Transcripts For FBC Cavuto Coast To Coast 20240713

Even, this was hovering a little north of 1200. Through crises and noncrises alike gold continued to steady climb you really cant ignore. What is interesting this is spread across a lot of the commodities. Look at silver front, up an additional 2 3s of a percent. Here is eyepopping. Palladium, so crucial in manufacturing processes, futures market close up to 5 . That is alltime high for palladium prices at 2442 an ounce. Well get into that in more detail. One thing for investors to hedge their bets, go into bonds and all, this Development Goes on regardless of crisis mentality of coronavirus virus. Particularly when it comes to gold. Now to pa late yum. Well get into that in a second. As we rifle through big numbers. Susan li on i latest trend producing them. Susan neil, shock across markets. Floodgates according to one analyst because of impact of coronavirus. Apple warning they will not meet sales targets because factories are closed in china because of the coronavirus. Workers are slow to return. This is the second year in a row apple warned it wont meet sales targets because of problems in china. Last year it was because of consumer demand. Because of the own going u. S. China trade war. This year the epidemic of the coronavirus. Apple of course, because it is such a big heavyweight accounting for 5 of the s p 500, americas Largest Company and the most widelyheld stock when it falls it takes rest of the market along with it. Apple says it wont meet sales targets, it has not given u. S. Revised sales targets for first three months of this year. Jpmorgan says they will ship 10 less iphones than they expected going into 2020. Apple itself has a lot of suppliers across china. It still puts together more than 50 of the iphones sold in china. Top 200 suppliers around the epicenter of wuhan. There are 60 in suizhou and other cities across china as well. Global suppliers are also feeling the impact. It is a globalized supply chain and because apple is such a big company, 1 1 2 trillion dollars worth when it has a cold i guess everybody else catches it as well. Apple suppliers, broad comes, cuervo down in the sessions. We saw that with asian suppliers in taiwan taking a hit during their session. We have u. S. Growth being impacted, coronavirus will probably shave two Percentage Points off chinas growth. When china feels it so does the rest of the world. That is why youre seeing an impact on financials today, seen as a proxy on u. S. Growth. If china slows down that will hurt the rest of the Global Economy as well. That is the impact youre seeing today. Neil, why us to tell you, i think around 175 companies so far have warned in the earnings season that coronavirus will have some sort of an impact, possibly on earnings or profits going forward. Neil that is an excellent report, susan. A good summation where we assistant ride now. Susan li. Take one look at gold, Charlie Brady is the stocks editor, but under the classification of wicked smart tell me right now, given one 1 4 advance today, with this runup, we are now at sevenyear highs for gold. I only keep pounding this to illustrate something. This is not coming in and inflation nary environment. Yes, you have a crisis mentality gripping much of the world with the coronavirus but this has been a steady though jagged climb. Despite all of this, common inflationary pressures, soaring equity markets, today notwithstanding. It is not following a rule of thumb it only enjoys the flight to quality when the world gets nervous. What to make of that with capitalist Pig Hedge Fund manager Jonathan Hoenig and Rebecca Walser and sean ohara. Interesting to see gold benefiting to degree it is gold and pa laid lump alltime highs, that environment is hardly inflationary. Anxious is one way. It has been a steady climb. What do you make of that . Neil, thanks for having me. One thing on the gold front it, has been a safety play, flight to quality or rick off play for a while. It is impacted by the fact there is no Interest Rate yield anywhere in the world so people have to park money places. Gold is always a good store of wealth as far as that is concerned. You have what is going on in china with the coronavirus and effect of that. My view on that, i expect that story will sort of wax and wane, well get good news and bad news, people will say it is worse than everybody expected, say they got it contained. I dont see it as a long term thing. Interesting with apple, i dont i this the demand for iphones, next two years, three years, four years, five years, will be impacted. I think youre seeing short term reaction to the news. Demand for products like the iphone will be deferred to the Second Quarter or Third Quarter well see a spikeup as a result neil youre right on that. This could be simple profittaking. The excuse to sell. The stock is here after a spectacular end of year jump last year i think about that. Jonathan what do you make of that . Now some of the other Technology Names are finally, belatedly joining apple on the selling front here. What do you think of that . Apple is not just any technology name. What i say about apple, what they used to say about general motors, as goes apple so goes the nation, at least so goes the market. As susan li told us it is 5 of s p 500, it is 7 of the dow. It is almost 12 of the nasdaq 100. So it is a major component of the market. Likely found in your retirement portfolio even if you dont actively buy shares yourself. This is a stock, neil, not only influential but tremendously overbought. Up 85 in the last 52 weeks. For apple to kiss its 200day moving average, which is a stock will do on long term uptrend it, has to drop 80 points from todays level this is worrisome indicator on a stock that has had a huge record run. Neil if it were to continue. We have, rebecca, popular Interest Rate gauges, 10year yield note collapsing there. Safe havens are holding up reputation as safe havens, bonds and metals. What do you think is going on generally here . Well i think we still do have resiliency. It was interesting reading about apple. You know they closed all their stores and they have the five in beijing they opened but you have to take your temperature toe go in. They are controlling how many people can shop at one time. Neil youre right. There is a silver lining. There is some control. They are actually reopening the stores. Supply chains are back open. Theyre ramping up more slowly than they expected. We expect it will have impact on q2 going forward. It is what we talked about before, neil many times. 18 month trade war. Ceos had opportunity to realign supply chains outside of china, not heavily reliant on china. Apple didnt really do that. This is another thing chinese based, calling them problems and for all the others. Neil go ahead, make that point, jonathan. Real briefly point on the gold to your point, this is longterm trend and global trend, neil. Already gold is at alltime highs in a lot of other currencies, not the u. S. Dollar. That is one of the things you pointed out. Neil interesting. Gold has been doing well through all types of economic environments even as the dollar is quite strong. There is preference for some tangible assets whether the coronavirus or slowing economy or what not, this trend that persists. Neil sean, when you look at apple, they say timing a luck a lot of times in this case samsung is out the gate with galaxy phones that can do anything but make your breakfast for you, given the time horizon apple doesnt traditionally make offerings until late summer early fall, whether that puts it at a severe disadvantage . That is excellent point, neil. 5g, apple is samsung is far out in front of there may be catching up to do by apple. Jonathan said it is up 85 . The next wave of product will all be 5g based. Unless youre involved, ahead of the curve on that you will probably get left behind. Neil what do you look for rebecca. Focused on apple, isolated to apple. That this is not an opportunity to sell shares for people, hey, we had a huge runup . You can definitely take profit off the table. We need some sort of a resolution that were containing this contagion. We cannot begin to imagine the ripple effects if this becomes a Global Pandemic what we will actually see. We have solid underlying economic fundamentals. We expect a good year with the exception there is asterisk. We dont know what happens with the coronavirus. Lets hope it can be contained. It can be resolved. This is such an unknown. Like acts of god you just dont know. Neil you dont. Neil, that is what is so frustrating. Theoretically contain the virus the economy is a global interconnected hole. What happens in china impacts us here at home whether whether with apple stock or these reverberations are yet to be felt. Neil maybe all of that this isnt addressing that. Thank you all very much. I do appreciate it. I dont think if youre worth in excess of 60 billion you focus on the daytoday gyrations of the stock market but if youre one Michael Bloomberg, youre focused on something more immediate. Try a debate tomorrow. He made the cut. Now everyone seems willing, more than eager to cut him. One of the products i helped develop at 3m was a more secure diaper closure. There were babies involved. And they werent saying much. Thats what we do at 3m, we listen to people, even those who dont have a voice. We are people helping people. Even those [ fastpaced drumming ]. Neil all right. No sooner has he begun rising in the polls, dramatically i might point out, Michael Bloomberg taking advantage of the moment to tout number of plans including wall street reform. Edward lawrence with the latest on that front. Hey, edward. Reporter neil, Michael Bloomberg making 100 reversal on his feelings of wall street as far as back as 2011. In 2011 he said obama era rules on wall street were punitive actions against the markets. Now he wants to reinstate those rules and expand them. He wants to add to the volcker rule. He says banks should be under more string again stress tests. To be able to be a sore more losses hold on more money. Not lending out as much. He wants fannie and freddie handling all the mortgage industry. He wants to expand the Consumer Financial protect bureau not just pay day loans but auto loans and credit bureaus. He wants to create a doj unit to go after corporate corruption. Bloomberg plans to add a 1 financial stance action tax, to address what he calls wealth inequality. As bloomberg spends more on ads himself, rising in the National Polls more on what he says is being used against him. Listen what he said in 2011. There is enormous coheart of black and latino males, say 16 to 25, that dont have jobs, dont have any prospects, dont know how to find jobs, dont know that, what their skillsets are, dont know how to behave in the workplace. Reporter bloomberg also saying that farmers dont have the gray matter to be able to handle other jobs and that farming is quite easy. Bloomberg trying to grab headlines today to avoid what he said back in 2011 and other things he has said as he is now on a fourstate Western State tour. Back to you, neil. Neil thank you very much, Edward Lawrence n washington. To Bloomberg Campaign pollster doug schoen. Doug, what you hear stuff like that, these tapes coming out almost like a pez dispenser, you say oh, boy, i have a tough day today . No you say the opponents across the board are doing everything they can to hit mike. Some of what is released is taken out of context. Some of it is straightforward assessment, analysis of difficult problems and some of it, like his advocacy of stopandfrisk he has repudiated, apologized for it and outlined a very, very aggressive criminal justice reform. Neil clarify remarks he made. A lot of people are saying, we know you hopped between parties over the past. Yep. Neil but you hop between positions as well. Is he, is he trustworthy . I have worked for and with mike for 22 years. Would i tell you he is one of the most trustworthy people i meet in my life. Neil how do you advise him on this . Youre a pretty straightshooter. How do you advise him . We have some problems. The more of these that pop up, more you have to apologize or clarify your position the more problems you have . Well he is at 19 in a poll released today. Neil i saw that, is that posta lot of this release or prior . It was done through the weekend and neil okay. And monday. Neil so he is absorbing the body blows . Absorbing them, going up. You know, i dont think the voters sit the way we do, neil, parsing every release of every tape trying to judge what he said 10 years ago in the context of today. I just dont think neil think what theyre doing, youre the expert here, theyre trying to sort of get a position, or framing a story about Michael Bloomberg, that you cant trust what he says. How do you, as his pollster counter that . Well he is getting very high favorable ratings in our polling but certainly the public polling 70 odd percent of american people, democrats like Mike Bloomberg. Neil he will be a pinata tomorrow night. How do you deal with that . He will answer that. He is a straightshooter. He is credible and candidate. I think he will tell you what he thinks. I think let the chips fall where they may. Neil Bernie Sanderss support which is not quite the same story here, dirty little secret he is surging. Yes he is. Neil people lose sight of that. Which lend me to believe maybe that is the unwritten story, the bigger worry for Michael Bloomberg. It is a very big worry certainly for Mike Bloomberg but i think for every democrat because i think if Bernie Sanders is the nominee he will almost certainly lose. I used to say that about donald trump if he were the nominee . I would say polling always showed he had a real shot particularly against hillary but i neil he leads in National Polls against donald trump. He does but lets wait until bernies ideas get exposed. Neil, i dont think too Many Democrats took their honeymoon in the soviet union and praised the social arrangements of socialism to this day and communism in the past. Neil maybe they went for the architecture. We just dont know. I have seen the architecture. I can recommend a lot better places than moscow. Neil help me with the latest thing, he wants to prove as former wall streeter he can go after wall street, i get that but is it your sense if he ever became president , just like any other candidates, raising taxes, going after wealthy people. There is not much of a difference there . No, i think there is a real difference the fact mike is looking for greater oversight of banks when we had problems since 2011 is a fair and reasonable position. He makes decisions on the merits. I have never seen mike enter into a political judgment about his policy orientation. I think he would be different and i think he would be a terrific president. Neil do you think donald trump fears him the most . I think absolute certainty fears him the most. Mike bloomberg is hon to god megabillionaire. He is willing to spend his money to tell his story. He is going toetotoe with trump on issues. Frankly when trump wants to on the insults. So i think neil are you saying he would get down in the gutter, trade insults, whatever it takes. When trump attacked he responded whatever it takes, he responded, neil. Neil you would tell him to do that. I would say with donald trump you have to fight fire with fire. Neil thank you, doug schoen. Neil, thank you. Neil we have a lot more coming up with bill gates snubbing tesla. You wont believe the car he bought instead of a tesla car and you wont believe how elon musk responded when he did. After this. Been refreshed because our business is you. Get the lowest price guaranteed on all Choice Hotels when you book direct at choicehotels. Com. And my lack of impulse control, is about to become your problem. Ahh no, come on. I saw you eating poop earlier. My focus is on the road, and thats saving me cash with drivewise. Neil all right. Apple the stock has not been impacted from apple saying it will likely miss right now. Scheduled for mass producing a more affordable i phone because of the coronavirus outbreak. This is coming from sources at the company. This dovetails with the notion because of coronavirus, production, manufacturing in that neck of the woods, i. E. China, will be impacted that only stand to reason that will impact the introduction of a cheaper iphone which was planned late summer. The stock down the stock down nine bucks a share at 316 a share. Walmart earnings, outlook coming up shy with a disappointing Holiday Season. It wasnt bad news. A lot of folks look at walmart much as amazon a take on the american consumer. Jackie deangelis with the latest from the new york stock exchange. Reporter good afternoon to you, neil, thats right. Walmart missing on its Fourth Quarter earnings and revenue. Revenue was 141. 7 billion. It was a little bit light and the eps was a 5 miss. The Company Reported samestore sales, grew only 1. 9 that was less than the 2. 3 that was expected. These were things that were negative. Says toy sales, apparel sales impacted quarter. It expects weaker guidance because of slowing growth in the ecommerce. That grew 35 in this quarter. But the expectation it will slow a little. On the coronavirus, it is tempering its outlook obviously has huge china exposure. One of the executives said majority of stores in china reduced their hours. Could be negative impacts in the First Quarter. Not all bad news. Three points you need to think about. As a bright spot it raised the dividend up four cents to 2. 16. Grocery sales on two year basis is the best they have seen in 10 years. Despite the weakness in the Holiday Season they said the year got off to a good start. So the stock is trading higher, one of those little mysteries. Tesla trading higher. Bernstein more than doweling the price target to 730 bucks, although well above that at this point. Morgan stanley raising its target from 360 to 500. Looks like the street still has a little room to catch up where the stock price is actually, neil . Neil jock kay, thank you very, very much. Uncle sam perhaps in the business of auctioning off billions of dollars in bitcoinses seized from criminal criminals. Kristina. Reporter four thousand bitcoins were recovered from criminals but civil cases as well. Totaling 39 billion. Not available for everyone. Not for me or a lot of people listening right now. You had to make a 200,000dollar deposit to participate in the auction. Bitcoin worth 9912. Still off the high of december 16th, 2017. By the way it came crashing down to 3,000 bucks a year after. Talk about volatility . So many bulls on the street thinks the price will jump up in the next months. I talked to someone who said im optimistic about bitcoin as institutional adoption continues. More trusted trading venues become clear and macro concerns help bitcoins narrative. Recently the treasury secretary Steve Mnuchin threatens, this is about five days ago threatened to regulate bitcoin and cryptocurrencies. I spoke to the author of cryptocurrency investing for dummies. She said that is not possible. This coin is not the u. S. Property to regulate. Bitcoin is very international. If any government, if governments want to regulate bitcoin, probably all the governments on earth have to come together and come up with a solution. Reporter bitcoin as we know is a decentralized digital currency. They dont have a central bank. There is no single american straight tore like our guest said like the government. Making it all the more difficult to regulate but you can be sure, banks and governments, bigtime investors are paying close attention to this volatility. Will it climb, neil, to 100,000 . That is some of the bull prices that im seeing . 100,000 for a bitcoin neil i dont get it. If you think about it, the government was supposed to be afraid of the implications of bitcoin. Now profiting off a sale of it. It is weird. Reporter exactly. Today is the day. Neil thank you very much. Great report. The president set to make a rare appearance in california as part of a big fundraising push. What is at stake when he does . After this. Neil all right. The president head towing california today, as part of a fourstate tour ahead of super tuesday. Blake burman what the president plans to be doing. Reporter four states over four days as the president heads out west. When you look at the itinerary. Part of it is official white house policy another part of it is has to do with fundraising. Another part has to do with the president ial campaign. Lets look at the last two. Two different fundraisers out of california. One today in beverly hills. Another one tomorrow that is getting a lot of attention as the president will be attending a fundraiser hosted by Larry Ellison, of course the cofounder, ceo of oracle fame. There are some reports out in california that that fundraiser could fetch up to 250,000 per person who attends out there in Rancho Mirage tomorrow. The president will head to nevada, arizona, colorado. That is where the campaign aspect of this comes in as well. Those are states that the Trump Campaign says they feel they can both protect and expand upon coming up here in 2020. The president s trip will end with a rally in colorado, a rally in arizona, but also won in nevada on the eve of the nevada caucuses there. As you know, neil, the president did a rally in New Hampshire on the eve of the first of the nation primary there. He will do the same in nevada. I was speaking with a Campaign Official a little while ago, asked them why they are doing this, why they are seemingly following the democrats there . And it is pretty simple, neil, it was pointed to me in the New Hampshire rally, 25 of those in attendance according to the Trump Campaign data were democrats. They say in the New Hampshire rally as well, 17 of folks showed up to that event did not participate in the 2016 election. This is another opportunity for them to get more data in some crucial states. It is interesting to note as well, neil, the campaign haas been talking about, well maybe oregon is potentially in play for the president. But as he heads out west, nevada, colorado, arizona, no oregon on the west coast schedule. The president should leave the white house any moment. Were getting some of his thoughts today as he has been taking to twitter. We learn Michael Bloomberg hit 19 in a National Poll and will be taking place in the upcoming debate this was the president s take earlier today, tweeting out at one point, quote, the crooked dnc is working over time to take the democratic nomination away from bernie again. Watch what happens to the superdelegates in round two, a rigged convention. That is the prediction from the president this morning. Neil. Neil obviously he is betting on Bernie Sanders not winning first ballot. When superdelegates come in it could get interesting. Reporter not betting anyone winning on the first ballot. Neil thank you very much, blake burman, when he meets up with Larry Ellison, that guy is richer by far with Michael Bloomberg. He has net worth 69 billion. Versus 60 billion with Michael Bloomberg. What is remarkable Larry Ellison started with data based software. That is colating names and what people and customers are doing. Building oracle into a behemoth it became making him wealthy. Few people were not betting on him in the 70s, but one of the worlds richest people, only in america. We have point bridge ceo hal lambert on the push to get money if you dont know billionaires. Bernie sanders swears them off. Elizabeth warren will have nothing to do with them. But here is the problem. None of the brokerage types, Investment Banking types, want anything to do with these candidates. So i dont know if that is such a good position to be in. It is what it is. Hal, what do you make of that . I think it will be tough for them. You know, President Trump came off his best Fourth Quarter fundraising, best number so far with 46 million in the Fourth Quarter. Add that with the rnc and their committees, you have over 150 million just in the Fourth Quarter for the republicans. They have with the two, 190 million cash on hand. Theyre set up nicely going into 2020. You have Bernie Sanders and Mike Bloomberg looks like the two battling it out in the end and theyre very, very different. Neil, i will say this, i vane heard anyone say this before but i think Bernie Sanders winning the nomination might be the best thing that could happen for the democrats and heres why. Look, if Bernie Sanders doesnt get this nomination, his people are going to feel like Mike Bloomberg bought his way into this and stole it from him. I think their party could split. If Bernie Sanders gets the nomination, yes he is very likely to lose to President Trump and theyre likely to have a big blowout in 2020 but guess what . At that point they can put the Bernie Sanders coalition on to the kiddie table and move on as a party. If they dont do that this time and Bernie Sanders people feel like they have had it stolen from them, bloomberg goes out and loses, it could be a real big problem for the democrats going forward. Neil that is assuming it got to that point. That Michael Bloomberg would lose. Talk about financial advantage. Bloomberg would have billions to spend on the race. That is something the white house might fear. What do you think . He will have billions but at some point you can only run so Many Television ad. Youve got to really get out to campaign. Mike bloomberg hasnt really been doing that. He sat out the first states. He is not doing any kind of real campaigning going out and neil he is in the debate tomorrow. That will decide a lot, wont isnt. I think the debate tomorrow will be very interesting. And youre going to see people really going after Mike Bloomberg in the debate. Well see how he handles it. Mike bloomberg is very successful in business. He probably hasnt had anybody Say Something back to him in a stern way in a very long time. If youve been in that world, you havent had the attack on you, youre not used to it. It will be interesting to see how he handles it. Neil it will be good appointment tv. Hal, always good catching up with you. Thank you. Neil fiery end to the daytona 500 if you werent watching. The latest on driver ryan newmans condition after crashing across the finish line, after this. Their medicare options. Ere people go to learn about before theyre on medicare. Come on in. Youre turning 65 soon . Yep. 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Anyway, nascar driver, ryan newman remains in serious condition after last nights fiery finish to the daytona 500. Fox newss Rick Reichmuth joins us right now. I caught very good video himself that he took. It was startling. How is he is doing now . Reporter his Team Released another statement thankful for the outpouring of support and love but no further information about his condition which last night at 10 04 they updated he was in serious condition without any lifethreatening injuries though which was wonderful news for the fans who were so worried. It took over two hours to get the statement after the finish of the race where that fiery crash happened. I tell you, they are used to fiery crashes at the end of these races however it has been 19 years ago to the day Dale Earnhardt died at this exact race. Since then they have made incredible improvements to the cars and the track that increased safety. Since then fans are accustomed to the really extreme crashes. This one was certainly one that caught a lot of fans, i guess i would say offguard and worried them including the winner denny hamlin. I had a chance to talk to him after the race to get his thoughts how he felt about ryan newman and the crash at the end. Take a listen. These races get so crazy at the end, you know something is bound to happen. We dont like to see them upside down by any means, especially getting hit while upside down. That is the scary part. Were praying for him and his family. Hope everything is okay with him. Reporter i happened to be on pit row taking video of the end of the race. Then that crash happened. Normally at the end of one of these erases the crowd erupts with excitement over the win. This was a bit different. You could tell they understood the intensity of this accident. It got them all by shock and into worry for two hours until they had any kind of information. I will tell you aside from that, the great news he is not in lifethreatening condition. It is also a win for denny ham minute. Not only his second in a row but the his third in the last five years. Talked to him about what this kind of a win means for him personally and and for his team. Here is what he said. I would never dreamed we would have success the race we would have. I never dreamed i would be in the race much less than three daytona 500 trophies. Theyre all really special and happy for my race team and really happy 2020 started off this way. Reporter certainly, dampened enthusiasm right after the race as denny hamlin was trying to also get information. They certainly didnt feel like celebrating that much with this kind of a crash. Today they know he is out of a lifethreatening situation. Certainly a great win for him. Yet we still wait on anymore concrete information about how exactly ryan newman is doing. Neil . Neil thank you my friend, very much. Rick reichmuth in the middle of all of that in daytona beach. Well keep you posted on his condition when we get updates as they become available meanwhile, what do you do if you live in a state, youre a republican and your state again and again votes democrat, you want out of the state, or, or, you want to join another state nearby. That is exactly what is happening in oregon. William la jeunesse with details. This sounds intriguing. Reporter they live in the same state with different worlds with conservative oregon want a divorce from the liberals in portland. The goal to make much of portland part of idaho, youre saying it will never happen but let me tell you why it could but probably wont. Statewide initiative would likely lose. Those behind the effort are going county by county asking local politicians to put the question on the ballot. So far two counties approved, douglas and jess seven mean. Supporters need to gather enough signatures. Some counties as little as a few hundred, to a few thousand. That is the easy part. Assuming they win locally, the group needs to get approval from majority of lawmakers in idaho and oregon and u. S. Congress. This is not about politics but lifestyle and value. They see the culture in idaho most closely aligned with theirs. Rural counties are increasingly outraged about laws coming out of the Oregon Legislature that threaten our industries, livelihoods and gun rights and values. We tried to vote the legislators out. Rural oregon is outnumbered. So were ignored. This is our last resort. We see many urban rural divide. 37 out of 50 states have one Party Controlling the government in the statehouse. This is tension in some states worse than others. Neil novel idea. William, thank you very much. It was a big deal couple months ago when i learned my son became an eagle scout. They were the news that the boycotts of america just filed for bankruptcy. Incredible. What happened . What happens now . After this. Liberty biberty cut. Well dub it. Liberty mutual customizes your Car Insurance so you only pay for what you need. Only pay for what you need. Liberty. Liberty. Liberty. Liberty. The new rx. Crafted by lexus. Lease the 2020 rx 350 for 419 a month for 36 months. Experience amazing at your lexus dealer. Neil could the boy scouts simply go away . The boy scouts ever america filing for bankruptcy after decades of sexual abuse claims they can illafford to play. We have former federal prosecutor katie jakosk independent. What will happen . With the boy scouts filing bankruptcy at this point, it will give some victims hopefully compensated for some abuse they suffered. The organization acknowledges that. This is the First Step Towards trying to reasonably deal with that. Neil what was breaking point, to hear the finance guys on the boy scouts of america tell it, some of these cases could go back many, many more years, opening up a floodgate of new suits. What are you hearing . Exactly. There was some issues with statutes of limitations that got changed to allow individuals that had incidents that occurred a long time ago to come forward to make claims that would have previously been barred. So that did open up a lot of Different Cases and potential financial obligations for the organization. Looking at the lash of cases they realized that the finances were just not going to make sense. Neil how would they responded to this versus the Catholic Church and the priest abuse claims . And also, priest abuse claims that could go back much further than they were allowed in the past . How is the church been able to deal with that, yet not the scouts . Well, it all comes down to finances in a lot of respects. So when you look at organizations whether they can pay out settlements or judgments really comes down to what is there. They can order a judgment on an organization but if there is no money to pay it out it is really, it doesnt have any practical effect. So this is a step in the direction to try to come to some resolution in that respect. Neil im just curious, what happens if, you know, obviously in bankruptcy kind of everything halts for the timebeing but is this so severe that the boy scouts could soon be a memory . I think that remains to be seen. I think at this point there is not a good idea about the number of suits coming forward, number of claims come forward and how the settlement structures will be set up, how much they take from local councils versus the organization at large. So it is all a big question at this point. Unfortunately for people that have good experiences with the organization but there is obviously very dark side to the story as well. Neil youre right about that. It is sad though. Katie cher koskie thank you very much. The dow off 211 points. Off the worst level of the day. The catalyst for much of this, 80, 90 points of this remains apple exposing itself to problems in asia, particularly china, delaying production there, even those cheaper iphones which theyre planning on, counting on, by late summer, early fall. Not going to happen. More after this. Thats why we go beyond the numbers. T. Rowe price. Invest with confidence. With our moving and storage solutions. Pack what you want, we store it for as long as you want. Then, we deliver it where you want, so whether you need to move or store your things, pods is here to help you with flexible moving and storage solutions. Theres a company thats talked than me jd power. People 448,134 to be exact. They answered 410 questions in 8 categories about vehicle quality. And when they were done, chevy earned more j. D. Power quality awards across cars, trucks and suvs than any other brand over the last four years. So on behalf of chevrolet, i want to say thank you, real people. Youre welcome. Were gonna need a bigger room. Neil all right. The coronavirus has been out for months here, but when a major player like apple says you know what, its hitting us, it will delay production, it will affect manufacturing, and it could even impact those cheaper phones we have been promising for late summer and the fall, then it has a cascade effect not only on apple leading the way and accounting for about a third of the loss we are seeing in the dow, but more particularly, whats happening to other ancillary issues, 26 of the dow 30 stocks are feeling the pinch right now but again, it is not a significant a hit as you would have thought. Gold shares are rallying right now. Gold is in and out of sevenyear highs. Take a look at palladium, a key industrial metal. You can take that argument and say all right, if theres going to be a Global Manufacturing slowdown or delay, that doesnt make sense but it makes perfect sense today, alltime high for that particular precious metal, valuable in everything from catalytic converters which i understand are in cars and a host of other things. We will keep you posted on that. We have the latest update on this outbreak that is prompting these warnings from so Many Companies like apple. Yeah. The situations especially serious in china, where chinese authorities announced the death of a hospital director in wuhan who apparently became infected with this new coronavirus while treating patients on the front line. The death underscores the dangers that medical workers face in that country, which continues to bear the brunt of this coronavirus outbreak. About 99 of all cases globally. Nevertheless, the World Health Organization said its time for the rest of the world to prepare. The w. H. O. Is sending medical supplies and testing equipment to dozens of countries. Countries have been sending samples to other countries for testing, waiting several days for results. Supplies will speed up the Testing Process. More than 500 people have tested positive for coronavirus aboard the diamond princess cruise ship which is still quarantined at the japanese port. Today, Japanese Health officials announced they will begin releasing several thousand other passengers and crew who test negative on wednesday, but the whole Testing Process may take several days. Here in the u. S. , more than 300 Passengers Evacuated from that cruise ship aboard state Department Charter flights, remain under 14day quarantines at u. S. Military bases with some high risk individuals sent to the university of nebraska medical center. But even with increased screenings at u. S. Ports of entry, federal Health Officials say its possible some infected persons may enter the country undetected. The cdc is doing sentinel surveillance by, in five cities, taking a look at people who present with flulike symptoms but are negative for the flu, to see if they might, in fact, be positive for the coronavirus. For now, u. S. Health Officials Say the risk to the general public inside the u. S. Is low. However, they are preparing for all possible contingencies out of an abundance of caution. Neil thank you very, very much. You talked about the impact on apple, technology stocks, the dow itself. The beneficiaries have been the precious metals, even bonds. Interest rates coming down. When Interest Rates come down, that can provide a floor to some of the selling. What to make of that right now with eric gibbs of gibbs wealth management, the president there. We also have danielle dimartinobooth with us, the former dallas fed adviser and Charlie Gasparino. Erin, let me begin with you on the market reaction. Is it an overreaction . What lit the fire here . The fire has been around awhile. Was it apple signaling hey its apple. Because we i have been looking at estimates and for First Quarter growth has come down from about 4 to 1 . Thats a big shift in what we are expecting companies to earn for the First Quarter. I think the reason most wall street and generally the markets brush it off is because they view it as temporary. Yes, we will slow down for the First Quarter, maybe the Second Quarter, but we will bounce back. It will be fine. I think this is bringing it home that this might have a bigger impact on your total year, on your overall look, and this might be really have an impact, it may not be a complete full recovery or snapback right away. Neil gold is one thing, bonds are another, right. So if Interest Rates are coming down on the fear that its going to slow down the world, first of all, is that a justified reaction that you see . Well, i think the bond market is acting a lot more rational and has been acting a lot more rational from the getgo versus the stock market, whether you are talking about the u. S. Stock market or if you are talking about the chinese stock market which has recovered all its losses since prior to the virus outbreak. Which is really just remarkable. But even Goldman Sachs came out with an interesting report, 68 major publicly traded companies are going to be affected, they have major sales exposure to china. This is 3m, yum brands, for example, 24 of all chinese Auto Supplies are exported into the united states. So this is something of a supply shock, if you will. If you remember the late 1970s and the fact there wasnt enough oil to go around and that caused prices to go up neil i wasnt even born. I heard about it. You read about it in history books, right . Neil all of a sudden, its a delayed reaction but its well over lows. What do you make of it . I pumped gas in the 70s. I remember. There was a whole thing where certain plates could get it, oddnumber plates. I remember all this. I would say this. Theres a lot going on here. Manufacturing took a hit because of the trade war stuff, okay. So thats the fact as you pointed out, corporate earnings. We will get corporate earnings decline just because of trade in general. So this adds another level. I still think its kind of overblown. Until we start really seeing like this thing break out worldwide, listen, markets are all about overreaction and correction, right . Its always about like, you know, the random walk is never quite like a smooth path. Its always, it goes one way and then when more information comes, it comes back. I think my guess is listen, if there was one place to get the coronavirus, its probably in a dictatorship that can shut down the country, i. E. , china. They are pulling like mao sort of stuff over there. Or on a cruise ship where you cant get off. So it seems like theyve got it contained. There will be, i hate to say look on the bright side, a demand side result here, you know, you will have to produce vaccines. You will have to produce stuff. Neil in other words, its been delayed but not denied. Stephen moore knows that. Steve, what are you seeing now likely as a result of all of this, that for your bread and butter business, delayed shipments, delayed deliveries, what . We are expecting to hear, to see some delays. Its really too early to know the full scope of what may or may not be happening. Factories are beginning to turn back on, companies are finding that, you know, theres some difficulties getting their employees there. They have to have their employees screened. They have to make sure they have enough face masks for their factories to turn on. We are hearing, of course, that factories are starting to produce and starting to make shipments, both of materials as well as finished products. One of the things you have to remember is Companies Really exercise abundance of caution. They want to make sure their workers are safe. They are not going to put their workers in harms way. I think thats going to be a reason why you will see a slow startup. Neil we should point out, to your point, volkswagen, airbus and toyota, to varying degrees, at varying factories, are opening some of the shuttered factories in that region. Dont know how many, dont know how soon, dont know how many hours. But i flip it around and wonder, are a lot of Companies Going to cling to this as the excuse du jour, if not for this, we would be doing a lot better . Absolutely. This is going to be the dog ate my homework excuse for First Quarter earnings. Absolutely. That will be everyones line. The big thing wall street will be looking for, is this going to be a one quarter event, two quarters, three quarters. For Certain Industries, i think this could definitely be a three quarter event where it really takes a long time for that demand to come back, like your energy materials, construction, machinery, stuff like that. But other companies, its going to probably be a very quick bounceback and you will see that pentup demand zoom back as soon as production manufacturing was in kind of a recession already. Thats got to impact corporate earnings. This has to add a little to that but its mostly because of the trade stuff. Neil you look at the apple situation there, it grew a little bit but it hasnt affected microsoft or amazon. This might be deemed isolated but what do you think . Again, i would go back to data that show this is much more widespread when it comes to companies with sales exposure, as well as supply chain exposure. The number one exporting company for chinese Auto Supplies is general motors. You can only all you need to be down is one part. Thats it. Youre not making the car. So i think right now, we really are it remains to be seen kind of a situation. There are no easy answers. But whats interesting, to erins point, we have seen wall street strategists begin to take down their Fourth Quarter earnings estimates. So i think that there is going to be a vshaped demand response in Certain Industries and i think Certain Industries will take a lot longer to get back on their feet. If you are the average guy or woman with a portfolio, you know, theres a couple ways of looking at this, i think. You guys tell me. I would take some profits maybe now. I would not go totally into cash or Something Like this. Because in a low Interest Rate environment, tesla is trading at 800 a share. I get it, its a great car. I get it. Hes a brilliant guy. Look at the numbers there. 800. Manufacturing, one of the Biggest Industries is autos. Tesla, specifically that industry, is one of the most vulnerable. To your point [ speaking simultaneously ] low Interest Rate environment, i hate to say it, we have a bubble. The bubble is there until its not. You know, i remember foster freezen in 98 said we are in a stock market bubble, went totally into cash and missed a years worth of earnings that even a Nobel Prize Committee that used to have its money with the fund, would pull it out. You can be wrong and right at the same time. Neil just a year early. A year. Neil big year. Friday wasnt that long ago that we were at a fresh alltime high close. Nothing really has happened in the space of less than one trading day here. Nl neil but we do have a musical graphical package around the apple story. If you could work with us. We have a lot more on that, including more graphic packages on that whole situation and also monitoring the president. Hes about to depart for california. He will be on a fourstate visit, raising a lot of cash. Larry ellison, the oracle founder, one of the few on the planet richer than Michael Bloomberg. Hes worth around 69 billion. Not that much. Neil not that much. When it comes to using data, everyone is different. Which is why Xfinity Mobile created a different kind of wireless network. One that saves you money by letting you design your own data giving you more choice and control compared to other top wireless carriers. Now you can choose unlimited, shared data, or mix lines of each and switch any line, anytime. No one else lets you do that. Design your own data with Xfinity Mobile. Its wireless reimagined. Simple. Easy. Awesome. Neil Charlie Gasparino broke it, now the white house is going to detail it, expected to announce soon that former illinois govern oor Rod Blagojevich will be receiving acommutation. Berna berna bernardcarick will be getting an outright pardon. Charlie gasparino was on hours and hours ago, congratulations to you, young man. What do you know about this . Charlie the president has been speaking with friends of his and associates, even people in the media. I dont want to say who, to gauge their opinion about this, to the man or to the woman, from what i understand, it was like okay, lets take berniekerik, break down exactly what he did. I dont know all the details of the blagojevich case but i know bernie. I was very aggressive covering bernie. I still think he deserves a pardon. I have known him for many years. I actually like the man. If you think about what he did, they got him for lying, see if i got this right, lying theo a ba on a Mortgage Application about the source of funds that he already paid off the mortgage. It was something that you really have to come to someones financial history to unearth, to put him in jail for five years or i think he served three of the five. You look i mean, awhile. Blagojevich neil he was trying to sell his senate seat, right . Barack obama had when he moved on to president. Charlie saying can you imagine how much money i can get for this thing . It reminds me heres the one thing you should know. I dont know who was the prosecutor on bernies case. I think on the facts, bernie did not deserve to go to jail. He could say im sorry and move on. But blagojevich neil why all this interest . Charlie blagojevich, think about who was the prosecutor on blagojevich. It was comeys best friend, that dude fitzgerald, the guy from chicago, and this has got to be in the back of trumps mind, im going to stick it to comeys best friend, his adviser. I think his name is michael fitzgerald, he was u. S. Attorney in chicago, for illinois, that district of illinois. He was the guy that brought the case against blagojevich and its got to be that hes looking to jam it into comey and fitzgerald. Thats what blagojevich is about. I think bernie is like an outpouring of people that i know that know trump and know bernie, said mr. President , just consider what he did. It wasnt it was neil he was Police Commissioner during the whole 9 11 thing. Charlie not only that. What he did was so picayune, the guy didnt deserve to go to jail. Neil one of the things this tees up is the possibility the president could do the same for roger stone, for michael flynn. Hes been very busy with pardons and all. They normally happen frenetically at the end of an administration but hes been busy there. What do you think the impact is . This is the time that you do all the pardons, right, towards your end of your term. Neil usually the last one. Usually the last term. Yeah. [ speaking simultaneously ] when you know youre going out, so this is a little unusual, but its a little early. It looks like hes assuming hes going neil hes not worried about political impact here. He wants to control the narrative. The democratic debate is what, tomorrow . Thats going to be the narrative. Now this will be the narrative. One thing about trump is, i give him this, you know, i dont like his demeanor often neil you should see what he says about you. Listen, i want you to know i have known the guy for years and really liked him. I have just never seen him act like this, rallies and doing all this crazy stuff. Neil you dont think this will have any damaging effect . You know, listen, the country is so divided. His 40 aint moving. The dems 40 is probably not moving. Theres the radical middle and depending upon how radical i think is the democratic candidate, is it bloomberg or is it biden, bloomberg or some neil the sweeping power of president , no matter how popular, only the president has. Its a big deal. Governors have it in their state. If you want to increase the divide, this is a good way to go about it. When trump said he could tell the attorney general what to do, he actually can. Thats why when trump says like he can do a quid pro quo with the ukraine, i hate to say it, he kind of can. Neil lawyers argue that point. I do want to say the president does plan to depart very soon for the west coast. Jonathan hunt on that. I guess whether any of this stuff will be coming up, i suspect it might. Whats the latest . Reporter im sure it will be coming up, neil. The president , he was due to leave a short time ago from joint base andrews. He appears to be running a little late. Either way, hes due to land here in l. A. Around 3 00 p. M. Local time, 6 00 p. M. Eastern, then he will head pretty much straight here to beverly hills. First order of business for the president , when he gets here, is a meeting with the l. A. 2028 olympics organizing committee. That, as you might know, is a nearly 7 billion project. The president has been a big supporter of getting the olympics here to l. A. Thats going to include that sum, by the way, around 2 billion in security funding. A lot of that will come from the federal government. President trump will be discussing all of those issues. But this is a big west coast swing hes doing this week, neil, and the bigger purpose of it is firing up his base and raising millions of dollars for the 2020 campaign. To that end, he will be having a fundraising dinner with supporters, venture capitalists, real estate developers, here at the Montage Hotel in beverly hills. Then tomorrow, he is also having another fundraiser, that is at the estate of oracle cofounder Larry Ellison. Thats out in Rancho Mirage close to palm springs. As part of this extensive western swing over the next few days, he will be in las vegas this week. Remember, of course, the Democratic Candidates for president are debating there tomorrow. No coincidence, of course, that President Trump chooses to spend some time in vegas during the same week, trying to steal the limelight in a sense, as the democrats debate, and then of course, they have their caucus there on saturday. The president also due this week to travel to colorado and arizona, rallies there, again firing up the base. And tomorrow, one other stop on his agenda. Thats in the Central Valley of california, one of the few republicanleaning areas in this very blue state. He will be in bakersfield. He will be talking about water rights there and offering some very vocal support to House Minority leader kevin mccarthy, who of course was a big supporter of the president during the entire impeachment process. So this is a long several day western swing for the president , neil, and really, its all about firing up the base and raising a lot of money as we get closer and closer to election day 2020. Neil . Neil you are just back from vegas, now you are in beverly hills. What happened, the poconos was closed . Reporter i was having a great time in vegas. Neil i bet you were. Reporter until you very publicly called me out for the amount of time i was spending at the breakfast buffet. Then fox said hook him out of there, hes getting too large. Neil i was just jealous. I dont think you have to worry about getting too large. Great job, my friend. Thank you very, very much. We should put him maybe atlantic city, Something Like that. A lot more coming up right now, with the dow down about 201 points. Had been down close to 300. Apples the one to watch. That stock still getting creamed, although now its off better than 7. It had been off about 10. More after this. Flexshares may look simple on the outside. But inside every etf. There are untold hours of careful construction. Infinite what ifs . And contingency plans. Creating funds that help target gaps in client portfolios. Tap untapped potential. And strengthen confidence in you. Flexshares. Powered by over a century of investment expertise before investing consider the Funds Investment objectives, risks, charges and expenses. Go to flexshares. Com for a prospectus containing this information. Read it carefully. For a prospectus containing this information. Tits great actually, ive been listening to audible. Its audiobooks, news, meditations. Gotta go hey you know, i do think its weird youve started commuting when you work from home. Ill be in my office. Download audible and start every day off right. Neil all right. Manufacturing companies are searching for workers as the industry anticipates what they call a blue collar boom. Grady trimble in illinois with a look at, what, that boom to come. Grady . Reporter well, thats what the president calls it, and manufacturing and construction jobs make up 20 million jobs in the united states. Those workers, they will be crucial votes come november and thats why the president and the Democratic Candidates are trying to win over Blue Collar Workers like the ones right here. Yes, its very nice to be stable. I dont see anything going backwards. Ive seen it Getting Better and better. Reporter these two are benefiting from a blue collar boon, President Trump would say. The Unemployment Rate is the lowest in over half a century. Reporter the president is staking his reelection on a Strong Economy and hoping it wins over manufacturing workers like them. Over the last few years, employees at conveyor accesso accessories in suburban chicago have been working more hours and making more money. Manufacturing jobs have grown by nearly 4 under President Trump. For that, flores says the president deserves some credit. If it aint broke, dont fix it . Yep. Leave it the way its going. Reporter iron worker harry benton says he isnt seeing that same economic spark. I have had some of the worst years i have ever had during this administration. Reporter why is that . Just inconsistency with jobs, lack of jobs. Reporter the Blue Collar Union member plans to vote blue in november. The choice isnt so clear for others, despite the growing economy but they are exactly the kind of voter President Trump needs to win over in industrial states. If things are good, you know, come november, would you rather keep things the status quo than change things up . If things are stable, im fine with it. Reporter as you can see, the workers we talk to have diverse political views but one thing they all agree on is that when they go to the polls in november, one of the top issues that they are paying attention to is the u. S. Economy. Neil thank you very, very much. The latest on that blue boom that will probably be a subject of the big debate tomorrow. You know whats getting a lot of buzz this week . Forget about the coronavirus. This new sneaker that ties itself, if you want to set yourself back 400 bucks. I think its that. It will tie it for you. When you get to be my age, you start saying you know, thats not a bad idea. The guy behind it, the shoe itself, and all of these guys, including that heel, Charlie Gasparino. See what i did there . Basic cable. President trump warned the Drug Companies. Its unacceptable that americans pay vastly more than people in other countries, for the exact same drugs. But they arent listening. Theyve just raised the prices of over five hundred drugs. President trump supports a bipartisan plan, that would force Drug Companies to lower prices. But the senate wont act. Tell Senate Leaders to stop Drug Company Price Gouging and lower drug prices now. Neil you know, it was the tough purchase of the week. Nike releasing a 400 selflacing basketball sneaker thats all the rage and now, just finding these and getting them, well, thats become the rage and people are enraged when they cant. Sneaker designer and reviewer seth bower has brought a pair on set. The big draw, i guess, they tie themselves . They do. Neil how does this, maybe you can illustrate. How does it work . Basically you can either tie through an app on your phone or if you want to make smaller adjustments you can press the button on the side of the shoe. Neil wait a minute. Theres an app on the phone . That would be kind of fun no, no. He had me at the lights. Neil wow. So what makes them 400 . I believe its the technology in the actual shoe itself. You have not only a motor in the midsole but also a battery, and of course it leads to wirelessly charge through the bottom of the sneaker. Neil is it heavier as a result . Its actually heavier than a standard basketball sneaker. Neil a little bit. Its not overly heavy. Many players play in this shoe. Neil the nba allows it . Yeah. We just got done talking about the coronavirus. Thats made in china. Any impact . Not that i know of. Not that i know of. I think these might have already been completely produced. I know maybe future neil isnt it interesting, the first thing he sees is the negative aspect of this. Let me ask you doesnt really tie itself, either. Yes, it does. Neil you have these little laces here, right . You guys see this . When you hit that little puppy, then i dont see the things neil it sings silent night. Whats the demand early on . What are you hearing . For last years model, the demand was insane. The shoe sold out immediately. This year, because people now have the ability to buoy thy th sneaker and because 400 is more than a standard pair of basketball sneakers, its not moving as quickly. However, i expect it to sell out in the next couple weeks. Neil its kind of on a similar playing field. Do you feel the motor . No. Neil can you run out in the rain . Will you short circuit it . I wondered the same thing. I did a test on last years version. It was fine. Now im going to be a little negative here. Neil oh, really . Could you electrocute yourself in the rain . Neil i will get charlie a pair that will do that. Dont step into a full bathtub of water. Puddles, what if you step in a puddle . Neil thats true. Would it short circuit . Not that i know of. I think the motor is actually really well covered. I havent had any problems with water myself. But i have only worn the shoe for about a week. This particular one. Neil is this a multipurpose shoe . Primarily basketball. Neil can you run in it . Yes. But the weight would make it less attractive for running, right . Umhum. Its primarily a basketball sneaker for gripping wooden courts. Neil i want something light the next time im in a marathon. Exactly. Neil why are you laughing . We are laughing with you. Neil it was very mice for ynic to come by. 400 bucks. Thats a little on the high side. It is. Neil all right. Thank you very much. We have a lot more coming up. So nice of you to come by. Appreciate it. You are not seeing those sneakers. We will deal with that. We have more coming up including the president. Dont know what he would think of Something Like this. Can you wear these golfing . I guess you could get them ready. You could. Yeah. Neil walk on the golf course. Trump would love these. He doesnt have to do anything. Neil you need the spikes, though. Anything i can do to help the business. More coming up on that right after this. Imagine traveling hasslefree with your golf clubs. Now you can, with shipsticks. Com no more lugging your clubs through the airport or risk having your clubs lost or damaged by the airlines. Sending your own clubs ahead with shipsticks. Com makes it fast easy to get to your golf destination. With just a few clicks or a phone call, well pick up and deliver your clubs ontime, guaranteed, for as low as 39. 99. Shipsticks. Com saves you time and money. Make it simple. Make it ship sticks. Shipsticks. Com saves you my grandfather had an but ancestry showed me so much more than i could have imagined. My grandfather was born in a shack in pennsylvania, his father was a miner, they were immigrants from italy and somewhere along the way that man changed his name and transformed himself into a successful midcentury american man. He had a whole life that i didnt know anything about. He was just my beloved grandpa. Bring your Family History to life like never before. Get started for free at ancestry. Com neil the president ial motorcade on the way now to joint base andrews. Didnt take marine one. Might be a weather issue, i dont know. But just a few cars traveling with him. We will keep track there. When he arrives, he usually doesnt avoid a chance to talk to reporters. We will see on that. The latest dustup for this president involves well, some arguing back and forth at least online with his predecessor. Both arguing over the jobs and economic gains, particularly whats been happening with the markets. Barack obama tweeting out that it was the recovery act that he signed in 11 years ago yesterday that got the ball rolling. The president claiming that that president had nothing to do with it. We are placing alex in the middle of all this, the daily caller contributor, also the connecticut republican vicechair and my regular panel joining me. All right. The argument back and forth is that its one or the other. I can make a compelling case that both should take a bow. I think you are 100 right. I think to suggest that the president in either case, president obama or President Trump, shouldnt be given credit for the outcomes of the policies they have instituted is unfair, but the way its being phrased at this point is that its zero sum game. That its either obama or trump. I think president obama instituted some policies that had some positives and negatives, we were just talking about that. Lot of negatives. I tend to agree. Then six months before the election, his crew was running around saying if you elect trump, the market will tank which is a tacit admission the president does have some control over the economy. Lets be clear. President obama obviously inherited a mess, but the fix was in place already. He carried through with the fix. Look at what he did. First off, the act that he the stimulus, the 800 billion stimulus, its basically nothing. Neil more effective was obviously the federal reserve. He had no control over that or little control. Neil we are told the president will speak momentarily. Im just saying that very low economic growth, almost no wage growth, i think trumps on firm ground. Neil he had the great recession, almost a depression. Im not here to play favorites. You should get that v shape. Neil i mean, i was doing the comparison here. Market performance, just the first three years, whether youre looking at the first three years of trump or the last three years of obama, obamas numbers are stronger. Well, look, but you also had job openings growing at the fastest pace coming into the election in 2016, the same pace you had last year. Neil the president. Yes, we have commuted the sentence of Rod Blagojevich. He served eight years in jail. Long time. I watched his wife on television. I dont know him very well, i have met him a couple of times. He was on for a short while on the apprentice years ago. Seemed like a very nice person. Dont know him. But he served eight years in jail. Theres a long time to go, many people disagree with the sentence. Hes a democrat, hes not a republican. It was a prosecution by the same people, comey, fitzpatrick, the same group, very far from his children, theyre growing older, theyre going to high school now, they rarely get to see their father outside of an orange uniform. I saw that and i did commute his sentence. So he will be able to go back home with his family after serving eight years in jail. That was a tremendously powerful ridiculous sentence, in my opinion. And in the opinion of many others. Yes. Reporter do you have confidence in your attorney general . I have total confidence in my attorney general. Reporter do you agree with his statement that you [ inaudible ] . Everybody has the right to speak their mind. I i dont social media, i guess i use it well because here i am, im here. I probably wouldnt have gotten here without social media because i certainly dont get fair press. So i wouldnt have gotten here without social media. And perhaps with all of the hoaxes, you had the impeachment hoax, you had the mueller hoax, you had russia, russia, russia nonsense, all the scams. And if i didnt have social media, i probably wouldnt be here. So im very happy with social media. But i think hes doing an excellent job. Hes a strong guy. I never spoke to him about the roger stone situation. Roger stone, just so you know, never worked he didnt work for my campaign. There might have been a time way early, long before i announced, where he was somehow involved a little bit, but he was not involved in our campaign at all, and i think it was a very, very rough thing that happened to roger stone because when you look at what happens with comey, after 78page horrific report, when you look at what happened to mccabe, with a recommendation of prosecution and you look at all of these other people and then you look at what happened to general flynn, a highly respected man, look at, i mean, his life has been destroyed. You look at a roger stone for a tweet and some other things. You take a look at whats happening to these people, somebody has to stick up for the people. So my social media is very powerful. I guess Mark Zuckerberg just recently said trump is number one in the world on social media which is a very nice statement, i guess. Certainly its something you could at least be a little bit proud of. It means i have a voice so im able to fight the fake news. Reporter [ inaudible ] over the tweets plus he said your comments on twitter are making it impossible to do his job. Are you making his job impossible . I do make his job harder. I do agree with that. I think thats true. Hes a very straight shooter. We have a great attorney general. Hes working very hard. And hes working against a lot of people that dont want to see good things happen, in my opinion. Thats my opinion, not his opinion. Thats my opinion. Youll have to ask what his opinion is. But i will say this. Social media for me has been very important because it gives me a voice, because i dont get that voice in the press, in the media. I dont get that voice. So im allowed to have a voice. Reporter you think he can still do his job with integrity . Is it hard for him to do his job with integrity . Hes great integrity. The attorney general is a man with incredible integrity. Just so you understand, i chose not to be involved. Im allowed to be totally involved. Im actually, i guess the chief Law Enforcement officer of the country but ive chosen not to be involved. But he is a man of great integrity. But i would be i could be involved if i wanted to be. Reporter are you also pardoning bernie kerik . Yes, i just pardoned bernie kerik. A man who had many recommendations from a lot of good people. Oftentimes, pretty much all the time, i really rely on the recommendations of people that know them. We have bernie kerik, we have mike milken, whos gone around and done an incredible job for the world with all of his research on cancer and hes done this and hes suffered greatly. He paid a big price. Paid a very tough price. But hes done an incredible job and yeah, these are all people that you have to see the recommendations. I rely on recommendations very important. Reporter are youroger stone . I havent given it any thought. Hes going through the process but i think hes been treated very unfairly. Reporter about china and wanting u. S. Companies to be able to sell jet parts. Are you not concerned about National Security . Im very concerned about National Security. Number one, im concerned about National Security. Nobodys done a better job with National Security than me. You take a look at whats going on. Weve done a great job on National Security. Lot of countries are a lot different now than they were when i started. But i will say that were not going to be sacrificing our companies for all of the growth and Everything Else that theyre exploding, theyre doing so well, by using a fake term of financial security. Its got to be real National Security. I think people were getting carried away with it. So i want our companies to be treated i want our companies to be allowed to do business. I mean, things are put on my desk that have nothing to do with National Security, including with chip makers and various others. Were going to give it up and what will happen . They will make those ships in a different country, in china or some place else. So National Security is very important. I have been very tough on huawei. But that doesnt mean we have to be tough on everybody that does something. We want to be able to sell all of this incredible technology, we are number one in the world. We want to be able to sell to other countries. Reporter you think you are being tough on huawei . Reporter are you confident [ inaudible ] . We are doing something, we have been in war in afghanistan now for 19 years. We have substantially reduced the force, as you know. We are really acting more as a Law Enforcement agency than we are as the military because we could win that very quickly and easily if i was willing to kill millions of people. Im not willing to do that. Im not willing to do that. We would win that so quickly, your head would spin and im not talking about nuclear. Im talking about very conventional. But im not willing to kill millions of people. So we are negotiating with the taliban, we have been negotiating with them for awhile. We will see what happens. Its a chance of making a deal. Its a chance. I cant believe so quiet. I saw there was senator murphy, met with the iranians. Is that a fact . I just saw that on the way over. Is there anything that i should know . Because that sounds like to me a violation of the logan act. Reporter venezuela. What happened there . Did you hear about senator murphy met with the iranian sns th . I dont know. It just came out as i was leaving the car. Reporter do you think guido is still the guy to hes the person the country right now prefers. Thats what i go with. We will see what happens. We put additional sanctions on, very strong sanctions this morning on venezuela. We will see what happens. Were watching venezuela very closely. Reporter specifically about roger stone, but are you ruling out pardons for your former Campaign Chairman Paul Manafort and michael flynn, for example . Im not even thinking about that. Theres a process people are going through. These are unrelated situations where people have done a great job with very very strong recommendations but we havent thought about that yet. Right now theres a process. I think roger stones been treated unfairly. I think general flynn has been treated very unfairly. I think a lot of people have been treated very unfairly. I think the mueller scam is just exactly what a lot of people are calling because it was started illegally. It was started by abuse. It was phony, it was a fake dossier and they went in and they went into the fisa courts and they forged papers and they did a lot of bad things. So the whole mueller thing to me is a scam. Reporter do you think roger stone deserves any prison time . You are going to see what happens. Lets see what happens. Reporter president erdogan the other day i think hes treated very unfairly. Reporter you spoke to president erdogan of turkey the other day. Are you concerned about allout war breaking out between turkey and syria . I did. I had a very good conversation with president erdogan. I respect him. We have a very good relationship. Yes, i agree, hes a tough guy but we have a very good relationship. I seem to do better with tough people. But the fact is that hes fighting, he doesnt want people to be killed by the thousands and hundreds of thousands and he called me about that, and other reasons, but we spoke about it and we are working together on seeing what can be done. Its a very tough solution. You have a lot of warring going on right now. Lot of warring going on. But im dealing with president erdogan. Reporter can you talk a little bit about these coming three days and also why you wanted to fly back to las vegas every night to spend the night there . I dont know exactly the schedule because i dont set the schedule. Largely yeah, largely the schedule is set by the secret service. We to whdo what they want us to. We are going to california, we are going to nevada, we are going to arizona, we are going to different places and i guess we are coming back here but i dont set the schedule. I have nothing to do with it. Reporter Michael Bloomberg is making the democratic debate stage tomorrow night. Do you have any advice for him . He doesnt need any kind of advice. Hes been doing it for a long time. It just seems unfair whats happening to Bernie Sanders, to be honest with you. I watched it happen four years ago and always be careful what you wish for. And im not wishing for anything. Whoever it is, i will be very happy. But it seems that Bernie Sanders and that whole big section of the Democratic Party or as i call it, the Democrat Party which is really the correct name, it seems theyre being taken advantage of like they were four years ago. Reporter whats the Campaign Strategy for being in nevada while the democrats are focusing on the caucuses there . I will be making a speech in nevada. That will be probably the day before, i guess, as they have it arranged. It seems to be pretty effective. We got more votes than any incumbent president in history in iowa and in New Hampshire, as you saw. And in that case, i went just before the day before and i went the day before, in both cases iowa, New Hampshire, so it seems to be effective. I will be going to south carolina. They are working that out now, probably the day before. But you know, look, we have a big voice and we might as well use it. Reporter are you still satisfied with how president xi is handling the coronavirus . I think president xi is working very hard. As you know, i spoke with him recently. Hes working really hard. Its a tough problem. I think hes going to do look, i have seen them build hospitals in a short period of time. I really believe he wants to get that done and he wants to get it done fast. Yes, i think hes doing it very professionally. We are also working with him and helping him as of the last few days, as you know. Reporter the data coming out of china, are you worried about that . Look, i know this, president xi loves the people of china, he loves his country, and hes doing a very good job with a very very tough situation. [ inaudible question ] you know, if it comes up, yes. But well see what happens with that. Thats really up to senator graham. He is traveling with me. We could have a trade deal with india but im really saving the big deals for later on. We are doing a very big trade deal with india. Well have it. I dont know if it will be done before the election but we will have a very big deal with india. Were not treated very well by india but i happen to like Prime Minister modi a lot. He told me we will have seven Million People between the airport and the event. The stadium, i understand, is sort of semi under construction but it will be the largest stadium in the world. It will be very exciting. He says between the stadium and the airport, we will have about seven Million People. So its going to be very exciting. I hope you all enjoy it. Are you going . Are you going . I hope so. Are you going, jeff . I hope youre going, too. Okay . So ill see you maybe on the plane. Marriage is good . Huh . Reporter is there a search under way for anonymous . Remember anonymous . Yes, there is. Not so much a search. I know who it is. Reporter who is it . Cant tell you that. Reporter why not . Why not . Why not . I know who it is. But we wont get into it. People know its a fraud. I know who it is. I know who some of the leakers are. But some of the leakers dont exist. Its made up by the press. You know, they say nine people have said or two people have said, and those people dont exist. But no, i know all about anonymous. I know a lot about the leakers, too. We know a lot. In fact, when i want to get something out to the press, i tell certain people and its amazing, it gets out there. But so far, im leaving it that way. Ill see you later. Thank you. See you on the plane. Neil all right. The president made a lot of news here. A lot of that was broken by Charlie Gasparino. The president has commuted the corruption sentence of the former illinois governor Rod Blagojevich. He has also pardoned bernie kerik. Lost there was he pardoned edward dibartolo, former owner of the San Francisco 49ers who pled guilty to a felony in 1998 for not reporting an extortion scheme. Dont know much more details than that. The president was asked whether the same treatment was pending for one roger stone. The judge involved in that case is going ahead with plans to sentence him come thursday. The president didnt say whether he was entertaining pardoning mr. Stone or general michael flynn. We are waiting on that. But it probably is a distinct possibility. He thinks what is happening there has been travesty of justice. Stone is a tough one for him. He said he knew him for a while. Roger stone created the Trump Campaign and created a lot of messaging. It doesnt take a Rocket Scientist what stone did was picayune. Neil the bottom line, do you think the president would pardon him . That is a risk . Roger will have to go to jail a little bit. He will be happy for a sixmon sentence or Something Like that. That one may be a bridge too far. The flynn stuff, i dont know enough about it. It sounds kind of iffy. Neil not going after mccabe for essentially lying to congress. They are going after flynn for lying but im just curious, alex where you see things. The president doesnt care about the political impact. How do you think it falls out . I knew general flynn for his time when he was in uniform. We were in touch couple days after the election. He was National Security advisor designee. He was in great spirits. He served the country for a long time. The point where he got in trouble with the fbi is questionable. The years he service did what he did for the country is truly i incredible. Isnt it scary the fbi doesnt get you on the crime, they do this on wall street, set you up to lie or misstate something. Neil andy mccabe did lie. Number two at fbi. We can argue the politics. Do you he did touch on china as well. Touched on a possible trade deal with india down the road but he did think president xi xinping has a handle on the situation, the coronavirus. Do you think he does . Is the president right to say, all right, he is overreaction . He didnt say that im saying that. That china is on top of that. I think he is being positive in order for trade talks to go forward clearly wall street and most people dont think china has a clear grasp how to handle this virus. Neil danielle, were hoping they make good on a trade deal where people in the wuhan province have been told they will be in quarantine beginning of may. We dont know how this will turn out. Neil yeah. Pardons will be the big story today. Maybe fodder for a democratic debate tomorrow. How far does it go . When you look at the evidence on both of them they both deserved what they got. Bernie kerik did something picayune at best. Neil to erins point you usually do this at end of the term. Trump likes controlling the narrative. The narrative will be bloomberg. He will one up him. He will make fun of his height during the debate. Neil that screams of jon lovitz. Were down 213 points. To all of their points, concern about the coronavirus, impacting apple, down 6 bucks. A little more than 2 . Not dragging all Technology Names. That of itself is significant. To Charles Payne to take you through the next hour. Charles neil, appreciate it. Im Charles Payne. This is making money. Apple taking a bite out of the markets. Investors grappling with the impact off the coronavirus. I will break down why some corporate warnings are different than others and what you need to know to navigate todays news. Could 2019 headwind, one of the big ones become a 2020 tailwind . Talk about a great manufacturing report out today that nobody is talking about. Today is a day of forgiveness. Later in the hour who President Trump just pardoned. The social media time machine bites bloomberg again. While he just qualified for the next debate despite these new remarks