Transcripts For FBC Varney Company 20240712

Nasdaqs going to be up about 60 at the opening bell. From the low of march 23rd to the close yesterday, the value of all publicly traded companies has gone up 12. 2 trillion. You have never seen anything like that before. Next, tesla. Musk does it again. Grabs the headlines with a five for one stock split. That may bring in more Retail Investors. Doesnt change teslas business, but the stock is up bigtime premarket. A gain of 84 bucks per share. Apple announced a four for one stock split a week ago and apple this morning is leading the big tech rebound. Its up four bucks. Then theres this. The big ten, now the pac12 have canceled their football seasons. Looks grim for the college game. This is a financial story. Colleges will lose billions. That virus changed everything, didnt it . Larry kudlow joins us again later. What does he think of a 12 trillion increase in the value of American Business in less than five months . Hes got something to say about it. Hes on the show. Wednesday, august 12th. Varney company is about to begin. Stuart lets get right at it. Stock of the day, tesla, way up this morning. Susan, that is a very big 84 gain. Why is it up so much . Susan stock split. Five for one starting at the end of this month which is usually a bullish sign that the company is expecting the stock to go up again. It also makes it cheaper for average investors to afford the stock. 1400 might be hard to afford for some, but easier when it gets down to around 300 a share. Stock splits dont change the value of a stock or the company. Doesnt really change much for tesla given its not in the Dow Jones Industrials which is price weighted while the nasdaq and s p 500 are market cap weighted. Stock splits have been popular this summer, as you indicated. Apples splitting four for one near the end of august. Apples stock rallied 10 since that announcement but probably more to do with their record june earnings. Tesla still waiting to hear if it will be included in the s p 500 after four quarters of profit but then you have battery day upcoming on september 22nd. I guess those that are hoping for teslas stock to eventually fall finally got their way. Maybe not in the way they had hoped for but still, its not value created. Stuart thats true. Back in the day, if a stock in my day if a stock got to say 100 a share, they split. Nowadays, you can go to what, 2,000, 3,000 a share like amazon, and stay unsplit. Susan look at googles stock, amazons stock. Might be a warning shot to them that maybe they should split their stock. Stuart i wonder if musk will set a trend on that. Hard to keep up with vaccine news these days. It comes so thick and fast. President trump says the government has reached a deal with moderna for their vaccine. Lauren, details, please . Lauren all right. The stock is up 7 as a result. Moderna will get 1. 5 billion from the u. S. To make 100 million doses of their vaccine. Americans as a result get it for free. The government has the right to buy an additional 400 million doses. In all, the government has spent 9 billion on vaccines and research. Moderna has received about 2. 5 billion of that which if you were to price out the cost of a vaccine per dose, its 25 but because the government is buying this, it is free for us. When it comes out hopefully this year. Stuart it looks like that may be a positive influence on the market as well, because we are still up 300 points for the dow. Good positive vaccine news. The other big story of the day, joe biden choosing Kamala Harris to be his running mate. Lets bring in market watcher shah gilani. Does the kamala pick affect the markets at all, in your opinion . I think it does. I think we are seeing a reflection of that this morning. I think the futures are indicating that the moderate pick as opposed to one that could have been a far left pick, as Vice President ial candidate stuart wait, shah gilani. Is a positive. Stuart you think this is a moderate pick . Whats moderate about yes. Stuart the policy outlines we have already received from Kamala Harris . Relative to i think what Elizabeth Warren might have put forward, relative to some of the other candidates, relative to a more vehiclxing susan rice cann dad candidacy, she is more moderate. In the democrat party, she is considered moderate. Stuart okay. If shes considered moderate and thats a plus for the market, why else, what other reason do we have for a 300 point rally for the dow, again, close to 28,000 . The markets had been moving higher. They have been moving higher on the prospect of stimulus even though we havent gotten a package, even though congress may recess. We know we are going to get the stimulus package between 1 trillion and 3 trillion. We know thats coming. Markets know that. They already baked that in. Thats a positive. The prospect of a potential vaccine whether out of russia or coming somewhere else is out there and the market hopes that is going to come sooner rather than later. See theres no reason for stocks to back off. Yesterday seemed a little odd to me, the selloff in the late afternoon. We are seeing that made up this morning in the futures and i dont see any reason, any major hurdles in the markets way right now. Stuart did you buy the big tech dip . Not enough. Not enough. Bought some of the big tech stocks for sure but really, not enough. I had my moments as we rose up. I got actually greater conviction on the way up. I certainly didnt buy near the bottom. I was apprehensive about the rise and then when we cleared certain hurdles, we went in pretty well but not well enough, because the market continues to power higher. I didnt see retail coming in as much as it has, driving markets as high as they have. Great for Retail Investors. They have done exceptionally well. That didnt catch my attention until later in the rally. Now we know retail is still leading, retail is starting to lead the cyclicals higher. Theres a lot moreoro go a itinutinutliout invesestoesavee etai iestorsesrsndrsndndheirnd pick st so we argoarine arg ly o reh the ishingintopp. Pp veav aav fairl clean cleante s ah eafd o o us hsilake mew m hig, f. Ro mroney off. F. E haveavav trill tns of d drsr siing iinin minoney mon m m mt. A of of dry dryowderowde towdew eially if bonds el continue to trade lower and yields higher. That money will come more into the market because the bond holders who got into bonds late are now going to start to see losses. If rates continue higher. Stuart out this morning, Mortgage Applications numbers. Ashley, details, please. Ashley not staggering, up 2 this past week. But it is up 22 over the same period last year. So thats not bad, is it not. We have seen of course two straight weeks of record low Mortgage Rates thats helped to juice the market. Mortgage application, by the way, also volume rose 6. 8 over last week. What about the refinances with all these record lows . Yes, they jumped, the refis jumped 9 over the previous week and up 47 year over year. By the way, the refis make up about 65 of all mortgage activity and that is the highest level since april. People deciding to jump off the fence and say yeah, im going to refinance my mortgage and get a lower monthly payment. Stuart got it. Thanks, ash. Look at gold, please. Yesterday it had its biggest oneday drop in more than seven years. It had been something of a flight to safety during the pandemic but vaccine hopes rising, new coronavirus cases tapering off and gold is down again. I should tell you the Consumer Price index ticked up sharply this morning, suggesting a tick up in inflation, but gold, down again, three bucks. 1,943. One more time. American business gained, added more than 12 trillion in value just since the end of march 23rd. Thats extraordinary. Again, what does larry kudlow think about that . Im asking him because he is on the show in the 11 00 hour this morning. Larry kudlow coming up. We show it to you every day. Live look at sixth avenue, new york city. Deserted, almost. Its picking up just a little. National retail chains struggling more than ever and some are abandoning manhattan. Thats the story. We will tell you whos leaving. It is official. Kamala harris joins joe biden as his running mate but do you remember when biden said this early in the campaign. Roll it. Whomever i pick is capable of immediately being president because im an old guy, okay . No, but im serious. Stuart thats honest, i guess. Who are democrats really voting for this november . Is Kamala Harris really at the top of the ticket . Good question. Facebook cracking down on political content that they say is disguised as news. We have the ceo of parler on the show today. How many users has he picked up from people ditching facebook . 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Im proud to be part of aag, i trust em, i think you can too. Trust aag for the best reverse mortgage solutions. Call now so you can. Retire better Stuart Sumner redstone, who built via comecom cbs into a su has died. Under his leadership, his empire also included, listen to this, paramount, mtv, nickelodeon, comedy central, simon shuster. Our condolences to the family. He was 97. Straight to your money. Markets set to rally when we open up in about 15 minutes. Sea of green, lefthand side of the screen. Lets talk tiktok. A new report says they track user data, nothing unusual for these social media giants, but theyre accused of using a method that is banned by google. Susan, can you make me understand this . Susan think of the unique 12di12 digit code, which cant be reset or altered and allows apps to track Consumer Behavior. You can only change the id by getting a new phone. Apple locked down access to these ids in 2013. Google did it with android in 2015. But tiktok was tracking users through these ids up until november last year, according to the wall street journal and the way they concealed their tracks was through unusual layered code, according to this report. Tiktok says the november update ended this type of tracking. Still, if you think about it, it adds fuel to the white house argument that tiktok is tracking its users and sending that data back to beijing. Tiktok has until the middle of september to find a buyer or it will be banned in the u. S. According to that executive order. Microsoft is still the frontrunner. Just some news that just crossed on tiktok. This is interesting because given the fact we do have that executive order, the new york yankees and their broadcast partner yes network has just signed a deal for exclusive content and Strategic Partnership with tiktok. Thats because they want to access and bring americas favorite pasttime to fans globally since tiktok has around 800 million global users. Stuart that deal goes through even though tiktok could be banned and or sold . Susan yes. Thats what i found interesting. Stuart it is interesting. Thank you, susan. Staying on social media, look at facebook. The stock is up this morning. They are cracking down on political content that they say is disguised as local news. Gives them more freedom in advertising, i guess. Their pressure on political speech is pushing people off their platform. Some of them are going to places like parler which apparently does not have quite the same rules. John matz is with us, the ceo of parler. John, you are a private company so you dont have to answer this question, but tell me please how many users have you added this year . So im not entirely sure right now for this year but we are up to 3. 3 million total users. Most of them coming in this year. Stuart what do you offer that twitter or facebook do not . We are a solution to a lot of the problems that are going on with big tech right now. They seem to be taking a stance that they want more and more moderation, whereas we have a policy where we are saying we dont believe in moderation, we believe in a community jury, we believe in peoples right to decide on their own and have a conversation amongst themselves about what they feel is right and wrong, and what they feel is newsworthy and isnt. We dont feel we should be arbiters of that and we leave that up to the community to decide and give them the tools to do that. Its a true free speech platform, one that believes in privacy and keeping user data secure and safe and not sharing it. Stuart does parler censor political speech at all . No. Not at all. We actually, we allow people to create their own communities in a way by choosing who to follow and opting in to condition tete like. We dont push any content. It creates a really Nice Community where people are more engaged than on other platforms. We are seeing huge conversion numbers for articles, huge conversion numbers for peoples advertising political or otherwise, so its really a powerful platform. Stuart you making money . Actually, since the last time we have spoken, we are doing very well. We have sold out completely our ads for the last month and a half. All of our ad space. Stuart okay. Thanks for joining us this morning. Thanks for your honesty. You didnt have to tell me how many users youve got but you did and we appreciate that. John matze, good man. Thanks very much. See you soon. Thank you. Have a look at twitter. Up today 37 a share. They are now allowing users to control who replies to their tweets. They are giving users some control over the conversations on their page. You, twitter user, can choose from one of three groups to allow you to respond. Okay. You can choose everyone, only people you follow, or only people you mention in your tweet. Got that . I dont have twitter and now you know why. Lets get to airbnb. Now, theres a brand new industry which i would love to invest in and susan, i think im going to have my chance because i think they are going for an ipo, right . Susan well, still might not happen but they are expected to file for ipo this month and the shares could trade before the end of the year and it could be a traditional listing where the Company Sells shares to the public and raises money in the process, or they could go for a direct listing where no money is raised. Slack and spotify chose the direct listing route. One more option might be the new trend of spacs where airbnb merges with a Blank Check Company, nikola is an example of that. Morgan stanley, Goldman Sachs will lead this offering. Airbnb was ready to go public earlier this year but then coronavirus derailed the plans. Airbnb was worth around 31 billion at the start of this year but then had to raise emergency funding at the height of covid at nearly half that valuation of 18 billion. We will see what type of valuation they go public at. They also had to lay off around a quarter of their staff. Even if they file for a listing theres no guarantee that they will go ahead, because they pulled it again in march, remember, when they were set to file as well. Highflying unicorn ipos have done fairly well so far this year. That might be encouraging. Lemonade has tripled from its ipo price. So has nikola. Stuart i like the idea of being able to invest as an ordinary individual in what i think is a very promising and brand new industry. An ipo from airbnb susan even though travel has changed during covid and been decimated . Stuart i like the idea. I think airbnbs Business Model is intriguing, to say the least. I might like to be part of that at some point in the future. This gives me an opportunity. Its like uber. I wanted an opportunity to go into that kind of ride sharing business. Its brand new. I think its way of the future. I may or may not go into airbnb but i like the idea of being able to do it. Susan how has uber shareholders been rewarded . Not well since its ipo. Stuart that is true. But i didnt buy into uber yet, did i . As you well know. All right. Lets check futures, please. We are up across the board nearly 300 points higher for the dow. We will take you to wall street in just a moment. Times square. Lets have a look at that. Goodness me. How deserted can you get . That is the dead center of new york city. Businesses are starting to bounce back. But what if you could do better than that . Like adapt. Discover. Deliver. In new ways. To new customers. What if you could come back stronger . Faster. Better. At comcast business, we want to help you not just bounce back. But bounce forward. Thats why were helping you stay ahead and adapt with a network you can count on, 24 7 support and Flexible Solutions that work wherever you are. Call or go online today. Now you can trade stocks and etfs for any amount you choose instead of buying by the share. All with no commissions. Stocks by the slice from fidelity. Get your slice today. An army family who is always at the ready. So when they got a little surprise. Two . They didnt panic. They got a bigger car for their soontobebigger family. After shopping around for insurance, they called usaa who helped find the right coverage for them and even some muchneeded savings. That was the easy part. Usaa insurance is made the way liz and mike need it easy. Stuart airlines popped yesterday, up a bit more today. A rise in travel has been reported but not today. Listen to this. Tsa says about 560,000 people flew on tuesday. That actually is down from monday and of course, its down 75 from last year, same day. Our next guest says hes not he uses Airline Travel as an indicator for our economic recovery. The gentleman saying that is the gentleman on the righthand side of your screen. His name is ray wang, frequent guest on the program. Are you using daily travel, tsa security checks, is that your indicator for the strength of the recovery . It is. Its one of the big ones that i look at. Normally that number is at 2. 5 million on peak so sundays and mondays are the top two days for travel, and you saw the drop happen on tuesday. That makes sense. But were up from 80,000, that was like the low point in april, to almost 830,000 which is actually a huge improvement. Were about onethird where we are normally at for travel capacity but when you look deeper into the numbers, those are tourists. Those arent Business Travelers. The Business Travelers might make up 15 of all airline flights, but they are 75 of the profit. Its the same for the Hotel Business as well. So its one good indicator to figure out when that rotation happens between going into tech, going into cyclicals, going into tech and coming back. Stuart youre not going to be happy until weve got a million passengers a day, are you . I wont be. That million, if that happens in the fall season, thats not the summer travel, thats not the leisure travel, the people that are going nuts in covid quarantine. Thats Business Travel. Im wondering if the Business Travel will come up because of the work from home restrictions and the number of Companies Offering work from home. Thats going to be an important number to follow but at a million, we will see a resurgence in terms of travel activity and in terms of the travel stocks. Stuart i dont think that Business Travel is going to come back anywhere near like it was six months ago. How about you . I agree. I think if we can hold steady about a million, some of those companies, if you think about the hotels, the airlines, you think about the airports, the businesses that service the airports around that area, that will come back but not to that same level. 2. 5 million tsa passengers a day, thats crazy to imagine right now. If we get to 1, 1. 5, we are on our way. Stuart hold on for a second. Im going to look at the opening of the market and get back to you in a second for your views on big tech. I think its bouncing back a bit today. Right. Weve got about 20 odd seconds to go, then we will open the market. It is wednesday morning, it is august 12th. I keep saying this. Already. Doesnt time fly. Yes, sir, it really does. I think that has made a huge difference to our perception of time because one day looks much like another. Cant seem to slow down. Here we are, august 12th already. We are off and running on the big board. It is 9 30 eastern. Here we go. Im expecting to see a lot of green all over the place. Right now, ive got the dow up nearly 1 right in the first few seconds of business. 27 of the dow 30 are in the green. This is a broadbased rally so far. Dow up. 9 . Show me the s p 500. Probably a similar gain. Its up. 83 higher. Nice gain. The nasdaq composite, lets see how the techs are doing. That is up nearly 1 . So techs are doing well and bouncing back a little. Positive virus news. That helps the market. We have positive virus news from moderna. The administration is buying 100 million virus vaccine doses. They are going to pay 1. 5 billion for them. Modernas stock up 7 on that news. Now, lets have a look at big tech. Its been sliding recently, especially apple, but this morning, bounceback. Microsoft is up, apple, alphabet, amazon, facebook, all of them on the upside. Not a huge bounceback by any means. Ray wang, come back in again, please. Is it time to buy apple . Big drop yesterday. Yeah, actually i think its a good time because of buying on the dips. We still have a replacement cycle, refresh cycle coming for the iphone which will be announced later in september, october, when they do that launch. And you know, i think theres a lot going for apple because of the services business. Services is about 22 of their business at the moment. Thats going to grow to somewhere between a third of their business Going Forward so its not just about iphone sales anymore. Its also about the recurring monetization on services revenue. Stuart lets go through real fast. Amazon, it has been dipping. Would you buy it now . Definitely. It is the postpandemic winner. They are winning not just in ecommerce, they are winning in streaming services. They also have the ability to win, i mean, they are winning on the cloud and making more ground on the cloud than other players. And theres a lot more potential, especially as companies are trying to figure out how to get into contactless commerce and ecommerce. Stuart facebook. Facebook is the interesting one. Im worried about the regulation. They are still a onetrick pony on digital ads. If they were to get into commerce or open up some of the other lines of business in terms of monetization, i think the stock would actually go up higher. They have done great. The monthly active users are there. They have been growing users. The more people stay at home, the more people are using facebook. Stuart google. So google has a lot of interesting businesses. They have been growing the cloud business, thats the one to watch. They are at about 4 billion in revenue in the last quarter. That part of the business will be the strongest growth area for google for some time to come even though the ad business dropped a little. Stuart im going through them one at a time and you like the lot. Last one here is microsoft. You still like that . I do. I think microsoft has a lot going for it. Its not just the corporate area. Take the tiktok conversation out of it, xbox is on fire. People have done a great job with the cloud. Some of their applications there. Office 365 is doing very well for microsoft. Overall, they have played a very good game and are still growing. Stuart one last one. Tesla. Five for one stock split. Does that explain this huge move, up 72 a share . Explain it to me. Someone tweeted to me earlier about this and i agree. This is the robin hood effect. This is kind of a hey, lets go after the short sellers, you know. We are going to make the stock so easy to buy, every Retail Investor will come in. I think thats what he did with the five to one stock split. The fundamentals are interesting there. You view tesla as a data company, theres a lot of room to go from full selfdriving to their Insurance Agency to what they are doing with the satellites. Theres a lot going on at tesla. Stuart you covered it all. Thank you very much indeed. See you again soon. Ray wang, everyone. Thank you. Look at lyft, please, on your screen now. Its up 75 cents but thats 2. 5 . They report after the bell today. Susan, what should we be looking for . Susan lowest revenues in three years, according to analysts. Uber said ride hailing was down 75 from march to june last week. Those are similar numbers that lyft should also be announcing but lyft for its part doesnt have the food delivery to make up for any of the slack, whereas uber does at uber eats. Its more of a pure play whether it comes to ride hailing meaning thats pretty much all it does. The good news is lyft should report lower cash burn owing in parts to cost cutting in the spring. Lyft laying off around 1,000 of its staff. Last earnings, lyft said some u. S. Markets were beginning to lift from the bottom. We will see what they say this time around and are they sticking to their timeline of profitability by the end of next year. They stuck to it last quarter which was surprising, outside of a lot of expenses but still, the stock is way below its ipo offer price of 72. Yeah. Stuart uber went out, their ipo price was i think 45. Susan but look at the similar levels in their price. Obviously lyft has been decimated a lot more because they dont have the food delivery to hang on. Stuart you got it. Okay. Smile direct club. Im going to call them a dental company. Hope they dont mind. They report after the bell today. Ashley, could they be a lockdown winner . Ashley well, they could be. The outlook is for a loss of 13 cents a share on revenue of around 83 million which, by the way, would be down 57 . Listen, this stock just ipoed last fall. It was priced at 23 but closed on its first day down at 17 and never recovered from there. Its been under 10 for awhile. In fact, the highest, it got back to 19. 48 a share back in september of last year but it has been the target of some law makers and yes, the American Association of orthodontists who say this doityourself style of model violates dental law. Smile direct has kicked back and said no, it does not, you just dont like people coming in on your turf. Regardless, the Company Continues to expand. Its gone into singapore and austria, how about that for two bizarre new places. They continue to push out. They have also partnered with a company that has a lot more physical dental offices so in other words, your first visit could be to a dentists office. They do all the checks, then you get on to the program. It continues to move on. We will see what they report after the bell. Stuart we shall indeed. Thank you. Check the big board, please. Six minutes worth of business in, we are up 250 points, close to 28,000 on the dow. Heres an indicator. This is fascinating. Look at this. The yield on the tenyear treasury. Yesterday i think it was. 55 or. 56. This morning its at. 67 . Im not sure what that tells you about the Financial Markets but that is a gigantic move. The price of gold, down again this morning. The green tells me im wrong. Its up two bucks now at 1948. Having been down huge yesterday. Bitcoin, 11,500 a coin. Oil, now theres a recovery indicator. Its up to 42 a barrel this morning. Indicating a stronger recovery than we have been looking for. All right. 9 37. Senate Majority Leader Mitch Mcconnell says stimulus talks have hit a stalemate. Will that slow down the recovery . I will ask larry kudlow what he thinks about that. Did you see this tweet . The New York Times painting Kamala Harris as a pragmatic moderate. Does her record really reflect that . We will discuss. And remember, when she and joe biden clashed over race in the first debate . We will remind you. Roll tape. You know, there was a little girl in california, she was bussed to school every day, and that little girl was me. Thats a mischaracterization of my position across the board. I did not praise racists. Stuart well, joe biden picked her. She tried to destroy him during the debate and almost succeeded. Whats going to happen in this election . We will try to figure it out for you after this. Lively hearing aids have been a game changer for me. The process with lively. Is insanely easy, you take a hearing test on your computer the doctor programs it, it shows up at your house a few days later. You can stream calls or music through it, its got multiple settings, audio adjustments, so you can raise and lower the levels. But its a fraction of the cost of the other devices. Its instilled some confidence i didnt have before. Try lively risk free for 100 days. Visit listenlively. Com stuart look at home depot, please. Another alltime high. Home depot is at 277 a share. Ill call them a virus winner. Now watch this, please. Amazon already has 200 million square feet of distribution in the United States alone with another 100 million square feet under development so they are real competitive advantages, incredible logistics at amazon. They have a multitiered distribution system. They are in every community in america. These mallbased locations are really centrally located for them. Stuart 200 million square feet of Distribution Center already, looking for another hundred million. We think we know where some of that extra space is going to come. Susan, where is it . Susan yeah. Thinking about detroit and the old Michigan State fairgrounds which has been abandoned now for decades. Amazon is spending 16 million to turn the site into a 400 million Distribution Center. This is according to the detroit free press. It comes with 1200 jobs paying 15 an hour. Construction on the project could begin and start as early as october. Thats if the Detroit City Council approves the plans by next month, september. Could open as soon as 2022 and really helps out the michigan economy, which had a 14 jobless rate in the month of june. Amazon right now employs over 125,000 workers in its 75 Fulfillment Centers across the u. S. And they also have tried to hire 175,000 since covid as Online Retail continues to boom for amazon. Stuart its not just booming. Amazon has taken over the retail space, if i can put it like that, isnt it . Its extraordinary. Absolutely extraordinary. I forget what proportion of Online Business theyve got susan 40 . According to emarketer. Have you ever been in these Fulfillment Centers . This a they are so automated and modern, its incredible. Stuart i should have bought the stock. Susan here we go. Wait until it splits. How about that . Stuart lets talk about amazon going into these empty malls, empty Department Stores in malls, and turning them into Distribution Centers. Retail watcher kristin benz is with us. Im sure that works for amazon. You go in and take over an old sears or jc penney but does it revitalize the malls . Well, at this point, they need anything. So its kind of a win win for Simon Property group. They need an anchor to come in because they have dead malls. This could work for jc penney because they have a ton of real estate and need a bailout. When you think about it, actually, if amazon was smart which they are very clever, this is a very good idea for them to bring in either a Distribution Center or possibly grocery. Stuart Simon Property group, they are the largest mall operator in america. They are going to get somebody to pay the rent on these defunct Department Stores. Im told they are the bestrun managers of malls in the country. Would you agree with that . On the phone i would agree with that. They are in the middle of a paradigm shift. Someone is definitely think over at Simon Property group. Brooks brothers, not so much. Thats not exactly an acquisition i would think would be a great idea right now, as we all know that, you know, i love seersucker as much as the next guy but people arent wearing suits and ties so much anymore. That doesnt make sense. But pairing up with amazon and penney does make sense. They need someone with volume and someone to pay the rent. Okay . Thats what theyre looking for. We all know that amazon has plenty of volume. Stuart and amazon will pay the rent. Real fast, thats true. Thanks very much for joining us. We appreciate it always. Thank you. On the phone my pleasure. Thank you so much. Stuart do you remember these guys . New jersey gym owners who defied governor murphys lockdown . They just had their business license revoked. More on that story coming up for you. 78 of ceos say working from home will last way past the pandemic. Theres a story for you. More on that coming up for you. Stuart well, news on microsoft. They are pushing back the release date of their popular game, the video game halo, pushing it back to next year. Can you tell me why theyre doing that, lauren . Lauren i sure can. Well, the reason is the pandemic, which has impacted production. So if you look at the last halo5, 1,000 different contributors worked together to make the new game. Try coordinating that on zoom. Its difficult. Why is this a big deal . Well, halo and the series is a marquee franchise for the xbox console, and microsoft is launching a new console this fall, and, well, its appeal could be dimmed if you dont have many new games to play on it. So this could hurt microsoft in the end. Stuart that is fascinating, because thats an example where working from home actually doesnt work very well. Thats interesting stuff. Lauren exactly. Stuart ive got more news on m amazon. They are expanding in the gaming industry . Tell me more. Susan heres a good example that amazon doesnt win in everything that they do. So they had this high profile video game launch, they made their own video game called crucible, they launched it but no one was playing it. Instead, they are going to make it i guess more democratic and make it more available for everybody when it comes to their twitch prime service. This is their gaming service, streaming service, which they bought twitch for back in 2014 for 1 billion. Now you dont have to have a twitch account in order to play prime twitch. Does that make sense to you . Its hard to explain for people that are not part of the gaming industry. But look, we know video games is a booming, booming business. Close to 2. 9 trillion will be spent on gaming this year. Stuart you, susan li, are an ageist. You are always having a go at me because of my age. Susan that is so inappropriate. That is not true. My mother would say that. Stuart moving along, ive got a number for you. This is about the video Game Industry. It is a pandemic winner. I want to bring laura martin in for this, Senior Analyst at needham and company, joins us now. Laura, im told the video Game Industry just in the United States of america will generate 37 billion worth of revenue this year. Is that accurate . It is, because weve got gaming playtimes up 350 , extra three hours a week viewing time is also up about 70 , where you watch other people play video games, advertising revenue is up a lot because live sports has been turned off in this country so people are advertising on the video game space and its a perfect demographic. Young men 18 to 34, generally playing these games hours a day, and therefore, they are really valuable target audience to reach. Stuart i wish i had that audience. Do people actually pay to watch other people play a video game . So i would say sure they do, because there is actually a mechanism called tipping, if you really like somebody that you are listening to while they play a video game, you can tip them directly. Its like a payment or like, you know, basically recognition of their talent and the fact you enjoy them so you can tip directly but during those streaming hours, those streamers often will play video games eight hours a day, so yeah, they make advertising revenue on that programming. Stuart thats amazing. On the screen right now, weve got Electronic Arts at the top, 138 a share. Activision blizzard at 80. I believe you like both of those stocks. Do you believe they will go higher than their current level . I do. Because i think one of the things the pandemic did is get new people into the gaming universe. Activision says 50 of its gamers now are women which means the market is expanding for consumers that play video games, then secondly, they are trying more games because they are locked at home with fewer things to do as an alternative so they are playing more, and 40 of betters are new to betting on esports which is competitive video games. I think that that betting engagement will actually increase overall interest in engagement by an older demographic, as you bet on these Young Players winning games. Stuart laura, i bet you constantly run into people like me, older people, who are blown away by 37 billion worth of business in one year for video games. You come across people like me all the time in your business, dont you . I look at video games as a stealth Media Industry and as the biggest media beneficiary of covid that people are missing. Stuart youre right. Laura, im out of time but that was fascinating. Laura martin, needham. Thanks very much for joining us. Appreciate it. Thank you. Thank you. Stuart busy news day here. We have with us larry kudlow coming up on the show a bit later on. We are talking about the stalemate in the stimulus talks and u. S. china trade deal. Where does that stand these days . I will ask him. Joe bidens running mate, senator Kamala Harris, they are holding their first event today together that is, together. But before that happens, we will break down where she stands on the issues. Keep it here. Varney Company Rolls on. We love our new home. Theres so much space. We have a guestroom now. But, we have aunts. Youre slouching again, ted. Expired, expired. Expired. Thanks, aunt bonnie. Its a lot of house. I hope you can keep it clean. At least geico makes bundling our home. Uh, ill have to check. doorbell ringing aunt jonis here for bundling made easy, go to geico. Com. Hello . It was 1961 when nellie young lost her devoted husband. Without him, things were tough. Her last option was to sell her home, but. Her home meant everything to her. Her husband had been a High School Football coach and it turned out, one of his former players came up with an answer. A loan, created just for older homeowners. And pretty soon, nellie young had one of the first reverse mortgages. 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A lots changed since 1961. Since then over a million Older Americans have used a reverse Mortgage Loan to finance their retirements. It meant so much to nellie, maybe it could mean as much to you. Call now and get your free infokit stuart 10 00, heres where we stand. Green across the board. Nice gain for the nasdaq. Look at that, up 172 points. That is 1. 6 . Big tech is essentially moving nasdaq. Tesla up for a start, up 85 per share. They have announced a five foreone stock split that is aimed at bringing in more Retail Investors. Looks like that is working. The stock is up big time. Apple, were showing you that, up 7. That is 1. 7 . They are leading the big tech rebound that is really in place this morning. Apple down 13 yesterday. Back up 7 this morning. I also want to tell you again this morning, we have larry kudlow coming up on the show. One big number i will talk about with him, the value of all American Business has gone up 12 trillion since march. I want to know what he has to say about that. Im sure he will love it. Now this. Kamala harris will have a big impact on the biden campaign. It is almost a ticket of coequals. After all she could soon be president. Now look, i mean no disrespect but as the wall street journal puts it today, joe biden would be 78 on Inauguration Day and his mental acuity is declining. To put it bluntly, if joe wins, kamala could sit in the oval office, a vote for biden is just as much a vote for marries. Senator harris i think has been selected entirely on her identity. She is a black woman. Race and gender put her on the ticket. That is the nature of politics in the democratic party. Identity rules. Any criticism will be immediately considered racist or sexist. Debate should not be stifled by this. We should discuss policy openly and freely. So what would a harris presidency actually do . She is a radical. She would decriminalize border crossing. That sounds like open borders. Medicare for all. Not quite. She would allow some private health insurance. She likes the green new deal. Say goodbye to energy independence. She would study reparations for slavery. And of course, she would tax the rich and beat up big corporations. That is the most Progressive Agenda of any candidate in recent memory. Senator harris is 55. She is dynamic and energetic. Huge contrasts with joe biden. She will be out on the campaign trail. Joe will stay protected. She will be out front. Kamala harris is the one to watch. Like so much in 2020, we have never seen anything like this before. Second hour of Varney Company, about to begin. It has to be demonstrated that whomever i pick is two things, one, is capable of immediately being president because im an old guy, okay . [laughter]. No, but im serious. Stuart dont have to take my wore for it. Joe biden said it himself. Liz peek with us this morning. Related off the bat, what is your take on the selection of Kamala Harris . First of all, stuart, i think youre being very diplomatic i think this is the phoniest platform weve seen in a long time or phoniest team running. Joe biden is basically a moderate who is desperately trying to look like a progressive to win over Bernie Sanders voters. Kamala harris has been rated one of the most progressive members of congress trying to come across as a moderate. They have both flipflopped on any Critical Issues to voters. Hard to know where they stand or what they would look like in the oval office. Stuart do you agree with me, it is almost a coequal ticket . Absolutely. Stuart vote for biden is just as vote for Kamala Harris . Absolutely. Very High Percentage of americans, more than the majority think that biden will not serve out his first term. It is not even a question if he only serves one term who is in the wings to run again. It is really who might take over midway through his first term. I think absolutely, Kamala Harris will come under a lot of scrutiny whether she really is capable of being president. By the way, stuart, another flaw in this choice, in my view, is that it was done mainly to shore up bidens popularity with young black voters who are not very keen on biden. Kamala harris has quite visibly wiped out with young plaque voters. She has not done well because of her background as a prosecutor and then District Attorney in california. So honestly on so many fronts i think this is the New York Times has said this is safe choice, maybe it is. I dont think it is a very successful one. Stuart we have your opinion on record. Liz peek, thank you very much indeed. See you soon. Thank you. Stuart to the markets, were still up nicely, 220 on the dow. Look at that nasdaq go. Up 1 1 2 , big gain there. John lonski is with us this morning. John, a lot of commentators on the program said we are awash in cash. There is trillions out there. Dont know how many trillions. Some people put it at five trillion dollars cash out there. Where does that cash go . That cash will go towards the purchase of stocks, maybe corporate bonds. A lot of that cash is also going to be spent by businesses and households, by businesses on capital equipment, perhaps new hires and by households of course on numerous goods and services. Lets not forget we have a housing boom underway. Just got the latest number on homebuyer Mortgage Applications. Up by more than 21 for a Third Straight week. Stuart that is a big deal. Now you say that the economy is learning how to cope with the virus, cope with the pandemic. In what way is the economy, in what way are businesses coping with this . We have some hard evidence of that regarding just what took place recently. You know, in the month of july many were worried that these major macro indicators would be on the weak side because of resurgent covid19. In the very large populous states of california, texas and florida. Guess what . That didnt happen. We had faster growth by unit sales of motor vehicles. We added, what, 1 1 2 million jobs to payrolls. Later this week, we will get a report on retail sales that should show growth above average growth of 2 for the month this is far different from what happened back in march and april when a state like new york was struck hard by covid. I think were learning how to live with this. Were learning not to panic. Were learning what we can do and what we cant do. Stuart that is one of the major reasons why the market is up close to record levels . Yes. And would it be surprising by end of the week, the s p 500, the overall u. S. Equity market set as new record lie. After all there is a lot of cash on the sidelines. These ultralow Interest Rates may be with us for a while. Perhaps there is no choice other than to put money in equities or at least keep it there. Stuart we hear it. John lonski, thank you very much. See you soon. My pleasure. Stuart we would like to give you virus vaccine news. We got more of it. Look at moderna. Only up 1. 8 now. Had an up much more than that earlier. Johnson johnson is up again. The two of them teamed up on a vaccine deal. Listen to what the president said about it. Roll tape. Im pleased to joins we have reached an agreement with moderna to manufacture and deliver 100 million doses of their Coronavirus Vaccine candidate. Recently we secured partnerships with Johnson Johnson as well as sanofi and gsx to support the largescale manufacturing of their vaccines. Doing very well on those vaccines. Tremendous us promise in every single one of them. They are years ahead of schedule. Stuart you know, all this positive vaccine news is clearly a factor on the market. When ever you get something positive about a vaccine, when it it is available, when it is coming, how effective it is. Up goes the market, regardless which company is making the report. There are 160 Companies Worldwide working on a virus vaccine and it shows in the market. Facebook, theyre getting more serious about electronic payments. Theyre launching a division called facebook financial. All right, susan. Lets see if you can make me understand this one. Susan okay. It connects all of facebooks payments projects in one division. Libra, the crip cocurrency project, all included together in all facebook payments, right . It was announced by the facebook executive david marcus. Wrote a new tweet. Bring it up today. Were creating a new group to look at all things payment headed by a new executive at facebook. I wont get into that. Facebook is catching up to apple pay, google pay, venmo, paypal, to keep track of the financial payments on their platform. It makes sense with the delay in that initiative. Stuart thank you, susan. We have breaking news, coming at us right now. Edward lawrence. What do you have for me. Reporter balance some of that positive news. Boston Federal Reserve president eric he points out extraordinary monetary fiscal stimulus out in the economy only translated into into modest growth spending there. State has opened early in the south and southwest on economic boost has now faded as the virus came up in that area. He believes now more than ever the virus is tied and linked to the path of economic recovery. He believes those two are very connected. He also says the economic slowdown may continue into the fall because you add in flu season. In the speech he says this, quote, limited and inconsistent efforts by states to control the virus based on Public Health guidance are not only placing citizens at unnecessary risk of severe illness and possible death, but they are also likely to prolong the economic downturn. I will add a caveat here. Boston Federal Reserve president is usually more cautious to the downside. He is also not a Voting Member of the fomc this year. Back to you, stu. Stuart thank you very much indeed lawrence. Edward i should say. That is negative i would thought for the market. There is no negative impact at this point. He is a nonVoting Member of course. That news just released literally seconds ago is just hitting the market but it has not yet had a negative impact there. It is official, big 10 and pac 12 have canceled their 2020 College Football seasons. Huge financial blow to the colleges. They will lose billions on this. We have the full story. The dnc unveiling its Virtual Convention schedule. I really dont know how they will pull this off. How do you even cover on television a Virtual Event like this . Totally different from a normal convention. Martha maccallum will be with us shortly. As for joe bidens choice of Kamala Harris. Here is what President Trump had to say about it. Roll tape. President trump she is very big raising taxes. She is against fracking. She wants to take your Health Care Plans away from 180 million americans. 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Now thats simple, easy, awesome. Say xfinity sports zone into your voice remote today. I dont know if necessarily you would say call it a revolt but im cone assistantly trying to lead americans to actually fight for their Constitutional Rights and for Small Business to actually open safely and securely. They will realize that we can do it better than anybody else . Stuart they were the owners of the atilis gym in new jersey. They were arrested for defying the shutdown. Ashley, come in priest, i think they have lost their business license. Ashley they have. They have the mercantile license revoked by local council on a 51 vote. They vow to carry on. That was ian smith and frank trumbetti. Their business was boarded up. They broke back into the their own business. They continued to defight governor, phil murphy, saying his executive order to shut down nonessential businesses is not constitutional. Now this latest blow, essentially, stu, takes away their license to do business. But they remain defiant. Im not sure how. They say the fight goes on. They lost this battle. They have yet to lose the war. Stuart got it, asialy, thank you. We cover what we call the changing economy a lot on this program and here is an example. Hard seltzer surging in popularity. Lauren, do you have the answer for me . How Many Companies are selling a hard seltzer. Lauren 65 different brands. That is up 10 two years ago. Hard seltzer tastes good. Fewer calories. Men and women like it. And most off premise places where you buy it are shut down, sales of hard seltzer, unbelievable, alltime high. In four weeks time they rose to 413 million. If you go into a liquor store, say do you have truly or white claw, usually laugh at you, no, we sold out of our recent shipment this is big winner. Also younger people promoting it on social media like instagram. Research shows it leads to direct consumption. Stuart 413 million of hard seltzer sales in one week, did i get that right . Lauren four weeks, four weeks time. For weeks ending july 11th. Stuart still 100 million a week. That is a lot of money from nowhere. Lauren 10 of the category. If you cant beer and wine. Hard seltzer is the 10 of that category. Thank you very much indeed. Check the market again. Rallying nicely. 200 up for the dow. Look at the nasdaq go, up 170 points. Lets get back to joe bidens choice of senator Kamala Harris as his running mate. Kiron skinner with us, fox news contributor. In your judgment how far left is Kamala Harris . She is extremely far left because that has been the pathway to her National Political standing. So im not sure that she was as far left when she held office in california but she is now on the National Stage and the way she was able to get there to move progressively to the left, so much so, according to some of the rankings she is the most progressive member of the u. S. Senate. That is really hard to imagine that youre even more extreme than Bernie Sanders. But remember, she signed on to, as a cosponsor of the green new deal. She has endorsed medicare for all, although she had an alternative plan. She wants to defund the u. S. Military, and she doesnt believe in the kind of Energy Policy that would allow the jobs that have powered pennsylvania, my home state, and ohio, so this is a big choice for the United States, for American Voters at this time. Stuart would you agree that a vote for biden is just as much a vote for campus cam kamala cam harris, because of her position but her age and bidens age . Yes i do agree with that assessment. In fact, this election will being interesting and unique in that way. As you just put it, stuart, it will be as much about her as it is about biden because he has described himself as a transition president , understanding that he may not make it through the first term. She is going to be looked at with greater scrutiny. I think than most vicepresident ial picks and not because she is africanamerican and not because she is a woman but because she represents an alternative toward socialism that Many Americans endorse but many others do not. Stuart in your judgment again is Kamala Harris going to drag joe biden to the left . He has been driven to the left already and i think the fact that he chose her represents where he has been pushed and where he has been willing to go because the joe biden of the 1980s and 90s was a much more centrist political actor who reached across the aisle. He is in a different space now. This is his opportunity to, you know, capture the oval office. It is the only way that i think he and his team believe that he can make it there. She represents it as well. Stuart is the choice of Kamala Harris is good choice in terms of for President Trump . Do the odds lengthen for trumps second term or do they shorten because of Kamala Harris choice . That is, that is a tricky question. I believe that President Trump has an excellent chance of reelection regardless of the Vice President pick on the democratic side but i do think having an africanamerican woman on the ticket means that the republicans have a lot of work to do to make their case, which there is a strong case to make on hard imperfect calls, like economic numbers, job numbers. They have got to work harder, not because Kamala Harris will snatch the black vote. I think black voters are a lot more sophisticated than vicepresident ial candidate biden has said. Were not a monolithic group but there is something attractive about having a woman of color as the first, being the first on the ticket. So on the republican side, the case has to be made harder, more in facts and arguments to counter the identity politics that will take place in a lot of the media in the next two months. Stuart yeah. It will dominate, i believe. Kiron skinner, thanks very much for joining us this morning. Come back soon. We appreciate it. Thank you. Stuart sure thing. I got news from Goldman Sachs or at least susans got the news. Susan we have headlines crossing that Goldman Sachs might be looking to acquire General Motors credit card business. According to the journal looks like Goldman Sachs will compete with traditional banks, including barclays interested in gms credit card business. Its a tough time for the traditional banking plays, like Goldman Sachs and barclays and jpms. We talked about facebook trying to get bigger when it comes to payments. According to some analysts facebook is going allin when it comes to fintech, financial tech. That is a 300 billiondollar industry in two years time. You have to fight against googles, apples, Goldman Sachs trying to keep a foothold in that growth industry. Stuart gm stock down on this news. Susan Goldman Sachs up 1 1 2. Stuart oh, yeah. Big deal. We told but the big city exodus. New yorkers are indeed fleeing and which know where theyre going and well tell you too. Were only halfway through the big show. We have a market rally, 27, 28 of the dow 30 are in the green. We still got larry kudlow coming on the show next hour. Stay there please. This is decision tech. Find a stock based on your interests or whats trending. Get realtime insights in your customized view of the market. Its smarter Trading Technology for smarter trading decisions. Fidelity. Look, this isnt my first rodeo and let me tell you something, i wouldnt be here if i thought reverse mortgages took advantage of any american senior, or worse, that it was some way to take your home. Its just a loan designed for older homeowners, and, its helped over a million americans. A reverse Mortgage Loan isnt some kind of trick to take your home. Its a loan, like any other. Big difference is how you pay it back. Find out how reverse mortgages really work with aags free, noobligation reverse mortgage guide. 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Im proud to be part of aag, i trust em, i think you can too. Trust aag for the best reverse mortgage solutions. Call now so you can. Retire better stuart the s p 500 and nasdaq are at highest points so far. That is a rally. Gold, last time we checked it was coming back a bit. It is up three bucks, but that doesnt even halfway recover from yesterdays near 80dollar per ounce drop. Were firmly below 2,000 bucks an. That is the yield on 10year treasury. 76 , way up from where it was yesterday. That might not be much to you, but if youre on wall street a movement in the market like that, 10 basis points in 24 hours, that is a huge move, fortunes are won and lost on moves of that kind. 26 of the dow 30 are in the green. 27,900 where we are. 10 30 eastern on a wednesday morning. That means now we find out how much oil weve used and how much we put into storage. And, ash, you have the report . Ashley i do indeed, were down, a drawdown of 4. 5 million barrels, bigger than the 2. 8 million that was expected. That infers perhaps more oil is being used. Is that a proxy for the economy . We shall see but certainly it puts pressure on oil to move higher because we have less in storage. Stuart it is a economic recovery story actually. 42 bucks a barrel. 42. 50 almost. 2 gain, not bad at all. We bring a habit of bringing big city exodus stories because a lot of it is going on. The moving van, united van lines, says there is a 95 rise in people interested leaving new york compared to last year. Do you know where theyre going, lauren . Lauren one place theyre going is philadelphia, in a big way. That is pushing home prices there up 8. 4 in june. Listen. The joke is, when someone is listing the property and they want, say they want a Million Dollars and we think it is worth 800, just get me somebody from new york. This is a bargain in new york. We hear that all the time. Lauren philly is considered the sixth borough of new york. Let me show you other places besides pennsylvania and philadelphia seeing home values urge surge. Idaho, tennessee, wyoming, utah. Prices up five to 10 in the last year as you can see there. Where are prices falling . How about this . New york, San Francisco. They are expected to fall within the next year in cities that are at the heart of the political unrest, civil social unrest weve seen, like portland as well as seattle, stuart. Stuart if you leave new york and go to say philadelphia or the suburbs around philadelphia, youre going to pennsylvania which is sharply lower tax rate than new jersey or new york. Lauren yeah. Stuart that is what is driving this stuff. That is what is driving it. Sharply lower tax rates. Lauren it is taxes. For philly and pennsylvania, you feel the of the city and taxes are lower. You save a lot of money of the people in this area, new jersey, new york, you see what is coming out of your paycheck. And if you work from home you dont necessarily need to commute anymore. Stuart you make good money, and you live in new york city, your tax rate is well above 50 . In other words, the government is taking more than half of your income. I dont know why people put up with it. You can skip town go to philadelphia and you will pay much less than that. All right. I can understand it. I think a lot of people are with me on that. What was that . Okay. Ive got news on uber and lyft. Whose got it . Susan right here, stu. Talk about a possible temporary shutdown of uber and lyft in california after that ruling yesterday in the superior court of San Francisco which issued, is forcing uber and lyft to now reclassify their drivers as employees and not just independent contractors. We have uber and lyft according to reports they could temporarily suspend their services in california because of this. Now this goes back to the ab5, Assembly Bill 5 passed in january of this year which basically is making gig economy players like uber and lyft, along with door dash to reclassify their employees not as independent contractors but employees come with benefits. That includes vacations as well. I should caveat this, uber and lyft have a ballot on the books, on the table, they are hoping to push through in the fall, if passed that would supersede ab5, uber, lyft, door dash, along with other Food Delivery Companies and gig economy workers and players could actually be exempt from ab5 having to reclassify their employees. Theyre talking about a possible temporary shutdown in california. Stuart in my opinion, i think they should leave. Susan that would be hearted. One of their biggest markets and he employ hundreds of thousands of people. Stuart as a point of principle, california is supposed to be the home of innovation, theyre cracking down, theyre ruining an innovative business, a brand new business worldwide and theyre going out of their way to kill it. I mean just makes my blood boil. Susan also directly deposit as lot of tax into the state coffers as well. Silicon valley a big contributor right . Accounts, almost 60, 70 of the california economy. Leave, leave, get out of there. Susan it will be hard. Stuart i dont care. Leave, please. Punish california what theyre doing. I wonder if Brian Brenberg agree with me on this . He is from Kings College in manhattan. He is laughing because im getting hot under the collar. Im mad as hell about this. California is the home of innovation and theyre ruining an innovative business. Are you with me here . I dont think many people know you drive uber on the side in california on the weekends. You have a personal vested interest in this thing. Im with you 100 . Were at moment people are getting impetus to do that. Your earlier story about people moving out of new york city, the bulk of the Millenial Generation is hitting that 30yearold age where theyre getting married and theyre starting to have kids, they just got pushed out of cities because of the pandemic, they experience what it is like to not do business in california or new york and they liked it. They liked the quality of life. I think you might get your wish because people have finally tasted what it feels like to have back a little more of that freedom and they liked it. Stuart after all, if youre working from home, you can have your home anywhere. You can live in, you know, you can live anywhere in the United States. You can live almost anywhere in the world and work from home, for an American Company on an american project, right . There are a lot of people who will do that, stuart. That is clear. Here is the problem. Lets go back to cities for a second. Folks who can do that, work from home. You have most of the u. S. Population who cant work from home. People who are in new york city, in San Francisco, trying to make a living. Theyre dealing with the bad governance. Now dealing with people leaving. The mayors in these cities. I dont think they get this theyre not hurting the wealthy and not hurting the middle class. Theyre hurting lower income, lower class individuals because they dont have the opportunities anymore. The economy grinds to a halt. Theyre stuck where they cant work from home. They cant move as easily. This is the tragedy. The rich can deal with it. It hurts folks who are most vulnerable on the margins of the economy. They are the ones that lose the opportunity. Stuart Brian Brenberg, right again, brian. See you soon. See you, stuart. Stuart thanks very much. The white house and democrats hung up on stimulus spending. Is the stalemate slowing the recovery . Im asking white house top economist larry kudlow. He joins us exclusively in our next hour. Disney world cutting back its hours of operation. Will the most magical place on earth ever be the same again . Good question. I will ask. More varney after this. Stuart oh, yes. I remember, were playing that song because of a reboot of the hit show, the fresh prince of belair. It is in the works. Will smith will be the executive producer. Anything more on this, lauren . Lauren it is 24 years later. The new fresh prince of belair will be a drama. Currently in the works. Theyre shopping it around to streamers, networks, hbo max, peacock. Reboots are huge, especially if the original cast is involved. So, yes, that is will smith. He will not be the fresh prince himself but he will executive produce this drama, called belair. It is based on a Morgan Cooper video. Like a fan based video. Youre looking at it. It went viral last year t sparked this whole production. A quarter century later we get a new fresh prince of belair. Stuart cant wait, lauren. Disney stock here, there is a new story, theyre scaling back disney world hours. That starts in september, but theyre scaling back the hours. Eddie soto is back with us. He is a former disney imagineeer. It has lost the imagine scribing. You cant have the magic of disney with a mask on, no social distancing, get your temperature checked, you lost the magic. I cant agree with you more, stuart. Magic is killed by hospital practices. They will get the magic back, disney is doing everything they can. Stuart but how . Until cruise ships, until you get the hospital practices out of there and screen people at the door with a very high test screening process which basically can deliver a one minute result, so only well people, kind of like the airport, once youre screened for terror, you come into the airport, youre carefree. Theyre not looking at you again. You feel reassured. Part of this is a psychological battle were fighting. Like the movie jaws. People didnt go back in the water. That was a rubber shark. People have to reassure the public it is the safest place on earth and the happiest place on earth this applies to cruise ships. Our company is actually working with Different Technology firms that either use molecular, a breath test, or even possibly, different screening processes that even involve sound waves in order to get a totally safe result and let well people enjoy themselves again. Oh, my goodness. Stuart i can understand your point entirely. Youre looking for a test with an immediate result. It is easy to take. We found it. Stuart you found it . No, there are tests out there but until, theyre still in testing. Theyre still in process but it is very short. Were very close. And the caveat here is capacity. We have to have a one minute test result. Stuart sure. So our Company Assured experiences is applying and vetting these technologies there is snake oil out there too but there is also real science. Were trying to really maximize this forum. Imagine the cruise industry, imagine a stadium, you walk through the test, youre clean. So are the employees. Now we can get somewhere. So were close to this. Stuart absolutely. Were beginning to apply this and were waiting on it. So it is very exciting. Stuart that is a wonderful thing, you have got to tell me how far away are we . You say were close. How close . Im always very careful of this, one of the vendors is talking about in weeks, not months, weeks, they will know if they can really verify these one minute tests. But then again we test, the company, we have to make sure. Every ride, every theme park ride as a different dynamic, stuart as to distancing, how they work. You have to really test these things and make sure what your clients are getting really works. We understand the psychological side. Which is why a guest comes back. It is not enough to be just safe or put a machine in the lobby of a four seasons hotel. Thats awful. We theme it. We make it fun. We have the guest reassured and knows what theyre doing is going to work. It is maybe exciting time. Maybe disney is working on the same thing. I dont know what they do. Theyre very secretive like apple. The magic can come back. We have to come to grips a new normal, regardless of vaccine, people will still have the apprehension i believe, like tsa. Look at the terror level. Look how many people died in terror, yet were still testing because people want to feel reassured. That is the whole secret what make as disney park great, do you think you will have a problem on a ride with your kids . Stuart all right. No. Stuart understood. Safety is job one. Stuart okay. Get that test pronto, eddie. Okay. Stuart that will really work. Were going stuart keep in touch. I want to hear any news on this keep in touch. I want to hear the news on this because that would be a door opener. Im out of time, eddie. Thanks for joining us. Eddie soto. Got you. Im putting blackstone up on the screen. It is up a little bit this morning. They bought some studio lots. That is interesting. Are they just buying the real estate of the studio . Susan if you think about it is a play for streaming. Makes sense after covid which obviously changed Consumer Behavior including yours. Blackstone is spending over 1 1 2 billion dollars for 49 stake in three Hollywood Studio lots. They are betting streaming will only surge from here. The peak in late march and early april people were binging in excess of 160 billion streaming video minutes per week. Eight hours per week people were watching. That is twice last years level. Streaming will grow with hbo max, peacock, apple plus. Studios like universal and disney are releasing directly on streaming instead of the big screen. You saw the subscribers numbers for netflix in First Six Months of the year, in less than a year, disney plus has 60 million subs. That is the future. Stuart they dont a piece of the streaming product. They own the land which the stream something filmed or taped, right . Susan that is in the blackstone playbook. Theyre good when it comes to real estate. That is how you get into streaming without directly owning, and maybe open risk to some of the streaming companies. Stuart susan, got it. Thank you very much indeed. The big 10 and pac 12 officially postponing the 2020 College Football season. That looks grim for the whole season and other colleges. We have a report on this thing coming up and by the way it is next where are you . honey, did you hear about these new geico savings . Mom . Youll get an extra 15 on top of what geico could already save you. Can i call you back . Your fathers been researching our geneology. Were vikings theres never been a better time to save with geico. Switch by october seventh for an extra 15 on car and motorcycle insurance. Hey, we lost the wifi password. Do you remember what that is . Puts its customers a wiin charge . Rier well, the good news gets shared. And it gets rated 1 for customer satisfaction. But dont just take our word for it. Take theirs. Its your wireless. Your rules. Only with xfinity mobile. Call, click or visit a store today. Stuart we are talking a serious rebound here for the major league technology companies. Look at nasdaq, which is now up 200 points. That tells you a lot about big tech. On my little phone here i can tell you apple is up eight bucks. We have got microsoft up five. Amazon is up 64. Facebook is up six. Tesla is up 114 per share. Watch them go. Big rally. Big 10 and pac 12, they will postpone the 2020 football season. Ouch. Todd piro, College Sports will be devastated financially by this, right . Yeah. You take all the good Financial News with the markets today, you leave me with the College Football situation. It is from a money perspective, 100 right, you have to think about the perspective of the schools themselves. They make millions individually and billions collectively from the College Football. That money goes to pay for not only athletic departments but goes to schools themselves to help with academics. If you have been to a bigtime College Football program on gameday, you see the economic engine that is that community. So much money flowing into these towns from tailgates, hotels, restaurants and the like. Again billions of dollars lost from those communities which means jobs, which means even more difficulty, coming out of this pandemic. Stuart what a mess. Everything changes because of that pandemic. All right. It does. Not to be complete doom and gloom. You mentioned the postpone meant of the big 10 and pac 12. That includes the your ohio states and mesh against. Pac 12, ucla, being a ucla law alum. Some say it better not to have a season because it wont be a losing season like the last few have. Still good news, you have the accs, sceecs, big 12s. Those are the three big when it comes to College Football especially the sec. If we have the three conferences playing we will see some good ball in the fall on saturdays. Stuart i hope it takes off for the colleges collectively. We need it. Stuart coming up next hour, of course, were talking exclusively to white house guy larry kudlow. I want to know whats,s with the hold up on the next round of stimulus because there is a holdup. Also coming up, former bloomberg pollster doug schoen. He says Kamala Harris is bidens safest choice. Okay, let him make his case. Plus you have my take on the how the virus has changed just about everything in our lives. The third hour of Varney Company coming up right after this. Introducing stocks by the slice from fidelity. Now you can trade stocks and etfs for any amount you choose instead of buying by the share. All with no commissions. Stocks by the slice from fidelity. Get your slice today. 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Let me tell you where we are now. Lots of green. This is a rally and a half, especially for technology stocks. They are just zooming this morning. Thats helping the nasdaq go to a 202 point gain. The dow jones average up 277. The s p up 44 points. This is a big day indeed for stocks. Couple of minutes time, we will bring in larry kudlow, top economic guy at the white house. We keep saying this. I want to know what hes got to say about the 12 trillion increase in value of American Companies just since late march. That is an extraordinary gain. Now this. You hear it all the time. Its not the same. Thats a reference to how the virus has changed just about everything. The way we do things now compared to five months ago has changed. Its different. Its not the same, is it . Eating out, of course thats not the same. You might have to dine outside. You wear a mask as you walk to your separated table. Not that attractive. The eating out culture, so big in america, is clearly changing. Why go out when you can order in . How about travel. I dont know about you, but these days, im not keen. I guess its because i spent so much time at home, making the effort to get on a plane doesnt seem worth it. Travel used to be exciting, hey, youre going somewhere. Now, its masks, temperature checks, keep your distance, and maybe you wont be allowed back. Its really not the same. Work, huge change. Working from home is obviously not the same. Love it or hate it, doesnt matter, changing where and how you work has made a very big difference to your life. Even for those of us who come into the office every day, its not the same. The place is empty. Virtually no human contact. Very few direct conversations. Think about that. These days, we are more likely to do business on a screen than facetoface. Sport. Ive lost interest. There are no fans anymore. Some networks pipe in prerecorded crowd noises. They are trying, but without an instant crowd response, its not the same. When all sport was shut down i got used to reading a book. We often talk about getting back to the way it used to be. I dont think we will get back to the way it used to be. Heres that the shot again, sixth avenue, new york city, normally packed and now empty. When you are forced to live differently for months on end, you change your habits, you change your tastes. They shift. When we try to go back by eating out or getting on a plane or getting to the office, going to the office, we can see the changes. Its not the same. That is not necessarily a bad thing, but it is reality. Every person, every business, every country, has to adjust. I want to bring in susan, ashley and lauren. You all heard what ive got to say. Nothings the same. Lets start with some examples. What have you got for me, susan . Susan zoom is now in our everyday language. Zoom calls have taken over our lives and homes and the stock has more than tripled this year so its been rewarded, going from 10 million daily meeting participants to 300 million at last count. Also ipoed just about a year ago at just 39 bucks. You would have made around three times your money. Salesforce did, dumping out two and a half million shares yesterday after they made around 300 or so and the stock is up again today after a loss yesterday because of the salesforce sale and earnings at the end of this month. You know, as you said, will we go back to normal or to the old ways, probably not. Zoom is a great example of that. Stuart thats a very good example. Ashley, what did you find . Ashley you know, i have done the pop stocks, why not pizza. Its interesting, the trends we have seen from dominoes, who say we notice that people got sick of cooking from home so what did they do . They were ordering a lot more pizzas because then they would have pizza leftovers the following day. You could really make it last. Maybe the day after that. Its always good, right, for pizza. One interesting thing, though, because of the retail apocalypse its been an opportunity for Companies Like dominoes who have come in and are starting to buy up the empty retail stores, putting a dominos in there and speeding up their delivery time. Its a little like hyenas picking at the bones of a wildebeast on the plains. It is the reality of today. Stuart thats a sad analogy, but i do take your point. Theres nothing like pizza leftovers the next morning. Nothing like it at all. Ashley right. Stuart lauren, you are last up. Your example is target . Why . Lauren this is a surprise because the stock is only higher by 3 this year but i picked it for its ability to pivot to our changing shopping habits. It reports earnings next week but their Digital Sales in april were up 282 . They are fulfilling 80 of those orders with their stores. That is a great position to be in. Low food prices on top of that, customer loyalty. Yeah, they might not be feeling much competition from walmart and amazon but there is certainly room right now for three. I can tell you, when theres a vaccine and people feel comfortable going out the way we used to, i think we will go back to the store. I decorated a room when lockdown was really severe and i hate the way it came because i dont like picking things out on the computer. I want to go see something. I think a lot of people feel like that. Stuart thank you very much indeed. Very good examples about its not the same. Not going back to the way it used to be. Thanks, everybody. Let me move on. A couple of stocks to show you. First, moderna. President trump says america will purchase 100 million doses of their vaccine to give to people free of charge. The deal is worth 1. 5 billion. Moderna had been up earlier. Its down now. Tesla up big. They have announced a five for one stock split. The stock is up 122 a share. The stock split takes effect at the end of this month. Look at that. 1497 on tesla. Got to tell you this, too. Soft commodities, i use that word advisedly, coffee, cocoa, sugar, more, they are staging a simultaneous rally along with stocks. Prices going up. Its a rally all across the commodities spectrum. Stephen schork is with us. He concentrates on oil but lets broaden this out a second because oil is a commodity, and all of them are going up. Whats your explanation for this . Well, certainly, stuart, we started to see this really take hold two mondays ago, the first calendar day of the new trading month, and indeed, we have seen a significant amount of money come into, to your point, all commodities. In my space, in the oil and natural gas market, we are looking at hedge funds now. Hedge funds are holding their largest bullish position since november 2018 and if you remember 2018, there was a massive debacle in the gas market when a hedge fund, option sellers. Com, imploded but wall street is back in that market, they are back in the oil space. With oil at this point, we are flirting now with a 200day moving average. Im not that big of a Technical Analyst but that is a significant milestone. Stuart its an economic recovery indicator, isnt it . Because all round the world, economies are coming out of the chronic depression of march, april and may, and as we come out of it, demand for these commodities goes up. Its an Economic Indicator of the state of the recovery. Right . Absolutely. We look at some of the q3 gdp forecasts by the regional Federal Reserve banks, st. Louis, new york, atlanta, they are all forecasting midteen, high teen recovery in q3. Excellent point that you brought up, that Commodity Prices are the best leading indicator of Economic Growth or contraction and clearly with the rebound we are seeing not just in the industrial commodities but in the softs, i. E. , the agricultura agriculturals, certainly that is positive. We are not out of the woods yet but this is probably the best news we have received on the economy going back since covid19 mitigation protocols went into effect back in march. Stuart fascinating. Thanks for being with us this morning. Always appreciate it. Thank you. I want to get back to that news about uber and i think it is a possible shutdown in california, susan . Susan california, thats right. Where they employ hundreds of thousands of drivers. One of their largest markets. This possibility was filed in their injunction against the monday ruling in San Francisco court that is forcing uber and lyft and other gig economy workers and companies to immediately reclassify their workers and drivers as employees and not independent contractors, employees that are paid benefits and vacation. Heres what uber wrote. Uber will almost certainly be forced to shut down the ride platform in california if this injunction goes into effect, which would irreperably harm uber and all who rely on its rides app. This is a major threat to gig economy players and its Business Model. Food deliverers, door dash and the like. Uber and the rest are looking to reverse this law in california, in law in fall, because they also have their own ballots on the table where they are hoping to be exempt from this ab5, Assembly Bill 5, law that was passed in january of this year. Stuart thanks, susan. I will break into this. Golf fans, listen up. The masters will be held. The new dates will be november 9th through november 15th. Thats video of tiger winning last year. That was a memorable event. The masters always takes place in april. This time because of the virus, of course, its going to be on, its going to be happening and its november 9th through 15th. Thats something i will be watching. Next case, President Trump says hes thrilled about joe bidens Vice President ial pick. Watch this. She was my number one draft pick and well see how she works out. Stuart we will take a look at senator harriss progressive plans and policies coming up for you. The dnc releases the official schedule for its Virtual Convention. How exactly does that work . How as a tv operation, do you cover it . I will ask Martha Maccallum. First, stimulus talks at a standstill. Will that slow down, slow the recovery . We will ask larry kudlow live from the white house after this. Come on in, were open. All we do is hand you the bag. Simple. Done. We adapt and we change. You know, you just figure it out. Weve just been finding a way to keep on pushing. Yeah. This movinginding a thing never gets any easier. Well, xfinity makes moving super easy. I can transfer my internet and tv service in about a minute. Wow, that is easy. Almost as easy as having those guys help you move. We are those guys. Thats you . The truck adds 10 pounds. In the arms. Okay. Transfer your Service Online in a few easy steps. Now thats simple, easy, awesome. Transfer your service in minutes, making moving with xfinity a breeze. Visit xfinity. Com moving today. Stuart 11 15 eastern and right on time, larry kudlow joins us from the white house. Larry, lets get right at this. Mitch mcconnell says the stimulus talks, the virus aid talks, are at a stalemate. Does that, in your opinion, slow down the economic recovery at all, if theres no more money other than the president s executive order going to be put out there . Well, i dont think so, although there are certain items like money for school and things that are very very important and wouldnt mind an extension of the payroll Protection Plan which i think would help Small Business, but no, look, the numbers are coming in very very nicely. I mean, the increase in the caseload, i understand, in the south and west put a slight restraint on the economy, but the numbers coming out show it wasnt a major restraint. Un unemployment claims coming back down, theres a manufacturing boom, a housing boom. Private trucking surveys are very very strong right now. Stuart we dont need a whole lot more money chucked at the economy . I dont think so particularly. I think you need targeted money. I will come back to the School Openings because they are so important for the kids and so important for the parents. There is an Economic Impact there. Our position was higher than the democrats position originally. We put in 105 billion, slightly more than they put in. Thats the kind of thing that ought to work. The president is willing to talk about targeted checks, yes, and some other matters, but no, i dont think the economy is going to rely solely on this. Look, the payroll tax deferral is a huge Economic Growth and jobs incentive. Thats big stuff. I think the continuation of the Unemployment Insurance or the federal government has ponied up, is willing to pony up 300, the states can add to it if they choose to, it would be a 700 overall package, thats going to be a big help and the eviction, its not quite an Eviction Moratorium but its certainly eviction protection as secretary carson put it well. Thats a big help already. And the student loan deferral, zero interest rate, by the way. Some of the kids may want to pay down with zero interest. My point is the executive orders provide considerable assistance and Economic Growth incentive so we can stay with that as we are entering what i think is a selfsustaining economic recovery. Stuart the states, of course, are really upset that they are responsible for, what, 100 a week of the bonus, the unemployment bonus. They say they dont have it. A lot of them dont have it. What do you make of that . Well, we are no longer insisting on a cost sharing deal. In other words, theres some technical adjustments to the executive order last weekend. At this point, heres the thing. Any state that has already provided 100 of benefits for people unemployed because of covid, and that i thinks got to mean all 50 states, if you have already done that and you are continuing that, the federal government will put in 300 so the cost share, now, if the state wants to plus up another hundred, thats great. But thats their decision. But we are not insisting on their plussing up another hundred. We are committed to putting 300 in plus their 400 median average across the country. I think its a great deal. I think its a very generous compromise kind of deal. And i think its going to help the 16 Million People who are unemployed and are still suffering a lot of heartbreak and hardship. I get that. We are going to be helping them there. And the payroll tax deferral again, thats a shot in the arm. It puts more cash it gives the 140 Million People who are working, who you know, were able to get through this, they are heroes working, they will get a big pay raise. Thats what it amounts to. 6. 25 pay raise, about 1100. Thats huge stimulus also. Stuart do you absolutely object and completely reject bailout money for the states . Well, that word bailout, yeah, we reject that. I think i have to go google up websters dictionary for bailout, i. E. Stuart varney, to make sure i know what youre saying. Stuart your money, coming from the administration, going to places like new jersey or illinois, essentially helping them bail out their bankrupt pension payments to their government workers. Do you absolutely flat out reject it, you will never do it . The president has rejected that very steadily and consistently. This is not about bailing out pensions, its not about bailing bad management. I dont want to use new jersey as an example because i happen to think i think a lot of of Governor Phil Murphy and i think hes done a good job and works very well with us. But generically your point is taken. The president completely opposes that. However, we are not opposed to some assistance, federal assistance with respect, for example, to covidrelated equipment or construction or renovation, especially, i say this again, opening schools and opening businesses, 80 of business open, hope to get that much higher in the months ahead and that leaves us with the guidelines, right . Its very important, safety and security, the masking, the distancing, the testing where applicable and good hand washing and hygiene. Thats essential. Now, people need help on that, we probably would be willing to provide some assistance. Stuart i just see the numbers. Between march 23rd and yesterday, the value of all publicly traded companies in the United States went up to the tune of 12. 2 trillion. That is a stunning increase. I have never seen anything like it. Is this an Economic Indicator . Yes. Very important indicator. The broad s p 500 as you know is up 50 from the march 23rd lows. Middle income people own shares through i. R. A. S and 401 k s. Unions, public and private unions, are in their pension plans. That relies on the stock market. Household net worth, stuart, which is what you are measuring, essentially stocks and homes and what kind of cash you have in the bank and some other items, that thing is up, i think i saw its now worth 112 trillion. Thats a remarkable number. Its like, you know, the total value of american assets. Thats a remarkable number. Its got to be up at least 30 from the lows. Ill have to check that. Anyway, you are correct. Thats a leading indicator. Many distinguished economists on wall street use that household net worth, its from the Federal Reserve, as a leading indicator of the economy. Stuart but the left, i presume Kamala Harris, will say thats not fair. The rich are getting richer, they are doing well out of this virus problem. What are you doing about that . Yeah. Well, you know, i feel sorry for them and that point of view. So completely wrong. This runs counter to the american idea. I mean, in a free economy like ours, where we reward success, a rising tide does lift all boats. It may not be perfect but you start at the beginning, at the starting line with equal opportunity and freedom, where you end up and the finish line is completely up to you, but all americans have shared, you know trumps President Trumps first three years and two months was splendid. Lowest unemployment in history, wage increases, as you probably know, middle class and lower middle class, the bottom quintile did the best under President Trumps tax cuts and deregulation and trade reform and so forth and energy. I think thats just a phony argument. Democrats put that out every time. I dont think americans really buy it. You know what, look, i dont think americans resent people from succeeding or getting rich, quote unquote, whatever that means. I think americans want opportunities and incentives, and thats what president ial policies have always done. And we do have a safety net and this debate about the covid socalled cares package number two is that we are putting in incentives, we want to create new opportunities and where necessary, where it applies to covid, we will raise the safety net with temporary cash injections. Weve always done that from the beginning. It was bipartisan last winter. Unfortunately, its very partisan today. But i dont care. All this stuff, no one should people dont object to their neighbors and friends doing well and they want to do well. They want the same opportunity. This middle class owns a lot of stocks, stuart. 51 of the people in this country, 51 of the households own stock. Thats a gigantic number. Stuart as we go out, would you make any comment on the selection of Kamala Harris as joe bidens running mate . I have no personal comment. I dont know her. I have never met her. I know the president s disappointed in her performance in the judicial hearings. I would just say, though, the issue here is the significant left turn in democratic policies. I mean, biden, senator biden or former Vice President biden is backing over 3 trillion in tax cuts tax hikes, im sorry, tax hikes. Thats crazy. You are coming out of a pandemic, contraction at historic dimensions and he wants to raise taxes. As i say, where are the keynesians when you need them, much less the supply siders. They will decimate energy, decimate energy which will completely crater the economy and the stock market. Thats the problem. Its not the personalities that concern me. Its the policies. And the policies would transform america as Vice President biden has said. It would transform it towards a governmentrun socialized economy the likes of which have never succeeded. Thats a warning. I hope voters well, i know voters are very smart. They will be following this intensely. The contrast between President Trump and mr. Biden couldnt be clearer. President trumps tax cuts and deregulation and fair trade and Energy Revival gave us a splendid fastgrowing economy for three years and two months before the pandemic. Why do you want to unwind that . Why do you want to overturn that . Why do you want to transform that . I dont want to transform it. I want to continue with a second round of economic rebuilding. Stuart that virus changed everything, didnt it . It did but we will persevere, stu. By the way, your announcement about the masters is fabulous news. Fabulous. Stuart isnt that wonderful . The psyche of america. People love that just like the baseball opening. Stuart the 9th through the 15th. The masters will take place. Larry, thanks for joining us. Appreciate it. See you soon. Thank you very much indeed. Now, carrying on from that conversation, joe biden, he has made a very progressive choice for his Vice President. Lets watch this. Crossing over the border, it is illegal and you would decriminalize it . I would not make it a crime punishable by jail. I strongly believe we need to have medicare for all. I will give the United States congress 100 days to pass reasonable gun safety laws. Stuart im going to call those far left policies and Kamala Harris could be one step from the presidency. Good story. Were on it after this. Shes very big into raising taxes. She wants to slash funds for our military at a level that nobodys can even believe. She is against fracking. Fracking is shes against petroleum products. She wants to take your Health Care Plans away from 180 million americans. Stuart thats the president listing Kamala Harriss id say liberal, i think far left ideas. Lets bring in doug schoen. He used to be a new york democrat. I think hes still a democrat but i dont think hes a new yorker any longer. There you go. Doug, welcome. Good to see you. Thank you so much, stuart. A florida democrat now. Stuart okay. Theres a difference, im sure. Look, lets start off with this. I think Kamala Harris is on the ticket because of her race and gender. The democrats, your party, are playing identity politics bigtime. You going to take me on on that . No, im not going to take you on. Joe biden said he was going to pick a woman, he did, and i think given the importance and role of africanamericans in getting joe biden nominated, it was the right political decision and maybe even substantive decision for him to make. I dont take you on at all. Stuart will the rest of america appreciate a Vice President who is going to be so close to the oval office essentially getting that position because of her race and gender . What does Middle America feel about that . At this point, it probably is not going to be a problem but we have seen recently, stuart, in chicago, portland, seattle, violence and i am worried that we are going to have a backlash as we did circa1968, and i also worry that the democrats, biden and harris but the two of them together, are moving too far left, too likely to increase taxes, and are not sensitive to the needs of middle class ordinary americans as larry kudlow was articulating. Stuart how far left do you think Kamala Harris has gone . Is she close to Bernie Sanders . Is she closer to Bernie Sanders than she is to joe biden in terms of policy . Lets just say right now, shes where joe biden is. I think she was picked because she is the least bad choice. I think that she will embrace bidens policies, whatever she said in the past, and i think you will see certainly a left almost Progressive Democratic party, but you will not see her articulating positions shes taken before that i think are out of the mainstream. Stuart i think Kamala Harris will be the one out front in this campaign. Shes energetic, shes lively, shes 55 years old, shes the exact opposite in many ways of joe biden. I think shes out front. I think she leads this campaign. In fact, i think shes the most important person on the ticket. What say you . Well, i say she was nominated because i think she is the one most likely to be qualified or perceived as such to be president and if she leads the ticket and is aggressive in the way you are describing, i think biden would believe that it will be more likely to be a positive than a negative. Time will tell to see whos right. Stuart let me make sure ive got this right. You have left new york city. I have known you for 20 or 30 years. You have always been a new yorker and proudly so. Have you absolutely left it for good . Well, lets just say im a florida resident, i will be voting in a swing state and i will for one certainty, stuart, i will be paying lower taxes in florida which we both agree is very very good for me and i dare say for most people. Stuart the governor has issued, he wants you back. I understand. You know, if new york city can stabilize and we get our finances under control and we can reopen maybe just maybe, but i worry taxes in new york, no matter what Governor Cuomo says and i have been a supporter of his, i believe they are going to have to go up and we have a far left government with deblasio which i think will only get worse, stuart, and why would i want to be there for that. Stuart im with you 100 . Doug, thanks for joining us. Always a pleasure. Stuart thank you very much indeed. See you soon. Now, some companies will be reporting their earnings after the bell today. I will start with vroom. Thats an online used car company. Wall streets got high hopes for them, ashley. Ashley yeah, they do. Theres a lot of upfront costs to get this under way. They are expecting a loss of about 70 cents per share, revenue about 222 million. But really, you have to look at the long game. Theres a lot of money that has to be put in, as i say, on inventory and getting the platform up and running. Lets not forget, this Just Launched june 8th. The price was 22. My, oh, my, its coming along very well, closed at 47. 90 on its first day. It spent around 1 billion on online on the platform. Its also talking about expanding in the future to selling auto parts and insurance. Interesting to see what they say, how people are changing their habits and buying cars online. Theres only 1 of the used car market buying online. You could say plenty of room for growth. Stuart you could. Again, we go back to the subject at the top of the hour. The virus changes everything. It really does. Including buying a car, for heavens sake. Thanks, ash. The virus has obviously devastated the travel industry. Listen to this. Almost half of u. S. Hotel rooms are sitting empty. People are choosing to stay home. Theyre not traveling, obviously. Airbnb, they reportedly are going to go public. I dont know when, but they are going to go public. Is this the right time . We will discuss that. First, though, the big ten and pac12 postpone their football seasons, keeping players safe from the virus. Was that decision more about health or politics . Fox news anchor Martha Maccallum weighs in on that. This is decision tech. Find a stock based on your interests or whats trending. Get realtime insights in your customized view of the market. Its smarter Trading Technology for smarter trading decisions. Fidelity. Shingles doesnt care. I logged 10,000 steps today. Shingles doesnt care. I get as much fresh air as possible. Good for you, but shingles doesnt care. Because 1 in 3 people will get shingles, you need protection. 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A free decision guide will provide a breakdown of aarp Medicare Supplement plans, and help you determine the plan that works best for your needs and budget. Call today to request yours. Lets recap. There are 3 key things you should keep in mind. One if youre turning 65, you may be eligible for medicare but it only covers about 80 of your Medicare Part b costs. A Medicare Supplement plan may help pay for some of the rest. Two this type of plan allows you to keep your doctor as long as he or she accepts medicare patients. And three these are the only Medicare Supplement plans endorsed by aarp. Learn more about why you should choose an aarp Medicare Supplement plan. Call today for a free guide. Stuart larry kudlow on the show a few minutes ago did not move the market up or down. Weve still got a handsome rally. Look at that, the dow industrials up 244 but look at the nasdaq. Techs doing well. Nasdaqs up 213 points. Thats a rally. I have been saying it all morning. Nothing is the same. Everything has changed. And that goes for this years political conventions. They will be almost completely virtual. Martha maccallum, host of the story on fox news is with us now. You will be covering these Virtual Conventions. Hows that going to work . You know, i started my president ial coverage back in 2004, packed on the floor of the convention in boston, its where barack obama gave his keynote speech. The electricity in the room was incredible. We were all standing, you know, on top of each other, social distancing was something that clearly didnt exist as everybody was jockeying for their spot on the floor to have a great Camera Position for the night. Obviously, this is going to be vastly different and both of these its going to be interesting to see how the dnc and rnc handle it because those of us in television understand the value of production and i hope these conventions understand the value of production in the way that the game has changed because in order to create some enthusiasm and excitement around these events, theyve got their work cut out for them. Stuart yes. We keep saying this, we said this throughout the show, nothings the same. Everythings changed. I dont see how you generate excitement and publicity with a Virtual Convention, when as you say you dont have those people milling around, you dont have the balloons and razmatazz. Pol was 1980. That would have been a good one. The moments that are made at these conventions, and we talked a lot over recent years, the importance of the convention has diminished. We havent seen a contested convention or true sort of wrestling behind the scenes of the deal makers and power brokers in quite awhile. In fact, these conventions have shrunk over the course of the last several cycles. I wonder when they find out how much money they will save doing it this way, if they decide they dont need to go back to the full convention in the next four years. I think youre right, i think a lot of things are changing today that are not necessarily ever going to go back to the way they were, and i for one will be glad that i experienced them in their full bloom because they are exciting and they can potentially be newsmaking at times and thats why we like to be where the action is. This time around, the action is going to be very different but we will be there nonetheless. Stuart im already telling my grandchildren about the good old days of 1980 but thats another story entirely. Right. The big ten, pac12, as you know, they have officially postponed their fall sports. Do you think theres any politics at all involved in this, martha . I do. I think that you see a difference in opinion in some of the red states and blue states about whether or not the lockdowns should end and i think that extends to College Sports as well. I think when you look at the pac10, you look at the big ten and pac12, rather, and you look at the acc, sec, the choices they might make in the south and midwest might be different. We are sort of waiting to find out what they decide. I go back to the words of trevor lawrence, the quarterback of clemson, who says we want to play and that hash tag has been trending all over the place. The president is also supporting it. Obviously they want to play with precautions but they are asking the question, why are we safe in class and not safe on the football field and also pointing out that for a lot of these students, the safest most regimented place for them to be is with their team, is at practice, and you know, i think its a huge mistake and i think its one they will regret and i think its one that, you know, a month from now may look like they made it too soon. Stuart everything changes. Everything shifts. Because of that pandemic. Unbelievable. Its only five months old. Martha, thank you. We will be watching tonight on the story. Weeknights, 7 00 p. M. Eastern on fox news channel. Thank you very much. Thank you, stuart. Good to see you. Stuart sure thing. Im going to get back to sports right now. A u. S. Soccer team will play in front of thousands of fans and they will play that in front of thousands of fans today. Where, ashley . Ashley they listened to your plea, stu. In dallas. Fc dallas of the Major League Soccer team, mls, will be hosting nashville tonight in frisco, texas, just north of dallas. A maximum of just over 5,000 fans, 5,110 will be allowed inside the arena. That is about 25 of the 20,000 seat stadium. Its actually well below the 50 limit thats actually being allowed by Governor Greg Abbott in his most recent executive order. Interestingly, all the fans that do get in to watch this game have to sign a liability waiver agreeing not to sue if they are exposed to covid19. They will also have to wear masks and they also will be in one of two zones socially distanced, lots of empty seats between them. At least its beginning and going to get real fan noise inside the stadium. Stuart we are both sports fans. Do you agree with me that watching a game of any kind with no fans is not the same . You agree . Ashley its not, no. You lose all the excitement you really do. Substitute wa stuart you want that crowd response. In soccer i want to hear the fans singing. I want to hear what they sing because they change all the time. We will get back there one day. Thank you. Lets change the subject, why dont we. Lauren, youre on. Forbes released their list of highest paid actors. Who is number one . Lauren yeah. I just want to say, my husband is not watching sports anymore and thats good for me. Just pointing that ouchltt. The rock earned 87. 5 million last year thanks to his under armour clothing line and the new netflix movie red notice which also stars the number two, ryan reynolds, 71. 5 million. Mark wahlberg at number three. Ben affleck and vin diesel in the top five. What do they have in common . They all made movies with netflix. Netflix pays well. Stuart thats interesting. That is interesting. All that money, good heavens. 87 million . Lauren yeah. Stuart we are in the wrong business. Lauren in one year. June to june. Stuart moving on. 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I appreciate what makes each person unique. Thats why i like liberty mutual. They get that no two people are alike and customize your Car Insurance so you only pay for what you need. Almost done. What do you think . I dont see it. Only pay for what you need. Liberty. Liberty. Liberty. Liberty. Stuart heres the story. The last remaining blockbuster on earth is turning into kind of airbnb. The store is in bend, oregon, one of my favorite places. Its opening its doors the people who want to experience a 90s themed sleepover. It will cost you four bucks a night. Now, you rent the place, movies are included, you can watch them on the vcr, remember those things . There is a catch. Only local residents who live near the store are allowed to rent it but that is the last remaining blockbuster i believe in the world. Lets talk airbnb. Im very interested in this company. They are reportedly getting ready to go public. Susan, when could that happen . Susan they could file papers this month and shares could start trading before the end of the year. So three options here. Traditional listing where the Company Sells shares to the public and raises money, or they could go for a direct listing where no new money is raised. Slack and spotify chose a direct listing route. One more option might be the new trend of spacs where airbnb merges with a Blank Check Company and nikola is an example of that. Morgan stanley, Goldman Sachs leading this offering. Airbnb was ready to go public earlier this year, they filed the papers in march, at least they were looking to, and the coronavirus derailed those plans. Airbnb at the start of this year was worth 31 billion. Then they had to raise emergency funding at the height of covid and nearly half of that valuation, 18 billion. Value will be interesting and they also have to lay off about a quarter of their staff. Even if airbnb files for a listing and files the papers, there is no guarantee they will go ahead with an ipo this year but we have seen highflying unicorns doing very well. Lemonade tripling from its ipo price and nikola has also gone stratospheric as well. Stuart im interested in this brand new company, this new idea, this new industry. Ive got to tell you, it was airbnb that drove my family out of the Hotel Business. Susan yeah. This is what we call disruption. Are you willing to pay the right price for disruption. I think thats the key here. Stuart yes, but youre right, it is an absolute industry disruptor. Got it. I will put some airlines up on the screen. I believe they are up. Ive got this no, theyre down. This story, wall street journal says the airlines are withholding billions of dollars in refunds for customers whose trips were canceled at the start of the pandemic. Now, the journal goes on to ask these customers to tell them, customers tell the journal some airlines are trying to skirt giving the money back by offering vouchers or claiming the passengers just missed their flight. The airlines, though, are down today. Even though they might get some more bailout money. Quick market check. Still on the upside across the board. More varney after this. Stuart got a nugget for you. Fox news confirms with democrat sources that in the four hours after joe biden announced that senator Kamala Harris was his running mate, in those four hours the campaign brought in 10. 8 million worth of fundraising. They do this through act blue. That is the online, nonprofit, fundraising platform used by democrat campaigns. Off to a good start there. In four hours, 10 million. Not bad. My times up. Neil, its yours. Neil i dont think either party will have trouble raising money when all said and done on this stuart, thank you very, very much. Were looking at corner of wall and broad. Welcome, im neil cavuto this is coast to coast. The dow is up 232 points. Transports trying to make it 11 Straight Days of advances something weve not seen in the better part of a decade. I dont want to start off getting wonky. That could be a very Bullish Development here. As transports go, it could be a signal event where the economy and markets go. More on that in a second. Lets follow the latest news items here, you will see joe biden, with hisng