People, the computers, the selling stocks, sell programs kick in, stocks go down and the computer orders up a buying spree and the stocks rise and the big guys made the money, the little guy squeezed out and theres nothing you can do about it, you dont have to like it. Look past the market and focus on the economy. Its doing very well, how is this for a sign of confidence . More people quit their jobs in december than any time in 16 years, you think when you think when you think you can do better elsewhere you quit, that is confidence. Stay there, please, all the commitment of the market coming up plus the takedown of steve wynn, mr. Las vegas, Varney Company about to begin. Stuart well, look at this, some okay, thats futures prices. Show me, please, wynn, the stock premarket because it is way up. Twelve dollars higher, okay. Now steve wynn has quit as ceo of that company in the wake of Sexual Misconduct claims, emac, hes gone, he never got his day in court. Accusation to conviction, the evidence weighed down on wynn. The reason the stock is up, they put in a veteran who ran the operation, mat maddox, thats 70 of the wynn resource cash flow. Stuart can i make a point, he had to go. If he hadnt to go the chinese authorities would have withdrawn license to operate his casinos in macau. They have been giving them, wynn and other resorts a hard time. Stuart they would have used that as excuse. Now hes gone. Liz he blames it on nasty court fight with his exwife. Stuart that is a nasty fight. Lets get back to markets, i want to bring in liz peek, Program Trading has clearly played a role and i dont like it, what do you say. It doesnt matter if you dont like it. Stuart exactly. That was the conclusion that they reached was that basically the programs had kicked in, the fundamental traders were not selling in the huge decline. I would put forth a theory which i really cant delineate but seems to me that after years of very low volatility the programs had very little margin for error, if something went slightly awry of what they have seen in the last years, my guess thats what caused real acceleration in selling. In other words, they have not been primed for this kind of market that we are now looking at. Stuart you cant by the way, you know its true because they are coming out today and saying, it wasnt us. My guess is it was them. Stuart i went out on a limb on the top of the show and i said i think things are calming down. I am out in a limb, do you agree with me . I lot of people went back to books and started looking at the economy, s p earnings are doing incredibly well, 20 in First Quarter or there abouts, this commentary that multiples are very high which janet yellen have talked about and other people have too, basically earnings erode the high premiums and by the way it was based on low yield, i dont think valuations are way out of line, they are lofty but not excessive, i mean, we have seen what is it now 6 or 8 , i think thats maybe room for another percent down which will be a perfectly normal correction and a normal event every year on average we have a 5 to 15 correction in the market. This is not that shocking. Stuart you have profits up 20 in the First Quarter year over year. Exactly. That begins to take the valuation issue, yes. Stuart i think it does. Theme parks with nice profits and more star wars movies coming. The stock is up. Disney says its going charge 4. 99 a month for espn streaming, i think thats a big deal because thats a fairly cheep streaming service. Snap, never understood it, acceleration in growth of active users for the first time as public company, its up 22 . Again, i dont understand it. I will be quiet. Chipotle is giving out bonuses, how about that because of the tax cuts, what are they doing, emac . Look at the benefits they are giving to hourly workers, up to a thousand bonuses to 70,000 workers, they paid parental leave for hourly workers, Life Insurance benefits, shortterm disability benefits, they are giving back a third. Chipotle has extraordinarily effective tax rate of 36 . Responding to tax cuts, they said its because of tax cuts, 331 companies now are giving back the tax cuts to workers in some stuart the stock price was up did i say up 27, down 27. Good pr move but the stock takes a hit. Now this, the Labor Department says more people quit their jobs in december than at any other time in 16 years. More than 3 million workers quit in december, Fox News Contributor james freeman, wall street journal editorial guy is with us now. Yes, sir. Stuart i see that as a good sign. It is a good sign when people have the confidence and new opportunities to go get another job, this is on a percentage basis its not huge, this is a number we are going to keep watching and see if the trend continues but basically about 3 million quitting each month at the end of 2016 and over 3. 2 in the end of december 2017. So it is a nice trend upward, its not huge yet but as you say, very, very encouraging if you see people ready to chase the new opportunity. Similarly we have been watching the Labor Force Participation rate wondering if more people are going to come back into the economy who are maybe discouraged and this is another one of those readings to watch, seems to be showing people more optimistic about the economy. Stuart we have reported breathlessly earlier this week that the atlanta said we are going to grow 5. 4 annual rate, now they revised it to a 4 growth rate. I dont like the sound of that. Well, its still pretty great. They downgraded from spectacular to really awesome. I mean, we love to be getting 4 , havent done that in a long time, didnt do it certainly over a year for over a decade but i think that atlanta fed measurement is volatile because each time a new economic report comes out they plug it into model and bounces around and it kind of overstated the Fourth Quarter, but, look, its still a very positive report at 4 and theyre not the only ones. You saw the ism reports on both manufacturing, nonmanufacturing, lots of new orders in january and, i think, the tax cut in december probably had something to do with it. Stuart economy is growing nicely . I would say nicely. Stuart kim jong un sending younger sister to so olympics. Shes under restrictions to travel as is the airline but north Korean Airline that she would likely take, that he would give her a pass. Youngers sister of kim jong un, shes also, by the way, head of north koreas propaganda. Stuart oh, is she . Ashley yeah, an attempt to weaken some of the sanctions and try to pull south korea and washington apart, others say that the nounsment announcement after President Trump said his daughter ivanka was going. They are open to talks with north korea. Depending on how you view this, hey, at least theres a possibility that talks could begin, others say dont be fooled, this is north korea playing games again. Stuart i wonder what little sister would do if they deflected. Ashley embarrassing. Stuart the sister would be withdrawn. Check the futures, we are calming down, we are down what 82 points on the dow industrials, earlier this morning down 2 or 300, now down 82. Calming down. I will take it. Another amtrak accident and a highspeed train from dc to new york broke apart at 125 miles an hour with no injuries, fourth major accident since december. Now this, the woman who won more than 500 million says she will not claim price unless she can remain anonymous, shes suing for the right to remain private. What on earth would judge napolitano have to say about that . We are going to ask him. President trump has message for democrats, get on board with Immigration Reform plan or face a Government Shutdown. Youll hear what he has to say after this. Liberty mutual insur. Thats it. Im calling kohler about their walkin bath. Nah. Not gonna happen. My name is ken. How may i help you . Hi, im calling about kohlers walkin bath. Excellent happy to help. Huh . Hold one moment please. [ finger snaps ] hmm. The kohler walkin bath features an extrawide opening and a low stepin at three inches, which is 25 to 60 lower than some leading competitors. The bath fills and drains quickly, while the heated seat soothes your back, neck and shoulders. Kohler is an expert in bathing, so you can count on a deep soaking experience. Are you seeing this . The kohler walkin bath comes with fully adjustable hydrotherapy jets and our exclusive bubblemassage. Everything is installed in as little as a day by a kohlercertified installer. And its made by kohler americas leading plumbing brand. We need this bath. Yes. Yes you do. A kohler walkin bath provides independence with peace of mind. Call and ask about saving 1000 on your walkin bath, or visit kohlerwalkinbath. Com for more info. Stuart the once deported illegal immigrant accused of killing Indianapolis Colts linebacker edwin john snon wreck now facing federal immigration charges. What else . Ashley yeah, the more you dig into the story, 37yearold manuel zavala, a man from guatemala, arrested in 2006 and deported back to home country in 2007. He was back in 2009. Arrested again, sent back, came back, this guy has gone back and forth and tragically suspected of drunk driving when he killed 26yearold colts linebacker ed jackson and a friend of jackson, so two People Killed and now as you say federal immigration charges are coming. The question is how on earth was he able to so easily get arrested, come back, back and forth across the border. Stuart dare i say, build the wall in ashley yes. How many times one illegal came back. Ashley exactly. Stuart showdown on capitol hill over Immigration Reform. President trump says hed welcome a Government Shutdown if democrats wont agree to tightening the laws, roll tape. I would shut it down over the issue, i cant speak for everybody at the table, but i will tell you, i will shut it down over the issue, if we dont straighten out our border, we dont our country. Without borders we dont have a country. Would i shut it down over this issue, yes. Stuart i think the president is dead right, coming in congress man Louie Gohmert from texas, i think the president is write, build the wall, end chain lottery and then let daca people in but you disagree with me . You know dare and well i was excited to have a candidate that wanted to secure the border, build the wall where we need and it is still what we need to do and its not like the soviets did to keep people in, this will enable us to control our borders and to cut off the 80 billion or so thats feeding the drug cartels that keep mexico corrupt, that keep it from being one of the top economies in the world. Thats where we need to go, thats what a Good Neighbor will do and then you wont have the unnecessary deaths. Stuart, when i was stuart louie, you are not prepared to give in on the other side of the coin, if you get the wall, you get end of chain, end the lottery, you have to give in on daca. Thats the concern, though. We have been here before, 1986, if you put legalization at the same time as a promise to secure the border with or without the wall, then you we as a nation lose, you will get the legalization, you will get millions more flooding in before the gate is closed, you close the gate and then you work out for those people who are here, im prepared to work out for those people that are here once the gate is shut and once we control who comes in, but i had a guy in my court felony court that had 9 prior dwis, he didnt speak english, how are you here, he said that he had been interpreted once and i said, how did you get back, as soon as ice officials drove away, he walked across. I sent him to prison twice because he was back in six months because they got him out of prison, took him there and then he walked right back across. I mean, we have got to shut the door and then we can continue to be the most generous in the nation in the world but we have got to control the border. Thats the deal that the president has to insist on. Shut the door first. Yeah, i mentioned it to the president a couple of times including the state of the union, dont let anybody talk you into doing legalization or amnesty before the wall is built, he said, ive got it, ive got it, i just love that about the guy. And the crazier people think he is, the better he does. I think its wonderful. Stuart i have to go because the stock market to deal with. You know how it is, we will build the wall and deal with the stock market. I do and the stock market will explode once he gets that done too. Stuart thats interesting. Louie gohmert on the financials of wall street, sir. Yeah. Stuart where are we . Bottomrighthand corner, down about 60 points, as i said, maybe things are calming down and i am out on a limb, ive got it. How about this, elon musk spacex successfully launched the largest rocket since 1970s, it carried a tesla roadster, thats a car that will orbit the sun for millions of years. Thats a pr stunt and a good one. In those hundreds of millions of years all youll hear from inside the car david bowie. Ashley yes. Stuart hundreds of millions of years. More varney after this. Today, the new new york is sparking innovation. You see it in the Southern Tier with companies that are developing powerful batteries that make everything from cell phones to rail cars more efficient. Which helps improve every aspect of advanced rail technology. All with support from a highlyeducated workforce and vocational job training. Across new york state, were building the new new york. To grow your business with us in new york state, visit esd. Ny. Gov. 3, 2, 1. It seems surreal to me. You know, i had this image of just giant explosion with a wheel bouncing down the road and tesla logo landing somewhere. [laughter] but fortunately thats not what happened. Stuart hes good, hes very entertaining. Ceo of spacex, elon musk sounding happy after successful launch after the huge rocket, liz peek is with us so too ash and liz. Occurs to me that that was a wonderful pr stunt, 24 hours before he released tesla earnings which may not. Its true. If he had bad earnings it would be bad for him to criticize at this point. This is visionary, its exciting, inspirational, very few things that all americans could get excited about, surely privatization over space program, the possibility we will go to mars, that we will go to the moon and take our teslas with us, what can be more wonderful . Ashley stunt to cover the earnings and thats why he was reliving his nightmare scenario because of the wheels bouncing down the road before earnings would have been more disaster. Stuart i should give him more credit than i do. Elon musk owns 54 of spacex and controls the voting shares and owns tesla. Keep in mind when he talks about companies. This is an awesome accomplishment. Stuart i think we agree on that. We will be down but not much, again, could things be calming down, find out in 4 and a half minutes time after this. For all the eyes that get itchy and watery near pollen. Theres flonase sensimist. It relieves all your worst symptoms including nasal congestion, which most pills dont. And all from a gentle mist you can barely feel. Flonase sensimist. Thats it. Im calling kohler about their walkin bath. Nah. Not gonna happen. My name is ken. How may i help you . Hi, im calling about kohlers walkin bath. Excellent happy to help. Huh . Hold one moment please. [ finger snaps ] hmm. The kohler walkin bath features an extrawide opening and a low stepin at three inches, which is 25 to 60 lower than some leading competitors. The bath fills and drains quickly, while the heated seat soothes your back, neck and shoulders. Kohler is an expert in bathing, so you can count on a deep soaking experience. Are you seeing this . The kohler walkin bath comes with fully adjustable hydrotherapy jets and our exclusive bubblemassage. Everything is installed in as little as a day by a kohlercertified installer. And its made by kohler americas leading plumbing brand. We need this bath. Yes. Yes you do. A kohler walkin bath provides independence with peace of mind. Call and ask about saving 1000 on your walkin bath, or visit kohlerwalkinbath. Com for more info. Stuart well, let me recap yesterday before we start today. We were up 567 points on the dow jones average moving up to 24,900. Most of the action, the upside action came in the last hour of trading as Charles Payne accurately forecasted on the program yesterday. Watch the last hour. Thats where the trades kick in. Last hour we moved up sharply. Right, ten seconds to go before we open this market. We are expecting, i cant believe it but we are expecting it to be fairly flat. I said we are calming down, am i right . Bang, 9 30 here we go. We are running, we are down 28, 35 points, 50 points, 51 points. Dont prove me wrong. Oh, dear. Down 111. 125, 127 points down. 24,785. Thats still a little calmer. Ashley in todays environment thats calm. Stuart thank you very much, indeed. I do see a sea of red among dow 30, i only have three dow winners and one unchanged so far. 30 seconding in, we are down 108 points, got it. 4 drop for the dow. The s p is down. 2 . Thats a quarter percent drop. Again, thats calming down a bit and look at the nasdaq, it too is down. 2 , again, this is not the kind of wild swings that we have been seeing over the last couple of days, im out on a limb by saying we are calming down but looks like we are just a little certainly in the very early going. Now, the big techs, did they recover fully from recent losses, the answer is no, down this morning, facebook lower, microsoft lower, alphabet and apple all down, am done, though, eking out a small gain up a buck at 14. 44. Talk about calming down. I think this is a calming influence. The yield on the 10year treasury is 2. 79 . Very little changed and right in between the extreme of 285 and 270 that weve seen in the last two days. Ashley and liz are both here, of course, shargalani and keith fitzgerald, all right, keith, a lot of people were holding off, the little guy didnt want to get in, are you Still Holding off or dip in and buy . Im going to dip in very cautiously, things on microsoft, for example, alibaba out of china, here is why, though, these things rarely happen in isolation, stuart, they have to flow back back and forth, the market is going to go through a period of adjustment but it is coming down, the ripples are getting smaller, stuart youre backing away, youre not buying or selling anything, how about today, are you buying anything or selling anything . Im not doing either today, i