Transcripts For FBC Varney Company 20170706

With Vladimir Putin. And Steve Scalise is readmitted to icu over concerns over an infection. And well continue to bring you updates there. Virginias governor, mccauliffe admits that the democrats dont have a leader, and cant name who will take them into the next election. Varney company starts right now. Finally on both sides of the atlantic, our citizens are confronted by yet another danger, one firmly within our control. This danger is invisible to some, but for millions at the polls, the steady creep of government bureaucracy that drains the vitality and wealth of the people. The west became great not because of paper work and regulations, but because people were allowed to chase their dreams and pursue their destiny. Americas polls and nations in europe enjoy individual freedom and sovereignty. Charles joining us is lisa booth. This is the president s second overseas trip, bringing the message of draining the swamp overseas with him. Whats your reaction . I think its important for him to bring that out. This trip is sort of setting the frame work, its us or them. Its the western ideals that we all share, or its isis. And their viewpoint, or its north korea or its iran, countries and, you know, terrorist organizations in regards to isis that dont share our western ideals and then its also, lets make sure that we dont lose those things that fundamentally make us americans here in our own country. Lets, you know, sovereignty is important, as he mentioned, individual freedom is important. Dont let the heavy hand of the bureaucratic government squash our ability to succeed and get ahead and build society. I think that message is important both in terms of struggles abroad and also ways to ensure that, you know, we all, you know, share the things that are important here m america. He hit on that over and over again. Particularly on the cultural side and embracing it, preserving it, pressuring it. Thats a pushback against the sort of pc mentality thats been draining or swamping the entire western world, but the specific idea of western ideas, the g20 meeting, what are they today . Is it Big Government as seen by germany or macron or is it the Smaller Government that Ronald Reagan and of course, his Counter Point in england, Margaret Thatcher, helped to revitalize the west once before many think is needed right now . Yeah, and look, i dont know necessarily know if every country is going to share the same idea of what freedom means within their own borders and i think thats why its important for the president to also highlight the fact that, you know, look, were all facing some pretty big and common threats, so, lets unite against them. cause at the least, we do share, you know, the same ideas, similar ideas about freedom, but you know, i do think its important, this is something that President Trump ran on during the general election as well. Talking about american exceptionalism, make America Great again, reagans slogan. Thats what americans wanted, they want today make America Great again. I think a lot of people felt that, you know, were headed in the wrong direction under president obama and that were sort of apologizing for americas strength and for the things that make this country great and they wanted to go back to the notion that we are exceptional and we should be exceptional in the eyes of the rest of the world. Charles before i let you go. What do you make of that rousing reception and had the crowd in the palm of his hand. It felt like a stump speech, it felt like a red state here. He doesnt always get that reception in some parts of america, its fascinating. Its similar to what we saw in the general election, however the speech ends up getting reported or however this trip ends up getting reported he takes his message directly to the people and the people react positively, but the elites or the people in power, whether its the media or whether its other World Leaders, you know, may say whatever about it, but you know, he takes his message directly to the people so i think we saw that a lot during the election as well. Charles all right, lisa, thank you very much. Appreciate it this morning. Thanks, charles. The dow futures under pressure and then of course additional pressure from some tough talk from President Trump to north korea and the markets were dampered. And a report on thursday, at 11 00, many hoping that maybe we have dramatic drawdowns with respect to crude and gasoline stock inventories. The price of gas, 2. 24, your national average, five states now with gas under 2 a gallon. Arkansas and missouri right on the edge as well. And now lets check on amazon premarket. Guess what . Getting into the wine business. Emack should i be excited. Liz well, yeah. Ash is saying, these are whole foods prices, anywhere from 20 a bottle to 40. I understand what ashley is saying. These are whole foods prices. Theres a talk that amazon may have its brand name wine and theyre doing free prime delivery in certain spots and in ohio 8 for the delivery. And it could boost its profit margins. Branding your own label. Fatter profits than other peoples products. Jack hough, we havent introduced you, but you look like you want to jump in. Are you saying im an alcoholic . [laughter] its all about the review, once you get the reviews, its a network affect. Liz wait for 7eleven to come up with its talking speaker. Hey, 7eleven, i want mine now. Private label wine and luxury watches. All im saying. Lets take a quick look at the future. Its a little sloppy, theres going to be some pressure in the morning and were bringing jack and talking about the market watcher saying that the dow transposed sending a signal, and theyve broke out after a long base. Those who believe in the dow theory believe that the transportation must do really well. I believe in earnings broadly. They were pretty good last quarter and picked up a bit. Valuations look full here, that doesnt mean they cant push higher. They push higher in the later stages of a bull market. They have room to run before they reach the down turn. And what do you think the rally is looking for right now. The market is grappling for right now. Could it be tomorrow with the jobs report . I dont think there will be big surprises there. We had a 2 growth economy and weve had a rush of sentiment. The soft numbers, the sentiment, the survey, boom, what are we left with when the dust settles . Its a 2 economy. You can stretch out expansion, i dont think we should be looking for a huge gain here right at the end, but i think the market can continue to kind of muddle higher. Muddle higher. Thats the quote of the day so far. Its early, its early. In the meantime, bad news, congressman Steve Scalise has actually now been readmitted to intensive care. Ashley his condition has been downgraded from fair to serious and hes now back in the intensive care unit. He was shot on june 14th, a bullet hit him in the hip and it went through several blood vessels and broke bones and damaged internal organs, and hes undergone surgery. Doctors said after the time he was in initial recovery, they did expect infections, typical of these injuries. There are a series of ups and downs and back in icu. Our prayers with him and his family at this moment. We are about to show you video of a fire in breckenridge, colorado, its expected to flare up this afternoon. The entire town is on alert for a potential evacuation. Well keep you updated on that. And also President Trump on the way to the g20 meeting in germany. Hes expected to land in 40 minutes and tomorrow, well, President Trump will meet Vladimir Putin. More varney after this. Introducing the new sleep number 360™ smart bed. The only bed smart enough to change sleep as we know it. It senses your every move and automatically adjusts on both sides to keep you comfortable. And snoring. Does your bed do that . Right now save on sleep number 360™ smart beds. Plus, its the lowest prices of the season with savings of 500 on our most popular p5 bed. Ends sunday. More violence in venezuela. Liz and they basically were invading the National Assembly with wooden sticks and pipes and beating legislative workers including journalist, five to seven were injured. One injured so badly he was taken out on a stretcher, suffering from convulsions. So this comes on the day of venezuelas 206th anniversary of independence, this was a sevenhour siege, so police had to open a corridor to let those trapped inside out. This comes ahead of the july 16th referendum on maduros push to draft a new confusion. Its a symbolic vote and hell probably do it anyway. This is socialism in severe collapse. When you see legislators when we reported last week they had done this and stormed the Venezuelan Parliament and detained senators. Ashley these are opposition leaders. Liz no, these are pro maduro, pro socialists, exactly right attack being opponents. Charles theyre giving real arms as well. Liz thats a great point because in the last two years or so, the venezuelan government has taken bullets from the people and arming hundreds of pro maduro forces throughout the country and about seven dozen thought to be dead, thousands more injured and jailed. Charles socialism doesnt end when you run out of other peoples money, it ends like that. Thanks, emack. President trump speaking at a News Conference in poland, addressing the role of north korea. Not only must we secure from the threat of terrorism, but the threat from north korea, thats what it is, its a threat. And we will confront it very strongly. President duda and i call on all nations to confront this local threat and publicly demonstrate to north korea that there are consequences for their very, very bad behavior. Joining us now, ambassador john bolton, Fox News Contributor and former u. S. Ambassador to the united nations. Ambassador, would we really target north korea . If we did, would it be the missile silos, understanding that theyre positioned for some sort of conventional retaliation for south korea . Lets be clear. We start from an unhappy position because in 25 years of pursuing essentially the same failed policy of trying to negotiate north korea out of its Nuclear Weapons program. Now as predicted by u. S. And south reason officials, theyre very close to being able to target the United States with nuclear wednesday. I think our Diplomatic Options are limited, and therefore, when you hear President Trump talk about a potential severe american response, thats what hes looking at. What would that entail . Possibly an attack on the Missile Launch sites, possibly an attack on the nuclear facilities. North korea is trying to develop a submarine launch capability and we might look at that. The risk, even if we try a limited strike, the north might respond in exactly the way would you expect a regime like that to respond, killing civilians in south korea. So its not happy. I think there are a lot of possibilities we should look at to mitigate that risk, but lets be clear, i think the reason President Trump is so concerned, is that his responsibility is to protect innocent americans. And thats why because the options are so limited the unattractive option of a military strike has to be closely examined. Charles it has to be examined and feels like the clock is ticking. North koreas push has certainly been more exceptional, if you will, than anybody thought, even six months ago and lets face it, the loss of innocent lives in this case could be south korean lives if that indeed happens. At the rate were going, ambassador, is there an alternative . Even yesterday, china and russia putting out a joint communique suggesting that america is also at fault for provocation. It was puzzling to me. Well, these people, this is out of a cold war playbook and its unacceptable, but its what the soviets did during the cold war. They engage in outrageous behavior and say well give that up about you give up some behavior youve had, youve been conducting for a long time so when you return to stability, the west is worse off than it was before the crisis that the soviets provoked. And thats the kind of line theyve taken here and i think it obviously shows russia and china have coordinated in advance of the g20 meeting and again, it puts to the lie, the idea that somehow, whether through negotiation or sanction, we can change north korean behavior. We cant change north korean behavior. Theyre never going to give up their Nuclear Weapons program voluntarily. Thats why i think the only diplomatic play left is to convince china and it wont be easy and what we really should do is reunite the peninsula. That it would be in chinas interest and ours and you eliminate the north Korean Nuclear threat by eliminating north korea. Charles next one for you, ambassador. President trump meeting with Vladimir Putin tomorrow. What should we expect with the meeting . This meeting should be the two leaders getting to know each other, having an exchange of views. I dont think we should expect anything concrete to come out of it. I think its important for trump to see putin up close and personal. You can see in the new york times, leaks out of the entourage around the president , they dont trust the president oneonone with putin. Theyre worried about this meeting, theyd like to see it more structured to see the outcome. I think the president can take care of himself on a oneonone with putin. He better find out who is leaking these things from are critical of him from his own staff. Charles i thought it was going to be a huge one, and after the first meeting, the stupid kind of leaks about. Ambassador bolten. Thank you. Thank you. Charles the craft store hobby lobby fined 3 million importing ancient artifacts. And happening moments from now, President Trump will touch down in hamburg, germany. This is the second overseas trip and likely, most important one yet. Stay tuned, more varney after this. Hobby lobby he agrees for more than 5,000 artifacts out of iraq and should have the details on that. This happened about six years ago. 5500 ancient artifacts, they bought them for 1. 6 million dollars, although, the its fraught with red flags and they were shipped through three separate addresses in oklahoma city, the shipping as ceramic tiles or clay tiles. Theyve been fishy, unall the ultimately they agreed to pay back to iraq and they paid the founders of hobby lobby are backers of the museum and theyre going to be magnificent later object this year. Theyll rescue them from isis. Charles just want to let the audience who know a couple of answers yes and they would not destroy them. Thats know the in the if theyre in the tiles, theyre getting them back and cash on top and say it ends well. Its 1. 6 million. Weve seen these people al qaeda and iraq and also, afghanistan with the two buddhist temples blown up. Its disgusting, irreplaceable. It is disgraceful. Thank you all very, very much. The market is going to open less than five minutes and its been flat all session long. Trying to get a little gain here, we thought maybe the adp report would do it, that missed the mark and an oil number coming out and technology coming out the second day in a row. Varney company will be right back. Where are we . About to see progressives new home quote explorer. Where you can compare multiple quote options online and choose whats right for you. Woah. Flo and jamie here to see hqx. Flo and jamie request entry. Slovakia. Triceratops. Tapioca. Racquetball. Staccato. Me llamo jamie. Pumpernickel. Pudding. Employee hey, guys home quote explorer. Its Home Insurance made easy. Password was hey guys. Opening bell in about 20 seconds. Let me just set the stage for you. A really nice rebound particularly on tech stocks. Today focus should be on crude oil. Holding above 45. Those stocks are higher and the rest of the market opening lower. Here we are the first ticks are coming in. Travelers at the time and not a lot of massive moves, fractional out the gate, down 60 points. Joining us now, ashley webster, liz macdonald, scott martin. Were in the Holding Pattern ahead of jobs. You already kind of poohpoohed the notion as the jobs report would be the catalyst, it feels like the market is consolidating gains and not giving a lot up. You think its a slow drift up and nothing changes that. I think its a slow drift up. The bull market ends when things are crazy. Are things crazy yet . Crazy means too much irrational exuberan exuberance, market going up 200 points a day. And lets not forget theyre backed by massive crash flows, this is not a repeat of the dotcom stock bubble. Theres a Solid Earnings directly and i think the market can move higher. Speaking of massive cash flows, 260 billion. That money has to go to work and keeps coming in and a lot going to our domestic stock market. Is that helping as well . Yeah, i mean, thats great news. Thats the investor getting the benefit of transparency and low costs. Ive been an etf investigator as you know for 10, 15 years and eetfs have been great. Thats a big thing behind the stocks youre talking about there, the netflix, the apples and the googles. And jack is right. Its fine theyre picking up the stocks, the thing thats poohpoohed, too, is that the market is being narrowed by a few of the stocks. These are the best stocks out there, its natural that the investors should go toward them. I think that scott and jack are right. This is an aging bull, not just a raging bull. Theyre saying that the global stock prices could pop 9 by the middle of next year. Why Global Corporate earnings are on the rise and looking for increase in global etf. Thats from a 2 performance. This is from the global price index. And the economic backdrop across the world is better than we want to admit. Its certainly headed in the right direction. Another great stock for many, and if youre old school, the transportation stocks have to cooperate or a market rally. Yesterdays broke out to a new high. 6. 6 this year. 29 for the whole year, 52 weeks, scott. Here is the thing, we had a huge run, consolidation and now thats lifting. Do you think thats a bullish sign . I like what im saying, charles, daytoday, the market is pretty fun. June was a nothing month. And a math month as kids like to say. Its a fun month because theres a lot going on under the surface. The end result was consolidation pattern. If you look at the chart and the s p 500 the past 30, 45 days, the next base. Maybe some policy moves out of d. C. , i believe that takes the market up another 10 to 15 . Charles jack. I just want to touch on the etf, i guess fund trade youve been seeing a lot of the banks talking about. Keep in mind all the money is flowing into stock indexes. We know the proportions going into certain stocks. Active managers, theyre seeing where they are overweight versus the indexes. Where are they underweight versus the indexes. Those flows basically trade against the active funds and by looking at what active funds overown or underown, you can make pretty good bets and guesses. Charles you think the regular person at home can beat a wall street master mind. Can make more money through the masterminds. Bank of america and Merrill Lynch and Credit Suisse put out monthly reports talking about where active funds are crowded and underowned and people are using that to make bets on wall street. Charles and the pharaohs of wall street have taken a hit. And taking a look at tesla and sales coming in slightly less than expected. Tesla, emack was 380 a share. Liz it did drop to lows we havent seen since last year. Underwhelmed vehicles, and sold from 25,000 the First Quarter. Elon musk says the model is 20,000 a month, but you watch what they say on the earnings Conference Calls and they keep blaming manufacturing problems. Five of the last seven quarters. For elon musk, it sounds like hope and change the subject. Something it happening and hes hi highfalutin according to some. Ashley and youre not the only game in down. When mainstream gets them in like volvo, thats a reality check. Charles the stock, 386 a share. Wall street knew, people buying that stock knew it was inevitable the big boys were going to try to compete with them. What changed in the last three or four days . Its funny, charles. It goes to show you that stocks that go up and grow toward the sky eventually need to pull back. You know, tesla got a little over its skis there, im not shocked. Okay, a bad joke, how the stock has come back. While weve seen pour numbers, the reality is everybody is freaking out and the stock is back where it was in may. The stock to me is attractive here, we own it, but know with stocks like these, they get so far along the valuations and they come up with the valuation problems. Its a chance to accrue more. You had to go along for the ride. I had to get a pun in there. The stock implies five years from now, tesla will be as woo i had spread as bmw. Could it happen . I think its a tall order. And well look back and say elon musk was a great cheerleader for the electric car, but the others made the bulk. Charles and giving a seat away to a standbypass injure and change the music from rhapsody in blue to rapsy in black and blue. Liz and a woman with a twoyearold son on the last leg of a 18hour flight flying out of houston to boston and goes to her seat. A man is sitting in the seat. He paid 75 because he was on standby for that seat. She had paid 1,000 for that seat. A Flight Attendant shrugs and says, you know what . The air flight here is overbooked. Cant do anything about it. Forced to sit with her twoyearold son in her lap for three or more hours, maybe four hours. And against f. A. A. Rules. She gets off the plain and Customer Service says call this tollfree number you have to pay extra to get to boston. She finally got a refund, an apology and a voucher, not enough. What happened here, she had this, she recorded it. And put it up on social media. Charles and they would have ran into the wrong parent, would have seen a different shot of a parents with a twoyearold. So stupid, so horrible. Lets check on the big board. Weve been open for seven minutes and we drifted lower again. Fighting some serious head winds and anxiety growing about north korea and the adp jobs report slightly lower. Amazon is developing its own wine and scott, this is why we call them the everything company. Your reaction . Well, i mean, i used to do some drinking and shopping on amazon. I quit that because, obviously, it had some bad ramifications and maybe theyre going to bring that back. You know, i mean, look, theres probably nothing at this point that amazon doesnt want to do or cant do. One thing out there looming is the breach into the pharmaceutical industry. Look, its interesting from the standpoint, they have a lot of amazon prime members and touch so many of ours lives, they might as well try to get into the wine business. If you look at craft beer and all of those kind of lets say attractive spirits that people like to drink, wine is another one they can capitalize on. Charles jack, what do you think . This is the perfect amazon business. Pricing is inefficient. Its grape juice, folks, it shouldnt cost 40. But it does and theyre going to sell it to people who might be intimidated going into a wine store. Charles youre telling me you wouldnt pay a prem pre yum for a barola. There are some differences between wine, no . What im saying, it helped to have a big network of reviews you can look at what people think. You dont have to depend on the opinion of the guy who owns the store or the wine magazine or whatever, you can crowd source the decision of which wine to buy. Ashley and the price doesnt always indicate the quality. In some cases it does. Charles although under 5 wine is usually not good. Prime members feel rich and urban and rich. And dont worry about them affording the wine. Charles Grocery Store chain kroger is suing lidl. The german invasion has begun. Liz it looks like kroger is mad, saying copy right infringement. Preferred, it looks like the same name as lidl is using. And others have preferred selection in their grocery section. Ashley welcome to the neighborhood message. Charles rolling out the welcome mat. The grocers hit pretty hard. Do you think theres some valuations and value plays there . You know, charles, its funny. I dont like the grocers necessarily. I dont like the business and things like target like you said, we own costco, but i tell you, its getting to the point where kroger, i like how emack put that. An em with welcome mat and were probably mad about the amazon deal and what it did to our stock. And theres a value in kroger because the stock has been smoked in the last month. And super value, sbu, special victim units, this stock has been killed with the rest of them. If theres a value play. Charles 3. 20, if you go for it use 2. 95 as a stop loss. Thank you very much to jack and scott. Once again, lets check the big board,s because the more scott spoke the more it went down. Were down 99 points, pretty rough start for the session. I want to take a live look at hamburg, germany. Any moment from now, President Trump is going to land to start his first g20 meeting as leader of the free world and were going to take you there when it happens. A new requirement in chicago for high school students, it you want to graduate, rather, you better have a plan. Were talking about proof of a job, apprenticeship, Something Like that, if you cant, well, no diploma for you. All right. Folks, checking the big board here, dow off 89 points, been down as much as 100. An uninspired start to the session. Two major headwinds, north korea more of an issue, President Trump discussing that this morning and our potential options and adp jobs report less than anticipated. This, of course, before tomorrows big jobs report from the federal government. Meanwhile, amazon has discussed a possible partnership with the dish network. I want to go to Nicole Petallides and find out what its about. Nicole very interesting possible partnership between amazon and dish. Though no deal is imminent. Theres talk of a possible deal according to the wall street journal and how it would be beneficial to both companies. Amazons down about 1 today. Dish is slightly higher. But youve had a chief executive, the two of them speaking, multiple times at a satellite convention, a robotics convention, another in seattle. Theyve crossed paths and dish has been acquiring additional airwaves for quite some time. Dish tried to meet with sprint, tmobile, at t unsuccessfully. Amazon wants to have delivery drones, amazon can have prime service on dish as well. Amazon also wants wireless for connectivity overall for the echo and the like. They tried to give it a guy with the fire phone, remember that . But no go then. Maybe this is it. Charles maybe, many and so will roll the dice anytime and this time a smart partnership. Thanks a lot, nicole, appreciate it. President trump on the second overseas trip for the g20 meeting. Of course, the big threat of north korea is in the background here. Joining us is congressman francis rooney, republican from florida and a member of the House Foreign Affairs committee. I want to ask what, we heard this morning, President Trump used the word severe, also confront very strongly. The words are becoming more ominous, of course, from the white house. Its a massive course of threat were getting from north korea. What action are you comfortable with us taking right now. First, to have any chance of a nonmilitary solution to this mess in north korea, we are going to have to get china and i would hope that russia would engage with a Strategic Partner. If it didnt get them engaged going to go military and what the president said is true, you cant go in and partially take out a missile silent, youve got to get them all. Youve got the get the plants theyre enriching uranium and Everything Else theyre doing. It would be a severe and invasive military operation and hopefully china and russia can help us avoid. Charles and many of the missiles already aimed at south korea. Many dont think theres they way to stop all of those if they started to rain down on south korea. Thats right, it would have to be so massive to eliminate the prospect of, you know, missiles going whatever it is, 80 miles or something to take out some of the 25,000 troops weve got over there as well as civilians. It might be a question, which civilians get harmed, north or south koreans. Charles having said that, you mention china and russia who have seemed not only reluctant to go as far as they could to stop this. But issuing a joint communique to america, causing problems with war games and some actions theyve taken. Is that a clear signal despite the fact that everyone says they must be involved that theyve drawn a line in the sand . Theyve been involved before successfully during the Bush Administration with china, not russia, and maybe this is a posturing, positioning statement that will enable them to actually take some more covert or silent actions diplomatically. I dont know. I know that we cant solve the problem by ourselves without a dire remedy. I want to shift gears here to chicago, they wont allow the high school students, not going to be able to graduate unless you prove you have a plan for the future. I know youre on the education Work Force Committee as well. Do you think this strategy is going to work . Well, i think the mayors mixing a metaphor here. Its one thing to encourage career and Technical Education and encourage students to get a job of all different magnitudes, and respect all work. He think this whole movement away from the liberal notion if you dont go to an elite college you dont count for anything and more toward the Human Dignity of work is good. That doesnt necessarily mean you ought to withhold a diploma for it. Charles not only that, do you think that chicago, the School System itself has prepared these kids . I mean, from what i see, most of these schools in these liberal states and cities, these kids are graduating and the day they graduate they have zero idea what theyre going to do the next day and zero preparation. Ive seen some pretty dire statistics about the reading level and math level of High School Graduates in some of the inner cities and thats a very good point you make. You know, almost any job now days, even finishing concrete, which is something that we do in our family businesses, requires literacy and ability to use a flat screen. Charles yeah, to your point, the empire state Federal Reserve manufacturers survey, 87 of the job dont need a College Degree and yet theres a giant skills gap out there. Thank you for your time this morning. Thanks for having me on. Charles we appreciate it. Only one dow stock in the green and walmart barely 2 cents. The dow is down 114 points. Its a sloppy start to the market as we await the arrival of President Trump in his first g20 meeting in germany. Varney company will be right back. Your Insurance Company wont replace the full value of your totaled new car. The guy says you picked the wrong insurance plan. No, i picked the wrong Insurance Company. With Liberty Mutual new car replacement™, you wont have to worry about replacing your car because youll get the full value back including depreciation. Switch and you could save 782 on home and Auto Insurance. Call for a free quote today. Liberty stands with you™. Liberty mutual insurance. Happening right now, President Trump arriving in hamburg on air force one, on his way to attend the g20 meetings today and tomorrow. Blake burman is in hamburg with the latest, blake. Hi there, charles, we expect the president to be on the ground. Im not sure if thats the support plane, but either way the president will be on the ground in hamburg momentarily. When hes just down the road where were staying, this is when the interesting part of the trip starts to begin for the president. He will have a 10 to 15 minute meeting or so with Angela Merkel, the german chancellor hosting the g20 summit. You can imagine whats on the top of the agenda. Defense spending, trade, merkel telegraphed in her own right, the president s decision to pull out of the paris climate agreement, something she does not agree with. They will have a bilateral meeting after that. The president will have dinner with the leaders of japan and south korea and the main issues, i think its fair to say, north korea, north korea, and north korea after that. Youve already heard the president s comments on this day in which he said hes looking into, quote, pretty severe things into north korea in response to their Intercontinental Ballistic Missile test. Earlier this week, the president describing north korea as having, quote, very, very bad behavior, in a News Conference earlier this day. When you fast forward until tomorrow when the g20 summit kicks off, we know that President Trump will have his first one on one face time with Vladimir Putin, the white house has not said what is on the agenda though, syria, terrorism, of course, will be part of the discussions there, and it remains to be seen whether or not the president will get into cyber issues, and russia meddling into the 2016 election. On top of all of that, charles, keep in mind, too, the chinese president is here and the mexican president is here, its a platter of worldwide issues for President Trump on this second foreign trip. Should be on the ground here in hamburg at any moment here, charles. Blake burman, thank you very much. Well come back to you in just moments. Meanwhile, guys, its interesting because moments ago, of course, President Trump threw down the gauntlet once again at nato for not paying their fair share. If hes meeting with merkel. Germany paid 1 of gdp. Supposed it pay 2 or more. Ashley yes. Charles and poland meeting the obligations and the crowd went wild. Thats one of the strongest moments during President Trumps address to the polish people. Ashley yes, it was a friendly crowd and he talked about the defense of western values, that the west would never ever be broken, but nations must have the will to protect borders from those who would destroy it. Its a good speech to a friendly crowd and a whole different ball game now that hes getting into hamburg, germany. To blakes point all the World Leaders are there and i think that friday is going to be the most fascinating when he meets with Vladimir Putin facetoface. Liz to your point about the refugee crisis, poland has effectively shut its borders, this is the worst refugee crisis since world 2. World war ii. And 57 said, yes, we would give up money from the eu funds and money from the eu to keep our borders protected, thats 57 . 51 said we would leave, want to leave the eu altogether rather than give up border security. Poland is the 7th poorest eu nation and they get a lot of development funds. Its quite a finding how the polish people feel about the migrant crisis. Charles what do you make, speaking of shots across the bow. Weve heard President Trump verballize his. One thing we havent reported on yet, the eu signed a new trade deal with japan and its sort of ironic that the eu is going to say is going to preach free market and free trade to an american president. Thats a good point and germany, of course,s had a been sideling up to china as well at a time when china is thought to be the source for sanctions of individuals. Maybe a target, maybe the u. S. Could sanction individuals in china and bankers for doing business with north korea. We know that north korea ships coal and more to china. The thing to the backdrop what the president is saying is western values and ambassador bolten nails is on the head, he says its about nuclear proliferation. Theyre moments away and iran would be behind it with money, with a check to buy it, that technology from north korea. Thats dangerous for the world. Ashley i think its fair to say the honeymoon between chinese premier xi and the president is over with at the point after maralago. The arms deal with taiwan didnt please them and sanctions against the chinese bank doing what the administration called here illicit dealings with north korea. Those two things have really irked china and in the news of this eu trade deal with japan, i think its part of an effort to try to marginalize donald trump. Liz thats right, and germanys trade deal with china as well. Iran got to the bargaining table, negotiating table only after there were sanctions placed on bankers and individual companies and individuals doing business with iran. So, could the same be done with chinas work with north korea . Thats the issue. Charles well, if chinas trade goes up 37 in their First Quarter with north korea despite the fact that coal imports are down 50 , it clearly shows theyre not committed. Maybe xi verballized in maralago, hey, were on your side, but when push comes to shove, so far they decided trade over the threat of a nuclear north korea. Ashley they said they dont want strangling economic sanctions against north korea. Theres a balance and they dont want regime change. And china and russia putting out a joint statement saying to north korea hey, knock it off and saying to south korea and the u. S. , you knock it off by immediately responding with these military exercises. Charles what do you make of the notion that the Mainstream Media say its a showdown, the next 48 hours is a showdown who will be the leader of the western world . This is the media typically overreacting and hyperventilating for head lines. They should stop and be reporters and journalists and not write to the headlines they have in their own heads. Charles and after a wave of elections victories, upset of theresa may in the u. K. Liz i think theres division in germany and france. Charles no doubt. Theres division in america as well. Were talking who traditionally the president of the United States is the leader the free world, bottom line, that somehow someone could usurp that, that it could be Angela Merkel or macron is worrisome. Ashley then theyll wake up. Yes, they think its an opportunity here, but make no mistake, the United States is the biggest and most powerful country on earth and whatever happens, whichever way the nations go, the United States carries the big stick. The point is, if they try to marginalize the United States and snigger behind Donald Trumps back, its not going to work, the fact remains that the United States with pursuit of policies will be the leader of the free world. Charles isnt it ironic that President Trump is sticking out the olive branch and need to work. And merkel is saying more and more were going to have go it on our own and trade deals with others countries. Ashley charles they dont like dealing with donald trump. Hes unpredictable, hes not a politician, hes volatile and they feel uncomfortable hanging out with him. Charles and they feel uncomfortable because the last president rolled over for them every time and ideological brethren. And he saw america as they saw america, as a bully that had to be many put down a notch. And all of those things are the reason why donald trump got elected in this country. Liz thats right, ashley. Ashley for those qualities. Liz and thats the president , secret service sorry. Here is the issue, stop looking micro, the media has to stop that, they have to look macro. And western values are at issue here. Do you want a middle eastern basically dictatorship and an asia basically calling the shots and setting the agenda or do you want freedom and democracy . Thats what the president is saying. Yes, hes gotten in blood feuds and nasty political fights in washington d. C. , the d. C. Gotchapolitics machine is in full tilt. Hes fed into that with reckless betweens tweets, lets face it. Charles and draining the swamp is not easy. Liz hes transparent. Hes fighting for western values and what is right and good about the United States. Charles okay. Lets go back out to hamburg and go to blake burman for an upda update. And the police are behind me right now. [laughter] this gives you a little bit of the flare here. Were going to let them go by. As you can probably guess the president of the United States is about to be in town and so are World Leaders, lots of police here. We expect the president to be on the ground at any moment, charles. The way the deay lays out, until he has the meet with Angela Merkel, bilateral meeting at that. The president s first appearance, one of the first appearances in poland, made some interesting comments as relates to democracy and person values in which he said, im quoting here, charles, about the invisible danger, the steady creep of bureaucracy, that drains the vitality and people. The west became great not because of regulations about you because people were allowed to chase their dreams and pursue their destiny. Its that quote that was posed to a senior official earlier today, hey, was that directed at western european nations, specifically germany, and the leadup to this meeting today with Angela Merkel and that white house official said, no, theres a clear message some believe from the president today, saying, hey, look, there are certain western values that we live by and those are the values that we uphold Going Forward and we await the president. Charles and i want to go what blake is talking about. Under Ronald Reagan, 159 significant regulations, that impacted the economy. Under president obama. 148, and those kind of things strachle the economy and were trying to untie those knots. Liz its a smothering pillow of hyper regulation that the Obama Administration unleashed across the country. Here is the first lady and the president. Charles first lady and the president coming down right now. Charles trump descending on air force one. This is huge next two days for the United States and lets face it for the entire world. A lot is at stake. Tomorrow president will meet with russian president. Congressman, what are you anticipating, what do you hopes comes face to face with President Trump and Vladimir Putin . To my judgment, is most important thing for President Trump and Vladimir Putin in particular but also for the g20 leaders in general to get to know each other more on a personal level in case a crisis should erupt and have familiarity with each other and able to engage in candidate discussion that is are necessary perhaps to temp down on the crisis and prevent it from getting worse and in terms of particular issues, certainly north korea, missiles, Nuclear Weapons has to be on the table, russias invasion of crimea and ukraine. That needs to be talked about to some degree. You have whats going on with syria with conflict and you have assad involved with Islamic State. Eastern europe, Energy Exports of russia to intern europe and the impact that plays on geopolitical politics and the relationship between in theo and russia to try to make sure that what happened in ukraine and crimea does not spread to the western theater. Charles Rex Tillerson saying that the United States is open to jointly working together with respect to syria. We have seen scurmages and issue starting to brew there. Should russia take the lead but we are involved closely . Well, we need to have negotiations with russia and try to determine what the future is going to be alike once the Islamic State is defeated in mosul and the rest of iraq and syria. Thats going to be key to longterm peace and stability in that region of the country. Russia has interjected themselves into syria making them a major player in that process so i hope that President Trump and the rest of the folks who represent the United States of america will get with Vladimir Putin and their counterparts on the russia side and try to work out a longterm strategy that will bring stability and peace to that region of the world and certainly that kind of stability and peace is sourly lacking and much needed. Charles congressman brooks, thank you very much. Mercedes schalpp joins us. America, you heard the president s speech this morning. Give us your thoughts . Its going back to the basics, charles. Its going back to this idea of courage, of determination of the western values of freedom. These are topics that we just havent seen in the past or havent seen in a long time, so i think for President Trump the symbolism of going to poland, poland that has suffered under under oppressive situations whether it be the nazis or russians where they have dealt with those situations i think was incredibly, not only symbolic but sends very Important Message to the rest of the world and also the fact that poland, this idea of the creeping in of government bureaucracy where poland is resistant to the fact that the European Union imposing itself, its rules and regulations on poland is very significant because it sends a very nationalistic message, something that, i think, the polish people can relate to and also the American People can relate to. Charles talking about the struggles that poland had particularly when they were sandwiched by nazis and soviet union. Whats going to be the solution ultimately . Well, i think its complicated for europe. I think that youre seeing the impact of a migrant situation, a migrant crisis that has impacted so european states, nations, the European Union has been very weak on the issue of immigration and i think that when you see the fact, for example, in the United States that the majority of americans agree with the president s travel ban with this idea with ensuring that we know who is coming in and out of our country, i think thats thats something that not only the American People understand and relate to but somethings that you are seeing more europeans basically saying, look, we need to find some sort of control to our borders. So i think its a very strong message that the president is sending but i believe in the sense of the European Union they obviously are between germany and france, they are going to be very vocal, they have made it very clear that they are going to continue allowing migrants to come into their country and what has created a certain sense of sense of uncontrollable border in that area. Charles right, another issue is on trade and the notion of free versus fair trade. I found it fascinating this morning that the eu cut a new trade deal with japan. We are still waiting on details and they are going to probably lecture and we anticipate Angela Merkel will lecture to President Trump to avoid trade wars, of course, he talked about the lack of seeing fords on the streets of germany on the first visit as president of the United States, they will love to preserve the status quo. They would love to preserve current trade deals as they are while americans understand that so far we got the short end of the stick there. Right, in the case of merkel, for example, she wants the status quo on nato where they dont necessarily have to pay their fair share. Its what youre going to see in g20 summit, more tension that what we have seen in the past. Not only will President Trump face attention that we are going to see when he meets with putin, for example, the president of china but also with merkel because mel is going to be upset at the fact that the president pulled out of the paris climate accords and upset of the fact where the president is headed in terms of focusing on the trade deals but, you know, i think that the president made his position very clear. This is about protecting american interests, this is assuring that theres american prosperity and protect American Workers and something that you believe the europeans would understand and they had a very different impression on where they want to take the trade deals and it will be interesting to see where we can find the common ground. We just saw President Trump talking with poland and several countries in Eastern Europe and dealing with issues of energy and at earntive Energy Sources. It is having tailing with countries as well as figuring out what the role will be between the United States and the European Union. Charles Mercedes Schlapp thank you very much. Thank you. Charles joining us is corey lewandowsky. He started with rose rousing speech and greeted with different reception at the g20. What do you make of the next two days . The president went to poland and was very well received and clear dichotomy from what the Mainstream Media wants to report that people dont respect america anymore. The president is out causing chaos, thats not whats going on. We probably saw 40,000 people chanting donald j. Trump and usa and the president went to thank the people of poland for holding up to their fair share of the bargain when it comes to paying their fair share when it comes to nato, this is a very different type of conversation that hes going to have with germany and other g20 leaders now. The president has been very clear. The United States is not going to continue to be the policeman of the world. Everybody has to pay the fair share and it is not fair and should not be incumbent of the people of the United States to be the world protectors of everybody if those countries arent willing to pay for their own protection. Charles we should also point out that the president didnt leave it ambiguous for the media, he came right now, we always supported article 5 and we have done not just through money but through our deeds and actions as well countering the narrative that somehow in his first trip that he did not pledge cooperation with nato and that led to the question of america will coming to the aid of the allies. That has been a long standing tradition. Mainstream media on the president s first trip overseas was up in arms that he didnt invoke the term article 5. As you know, he said it very clearly today and what this will be is a blip in the radar screen. Its a fair and honest conversation to say that the United States will pay their fair share and other countries will need to do that as well. What we have seen from time he was president elect other countries are increasing fair share that they are supposed to be paying, which is fair to the United States and putting americas first and making sure nato is a sustainable viable option moving forward. Charles if you were advising President Trump, what would you want him to get out of this meeting tomorrow with Vladimir Putin . Well, i think its important that the president and Vladimir Putin have a candid conversation. Most important in my mind an opportunity to potentially Work Together in syria to defeat isis in the place where they are being housed. We want to make sure that we are killing terrorists in their homeland and not in ours and if theres an opportunity for the United States and russia to Work Together to ensure that we have a relationship there, one whereby we agree that isis needs to be destroyed in that location, very important. We also have to make sure that the relationship between the United States and russia is such that north korea has to have a discussion point here. We cannot have a madman launching potentially Nuclear Weapons for thousands of miles, icbms aimed and targeted not only at the United States but potentially as russia as well should kim jong un decide to change his way of doing things. So i think the United States and russia and President Trump and Vladimir Putin have to have a very candid conversation about syria and about north korea and find way that is we can Work Together for the betterman of everybody. Charles just a moment i spoke to representative brooks and he began with north korea and talked about the importance of syria but also brought ukraine, Eastern Europe and natorussia relationship, if you will. Is it too early to those things to focus on great threats that cast shadow over the world . Its my opinion that we have to deal with the most egregious threats as soon as possible. Right now the most egregious threats are north korea and syria and we can have longerterm conversation and what they have done with crimea and other places, thats not as pressing in my mind because we have direct impact of north korea potential mission Missile Launches and we have a direct impact on isis and isil continuing to have a stronghold in syria and by working together, two super powers working together, we can help alleviate not just the problems in one of those places but potentially both of those places. Charles corey, President Trump also talking about Big Government today and i point out to the audience that in eight years under Ronald Reagan we had 159 negative regulation that is hit by 100 million or more, under former president obama we had 488 of them certainly crushing the economy, killing entrepreneurship and really dampening the spirits of business. Weve already seen a sharp rebound and optimism in those areas because of the election of President Trump and we have seen him take action through executive order. How much harder should we be pushing on that and how much can we do without congress . We need to continue to push very really. We need to look at Companies Subsidized and i think about samsung and lg. They take products and dump them on u. S. Soil. They dont manufacture here although they are starting to because they understand that this administration in particular, the Commerce Department is going to hold them accountable. We should be given preference to companies that are manufacturing here in the United States. You think appliance companies. This administration has been very clear. Charles all right. American first policy because thats job here and thats the pyrety of the administration. Charles corey lewandowski, i appreciate this morning. Dow is down 135 points. We have a rebound there. Also the imagery helps when we see leadership around the world. Varney company will be right back. Charles and now this, eu antitrust regulators are reportedly considering another record fine against android mobile operating system. Gerri joins us now. Thats right. The last fine 2. 7 billion and it will be something if they are successful in this. What theyre doing is investigating android and google for using market dominance to maintain that dominance and expand it. Thats whats at issue here. Rivals have complains that whats going on they do not allow access to google play. Whats google play . Thats where you buy apps and games, you cant have access unless you build in Google Search and chrome applications. Youre looking at the picture of this right now. So thats thats what they say is the problem, keep in mind, in europe its okay to dominate the market, you just cant use that to put other rivals at a disadvantage. So i dont really know how you pull those two things off but thats the way the europeans think about it. Charles any word from google yet . We have been watching their website and also been talking to the european commission, they dont want to talk yet, what they say they will be doing is panel of experts to look at this in more depth and figure out if they can really goo forward with this. Charles you know whats interesting is they are going to fight the previous record fine but they werent going to fight it, they were kicking and screaming. It is, remember what happened to microsoft, exact same kind of complaints. At the time they had the record fine, 2 billion, remember, the google had Something Like 90 billion or 100 billion in marketable securities, the money isnt that meaningful for them. Really what it says about competition and where they can go forward. Charles gerri willis, thank you so much. Europe can no longer rely on the United States. Lieutenant peters, you will get his reaction next. Congress is back in session on monday with a very big agenda to tackle before their next recess, so can tax reform, Health Reform get done in three weeks. Not a rhetorical question so you cant take it that way. More varney next. Charles now back to your money. Checking the big board here. Dow down, 20, 30 points lower for the session. The 30year mortgage still below 4 and then there was good numbers on the ism service numbers, oil higher in the last few minutes, so we seen that they are found some support. What rebounded yesterday but back to losing ways once again. Once again, blue apron well below ipo price, its becoming an unmitigated disaster. Check on the price of oil, latest read on supply, at the top of the next hour, a lot of anticipation that this number is going to be very, very good, which means huge drawdowns there. Cosco, well, its a winner yet again. They reported higher sales, Comp Store Sales are phenomenal. The company doing well in the age of online shopping. Of course, dont forget about tesla serious red arrows there. The stock was 386 a share within the last week or so and now its down there at tenmonth low. Hey, a new interview, german Angela Merkel doubled down in comments that europe can no longer rely fully on the United States anymore but in poland today President Trump reaffirmed americas commitment to europe and nato, roll tape. Americans know that a Strong Alliance of free sovereign and independent nations is the best defense for our freedoms and for our interests. That is why my administration has demanded that all members of nato finally meet their full and fair financial obligation. Charles colonel peters, your reaction to the speech. Charles, ive been kept call about trumps attitude with russia and putin. That warsaw speech was to me the most timely and most effective speech given by an american president on european oil since Ronald Reagan said mr. Gorbishash, tear down this wall. Really understand polish and Central European history. It called out russia. He still didnt call russia by name. Just to give you one example. He mentioned forest, in the beginning of world war ii, massacre, soviet Security Force forces, executed in cold blood 10 to 15,000 pows and other references to polish fight for freedom and i will tell you, no nation on earth has fought longer and harder for freedom than poland. They know where the threat is. The threat is from the east and President Trump to his credit said we worry about threats from the south and the east. We will see where that goes tomorrow with putin. Charles you bring up the intellectuals, pows that they attempt today wipe out. President trump making mentioning of historic figures in poland, history and branching out further to europe in general preserving its culture. Did you like that part of the speech and do you think that echos beyond poland itself . This is a perfect speech that ive heard from an american in literally since i can remember. In defense of western civilization was vital. American left has decided the western civilization is like every other civilization, no, its not. Its a gift, its an achievement and so i was so encouraged by his praise of poland, resistance for freedom fighters, identification of europes problems and the threats they face and we all face and, again, the defense of western civilization. It will be mocked by the american left, but by god, it was a wonderful thing to hear on european soil from an american president. Big points to President Trump on this one. Another one for you, sir, President Trump meeting with Vladimir Putin tomorrow and you want him to carry this message with him as well. How does he do this against Vladimir Putin face to face who, of course, has his own agenda . Well, its going to be tough. The real master to have art of the deal or one of them is really Vladimir Putin. Hes bamboozeled american president s. One of the things the president can do to himself is to really call putin out. Im very concerned because putin can be persuasive, old kgb officer, he knows that President Trump likes flattery. If President Trump walks out of the meeting tomorrow with Vladimir Putin, we really need to build a new partnership with russia, we need to lift sanctions, it will tell me that he still doesnt get it. Certainly, i am very worried about the meeting with putin tomorrow but members of trumps cabinet are very worried also. At the same time thats the most important meeting of trumps presidency so far, he has to mend fences with the eu, the disparaging things he said about nato and the eu, actions hes taken its a fight we dont need. We need unity. Charles he was pretty tough on nato this morning in poland. Im not sure thats going to happen. Sir, with only five of the nations are paying even pledge of 2 gdp and germany paying 1 gdp, i dont think hes going to get off the message. He has to say that because he always say that is. What mattered in the speech this morning, we will article 5 which is attack on one is an attack on all. Thats what matters to europeans and by the way, European Defense spending was already on the uptake before trump came to office. Now, its going to accelerate. He did have a good message on that but, you know, lets not pick unnecessary fights. Lets remember the ebb my of our civilization, the enemies are Vladimir Putin, isis, north korea, the enemy is not the European Union. We may not like the European Union, we dont want socialism, we dont want brussels giving orderers. The europeans have chosen it through democratic elections. Lets have our system here and lets let the europeans have their system there and lets see which one works better. Charles very insightful but even more so this morning, i appreciate it. Thank you, charles. Charles they have a very big agenda. Joining us scott, congress, can we will realistic here, can they do health care, can they do tax reform . Can they come together and get something accomplished . Well, charles, there are a lot of speed bumps on the road to tax reform and health care is the biggest one and it looks like the vote in the senate on Health Care Reform wont be until two weeks from now. So already we are seeing delays and delays in the speed bump that has we have to get over before we get to tax reform debate and then we have to remember they have to pass a budget for 2018 before they can even tackle tax reform so there are all of the speed bumps and potholes on the road to tax reform and its really looking very difficult right now. Charles scott, tax reform these days seems to include all of the above. Ronald reagan was able to achieve tax cuts and then a few years later more tax reform. I know congress is having tough time throwing things in parallel track but the American Public overwhelming approve of middleclass tax. How about crafting a middleclass tax cut and maybe addressing Small Business owners through individual taxes because thats where we know 95 of businesses file their taxes, give them their 15 , give the middle class a tax break, couldnt that be the first domino to go and get the rest to have agenda through . It depends on what your objective is. Theyre not the kind of tax code the economy needs to jumpstart new investment and create jobs and if you want to do that, if thats your objective, you need a big tax cut for larger businesses or corporations because, remember, the u. S. Has the highest Corporate Tax rate in the industrialized world and we have other really Serious Problems in the Corporate Tax structure itself thats inhibiting the ability of u. S. Companies to be competitive in the Global Economy and to create jobs and i think you have to fix those if you really want to jumpstart the economy and move forward with a more competitive economy. I guess my problem, though, it feels like with most of the proposals thus far, it still feels like to globalists win. It feels like lets lower tax rate for the largest corporations on the planet and make it up with border adjustment tax that effectively crushes the purchasing power of the middle class. Well, i disagree with that, charles. We have analyzed very carefully and when you look at the tax plan overall thats been proposed in the house, its a large cut for everybody. And we find that it would boost the level of the economy by 9 over the next decade, create millions of new jobs and write a bring a lot more investment. We find it its a very positive tax plan. Charles scott, always great having you on. We will definitely discuss this again very soon, so see you soon. I want to get back to the markets right now. Checking on the big board that we cracked 100, down 96. Remember we were down 135 and we got the ism number, best number in a long time. Ashley coming 57. 4, doesnt mean anything to anyone but better than expected. Thats nice, up and bettered than expected. Of the 17 industries by the way, ism track, 16 showed nice growth. Charles best number since august of 2014. Coming up we got a rare letter to tupac to madonna. Democrats continue to be in disarray. Virginia governor, close ally of the clinton said theres no democrat leadership in capitol hill and says its all broken. Former governor Mike Huckabee will join us next. Russia would engage as Strategic Partner with us. If we cant get them engage, it would have to go military. I think what the president said its true. You cant go out and take missile site and you have to get the plants where theyre enriching uranium and everything they are doing. It would be a very severe and invasive military operation and hopefully russia and china can help us avoid. When you have something you love, you want to protect it. At legalzoom, our network of attorneys can help you every step of the way. With an estate plan including wills or a living trust that grows along with you and your family. Legalzoom. Legal help is here. Charles lets check on crude oil bouncing back after worst loss in a month. Now this, in an interview, new interview democratic governor of virginia Terry Mccollough was unable to name a leader of the Democratic Party. Who is the leader of the democratic right now . I think there are many leaders, governors need to lead the wait a minute i complement the folks in capitol hill doing what theyre doing but we need action out of washington to help compete on a global basis and today we are not seeing anything out of washington. Charles former arkansas governor Mike Huckabee, governor, the democrats, they are a party in disarray. Easier to find amelia earhart. Who is the leader of the band thats made for you and me . He cant even come and might as well mickey mouse because they have become the mickey mouse party. Charles these are the people who are not representative of the younger more open generation that america seems to be moving toward. Well, you know Maxine Waters is proving that the new 78 is the new 35. They have Maxine Waters, Elizabeth Warren and Bernie Sanders who isnt even a democrat, independent who ran in the democrat party, all of them are moving so far to the left and many of their speeches including the speeches of tom perez, their chairman, are unwatchable by anyone under the age of 13. Charles they think vulgarity is you are being hip these days. Its not that they are sinking but flailing away and making it worse for themselves. Its really odd. The only thing they can hope for is bad news for america. Well, charles, i dont swear but if i were a democrat, i probably would because i would have nothing else to say about my party. I think thats what we see with people like tom perez and the others who are using profanity to communicate their lack of a message. Profanity is essentially the forcible expression of a mind, so when a person defending a party is reduced to swearing in their public speeches, its because theyve got nothing else to deliver. Charles next one for you, governor, President Trump arriving at hamburg, colonel ralph peter said its the best speech since reagan tear down this wall speech, your take from all of the events this morning . I think it was significant that colonel peters said that because i love ralph peters but hes not been a big fan of donald trump and for him to say that is significant more so for those of us who have been more supportive of the president. I agree with him. It was a powerful speech because he touched on not just the issues of military power but rather moral power, this is where i believe americas strength really has always come from and its also where polands strength has come from and these are resilient people, the polls are extraordinary to what they have been through and how they overcome it. Donald trump did an amazing job of touching to the hearts of polish people and really expressing an appreciation and solidarity with their quest for freedom and their quest for a moral basis for culture and society. Charles speaking of the moral power, it also feel like you can certainly connect the dots on some of the words he used associated with north korea, perhaps a severe response, a confront very strongly and talked about bad behavior. What we have to do next we will have to do it from a moral high ground even though it will have devastating consequences, perhaps. I think theres a point in history i hope we have learned when people say over and over, they are going to kill you, that you might want to take them seriously. If there was a lesson that the jewish people learned from the holocaust and there are many, thats the one, if you talk today israelies today, they will tell you that they are going to kill you, they know it and they mean it. Charles see you real soon. Bret baier, host of special report on Fox News Channel joins us in the next hour. More varney after this. Isnt this fun, living like the pioneers of olden times . I hate the outside. Well, i hate it wherever you are. Burn. Burn. Is that what the kids are saying now . Im so bored, im dead. You can always compare rates on progressive. Com. Oh, thats nice, dear. But could you compare camping trips . Because this one would win. All i want to do is enjoy nature and peace and quiet its not about winning. Its about helping people find a great rate even if its not with progressive. Ugh. Insurance. When i said peace and quiet, did you hear, talk more and disappoint me . Do do do do skiddly do do camping with the family [ flame whooshes ] your insurance on time. Tap one little bumper, and up go your rates. What good is having insurance if you get punished for using it . News flash nobodys perfect. For drivers with accident forgiveness, Liberty Mutual wont raise your rates due to your first accident. Switch and you could save 782 on home and Auto Insurance. Call for a free quote today. Liberty stands with you™ Liberty Mutual insurance. Charles all right, lisa, second overseas trip and hes beginning, bringing message of draping the swamp overseas with him. Whats your reaction . Look, i think it is important to lay that out, one, we are facing a lot of threat as broad and so i think this trip is important to sort of set the framework of its us or them. Its the western ideals that we all share or its isis and their viewpoint and its north korea or its iran, countries and terrorist organizations in regard to isis that dont share western ideals and then its also, lets make sure that we dont lose those things that fundamental make us americans in our country, sovereignty is important as you mentioned, individual freedom is important, dont let the heavy hand of the bureaucratic government squash our ability to succeed and get ahead and to build a Stronger Society so i think that message is important of both painting things in terms of struggles abroad and also ways to ensure that, you know, we all share the things that are important here in america. Charles he hit on that over and over particularly on the cultural side, treasuring it, thats something a pushback against the sort of pc mentality thats draining or swamping the entire western world but the specific idea of western ideas that you talk about, lisa, i think the g20 meet asking going to be about essentially what they are today, is it Big Government as seen by germany or macron or small government that Ronald Reagan and counterpartner in england Margaret Thatcher that helped revitalized that many think is needed right now . Look, i dont necessarily know that every country is going to share the same idea of what freedom means within their own borders and i think thats why its important for the president to also highlight the fact that, look, we are all facing some pretty big and common threats so lets unit against them. Charles im Charles Payne in for stuart varney. Another busy day in politic ands for your money. Several big stories including President Trump, he arrive inside hamburg, germany. This, of course, for the g20 summit. Hes meeting with russian president Vladimir Putin for the first time tomorrow. And north korea is sure to be a very big topic at the g20. Nikki haley, you are our ambassador to the united nations, says were prepared to use military force, and President Trump is calling on all nations to respond to the threat. And more chaos in venezuela. Supporters of president maduro storming the legislature, beating opposition lawmakers with pipes and ticks. We are all over that. And hobby lobby fined millions of dollars smuggling artifacts from iraq into the country in boxes labeled, quote, clay tile samples. Varney company starts, hour three, right now. Charles whoo Weekly Oil Inventories out, e. Macs riding a wave look at that, theyre down 6. 3 million barrels, thats way more than expected. Theyre looking for a drawdown the of 2. 28 million, so again, a drop of 6. 3 million barrels. And, in fact, an Industry Group said yesterday expect a drop of 5. 8 million. Its even deep or than that. So oil is now pushing, look at this, popping a little bit higher. This is the third drop in four weeks. Ill tell you, the price ranges for oil all over the map, charles. You remember at the beginning of the year we said oil is going to stick at 60, now its 4060. Raymond james essentially saying, you know, oil could go to 80. They dont believe the inventory numbers. So ill tell you, the past four months weve seen ricochet actioning in oil, and oil clearly had been in a bear market. Now popping a little bit higher. Again, the third drop in four weeks. An unexpected 6. 3 million drop in barrels of oil. Charles that is huge. The dows recovered some of its losses. We were down at the worst point at least 135, 140 points, so were making a pretty good rebound on that. Thank you very much. Also early this morning, President Trump touching down in hamburg, germany, for the g20 summit. Tomorrow he meets with russias president , Vladimir Putin. Bret baier, what should we expect from that meeting . Everyones going to be watching. Oh, charles, itll be a big moment. There are a lot of things on the agenda for President Trump; namely, the biggest threat is north korea, most imminent, with that icbm launch. But when it comes to russia, i think a negotiated solution to syria is number one on the agenda with Vladimir Putin. I think the speech today in poland was pretty powerful when it came on a number of fronts directly to russia. You had lines in that speech that said that russia needed to get away from dictators in syria and iran. And also some very pointed actions with poland to get poland off of russian dependence or their dependence on russia for energy. And liquid natural gas deals with poland. Thats a geopolitical shift in that region and a pretty strong signal ahead of this meeting with putin on friday. Charles we did hear also morning that secretary Rex Tillerson suggesting that we will probably end up working with syria i mean, with russia with respect to syria. And you have to wonder who takes the lead there, particularly with some of their skirmishes and confrontations over the last two weeks. Definitely. Two alpha dogs, right . Putin and trump. I think itll be interesting to see what President Trump, what tactic he uses in this meeting, whether its the President Trump who likes to be liked and tries to negotiate the deal or the President Trump who wants to be feared. And, obviously, economically i think the u. S. Has an upper hand when it comes to russia. Charles bret, i also want to ask you about congress, of course, theyre on break this week, but they return back to washington on monday. Theyre only going to have three weeks to work out a whole bunch of stuff beginning, of course, with Health Reform before they leave on the august recess. How confident are you that well see any progress . Well, i think theyre going to try to get some things across the finish line, charles. Namely, the debt ceiling increase. But that is going to be a tough lift for some conservatives, especially in the house who have already threatened that they need negotiations on this. Health care is a tough, as you know, theyre still counting votes in the senate. There will be an effort by some republicans to cancel the august recess and Keep Congress in session to continue to plow through these items that you mention. Because really the ultimate goal is to get to tax reform before the end of the year, and thats what this administration really wants to deliver on in 2017. Charles real quick, senator cruzs idea and ben sasse with, hey, lets repeal it, give it a oneyear clock to coming up with a new plan. That seems to be gaining traction. Could be the Nuclear Option everyone could agree on. It is. And remember that repeal has passed, i think, 50 times from republicans. Theyre very comfortable with that part, its the replace thats very sticky. If you give a timeline, it does give some people an out to try to figure out the best way out of obamacare. Theres no doubt that obamacare is not working currently as its fashioned. Democrats will concede that as well. So that may be something that does gain traction, and were hearing more and more about it on capitol hill. Charles speaking of democrats, virginias democratic governor, Terry Mcauliffe, says there are no democrats that he could even point to to lead the party. Whats your reaction to that . Stunning to hear Terry Mcauliffe say that. Obviously, a party leader, now a Virginia Governor that is in a state that is sometimes purple, red and blue. Hes right though. If you think about the leaders of the Democratic Party right now, you would point to Bernie Sanders and Elizabeth Warren. That is not exactly where the party needs to be if its going to try to get some of these rural and even some of these moderate seats. Theyll need some people like the old congressman heath heath shuler, former nfl star. The moderate blue dog democrat is a missing animal up on capitol hill, and thats interesting to hear governor mcauliffe say that. Charles it feels like to me when they picked tom perez to be the leader of the party, the dnc at least, that cemented this sort of notion of failure at least it really cemented the fact that they were not listening to the American Voters in november. You look at those special elections, charles, and it shows you the difficulty the democrats have in finding their own identity. They need to be able to compete in suburban atlanta. They need to be able to compete in South Carolina in these districts, otherwise theyre never going to take back the house in those numbers. Charles bret, thank you very much. Always appreciated. See you, charles. Charles our next guest is not only a rising star in professional golf, but also in politics and happens to be a friend of President Trump. Lpga natalie gulbis. Natalie joins us now. Heres the big news all across the headlines, you are actually considering running for congress. That is very i true. I am considering running for the Third District of nevada, somewhere where ive lived since i was 18 years old. I opened up a boys and girls club there in 2010, and thats been the area that ive chosen to live, and ive gotten to travel all over the world, but i always come back there. This is a very unique opportunity more me. Charles ive read where youve actually met with leadership in washington, d. C. , so this is not just sort of an inkling, this is something that feels like youre probably closer to doing rather than not. Whats the impetus for it though . What did you see in this country and particularly in this district that that made you feel like, hey, maybe i should step up and provide some leadership . Well, an opportunity. If you think if you look right now even at the district, the person thats currently holding the position, jackie rosen, after six months shes already deciding to go another direction and run for senate. And thats something that im not. Im not a career politician. I come with an outside, positive perspective and really just want to serve the people of that that district. And i know that i can do positive things in that district. Because i am not a career politician pushing my own agenda, i would be somebody very different and unique for a situation Like Congress in that Third District. Charles speaking of i unique, nevada is one of these states that i think is representative of the country, because youve got pockets of old orer folks older folks, blue collar, family, it is like the ultimate representation of america. So i agree, i think its a mace that needs a place that needs to have certain issues addressed. What do you see as being the most pressing . Besides these career politicians using office as a steppingstone . Well, especially in my district, education is huge. They do not rank high in education, and for me, that really touches on a very specific nerve. Having my boys and girls club, i also do a lot of work with the clubs in the area and getting to see just the education if and the need for more Fund Anything that area. And, of course, the hot topic is health care. Thats something that directly affects all those employees who live in the district and work on the strip and specifically with those families that i interface with. Their kids go to those clubs, and its a very, very real issue. Charles natalie, ive always been a big fan as a golfer, and im going to be rooting for you. Thank you very much. Thank you. Thank you for having me on. Charles now this, congressman Steve Scalise returning to intensive care because of complications from his gunshot wound. Ashley, youve got details. Yeah. Continue to follow this. We are expecting an update today, but we mow hes been we know hes been downgraded from fair to serious. As you say, hes been moved into the icu as a precaution. Hes had several surgeries after being hit in that shooting on june 14th near the capitol where they were pacting for a baseball game practicing for a baseball game. That bullet impacted several blood vessels, broke bones and hurt internal organs. Thats why hes had several surgeries. Doctors do expect ups and downs, and now hes going through one of those downs, fighting infection. Charles our thoughts and prayers with him and his family, for sure. President trump speaking in warsaw, poland, earlier this morning saying Big Government is a silent threat to freedom. Also, Congress Getting back to work on monday. Health care and tax reform are at the top of the agenda, but can they get anything done before their next vacation in august . Were all over it. More varney after this. At crowne plaza we know Business Travel isnt just business. Theres this. a bit of this. Why not . Your hotel should make it easy to do all the things you do. Which is what we do. Crowne plaza. Were all business, mostly. Charles check here on the big board, dow off 81 points. 50 points, rather, better than an hour ago helped in part by a very strong ism number and a bigger drawdown on crude Oil Inventories. And dont forget, of course, about tesla. We cant say the same there. Red arrows have been the course for this stock now on course for its worst week in ten months. It was 386 not long ago. Meanwhile, President Trump is in europe on his second foreign trip since taking office x hes bringing a message from back home abroad. Roll tape. Finally, on both sides of the atlantic our citizens are confronted by yet another danger, one firmly within our control. This danger is invisible to some, but but the steady creep of government bureaucracy that drains the vitality and wealth of the people. The west became great not because of paperwork and regulations, but because people were allowed to chase their dreams and pursue their destinies. Americans, poles and nations of europe value individual freedom and sovereignty. Charles joining us now, grover norquist, what do you make of President Trumps message there . I think its extremely important. Its exactly what a president should be talking about to the rest of the world. The model that the United States has is not democracy. Hot of countries have lots of countries have elections. Zimbabwe has elections. The model that we have presented to the world is one of expanded liberty, more individual liberty and people creating more wealth, jobs and opportunity for themselves, their families, their a neighborhoods, their nations because they were free. And the United States has gotten too bureaucratic and has too much expensive Big Government. But europes got it even worse. I mean, europe is the future we need to avoid, but we should reach out to europe, to poland, the other countries and say dont continue down the path of ever bigger bureaucracy that youve been heading down. It doesnt work. Charles of course, with that big bureaucracy comes big tax bills and to pay for all of it. And still you have Angela Merkel, macron and you have others in the e. U. Who are feeling a little bit stronger now after a wave of election victories. This seems to be one of the big issues, this and trade policies at least on the economic front that are going to be hashed out over the next day or so. Well, a number of the European Countries are wedded to this idea of ever larger bureaucracy and stasis. They dont mind a lack of change or growth. Theyre happy with sort of the way it is. You know, kings can be reasonably happy even if the peasants are impoverished. And the bureaucrats in europe live very, very well. Its just the rest of the europeans that arent doing as well as they could, and some in europe the british and the poles and others have a more american attitude towards individual liberty. Some of new europe, Eastern European countries know the extreme of Big Government charles right. Under soviet occupation. I do hope the french and the germans will sort of pick up on that, not get in the way of poland developing its own Energy Sources so its not so dependent on the soviet union russia. Charles right. Next one, grover, illinois now in the middle of a big budget battle. Yeah. Charles the state senate, of course, voted to override the governors veto on an income tax hike, and the house is expected to do the same thing. Theyre going to raise taxes to fix the problem that was created by too high taxes. [laughter] i mean, how much worse is this going to get . No if ones life is a complete no ones life is a complete waste. Some people serve as bad examples. [laughter] illinois does that for the other 49 states. On july 4th, maine went the opposite way. They ended a stalemate and signed on to a tax cut. They repealed a tax hike that had been put in through the Initiative Process and some other tax increases. And there the governor, whos a republican, and the republicans won the fight for less spending, lower taxes, and they moved forward. Illinois appears to be, with the governor fighting against it, collapsing further and further into pension liabilities they can never pay charles right. And taxes, i mean, people are leaving illinois. It should be a big hint. People are leaving illinois. Youre doing something wrong when people leave your state. Illinois used to be a prosperous state. People moved to it. And unfortunately, thats changed. Charles lets broaden this out to the national stage, because congress is going to get back to work on monday. Yeah. Charles listen, theyre going to have three weeks to get Health Care Reform done, and then theres the august recess. And, of course, this health care thing is every time we hear that maybe progress is being made, ultimately, theres no progress at all. Two things. Itll be that way until it passes, okay . Charles okay. The votes will be there. There are a number of senators who want Something Special for their states; or money or something else. And people call it politics, it looks a lot like corruption to me. If we have to pay some of these senators to get their votes, theyll do so. The democrats did it to put obamacare in charles so youre saying a couple of cornhusker kickbacks, and were going to check this off in the next three weeks . [laughter] unfortunately well, fortunately, we will get a reform in health care. Charles okay. Unfortunately, some senators who should be doing it on principle are trying to walk away with cash. Theres probably worth every dollar. Charles grover, thank you. See you soon. You got it. Charles hobby lobby agreeing to pay millions of dollars in fines after the company was caught smuggling ancient iraqi artifacts into our country. We do have those details for you after this. These days families want to be connected 24 7. Thats why at comcast were continuing to make our services more reliable than ever. Like technology that can update itself. An advanced fibernetwork infrustructure. New, more Reliable Equipment for your home. And a new culture built around Customer Service. It all adds up to our most Reliable Network ever. One that keeps you connected to what matters most. Charles and now this, hobby lobby agreeing to forfeit thousands of artifacts smuggled out of iraq. Ashleys got the story. Yeah, this happened a little over six years ago, and prior to this purchase by hobby lobby, they were given a warning saying likely these artifacts are stolen from archaeological sites. But they agreed to buy 5500 often comment artifacts for the price of 3. 6 million 1. 6 million. Be they were shipped to three different corporate addresses and were labeledded as ceramic tiles or samples of tiles. The feds say they were smuggled into the country through the united emirates and israel. Hobby lobby eventually saying, okay, we hear what you saying. Theyve paid a 3 million fine and have returned the art a factions to iraq. The artifacts to iraq. But its sparked an even bigger story. We had jack howell on the show earlier who said i dont have a problem with this with isis running rampant in syria and iraq. So many ark logically significant places and items are being destroyed by isis, there is a train of thought that getting it out and preserving it is very important. Charles chaferl ive got a poll on my twitter handle, and the question is should christians take religious artifacts from places like iraq to save them for humanity . I would say 98 of people who are responding agree that, you know what . If you dont save them, theyll be lost forever. Yeah. Charles a horrific scene in venezuela in the congress. Promaduro thugs armed with sticks and pipes attacking lawmakers. This is, well, what happens when socialism fails. Were all over it. We hold these truths to be selfevident, that all men are created equal, that they are endowed by their creator with certain unalienable rights, that among these are life, liberty, and the pursuit of happiness. Charles President Trump in hamburg, germany, meeting with World Leaders at the g20 summit. Blake burman is there now. Whats on the president s schedule tonight and tomorrow . Reporter things about to get interesting here, charles, in about the next 30 minutes or so when President Trump is set to sit down with Angela Merkel, a meeting thatll last 10, 15 minutes or so. Then there will be a bilateral meeting between the two nations for about half an hour. Trade, defense spending and, of course, the paris climate agreement expected to be among to conversations there. And later tonight the president has dipper with the leaders of has dinner with the leaders of south korea and japan. And then, of course, the wig one tomorrow the big one tomorrow, a oneonone with Vladimir Putin. Earlier today in a speech in poland, President Trump had this warning for russia saying that they need to join the community of responsible nations, as he put it. Listen. We urge russia to cease its destabilizing activities in ukraine and elsewhere and and its support for hostile regimes including syria and iran. Reporter so some strong words there, charles, from the president today as it relates to russia. However, hes also getting pushback and criticism for saying at a News Conference this morning that he isnt necessarily sure if russia meddled into the elections, saying it could have been them, could have been other countries as well, who knows, as he put it. Charles, back to you. Charles thanks a hot, blake burman. Now back to washington politics, some republican governors reportedly trying to derail that Gop Health Bill because they want to keep federal money from obamacare. Dan henninger, wall street journal deputy editorial page editor. Its hard to keep money away from republicans. Yeah, thats for sure. The shrewdest thing the architects to obamacare did was insert a law that said if the states took new medicaid patients, the federal government would pay 100 of the costs. And as we know, medicaid is one of the biggest expenses the states have second only to k12 education. And 13 republican senators took what essentially was a bribe. Charles ironically, when you add in the federal dollars, they spend more on this than k12 education because of those federal funds. Guys like you were warning them, dont take it, dont be seduced by it. If youre someone like kasich, it looks like manna from heaven, but we all flew it came with a cost. Yeah. Ohio so far hats gotten about 3. 4 billion in federal funding because of the new medicaid enrollees. So the republicans out there are hooked, and now youve got these moderate senators saying, oh, dont do anything to reform medicaid too much. That is just a fool errand because they have got to do something about these incredible outlays that have been committed to medicaid. Charles and also the idea that states say the new ideas that states will get a certain amount of money from medicaid and determine how its spent, and that would bring along with it some fiscal discipline and responsibility. Obviously, theyre trying to sidestep that. Yeah. I mean, thats the big thing. The waivers, allowing the governors to experiment with the way medicaid works in their own states. And ill say this, to his credit, scott walker of wisconsin did not take the expanded medicaid money, but he is still trying to reform medicaid in that state with what he already has. And that is the direction that these republican governors should be going in. But the fact is they were is desperate for the money, they took it, and now its going to be very difficult to let it go. Charles yeah. Well, its a central issue, i think, in holding up health care. Absolutely. Its holding up the bill. Charles youre right, it was a brilliant stroke of genius. I want to take a look at tech stocks. Some of the big names dipping here recently. They were up earlier, coming back once again. Our next guest though says nows not the time to buy. Dont go for the dip. Amplify etfs ceo says its not a buying opportunity just yet. Buying the dip on teching has been the way to make money for the last decade. Thats right. I think, charles, its time to wait, be cautious right now given whats happening geopolitically. Theres a lot of risks out there. You know, recently the nasdaq 100 dipped below its 50day moving average. That hasnt happened since 206. Its been 2016. Its been bouncing above that. So i think investors should be cautious given this current Technical Movement in the nasdaq. Charles what about the notion of rotation . Of course, banks have come on since the stress test. Im seeing industrial names do well, material names do well. Theyre very quiet with, but theyre moving up very strongly at the same time. Yeah. Were starting to see a little bit of this reflation trade that happened when President Trump was elected. Some of these areas are starting to come back, you know, financials are benefiting from these great stress test results they had. Also it seems like the fed will be raising rates no matter what, perhaps, and that benefits the banks. Certainly seeing some material stocks do well. So there does seem to be a rotation, charles. And, you know, wheres the atm, so to speak, where have people really made money . Tech stocks. Thats where some of that money, i think, is coming from right now. Charles you know this, the etfs have done extraordinarily well. A record amount of money pouring in the first half of the year, a lot of that coming out of mutual funds. Do you think now that the individual investor community, that the selfdirected investor says, you know, i like etfs and because of this, that could even administer stability to the overall add more stability to the overall market . Yeah. I think the rise of etfs has really helped out. I think the financial industry by this kind of move towards indexing, it creates a more diversified approach for most investors. I think, you know, mutual funds havent had that real solid track record in terms of performance. Many active mutual funds have underperformed just passive indexes, and et fs have really benefited from that. I think the big advantage for investors is not only do they get diversification, but they tend to be lower cost. And fees matter in the long run. Charles they certainly do. I can tell you, youre in the right business right now. Christian, thanks for sharing your insight this morning. Thanks, charles. Charles well, more chaos in venezuela. President maduros supporters storming that countrys congress yesterday, but, e. Mac, youve got breaking news right now. Yeah. Reuters is finding theres some military officials including captains, lieutenants and sergeants, 123 of them have been detained in prisons for a possible treason and rebellion. So this looks like theres unrest in the military in venezuela. So what happened . Basically, youre talking about the siege yesterday. Hundreds of promaduro, prosocialist forces attacked the Opposition Party in the congress in the National Assembly when they were celebrating venezuelas 206th anniversary as a country. It was a sevenhour siege. Hundreds were, basically, in lockdown. They were besieged, up to 230 according to 350 according to bbc. Anywhere from 57 opposition leaders were hit in the head. One guy was taken out on a stretcher suffering from convulsions. Journalists were assaulted too. So this comes ahead of this referendum symbolic vote july 16th. Maduro is putting to the people of venezuela his push to rewrite the constitution to seize even more power. Its a symbolic vote as promaduro forces now attacking legislators. We broke news last week that this happened last week when they moved in and detained opposition leaders last week and also were attacking people just even on the sidelines, even visitors were detained last week. Charles i remember when chavez raised the pay for military over and over every single year by huge percentages. Maduro did the same thing. They cant pay these people off. Could this be the beginning of the end . Well, thats this is breaking news. This is really important that military leaders, captains, lieutenants and sergeants, 123 soldiers in venezuela now have been imprisoned by maduro, accused of treason, rebellion and ore charges other charges. So military unrest it looks like according to reuters in venezuela. Charles we know the ultimate outcome of socialism isnt just running out of other peoples money, but violence and bloodshed. Its sort of surprising it habit come to this sooner. Well, you know, they were trained by the cubans. Chavez got most of the training for his Police Forces and military from the cubans. Barack obama did an opening to cuba, but all the while they were setting the stage for Something Like this eventually to happen in venezuela. Charles where do you see it going . You know, this is a really difficult situation, charles, because there are just no good answers at the moment. Again, three or so years ago when they were going to have a real referendum that might have meant something, barack obama pulled back support from that. That was the time when the venezuelan opposition really needed our support. Youre now to the point where, look, venezuela is a petrol state. They ship oil to the gulf of mexico. The United States uses it. Possibly, the United States should think about trying to divert that oil, force them to sell it, say, to china, raise the cost. As liz was reporting, it sounds like theyre having pushback from the military. And if you can exacerbate that situation by cutting off some of their petrol dollars for which he pays these thugs over there, possibly it could help at the margin. Charles e. Mac, u. S. Intervention or just stay back . Well, it is a 180degree turn from president Obamas Administration where now the trump administration, including Rex Tillerson, is saying this is a grave and serious issue including Nicki Nikki Haley at the u. N. , calling out the collapse of socialism on venezuela. Its on our doorstep, and the Vice President has been known to give passports to has blah leaders in the middle east hezbollah leaders in the middle east. And theyve recreated relationships with iran as well. Right. Venezuela can become a National Security problem for the United States if we just leave are it alone, so its not a problem that we can simply let fester the way it is. Charles thanks a lot are. Nikki haley, meanwhile, getting tough with north korea. Says were prepared to use military force against the rogue regime, and were all over it. More varney after this. Go, go [ rock music playing ] have fun with your replaced windows. Run away [ grunts ] leave him leave him [ music continues ] brick and mortar, what . [ music continues ] [ tires screech ] [ laughs ] [ doorbell rings ] when you bundle home and Auto Insurance with progressive, you get more than a big discount. Thats what you get for bundling home and auto jamie you get sneakygood coverage. Thanks. Were gonna live forever im Nicole Petallides with your fox business brief. You may be wonder whats next for amazon. Well, wine. Taking a look here at the stock which is down onethird of 1 . We did speak with the amazon pr department, turns out next is a new wine brand that is developed in oregon by in this particular king estate winery, and theyll ship it right out to you. They have the pee know green owe, 20, amazon started the Wine Division in 2012, and next is the first brand to develop from conception and release on amazon wine. Amazon is has also had deals ventures, i should say, with prime wardrobe, wedding shop, amazon payments, amazon trek. Horseheadswivellychair. Com it could be the next big thing i should totally get that domain name. Get your great idea online too. Get your domain today, and get. A free trial of gocentral from godaddy charles checking on that big board right now, remember we were down a lot more, and weve got some good news. First, manufacturing factory numbers the best since august of 2014. And then crude Oil Inventories dropped almost three times more than expected. Crude oil is higher, thats bringing back the stock market with it as well. Well, tensions escalating with north korea as that regime successfully launches an Intercontinental Ballistic Missile, this capable of reaching most of alaska. Here now, congressman dan donovan, member of the House Foreign Affairs committee, on how america should respond. Representative, thanks for coming to the studio. Good to be with you. Charles this is a huge issue, and everyone sort of says the same thing, we need to get russia and china involved, we need to have diplomatic solutions. But realistically at the rate that they are improving their a about to their ability to launch these missiles and perhaps ultimately tip them with a nuclear weapon, we may have to do something beyond diplomatic solutions. And we may have to do it alone. You know, hes an international villain, and hes a threat to the entire earth. But if we have to go it alone, americas never been afraid to do things alone. But its so much better if we do it as a coalition of people. The russians can help us with syria, and the chinese can certainly help us with north korea. Recently, their trade with north korea increased by 40 in the First Quarter of the year, and thats not showing us that theyre trying to help us. Charles right. And a 50 reduction in coal, so they made it up in other areas of the economy. South koreas president , new president came in, and the first thing he did was halt the deployment of a thad Missile System under auspices of an environmental study. This is a guy who helped them he put back passive approach to this, and the clocking is ticking. Yeah, i dont think its going to work. We saw pass i leadership in the United States for the past eight years, and we know that didnt work. So with the aggression and strength that President Trump is trying to show, you know, starting tomorrow in germany hell be meeting with putin, hell be meeting with president xi, and i think hes going to tell them face to face that theyve got to get on board, or were going to do this alone. Charles well, everyones watching that with serious anticipation. And also the idea that if we do some sort of a first strike in north korea, weve got to go probably beyond a message because of all the conventional weapons that are at this very moment aimed at south korea. Wed have to take all of that out or as much as possible. We have great military leaders that will orchestrate whats necessary to protect our friends and our nation, and i trust theyll advise the president what they think is best, and hell make the final decision. That would be a last resort, charles. We have to try everything short of that before we resort to any military action. Charles chicago congressman, tomorrow President Trump in his first face to face sitdown with Vladimir Putin. They could put this on payperview and make a lot of money. [laughter] if trump heard that, he probably would do that. What are you expecting tomorrow . I think hes going to address the interference with our elections, the situation in syria, and that madman, assad there, whos killing his own babies and women with chemical weapons that both damascus and moscow had guaranteed us a few short years ago that they didnt exist any longer. So i charles admittedly, though, they had an imaginary red line that they never took seriously. Because when our president drew that red line and they crossed it, he did nothing about it. Charles what do you think russia wants out of this . Whats their angle here . And how do we find some sort of middle ground that both parties, both sides can feel like they took something away . Yeah. I think putin doesnt want to lose face with his people, and he doesnt want to look like he heeded to trumps demands. I think theyll have to come out of there and negotiate in a way where both of them look like they achieved what they wanted to without ceding anything. Charles earlier this morning President Trump gave a speech in warsaw aimed at the polish people and their resolve and resilience throughout the years but also aimed at europe and the fight for where the western world is going to go with respect to preserving culture, with respect to keeping sort of, you know, a sort of focus on the future where they dont allow these internal threats to do what nazi aggression and the soviet union couldnt9 do years ago. He reinforced his commitment to nato charles article v. I think our president just wants everybody to do their fair share; pay their fair share of what it costs to protect the world and also to put forth resources whether it be personnel or equipment or otherwise. Charles right. Everybody picking up their fair share. Of he knows america has a great responsibility, but i think hes tired of everybody just depending charles germany paying 1 of gdp is not going to cut it. Representative donovan, really appreciate it. Did cnn commit a crime when it threatened to reveal the identity of the person who made that body slam video . Senator ted cruz thinks so. Were going to have the details for you right after this. Approaching medicare eligibility . You may think you can put off checking out your Medicare Options until youre sixtyfive, but now is a good time to get the ball rolling. Keep in mind, medicare only covers about eighty percent of part b medical costs. The rest is up to you. Thats where aarp Medicare Supplement insurance plans insured by unitedhealthcare Insurance Company come in. Like all standardized Medicare Supplement insurance plans, they could help pay some of what medicare doesnt, saving you in outofpocket medical costs. Youve learned that taking informed steps along the way really makes a difference later. Thats what it means to go long™. Call now and request this free decision guide. 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As you know now, they have some pretty Serious Problems. Cnn has really taken it too seriously, and i think theyve hurt themselves very badly. Very, very badly. Charles President Trump weighing in on the cnn controversy earlier this morning. Senator ted cruz says that cnn might have committed a crime when they threatened to reveal the identity of the person who made that trump body slam video. All right, ashley, ted cruz actually is calling this theft by extortion. Well, yes, it is. Saying, look, basically the threat was if you do anything like this again, then we will out you, so to speak, give all your personal details online. Cnns claim is we wanted to protect this guy from hatred and a backlash from those who didnt like it. I think a threat in any form of exposing someones details is a threat. No matter how you try to, you know, to put it into a certain way. Theres no doubt that cnn, i think, mishandled this whole thing. They should have whats wrong with outing the guy . Whats wrong with saying this is joe schmo is this is what he put out there . Charles particularly because hes got other compelling things hes put out antisemitic things. Charles right, right. And thats where they made the mistake, right . I think so. Charles i think they made the first mistake of finding out who it was. A breathtakingly tedious development in a breathtakingly tedious story. [laughter] this is overblown. Was it unseemly . Yeah. But who cares . Charles i thought it was kind of crazy. What about the blood gates9s . Floodgates . People coming up with mem many es . Charles theres some good ones out there. Hilarious. Charles cnn is probably going to have to out thousands and thousands of other people. [laughter] i hope they learned a valuable lesson, because we need to get back to the notion of reporting news. Sometimes even real news. More varney at after this. Charles all right, guys, all about President Trump in g20 meeting. What are you looking for. The president did stick it to russia and poland. He said russia has been a destable siding force in a speech that was eloquent, freedom in democracy and upholding western values. Charles definitely powerful. Ashley it was. In front of a friendly crowd because that would get him all geed up. Putin is very good at reading people. A slippery character. Charles adp jobs report, very Strong Manufacturing data. Its what you want to see. The kind of number we want going into tomorrow when we get the governments jobs number. Neil cavuto is going to takateway and set the tone. Neil, its all yours. Neil did i just hear lizzie, stick it to putin, ashley, one of the nicest guys in the universe say geed up . [laughter] neil i dont know about you guys but i have standards over here. Charles loosey goosy. Neil i will try to carry on here. But, of course, thats what everybody is waiting to here. Lizzie put it best here, whether the president is going to stick it to Vladimir Putin and indicate no matter what role the russians might or might not have played in the election, he is his own man and will make it very clear, if you were monkeying