I got to tell you, right now, the market is very optimistic. And this is why youre seeing this upside. Im trish regan, welcome, everyone, to the intelligence report. One day after the Japanese Company softbank announced 50 billion investment in the u. S. Along with 50,000 jobs and we have fox conwhich makes apples iphone would like to expand into the United States. You know, look, wall street is liking what its hearing right now from the president elect, but you also got to wonder here as he courts companies from japan and companies from taiwan, is trump trying to send a message to china . Getting the japanese to put money here, the taiwanese to put money here. What is it all going to mean . Well sort it out as Time Magazine names donald trump the person of the year. They kind of had to do, this dont you think. Were going to get to all of that in a minute. First, as we watch the rally on wall street, were watching the lobby at trump tower where the president elect has a host of meetings. Blake burman with the very latest on the comeings and goings on look like more appointments are in the works. Reporter yes, trish, and this is yet another highprofile democrat coming here to trump to you or this day. That being rahm emanuel, you know him as the one time chief of staff to president obama. Hes the current mayor of the city of chicago, he has come and gone, met with the president elect, mr. Emanuels office saying the reason he was here was to discuss issues pertaining to his city. We are awaiting the arrival of andy puzder, the fast food chain ceo, he will be meeting with trump later today, his name thrown around as potentially one of the few in talks to be the next labor secretary. The trump transition aides were asked about this, they would not go that far to say mr. Puzder is a candidate. They talked him up on a phone call with reporters. We are awaiting the official announcement for the u. Ambassador to china. Aides say terryranstad, the governor of iowa, excuse me, all of that meshes together, he has offered, he has accepted, we are waiting formal announcement. Branstad has very close ties with the president of china, hence that appointment. Trish i was trying to help there you but the microphone wasnt open. You got a lot going on. I realize it. The news keeps coming in. Blake burman, thank you so much. We will check back with you as things develop there. I want to get to news that chinas foxcon is bringing Manufacturing Business into the u. S. , it is no longer business as usual. Here he is at the thank you rally in North Carolina last night talking about trade and how we need to treat this trade war like war, watch him. We will defeat the enemy on jobs, and we will defend american jobs. Were going to defend american jobs and have to look at it almost as a war because thats whats happened to us, thats whats happened to our workers. Trish wow, hes not messing around. Trump is taking aim at silicon valley. Summoning some of the biggest names in technology for a Technology Roundtable next week, a group, except for peter thiel has not been supportive of the president elect. Will he read them the riot act or is he going to cut them slack . Joining me trump economic adviser steve moore along with university of maryland business professor peteruousy, of course that is happening every day now, this is a significant game right now off the highs of the session, up 250. Peter start with you, trump is saying we need to treat this stuff seriously, look at this as war, need to defeat the enemy, the enemy which happens to be continuing to take our jobs, is that right . Its about time. Thats all i have to say about that. I have been calling it a trade war for years about, time we started shooting back. If you have a choice, if youre assembling iphones for chinese and american markets, comparable in size and put it here, the Chinese Government lets you know theyre very unhappy. Its about time the president of the United States says we dont particularly like our companies being bullied into locating over there, but create a suitable environment. Get corporate taxes down, get the regulations back. Trish look, you cant just say to companies theres no way were going to allow you, if you make it all sticks no carrots, dont you want to be creating the best environment . Dont you want steve moore, for everybody to want to be here . Of course, and put it differently than peter and donald trump in terms of this war analogy. I think its all about competitiveness and its something that frankly nobody in this town in washington is taking seriously for ten years. How do we make every american business, our policies more competitive trish he gets that, right . You are one of his economic advisers, you clearly get it. In your discussions with him and seems from everything weve heard him put forth in the ways and policies he wants to enac, he gets it. Yes, heres the point. If you look at what happened in the reagan years, we started to turn the dials from antigrowth to growth and got the policies right. What happened in the World Economy . Peter knows it, we started sucking capital from the rest of the world. We got a net import of trillion dollars of capital, powered the expansion from the 80s to the 90s. Were starting to see this, the money is starting to come into the United States. Trish what do you think china thinks of this, peter, right now . You got taiwan, a Taiwanese Company looking to invest here, a Japanese Company looking to invest here. I know that steve is very much the pie can keep growing for everyone, the reality is the spy so big right now. Grow for ee in the long run but in the here and now, we want that investment, and were getting it, and potentially china isnt . Isnt. Well, i think if we had more balanced trade with china, both economies could grow together. The chinese see this as a zerosum game. That every time we gain, they lose. Thats silly. My feeling is, if this is the beginning bringing china to heal. Were tough and serious and take the kinds of abzs necessary to be competitive, to do the things steve described. But then they have to change, and thats the ultimate message that the president , new president u. S. Trade representative has to bring to china. Trish let me ask but another thing, speaking of financial and economic topics, trump going after boeing yesterday saying this is crazy, i mean, the kind of money that we are spending, you know, to create this new air force one, he said its 4 billion, we need to cancel the contract. He did elaborate last night, looks like hes having discussions with the ceo of boeing. Watch him here. I spoke to a very good man yesterday, the head of boeing, terrific guy, and were going to work it out. But you know, thats what im here for, im going to negotiate prices. Trish all right, in other words, he wants to get a deal when it comes to the plane, steve right look, i totally applaud this. Ive been in the town for 25 years, worked in the federal budget. One of the big drivers of the budget is cost overruns where the federal contractors bilk the taxpayers for billions and sometimes tens of billions of dollars of overcharges and donald trump is a businessman, and hes going to say no, were not going to pay it youre going do this for what you said you did, thats great. We cant keep doing. This we got a trillion dollar deficit every year, for Goodness Sake good to see the president of the United States saying enough is enough when it comes to crazy spending. No more uncle sucker. Thanks, guys, the market up 260 points. Every sector in the s p higher right now. You got donald trump heading into office and there were a lot of people obviously worried about what his presidency would mean . Obviously, the markets like it, its good for business, lower taxes, less regulation, that is a recipe for success, any econ101 textbook is going to tell you that. You have 254. You have the fed meeting next week, looks like they will raise rates a quarter point. Meanwhile on capitol hill all about repealing obamacare. Senate republicans vowing to make it a priority when donald trump takes office. What we intend to do is to go forward with a process after the first of the year that will begin the opportunity to repeal and replace, and so that will start shortly after we reconvene after swearing in new members. Trish however, democrats are making it clear they are not going to go down without a fight. Watch. Mitch mcconnell said they want to repeal, start repealing obamacare, the first week, a. C. A. , bring it on. They dont know what to do. They dont know how long. They know they cant just repeal it. Trish joining me right now is a member of the Senate Republican leadership, the third ranking republican in the senate, senator john thune of south dakota. Senator, good to see you. Thank you. Trish id like you to respond to Chuck Schumer who says you guys dont know what to do. What do you say to that . They are sore about it. They lost a lot of elections over obamacare. Fact of the matter is Everybody Knows its not working, something has to be done. This has been a train wreck from the beginning and the American People know it which is why they came out in big numbers in november. If you look at the impact of obamacare, trish, you have higher deductibles, higher copays, higher premiums and fewer choices, thats what americans are facing today, so democrats acknowledge something has to be done, they dont want to vote to repeal it because they have a lot invested in passing it in the first place. Trish you guys can repeal it on your own. So youre going to repeal it. How long is it going to take to replace it with something . You run the risk, if you repeal, it have you people who wont have Health Insurance at all. You dont want in be in that spot. Right, took thousands of pages to pass it, took thousands and thousands more and regulations to implement it. Obviously, its not going to happen overnight. Were going to allow for a reasonable transition, a phasein period to make sure people arent harmed. Starts with repealing it and have to go in a stepbystep way and replace it for something that works for all. Trish can you give me time frame . Some people are saying six months . Three nears . Whats realistic . I think sooner the better. In terms of the way could this get structured, its being debated whether its a year, two years, three years. Its going to be a transition. We dont want anybody to be harmed by any of changes that are made but changes have to be made because this is unsustainable in current form. Trish let me ask you, donald trump, ss one thing and then hell Say Something different, i say this only because he is the ultimate capitalist, however hes making the point here on drug prices to Time Magazine that he wants to bring them down. And he says im going to bring down drug prices, i dont like whats happened with drug prices. What do you anticipate from him on that front . Well, there are a number of things you could do. Getting the generics on the market more quickly. A discussion about allowing the reimportation of pharmaceuticals from other countries in the world where they can be manufactured at a lower price. There are a lot of ways you can create more competition, ultimately anything for any price to come down in any market, you need more competition, so if we get more competition out there in the pharmaceutical market, you will see that reflected in the prices. Trish there you go, bingo. That makes a lot of sense. And while i have you here, your thoughts on who should be secretary of state . We hear a lot of names these days. There are a lot of names, and i dont want to express a preference, i know theyre moving, sounds like fairly quickly to get a nominee in place. Well look forwarding to processing him as expeditiously as possible, when that happens. Trish senator, good to see you again today. Thank you, trish. Trish back to the markets, rally off the highs of the session, wow, up 261 points. People are talking about dow 20,000 by the end of the year, and, you know, youre pretty close there within less than 500 point striking distance. Let me turn to general james mattis, getting a warm reception at Donald Trumps thank you rally in North Carolina last night. Trump says hes going to make america safe again and this guy is a big part of it. All of this as he indicates hes going to be very different in terms of our approach to terrorism. Its going to be extremely different from obamas. Weve got all the intel here as we continue to watch the big rally. See you here in two. Our brave men and women are the first in line defense. Defense. Against radical islamic terrorism, words that some people dont like to say. Ive spent my life planting a sizesix, nonslip shoe into that door. On this side, i want my customers to relax and enjoy themselves. But these days its phones before forks. They want wifi out here. But behind that door, i need a private connection for my business. Wifi pro from comcast business. Public wifi for your customers. Private wifi for your business. Strong and secure. Good for a door. And a network. Comcast business. Built for security. Built for business. Ways wins. Especially in my business. With slow internet from the phone company, you cant keep up. Youre stuck, watching spinning wheels and progress bars until someone else scoops your story. Switch to comcast business. With highspeed internet up to 10 gigabits per second. You wouldnt pick a slow race car. Then why settle for slow internet . Comcast business. Built for speed. Built for business. Under his leadership, such an important position, we will rebuild our military and alliances, destroy terrorists, face our enemies headon, and make america safe again. Trish president elect donald trump making it official, picking retired marine general james mattis to be his defense secretary. Donald trump making it clear that our approach to National Security will be very different now than anything that we saw under president obama. And, you know, general is no shrinking violet, if you know anything about him, his nickname is mad dog and he got it after making comments like this and those are the ones we can say on tv. Joining me, taya caia, the widow of chris kyle who served with mattiss marines in iraq. Thank you so much. Thank you. Trish you think this is who we need . I do. The bottom line is even though his language seems severe, he has boots on the ground. And people forget the enemy theyre fighting over there, these people that put their women and children on the front line, they acted in ways that were savage. I think he has an understanding of troop mentality. I think he knows the real threat against us instead of philosophical or theoretical ideology he needs to work with. Hes going to cut to the chase. Thats what hes known for and the troops need to keep them safe. Trish you think the threat is isis is the biggest threat we are facing as a nation, as a civilization, what do you think that he gets about that, other than boots on the ground, et cetera, in terms of willingness to engage in a way that we have not really, in many, many years seen. Good question, and i think there are things like the art of war, widely accepted as the ideology that you need to have to win a battle or a fight or a war, thats to know your enemy. Thats the big thing thats been missing from this administration for a long time. There are a lot of theoretical conversations about what we should call or deal with them, how we should interact with peaceful muslims, thats important but the war on terrorists is on terrorists. You have to know how they think, strategize and attack america, mattis knows those. Trish your husband being on the front line faced that on a regular basis, and being in the military, i think its really youre in a do or die situation on a regular basis in a way that as an academic theorizing about stuff cant possibly understand or frankly relate to at all. No, i dont think we could have imagined that the way this war is going. I dont think we could have imagined the terror that the civilians in iraq and afghanistan were experiencing among the terrorists on their land. We were fighting for the civilians. Sometimes people thought we were figing iraq. We werent. We were fighting terrorists and savage behavior and the civilians needed our help against the terrorists that were there. Trish sounds like things are going to be different. They ought to be. The secretary of defense shouldnt be focusing on social issues like they have the last four to eight years, look at primary job, tactics, procedures, techniques and mattis knows that better than most. Trish taya, so good to have you here. The media taking their outrage over donald trump to another level because donald trump is to blame for everything that goes wrong in peoples lives . Why donald trump is responsible for one womans lousy dating life. You cant make this up. I thought you got to be kidding me and another journalists battle with psoriasis, you got admit this is getting downright funny. See you back here. With no surprise overages, you can use your data worry free and even carry over the data you dont use. And right now get four lines and 20 gigs for only 40 per line. And, just for the holidays, get the Samsung Galaxy s7 edge for only 15 per month. No tradein required. I love you in that, no, i love you in that. No, i love you in that vo hurry, these offers end soon. Get the best deals and the best network, only on verizon. Trish check out the markets, up 270 point right now on the dow. Weve been really steam rolling higher here in the last 20 minutes. 19,516 is the level. Lots of people talking about dow 20,000 it. May happen before year end. Telecom, industrials, energy, they are all up. Lots of green your screen. Time magazine naming donald trump 2016 person of the year, beating out Hillary Clinton, Vladimir Putin and beyonce. The editor says it was the easiest choice theyve ever had, im betting they probably didnt really want to put him on. Right . Joining me now the host of mediabuzz on fox news, howie kurtz, hey, howie. Hi there. Trish i couldnt help but notice the magazine refers to trump as the, quote, president of the divided states of america. Do we have a copy of the cover . Divided states of america, are they trying to throw shade. According to the magazin