World. Power lunch starts right now welcome to power lunch and welcome back to Tyler Mathisen im michelle carusocabrera. The dow is aiming for the first up day in five it was up triple digits and now higher by only five points and avis is soaring. The company is partnering with googles selfdriving car division and arconic, much more on this hour for power lunch. A report by the cftn says the merger with walgreens will probably get approval. Brian . Thank you very much new data showing in the first quarter, u. S. Property insurers had their biggest catastrophic losses since 1994s north ridge california earthquake. Losses totalling 7. 5 billion. And Warren Buffett investing 377 million and the Martin Shkreli jury trial selection some of the Major Technology names are taking a hit on the President Trump travel ban news. Well go to Hampton Pearson at the Supreme Court where the president is now weighing in as well hampton . Reporter how you doing, brian . We have the Supreme Court giving a partial revival to the trump travel ban th a full hearing will continue when the Court Returns in the fall in the meantime, the trump administrations request is being allowed to go into effect partly gorsuch, thomas and alito are criticizing what they call a compromise the courts remedy will prove unworkable it will also provide a flute of litigation. Now the travel industry worldwide, of course, trying to figure out what it all means earlier today on cnn, this reaction from the ceo of royal caribbean. I think for our business, its been booming anyhow so we dont really think this will have much of an impact of course, in the travel business, you dont like any kind of a travel ban. Reporter we also have a statement now from President Trump. No surprise there, essentially declaring victory, in his words saying that the action by the court today allows the suspension to become, quote, largely effective. Theres an additional word from dhs, justice and the state department, in essence, saying that now that theres a partial lifling of t lifting of the injunction, they will implement those parts that can be lifted Going Forward. Hampton, thank you. The markets have bounced back a little bit but then seemed to fall as we got that news bob pisani is down at the nyc. Is there a connection, bob yes, there is as well as with oil. This is a partial ban that was allowed to go forwards there was an effect on the market here. May be harder to explain why tech stocks when negative. Look at the xlk. This is the etf. I think concerns are with regard to the h 1 b visa program. Perhaps there are broader implications on investments of a more closed United States, more philosophical types of questions. The key is it didnt last very long here. Oil has dropped at the same time as you can see intraday here and then oil started recovering as well the same story weve been seeing all year Nothing Drops the stock market look at the s p. We see a drift now even now, if you look at the vix, were now once again below ten and sitting near record lows yes, i think there was a relationship but, no, it didnt have a big longterm impact, at least not yet. Guys, back to you. Thank you, bob. Lets go to elon for an update. There are individuals who are required to wait six months before signing up for insurance if they let their coverage lapse in the Previous Year by 63 days or more. This is all a way of getting at that individual mandate which has been so controversial in the Affordable Care act and finding a way to product individuals to sign up for insurance even if they are healthy so that preexisting conditions can be covered as well. The senate saying that consumers will not have to pay premiums during that sixmonth period in which they have to wait to sign up were still digging through the details and, of course, waiting for the cbo to weigh in of how many people will be insured or uninsured under this version of the bill and what it would do to premiums for Older Americans back to you. I want to make sure i understand if you didnt buy your insurance in the Previous Year, let it lapse for how many days . 63 days or no. Then, if you want to buy it again, you must wait six months. Thats exactly right. And this is getting people to buy how . Because they are trying to eliminate it tries to get them to sign up during the open Enrollment Period to ensure that they join those pools at that time its sort of, again, a stick to get you to sign up uhhuh. Because they are trying to avoid adverse selection, right they just dont want people to sign up when they are sick they dont want a financial penalty anymore. Now the penalty is, you wont be able to get insurance for six months if you dont sign up. Thats the difference there. They dont want to attach a dollar figure to that because its been controversial for republicans. And wasnt there, in the house version of this bill, some sort of ability for insurers to add a surcharge on to the policies for people who did what were describing here, let their coverage collapse . Thats correct. Under the house version, you could be charged a higher premium if you let your coverage last under this version, you just have to wait longer in order to sign up. There is a question over whether or not this provision could be even considered under those complicated reconciliation rules that the nate is trying to use to pass this bill. Up in the air about what will happen with this technical change but clearly trying to get more republican senators on board of supporting this bill. Thank you very much while stocks continue to move higher, some Money Managers are looking outside of america, suggesting our markets may be a little too pricey for their clients. Im joined by chief investment manager and equity strategizer air i can are, are stocks in america too expensive for you and your money right now they are too expensive to overweight, certainly, yeah. Its very high valuations. The economics in the United States continues to disappoint expectations even though Consumer Confidence remains high, you are not seeing them spend money. You look outside the u. S. , europe, more attractively priced stocks and the Economic Data is better when you say emerging markets, i know you favor them they are everywhere else its a big world can you be more specific about where you are buying stocks right now . Generally we were in the areas that had gotten very, very heavily beat up in the selloff that weve seen over the last year they started have a very, very low base we still think those stocks are better do you see it differently no, i agree with eric when we have our conversations with investors, universally, they are generally overinvested in domestic equities and underinvested in international this is happening at a time of elevated evaluations and were seeing a slow down in growth here in the near term at a time when the Federal Reserve is withdrawing monetary support and everything i just said is the exact opposite where valuations are much more attractive youre seeing economies stabilize and expand here. Im thinking of the ecb with extremely great settings if the fed decides to get more dovish and that they are not going to raise rates anymore, something changes, would that make you more than optimistic on american equities . Well, i think it could help support an extended cycle. I dont think it would change our view the missing ingredient is a fiscal policy stimulus if you think of it as a baton race of yellen and the fed and trump at the white house, shes getting so far out in front of trump, they risk dropping the baton. So i think that would help in terms of getting a little br more dovish here, yes. But not cycle ending stuff, by no means. All right eric and talley, good discussion gentlemen, appreciate it. A news alert now in the bond market Rick Santelli, as he always does, tracks the action at the cme. Hi, rick. Hi, tyler 26 billion in two years just hit the street, the first of 88 billion in total supply. I gave the auction an a. It was a great auction the fed is expected to continue to raise but look at the metrics here 1. 348, that was much lower than the offer side of the one issued market so it did great on a pricing basis. 3. 0, november of 2015. Blows away the ten auction of 45 and 18. 3 on direct and solid a and tomorrow, of course, will be fiveyear, 34 billion. Michelle, back to you. Thanks, rick. Another news alert Julia Boorstin is in l. A. Thats right founded by facebook, microsoft, twitter and youtube, these companies have come together to help continue to make their services hostile to terrorists and extremists they are teaming up because they have come under criticism particularly facebook and youtube most recently for being in environments where terrorists can communicate with each other, youtube, shared videos that are ads for terrorism. These four companies saying that they are coming together to share technological solutions, to crack down on terrorism as well as research, to guide future technical and policy decisions around the removal of terrorist content and they will Work Together and obviously they are very sensitive to the criticism that they have not been tough enough on their platforms. Guys, back to you. Julia, thank you very much. So should Older Americans pay more for their Health Insurance than younger ones . Email us at powerlunch cnbc. Com. Well get into it right ahead. But first, President Trump and the president of india come head to head thats straight ahead. Ow announcer youre watching per lunch on cnbc. First in business worldwide. Welcome back President Trump and indian Prime MinisterNarendra Modi are meeting in a couple of hours could the travel ban derail any possible deals between those two motives . Seema mody has more. Reporter this tells you that there is an important relationship for wall street and many investors say india has earned its position alongside china as one of the Fastest Growing economies in the world and over 1. 5 billion people, half of which are under the age of 25. If this encouraging backdrop that has prompted some of the biggest u. S. Executives to sit down with Prime Minister modi yesterday and about an hour and a half meeting to discuss some of the hurdles that still exist when investing in india. I think the Biggest Issue is practical issues about Decision Making and how to do things faster and to get them done. Reporter Prime Minister modi will arrive here in a couple of hours to meet with President Trump. Defense and trade will likely be on agenda. The u. S. Currently has its tenth largest trade deficit with india at around 30 billion. Its notable but pales in comparison to china and india. Modi believe it is will bring down the deficit india has been investing in the energy story over 40 billion in longterm contracts from maryland and louisiana. Guys, back to you. Seema, thank you very much. Joining us from washington is william cohen, founder and chairman of the cohen group. Secretary, were delighted to have you with us youve written extensively on relationships between india and the United States. A relationship that has over the decades, in my memory, been a little touchy from time to time but there has been progress, particularly in the defense area, over the past decade why . Well, it started with president bill Clinton George w. Bush picked up on that effort and really accelerated it and as did president barack obama. So the trend line has been going up and i think that Prime Minister modi is obviously looking to ensure that that line goes up and we have a security arrangement whereby we see each other as a Security Partnership in that part of the world to be sure were doing lots of exercises with the Indian Military something that really in the year 2000 wouldnt have been possible but since were a business network, what are the commercial relationships that youre aware of between u. S. Defense contractors and Indian Companies . India has become a major consumer of American Military equipment. The u. S. Would have to sell some 2,000 unarmed drones thats about a 2 billion plus deal if approved by the president and goes forward we have other examples where Takata Company has linked up with Lockheed Martin so there are programs that are under way and you mentioned the training and the exercising is really quite a high level. Uhhuh. So this issen a opportuni ano the United States to do more business with india. India is going to want to have more High Technology which gets into the Drone Technology and other countries are competing. Israel, the french, the russians, others want to sell if we dont so theres a deal to be made that between the president s on this. Lets switch to the middle east, if we might,of where the standoff, if you will, diplomatic and otherwise, between certain nations led by saudi arabia and qatar has become really front and center the president via tweet has really come out on the side, as i understand it, of the saudis but our main military base in that region since we got basically booted from saudi arabia has been in qatar and i would imagine that the Defense Department is watching this very closely. Where do you come down on this and how would you manage a defense establishment that wants to maintain that good relationship, i presume, with qatar and a white house that is seemingly on the other side of the issue . Well, i was just in saudi arabia about a week and a half ago meeting with the crown prince discussing this issue and others and i would hope that the United States would find its way to be a broker in this to make sure that we sustain that relationship with qatar and not cut it off i think that would pose challenging problems its not to say that we couldnt move the 10,000 troops that we have, 10 to 12,000 troops that we have at the base, but it would certainly be complicating the environmental situation that we have. So i would say you could move to uae. You could move back to saudi arabia i dont think we want to see that take place, but its going to take some compromise on the part of all parties considered. How concerned are you, quickly, as has been alleged, that qatar may be a funder of terrorism . I think its a legitimate concern. Theres an issue in terms of their support for hamas, whether theyve supported the muslim brotherhood. We know they have. And so saudi arabia, uae, bahrain, egypt are all concerned about the support that theyve given in the past. This is something that is not an issue that were not aware of and its an issue that needs to be addressed. Secretary cohen, thank you very much. Good to be with you. German carmaker bmw making a big bet on President Trumps call on made in america. Hundreds of new dollars pouring into South Carolina. Next im here at the Td Ameritrade trader offices. Steve, other than making me move stuff, what are you working on . Let me show you. Okay. Our thinkorswim Trading Platform aggregates all the options data you need in one place and lets you visualize that information for any options series. Okay, cool. Hang on a second. You can even see the anticipated range of a stock expecting earnings. Impressive. Whats up, tim. See options data like never before. With thinkorswim only at Td Ameritrade. Thank you so much. Thank you so were a go . Yes we got a yes what does that mean for purchasing . Purchase. Lets do this. Got it. Book the flights hai si si ya ya ya what does that mean for us . We can get stuff. Whats it mean for shipping . Ship the goods. Youre a go you got the green light. That means go oh, yeah. Start saying yes to your companys best ideas. Were gonna hit our launch date scream thank you goodbye let us help with money and knowhow, so you can get business done. American express open. A bit of a mixed picture on this monday. Stocks lose a little bit of steam. The dow was up triple digits the s p 500 basically flat and the nasdaq down. 01. Anadarko, its been a tough go fitbit, though, on the other side its seeing nice gains since june 1st and maybe investors are hungry for some fast food stocks. Yum brands and mcdonalds, both at alltime highs. Seniors cost more to insure and require more medical care. Why shouldnt they pay more for Health Care Coverage let us know what you think email us at powerlunch cnbc. Com. Were going to debate it straight ahead a benchmark. 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