tv Countdown to the Closing Bell With Liz Claman FOX Business July 24, 2018 3:00pm-4:01pm EDT
facebook.com/real trish regan. here is my question to you. do you want tax cuts 2.0 and what happens if the democrats say no? liz claman, i'm sending your way up 154. liz: yeah but the nasdac just followed all of the 86 points of gains and more stocks are fighting tooth and nail to regain what was much higher ground earlier. we've just seen the dow's gain slashed by nearly 100 points. did the markets decide to suddenly fear the high stakes trade talks taking center stage in d.c. representatives from 60 plus companies and trade groups from electronics and computer chips to lighting and trucking. they've descended on washington right now to either support or furiously fight the latest round of u.s. tariffs on $16 billion worth of chinese products. what we'll do is take you inside the closed door hearing that's happening right now with the
biggest and most fiery takeaway. this as the trump adminitration extends a $12 billion helping hand to farmers here in america to ease the pain of the trade war that's been started, but is it too little too late to help the one sector that president tried to protect in the first place? all of this is happening ahead of a very major trade day tomorrow with the white house. president trump will welcome the european commission chief. can they hash out the biggest battle over trade in decades? a detrimental threat is looming in your own backyard. a terrifying new report saying russian hackers have actually gotten inside our electric utility grid. we've got the company whose bread and butter is fighting russia with its anti-russian, and joining us with the solution he says will fix this and protect our elections come november. plus, jeff flock is about to skydive out of an airplane at
the airshow. at&t's hollywood ambitions and charlie is about to break it on the new economic outlook on steroids. we're less than an hour to the closing bell let's start the countdown. folks i'm sorry we need to get to this breaking news it is 10 p.m. in greece, where the latest death toll from the wildfires now stands at 74. apparently this number includes families with children who were found hugging and burned to death as they were trying to flee. we're getting all kinds of reports more than 180 people have been injured officials are saying there are at least six major fires raging across greece that are b fueled by strong winds. we now have the spanish government sending two planes to help battle the flames, because you've got people, victims who have been pushed up against the ocean.
they're jumping into the ocean, some of them are drowning and jumping into boats and then being swamped by the wave. the prime minister has just declared a state of emergency but that actually includes athens. the death toll is expected to rise. greece has declared three days of national mourning to remember those who have parished in the fires. we're going to keep an eye on all of this. let us get to the markets at the moment the major averages have given up earlier gains the dow still up about 154 points . this after seeing gains though of 245 points at session highs the dow is still on pace though to snap a three day losing streak. it's the tech-heavy nasdac that turned negative after touching an all-time high trading above 7,900 for the first time ever the nasdac is down only eight points but the fact we've had a nearly 100 point swing to the downside does not give confidence to the fact that this index stands at 7,833, nowhere near 7,900. a big driver earlier today was
google parent alphabet the tech giant hit a new all-time high, after reporting blow-out profits after the bell last night. revenue blew out, unbelievable numbers and shares are up nearly 4% or $46 to 1,257 that will put it on pace to close at a second straight all-time record high. we should look at what else is pushing higher steel and aluminum stocks and we're getting a big boost after strong results and bullish outlooks from allegheny technologies and steel dynamics both as you can see are jumping we've got allegheny better and steel dynamics up 2.5% all of the steel names are looking pretty darn strong along with ak steel and u.s. and the big loser today and this brings us into the whole trade conversation is whirlpool. remember yesterday i told you they're coming out after the bell we'll get a sense of what tariffs do to a company because remember, back in january, on the 23rd those were the first
tariffs that the president called for and put into place on foreign washing machines. well the home appliance maker, all-american, that it originally praised president trump's tariff s on imported washing machines calling it a positive catalyst for whirlpool now admits it is feeling consequences of the steel and aluminum tariffs so it's not necessarily the washing machine tariffs but higher raw material prices have raised costs for whirlpool by $350 million. stock is just getting hammered down nearly 14% right now for whirlpool but let me dovetail back and switch to the dow jones industrial still managing to hold on to the triple digit gains standing up 155 points and the global markets looked very healthy. most of them have closed. certainly the asian markets overnight shanghai jumped 1.6%, hong kong up 1.4%, european markets then took off closed broadly higher out of london
climbing .7 of a percent, france is climbing 1% and germany is up 1 plus percent today but i also want you to look at the chinese currency, falling to a 13-month low against the u.s. dollar after it was announced that china is going to do a whole bunch of things, pursue tax cuts and other expansionary measures to loosen monetary policy and a fancy way of saying it's putting pillows down to avoid the bruises it's probably already feeling from the u.s. tariff threats and the tariffs that have already gone into effect so you can see it right now a little bit slightly weaker but fascinating to look at the broader currency market. still a mixed picture the dollar is stronger against the euro. i want to go back to equities why are we seeing reversal in the nasdac and broader markets i want to get to the floor show these guys know the traders of the new york stock exchange give me a reason because i sat here and said wait a minute what happened to the 80 plus points
of nasdac gain? >> i think investors are looking at trading sessions on a tighter schedule here, a day by day basis. we had great earnings come out after the bell that translated into a nice upswing in the market but after the close it's a new event tomorrow morning it's a new event plenty of earnings coming out so i think investors are trying to manage expectations. s&p trading above 2,800 trying to keep it above there. we need to see if it's going to really stay there so i think what investors are trying to do take short term profits off the table because we know there's a lot more on our calendar coming up in the next few weeks. liz: phil i could be wrong but i don't think it trade fears. we asked that question seven minutes ago at the top of the show did suddenly the markets wake up and get nervous? no because the volatility index barely higher. so i don't think that the markets decided this morning everything is fine and then said wait a minute, now we're nervous the trade talks are tomorrow with the european union and president trump. is it something else that we're
missing here? i would like to really dig with you guys. >> well i think it's really technical. i was talking to some of the floor traders and i said boy this thing looks like it's going up all day and i said one trader no, not so fast. he says its market is overbought right now they hit key resistance areas and they decided to pull back but i do think you can not takeaway the fact that the market is getting excited about these trade talks, because i think it's almost going to be a game changer if there is progress made with europe because if there's progress made with europe, china is not going to be that far behind and i think that's going to really get this market excited so i do think there is a little bit of trepidation going into those meetings. liz: i know everybody thinks that president trump has a terrible relationship with mexico from those first comments when he first launched his campaign, but i have to tell you he's said some things about the new socialistic president there,
and also i was seeing that the new trade trade representative for mexico art of this new administration he came out and said we'll have a nafta deal in months so we're focusing on europe and china. maybe we'll have a nafta deal. >> yeah that's another thing that could be positive. we seen the markets sell-off on the fear something could happen and often balance in the fact so well have to see when something is announced. to get back today's action profit taking pullback we've seen higher highs and higher lows . that's how a bull market goes. also we've got a key reversal in the dollar index last week where we made new one-year highs and had a low weekly close that could be a very much big positive and the next catalyst for the stock market and commodities. liz: but everybody needs to not forget that 10 year old 2.96% gentlemen thank you. it's a very busy day and we tell our viewers it's the final hour of trade that truly matters the most to your portfolio, up 87
for the nasdac now we see weakness here big time. so it may look like trade talks with the european union are taking center stage but we also don't want you to miss what is temporarily a side show here and that's china behaving strangely perhaps bracing for more tariff impacts. what this government has done is they've taken immediate significant steps overnight, see they don't have to sit there and check with their congress, overnight to support economic growth. what they've done is announced additional corporate tax cuts. can you imagine how long it took us to pass corporate tax cuts? they did this overnight. they sped up infrastructure spending. these are cautionary measures that are coming as china's economy slowed, rising trade tensions with the u.s. moving but china is not the only party that is stressed out. america's top trade officials are getting an earful from no fewer than 61 u.s. companies that were present today, today
and tomorrow during this two-day hearing at the international trade commission. those companies are declaring their dissatisfaction with president trump's tariffs. some of them are sticking up for them but some of them are being very vocal about why we should not bring in tariffs to the picture. publicly traded companies including the names you're see ing on your screen. we've got cree, applied materials, tractor supply, representatives from those very names that are pleading their cases before this trade group. also present at this hearing one of congress' strongest advocates who spoke exclusively to fox business hillary vaughn who joins us live in washington d.c. hillary? reporter: hi, liz. i talked with congressman kramer he sits on the energy and commerce committee was here this morning testifying at this trade hearing. he was responding to the breaking news that president trump is going ahead with $12 billion in aid for farmers hit by what the white house is calling china's illegal and
retaliatory tariffs. >> from what i've seen i think it's entirely appropriate. now as i've told larry kudlow a number of times our farmers want trade not aid. we have good secure long term markets. they're very hard to replace if you ever lose them. while we support the goal please be careful and keep the farmer in mind because the farmer doesn't have the luxury of for example, an oil worker, an oil company can cap a well and the oil is still there. reporter: the congressman joining dozens of other companies here today arguing against these potential $16 billion additional tariffs that the president is considering in chinese imports specifically targeting machinery and plastics. i talked to several company executives that tell me even though these tariffs are hopefully short term, they could still do a lot of damage to the industry in the long term. >> the problem is that once
investment is moved outside the u.s. , these supply chains take a long time to build and how do you get the investment back in the u.s.? right now, we have the momentum going with a strong and competitive industry and investment is coming back into the u.s. and what the tariffs do is increase costs in the u.s. and therefore reduce our competitiveness. reporter: so liz, so far the opposition to these tariffs is completely overwhelming at this hearing today. the big concern is these tariffs target an industry where the u.s. actually has a surplus with china in terms of trade and not a deficit . liz? liz: it'll be very interesting to see what comes out of this it's a two-day hearing and hillary, perfect example of how people are being affected. i find that very interesting, but again, this going on for another day so we'll be watching it very closely, hillary vaughn so stocks are coming back to earth at the closing bell ring ing 47 minutes from now. the dow is still up 161 but that
nasdac has lost all 85 plus points and then some, down another five. so as the markets seem to fall down to earth, fbn's jeff flock is getting ready to take flight at the biggest aviation show in the nation. just minutes from now, you will see that happen here on " countdown." we'll be bringing you his big jump from reporter to high flier , live in just a few moment s. back here on the ground ahead of u.s. intelligence says the warning lights are blinking, russian red. ahead of november's mid-term elections but breaking overnight , news the russians are already here. the ceo of the company about to become the russian hackers biggest nightmare, next to explain how he'll do that, countdown is coming right back. ♪
our phones are more than just phones. they are pocket sized personal trainers... last minute gift finders... siri: destination ahead. and discoverers of new places. it's the internet in your hand. that's why xfinity mobile can be included with xfinity internet. which could save you hunreds of dollars a year. plus get $150 when you bring in your own phone. its a new kind of network designed to save you money. click, call or visit a store today.
russia has been the most aggressive foreign actor. no question, and they continue their efforts to undermine our democracy. liz: how spot on was director of national intelligence dan coats warning about russian operatives very. a report overnight revealed that the russian state-sponsored hack ers electronically slithered into the control rooms of u.s. electrical utility grid companies and conducted practice runs to cause blackouts so if they're already here what and who will protect our process in november? a company says its already begun doing just that and get him in here co-founder and ceo matthew prince joins me with the plan. matthew we know you're known as the fort knox of internet and that your company has a very strong track record of making websites to hackers but does this new news out they're already inside some utility companies put us behind the game already? >> i think that what we've seen
at cloud flare is that there's really a concerted effort by a number of actors to target things that are critical to our country's success and that includes utilities, that includes financial institutions, and we're working to make sure that we can help our customers stay online and stay protected from these hackers no matter what. liz: well you're making state election offices and processes your customers now, correct? talk about what you're doing because i've had more people come up to me and say oh, my gosh i'm so anxious about this. i'm so nervous, and then with this new news that they could hit the grid, you could almost see them trying to cause a black out on election day. >> i think that we as a technology company watched over the last six months as we saw other silicon valley technology companies technologies being used to undermine democracy and we ask ourselves as a company, what could we do that could actually help support democracy
itself and so back in december, we launched a project which gives cloudflare's services that big companies would pay millions of dollars a year for for free to state and local election officials because we built the company that we did into the success that its been on top of a really stable infrastructure in this country and that rests on having a foundation of reliable secure elections so we're doing what we can to make sure those real patriotic heros which are the individual local election officials have the support that they need even if they don't have the budgets to be able to afford it. liz: there are hundreds and thousands of counties though. i can only imagine how many have called you? how many have said we'll take it it's free. >> so there are 8,500 different jurisdictions across the united states responsible for elections elections are really a local development in the united states
where individuals in each county are responsible for collecting the votes, publishing where your polling place is going to be reporting those results back, and so i'm proud that we're working with 19 states today. we hope that that will continue to expand. we're trying to get the word out and our hope is that we can help be just someone else who says we've got your back. this isn't about money to us. this is about making sure the elections have integrity. liz: matthew i'm going to ask you a question i want a really straight answer. does the u.s. have a coherent vision of cybersecurity right now i'm talking on the government level a coherent plan and vision to protect the november elections? >> i think the u.s. as at a federal level understands the importance and is trying to push this down. i think the challenge is again you have 8,500 different officials in counties around the country and i think they're afraid there are a lot of times
that i've talked with individuals in these positions who think that the entire russian cyber army against them and so i think that what we're doing and what i hope other technology companies with ill do is say that we couldn't have built the business we did without a really stable political system here in the united states and so we have a duty to be able to give back and say, you know, to those 8,500 officials like if you need help we're here to help. liz: matthew prince of cloudflar e, you're not public yet we're hearing you're worth about 3 billion you've got to come when we do because if this is a successful plan, it certainly well help your valuation. good luck to you and i hope other counties pick-up the phone and call you. it's free, right? >> thank you, liz. liz: you're welcome. cloudflare, luxury cars, cell phones, security threat? the closing bell ringing in 37 minutes we've got a pop quiz for you. what's really the bigger threat to our national security?
that shiny mercedes from germany on the left or is that firm from the chinese company that knowing ly does business with rogue nations like iran and north korea. top trade expert joel trackman has the answer, doesn't necessarily square with what the administration is saying right now. that and more coming up. how do you win at business? stay at laquinta. where we're changing with contemporary make-overs. then, use the ultimate power handshake, the upper hander with a double palm grab. who has the upper hand now? start winning today. book now at lq.com.
copd makes it hard to breathe. so to breathe better, i go with anoro. ♪ go your own way copd tries to say, "go this way." i say, "i'll go my own way, with anoro." ♪ go your own way once-daily anoro contains two medicines called bronchodilators that work together to significantly improve lung function all day and all night. anoro is not for asthma. it contains a type of medicine that increases risk of death in people with asthma. the risk is unknown in copd. anoro won't replace rescue inhalers for sudden symptoms and should not be used more than once a day. tell your doctor if you have a heart condition, high blood pressure, glaucoma, prostate, bladder, or urinary problems. these may worsen with anoro. call your doctor if you have worsened breathing, chest pain, mouth or tongue swelling, problems urinating, vision changes, or eye pain while taking anoro. ask your doctor about anoro. ♪ go your own way
liz: just because the bell rings doesn't mean there's a lot of action once the bell stops ring ing leading off earnings announcement after the bell today, telecom giant at&t and while this report will not include its recent acquisition of time-warner, what should investors be scrutinizing? i don't know it's always interesting to read into one company and what it might mean for others in people's portfolio s nicole? nicole: that's absolutely right liz and i just got off the phone with the raymond james analysts and we looked closely at at&t, its merger with time-warner and how also from this morning when
we heard from verizon so he told me really key points so now while they won't have past numbers with time-warner, he said it'll be key because they will figure out the integration going forward, hbo, directv, the outlook and integration and the numbers are very key so they will be listening closely to that. also looking for improvement in directv overall they've added dvr, so that may shift things a little bit and also said you know the doj of course jumped in with the appeal and he believes even though the judge recommended the doj not doing that he thinks at&t will win the appeals process against the doj but that there will be an over hang on the stock. in fact for six to eight weeks roughly and that the stock itself will trade sideways. that's why he downgraded it and now has a market performing with no price target originally had a $40 price target until they figure this part out so then i asked him what's the best purchase in the group just to get away from at&t for a moment
and in fact he told me that this is raymond james, he said the best purchase is charter, that is set to outperform after the seasonally weak second quarter, so he liked that one in particular and if doj does win this one they have the turner network somewhat separate so it'll be easier to unwind that, but big picture, he sees the growth there and it's at 1.8% but again it's going to be an overhang over the stock so i thought that was really interesting too back to you. liz: i'm looking at charter. you say just because at&t is coming up doesn't mean you can't blown something let me quickly tell you what charter is doing. the annual high, 408 so it's a 282 now so you certainly wouldn't be buying at the top right? nicole: right and he had that one as a buy so he liked that one the most in the group. liz: nicole thank you very much nicole petallides. we've got exactly 30 minutes to go before closing bell rings. take a look at the dow 30.
it's united technologies soaring to the very top, good earnings news and a positive regulatory approval outlook for its rockwell collins acquisition boosting shares right now up 4.75% and they also own pratt & whitney aircraft engines and oat us elevators. hog shares revved up this is an interesting one the motorcycle leader saying tariffs will have less than a hit than expected on profits they beat the top and bottom line not bad and take a look at this, you're looking at a live picture of, okay look right in the middle where the clouds are, that's jeff flock. he just jumped out of an airplane, and he's doing only what he can do kicking off america's biggest airshow with total flare. the annual experimental air association in osh kosh, wisconsin, we'll show you how this one ends yes that's jeff flock right there, the one on
the left. stay tuned. we'll have him on the other end. fingers crossed. ♪ hawaii is in the middle of the pacific ocean. we're the most isolated population on the planet. ♪ hawaii is the first state in the u.s. to have 100% renewable energy goal. we're a very small electric utility. but, if we don't make this move we're going to have changes in our environment, and have a negative impact to hawaii's economy. ♪ verizon provided us a solution using smart sensors on their network that lets us collect near real time data on our power grid. (colton) this technology is helping us integrate rooftop solar,
when it might be time to buy or sell? with fidelity's real-time analytics, you'll get clear, actionable alerts about potential investment opportunities in real time. fidelity. open an account today. fidelity. ♪ ♪ our new, hot, fresh breakfast will get you the readiest. (buzzer sound) holiday inn express. be the readiest.
liz: it's a bird, it's a plane, it's a flock. not a bird, literally a flock. jeff flock oh, yeah, he just landed successfully after jumping out of that plane at the largest airshow in the nation, in osh kosh, wisconsin. half a million people plus on the ground waiting to see him land. look at what. oh, it was a little double on there. we're going to check in with jeff in just a minute to see how that went but so he asked me this question earlier. these two items let's put them up on the screen again. between these two a mercedes
benz a350, oh, i want that, convertible and then on the right a cell phone from chinese company zte that the u.s. government says does business iran and north korea. which one poses a bigger threat to our national security? well the answer might be pretty obvious to our viewers but the trump adminitration is starting to feel otherwise. at the president's direction, officials have invoked national security as a rationale for preparing to slap tariffs on foreign cars, coming into the u.s. , like mercedes. on the other hand, the administration and republican members of congress have eased penalties on chinese telecom giant zte. joel trackman is a professor for international laugh and diplomacy. which one is more dangerous to the national security? >> well you're right liz that mercedes benz doesn't pose any kind of direct threat to american national security. president trump is acting under this section 232 of the 1962 act
which was designed to protect industries that were really critical to national security, where we couldn't get those materials somewhere else, and president trump is using that statute as a kind of carte blanc he to put tariffs on anything he decides and there's a lawsuit that has been brought by the american steel institute saying you know, that doesn't give you that power and if it does it's unconstitutional because the power to decide tariffs belongs to congress, so there's a real question in the united states law and then there's a question whether we can change our tariffs and still comply with wto law where we agreed to keep our tariffs at a certain level. liz: people look at the level of tariffs when it comes to cars. we charge 2.5% of tariff when it comes from out of the country, europeans are charging 10%, president trump says fine we'll match that or go higher to 20%
having nothing to do with national security but fairness but a lot of people forget and we can put it up on the screen there is a light truck tariff that we invoke, that we tag on, for all incoming light trucks of 25%, so to be perfectly clear about what's going on, it's not exactly as transparent as it looks but when it comes to invoking the issue of national security let me play devils advocate. what if we need steel for a war machine situation that eventually comes to pass? >> the steel manufacturing capacity that the united states has is sufficient by a multiple to prepare what we need. there's no issue about steel. there's no issue about automobiles. it's i believe it's a pre-text and it's an abuse of this national security authority and by the way, those european tariffs of 10% on automobiles
and as you say ours are 25% on light trucks which includes suv 's that's a big category, but the average european tariff is 3 %. the average united states tariff is 3.3%. this is reciprocity. it's not exactly mirror image reciprocity but it's reciprocal. liz: okay so those bmw suv's that are known as the mom jeans version of suv, or the lexus small suv, so those have tariffs coming in from out of the country? >> they did, but bmw makes all of its x5 in south carolina for the whole world market because about 25% tariff. liz: exactly and they employ people in the carolinas. all right, so how do we get fair er trade? that's what the president is really pushing here. he did just put out a tweet today that said tariffs are the greatest! i'm not sure he really meant that. i think that he's really trying to gear up in advance of the
meeting with the european union commission president tomorrow who has said he's not giving in. he's said we'll respond tit for tat but maybe can you anticipate what happens tomorrow in that meeting? will the europeans give a few givebacks and that way the president can say well we won and you won. >> everybody has read the art of the deal. everybody knows that we're just going to punch back. junker says i hate doing this but i have to. china does it. even angela merkel who is worried about the german automobile industry she will support retaliating so there will be retaliation. the europeans come in and say we understand some of your legitimate complaints mostly about china. we're willing to work with you to do something about china. let's see if we can put things together and maybe president trump will say yes, i can work with you on that.
let's make a deal. liz: it's great to see you joel thank you very much. thank you, liz. liz: the fletcher school and so but jeff flock moment, biggest airshow in the united states. he had to make a dramatic entrance. fox business took quite the leap of faith letting jeff flock jump out of the plane. he was like oh, let me, please please please he raised his hand , we let him parachute out and moments ago he landed in osh kosh, wisconsin. jeff? show us your face. [laughter] we were so nervous. >> they don't have to pay my retirement if i don't come back alive. incredible. lock at this this is the osh kosh airshow. we opened the show with a patriot parachute team, [laughter] , just in gonzalez you are all about making people aware of returning combat veterans that's why you do what you do. we're excited to be here in 201a
good show for the crowd but what we're really here is to talk about veterans transitioning from active duty to the civilian life and of course to inspire our next generation. reporter: right hand you look oh , my god that's -- >> shawn d. tucker. reporter: incredible acrobat ic pilot. this has been an incredible day and you know, this show, by the way just look at all of the people, this show, bigger than ever this year, booming economy, recreational flight, big deal but i'll tell you i don't know if i've ever had a better experience than to come hurdle ing down strapped to you. we were about as close together as i've been with any of my three wives, there you go. liz: [laughter] jeff. reporter: that was good. that was good. i needed to be that close. liz: oh, man. if i were strapped to him he'd have claw marks on his neck. i would be holding on so tightly
less his heart for all he's doing. reporter: if you've been flying with him it would be even worse. liz: so glad you're tack on ground thank you so much. jeff flock, now on solid ground as the economy could really be ready to take off with the closing bell ringing in 17 minutes the white house economic team and president trump himself heading into friday's gdp report with great expectations. charlie gasparino has the inside scoop on the huge growth figures being thrown around and how long this economic sonic boom could last, and no it's higher than what charlie said yesterday. dow is up 159 don't move. for people as experienced as you and me, careful driving just comes naturally. all that experience should be worth something, and it is with the aarp auto insurance program from the hartford.
switching saved me hundreds. in fact, four out of five aarp members age 50 and over who switched to the hartford from companies like allstate, state farm, and geico got a lower rate with the hartford. - with the hartford not only did i get a better policy and better coverage, but i got a better rate as well. - of course drivers 50 and over like to save money, but it's great when it comes with coverage and benefits designed for us. that's real value. call the hartford for your free quote. not an aarp member? the hartford helps you join in minutes. here's an insurance company that respects its customers enough to do the right thing. like with new car replacement. if your new car is totaled in an accident, the hartford will pay the full replacement cost for your car. that's pretty cool, huh? - sometimes life happens, and when it does it's important to know that the company you're doing business with has your back. the hartford has my back. - they even prove their loyalty by offering lifetime renewability.
that's the hartford's promise not to drop you even if you've had an accident. - it's a great feeling, and a very comfortable feeling, to know that i'm not gonna get dropped for that reason. i feel like i have a partner in the hartford, and that i can trust them when and if i need them. - [announcer] you could save hundreds of dollars when you switch, and get other incredible benefits like new car replacement, and lifetime renewability. - i would recommend the hartford to friends, relatives, anybody. - and certainly when we needed them, they were right there for us. it was pretty impressive. - [announcer] call the hartford at. to request your free quote. that's. or go to.
this is moving day with the best in-home wifi experience and millions of wifi hotspots to help you stay connected. and this is moving day with reliable service appointments in a two-hour window so you're up and running in no time. show me decorating shows. this is staying connected with xfinity to make moving... simple. easy. awesome. stay connected while you move with the best wifi experience and two-hour appointment windows. click, call or visit a store today.
liz: first measure of economic productivity for the second quarter is due out this friday, and the white house is apparently saying get ready for some out of this world figures, despite the ongoing eye for an eye tariff battles. charlie gasparino joining us now with exclusive details on what people are saying is going to happen here. charlie: this is from within the white house and for all they could be making it up. this is what they're telling us what might happen. we should point out that president trump has told people he expects 4.8% economic gdp growth for the second quarter. his more sober economic advisors are talking that down saying 4.3 , 4.4% economic growth. liz: still great. charlie: but there is some people in the white house that said don't be surprised if this thing pops up above 5% and why do they say that? it's a few things break their way, the only way these things are measured it's kind of funky
including the fact that if a lot of businesses have bought material worried about a pending trade war, they would stockpile and speed up the purchase and put it into inventory. that could add to gdp growth, so that's one of the factors that they talk about and so they're saying listen. the president has his number 4.8 , i think people like larry kudlow would have their number around 4.3, 4.4, he is his economic advise or but there is an outlier there saying don't be surprised if this thing hits five because of those intangibles that may kick in. now we should point out i'm not going to put my finger on the chopping block and say this is what happens. for what i know this number comes into 3.5 i have no idea. the general consensus among the economists is between 4 and 5% all the big wall street firms are saying that. you've had massive corporate tax cuts you've had massive deregulation, you have some one-time events. it should be a fairly strong
economic report, the trump adminitration is planning a major rollout if it hits that 4 plus percent bogey. if it's below that they're deprived of a major talking point but we should point out this as well these numbers are before the real trade negative trade impact kicks in and all you have to do is read the wall street journal, know today that trump is bailing out farmers that are being hit by tariffs to know that there is going to be a negative economic impact on tariffs that probably won't show up in the second quarter numbers it will show up probably in the third quarter numbers and here is why where a lot of people in the white house are worried about those third quarter numb berms are right before the mid-terms. are they going to be stronger than this? will they be weaker, will the democrats seize on them isotropouses trade war costing jobs so this is a moving target. but friday is planning to be the
trump adminitration is planning friday to be a really really big day. liz: now the white house gets, does it get the number in advance? i can never remember. i know they get the jobs number. charlie: you would think that they have some clue about what's going on with this but this is put out by jobs number is put out by the bureau of labor statistics. this is put out by the bureau of economic analysis and it's the commerce department, not quite sure where the bob bls, that's part of the treasury department but i could be wrong, so but you would think that trump has some insight which is why he's saying 4.8. i'm wondering if he's saying 4.8 because it's really higher that he's actually setting those low expectations although trump is not a guy that sort of hides -- liz: under promise and over deliver. charlie: he's quite the opposite he overstates stuff so this is what's coming out of the white house as, you know, for this
very very strong gdp report. liz: anything above 4% is fantastic. they have have a 3.8%. charlie: i think if it's below 4 they lost their talking point because they explain tariffs and if it's above 4 they have a good talking about. tariffs are the greatest. it's like ali. i am the greatest. >> tariffs are the greatest. >> [laughter] liz: seven minutes. charlie: why are you cutting me off i don't understand? liz: don't be foolish but bull ish why $5 million market guru says you could get tram belled if you don't take his be bullish not foolish advice. he will give it to you next. "countdown" is coming right back and exercise. and maybe even, unproven fish oil supplements.
not all omega-3s are clinically proven or the same. discover prescription omega-3 vascepa. the one that's this pure... and fda approved. look. vascepa looks different... because it is different. it's pure epa. vascepa, along with diet, is clinically proven to lower very high triglycerides by 33% in adults, without raising bad cholesterol. that's pure power. proven to work. vascepa is not right for everyone. . . . . . 2.3% of patients reported joint pain. it's clear. there's only one vascepa. ask your doctor about pure epa prescription vascepa. ♪ you shouldn't be rushed into booking a hotel. with expedia's add-on advantage, booking a flight unlocks discounts on select hotels until the day you leave for your trip.
♪ liz: nasdaq isn't down one point. it is off 86 points. it had been higher by 85 point. it has lost all of that so we've been digging, digging whole entire hour. what we've been really able to narrow it down to, there is a transport portion, broken out within the nasdaq. transport names. and that is where we we see jetblue. transports are falling 1 1/2% there. you can see it is ugly intraday picture for them. jetblue says costs are going higher. that has something to do with higher costs. nasdaq lost all of the lift from great numbers. from google parent alphabet until after the bell. our next guest says there is bull market. it won't last forever. you better join the stampede now or else you might get trampled. this is pitcairn cio, rick
pitcairn. what do you see? >> good to be with you. i see environment where everybody is focused on political issues, geopolitics. the trade war really dominated the conversation. underneath that is a solid fundamental economic mixture. i think people, if that anything happens in the trade war, any type of lit victory, it's a compressed spring go to the positive for long-term equities. liz: let's be ready for the compressed spring so we don't get hit with the boing part of it. what sectors? >> we like energy, financial sector, the industrials, the banks have performed very well lately up the last 2 1/2 weeks. liz: in rising interest rate atmosphere. >> you have seen bank stocks do extraordinarily well. you have seen the quarterly reports doing very well. they have a lot of growth potential under the dynamics of
a new administration. liz: anything that keeps you up at newt that is something i watch out for as a flashing red light? >> inverted yield curve is a scary thing. there is not a whole lot of room for error on terms of fed. i saw the segment before i went on. we also believe there i will was big gdp number on friday. not sure what that will be. you would think, logic would think that would lift the long end of the curve. david: say we do, say we get a good number. anything above 4, 4.5. will the markets sell off on the news kind of thing, buy on the rumor first? >> it might on the day, really our thesis involved with this late cycle stimulus we pushed through, is that really have some long-term effect or is it a is sugar high, right? that is what the market has to work its way through the fall. we tend to believe at pitcairn there will be lasting effect. we have fiscal help along with the monetary programs that have been in for so long and that
good effect of gdp will last longer. liz: rick pitcairn says be bullish. there will will be a time we sea selloff. that is natural. [closing bell rings] the dow snaps three-day losing streak. section up day in a row for the s&p 500. but the nasdaq just slightly lower after having been up 86 points. >> thanks, liz. stocks surging into the close. stocks closing up, almost 200 points, snapping a three-day losing streak. s&p closing higher for the second straight day. nasdaq was trying to claw its way back into positive territory. it looks like it will fall a little short. i'm adam shapiro in for david asman. melissa: i'm melissa francis. this is "after the bell." more on the big market movers. here is what else we're covering in the very busy hour ahead. a helping hand for american veterans and farmers of the president outlining new changes coming to the va while his administration announces billions of dollars in aid to help ease the pawn of tariffs.