Transcripts For FBC Varney Company 20240712

Its at the 27,000 level, up from 18,000 in march. Check your 401 k and smile. Whats going on here . Well, first theres a lot of talk about congress adding to the president s virus aid. The democrats made a big mistake walking away from mr. Trump from any deal, allowing the president to jump right in. Wall street would love another trillion or two of stimulus. Here we go. Can you believe this. Putin says russia has a vaccine. They have not finished Clinical Trials but his daughter has taken it. Im a skeptic. When the news broke, it did lift stock prices. We will tell you all we know. I do know this. Tim cook is a billionaire. He owns a chunk of the most valuable company in the world. Bernie sanders might not approve but i think its good to see a brilliant executive join the billionaires club. He and apple are wildly successful. All right. Look whats coming up. Maybe joe bidens choice for Vice President , maybe today. Hes boxed himself into an identity politics corner. A prediction that apples stock goes well above 500 a share from a man who has been right before. And just wait until you see airline stocks. Way, way up. Apparently because of the putin vaccine. Yeah, really. Varney company is about to begin. Stuart i really do want to know more about Vladimir Putins claim that russia has made the worlds first virus vaccine. Lauren, okay, his daughters taken it. What else do we know . Lauren she has and we know that moscow has registered the first covid vaccine. This is much like the cold war space race, stuart, but its a vaccine race. In fact, russias calling this vaccine sputnik 5 but the Clinical Trials were short, they were accelerated, it was tested on animals and only 76 humans, far less than what the fda requires here at home and that is raising serious doubts about the safety of russian vaccine, that it is looking to export to the world. But it hasnt set up manufacturing or Distribution Channels to do that yet. This is how our manufacturers of potential vaccines are responding to the news. Yes, most of them are down, but this underscores the importance of getting a vaccine on the market. Stuart you are talking about biontech and novavax, which we have on the screen now. Both of them are down, right . Lauren yes. Stuart okay. Lauren they are down. But they do have good news. Biontech reported their earnings today and they say results of the final testing phase of their vaccine will be ready as early as october. Then they plan to request Regulatory Approval immediately after that. So they already have manufacturing set up with pfizer so this is certainly possible that the u. S. Has a distributed approved fully tested vaccine by the election. Stuart i am a skeptic about putins vaccine so we will move right along. All right. As we were saying, check the vaccine maker novavax, way down today. They say they can make enough vaccines next year to meet americas demand but the stock is down 7 . Okay. Gilead, interesting news there. They are filing an application to Start Marketing their virus treatment which is remdesivir. The drug has been experimental as a treatment, allowed only for emergency uses. If this is approved, it will be sold under a new brand name but it will be out there generally. 68 a share. Gilead. All right. Thats the vaccine news. Now, news on positive cases. Ashley, we are seeing a downward trend. Ashley yes. We are indeed. I will tell you that the number of cases from early july to early august have shown a downward trend. 5. 1 million cases across in total. 163,000 deaths. But look at august 10th, new cases, 47,083. Thats a 14day change of 18 . In late july we were averaging 60,000 plus new cases a day. Also, we should point out deaths have averaged 1,000 per day in early august, which has doubled from early july. However, there are continuing to be hot spots. I want to give you a list. Louisiana has just reported 11,119 cases in the last seven days. Thats per 100,000. Mississippi, 6500 cases. That rate is 219. In georgia, 22,766 cases in the last week. That rate, though, less than louisiana and mississippi at 214. All of this said, we are seeing a downward trend and thats good news where we continue to have hot spots. Stuart we got the hot spots but there was a downward trend nationally. We dont pay enough attention to it. Look at the markets. Big deal here. 25 minutes to the opening bell and we are up across the board except for the nasdaq composite which is going to be down. Mike murphy is with us. Im intrigued at this. Is the market completely discounting election risk . I have been talking about a chaotic election and the possibility of a biden win, big negatives for the market. Doesnt seem like investors are paying attention. I think they are paying attention. Good morning. But i think they are really looking past it because even if biden does come in, yes, it could be a shortterm negative until the Large Companies making up the s p 500 learn how to deal with his tax plans, consumers learn the best way to deal with his tax plans and tax hikes, but overall, the market will look past that. Earnings will get past that. Then the market will be back on its move higher. I think the bigger concern right now is coronavirus and its not the election. Stuart okay. Im seeing what the technical, the professionals call rotation. That is the nasdaq composite is down because money is coming out of big techs and the s p 500 and the dow are going up. Money is flowing in there. Rotation is taking place right now, isnt it . It is. But i think its very important, stuart, for the investors at home watching your show, dont chase the next hot thing. You and i have talked about it with bitcoin, we talked about it with marijuana stocks, we talked about it when the market has a selloff, should i dump all my tech. Tech is what has led the market to new highs. You and i have talked extensively that tech will lead us back to new highs. You are going to see money rolling into different sectors, yes, but youre not seeing growth in pick financial, pick energy, youre not going to see growth there. I want to stick with big tech because thats where im getting growth, thats where im getting innovation and thats where im going to get continued higher earnings so although the prices are not cheap at these levels, these are the companies that are innovating and what got us here is what you want to stick with. Big tech. Stuart 20 seconds. Would you buy a dip . They are all dipping right now. Would you buy any of them snfrjts. I would buy a dip but more of a profound dip. Down 2 or 3 after these massive rallies. Again, we talked about it. Lets look at a basket of large cap tech where you are seeing increased growth, where you are seeing numbers coming in higher each and every quarter, names like apple going into their split. Those are companies you want to own in your portfolio and let all the other headlines go by the wayside. Thats how you make money. Stuart got it. Thank you very much indeed, sir. Lets turn to stuvusan. I know apples stock is down today. Spell it out for me. How did tim cook get to be worth a billion dollars . Susan after nine years at apples ceo, yeah, hes officially a billionaire according to bloomberg and many would say hes earned it because hes grown apples market value by fivefold and doubling apples sales and profit after taking over for steve jobs back in 2011. Apple is now worth 1. 9 trillion and thats bigger than the economies of canada, russia and spain. How did bloomberg calculate cooks billionaire status . Cook currently holds 375 million worth of apples stock, likely to get another 100 million in stock this year, then you want to throw in another 650 million from the proceeds of previous share sales, dividends and other compensation, and thats how cook entered the three comma club. He has said he would give most of his money away to charity and for anybody thats ever met or spoken to tim, its not about the money and it probably never will be for him. Stuart i respect the man and i dont begrudge any man like that a billion dollars. Hes done extremely well. All right. By the way, later this hour, top apple analyst dan ives will join us. He says apples stock is going to 515 a share and hes been right before. Three big name dow stocks in record territory and all three of them are up again this morning. First, home depot on pace for a fresh alltime high at the open. Look at it go, up another 1. 7 . Thats premarket. Same thing for united health. Again, premarket, after a record gain yesterday, record high yesterday. Its up another 1. 4 this morning. Nike, wheres that this morning . Its at 106. 34. That would be, if thats at the opening bell, that would be another alltime high. Three dow stocks, three alltime highs. President trump taking a big step to unleashing americas 5g potential. Thats super high speed internet. The infrastructure for 5g has previously been reserved only for military and other government uses, but now mr. Trumps rolling out bandwidth available for commercial use. Supposedly that allows our Tech Industry to grow even more. Check futures again, please, because its good to look at. Dow is up 300 points. S p is up 15. Very close to an alltime high. Small dip for the nasdaq. Looks like a reporter may have struck a nerve with chicago mayor Lori Lightfoot after asking this question regarding the latest round of violence and looting there. Watch this. Reporter it almost sounds as though youre saying this is the reason we have it is because the courts and the prosecutors were not doing their job lets be clear. Dont bait us. Reporter not trying to bait, maam. Stuart serious trouble in americas cities and that includes chicago. Why should businesses return to that . Why should Office Workers return to that . What a mess. Coming up later this hour, we have nikola motor founder, Trevor Milton, on his colorados la companys landmark order for garbage trucks. And how come an online mattress seller is now going into bricks and Mortar Stores . Amazon making dramatic change to americas malls, turning Department Stores into Fulfillment Centers. Gerald storch is next. He says amazons distribution is already unmatched. My husband and i have never eaten healthier. Shingles doesnt care. I logged 10,000 steps today. Shingles doesnt care. I get as much fresh air as possible. Good for you, but shingles doesnt care. 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Will it help me keep up with mom . You got this. So you can really promise better sleep . Not promise. Prove. Its the final days to receive no interest until january 2023 on all smart beds. Ends wednesday. Stuart look at those retailers. They have been all over the place but theyre surging today. Apparently on putins virus vaccine news. I dont believe it but what youre looking at is some significant gains for those retailers. All right. Look at Simon Property group, the big mall company. Ashley, they just reported. They took a shot during the pandemic, right . Ashley yeah, they certainly did. Revenue down 24 year over year, just over 1 billion. Earnings also falling short. Whats interesting about Simon Property, you know, they own a number of huge malls across the country, the biggest owner, in fact, and they have been having trouble collecting rent. Look at this. Thats the amount of rent collected in april and may combined, just 51 . They are getting half of their money back from those retailers. Those numbers, though, they did improve. June it went up to 69 which is getting better. In july, we saw they collected 73 of rent. So its heading in the right direction. But that april and may number shows you how hard its been for everybody. Half of the retailers not able to pay their rent. We should point out, we were just talking about Simon Property yesterday, they are in talks reportedly with amazon to convert some of those bankrupt anchor stores in malls and turn them into Fulfillment Centers for amazon and maybe lease out the huge parking lots for their fleet of vans. Stuart we were talking about it yesterday. Very important subject. Something to do with defunct Department Stores. Who knows more about this than anybody else, gerald storch, our guy on retailing. Gerald, come back in again. Good to see you again. Do you think, i mean, these locations, these bankrupt Department Stores, they are dead locations. Could amazon revive them . Well, obviously they can. Capitalism abhors a vacuum. We have been talking for years about how Department Stores and mallbased Apparel Stores are really struggling, and these developers are really smart. They say who can use this space . Guess what . Retail sales overall were up a little bit in july year over year so what does that mean . Sales are going somewhere. They are going to ecommerce. Amazon already has 200 million square feet of distribution in the United States alone with another 100 million square feet under development. The real secret about ecommerce, we all view it as a technology company, it is, but their real competitive advantage is their incredible logistics. They have a multitiered distribution system. They are in every community in america and these mallbased locations are really centric located for them. A million square feet coming up, and maybe more, it will make some small dent in that. Stuart it wont do much for the malls because an Amazon Fulfillment Center in place of a sears does not bring much foot traffic for the rest of the mall. Well, lets be honest. Sears wasnt bringing any foot traffic to the mall, either. Meanwhile, sears was always a place you parked because there was no crowd. You could park near the door, you know, to get into the mall. For simon, who is really, really smart, they are the smartest developer, amazon telling you we will pay rent. We just talked about the fact a lot of retailers arent even paying for the space right now. They are a good credit. They will pay rent for a long time. Amazon also has a retail future. They are building out this grocery chain, they have bricks and mortar concepts in mind. Who knows what kind of pickup they might have for customers at these locations. I wouldnt say it wont bring any traffic to the mall. Plus all the employees working, where are they going to go for lunch, where will they hang out, in the mall. I think it will draw traffic. Its much better to have any space leased than sitting there derelict. Stuart here is my candidate for bricks and mortar lockdown winner. Tractor supply. They have gone up what, the stock has gone up 100 . They are a Terrific Company doing extremely well. They are doing well. Great management team. But beyond that, they are really well positioned here. They operate smallish stores, you get in and out, generally rural locations, very exurban locations. What do they sell . Products for the home which is booming across the board and for outside. They sell things for gardening. I know you want to raise your own tomatoes. They sell products for your pets. They sell feed for chickens. People are raising their own chickens. You are raising your own chickens. So they are booming. They have products people want right now. Stuart nice try. Nice try, storch. I do not have chickens on my balcony in my apartment. But i do have a huge Tractor Supply bill because of my tree farm upstate. I buy a lot of stuff from str t Tractor Supply. Great store. We are out of time. I think we are. Have we got any more time . I think we are out of time. Gerald storch, thank you very much indeed. My pleasure. Stuart nordstrom, look at them, please. They are hiring social Media Influencers. What does that mean . What exactly do these social Media Influencers do at a department store, lauren . Lauren well, they go in, they look glamorous, they shop in the stores, then they boast about how clean and safe they are on social media. Let me show you an example. This is from the instagram influencer wendys lookbook. Thats exactly how i look when i go shopping, just like that. Anyway, thats exactly the point. They want it to be glamorous. Nordstrom and their Marketing Team are working to create these wish you were here, lets go out and shop type moments. Take off the sweatpants, get dressed up and go to a store. Stuart theyve got to do something. Department stores are in real trouble. They have to get with the times and a social influencer would seem to me to be a pretty good idea. Thats all im going to say. Lauren i was looking through a couple of these posts and they all talk about how cool the stores are, the difference being they are bringing in experiences in a way to make you actually go instead of ordering online. Stuart okay. Thanks, lauren. Im looking lefthand side of the screen, looks like premarket, we may open the dow industrials at 28,000. We will take you to the opening bell after this. This is decision tech. Find a stock based on your interests or whats trending. Get realtime insights in your customized view of the market. Its smarter Trading Technology for smarter trading decisions. Fidelity. It was 1961 when nellie young lost her devoted husband. Without him, things were tough. Her last option was to sell her home, but. Her home meant everything to her. 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Trumps executive orders are helping to save the economy. Jeff sica back with us, circle squared alternative investments. Do the executive orders do enough for Small Businesses . Tell me, jeff. Well, this was a bold and Decisive Action. Obviously President Trump showcased the incompetency of congress by doing this. Yes, it does, in fact, help Small Businesses. Keep in mind, stuart, Small Businesses were thrown this lifeline and the ppp loan program. Now they are coming off life support, thats over, and he needs to throw them another lifeline, and that other lifeline is, in fact, beginning with the payroll tax cut. So i think this was a great thing. Small businesses as the lifeblood of our economy, they needed it and he delivered. Stuart i think it was a political move. A very good political move 80 odd days before an election but you are saying it was a good economic move as well. When does the money actually start to flow, though . Its going to be awhile. I think what Small Businesses needed, they needed confidence. They needed to know they had an administration behind them. Thats what President Trump is showing is that its not the endall. There needs to be more. This is going to take awhile for it to show itself in the economy but it is a start. It is showing that were going in the right direction. Its something that the American People should embrace and we should start to see other things come out of this to support Small Businesses. Stuart yeah. Look, i think that this talk about another deal, maybe more negotiations for another deal. Jeff, 20 seconds, i think thats helping the market rally this morning. It is. It is helping. I think bold and Decisive Action will help the market. Now, theres going to be theres going to need to be some followthrough. We have a lot of people unemployed. They need to get back to work and for Small Businesses to start hiring again, they need to have confidence that the rug is not going to be pulled out from under them. So confidence will initiate hiring and hiring will compound on itself and will begin to see exactly what we need to see coming out of this horrendous situation. Stuart got it. Jeff sica, thanks very much indeed. We are about to start trading on wall street. This could well be a recordbreaking day. We are expecting to see the dow open with a big gain, probably moving toward the 28,000 level. We are only a fraction away from a record high on the s p as well. All right. We are off, were running. In the very early going, we are up exactly 1 on the dow. Thats 275 points. The dow has just hit 28,000. First time we have been there since february 25th. We are back at 28,000. The s p 500 also on the upside. Real close to a record high, not quite there. But up 16 points, 3,376. Check the nasdaq. We are talking here about rotation. Money is coming out of the big techs and Technology Companies generally. Thats reflected on the nasdaq which is down 28 points in an otherwise upside market. Couple of dow transport components on your screen. That would be ups and fed ex. Lauren, they have been on a tear recently. Lauren yeah. And helping the dow transports gain nine days straight. They closed at their highest level yesterday since before the pandemic. So since february 21st. Ups closed at a record yesterday, 159. 59. Look, its above that now. Fed ex had its highest close since december of 2018. Why. Well, we are ordering more and both of these companies are shipping to consumers and raising prices. Very very bullish for the overall economy because you know this, stuart, the transports take what the industrials make. So if both are up, very bullish signal. Stuart theyve got pricing ability. They can raise prices and get away with it, so to speak. The stocks are up. Now then, next case. The airlines. Look at them go. Ashley, i cant believe that they are up because of putins vaccine but im told thats the reason. Go ahead. Ashley well, yes, but theres more to it, stu. Also, theres a lot of encouragement about the number of people who are flying. We talked about this yesterday, that measurement of checkpoints put in place by the tsa. They report every week. Last sundays number came in at 831,789 people flying. Yes, it is way down from a year ago. In fact, its down 70 . But we should point out that is the highest number since march 17th. So no doubt we are heading in the right direction. Yes, the vaccine is good for everyone, including the airlines. Perhaps we can get back to normal. But also, there is support growing for another federal Payroll Program for the airlines, another 25 billion. That runs out at the end of september and the airline executives, all of them said look, we could lose over more than 70,000 employees if we dont get more help because the costs are mounting up. There is growing support including from the president to get the airlines that help that would take them through march of next year. While the industry as a whole tries to recover. Stuart airlines up this morning bigtime. Next case. Lets deal with eastman kodak. They have had problems recently. I see they bounced to 11 a share this morning. What is the white house saying about their investigation of kodak, lauren . Lauren yesterday the press secretary Kayleigh Mcenany said the government will not proceed with that loan for kodak to make drug ingredients under the defense production act unless these allegations of Insider Trading are cleared. So yesterday, we saw shares lost more than a quarter of their value. They are currently trading up at around 11 but yeah, they hit 60 on word of that 765 million loan. Now the s. E. C. Is investigating how kodak controlled the disclosure of that loan, leaking information to the press, as well as Stock Options that were granted to their big executives, all a day before the deal was formally announced. Stuart got to hear that. Thank you. Two names on your screen. Mgm and Barry Dillers iac. Susan, why and i think this is the story, why is barry diller putting a billion dollars into a Gaming Company which runs the strip in vegas . Susan online betting. Sports betting. Barry diller also confident of a vegas bounceback as well. Hes buying a billion dollars in mgm so that works out to a 12 stake and dillers company iac has been rearranging its portfolio. They spun off tinder owner match for 1. 5 billion so hes cashed up and probably sees an opportunity when it comes to Sports Betting and online gaming, while mgm and vegas have struggled this year. Fanduel, draftkings are thriving since we have sports restarting. Casino Companies Wont be up today and thats owing to china finally issuing tourist visas to macao again. Thats the worlds biggest gaming enclave, almost five times the take you get in macao that you do in vegas each and every year. Stuart nobody realizes that. Macao has totally overtaken vegas in terms of the amount of money put on the table. Big deal. Susan, thank you. Look at the big board. 28,093 or 96. Doesnt matter. They are up 300 points. First time above 28,000 since february 25th. The tenyear treasury this morning yields. 63 . Sharply higher from yesterday. Whats that tell you . Not quite sure. The price of gold this morning, is it down . Yes, it is. Bigtime down. Stocks way up, gold down nearly 80 bucks an ounce. Moving below 2,000 per ounce. Bitcoin, thats down as well. 60. Price of oil, where is it . 42 a barrel today. Okay. We are talking about something called rotation. That is money coming out of the highly successful big techs, you can see it now, microsoft, apple, google, amazon, facebook, all of them on the downside while the rest of the market goes up. Thats rotation of where the money is flowing. All right. We are up 323 points. Susan, what do you know, what do you have on this rotation . Am i right . Thats whats happening . Susan not just out of tech. Have you looked at gold . We are down 3. 5 for gold prices. The safety play is no longer needed if indeed there is a vaccine. Hopefully maybe not from russia, but if you heard from pfizer and biontech, they might have one possibly available by the end of this year. Then you look at the treasury market. You just pointed to the enthtenr yield. It shows theres confidence maybe we could see the end of this coronavirus pandemic if there is a vaccine on the table. When the yields go up, that means investors feel that theres more safety to go and play in more risky assets. Does that make sense . They can buy up stocks instead. Stuart it makes sense. Thats where the better gain may be in the future. 63 on the tenyear treasury, up five basis points. Thats a lot on the bond market. This is called a tease. We tell you whats coming up on the show. Well, we are told joe bidens choice for his running mate is imminent. Could come today, maybe tomorrow. Either way, he will have some major problems ahead. I will explain all of that in my 11 00 take. My take, that is. The nfl reportedly not going to hold Live National anthem performances this year. They say its because of the striers. Does that really keep players safe or is it just politics . Brian kilmeade has something to say about that a bit later in the show. All right. Check apple. Market watcher dan ives raising his target price to, what, 515 a share. Thats the highest price i have heard. He will explain why hes saying it. Right now apple is down three bucks. Is more important sthan ever. Rp wheres my tablet . You have to remember the names of your grandkids, pets, your soninlaw. Favorite soninlaw. And the eternal question, where did you put your glasses . Sure, you can spend the day looking for things that you misplaced. Or you can take natrol cognium. Cognium improves memory and recall in healthy adults. Its safe and is shown to be effective in multiple human Clinical Trials. Six letter word for head . Noggin. Stay sharp. Stay you. With natrol cognium. And my password . Stuart got to talk about apple. Lets go at it with apple guy himself, dan ives, from Wedbush Securities. All right, dan, youve raised your target price to 515 a share but right now, i see rotation out of apple. The stock is down this morning. Is that a temporary move . Oh, yeah. We see this as temporary. I think the path continues to be much higher on apple because right now, they are going into a super cycle and i mean, i think you look at the services business, i think its worth 750 billion. I believe three to six months from now, this is a stock not just north of 2 trillion but i think we start to get to what i view in bold case as 600. Stuart whoa you just raised the ante there, dan. Lets suppose that biden wins the election. Lets suppose the economy does not do well. You still looking for 515, 600 bucks on apple after all of that . Because it all comes down to numbers. 350 million of 950 million iphones right now are the window of an upgrade opportunity. I think thats why the stock continues to go higher despite the haters scratching their heads. If you look, this is in my opinion probably the biggest upgrade cycle in the last decade. I think as long as that continues happening in services, with even china thats continuing to show an uptick, you put all that together, this is a rerating stock north of 500, continues to be long on microsoft, their top large cap name. Stuart how about this. A judge in california has ruled that uber and lyft must pay their drivers as employees, not contractors. I read that as real bad news for these ride sharing companies. How about you . Yeah, that continues to be really the Business Model threat in terms of eb5. Obviously that will be challenged in the court system. This continues to be a major black cloud over the likes of uber and lyft. If this ultimately gets enacted, i believe right now its a contained risk. It continues to be fought in the court system and even on the ballot, but ultimately, this really for the likes of the ride sharing, continues to be the major risk out there, although right now, i think barks worse than the bite in terms of how it will ultimately end up which is why were still positive on uber. Stuart i just think its terrible to see a state like california clamping down on this brand new industry which was invented in california. Hate to see that. Look, you cover tesla. I want to talk to you about a rival, nikola. They got that big order for electric garbage trucks. Are they in any way competition for tesla . There is super excitement right now and you are seeing a lot of these story stocks in the ev market because right now, its only 3 penetrated in terms of the consumer side. Then you look at commercial in terms of everything theyre doing. Thats just scratching the surface. Its supply and demand. That was obviously a huge move for them in terms of signing the garbage trucks up. I think right now the ev market continues to be teslas world. Everyone else is paying rent. But obviously, competition coming and this is going to be a big enough ocean for more than one boat. Stuart do you think we are going to go all electric within, say, ten years . I think ten years, we get to about 10 of the vehicles are ev. I think if we but if we get that, then tesla, youre looking at a market cap that doubles from here. Stuart 10 of the market for vehicles will be electric in ten years. It doesnt seem to me like a very large proportion given that you are looking a decade out there. Its only 3 today. If you really think about it, you know, that right now, those sort of trigger marks, the ev market, you are talking about it basically tripling. Thats why story stocks in terms of tesla and others, even gm in terms of what theyre doing, lot of excitement on the street. Stuart just remember, everybody, dan ives, the man himself on apple, on this program, said today apple could hit 600 a share next year. You did say that, didnt you, dan . I did. Just like we have talked about hitting 400 and 500, it continues to be the skeptics will be there. The stock continues to go higher. Stuart ive got a lot of people cheering you on, dan ives. Thanks very much for coming back to us. See you again real soon. Coming up in the next hour, the man hillsemself, trevor mil founder and executive chair of nikola. Nancy pelosi says the president is not providing people the help they need. Instead, she says the president s just offering illusions. Watch this. What were seeing is illusion. The fed and the president s illusions, they are bolstering the stock market and we are saying lets bolster americas working families. Stuart all right. Sounds like shes not very happy about the president s executive orders. Weve got more on that coming up. Listen to this. Congresswoman alexandria ocasiocortez demanding that billionaires pay more taxes in new york. Oh, thats the way to bring them back. Governor cuomo says the state needs to be nicer to them. Theres a fair debate. We will have it coming up. Check that market. Check your 401 k . Look at it go. More varney after this. We made usaa insurance for veterans like liz and mike. An army family who is always at the ready. So when they got a little surprise. Two . They didnt panic. They got a bigger car for their soontobebigger family. 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Our own Charlie Gasparino reports now that microsoft is the only possible deal being pursued by tiktok. Important news. Microsoft still down just two bucks now. It was down more than that earlier. Look at casper microsoft again down two bucks. Got it. Look at casper. Im told they are kind of a millenial online Mattress Company. They reported their earnings earlier. Okay. Revenue skyrocketed 16 and they are losing less cash from the pandemic but look at the stock. Its down 9 . Gregg smith is with us and he is an early investor in casper. Bearing in mind that the stock is down nearly 10 right now, tell me why you are hot on a Mattress Company. Good morning, stuart. Well, look, sleep is the foundation of health and we have been sleeping the same way for centuries and the technology is not really evolved. With that being said, i actually was very underwhelmed by caspers numbers this mornings and i was disappointed. We just finished or are in the middle of the greatest Online Shopping party the world has ever seen. We have had a massive Home Improvement spend by consumers at home. We are now, you could argue, in the car buying bubble and i think the sweatpant stage is next as people grapple with their changing waistlines. If you look at all the money spent online, casper reported this morning a modest 5 increase in online sales, which to me is completely underwhelming, almost like the party happened everywhere else and they didnt get invited to the dance. Stuart im told they are going into weve got the ceo later on the show, but im told they are now going into some bricks and mortar operations. Why . Well, i think thats right. I think they currently have 57 stores open, i think they are looking at a multichannel strategy realizing that the consumer wants a different way of shopping for a mattress as opposed to just buying it online. But again, this is a directtoconsumer company at the end of the day. I am an investor in several other private Mattress Companies and i have seen other private Mattress Companies growing at much, much faster rates than casper. I think they are grappling with an overhead and expense base that is much larger than they should have, and again, im disappointed with the lack of growth that they reported for their online sales. Especially in an environment where we have seen other directtoConsumer Companies that are growing much faster and you are seeing add rates, particularly like facebook add rates falling. Stuart are you still a shareholder of casper . I am still a shareholder of casper. Im very cautious on the outlook given that the disappointing growth and the online numbers they reported this morning. Stuart give me a brief report on wayfair. Tell me if you own it and tell me what you think of its prospects in the future. Look, i dont own wayfair but look, all you have to do is look around. We know whats happening online. People are sitting at home, they are buying, they are upgrading their homes. Again, i talked about this massive Home Improvement as evidenced by wayfairs stock. You could look at Companies Like carvana in terms of whats happening in the car buying, what i might call a bubble, and you know, why did casper not participate in that . People are shopping online, we are all sitting at home spending more and more money, whether its on Home Improvement or pets, and even going online and buying cars. So that space is highly competitive but you know, casper needs to get to a point where they can prove that this model can be profitable and they can show much larger increases in online sales, i believe. Stuart got you. Gregg smith, thanks for being with us again today. We always appreciate it. Thanks, stu. Stuart just take a look at chicago, looting and violence have damaged the city and its damaged its reputation. How can the economy overall bounce back with some of our largest cities in such disarray . We will try to answer that question. We are just Getting Started this morning. Look at these big names ahead. Nikola motors founder Trevor Milton on the demand for electric cars and trucks. Waffle house ceo walt emmer. How is a casual restaurant a pandemic winner . Caspers ceo. What does he make of his latest Earnings Report . Disappointing, according to some. And tiki barber is with us on the College Football. Will they or wont they play this fall and what does he think about it . Well be right back. About medicare and 65, ysupplemental insurance. Medicare is great, but it doesnt cover everything. A. To help pay for some of what medicare doesnt. Learn how an aarp Medicare Supplement insurance plan, insured by United Healthcare Insurance Company might be the right choice for you. 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One if youre turning 65, you may be eligible for medicare but it only covers about 80 of your Medicare Part b costs. A Medicare Supplement plan may help pay for some of the rest. Two this type of plan allows you to keep your doctor as long as he or she accepts medicare patients. And three these are the only Medicare Supplement plans endorsed by aarp. Learn more about why you should choose an aarp Medicare Supplement plan. Call today for a free guide. Apps except work. Rywhere. Why is that . Is it because people love filling out forms . Maybe they like checking with their supervisor to see how much Vacation Time they have. Or sending corporate their expense reports. Ill let you in on a little secret. They dont. By empowering employees to manage their own tasks, paycom frees you to focus on the business of business. To learn more, visit paycom. Com stuart open up your 401 k and smile. Who would have thought just four short months ago that your investments would have turned out quite like this. Stocks at or near alltime record highs. 18,000 on the dow. That was late march. And now 28,000 in early august. Whats going on here . Let me give you the straightforward answer as opposed to wall streets convoluted jargonlaced answer. First of all, trillions of dollars are being thrown into the economy and there is more to come. Lets not get so technical about this but some of that money does end up on wall street. Thats how it works. Got it . Second, all those trillions have had a stimulate stimulating effect on the economy. That is good for stocks. We shut the economy down in the spring and the market is rebounding with the economy. Three, vaccines, Drug Companies confidentially believe a vaccine manufactured by the fall. That is prediction. There is 19 companies on the administration warp speed list, 160 worldwide. Theyre all working on a vaccine. By the way the here at home number of new virus cases is down 18 over the last two weeks. That is good news for the market. Which brings us to rally reason number four. Were looking to the other side of the pandemic. There may be worries over a second wave, it is very doubtful well return to normal anytime soon but, all over the world economies expanding again. That produced a worldwide rally. That is just not on wall street. I will not dismiss election risk. Im not forecasting a never ending upward ride but what we have something is really extraordinary. Record high stock prices in the middle of a pandemic three months before a election. Enjoy it. After all weve been through this year, more money in your 401 k is a wonderful thing. But not according to speaker pelosi. Watch this. What were seeing is illusion. It is important to enlarge the issue to understand that what the president does is say im doing things to help people which he isnt. But the fed and the president illusions they are bolstering the stock market and were saying, lets bolster americas working families. Stuart illusions or not it is helping the, the president s actions are helping the market. Scott, look at that man, well, he is shaking his head and he is exhaling rapidly. Steady on that, scott. What have you got to say . Well, i shes delusional if she is talking about his illusions numbers going pandemic were some of the greatest weve ever seen. You nailed it, stuart there are two sides of the camp guys like me how can we expect to get the market back to where it was when were only firing on 25 to 50 of our cylinders. We cant open up everything. Everything is slowed down. How do you expect the market to get back up there . You said it exactly right, the word is trillions. Depending how you want to measure it, 3 and 5 trillion into the economy, at least thrown it at the economy. The fed is willing to do whatever it takes. So for five months that is almost roughly a trillion dollars a month weve been throwing at this problem. So yes, you can get back up to prepandemic highs with an economy firing on only 25 to 50 of its cylinders, when you throw that type of capital and that type much commitment from the government. Stuart got it. I want to ask you about chicago. I think that is where you are at the moment. I dont know whether you left out or move the out. Looters trashed the mig any of sent mile. 13 Police Officers injured. 100 people arrested. I think this is a real problem for all american cities. Why should anyone go to a city like that . It is killing our cities, isnt it . Number one density and everybodys worries about the coronavirus. Thats an issue, it will be an issue pause of the bruised and battered american psyche overseeing numbers thrown at them every day on their television screens. Now weve got, vendors, restaurateurs who are really worried about what their business will look like Going Forward when they dont have the one basic thing we all need. You cant have social injustice reform, you cant have any type of Police Reform until you have law and order. Law and order makes the world go round, right . If you dont have that, you cant get anything started. All the businesses lost confidence in their leaders. Lori lightfoot, the mayor of chicago has lost confidence. Chicago is out of control. Im telling you the truth here. I was driving to the station here to come on this show there was a mariano, upscale Grocery Store, boarding up windows that had not been broken but just boarding up windows just in case and the building is right next to a Chicago Police department. That is how much confidence marianos has in the police could do to protect them against these unruly mobs. We have the mobs. This is not organized chaos. These two words im about to say should not go together but they do now. This is organized anarchy, they get the call and out they come. Stuart organized anarchy, is wellused indeed, scott. Be safe in chicago. Were showing you boeing which is a dow stock by the way. Its a significant winner this morning. It is helping the overall market. Lauren, give me the story on boeing today. Lauren it is the third biggest contributor to the dow today. It was the number one contributor yesterday. Were talking two days, an 8 gain for boeing shares. I dont want to overstate the gains. We know boeing has been rocked since the 737 max scandal. That is still affecting them f you look at their market cap. It is 100 billion. It was more than double that before the second deadly crash of that jet. As more people, 830,000 flew just on sunday this is giving investors reason to be temporarily cheerful, that passengers are coming back to the skies. Companies that make and sell jets can benefit. Stuart overall boeing is surely helping the dow. Thanks very much indeed, lauren. By the way the little bug in the right happened corner of the screen, im sorry to say that thing is frozen. Ignore it. The dow is up about 300 points. Not 338. Okay. The arrest of media mogul jimmy li in hong kong, that interestingly sent the stock price of his Media Company in hong kong absolutely soaring. What does that tell you, susan . Susan through the roof. Protesting, free market protests, 1100 rally in jimmy lis next digital. That is really, really impressive. That took place in only two sessions since his arrest. Now we know that jimmy lis newspaper, which is a prodemocracy newspaper called the apple daily, crowds have been grabbing, buying copies, trying to get ahold the apple daily, signaling support for jimmy li. The apple daily usually sells about 70,000. Circulation up to 550,000 according to reports. That is almost a tenfold increase. Lai is the most highprofile arrest. He is accused of colluding with foreign forces. Jimmy lai has been met with Vice President mike pence, pushing d. C. To pass the human rights act. People are concerned this might be the end of press freedom and dehock sy in hong kong. Stuart that is terrific support for jimmy lai. Susan in free market city like hong kong. Stuart amazing. All good stuff. Susan, thank you very much indeed. I want to bring in bill mcgurn bill, i am reading my notes, are you jimmy lais godfather, is that accurate . Thats true. Were very close. Our families. I lived in hong kong for 10 years. Jimmys wife is god mother to my daughter and my wife is godmother to one of his daughters. Is he kind of lining a brother to me. Stuart i heard him described as the most Important Media mogul in hong kong. Is that accurate . Yes, he is one of the most important figures. Look, beijing cant stand him because he reports the truth about the communist party and what theyre doing in hong kong. Not just jimmy. Though hate his publication, apple daily and next. Theyre the publications that people look to for the truth. Stuart im very happy to see people piling into the stock of his parent company. Very happy to see people buying his newspaper en masse. Right. Stuart really his arrest, the arrest of his sons and other prodemocracy people, it really spells the end of any kind of free speech in hong kong, any kind of Political Freedom in hong kong. Its over. That means a lot to you and i and susan. We have experience in the place. Right. No, that is exactly what this is intended to do. Its best to understand jimmy. Jimmy is hong kong. He came to the colony when it was british as a teenager, inn the bottom of a boat. Hadnt finished high school. Started up a clothing company. He started up a Media Company. He is a rags to riches story common in hong kong. Lots of people just like him because of the freedoms. Now he is sort of the symbol because his publications are among the very few willing to speak the truth. That is why they want to destroy him. He is very strong. The other thing, he has a lot of resilience. You mentioned the hong kong people driving the share price up. That happened after some democracy groups called for people to show their support. So a lot of people see in jimmy themselves, if a billionaire cant protect himself, whats going to happen to the rest of us. Stuart i want to change subjects for a moment. Youre latest piece in the wall street journal is all about the lefts push to make billionaires in new york city, pay more, i guess is the expression here. Isnt that going to drive them out of the city . Yes. Well thats what Governor Cuomo was trying to say the other day. There is a certain point where they say enough is enough. And they leave and new york already has a very brittle kind of tax structure where where the state depends on a few taxpayers at the top to pay most of the, most of the tax. That again it was Governor Cuomos point. If you drive even a handful of them away you take a big hit in revenue. If you have any doubts whether cuomo was right you should just look at both aoc and mayor de blasio have blasted him. They take the exact opposite view. We dont care about incentives. Were just going to jack up the rates. That will tell you cuomo is on the right path when those are his opponents. Stuart i dont see how you bring back america peace big cities if youre taxing people more, violence in the streets, looting of the stores. I think that is a huge negative. Bill mcgurn. Sorry im out of time. Thanks for joining us again, see you soon. Thank you very much. Change the subject again. The big 10 may be canceling the 2020 College Football season. Other Major Conferences may follow suit. That could cost the colleges a ton of money. Were talking billions. Will they play . Should they play . I will ask tiki barber. He is on the show next hour. The nfl will not allow Live Performances of the National Anthem before games this year. They say because of the virus. It is a veiled political move . Brian kilmeade will answer the question later this hour. Hunter biden finances raising eyebrows all over again. According to one report he paid off half Million Dollars worth of taxes in just six days. We have the journalist who broke the story coming up. I had saved up some money and then found the home of my dreams. But my home of my dreams needed some work sofi was the first lender that even offered a personal loan. I didnt even know that was an option. The personal loan let us renovate our Single Family house into a multiunit home. And i get to live in this Beautiful House with this beautiful kitchen and its all thanks to sofi. Theyve really stood the test of time. Much like these majestic rocky mountains. Which must be named after the. That would be rocky the flying squirrel, mr. Gecko sir. Obviously ahh come on bullwinkle, theyre named after. Our first president george rockington that doesnt even make any sense. Mr. Uhh. Winkle. Geico. Over 75 years of savings and service. Yeah. This moving thing never gets any easier. Well, xfinity makes moving super easy. I can transfer my internet and tv service in about a minute. Wow, that is easy. Almost as easy as having those guys help you move. We are those guys. Thats you . The truck adds 10 pounds. In the arms. Okay. Transfer your Service Online in a few easy steps. Now thats simple, easy, awesome. Transfer your service in minutes, making moving with xfinity a breeze. Visit xfinity. Com moving today. Stuart were off the highs of the day but if you look at the left hand sky of the screen, most of the dow 30 is on the upside. I will tell you apple, microsoft, they are both dow stocks, and they are the biggest percentage losers, costing the dow about 60 points. F it wasnt for apple and microsoft we would be up well over 300 points. Mcdonalds suing a former Ceo Steve Easterbrook over his multat this Million Dollar exit package. Ed rensi is with us, former mcdonalds usa ceo. It now emerges that mr. Easterbrook did not tell the truth to his board of directors, that in fact ephad more than one relationship with employees and didnt tell the board and thats why theyre coming after him to get their money back. Whose side are you on on this one . Well im not on either side. Im on the side of the shareholders and the employees and customers of mcdonalds. Any ceo knows full well what his responsibilities are or her responsibilities and to engage with subordinates in a power move is just not acceptable and most boards in their compensation committees have instituted clawback provisions so if there is any kind of fraud or damage done to the brand by the ceo or any other executive that they have the right to go back and claw back any benefits they may have reaped during that period. Steve easterbrook got a kiss when he left because they didnt pursue him as hard as i think they should have. Now people are coming forward and the boards doing the right thing. I know the chairman of the board. He came on the mcdonalds board when i was still there. He is a great guy. He is smart, very capable. And i think he is doing the right thing by having the board investigate this thoroughly, getting down to the basic points. Finally this lawsuit i think is appropriate. It sends agreat message to every executive of the United States, behave yourself, do the moral thing. Dont take advantage of your employees. Stuart we hear you, ed. Lets talk about President Trump who signed at the executive orders aimed at providing more Economic Relief during the pandemic. We got that. He signed them. Seems that was a strong and good political move jumping out in front of congress there but was it a good move economically . Will it provide small business, in particular restaurants the money they need . Its a dicey situation. I was a restaurateur here in sarasota yesterday whose food costs generally run to 28 . His food cost is up to 40 now. His business is down. He needs all the relief he can get. A couple things coming to the forefront we better be wary of, sue and settle lawyers on the Covid Business saying employers did not take care of their employees the way they should have. They to the sick at work. These lawsuits will start piling up. These Small Businesses cant handle legal fees let alone any future settlement. It will be a very bad situation. Getting money into the hands of the employees of 400 bucks is a small amount of money to some but a lot to other people. I think it is necessary. I think trump is one hell of a chess player and he has them checkmated in congress. If theyre not smart enough to bring forward a bill thats realistic, then he ought to do what he did. Im all in favor of taking executive action. It will stand up ultimately. Stuart but what you really want, ed, and me too, is Liability Protection for Small Businesses and businesses generally . You bet. Specifically tuned into this covid virus business because it was out of the control of everybody, government, doctors, and us citizens. They need protection. Because they cant afford whats going on now. I talked to a lady yesterday that owns 30 hair salons in california. Theyre all shut down. Newsom said you cant cut hair and do hair salon work in your facility but do it outside. If you want to set up next to a dumpster its okay, but you cant do it inside where there is sanitation, they clean their tools. Theyre licensed. She is stuck with 35 businesses, several 100 employees all out of work. No place to go. Nothing to do. Yet there are things on the street every day where people are gathering together. If i wanted to go any place safe it would be in a hair salon regulated from a sanitation standpoint. Stuart give us Liability Protection, please. Ed rensi, always a pleasure. See you real soon. You bet. Stuart look at that market go, ladies and gentlemen. That is called a rally. Look at the dow, it is at the 28,000 level since first time, what was it, february the 25th. Its a rally. Look at apple. That stock this morning is down five bucks. Its getting a big price target raise by Wedbush Securities dan ives. On the show earlier he says it is going to, 600 a share. Watch this. I think the path continues to be much higher on apple. Right now theyre going into a super cycle. You will look at the services business, i think it is worth 700, 750 billion. I believe three to six months from now, this is a stock thats, not just north of two trillion but i think we start to get to our, what i believe be bold case of 600. Stuart 600 bucks. He said it. Look at canada goose. They reported a big revenue loss. The people make very popular down coats. All right, lauren, how big was the revenue loss . Lauren sales were down 63 to 19. 6 million u. S. Dollars. This of course is a canadian company. As you noted the maker of expensive downfilled jackets. Look they were hit by store closures. Also manufacturing, shut down for them in the quarter. The stock is down 5. 25 . There is a big bright spot here. That is china. They say the recovery there has been faster than any other market and theyre opening four new stores in china this year. In fact one just opened and it has been pretty successful thus far. Stuart it is interesting they come back like this. One more thing before you go, lauren. Paragone sports banning fur. Tell me more. Lauren this is an iconic new york store where you get anything athletic. They will not sell fur after the winter season. It is the latest retailer to ditch their fur lines. California as a state they started banning fur clothing last year. New york considering a ban, when you look at bans like that, not good news for canada goose. They use fur, especially in the hoods of their jackets. Stuart i didnt realize there was a tiein there. Thank you, lauren. Moving on. Trading app robin hood and it is big with millenials. It is blowing past the rivals with a lot more monthly trades. Ash, i hate to say it are younger investors jumping on robin hood panned therefore taking a lot of risk. Ashley you could infer that. Rob beginhood for the first time announcing number, 4. 3 million daily average trades. That are darts. That is more than etrade and Charles Schwab combined. Quite remarkable numbers. Customer trades is of course a key metric. Robinhood is taking key data on it oaf its sites. They will not no longer clients holding a particular stock. They said that was often misunderstood. Number two, Td Ameritrade at 3. 84. 1. 8 million for interactive brokers. The worry, more people sitting at home getting into day trading. Stuart otherwise sometimes known as gambling. Ashley yes. Stuart i had to say it. Thanks, ash. Look at waffle house. They closed a lost their stores. Will they ever come back . If so, how many of them . I will ask the ceo that question. Have we changed our eating habits for good, maybe . Tesla rival, nikola signed a deal for garbage trucks. Is that the end of noisy trucks running down your street . We have the nikola president next. This is decision tech. 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Retire better stuart look at this. The dow industrials up over 300 points. I bottom to remind you earlier this morning that says russia under putin has a virus vaccine that it has been used on putins daughter. Im somewhat skeptical. But it did give the market a boost holding on to a 300 point gain. Were seeing rotation out of big tech stocks on the nasdaq which is down 60 points and into a lot of other stocks, especially travel stocks this morning. How about gold, ouch, way, way down. Look at that, down 82 bucks, the biggest loss in one day in five months. Gold down. Treasury yields up. 64 . That is about a onemonth high. Stocks up. Treasury yields up. Gold way down. The electric carmaker, chinese electric carmaker, nio down 3. 8 but didnt they see a huge surge in deliveries. Susan forecasting more than 11,000 delivery this is quarter. They say production is improving after covid. Lost less money than anticipated. Sales doubled. It all sounds great. This Company Almost collapsed last year. They received a billion dollar cash injection last quarter from the Chinese State investors including from the city where their headquarters are based in. This is a favorite of the robinhood day trading brigade. Tripling along with other electric car companies. Im sure youre talking to one after this. Stuart i sure am, susan. Thanks for doing my introduction. Tesla rival, nikola, they received order for 2500 electric garbage trucks. That is a big order. Look who is here. He is back. Nikola founder, Trevor Milton. Trevor, i know you will have me out to the factory so i can test drive the f150 lookalike but lets get to other things. When will you fulfill the order of 2500 garbage trucks. Way down, the road, isnt it . That is huge order. Largest electrified order in history. It is 1. 2 billion order. Well deliver those with republic in testing in 2022. Full production in 2023. Real steady growth next few years. We want to build a long, steady backlog of growth. Stuart the garbage truck is absolutely vehicle for you to move into with electrics. I heard the noise from a regular garbage truck. I have seen the smoke coming out of the top. This couldnt have been a better order for you guys, couldnt it . No. It is actually perfect. The refuse, or Waste Industry like you said it is perfect for this. It is a lot of stop and go. It is polluting. Nikola order is awesome. Congrats to republic. Theyre very methodical about everything they do. This took a year to get the contract done with republic. Weve been working on this a long time. It is not a whim. This will remove emissions completely. You will have a truck silent. Wont hear squeaky brakes. It uses electric motors to slow it down. One of the things were doing with republic we doesnt talk about yesterday but i will tell your viewers. We actually have, because we control all the software and infotainment. All the customers sign up to give them an alert. Your garbage truck is two minutes out or five minutes out. You can set up the alerts. That way people, if then forget to get their cans out, they dont need to worry about listening for a noisy garbage truck anymore. They will have alert on the smartphone, take your cans out. Well be here in two minutes or five minutes. It is the coolest thing you have ever seen. I love it. Stuart that was a good commercial, trevor, next time youre on im sure you will repeat it again. Trevor milton, nikola motors. You have quite a company there. Sure thing. Stuart homebuilders, most of them are down. The homebuilders, building index i think it is called, it reached its first record in 15 years. Tell me more about this, lauren. Lauren yeah, this is the smm 500, the Home Building index. It is 25 this year. It closed yesterday at the first record high since 2005 when the Housing Market was right near its peak. These are the factors contributing to this boom were seeing now. Interest rates under 3 . Low inventor. Big demand. People are working from home. And theyre looking to get out of the cities. Theyre considering their homes. Their sanctuaries, they want space. Homebuilder stocks are down today. I want to point out lenore, d. R. Horton are up this year. Stuart this year. This calendar year. Interesting. Ive seen bidding wars on Single Family homes outside of the cities. Thats a big deal in real estate these days. Lauren yeah. Stuart next one is, go ahead. Lauren in some cases sight unseen. Desperation. Looking to get out. Stuart extraordinary stuff. Tractor supply on your screens right now. A clear lock down winner. They have got, the stock has doubled i think in this calendar year. Tell me more, ash. Ashley it has. Back in march this stock was at 63. 89. It has indeed doubled as you can see. It is down a little bit today, down 1 1 2 . But Second Quarter sales came in at 3. 1 billion, beating estimates. Those dreaded estimates. Samestore sales were up 30. 5 yearoveryear. Look at this, since the the 8th 18th of march up almost 100 . Raised Cash Dividend for the quarter. Oh by the way, announced the addition of 75 to 80 brickandmortar locations. I said it. Physical stores. Can you believe it . Why are they being so good . A lot of analysts say they were very good to improve their ecommerce platform early. They beefed up the mobile shopping system. Also expanded their delivery options. You know the store very well, stu. Stuart i do. Ashley well cater to the customers. Stuart they do. They were open, more to the point. Whether they closed down for a short. Or not, i cant remember, i always remember them being open and out in the suburbs things people actually use. Great company. Weve been save being money during the pandemic. All households saved nearly a trillion dollars combined since march. Where is the money going to go . That is a good question. Well try to answer it. Hunter biden finances making news again. He settled a half Million Dollar tax lien in six days. He claimed he was too broke to pay Child Support. We have the journalist on the show who got the story. He is next. Hey, can i. Safe drivers save 40 guys guys safe drivers save 40 safe drivers save 40 safe drivers save 40 thats safe drivers save 40 . It is, thats safe drivers save 40 . Hes right there. Its him safe drivers do save 40 . Click or call for a quote today. Stuart look at this. The story is rotation. The dow straight up, nice gain for the s p, but the nasdaq is down 45, 50 points. Money coming out of tech, into other sectors of the market. Look at american airlines. All the airlines are up but american says if you booked a flight but you dont want to fly, you have until december 31st to rebook at no extra charge. American is up 3. 7 , but the level 14 a share. Then we have hunter biden who claimed he was broke but according to information obtained by the Washington Free beacon he was able to pay off a 450,000dollar tax lien and he did it very quickly. Alanna goodman is with us. She broke the story. It doesnt look good for hunter biden, i got. That take me through the story from the very beginning. Go. Youre right. That is the big question, how did he manage to pay off the 456,000dollar tax lien in six days . Most people dont have a laugh a Million Dollars lying around. Certainly hunter biden would be one of them. He has his problems with finances played out very publicly. Last november he said during his Child Support case that he was unemployed, had been unemployed since the prior may. That he had some substantial debts, and so the big question is, how did he manage to settle this in just six days. Stuart if he came up with, if somebody gave him the money, then he has to pay tax on it because that is a form of income i would have thought. So, am i right . We asked the Biden Campaign you know, how was he able to settle this . What happened . How did he get this money . And does he have a job now . Got no response from the Biden Campaign. So i think that speaks a lot and its, raises a lot of questions about his finances. Stuart have you looked into his connection to china . As i understand it when his dad was Vice President he went to china and secured 1 1 2 billion dollars worth of Investment Capital from china. Is that accurate . Yeah. There are a lot of questions about his relationship with china. I think that this story with the tax liens also highlights the, how this is a problem for joe biden. Joe biden will have an issue for his sons finances because of the work that hunter biden did in china. Because of the work that he did for foreign Companies Like burisma. That kind of plays into this too because hunter biden said last year that he had resigned from a company in china where he was on the board. He had resigned from the board of burisma where he was getting 50,000 a month from that board. So the question is, what is he doing now for employment . And if joe biden becomes president , what will his son be doing for employment . Republicans has said he used his fathers job to cash in. Stuart okay. Any moment now we should be getting joe bidens choice for Vice President. Meantime well read your story. Alanna goodman, the Washington Free beacon. Appreciate it. Thank you. Stuart look at sales force and zoom. Now why is zoom down so much . I will tell you why. Because sales force sold their stake in zoom. Susan, i bet they made a lot of money. Susan yes they did, they bought 100 million in zooms ipo last year. Zoom has tripled since it went public. Zoom was 36 at the nasdaq talking about that with you. Sales salesforce told all the shares. Zoom was hovering around 200 in change at least. Now closer to 250. Not a bad trade for mark benioff. That is called a block trade. Stuart a block trade. Susan, thank you very much. Chicago, the mayor of chicago pushing back on questions over looters who really destroyed a lot of the stores on the magnificent mile, caused a load of damage. Brian kilmeade, he is fired up about this, as are the rest of us. He will be joining us next. Plus the nfl canceling Live Performances of the National Anthem this year, that is. They say it is because of the virus but is it really a political move . Good question. Well answer it. More varney after this stuart it is a tale of two markets. Tech stocks down. Look at the nasdaq down 55 points. Mostly all else up. Look at the dow, up 300. State of the market, there it is. Casper, mattress retailer, it says its online sales only partially helped offset store closures. Now gregg smith is an early invest store in that company. He joined us earlier. He is disappointed in caspers report. Watch this. I think theyre grappling with an overhead and expense base that is much larger than they should have. Again im disappointed with the lack of growth they reported for their online sales, especially in an environment where weve seen other direct to Consumer Companies that are growing much faster. Stuart very interesting. I have mean a Mattress Company in the middle of a pandemic, how do you think they would do . That is an interesting question. Well ask that to phil crimp. He is on the show in the 11 00 hour. Literally in a couple of seconds with the dow up 300 points were now joined live on the radio, by Brian Kilmeade, host of the Brian Kilmeade show. Brian welcome back to the show. Always good to see you. I want to talk about chicago. I think that city has just about been ruined by looting. I want you to listen to how Lori Lightfoot responded to a question about this watch the tape, please. Dont take it from me. Go by whats been done. I dont want to do your job for you go by what has been done. There were no consequences for the people arrested. Lets be clear and i asked do not bait us. Stuart that was baiting . Follow up, she said expects prosecutors to take the case seriously. What do you make of it, brian . With the police chief came from dallas, has a stellar reputation, trying to get ahold of things, but cant get politicians to act on behalf of law and order. Police chief way sassing the looting wouldnt happen, or degree at all, if you prosecuted looters last time it took place, blamed attorney general fox for doing it. The mayor hops in, says dont bait us. The police chief, superintendent, was giving an honest answer, brown, what the situation was and why they now have to look at footage, even though they had 400 cops there in order to make arrest postmortem. This is the same attorney general that has dismissed 25,000 felony cases. So what is the sense among the criminals in chicago . The sense is, do whatever you want, take whatever you want, they have insurance is the decree, or this is reparations for 1619. That is some of the indications from black lives matter chicago division. Stuart how will you ever get americas big cities to recover when you have got this kind of violence on the streets, ineptitude of the mayor of these cities. The virus running rampant and cant get people back on Public Transportation . Were looking at the near demise of americas great cities. I think that is an absolute disgrace. I hope people look around and say there is law and order and there is things that can be done where people should stay in line and follow the rule of law or there will be ramifications after. We have spent the last two years emptying out our prisons. The last six to eight months emptying out of prisons of because of coronavirus fears of spread within those penitentiaries. We have the emptying out in the streets along with people wondering what is going on here, with insurgencies that are organized. Im not sure about the looting stuart. A lot of guys in portland, seattle, new york, have earpieces. There is communications. There is weapons dropoffs. Theyre not trying to get racial justice. Theyre trying to destroy america. And these weak mayors and silence from the biden camp are saying we cant do anything. Stuart it really ought to be a president ial election issue and it should be that way. It will be. Stuart i want to save time for this, brian. Weve got reports that the nfl will not play the National Anthem before games this season. Is that a political move . They say it is because of the virus. Do you think it is political though . It is george floyd. The minute the commissioner came out, ive been wrong, everybody should take a knee like kaepernick. Nobody should take a knee like kaepernick. Well assume what the black National Anthem should be. Theyre in the middle of chaos. Them not playing the National Anthem. Ive got to get to week one, what theyre trying to do avoid it. What is crazy the league gets a lot of money from the military. There is a natural cinergy. Where are the players going to be to be . The in locker room . They have to redo a lot of preambles, see flyovers, red, white and blue. Are we embarrassed to be americans all of a sudden . Extremely disappointing. Stuart what a mess. Brian, thank you as always. Go get em, stuart. Stuart thank you. By the way we have tiki barber on the show later in the next hour. He will get his comment on the anthem. Big 10 considering, possibly, canceling the season. What does tiki barber think about that . He is indeed on the show. Just crossing, Johnson Johnson says it could provide a billion doses of a virus vaccine next year even if there are not enough patients for final trials. J j also saying it is likely the virus vaccine will be a single jab approach. The stocks down. I find that very encouraging. Also coming up, the ceo and president of waffle house. Now theyre kind of an economic indicator. When waffle houses reopen the economy is coming back. Is it . Well get an update on that. Plus you will have my take on joe bidens veepstakes. Were told the decision is i imminent. No matter who he chooses they come with baggage. The third hour of Varney Company coming at you after this. This is decision tech. Find a stock based on your interests or whats trending. Get realtime insights in your customized view of the market. Its smarter Trading Technology for smarter trading decisions. Fidelity. It was 1961 when nellie young lost her devoted husband. Without him, things were tough. Her last option was to sell her home, but. Her home meant everything to her. Her husband had been a High School Football coach and it turned out, one of his former players came up with an answer. A loan, created just for older homeowners. 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Learn how you can use a reverse Mortgage Loan to cover your expenses, pay for healthcare, preserve Retirement Savings, and so much more. A lots changed since 1961. Since then over a million Older Americans have used a reverse Mortgage Loan to finance their retirements. It meant so much to nellie, maybe it could mean as much to you. Call now and get your free infokit stuart it is 11 00 here on the east coast and we still have a rally going on for the dow industrials. By the way, at 28,000, thats the first time weve seen the dow hit that since february 25th. Okay. We are off the highs of the day but we are still up 320. Apple and microsoft, they are the biggest percentage losers. Both of them down and thats costing the dow about 50 or 60 points. Breaking now. Im going to repeat this. Johnson johnson says they could produce one billion with a b, one billion doses of a virus next year if Clinical Trials are successful. By the way, it could be a single jab, a single inoculation. Thats a big deal. The stock, though, down 19 cents. More vaccine news. You wont believe this. This one is from russia. Vladimir putin says they have got a vaccine. Hasnt finished Clinical Trials yet, but his daughter has taken it. We will keep a close eye on it. I am a skeptic but thats what putin is saying. Now this. We are told joe bidens choice for his running mate is imminent. Could come today, maybe tomorrow. Either way, he has a major leagues problem. Usually a Vice President is supposed to be a campaign asset. This time around, could be a liability. Just look at this. Brett stevens writing in the New York Times today says this about veep possibility susan rice. Quoting now, she has been a sycophant to despots, she has been inept in her diplomacy. She has played politics with human rights and played real politic with the truth, end quote. That is a remarkable slam in the New York Times which is the bible of the left. Choosing susan rice would give joe a New York Times problem and no democrat wants that. Actually, i wonder if Bret Stephens will be able to keep his job. Separately, Kamala Harris is a frontrunner. She brings serious baggage with her. Who could forget her debate performance where she sharply criticized biden over School Bussing . Shes tried to make up but it sounds very selfserving. And progressives, they have not forgiven her performance as California Attorney general and san franciscos district attorney. They call her kamala the cop. Not good when the left is so insistent on defunding the cops. Another frontrunner, elizabeth warren. Shes a socialist. Yes, she may bring in bernie voters, bring them on board, but is Middle America prepared for a likely socialist presidency . A 77yearold forgetful, unfocused joe biden puts the Vice President very much in line for the oval office. And if she were to be chosen, would africanamericans turn out . Its a fair question. Hes boxed himself into an identity politics corner. He says he will choose a woman. A majority of candidates are black women. This is the most consequential Vice President ial pick in generations simply because of bidens age and got to say it, cognitive ability. Are we to select a likely future president on the basis of race and gender . Maybe thats what democrats want but other voters may be more inclined to consider, you know, economic policy. They like prosperity, jobs, your 401 k , maybe thats more important. The third hour of Varney Company is about to begin. Stuart lets a digress from politics and move straight to money. The gentleman on the righthand side of the screen is jason katz, managing director, Portfolio Manager at ubs. Jason, your comments, please, on rotation. I think we are seeing it today out of big tech. My question is, wheres the money going . You know, stuart, i would characterize this more as a great participation than i would rotation. Lets not get carried away here. The value index has caught up around 2 in terms of performance relative to growth thus far this month, but its undeniable and i was on with ashley when you were on holiday a few weeks ago. We talked about how this is coming, given that 19 returns for the growth index year to date versus negative 11 for the value index. At some point we start to see a catchup trade. Stuart so its not really a full scale rotation. We should think is going anywhere. Its a catchup phase, thats it, limited to that . I wouldnt limit it to that. Look, we have had very strong employment numbers last friday. Earnings season was undeniably very good, 14 better than expectation. But now we are focused on progress on Vaccine Development and should that come to fruition, and theres five in the horse race right now, come november, or thereabouts, you could see a meaningful rotation into value. Stuart i dont want to digress too much but i do have to ask you about this claim by Vladimir Putin that theyve got a vaccine coming out of russia. It did move the market early this morning when it was announced. Im a skeptic. How about you . I take everything out of russia with a grain of salt but what i dont take with a grain of salt, we have seen meaningful progress with respect to therapy which to some extent could take deaths off the table, hopefully, and then as far as the vaccines, we have over 100 shots on goal and the market is sniffing that out. Thats why the path of least resistance is finding its way into some of these more cyclical trades. Stuart, there are still 4 trillion, 5 trillion of cash on the sidelines, rates are at zero. It has to find a home some place. Stuart four or five trillion on the sidelines. Are you talking worldwide or just in america . Global liquidity from the standpoint of investor portfolios. Thats what most people lose sight of. Im here in new orleans dropping my daughter off at college for freshman year. Out to dinner with a bunch of parents. They all dont understand the disconnect. I think they lose sight of the fact theres been unprecedented stimulus and supplies of 25 so the money has to flow some place and its not going into fixed income when its all about zero rates. Its finding its way into cyclicality like we like midcap which is much more tied to the real economy, the physical economy versus the digital economy. Dont abandon the digital economy, but start to look elsewhere. Stuart you dont know how much i would love to go out with other parents to a restaurant, sit down, have a nice meal. You are a lucky guy, jason. Six feet apart, of course. Stuart of course. Jason, thanks for joining us. We will see you again real soon. Thank you, sir. Thank you. Cisco, put it on the screen, please. Its right there. Big food distributor. Okay. Their sales down 43 . Why . Because restaurants and bars are not fully reopened. By the way, their losses doubled from this time last year. The stock is only down 22 cents. Next case. We have nio. That is a chinese electric car company. Something of a rival for china, maybe. For tesla, rather. Their deliveries surged more than 300 in the last quarter. They say theyve got positive cash flow for the first time ever. Its all happening for the electric car makers but nios stock despite that news is down 4. 6 . Canada goose hit hard by the virus. Revenue down 65 . They only brought in 19 million. The stock is down 3. 5 . Facebook, oh, ashley, updating their political policy yet again . Are they going to start censoring communists, maybe . Ashley dont hold your breath. What they are doing is cracking down on what they call political content disguised as news. They say they are going to ensure, when we talk about political content, it says those that i guess essentially say they are news but have ties to political parties, pacs, spl political organizations, you name it, any way you want to slice it. They say in that instance they will have to be held to the same standard as anyone else, wanting to advertise on the platform, calling it a form of advertisement. They also say they wont be eligible and allowed to register as a news page and will not be have access to news messaging on their messenger business platform. Bottom line is they are saying you can write a story but what we are seeing is if it is tied to a Political Action committee or we believe it is, then you are not going to get the same treatment or you wont get the news exemption. Will conservative content be targeted . More than likely. Stuart guaranteed, actually. Guaranteed. Ashley guaranteed. Stuart next, look at the Movie Theater stocks. Both of them on your screen. In fact, all of them are in the green. Very much so. These have been beaten down dramatically but are all up today. Susan, whats going on . Susan vaccine suggests we could go out to watch the movies on the big screen once again. Take a look at cineworld, cinemark, amc, these stocks have been decimated as covid spread and with the lockdowns, that meant people were staying home and streaming instead. We had netflix reporting record subscribers in the First Six Months of this year. Disney plus has over 60 million, way ahead of schedule. What were they watching . Well, last month in july, nothing could touch the hamilton movie. A staggering 37 of viewers in the u. S. Watched the filmed musical last month according to a research firm, almost three times the number that watched number two on this list. This is really a shock. Netflix has unsolved mysteries. I didnt know they did a remake. Apparently they did. The Charlize Theron movie, the old guard, hannah, palm springs, round out the top five. You remember the original with robert stack. They did a remake. I was really shocked. I kept talking about it all day yesterday. Stuart i missed that. No, i do remember the original series. Ive got a different question. If the travel companies are up, Movie Companies are up, is that because they think a vaccine is coming, we can all get vaccinated and therefore go back and live as we used to live . Thats the theory . Susan i call this light at the end of the tunnel, that maybe this ordeal, this pandemic, might be over soon and we can go back to our regular lives. Some sort of normalcy back into our lives. That means going to the movies, that means traveling once again. By the way, theres a rotation, yes, out of tech as you have talked about all morning long but i would say growth to value. If you take a look at the banking stocks, i mean, with 60 basis points on the tenyear yield youre not making a whole lot of money on loans but this is a play on economic recovery. The banking stocks are doing well today, travel stocks are doing well, as you mentioned, we also have cinema and a lot of these growth places, including boeing has now gotten some more bids all of a sudden because there might be a vaccine on the horizon and we might go back to normal at some point. Stuart before we close this out, can you see the day coming where you front up to a cinema susan no. Stuart youve got a show, got a show you have the jab, you have been vaccinated, before you get in. Is that how its going to work . Susan get your temperature checked once again. Stuart do you have to have your vaccine papers . Is that going to be entree to a cruise . Susan vaccine passport is what you imagine for the future. Im not sure. You would hope that once you are vaccinated you would be immune anyway so it doesnt matter. Stuart but do you have to show it . Susan does it matter to you if the next person has covid because you are already vaccinated anyway, right . Thats how it works. Stuart i just wonder if youve got to show you, if youve got to prove to people you are okay because you have been vaccinated. Susan can i note how much i love hamilton . I watched it twice on broadway. I havent watched it on disney plus. I imagine its incredible. Stuart you cut me right off with the vaccine passport. Fair enough. Fair enough, fair enough. Back to you later. Student athletes say we want to play. Two major leagues weighing whether or not to cancel the football season. Should it be up to the players to decide . Theres a good question. Running back tiki barber, former running back, is with us. Casper, well, their mattress sales are doing well. People spending more time at home. Is that right . We will talk to the ceo about mattress sales in a pandemic. Okay. Its known as the waffle house index, an informal way to gauge natural disasters. If a waffle house is closed, things are really bad. We will talk to the ceo of waffle house in just a moment. Introducing stocks by the slice from fidelity. Now you can trade stocks and etfs for any amount you choose instead of buying by the share. All with no commissions. Stocks by the slice from fidelity. Get your slice today. Stocks by the slice from fidelity. Liberty mutual customizes your Car Insurance, so you only pay for what you need. I wish i could shake your hand. Granted. Only pay for what you need. Liberty. Liberty. Liberty. Liberty. But what if you could stdo better than that . K. Like adapt. Discover. Deliver. In new ways. To new customers. What if you could come back stronger . Faster. Better. At comcast business, we want to help you not just bounce back. But bounce forward. 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Are you going to reopen all of them . At our peak, we had about 750 restaurants closed. We are down to less than 20. I think there will be a few, maybe a handful that we never bring back but for the most part, were almost back to full capacity from a location standpoint. Stuart im interested in how weve changed. I think all of us have changed in subtle ways, including how often we eat out and where we eat out. Are you seeing a difference . You know, i think we benefit more than some restaurants because, you know, they call these family restaurants. We have a lot of regular customers and they are very comfortable coming back to eating with people that they know well, in our little kind of intimate environment. But yeah, there has been some shifts and people are taking more food to go than they were in the past. A lot more curbside kind of pickup type stuff. So were seeing it. Certainly business hasnt returned all the way to normal and even though we have opened up almost all of our restaurants, we still have several of them that are not open 24 hours, which is really foreign for us. Were not used to that. Stuart yeah. I know you are a 24 hour guy. Okay. A key metric in your industry is average check size. Are you prepared to share with me whether your average check size now is up or down from the prepandemic days . I would love to tell you were sophisticated enough that we track that. If you have ever been in a waffle house, everything is done by hand. Weve got some approximations. We know whats going on generally speaking. I think our average check size hasnt changed much. It might get skewed a little bit by the togo orders because whether people order to go, they are typically bringing it back for a group of people versus coming in eating with just a couple people. I would say by and large, our check average is about the same. Stuart can you explain to our viewers why you, the waffle house, are the most popular restaurant chain in mississippi . We love the people of mississippi. We think we are pretty popular around the south in general. I have been in and out of mississippi several times during the pandemic. And you know, our customers in mississippi love us. We have a pretty good presence in mississippi as well. We are also pretty well populated on the mississippi gulf coast. Once they started opening things up a little bit, some more people came back to the beaches and casinos down there. I think were in a good position and i think weve got a lot of great longterm customers that just love eating with us in mississippi. Stuart any changes in the menu . Sorry to interrupt you. Any changes in the menu . As you go forward . You know, we have simplified just a little bit. We try to steer people to fewer items so we can cook them faster. But our menu is pretty limited going into the pandemic. So no major changes. You can still get pretty much everything you were looking for prepandemic, postpandemic. We might not feature it as well so you might have to ask about it and know about it, little bit like a secret menu. Stuart wouldnt you love to go back to normal . Will we ever go back to normal . I surely would love to go back to normal. I know all of our customers and all of america is ready for that as well. Obviously its going to take some time. When we do get back to normal, it probably will still be a little bit different. I think its going to be awhile before we return back to the way things were. But i can report that in our restaurants every day, you know, thousands upon thousands of folks are coming in and feeling safe and reconnecting with the people that serve them and thats really warms my heart and makes our people feel wonderful, too, that they can provide that service. Stuart we would love to see you reopen all of your restaurants. Walter ehmer, ceo of waffle house. Its not the waffle house. Its waffle house, isnt it . Got to get that right. Appreciate it, stuart. Thank you so much. Stuart yes, sir. See you again soon. Thank you, walter. Appreciate it. Thank you. Listen to this. Ruby tuesday is closing some locations permanently. Theyre not coming back at all. Lauren, tell me more. Lauren well, its hemorrhaging sales in restaurants. 169 have closed this year forever, permanent closure, so there are fewer than 300 remaining worldwide. Three big mistakes ruby tuesday has made. The first one, salad bar. Thats being obliterated by the pandemic. Older population, less likely to go out. And ruby tuesday had five ceos in five years, none at the present moment. Not to mention, the space that they operate in, casual dining, traffic down 58 overall for that category. They have suffered and are closing shops for good at 169 locations. Stuart i tell you, being in malls didnt go down well whether the malls are closed and the salad bar is just a nonstarter these days. Used car sales. Absolutely booming. Thats causing dealers to shell out big bucks to keep their inventory up, shall we say. Jeff flock is with us. Jeff, i believe the auction price for a used car is at a record high, i think im right in saying that. Tell me more. Reporter you are absolutely right. I will give you the number. By the way, that truck, i know you got an f150. You ought to look into selling it because you could get a heck of a good price. Auction price, thats where most of the dealers get their vehicles, at auction, the auction price last month was an alltime high of 14,895. At auction. But then, you know, these trucks, 30,000 or so. Ive got john schmidt, the used car manager. You said these trucks, you cant get them . Its ridiculous how much we have to pay to get them. The supply keeps getting shorter and shorter. Reporter whats the deal . Well, supply, high demand. Reporter as a result of the pandemic, people want value. They are also not buying new cars, right . Lack of new cars has pushed all the interest toward used cars and trucks. Reporter look at the numbers on sales of used cars. Last two months, may, june, they were down or used car sales up 9 , even though new car sales, way down, and in the inventories, 22 lower. You just cant keep them on the lot. When somebody comes in with an f150, to have service done here, you would say hey, can i can i appraise your vehicle, any interest in selling it. Reporter you try to make a deal. Absolutely, yes. Reporter amazing. That is amazing. Usually you have a whole row of these things. Now we got about six, seven, eight of them. I try to 15, 16 in stock. Thats usually what we sell a month. Reporter there you go, stuart. Crazy times. I always bought used cars because im cheap like you. Stuart if i thought i could get 40,000 for my f150, 2019 with 60,000 miles on the clock, i would drive it out there to wherever you are right now. Reporter we will see if we can work a deal. Stuart you can, flock. Jeff, see you soon. Thank you. How about this one for you. You know, apples facial recognition tool to open up your phone . You know it doesnt work, obviously, if you are wearing a mask. One big city is pushing to change that so commuters can stay masked up when they pull out their phones. We will tell you all about that coming up. Some companies moved to online only sales. Casper expanding in brick and Mortar Retail stores. How can they stay profitable if less people are going out to the mall to shop . Caspers ceo and cofounder joins us next. Businesses are starting to bounce back. But what if you could do better than that . Like adapt. Discover. Deliver. In new ways. To new customers. What if you could come back stronger . Faster. Better. At comcast business, we want to help you not just bounce back. But bounce forward. Thats why were helping you stay ahead and adapt with a network you can count on, 24 7 support and Flexible Solutions that work wherever you are. Call or go online today. Stuart all right. We now have the dow up 289 points and look at the nasdaq composite. About a half hour ago it was down 50. Now its up a point and a half, so the losses in big tech are moderating. Lets put it like that. Better take a look at boeing. They had no new orders in july and they see they saw 43 max jet cancellations. The stock was up 10. Now its up 5. Lets get to casper, online mattress people. Now the stock is down 4 right now. Their sales, online sales, were not as strong as expected. Philip krim is ceo and cofounder of casper and joins us now. Welcome back to the program. Good to see you again. Good to see you, my friend. Thank you for having me. Stuart why were your online sales only up, what was it, 5 , Something Like that, when the rest of online sellers, not mattresses but other online sellers, were pushing sales up double digits . What went wrong at casper . So it was actually our dtc business, directtoconsumer business, that was up 5 . Our ecommerce business was up much more than that, but our dtc business was weighted down because we have 60 Retail Stores that were closed throughout almost all of the Second Quarter because of the covid pandemic. That certainly weighed down on our overall dtc business. But ecommerce growth was strong. We had a record north american ecommerce quarter. We also had a 61 year over year growth in our Retail Partnership business so overall, the growth of our business in q2 was very impressive. We grew our north American Business by 18 . And we felt very strong we felt we had a great quarter and very Strong Performance really across the board other than our Retail Stores. Stuart i know that you are going to be selling mattresses in some bricks and Mortar Stores. I will put a list of the stores you are going into on the screen shortly. Sams club, ashley, et cetera, et cetera, et cetera. Are you going back more into bricks and mortar because when people buy a mattress, they want to lie on the thing before they buy it . Is that it . Thats right. Trial is a really important part of buying a mattress. And availability is a really important part of buying a mattress. So for our category, something that impacts your life, health and wellness, where you spend a third of your life witness, trial opportunities are really important. We announced yesterday we are taking our products into the door of sams club, ashley home stores, denver mattresses, and these will help us expand our footprint of trial opportunities and will really help drive not only brand growth but also sales growth as people get to lay on the mattresses and realize what makes them so special. Stuart tell me the demographics of your buyers. I would imagine with a lot of new household formations and a lot of home buying these days, that your demographic, your customers, will be primarily younger people, 20s and 30s. Is that right . You know, its actually more broad than that. We certainly see younger consumers buying our products, and for those folks, you know, costco, amazon, target are great opportunities to buy our products. At the lower price point. But we also see folks who are decorating or moving and designing their entire home, including choosing casper for their master bedroom and they are shopping our Retail Stores that are in malls throughout the country, they are going into our Retail Partner doors like raymore flanagan or rooms to go and are spending on the high end casper mattresses. We launched a new lineup late in may so we have a redesigned lineup endtoend that has the most advanced cooling features, the most advanced ergonomics so you are seeing a very broad base of customers choose casper because they know casper is providing you the best night of sleep possible. Stuart im sure a little disappointed in the stock price reaction this morning but you are not allowed to comment on the stock price. I know that. Phil krim, ceo of casper, thanks for joining us. See you again. Promise. Thank you. Look at the match group. Yeah, Online Dating people. You got that. I can hear lauren laughing here. Look, theyve got new video dating tools which im sure will be of great interest to many of our viewers. Tell me more. Lauren yeah, because theres very few ways to meet people so what match group is doing is adding more video options across all of their apps including tinder, thats a big one, hinge and okay cupid. The more there is to do on the conversation, the more there is that match group can charge you for. They have ten million subscribers overall. Thats an 11 gain from last year. Guess what . Everyone is more engaged right now. So theres this one video tool that i was reading about, you are in a conversation with someone, and theres a lull in the conversation, the video will actually suggest things you can talk about or do over the computer. Stuart do you meet people, i mean, is that how its done . Im kind of an old guy. I was just intrigued that you could have a conversation with a potential date. Thats interesting. Didnt know you could do that. Lauren exactly. Yeah. Its new. Its relatively new. I know for one that tinder charges, it depends on the city you live in and the level of subscription you want, but in some cases, users are paying like 30 bucks a month in new york city because they can meet people and learn more about them and see more of their profile and talk to them, video chat, and you know, were struggling right now. I used to say the best place to meet someone was friday night in the Grocery Store but well, actually, you can still go to a Grocery Store. But you get what im saying. You cant see what someone looks like when they have a mask on. So you can talk to them on the computer, that might be all we have now. Stuart digging yourself in deep, girl, let me tell you. Lauren are we done . Im starting to sweat, stuart. Stuart we will let you off the hook. I will Start Talking about walmart. Okay . That okay with you . Lets talk walmart for a second. Their groceries are now available through instacart at the grocery delivery app, of course. For now, its only a Pilot Program in two states, california and oklahoma. Look at the level of walmart. Its down a buck at 130 a share. I will show you gold because its just tumbling. Its down 85 per ounce, biggest drop in five months. It had been a safety buy during the pandemic but these vaccine hopes, that has investors selling. The low, 2,000 an ounce. Same story with bitcoin, as the pandemic rally slows, as their pandemic rally slows and the positive virus news comes on board, they are down 380 a coin, 11,600 is your price. We have seen it before for months. People waiting in long lines for uncomfortable virus tests. But a new absolutely painless test could be approved by the fda this week. Details coming up for you. Major College Football programs reportedly will lose billions of dollars if the seasons canceled. Can the schools afford that . Former giants running back tiki barber weighs in next. Stuart didnt quite hit a record high on the s p but we did move up 14 points. The dow is at the 28,000 level, First Time Since the end of february. Lets get to sports. President trump tweeting play College Football. Some of the schools are deciding are they going to cancel the whale season whole season or not. The gentleman on the righthand side of the screen is tiki barber, famed new york giants former running back. Tiki, always good to see you. Welcome back. Its a pleasure, stuart. Stuart if they cancel College Football, the schools lose billions, maybe 4 billion. I put it to you, they cant afford to lose that. No, they cant, but i think it might be the prudent thing to do, stuart. When you think about some of the conditions that affect those who have contracted coronavirus, including an enlarged heart muscle which for some of these 320 pound kids could be damaging not just immediately but in the long term, in their health. These are 18 to 21, 22yearold kids who want to play. You see them tweeting about it and talking about it. Trevor lawrence, who is going to be one of the best quarterbacks in College Football, they want to play football but i dont know if its the right thing for them to play football, because the unknown longterm damages that can come from contracting the coronavirus. Stuart youre right. Some of the players, they have gone on social media, we want to play. They are adults. Shouldnt they be allowed to make their own decision here . Yes, but you also have to realize that the coaching staff, the athletic directors, and more importantly, the ones that are making the decisions, the School President s, are also charged with protecting the health of these young men and women, if you get to other fall sports as well, so thats the conversation. Is money worth the longterm risk, potential longterm risk of playing the sports. You have heard some arguments from dabo swinney or nick saban at the university of alabama saying these kids are safer in our environment, they will get tested, protocols are better, conditions are better, but at the same time, you also dont know if they allow kids on campus, kids can go to parties, hang out, are they going to put themselves at risk. I think the obvious solution is keep the kids on campus, on grounds, wherever they may be, and maybe not play the sport. I know you dont want to send them home because anything can happen when you send them home, especially for lower socioeconomic environments these kids come from, but keep them on campus doesnt necessarily mean you have to play the sport as well. Stuart would you say the same thing for the nfl . The same dangers are there. Yeah, but think about this. Its an implied risk. You know this. When you play a professional sport, you know, especially football, you can break your leg, you can tear your acl, you can get repeated head trauma and have longterm issues. Its an accepted risk that you are compensated for. College athletes, a lot of them young and still not fully developed, dont have that same kind of benefit should they play. So yes, you could say the same thing for the National Football league, but i think the circumstances of the players in college who dont have a body, a union, to represent them, is its vastly different. Stuart fair point. I just want to raise almost a personal point of view with you, tiki. I was watching a bit of the golf, the pga championship on saturday and sunday. I didnt watch it all even though it was a terrific golf game. Thats right. Stuart i used to watch English Premier League soccer until the season finished but i didnt watch it as much as i used to. Its not the same with no fans. Thats right. Stuart am i typical of a lot of people who used to watch a lot of sport but now doesnt because somehow or other, we have changed the way we live and watch things . I think consume things differently. Unless you are an union fan. I became a liverpool fan. I will watch liverpool even if there are no fans because i want to see them be successful. Obviously they won the premier league this year. If theres another match, chelsea or something from the bundesliga, maybe i will peek in but it doesnt have the same energy a regular soccer match would have, because the fans arent there. You are not drawn to it. Unless you are an uberfan, i think our consumption has changed to what was the score, i got the score, cool, thats great. Go on to the next thing. Yeah, it certainly has changed because of the lack of fans. The one that is doing it right interestingly is the nba, with that big board they have with all the virtual fans. Its corny and quirky but its kind of cool at the same time. Stuart when i was 18 years old i went to liverpool and watched a night game. I was standing in a place called spyiny cop. In those days you didnt sit down, you stood up. Your feet werent on the floor and you would be swaying back and forth 20 yards with every movement. You will never see those days again. Yes, but if you are a liverpool fan, you will never walk alone. Stuart that was good. Tiki barber, no wonder youre a star. That was excellent, sir. Come see us again, please. Certainly, stuart. Be well. Stuart thank you. All right. Change of subtotally. Apple under pressure to change their facial recognition technology. Who is asking them to change and why, susan . Susan impressive with tikis English Premier League soccer knowledge there. Wow. Stuart pretty good. Susan yes. The mta wrote a letter to apple and tim cook asking them to develop other ways to unlock their iphone because riders are actually taking off their mask in order to activate the facial recognition. Apple for its part in its new operating system update now detects you are actually wearing a mask and gets you the passcode option a lot faster rather than waiting for face id. Meanwhile, you have apple pay express transit that allows riders to pay for their ticket without opening the phone. The, in, themta also shutting d trains for a few hours overnight for cleaning, first time in history, masking is required. Apple mobility data shows that Public Transit still down roughly 50 from the start of this year. People are still hesitant to hop on close trains, close to people, stu. Stuart i see the stock is down five bucks. Even though we had dan ives on the show earlier saying maybe next year, 600 a share. Hes been right before. I wonder if he will be right again. What do you say . Susan its doubled since 2018, run up about 50 bucks in the last week and a half. I think its okay to take a breather for a single day before the stock split at the end of this month. Stuart what does it have to get to to reach a 2 trillion valuation . Susan 467. 76, i think. Stuart thats it . Just 467 . Thats not too far away. Susan no. Its just a breather. Dont worry. Well get there. Stuart whatever you say. Thanks, susan. Researchers racing to come up with new easiertoadminister covid tests. Virus cases climbing to over five million in america. Scientists at yale say their idea is painless and gives fast results and they want to give it away for free. Theres a story. Weve got it. We have an update from the white house on when the next round of stimulus checks are going to be sent out. We will bring that to you as well next. Its easy to get lost in the economic uncertainty. The volatility. The ambiguity. The moment calls for more. And Northern Trust delivers more. With specialized expertise. Proven strategies rooted in data and analytics. And insights borne from over 130 years of successfully navigating economic turbulence. Giving you clarity. Inspiring confidence. And helping you uncover new paths forward. Northern trust. Wealth management. Stuart fox business alert. Larry kudlow, the Top White House economist, moments ago speaking to reporters about the next round of unemployment checks. All right. Heres what he had to say. Roll it, please. Labor departments thinking two weeks. So its going to be effective august 1. It there be a couple weeks back. Thats what theyre saying. Stuart all right. The moneys on the way. Couple of weeks. August 1st. Not sure about august 1st, what did he say, couple of weeks i think is what he said. The moneys on the way. Didnt have any impact on the market. Youre still up 250 points. Lets get to the news thats helping the market rally. Johnson johnson say they could produce a billion doses of a virus vaccine next year if Clinical Trials are successful. Then theres this oh, by the way, i think perhaps very importantly, jnjs vaccine will be just one inoculation, one jab. Thats it. That was a very important thing. Listen to this. Russias president putin says theyve got a vaccine. Hasnt finished Clinical Trials, but his daughter has taken it. Thats what he said today. When he said that, the market moved up significantly. Im a skeptic but investors were buying it, apparently. Still on the virus, listen to this one. Yale researchers have developed a new and painless test. Edward lawrence, how does it work, how soon can we get it . Reporter yeah, the yale school of Public Health is where these researchers are. You just spit into a tube and three hours later you can see if you have the coronavirus or not. They partnered actually with the nba in order to get this done. They used players as well as staff and some others for this research and this is on the verge of being approved by the fda to do this. Now, its less intrusive, theres no swab up your nose or anything. This is just literally spitting in a tube and its only one to four dollars to get this test. The kicker, stu, is that they are giving it away for free. Any company, any lab that wants to do this will be able to do it. They are giving their process out once its approved and again, its on the verge of being approved. Back to you. Stuart thats what i wanted, a spit test. I wanted that. Looks like i may get it. Thank you very much indeed. Good news there. There will be more varney after this. Introducing stocks by the slice from fidelity. Now you can trade stocks and etfs for any amount you choose instead of buying by the share. All with no commissions. Stocks by the slice from fidelity. Get your slice today. Come on in, were open. All we do is hand you the bag. Simple. Done. We adapt and we change. You know, you just figure it out. Weve just been finding a way to keep on pushing. An extra 15 credit on car and motorcycle policies . Wow. Ok thats 15 on top of what geico could already save you. So what are you waiting for . Idina menzel to sing your own theme song . 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I find it astonishing that california, the home of innovation, the home of countless new industries, should stifle this new industry, this gig economy, uber and lyft have created. Why . Because i cant understand it. Thats whats going on in california as we speak. What a shame that its come to that. I had my little rant. My time is up. I think it is time to hand it over to the calm and stable neil cavuto. Its yours. Neil if im calm and stable then you need to up that dose my friend. Thank you very, very much. Great show as always. Hard to follow in those footsteps here but i will try. Thank you, stuart. The dow up 270 points right now. There has been sort of a leadership switcheroo going on. Technology has been leading this charge for days. You can argue since the whole shutdown thing going on. More cyclical stocks that will benefit from improvement in the economy or hopes that the virus thing will settle down and the stimulus will do its thing. Right now we are waiting to hear from t