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tv   Mornings With Maria Bartiromo  FOX Business  February 1, 2019 6:00am-9:00am EST

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♪ super woman, yes i am, yes, she is. ♪ maria: we kick off the new month for markets with this. futures are mixed this morning, take look, dow industrials up 29 points, the dow and s&p 500 seeing the best january gains in 30 years for the month. the numbers were very strong, earnings season of course one of the big highlights, rolling on. but amazon reported last night posting a third straight record profit. however, the company's revenue guidance for the first quarter missed expectations and that is weighing on the stock this morning. we'll take a look at amazon momentarily. as you can see, the numbers there, $5.68 a share versus $6.04. the stock down right now 4.5%. joining me right now, cfra research media and entertainment aentertainanalyst, your reactioe
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amazon quarter. >> i thought there were a number of positive take-aways here. the operating income number actually topped the guidance that the company provided. the one kind of blip in the quarter was revenue as you alluded to. that is actually in a way due to the law of large numbers. it's finally catching up. i think the main story here as i think about amazon is the favorable mix shift from traditional lower margin businesses to actually businesses that are now going to be incremental to the overall margin. think about cloud computing, think about the shift to third party sellers and also the growing advertising business. all of this i think bodes well for future profitability. maria: what drove things in the quarter and how would you characterize the holiday season in terms of the nuts and bolts of the business, delivery and retail? >> sure. so i think we know that the holiday season actually came in fairly strong overall across the
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industry. amazon has been gaining share. all of the data points that we saw coming into this quarter for the holiday season i think really set the company up for what i believe was a monster holiday season. all of the hardware devices, the echo, alexa, the flash stick were flying off the shelves. but there's no doubt that the core e-commerce business has been slowing and we saw that again this past quarter. so overall i think the fundamentals of the business remain intact. the favorite metric that the company looks at, trailing 12 month operating free cash flow, now hitting a run rate of almost $20 billion, almost double year over year. maria: that slowing, is that a function of the slowing he global economy or is that a function of just amazon and the law of large numbers as you said? does growth become tougher from here? >> it does, from a top line perspective, there is no no doubt. if you're talking about the core e-commerce business, both in the u.s. and international. but i think amazon web services, which is only 10% of the overall
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revenue growth, is going to maintain a trajectory we think of at least 45% to 50% growth for the next few years. now, almost hitting a $30 billion run rate business. so that's -- maria: that's the cloud business. >> that's the cloud business. maria: aws. okay. what company surprised you? take a look at the quarter in general in terms of earnings growth. any company surprise you so far this earnings season? >> i think a lot of the big media companies are yet to report. we know that fang names have been navigating a lot of the private issues. facebooks was a really good positive surprise, i think kind of set the tone of what to expect here. so i think the core fang story essentially remains intact. the media, the core media business as we look to next few weeks when the big ones start to report, frankly i think there's really not much to be too excited about here. the core businesses are facing some secular pressures but all the companies are really repositioning themselves for this new paradigm shift of
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direct to consumer shift and that's going to be the key here, which companies can favorably make that transition. maria: we're coming off of the best month in 30 years in the markets. would you put new money to work here? >> it's debateable, the chances of recession. this is a sector universe that is kind of cyclical. if the odds of a recession increase dramatically, then all bets are off. having said that, i think there's still fundamental things that make us optimistic as we look over the next 12 months. maria: within media? >> within media and within the technology sector. maria: we'll leave it there. great to see you. the record-setting polar vortex of blasting the united states with the lowest temperatures in decades. the impact hitting businesses across the country. dagen mcdowell, good morning to you. what's your take. dagen: first, we want to mention the devastating loss for many people because of this record cold snap across much of the midwest. this polar vortex killed at
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least 15 people in the midwest and in the east coast. but it's also businesses that we point out on the fox business network that are trying to recover as the temperatures finally start to rise. automakers were forced to close factories because of these record low temperatures. airlines canceling thousands of flights. and the gas utilities were urging customers in the last couple days to lower their thermostats, 65 degrees, because of this surge in demand for natural gas and heat. there was an explosion and fire at a natural gas facility operated by consumers energy corporation on wednesday morning that forced many auto plants to shut their operations. generageneral mow seems to be td -- general motor general generae the hardest hit. airlines were forced to cancel thousands of flights,
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particularly in chicago. one of the problems was getting the fuel out of the underground fueling system. planes were landing at chicago's o'hare with extra fuel on-board. but we should point out that the temperatures are rising and this will shock you. so chicago's low temperature was about negative 20 degrees. that does not include the wind chill factor. temperatures this weekend are expected to hit 50. that is a turnaround of 70 degrees in chicago. i think the people there are certainly thankful for that. maria: that's an incredible range. we were negative and now you're talking about 50 degrees. even in new york as well it's going to get a lot warmer. dagen: i wanted to point this out. as a news network, we always focus on weather incidents that are -- that quite frankly they make great pictures, hurricanes, big storms. but this was devastating to many people, to many businesses.
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i felt like it was important for us to cover it. the damage, the fallout, the more than 15 -- at least 15 deaths that we know about and the recovery. maria: when janice first said we're going to be talking about this for decades, i'll thought what, really. and you know what? it's incredible when you look across the country, particularly obviously the midwest. dagen: we're not just east coast people. we do think about all americans across the country and what they're going through and how they're suffering or rejoicing. there's been suffering the last few days and certainly rejoicing now that higher temperatures are on the way. maria: let me talk to you about markets for a moment. we're looking at a mixed opening this morning. obviously oil is part of the story as well. we're coming off of a january that's the best january for these markets in 30 years. i guess part of this is the valuation story, right, because markets got crushed in december. dagen: right. absolutely. so markets plummeted and -- in
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november and december. it was the worst year for the markets since 2008. but what happened was because interest rates fell so dramatically from about 3 1/4% on the ten year, that as interest rates fell, that automatically made stocks look more attractive because that's how you value them. so you weren't going to buy the 10 year when it was 2.6% but stocks began to look attractive and i think that that has baird itself out in the -- beared itself out in the results we're getting this quarter. amazon a little bit mixed but that's a what have you done for me lately story with the incredible run in that company. the earnings have looked really good. it was largely the bank stocks in the month of january that pushed the markets higher. maria: don't forget the jobs numbers, we've got that out in about two hours. we've got special coverage coming up. we will be all hands on deck. meanwhile, deutsche bank posted their first annual profit in four years. lauren simonetti with that story
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now. lauren: deutsche bank reporting profit of $391 million for 2018 despite a loss that came in the fourth quarter. revenue slid 2% despite tim proved results for last year, deutsche bank is playing down speculation about the bank merging with a smaller rifle, commerce bank. taking a look at shares deutsche, they're lower by 3% in premarket trading. facebook and twitter have removed thousands of fake accounts with tie toss russia, iran and venezuela. the phony accounts are accused of spreading pro-iranian government messaging, posting nearly a million tweets about u.s. politics and showing support for nicolas maduro. nearly 2 million people followed the bows gus accounts on facebook alone. -- bonus accounts on facebook alone. twitter shares are up about 2 a. if yew bee you've been thinkingt
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quitting facebook, it might be good for your emotional well - being. a study found that users who quit the site are more happy. there is a bump in the daily mood and also an extra hour a day of down time. that makes sense, if you're not on facebook, it opens up a world of opportunities for you to do other things. maria: thanks so much. trade talks underway, president trump feeling positive he says that the u.s. and china can come to an agreement on trade an tariffs. hear what he has to say, next. different story when it comes to congress. up next, cola truce, pepsi and cola creating a cheers ahead of cokcoca-cola's museum ahead of super bowl. we'll have shaq when we come back. stay with us. ♪ it's friday, friday, got to get down on friday. ♪ everybody's looking forward to the weekend. ♪ friday, friday, getting down
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maria: welcome back. we've got a big show this morning. coming up, texas congressman and house financial service is committee member, roger williams is here. the legendary super bowl winning quarterback, he joe theisman is here. all-star panel for the jobs panel, begins at 8:00 a.m. joining the conversation, benchmark managing partner, kevin kelly and ceo jake wood. great to have you. >> thanks for having us. maria: good morning. >> love it. it's been a crazy time in the markets. think about how january's kicked off and seeing with the reporting season coming and everyone was worried about a recession but we've seen the best january. i'd like to go back to last january. we had a great january last year as well. if you guys don't recall. then we had february where the
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markets really tanked. i think everybody needs to pay taper expectations here, especially going forward. because the multiple expansion and we've seen a lot of not quality stocks do well and quality stocks not do well. maria: especially since we're coming off the best january in 30 years. markets have been so strong in january, because of the comeback. >> i was joking around. if you look at defensive stocks like real estate investment trusts, if we look at the industrial sector they were up 14% in january alone. that doesn't necessarily make sense. so you're seeing a rotation still happen. maria: i'm glad you're on the program this morning. you've got a lot to talk about. you're a veteran. you are a philanthropist. tell us what you're doing right now. >> yes. so the organization that i run, team rubicon we respond to dissays tears around thdis--disd in the u.s.
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we're looking at doing work with the venezuelan crisis where we're going to b be sending teao establish internet access points to colombia where a million people have sought refuge to escape the conflict there. maria: we're happy you're here this morning. we're going to kick off with u.s./china trade in focus. the president is meeting with china's vice premier in the owe l val office, sounding optimistic about getting a deal done and making sure it's a good one. >> this isn't going to be a small deal with china. it's either going to be a very big deal or a deal that we'll postpone for a little while. we've been dealing with china. we've had a great relationship. i have a great relationship with president xi. the he relationship of my people to chinese representatives has been very good. maria: yeah, and i was interested in seeing the president's tweet yesterday, dagen, because it's exactly what we wer speaking about yesterdayn he said look, china wants to open up its markets to financial
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services but what's more. it doesn't hit his manufacturing base. that's where the chinese are. they want to open up to financial services but what else. dagen: we know china -- the details are all over the place, they've agreed to buy 45* million -- 5 million tons more of u.s. soybeans. they had to clarify that china agreed to buy 5 million tons of soybeans, not daily. the central issues are the things you've been talking about for years on the business network, that is the theft intellectual property. you brought it up with every cfo you interviewed. the espionage, the forced surrender of technology and burdens put on u.s. businesses, ieven if they aren't trying to o business in china. this is a heavy lift for the united states and china. it has to be about more than reducing the trade deficit with china. that's going to be what we're looking for.
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maria: let's forget when we had steve bomber on. he said that the theft coming out of china costs microsoft $10 billion a year in profits. en more us in number. because 90% of the companies in china use the microsoft operating system but only 1% actually pay for the microsoft operating system. >> the chinese government told microsoft that hey, don't pursue this and we'll let our market still be open to you. we saw during the trade war they actually -- china should down microsoft being the search program for a few hours. we didn't know what was happening and microsoft wasn't getting any read-through. they are actually using -- the chinese government is using their power to influence american companies. maria: don't forget what dagen mentioned. they can prol promise they'll bl these tons of soybeans and everything else but let's see if they follow through. that's another woul would worry. they told us they would buy a
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certain amount of beef. >> let's not forget about the national security issue. the theft of a.i., there's a threat of our capability, projecting overseas what they're doing there as. maria: the military issues, a.i. is cuffe used in the milit. >> they're coming on-board with the first aircraft carrier, things like that. they're stealing all of that. maria: we've mentioned a number of times what they're doing is they are setting up military bases across the world. setting u islands in the south china sea di hechai sea. dagen: these are -- they've really tried to separate these issues. maria: i don't know how you can. dagen: the department of justice dealing with huawei, the defense department dealing with the threatening behavior of china in terms of defense and then you have robert lighthizer trying to negotiate trade and the president himself. maria: i don't know how you
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separate it. >> this isn't just an american issue. we've seen our european allies come with us to the world trade oranization and talk about this. that's why you've seen the world coalese. maria: china said we will set your infrastructure telecom and set it up. they've been tapping into the telecom intelligence. dagen: at the negotiating table it does a lighthizer look at his counterparts and say i don't have anything to do with that in terms of the crackdown on huawei. that is the department of justice, i don't have anything to do with it. i'm here to talk to you about this, this and this. so again, it's posturing. maria: we've got the jobs number coming up, big jobs coverage coming up, the january jobs report comes out at 8:30. we are all hands on deck as 8:0e the jobs are and what we're expecting. the estimate, 165,000. we've got good adp numbers
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earlier in the week. the battle for the border wall, president trump says he's willing to move on without congress if they don't fund the border. then howard schultz weighing in from his hometown on this battle. back in a minute, right here. what if numbers tell only half the story? at t. rowe price, hundreds of our experts go beyond the numbers to examine investment opportunities firsthand. like a biotech firm that engineers a patient's own cells to fight cancer. this is strategic investing. because your investments deserve the full story. t. rowe price. invest with confidence. what would it look like [if we listened more?] could the right voice - the right set of words -
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maria: welcome back. headlines across america this morning. now this, the dallas morning news has a story about a texas lawyer suing apple over the face time bug that allegedly allows eavesdropping on testimony. the lawyer claims the bug was used to listen in on sworn testimony in a deposition. the suit says the bug is unreasonably dangerous to consumers. we've been talking a lot about that this week. in south dakota, a leader writes the governor signs constitutional carry into law. beginning on july 1. south da co-takens will be able to carry concealed handguns
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without a permit. warnings on soda as appeals court blocks an ordinance is a headline. it would require the labels on sugary drinks war to warn of the increased link to diabetes and tooth decay. we'll take a short break. it's jobs friday. we have energy sector earnings out this morning. all of the names you want to hear about and the numbers as they hit the tape. the new york knicks trade away a star flier the mavericks. the mystery is who they get in return. more on sports right here. ♪ baby i don't see how i could love you anymore than i do today. ♪
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fidelity. open an account today. maria: thanks for joining us, it is jobs friday, february 1st just before 6:00 on the east coast, earnings in focus, big names include honeywell xm mobile, chevron reporting this morning. a good window at how the oil sector did today and a couple days next week as well. we will break it down for you. investors are waiting on the jobs report out in two hours from now. 165,000 jobs have been added to the economy in the month of january, the an employment rate expected to stay steady at 3.9%. keep it here for a special jobs and american coverage this morning. we identify where the jobs are, particularly what jobs are going away. the markets looking like this,
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mixed story. dow industrials up on the heels of a strong january, fractional gain on the dow by the s&p down as is the nasdaq. 30 points lower on nasdaq. the market finished mostly high, the dow down fractionally, 15 points lower, the s&p is up 23 points, the nasdaq was up 98 and the whole month of january the best month of the s&p and nasdaq in 30 years, european indices look like this was look at the numbers, the s&p up 30 points, one half of 1%, the cac quarante in paris at 6 points, fractional move in germany, dax index down 8 points. asian markets overnight a mixed story. no real music except china, shanghai composite up 11/3%. we are on countdown mode to the game, super bowl sunday as atlanta prepares for the game. we will take you there with shaquille o'neal who is on the
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ground was knocking the next, the downtrodden team trading away a superstar leaving fan scratching their heads. details coming up. top story this half hour, border wall funding showdown continues, donald trump said he is prepared to move without congress to build the wall in the southern border but nancy pelosi is dismissing the president and standing form that no deal will include any money for any wall. >> there is not going to be any wall money in the legislation. >> if there is no wallet doesn't work, she's just playing games. if there is no wall it doesn't work. a lot of people don't know we have a lot of wall under construction. maria: potential 2020 hopeful howard shultz weighed in on the border battle, he was in arizona. >> border security is a significant issue especially for a state like arizona but we have the world's greatest, most
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innovative tech companies in america. if i sat down with them and i know most of them and said let's create the most creative, innovative plan leveraging technology to do everything we can to prevent bad people from coming across the border we could do that. america was not based on building walls but on bridges. maria: joining us to talk about that is washington examiner commentary writer tianna love. thank you so much. where do you see this going? the dems are not giving in, nor is the president. he may call a national emergency. >> if he does wind up calling a national emergency this does take pressure off of congress to do their jobs. what trump needs to be doing a sticking to the messaging he started two weeks ago in which he said i'm willing to compromise. i'm offering a long term legal and constitutional solution to daca recipients and tps holders and making it clear he is the
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one willing to be reasonable. willing to issue a blank check to the democrats, tell them to fulfill a campaign promise so he can pull up on him rather than unilaterally taking action. >> is in the biggest problem for the republicans donald trump would be setting a precedent by doing this. if the white house does change hands they could be worried democrat comes in and uses the same constitutional authority. >> the new democratic party made it clear they are the party of late-term abortions, the party of wealth taxes. the president this would set would be dangerous and even more scary if the courts do not blockade this because the democrats do win in 20212024 who knows what they would try to pass with this power? maria: let's talk about taxing the wealthy, bernie sanders introduced a bill that would drastically increase estate tax for individuals for a states were $3.5 million as 2020
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hopeful elizabeth warren and alexandria cortez proposed taxes on the wealthy. does any of this have any shot of taking place, actually materializing, these pie-in-the-sky proposals? dagen: let's break them down quickly. alexandria abca 15, highest tax rate on income taxes, she wants 70% for income over $10 million, that is based on reality. reality that is ugly, goes back to literally the 1960s. she went 570%. dagen: it was north of 90 but that was before john f. kennedy and lbj lowered taxes. those big democrats. what bernie sanders is doing by
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tweaking the estate tax is what elizabeth warren is trying to do, confiscating wealth. at least bernie sanders is operating off of the existing tax system. elizabeth warren is trying to promote something that is communist, confiscation. it would be unconstitutional and never fly. what does it hurt her to throw out this crazy idea of confiscating money from americans who earned it? it doesn't hurt her because she knows it will never go anywhere. maria: she was back against the wall having to compare capitalism to socialism and she said in a radio interview i like capitalism, just we can't have if there is cheating -- >> he didn't find the cheating
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because wells fargo -- >> one of the big wins is bringing back offshore money and finally taking the revenue off of that. that was a big win for the tax overhaul. to do with a modern-day corporation. both her and aoc and democrat in deep fear of this man can't find anything nice to say. >> how is it possible left believes this is a winning idea to confiscate people's wealth. >> they are living in an economic delusional you contact something that is not a cash flow.
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that will be them to offshore their money or leave the country entirely. we are seeing this happen in france and to a lesser extent in the us. seeing people leave states like california and new york and taxes won't even fund these progressive projects people want. medicare for all valued at $32.6 trillion in the first decade in the green new deal, $49 trillion, he was before and's wealth tax could only accrue under $3 trillion and exponentially left after that. maria: talking about the wealth tax like it is going to happen. it is fiction, bs left as she can be without joining the communist party. >> you know what else is action? getting rid of fossil fuels within 12 years. does that mean getting rid of airplanes? cars? dagen: the tweet from ben shapiro.
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all the democrats had to do was not seem crazy to beat donald trump but now they are the party of infanticide which is the story of this week, taking away your gasoline powered vehicle, confiscating your guns and kamala harris, ending private health insurance in this country. this has been a trip and we are not in the actual election year, a trip on a big bus to crazy down. maria: to people understand it? >> the campaign -- dagen: tell people you are going to lose your health insurance through your employer and you are going to have to buy whatever the government serves up cold, you are alienating voters in this country. >> interesting candidate. a lot of progressive issues, healthcare, education, free education, able to accomplish through starbucks. he built a company that offered universal healthcare to its employees including hourly
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employees, offered education benefits to employees. that is interesting private-sector. maria: and identify the middle road like i said hundred times. most people are hanging out in the bill. you might lean to the right on some issues into the left on others but very few people have monolithic ideas you agree with one side on everything so he has identified a path. we will see. thank you for weighing in, good to see you. intel has named botswana and its permanent ceo. >> the company's chief financial officer before being elevated to interim ceo in june. only 7% of sitting ceos in the fortune 500 promoting from cfo. let's look at shares of intel down 1% from a year ago. there will be super tight security at super bowl liii sunday. of 16 fighter jets will patrol the skies enforcing a 30 mile
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-- and and pepsi is an official sponsor of this year's the game but it is the home of rival coca-cola. pepsi appearing to call for a truce by putting up a life-sized statue of its founder. outside the world of coca-cola museum. coca-cola says it welcomed the statue of coke with a smile. when the statue was removed pepsi followed up with this tweet using code's beautiful slogan. it writes coca-cola, we swung by but it looks like you weren't into having us over today. doesn't look very together as beautiful. negative trade in the nba sending shockwaves across the league. new york knicks sending their star to the dallas mavericks in a 7 player deal.
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it raised eyebrows because the next didn't get a star in return. part of their package includes dennis junior and two future draft picks. and his agent brother, met with the next executive to express concern about the teams losing a. hours later the star was packing for dallas and the next as you might know own the worst record in the nba. maria: thank you. coming up, shack's fun house, cheryl casone he takes a tour with super bowl liii in atlanta. jake woods, team rubicon traveling the globe to aid in disaster relief, stay with us. ♪ see how things turn out ♪ see how things turn out ♪ -ah, the old crew!
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maria: since 2010, team rubicon has helped disaster relief, organization volunteers are comprised of us military service veterans who use special skills to help those in need. jake would is with us this morning. it is great to have you here this morning. tell us what inspired you to create team rubicon.
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>> we have 1000 volunteers in the united states and we are taking skills and experiences that our military veterans have given them over the last two decades of war and trying to repurpose skills to help people in need. we are helping communities, the humanitarian crises like venezuela. dagen: what has been the hardest in terms of disasters you tried to affect? >> we responded to the most complex environment in the world in the last decade whether it was the 80 earthquake, hurricane harvey, these are complex situations that left communities devastated. we are still rebuilding homes in houston, we rebuilt 500 homes in puerto rico. that disaster in puerto rico was the perfect storm of bureaucracy and impact, failure
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for people to make tough decisions in the face of that. >> you are a perfect example of private enterprise so your not-for-profit, nonprofit, philanthropic lee funded, don't take money from the government and we are able to do the work through generous support, corporate supporters. it allows us the flexibility to move in and make decisions quickly without that redtape. dagen: on that note in terms of structure, how do you get to those most in need? how do you make those assessments in a disaster situation? >> we have high trained volunteers. their leadership experience and technical experience in the military, we provided them with a system and necessary tools and local officials, begin to get work with healthy citizens very quickly. maria: they are committing $1
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million to support this. >> there ceo, and so many have them. dagen: do you have enough money? how much do you need? >> our budget is funded for this year. we are always looking to grow but there is a massive unmet need, there are communities being impacted across the country and typically rural communities most adversely impacted don't get federal declarations for the long-term recovery problems. it is important private philanthropy fill in those gaps. can we do more if we have more? absolutely. maria: we are happy you are here today. merck reported earnings, better than expected revenue, revenue in line but earnings per share better than estimates at one
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dollar and 4 versus one dollar and 3. a quick break and basketball player to a football fan. we are counting down to the super bowl with the one and only shaquille o'neal, live in atlanta with cheryl after this. after months of wearing only a tiger costume, we're finally going on the trip i've been promising. because with expedia, i saved when i added a hotel to our flight. ♪ so even when she outgrows her costume, we'll never outgrow the memory of our adventure together. unlock savings when you add select hotels to your existing trip. only when you book with expedia.
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maria: the super bowl is two days away and cheryl casone he is celebrating in atlanta with shack for another extravaganza. sharey he is 7 foot one and is
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a giant, towering figure, a four time nba champion and one of the nicest guys in basketball. shaquille o'neal thought super bowl parties instead went to were boring, he decided to put on his own version of fun this year at the super bowl. >> welcome to shack's clubhouse. the vip area. cheryl: what is that? >> nba, access. the stage, a lot of people on stage. myself. cheryl: i hear you will dj and perform and you have been practicing. where have you been practicing? >> over here. ♪ >> these people on stage
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playing sports. people hanging from ceilings, all that good stuff. cheryl: i know shaquille o'neal is a basketball player. talk about shaquille o'neal the dj. >> a game 7 situation. people pay money to see football. i do the best i can do. cheryl: there is more to this place. i want to have some fun with shakeel. >> you get your feelings hurt. cheryl: that is 10 points. >> better than 100. >> thai you or beat you. cheryl: all right. all right.
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i got to tell you, thank you for the tour of the farmhouse. super bowl liii in atlanta. final thought? >> very competitive game. have fun, this is my favorite part. thank you very much. maria: to clarify, i wanted ski ball. i want to make that clear. he thought he had it on me. and things you could buy here at the nfl shop online if you want to participate in the super bowl. they have sparkly fun house, the cowboys one. you know me of course i did. this is $1495. disperse here $30, these run about $40 as well. my new york friends broadcasting this morning, the giants teddy bear. i had to show you that. look at that, $29. the alyssa milano sweatshirt is
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$70. the michael vick, this is a letter head debuting limited-edition leather hat, $110 for these. there is all kinds of things to spend your money on at the super bowl or if you want to run around and play sports with the greatest names in the nba and nfl you can do that too. i tried to do both. >> here's the question. did shaquille o'neal get on the mechanical bull? i fight you wrote that alone. cheryl: he told me, he had to google this, he said i was on for 9 minutes in san antonio. i don't know. he is like the king. >> the mechanical bull, that is the opposite. maria: crazy that you got on that mechanical bull. cheryl: it is hard. i tried to represent southern
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but i didn't do so great. maria: this is all for you in new york, i love all of you. see you in an hour. coming up in the next hour, have some fun. it is jobs day, earnings preview as well, back in a minute. the riskiest job. the consequences underwater can escalate quickly. the next thing i know, she swam off with the camera. it's like, hey, thats mine! i want to keep doing what i love. that's the retirement plan. with my annuity i know there's a guarantee. annuities can provide protected income for life. learn more at
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maria: welcome back. good friday morning, everybody. thanks so much for joining us. i'm maria bartiromo. it is friday, february 1st. your top stories right now 7:00 a.m. on the button on the east coast. it's the busiest week of earnings season and it's wrapping up today. on tap, exxon mobil and chevron. we'll get a window into how the energy market is doing this morning many we heard from merck. it beat expectations on both revenue and earnings. the stock is up this morning, about a quarter of a percent. amazon is one stock we're watching this morning. it's under pressure after revenue guidance came in light of expectations last night after the close. the stock now down almost 5%. we're anticipating the jobs report out in an hour and-a-half. it's jobs friday. the expectation calls for 165,000 jobs to have been add todd the economy in the month of
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january. the unemployment rate i expecteo hold steady. dow industrials are expected to be up 27 points, a fractional move higher, s&p is down 2 points and nasdaq down 33, after a strong start to the year on wall street. the dow and s&p 500 posting the biggest january gains in 30 years. as you can see, the month was strong, up 7% on the dow and the s&p, up almost 10% on the nasdaq. global markets this morning look like this. european indices are mixed. the cac in paris up a fraction, the dax index lower by 20 points. in asia overnight, similar story here, mixed story. china was the best performer, shanghai composite up 1 1/3%. viral fame comes with a cost. the fiji girl from the golden globes is suing the company. we have details coming up. all those stories coming up this friday morning. joining me to break it down,
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dagen mcdowell, kevin kelly and jake wood. great to have you this morning. >> great to be here. i want to just point out a thing on amazon. it's going down in the premarket right now. it was up almost like 2% yesterday heading into the earnings. holiday spending sales were up 63% year over year. their ad revenues doubled and you had tuna on earlier from cfra. he was talking about the law of large numbers. maria: he said the growth is coming from the cloud, aws. >> also, e-commerce sales are growing. the slowing growth was actually in whole foods. their physical store sales were down 3%. it was a calendar issue. so e-commerce sales were up, huge. they still have a long way to go. but the problem is they have to continuously reinvest in their distribution centers because now people don't want product in a day or less, they want it in two hours or less. they have to build out. that was their guidance. it was the physical store ales and guidance of reinvesting. dagen: they were conservative
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on the guidance, midpoints were below wall street targets. when a company is conservative, you better look you out because they surprise on the upside. maria: it's all about earnings. we'll get the oil companies out soon. merck already reported. and then we'll get exxon mobil and chevron. coming up, roger williams is here. the legendary super bowl winning quarterback, the great joe thighsman is here along -- theisman is here. cameron hayward is here as well. our jobs panel begins in about an hour as we identify where the jobs are. our top story this hour, starting the year off strong, the stock market posting the best performance in january in 30 years. the nasdaq seeing the best january since 2001, while the dow and s&p 500 closeing with the biggest monthly games since october of 2015. it all comes amid fresh negotiations between washington
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and beijing. president trump signaling optimism yesterday as the two sides work to hammer out a trade deal. >> we haven't talked about extending the deadline. the deadline is march 1st. that deadline has stayed. we really haven't talked about it. i don't think we have to extend. i think we will agree. i think when president xi and myself meet, every point will be agreed to. maria: we are just flashing this banner on the screen as the president was talking, senator corey booker has announced officially that he is running for president. he has done this on twitter. >> spartacus. maria: spatte spartacus. >> running for president. maria: the field is getting wider and wider. >wider.dagen: let's see what pe comes out to trump p -- i said it, trump elizabeth warren on the wealth tax. maria: i enjoyed the piece in the joint venture nail, clash of the billionaire politician, going through howard schultz and
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michael bloomberg's plans and why the left is afraid of howard schultz running. joining us right now to talk politics and money, is ken mahoney. it's good to see you. >> a lot going on this morning. maria: the best january in 30 years. >> can we annualize that? how does that work out? >> you were all in, after december. >> margin, calls, everything else. maria: would you put new money to work right here. >> we're going to wait for a pull back. markets don't follow the same pattern. 2018 we started off with a strong january. sell may, go away, that didn't work. we had choppiness last year. january up, february down. we have to take things off the table here. we've had a good run here. we're in earnings season. pretty soon we won't have the earnings to drive the market, we'll go back to headlines that are kind of not so positive let's put it that way. >> i think the interesting point is now that earnings are out you're going to have companies coming in and buying shares
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again. i keep reading notes from jp morgan, goldman sachs, talking about buybacks are going to be at near peak levels where they're coming in because guess what, their earnings are worth more because guess what, interest rates aren't going higher. the earnings are worth more so they'll buy back more stock because it's cheaper to do that. i hear the wait for a pullback. that's happened time and time again. you an bling and you're not goig to get the opportunity. >> we always like technology, going in before the october meltdown and december to remember, we liked tech. we still like tech. if you're going to be in risky assets, you might as well get the reward. i think the market's forgiving because the fed has been more patient and more flexible. that's why we can be, again, not a margin -- we can be a little
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more aggressive in risk assets now that the fed has pulled back and this market's been all about the fed. it really has. dagen: the federal reserve pulls back and says repeatedly that it's going to be patient on its interest rate and balance sheet policy. however, if you -- that seems to signal that the u.s. economy along with the rest of the world is slowing and maybe more dramatically than people think. nonetheless, month of january, small cap stocks very sensitive to the u.s. economy, up more than 11%, the best performer of all the major market gauges. what does that tell you? granted, they're still down 13% from the august high. >> it's all about domestic. they're not so worried about the china headlines. we have to deal with multinationals. we have to play a game. something is not like the other. we have oil up, we have gold up, we have stocks up and bonds up in january. something's got to give. i'm not saying it's necessarily equities. something sticks out here and they can't all be going up at
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the same time. >> when correlation goes to one, i think jay can chime in on this here because i think infrastructure is a big thing and so i think that's an investing theme and you're talking about tech. you i would invest in the cell phone towers and data centers for the 5g. how important is this in your work, the infrastructure and cell phone towers. >> infrastructure is incredibly important to the work we do. we see that impacted in places like houston, we're seeing that impacting places like puerto rico. i was just in florida visiting our rebuild efforts there. we would love to see an infrastructure package get pushed through congress because we see our crumbling bridges create a lot of jobs and it would make communities more resilient in the face of these increasing threats from disaster that's we're seeing. last year, the top three most costly disasters in the world were all in the united states. that can be a largely an infrastructure problem. you look at the wildfires in california caused by pg p & e. >> that's a bipartisan that can
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mostly get through. however, they don't give trump too many wins. that is a bipartisan agreement about infrastructure. in europe, you have high speed rails. in the states, we have a crumbling infrastructure. it is something bipartisan. maria: you're a seller ahmed of the job numbers -- ahead of the job numbers. take the shillings off the table. is that what i heard? >> in general, we've had a huge ramp-up, especially from december. nothing wrong with taking profits here. maria: great to see you. thanks so much. jobs in america is coming up. we are bringing you live coverage of the january jobs report, kicking off at 8:00 a.m. eastern this morning. first, oil earnings in focus, exxon and chevron reporting later this morning, the numbers coming up. a dream engagement ring, check this out, details on the biggest diamondediamond ever found in nh america. dagen: some foolish man will
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buy it. maria: back in a minute. ♪ whoa. ♪ louder. ♪ whoa. ♪ sing. ♪ i think it will fit.
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maria: welcome back. the arctic blast leaving at least 21 people dead in the midwest. senior meteorologist janice dean is in the fox weather center with the latest on the forecast. janice, wow. >> yeah, we set records yesterday. look at cotton, minnesota, minus 56, that's an air temperature, not the wind chill. mount carol, illinois, minus 38. if that temperature verifies, that will be the coldest the state of illinois has ever been. so certainly one for the record books. historic cold. good news is, we're going to start to see temperatures rebound quite considerably and we go into the weekend. we're dealing with wind chills below freezing, below zero. look at the 24 hour temperature change, a 26-degree difference
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in chicago than this time yesterday. chicago, you're going to get up into the 40s this weekend. so from the deep freeze, i think it was minus 23 this time yesterday, maria, to plus 45 on sunday and monday. and then we'll get our next arctic blast on tuesday. it will not be the same as what we experienced this week. thank goodness for that. back to you. maria: it's incredible that things are getting so much warmer in the next few days. >> absolutely. maria: janice, thanks. janice dean in the weather center. one diamond making history, lauren simonetti got a chance to see it up close and personal. lauren: not that personal. it's the largest diamond ever mined right here in north america. and i didn't get to hold it, but i can show it to you. it's known as a 552, it's carat weight, and was discovered in october and is now on display in new york city at phillips. jim pounds, executive vice president of dominion diamond mines, described the moment he first found out about the
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coverly. >> i was completely blown away. it was the most exciting thing that happened at our mine for a long, long time. i saw the stone, a picture of the stone, rather, in vancouver where we were at a board meeting. sorry, i just got very excited and got on a plane the next day. the pictures didn't do it justice. the glow of the diamond, the yellow color. it gives it an aura. lauren: making the diamond into rough jewelry will take up to nine months and it will cost in the millions. when you cut it, what will be the final shape? >> the question is what is the perfect shape, what will bring out the wonderful, warm color in it. lauren: smaller stones will likely be cut from 552. for nose the market for an engagement ring, jim has some advice. >> if you're in love with the stone, which you should be, almost as much as in love with the stone as your partner, you should really just focus on the stone and design a ring that does that. lauren: diamonds are forever.
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>> they are. lauren: partners are not. >> well, yes, everything -- i mean, as i say, this has been around with us for 3.1 billion years. i don't think any marriage has lasted quite that long. [ laughte lauren: i wanted to touch it so badly. we couldn't for insurance reasons. that diamond was the size of this egg and we have panel participation. it's as heavy as the one pound weight on dagen's finger. the one pound of butter on your finger. >> i got the butter. >> you've got to have a strong shoulder to carry around a ring like this. maria: they will be cut into several different diamonds. dagen: it will be? lauren: there's four cutters in the world that can handle a rare yellow diamond of this size. in had a cocktail party for the diamond with security guards to try to find the right buyer and then the buyer has the opportunity to work with the cutter to find the stone.
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we were joking, if you get earrings, your head will be hurting that day. but, yeah -- >> if it's not going to auction, i guess my wife is not going to be able to get it. i was going to get it for her for valentine's day. dagen: you know how i feel about diamonds, though and men being conned into buying extremely large wings. when you get divorced, the woman keeps it and it's a huge waste of money. >> that's why you marry for love. that's why you marry for love. maria: come on. >> please just donate it to team rubicon. >> there you go. maria: good plan. >> in north america, the biggest diamond in the world is six times bigger than this, you know where that is? it's easy. maria: brazil. >> queen elizabeth, the crown. dagen: this valentine's day everybody shoul donate money tor favorite charity rather than buying something.
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maria: no chocolate? dagen: a sampler,. >> we want to talk about other manufactured holidays -- dagen: exactly. maria: oil on a run-up. u.s. crude breaks a three month losing streak. we're checking it out next month. we have a lot of earnings in the oil sector coming out. bottled anger, the fiji model made famous by the golden globes now suing the company. that story next up. ♪ i'll be your strong and steady. ♪ you be my glass of mine. ♪ i'll be your shot of whiskey. i know you want to leave me for schwab, but before you do that, you should meet our newest team member, tecky. i'm tecky. i can do it all.
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there it is right now at $53. $. it was up nearly 20% for the month. the sector is in focus this morning. joining us now is steven shork. good to see you this morning. what a month for oil. what are you expectations for these earnings? >> earnings should be pretty solid, especially on the refining side of the business, maria. what we saw of course with the decline in oil prices, crude oil prices in the fourth quarter, if you think about it, if demand is strong for gasoline fuel, if you're putting cheaper crude oil into your tea kettle and taking out that product, your margins are going to be very solid. you're going to see very strong earnings on the refining side of the ledger. the production side of the ledger for the integrated oil companies will be challenged but they're well hedged so all in all, expecting some pretty solid earnings. but as we look forward now,
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maria, what was great in the fourth quarter is going to be challenged now in the first quarter because those gasoline and distillate margins were to refine were so great, you had maximization of those products. gasoline, all-time highs, and we have a glut of gasoline in some areas. those margins have crashed. fourth quarter earnings should be pretty solid. we'll have to look for the first quarter, they're going to be challenged especially on the refining side of the market. >> when i'm looking at my sectora allocation strategy, whn it comes to the energy space, where should i allocate my capital? should i be looking at oil services? should i look at integrated? how should i allocate? >> you want to look at always, and my mantra is on the levi strauss method. so you want to look out to your point the services, the
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companies that are surviving, not necessarily taking major risks. you also want to look at and keep in mind with natural gas, because that is a market that is still and will remain in flux for quite some time because we still have gluts in certain market areas and the money to be made is the transportation of those products out of the supply areas, especially western pennsylvania, eastern ohio, northern west virginia for the marcellus, utica shale and the infrastructure to get that gas from where it is to where it needs to be, that is to say the demand market areas. maria: what's your outlook for prices after this run? do you think that this demand/supply situation keeps up and keeps prices where they are above 50. >> prices will be challenged for the remainder of the quarter because we're at a point now where crude oil demand is weak and it's going to remain weak going into the end of the quarter, because we're going into the refinery, the turnaround season or the
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maintenance season. refiners are buying considerably fewer barrels than they were just a few weeks ago. that's going to remain weak. so demand for crude oil is going to remain weak going into the end of the quarter. and of course with gasoline he demand will remain weak, snow and ice on the road, that's a detriment to motorist demand and with distill fuel. oil above 5 # of dollars 5 -- ai could see it going to the high 40s in the nearby future. it's going to be short-lived. once we get to the second quarter, demand begins to pick up. you'll see -- if we get below 50, you'll see a quick retracement back above 50. i think going forward looking ahead into the summer i think oil above $65, that's going to be challenged unless of course russia succeeds in taking its prescribed amount of oil off of the market going into the second
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quarter. of course that he remains to be seen. >> the last question, you give your outlook for oil, how is that going to impact the saudi aramco ipo. are we going to see that happen? you saw them come out talk about having an ipo by 2020. i look at oil prices, seems like that can never even happen. >> i'm really quite -- i'm doubtful. it has to happen sooner rather than later. the inelasticity of demand for oil are beginning to soften and they're only going to get softer as we put more hybrids, more electricity, so forth and we continue to steal market he demand with these substitutes away from oil. so if the saudis don't act now and if 2020 is their deadline, it's going to be really hard to see. if they don't pull the trigger in the foreseeable future, i don't see that occurring. maria: it's great to get your insights. thanks so much. steven shork joining us on oil. we'll bring you the numbers in terms of the earnings from exxon and chevron when they come out. in hot water, the viral fiji
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water girl from the golden globes bringing a lawsuit against the company now. we'll tell you why. the super bowl finally here, two days away. tom brady revealing his plans for after the big game. joe theismann and man of the year nominee cameron hayward all here on deck. back in a minute. ♪ you must not know about me. ♪ you must not know about me. ♪ i could have another you in a minute. ♪ as a matter of fact, he'll be here in a minute. right, kids? -kids? -papa, papa! -[ laughs ] -you didn't tell me your friends were coming. -oh, yeah. -this one is tiny like a child. -yeah, she is. oh, but seriously, it's good to be surrounded by what matters most -- a home and auto bundle from progressive. -oh, sweetie, please, play for us. -oh, no, i couldn't. -please. -okay. [ singing in spanish ]
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special jobs in america coverage later this morning, it kicks off in 30 minutes where we identify where the jobs are today. also the busiest week for earnings this week. big names this morning, honeywell and merck out with better than expected earnings this morning. take a look at the stock, honeywell up 1 1/3%. exxon mobil and chevron coming out in a bit. as soon as the numbers are out we'll tell you about it. markets are mixed. the dow industrials up 11 points right here, the s&p 500 down 2.5 and the nasdaq down 31. this after the markets finished mostly higher yesterday. the dow was down fractionally. the s&p was up 23, the nasdaq clocking in a gain of almost 100 points, up 1 1/3%. in europe this morning, markets look like this. as you see, the fq100 is up 10 points, the cac is down 1 point and the dax index down 22. asian markets overnight were mixed. best performer was china, shanghai come i composite up.
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corey booker is showing his hat into the presidential ring. he announced on his twitter this morning that he will run for president in 2020. plus this, bottled anger, why the fiji water girl from the golden globes is suing the company. we'll tell you why. it's countdown time to the super bowl. we're live in atlanta with the legendary quarterback joe theismann and cameron hayward coming up right here. first, our top story this half hour, border wall showdown. president trump saying he's prepared to move ahead without congress to build the wall on the southern border. the deadline to make a deal, just two weeks away. potential 2020 hopeful howard schultz weighing in on the border battle this week. >> i think border security is a significant issue, especially for a state like arizona. but we have the world's greatest, most innovative tech companies in america. if i sat down with them and i know most of them, and i said
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let's create the most creative innovative plan, leveraging technology to do everything we can to prevent bad people from coming across the border, we could do that. america was not based on building walls. america was based on building bridges. maria: joining me right now to talk about that, texas congressman and house financial services committee member, roger williams. thanks for joining us. >> good morning. maria: what do you makes of the statement, can it be done with just technology? >> i mean, i think it's right, it's in the long-term, but for heaven's sake we've got a crisis on the border now. we've got to react. i've been a supporter of technology. i've been a supporter of making the ports of entry bigger and more available. but also boots on the ground are important. i support president trump and what he's trying to do. we have to stop what's happening down there right now and long-term technology is probably the answer. maria: because there are areas where it's much more dense than other areas, right. so you've got a lot of people in one place, like the border wall
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in nancy pelosi's state, separating tijuana from san diego. we've got 3 million people on one side of the wall, another 3 million people on the other side of the wall. that's a dense area where i can understand the wall works. are there other areas where the wall is needed like that or do you think what howard schultz is saying, that it's just technology is valid? >> well, i mean, technology is certainly valid. but you have to come down here and see what we have. maria: so you need both? >> what you see in california, yeah, boots on the ground, i believe is the biggest answer of all. if we could put 5,000 more border patrol on the border, i think that would go a long way. but there's going to be some cases for a wall. we know it's going to run into a court case, domain issues, boots on the ground technology will certainly work. technology is out in the future. we need to do something right now and i support president trump and what he's trying to do and we need to get it done. maria: you're saying you do
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support the wall then? >> well, i support a wall or virtual wall, whatever you want to call it. there is a portion that we can put brick and mortar in. but i get back to boots on the ground. i get back to technology. we all talk about it. we have to act now because the crisis is so eminent and evident. we have to do something. i think the quickest way is to put more border patrol on the border. maria: the two sides are digging in. the address we know is on. president trump will deliver the state of the union address this tuesday, february 5th. it was delayed because of the shut down and because nancy pelosi did not invite him to the house chamber. the president says his speech will stress the importance of unity, congressman. is there any that you can he see? >> no, there's no unity. we're so divided right now politically and washington certainly on this, when the other side it's not a crisis, you merely have to watch the news and of course in california
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where speaker pelosi is from they do have a wall as you indicated. real problems in tijuana. so we have to address it now and i would say the president, i would say let's focus -- let's begin to talk about the wall but i would put more boots on the ground right now, more border patrol. we've got fort hood in my district. we've got a lot of military folks that are coming out that would be perfect to put in that particular situation and let's address it now because it is that serious. maria: is there any indication that the democrats, your colleagues on the left, are going to commit money to put boots on the ground as you say it? >> well, there's some that have talked about it and of course we've got the committees negotiating right now. i don't know what's going to come out of that. let's begin to do that and let's start -- see where we need to put walls, see where we need to put barriers, see where we need to improve what's down there right now but begin to get something done that i think the other side would agree to. maria: if the president does
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say this is a national emergency and goes forth and builds the wall, will it get -- at the end of the day, will it get caught up in the courts and will he end up not getting the money for the wall anyway? >> i think it would get caught up in the courts because you're talking about property so i think it would. but i think we need to focus and prepare for that but it gets back to what i just got through saying. boots on the ground, whatever technology that we need that we can create, the ports of entry need to probably -- we could make those bigger, improve those. we've got a lot of issues like the drug bust the other day coming actually through the ports, not between the ports. so it's something we've got to get on and i believe the democrats would agree to more boots on the ground. why not? and then begin to move forward on the wall issue and see where it goes. maria: all right. we will see where the common ground is over the next two weeks, congressman, good to see you this morning. thanks he very much. roger williams joining us. it's been a big week for "mornings with maria" certainly and jp morgan called this week the most important week of the
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first quarter for markets. in case you missed it, here's some highlights. >> president wants fair trade with china. it's got to be reciprocal. right now, china has free access into our markets and we have limited access to theirs. so the critical issues that we've talked about is market access, making sure there aren't forced joint ventures, not forced transfer of technology, and that we have a mechanism that when we reach an agreement that we can monitor this agreement and that they'll live up to it. maria: cbo says $3 billion is lost, never coming back. your reaction? >> with respect once again, we disagree with the cbo. i don't think we're going to lose anything. this is completely tec complete. none of the incentives have been changed by this. >> the fundamentals, the u.s. is going to do well. we'll have a relatively strong labor report. china and europe where we're going to get data is going to
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continue to -- they're going to continue to struggle. the fed will not raise interest rates. i think will reiterate patience and most importantly will say both the pace and destination of balance sheet reductions. >> the democrats have voted for a wall before but now that the president brings forward what the experts want, they say no. that is what's so confusing to me. >> there are places where we should be spending money to improve border security. all of those are on the table. is there a solution? absolutely. >> this is an emergency. this is a crisis at the southern border. it's time that congress get together and finally get this done. >> nancy pelosi hates this president more than she takes her responsibility to protect this country and give the border agents what they need. >> not only have government workers who will get back pay but you have the government contractors who won't get back pay unless something is done. that was a devastating effect on them. >> vice president biden has a slight lead although he hasn't really decided whether he's going to run. >> i think the democrats are beginning to come out of the
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gate here. >> the business model for companies like facebook and google are essentially business models that rely on selling all of our data for their profit, with one way or another. >> what's happened in wisconsin, why is this decision made. scott walker lost. the guy that won in wisconsin was bashing the deal from the beginning. now you have an unfriendly government in wisconsin who doesn't want fox con there. >> one of the challenges is, there can't be a communication strategy. the communication strategy comes from the president's twitter feed. supreme compeople come up to mes you're friends with the president, tell him to stop tweeting so much. that's like telling him to stop breathing. maria: how about the rally? >> hate the weather, love the rally. >> good morning. it is very cold here. it was supposed to be about zero degrees today. forecasted to be at one point.
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however, it's not. a kim minutes ago it got -- couple minutes ago it got colder, it's negative 30 degrees. >> wikpedia said your first major league start you had a no-hitter into the seventh inning and you got pulled out. >> thanks for bringing that back up. maria: it's throwback thursday on the "mornings with maria" set. here's me from circa 1985. i was working in a photo lab. [ laughter ] maria: i don't know that i was thinking about what stock to buy. i don't know that i was thinking about being a journalist. as someone in witness protection, i can't tell you anything about myself. but believe me... i'm not your average consumer. that's why i switched to liberty mutual. they customized my car insurance, so i only pay for what i need. and as a man... uh... or a woman... with very specific needs that i can't tell you about- say cheese. mr. landry? oh no. hi mr. landry! liberty mutual customizes your car insurance so you only pay for what you need.
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maria: welcome back. the rollback of net neutrality rules by the trump administration facing a challenge. lauren: the federal communications commission goes before a court to defend the appeal of the net neutrality rules. several consumer groups, internet companies and democratic led states oppose the deregulation. under net neutrality, high speed internet providers can't block or slow down internet traffic or charge fees for faster access. the fiji water model that went viral when she was photo bombing celebrities at the golden globes, she's now suing the company she helped to promote. she claims fiji used a cardboard cutout of her after her new-found fame when they didn't have permission to use it. fiji says the lawsuit does not have merit. there will be super tight
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security at the super bowl on sunday. fighter jets will patrol the skies above mercedes-benz stadium, enforcing a 30-mile restricted zone, part of a security operation involving police and other officials. tom brady is thinking about life after his football career showing off his acting skills on the late show with stephen colbert. >> after football i'm going to play baseball and after baseball i'm going to play hamlet. [ laughter ] alas poor york, i knew im new ht excellent fancy. lauren: he played in his ninth -- he plac plays in his ninth sr bowl on sunday, 41 years old. maria: incredible. they've gone to the super bowl four times, four of the the last five years, the patriots. i know dagen has something to
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say about that. dagen: you know what? tom brady is where he is because of hard work and discipline and talent of course, natural talent. so this is the one moment in my life i will not throw shade at tom brady. maria: okay. >> he doesn't even need night shades. remember that story? tomatoes -- he doesn't eat tomatoes because it increases inflammation. that's how committed he is. >> he worked hard and he's earned everything. maria: i like that, hard work. >> exactly. listen, we can -- i criticized him and just because he's so good, right, i mean, you love to hate tom brady. he's lost more super bowls than the majority of nfl teams have ever played. maria: so who is your super bowl pick then? patriots? >> it's hard to bet against tom brady and belichick. i'm going to go for the hometown rams. maria: you're going for the under-dogs. >> jared goff. dagen: you can't live in and
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around los angeles and root for the patriots. >> exactly. my personal security i've got to worry about. dagen: exactly. maria: the big game is this weekend. cheryl casone is going to join us live from atlanta with super bowl winning quarterback joe theismann coming up next. she's there and we're going to take you there. stay with us. cheryl: all right, joe, show me what's going on. >> move your hands. perfect, exactly. just take it back, there you go. it will spin a little bit more when we get it. you want to hold john t onto ite that. cheryl: thank you, joe. coming you up, on "mornings with maria." ♪ i want the whole world to snow. ♪ i want you back and i won't have it any other way. t♪ er to home. edward jones grew to a trillion dollars in assets under care,
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maria: welcome back. count down to super bowl liii is on. cheryl casone is in atlanta with legendary super bowl winning quarterback joe theismann and defensive end and cameron hayward. cheryl, take it a. cheryl: good morning, maria. i'm with a couple of great guys and the legendary redskins quarterback, 12 years, quarterback joe theismann. it's great to see you, sir. >> great to see you too. cheryl: let's talk a little bif business here. you love tradings stocks, you love the markets, you love equities, how's the market been treating you? >> it's been treating everybody very well. i think everything in tech which atheequities markets have starto settle down. this is earnings season. we're excited to see what's coming out. i've decided to get involved in
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the cannabis area, the medicinal market. it's very beneficial on a social basis. i want to find things that benefit society and that's really what cam has done from his involvement with research. of course i knew you bad. boy, does he look like -- holy y makarel. cheryl: you were drafted in 2011. you're still there. you were nominated for man of the year, huge accolades come just being nominated for this. what does that mean for you? >> it's an honor, being next to joe theismann who has already won it. i see the history that's a part of it. but it shines a light on all the good that's done in the community. i think we have 32 nominees. one guy from each team. there are countless other guys
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doing work too. nationwide is a heck of a partner as well. they've got the jingle, nationwide is on your side -- >> there's some guy that does that too. >> he's pretty good. >> a manning kind of guy that does that who really can't sing to be honest with you. it's all you, that's all i can tell you. nationwide does a fabulous job. >> they partner with companies like children's hospital and red cross and working with my foundation that works with under-privileged kids and cancer. i'm truly blessed to be part of such a great team. cheryl: let's talk about the game on sunday. i've got two people that i'm dying to ask for, i'm going to ask about predictions. this is tom brady's ninth super bowl coming up. >> just his ninth. cheryl: wha whatever, tom bra. >> he's been in the league 11 years, he's been in nine super bowls. >> i'm getting to 11 sl what do. cheryl: what do you think about the game? rams? is it the younger guys' turn.
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>> tom will never be passed his prime. i think he can go a kim more years -- couple more years. he's 41 now. i'm looking at 43 probably when he's going to be done, if he decides to do it then. you've got experience with coach belichick and tom versus the youth, with jerry goff. you've got contrast of experience versus inexperience and to be honest with you, i've played in both situations. in '82 when we came to the super bowl we had no idea what was going on. when you don't know something to be a frayed of, you can't be afraid of it. that's what the rams are. everything is out there. we've never been you through this. let's enjoy it. cheryl: what do you sunshine. >> i think like you said, the experience is inexperience. everybody has to play until somebody gets hit. we'll he see what happens. i know the rams have a good defensive front. but i'd like the patriots -- i like the patriots' offensive front. they set the tempo with the offensive line and how they run thball.
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it keeps tom in a rhythm and keeps everybody going. cheryl: i'm going to step aside. joe, i think you should throw the ball to cam. this is what i've been wanting to see all morning, maria. >> i like the rams but i don't know. >> i like new england. cheryl: you ready? you got it, cam, this is all you. nice. all right. >> i put it away. >> did somebody move me? cheryl: this is why i called in the professionals. the pros. thank you so much for being with us this morning. great to have you both. always a pleasure. maria, back to you in new york. maria: great stuff, cheryl. thanks so much. cheryl casone, joe theismann and cameron hayward and our panelist, jake wood, great to have you. >> kudos to cam hayward. he might be a great guy off the field but he's a bad, bad man on thefielthefield. [ laughter ] maria: bad in a good way. >.dagen: you were all good, my
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maria: welcome back. good friday morning. thanks for joining us. i'm maria bartiromo. happy jobs friday! your top stories right now 8:00 a.m. on the east coast, we are 30 minutes away from jobs' report for the month of january, the expectation calls for 165,000 jobs, and to the economy for the month, unemployment rate steady 3 poiptd 9% looking at what it means for economy your jobs, and opportunities, plus the fallout from the government shutdown, earnings certainly in focus amazon merck on the move take a look am amazon down 4 1/2% spending more in the company one with of the issues higher spend waiting on results from chevron
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exxonmobil, as you can see, stocks up, better than 1%, a ahead of earnings futures we are expecting a decline start of trading dow industrials down 17 right now s&p 500 down 6, nasdaq down 43 points that is two-thirds of a percent, this after strong start to the year on wall street, the dow and s&p 500, posted their biggest january gains in 30 years dow industrials best performance since 1989 s&p 500 benevolent performance since 1987, global markets this morning like this european indices are mixed ft 100 up 7 the cac quarante in paris down nine dax in germany down 32, in asia overnight mixed there as well best perform china shanghai composite up 1 1/3% 2020 democratic presidential field more crowded, this morning, senator cory booker making his run official, we have the details. all those coming up and joining me to break it down fox business network dagen
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mcdowell, kevin kelley makeing money with charles payne host charles payne good to ske see. >> you good morning. i'm all pumped up. >> joe theismann on talking about -- investing in candidate one of the benchmark sedan accord cannabis warehouse up 52% january. >> one point up 70%, and canopy up 80% pretty good month. >> what is ipo in '18 like gang busters. >> right. >> cannabis company. >> on my show the stock was mind-boggling come down so much, a one year chart on that bad boy you can see, the optimism, and cautionary tell a into one. >> this is not just optimism
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it is a pain relief midterm directly related to football. >> sports in terms of getting people opioids. >> 71.9 billion dollars the revenue versus estimate 77.2 billion but earnings look better than expected 1.41 versus estimate 1.08 exxonmobil up this morning two and a third percent. >> it is -- it is -- just to watch oil oil trading range could be on a cusp of breakout a big beneficiary if we get trade bill resolved, china had really bad factor numbers there was one component of it that was good, the net export orders above 50 so that is expansion, also business confidence over there has soared, near 8-month high, so
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a lot of anticipation on both sides, you know, in china and in america, that have if a deal done could see equities not only well but commodities. >> one important thing to take away better guidance capital intensive business note worried about rising interest rates i think that is important to know because it is a heavily capital, as rate can impact them better guidance. >> revenues there was a phenomenon i don't think we talk about impact of dollar multinationals, a major, major back if you ask ceos they pointing to this number one more than tariffs more than wages more so than nickels last three quarters very strong dollar coming down a little bit that could o be tail windy. >> jobs january jobs' report out less than 30 minutes the expectations, 165,000 jobs
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expected to have been ad to do economy in joan unemployment rate expected to hold steady, 3.9% joining us to talk about that stephanie pomboy great to see you what are you expecting from jobs. >> i mean -- [laughter] -- >> all right. let's get -- >> -- tradinged are you good morning and doom. >> make my easiest short term caveat idea bls can protect monthly changes to nearest thousand is a fantasy never more than january economy normally sheds 2 1/2 million jobs the seasonal, noise we normally deal with. >> after a big holiday. >> exactly. >> cutting jobs in january, okay. >> add something like 500,000 normally in december those jobs plus -- come out in
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january, on top of -- it will shows so that is seasonal noise that bls is working with, on top of that you have government shutdown while won't affect directly the federal workers who still count as employed contractors show up there, so it is a very noisy number in general particularly this year my long-term caveat would be same thing i say every time that is that number one import into moiment growth is profit growth, not level growth. so the fact that we are going from 24 busier growth last year to 6%, sets us up for a material slowdown in growth and employment. >> the word growth you are using growth. >> i am saying growth. >> i am not saying zero i am saying we're going to grow -- >> some job growth. >> right, forward pace. >> stephanie is talking about -- >> go ahead. >>. dagen: the quarter that profits are up 18%, so far
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about half of the s&p 500. >> first quarter. dagen: yes before reports this morning but 18.2% s&p 500 earnings growth the expectations were going into the quarter just, 4 1/2% the growth is better than expected. >> tend to beat earlier in the season and then bring those numbers lower as more people report. i don't know, i feel -- >> down so you saw a lot of companies manage expectations in earnings guidance, previously, because the whole trade war narrative has been playing out almost a half year now, so you saw some management expectations, but i think what my bigs question to you what do you think about the new orders index still in expansionary mode data is one of the best indicators of earnings guidance going forward because actually reinvesting in their capital expenditures. >> i think you there are cross
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currents here, the numbers that you are referring to, are sort of stale, obviously we haven't seen a lot of current data. and what we have seen on ceo confidence front a sharp drop-off across a variety of surveys conference board new york business leaders index. >> -- most business leaders expect the economy to slow down. >> so that is directly impacts obviously hiring and capital spending plans, this is going to sound wild but you know -- in terms of of the government shutdown, and the confidence effect that had on corporate sector look at history of shutdowns every one referred to 1995 because that was second largest shutdown the thirds longest one was under jimmy carter end of 1978, he had actually jimmie carter had five shutdowns in four yiez,
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real political gridlock there, capital spending slowed from 34% growth here to zero. over the next 18 months so it had a huge impact because there was so much gridlock in washington ceos --. >> the economic backdrop in 70s horrific. >> different environment today. >> exactly i am so he over the shuttled government shuttled again in two weeks i don't know what america is going to say to both sides, it is crazy. the u.s.-china trade talks a big story president sounding optimistic in meeting with china vice première blake burman at the white house with that very latest good to you. reporter: good afternooning to you talks is between united states china described as quote very intense president and trade team feel significant progress was made. two days of senior level negotiations culminating with this overly office meeting including the president, and
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china's advice première the top negotiate revealing country would begin buying five million metric tons a day of soybeans. >> started on a smaller scale today starting very big, and very much appreciate that are, and on behalf agricultural industry on behalf he farmers frankly we appreciate it very much. >> a very big order. >> u.s. is seeking deeper structural changes from china including being able to protect intellectual property, and stopping the forced transfer of technology. robert lighthizer the president positioning top trade negotiate also stressing the neither to be able to enforce any sort of deal. >> we focused on the most important issues which are the structural issues that is protecting u.s. intellectual property -- stopping forced technology transfer protection, agriculture on
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services issues, and enforcement, enforcement, enforcement. . reporter: lighthizer treasury secretary mnuchin heading to china for more negotiations some point later this men and women the president also suggesting that he will have not only just one built potentially maybe two meetings with president xi jinping of china in near future as well maria u.s. side also stressed that the march 1 deadline is a firm one if there is no deal by then, four weeks from now tariff levels they say will be going up. maria: 25%, blake burman white house, coming up next eyeing the white house, democratic senator cory booker announcing today the launch of presidential campaign, what is in-store for 2020 looking at field. >> 20 minutes away from january jobs' report, breaking down everything you need to know right here back in a moment. ♪ people tell me all the time i have the craziest job,
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maria: welcome back senator cory booker announces 2020 presidential campaign this morning, lauren simonetti with details. lauren: sure did the new jersey ghademocratic declaring bid for white house night is not matter of can we it is a matter of do we have collective bill american will i believe we do together we will channel our common pain back into our common purpose together america, we will rise. >> i am cory booker running for president of the united states of america. >> 49 years old will be animal to run for second senate term running for president next year thanks to a law that new jersey governor signed, in november. . president trump house speaker nancy pelosi refusing to budget on the border wall the president telling the "new
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york times," the current negotiations are in this a quote a waste of time, he can adds that pelosi is doing the country a disservice but house speaker is maintaining her hard line. >> if you go to tijuana we take down thatwall you will have so many people coming into our country that nancy pelosi will be begging for a wall she will be begging for a wall she will say mr. president, please, please give us a wall. >> there is not going to be any wall money in the legislation. >> just playing gaming games no wall doesn't work we're building the wall right now. ♪ lauren: howard schultz poovz a border wall testing waters for presidential run as independently gave thoughts on the event in seattle last night. >> let's kri creative notice
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of plan nor technology to do everything we can to prevent bad people from coming across the border we need to do that america was not based on buildingwalls america is based only building bridges. >> pentagon says it is spending 3500 more troops to u.s. southern border with mexico to assist withs border security you are murders. >> january jobs' report what you need to know ahead of the release out in 10 minutes' time back in a moment. [ doorbell rings ] janice, mom told me you bought a house. okay. [ buttons clicking ] [ camera shutter clicks ] so, now that you have a house, you can use homequote explorer. quiet. i'm blasting my quads. janice, look. i'm in a meeting. -janice, look. -[ chuckles ]
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out in a few minutes 65,000 jobsed in january unemployment rate 3.9% joining us all hands-on deck "the wall street journal" global economics editor jon hilsenrath here, johnny courtney with senior vice president head of traditional investments group lisa ericsson thank you for joining the conversation joining me kick off with you you see lots of white collar blue collar opportunities where would you expect the jobs to be in this in this report? >> maria i think we are going to he sig breath in health care, because that is probably the strongest sector right
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now, but i also expect manufacturing and construction professional business service to do well there is a strong demand right now 9h manufacturing operational even starting to see digital talent in manufacturing, sector, so lots happening, should be a decent report. >> decent report focused on wages something you have been looking at a long time dagen. dagen: absolutely 3.2% year-over-year growth average hourly earnings what we are looking at finally getting above that 3% mark wages growing, at the fastest pace since beginning of this recovery back in 2009, this will show, if it you remains at strong as it has been wage growth, that jobs are easy to find that employers willing to pay for workers a positive sign, now that federal reserve backed off maybe we don't need to worry about it we can just cheer that wage growth. >> jon hilsenrath quick anything else you want to focus on in this report.
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>> i think the unemployment number you mentioned, there is a chance that that goes a little bit higher based on survey households when government was surveying government employees some might have said they were out of work, so there is a risk that goes a little higher but probably back down next month. maria: january jobs reported right after this break, stay with us. carl, i appreciate the invite here. as my broker... what am i paying you to manage my money? it's racquetball time. ♪ carl, does your firm offer a satisfaction guarantee? like schwab does. guarantee? ♪ carl, can you remind me what you've invested my money in. it's complicated. are you asking enough questions about how your wealth is being managed? if not, talk to schwab. a modern approach to wealth management.
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maria: welcome back. good friday morning jobs friday everybody february 1 moments away from january jobs' report. the expectations call for 165,000 jobs, added to economy month of january, the announcement rated steady at 3.9%, take a look at futures ahead of the report we are right now looking at declines dow industrials down 10 points s&p 500 down 5 and three quarters nasdaq down 44 points asian markets european markets mixed europe ft 00 up 16 cac
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quarante in paris down two dax in germany down 10, asian markets mixed, with best performer in china shanghai composite up one and a third percent a minute and half away from number here, lisa jump in here what is your most important metric that gives you a sense of where we are in the economy you for this report coming up. >> real focusing on wage numbers today, i think with the repeated developments from fed where tilting more dovish again being able to see that that wage growth continue but at more moderate pace really going to be key for them continuing on their trajectory. >> you know interesting because one point, you want to look at the federal reserve on hold as a positive for the markets then on the other side of it, is that a lowdown. >> i think interesting fed put itself in a box, where, about they are basically so dovishly position that had any positive surprise in this report, be it wages or headlined number going to raise the question,
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do they have first clue what is going on with the economy. maria: wiggle room not a lot. >> washington, at labor department, and has the number on the january jobs' report, he has it right now he had warted over to you. reporter: -- >> 304,000 jobs created in the month of january, 296,000 private sector, 8,000 in public sector, the unemployment rate ticked up to 4% that is really where the furloughed workers come into this the number of unemployed kicked up 175,000 reporting as temporarily laid off. now the revisions november arrived up to 196,000, december arrived down by 90,000 jobs, from 312,000 to 222,000, that is a largers revision since november 2014 net down, u6, long term
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unemployment little changed average hourly wage ticked up . % for the month 3.2% last 12 months up 34.2% as i said, labor force portion 63.2%, unchanged also is average hourly workweek, unsupervisory average wages little changed the white unemployment rate 2 poi. 2.3.5, black unemployment rate 6.8% hispanic rows to 4.9 yairp unemployment rate dropped to 3.1% health care created 42000 jobs, 74,000 jobs created in pleaseure hospitality manufacturing up 13,000 jobs that puts manufacturing, at 261,000 jobs created over the past 12 months, mining up 7,000 retail up 21,000 general merchandise lost 12,000 jobs, the construction up 52,000 jobs in
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this the number of people part time jumped to 490,000 part time employment, up to 5. million private sector all of it could be due to may reflect the partial government shutdown if back pay law had not been signed by president impact of the government shuttled would have affected more in terms of establishment survey, but, again, 304,000 jobs created unemployment rate ticking up to 4% back to you. maria: great numbers there wow i am feeling a little goldlocksy 304,000 in january unemployment up jon hilsenrath predicted before numbers to 4%, look at hourly wages, not much dagen up one-tenth of a percent 3.2% higher year-over-year. dagen: wage growth north of 3% four months in a row charles payne we have not in a decade great news here is one thing to look at stephanie
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raised this top of the hour did the government shuts translate to a broader malaise among employers in this country the answer is a resounding no. and i will tell you why, private sector job growth was close to 300,000 jobs added last monthp 296,000, average last year, was a little under 214,000, the private intrz out hiring a faster pace than they did on average last year, is a signal that the shutdown did not impact their hiring decision, that is big news. maria: charles payne. >> i got to tell you collaborates everything i am saying in earnings reports america is by far strongest economy in the world i can't wait to a dig deeper one thing i love with wages i mentioned earlier not supervisory wages have been growing faster than supervisory pages first since
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2014 he believe it will or not talk about getting workers eshzup walmart announced hiring truck drivers 90,000 dollars coming into work whole foods, warehouse job these are magnificent numbers when you see general merchandise going down one of the lowest paying jobs to much higher paying jobs warehouse jobs phenomenal stuff. >> where is the fed in all this fed completely -- >> the fed. >> the fed say i don't like someone is -- finally getting a ray of. >> no fed won't end it because private payrolls doing well the economy is doing well, but fed should do is actually worry about inflation because we actually have seen. >> employment. >> probably knows debate gone on a long time something that feet more natural, not engineered but i think a huge mistake if they tried to hurp
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it jon jump in here. >> dagen hit key number in here 2696,000 -- 296,000, a lot of uncertainty 6 to 8 weeks about what is going on with global economy slowing down u.s. feeling the effects of china and germany getting hit stock market he sell-off today resounding report, resounding signal that at a domestic economy u.s. economy is still going really strong, i wouldn't be at all surprised if we see this private forecasters come out start raising gdp numbers for the first quarter, you know, that private sector payroll increase was surprise to me, really strong number it will shows u.s. economy still going strong. >> mnuchin treasury secretary said on track for 3% growth 208 we will see about that no nobody believes -- they are right i think be doing a lot of patting of the back of
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their own backs because a lot of people think they are wrong on that, today's number comes out on their side. >> lisa thoughts. >> yeah this is a really nice report, we got exactly what the economy and markets needed in terms of indications of where we are headed. as jon mentioned the concerning going into this that global economy slowing down u.s. metrics in zone of okay, really were showing signs of deceleration as well, so what you are seeing is in a that that consumer part of the economy is continues to be buoyed nice payroll numbers private sector on the ohr hand wage growth at moderate levels, wages are continuing to grow up we got that zero -- -- he -- 0.1 month over minia nice backdrop for fed to be able to stay on a dove iraq pivot. >> look at list of -- dovish before iot.
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>> reretail 28,000 service providing jobs 224,000, you talk a lot about health care, and there troo we saw jobs tell us where you identified where jobs are the highest paying jobs. >> maria if you look at the numbers, you know there are 6.9 million open jobs in the united states. and a lot less unemployed people so first of all, do i think we are going to continue to see this jobs growth happen for a number of months like i am pretty optimistic that we are going to continue to see big numbers continue to see wage gains, some of the hottest jobs in in an higher sector a lot of data scientists research neatlies software developers programers, again, health care is so strong nurse practitioners. personal home maids there are so many tunltsopportunities the have to say lot of blue collar
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jobs we see that at by, manufacturing, manufacturing logistics truck drivers charles spoke about walmart raising prices we have seen where our clients are definitely having to raise wages to stay competitive those jobs in did he manned pay very well good report i am surprised we didn't see a little bit more movement in the wage number. but i think we are going to continue to see some strong growth you know throughout 2019. >> interesting reaction from markets here, the dow industrials, certainly picked up speed up 71 we are at high of the morning right here, on heels of jobs numbers, but nasdaq, under pressure, of course amazon is under pressure this morning that is one issue, kristina partsinevelos with market reaction good morning. >> good morning, chatting with guys here if anything hoping the report was going to
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continue as is, status quo we're going to add jobs to the environment, unemployment rate like jon alluded to on your show wasn't going to pick up much due to shutdown the case right now fact we did add more jobs, nonfarm payrolls you are seeing that increase you really are not seeing much reaction in the vix maybe we can bring that up show you the volatility, in the market this is seen, as really not even -- 16.39 so we are talking about that before i went life, that if anything, if you will are want to worry about concern you would see a huge jump there so overall seems everybody relatively positive however, concerned about possible revisions, talking about china still being a major factor and just by guys around me right now, that have seen this report but as you can see, up dow 74 points s&p 3 1/2 still satisfied with this mort. >> thanks very much not everybody is satisfied he stephanie pomboy you've got real concerns about economic
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backdrop. >> i think the number itself is fine but that is the problem, you know we've seen a backpedaling by fed almost unprecedented portion the end he of october the debate among the fed officials whether going to raise two or three times, this year. and within span of six weeks they have gone from not only taking all the rate hikes off table but discussing pausing the quantitative tightening a phenomenal whiplash now this number look like keystone cops are they going to move after market dips after payroll employment i think fed to the extent they had remnants of credibility going into this, start to look really ridiculous we start to shake confidence that these guys have any greater gift of insight into the economic backdrop than your average person. >> i want to ask jon hilsenrath this jon hilsenrath said before, during the last
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jobs' report. . jon said the fed is going to take a wait-and-see approach go pep months before fed meeting obviously go for a preponderance months wait until march see what economy looks like did market misread what fed was saying jon that suddenly iffo done 1830 not raising interest rates reconsidering the balance she reduction or a wait-and-see approach still. >> they are taking a wait-and-see approach i think they sold that a lot harder at this meeting than they did in the december meeting i think they have had a hard time communicating to the public where they stand. if we start seeing a follow-through on the inflation numbers that is really what jay powell has said, because we've got a great job market, you know, not going to move just that they want follow-through on inflation. they might have to come back and do rate increases if he they see inflation numbers so they sold so hard at this last
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meeting that in a pause and wait-and-see mode they do look a little off right now do look a keystone cops. >> u.s.-china in same place europe a mess you've got brexit uncertainty you've got france uncertainty germany numbers not great in terms of the pmi's, and china slowing down so that is you all still happening. of them kevin kelly quick before to stewart. >> we should not be surprised by this because adp number private pay patrols 213 thousand medium sized businesses biggest payers manufacturing space strongest growth in four years where jobs are. >> stuart varney stu good morning to i. >> i am glad you mentioned what is happening overseas news from germany not good most europe parse on verge of recession japan is hardly robust despite all of that, the global slowdown, we still come through as the shining
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economy gain 304,000 new jobs last month i've got to characterize is that spectacular stellar performances what happened to analysts when they call for what 175,000 ensue jobs. >> wrong 40, 60% in that is rileds! this is a strong report wages up 3.2% very solid what is wrong with this report, show me a negative can you. >> no, i think a very good report, you know january is somewhat confusing, you called it noise earlier stephanie we will see about revisions by all accounts stuart a very good report. >> america's economy is a standout economy in the world. >> yes. >> period. >> absolutely a lot more you are talking about larry kudlow on your practice many. >> yes, larry kudlow, first hour thank you. >> we will be there see you on top of the hour after "mornings with maria" you wanted to jump in schaerls.
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>> people looking charlotte. >> people looking for -- go out, spend more inflation 101 money chasing few goods i look at visa card i think smern consumer is more disciplined than analysts give them credit for for instance master card credit use 228 billion, that was up almost 10% debit up 11% americans using debit more than credit, visa 11% versus 8% a certain sense of discipline even doing better not over skis i think traditional classes economists have to factor that in working off old supassumptions may not e sue true this time. >> there is so much talk including among us in media, about uncertainty, and uncertainty oversees he uncertainty in washington whole world looks like in flames. this is job market is actually
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demonstration of what a model of consistence the united states is throwing around numbers i want to throw out a number 100 the 00th straight month -- 100th straight month job he increases in expansion every single month jobs are growing a lot of con siftency they hear about stock market up today down today plunge this surge that, this economy right now, is a model -- consistency more than twice as long as next longest streak more than twice as long in terms of continued employment growth we are a resilient nation whether washington coming from across the pond, it simply doesn't matter i go become to the fact that private sector job growth in the last month, was -- was in
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january was 296,000 jobs. that is way above the average -- >> take away why is this happening why do we have 100? sound fiscal policy deregulation the tax cuts who is adding jobs medium small sized businesses why -- >> jon hilsenrath thank you for joining the conversation great to see you great insights as also a, ep stoeven as he investor what do you want to do here sell into market up 60 appointing on dow. >> i do i think that my explanation for why we've got 100 months look at fed balance sheet from 800 billion to 4.4 trillion that did not happen without massive effect on the economy. and their unwinding that so far. maria: raising rates, for the 00 months. >> right. >> so at 2 massiv 1/2% fed refu.
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>> different when at zero. >> that only started last two years three years, so over the hundred months a huge period of time innocent monetary stimulus as stalling off came in with fiscal stimulus both are starting to dissipate i think this is not taking anything away from this number fabulous, the question is, is this as good as it gets? look again, the growth rate of profits which is going to drive future employment gains good reason to expect slower gains, materially slower over the course of the year. >> you can't grow earnings 20% year-over-year -- >> the always in baked into p.e. multiples we have seen stocks trade as they have in january weren't expected to have numbers. >> i think profit numbers are
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going to disappoint based on even on 6% earnings expectations this year. >> -- lower than 6% your take on something this idea of fiscal policy being stimulus for this economy in last two years how much of a runway do you think the tax cut plan deregulation out of trump administration really had is there a runway that you see, in '19 and o 20 or when we seen the best of impact stimulus on fiscal side. >> we are concerned runoff of some impact of sometime luiz tax cuts that things are going to be tougher for corporate earnings comparisons, i know going to affect what growth the corporations can produce we are overall more balanced assessment on stock market while again we see the economy as in the zone of okay, we are seeing some decelerating numbers on macroside as well as corporate profits having he
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potentially tougher road as that fiscal stimulus monetary environment more uncertain watching carefully. >> i know pockets of corporate america have not seen impact of deregulation, dagen big banks have not had the luxury of getting an impact of the deregulation only the small banks have seen dereg impaction. >> has been sector by sector, the oil and gasoline and natural gas business in this country has been helped by that. maria: yeah. >> more sector by saeshlth but, again, it is the posture of deregulation you might see more regulation two years particularly in health care sector in terms of drug pricing. >> media. >> but -- you think about the last two years, in this country, and granted yes economic expansion did start under president obama, to give him credit, of course, stephanie will say federal reserve deserves credit.
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>> starting under -- >> however you think about the rhetoric skreefk hair pulling by those who belch garbage about president trump businesses individuals when it comes to living lives decisions about businesses they run are reasoned, rationale and they are not removaled by that if backdrop is great they will invest into that, they will hire into that. so the politics, and the insanity left wing liberal lunacy going to get more in the next couple of years from people trying to win democratic nominations has not mattered, you know what ceos, executives individuals every american deserves credit for not he behaving like people in washington the people including me, sitting in front of a camera every day for
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lacing. >> at a ceo -- cfx one of the largest in america reported two weeks ago you have to read what he said, he essentially said media talking about financial media mostly keeps asking about trade bars tariffs all this stuff he says they didn't loss one iota, not one customer changed order anyone not doing well an excuse all that stuff -- >> -- >> completely impacted by trade. >> rails are so important you know this preached this, because they touch literally every aspect of this economy. >> the transportation index why we focus on it so much we want to get joanie. final thoughts. >> i just think this report tell me how strong job market truly is we see it on the front lines with our customers, are the demand for talent so strong that is not changing it is accelerating,
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charles we have talked for years the robots coming is this are jo jobs going to be -- >> they are coming. >> but what we've seen artificial intelligence, robotics virtual reality they eliminate some jobs but creating a lot more. and there is a on the of opportunities out there, the challenge is going to be, the skill set of the american worker, how do we up skil american workers to meet that demand i would protect we are going to have more jobs in the future, and that about robots are not eliminating jobs only hanelling en ainlling fast pays of innovation he o hopefully we see more. >> i agree with you there are flu jobs that will be created, i want to point out i've got, ki sunday morning they call him a.i. oracle the former president of google china "sunday morning futures" 10:00 a.m. fox news, look all of what we're seeing this
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morning, under lines what steven mnuchin told us earlier this week about growth listen to this. >> a year ago the projections were 2 1/2% we are at 3 we feel very comfortable going to hit 3 for last year we think there is still a very good case for 3% this year. maria: 3% in 2018. stephanie if we were to get 3% in 2018, does that make you any more positive about what is to come no '19? >> no. maria: the growth. >> i mean -- i wouldn't be surprised if we do 3% in 208. >> even after who are e7bdous november and december we saw. >> yeah i think this number this morning's number rein forces going forward the question getting back to markets with whole profit growth story, and comps for the stock market, the buyback phenomena has been so crucial as a support so even though we are talking about still strong growth, and profit growth and still robust.
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>>blyback situation not going away i said earlier in the show listen, cost of capital going down earns worth more see multiple expansion happening because the fed not going to raise rates. >> capital not going down if investment grade high yielded borrower cost of capital is going up. >> high yield guys, right but if you have a -- >> given all credit. >> the bottom line, earnings be honest all about the expectations game. >> yep. >> we know they are going lower thlowersing expectations stock up 10%. >> first quarter beat expectations. >> talking about remarkable signs you want to talk stay ons of how strong a rally is, oracle down 10 premarket up 10 for session sherman williams down nine up 23 bucks, made 30 dollar bounce during -- mcdonald's lower, session higher. >> astounding like weather.
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>> neither nvidia. >> some earnings punished for entire day the bottom line is this psychology what you are saying actually a positive for the stock market. >> talking about was that same day powell announced everything on hold. >> all weeklong every day. >> made remarkable intraday rallies. >> how much due to shifts in the fed expectations. >> i agree. >> that is what it is all about. >> reversed in session no news i am not talking specific day i am talking every single day this week. >> story in. >> you are an investor i i want to piggyback if you are listening to smart people you have not made a. >> i canel one of the most impressive rallies in lifetime if your 40 sitting it out since 2009 you are still waiting for the next shoe to
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drop i don't know hour you are going to get -- >> -- nobody should. >> this is advice that charles give a to he conservatives when president obama was the president, that if you bet, if you make bets and invest based on what you like the guy, in the white house, if you -- you think the world is coming to an end, because barack obama got elected president you are going to invest based on that then you are an idiot! the same goes for people who might displooik current president if you are going to invest based on dislikeing somebody because of a maga hat or their -- maria: policy, why during election i knew that things were going to turn because it wall was all about deregulation lower taxes i interviewed jamie dimon beginning of january i said evaluations the come all the way down fed a pivot growth up i wouldn't be surprised to see a rip-roaring rally the best
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january in 30 years. >> after the worst fourth quarter in since 20s whatever. >>. maria: sure. >> i remember staring at screen december 24 getting cold -- >> stephanie -- >> listen your consistent people will come on television, and people in news media will say after the market sold off, i am really cautious here not putting any money in, cautious -- optimistic -- >> i love -- >> make this one, observation. >> -- with market illness that is very dangerous for viewer. >> market analysis. >> best performing markets last year treasury and gold thank you, very much. those were things consumers -- >> recommending -- >> got hurt. >> aren't weren't as wad small cap. >> a lot better in january
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than overall market i said there ares he is defensive sectors people going into defensive positioning outperformed -- >> one thing i said christmas eve session you referenced i told every one that was a redo of black monday october 19, 1987. if you go back james baker made crazy comments the spook market other things going on was not a sign of recession, it was overdone a worst single day history of the sfotock market recession didn't come for three years so reminiscent of black monday we have turned out to, by the way, that day 1100 stocks on nasdaq made new 52 week lows -- stocks in new york stock exchange made 52 week close from 1100 to seven. >> great an al to me 1987 greenspan came on scene -- and -- >> became the maestro after the crash because he learned the markets are going to
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respond i have to err on side of dovishness green -- was he born irrational exuberance. >> the dow industrials up 66 points before the open, and s&p up you two the nasdaq lower >> so we see this as a tough spot with the economic data both here in the u.s., and also overseas, and so it's nice to see that the labor market remains strong and i think that the notch up on our scorecard. >> yeah does market stay strong by the close? a lot of volatility. >> yeah. >> i said this on fed decision day, that i think that people are still digesting what jay powell and his cohort central bank said, and i think, that uncertainty could build over that, stephanie said there's a keystone cop and they're with that same praise. with the next -- >> before we go congratulations
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america, 52,000 new construction workers, that's more important than the majority. >> kevin kelly charles payne stephanie joanny hands on deck. great day, cease the day even. thanks for joining us have a good weekend. "varney & company" begins right now. stuart take it away. >> good morning maria good morning everyone. yeah, friday february the first jobs day, here question go. blowout, spectacular, any way you slice it. 304,000 new jobs in january. the analyst again got it totally wrong. they were expecting 175,000 jobs. we've got 304. the unemployment rate tipped up to 4% that rate affected by the government shutdown. most importantly, perhaps, wages keep rising at a better than 3% rate. for a month affected by government shutdown, and the layoff of seasonal workers after a the holidays, i call this a very solid report. larry kudlow, the preside


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