tv Maria Bartiromos Wall Street FOX Business January 6, 2019 8:00pm-8:31pm EST
some of grandpa's old boxes he found a book called the art of rembrandt. thank you for watching strange inheritance and remember, you can't take it with you. begins t now. ♪ >> welcome to maria bartiromo's wall street that helps position you for the hybrid i'm in for maria. average founder and former white house community director anthony security is my special guest and later initial my foxbusiness all-star is here to talk about everything that matters to your money. turning to first job report of the new year. blockbuster one. us economy added 312,000 jobs in the month of december and on up limit rate did pick up slightly
higher before present but wage growth also very strong. average hourly earnings climbed four tenths of a% from november and the gain year-over-year was the .2% as largest year-over-year gain. strongest wage growth since 2008. here to weigh in former white house communications director, author, anthony security. good to see you my friend. >> great to be here and happy birthday to you. >> back at you, my friend. we will make ways right here. so many concerns about the us economy that started particularly in early november about what the federal reserve was doing and weakening. what does this job report say? >> we been saying consistently it strong in the underpinnings of the economy are strong and very good fundamentals and the other limit rate picking up
because more labor participation. one of the issues during the obama years very low labor participation. people are engaged and making more money so it's a very positive thing. one of the reasons but those are had to move and live again is that you got to make sure retaining inflation. you're in a period of time with the federal government borrows this money and they have to protect the united states from a dollar crisis. raising rates because of the strength of the economy also helps the treasury go into capital markets and much easier way. got to bed you a dollar crisis going on and were at the tail end of an economic cycle. dagen: having worked in the white house down washington dc what does this demonstration and what does the trumpet menstruation do in terms of fiscal policy to follow through with what we saw in the last year with the average job growth last year was 220,000 jobs a month, faster than the year prior. it's unprecedented giving the length of the economic cycle and
that his job growth since 2015. how do you follow through on tax cuts because people on what to argue that his helped prop up the national debt and amount of money we are borrowing - what you do on that note? and even in the federal reserve indications that the president trump hasn't hammered jay powell, right or wrong. >> i understand why the president is hammering jay powell. dagen: i do to. >> he's sensed areas of economies are slowing so he's have a saucer entrance touch but up against that you're going into the capital markets for another trillion dollars of debt so you have to make sure people know you protect the currency and not have too much inflation. that harmony, if you will, is disrupting because the way the president treats. he'd be better off in the markets if he brought them into the oval office and had a conversation in the denver study off the oval office. dagen: that's in the works
potentially. >> i hope it happens. it'll clear the air. the president has a good touch for people once he's in their presence and call the president down. the same way the president was upset about rod rosenstein, one of my classmates from law school rod rosenstein is a boy scout applies with air force one comes back to his job. all of that die down. i hope that happens. secondarily, you talk about fiscal policy and they done a good job three things you need to do a better job on one thing. one, set a pro-business agenda and president is a pro-business person so he's changed the market psychology and bully pulpit. number two, delayering the imagery of state and taking down regulations that are unnecessary. very positive. third thing, to the tax policy there trying to figure out a way which has not happened one 100% but to repatriate capital and
bring it back into the united states and have the development take place. one of the things going the do down, third and fourth think they need to improve on is that medication around trade and the eventual resolution of the trading situation with largest partners which include europe and china. once we do that you will come down corporate america and come down industrials and these cios, chief investment officers will allocate capital back into the united states on three, five, ten your plans. as much uncertainty about trade and this was uncertainty about the rhythm of the economy as a result of the trade give a tendency to slowdown that psychology alters a beer and alter the economy. dagen: in terms of negation the american people regardless of the political party they want to understand now the way the president mitigates and they have learned to accept it via twitter.
they are a firm rhetoric from the president but have not in terms of the market and investors all the people around the president who love to go on tv and love to say things and it's almost as if they going to be trying to impress the president and lacks message, does it not? wilbur ross and secretary position they are not helping the agenda but hurting - >> i work with those guys and liked them all. in general for doing a job but one of the things i found was only there for a short time, 11 days, but there needed to be more coordination between the white house and the departments. one of the things that bill schein is looking at and trying to do former head of fox news is the white house and the fox news headquarters and these branches would be the affiliates or stations that were tied into or
our office is a in los angeles replaces from the country. you have to have uniformity in the messaging and they continue to improve on that uniformity that will also be good. dagen: and stop going on tv and i don't mean the president because he was lambasted by some about what he said about jay powell and the federal reserve in the market some months later clearly agrees with the president in terms of the fed needs to cool it. >> good intuition on the economy. dagen: but people treated use market because they know the market performance is important and trying to curry favor with him. that's how i read it and - >> i would say that does not work. i understand why they're doing it and understand people message to the president through tv and get they want the president to realize there are on-site and loyal but there's a flip side of the loyalty and you have to be careful because you don't want to slip into sycophancy or over
flattering. i find this in my own corporation, sycophant is closer to self-preservation and selfishness. it's not loyalty. loyalty requires honesty and requires constructive feedback and constructive criticism. dagen, i've never . dagen: i've never liked those who genuflect. >> i tell my staff if you are calling me tall and right i know i got a problem. if you call me short and wrong now i know we have a relationship. [laughter] dagen: don't go anywhere, the writer will discuss your new fine. we'll be right back.
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♪what you want, baby i got ♪what you need, you know i got it♪ ♪all i'm askin' is for a little respect♪ excuse me ma'am, would you like to have my seat? ♪r-e-s-p-e-c-t ♪find out what it means to me♪ ♪r-e-s-p-e-c-t ♪take care. tcb, oh ♪(sock it to me, sock it to me, sock it to me, sock it to me)♪ ♪a little respect dagen: welcome back. we continue our conversation with anthony scaramucci. you launched a new fund in low
income areas known as opportunity to. tell me about it. >> top line of it is the new tax form is bipartisan initiative allowing people to have low basis situations but high value stock they can sell their stock or put it into an opportunity zone and get a ten year tax deferral and at the ten years they get 70% capital gains as opposed to 20. now the money is in the opportunity zone and anyone any money they make up the proceeds they get that tax-free provided they keep it in the opportunity zone for ten years. huge tax benefit to people to unleash capital and a lot of capital in the united states is trap. you bought amazon at a dollar in trading at 120 but don't want to sell it and you want to see diversity so this is an opportunity for you chip off that situation and you can move it into one of the nations
opportunity zones. the zones were based on the 2,010 census and basically if 20% of the preparation is below the poverty line is a designated opportunity zone. 12% of the country and 8700 zones around the country and this is a fantastic opportunity for people. we structured it as a reefs we buy all areas of his own and take the reef public and provide liquidity for investments. dagen: what investments will you make and this is open to what would be accredited investors right? >> $2 million net worth or $200,000 in annual salary in our investment size or minimum is $100,000. we are using our retail platform redistribution that forms just as we do a series g first garbage to go to the mass affluence and say here's an opportunity for you over the next ten years money you want to
lock up you can chip it off something you bought 15 years ago that has a high value but now want diversity and we can give you this product where you get annual income in a real estate investment trust and get large tax deferral for your family and a stepup in basis. dagen: give me an example or some type of the investments you will make. >> couple things. we look at a port in south carolina, in your neck of the words where we renovate the fo fort. dagen: the south is one big state. [laughter] >> i'm a northerner so anything north of the mason-dixon line makes me a yankee. looking at a hotel in san francisco. i've been all over the country. my team has been all over the country and tons of deals in our pipeline. over $2 billion of deals that get high rates of return to clients and require what we think is a five, 35-dollar investment to get the game
started. one of the requirements of the song is we have to buy something and renovate and improve it. our goal in this is to make money but secondarily, dagen, it's a huge job creator and huge infrastructure improvement in areas of the country the display needed. social good going on alongside investment. dagen: how does this help in this tax benefit - how does it help taxpayers? >> they get a used deferral. dagen: but i meant american people broadly speaking. >> broadly speaking let's say we deploy $1 trillion into these opportunities owns and creates another million and a half, two main jobs. and all the taxable income that comes from that and the reason why cory booker is for it and
president trump and steve mnuchin is it's a real opportunity to go into areas of the country the need help and can supply capital and start that fertilizing experience and multiplier effect in those areas. dagen: great to see you. happy birthday, happy new year. anthony scaramucci, don't go anywhere. more maria bartiromo's wall street coming up. into ♪ ♪ as a fitness junkie, i customize everything -
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dagen: apple sent stocks tumbling on thursday after that technology giant hit $1 trillion market cap of humans go announced a slowdown in china president trump's trade dispute also impacting that revenue forecast. shares tumbling 10% on that day and could this be a sign of things to come for more companies? had a white house that so which should investors do to the
all-stars from the fox news of deirdre bolton and connell mcshane. on this note kevin hassett economic advisor said that there will be more pain coming out of china for american companies. at least he was being frank. >> take weight speculation or will do a segment about whether companies love issues but when the top economic visors of white house said as much we should assume that they will. apple report wasn't. part of it was apple centric and the companies have been having and will continue to have but other part was transparency into china. complained about the economic data we get out of that country may not be reliable and assume the numbers and apple is projecting would be more reliable the numbers we get from the chinese government. let's watch other companies. starbucks is a good example. apple's challenge within by while way and other companies and starbucks is an lucky coffee is a chinese copy company
challenged starbucks which build that location in big-city in china every ten seconds. but how that that goes over the next couple years will be interesting. companies will have issue, no doubt. >> even before we heard from apple i think apple is a lot more significant and more institutional investors hold it in the household name with most people have apple products so it shocked the market more. dagen: with this revenue warning at apple and played into the problems that the market has been trying to deal with. one, technology stops overvaluation. one of the things that kicked in the federal reserve may be too aggressive. technology evaluation over evaluation even though apple looks relatively cheap at the time. >> apple still exhibit was happening at the same time is apple going from having us all be addicted to the hardware to building out the oer a services
company. we did hear tim cook ceo say hammer we've made the most $11 and services long but are for them is apple gets about 30, 50% of the take from the app developers and companies develop now work around. netflix is one, spotify is another so that's beginning to challenge what apple is now saying is the future of the business model. dagen: it will never be as big and profitable as the iphone. that's one of the concerns. >> companies specific challenges for apple and what comes out of the chinese report is that we don't all around the world operate the same way with our phones. if i had to change today and had an iphone from basically day one to an android phone that would drive me crazy and i would accomplish apsley nothing with the entire weekend other than using that google phone. in china it's less that way. they operate for the most part
inside different apps. one of the apps that is popular in whatever form they have a an apple phone today and a phone made like while way first thing they do is figure out how to open that app and - >> it's more agnostic. >> yeah, they are similar and that's the debate we are having untreatable around. why is one of the local chinese companies looking like an iphone . dagen: i thought it was a luxury product. the us market is a problem for apple as well. india another problem market for apple. what i said is read the market has been selling off for a number of reasons and the reasons have now mounted. i mentioned the over innovation of tech stocks, but reserve in the glow global economy slowing down, not just china but then
also the trade situation and the trade negotiations with china. does is give the united states in china to come together and get a deal done because it's in our mutual interest. >> i do think it's a really strong negotiating point for both countries is to go to genera seven and eight it will be fairly high-level talks and yeah, i do think both sides are feeling it and may bring them closer to make a compromise. >> job support my get the us and some a stronger economy than you china so and a better position to go shake and i come back to this from the beginning. they have a longer timeframe and ways of extending it and saw that at the end of the week with the system and trying to estimate economy - >> and advise them time to negotiate and play this out over
longer. dagen: i wanted to get your reaction quickly. president trump's comment about stock market and the glitch. the glitch he said was a glitch. >> little glitch. well, . dagen: he's trying to find - this plays out. president trump: from an economic standpoint with the talk of the world and glitch in the stock market last month but it still out around 30% from the time i got elected and go up once we settled trade issues. dagen: that the longview conne connell. >> yes, but whatever, more than a glitch. >> worst december since the depression. >> guess, but the idea of the stock market requiring after the trade issues is a consensus view if anything and that's what kevin was talking about. until we get that the part that
was cut off from the comments. until we get a treat of china we have more company saying what apple essentially says and that's why it's important. dagen: i never a man or woman for being frank and honest. >> really. [laughter] dagen: deirdre bolton and connell mcshane. connell facial expressions said operate don't go anywhere, more of maria bartiromo's wall street, next. i'm ken jacobus and i switched to the spark cash card from capital one. i earn unlimited 2% cash back on everything i buy. and last year, i earned $36,000 in cash back.
dagen: big week coming up. maria bartiromo goes on the road hosting the show from the annual j.p. morgan healthcare conference in san francisco. rio will interview j.p. morgan chief executive officer and chairman jamie diamond. you do not want to miss that. catch maria every sunday morning fox news channel for sunny morning features in this week's special guest is democratic california encouragement. catch the show at 10:00 a.m. eastern fox news and start smart every day here at foxbusiness at
6:00 a.m. eastern. that will do it for us. thank you for watching. see you next time. ♪ ♪ >> hello and welcome to wall street journal at large. happy new year and may i be the first wish you a successful and prosperous 2020. yes, you heard that right. 2018 ended in a dark cloud of gloom over the financial markets and of the money mavens and professional pundits are to be believed you may want to pull the covers over your head and sleep through 2019. is it all that grim? certainly plenty of reasons to have the bills on h b