tv Mornings With Maria Bartiromo FOX Business September 9, 2019 6:00am-9:00am EDT
with taliban leaders and president of afghanistan. back in session today, members of congress return to washington. we break it down, coming up. more worries for we wework, the company looking into further valuation cuts for the ipo. it may postpone it all together. we've got the latest. "mornings with maria" begins right now. ♪ ♪ monday, monday. ♪ monday, monday. ♪ sometimes it just turns out that way. ♪ maria: we've got a big show this morning. joining the conversation, dagen mcdowell, pollster an poll, lees
here and pw partner mitch rochell. happy monday everybody. good to see you. congress back in session, we've got markets trading up, deal on china in terms of a meeting, of course, early october, lot to talk about this morning. also on deck, my interview with treasury secretary steven mnuchin. we're going to talk about trade, the fed, fannie and freddy, reform, fannie mae and freddy reform, the latest iteration of a plan, certainly out of the treasury this morning, about housing finance and housing reform. we'll talk about fannie mae and freddie mac. and the founder of papa john's pizza speaking out this morning exclusively to me in his first interview since being pushed out of the company that he founded. john bar a aso is here talking about peace talks with afghanistan, niles gardner is here talking brexit and senior judicial analyst judge andrew napolitano on big tech's
anti-trust suit and doug collins on the upcoming inspector general report as well as the new move out of the judiciary to try to define impeachment. all that coming up this morning right here. markets of course pointing to a gain at the start of trading. futures up 63 points on the dow, s&p is up 8 and nasdaq's up 21. we had new data about the chinese economy showing signs of weakness. august exports to the united states took a hit, down 16% to $44.4 billion. this is a clear sign that trade tensions with the united states are having an impact. yesterday, i spoke to peter navarro on sunday morning futures about upcoming negotiations with beijing. what can we expect from this next meeting in washington. >> >> so, this will be the 13th he meeting there will be talks about significant structural issues and market access. what i would say, particularly to investors, play the long game. look at the chess board. maria: play the long game, meaning this is not going to happen overnight, mitch.
this is a long, drawn-out fight. >> the problem is the uncertainty which is becoming a malaise amongst many business owners is going to continue. i think that's what he was signaling, saying hey, business owners, get over it. it's very difficult to navigate what the future looks like when you don't know what the future looks like. maria: we talk so much about china and peter navarro made an important points there, by saying the trade with mexico and canada is more important than china. you've got to get the usmca passed. the trade with mexico and canada, $1.1 trillion, versus $500 billion with china. so we'll see what happens. now they're back in congress. will nancy pelosi bring usmca to the floor? >> i don't know. i mean, there doesn't seem to be any incentive for the democrats to come to the table. looking at polling, they're saying we don't get anything from this. right now, they want to obstruct because they're going to say, look, the president didn't win
on trade, the president didn't win on this and going into 2020 that's what they want to have happen. the problem is, if they are obstructing, if they're not doing anything right now, i think in the long game here it's not going to play well for them. but i think they're looking at the short-term polling numbers and people are asked the question, do you want compromise, do you want to compromise the republicans, i don't think it's going to work well for them. maria: one arm of the democrats don't want anything to go positive for this president. congress is back in session today. they've got a big lineup of issues. they've got gun control to talk about, trade, even impeachment. what are the american people looking for? i want to get back to that, i know you've got your handle on this, lee, but dagen there's a lot of things happening after six weeks, what do you expect? dagen: i think are some centrist democrats who are pushing for a vote and
ratification of the usmca. the more pressure that you get from those moderates, from people who really care about their districts and job creation, then nancy pelosi could get an earful as she gets back to work this week. on gun control, maybe the only thing you get movement on from president trump and mitch mcconnell is expanding background collection in the country. i want to remind people that about 80% of gun sales in this country are already conducted with background checks, maybe they'll expand that somewhat. i expect that's the only thing that gets done. maria: they talked about this red flag legislation but there too you've got questions about that because that could be abused. dagen: these red flag laws have not been around that long. the first one was introduced in connecticut in 1999. there's not a lot of data and research done on how they're i'm employmented and if it's -- implemented and if it's a violation of due process rates. 16 states and the district of columbia before the parkland
shooting in 2018, there were only five states. i will give lindsey graham credit, teaching up with richard blumenthal from connecticut on this. what it does do, it comes up with a template and sends grants to the states that want to implement them. it leaves the power in the hands of the states. those are some of the things that might get looked at. maria: we'll talk with congressman doug collins later. he mentioned to me yesterday that there's a new arbitration bill that the democrats want to put, which business is going to care about. we'll talk about that coming up. meanwhile, we've got more he competition for donald trump. congressman mark sanford announcing that he's going to be taking on the president for the 2020 republican nomination. gop congressman, doug collins, was with me yesterday on sunday morning futures and he weighed in. watch. your reaction to governor mark sanford saying he's going to challenge president trump. >> i think this is another trip that's going out that doesn't
need to happen. let's get together and reelect this president. that's what needs to a happen. maria: what's your reaction, coming out, saying i'm going to take on donald trump for the gop nomination. >> why? he doesn't have a chance of winning. he has a chance of giving democrats talking points. that's what he has a chance of doing. and it's really not going to help the republican party and it is -- i don't think it will help democrats. i think it will give them another short-term thing. maria: it's interesting, it's not going to help republicans. look what's going on in the republican party right now. all these retirements. some of the stories have to do with age, you know, there's one who has been there for four terms, whatever, he's in his 80s. others, welcoming now -- one is pregnant with her ninth child and they have family issues. but beyond that, you still have -- they're talking about retirements. is this creating or feeding the
narrative that republicans feel like they can't win the house back in november? dagen: i think one of the biggest losses, and i know you'll agree with me is will herd retiring in texas. that is something with a powerful background. that was a huge loss for the republicans. >> i agree with that. yeah, i'm not sure it's retiring because they think they're not able to win or retiring because they're not sure what the party is about. i think there is sort of a question about what the republican party wants to be. but i'm surprised that a lot of these people aren't fighting for it. maria: me too. i don't understand what you mean, they don't know what the republican is? dagen: it used to be about deficit reduction and you care about the debt and the deficit. that just -- maria: that's fair. dagen: that flew out the window. >> i think it's a different party today than it was before president trump. there's no question that while some of the issues are the same and he has held up a lot on the social issues, he's held up the party lines, but i think that to
the point about deficit spending and just some general -- the way the party is, i think it's changed. maria: i'm trying to understand. policy-wise, the policies are the same, right? >> yes, outside of the -- maria: meaning small government, low taxes, israel our best ally in the middle east, so his personality has changed the party? >> i think his personality has changed the party, no question. i think some of the -- a lot of republicans out there are fiscal conservatives and this is a very different -- dagen: they're getting hammered -- more and more people i've heard on the ground throughout the south are very upset about the debt rising and the deficit spending. and they're concerned about that and there's actually a story in the wall street journal about the rising debt levels are actually a drag on the global economy. maria: sure. dagen: but again, this is a party of personality now. and these representatives can't
speak out against the president, without getting hammered by him and his most loyal supporters. so you're kind of between a rock and a hard place. maria: and the other side, the other side what you're hearing from the democratic candidates, medicare for all, green new deal, raising taxes, wealth tax. >> i think the democrats are in their own fight for what their party is. there's no question about it. when you look at the 10 that are of out there there's really not outside of biden a moderate democrat and he's even going further left. there's in the fight for the soul of the party. i think they're trying to figure out who they are. are they going to go to the far left. seems like they are. dagen: there's no place -- there's one moderate left on the debate stage this week and it's joe biden, and he's really not a moderate anymore. he's been pushed further left. maria: you look at what happened with howard schultz. he had to pull out because -- we said this from the beginning, he wasn't going to get past go
because there's not any appetite within the democratic leadership to actually have moderate ideas. >> it's absolutely. maria: when we come back, we're tracking dorian, hurricane dorian, the wrath it has left. the death toll rising in the bahamas. thousands left homeless and stranded. we have a live report coming up. the twitter effect, jp morgan's new index measures the impact of president trump's tweets. that's next. stay with us. ♪ live with each other. ♪ ♪ that one?! no! what about that?! no! what about now?! no! that do it?!
[ buffer stops ] still not working! how 'bout now?! no! i just don't know. i mean, i don't know who labeled this thing. yeah?! no! yeah?! ♪ ♪ award winning interface. ♪ ♪ award winning design. ♪ ♪ award winning engine. ♪ ♪ the volvo xc90. our most awarded luxury suv. ♪ ♪ my body is truly powerful. i have the power to lower my blood sugar and a1c. because i can still make my own insulin. and trulicity activates my body to release it like it's supposed to. trulicity is for people with type 2 diabetes.
it's not insulin. i take it once a week. it starts acting in my body from the first dose. trulicity isn't for people with type 1 diabetes or diabetic ketoacidosis. don't take trulicity if you're allergic to it, you or your family have medullary thyroid cancer, or have multiple endocrine neoplasia syndrome type 2. stop trulicity and call your doctor right away if you have an allergic reaction, a lump or swelling in your neck, or severe stomach pain. serious side effects may include pancreatitis. taking trulicity with a sulfonylurea or insulin increases low blood sugar risk. side effects include nausea, diarrhea, vomiting, belly pain and decreased appetite, which lead to dehydration and may worsen kidney problems. i have it within me to lower my a1c. ask your doctor about trulicity. ♪ ♪ i've been a caregiver for 20 years. no two patients are the same. predicting the next step for them can be challenging. today we're using the ibm cloud to run new analytics tools
that help us better predict and plan a patient's recovery. ♪ ♪ ultimately, it's helping thousands of patients return home. ♪ ♪ the world is customized to you. built for you. so why isn't it all about you, when it comes to your money? so. what's on your mind? we are edward jones, a 97-year-old firm built for right now. with one financial advisor per office, we're all about knowing what's important to you the one who matters. edward jones. it's time for investing to feel individual. maria: welcome back. dorian is no longer a hurricane. it's still causing big problems up the east coast. the wind in canada knocking over a crane and in the bahamas the death toll is rising as
survivors struggle in the storm's aftermath. allison barber is in nassau this morning, in the bahamas. allison. >> reporter: the death toll number increased yesterday. officials now say the official death toll is at 44. people we have spoken to, though, they say that that number is far lower than the reality. the government officials have consistently said they expect the death toll to rise. we expect it will go up more in the coming days. we visited grand bahama this weekend, we saw a lot of the damage firsthand. in one community where they have a population of less than 300, we were told they lost 17 people. roads are destroyed. they are difficult to pass. it is one of many issues that first responders are dealing with, trying to get aid, trying to find people alive, as well as account for those additional people who may be dead. homes were absolutely destroyed. >> this home in grand bahama is
not far from the water. it looks like it was a beautiful house, one that was probably filled with memories. we have no idea who lived here or what happened to the people who lived here. but there are photos, like this one, photos like this one, a family photo. photos like this one, somebody's wedding photo. inside, there are shelves and shelves of books, whoever lived here must have enjoyed reading. there's still water puddled on the floor. absolute destruction in the parts of the house where the walls are still standing. >> reporter: nonprofits are here, mercy chefs are one of them. we're here with them this morning. they're trying to put together meals to get to evidenc evacueeo have made it to nassau. they're trying to get to the hard-hit areas and install water filtration systems so people can hopefully finally start getting some water consistently.
maria. maria: allison, thank you. it's just tragic scenes. thank you so much, allison barber. we'll keep checking back. hundreds of students in hong kong forming human chains today in support of anti-government protests there, continued over the weekend. cheryl casone back with headlines this morning. cheryl: good morning to you. well, early this morning, before school started, rows of students joined hands and they were protesting alleged police brutality against protesters, following massive demonstrations over the weekend. some protesters alleged livanly vandalized subway stations. thousands held a march to the u.s. consolate, calling for washington to come in and support them. well, back here at home, boeing has halted a stress test of its new 777-x plane after one of the cargo doors failed last week. the seattle times is reporting the door exploded during the
ground test. the 777-x must pass the test as parts of the federal aviation ad medicinadfederal aviationadmini. this comes as the 737 max remains grounded. and then one of the things that president trump is famous for, his tweets. and the power of those messages forced jp morgan to create the cofifi index. jp morgan says the tweets are having a significant impact on treasury yields and they started tracking the ones that move markets. many of the words include china, billion, products, and great. jp morgan private bank investment specialist steven reeves will join "mornings with maria" at 8:00 a.m. eastern time to tell you all about it. buying the index, maria. maria: thank you. we'll take a break.
when we come back, the uncertainty over brexit, another setback for boris johnson, a new law stopping a no deal eu exit. that is now in evidence ebbing. we've got details there and the impact. and then order you up, oklahoma governor question continue stitt -- question sistitt--kevin stite mic. ♪ you should be dancing, yeah. ♪ dancing, yeah. ♪ hmm. exactly.
liberty mutual customizes your car insurance, so you only pay for what you need. nice. but, uh... what's up with your... partner? not again. limu that's your reflection. only pay for what you need. ♪ liberty, liberty, liberty, liberty ♪ here, hello! starts with -hi!mple... how can i help? a data plan for everyone. everyone? everyone. let's send to everyone! [ camera clicking ] wifi up there? -ahhh. sure, why not? how'd he get out?! a camera might figure it out.
that was easy! glad i could help. at xfinity, we're here to make life simple. easy. awesome. so come ask, shop, discover at your xfinity store today. maria: welcome back. let's take a look at markets this morning, futures indicating a gain at the start of trading, dow industrials up 60 points, nasdaq's up 20. we're waiting on the open to see what kind of china trade developments impact stocks. we are anticipating a cut in the federal funds rate next week when the fed meets on the 18t
18th. joining us right now is fs investment's chief u.s. economist, lara rein. do you think the fed cuts next week? >> absolutely. we're looking for a 25 basis point rate cut. that's what they lined us up for this week. the data really doesn't support a bigger move. maria: the data don't support it. tell us what you feel about the backdrop right now in terms of the economic story. >> it's all about the consumer. and when we talk about the consumer, sort of lifting the whole weight of the u.s. economy, it's almost the global economy that the consumer is really powering forward. i think of it as a tree branch with snow on it will it bend or will it break. all signs is that the consumer is staying relatively solid. especially with employment gains, wage gains looked solid on last friday's report. i think it would take something more dramatic to get the consumer to significantly
retrench. >> when i looked at the jobs report on friday, retail sales growth, which i expected to be huge wasn't. so are we worried that the consumer got a little soft during the summer? is that possible? >> all signs are i think that the consumer's still going to be there for the economy. i think they're going to continue to -- leverage levels are relatively solid. job gains have been good so far. i think the consumer is still going to be there. what we really need to focus on are issues that could cause the consumer to stand to the slipes. theside lines. the biggest disruption to consumer confidence was not trade, it was the government shut down. it looks like that's not on the table any time soon. dagen: in the link between confidence and spending, it's more about the job market or the stock market, does that make sense? john hilsenrath has talked about this, that confidence doesn't
necessarily translate into a slowdown in spending. maria: look at what the editorial board wrote this weekend in the joint venture naijournal, aboutthe trade unce. no, sir, sorry, it's not fake news, the economy is fair to good but no longer as great as it was last year, the major reason is the uncertainty caused by mr. trump's trade policy. >> for sure. i think what we do see is an uneven impact on the economy from the trade uncertainty. look at the -- we had the manufacturing sector give us that dismal ism reading, the lowest that we had since 2016. that's really concerning. but then your services sector bounced nicely and our economy now is built more on services than it is on manufacturing. so our knee-jerk reaction is to see that manufacturing is not good news by any stretch of the managimagination.
we could see a quarter of negative growth. everyone's so focused on are we going to he get a resecurities and exchangsession or --recessi. ininvesters should line themselves up for stagnant growth. maria: here's what peter navarro said yesterday. >> if there is a narrative out there about trade tensions, it's a false narrative. if you want to have investment certainty, bring your investment back into the united states. we know the supply chain is leaving china faster than you can say trump tariffs. and the longer china goes without making a deal, i think the less likely that supply chain will ever go back to china. that will be a good thing for the globe because a more diversified supply chain is a more resilient one. maria: reaction to his response. he says the economy's solid. >> so diversifying the supply chain is smart for any business. i think the problem we run into next year with an election
looming is the fact that a lot of ceos are going to say we don't know what we're going to get. we could swing back to a democrat who tries to really re-establish relations with china. i don't think that you can put humpty-dump t'ty back together again. the days of companies blindly going back into production with china assuming the relationship is solid is probably not going to happen. dagen: we're finding out that businesses are making decisions about their spending last year. last week a truck maker said it will spend $115 million on capital projects this year. it's down 25% from the previous forecast. 25% a after truck orders slowed in recent months. so again, you're going to be hearing -- this is the headline risk now is these corporations coming out and saying we're not going to -- we're going to reduce the hiring plans and we're going to reduce our spending. >> and lowering interest rates is supposed to stimulate
business investment and it's not. >> that is i think the risk that the fed is running. they're really trying to cut aggressively at this point. markets have 100 basis points priced in for this year total and more next year. i think we have to wonder how these rate cuts are impacting the economy. we see the housing market slowing. there's still hope it will get some further boost from lower rates but to me when i think about the fed, i think they've got to be more cautious. they could add to volatility by walking back some of their rate cuts. maria: 100 basis points, that means you're going to have to get one cut of 50 basis points, right? >> we've already had the one. so three more, and then get one more and then we've got -- yeah, we have october and then december. there's room for -- maria: then 25 every -- >> if they go every meeting, we get to one and a quarter. maria: does that mean you want to buy stock?
>> i think in this environment, i'm more concerned about the private picture as the economy starts to slow. to me, i'm pushing into the income product. especially with treasuries so low, i think you've got to get deeper into the credit curve. it's a goldilocks scenario. maria: coming up, peace talks silent, president trump canceled a meeting with taliban leaders. why was it called off? a big win and upset as the u.s. he open, we've got all the highlights from last night's big match. stay with us. at synchrony, we're changing what's possible every single day. but what does "changing what's possible" mean anyway? ♪ well... if you run a business, it means a lot. for starters, we provide you with financing options for your customers. that way, you can help them buy the things they love instantly and pay over time.
and that turns them into serious fans. hang on, there's more. want customer insights? we've got those, too. we use data to show you what your shoppers have already bought so we can tell you what they might consider buying next. and you can offer them the perfect products. that ceo gets it. from adding unique capabilities to your company's apps to bringing you loyalty programs, our technology and financial solutions are changing what's possible in all sorts of ways. so, how can we change what's possible for you?
should always be working harder.oney that's why, your cash automatically goes into a money market fund when you open a new account. just another reminder of the value you'll find at fidelity. open an account today. maria: welcome back, good monday morning, thank you so much for joining us, i'm maria bartiromo, monday september 9th, top stories 6:32 a.m. on the east coast, strong start to the week, futures indicating gain at start of trading this morning, dow futures up 60 points, nasdaq up 20, that on top of strong week last week after job's report on
friday showed hiring shroud on month of august, 130,000 jobs, look at the markets friday, dow industrials up 69, nasdaq was down, technology stocks among the lagered. global market this is morning look like this, you have britain's gdp report out this morning, showed surprising economic growth for the month of july, eased some brexit recession fears, cac quarante down down 3 quarters of 1 point, dax index 40 points, one-third of 1%, different story in gdp, slower than expected pace there. japanese nikkei average 1 half of 1%, asian markets were mixed overall. calling off peace talks, president trump confirmed he has canceled secret meeting at camp david with taliban leaders and president of afghanistan, and they are back in session this morning, members of congress returning to washington facing a
hefty to do list, breaking all the hot-button issues in washington. 2020 race is heating up, former south carolina governor launching primary challenge against president trump for the republican nomination, we've got the very latest on the road to 2020 coming up. and order up, oklahoma governor kevin tries hand at new gig, see what he's serving up later this hour as he gets on drive through, all the stories coming up monday morning, first top story this half an hour, peace talks called off, president trump announced he has canceled a secret meeting planned between the u.s. and the taliban after the group claimed responsibility for a car bomb that killed 12 people including one u.s. service member, i spoke with tom tillis on sunday morning futures yesterday about the president's announcement. >> i think the president was right to cancel the meeting, i think what he's trying to do is fulfill a campaign promise to end wars and bring men and women
home. maria: what should we expect with these people in charge knowing that there's so many out there that have pushed back saying this is a big mistake to bring out troops home? >> well, raises a very important question just how much control the taliban has over threats in afghanistan, i've been there, they are very dangers people, it's not clear that any one voice speaks for them, i think the president is right to try and engage in discussions in afghanistan with north korea, iran, he's trying tone gauge to actually lower the threat to american men and women abroad. maria: joining me right now wyoming senator senate environment and public work's committee john borraso. >> thanks for having me. maria: what's your reaction to all of this, some questioning why there was a secret meeting planned in the first place with taliban and head of afghanistan and here we go, we see them taking responsibility for this
car bomb attack? >> i think the president is right, right instincts and judgment, all in canceling talks with taliban, they practice terror while they claim to be negotiating. this is personal to me. we still have wyoming national guard, i've been there 8 times, yes, is fatigue of the whole process, i think we have to make sure that we are fighting them there so we don't have to fight them here and you see that it's the week of 9/11. maria: i understand that, the week of 9/11, right, 18 years ago we all suffered worst terrorist attack on our land ever and you've got the meeting set up, i mean, why negotiate with killers? >> well, the president, you know, leads to action, he's looking for results, looking for solutions, he's done that in terms of north korea, he's done that all across the world, he's right to have done it here and
right to have pulled back, ultimately we need security there so we make sure that they are not planning and able to plan the kind of attacks that they planned in 2001. maria: let me switch gears and ask you about priorities for the session, usmca has to go to the house floor first, what are your thoughts on what gets done and obviously to 2020 as well? >> well, that's one of my big priorities, usmca, fiscal year ends october 1st, healthcare costs continue to go up, working on issues to lower the cost of drugs, get rid of surprise medical billings, a number of things that we need to be doing in the next couple of weeks, you're right, maria, 6 democrat senator who is are running for president of the united states and one has pulled out of the race but they have a big debate this week, climate debate last week, i know that that is going to certainly play a significant
role on what we are able to accomplish. maria: how about your colleagues on the republican side, former south carolina governor and congressman mark sanford is nounsing he's -- announcing he will be taking president trump for 2020 nomination, i spoke with judiciary committee doug collin and will tell you what he said in a minute, what's your reaction of sanford throwing his hat, is he going to get support in congress? >> no, he is not. i support president trump and i will do everything i can to make sure he gets reelected in any presidential year, the fringe comes out, the fringe of the fringe comes out so i'm expecting to see more of that, i don't believe that mark sanford is credible candidate, and i support what president trump is doing in terms of jobs, economy, national security, getting rid of regulations, appointing and putting into place conservative judges, we need to make sure he stays for a second term. maria: it's funny that he would throw his name in the hat, i spoke with doug collins, he also
answered the question of sanford on sunday morning futures, this is what he said. your reaction to governor mark son ford saying he's going to challenge president trump. >> i think this is just another, you know, doesn't need to happen. let's all come together and put the president and reelect him and that's what needs to happen in our party right now. maria: so the question of party unity comes up, senator, and i wonder what your thoughts are about resignations and retirements, a number of congressmen saying they are not going run again, the list is long and you wonder what's going on with the party as you face off against democrats in what's going to be no doubt about it a really tough fight going into 2020, the democrats do not want president trump there. >> they haven't wanted it since day one, they don't believe that hillary clinton isn't the president of the united states, they can't accept the reality of what has happened and how good the president has done in terms of jobs and the economy and the
millions of jobs that are created and the low unemployment rates, they are still disavowing the whole thing, so people make their own decisions about whether they are going to run or not for reelection but if you believe in -- from a conservative standpoint; i'm a conservative, if you believe in a strong military, president trump is your candidate, if you believe in judges, president trump is your candidate. if you get rid of smaller government, get rid of regulations, cut through the red tape, the president is the right candidate. maria: nissan ceo reportedly claiming to decline amid another paid scandal. >> he was paid too much, $440,000 excuse me, has denied
any wrongdoing in this. nissan's board meets today to discuss replacement, former nissan chairman carlos goshn on charges of financial misconduct last november, he's awaiting trial. and then check this out, oklahoma governor kevin is working at a taco bell in the state surprising many customers, no, he's not taking a second job, plenty to do, the republican governor was work to go promote the oklahoma restaurant industry for workforce development month, he say that is the industry employs about 1% to have workforce in the sooner state, he think it's important to be among the folks. maria: short break, when we come back, brexit uncertainty, another set to look at, another setback to boris johnson, new law stopping a no-deal eu exit, details coming up. fox business exclusive, founder of papa johns here, john, first
"have you lost weight?" of course i have- ever since i started renting from national. because national lets me lose the wait at the counter... ...and choose any car in the aisle. and i don't wait when i return, thanks to drop & go. at national, i can lose the wait...and keep it off. looking good, patrick. i know. (vo) go national. go like a pro. but when i started seeing things, i didn't know what was happening... so i kept it in. he started believing things that weren't true. i knew something was wrong... but i didn't say a word. during the course of their disease around 50% of people with parkinson's may experience hallucinations or delusions. but now, doctors are prescribing nuplazid. the only fda approved medicine...
proven to significantly reduce hallucinations and delusions related to parkinson's. don't take nuplazid if you are allergic to its ingredients. nuplazid can increase the risk of death in elderly people with dementia-related psychosis and is not for treating symptoms unrelated to parkinson's disease. nuplazid can cause changes in heart rhythm and should not be taken if you have certain abnormal heart rhythms or take other drugs that are known to cause changes in heart rhythm. tell your doctor about any changes in medicines you're taking. the most common side effects are swelling of the arms and legs and confusion. we spoke up and it made all the difference. ask your parkinson's specialist about nuplazid.
fun fact: 1 in 4 of us millennials have debt we might die with. and most of that debt is actually from credit cards. it's just not right. but with sofi, you can get your credit cards right - by consolidating your credit card debt into one monthly payment. you can get your interest rate right - by locking in a fixed low rate today. and you can get your money right. with sofi. check your rate in 2 minutes or less. get a no-fee personal loan up to $100k. maria: welcome back, boris johnson feeling the heat, law
forcing british prime minister to try to avoid a no-deal brexit, cabinet member resigned over johnson's handling effort to leave the european union, joining us margaret thatcher center for freedom, former foreign policy adviser under margaret thatcher neil gardner. what's your take away on all of this with no-deal brexit going into effect and a lot of pushback on boris johnson? >> yeah, tough few days for boris johnson and british government and still on course to brexit on october 31st, brexit remains the official position of british government and we are likely to see no-deal brexit even though parliament has passed legislation calling for extension to brexit until the end of january, the prime minister is, i think, likely to challenge the legality and constitutionality of this legislation and also the british government made clear they are
not going seek any extension from the european union, so you have a prime minister who is very tough, he's very hard line, he's not willing to compromise, we are not talking about theresa may, we are talking about boris johnson who is charismatic conservative leader who is determined to deliver the world -- the will of the british people. maria: you think they are leaving? i wonder with all of the pushback if there's a new wave of resistance against this now. you think this is going to happen in october? >> yeah, i think it's going to happen, you have uk government that is 100% determine today leave and i think that the opponents of boris johnson really underestimate and his team, also it's encourage to go see the french over the weekend that they see no reason to extend article 50 and the french currently are opposed to any extension to the brexit basically and so i think already
within europe clear divide on this issue and some in europe are saying, let's go forward with brexit as soon as possible, let's get brexit out of the way and move on from it. maria: yeah. >> and so i think that you are going to see an all mighty clash between boris johnson and the remainders in uk for the next few weeks, you have a prime minister who has grip here, stand his ground and also johnson is saying, let's have a general election on october the 15th, let's sort out the issue with british -- dagen: labor leader that's deeply disliked. >> jeremy corbyn which the british publicly fear, this is someone who will destroy the british economy, somebody who will destroy actually relation
with the united states, corbyn is deeply antiamerican figure where johnson is somebody who i think is a very strong prime minister and pro-american rand also, i think, build an extremely strong partnership with the united states. >> so much fear about brexit and the worst thing it could happen if it goes through october 31st, what happens looking in december >> yeah, i think as soon as the uk leaves the eu, already the uk has been talking to the united states about a free trade deal for last 2 or 3 years and so deep-seated discussions have been place for many, many years, you will see uk free trade agreement but the british talked about negotiating, implementings free trade deals, be tremendous
success as great free-trading nation on the world stage. maria: you think they would be able to do deals with other nations, europe as well? >> yeah. maria: students formed human chain in support of antigovernment protest, they are holding the american flag in hong kong, hong kong leader lam withdrew extradition bill last week and last week on this program i spoke with democracy advocate jimmy about the protests, he joined me on friday, here is his take. why would the resistance go on, tell us what the people on the ground including yourself want, i know that one issue is the fact that universal suffrage is something that you've spoken about a lot, you want to be able to elect your own leadership for hong kong.
[inaudible] >> any room for freedom, if we don't fight, we will lose all we have and we will lose the freedom, the rule of law, the way of life, all that we have, we have no way but to fight. maria: do you agree with that hong kong is over if this continues, he's got such courage, jimmy li on front lines. >> these are courageous people fighting for their freedom and to protestors in hong kong receive support, support of free world and they are appealing to the united states, great britain. maria: is it going to help? >> yeah, i think so far protesters won the initial victory with the withdrawal of treaty. this is a much bigger battle that chinese will be tough to deal with. maria: thank you. we will be right back.
maria: welcome back, tennis possibly up staging the first sunday of nfl last night, jared max, looks like rafael nadal did just that. >> rafa amazing, may have seen tough call for patriots-steelers game to check on final, man, were we rewarded. 33-year-old rafael nadal, won first 3 sets, 10 years his junior, inspiration from the crowd to see more tennis, he won two straights and nearly won the match, rafa would not be denied. [cheers and applause] >> he will never forget this fight. [cheers and applause] >> rafael nadal one major win away from tieing roger federer,
what a match, saturday serena williams won grand slam final. 9 years older tom brady, patriots picked up where they left off in super 53, 3 touchdowns against steelers, two scores, patriots 33 to 3 last night, they beat pittsburgh steelers, 14-3 with brady and belichick, you know who is favorite to win, the chiefs, reigning mvp, gets them all, 40 to 26, kansas city wins. congrats to heisman winner tyler murray. forced overtime and they finished in a tie and more like
the miami, that is week 1 in the nfl. maria: all right, thank you so much, jared max, we will be right back, stay with us. kevin, meet your father. kevin kevin kevin kevin kevin kevin kevin kevin kevin kevin trusted advice for life. kevin, how's your mom? life well planned. see what a raymond james financial advisor can do for you. ♪ ♪ award winning interface. ♪ ♪ award winning design. ♪ ♪ award winning engine.
♪ ♪ the volvo xc90. our most awarded luxury suv. ♪ ♪ audrey's on it. eating right? on it! staying active? on it. audrey thinks she's doing all she can to manage her type 2 diabetes and heart disease but is her treatment doing enough to lower her heart risk? [sfx: crash of football players colliding off-camera.] maybe not. jardiance is the number 1 prescribed pill in its class. jardiance can reduce the risk of cardiovascular death for adults who also have known heart disease. that means jardiance can help save your life from a heart attack or stroke. plus, jardiance lowers a1c and it could help you lose some weight. jardiance can cause serious side effects including dehydration, genital yeast or urinary tract infections, and sudden kidney problems. ketoacidosis is a serious side effect that may be fatal. a rare, but life-threatening bacterial infection
in the skin of the perineum could occur. stop taking jardiance and call your doctor right away if you have symptoms of this bacterial infection, ketoacidosis, or an allergic reaction. do not take jardiance if you are on dialysis or have severe kidney problems. taking jardiance with a sulfonylurea or insulin may cause low blood sugar. lower a1c and lower risk of a fatal heart attack? on it... with jardiance. ask your doctor about jardiance. the type 2 diabetes pill that's on it. learn more at jardiance.com thand find inspiration who win new places.ct... the type 2 diabetes pill that's on it. leading them to discover: we're woven together by the moments we share. everything you need, all in one place. expedia. [ soft piano music playing ] mm, uh, what do you do for fun? -not this. ♪ -oh, what am i into? mostly progressive's name your price tool. helps people find coverage options based on their budget.
flo has it, i want it, it's a whole thing, and she's right there. -yeah, she's my ride. this date's lame. he has pics of you on his phone. -they're very tasteful. maria: welcome back, good monday morning, i'm maria bartiromo, monday september 9th, top stories 7:00 a.m. on the east coast, futures indicating gain at the start of trading, take a look, dow industrials up 65 points and nasdaq up 18 points, we know that the next meeting between u.s. and chinese officials will happen in early october in washington, world's two largest economies confirming round of face to face talks next month as beijing shows more sign that is the economy there has slowed as a result of this ongoing battle. the markets also finished the week higher last week, good week, dow industrials up 1 and a half percent, s&p was up 1 and 3
quarters percent. markets look like this, mixed picture, britain's gdp report out this morning showing surprising economic growth for month of july that eased some recession fears over brexit but as you know boris johnson is keep to go his plan of getting the uk out of the eu by the end of october. different story in japan overnight, second quarter gdp growing at slower than expected pace. i will sit down with john schnatter, weighs in on departure of the company and plans for the future. more worries for wework, further valuation cuts an postpone public debut altogether, very latest on wework, details behind new study revealing which states
are the most expensive to settle down in, all the stories coming up. also coming up this morning exclusive interview with treasury secretary steven mnuchin on trade, fannie and freddie mac reform, housing reform, the treasury came out with its plan last week, fox news senior judicial analyst napolitano on big techs and antitrust suit and doug collins coming up on upcoming inspector general report, don't miss a moment of it, big show this morning, big two hours and our top story this hour, the state of papa johns, pizza giant going through leadership changes as company's founder stepped down as ceo 2 years ago, joining us papa johns founder john schnatter, thank you very much very joining us. you were forced to step down, the company that you built and that you founded, tell us first what happened? >> i was not force today step down, we had a successive plan
in place and i was ready to retire, we had a fantastic 9-year run, we took stock 640 a share to 80 bucks, so good run, good time, we were ready to go. maria: in other words, what you're saying you enriched a lot of people by creating this business, making a profitable business and then making the stock go up, causing a very good situation for a lot of people involved. you were ready to retire but you had a problem obviously and you were on a conference call and racial slur was used, can you tell us what was behind of all of that? >> if you look at chronological events, there was nothing racial about that. they turned into kneeling but nothing said about kneeling, the call you're referring to was july -- may 22nd that aired july the 12th, yes.
maria: okay, let's go back to nfl call, tell me about the nfl and your relationship with the nfl and commissioner roger goodell. >> right, very good, papa johns was the most associated brand with the nfl, most recognizable brand with the nfl, about a third of our budget was spent on the nfl and they were having issue with kneeling and i kind of got on goodell here to fix the problem here, let's satisfy the players and the owners but there was nothing in there about the players kneeling or anything that was any way racial. maria: so what was most upsetting about that call? >> the way it was misconstrued, the comments were benign and the way it was twisted and the company's lack of effort to correct the record, that was probably the most frustrating thing. maria: you're saying you would have liked roger goodell to come to your defense. >> i have liked roger goodell to
fix the problem, remember, third of the budget was the nfl, so when the ratings went down from 20%, so it was hurting our business, it was hurting our franchisees, it was hurting our small business owners. maria: do you think he was behind forcing you to give up the chairman's title? >> i don't know if he was behind it, i think he was a little bit frustrated with my comments, he's not used to being challenged and the nfl is very powerful and i was stern, we need to fix the problem, you're the leader, be accountable. maria: then what happened? >> i retired end of '17 and we -- we started to deteriorate a little bit with the performance and then as i was coming back in the picture we had a diversity training session in new york with service and falling short of it is they paid, which is
fine, i wish they would have told me who was on the call and they were taping it. that got twisted. maria: on that call you were talking about somebody else and you made a comment that was a racial slur? >> no, there was never been any racial slurs, there's never been any use of the word, that's probably what's most frustrated, that's not true at all. what the call was 52 minutes and totally antiracist,i simply stated what another founder said and the way he went about using the word, colonel sanders calls people the n word, i would never call a black person the n word. maria: you were saying what colonel sanders said? >> yes, paraphrasing. >> colonel sanders family came out and said he's a liar, colonel sanders would never speak like that, he never said that, i don't know what john
schnatter was talking about? >> i haven't heard that. maria: family came out and said it's not true. >> that colonel sanders did not use that language? >> colonel sanders -- [laughter] maria: i'm just saying but you repeated something that you say colonel sanders said? >> it was common knowledge that colonel sanders talked about but let's not talk about the colonel. maria: okay, let me ask you this, can you give us the sense of the culture as you know it at papa johns at that time, was it common place for people to throw around words like that, did you feel that it was no big deal that you were repeating something that somebody else said, tell me about the culture and whether or not these kinds -- this kind of language was acceptable at the time? >> oh, papa johns was voted the best place to work 5 years in a row, i would not tolerate that for one second. the board members that had been on the board for average of 10
years, 20, 25 years, no way that conduct would have been permissible, no way. whatmaria: what happened after e call after you repeated something you knew and referring to him when you said the word? >> first thing i found out that they taped it and then service was let go and they attempted to extort money, otherwise they were going to hurt the company and hurt me. maria: in what way? >> the owner who owns service, basically said if you don't pay me millions of dollars i will bury the founder and that's when i said, oh, my gosh, we have a problem. maria: then what happened, when did you first realize this was going viral, this was going to be a public situation? >> the reporter at forbes, he
wrote article on the 11th that went viral on july the 12th. maria: yeah, the inside story of papa john's toxic culture, the forbes story was that a second story? >> first -- second story? >> i believe laundry service or somebody else miscommunicated or mischaracterized what was on the tape. maria: what do you want people to know about you knowing that they have the story, that you used this word, this language even if you were talking about someone else saying it, what do you want the public to understand about you? >> well, to put it in context the most unfathomable, unbelievable thing about this whole situation is that the old board and the old executive team under richie used the black community in the media, steal
the company, the story of the company, hurt the company very badly. maria: in what way, how? >> well, stock was 88, down to 40. maria: very quickly. >> 88 and 16, 40 as of 2 months ago, it's up to 50, so jeff smith and new board have got the stock up, wall street is fine, 40 bucks, 50 bucks, good momentum but what concerns me is main street, how business is not healthy right now that needs to be rectified rather quickly. maria: i i want to talk to you about that and try to fix the situation, your life was completely changed, your made this remark on a phone call, your life changes, correct? >> no. my life -- maria: there's so many stories about you and this phone call, that's what i'm saying, i'm saying the perception, what people were talking about what's important to them. >> well, i don't like any of this and it's not true, it's a
farce, but in the 14 months this has been going on i've never had a negative comment in public, now what i'm worried about is my employees and my franchisees, the small business owners that wake up every day and make papa johns great, those are the people that keep me up at night that are losing their jobs, they are scared they will lose their jobs and the franchisees are in trouble. maria: let's take a break and what you are doing now, the founder and former ceo john schnatter, u.s. attorneys general launching antitrust investigation, we will talk about that later in the program, stay with us. i knew about the tremors.
i didn't know what was happening... so i kept it in. he started believing things that weren't true. i knew something was wrong... but i didn't say a word. during the course of their disease around 50% of people with parkinson's may experience hallucinations or delusions. but now, doctors are prescribing nuplazid. the only fda approved medicine... proven to significantly reduce hallucinations and delusions related to parkinson's. don't take nuplazid if you are allergic to its ingredients. nuplazid can increase the risk of death in elderly people with dementia-related psychosis and is not for treating symptoms unrelated to parkinson's disease. nuplazid can cause changes in heart rhythm and should not be taken if you have certain abnormal heart rhythms or take other drugs that are known to cause changes in heart rhythm. tell your doctor about any changes in medicines you're taking. the most common side effects are swelling of the arms and legs and confusion. we spoke up and it made all the difference. ask your parkinson's specialist about nuplazid. we're changing what's possible every single day.
but what does "changing what's possible" mean anyway? ♪ well... if you run a business, it means a lot. for starters, we provide you with financing options for your customers. that way, you can help them buy the things they love instantly and pay over time. and that turns them into serious fans. hang on, there's more. want customer insights? we've got those, too. we use data to show you what your shoppers have already bought so we can tell you what they might consider buying next. and you can offer them the perfect products. that ceo gets it. from adding unique capabilities to your company's apps to bringing you loyalty programs, our technology and financial solutions are changing what's possible in all sorts of ways. so, how can we change what's possible for you?
maria: welcome back, i'm back in exclusive interview this morning, the founder of papa johns pizza is former ceo as well john schnatter and, john, we have talked about what you have experienced in the last 2 years, you think this was a coup to get you out. >> i feel like the deal board and executive team felt like they could run the business better than i could run the business. maria: you gave them an opportunity to do something about it with that phone call, they said that you used racial slur, let's get him out and let's distance ourselves from the founder and the guy who built this company. >> i feel like it's safe to say that they used something that wasn't accurate in a way to twist it to get me out. maria: then back and forth with other board members where you had said, well, this person said this, and somebody else said this about you and there was this conversation locker-room type conversation which they are denying that they ever said
anything that was untoward? >> i don't really recall that where they were saying things that were not true, i just know that being the founder, the brand is synonymous with me and franchisees and employees are not in a good place right now and i will do whatever it takes in my power to help get employees and franchisees back on their feet. maria: how do you do that? the company announced plans with shack o'neil. >> i like that, shaquil sits on the board. they report to shareholders, their duty of loyalty and duty of care, you know, is responsible to the shareholders, myself and the rest of the shareholders, so i'm just hoping with shack on board that he -- he upholds his fiduciary duties and sells a lot of pizza. maria: now you've sold a big portion of your stake, you've cut the stake in half?
>> yes. maria: okay. >> i don't like what i'm seeing at store level, again, wall street is 50 bucks a share but at main street i just don't think that the business is quite as healthy as i'd like to see it. maria: how are you going to appeal to main street to make sure that your customers or even former customers in some -- in some regard understand that the culture is not what it appears based on what we've read in the headlines? >> right, the culture on the way up, 640 a share at the end of '08, the culture was mutually respect, collaborative alliance, everybody pulls together, everybody wins from top to bottom and the culture in the last 2 years switched. maria: do you think that one of the reasons that you were -- were pushed out was because of the comments that you made on the call or is it bigger than
that? you said this was a coup, explain. >> i think as long as i was in the building and as long as i had 31% of the company, whether i was ceo or whatever title i had i still was in control and i think resentment towards that of which i would have been fine with it if it would have worked but the problem is that earnings were 2.66 a share, in '18 it was 3 cents a share. now basically flat. how do you take a business from 200 million to flat, well, you say that's after special charges, special charges, legal fees, they are not going to go away, marketing supported franchisees, that's not going to go away. support for franchisees, recruiting bonuses, retaining bonuses, none of those special charges will go away, basically have a company that makes almost no money.
maria: does it have the scale to operate and thrive in this kind of a situation or would you like to see poppa -- papa johns merge or get acquired by wendy's? >> i think two things have to happen and the third one, 12-month plan to fix the business, he won't fix it overnight. it's in trouble. we need a good solid 12-month plan for rob and we need to transition to new management team. so smith needs to quiet down richie because he's not saying good things about jeff smith or the old board and last but not least he will have to find somebody that wants to take over this. maria: do you want them to merge or be acquired by wendy's? >> i'd have to look at the deal. maria: when you were in charge did you have conversations with wendy's? >> we did have conversations with wendy's. maria: about a merger? >> you have to look at what is
the -- maria: do you think the deal would happen ultimately? are you going sell the rest of your stock in -- in papa johns? >> well, depends on what happens, every day at papa johns is different, people buy stock and sell stock because they think it'll go down. maria: you sold half of your position? >> right, hedge. maria: you hired outside counsel to investigate things that that you said they did, what has your investigation, what has that turned up? >> exactly what i told you, the entire thing was a farce and it wasn't true and they made it up. maria: what are you going to do now, john? >> sit back, try to help the franchisees and employees in
which way i can when they ask for counsel, give them counsel, give them guidance, institution knowledge that i hold and hope for the best. maria: what do you think about the restaurant business in general, you 15-dollar an hour minimum wage coming up, what if papa johns pays minimum wage? >> you can be 25, as much as 9 or $10. maria: is it going up to 15? >> over time it will go up to 15. maria: your assessments to have business today? >> the -- i don't like the culture, i don't like the momentum, the recipes have been changed, that bothers me and i don't like the fact that the managers in the stores are not making a bonus, when i was there everybody made a bonus, we were all -- store manager to store manager, tall way up. i think that's key. maria: when you say you don't like the culture, you were the
ceo. >> up to 16 beginning to '17 culture was good, from '17 to '19 culture has done this. maria: great to have you on the program, john schnatter former ceo of papa johns, we will be right back. ♪ ♪ problems. nobody likes problems. but why is that? at ibm, problems actually inspire us, to fix things, to change things, to push the world forward. which is why so many people who dare to take on problems work with ibm. that's where i feel normal. which is why so many people
maria: welcome back, trouble at british airways, cheryl with headlines, cheryl. cheryl: unprecedented walkout has grounded nearly all british airway flights, pilots changing 48-hour work, trade dispute between pilots and the airline, another job action is planned for later this month as well. those flights today and tomorrow, that's going to be the problem. and you may want to think twice if you plan to retire in new
york state, according to survey new york comes dead last when it comes to affordability and high costs, weather, crime and culture, california was ranked second least affordable followed by new jersey, maryland and connecticut, the best days for golden years, nebraska, south dakota. looks like that's not my plan. [laughter] maria: thank you. cheryl: you bet. maria: president trump just tweeted on 2020 race, here is what the president writes, when the former governor of south carolina reported missing only to then say he was hiking on trail then found in argentina with his flaming dancer friend, sounded like political career was over, it was, but then he ran for congress and won, only
to lose his reelect after i tweeted my endorsement on election day for his opponent, but now take heart he's back and running for president of the united states, the 3 will give it a go. the president tweeted about congressional rules this morning, house republicans should allow chairs of committees to remain for longer than 6 years, forces great people and leaders to leave after serving, the dems have unlimited terms while that has its own problems, a better way to go, fewer people in the end will leave. i guess the president here is talking about the fact that on the republican side they have term limits whereas if you're chairman of committee like devin nunes in intel, once you lose that because of term limits often times you leave congress, you don't want to go back to ranking file membership after being the chairman of the committee, he's saying don't do that, maybe that's the reason why we are seeing so many
retirements in the congress, what do you think, lee? >> it could be or trying to get people to believe. maria: we will take a break, big tech on the hot seat, dozen of attorney generals, what it means for future of big tech, a look at that. more worries for wework, looking into further valuation cuts an may postpone public debut, stay with us. at fidelity, we believe your money should always be working harder. that's why, your cash automatically goes into a money market fund when you open a new account. just another reminder of the value you'll find at fidelity. open an account today. . . . lease the 2019 es 350 for $379 a month for 36 months.
all right brad, once again i have revolutionized the songwriting process. oh, here we go. i know i can't play an instrument, but this... this is my forte. obviously, for auto insurance, we've got the wheel route. obviously. retirement, we're going with a long-term play. makes sense. pet insurance, wait, let me guess... flea flicker. yes! how'd you know? studying my playbook? yeah, actually. maria: welcome back. good monday morning, everybody. thanks so much for joining us. i'm maria bartiromo. it is monday, september 9th. your top stories right now, 73:07:31on the east coast. dow futures are up 55 points, s&p up 7, nasdaq up 15. we are watching china trade tensions, officials confirming the next round of face-to-face costs next month, early october
in washington, as the economy in beijing continues to show more signs of slow growth. treasury secretary steven mnuchin will join me in half an hour. we will talk about china as well as housing reform, coming out of the treasury. markets finished higher last week, dow industries up one and-a-half percent on the week, s&p and nasdaq up one and three quarters percent. global markets this morning are mixed. european indices are largely lower, cac down 4, although the dax index is up 35 points. britain's gdp report was out this morning, showing surprising economic growth for the month of july. german exports are up in july and overall the european economic story is having a hard time generating any growth. it is a p different story in japan. second quarter gdp grew at a slower than expected pace as you see, the nikkei average was up one half of 1%. asia overnight, markets were mixed.
states attorneys general ready to launch an anti-trust investigation into google and facebook over privacy concerns. the stocks are up this morning in the premarket. more worries for wework, looking into further valuation cuts, may postpone its public debut all together. sony is bringing back the walkman and the surprise feature will blow you away. wait until you hear that. all those stories coming up this monday morning. our top story this half hour, taking on big tech, anti-trust investigations are launching across the country, looking into facebook and alphabet, their influence on advertising and whether they're stifling competition. joining us now is judge andrew napolitano. always a pleasure. are they stifling competition. >> i don't know what the answers to that is. let's look at a couple basics. the supreme court ruled that if there is a federal statute and a state statute and the same behavior has arguably vi violatd
both, that both can investigate. so at the same time that the ftc is looking at facebook and at the same time that the department of justice is looking a at alphabet, the state attorneys general in two groups, one headed by the attorney general of the state of new york and one headed by the attorney general of the state of texas, these are nonide non-ideoogical, they're looking to see if individual state laws were violated, particularly the laws against privacy. the federal law that prohibits for example computer hacking or flailing to safeguard information that was given to you, there are state versions of those law as well. that's one way to look at this. the other way to look at this is, what do they really want? they're running in the red. they're looking for cash. dagen: bingo. >> just like when they shook down big tobacco. they got billions in cash and how many people stopped smoking
as a result of all that? where did that money go? maria: it's a good way to do it. they're giving it on the silver platter. that may be looking for cash, fine. but that doesn't mean there's no problem here. >> correct. there's two ways to look ate it. one way is, we know they violate privacy. it's silly for the government to say you're violating privacy because nobody violates privacy more than the government does. but there are laws there and the state attorneys general have sworn to uphold the laws and this is the way you do it. you begin with an investigation. it's more efficient to do it in groups rather than 30 different investigations. you have two, each of which has 15 states involved. maria: isn't there more to this, though? we know the ideology of big tech is liberal. how many people were crying when hillary clinton lost the election. there's lawsuits that say they're trialing conversation
they're stthey're stifling convn coming out of the republican party. tulsi gabbard yo suing google fr these reasons. isn't there pressure in the other corner? >> there might be. my view, as hateful as it is, it could happen to me, could happen to anybody in the room, google's a bulletin board, they want to take me off the bulletin board, there's no first amendment obligation on their part to keep me up there. the first amendmen amendment res the government. not even believes that. some -- not everybody believes it. they believe if they stifle my plighpolitical speech, there shd be recourse. maria: that's a conversation we get into a lot, is this a media company or is this a bulletin. you can argue the companies are more powerful today in terms of being media companies than they
ever have they have to be an open forum for everybody and not pick and choose where they want to go. >> some federal judge sitting in washington, d.c. will have to make that call in the next three or four years, as to exactly what they are and to what protections they are entitled. because if they -- dagen: congress should make that call. they could get rid of the liability waiver for consistent ten. they're free from -- content. they're free from being sued for the content, saying they're just a bill continue board, it's the content produced by the users of the services and not the company, congress could get rid of that. it would open them up to lawsuits. it would make them more careful. >> a majority vote and the president signs it and the law is radically different and the courts would have to l follow that. maria: there's so many legs around big tech right now. you look at google having an r aailab in china.
the employees bached at google -google-balked at the government using the technology. then they open an ai lab in china. google is the leading company in the world on ai. nobody has better ai than google. that's their jewel. they have an a ai lab in china. so you have to question, can the chinese try to intercept and meddle in our election through google? >> yes. well, i don't know if they can technically. but the more involvement google has with the chinese of government, the more the chinese government understands how google works, the easier it would be for them to do it. the president of the united states is opposed, president trump, to the relationship between google and china's ai. but he needs legislation to stop it. essex pose he exposed it of. in order to make it unlawful, only congress could do that.
maria: in china, the chinese government says you do this, do you that, company. in this country we have ethics. dagen: we have laws. >> we also have the free market, sort of he free. maria: purdue pharma expected to file for bankruptcy now, judge. group of state attorneys general stalled. the company offered billions to settle lawsuits claiming they used deceptive sales practices to advertise the pain killer oxycontin. >> these are the same state attorneys general that we were just talking about a couple of minutes ago. which purdue approached, said look, there's all these lawsuits. you guys are suing us on behalf of thousands of people and thousands of people are suing us individually. here's $13 billion. you divide it up. and they couldn't come to an agreement. if this goes to bankruptcy court, purdue pharma will make out far better than it will if there are lawsuits before juries or if the case is settled.
bankruptcy is just a cold financial decision. there's no pain and suffering. there's no emotion. there's no jury. it's just a bankruptcy judge deciding, okay, you owe 15 and you only have 10, here's how we're going to divide it. purdue pharma will survive this. it will be a lot smaller but it will go on and have another life and the claimants will get far less money -- mack m mark my wor less money from bang run p sighn they would get from filing lawsuits or even settling the case. maria: we will leave it there. >> such a pleasure on a monday morning. maria: we'll take a break. but first, president trump tweeted again this morning, he just said this. 94% aof proofl rateing in the republican -- approval rateing in the republican party. a record. thank you writes the president. wework looking into further valuation cuts to its ipo. it could in fact delay the public debut. we'll break it down, next.
sony celebrates and updates one of its ground-breaking products 40 years later. what's old is new again at sony. stay with us. ♪ can only make me stronger. ♪ i need you to hurry up. ♪ because i can't wait much longer. ♪ i know i've got to be right now. ♪ because i can't wait much longer. ♪ man, i've been waiting on this now consolidating your credit card debt into one monthly payment. and get your interest rate right. so you can save big. get a no-fee personal loan up to $100k. thand find inspiration who win new places.ct... leading them to discover: we're woven together by the moments we share. everything you need, all in one place. expedia.
the world is customized to you. built for you. so why isn't it all about you, when it comes to your money? so. what's on your mind? we are edward jones, a 97-year-old firm built for right now. with one financial advisor per office, we're all about knowing what's important to you the one who matters. edward jones. it's time for investing to feel individual.
maria: welcome back. well, the trouble keeps on coming for wework. the company cut the valuation it could cut the valuation for its ipo. jackie deangeles with all the details. >> good morning. well, as we're waiting to hear what wework exactly is going to do, the plan was that it was going to do a road show this week. now they're having conversations bouts mayb maybe taking the valn down to $20 billion or possibly delaying the ipo until 2020 and $47 billion is where they were earlier in the year. this is a big cut, almost in half. it's kind of a red flag to a lot of investors that have already been open skeptical about this -- been skeptical about this. people are worried about how they're running the company and the business model and the ability to turn a profit. how do you invest in companies that don't turn a profit? but short-term there's concern torques back to the business model, the renting of office space, if there's a downturn in the market, could see potential problems and of course the environment's very different
than it was in the beginning of the year as well when we saw uber and lyft go public. i will say this, the ceo reportedly has sold some of his stock. that's making people nervous too, about $740 million. so it's never really a good sign if the chief executive isn't 100% invested. the question now really is, if you shelf the ipo and you need this cash to hit the growth targets and help it move forward, where does wework go from here. soft bank is a big investor and the conversation right now seems to be is soft bank going to step up and infuse cashier to keep it going -- cash here to keep it going. 2018, wework lost $1.6 billion. hard to get behind that. maria: yeah. and then they had an all male board until they decided to go public and then they had a woman then. >> that goes back to the governance. people are just looking twice at
this and having a keener eye. maria: meanwhile, the whole idea of what wework does has been quite popular in terms of when you actually look at the business. mitch, your thoughts. >> a business model like wework shifts the risk for a small business signing a lease with a landlord directly which can be very difficult if you're a small business, to having the ability to have your employees work in one location in one city, another location in another city. it's a really good business model for small business. the question is, what's on the other side and how they operate their business. >> conceptually, i go back to the lyft and uber models as well, these are amazing businesses that people have praised in terms of the convenience that they've provided consumers but when you're an investors it comes down to the dollar and cents of it all. you can see in terms of the performance of the share price, even though there was a lot of excitement around it, maybe the rest remains to be seen if you will. dagen: i want to point out kevin kelly, the day this company filed its ipo on this
show went through all -- the host of problems with this company, not just the governance and the fact that what the co-founder has 20 votes per share, so a complete voting control of the company, in addition to the kind of upside down business model that this company has. so it's trying to raise money to expand, to grow, when it's not making money now. and this kind of market environment, good luck selling shares with that pitch. >> it seems there's a big opportunity in this space for a company that's going to make more sense. they might have gone and made this splash. now there's a lot of others coming up behind it that maybe make a business model that's makes more sense. >> uber and lyft, the capital investment is on the part of the independent driver who buys or leases a car. they have to buy long-term lease toss secure, that takes a lot of capital and commitment. >> if the housing market were to or people were not feeling as
stable if we see the economy go into a recession, that's going to be a problem in terms of delivering on those leases, i think. maria: all right. jackie, we'll be watching. thanks so much. important story there. coming up, my exclusive interview with steven mnuchin is coming up on trade, the fed, the debt, all that coming up, 8:00 a.m. eastern this morning. sony updates a signature product with a 2019 makeover. stay with us. ♪ you've got the best of my love. ♪ whoa, whoa. ♪ you've got the best of my love. ♪ whoa, whoa. ♪ you've got the best of my love. ♪ ur father. kevin kevin kevin kevin kevin kevin kevin kevin kevin kevin trusted advice for life. kevin, how's your mom?
life well planned. see what a raymond james financial advisor can do for you. that could allow hackers devices into your home.ys and like all doors, they're safer when locked. that's why you need xfinity xfi. with the xfi gateway, devices connected to your homes wifi are protected. which helps keep people outside from accessing your passwords, credit cards and cameras.
three additional deaths confirmed on friday following two previously reported deaths. cdc is currently investigating about 450 case is of severe lung illness nationwide, potentially connected to e-cigarettes. tesla fans will have to wait a little while longer to check out the company's electric pickup. the truck which elon musk calls the coolest car i've ever seen was expected this summer, next month. the reveal's been pushed back to november. musk says it's a yo futuristic,r punk blade runner pickup truck. that's what he said. it could compete with ford's f-150. before smart phones and bluetooth there was the walkman. the portable music player celebrates its 40th anniversary this year. sony is releasing a new version,
one with modern technology to support downloads and stream music. the new walkman comes with a soft case to make it look like the ancestor, complete with a touch screen window on the player, makes it looks like there's a cassette playing inside. so what's old is new again. maria: i can't wait to see it. i think it's an important reminder of how technology, the next better thing will take you out in three seconds. it was the walkman which really all started us on music, mobile music and walking around and having our earphones with our music and that was the rage until apple came out and took the walkman out. >> how about the boom box? why are we forgetting about the boom box? >> think of the impact this had on our lives. we were able to have a sound track to our lives, be able to walk around, listening to you music. you're right, it's such an important reminder, just one day, just like that, something can disrupt and come along that you're not even thinking of.
maria: dagen? dagen: i saw a boom box -- >> i saw a guy with a boom box yesterday. dagen: it was an old school boom box w the cassette player in the front of it. >> say anything. dagen: it had a good long run throughout the '80s, from the walkman to the cassette tape to the discman. remember the round disc -- maria: i had one of those. >> you had to run stably if you had the discman discman or elsd skip on. dagen: you ran with the discman? >> yeah. maria: that's hard. dagen: like you're carrying a china dish. because it would skip. maria: quick break and then my interview with treasury secretary steven mnuchin is coming up on trade, the fed, fannie and freddy, coming up next hour, right here, "mornings with maria." ♪ double your fun. ♪
at synchrony, we're changing what's possible every single day. but what does "changing what's possible" mean anyway? ♪ well... if you run a business, it means a lot. for starters, we provide you with financing options for your customers. that way, you can help them buy the things they love instantly and pay over time. and that turns them into serious fans. hang on, there's more. want customer insights? we've got those, too. we use data to show you what your shoppers have already bought so we can tell you what they might consider buying next. and you can offer them the perfect products. that ceo gets it. from adding unique capabilities to your company's apps to bringing you loyalty programs,
[ engine starts ] >> welcome back. good monday morning thanks so much for joining us. i'm maria bartiromo. happy monday, it is monday, september 9 top stories right now just before 8:00 a.m. east coast u.s. china afraid in focus again officials confirming end in round face-to-face talks next month in washington in early october. however, we are seeing new signs of the economy in china continues to slow. as a result, of this partly treasury secretary steven mnuchin special guest moments from now to discuss that, as well as how housing finance the treasury new plan, markets this morning, are higher futures indicating a gain start of trading this morning roolt we are off the best levels of the morning dow up 51 s&p futures up 9 nasdaq futures up 15 and quarter on top of pretty good week last
pique higher across the board dow industrials up 1 1/2% at close friday the subpoenaps nasdaq up 1 and three quarters% european indices mixed we did get gdp numbers out for uk ft 100 down 43 points, cac quarante down 6 dax up 38. the britain better-than-expected gdp report this morning was up 3/10 of a percent on gdp, it did ease some fears we know unifier zoin having a hard time generating growth german exports up another good one way or another up 7/10 of a percent in july germany, germany dax up 37 points, japan not as positive, second quarter gdp up but -- up 1.3%, gdp in japan, nooj nikkei average up one half of one percent markets mixed higher exception of horning hong as you see he protesters on the street once again over the weekend. they are back members of congress returning to
washington today facing a big to-do list hot-button issues on plate coming up this morning, there is the twitter effect, j.p. morgan index measures impact of president trump's tweets yes, we've got this -- index -- >> we will tell you about, then making it official how university of tennessee is making a young fan viral shirt into a reality. good story there the end of the day we will tell i all those story coming up top story fannie mae, fromed fred trump administration proposing a privatization of mortgage finance giants could keep them at center of u.s. housing market for years to come joining me right now to talk about that host of other toss-ups u.s. treasury secretary steven mnuchin mr. secretary always a pleasure to see you thanks for being here. >> hi, maria good to be with you as well. >> all right. so the treasury has submitted housing plan to the president can you i have it here 53 pages worth of it can you talk about thank you housing plan, to wrz again privatize
government sponsored entities freddie mac freddie mac. >> in con certify toreship 11 years we think now time to recapitalize make them stronger that taxpayers are not the at risk, eventually raise third party capital, so that we restructure them, and that in another housing downturn taxpayers are not at risk. maria: one of the issues here is you've got to get private capital you've got to get competition, in the marketplace also have to get capital to come into this. situation, so how are you going to do it? pull out some of the he more important items from this housing reform plan that you think is going to that you think will in fact move the needle on that? >> well maria first step is we are in the process of negotiating with fhfa on current lines, we expect in near ferm we will have an agreement where we will allow both fannie mae and freddie
mac to retain, their earnings, when will be a significant increase in capital a step in the right direction to us ultimately raising third party capital. >> i think you making a really important point, because, you know i was reading a couple of comments on twitter on social media and, you know, people are saying look, how soon are we getting fannie freddie out of con certifyship people feel unconstitutional in the first place to force companies off if all profits go to treasury, tell them when and when they should and should not pay dividends. >> i am not going to comment on legal case for obvious reasons but i would say what we are focused on is housing reform, and as part of housing reform, we do want to make sure that there is real capital, in front of taxpayers, the other issue, i look forward to testifying at senate tomorrow looking for a
bipartisan legislation to put a full faith and credit on the securities. and we think the government should be paid for that. wrap, we think should be significant private capital in front of it optimism to fdic model or the ginnie mae. >> where we have talked about this before in the past you actually agreed with my assessment that for time obama administration was just taking money from these companies and putting it wherever they want, i mean the investors get totally screwed fannie and freddie now people say look the government looted fannie mae and freddie mac when are we going to be able to get money back. >> mar i am not going to comment on investors' situation i will comment on you are right they have been in conservatorship too long we want to make sure they are in the no conservator ship on permanent basis if we can't do
that we are punishable comfortable moving forward on administrative said making the changes we need to do. maria: all right, this is a big issue, for investors, as you know. you -- i know you don't want to touch certain things, but -- what can you tell us about the fact federal appeals court in new orleans overturned the ruling that backed government propriety to take ul mortgage giant profits of the judges also included that the structure of fannie and freddie regulator unconstitutional because of job protections for the director what do you ask you a. >> we have obviously, been working with department of justice on this case reviewing the decision not letting this stand in the way one way or the other with housing reform as i say there is an investor issue will continue to go through the legal process, but the most important issue is regardless that have case, we will restructure, fannie mae and freddie mac so that they
have private capital, in front of any taxpayer risk. >> how long will this take what is timing on that? do you believe you can being actually get new capital into the situation and allowing companies to return to the private sector? >> well, maria i think we are going to work with congress in the first part of this, i hope that if we are going to get congressional support will be next three to six months if we can't do that we will move on administrative front, as i said earlier, the first step of capital will be we expect in very near-term to reach an agreement, to allow for capital built up they each have three billion in capital the treasury lines we are going to start retaining earnings so that is first step in capital. >> one investor wants to know given the ruling that net worth sweep we know was illegal, is the september sweep going to be halted are we going to see money go back
to the investors? >> the money woenlt go back to investors the money would stay in the companies and then obviously, the legal process will go forward. and obviously, the treasurer has very significant claims for the money that we've outlaid, but, you know, i expect we are going we are in process of working with fhfa, going to try to see if we can do it in september if not it will be very soon after that. >> what would be a realistically too many frame in your mind, that that fannie a freddie could come out of conservatorship. >> depends we are going to do it quickly as we can as i said part depends on how quickly we get congress to act but we are going to make sure that we lay out a plan, to getting these entities out of conservatorship our goal. >> connect the dots for us for audience, why do you think that is going to help the housing market what will that mean overall the at the end of the day, given fact right now
companies control 95% mortgages, mr. secretary? >> well if these companies with fha control a very, very big part of the market and let me comment on this is really housing reform, and we are also working with hud on looking at reform of fha we want to make sure if we with figures fannie and freddie we don't put taxpayers at risk at fha, that is also something we are look being very closely at working with secretary carson on. >> do you believe fhfa exceed statutory authority as conservator. >> maria a nice try you know i am not going to comment on. >> a all right let me switch gears secretary mnuchin obviously, this whole conversation of recession has taken over, a lot of people worry that the jobs number on friday showed a slowdown until the economy. where are we on that? what can you tell us as we watch these numbers come in? and a lot of people are blaming the president's trade policy leading to uncertainty. and that is causing managers
to sit on cash. >> maria, there is no question there is a considerable slowdown in the world economy both in china, and in europe. but as you look at the u.s. we continue to be the bright spot of growth. i just came from g7 with the president a few weeks ago, that is what everybody was talking about, the president's economic plan of truts regulatory relief trade are really what is driving the u.s. economy, i don't see in any way u.s. recession i think if you look about at interest rates, i think what you see is both in terms of long-term interest rates historic low good for economy, i think you see that on a relative basis we are still high relative to the rest of the world on interest rates, you also see the markets expectation of the fed doing rate cuts, so i don't in any way think yield curve reflects a recession as far as we see very health
robust growth for the balance of the year. >> i know numbers are still showing growth to whole idea that we're going to be in a recession doesn't make a lot of sense to me either because you are seeing actual slid numbers in terms of growth what can you say to investors and people out there, who might be worried that the uncertainty around china the uncertainty around this tariff situation, is causing the economy to stall even if it is the jewel of the world i get that certainly the best story out there in global economy. >> well maria you know the president is you know wants to deal with this very important issue of china trade. and we have been working on this for the last two and a half years since first meeting with president trump tournament xi is there was agreement on both sides to rebalance the trading relationship, so it was a fairer relationship. and ambassador lighthizer and i have been working very hard to get to that that result. and if we can get a good deal which is our on the we will
berinto a deal with china. we have talks coming up on vice minister level this month them coming here vice premier coming here in the beginning of october, our objective is to get a good deal a deal good for american workers and american companies. >> you have been front man you and bob live team coverage ka bob lights us have ar do you think there is willingness to -- secretary mnuchin big ticket items not -- the theft intellectual property forced transfer of technology isn't that reason they reneged in april they don't want enforcement mechanism in place would have created consequences if they went back to old ways of stealing. >> i think talks broke down less about enforcement, and partially on other issues, where there was significant pushback. in china.
i think the enforcement area we have a conceptual -- an agreement on, but, again, we have a document, we have made a lot of progress they are coming here i take that as a sign of good faith, that they want to continue to negotiate. and we are prepared to negotiate. if we can get a good deal, a deal that is good for us, we will sign it if not the president is perfectly fine with continuing the tariffs, when are raising significant amounts of money for utreasury. >> is it fair to say, its impacted chinese economy but also impacted u.s. economy? >> fair to say it is impacted the chinese economy we have not yet seen any impact on the u.s. economy. so i think as you know we have navigated carefully rrenminbi prooeshdz significant paid for majority of tariffs i think certain situations where there have been difficulties for
companies ambassador lighthizer has done very good job on case by case bays we have not seen impact on u.s. economy very carefully managing that. >> can you really say that a even though we are seeing growth slow down because of interceptor around trade can you really say it hasn't impacted the economy here. >> yes i can really say that when you say growth has slowed down, you know let me just comment that these numbers have volatility on the upside and downside, there is no question that our growth is significantly higher than the rested of the world there is no question that to a certain extent global growth will have a moderate impact on u.s. growth but i xhp we are going to see a very robust finish of the year, and, as i said, no signs of a recession, the trump economy the economic plan is working. maria: are will that include the end of the year usmca? you know the speaker has to bring it to the floor, a lot of people are worried that the u.s. worker is going to get --
disadvantaged because mexican workers make about 1.50 an hour we look forward -- congress is now coming back no question about it at top of our agenda o ambassador lighthizer working closely with house i have spoken to the speaker about this several times. and we look forward to working with her this month, hopeful to get to the point where they are comfortable, in bringing this to the floor because i think if they bring it to the floor it has votes to pass this is important for growth, we see a significant increase in growth, in passing usmca. >> there is also growth questions around debt, one of the top stories in the business section of the journal day rising global death helps keep rates low going to cut into economic growth. when does 22 trillion dollars in terms of debt become a real major problem we have been talking all day about republicans getting religion on spending. >> maria we had a very modest
increase in the budget this year, and next year in two-year deal the majority of that went to the military, i think you know that is an important item fought tournament. >> yes. >> mr. -- >> go ahead. >> just we're looking at debt to gdp that is something we continue to monitor. >> mr. secretary thanks so much for joining us we appreciate it we will see you soon. >> secretary mnuchin there. we'll be right back.. , so you only pay for what you need. nice. but, uh... what's up with your... partner? not again. limu that's your reflection. only pay for what you need. ♪ liberty, liberty, liberty, liberty ♪ like very high triglycerides, can be tough. you diet. exercise. but if you're also taking fish oil supplements, you should know, they are not fda-approved, they may have saturated fat and may even raise bad cholesterol. to treat very high triglycerides, discover the science of prescription vascepa. proven in multiple clinical trials,
vascepa, along with diet, is the only prescription epa treatment, approved by the fda to lower very high triglycerides by 33%, without raising bad cholesterol. look. it's clear. there's only one prescription epa vascepa. vascepa is not right for everyone. do not take vascepa if you are allergic to icosapent ethyl or any inactive ingredient in vascepa. tell your doctor if you are allergic to fish or shellfish, have liver problems or other medical conditions and about any medications you take, especially those that may affect blood clotting. 2.3% of patients reported joint pain. ask your doctor about vascepa. prescription power. proven to work.
for another 45 minutes or so. should always be working harder.oney that's why, your cash automatically goes into a money market fund when you open a new account. just another reminder of the value you'll find at fidelity. open an account today. conservatorship the conservatorship. maria: president trump headed to north carolina for big rally cheryl casone with details. cheryl: the president maria going to visit the state ahead of tomorrow's special election, the race set tooed of the president's toll with voters analysts say republican defeat in north carolina could suggest trouble for the president's campaign the district held by gop since -- 1963. well there are some developments to tell you about in investigation into did deadly boat fire, in southern
california. federal authorities have searched the offices of the company that owned the scuba diving boat yesterday agents reportedly took pictures carried out-boxes, the diving boat caught fire in the middle of the night last week it killed 34 people, federal officials also searched the company's two remaining boats, one person is still missing. in that tragedy. >> facebook is denying wrongdoing after rush accused you the of allowing political advertisements over the weeks says if any blame rests withed a tiesers following laws, google is accused of circulating political ads during voting. >> now here is kind of a joyous ending to tell you about, elementary school student in florida maked fun of for homemade university of tennessee t-shirt got the last laugh, boy's teacher posted about it on facebook saying he
was bullied by girls at school over the shirt for college color day university of tennessee responded, they turned the design into an official university shirt with demand so high crashed maria the web site take that bullies everywhere. >> there you go why make fun every him for making t-shirt kids can be so mean. >> kids can be really mean. >> did you get that little boy can take pride knowing all girls will be divorced alone when they are 40. >> [laughter]. maria: all right. >> you are going to be a shining star, you already are. >> we will break when we come back we are waiting on another ig report house judiciary ranking member collins will begin to me what will it say about fisa beautiful. >> j.p. morgan index measures impact of the president's
by consolidating your credit card debt into one monthly payment. you can get your interest rate right - by locking in a fixed low rate today. and you can get your money right. with sofi. check your rate in 2 minutes or less. get a no-fee personal loan up to $100k. at comcast, we didn't build the nation's largest gig-speed network just to make businesses run faster. we built it to help them go beyond. because beyond risk... welcome to the neighborhood, guys. there is reward. ♪ ♪ beyond work and life... who else could he be? there is the moment. beyond technology... there is human ingenuity. ♪ ♪ every day, comcast business is helping businesses go beyond the expected, to do the extraordinary. take your business beyond.
maria: welcome back twitter affect jp morgan chase an index to measure president trump's tweets joining us j.p. morgan private bank investment specialist great to have you on the program thank you so much for joining us tell us about this index. >> i learned about it, last night i don't know much about it i am sure trying to track
what is happening with all the political tweets that we're seeing. >> does the president's tweets impact markets? and tell me what value that has for investors, i mean obviously, your if you remember creating it you are pushing it out there systematic right. >> more than actual tweets it is the perceived impact of policy changes that are impacting the market so right now it is all about the trade war, feels like trade discussions are back on that is why the market is higher that simple the economy is good earnings are good valuations i think is fair but if not going to get trade deal i think the market is going lower that simple. >> totally about trade totally about a china detail you are suggest a. >> short term yes if you are getting a deal i think you will see multiple rise on s&p 500 from paps 17 to 17 1/2 everyoning taking out uncertainty around americans last guest talking about no economic impact we can debate that we are seeing few
companies talk about uncertainty, we have heard from technology companies, i think over next three to four weeks when we hear third-quarter earnings season all eyes are on ways impact of trade war is it showing up in margins what what is theout like yes, i think trade short term. >> another area president has been tweeting about is the fed i am sure your reaction, to to it everybody thinks 25 basis points quarter percentage point baked in with a beyond that what can we expect from a minority polic monetary. >> fed -- cutting rates don just in a we expect 25 base point cut this month probably one more before year-end, but i think that is fully priced into markets i don't see a lot of upside based on what fed is doing, but the good news is that they have said they are there to support i think that takes the recession risk off the table for now which is a lot of people's questionnaired end of last year january before came out made that
announcement. >> how do you advise clients if it is all about china trade deal. >> stay invested for sure a lot of hesitation wanting to sell up 20% year-to-date think about making smart ro i guess at as taking profits in banks where lower interest rates will have impact, going into health care, year-to-date only up 6, 7% massive laggard more defensive. >> is their headlined risk in election next year on left the proposals are so dramatic that is one reason you think there might have been underperformance. >> i think all headlined risk political uncertainty caused underperformance but forward from here ifr think a great growth outlook for health care more defensive, investing in infrastructure left correlated to what is happening in china overly economy i think is the right way to position today we have been aeing gold especially if it pulled back i
think below 1500 good incontrovertibly add in portfolios. >> tech seems rolling over you have states launching antitrust probes facebook going is that a problem for investors in tech. >> short term any political headlined about breaking companies up will pressure multiples but in reality if you look at tech overall we are not at a global multiple valuations are reasonable earnings growth good the issue pulling back sector at large up 32% year-to-date a o lot of profits to take i think healthy. would i be buying, see another 5, 6% under the sector. >> when does the index start? >> you've got to get -- >> all right. >> just to predict with interest rates, treasure rates apparently number of market moving tweets has gone up a lot, using words like china, china, china. maria: . >> you the said billions. >> the one that surprised me was -- isn't that every other
tweet that he has? in there. >> democrats another key word. >> there you go. >> we will be watching that interesting takeaway, great to see you thanks so much. >> j.p. morgan breaking news after this activist investor announcing 3.2-billion-dollar stake in at that ti&t elliott management activist fund sending a letter to the board stock up almost 8% on at&t we are going to bring live updates on this we will watching at that time at that time one of the big win, on the session on elliott management stake. a break when we come back iing inspector general report doug collins joins me later this hour expectations on next report, more trouble for boeing to tell you about embattled aircraft manufacture suspending tests on wide-body jet after doors reportedlys exploded. back in a minute.
♪ -guys, i want you to meet someone. this is jamie. you're going to be seeing a lot more of him now. -i'm not calling him "dad." -oh, n-no. -look, [sighs] i get it. some new guy comes in helping your mom bundle and save with progressive, but hey, we're all in this together. right, champ? -i'm getting more nuggets. -how about some carrots? you don't want to ruin your dinner. -you're not my dad! -that's fair. overstepped. -that's fair. ♪ ♪ award winning interface. ♪ ♪ award winning design.
i'm so happy. ♪ whatever they went through, they went through together. welcome guys. life well planned. see what a raymond james financial advisor can do for you. maria: welcome back. good monday morning things so much for joining us. i'm maria bartiromo. monday, september 9 your top stories right now 8:33 a.m. east coast markets higher this morning, take a look futures indicated a gain start of trading 58 points on dow industrials we are off the highs of the morning, nonetheless s&p up 10 nasdaq up 20, right now. european indices different story, the ft 100 negative britain gdp report out this morning showed better-than-expected gdp growth was up 3/10% having said that eurozone had a tough time generating any growth germany reported that its exports off 7/10 of a percent
in july dax in germany up 48 points different in japan, we saw second quarter gdp out in japan overnight slowed at slower than expected pace up 1.3% overnight asian markets finishing like this, as you can see, fractional loss in monday morning hong others are higher, with the shanghai composite up almost 1% we have breaking throughs this morning, at&t stock soaring after activist investor elliott management, announced a 3 and quarter-billion-dollar stake in at&t, elliott management sends a letter to the board, the plan, to boost shares according to elliott is going to be far deep stock up better than 7% this morning we will follow that within closely, back to work, members of congress returning to washington today fiving a big to-do list hot-button issues coming up, more trouble for boeing company halting a stress test of 777 xplane after cargo doors failed more details there boeing shares down almost 1% this morning coming up this monday morning first top story this half an
hour, the russia investigation, the inspector general report on fbi conduct, during the probe set techniquer to be released before end of the year could be two indictments some expect john ratcliffe talked about it. >> we know the ig has referred criminal debacles against mccabe he got a job on another network. >> to remind viewers it was last year the inspector general found that deputy director mccabe authorized disclosure of sensitive investigative information to a reporter more importantly repeatedly lied about it the investigators, i think the department of justice, is going to have to indict andy mccabe, simply because to do otherwise would be to admit that there are separate standards for the people doing the same thing, for the same conduct. maria: joining me right now house judiciary committee ranking member georgia
congressman doug coggins congressman a pleasure to see you. always good technique he. >> thank you so much for joining us you heard what john ratcliffe said we had a lot on the other side michael flynn manafort anybody who died to investigators, saw real accountability. >> yeah becoming an interesting issue you are seeing what we saw is a really a vendetta, corrupt kabul mccabe strzok comey all those it is interesting to me how they went after the folks in the trump administration we saws accountability you saw what i am looking at others john ratcliffe time we see in fisa abuse issue time we see this with mr. durham, apply to everybody they think unfortunately, a partner partisan issue no one-should want department of justice to spy on anyone democrat republican when you see fisa process putting outs documents court documents with fisa court, comey said were unverified salacious yet signed off on them, especially
comey says i was not a liar or leaker. he is both! >> when would you expect fisa ig report to come out we to me there was actual we broke on "sunday morning futures" on this program, that there was exculpatory evidence we had papadopoulos on show told us information with informant said isn't this great russia has hillary clinton e-mails must be great for you he said no, that is treason would i never do something slick that that conversation was never given tofies court that is called exculpatory evidence not given to fisa court. >> we are going to see -- reports in final phase we know getting there ready to be classified there was allotted in this report public there is a lot classified because very nature it is, that will mean members of congress won't see it all we will see bill barr has been very consistent what he has done i think something we have to consider here, and if he has been very consistent
force if you feel saying he want department of justice what itout to about not inventory death not vendetta we you a this obama administration those folks are gone may have careers on networks lying at that point they are now gone from department of justice a good thing. >> are we going to see accountability for that john ratcliffe said doj must indict andrew mccabe because otherwise if you don't it is two different standards do you think we are going to actually see indictments prosecution. >> i hope so i think that is without putting words in anyone's mouth i think ratcliffe and i agree mccabe is one in which he disagrees not a leg to stand on when you look at standards you look at what is set forth flynn and others there is can't be two separate standards otherwise american people just going to every day doing normal job saying wait something is not right i wouldn't be treated that way. >> exactly the vote expected this week on impeachment, democrats on the house judiciary committee looking to vote on a resolution to define what chairman nadler referred
to as impeachment proceedings begins president trump. they want a vote is it a committee vote on wednesday. >> they won't the committee vote frankly chairman this is sad -- they turned very -- powerful committee into a shelf itself last 8 months simply twoogdz the president simply going after things they hate about this administration, and the reality is what we're doing this week is unprecedented they are definitely -- charting new ground areas they should not be proceedings in a committee are simply designed to make people think they are doing more than they are they have been in august hearing from liberal base get president start impeachment they know they don't have votes they know it otherwise would have started, speaker is not going to let that happen let's have a show i sort of describe this way if your birthday on 15th we're going to celebrate it forgot so celebrate on 18th a bigger present to make it look in other birthdayer that is what we're doing more impeachment
there is a problem they filed court papers past month said praurdz grand jury information we are hearing in resolution laying out the procedures they would use maybe they need to apologize to the court or -- oops may be we need to change this is a farce a show see what happens. >> in other words, they want to keep talking about this so public thinks there is meat on the bone. >> they do they skrust want to talk about it, i think, comes from the chairman to having deal with political processes up here in new york or primary issues that is they have a rabid base refuses to see anything pet has done they want to undue 2016 election when did judiciary committee become a part of the -- >> i am glad you mentioned the primary challengers because nadler has a primary challenger right now, and she is she seems actually very impressive, when you look at
lindsey boilen i believe is her name do you think that is pushing him to get so progressive afraid going to get unseetdz. >> i think pushing a lot of members in the a democratic party remember if you remember go back quick issue, in june, just chairman -- earnings, unavoidable evidence mueller report would find president should be impeached mueller testified nothing happened in august, chairman sends a letter to the other chairman saying you got anything we can do impeachment on? now coming back to do another show resolution makes committee not go to whose floor moderates others don't want to vote are protected from that i wish certain point in time we -- put aside pretens i have no pro many real odds if we want a system took care of filing things on the floor instead we are simply, tagging along american people and base, i believe some point base is going to look say they're not doing anything they are trying to
fool us. >> what does the base want what, by the way, did you know it was my birthday this week. >> no. >> okay. you skrust said my birthday. >> -- >> what -- getting all -- all right. >> what does base want to see from congress now your back at work today, what are priorities obviously, nadler his priority what are your priorities what do you want to get done. >> my priorities are this, look at congress what happened two and a half years looking at economy that is doing well when we look at needs, look at trade begin if we have a canada, mexico u.s. trade agreement with an be passed tomorrow speaker blows pelosi was only one if you are in mil america not caring about d.c. you know how folks are going you need to say speaker put this to a vote it will pass easily in house and senate, they don't want to give the president a win look at china, issues that we can do in our committee on intellectual property theft intellectual privacy issues working with tech things i think people relate to every day, if we can
work on those kind of issues those are the meat and p at a timos issues that drive americans to work they look after them we get loss in the d.c. is style thinking the world resolves around us the reality the world is going to work every day caring about children families, saying what does it matter to me. maria: that is one thing i think people will react to if usmca doesn't come to the floor everyone whether labor or businesspeople believe that it is better than nafta what about this story about u.s. states watching antitrust probes on tech companies facebook google what do you want to see in big tech this is one issue antitrust monopolistic, there is sense censoring conservative conversation. >> instead of what liberals want to do break them up just have a government run -- we've got to sit down have a real conversation say okay. what is the privacy act what are the antitrust aspects are you dominating markets we got to get people in, to our
hearings instead of having ease i can't answer saying everything is bad kaess they are pig what can we do to make inside economy work, work for everyone so we have more control for me i put forward taking points that stayed work at look at a federal beta privacy being a you control data you are in control instead of out ins atmosphere of so to speak others control what data looks like. >> good point people don't know when data is being used at all congressman thank you. >> al goods here. >> thank you for leadership congressman doug collins breaking news at&t elliott management announcing 3 1/4-billion-dollar stake in company up, the latest updates when we come back under pressure boeing halts tests of wide-body jet after doors reportedly blew up in testing not good back in a minute. ♪
♪ shouldn't somebody be listening? so. let's talk. we are edward jones. with one financial advisor per office, we're built for hearing what's important to you. one to one. edward jones. it's time for investing to feel individual. 2,000 fence posts. 900 acres. 48 bales. all before lunch, which we caught last saturday. we earn our scars. we wear our work ethic. we work until the work's done. and when it is, a few hours of shuteye to rest up for tomorrow, the day we'll finally get something done.
we're changing what's possible every single day. but what does "changing what's possible" mean anyway? ♪ well... if you run a business, it means a lot. for starters, we provide you with financing options for your customers. that way, you can help them buy the things they love instantly and pay over time. and that turns them into serious fans. hang on, there's more. want customer insights? we've got those, too. we use data to show you what your shoppers have already bought so we can tell you what they might consider buying next. and you can offer them the perfect products. that ceo gets it. from adding unique capabilities to your company's apps to bringing you loyalty programs, our technology and financial solutions are changing what's possible
in all sorts of ways. so, how can we change what's possible for you? maria: very competitive, mentally -- every single day, so we need to have spirit of time for -- >> that was. s open winner nadal after emotional win last night spoke to fox business right after the win, it was an incredible match we thanking him for joining us now, this -- a couple found a big surprise in bank account 120,000 dollars
kwhoo did they do spent it joining us right now host of "varney & company" stuart varney to kwae in what what a story. >> what would do you? >> -- spend it. >> you know, i would? >> i might i might, i am not going to say not going to spend it, it is in my bank account they knew that it should not have been there. >> the problem, here is the story, a couple they woke up one morning found they got extra 120,000 bucks decided to spend it bought a camper chevy race car 15,000 wukz to group of friends all well and good bank discovered mistake questioned them separately by the way, and apparently they realized that they should not have spent it. and the bank is now charging them with three felony counts receiving stolen property and charges of theft. so it brings up the question,
what would any of us do if you found a ton of money what should you do, well report it to authorities i guess. what you should not do, is spend it. . quite a story isn't it when you think about it what would we all do? this couple had a thousand bucks in account suddenly extra 120,000 should happen to us all. >> when you peel back onion realize only 00,000 to begin did i have this month or not have this much clearly, you see it that is a mistake that is but three felonies i don't know i am o the fence about this. >> temptation to spend it think of consequences to spending it i guess that is equation. >> i guess so but three felonies okay. thank you i know you have more in 10 minutes time. >> a lot more. >> "varney & company" top of the hour 9m a.m. eastern join stuart breaking news out of at&t activist elliott
management announced 3 and a quarter-billion-dollar stake in at&t up almost 7% live to the trading floor a closer look see what elliott wants from at&t management how do they want the company changed, then under pressure boeing halting tests of wide-body jet doors reportedly blew off in testing. back in a moment. granted. only pay for what you need. ♪ liberty. liberty. liberty. liberty. ♪
maria: all right. welcome back. we are watching shares of at & t this morning jumping 6% after investor -- an activist investor elliott management takes a $3.2 billion stake in the company. the stock is off of the highs this morning. let's get to kristina partsinevelos on the floor of the new york stock exchange where the action is happening. good morning, kristina. kristina: good morning. yes, you have elliott management that also said they believed the shares could increase to $60 which is contributing to that
upsell this morning. the board, though, has weighed in on the time warner merger. we know at & t bought time warner for $85 billion. the board says it's too soon to tell whether at & t can create value with time warner. it's also recommended a third party review at & t to look for some added growth opportunities. in switching gears, though, we talked about a stock that's up about 6%, boeing. we are seeing boeing down this morning. a lot of it has to do with a test of the 777x. this is a long-haul wide body plane. it failed its stress test. the stress test is used to check for heavy loads. supposedly according to the "seattle times" the cargo door actually blew out during the stress test. this is just another hiccup for the company, as many of the 737s, all the 737s are grounded. the company is trying to push out another long-haul wide body plane and not doing so well. back to you. maria: thank you, kristina partsinevelos. still ahead, final thoughts from this all-star panel.
back in a minute. at fidelity, we believe your money should always be working harder. that's why, your cash automatically goes into a money market fund when you open a new account. just another reminder of the value you'll find at fidelity. open an account today. "have you lost weight?" of course i have- ever since i started renting from national. because national lets me lose the wait at the counter... ...and choose any car in the aisle. and i don't wait when i return, thanks to drop & go. at national, i can lose the wait...and keep it off. looking good, patrick. i know. (vo) go national. go like a pro.
obviously. retirement, we're going with a long-term play. makes sense. pet insurance, wait, let me guess... flea flicker. yes! how'd you know? studying my playbook? yeah, actually. maria: welcome back. final thoughts from this all-star panel? >> we have economic data coming out, producer price index and retail sales, i'm looking at retail sales to see if the consumer is still strong. that's the thing driving our economy. maria: that's key. >> looking forward to the democrat debates this week. we will have a big night thursday night. right now, if this were 2015, trump would have run away. is biden going to be the candidate, is elizabeth warren going to continue to have her lead? who will the democratic party decide who they are going to be. maria: will they try to take down trump or each other on thursday night? >> you know what? >> yes. >> i think their whole thing has been about taking down trump.
i don't think it's a smart strategy because we don't know what they stand for. we know what they stand against. standing against everything is not going to get us excited. maria: what do you think? >> they stand for reducing our quality of life and their climate change proposal is immoral. maria: let's get to "varney & company." stuart, take it away. stuart: i bet you didn't watch it all the way through, did you? maria: no, i didn't. how could you? could anybody? stuart: how could anybody? maria: seven hours on climate? stuart: i couldn't take seven minutes. but that's another story. good morning to you, maria. good morning, everyone. all right. as things stand right now before the market opens, the major indicators are again very close to their all-time record highs. hard to believe after all the anxiety and volatility of the summer but if you hung in there, you are looking good. when we open today, you might look a bit better. look at this. the dow is 2% from its high. it's going to open up about 60 points. the s&p, 1.5% from its high.