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tv   Varney Company  FOX Business  October 15, 2018 9:00am-12:00pm EDT

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having an annuity tells me retirement is protected. annuities can provide protected income for life. learn more at retireyourrisk.org great show everybody. >> great to see you. i love you back. have a great day cease the day "varney & company" begins right now. stuart over to you. stuart: i'll give it my best shot yes we'll get to impending royal birth but first the market opening this week. the dow will be down ever so slightly. remember, please, last week it was down a whopping 4.. so we are starting out the not too bad this monday morning. sears going, going, probably soon to be gone. bankruptcy declared today 46 stores to close within weeks another 142 going by year end.
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liquid sales and inspect the saudi consulate in istanbul where a jowrnlgist disappeared and hacked to pieces. president trump says he just spoke to the king of saudi arabia. the president says he's going to get to the bottom of all of this that could be severe punishment. the saudis say they'll retaliate and will not be bullied. backing away from a big economic conference in the kingdom. but 110 billion dollars worth saudi arms that's a deal it is with america, it is still on and by the way the president says, secretary of state pompeo will be going to meet the king shortly. now look at this. the they're talking devastation from the hurricane michael. a lot of people still unaccounted for. the president and first lady are about to take off to visit the florida panhandle and south georgia. they're going to get a first-hand look at what is
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clearly devastation. i want to say thank you very much to charles and all of our company for all of their hard work last week. i will also say it's great to be back. "varney & company" is about to begin. ♪ >> and now, ladies and gentlemen, this monday morning, two americans with british accents are going to talk about the royal couple megyn and harry. ash. >> the dutchess of sussex is pregnant. the announcement coming from palace we believe she's four weeks pregnant they were married five months ago this comes just as launch on 16-day tour of australia, new zealand, hunker and fiji. so the baby will be the 7th in line to the throne. first cousin of prince charles charlotte and louie and will hot be a prince or princess but a lord or lady unless the queen
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steps in why because harry is not in the direct line of succession so they can't be a prince or princess so prince loves to bet and bet abouting on nameses so far diana, victoria alexander. >> you're really into this. start with some happy news. >> extra 30 seconds. all right. let's look at stocks they're coming off a wild week i'm sorry i was away for that but it was a wild week dow is closed to 25,000 level. jack is with us senior editor all right jack. >> i can't believe the news you want to talk about stocks a time let's talk about stocks. go ahead so -- >> don't want to meant -- [laughter] it has been a great run for stocks. truly great run. is it over? >> i don't think so. this was a well mannered selloff this is not panic time look we're coming into earning season now it is beginning to be another quarter of 20% earnings growth. i know next year the earnings
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woapght be as gross rate won't be as hot but probably get high single digit growth and chances that recession i don't see signs on horizon if you don't get that. you don't get a prolong and selloff that leaves you at a reasonable price which is what we have had. >> a weak report on retail sales this morning. does that mean anything to the overall market here? >> i actually think there was some -- some short-term weakness but i actually think gradually, the state of retail is getting a little bit better. it takes long time in the retail industry for weak players to die. stuart: yeah. >> one comes to mind. stuart: sears end of and i con. >> so i think thises have gotten worse no sears should have died 20 years ago. retailers it is hard to kill them because they have something of value in form of inventory always leverage to get hands on more cash to stay afloat but
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sears has not been a competitive force in a long, long time these stores have been closed a long time ago so -- you know we're gradually going to get weaker players out of retail overstored for a long time with opportunity for stronger play to shine. i think you might see better days ahead for the brick-and-mortar chains. >> hold you over to 9:30 to opening the majority not so sure about that. but -- [laughter] so you're telling our viewers, don't panic here. don't worry, this bull market is not completely over. >> i can never guarantee you that market acts in a irrationallal way but where stocks should be. they should be here. they're fairly priced right now. stuart: that's a pretty fair point jack thanks very much. let's get to politics. this is ugly. members of right and let wing groups clashed in portland, oregon saturday night it was a protest billed as march for law and order. same story in new york friday night.
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nationalist proud boys clashing with antifascist come on in brad form deputy assistant of 43 less than a month from midterms. how does that street violence and confrontation we've seen with republicans how is that with vote centers >> i think it turns them off. mantra should be this, you can't argue with result ares. resistance versus results i'll take results every time. in thes don't stand for everything. they're against everything. they're against trump they were against trump. from the day one. so i don't think it is a selling message. if you stand for nothing -- that's your -- that's what you want to bank on. i don't think so. >> brett i've been away for a week. but i've paid very, very close attention to politics. i can't remember seeing or hearing a single democrat saying hey come onoff change tone let's be civil. knock it off. i've not heard any democrats say that. >> well yelling fire in a outside crowded theater listen to what -- hillary clinton said last week
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that -- we have to be uncivil because republicans aren't civil. the republicans are are very civil. they've been toning down. they've been trying to put their nose to the grindstone and actually do something. so i don't think this resistance movement and democrats being in a conundrum socialist democrats is beginning to play well in the heartland. >> brad i'm sure you saw the interview last night on 60 minutes with president trump. he said there are people working for him who he does not trust. roll that tape. >> the first lady melania, she said that there's still people in the white house that she doesn't trust and that you shouldn't trust. i feel the same way. >> i don't trust everybody in the white house. i'll be honest with you. i'm usually guarded. i think i'm guarded anyway but i'm not saying i trust every in the white house i'm not a baby. it's a tough business. >> it is.
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you were a white house starve. staffer can trust be an issue as the president ?aid >> yes, it can. you bring diverse personalities to the white house now remember donald trump never held public office before. he couldn't take his business and move it to the white house. he had to rely on political people. people who were, who could go with bureaucracy so, of course, he has people second guessing him thinking they're smarter than he is because he doesn't have government experience but i have to say this. inspite of any people who president might question he's had fantastic results in two years. >> it is also a remark performance for any president like he performed on "60 minutes" last night he was going toe to toe answering any and all questions directly and honestly no preamble no stumbling around just go right at the it. you know, i have to say at it again i haven't seen a president do that kind of thing with that
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kind of tone and approach ever before. >> nobody has ever let the meeting with donald trump that i know of who said gee i wonder what he's thinking. he's brutally honest, and that's refreshing to a lot of people because you don't hear mumbo jumbo he cuts right to the chase. >> you think audience likes it? >> i think they like it a lot. >> okay. brad you're all right we'll see you again soon. thanks very much. oh, do i have a programming note for our viewers. >> yes, you do look and behold. [laughter] "varney & company" will be live from the white house. this wednesday and we start at 9 a.m. we'll have a lot more detail on that one as we go through the program today and -- and open the market today down about 20 points that's not much. please remember we were down 4% over 1,000 points last week. we have bob he's running for a senate seat in new jersey well that's a tough state for republicans. today, hillary clinton campaigns for his opponent senator bob
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mendez in jose guerena and bob will join us next hour. president trump goes to the panhandle we'll show you the damage on the ground right there and show you that in detail, next. w client, i start by asking questions like: did you understand all the fees you were paying? was your broker a fiduciary? were you satisfied with the attention you were getting? then i explain that being independent gives our firm the freedom to give our clients the attention they deserve. we can put a plan together that makes sense for them. independence lets us do that. charles schwab is proud to support more independent financial advisors and their clients than anyone else. visit findyourindependentadvisor.com
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>> well let's tay look at bank of america they reported earlier this morning, more profit, more revenue, deposits up. loans up. the stock is premarket up about half percentage point. interest rates apparently helped them offset a less money coming in from bond trade that's pay this morning. president trump and a first lady are at the florida panhandle today to firsthand look at the damage from hurricane michael. fox news reporter phil keating is with with us from -- in panama city now, what will the president be seeing when he goes down there today? >> widespread destruction, and in some places a total waste
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land the president and first lady will land at the a air base 40 miles up the coast and then chopper all around the impacted area of near cat 5 hurricane michael which hit last wednesday and today day 5 post hurricane, and you can see whole brick wall crumbled on to the ground and the roof -- it is up there. was up there -- ripped open and sky totally exposed. this is one of those stores that takes donations from people, furniture, and pretty much anything you can think of at the house. and then resells it to the community, and well, likely with the exposure and according to the police that just left here we're speaking with them they say this place is already been looted three times. well here's what's not been looted. pretty much every appliance you can think of -- but you see the damage to the building just whole thing has got to be basically thrown away all this stuff hauled away in the trash.
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and i mean some things would definitely be salvageable and the question is if they're going to get it done. >> do you have gas and food available and plentiful in panama city? >> trucks have been showing up and so governor told me yesterday said look it is really -- sporadic when gas station at this point runs out of gas. they are working with the port getting fuel delivered but again, lines are long. >> got it phil keating thank you very much. we will see you again later. thanks a lot. let's get to situation these are saudi arabia -- president trump tweeted this morning. look at this. just spoke to the king of saudi arabia, who denies any knowledge of whatever may have happened to our saudi arabian citizen he said they're working closely with turkey to find answer. i'm immediately sending our secretary of state to meet with king.
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don is with us former naval intelligence guy, what do you make of this? secretary of state pompeo going there immediately. >> well stuart good morning. i think it is the right step we've got to find some anxiouses here. you know this thing plays out totally as pages from a john novel it has got twist and turns i mean everywhere you turn, there's either it is allegation of assassination, it could be extraction. you know, everyone has a different story here. what i look at is why all of a sudden has turkey become, you know, in a position want to warm up to us as you know attention between u.s. and turkey has been high lately. >> but does this affect maybe -- potentially the containment of iran? >> well i think a lot of it has to do with iran. turkey is in a situation where they've been against the united states or our support of the kurds turkish leader was praising syrian fighters for their attacks on kurds and all of a sudden now we've got pastor
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who has been stet free after three years of captivity. >> this could escalate couldn't it? i mean, you know if there's no answer here -- there's escalation involved truely. >> there's ways that escalate. if you know when president first kale into office he made 110 billion dollar arm deal with saudi arabia there's a lot of investment going back and forth between the u.s., u.k., and saudi but now all of a sudden that could be put on hold. as congress is asking a lot of question, you know last week they sent a letter to the white house. you know giving the white house is 120 days to find a solution to this issue. >> do you think you can still blow up this whole issue? >> i think it is always potential for it to blow up. >> what's the livelihood? pompeo is going over there. secretary of state -- i'm pretty sure he will be taking with him a pretty strong message. all right? >> absolutely. and that seems to be the message that secretary has given from the president you know whether it's with china whether it's with north korea and so on. it is always been strong and that's been this president --
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so i think we have a plan in place. but you know, there's a lot of answers here. you know, the only thing we do know right now is that jamal walked into the consulate other than that everything is a mystery. >> well turkish authorities thankfully are going into the saudi consulate today for an inspection let's wait for results on that. don thanks for joining us sir we will see you again soon. >> thanks. >> how do we open markets very interesting question on a monday morning. baring in mind a rotten last week when dow was down 4%. bottom line this morning, we're down just a little. maybe 30 points lower for the dow industrials. remember, a ring i certainly do. i played pong -- the press club in honk con in 1974 it was great game okay. well, they made iconic video game pong and -- well they're trying to reinvent themselveses from modern era. they're making a big announcement today and we're talking to ceo of atari a name
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>> monday morning 7 and a half minutes to go open this market and we will be down just a fraction. what a difference from last week. how about the price of gold,
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when i went away from my weeks vacation we were at 1207. i come back, and we're at 1228. not much of a gain. but we're up $6 this morning. 122.09 reporting thereof. more than 50 of the s&p 500 name such as we just ahead? bank of america we have netflix this week morgan stanley goldman sachs united airlines johnson & johnson ibm procter & gamble a ton, slew of variety of companies we know that the profit and earns are going to be great the question is do we look at the guidance as we do every time to see what they're saying. >> david is with us. and i want him -- >> rubbing me sleepy eye. it is 9:23 -- [laughter] i know but identify worked particularly now. yes, you will. more on that in a second. now if the corporate profit reports, this season -- up 20% from last year, as we
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hear the forecast what happens to market? >> well as you're indicating it is all about expectations. expectations were superhigh. but, the past week in that week that you were on vacation, something happened with the majority i don't know if anybody has told you but they came down quite a bit last week an as a result of that i think expectations are now much lower than they were two week ago. two week ago i would have said if they don't meet high expectations we're going to see a big drop but after what happened last week i think -- expectations are lower. on the other hand, is it a slippery slope? are we in the position where any bad news is is enough to sengtd markets down where they were going last week. >> come on don't give me this on one hand. what are you economist or something? [laughter] i'm telling you, brother. tell you markets like this are hard. one of the most distinctive features of last week was not just down movement it was all of this swings dramatic swings particularly on friday, thursday and friday were amazing so again there's the markets on edge.
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but i would say basically speaking the -- expectations are boing to be met where they are now that i going to be met. >> another thing we don't do expectations on "varney & company" sell dirty word. >> i didn't get a buzzer -- sad -- what's this about jay clayton fec guy chairman of the security. been a lot of pressure from the president himself about doing away with these quarterly reports. there's a criticism at least a short-termism everything is preferred for the next three months whether that could, in fact -- raise are costs and also encourage share buybacks things that overall long-term growth is not god. he says i don't think that's going to change at least top names any time soon. look, everyone even diamond and buffett has said do away with guidance every three months. >> appointed by trump he better watch out. open the market in precisely four minutes and whatever seconds.
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stuart: what should be the lead story is today? the impending royal birth or -- the stock market? which opens in 20 seconds i think we can agree on stock
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market. we've got 15 seconding to go, last week was a rotten week basically it closed friday at 25,400 or thereabout here we go 9:30 earn time on a monday morning and we're only down 5, 8 points in the very early going it is a horse race down 18 down 22 okay let's leave it at that down 19 me the s&p please. where's that one this morning? we are down the tiniest of fractions .15%. nasdaq handle on the technology stocks, down a third of one percent. that's a much bigger decline than the s&p or the dow. then we have sears, yes, it has finally filed for chapter 11 bankruptcy protection it is down 16%. the stook bisquely irrelevant. 35 cents per share. monday morning who is with me
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shah gilani jeff david and ashley webster. stocks really coming off that wild week. so shah gilani obvious question where do we go from here? >> i'm hopeful that we go higher. i'm hopeful that we have a bounce here friday was encouraging the way we closed with buy orders that came in at the close futures were down hard early this morning and they're r.o.v.ed now market is high per and flat in my opinion. i think if we have with a reasonably calm monday and tuesday i think market has a very good chance of going back and perhaps even making new highs again. but right now, we're not out of the woods. but so far so good this week. as we sit here right now i'm positive on market to put my money where my mouth is and i bought stocks on friday and buy more today. >> okay. that full disclosure and we like that. okay what do you say jeff i won't say anything about cold we are the on anything. go. >> still excited from the pending royal birth. [laughter] >> i feel like --
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almost crying. look at that positive down one. and what had i -- what i think is the market anticipating big share buybacks to bounce where i see the problem is once earnings come out i anticipate there will be warnings because the tariffs concern corporate america greatly. and there will be warnings and i think that's going to put a cap on this market. >> that's a very positiveout look for a bear, right? i would take that to be royal birth. [laughter] >> right. remember that is not a brit anymore. >> that's right. renounced the market. renounced all of that stuff. let's leave that one alone. [laughter] look at this retail it is a retile icon. sears, it is file for chapter 11 all right jeff are they a victim of amazon success? >> partly but not entirely. and sears the place where i got
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my first bicycle and iconic retailer they are made some serious, serious strategic mistakes and fact that they borrowed an excessive amount of money that they couldn't pay. >> here's the president about to speak to reporters bever we leaves for florida. listen in, please. >> norming one as you know some of you were there, and he had a fantastic weekend. he's back home. and love the fact that he's back home. he's with his family. and he's a very happy man. he left turkey. he's extremely thrilled as i said -- really yesterday more than ever that we want to thank turkey we want to thank president iredwan i just spoke with the king of saudi arabia who denies any knowledge of what took place with regard to as he said, his
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saudi arabian citizen. i've asked that he firmly deny that. i've asked secretary of state mike pompeo to immediately get on a plane, go to saudi arabia, go to other places if necessary which he probably will. but with regard to this go to turkey if mess. the king told me that turkey as saudi arabia a working hand-in-hand very closely on getting to the bottom of what happened. so we'll see what happens. but mike pompeo excuse me -- mike pompeo is leaving literally within an hour or so. he's heading to saudi arabia. we are going to leave nothing uncovered with that being said, the king firmly denied any knowledge of it. he didn't really know, maybe -- i don't to get into his, but
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sounded to me like maybe this could have been rogue killers who knows we're going to try to get to the bottom of it really soon but there was a flat denial. what? >> all i can do is report what he told me and he told me in a very firm way that he had no knowledge of it. he said it very strongly. >> well that was not part of the deal. we had no deal with turkey we don't make deal any deal for who is had tajes or prisoners. but i will tell you that i feel much differently about turkey today than i felt about them two day ago. i have a very good feeling towards turkey two days ago i did not so that helped. i know we're going to try to get
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to the bottom of it. i can where only tell you his denial to me is just one very, you know, relatively, fast phone call probably lasted 20 minutes. his denial to me could not have been stronger. that he had no knowledge and it sounded like he -- has also crowned prince had no knowledge. [inaudible conversations] >> we didn't talk about that. we didn't talk about that. i did say this is very important, the world is watching. the world is talking. and this is very important to get to the bottom of it. and i think he understands that very well. he did say very strongly that he's dealing with turkey. that they've come to agreement that they're investigating together and i think that's a good thing. [inaudible conversations] >> elizabeth warren -- dna tests? >> no i don't know -- who cares? who cares? >> one million -- no. you better read it again.
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>> sorry i have a helicopter roaring in the background. go ahead. no not a theory but denial was very strong. it wasn't like there was a question in his mind the denial was very, very strong. [inaudible conversations] >> do you think elizabeth warren is run aring for president? do you see her? >> i hope she's running for president because i would she would be very easy. i hope that she's running. i don't think shield be difficult at all she'll destroy the country and make our country into venezuela with that being said i don't to say bad things about her because i hope she would be one of the people that would get through the process. going to be a long process for the democrats. >> will you stop calling her pocahontas? >> it's a shame. so she's robust what i was growing up was the big deal and very sad what happened. very, very sad when you look
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at -- that whole filing that they did last night. to me is very sad. somebody that is of my generation was a big deal. though it is very sad to see. >> why -- with that being said i would imagine great sites sears had they have great sites. we'll be put to good use it will be a lot of jobs sears has been dying for many year. obviously improperly run for years and it's a shame. [inaudible conversations] i'm not talking it off the table but try to find out. i'm just explaining no, no, look i'm just explaining very easily, i think what was told to me a half an hour ago. and the denial was not only a denial it was a very firm denial. so we will check it all out and
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get to the bottom of it. okay. coming along very well. relationships have very good. i think a lot of good things will happen. it's -- complicated. you know we've done things in three or four months that nobody has done in 70 years. but i think north korea is coming along very well. thank you. >> i'll see you, i'll see you in florida. thank you. >> the president there holding one of his usual impromptu conferences with the media just as he emerges from white house to head down to the panhandle in florida. one point that he made king consistently spoken to king of saudi arabia denies any knowledge firmly denies any knowledge of the events that the istanbul consulate in turkey. the president is sending mike pompeo immediately to visit the
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king and to go to other places if necessary. president said mike pompeo secretary of state will be on that plane within a couple of hours. that's what he said. president was speaking market came down and no connection between the two. president was speaking foreign policy nothing to do with the economy interest rates or anything like that. now we're down 45 points on the dow industrials. one thing that's noticeable right now is a decline again in technology stocks. i've got all of them on the downside quite significantly. any comment shah gilani because you've been a big supporter of the tech stocks you say you're going to buy some more today. >> yeah. back in facebook 150 level i'm looking at amazon netflix, i think they've got further to go on downside google is same way and i'm going into microsoft today got to bicycle and sure you'll be happy to hear that. we have to keep we being
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everybody has to keep an eye on these technology stock they are stocks that have led market higher since 2014, the same stock have gone up an average of 38% a year as a group. so that's a tremendous, you know, balloon lifting the markets. so if they start to roll over, all bets are off. right now i think they're going to bounce back believe me i'll get supercautious superquickly. >> jeff should i buy more microsoft or sell the stuff i have got? >> well here's agreeing agreeinh shah i think you're going to see biggest buyback of the tech stocks they have the most livelihood of rebounding and as far as your question with microsoft no among the stocks in the technology that ting are worth owning holding and potentially even buying more microsoft could be one. >> by the way tech stocks are still all down, but overall market has turned around and now we're in the green. the dow industrials are up 17 points and rising as we speak. i should point out that the
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yield on the tenure treasury a barometer of interest rates at the moment up 3.41% not at all -- not threatening that would be my opinion. the dow is up 8. >> by the way we didn't talk about sears. sears is got a shoutout from the president. saying that it has been dying for years it was badly managed and everything. but retail has there's some hope for retailers isn't it? jeff? >> i think so. brick-and-mortar retailers everybody want it is blameamazon but you see they're surging like target and kohl's, and tj max we did get slightly with a read on retail sales overall this morning, and it was up slightly. yeah you basically -- flat i think you're right there. the biggest drop came in spending, at restaurants and bars biggest drop in two years. wait a second i have john with me. you thought you would -- >> one of the reason why foreign restaurants sales were down was because of a hurricane that we
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resold -- so that suppressed those sales that should be a temporary drop. you know that being said, you know motor vehicle dealerships did it well. you know why they did well? because they eased on pricing. okay, they cut prices we saw that in the cpi report and that benefited overall sales not only in terms of units but also in terms of dollar amounts. the take away is that we still don't have an economy that is very inflation prone. that's a lot of nonsense. we have an unemployment rate 3.7% but that is not equating to a dangerous situation on the inflation front. >> hold on for a second i have to say gob to shah gilani and jeff thank you for being with us on a vital monday morning. you didn't kill it either that's pretty good. thank you very much. [laughter] quick look at the big board we're just turn negative again. but not by much. we're down what 4 points that's where we are. back to economist lon give me a comment on the stock market? i get what you're seeing here
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with high-tech stocks high ratio and -- priced equities are most vulnerable to higher interest rates that i think is the -- underlying problem, once we can somehow determine that interest rates are not about to go through the roof, i think in turn we're going to find a stablization, and improvement with these richly priced high-tech stocks. >> your forecast is that we do not go through the roof on -- >> i definitely believe that and i hold to that very firmly i think this talk about 5% tenure treasury yield about is nonsense but if it is a true with a 5% treasury yield that means we're going to see explosive growth in the economy as well as corporate earnings. >> you don't think that's going to happen. >> no, 3.14% now on tenure treasury bench mark interest rate 3.4.. not going that much higher. >> here's one of the problems we have. we have a problem on housing front right now. we've had home sales peak back in the final quarter of 2017. that's back when the tenure
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treasury average 2.4% now as you just stated it is over 3%. that's not going to help home sales any. we have top keep an eye on that if home sales continue to remain soft at higher levels with treasury yields you can forget about tenure treasury yield spending a lot of time three and a half percent or higher. >> top white house economist guy bluish on blue collar jobs wait this for a second. >> blue collar workers are booming right now. the fastest face of hiring for blue collar workers sin the mid-1980s and other part i want to make on wages, not only are wages rising at a pretty good pace, but the blue collar middle and service areas typically a little slower chris, they're actually raising faster than the white collar workers, and i think this is the new face of the trump economy. >> blue collar call it booming wages starting to rise. >> you know, overall a third
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quarter of the average wage is up 2.8%. manufacturing wage was up 1.5 and talking about blue collar service secretary jobs larry is right there we find you're looking at growth in excess of 3% for retail for hospital and leisure. >> all right you're all right and we'll bring you back shortly thanks so much for joining us this monday. >> my pleasure. i have to tell you about some really serious big time changes that are coming to fox business. the changes all start today. a new show and one of many one of many new introductions here, a new show for diffed who happens to be with me this morning. bull and bears with david that premiers tonight at 5 p.m. eastern. now, here's your chance tell us all about it. >> we used to have four business shows on fox news every saturday morning from 10 to 12 this was all those shows put together in one hour formalt every night from 5 to 6 we're going to have a great cast of characters if you remember bulls and bears
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"forbes" on fox, cavuto on business you're going see this same characters there. steve forbes, gary b. smyth, all of the people that love to get in your face and we're all going to be just exchanging. i've going to be the host but i'll sit back like host of a party. i'm going to have most fun if everybody else is having fun, and we probably will. i mean, you remember the late, great brenda the one who really started bulls and bears. it is in her memory that we put this show together and believe me it was a great show we got the best ratings in any business show on television for those four business shows on saturday morning. and we're going to continue that tradition at 5:00 every night right here. >> you know, the ratings of "varney & company" are -- stellar. >> you may be up against some competition but totally different time a totally different format. so -- >> with the federal reserve, and early -- we're going to have a buzzer there. no fancy name we're going to
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talk about what i love about john for example is -- he goes in the face of conventional wisdom that's what we love to do. it is not only what we love to do it's what you love to do. you just had very simply conventional wisdom is that if the economy is going too fast there's trouble. no, if the my is going too fast that's great news. that's the kind of common sense we're going to deal with. so 5:00 tonight. 5:00 -- 5 to 6. the 5:00 tonight. >> yeah. you said it, i didn't. >> i did. premier, the premier. we'll be watching david. >> thank you very much for having us on. appreciate it. check that market. yep now we're positive. 28 minutes in up 26 points, 25,366. how about this? new reports say tesla inflated prices so that it will qualify for higher tax credits. does company do anything illegal wool have the judge and he's next. making my dreams a reality
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open down, now we're 28 points higher for dow 25,367 bank of america reported better profits first thing this morning cost cutting helped the stock, though, is down 1.3%. how about charles better revenue coming in and what meant high per profit that stock is up, but
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what 30 cents higher that's it. 4931 and some marriott hotel workers protesting because the chain is adding robots to do some job they don't like -- >> delivering room service for one, how about those check-in kiosk with facial recognition, smart speakers those servers as in room older these things are putting them at risk of losing their job. also upset they believe they should be paid more an said they suffered through recession and haven't gotten back pay they gave up° that period they said look we understand technology is here help to us but don't want it to replace us that's why they're upset. >> okay we have judge sitting on the set. brett -- fox news channel, this is -- >> above where we are now. >> do you want me to be elizabeth warren thing first. elizabeth warren you are a flap over her native american
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heritage and results are in. >> interesting, maybe 6 to 10 generations back, which would make her 1-3 2-bnd great, great granddaughter she put herself down as white on historic records but believed she was native american and there are traces but it could go back ten generations make her 1, 512th to qualify as a minority. which she did in order to help her job status when she was working for harvard. you -- and actually our two brits here or two former brits would better qualify as native americans than elizabeth warren by that definition so what is she doing it is clear that what she was doing was trying to take advantage and play the race card of a sort by pretending that she is more native american than she really is. it is extraordinary. >> judge used to think here he has to pass judgment on --
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one 32nd native american or 512. >> if she and good morning, if she's 1-512 that would not qualify under one program but 1-32nd will that is least amount of any -- nationality that would allow you to qualify as being a descendent of that group. >> that's a federal statute of congress ppg >> okay. okay i have to talk to you about something serious here. >> why talking about this -- newspaper reports that tesla inflated prices so they would qualify for higher tax credits for stock is up a buck this morning. but judge did they do anything illegal? >> probably. they probably engaminged in fraud. if they overcharged the state if they told the state we with used this -- this equipment, and the equipment cost less than what they told the state they used it for that's frud a material misrepresentation made to reduce
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reliance upon it. >> criminal fraud that's up to attorney general of oregon. now i've not read in detail what they're saying and how they did it but they are saying they -- they inflated they lied about the goods that they used in the projects that they constructed in aragon so they said this solar panel cost us $10,000 to build when it only cost $6. that's it that could be fraud. okay. judge thank you. i'm going to see you in the 11:00 hour as you declare your show. please watch. thank you very much. how about this -- political unrest violence in the street. got ugly in portland you're looking at it. i don't think this is the american way, might sound strange when i say that but i don't think it is the american way. my take on that, next.
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stuart: have you heard any democrat call for civility? has anyone on the left said, hey, tone it down? if they said it, i haven't heard it. but i have seen the results. when hillary says you can't be civil, when a former attorney general says kick 'em, you get this. in portland, oregon this weekend there were street battles, that is ugly in the extreme. just look at it. before that a rash of confrontations. the left getting in the face of anyone pro-trump, confronted on the street, confronted inside the halls of congress, harassed at their own front door. this is trump der ringment syndrome taking to the streets. this is the resistance. if nobody is calling a halt, the left must believe it's a winning strategy. clearly they believe their contempt and flat-out hatred of the president will play political dividends. the elections are 22 days away. i think they're wrong. first of all, this emotional
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negativity is simply an attempt to cover up mr. trump's obvious success with the economy. the democrats have no plan for prosperity. medicare for all, free college, open borders. there is not growth policies. they are tax, tax and tax some more policies. nothing to do with prosperity. second, i don't think america likes political violence. it is not the american way, is it? that may seem strange with someone coming here with a very foreign accent. we vote. we campaign hard. but we don't fight in the street. we don't shout down our opponents and we don't encourage the mob. if all you have is contempt, confrontation and fighting in the straits, you should lose. america surely prefers jobs to mobs? the second hour of "varney & company" is about too begin. ♪
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stuart: we go down again. we opened down. then we were up. now we're down 30 points. we're at 25,307. you better take a look at bankrupt sears. the president addressed that this morning in an impromptu press conference. it says sears has been not well-run. that is putting it rather mildly. the stock is down six cents. the stock is irrelevant, basically. sears is bankrupt. look at netflix. raymond james lowered its price target on that stock. its was aiming for 445. now raymond james says it might get up to 400, that's it. netflix down. big tech stocks we always check them because we have to, that is where the money is, all of them are down as we speak with the sole exception of facebook which is up a fraction. look at apple, growing signs of slowing consumer demand in
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china. that is hurting stock. we're down 27 points. come in keith fitz, money map strategist. keith, after a down week last week, where are we going from here? >> i think we'll have a little bit of seesaw action this week. i say that because my experience is we did not have a lot of buying in asia, not a huge follow through in europe. that tells me as we open in new york today, traders are simply cautious. don't worry about it, it is normal this time of year. normal in midterm elections. the stocks we follow, leadership will resume. let the big traders duke it out, stuart. >> what do you make of bank of america? they had their results this morning. they made more profit. more revenue coming in. deposits up, loans up, the stock is not doing that well. what do you make of this very early first financial report from a bank? >> i think it's a very good report. it is growth. earnings are up 43%
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year-over-year. i'm not so concerned about the composition as i am about the way market is handling it. this market is about psychology. growth is actually good. it is not the bad meme we associate with the fed. take a breath. this is good growth, good numbers. stuart: what about profitability of the american corporations, because that is what they will report next week. everything is on that, isn't it? >> any company that doesn't match is in a world of hurt. the market has no margin for error right now and that is the most important part. watch the numbers and most importantly what the cfos say about the cost of tariffs and cost of money. stuart: tell me what you're buying please? >> i'm looking at energy which is beaten down, pipelines in particular. i don't care what the energy costs, somebody crams energy in a pipe, pays money to move it to the other side.
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williams is particularly strong one. stuart: what are you staying away from? >> i'm staying away from companies like sears for obvious reasons. any big retailers i don't like at the moment. i think they're weak, they don't have their act together, includes interestingly enough walmart, i think will can baize itself keeping up with amazon. stuart: should i sell my microsoft? >> loaded question. i can't advise you personally but i would not unless you need the money for any investor in your circumstances release microsoft. long-term contracts, broad market share, doing innovative things finally. i think it's a long-term hold that will do big. stuart: bottom line, keith, you're holding our audience's hand, saying don't get too anxious, this is not the start of a big drop, we might be a little higher by the end of the year, can i sum it up like that? >> yes. this is largely a technical
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fall-off driven by skiddish institutional traders trying to get ahead of the tape. individual investor has advantage here. we can pick our entries and companies, and pick the risk we want or don't want. they can't do that as an institution. stuart: keith, thank you very much. president trump is sending secretary of state mike pompeo going directly to saudi arabia to meet with the saudi king all about that missing columnist. we believe mike pompeii -- pompeo will be on his plane momentarily. here is what he had to say about that conversation. >> we'll leave nothing uncovered. with that being said the king firmly denied any none of it. he didn't really know. maybe, i don't want to get get into his mind, but sounded to me like these could have been rogue killers, who knows. we'll try to getting to the
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bottom of the it very soon. but his was a flat denial. stuart: come on in please, jeff balibon, trump campaign advisor, frequent guest on the program. welcome back. i always thought saudi arabia, israel, the united states were the key components of containing iran. does this flat get in the way? >> it certainly gets in the way, one of the reasons it is being pushed as hard as it is being pushed. set aside the substance which is very serious and president is right it is about the facts. we have lots of people saying a lot of speculation with very few facts. we have to get to the bottom of the facts. the facts and outcome could have a grave impact on the future of middle east. stuart: president trump won't let it upset that relationship, saudi arabia, israel, united states versus iran, he won't let it go that far, surely. >> i hope. the president alluded to the financial impact of dealing with saudi arabia for the united states but i think even more necessary than that is stability
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in the region. the president banked on israel, saudi arabia together and perhaps egypt stablizing the region. there are other forces that want to destablize the region. they're beating this drum as hard as they can. stuart: it is realpolitik, isn't it? >> yes, it is. our interests lie maintaining relationship, not breaking it over this issue, are you with me on that? >> i agree with you 100%. the president has been clear, he is clear about the facts. a lot of people are reacting not on facts, based on an immediate news cycle or based on effect on their business. he is worried about the what is going on globally and what is going on in the region. he is trying to base it on facts. that is the only approach. stuart: they have this big meeting in the desert, davos in the desert. i don't know what the proper name is. the heads of blackstone, blackrock, jpmorgan, a couple other bilge name financiers
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they're not going. they're making their action. >> you can't really blame them. you started off earlier in the segment and mob violence, media egging people on. well the truth is chairmans and ceos of corporations they know when the media turns on you, they will savage you. they know they have to take a step back. right now the media has the narrative. the narrative is the saudis did this. we don't know that yet. the president is saying let's wait and see. they're reacting to what everyone is telling them, get out of cross-hairs of the media. stuart: this is crisis operation, isn't it? sending mike pompeo over there, he is not saying fix it, saying let's take a little time. >> it's a vital issue, vital global issue that surround as particularly bad story. stuart: indeed. jeff, thank you for joining us. thank you, sir. a big hour coming up for you. protests breaking out this weekend in portland, oregon. you remember when hillary clinton said democrats cannot be
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civil with republicans in charge? we're on it this hour. a race we're talking about closely, new jersey senate race. senator bob menendez, vasing bob huge begin. how does he plan to convince people of new jersey to vote republican? that is a tough mission. a female welder making a mission to get more women in construction jobs. she will make her case. how do you do that? you're watching the second hour of "varney & company." ♪
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stuart: i'm going to call this is a very modest loss after last week's 4% decline for the dow. we're off 50 points, 25,282. the price of gold has gone up over the last week when i was away on vacation.
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we're up 11 bucks as of this morning, still at 1233. that is only 30 bucks higher than 10 days ago. how about the price of oil. with all the stuff surrounding saudi arabia, look at that the price of oil is down 44 cents. we're back to $70 per barrel. latest polls in new jersey, the senate race there, senator bob menendez up above the gop candidate bob hugin. all these polls were taken before the confirmation hearings for brett kavanaugh. as of today, hillary clinton is campaigning for senator menendez in the state of new jersey which is my home state. why not bring in bob hugin, new jersey senate candidate. good morning, sir. >> great to be with you, stuart. stuart: it is hugin. i got it right. >> make sure they pull the lever. stuart: going for you is new jersey's state of the economy. taxes are up. the economy of new jersey is not doing very well. that is going for you, surely
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is. >> it really is. we're dragged along by a great national economy. there are almost 40,000 less people in the workforce in new jersey today versus the a year ago despite a good national economy. out-migration. higher taxes. millenials leave new jersey in the fastest pace in the country. it is unaffordable. we have to turn the tide. stuart: tell me again, 40,000 people working, 40,000 people employed have left the state in the last year? >> no, the labor force, is nearly 40,000 less than it was a year ago. you would think normally with a great economy, people on the lower end of socioeconomic climb on to the ladder and it is not happening because taxes are so high. there is no benefit. seniors are leaving. millenials are leaving. we need to turn things around. new jersey deserves so much better. stuart: are you happy hillary clinton is in the state of new jersey today campaigning for senator menendez? >> i'm surprised she is coming in the sense, talk about all
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incivility things i agree with you about, whole idea of jobs versus mobs we should be talking about but the fact why would she attach herself to the man who has done such immoral acts, so embarrassed the state. why would she take on his baggage with especially on women's issues trying to resurrect herself. i don't know what is in her interest or resurrect his -- stuart: it was hung jury with senator menendez. >> prior to that senate ethics committee found it very clear he violated federal law, abused the power of his office and disgraced the senate. embarrassed us all of us from new jersey. on top of that, 25 years in washington, new jersey is dead last. we get the least back from washington than any state in the country. stuart: if you were elected senator from the great state of
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new jersey, what is the first thing you would do to help new jersey? >> i tell you first thing i would do before i'm even in office i would call you have governor murphy who i don't agree with on lot of issues, governor, bring together the two senators, newly-elected congresspeople we have been too partisan. we're fighting a lot of things. identify two or three things that are most important to the people of new jersey and let's agree for this next congress we'll work together on cowell of those things. the country need to come together. we have to start solving people's problems. i was few months ago, this is politics, natural fighting and i'm a fighter but it has gone too far. we're really tearing the country apart. the kavanaugh hearings was a disgrace, it was a circus. it was bad for democrats and republicans. stuart: we've seen the political violence over the weekend in portland, oregon. we saw hillary clinton say look, you can't be civil with republicans. eric holder saying kick 'em literally, i don't think americans like that. >> no, it's bad. i was actually glad to see
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michelle obama criticize both of them to say, listen, it's wrong, people want people to work together. one thing about fighting over principle and issues but when you're tearing down the institutions we need for our government to operate effectively and need to be more efficient as they operate, but it has gone past the partisanship being political, it is hurting our country now. stuart: are you a trump guy? >> this race is bob hugin versus bob menendez, corrupt, ineffective versus a problem solver, people working together. we have to start putting new jersey first. we've gotten the short end of the stick for too long. stuart: so i'm reading between the lines, bob hugin, you can't afford to get out there saying i'm a trump guy, in new jersey, it doesn't fly? >> what new jersey has been so disadvantaged for a long time by other people focusing on global issues, international issues, all important things i've done my whole life, but we have to start putting people of new jersey first. it hasn't happened in washington
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pour a long time. my job is to make sure we change that reverse that in january. people of new jersey are good people. they deserve better. been so poorly treated by washington. stuart: bob, we'll watch the election real closely. i live in new jersey. >> i appreciate being with you, stuart. stuart: thank you very much we invited senate democrat bob menendez to appear on this program. he hasn't got enback to us at this point. sears, you saw the news. it was retail staple. especially all the folks like myself, i grew up with this thing. they're bankrupt. we'll find out what is next for sears in a moment. huge day for us here at fox business, launching a new line up. charles payne, our colleague, good friend, thank for all the hard work last week, charles, moving to 2:00 p.m. eastern time, starts today. 5:00 p.m., david asman will host "bulls & bears. then, our own liz macdonald
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hosts "the evening edit," starting 6:00 p.m. today. liz: i'm sitting neck to you right now. stuart: lucky you. trish regan moves to prime time, 8:00 p.m. eastern. the whole new lineup starts today. we will be back. ♪
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stuart: profit reports are starting, bank of america came out and held higher profits, by cost cutting. the stock is down 2%. how about that? sears filed for chapter 11 bankruptcy. jeff flock in chicago for us. what happens now to all those
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sears stores? reporter: what happens to them, a lot like this one here, stuart. this was the last remaining sears store in chicago. huge building, tremendously successful as you point out back in the day. they will be closed 142 closed by the end of the year. in addition to 46 that were going to close already. there are now 700 sears and kmart stars nationwide. that will be cut by at least 200. they will survive. the rest of them through the christmas holiday. eddie lampert as part of this deal steps down as the ceo of sears. he remains as chairman. the president said on your broadcast just a short time ago, this company has been poorly-run for many years. the last 13 years under lampert's stewardship. here is another thing, you got to think about, that is pensions. despite the fact that sears has paid since lampert took over $4.5 billions into pensions,
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they are still underfunded by a considerable amount. that will then leave those pensions to the pbgc, that is the pension benefit guarranty corporation. as they said, 63% funded that is a big bill. what some say will be the largest default ever that the pgbc will have to pay. that means dollars from you and me, going to the pensions for sears workers. where have we heard this before? stuart: i was brought up -- reporter: cold day in chicago. stuart: it is. i was brought up on sears. it is an icon. reporter: me too. me too. i will give you a look in the window. that is the last look at sears. a lot more of those. stuart: grim. jeff, thanks very much. let me tell you about this. we have a guest coming up who is echoing president trump's calls to bring manufacturing jobs back here to america. he says companies would save money if they moved back here. we'll let him make his case on
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that. huge news, we, "varney & company" are going to the white house. wednesday we'll be live from the white house lawn. who knows who might drop by. ♪
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♪ stuart: i've got a present. liz: we're your friends. stuart: we're moving along of i didn't particularly like that song. almost at break-even level. not much change. put it like that.
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apple and microsoft dow stocks, both of them sharply lower. along with the rest of the tech stocks. apple, microsoft, really hurting the dow as of right now. look at ralph lauren, jpmorgan, has upgraded the stock, they say buy it, that worked. the stock is up nearly 3%. up 1.24 on ralph lauren. latest reading on retail sales. up ever so slightly. we have, however, saw the biggest drop in spending at restaurants and bars in nearly two years. andy puzder knows a few things about restaurants and bars. he is former cke restaurants ceo. how come the drop in bars and restaurants? >> our going very high numbers, ever since february it has been almost straight up for restaurants and bars. it will not go straight up to a higher level. we're back to may. not like we're back to a
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historic number. next thing is hurricane florence. hardee's restaurants, the company i used to run owns, they were closed. you are closed you do zero business. so i think that may have had influence. census bureau, commerce department said they really couldn't factor that in yet. stuart: absent that dip in bars and restaurants, that particular month, absent that, retail sales are strong? >> they ought to be strong. the economy is kicking it. the economy is incredible. stuart: what we say strong, what is that, up 4% year over year? up 3% year-over-year? doesn't seem like very much, does isn't. >> the remember the size of the number you're talking about. the largest retail market in the world in the united states, when it is up 3 or 4%. that is tremendous amount of money. if you're in same-store sales about a bar, restaurant, up 3 or 4% a year on consistent basis you will make a lot of money. that is a great number. stuart: i want to refer to what
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i call political violence on the streets in america. we saw a dreadful scenes in portland organ over the weekend, some degree in new york city on friday night. we have, there is, there are democrats saying you've got to confront republicans. you have to get in their face. i think that's a terrible political strategy. what say you? >> i would say that our wonderful president and our republican congress are driving them nuts. i used to be a trial lawyer. the one thing that made you look good in trial if the other lawyer was trying to insult the judge or make -- that is what they seem to be doing with american voters. they call them names. they call them deplorables. they say we shouldn't be civil to the other side. they say we should kick them when they're down this sin sulting to the american voter, insulting to the american public. the economy itself shows that republicans can govern. republicans can get things done. this president can make incredible gains for the united states, for citizens, for workers, for companies.
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and to have the other side looking like it's nuts is only going to help us in november. stuart: it's a strategy to gloss over the success of the president's policies. >> yes. stuart: you're right, we have booming economy here. i should point out it was president trump started insults and nicknames, the coarseness, he did? >> he really seems to invigorate the other side. the last time i remember anything like this, 1969, i was 19 years old. the vietnam war was a big deal. the democratic party was seized by the left-wing in the party. they had convention in chicago. they had mobs, all the same things. richard nixon who nobody thought would win an election, lost for above in california, lost -- stuart: 1968. >> i was 18 years old. stuart: i was a little older than that, actually. but i remember it well. because they really was violence in the streets. >> yes. stuart: mostly about civil rights and more than that the
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vietnam war. >> vietnam war. stuart: we ended up, america ended up electing a republican president. are you suggesting same thing happens again? >> people aren't, people in middle america, independent voters are not going to vote for the party they think is nuts. these people, they're marginalizing themselves. democrats seem to intentionally marginalize themselves, having conversations with each other, patting each other on the back. that is not how you win elections. you win elections reaching out. hillary clinton didn't do it. donald trump did do it. i think republicans will do better than people are currently perceiving they will do come november. stuart: we have 22 days until the elections in november. >> we do. stuart: only time will tell, et cetera, et cetera. andy, thanks for joining us. >> my pleasure stuart. good to be back. stuart: now like president trump, our next guest says you have to bring manufacturing jobs back to america. vivek walk waa, harvard distinguished fellow is back to the program. always good to see you.
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>> good to be here. stuart: even if you are with harvard. that is another story entirely. i shouldn't have said that i really shouldn't. if you bring manufacturing jobs to america, how you do it? >> robots. the reason why manufacturing went to china 30 or 40 years ago because the chinese provided cheap lable bomber they said come abuse our people all you want. provided subsidies. turned a blind eye to the destruction of environment. the chinese built up the economy, chinese start robbing them blind, stealing everything they could and prices went up two, three, four, five times. if you look at apple, 55% of their core components are imported into china. they're assembled over there? only about 4% of the critical technologies are actually built in china. they are built in taiwan, built in europe. guess what? they're built in america. they're talking stuff all over the world moving to china so their cheap labor, what was
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cheap labor can assemble goods, ship it back all over the world. doesn't make sense. robots can do what human beings doing. cost of robots, less than dollar an hour. stuart: what you're talking about, replacing workers with robots but you're talking about replacing chinese workers with robots here. that is what you're talking about? >> exactly because, you know, then the argument comes what happens to the jobs? when you still a robot, need to service robot, build factory, need to transport the goods. we can build an entire economy with automated robotic manufacturing. talking about a trillion dollar opportunity here. it is possible. five years ago it wasn't possible. when foxconn announced they would have a million robots doing manufacturing, five, seven years, five years ago the robots couldn't do circuit board assembly. today the robots can do that and much more more. stuart: we're entering into a new era doing a whole lot more, are there american robots?
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do we make these things. >> absolutely. our robots work as hard as chinese robots do. they don't complain, join labor unions, don't commit suicide. robots can do that. stuart: any sign people with the big money, that would be silicon valley, are they going to do this? are they -- they have a trillion dollars worth of cash just about. any sign that they will actually do it in america, put it into robots, in america? >> this is why president trump's, you know, trade war with china may actually play to america's advantage, because suddenly these companies are no longer announcing new manufacturing in china. no one is going there anymore. they're all worried about their supply chains. there they're worried about being robbed from over there. they all want to come back. so the motivation is there now. now these companies need to push to bring manufacturing back. it will cost money. in the long term it will save tremendously and give america the independence to innovate on its own. it is possible. stuart: fascinating, it is fascinating, the other side of
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the story we really don't hear that often. vivek wadhwa thanks for coming back to us. >> i work at carnegie mellon university too by the way. not just harvard. stuart: let you off the hook. >> appreciate it. stuart: now this, san francisco's homeless problem, it is so bad there is a plan to tax the city's richest businesses to pay for the solution to the problem. it will be on the ballot? liz: it is on the ballot. wow, stuart, really explosive fight right now in san francisco. it pits the first black female mayor of san francisco who does not like the idea at all, like people like mark benioff, salesforce.com, who is spending money to fix the homeless problem, yes, do the tax, half a percentage point on companies that, on sales, sales, sales of 50 million, whatever is over 50 million a year. so twitter just, jack dorsey got in a big fight with mark
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benny-and-a-half. i agree with the mayor. she knows how to fix problem. this tax will wreck job growth. dorsey didn't say the issue. jobs could go down. how do you fix the homeless problem? the backstory is that san francisco doesn't have the number of shelters that the east coast has. east coast has more shelters than they do. we do. so, san francisco does. it's a really big problem. stuart: can san francisco tax a business based in cupertino? >> that is part of the debate as well. this tax would double the homeless budget. it would be 300 million-dollar raise but you know, the mayor is saying it has been spent inefficiently. there is no oversight. it's a big fight. stuart: oh, it's a fight with money involved. thank you, lizzie. >> yes. stuart: remember a atari? atari is trying to reinvent
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itself. they have a big announcement. the ceo, that is in our neck hour, atari ceo coming up. president trump says defense secretary mattis could leave the administration. trump says mattis is sort of a democrat. question, is this the best time to replace him? i will ask someone who advised the president on foreign policy next. ♪ i'm not really a wall street guy. what's the hesitation? eh, it just feels too complicated, you know? 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 - i geta lot.ches. but no way i'm gonna keep taking extra strength products. no way.
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ashley: baron's senior editor jack hough says last week's selloff was sharp and orderly this is not a sign of a recession. >> this is well mannered selloff. we're coming into earnings season. this is 20% quarter of earnings growth. the growth rate won't be high, but looks like we get high single digit earnings growth next year. the outlook is good. chances after recession. i don't see signs after recession on the horizon, if we don't get that, you don't get prolonged bear market for stocks. you get a selloff leaving you at a more reasonable price which is what we had
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. stuart: last week was the worst week for stocks since march of this year. we opened up this morning with a very small loss. as of now we're one hour 15 minutes in. and we're down 10 points. that's it. big defense industry merger to talk to you about, harris corporation, l 3 technologies are getting together. the stock market loves that both of them up. we have harris up 7% and the other one 18%. that is a big deal.
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listen to what president trump said about defense secretary jim mattis. roll tape. >> what about general mattis. is he going to leave? >> i don't know. he hasn't told me that. could be i think he is. he is sort of a democrat to tell you the truth. jim mattis we get along well. everybody leaves. people leave. that is washington. stuart: people leave. that's washington. come on in christian whiton former advisor to president trump. do you think he is on his way out, jim mattis? >> that has been the rumor. that mattis would stick around through midterms and goes. he views this basically as military command in long career of military command. it may be time to go on. the reference to being a democrat, that stems from the early transition when mattis reportedly wanted michelle flornoy, democratic figure in
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policy and wanted her to be his deputy but white house said no. that is where that comes from. stuart: jim mattis is regarded highly among the military, commentators look at trump cabinet say he is one of the success. >> he is success is specially with president's top priority, killing isis and get lawyers out the way to kill isis however if the move now is really shift the military to defend against china particular, mattis isn't really the guy to do that. he is not a transformational figure. he is just a good war fighter, especially against terrorists. stuart: what do you make of the president ordering secretary of state mike pompeo get over there to saudi arabia, talk to the king? i believe he may be on a plane any moment. seems to me, the president's jumping on this saudi problem, the word is out there and fix it? >> the president wants to manage this. not let events run their own course. seeing a bit after stampede on
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capitol hill. it is upsetting that embassy or consulate could be used to murder someone with impunity however we have a fundamental national interest not letting iran take advantage of the situation. if we were to cut of our arms sale to saudi arabia, big bucks, 20 billion-dollar sale pending, they spend 70 billion a year on defense, that is four times what israel spends this is important bulwark against iran f we let events run away, break our relations with the saudis, that would be a mistake. stuart: this is realpolitik, isn't it? there is relationship, saudi arabia, israel, united states, containment of iran, you don't want to break that, because that is in our interests? >> exactly. that is something the president, jared kushner, others spent a lot of time building. also mbs, the crown prince of saudi arabia who may be responsible for this is doing things are worth bearing out. they may be going in the right direction including pulling back on some of the wahhabi
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proselytizing and spreading hateful ideologies around the world reform in the kingdom but also doing things that are unhelpful. stuart: it will be tough to get a grip on this, if there is any sign, any evidence, that the journalist was indeed hacked to the pieces in that consulate there. very difficult to get a handle on that? >> it is, especially dealing with intelligence matters. everyone lies to everyone. the saudis may be lying. the turks are probably lying, or maybe exaggerating, who knows. no one presented any hard evidence about think, you didn't who lie when you were in government, did you? >> certainly not to the public. stuart: chuck that one out there, christian. thanks for joining us, sir, see you again real soon. >> thanks, stuart. stuart: got news for everyone, news about "varney & company." we're going to the white house. wednesday we'll be live from the white house lawn, interviewing all kinds of cabinet members. who knows, who might just drop
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points right now, at 25,300. that's where we are. now big tech, you have got to concentrate on that because they're all down especially microsoft and apple. look apple down three bucks, microsoft down a buck 75. both are dow stocks. when they go down, the dow tends to go down too. bitcoin 6300 bucks. when i went away, eight, nine days ago, it was 6500. i come back, and it is 6300. that is kind of a no movement coin. former fed chair janet yellen, she is calling out president trump because he criticized the fed. now what is she saying? liz: moments ago to mortgage bankers in d.c., saying it is unwise for the president to criticize the fed, it is counterproductive, can rattle market's confidence for federal reserve push to keep inflation in check. she said it is not against the law for the president to speak out.
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they can give their opinion, no law against it, but doesn't think it is wise. stuart: i take the point. if it looks like the president is pressuring the chair of the federal reserve, quit messing around with rates. liz: presidents have been criticizing the fed since it was launched in 1913. when it starts to move to 4%, as jamie dimon says and will markets be more critical. stuart: not surprised that janet yellen is not liking criticizing by president trump. they are expecting their first child next spring, ash. ashley: yes. stuart: you and i -- ashley: my sources say, yes. stuart: you can bet on anything in england? ashley: anything. stuart: what is the names? ashley: three names. it will be more. come to the surface already. the betting is on either diana, victoria or alexander. stuart: alexander? ashley: alexander.
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liz: thinking a boy is coming in. stuart: do you have any views on this? liz: elizabeth. stuart: are you interested in this potential upcoming royal birth, liz? liz: i am. i want be baby to be named arthur. ashley: why not? stuart: why are you interested in a foreign potentate's child? liz: it's a baby. that's why. ashley: let me point this out. there they will not be a prince or princess because harry doesn't have direct line to the throne. so it will be a lord or lady. lady diana or victoria. stuart: not a duke or duchess. ashley: correct. liz: what name do you prefer? liz: stuart. stuart ashley windsor. what is wrong with that? i know it is unlikely. producer says enough. we're done. are we done, liz? liz: all right, no more fun. stuart: president trump says there will be severe punishment if saudi arabia is really behind
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the disappearance of that "washington post" columnist, the man on your screen. he is sending the secretary of state to saudi arabia immediately. we will talk to the king. the president has to walk a fine line here. i will talk to brit hume about this in our next hour. ♪
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stuart: here's what is news this hour. president trump made it very clear, mortar e tariffs on chine not off the table and he will not allow the united states to be taken advantage of anymore. the president is currently on his way to florida with the first lady to get a first-hand look at the damage from hurricane michael.
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it was disastrous. he will land any moment. he might speak to reporters again. either way, you will see it all right here. big doings for "varney & company." we will host the show live from the white house on wednesday. we start at 9:00 a.m. eastern. lots of cabinet members will be there and you never know who else might just show up. a lot to deal with right now. the markets are up just a little after a rotten week last week. stay with us, please. the third hour of "varney & company" just getting started. liz: skipping across the world. lot of tariffs. going to do more? >> might. might. they want to negotiate. they want to negotiate. >> are you ready? are you ready? >> look, i have a great chemistry also with president xi of china. i don't know that that's
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necessarily going to continue. i told president xi we cannot continue to have china take $500 billion a year out of the united states in the form of trade and other things. stuart: as you saw there, president trump on "60 minutes" last night talking trade war with china. want reaction to this from former u.s. international trade commission chief peter maurici. peter, you heard the president. this is hard-line trump, no backing away at all. do you approve? >> yes, i do. i don't think he's going nearly far enough with the tariffs if he wants to have bite. also, some of these tariffs, the way they are structured, hurt american manufacturers. for example, bicycle manufacturers. they import components and pay tariffs on those but the bikes, the finished bikes from china, don't pay a tariff. if you are going to have tariffs you can't just do it on components. you have to do it on the finished products or it's counterproductive. he really hasn't put on that
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much yet. 10% is not that much. the yuan is down 7.5% since he put them on. stuart: but china's stock market is way down. i'm not sure of the exact percentage, but since these tariff talks began, i think they are down 20%, 30%, maybe even more. i'm not sure of the exact number. so they are hurting. you want to hurt them more? >> well, the thing is, the ordinary person isn't hurting yet so it doesn't undermine the communist party. the economy continues to grow better than 6%. they don't have an employment problem, things of that nature. if he were to do the right thing, and that is put on a 25% tariff across the board, then employers in china would start to feel it and people like the bicycle manufacturer might have to pay more for importing tubular steel but they would also be able to charge more for their bicycles. would american consumers pay more? yes, but they need to. the whole idea that we are benefiting by getting cheap goods from china while we throw manufacturers out of business and workers out of work, and
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drive down american wages, what good is a $15 toaster if you are only making $11 an hour? stuart: that's a very interesting point of view. not only expressed quite so eloquently before. good point of view. john layfield is with me. hard-line trump, no backing off. do you approve? >> absolutely not. these tariffs are absurd. peter is right about the fact the average chinese person is not feeling this. gdp was up in china july, august and september. tariff -- sorry, exports were up july, august and september. china is not feeling this at all. some of that is frontloading the exports to get ahead of tariffs but china is not feeling this. we are feeling it much more. look at ford, look at the farmers, look at the businesses hurt by these tariffs. commodity prices rising. we have been hurt significantly more. that will change once the tariffs start taking more effect, especially if you go to 25%, but i'm not sure this is the way to deal with china, who does have a problem with stealing intellectual property. stuart: interesting debate. stay there. different subject for you,
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peter. marriott workers protesting because the hotel chain is adding robots to do some of their jobs. you say artificial intelligence will not result in fewer jobs. what do you say about this? row bobots are coming. >> it's a productivity-increasing innovation. there are luddites in every generation. this one, they carry cards with the afl-cio. if we applied logic and reasoning of the marriott workers now, in the 19th century, we wouldn't have had railroads. we would still be hauling freight in horse-drawn wagons. we wouldn't have trucks. we would have horse-drawn wagons. every innovation displaces workers in one place but by raising incomes, creates new opportunity in others. this is how societies progress. stuart: let me jump in for a second. wojtek wadhwa says we should have more robots to assemble
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high-tech products to take the place of chinese factory workers. in other words, robots here displace workers in china. what do you make of that? >> that's exactly what's going on. donald trump has been adding manufacturing jobs in a way that barack obama found a puzzle. donald trump happened to become elected at the time that robots arrived. an awful lot of factories are extraordinarily automated now. that's the trick to dealing with the wage advantage the chinese have. american leadership, the problem here is the chinese are using the things they do to pick off american robot technology to basically rip it off. i don't think we should let them do that and i don't think it's the interest of other western nations. the biggest disappointment in this trade war is that japan and europe are cheering for us but not helping us. stuart: peter, very interesting. sit back and cross your arms. thanks for joining us. that was good. check the big board. we are up 28 points, kind of a go nowhere monday morning after
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a dreadful week last week. john layfield is still here. where does the market go from here? >> we will have a lot of volatility. the market will trend sideways which is a good thing. if you are buying stocks, facebook was $218 three months ago, it's $153 right now. same with jd.com, alibaba, almost exact same percentages. because of the geopolitical uncertainty now, you will see a disconnect from the economy which is absolutely on fire. earnings will be up 20% this quarter but the market is going to trade sideways. we have had a lot of volatility because of geopolitical uncertainties. stuart: you like ford motor company. full disclosure, i just bought a ford edge, small suv. just bought one literally last week. >> ford has been a terrible stock. they build the best trucks in the world. they don't build good cards. stuart: $8 a share. >> the yield right now is 6.9%. it's projected, the ford
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multiple is 6%. this stock is horrifically undervalued right now, priced like it's going out of business. stuart: why? >> they have been awful with everything but trucks. when earnings come out in china, they are down 43% as far as sales per month. a lot of it has to do with not introducing new cars in the chinese market. they are changing that now. hopefully it will be successful. it's a buy because it's down so much. stuart: i like the dividend of 6%. that's huge. >> only a 35% payout right now so it looks to be secure. yes. stuart: secure. >> yes. stuart: you like alibaba. make your case. >> same reason i like facebook, alibaba, you look at the growth of the chinese e-commerce market, $1.1 trillion to $1.9 trillion in 2022. alibaba shares down, i think you are getting it at a huge discount. stuart: you like facebook, too? >> love facebook. same reason, valuation. this is one of the greatest growth companies in the world and has been for the last 20
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years. you are getting it at a 30% discount from its peak right now. this is huge. much different than what amazon and apple, they are down some but not like facebook. stuart: what a mix. you like ford. >> i'm bottom fishing right now. could be a falling knife or could be good. i own all these stocks. i put my money where my mouth is. stuart: thank you very much, sir. all right. the dow is up 26 points as we speak. now this. the mainstream media continues to ignore the great economic news that comes from this administration. we have an example from last night's "60 minutes" interview. we will play that. liz: i was on the edge of my seat. stuart: now we will see the president and first lady arrive in florida. they will survey the damage from hurricane michael. we will show you them arrive. we will repeat the big news. "varney & company" goes to the white house. we host the show live wednesday
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stuart: very soon, the president and the first lady on air force one arrive in florida. they are going to be surveying the damage from hurricane michael. when the plane lands, you will see it land. various markets, we always check them at this time. bitcoin, $6,300 a coin. gold, $1,231 per ounce, up a little bit today, $9 higher. price of oil, $71 a barrel as of right now, up just 24 cents. the price of gas continues to edge lower. the national average is now
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$2.89 a gallon. right before i went on vacation, a week ago, we were at $2.91. i was saying look, it looks like it's heading for $3 a gallon. liz: really amazing. we are seeing across the board in houston, in oregon, in florida, gas prices, and michigan, trending down. stuart: why? tell me why, tell me why, tell me why. liz: it's what the futures pulling it down. this is the type of downward movement you usually see in the fall is one theory. stuart: what does surprise me is oil is at $71 a barrel. you have all this trouble in saudi arabia. i would love to get the iranian sanctions kick in hard the next month and cut off all their supply and sanction anyone who uses their oil. the saudis continue to say whatever the shortfall is out of iran, we will pick up. if you believe that, of course we are right in the middle of this saudi situation with the
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journalist. ashley: generally oil prices shoot up. liz: looks like tankers are ready to roll in. stuart: i did promise our viewers i would roll a sound bite from "60 minutes" where the president was talking about the economy. the mainstream media ignore thes economy or certainly plays it down. watch this brief clip from the president and his "60 minutes" interview last night. >> consumer confidence is higher than's be it's been in two deca. unemployment at 3.7% is the lowest in nearly 50 years. yet there's an ugly mood in the air. we are a country torn by angry, bitter, partisan divisions and there are many who say the president isn't helping. stuart: that's it. hardly any mention of the good news, all these negatives. look who is with us. political analyst brit hume. one quick sentence on the economy, then all the negatives.
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you surprised? >> no. that's pretty much par for the course. look, she's not wrong. we are a nation pretty bitterly divided at least in terms of politics. i think it's more focused here in washington than in the new york-washington media corridor than across the rest of the country. make no mistake, people are pretty heated up about all this. stuart: how do you think the president came across in that interview? leslie is really having a go at him, pushing him very hard. i thought he responded quickly, directly and very well. >> i think his confidence is up. i don't think he would ever admit this, although he sort of suggested it in the interview, that for awhile he was a rookie in this job, rookie politician in the biggest political job in the world, perhaps, and he had to find his way. i think he feels now that he has, and he seems confident. i think he says he feels like he is the president and had trouble getting used to that. of course, he's had a string of
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successes on a number of things so i think that buoyed his spirits. i think he seemed confident in this interview, the extent to which i saw it. stuart: president trump was out there this morning saying i'm sending secretary of state mike pompeo to meet with the king of saudi arabia. this is all about the disappearance of the saudi columnist in turkey. it seems to me he's trying for a quick fix on a very difficult situation. >> well, i'm not sure how quick a fix you can get. it seems evident the administration isn't going to do much of anything about this unless and until it is established to the satisfaction of the u.s. government that the saudis were behind this atrocity, and it's a very tricky issue because saudi arabia really is a pillar of the administration's foreign policy, as a bulwark against iran. still has major leverage in the world petroleum market which the saudis are not shy about mentioning. this is something we have to be
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very careful with. there's a lot of moral preening in congress now about how we cannot let this go by, marco rubio says our moral stature in the world. maybe so. there's a lot at stake in this and if we were to have to turn against saudi arabia in a major way with sanctions and the rest of it, it would really undermine the policies the president has established with dealing with the situation in the middle east. so this is tricky. stuart: that's highly unlikely, that america would turn on saudi arabia, because that really would upset the apple cart of the containment of iran. >> i agree with that. i think that's why the president is being, you know, he's not denying this is a horrible thing that seems to have happened, but he's being very careful. you can't blame him for that. after all, the facts have not been established. does anybody really trust that turkish government to play it straight? they talk about evidence they have but haven't disclosed it so you send mr. big, mike pompeo,
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to the middle east. i'm interested to see if he goes from saudi arabia to turkey. i'm sure he will get blanket denials in riyadh. what happens when he goes to istanbul? what does he hear, what does he find out, what does this joint investigation come to? that's up in the air. stuart: the president called the king of saudi arabia this morning and according to the president, the king denied, firmly, firmly denied any knowledge. that kind of paints the king into a corner of absolute denial. >> it does, but remember, the king is not the man who is running things right now. interesting the president spoke to the king, not the crown prince, who is the man in charge these days. i assume he has and will, and i'm sure pompeo will. we'll see what they say after they have heard all of this. stuart: we have never seen anything like it before. i think i say this every single week. >> every story. every story. stuart: that's right. good stuff, though, isn't it. brit hume, thank you, sir. see you again soon.
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atari, one of the most iconic video game names in the world, are trying to stay in the game and reinvent themselves. very soon we will be joined by their ceo who is making a big announcement on this show. and this. harvard heads to federal court, accused of discriminating against asian american applicants. we're on it. which american cities have the biggest houses by square footage? the answer is next. six in the morning. she thought it was a fire. it was worse. a sinkhole opened up under our museum.
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eight priceless corvettes had plunged into it. chubb was there within hours. they helped make sure it was safe. we had everyone we needed to get our museum back up and running, and we opened the next day. the longest bull run in history. so now's the perfect time to ask yourself do you have wealth insurance? you know, i made a good living playing games on television but my financial future, well, that's something i don't like to leave to chance. i decided years ago that i would protect my financial future by putting a portion of my money in precious metals, and well, i'm glad i did. the last couple of times the market has taken a significant downturn, millions were caught unprepared. (balls clacking) fortunately for me and my family, i had a portion of my portfolio protected by gold. i've always believed that physical gold, silver and platinum, securely stored in my own safe,
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it can even warm our feet to help us fall asleep faster. it's great sleep i can feel and see. better sleep keeps me at the top of my game. for this team... and the home team. the new sleep number 360 smart bed, from $999. it's proven quality sleep. stuart: we're up 30 points on the dow industrials, at 25,300. a few minutes ago we asked you to guess which city has the biggest houses in the country ranked by square footage. here's the answer. houston. the average size of a house there, just over 1,950 square feet. atlanta is number two. the average home is just over 1900 square feet. rounding out the top five, d.c., dallas, austin, texas. okay. these are averages. where is the smallest homes?
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detroit, michigan, that's where. they average a little more than 1,300 square feet in detroit. individual stocks, look at sears clearly on the ropes. it's filed for bankruptcy. the stock down 19%. the stock is essentially shot. tesla, elon musk says tesla keyla is coming soon. the stock down nearly four bucks, $254. bank of america, better profits but it's not helping the stock which is down nearly 2.5%. charles schwab, better profits there and better revenue. again, not helping the stock. it's down 1%. look at amazon. could have to pay more to ship packages as part of a planned price hike at the postal service. amazon is down $22, to $1,765 a share. how about that. how about this. anybody over 40, the script says
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under 40, no, anyone over 40 knows atari, the iconic video game name. liz: oh, yeah, sure. stuart: next, atari's ceo has a big announcement. you will hear it on this program.
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stuart: i don't know what happened but all of a sudden, the market went straight up and now we're up 87 points, back above 25,400. now we're up 88. that is about a third of 1%. nice bounce-back on a monday morning. this is the video game maker activision blizzard got an upgrade to buy from barkley's but it didn't help the stock. not sure why it's down. it's down two bucks. our next guest comes with one of those iconic video game names, for someone of my age. now his company is making a big announcement. stop it. look who's here. the ceo of atari.
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frederick, welcome to the program. >> thank you. >> the announcement is? >> we are bringing the atar ishares back in the u.s. we have a program that is the nasdaq international and with that as well as the fact that the shares, atari shares will be listed, it will be easier for u.s. investors to access shares. stuart: what about the actual business, the video games or whatever it is you make these days? any announcement there? >> yes. atari, it's a brand everyone knows, everyone loves, especially in this country. i have always loved the brand as well. the ticker will be pong. stuart: excellent. >> definitely, everyone knows the game. it's been a troubled story, so to say.
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iconic brand created in the '70s, bankruptcy in the '80s. i was part of the team in 2006-2007. the hedge fund took control, took the company into the ground, i was able to buy it back. took me like four years to clean up the situation. a lot of debt, lot of losses, but today we are profitable. we do games, of course. we have very, very good games like roller coaster tycoon. we do mobile games, essentially. atari today is much, much more than video games. we have a console coming out next year. we also have a program, we invest in technology and are trying to use the brand to do way more than video games. everyone loves the brand, everyone knows the brand. it's not only a brand for teens, it's a brand for everyone. stuart: when i and our viewers, when we think of video games, i think of fortknight, call of
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duty. are you going out there to try to compete with them? >> look, these are massive games. stuart: they are. >> takes a lot of time. we have, as i said, i just came back five years ago, took me like four years to clean up. yes, we are going to go back into video games. it's going to take some time. it's going to take, you know, a little bit of -- stuart: what kind of games are you going to get into? call of duty, fortknight, they are extraordinary productions. you won't be able to do that so what do you do? >> in this business you have different types of games. we are very strong in simulation games. simulation is basically on your mobile, you can create your amusement park and based on that you have a different reaction to what your people are doing inside the game. stuart: can i place someone else on this roller coaster? someone on the other side of the world? >> maybe on the other side of
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the world. also, we are making a push in very casual e-sport. you have very competitive game where it will take you a lot of time to practice, train and win, but i could also play pong against you, very casual. we are a very casual brand. we are mass market. this is what we are trying to achieve. so everyone has a place, everyone has some room to grow. we are casual mass market. everyone loves the brand and i think -- stuart: i love pong. i was playing that thing no end in the 1970s. i wonder if i were to give you my phone, could you get me pong on this phone? >> i don't have the code right now but definitely. i will send you the link. it's on the website. ashley: make sure he pays you for that.
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>> first download is for free. stuart: how do you make money out of it? >> you never have to pay to play. paying is always a convenience. you don't have the time, you want to go for customization of your avatar, you want to maybe look like when you were young -- stuart: i can do that? >> yeah, it's possible. you have to pay. stuart: why didn't you tell me? >> you have to pay. stuart: don't hide your light under a bushel. >> the key message, you never pay to win. it's always for convenience. stuart: it was a real pleasure having you on this show. what a breakthrough. it really is. good stuff. thanks for joining us. >> thank you so much. stuart: now this. something completely and i mean totally different. big trial involving harvard starts today in federal court. harvard's accused of discriminating against asian
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american applicants. all rise, judge napolitano is here. background, please. >> the plaintiffs are unidentified and neither harvard nor the court knows who they are, so extremely unusual that a case would go into federal court and nobody knows who the plaintiffs are. but they are alleging that algorithms, for lack of a better word, the formula used by harvard which has never been made public, aggressively discriminates against asians. now, can harvard discriminate against asians? well, yes and no. yes, because it is a private institution, so it is not governed by the constitution like, say, rutgers or university of texas, schools that are owned by the state. no, because it receives so much federal aid that as a condition to the receipt of the federal aid, it has agreed that it will not engage in any discrimination based on an immutable characteristic of birth like race. stuart: let me cut right to it.
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exposed in federal court at some point in the near future will be harvard's formula for deciding who gets in and who doesn't? >> one of its most closely guarded secrets, as any major institution. i dare say. they have an algorithm they don't want revealed, the london school of economics. stuart: in my day, a long, long time ago -- >> add another long in there. stuart: a lot of it was based on your examination results. also on an interview. it was an hour-long interview and you sat there on your own with three professors and they went at you. >> harvard is going to have to justify to a boston jury how there is a subjective, subjective advantage to education by making decisions based on race. that is not an easy argument to make to any jury. they do not want to make it. they fought aggressively not to present this case in court, but
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the day has come. stuart: diversity is presented to us as a plus in society. >> that's the argument. they have to persuade a boston jury. they expect to lose and then expect to win in the appellate court. they already pretty much said that. stuart: admission to a university cannot be entirely objective, can it? >> the issue is so many asian americans are qualifying to go to harvard and they are trying to rebalance -- i hate to say this but in a word, yes. the asian population that applies to harvard is so extraordinarily talented, that the school will become -- the cultural environment might change if everybody who qualifies gets admitted. ashley: this is the soft bigotry of low expectations. >> beautifully put. ashley: i quoted somebody else. stuart: we expect to see those
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criteria published. >> very interesting, and very difficult to litigate a case when you don't know who you are litigating against. stuart: harvard gets $39 billion worth of money in the coffers and gets federal aid. but that's another issue. judge, thank you very much. now this. tech leaders in silicon valley feuding over a proposed tax in san francisco. it would be used, the proceeds thereof, to help the homeless. tell me more. liz: what's going on is truly shocking. there's a tremendous amount of human excrement on the streets there, there's open drug use, there's tent cities. they have had an explosion in the number of homeless people in san francisco. now a big fight is going on. there's a push on the ballot, half a percentage point tax on companies with revenues of $50 million or higher. we have marc beniof of
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salesforce.com saying yes to this. i support it, i put up money toward this, but the chamber of commerce that represents microsoft, gap, oracle, uber, they don't want it. the mayor of san francisco, she's black, she grew up in poverty, she's saying no to this tax. she's saying it would hurt job growth and it's not the way to go. marc beniof got in a big twitter fight with jack dorsey of twitter. big explosive fight going on but a lot of these companies hire liberal workers who are having a fight about it now. stuart: having a fight about it. by the way, the president and first lady have arrived in florida. they are going down there to look at the panhandle and south georgia. they will survey the damage from hurricane michael. we will take you there, especially if the president speaks when he de-planes. he often does. let's see. the president says people working for him in the white house who he does not trust. fred barnes on that one.
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we will repeat this news because it's big. "varney & company" is going to the white house. a live show from the lawn wednesday morning. it is a big week of "varney & company." we'll be right back.
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tech is selling off while the rest of the market recovers. take a look at the nasdaq. it's the one loser, down three of the last four sessions. take a look at netflix shares. they are trading to the down side at $334, a far cry from their july high of $419. the company reports tomorrow. they are expected to grow their base by 5.3 million. hoping th[ inaudible ]. we are talking hundreds of hours of original content in the third quarter. also taking a look at apple shares, down by 1.33%. that's capping the dow's advance right now. goldman sachs warning that apple could fall on slow demand in china.
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stuart: president trump and the first lady have arrived in florida. they are on their way to survey the damage from hurricane michael. we are about to see them emerge from air force one. fred barnes is with us. fred, seems to me like this is a very active day for the president. number one, he's flying to survey the damage. number two, he's held already another impromptu press conference and number three, he's sent his secretary of state mike pompeo immediately to saudi arabia to speak directly to the king. live action presidency. >> absolutely.
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all these things are big but i think politically for the president and for the republican party, actually, with the midterm coming on, is what happens in florida. you know, another katrina would be harmful to the president for sure. but the damage there in florida is horrendous. you know, it's something, it can't be taken lightly. he doesn't want to be accused of, you know, giving it short shrift the way he's been accused of treating puerto rico. i mean, he really needs to jump all over this. stuart: i don't know whether you can see it but he just walked down the steps with the first lady of air force one, he's meeting local officials and no doubt, people who are in charge of the cleanup and rescue. mike huckabee is talking to him right now. governor scott, of course, governor of florida. the dignitaries are assembled. as you say, the president is on an inspection tour, inspecting the damage and what his
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government, his administration is doing about it. >> here is a time for the president to really follow through with what he said in that interview with leslie stahl, i think that's where he was, he didn't trust one of the people that works for him. you really have to be skeptical about what the rescue people and fema and so on are going to say down there, because they are going to say oh, well, we have a grip on this and if they don't, fema's not going to suffer but the president is. stuart: yeah. these events, presidents and governors are judged in some respects on how they deal with catastrophe. how they handle it, what do they do. more importantly, what are they seen to be doing. you're right about katrina. when president bush flew over the damage and looked concerned as he looked out of the window, that did not go down well. i'm sure the president will avoid that no matter what. >> yeah.
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it looks like he's already off to a pretty good start. you know, look, president bush started off with a better situation personally than president trump does, because the press wasn't crazy about george w. bush, but it wasn't -- they didn't detest him and treat him unfairly day after day the way they do trump. stuart: we are going to show you the arrival of president trump, he has arrived and is meeting the dignitaries right there, but we have also with us phil keating. he's in panama city. tell us, phil, what is the president going to be seeing on his tour today? reporter: he's going to be seeing a whole lot of this and far, far worse than this building. this is the habitat for humanity store where they take donations and then resell them to the public. it's a total loss. it's been looted repeatedly since the storm. and it's just a total loss. the brick wall fell down, the
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roof opens to the sky and all over panama city right now is rubble everywhere. traffic lights are out, buildings and homes and infrastructure totally damaged, and you added to this town of 36,000 people tens of thousands of disaster responders and utility trucks and all their vehicles going down u.s. 98 or 15th street locally, the main east-west drag of panama city, is less than a mile an hour. it's unbelievable. stuart: you mentioned -- reporter: take a look at this. stuart: you mentioned habitat for humanity home behind you had been looted several times. was there widespread looting in panama city? tell us. reporter: well, we don't know about widespread looting but clearly, the police department -- stuart: let me jump in. i'm sorry, phil, the president is speaking. i want to listen in. >> -- working [ inaudible ].
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likewise i'm hearing in georgia very good things. i want to thank you. [ inaudible ] is the biggest problem and he gets it done. >> everything i've asked for, he comes through. everything i have asked for from fema. we got the water out, we got the food out. we all pitched together going in to save lives. they saved a lot of people's lives. i want to thank everybody all in coordination to save lives. i want to thank the president
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again. every time i've called, he comes through and does exactly what he says he's going to do. >> we have thousands and thousands of really electricians, the electric company followed behind it. one problem is the homes don't exist anymore. they are literally wiped out. they have electric going to every site but the electric companies have been really incredible responding. we want to thank them. many of these people have no homes. some of them have no trace of a home. it just got blown right off the footings. our big thing is feeding, water and safety. again, rick scott has done an incredible job. really, i want to thank you.
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thank you, everybody. stuart: the president saying the main priority as he arrives to survey the storm damage, feeding, water and safety. that is his priority. phil keating is still with us, i believe. phil, you there? if you are there -- just tell me the situation about water and feeding and basic safety. what's the president going to see in that respect? reporter: well, it's unclear whether he's going to do any of this touring of the damage from hurricane michael by vehicle or if he's going to do it all from a chopper flying down the coast, because there is so much of an area of utter destruction all the way from panama city down to mexico beach, where it's a wasteland. we expect him to go there. we expect him to check out tindall air force base just south of panama city which is also catastrophic damage, billions of dollars in lost
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military hardware. the situation so bad on communications, which is why so many people remain unaccounted for, about 80% of panama city residents have verizon cell phones. verizon is offline still. it's only at & t working in this town. people can't make phone calls to get ahold of people. so the emergency operations manager for the city of panama beach this morning is personally pleading with president trump to call the highest person at verizon he can and get them to get these cell towers restored. communications have been one of the biggest challenges. but food, water and ice and mre distribution, there are dozens and dozens of those distribution points set up in big parking lots, so if you got a car and can get there, stand in line, you can definitely take care of yourself. stuart: i hear you, phil. i want to get back to fred barnes, who also watched what the president had to say moments ago. fred, he's saying look, feeding, water, safety, that's the priority.
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the president is making all the right moves, it seems to me. he's on it, he's handling it, he's there, he's seeing it. looks good politically, i guess. i hate to say it like that, but i think that's the case. >> yeah, but it's just begun. i would not take, with due respect, i would not take the advice of anyone who says just inspect it from the hocelicopte from the air. i had my honeymoon in panama city but it wasn't raining. stuart: we are seeing the president arrive, we heard what he had to say. we will move on. fred barnes, thanks very much. now this. the largest ever meteorite from the moon. it's going on the auction block. first, we have it on the set. joining us now is the ceo of
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aerolight meteorite. good to see you. welcome to the show. first of all, that's a meteorite. >> that is a meteorite. stuart: it didn't come out of the moon and land on the earth. >> it actually did. it blasted off the surface of the moon and if i may just make a slight clarification, it's not the largest lunar meteorite but one of the largest. it broke into several pieces which have been reassembled. we have never seen one of this type. stuart: where did you find it? >> in mauritania. quite a long way to travel to be on the show. not quite as far as the journey from the moon. stuart: we'll take it. that's going on the auction block? >> it is. stuart: how much? >> we have an estimate of about $500,000 on this. stuart: really? >> some of the rarest material ever found on the surface of our planet. stuart: but there are other meteorites that land all the time. >> yes, indeed. stuart: are you one of the guys that goes out and searches? >> i'm afraid so. this is what i have been doing
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for the last 25 years. stuart: do you own that? >> this is co-owned by colleagues of ours. it was brought to us by the finder. stuart: you bought it from the finder? >> it was brought to us by the finder. stuart: you bought it from that person? >> we didn't buy it from him. we are in partnership with him. stuart: you went out looking for it? >> i do all the time. in fact, i have been on four continents this year already looking for meteorites. stuart: how do you look for them? >> it's a combination of a practiced eye looking for unusual shaped rocks, different colors, different characteristics, and also, meteorites are comprised of different mixtures of minerals and elements we find on earth. it's a combination of having an eye for something that looks out of place and also doing lab tests that will identify it for being unique. stuart: half a million dollars. >> yeah. we think it's a bargain at that price. stuart: whatever you say. your business is meteorites. >> indeed. stuart: find them, sell them. that's it? >> no. we also donate a large percentage of what we find to museums and universities. we work very closely with
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academia. we are an educational as well as recovery outfit. we do educational television, documentary films and books. we like to share the knowledge and the passion for these visitors from outer space. stuart: well, i find that absolutely fascinating. i'm sorry we are limited on time. >> it's okay. stuart: you got upstaged by the president. >> let me ask you to hold a case of the moon in case it hasn't happened recently. stuart: it hasn't happened. i like this. this is really cool. thanks very much. >> my pleasure. stuart: i will give it back. wouldn't want to interfere with your sale price. thank you very much, sir. >> my pleasure. stuart: more after this.
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that's it. big news here, fbn's new line up actually starts today. first of all, "making money with charles payne" moves to 2:00 p.m. eastern time. now that is followed by "countdown to the closing bell." and then it's "after the bell" at 4:00. then "bulls & bears, that remears tonight ever, at 5:00 p.m. eastern time. and then lo and behold, elizabeth macdonald with "the evening edit" which is moved to 6:00 p.m. eastern. any quick comment? liz: no talking points allowed. just clarity as you would like. stuart: going to talk about the fed? liz: clarity. stuart: trish regan, trish regan prime time, that is the proper name of the show, debuts, 8:00 p.m. eastern. tomorrow trish will interview president trump. that interview airs on her new show tomorrow night. i have to tell you this too. on wednesday we're hitting the
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road. not just going any ol' place. no. "varney & company" will be live for the entire three hours from the white house. i keep saying it, you never know who might drop by when you're on the white house lawn. ashley: neil cavuto might. neil: who might drop by? stuart: you. neil: all right. i'm setting my dvr. and i don't even know how to set a dvr. welcome back. looking forward to that we're looking forward to our new lineup today. also looking forward to hear more from the president in florida touring all the hurricane michael ravaged area in florida, the panhandle, through georgia. we'll keep you on that. also keeping on top of the growing rift with the saudis. secretary of state mike pompeo is on his way to meet with the saudi king. remember he is the father of the new prince who many say might have been behind this attack, presumed attack, disappearance, whatever you want to call it on this "washingtt"

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