Transcripts For FBC Mornings With Maria Bartiromo 20240713 :

Optimism grows over flattening curve in some areas of the countries. Signs that lockdowns could be having positive impact. 7 and 3 quarters percent yesterday, take a look. Pretty good rally at the end of the day as well. Dow industrials up yesterday, nasdaq up 540 and s p up 175. President trump announcing a deal with 3m to supply medical masks and he said he had a, quote, wonderful call with former Vice President about the coronavirus response. We have you covered this morning about the pandemic and markets and beyond with allstar lineup you do not want to meet miss. Plus what other possible rounds of stimulus might look like, phase 4. The Dallas Mavericks owner mark cuban is here on what should be done to help businesses survive pandemic. Heros stepping forward to help the world on time of crisis. Mornings with maria live now. Big show this morning and big rally underway, lets take a look at Global Markets which are mimicking the wall streets gains today. The cac quarante is up 118 and dax index higher by 129. Pretty good rally this morning. European union seems divided over issuing coronavirus bombs. Japanese Prime Minister shinzo abe declaring state of emergency in japan. He reportedly is preparing a stimulus package worth nearly a trillion dollars. China claiming to have first day without a coronavirus death since january, always concerns about the country misleading the world when it comes to the virus and we dont know how many deaths really the country has seen. Dan briett yesterday telling me to expect later on in the week and the president expects 10 to 15 Production Cut. Lets check Interest Rates. 10year rising for a second day in a row. 715 . Thats up 6. 7 basis points this morning. And now the latest on the coronavirus this morning throughout the world. The United States first reporting more than 10,000 deaths from the virus. There are now more than 368,000 confirmed cases in the United States. Meanwhile chinas National Health commissioner reporting zero deaths from the virus marking the First Time Since january that china has said this but questions remain about china tallying death rates and number of infections. We consider to question chinas truthfulness. Prime minister Boris Johnson moved to intensive care. Foreign secretary dominic rob taking over for johnson as needed. The president , President Trump, other World Leaders wishing johnson speedy recovery. And now this, in the United States the number of new coronavirus cases and deaths slowing down in new york. A sign that the state could be hitting apex according to Governor Cuomo, Governor Cuomo is warning the fight is far from over however telling residents to keep practicing social distancing. In new jersey reporting slowdown of new cases as well. The governor of louisiana is warning his state would run out of possible beds this week. The state reporting 15,000 cases in more than 500 deaths in louisiana. A crew member aboard the usns comfort reportedly testing positive for coronavirus. The individual is now being treated in isolation aboard the Navy Hospital ship as President Trump agreed to allowed to 1,000 bed facility to treat coronavirus. Initially it was not for that. New york Governor Cuomo said to relieve hospitals, new york epicenter of coronavirus outbreak in the United States. Markets are higher, we are looking at another jump at start of trading. We have the dow futures up 822 points. The s p futures up 85 and the nasdaq higher by 224 this on top of huge gains yesterday on news that the death rates in coronavirus hot spots in the United States appear to be slowing down. The pace of death is slowing down. President trump remaining optimistic during his White House Briefing last night. Stay inside and lets win this and lets get our country open as soon as we can. I think its going to be sooner than people think. Things are going really well. Again light at the end of the tunnel. Maria joining me right now is wealth adviser president mark avalon and joining the conversation fox business Dagen Mcdowell and Capital Market head of Global Research Katherine Rooney and the wall street journal Senior Writer Jon Hilsenrath. We have the a team today. Thanks for being here. Jon thanks, maria. Maria mark avalon, its been a couple of days since we have seen firmer tone, has there been a change in sentiment in your view in terms of markets and where we are heading in terms of the coronavirus threat . I think people are reacting that maybe the sky isnt falling and might be seeing some visibility out of this with just the beginning stages of a little bit of good news, but, no, i dont think a lot of investors are comforted by the fact that the streets are still empty and yesterday, for example, we heard we may have Major League Baseball but empty stadiums into may. When we hear that a lot of investors are thinking this could be longer. Days like yesterday are kneejerk reaction, more hope and hype than underlying fundamentals. Could be a Good Opportunity for investors especially if today continues to have more sell on the rally. I think we are in for a few more weeks or maybe months of pain. Maria janet yellen speaking out on the Economic Impact on all of this and says Unemployment Rate currently could be at 13 . U. S. May see 30 decline of economic growth. Jpmorgan chase jamie dimon said that the virus will lead to a, quote, bad recession and the bank may have to consider dividends. Let me Jon Hilsenrath to react to all of that. Jon, the expectations are pretty dire in terms of second quarter, 20, 25 contraction in the second quarter, look at the numbers that janet yellen is throwing out, jon. Jon absolutely, we are in a tough situation economically. Itll stay tough for a while. Theres two things that im concerned in the job market right now. One, when a lot of companied layed off and warned notices that states put out, this is temporary, temporary furlough, the next thing we have to worry about is the temporary layoffs become permanent. If we can get the economy going again maybe they are temporary. The other thing second wave that goes beyond the restaurants and hotels to other kind of service and manufacturing and industry workers. So the market pickup is encouraging certainly the slowdown in death rates, its very encouraging, but we have to keep level head and this is going to be a tough slug for a while. Maria mark avalon, weigh in. If i follow jons point, we know about gaming, hotels, casinos, its a trickle effect and i think the financials are a part of that. The bank went to every one of the industries. I was a banker for a number of years and bankers have collateral thats often owner occupied. A lot of the businesses they lend to they secure by real estate. I think the real estate that is securing the loans is now in question. I think when the businesses cant pay and the collateral is worthless i think youre or less valuable i think youre going start to see banks report very disappointing numbers from a combination of lower Asset Management fees, the lose of m a revenue. You will start to get loan losses, chargeoffs, we havent had chargeoffs in a long time and they decimate Bank Earnings and when we start to see that continues to what jon alluded to and thats the secondary effect of slowdown. Maria Dagen Mcdowell, real quick from you, i think we have to be careful of the fifth and starts. Lets not forget what the president said the next 2 weeks are going to be, horrific, dagen. Dagen horrific and itll be hard to value earnings of any company in any industry when we get completely back to normal. When does that happen, when we have a vaccine potentially. I heard that from smartest minds in investing, finance and even in Health Industries that nothing good happens until a bonafide vaccine is found but in the Good News Department and this is something that Jon Hilsenrath has talked about a great deal, what the Federal Reserve is doing is getting the credit markets back to a more normal posture, that the treasury market, front page of wall street journal. The treasury market is functioning more normally with the fed intervention, you have large corporations, oracle to name one to borrow lowerrate economies come into the market borrow and the fed with giant Balance Sheet, 6 trillion now, has been able to come in and prevent what many people thought not just a liquidity crisis but a solvencies market. Maria we have a lot coming up this morning. Mark avalon, good to see you, sir. Joining the conversation this morning former attorney general under President Trump and former alabama senator Jeff Sessions is here this morning on concerns over china down playing the severity of the virus. The chairman and ceo of blackstone, steven. We will get into that, how does that money get allocated. Mohamedalarian how to navigate with another rally underway here. U. S. Treasury secretary Steven Mnuchin will join the program. I will talk to him live and where are we in the Small Business Administration Loan package today. The Dallas Mavericks owner mark cuban here with whats at stake of Small Business as the Small Business loan system crashes. Dont miss a of moment. Big program ahead. Lets slip in a break and the uk is on edge as Prime Minister Boris Johnson moves to icu with coronavirus, here at home President Trump is signaling hope about the end of the pandemic. Stay with us. It has seen the break in the clouds before anyone else. For the past 168 years, weve also stood by you, helping you weather storms like this one, to protect your loved ones. And well do it for 168 more. Helping you weather storms like this one, i am totally blind. And non24 can make me show up too early. Or too late. Or make me feel like im not really there. Talk to your doctor, and call 8442342424. Thats why lincoln offers you the ability to purchase a new vehicle remotely with participating dealers. An effortless transactionall without leaving the comfort and safetyof your home. Thats the power of sanctuary. And for a little extra help, receive 0 apr financing and defer your first payment up to 120 days on the purchase of a new lincoln. Maria welcome back. Here at home White House Coronavirus task force focusing on positive signs. They are also stressing, though, that the pandemic is far from over. Dr. Anthony fauci weighed in yesterday. If you want to get to precoronavirus, that might not ever happen in the sense that the fact that the threat is there but i believe with the therapies that will be coming in line and with the fact that i feel confident that over a period of time we will get a good vaccine that we will never have to get to where we are now. Maria joining me right now Infectious Disease expert senior scholars john hopkins security dr. Amesh adalsha, i want to start with Boris Johnson, we are sending best wishing there. Hes not on a ventilator this morning. What does that tell you and do you expect the ventilator to be needed soon . Its hard to know without having access to his medical records but we do know that people do get put into icu in half or so may end up in mechanical ventilator but you can be in icu for other variety reasons and maybe hes in highlevel supplemental oxygen and want to make sure to watch him, maybe he needs round the clock nursing care so theres lots of reasons in the icu, hopefully he doesnt need a machine cap ventilator and hopefully this turns around before that time but something that you have to watch on basically minute by minute basis when you have a patient in the intensive care unit. Maria so he could recover from being oxygen which is what we are told hes on right now. He could recover from needing the ventilator perhaps . I understand youre speculating in many regards because you dont have the access to his files. Exactly. Ive admitted patients to icu who have been put on high levels of oxygen and have not needed a mechanical ventilator and people that ended up on mechanical ventilator. Itll be specific to that patient and what their actual condition is. Maria lets talk about where we are right here. New study shows neither surgical masks avoid even when youre social distancing . This is a controversial topic in my field. Cdc changed guidance and said that people should wear a homemade mask and thats not to protect you but protect you from actually spreading the virus to other people through your coughs and sneezes which youve always said, if youre sick you have to wear a mask if you have to go out. Also there are some people who have mild and no symptoms and we have seen some cases of asymptomatic spread. Its unclear whether any masks actually help with that and theres guidance to do that and the new study is controversial. Theres just 4 patients but does tell you that this isnt some kind of iron clad way, really social distancing and being able to wash your hands frequently and not touch your face are the ways to do this and masks should be viewed as secondary and not primary means for the general public to protect themselves and to protect others from the virus. Dagen quickly. Are you concerned that people see the numbers in terms of the hospitalization numbers, the number of people dying from this virus. They start to level off or even go down slightly and they get reckless in their behavior where people feel more confident to go out and then we have another wave of this virus hitting people across the country . There is that danger. I think everybody is looking with hope that new yorks hospitalization numbers and their case numbers remain stable and then going down, but that isnt a reason to completely let up. Thats a reason to look for hope and realize that Hospital Capacity actually survived the brunt of this outbreak in new york city, but we still need to think about social distancing. We still need to make sure all hospitals in the country are able to deal with and still need to work on a lot of different issues before we safely live with the virus in a new normal. Thats not there yet and we are getting closer and everything is looking better in new york. Maria all right, we will leave it there and we hope that that continues. Dr. Amesh adail, good to see you, thank you, sir. Thank you. Maria we will take a break and come right back. Lots to come, back in a minute. As we work to get through these times together, you may not be thinking about blood donation, but blood is needed to save the lives of people who are sick with a range of illnesses. Its easy and safe to give. If you are in good health, please donate. We need heroes now. Visit red cross blood dot org to schedule an appointment. Its more than just fast. It keeps all your devices running smoothly. With builtin security that protects your kids. No matter what theyre up to. It protects your info. And gives you 24 7 peace of mind. That if its connected, its protected. Even that that petcamera thingy. [ whines ] can your internet do that . Xfinity xfi can because its. Simple, easy, awesome. [ barking ] maria welcome back the coronavirus outbreak impacting Companies Across the world. In the United States nissan announcing the plans to furlough 10,000 employees in mississippi as well as two locations in tennessee as u. S. Plants remain close to help spread of covid19 temporarily shutting down the commercial jet factory thats operating this morning. Katherine is with us this morning, tell us what this means from your standpoint in terms of jobs, boeing, was a Major Economic generator and now we are seeing a real slowdown there and throughout the manufacturing sector, katherine. Right, maria, and the fact is that theres massive layoffs, how many return to labor market after the economy is reignited is the big question. I think it has to do a lot with effectiveness of sba loan program and which companies will come back to life and which will cease to exist. The furloughed workers, what percentage of them will be able to come back to a company that still exists. Maria yeah, thats the point and i think, Jon Hilsenrath, things will change in a big way longer term, remote work now obviously in high demand, pandemic putting spotlight of jobs that can be done from home. Top Companies Hiring remote jobs amid coronavirus, adobe, etna, dell, do you think that will have longer lasting implications beyond covid19 and its impact in terms of Companies Higher and how they want to approach work . Jon absolutely on two fronts, the first