibited from oarptsing in iran which was the case before, and there were some trying to get back into iran then iran is left with chinese and russian supports and that's it. so that gives them more in the region where they can as we know become a real trouble make per and lord knows what that will do to the go political issues. >> but john, with the -- our european allies -- think it they seem to buck at this whole thing is it possible to remain buyers of iranon oil
even if we pull out? >> it fends on whatever influence they would have and likely to go east than west which means more to china. and to -- asian countries. which is easier for them actually. and i've often been involved in a discussion of molecules going east molecules going west. ultimately it all goes into the global trading market. and so once things settle down a little bit, whether it is going east or west did you want really matter because other oil will go to fill whatever the need is let's say in europe. >> now speaking of settling down we probably won't settle down internal turmoil within iran. we saw a major move there probably the most upheaval within iran in a long time there was sort of snuffed out but we see there's a lot of tensions a lot of visible pushback against the regime there. without the sort of steady cash
flow it's not going to get a lot divorce? >> it certainly could. iranian people have been the victim of this -- you know, dig day or toreship, and that i think many of them are just plain tired of it. but every since arab spring and the crackdown at the beginning of the arab spring and murdering of their own citizens there's been resentment building over time and who knows where that will ultimately shakeout. but the money that cash, that came to iran as a result of the nuclear grement hasn't been spent on the population it has been spent on, you know, helping hamas and other, you know, kind of troublesome issues. whether it's the war in yemen or whatever so the people have really been second or third rate in terms of priority and eventually people get tired of it. >> no, there's absolutely no doubt that they're tired of becoming emboldened and i think this could be the -- maybe the spark or beginning of sthengs you mentioned arab spring maybe this could be
iranian spring sp real quick i have to ask you couple this with venn way la inability to pump out oil anymore and kicked out western technology. their apparatus broken completely down we see oil ironically pulling bng on the eve of this news i'm not sure but could we go well above 7 in west texas intermediate? >> i think we will see over the summer months -- a continued slow rise in the oil price. mainly because global demand is strong. and krnghtses can't keep up production down are from 1.5 last year, of course, they're down from 3.5 million a couple of years ago. and so -- this continued degradation -- of the venezuelan oil company is like a disease. and they can't cure it. i mean, my goodness you've got a national guard major general running -- who knows nothing about the oil business. the phillips just won a $2
billion award from an international court of arbitration and they're capturing some of the assets in the caribbean, and as part of their -- it's just a mess i want to say overall mess but we always appreciate your expertise when you come on. thank you very much. >> you bet charles. i want to bring in senior global equity strategist. scott, the president's decision today is assuming that america pulls out of iranian nuclear deal its effect on the stoocialght. >> well charles, obviously, there's a lot going on today and just in general as you mentioned a few times before. i think that's going to just cause some volatility and you know what we're trying to do with our clients is -- talk to them about what is noise and what is not noise. what is noise is -- you know it is trump been a fire muler -- is he going to get out of the iran are deal? you know, those types of things coming out of washington and
general political types of things. what i think is not noise is -- are we going to have wage pressure? are we going to have general inflation? what's the fed going to do about it is the fed going to make a mistake? those are the kinds of things we want our clients focusing on -- and i think, you know, there's -- you have to prioritize and i think that while there may be a short-term effect on the stock market baseed on what the president decides today -- i don't think that's what's going to drive the market over the longer term. >> what drives is longer term you mentioned fed i was struck yesterday with the consumer with the credit use resolving credit down the sharpest decline in five years its decline now two months in a row we saw weakness in first quarter what i'm concerned about and hower wages sparkings a fed to be aggressive perhaps more than it needs to be in light of the fact that i believe scott that we have a different sort of consumerrer out there that it is not the american use to the charging up their credit cards and maybe the feds going to make some --
some mistakes here. >> well, i think charles you're right. that i think people are -- are less prone to just run up the credit cards and things like that. but you know, the market, the rally that we had on friday in my mind when the payroll number came in less than expected and most important bit of information we get every month which is what is the change in average hourly earnings when that came in a little bit less, that's why the market rallied. i mean, the market is fearful that a wage gain -- and in anything to do with a hot employment market, i mean, a really hot one not just a modestly hot one with that the feds going to full trigger to make a mistake here and there's really, you know, if you look back in history, its cycles, you know about the ebb and flow of cycle is typically caused by fed making mistakes and probably will before this is all done with but i don't think it is going to be this year. >> scots is thank you very much. appreciate it.
all right thanks charles. now to disney they report their profits after the the bell suzanne lee joins us. suzanne the big question one of the big questions, of course, is -- have they solved right that everyone is cutting the cord and espn has been hemorrhaging subscribers is that? >> that's a reality that's very true and down from the 2010, 2011 for espn, subs as we call them in finance world, and 14 for lows of subscription and espn plus is new streaming service that just launched a few weeks ago that's supposed to make up i guess a difference. but not wrapping up fast enough, in fact, i call it espn light. because you don't get "monday night football" or any of the nba games and in april, we also looked at some of the subscription number where is they lost 500,000 subscribers during the nba playoffs and also the nhl playoff something is going on here. cord cutting a reality. so that's the negatives when it comes to -- >> through the roof for both of those right some people are saying that nhl playoff withs
are most exciting in decades, and nba playoffs are doing extraordinarily well. it doesn't, you know, hard to juxtapose those two happening at the same time. >> espn was the moneymaker right so it was a cash tell for many years but there are positives in this report card marvel black panther "star wars" is working, i think people kind of want to know what's happening, though, with the big bid for 11:sst century foxes that's when they watch for -- >> so with the dinosaur with theme bark park tv, sometimes some is working but a long time when disney clicked at the right time. >> they say also a good thing for disney in the long-term when you bring together all of these great enterprises and -- all of these legacy names together in one house. >> yeah. all right thanks a lot. we'll all be watching disney by the way has been under pressure all morning long. coming up, taking on elon musk. one company unveiling its old version of the hyperloop they say faster and cheaper. take that elon.
they're with us, next. also, new york attorney general eric schneidermen fought the president agent at every turn. we're on that and much more as we wait president trump's decision on the iranian nuclear deal. the president going after john kerry, for his so-called shad low diplomacy nying el will give us his take. you're watching the second hour of "varney & company."
>> all right folks let's check on the big board a few more green there. but we're still off 620 about 607 points on the dow jones industrial average speculation on ge no longer bell weather but bring the market along with the ride. speaking of rides are tesla -- buying almost 10 million dollars worth of tesla shares -- elon musk the biggest purchase
since march 2017 now -- his stake in the company is near 20%. of course more on elon musk remember -- he first introduced the concept at the hyperloop about 5 years ago and ever since then inspired a number of competitor including our next guest, joining us now transpod cofounder ryan jan son and guys you say -- cheaper faster version of the hyperloop you're ceo how does this work? >> so it's actually the system it's like a spacecraft that is built like a jet and it is all creates like a train. so it's carrying passengers in row of seats between cities that over 700 miles per hour. aboveground underground. above and underground depending on hill. the way i understood hyperloop explained like a air hockey thing cushion and bomb you hit it and zoom at a certain speed is there something different about the transpod version of the hyperloop? >> we have some key new
innovations to make it work. and so that's partly getting the physics right and getting the business case right. and it's not doing the engineering and business separately but you have to do it holistically so we have whole thing transpod system designed from ground up to make it long-term success. >> you know sebastian, idea for the hyperloop is about what, five decades old there was some writing on this a long time ago. sew coming to fruition perhaps how much involvement do you need, though, a lot of government regulation a lot of -- a lot of, you know, investor money needs to be made there. how do you get investors to put money into your program when it appears that elon musk has a pretty good head start? >> so he had a good start, and i was kind of improved the overall business case. so we have a better value proposition it's a five year plan three to five year plan and octave is to get it by 2023, 2025 so ready for commercialization. and by the time the first is
built, we expect to get the first before 2030. people will be able to get a ride what will the first destination be? >> there's several routes we're looking at sol in the u.s. the same as the one looking at actually between washington and if new york would be one of those. actually, new york, chicago would be a good one too and new york toronto too. so several routes, and the last one will be working on as always in canada. and we are in quite a good shape to start this one as first -- it >> raising money for the project. yeah private money. how much have you raised so far? >> raised 15 million from italian investor tores. in europe and we're in good shape to raise additional 50 by this year. >> what happens to the human body at 700 miles per hour? >> it is really like when you're on a jet and you're on the runway, so you feel pressed in your seats just a little bit and so with the transpod system, it
just last a little bit longer. so jury just getting up to that high speed and so we have some innovation to make it a more comfortable ride. >> the propulsion here is that this liquid field but what will power this because you know we just did a segment on -- aircraft and this co2 emission what will power this you mention it is like a jet -- on a train track. will there be fossil fuels? what -- i would imagine has to be to get this kind of thrust. >> electrical powered to magnet speed up to that speed. >> so what we've seen i guess perfected recently in china that kind of thing? >> yeah. so we have some key new innovations to make it work better than that. >> so you're confident? >> yep. do me a favor keep us up to breast, is elizabeth mcdonalds says she'll do some of your first testing. with you -- and now -- and listen -- i'll bring your donut we want to
check it out i'll be ready. great stuff really appreciate it we love innovation thanks so much. >> thanks. now nascar up for sale with one heck of a price tag. we're on it, next. it's great to finally meet you. your parents have been talking about you for years. they're all about me saving for a house, or starting a college fund for my son. actually, i want to know what you're thinking. knowing that the most important goals are yours, is how edward jones makes sense of investing. this is no ordinary coffee. it's single-origin kenyan coffee from the nyeri highlands, 6,000 feet above sea level.
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leaving every competitor, threat and challenge outmaneuvered. comcast business outmaneuver. >> walt mart ending its partnership with über and lyft on grocery deliveries now take a look at snap and higher amazon exec who led that integration will be financial officer for this company. nascar may be for sale and family that owns is reportedly
working with goldman sachs joining us now jared max sports reporter all right so -- are they going to sell this, do you think? >> my take is yes i think so. i saw a couple of broadcasters who work with fox sayings, this is a complete shock. some say that this has been kind of out there for a little bit of trying to find the right buyer founded by france senior 1948 and now eventually to have his grandson and sister lisa. >> are, i mean, can we be honest have they kind of ruined momentum that this had felt like nascar for -- let's say pun intended was in the drivers seat and overplayed their hand? >> i don't know i wonder overplayed in hand. dagen mcdowell talked about when they made a big switch to putting in 15% ethanol gas that took out the stinl in the sport of what it is, and we've seen also a lot of big drivers retire. the brand of nascar very much in the face of people like dale
erin heart jr. on tony stuart is or jeff gordon on danica patrick nair not around anymore so they need a new brand and i wound we are nascar and it is always age old question is it a regional sport in should it be just what it is? or do you need to expand it and how do you expand it? you know, there's some tv ratings are getting crushed attendance is down. maybe you immediate to appeal to younger ones. like we have a nhl store across the street if there were nascar store in midtown, manhattan i bet younger folks could buy jerseys because they might look cool. >> i would. i know my kids could. i have another one for you yankees and red sox play regular season baseball game in london next season. what's up with that following in footsteps in nfl. >> look, nascar doesn't want to be a regional sport major league baseball trying to spread its seed to be something outside of the united states. if you don't plant the seed it can't grow. but all of these years you wonder why not no london you two biggest teams no more popular logo in sports arranged a the world.
than that interlocking ny of the yankees cap so ting that's a draw -- but i'm not sure if that will bring them in. but worked really well respect to asia, china, and especially mfl catching on as well. thanks a lot. charles really appreciate it. well it's primary day in west virginia. and president trump urging voters to stay clear of controversy candidates, jeff flock following a candidate today and we'll take you there. . .
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♪ ♪ charles: all right, folks, another quick check of the big wowrd, we are right there. you can see a coil-spring waiting, waiting. big take names have come back really strong. nothing necessarily alarming but slight pullback. i want to go to west virginia, senate primary, take a look at ad from don blankenship. >> while doing so mitch has gotten rich, the china family has given him tens of millions of dollars, mitch and swamp people are running false ads against me and childish calling me despicable and mentally ill. charles: he's surging in polls lately. >> swamp people, china people, i will tell you, i thought the
alabama was crazy, charles, but i've caught up with patrick morrisey, the attorney general, state of west virginia. this blanknship thing, he's trumpyier than trump, the only problem is the president says, whatever you do don't vote for him. >> i think the president made it very clear that he expressed support for me and another candidate but most important say no to don blankenship. he knows will be short-fire loser against joe manchin. i'm running for conservative, second amendment groups, we are trying to get the turnout out around the state. we need conservatives to come out. jeff: three people in the race, charles, blankenship, year in prison for covering safety violations at mine, jenkins is in the race, congressman from
the southern part of the state and then mr. morrissey, i have to ask you the question, you're not going to answer it but i will ask you anyway, if for some reason blankenship wins can you -- he unify the republican party? >> i don't think he can unify the republican party and he's considering supporting joe manchin. >> i don't-- >> that's been record as attorney general, that's what i will do in the senate. jeff: charles, patrick morrisey election day, i suggest you tune to cavuto&company this evening, might be a long time. charles: very intriguing. appropriate -- appreciate it. look at what nancy pelosi is
saying, quote, the republicans have show how hypocrisy of a gop congress that insist tight budget for children and families while hiding unpaid for giveaways for wealthiest. joining us rover, how does the republican push back against nancy pelosi's claims here? >> nancy pelosi say that is when the sun goes up. it really doesn't matter when we cut taxes for 90% of taxes, she said only 1% of americans got tax cut. she's just lying. on the rescission she's wrong also, what the president has done is he used a power that presidents have had since 1974 to offer to congress here is money that hasn't been spent yet, i think it shouldn't be spent, let's take it off so it doesn't get spent, 15 billion, not a lot.
small percentage of the total budget. it's money that has been appropriated in the past, but not used, so it sat there unused for year after year in many cases, what would happen, if we don't get rid of it now, somebody with a big spending idea would say, i've got a big spending idea but it's free because we are going to get rid of the other pacts of money, so what we are saving is the new idea that somebody is going to have to try and spend more money. it will reduce the deficit and debt by $15 billion. but it's not coming out of pockets right now because that money has layed there for a while and hasn't been spent or preappropriated. charles: using the same ability, claw-back ability to go after the omnibus bill, is that off limits now because 15 billion is the proverbial drop in the bucket compared to amount of deficit spending that was into
the gop bill? >> quite correct, this is the first bite at the apple. this is the easy one. if we get this done and the republicans haul together, we can look at a larger package this summer. if we can't get this across the finish line, we will never get the larger one. the goal is to get people used to this, the process itself comfortable with it, able to articulate why nancy pelosi is just lying, and once you've learned how to do that, we go and do the bigger issue, and we should be doing many of these rescissions, not one or two, but many. there's no limit to the number of rescissions you do. you have 45 days now to have the vote in congress. i think it'll be helpful and instructive. charles: i have 30 seconds. a surplus, record surplus last month, can it last? >> yes, because is economy is growing, that's exactly what
ronald reagan proved and coolidge. strong growth brings revenue better than tax hikes. charles: joining us live on the radio brian kilmeade, host of the brian kilmeade show. eric schneirderman abruptly resigning this after accused of assaulting women, what are your thoughts? >> what are my thoughts, i cannot believe -- i think president trump tweets this out to donald trump, weiner is gone, next light-weight attorney eric schneirderman. is he a crook, wait and see, what are they known for, not politics but sexual deviance.
at the same time i sit down and we find out that eric schneirderman who is on saysed -- obsessed with taking down the president is meeting with peter strzok and lisa passenger, -- page, while he's calling out the president of the united states and investigating god knows who, it turns out this stuff is going on behind the scenes, if you believe the new yorker magazine which he praised along with new york times, drinking problem, drinking scotch like crazy, emergency room bleeding, tall women separate i will say they've been beat up before and have the bruises to prove it. so bad was it, the governor said you better step aside and he's gone before we step up in the morning. what kind of news psych sl this number one, number two, i am amazed that this office and new york leadership is is this corrupt.
charles: brian, it was four women, covered a long period of time and the resignation came abrupt, makes you feel that it's open secrets that might have been going on for some time. >> they are trying to see if anyone was covering for him. one of cuomo's money man have been on trial, the governor just ran for him. governor cuomo wants to run for president. if he's propping this guy at all and i'm not saying he is, he's done, he's through. when you're wrestling against cynthia nixon of sex and the city, i'm not sure you will take on trump. you to see. i'm not saying there is. but doesn't seem as though when when you are alleged to have battled women and have bruises,
i wonder how many people might have thought i wonder if this is coming from the ag. charles: shocking, amazing news. we are in a crazy world of news cycles, brian kilmeade, appreciate it. >> go get them, charles. charles: increase criminal prosecutions of parents entering the u.s. illegally separating children from their parents crossing the border. also president trump making his decision on whether or not to stay in the iranian nuclear deal, this morning he said john kerry blew it on the agreement. nigel farage is with us next. your company is constantly evolving. and the decisions you make have far reaching implications.
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ashley: brian brendberg business professor at king's college challenged republicans to cut spending a lot more than $15 billion currently being proposed. take a listen. >> i mean, maybe, look, let's just be honest, we are talking about $15 billion here, this isn't even a drop in the bucket of the total spending that we are talking about. so i think republicans in congress want to take some credit for this 15 billion, hey, look, we are crawling back spending, no, no, you have to go a lot further than that to make a dent. yes, maybe another 45 billion in
clawbacks, but the bottom line is, unless you do something much, much bigger than that, you are doing nothing long term about deficits or the debt problems that we have. ♪ man: i got scar tissue there. same thing with any dent or dings on this truck. they all got a story about what happened to 'em. man 2: it was raining, there was only one way out. i could feel the barb wire was just digging into the paint. man: two bulls were fighting, (thud) bam hit the truck. try explaining that to your insurance company. woman: another ding, another scratch. it'll just be another chapter in the story. every scar tells a story, and you can tell a lot more stories
getting hammered at 13%. citigroup up this after activist investor value act takes a billion, $1.2 billion stake in the company. we will see what happens there. big move there. president trump meanwhile tweeting this morning about john kerry's shadow diplomacy to keep iranian nuclear deal in place, quote, john kerry can't get over the fact that he had his chance and blew it. stay away from negotiations, john, you're hurting our country. now, the president, of course l announce his decision on the iranian nuclear deal this afternoon. joining us nigel farage, european member of parliament, nigel, your country pushing back against, perhaps, america getting out of this deal, borris johnson to sort of make his plea, what do you make of it all? >> borris johnson has been in washington for the last couple of days meeting pompeo and bolton. he's not here actually independently representing the
united kingdom. this is a european union policy, a globalist policy if you'd like which is that we should apiece iran and in return they will not be developing nuclear program. i have to say i am personally very skeptical about the european union position on this and i do not see for one moment borris' trip changing the mind of people like john bolton or, indeed, the president who was described this deal as being absolutely mad, so we are going to get 2:00 p.m. eastern time, the president speaking on this, i think borris johnson and the european union will be disappointed. charles: what do you make of aggressive pushback, angela merkel, macron come to the united states to tag-team president trump on this and one of the arguments, well, there's no plan b, so we should accept the deal? were we've had frankly too long,
qume of decades, we've had this idea of global governance that we all come together and make decisions, it's interesting, even if trump says, look, we are putting sanctions on, in fact, could be six months before america could effectively do that. so what we are seeing is pushback from macron, merkel, boris johnson, we are seeing pushback, they frankly most of them don't like the brexit result, they don't like trump being elected, they haven't got used to the world that we are currently living in. i don't for one moment believe the president will change his mind this afternoon. charles: the globalists don't like anything that comes out of the white house and grappling with all of the success we are starlet to -- starting to see. they are in a tough pickle, let's put they way. i have another one for you, president trump is, of course, going to visit the uk in july and chance he could address parliament this as members to
have parliament are looking to go around the sort of anti-- go antitrump speaker for the house of commons, what's going on there? there's still that much animosity towards president trump? >> this is a disgrace. we have had a speaker of the house of commons for 800 years, he or she are supposed to be politically neutral and independent even in the middle of the english civil war in the 17th century, the speaker would not choose between the king and common wealth. the creep that we have doing his job who like the virtue signal to the world who a -- what a lovely human being has denounced trump to being homophobe and racist and ban him from house of commons. they are entitled to invite u.s. presidents, ronald reagan spoke in gallery some years ago. when obama last came he spoke in
a different part of the palace of westminster but seems to me the invitation now is there for donald trump to come into this magnificent building you can see behind me and to speak and i think -- our speaker john burko looks rather stupid now. charles: nigel, a lot of people say that populism movement got its big spark from the brexit vote, can you bring us to speed on the uk because it feels like london with their mayor decidedly globalist, decidedly against someone like a president trump, but the rest of the nation, where are they with respect to the idea of these governments, countries being self-governing, getting out of crazy deals that take away sovereignty and things like that? >> what i look back now, 23 months since brexit vote, we had the entire global order telling us brexit would be mistake, we
even had president obama coming and telling us that we, oldest, best ally would be at the back of the line, we had giant multinational businesses goldman sachs, jp morgan telling fuss we voted brexit, we go back, unemployment and misery and poverty, they almost predicted that a plague would descend upon our nation and despite all of that, you know, middle england, middle uk voted for brexit and it showed the mass i -- massive gap and the trump election showed middle america. charles: nigel, appreciate it. thank you very much. coming up, the skills gap facing our country. we are talking about thousands of jobs that are open with no one qualified to fill them especially in manufacturing, we will break it all down for you
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charles: now, there's this, lots of people want jobs but they are not qualified to fill them, survey found that by 2025, 2 million manufacturing jobs will go unfilled because of the skills gap, i want to bring in todd, capital ceo, todd, manufacturing, we have been hear forking a long time, lack of welders and so forth, but this is becoming something like epidemic. >> it is specifically in america and across middle america, we have a lack of workers to fill the jobs, the labor shortage has been coming for a year we have been talking about it and finally washington is now starting to actually look at it and address it. i just recently wrote a letter to ways and means committee on the issue and they are starting to take things up which is the first solution, they know they have a problem. charles: ma do you want washington to do about cincinnati. >> in terms of private businesses, we need to increase mobility across america so people are moving again.
so we are off, you know, 30 years ago, 22% of americans picked up, that's what we do, we are americans, we pick up and move where we see opportunity. now down to 11% over 30 years, that's significant and it's something that we really focus on and look at. why is that happening? so it's really lack of vocational training, lack of apprenticeships now n the last 10 years we've had a lot less going on. we need to get back to doing those things, incentivize private business to move these people. in a lot of middle america, they're stuck there for a variety reasons, charles, variety reasons, mortgage could be upside down, they are not on the coast where real estate recovered quickly, they could be stuck there in terms of being able to have the money to go find a job. charles: a lot of times stuck there because they may not have necessarily have the skill set and i think that's the crux of the issue here. i know one of the issues is the great recession, a lot of people
who worked, for instance, on oil, oil rigs or welders or carpenters, whatever, they did something else and there's lack of apprenticeship, there's not the next generation that got the hands-on training but should corporations step up to the plate and provide it? we heard ceo talk about new college jobs, now white collar, blue collar, but blue collar. the problem seems to me that everyone is saying we need to do something but no one wants to step up into the void and present a solution. >> i'm with you. really the solution is not just corporations on their own, it's a combination of public and private sector coming together putting together the training facilities, you're exactly right, they need to be super flexible, they need to be modern, we will learn a different way for the next economy and if we don't figure that out, we will be in trouble 30 years from now. education and training has got to shift dramatically and i'm really saying, k-12 and
charles: 8:00 a.m. on the west coast, 11:00 a.m. on the east coast, i'm charms payne for stuart varney, here is what's new this hour, president trump will meet this hour with republican members of congress at the white house in what's reportedly about renewable fuel standards but we will be monitoring for additional headlines and also joined by congressman french hill, he recently took a trip to border, del rio, texas. the family that had majority stake in nascar reportedly considering a sale. ed with us this hour, he used to run mcdonalds, didn't you know he also served on the nascar board and owned a nascar team and, of course, on top of all
stories and more, remember, it's also primary day, we are expected to get the iranian announcement this afternoon so a lot happening and all could affect your money, stay tune, it's the third hour of varney. ♪ ♪ charles: check on the big board. a few moments ago we peeked into the green and then went back down, nevertheless off the lows of the session, of course, the market is in waiting mode, everyone is ahead of president trump's decision on the iranian nuclear deal. on that, let's take a look at oil. sort of, i guess, selling on the news, oldest on wall street working right now. joining us john layfield, what do you think will happen with oil if president trump goes ahead and pulls america out of this deal? >> i think we have already seen
it. it looks like if sanctions go on, 10 to 15% will come off. 400,000-barrels, we had oil up 14%. the deal with phillips, they will take all to have caribbean access -- assets out of the company, 29% to have oil capacity. they only have 1.1 million. you will see 300-barrels coming out of venezuela as well. that's the problem right now. conflict of factors. normally west texas can have the demand, you have a bottleneck in west texas. until that get straight, saudi arabia will be on the driver side of prices. charles: $80 a barrel. >> they need it because they want -- they need this for what some people think solvency of
the country. they want to run oil prices up. west texas shell has taken up extra, because of this bottleneck right now in west texas, saudi arabia able to control oil prices again. this is good for saudi arabia. it's also very interesting. if we lose the 250-barrels of iran, will saudi arabia step up, they want to iran fail. will saudi arabia put extra barrels on the market, will they do that to hurt iran, i think they probably would. charles: they would put animosity ahead of the idea that to your point the biggest ipo of mankind potentially, saudi arabia spending a lot of money fighting yemen, they can't shake down more millionaires that i know of, they took all the billionaires and shook them down for whatever they had. they have limited options there. >> they have limited options. you're right. they call this thing a sunni
bomb, the sunnies and the shy -- shiites, iran gets 60% of gdp from oil prices, i think, saudi will step in and do what they can do to hurt iran. charles: let's not forget the internal strife inside of iran, that stirs the pot a little bit as well. i want to ask you about something else, retirees are leaving america to save money, they are heading to countries like panamá, paraguay. you spend time in bermuda. you can somewhat relate to what's happening here? >> yeah, i wish i could say i got it out federal taxes, i don't, i still pay federal taxes, any other person working in bermuda doesn't pay except for americans. this is something that at least state arbitrage has been written about my wife for some years, i think you're also seeing country
wise, money is spongeable and can go where it's rewarded. if money -- in states, you can go to a place like texas and fully-funded police and fully-funded school and you're not paying 15% to government that's going to spend money. no-brainer to me. charles: costa rica, belize. as long as it's clean water, no taxes, that's a pretty good combination. if you live in new jersey right now, it does sound inviting. >> absolutely, one of the things that has made soros successful. he's been able to move companies around. that's a huge advantage to companies to get around that especially when it doesn't affect your cost -- your standard of living. living in belize or costa rica or bermuda is not such a bad things. charles: i have been to bermuda a few times. primary day, folks in four states including west virginia, there are actually three republicans senate candidates
there including former coal executive don blankenship, remember he spent prison for deadly mine explosions, joining us kevin kaley. >> one of the things that i'm so proud being at rnc is we don't meddle in primaries unlike dnc counterparts that rig for hillary clinton, we don't do that, we allow the people to choose, we believe they are best equip today make decision to best represent them and we will support whoever they pick this evening. charles: blankenship, some ads are attracting national attention, when you start talking about china people and things like that, certainly republicans have been leaping on, the mainstream media leaping on not like alabama, the rnc will still funnel cash and help into this campaign?
>> obviously we look at everything on a case-by-case basis, we are committed to beating joe manchin, we recognize that's not someone who has helped the trump agenda. he voted against tax cuts, he vote today shut down government for illegal immigrants and the people of west virginia needs someone who represents them. we are committed to stopping joe manchin, we are on the ground and pouring money into the general election race to beat the individual. >> do you consider one most vulnerable in the senate. >> he's one of many, joe donnelly, heidi. a state that overwhelming supported president trump by double digits and governor switched his own party to republican because he knew he was vulnerable not supporting president trump and not supporting this winning agenda. so we believe joe manchin among
the top three most vulnerable. charles: stealthy moves for president trump, don't hear a lot about it but i'm not hearing the overwhelming excitement about the mainstream media about the blue wave in the last week or so either? >> you're not hearing much about it, charles, the polls are trending in the republican direction. the generic ballot we are closing the gap big time, the president's approval ratings on the rise, the first lady's as well. you know, it's a good time to be a republican but we cannot get comfortable and that's why president continuous i will say, republicans you have to be energized and you to show up because we can't take the year for granted. charles: you know we love you and great having you back. >> thank you so much charles. charles: maryland's obamacare insurers want to raise rates by average 30%, 91% increase and rate for one of its plans.
now let's check on gold, you will need a lot of that to pay for insurance if you're down there. inflation fears maybe pulling back a little bit, gold pulling back, and then there's bitcoin, under pressure this week. charlie munger and warren buffet expressing doubt about crypto currency. then there's this, sanctuary showdown of california between attorney general bacierra and trump administration is not going away. up next we are joined by eric early republican candidate for ag. also in a few moments from now, president trump will meet with republican members of congress, it is reportedly about renewable fuel standards but any headlines from it, you will get them first here. and then there's this, the federal government had its biggest ever monthly surplus in april, $218 billion last month, people have more money in their paychecks because of the tax law which in turn mean people pay more money to the government, it's simple, supply and
charles: right now president trump meeting with the republican members of congress at the white house and well reportedly about renewable fuel standards but we will obviously monitor for any headlines. imagine that, some headlines may come out of that. now this california attorney general xavier becerra, he wants the judge to dismiss trump's lawsuit over sanctuary laws. eric u this is a really serious battle, it's going back and forth, what do you make to have latest efforts by your attorney general? >> well, first of all, our attorney general out here,
mr. becerra doesn't really understand to be law too much. real lawyers like me don't even consider him a lawyer, he's got a law degree but been in politics his whole life. he's basically a political hack. i strongly support the trump administration's lawsuit against the state of california on the sanctuary state law and i believe the motion to dismiss that was filed by mr. becerra's office a couple of days ago, it's standard practice, it's not surprising. i don't believe it'll be granted at all. charles: what's the next move if it's not granted, i'm sure they'll be additional efforts by becerra and others to somehow derail from ever this really get to go trial? >> listen, i think that the name sanctuary state law is a misnomer to given with. it should be called the illegal alien felon protection act because that's the only thing the law is being used for, it's being used to protect those people who came here illegally
and who have been committing crimes often times violent and repeated crimes since they got here and no state and no country should be responsible for protecting somebody who not only is here illegally but has been committing crimes since they got here. our state and local law enforcement should be able to work with ice to out these criminals so that ice can get the criminals and get them out of our country. charles: eric -- >> yeah. charles: what do you make of this shocking developments, you know, county after county, cities, feel like there's revolt inside california that i have to tell you as someone who has watched from california from afar i'm surprised that there's this kind of pushback? >> charles, you shouldn't be surprised. i'm going up and down the state, i'm talking people from san diego in the south to north and people are fed up with what is happening with years and years of one-party rule in sacramento,
they're arrogant up there, laws are arrogant and what's happening now, i equated to a priory fire, started with the brave people of los alomitos, yeafl, they are the pioneers and spreading with cities and counties opting out of the sanctuary state law or joining in the lawsuit, the priory fire is spreading north. it shows you what's going on. people are taking democracy in their own hands and this is what happens when you have years and years of one party arrogant rule. ly tell you, charles, it's not only that, we have gotten carl demayo, to get a million signatures to repeal the gas tax that was dropped on the people of california as well. the people are speaking up and i think we are going to get a great showing from people all across the political -- charles: the policies hurt everyone. the highest gas taxes, the
homelessness, it's nuts. i have another one for you, the california republican party hasn't endorsed candidate yet in governor's race u now, some are worried about the division that it will keep the party from having a candidate on the ballot in november, what's going on here, can you guys figure out a way to hash this out and are you worried about this, eric? >> listen, the republicans have two great candidates, they have john cox and travis alan and both of them have passion nate basis behind them and they are fighting, these guys are both fighters, they are both smart and terrific candidates, either one of them is light years ahead of what the democrats have put forward. we have the guy gavin who is a disaster, he's basically -- not basically, the man is empty suit and then we have mr. villagosa, he's taken the state bar exam at
least four times, he never passed it. so republicans have a terrific chance on june 5th, and i support the passionate base of both of our governtarial candidates, we are watching very closely. while it's sur pricing it is encouraging an uplifting, we appreciate your time, thank you very much. >> thanks for having me, charles. charles: apple shares near all-time high getting close to trillion dollar valuation and then there's elon musk putting money where his mouth is buying tesla stock, that's given it a boost in the last 24 hours. now very soon we will joined by congressman hill, he recently took a trip to the border in del rio, texas, one of the biggest problems that we have at the border is a lack of man power, first, i want you to see pictures, from the deepest part of the gulf of mexico scientists captured the photos during 3-week expedition getting up
close look at creatures like sea cucumbers, squids and sea stars and found evidence that the sea stars were present in the jurrasic era, that's possible. mono, politics and underwater sea life. stay with us into retirement. and market volatility isn't top of mind. that's because they have a shield annuity from brighthouse financial, which allows them to take advantage of growth opportunities in up markets, while maintaining a level of protection in down markets. so they're less concerned with market volatility and can focus more on the things they're passionate about.
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charles: you have to see this, check the price of crude, that's a huge move to the downside on unconfirmed reports about the iranian deal, nothing concrete or clear just yet but we are on it. in the meantime, oil, of course, is at the bottom of your screen, you could see it plunging and the stock market is taking off, so a lot of conflicting reports, we are on top of that for you. meanwhile i want you to take a look at video of firing lava spewing from a car, spewing onto this car. ashley: mustang. liz: wow. charles: it was a mustang. lava moving 100 yards in 15 minutes. the lava from kilauea. destroyed 3 dozen homes in hawaii's big island and
unmitigated disaster. could yellowstone national park super bowl cano erupt next? some people are actually speculatings that it might after 200 small earthquakes struck yellowstone over 2-week period. yellowstone steam boat erupted, but scientists caution that doesn't mean large eruption is eminent. more than 270 earthquakes have shaken spain's canary islands. the largest quake had a magnitude of 3.2. no significant damage has been reported but res drents asking the government to step in and to figure out why the quakes are happening so rapidly. finally, southern california was hit by earthquake this morning. 4.5 magnitude quake near palm springs and it could actually be felt as far as los angeles, no reported -- no reports of
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charles: folks, check the big board. it looks like nothing has gone on. we have been all over the place in the last three minutes. oil and stocks surging khmer reacting to unconfirmed reports that the u.s. immediately withdraw from the iran nuclear deal. the report that we were going to stay and if the market rallied in the counter report saying that there are sanctions any tweeting to the deal. we are bouncing all around anticipating this time. reportedly considering, ed
rensi, you served on the nascar team. what is your reaction to this possible salve. >> i was on the board of the international speedway corporation that the family controlled in. i knew bill france, jim france and brian france and was a great team to work with. oath as a sponsor and as a team owner. they really were dedicated to the fans. it is a 7-year-old company appeared they got trapped frankly by the loss of disposable income during the bush administration and certainly during the obama administration. the elected decision to go to a nascar race was going up and caused at the very time the economy was going down. those things came together. the other thing that happened as i was in love with cars and named every one of my cars. my first race when i was 13 years old in a dragster appeared today, people are indifferent.
they have a love-hate relationship, so it's hard to understand what nascar is all about. this past sunday i sat in front of the television and watch the race from beginning to end. i watched the talladega race. me and somebody sat there and drink too much and had a blast. >> is there an issue to name recognition? the petty family and the guys jeff gordon, dale earnhardt junior. they faded away. love the casual fan, the person who won't sit the entire race may not know them. >> there's always the problem with that it's better superstars superstars that come and go. i don't care whether it's the nfl, baseball, wherever it is. i can tell you all about michael jordan. i know nothing about the basketball players. don't really care anymore.
charles: that's it i'm trying to say. i don't know as many players now as i did before. is there something the nba is doing different that nascar might've missed out on? >> nascar is in-person event. the nba and nfl have become an hour and 45 minutes to two hours. nascar takes two days. you've got to get there one day come and stay there all that day and the next day and then you go back home for year at the track. i would love to have the opportunity to join the group. i think it's a great sport. i think it's got a great future ahead of it and i think the family has done a wonderful job. it's time to change. charles: definitely great american success story. you are looking to grow by expanding franchise opportunities. how is that going? >> it's going really well. we just had a board meeting from the audit committee this morning and reviewed a lot of the
documents. andy winterbourne has a really good strategy. find orphan brands, upgrade them, make them look better because they need to evolve every five to seven years in turn them into franchise organizations internationally and domestically. become an asset company. focus on quality, location and brand development. the company has a great future ahead of it. and then he executes its strategy is, that is going to be very special. i'm excited about it. >> the last four or five months we've seen a decided slump in franchise employment particularly on the restaurant guide. is there something going on with respect to the consumer that we should be concerned about? >> well, there's a big problem with the minimum wage. there's two things that make restaurant successful. well-trained high-quality people and great tasting food. with these minimum wages you see what's going on in new york city
right now. they are putting on menus to pay for the minimum wage increases. these restaurants. 30% of the content of the businesses labor cost related to labor. you can't keep paying french fries backers when you're more productive after the daily star. >> the last one for you. make the most celebrating the 50th anniversary of the big mac. they are having a limited edition coke can which is made to honor the big mac. you were the greater the big mac? >> he was one of the first franchisees denying counties around pittsburgh and was a
great entrepreneur, wonderful man. they are now franchisees. jim died recently in his 90s. he was a mentor to me when i was very, very young, starting at mcdonald's in the 60s. i love the big mac. i've probably eaten more of them than anybody on the face of the earth. they are just terrific. it is a great celebration. mcdonald's has gone through tremendous evolution. back to fresh meat i think is a tremendous idea. we had to go to frozen meat rack in my day because of supply issues in health issues and mad cow disease and all that stuff. but coming back to fresh meat, they've got a great product. i have a quarter pounder yesterday that was made with fresh meat and i felt like i was back in 1970. he was that good. trade to you or the all-american guy. nascar,, quarter pounder is. we love you. thank you, we'll talk to you soon. >> you got it. take care.
new jersey, my goodness, one of those high tax states that people are leaving in droves. joining us now, author of the book lessons in leadership. steve, this is a real play. everyone admits people are moving in droves. these are the americans fleeing the states. >> here's the issue. governor murphy trying to change gears from governor christie. i'm not sure what that means, but i agree with the progressive agenda appeared once every community college and pay public employees more. want to do at the pension crisis in the state here it wants to do a lot of things that christie didn't want to deal in the same way. the problem is the cash. we just don't have the money. i would like to have a new pool. you've got to deal with the economic. the problem right now in new jersey as you have a democratic governor with the democratic
legislature led by steve sweeney. i am for an increase in the millionaires tax, which is governor murphy proposing. not now. not after the federal government changed the tax laws to limit state and local deductions to 10 grand. if you live in new jersey, the highest property tax with a virtually 9% income tax potentially going up to 11% $1 million up. those people can move to pennsylvania. i think it's about three. they can move to new york. five-ish. check the numbers. how about florida? this is a guy who's been in the charter schools. he leaves this day. we lose our tax revenue. governor murphy and his administration had to figure out how to raise revenue to pay for the programs without losing people who vote with their feet. that's the challenge. charles: is there any thought about the idea that if taxes were lowered the businesses would come back and you can present it in a different way. more businesses, more people
working. a lower tax but ultimately you accumulate more money. or is that something that's against democratic orthodoxy -- or fly? >> first of all as i said, you've got a democrat leader in the state senate. >> sweeney is the voice of reason in my mind. >> the speaker of the house of a moderate as well. i don't think it's democrat or republican. i think there's so much pressure to manage the budget to get the $2 billion increase at 235, $36 billion get some money now. you've described a long gain. in new jersey, you're just looking for cash. the calculation that to get more money by increasing the millionaires tax and a little bit on the sales tax. there's a difference between what you think you are going to get in gear with a person leaves. governor murphy's heart is absolutely in the right place, wants to do the right thing.
charles: yeah, he does. economic reality. he's a billionaire. maybe he's out of touch. >> he still got into the black in the red and make the budget work. charles: absolutely. thanks. several rural counties are declaring themselves sanctuaries for gun owners. state lawmakers pass restrictive gun bills, including new age restrictions for certain weapons come in the counties might be in their employees from enforcing those. and then the city of rockford suing a drugmaker. officials discovered two babies on the health insurance plan taking up 2.5% of the entire budget. the babies were being given a drug to stop spasms. it was made by a company in the drug used to cost $40 a dose. the company raised the price to $36,000 in recent years. the stock as you can see in the screen is done a lot the last couple years. by the way, take a look at the
low. wall street expectations off almost 2% and then there's been a disaster as snap. hired an amazon effect. they let the wolf is integration will be their new chief financial officer. more bad news. nevermind that davis cannot. most facebook users and they've remained loyal and they will not leave facebook. now there is the big news. new york attorney eric schneiderman resigned after being accused of violence against several women. of course a huge critic of president trump. he was a rising star in the democratic party and the question now is who will replace him. the judge is coming out. congressman shelby recently at the border in texas. he's going to give us a status report. more "varney" after this. ♪ [ telephone rings ] [ client ] - hey maya.
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♪ >> i'm nicole petallides victor fox business brief. dow jones industrial average into negative territory. the dow was down about 28 points on this deadline. this according to "the new york times" that president donald trump did tell president emmanuel macron of france this morning that he plans to announce the withdrawal of the united states from the iran
nuclear deal. in addition to that, the united states is preparing to reinstate all sanctions that it needs for the nuclear accord and also impose additional economic penalties as well. verizon, coca-cola, walt disney onto the downside. there was talk that they would stay and now they say it otherwise.
charles: checking the price of oil could be near time supporting president trump said to emmanuel macron a sign that he will drop from every nuclear deal. the u.s. prepared to reinstate sanctions that have waived once the deal was made. in our next guest after recent trips to the border come our southern border, congressman republican from arkansas. congressman, what is the news here? what is the epiphany you want to share with their audience? >> the fourth time i've been to the border and reinforces the fact that one -- no one says it all. intel rio texas is a rubber from a rural part of the border. not like san diego, even the radio. manpower is number one. we need more border patrol agents. we need them in the field monitoring the border. we need better technology of
surveillance technology, border technology for our border patrol. and we need more judges to adjudicate the backlog of anagrams that are written detention along our border. finally, we need border barriers and expansion they are because that shapes the environment. it allows us to have a better shot at stopping drugs coming up in people coming up in guns and money going south. i think we can get that done with some help from the democrats in the senate. >> another one, the government says it's going to increase criminal prosecution of parents entering the u.s. illegally. this means children will likely be separated from their parents. do you support this? >> this is not a new situation. this is the law of the land and the only way a child can be separated from an adult coming across the border seeking asylum
or admission to the united states is the one, it is not their parent and they suspect the adult of human trafficking and there's no connection or documentation but the child, which is a frequent technique. or if the adult parent, for example, is a criminal and criminals have to be prosecuted. this is not a new law change. this is enforcing the law we have. without that come our border patrol people and judges are as humane as they can be in the circumstances and i urge them to know they are dealing with humanity and treat them with the fairness and accountability they can. charles: i agree. we do that already. at some point the laws are going to continue to ignore them. last one for you. president trump wants to cut $15 billion in federal spending. half of the money will be coming from the health insurance program. again, a tug at your heart kind of ink that will make deadlines
to make the white house the purpose. what is your reaction? >> what set the case here. we are permanently funded the children's health plan for the longest term in its 20 year history. a ten-year deal fully funded for children's health across this country. i was funded by republicans and democrats and signed into law by president tram. this modest $15 billion, half of which is from the program is unauthorized money that cannot be spent. and it simply is returning the money to taxpayers and in no way has any impact on our great deliverer children's health to the chip program. charles: would you be in favor of president trump going back of the omnibus spending plan and start to pare that down. it's certainly something of an embarrassment to a republican party that pushback against president obama using our children's future, mortgaging it so to speak.
>> right, i support the idea of precision by a president here when i worked for bush 41 we used it successfully. we need to always be looking at our domestic discretionary spending and see how we can cut the spending back in rescission as a tool. i would encourage omb and the president to continue to promote and propose rescission. charles: congressman, thank you very much. getting ready to go head-to-head with disney for 21st century assets. big lots is however her it's bigger wall street anticipated. new york attorney general eric schneiderman and assault charges. the question now who is who will replace them. the judges next. ♪
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california. senator harris said she won't give the commencement address at you see berkeley due to a labor dispute. thousands of workers at the university of california house those in the midst of the three-day strike demanding higher wages and equal pay for men and women. new york attorney general eric snyderman resigning after being accused of violence against several women. spiderman has been a huge critic of president trump. all rights, judge andrew napolitano is here with us. what happened to this case that he was working on? >> it's a great question. a lot of the cases are born out of political animosity of the government of the state of new york with his departure with the president administration. we are talking about the story on the break. this will be somebody of like mind that is somewhat acceptable to the democratic establishment in the state of new york which runs the government. the democratic establishment which dominates the legislature
which basically has an antipathy to donald trump. so it's probably safe to say those politically motivated cases challenging the president on sanctuary cities, challenging the president on the travel ban. schneiderman was the lead attorney general of all the other state attorneys general in those challenges. i think those cases will stay. but there will be a new case and i will be the people of the state of new york versus eric schneiderman because the evidence of the violence event fueled by racial hatred begs for an investigation by the district attorney of forever this happened. these things happen in manhattan or wherever the da is in albany if that's where it happened. the last i heard before he came in here is the governor was going to appoint a special prosecutor to prosecute all the charges against the attorney
general snyderman in one place and not one time. charles: of course one of the guns, said that she was his brown slave and she wanted him to refer to him as master and that she was his property and this is really, just the way it's described as really tough. ultimately, will they follow through if they have to in growth or a prosecution? >> usually when these things happen against an office holder, the allegations come out first in the office holder agrees to resign in return for the allegations going away. as far as i know, there's no agreement here. you will be prosecuted aggressively and rightly so. he did the right thing in many
cases. he pursued harvey weinstein and is close to getting an indictment of weinstein. but he was grossly defect to in nearly the same behavior, in some cases worse than what weinstein had. >> admitted to it saying it was consensual role-playing. >> he says it's consensual. he said, she says. there will be no trial. bill settle at some way. charles: thanks a lot, judge. we appreciate it. more "varney" after this. ♪ .
back from yesterday's high despite most report are suggesting that we will get out of the iranian deal. that was supposed to send crude oil prices higher. good chance we're seeing selling on the news. a lot happening today. don't change the channel. here is neil cavuto. neil: let's get a sense what we do make of this. this is coming from varying published reports that the president is about to get out of that iran deal but he won't add sanctions to it. in other words, it would be sort of a slow retreat. if you accept that at face value, it gets kind of complicated here, it means we really, really hate iran, we just don't hate them as much as earlier thought to be the case. we want to stick it to them. we don't want to stick it to them to the extent it would dislodge the global,