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tv   Varney Company  FOX Business  January 5, 2018 9:00am-12:00pm EST

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maria: hey, we ran out of time. you're a buyer, you're a buyer, you're a seller. dagen. have a great weekend. we will see you sunday and monday. take it, stu. stuart: why do we call it freezing friday? the markets are on fire. 40 years in the business, i have never seen anything quite like this. the dow will open at yet another record high, i've lost count. i think it's about 90 highs since the election. we will be looking at 25,100 and tech heavy nas tack will be up. "the new york times" choses to go negative, look at the headline, after dow 25,000, the
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party has to end but when? okay, of course, it's going to be a pullback but is that all you've got to say after the most explosive rally in modern history. next story, the economy, in december 148,000 new jobs created, that is not strong, big job losses in retailing, big job gains in manufacturing and construction. big show as usual. new probe of clinton foundation, were donors playing to play? varney & company is about to begin. ♪ ♪ stuart: here is another big story, look at that. much of the east coast is still under a very deep freeze. roughly 13,000 homes out of power. that's serious. here is a look at the latest weather map with windchill, by the way, frigid temperatures
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continue across the northeast for the entire weekend, will you look at the minus signs there? chicago, minneapolis, my that'sg story. the other big story remain it is market. i have a tweet, the latest from the president. here it is. dow goes from 18,500 to 25,075 for new time record. jumped a thousand points in the last weeks, fastest 1,000 point move history again and all make america great again agenda, jobs, jobs, $6 million jobs created. have you ever seen anything like that before? >> no, '64 tax cuts and what happened after that. market still has long ways to go. stuart: long ways to go? >> i tell you why because the financials, they say that earning estimate should go up
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20%, they've gone up 8% since tax talk has gone through. that by itself shows there's ways to go. stuart: john is here, take your economist hat off a second and be a market watcher, has this market have a long way to go in the upside? >> further to go as long as profits keep growing. as long as profits don't contract, it'll keep going higher. i don't think you're going to see stiff enough interest rate that is will have effective rate of pushing the market lower decisively. stuart: lizzie is dying to get in. >> we are seeing corporate profit estimates at best i think since 2011, corporate profits double digit expectations coming in. stuart: i have to what might be a negative, not necessarily so much for the market, only 148,000 jobs were created in the month of december.
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i say only 148,000 because that's allow number, john? >> it wasn't that far from estimates, they were looking at something less than 200,000 in consensus. we have nearly 4% unemployment rate, this is very low unemployment rate. it's a lot easier to add 200,000, 300,000 jobs to payrolls when unemployment is high, 5, 6, 7% compared to where it is today. i think this is a decent employment report. i'm not troubled by it. i like the fact that we saw big gains in construction employment and manufacturing employment industries that tend to pay much higher wages than retailing where employment shrank. stuart: you're far too easy to please. all right, i want to show you another tweet on the market from the president. here it is. the fake news media barely mentions the fact that the stock market just hit another new record and the business in the
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u.s. is booming. but the people know, can you imagine if obama was president and had these numbers, biggest story on earth, dow now over 25,000. let's bring in fox news contributor jason chaffetz, former congressman from utah. do you think the president has a point? >> absolutely. remember when barack obama became the president, they gave him the nobel peace prize for showing up. if this happened under obama, they would have given him the nobel peace prize of economics. major story, happening from coast to coast, it's not a mistake that the reduction in regulations combined with the tax reform is leading to a favorable -- favorable conditions to market to grow. stuart: i think the media is trying to convince people that stock market gains don't convince ordinary people. they are dead wrong, 43 million
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americans with ira, 54 million with 401(k), all of them have done extremely well. >> government workers, firefighters, teachers, unions, these are regular americans from coast to coast and they are seeing numbers go up. i have a plan for my -- 527 plan for my kids for college, those things are important. stuart: we don't count them usually. i want to talk about the book, fire and fury about steve bannon, you've known about this. i'm not interested in getting in details of the book, i'm interested in whether or not you think this would affect the president's agenda, his legislative agenda? >> i do think it is. i do think it's a negative. it's more than just a two-day story. it'll be a distraction internally at the white house. i do think it affect it is way you have discussions. you can't just dismiss this and i'm telling you, when i was a
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republican in the congress, if this had happened to president trump we would be all over this and we would never let it go. there's a lot of details in there at the highest levels within the white house. you can't just dismiss it, it was inaccurate in the one sentence. i tell you, this is a bigger problem. stuart: do you think it holds up a deal on immigration, do you think it holds up a deal on funding the government? >> i think it becomes a distraction, instead of having national discussion about how to do major things that we have to do with immigration, welfare, reform, funding the government, spending on defense, most of the news media and a lot of people at the water cooler will be talking about this book. it is not helpful at all. stuart: doesn't it put conservatives in an interesting position because in the senate you only got 51-49. if a republican conservative stands up and says, i don't like all the government spending, you can have a serious problem with funding the government going
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forward. >> the easiest part was tax reform because you had to get 50 votes on reconciliation, the hard part for the white house, the new president, how do you get to 60 votes, you to bring along democrats. stuart: he's got the shift a little bit towards -- >> that's when you start to lose conservatives in the house and some of the more conservative people like mike lee in utah and how do you find that proper balance and there are a lot of people when they see a president struggling with the conditions of the book, they don't want to let them out under the mat and pound on him, that's the national tension, but the president having to get to 60 votes is the new norm because you don't have reconciliation to move the government forward. stuart: let me bring an economist here, if there is a big problem with funding the government and there's a delay in funding the government, dhauz hurt the market? >> it does hurt the market, it will also hurt the economy. it'll lead to increase in uncertainty, perhaps less investment spending and hiring
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activity to offsets benefits that we expect to flow from tax reform. stuart: john, problems in washington hurt market going forward? >> i think so, yeah, seven government shutdowns since budget appropriation act over ideological differences between republicans and democrats. this is political suicide for the republican party that's bad for the markets. stuart: 60 votes in the senate, tough to get, isn't it? >> you have to go get nine. stuart: jason, thank you very much, indeed, here is what we have coming up for you. we have to tell you about this, gary cohn is on the show, what does he think of the corporate response of the tax bill, putting back into america, that's what he wants, 9:45 he's on the show. special guest coming up, wait for it, daniel glavin, jr., i don't think you know the name but you have seen his work, he is the official hair stylist of the royal family, the brits, i want to know how much does he get paid for doing that, what
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would he change about my hair style, i will ask him, that's a promise, he joins us in our next hour, next, attorney general jeff sessions, he's taking on the legal party business announcing that he's cracking down on obama era rules that let legal marijuana flourish, what will judge napolitano say about that? he's next.
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stuart: all right, we are not as strong as we were. we are up about 100 points ago. where are the big techs, they have been on the roll, they have been on the roll for 18 months. look at them now. this is premarket. apple, amazon, alphabet, microsoft, all of them up a little bit more today. don't forget tesla. model 3 production headaches, they were down 3 to 4%
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yesterday, modest bounce-back, fcc chair pai canceling show in las vegas, security concerns, liz. liz: death threats. last month they evacuated fcc vote on net neutrality due to bomb threat that tushed out to be false. this would have been his first appearance at the biggest -- the world's biggest gadget show. consumer electronic show in vigas next week. he's now not going. no known nature of the threat. fbi has been looking into it but his family has -- he and his family have been getting blasted on the internet and on twitter because he spearedded the effort to lift net neutrality rules. stuart: so he's not going and can't explain the position? >> that's correct.
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stuart: jeff sessions roll back policy that would allow roll back marijuana intervention, gardner, thank you, liz, thank you very much, corey gardner, he's from colorado, that's where it's legal, recreational weed is legal, now he called out jeff sessions in a fiery speech on the senate floor yesterday. roll that tape. >> up until 8:58 this morning that was the policy. one tweet later, one policy later a complete reversal of what many of us on the hill were told before the confirmation what we had continued tobled last year and without any notification conversation or dialogue with congress, completely reversed, now perhaps the department of justice didn't think this would be a big deal. stuart: okay, judge napolitano has broken vacation to appear on
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this program on the phone and he joins us now. judge, okay, it's okay in some states, now the fed say it's not okay, surely the only solution here is new legislation in congress to sought out what's right and what's wrong at the federal level, what do you say? >> i think you're precisely correct and good morning and belated happy new year to you and the gang, stuart, looking forward to being with you on monday. look, congress made for better or for worse, i happen to think for worse, it is worse, marijuana unlawful, the obama administration looked the other way, first for medicinal and then recreational marijuana. act of looking the other way was reduce today writing in a memorandum by a fellow name tom who was deputy attorney general in the first obama
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administration and that memorandum went to all federal prosecutors in the country. yesterday at 9:00 in the morning, that's senator gardner's reference to 8:58, yesterday at 9:00 in the morning a memorandum signed by jeff sessions himself went to federal prosecutors throughout the country rescinding the obama rule and saying all use of marijuana is against federal law and is fair game for prosecution. this is going to create a mess not only in people's social and personal lives but for the huge and cannabis industry. stuart: is he going to turn federal prosecutors loose in all of those states which have okayed it for recreational use and say, just go get them, that would overload these officers, something rotten, wouldn't it? >> yes, yes, it would, it would infuriate the fbi as well as local police because for years, believe it or not, law enforcement has lobbied to make
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the person possession of small amounts of marijuana for whatever purpose lawful because they just felt it was a waste of their time pursuing people for this. if they are going to go back to the 70's and 80's on marijuana where people were sent to jail for 15 and 20 years because they distributed to friends and friends reimbursed them for it, that is going to require an entire reorganization of the justice department which is now key towards far more serious threats the united states like terrorism than marijuana could ever be. stuart: i have to say, i would like to know what the president thinks about this. he doesn't smoke, he doesn't drink, i would like to see his input on this, i don't think we sent anything yet. >> he hinted during the campaign that he would continue to look the other way, that's one of the reasons senator gardner was so angry because jeff sessions hinted at that as well. stuart: okay, judge, hurry on
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back from the vacation and we will see you monday. yes, sir, thank you. now where are we on the market? we have come back a little bit. we were up 100, 20 minutes. fox news confirming that the justice department is investigating hillary clinton, we are talking pay to play at the clinton foundation whether he recollects cover it after this. so how old do you want to be when you retire? uhh, i was thinking around 70. alright, and before that? you mean after that? no, i'm talking before that. do you have things you want to do before you retire? oh yeah sure... ok, like what? but i thought we were supposed to be talking about investing for retirement? we're absolutely doing that. but there's no law you can't make the most of today. what do you want to do? i'd really like to run with the bulls. wow. yea. hope you're fast.
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stuart: fox news confirms the justice department has launched a new investigation of hillary clinton. allegations that the foundation used pay to play politics while hillary clinton was secretary of state. jason chaffetz for more. i never understood why someone who was going to represent america at the highest level would accomplish a 2 billion-dollar fund, what's going on with that? >> if you really believe that nearly $150 million was poured in from people who had a vested interest in the uranium one deal, i mean, on the surface it makes no sense. you had former president bill clinton going to russia, taking fee that is were more than double -- for speaking less than an hour and making hundreds of thousands of dollars. it just absolutely doesn't make sense. one of the most precious resources in the united states
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on the surface can you name any justification for us giving up any percentage of uranium supply, makes no sense and if there's nothing there, then hillary clinton and their foundation have nothing to worry about but i do think objective people at the department of justice should take a look at and long-time coming, should have happened a long time ago. stuart: that's the point. this is 2018, these activities were going on a long, long time ago and they surfaced during the campaign but no investigation. any explanation for that? >> during the obama administration we kind of gave an excuse of, all right, it's the obama administration and it's a campaign year but this is why myself, jim jordan, mark meadows, a number of us that it's time for attorney jeff sessions to go, i don't think he's effective, major systematic problems inside the department of justice that are not being addressed, all the things going on in the world and the attorney general is worried about legalizing pot and going back
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against people like corey gardner, no, we are going to change without any notification or any discussion with congress. i just think that's -- i think that's wrong. he's off track. stuart: what would happen if the president fired him, you know? >> the president of the united states is constitutionally elected leader of executive branch of government. all too often we hear discussion, the president should have arm's length with the department of justice, no, we don't say that about the department of agriculture, we don't say that about fish and wildlife. should he not be engaged at the department of justice, of course, he should be. two bad things the president has done, allowing john to run irs, even though he's gone and appointment of jeff sessions, he's not up to the job. stuart: you should have never gotten out of politics but glad you're on fox. jason, thanks for joining us. where are we now in the market?
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we were going to up 100 points. we will take it, up 70-odd points. four minutes from now, watch this show. you'll see that market open. back in a second
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stuart: i predict, i confidently predict that the stock market as
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in the dow jones industrial average will open in about 10 seconds time, that's a good prediction and also open at a record high. yes, another one. how about that? all right, we have three second to go, it's friday morning, i'm going to call it freezing friday because it is. how do we open? i see a lot of green on left-hand side, we are up, 44 points. dow and s&p both at all-time record highs right from the get-go this friday morning. put it like this, we are up 50 points on the dow, that's about a quarter of 1%, 25,124, that's where we are. how about the s&p 500? what kind of percentage gain there? better than the dow, up .30%. almost a third of a percent higher, nasdaq all-time high, 7,106, just watch that thing go. that's tech-heavy nasdaq up nearly half a percentage point. what day to go at it?
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i need help, real help. liz mcdonald, of course, john and so d.r. barton, ashley is out today. i think he has problems with the weather in connecticut. liz: yeah. stuart: i hope you're watching and that you're warm. what is the single factor that's driving this market up, go? because tax cut deal? >> exactly. as well as the fact that nobody is looking for inflation to take off in a manner that might push interest rates sharply higher. stuart: okay, john layfield. >> so many johns. >> the single biggest factor pushing the economy? >> i agree, but i also think that tax cuts are not completely priced in yet. stuart: not priced in? >> i don't think that's priced into the market.
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liz: synchronized global economic growth swamping geopolitical risks possibly. stuart: say that again. >> countries around the world are growing along with trust and we always talk at the beginning of the year one of the risks is going to be north korea, is it going to be iran, when you have growth like this powering ahead, will that set aside those risks? stuart: i thought you were channeling esther williams. >> i'm with you, fellows. global growth, it's the economy, it's earnings, it's tax that hasn't been priced in completely yet. all these things are going to keep us with the floor underneath us. liz: at least i didn't get a buzzer. stuart: new york times headline after dow 25,000 the party has to end. that's a very negative thing. nobody doubt that is there's going to be a correction, do they? >> in the long run we are all dead, that's what they're reminding you.
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i don't think it'll happen any time soon. stuart: no pull back any time soon. no pullback at all? >> we might finish year higher than at the start. stuart: john layfield? >> there's not a recession on the horizon. stuart: now, dow tops 25,000, got it. individual investors, though, they pulled out about a trillion bucks from retail investor mutual funds since it started in 2012. d.r., that report suggests t the little guy who is out, is that accurate? >> i don't believe that was accurate, they didn't have hard numbers that 40% growth in etf's, i would say it might be double that and i think there's also much more activity with individual investors in individual stocks, mutual funds are dying, we can all agree to
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that, but the individual investor is not out. stuart: john. >> i hate to say this, there were a lot of individual investors that took direction from the mainstream media and when trump was elected president in november 2016, they got out of the market and now they really regret having done so. liz: 7 trillion. stuart: times did say there's a crash coming. liz: those guys are the risk to your wallet. stuart: got it. look at the price of oil, please, i think we are still around 61, maybe 62 bucks, 61.40 this morning. the administration says it will dramatically expand offshore drilling, almost all coastal waters will be there for global tax exploration. what do you say? >> saudi arabia always controlled oil prices, there's a systematic shock, they could roll over a million barrels, 2 million-barrels.
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taking place by west texas crude, also in north dakota, america being the leader is great. liz: permian base in texas? >> west texas. liz: sanctions on steroids when it comes to russia, we have now a dozen governors oppose and a republican governor of florida not liking this, rick scott doesn't like it, they are worried about pollution and oil spills off the coastal areas. stuart: i've got it, in principal i'm in favor of going to get the resources which are ours and i really rather buy oil that's been drilled offshore america that's been drilled in saudi arabia where they don't let women drive or vote. liz: i agree with you, the oppression of women is disgusting in the middle east. the u.s. will possibly likely dethrone saudi arabia and russia as the world's number one oil producer this year. stuart: i'm cheering it on, liz. get with the program. >> i'm just report to go you what the governors are saying.
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stuart: solid gain, we are up 56 points, 25,135 as we speak. check bitcoin, please, the price this morning 16 grand. the sec says, if you got scammed, you're on your own basically. that's what the sec is saying, they can't republican you. you're on your own, so what? >> the big thing here is that the so many people are getting involved in this, they are trying to do some consumer, some consumer help because there's more volume being traded on the cyber currency exchange than it is in the new york stock exchange on a daily basis. stuart: what? >> astounding. >> a dollar number, dollar basis. you look at the new york stock exchange, 20 and 40 billion a day, they are doing more than that on cyber currencies right now. stuart: doesn't change my opinion, i still think it's a
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basketball about to burst. >> biggest bubbles since the tulips. i don't think it's $15,000. i think a lot of people will lose a lot of money. stuart: of course, if we are wrong we have kept a lot of people out, but i think we are right, okay. what are you saying? >> i think you're right about this. it's dangerous investment. may go up 5,000, $10,000 if there are other people out there. >> it has 30% swings to the downside half a dozen times. stuart: i have to point out that one to have camera guys who you cannot see home viewers, he's investor in several bitcoin equivalence and done very well and not approving of this conversation. [laughter] stuart: put a mic on that guy. look at this. the parent of corona beer and charles smith wine, they report
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dis -- disappointmenting sells this morning. do we have a tesla? down a fraction this morning, 314 on tesla. big-teg -- big-tech names, here we go. close to all-time high on facebook. we have amazon at $1,215 per share, microsoft, i own some, 87.67, up another half percent and we have alphabet up 7 bucks, apple is up 53 cents at 173, here is news on apple, they have confirmed that their devices are effective by the same floor that google discovered which became public this week, d.r., is that -- doesn't look like a big deal for the stock, it's up this morning? >> no, and the thing is that we have found the security
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vulnerabilities, stuart, no breaches yet. no significant breaches, they've patched them, i think that they exist, we all know that they exist, that they are being transparent about it, probably a good thing. sears closing one hundred stores, macy's closing 7 stores, again, retail ice age, they had a great christmas, john, but the new year looks bleak, indeed. they will stay with this particular strategy. stuart: jeff jet blue jumping on tax bill. they are paying one thousand dollar bonuses to employees. would you expect more companies to do this because there's a long list that have done it already? >> i do. most of the earnings are in the united states and with corporate tack cut like home depot which i own and verizon which i own also, creep to the bottom line
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thrai pass a lot of that on. good-will gesture. liz: we have a list of a hundred companies many hitting bonuses and doing things like expanding jobs and plowing capital into operations, i'm just wonder whrg the media guy who is are complaining about this saying, they are trying to carry favor with the trump administration, they are going to give bonuses back. stuart: good one, john. >> a lot of capital spending, they are going to benefit from most favorable treatment of cap x. stuart: shortly we will have gary cohn on the show, i'm going to ask him is he satisfied with the response of business to the big tax cut which big businesses just received. as you said, liz, so far we have 100 companies? >> reacting to the tax cuts either bonuses or expanding jobs or plowing capital into operation. stuart: john, did you just mention home depot? you did. all-time high. see what you did there, john. you belong in new york, not this
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bermuda business. up 168, brand new all-time high. listen to this one. philip morris announced a radical rebranding idea that will focus on smoke-free products. what is it, liz, quitting cigarettes? >> they put rebranding for a bigger push for e-cigarettes, they are still going to make tobacco products, thought of as smoke-free company. they are putting out ads when people are making new year's resolution to quit smoking and things like that, part of new effort to rebrand ourselves as a e-cigarette company. >> to be clear only in the uk so far, stuart, that's why we haven't seen any -- pm stocks not dropping. stuart: really? only in the uk. >> only so far in the uk. >> e-cigarettes will replace cigarettes in the uk.
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the world health organization, wait a second, there's chemicals. stuart: philips morris stock is up today. >> bigger smoke marijuana instead. maybe jeff sessions will go up after philip morris. stuart: e-cigarettes, yes, i believe -- >> that's part of the statement. stuart: mark zuckerberg, he resolves to fix facebook this year, he posted that the company, quote, has made too many errors. liz: come on. i read his six paragraph statement. no where how he will fix fake news, terrorists, website. he said last push for last year to visit everybody in all 50 states. i still don't know how facebook is going to fix the problem. >> i don't know how they can.
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2 billion people use it every single day, how on earth do you police a network that big and make valued judgment on all the billions of posts that are made every single day without turning into a chinese-style sensor. >> i own facebook. promised mobile video, one of the smartest guys in the world. he figured it out. $610 million, and lost start to are murdoch. >> they keep making more money every quarter by increasing dollars per user every quarter. as long as they are doing that, i'm holding onto my stock, john. >> easy to monetize. >> i'm not sure i believe that number. stuart: have you noticed since the election, 14, 15 months ago, have you noticed how we constantly refer to the same group of stocks, largely the
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technology companies, we refer to them all of the time, we always have an amazon story of the day, we have a facebook story almost every day, why is that? >> it's the 1990's all over again. it really is. bigger companies are becoming bigger. stuart: do you approve? >> i do approve and i think it's up to each of the companies to keep adding value to keep doing what they are doing. liz: you didn't get a buzzard in duopoly. what a morning. [laughter] >> radio listeners cannot see this but i'm going to tell you, we have six dow stocks, 30,000 stocks, six of them hit all-time record highs today. on the prompter -- i'm sorry on the screen i've got microsoft at 87.82, dow dupont, dow stock, 75.35, united tech, another new high, 131. before that we had what was it visa, home depot, caterpillar, wal-mart, all of them record
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highs. that's what you get when the dow industrials at 25,144 and that's where we are right now. one more, the apple story of the day. here we go. the head of apple music reportedly leaving the company in august of this year, nicole, come in, please, what's going on with this guy? i can't even pronounce his name? nicole: i know, we had to look it up, jimmy ivine, he's a music legend, he worked with springsteen and u2 and eminem and tupac. he was the founder of beats with dr. dre. brought it into second place, they have 30 million subscribers, he's behind planet of the apes and car pool karaoke. it's interesting to see that he will be out the door shortly.
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where would he go next and what happens to apple music going forward? of course, apple music has done tremendously well but this guy is out. stuart: thank you very much, indeed. d.r. had an interesting, he's out after his apple stock next. [laughter] >> that means he's waiting till august because he gets a whole bunch of extra stock options that are available to him then. [laughter] stuart: you're talking about mccabe guy at the fbi. he's not going to leave until his pension is secure. i digress here. 25,141. it is freezing friday, ladies and gentlemen. temperatures all across the country really plunging and by the way, gets worse tomorrow. i think -- are you going back to bermuda any time soon. >> i hope to go back tomorrow.
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[laughter] >> winter has come. stuart: put my map up again. minneapolis, minus 22, current windchill. chicago minus 15. new york is minus 9. liz: dangerous. stuart: bundle up, lizzie. >> the big board still warm, stuart. stuart: very good. albuquerque, new mexico, 25-degrees. producer tell me, do we have gary cohn with us yet? we do. he just said yes in my ear, joining us now national economic council director gary cohn, gary, welcome back to the program, great to see you. >> of course, i'm with you. stuart: just before the new year i think just before the tax deal went through, you had a room full of ceo's, all right, how
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many of you are going to invest more when we get the big tax break, very few hands went up and you said, why so few, well update that now because how do you feel about businesses' response to tax cut you gave them? >> first of all, that room when you look intoed the room it was not the ceo's of america but i'm not going to spend a lot of time talking about that. look at what's happened since we announced tax reform in just two weeks we've had well over 100 companies announce year-end bonuses, 401(k) contributions or increase to minimum wages for about a million workers in the united states. so a million workers in the last week of 2017 got a surprise just because of tax reform package and that is something that we didn't expect to see. in addition to that a bunch of companies did announce capital expenditure plans and we expect to see a lot more action and
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activity just like that. stuart: you've heard the criticism. it's just window dressing, companies trying to look for president trump so they are in good standing, that's the criticism, isn't it? >> if you got a thousand dollar bonuses and you weren't expecting it, i don't think that's window dressing. if you're an hourly employee, i don't think that's window dressing, i think that's real disposable income that allows you to live your life better and pay for things that you need. so tell those employees that window dressing, i don't think that's the response you'll get from them. stuart: okay, late last year you frequently told us that, yes, we are going to get the tax reform signed, sealed and delivered, now look at the future, when can we expect an infrastructure deal? >> january will be good month for infrastructure, you will be seeing infrastructure plan. two core principals in our
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infrastructure plan, number one, we are advocating over a trillion dollars of infrastructure investment, but even more important than the trillion dollars of infrastructure investment is we are really advocating and we are really going to get this done. we are going to get the approval process on infrastructure, streamlined in a dramatic fashion, we will take approval process down from ten years to less than two years, we are striving for 18-month approval process in the country. there's enormous amount of infrastructure that is looking to be done right now. it's just caught up in the approval process. if we can get it approved, you will see a dramatic difference in infrastructure in the country over the next couple of years. stuart: gary, you're the point man, you're the guy on the phone talking to politicians trying not -- not strong-arm them but persuade them to get behind the infrastructure plan and here we've got this book about steve bannon and all this gossip about what goes on inside the white house and some people on this
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program this morning, that book, that gossip is going to get in the way of the president's legislative agenda, are you running up against that kind of problem when you get on the phone to these politicians now? >> absolutely not, stuart. i was meeting in the oval office with the president yesterday with six or seven key senators. we spent 100% of the time talking about the 2018 legislative agenda, what we need to do, how we are going to get things done and how we are going to improve the lives of american citizens. stuart: we have your favorite newspaper, gary, the new york times -- >> no, that's not my favorite newspaper. stuart: you want to tell us what it is. >> another new york newspaper but it has colored pictures on it. [laughter] stuart: i don't get it. give me a break here. the headline in the times is after dow 25,000, the party has to end, but when, that's their
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headline, are you worried about this market going up so fast? >> not at all. i think you and i talked about this over the course of the last year, stock market valuations are a function of future earnings of companies and how companies are doing, companies are doing well. u.s. consumers are doing well, they are going to do even better under the tax plan, talk about those people that got their raise already that hourly wages went up. we are going to drive businesses back to america, we are going to drive wage income in the united states through tax reform, as that happens, they will be spending more money. companies will be selling more products, companies will become more profitable. their tax rate will be lower. they will have more earning, the forward value of those earnings will be higher, stock prices will go up to reflect that. that's how the stock market works. we are comfortable with where the stock market is. stuart: okay, where are you going from here? you're the guy who pushed through tax deal that was your
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job, look forward, you will not be the chairman of federal reserve, i thought you would be you are not fed of the chair, what are you going to do? >> i will continue to push president trump's economic agenda. i think we have a great plan here. i told you we are going to start out with reg reform. we got momentum in reg reform and we have done a lot to change psychology on regulation, i told you we were going to get tax reform done and we have gotten tax reform done. we will do infrastructure, we will continue to do reg reform where we haven't finished yet. we have a lot to do to drive the economy ahead and make it a better place for businesses, for consumers and to grow the economy. stuart: we would love to have president trump as guest on this program, see what you can do for us. gary cellular phone -- cohn. >> stuart, always a pleasure. stuart: you all heard what you had to say, i'm going to pick
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one thing that struck me, they are going to speed up the approval process dramatically for trillion dollar infrastructure plan, i think that's a big deal, john? >> this is not going to expand commerce, this is going to repair commerce. i believe congress is incompetent at best and they could with gary cohn and these guys pass -- >> he may be referring to regulatory impediments as they relate to environment. you want to get these out of the way as soon as possible so infrastructure spending can take place. liz: it's interesting, they are taking a business approach to government and trying to do away with id -- impediments and more rapidly change country, it's going to be a big fight at local level. we had subway workers here in new york city getting paid every day for doing nothing, tens of thousands of workers, so at the local level when it gets to
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worker unions, it's an issue. >> john mentioned it earlier, this is not window-dressing when you're spending on cap x, we have been complaining able financial engineering, share buybacks, now companies are going to start spending on cap x because of the changed depreciation schedule, that does have long-term economic value, that's going to be the hidden gem. stuart: cap x is capital expenditure. >> no buzzard. stuart: you are running a business and want to invest in computer system that's capital expenditure, as of right now whatever money you spend on it, immediately -- >> there was a drought of that under the obama administration. stuart: john. >> you have more capital spending, not cap x, improve
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productivity, real wages, workers will be able to produce stuff with higher value, they'll get paid more, the middle class will start to solidify. stuart: out of time, layfield, d.r., thank you very much, indeed for being with us. check the big board. we didn't talk the market up at all. gary cohn did not talk to market up but he thinks it's going higher. we are up 71,000, the dow industrials 21,146, another day of records for all three major averages and coming up charles payne, is he at all cautious? i don't think he is. a new federal probe into alleged pay to play at the clinton foundation, my take, my editorial on that coming up minutes away.
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: . : : hey, you every talk to anybody about your money? yeah, i got some financial guidance a while ago. how'd that go? he kept spelling my name with an 'i' but it's bryan with a 'y.' yeah, since birth. that drives me crazy. yes. it's on all your email. yes. they should know this? yeah. the guy was my brother-in-law. that's ridiculous. well, i happen to know some people. do they listen? what? they're amazing listeners. nice. guidance from professionals who take their time to get to know you. ♪ ♪ why did hillary clinton organize a billion-dollar foundation when she was
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secretary of state and planning her run for the presidency? her spokesman says it was philanthropy. the foundation does life-saving work. critics have a different response. the justice department is investigating the foundation as a pay to play vehicle, a political slush fund. fox news learn the fbi is looking to allegations that the foundation promised favors in exchange for donations or pledges of cash or gifts. it always seemed odd that someone who is about to become america's chief diplomat would take money from foreign governments, and it seemed odder still that when she iran for the presidency, hoping to become the first female president she would take money from saudi arabia where women can vote or even drive. doesn't it at least give the appearance of pay to play? judicial watch reports that hillary's top aide had e-mailed on her account from the clinton foundation donors
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requesting and receiving favors from the state department. where is the team of investigative reporters at the new york times or the washington post? they are nowhere in sight. they have bought into the clintons that they turn a blind eye to money grabbing politics. way back in the late 70s when hillary was first lady of arkansas, she miraculously turned the thousand dollar investment in $200,000. how did she do that? by reading the wall street journal she said. that was, fishy. no surprise then that it is the u.s. attorney's office and the fbi in the rock arkansas that is now leading the investigation to pay to play in the clinton foundation. the second hour of barney and company is about to begin. ♪ ♪ ♪
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>> i'm going to call it a modest gain. we are up 66 points. we are at 25136. we just got some interesting numbers, i think it's on the services side. >> it's coming in at 55.9 so again, not a great number for the services sector we saw services drop. the factory order are coming in pretty strong, with up 1.3% october through november, manufacturing in the u.s. is enjoying a good year, best year since 2004. >> the jobs numbers disappointing. >> that is correct. >> maybe investors think that means the fed will not raise rates, i'm not in tune with all that thinking. we're up 64 points, 25140. big tech names was gotta check them. facebook, aim is on -- amazon, microsoft, apple confirmed today all of its devices are affected by a
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security flaw. it makes no difference to the stock. it is up one dollar. the dow 30, six of them hit all-time record high. home depot, caterpillar and walmart. move on to microsoft, dupont, united technologies all of them record high as of today. cisco near a 17 year high at the bank of america raise the stock to a buy at 3960, up one and half percent. price of oil going nowhere, $61. barrel. record high for the dow, the s&p, nasdaq, that's the backdrop. chilcharles payne joins us now. i talked to earlier with maria and you said today this year reminds you more of 1925 in
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1929. >> absolutely. >> or if we wanted to fast-forward, maybe 1995, 1996 when alan greenspan warned of irrational exuberance in the market continued to rally for another few years. people try to guess of this is the top because the market is old. there's a lot of parts to the economy. it's not about the service side. manufacturing, even this morning and the disappointing jobs report can you have 30,000 construction jobs. 25000 manufacturing jobs. 80p's number for the full year, goods producing jobs. these are people who work with their hands. this is the heartland, this is what gave trump ohio and pennsylvania. those jobs up six 100% year-over-year. over 500,000 versus 80000. this is what's happening in this is what's reflected in the market. you talk about the big tech names, there's always some great stories, but west rock
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packaging was one of the hottest stocks yesterday up almost 35 - 40%. the packaging company. these are reflective of the great jobs coming back in the underlying economy retail jobs down 20000 to a different sort of economy. >> we have this report that sai said, close to a trillion dollars has been taken out of retail mutual funds. i think that since 2012. now that has been taken as a set signal that the little guy isn't in the market. i can test that. i don't think that's true. >> i agree with a lot of people have switched mutual funds to atf spread their cheaper and easier to trade and they don't have the fees. i think that's just a natural smart move. i deal with individual investments every kind of day. they're not putting in the same kind of money now.
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they used to think they could make it back but now folks are in this market but even cautious. even people who are diehard fans are in the market but at a much more cautious approach than they were before. that's fascinating. >> that's what happens after a couple market crashes in your lifetime. even when you're excited. even when you can see the world around you getting better, you proceed with caution. >> we have a lot more view. president trump said in a tweet, the media barely mentions the market. can you imagine if boaz and president obama had these numbers? would be the biggest story on earth. down now over 25000. fox news contributor joins us. i think he's dead) i just don't see this extraordinary economy and market reported on the front pages of our major newspapers. >> very rarely am i happy that there's 280 characters on twitter but that's where you could bigger message from the president. it's important and it reminds you why his opponents and the establishment want him to stop tweeting. this is a perfect way for him to go over the heads of the media, not just to make sure the american people are
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reminded about what's going on, but reminding them about what the media is not doing because it's difficult to prove the negative. the media has gotten away with this for a generation or two by deciding what the narrative and reality would be. by ignoring the truth of the matter. this is key and it's important information. >> he is right. if this was the president obama administration and the market had gone up like this and we got three, three and half% growth in the economy it would be all over the news. >> even more, even if it had gone down, that would be categorized as a good thing for america. if it had gone up 1% that would be the fabulous event. this is about spin and the president is moving us fast. that's another great thing he's accomplished. >> you have to grudgingly start to accept that the market economy is doing really well. this is an extension of the
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obama economy according to some but they never came close to the 3% growth. since the world ignored trump there's something to that effect. they just won't give the man any kind of. >> in the atlanta fed just raised increases to the gdp numbers for the recent quarter. it's double the rate of growth. >> i do have to bring tammy into my editorial at the top of the hour. >> it's fabulous. you're absolutely right. >> you write. [laughter] the truth is easy, isn't it. >> look, i can never understand why the media didn't go after this foundation. what on earth is someone, a
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politician who's about to become the secretary of state, and then maybe the president of the united states, what is that person doing taking $2 billion from foreign governments? >> look, when something is that obvious in the public view and it's not covered, you can imagine all the things that are still hidden that normally you would rely on reporters to bring up but i can note that the american people already know that this is a problem when the foundation donations fell by 42% in 2016. when it became clear that she was losing and there was this plunging of donations which indicated that there was an expectation, at least amongst donors that there would be something for them to get for this and when that became less obvious, that's what i was like the bell started going off. people like jimmy carter still have really good foundations operating. rbc the reagan foundation. just because you don't get a particular political job, you can still do good work and this was a key difference for her. >> i just remember that after hillary lost, a long line of donors said can we have our money back. that's another story entirely.
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i have to talk about steve bannon and the book fire and fury. guess have said this is going to create real problems for the president agenda in congress because to do the big things you have to have 60 votes and you don't have them. it just makes it even worse. >> this is more of the same. all of this is gossip and opinions. this is whether it's gossip of somebody who works in the white house or the imaginations of mr. wolf, but it's nothing new. the president is now experience this for a year end a half. the differences there is some betrayal and that becomes difficult for any person to be betrayed in a certain way, especially by someone who is close to you. remember this weekend he is
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meeting at camp david with congressional leaders, specifically to talk about the upcoming year end the agenda. this is moving forward. the man is governing. he's running the country. we are obviously in the throes of the great results of his governing. there is still focus on the agenda and policy, that's not going to change. >> got it. >> you and add anything to that. >> i agree with tammy. i think the difference, the icebreaker between the media trying to force a certain narrative from president trump in the white house will be people seeing their lives improved. when people are making more money and they feel better about their own individual lives, that will be the deciding factor. >> you just heard gary cohen on the show a half hour ago, a million workers last year, late 2017, got a thousand dollar bonus which they weren't expecting. that's big news. >> wolf is from the establishment media. this confirms the war against him and the media are not something the president should remind people of. >> let me move on to another big story of the day which is the weather. even in a blizzard the new england patriots practiced indoors yesterday. >> but they had to trudge through the snow and ice. >> for baby. the coach told his team the
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weather was not an excuse for being late but they made it. coming up, the trump administration opening almost all of the u.s. coastline to new oil drilling. that has some republicans upset. we are on it. plus the man who gets the royal family camera ready. he will be involved in the upcoming wedding and he's on the show. he's the hairdresser to prince charles and his wife camilla. anything you ever wanted to know, he will tell us. that's him with his royal highness. we've got him on the show in this hour, i do believe. we get it all on barney and company. ♪ ♪ ♪ ♪ ♪ ♪ ♪ ♪ ♪ ♪ oh, that's great sarah. let's talk about this when we meet next week.
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how did edward jones come to manage a trillion dollars in assets under care? jay. sarah. so i have a few thoughts on that early retirement... by focusing our mind on whatever's on yours.
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the gain bands 60 points
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higher for the dow industrial print look at that level, 25136. retail ice age, here we go again. sears closing another 100 stores, that's on top of stores that closed already. were also going to tell you that macy's is going to close another seven stores. they've closed a bunch already as well. retail ice age. tesla, no bounce back after yesterday's loss. they've got production and delivery problems with the new model three. they were down several percentage points yesterday and they are down a little bit more today. and now, the man who gets the royal family camera ready. hairdresser to prince charles and camilla, this is the man who may be involved in the upcoming royal wedding, prince harry and macon markel. he joins us now. daniel, welcome to the program. it's great seal. >> how are you doing.
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>> very well. there's a little bit of a delay so i'll try not to talk on top of you. are you involved in the big royal wedding with prince harry and macon markel? >> well, i'd love to hear if i was and who knows. i do work closely with the prince's wales internationally on developing various notions and potions for his home and also through his charity. i've actually got some of these excellent products from his gardens which are absolutely amazing. >> can you smell that. >> i can't actually. it smells wonderful. and bring it to the americas this year to high-end retail stores. >> oh, you responsible for prince charles hairdo? >> no, i'm afraid i'm not responsible for prince charles
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hairdo. >> are you responsible for the duchess of cornwell hairdo. >> which members in particular. >> what i'd love to tell you, but you know i'm bound by client confidentiality. [laughter] okay. all right. how much do you charge, can you tell me that? >> it's been my heritage, i've been doing it for 35 years, whether it's mrs. smith from high street a list of celebrities, members of the royal family, whoever it is, they'll get treated the same and charge the same. for me too color your hair would be about 500 pounds for ahead of highlights whether you wanted it to be sun-kissed or icelandic scandinavian blonde. >> 500 pounds is approximately $65700. you don't come cheap.
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650 -- $700. i don't know whether you can see me or not. you have a monitor if you can see me. >> no, unfortunately not but i do know what you look like because i wanted to know who i was going to be speaking too. >> what would you do for me? >> funny enough, when i look at people's pictures one of the first things i look at is their hair. obviously you're very successful businessman and very sharp and dapper looking so i wouldn't change anything too much. if anything i would give it a bit of the george clooney color and we've a bit more charcoal silver fox color into your hair which i'm seeing an increasingly positive color that's in demand in the uk. >> now you don't know this, but you just set off riots of laughter amongst our production team on the idea that in my reason is all the
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silver fox. it's good for ratings i'll do it. >> when i come to the states outcome and do that for user. >> i couldn't hear you. love, daniel, when you come to the states can you come to the set and you sit right next to me. i want to see what you will do for me. thanks for joining a spread we will see you later. that's a promise. thank you very much. >> complete change of subject. shall we do that? intel ceo is under fire. he sold millions in stock before anyone knew about a flaw in intel chips. we have that story for you and it is next
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>> i've never heard of them but i'm told there well known. the discount retailer giving a profit warning investors don't like it the stock is down nearly 20%. intel says hackers found flaws in its chips but it's what it ceo did that is making headlines. hillary vona standing by with the story. what he got. >> stuart, just last week intel ceo grace the cover of forbes magazine. intel ranking number one in their 100 list. they put in place first and are expected to outperform their competitors. less than a week later they are in the news again. this time facing questions surrounding a sketchy stock sale. here's what happened. intel ceo got rid of as much stock as the company allowed after he found out about the design for in intel products. that's turning heads because he made the sale without
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telling anyone else about the design flaw but that's not the only move that could have the sec taking a hard look at the sale. they also mean changes to the terms of its trading plan just a month before selling $39 million worth of intel stock number leaving him with only 250,000 shares. that's the minimum amount intel requires him to have. he dumped his stock on november 29 in his company didn't make the flaw public until january 3 of this year. now intel spokesperson says the rule change to allow him to unload most of his shares was unrelated to any of this. >> hillary, thank you very much. here's what we have coming up. the frigid friday edition. north korea is reopening to
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medication with south korea. the administration, the trump administration has agreed to stop a military exerciser in the region during the olympics. why is kim jong-un, rocket man, playing so nice. ♪ ♪ ♪ ♪
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♪ ♪ this song puts me in a good mood. the classic song, she loves you, i remember that. i was about 16 when that came out. quite a song. we've lost some of the gam gain on the dow. the level is 25116. look at this one.
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the parent of corona beer and charles smith winds disappointing sales report today. 4% lower, of nine dollars, down on the stock price. amazon, alphabet, microsoft, all of them hitting all-time highs today. remember these names lead the broader markets to repeat the records for all of the past year end there up again today. how about that. north korea and south korea are talking for the first time in years ahead of the winter olympics. general jack joins us now. i should say you are retired four-star general, onto. >> if i am. that's pretty high up there. >> yesterday. >> are you happy to be sitting next to me. >> it's always quite humbling. i don't think kim jong-un has ever met a present like donald trump. i think trump has really
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confused him. he doesn't know what he's doing. >> he hasn't met 70 present because he's so young, but the reality is he's had to change his calculation taste on trump. he clearly believed once he acquired this nuclear icbm capability that with president obama he would acquiesce and accept it just as we accept russia and china. that's kind of the ballpark he thought he was playing in but trump has changed that calculation because he's not going to accept it. >> we are not going to accept a nuclear north korea with icbms. president trump has to make kim jong-un believe that. he must never give any sign of appeasement ever. >> you been working on it for a year end some of the languages rich and colorful and some of it is a little off the top to be sure, but listen, i think here's the real calculation. kim jong-un has always believed that the united states is prepared to conduct the regime change in north
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korea. the evidence of that is after gadhafi in libya gave up his chemical weapons we did the regime change. that is when he moved to nuclear rise icbms to hold the american people at risk as the only way to guarantee the united states would not conduct regime change. now he is talking to south korea. he is always using negotiations in the past to advance his program technology wise. he took advantage of previous presidents, typically his father and his grandfather. what is happening here, i think is an opening for us because i don't think we will ever get him to stand down from nuclear icbm. i think there has to be some negotiating point in between to convince them that we are not going to do a regime change. what is always looked at are these exercises that we do as a means to practice foreign invasion.
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he's absolutely 100% correct. that's what we do. >> that's what were doing. >> we've delayed this exercise, the next one until after the olympics. i think this is a vehicle on which we can begin some substantive negotiation short of the nuclear rising icbms. leading to that is the objective. >> that's a hopeful thing. >> do you think he would have been led to this point if president trump were not as strong in his stance into where he stands west mark. >> i totally agree with that premise that president trump has forced kim jong-un to recalculate. he knows he's dealing with somebody who has the capability and also the intent to use a military option because he does not want to have the american people been held at risk indefinitely. >> is the president forcing a recalculation in the middle east? by withdrawing money from the pakistan, threatening to withdraw money from the palestinian authority, is that
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money squeeze that's part of a recalculation? >> think it's just a general intent on his part, from what i understand, when his advisers bring him through policy recommendation, he always starts with the basic premise, why are we doing this, where the only people footing the bill, why do we give so much money, why do we provide more money to the un than anybody else. why are we providing all the money to sustain nato. why are the other countries footing the bill. he always asks these questions. this thing with pakistan though, he has broken with two previous presidents for 16 years. ever since we deposed the taliban, the hud county network fled into pakistan and they've been at the same safe haven the whole time. the leadership of the taliban fled south into tell them. they've been there this whole time. you can never defeat an insurgency has long as there's a safe haven for them outside the combat zone. for 16 years this war has
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protracted. one of the reasons why it's protracted, obama's policies were at fault and bush put a priority of iraq over afghanistan for six years. that delayed it. but, even with the president commitment to see afghanistan through, it will never end favorably as long as those safe havens are there and they provide the money and they provide the intelligence. one small point. some of the money we give to pakistan's is to secure the nuclear weapons that pakistanis have. if we withdraw that money are we increasing the risk of a problem. >> no, but they've held this overhead for years. the reality is they can easily make up that money with the chinese. there, take care those nuclear weapons. they know they can never let them fall in the hands of the radicals. but what's been outrageous,
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the pakistanis lie through their teeth because they provide intelligence about our operations. they provide training and resources to the afghan taliban who were fighting, and that's why this has been such a horrible policy we've had on the unwillingness to confront them. we have a president who finally, after americans are dead and have blood on our hands are going to confront them. >> you approve of this president, don't you. >> i do. i don't approve of all the rhetoric but i watch the policies and the results and i think he's moving in the right direction. >> thank you very much. good talking to you. >> better check that market. we are still holding onto a gain but not like we were earlier this morning. we are up 25121. now this. construction spending, a record high in november. it's going ahead at an annual rate of one point to
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$6 trillion. come in michael bellman, associate contractors ceo. all right. that was a record in november. i believe it was the result of a specific act or specific chain that the president made. tell me about it please. >> first of all, it is the highest band that we've had since 2007, 2008. it's absolutely terrific. the culture of the real estate and construction industry is totally transformed with this president. everybody's ready to invest, tax policy, it's all good. now, the construction industry is pretty much in a boom if i could put it like that. do you have, and here comes the infrastructure plan shortly, do you have the skilled labor required to
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carry out the info structure plan and keep the construction boom going? you have enough workers. >> stewart, that's a great question for the last time we were at this peak we employed about 500,000 people more than we are currently, if we get infrastructure that's another 700,000. we have got a challenge but our industry is right for disruptive technology. we have shifted from time-based apprenticeship to compensate based and were starting to get this message out. we've got a little bit of time. there's a couple other things at the president and congress can do to stimulate fair and open competition so we can bring all americans to the table. >> what about immigration. would you like to see more immigrants, skilled immigrants coming into the construction industry? >> i think immigration is honestly a topic that is going to be addressed here this year. it's got to be. the process is what the construction industry uses quite a bit. would we like to see those terms increase from three years to more, sure. we would like to see the cap increase but with the numbers we are talking about this is just one element to help
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stimulate employment in our industry. >> can i leave it at this, the construction industry is in boom times. is that accurate. >> yes it is. wage growth is coming and it has already happened in 2017 with more to come. >> i think about 30,000 new construction jobs just in the month of december. there you have it. michael bellman, thank you for joining a spread we appreciated we will see you soon. >> more bad news when it comes to nfl ratings. >> it's really bad. two-year ratings so this season it's down 9.7%, the ratings. the viewership. it was down 8% year-over-year last year. what's really jumping out is the slide in the number of viewers watching blockbuster games. there was only one blockbuster game that really rated and that was the patriots and the steelers. two years ago 13 blockbuster game solidly rated with
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15-point oh or higher. was at the protest of the national anthem or is it streaming? it's a mixture of both and streaming is likely the culprit. people are watching on devices and are they picking all of that up correctly. are they grabbing the number of viewers watching on ipads and streaming. >> they are doing the rating to capture more the viewers, but still that turn off about the anthem protest is an issue. the nfl is that struggling to deal that. >> we've still got a retired four-star general sitting next to me and they know if you think about football. >> is i called soccer. [laughter] it takes nerve for a guy with makeup to ask your entire four-star general does he know anything about football. >> will do you. >> i do. >> i haven't watched a single nfl game since the protest bega began. >> deliberately. >> yeah. i usually don't tune into the playoffs and i would normally
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watch my new york giants if they doing okay but if they're not i normally don't watch, but i haven't seen anything. i've lost interest. >> you know you've missed, was in the b-1 bomber, some huge flying wings flew right over the stadium just the other weekend. >> i saw a snippet of that on fox. >> it looked good. thanks for joining us. >> check this one out. michael wolf tell all, fire and fury book on the inner workings of the white house selling out in 20 minutes at one bookstore in d.c. could this interfere? the book in the aftermath. could it interfere with the president's agenda? we will ask that question. the trump administration opening almost all of the coastline to drilling. the response. the critics of this plan in just a moment
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they spoke at the white house economic director gary cohen and asked him what is next on the trump agenda. now that tax reform is done. let's roll tape. >> i'm going to continue to
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press president trump's economic agenda. i think we have a great plan here, i told you were going to start out with regulation reform. we have enormous momentum and i think we've done a lot there to change the psychology of the business community on regulation, i told you we were going to get tax reform done, we've gotten that done, we are going to do infrastructure, we will continue to do regulation reform where we haven't finished yet. we still have a lot to do to continue to drive this economy ahead and make it a better place for businesses, for consumers and to grow the economy.
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a 40-point gain is now holding, 25120 on the dow. the trump administration really dramatically expanding offshore oil drilling. jeff is with us, he is at the cme in chicago listening and talking to the oil traders. what do they say about this oil drilling deal? >> they are of two minds on this. on one hand they say this is never going to happen, the republican governors of the states that opposed the are going to stand in the way and states rights are gonna come in and this is just not to happen and we don't need it anyway because we are producing so much oil, on the other hand our phil flynn. >> and i really didn't realize this place is a company called rice energy says that there has been the lowest ever volume of oil discoveries in
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this past year in 2017 and another report saying that investment in new discovery is going to fall 7% this year so maybe we do need those extra reserves. >> one other thing i want to draw your attention too, natural gas, we been looking at natural gas and why hasn't moved on the futures market with all of this cold that we've had. this is the futures market. keep in mind the stock market actually has been treating at a hundred times futures particularly in the northeast were pipelines make it difficult to get gas to the people who need it. huge price spike on the spot market. the futures haven't moved, just fyi. >> that's very interesting because the stock market is for immediate delivery. very good point. thank you very much indeed.
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now, joining us, catherine mcgregor who works in the interior department was secretary dinky, catherine is all about the offshore drilling deal. welcome to the program. good have you with us. >> thank you. it's great to be her. >> before we get into the opposition that you are going to meet, i want to ask, do you have any restrictions on where offshore? for example, will be close to the beach or will be way out there bu be on the horizon where i can't see it. any restrictions like that? >> stewart, it will really come down to geology and where those resources are but i will tell you, we don't regulate, we don't go in state waters so it won't be directly off your beaches. >> now you know you will get a lot of opposition to this. the republican governor of florida, rick scott doesn't like it and i'm sure that the governor of california hates it. how are you going to get around the sprint i know you're laughing but it's true. how are you going to get around that kind of opposition. >> we've already received a letter from over 150 members of congress in support of a strong offshore energy plan and that's what you're seeing in this plan. it is a plan that reflects the president's goal of energy dominance and of course this is a draft plan so we will be
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working very closely with governor rick scott and other governors in the future to strike the appropriate balance and go where the most areas make sense. >> how do you mean the appropriate balance. i received not going to be oil rigs up and down the eastern seaboard. but what would be the priority? where the oil is closest to the surface and easiest to get? >> think it will be up to, we will work with states and take a lot of their feedback. the important part is we have 60 days of public, to get, from everyone, whoever wants this matter, we will take them on account. if you look at areas like alaska with strong prospects really close to the transatlantic pipeline, those areas were excluded by president obama's five-year plan. we are opening them up, we want to start the dialogue and make sure states like alaska with strong bipartisan support has that opportunity to have leasing their. >> is alaska going to be the first place.
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>> that's one of those strong areas i think we will see quite a bit of support coming in. >> and the last place we will be offshore, santa barbara california. >> you think, do you think can overcome this opposition. >> no, i think we will take into it account the opposition and take into account the support and ultimately we will focus on what the needs of the american people are, not just today in 2017, but ten years from today, because when it comes to offshore energy those are billions of dollars and long-term investments that take a while to bring to production. we are planning for our nation's future. >> if you were to share revenues with florida and carolinas in california, that would help. i'm sorry to say i'm out of time. we would love to hear about america becoming energy dominance and you're part of it. thank you for being here.
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>> thank you for having me. >> new england, trying to recover from the mom cyclone. now they have to face bitter cold. we will show you, in a moment, the true face of real cold. back in a second. ♪ ♪ ♪ ♪ we do whatever it takes to fight cancer.
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these are the specialists we're proud to call our own. experts from all over the world, working closely together to deliver truly personalized cancer care. expert medicine works here. learn more at
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the east coast dealing with the aftermath of a massive winter storm. now a deep freeze coming this weekend. they are in hartford connecticut with more. >> liz, good to see you. it is an absolute deep-freeze and not to challenge the storm presents. it packed quite a punch, affecting almost the entire atlantic coastline. especially areas that flooded yesterday, that became a big part of the story in boston. they are worried those areas might freeze over. we were there as the waters came flowing in. the suburbs were affected as well. that water has receded but freezing is a concern.
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we drove moments ago and they've done very good work to get it paved down or plowed down to the pavement. they are doing the best they can with us. we will get wind chills of 20 or 25 below. it's already below zero. this income i go back to you guys. the one thing i will say is the absolute worst fears have been at averted in terms of widespread power outages. the authorities were really worried about that. at the worst of it there were 25000 people without power. now it's about 500. >> stay warm, my friend. we've got the third hour of barney next. stay right there.
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my "business" was going nowhere... so i built this kickin' new website with godaddy. building a website in under an hour is easy! 68% of people... ...who have built their website using gocentral, did it in... ...under an hour, and you can too. type in your business or idea. pick your favourite design. personalize it with beautiful images.'re done! and now business is booming. harriet, it's a double stitch not a cross stitch! build a better website - in under an hour. free to try. no credit card required. gocentral from godaddy. stuart: the dow hits record after record, and the president
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tweets: the fake news media barely mentions the fact u.s. business is booming. of course, he goes on from there. he's right. the economy and the markets are doing well, and the media is frat out ignoring it -- flat out ignoring it. no trump success will be fairly reported. just look at this. new york times this morning, here is the headline: after dow 25,000, the party has to end. but when? talk about accentuating the negative. 43 million americans have an ira, 54 million americans have a 401(k). they've all done very well from the trump rally. and what are the democrats saying? it's not fair. on this program yesterday congressman tim ryan, who is supposed to be a moderate, complained that the tax deal was a giveaway to rich corporations. and, he said, it's okay for people with money, but what about everybody else? there is no pleasing some people. truth is, the times the
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democrats are wrong, flat out wrong. we've been saying for years that the economy needs growth more than anything else. growth brings jobs and higher wages and more revenue for the treasury. and the stock market rally brings more money for investment and gives a boost to everybody's pension fund. what donald trump has done is expose the democrats' economic nonsense. obama and the left brought us debt, division and a declining middle class. trump has brought us growth, jobs and the restoration of the middle class. we think that's worth talking about. we think that should be headline news. we may have a couple of british accents on this show, but we're not europe. we're all about america. we're going places. and we're very glad that you're along for the ride. the third hour of "varney & company" is about to begin. ♪ ♪ stuart: well, picking up some
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steam. now we're up 63 points at 25,138. up again this morning, just one day after hitting 25,000. here again, this is what the president's saying about it, direct quote: dow goes from 18,5 november 9th to 25k for a new all-time record. jumped 1,000 points in five weeks, fastest 1 those-point -- 1,000-point move in history. $6 trillion in value created. by the way, it's almost $7 trillion of extra wealth created from the stock market rally. just updating the president's numbers there. come on in, please, scott shellady, tjm investments. all right. what's the big driver here? can you point to a sickle factor -- single factor that's propelled this market all the way up? >> 100%. nobody ever really talks about it, stuart, except for you. i was applauding your monologue you just had.
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donald trump has done something that nobody's been able to do, he's been able to turn around sentiment. you can play with public policy and move into trades here and there and maybe get some economic indicators going your way, but he's got into the minds of the people. that's the hardest thing to do. that's why everybody's afraid of deflation, because people -- for no reason -- maybe stop spending, and it slows down your economy. it's a psychological issue. donald trump has been able to raise the psyche and get the sentiment in this country going in the right direction k and that's a very difficult thing to do, and that is why we're at where we are at right now. there have been some policy changes that have helped, but it's mainly down to sentiment with me. stuart: do you think we go up from here? is there another second leg still to come? >> everybody's so afraid to be happy about a 25% year-over-year increase in the dow. that's a big number, stuart. so to think that we're going to continually post those gains,
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no, we're not. but what i would like to see is all these policies that he has put in place start to come to fruition, see that g, the p number continue to hit 3, 3.5, maybe even 4, and slowly but surely we have the economy come behind the stock market to keep it where it's at so we don't have this big downdraft everybody wants to see. stuart: as a man involved in the investment world on a daily basis, i've got to throw this at you. we find about a trillion dollars has come out of retail mutual funds in the last four or five years. i don't think that's the little guy getting out of the markets, i think that's the little guy getting out of mutual funds. what say you? >> you know what? you're 100% correct. there's been a large portion of the retail investor that has been participating in the rally in different ways not like they used to. so, yes, you're right. they've left the old system and have now invested in the new system. so they've been along for the ride. it's almost like we're afraid to be happy about it, right?
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[laughter] look, rasmussen put out at the end of the year obama's ratings at the end of his first year were the same as donald trump's ratings at the end of his first year. how come we don't hear more about that? we're ignoring these things. anybody would kill for donald trump's ratings and the economic indicators he had at the end of his first year, but we just don't hear anything about it, do we? stuart: it's time you came back home, real home. the united states of america. [laughter] >> i will. stuart: fast. scott, thank you very much, indeed, sir. see you soon. thank you. now, i've got two obamacare stories for you. one good, one not so good. president trump wants to lower the cost of health insurance by letting people buy health plans across state lines. got it? that's good. however, here's the bad news. the medical device tax, it's back this year. we need some comment on this. betsy mccoy, author of "beating obamacare" and, by the way, former lieutenant governor of new york state, is with us now.
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look, i've characterized this as good news, buy across state lines, bad news, this crazy device tax. >> right. let me address the good news first because it's not just about buying across state lines. it says that small businesses, retail store, mom and pop diners, can buy health insurance for their workers and for their proprietor that doesn't have all the bells and whistles that obamacare required. obamacare's one-size-fits-all mandate meant that the only insurance you were allowed to buy was something that added about $5 an hour to the cost of an entry-level employee, $12 an hour if you were providing a family -- stuart: has he changed the regulation? he proposes to change the regulation. >> that's right. it's going to be printed in the federal register like all regulations. you have to have a 60-day comment period. stuart: wait a second, betsy. can the president say by changing the rules that you no longer have to have all of this coverage -- >> absolutely, absolutely. stuart: he can do that? he doesn't need legislation? >> no, he does not.
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and the fact is that this will enable more people to have health insurance. the congressional budget office predicted last, in 2012 that 11 million fewer people would get on-the-job coverage -- >> wait a second -- >> think about it, only washington can invent a mandate that produces less of what you want. >> exactly. can he change the rule, the president, can he change the rule, to stuart's point, letting small businesses -- >> that's right, he can -- >> wait, wait, wait, wait. >> yeah. >> the band together -- >> yes, he can. >> -- and then buy insurance across the state lines -- >> it's called the -- >> he can do that? >> he can do that. >> okay. >> he can do that. stuart: so we don't need massive obamacare repeal -- >> well, we do for the big employers. we do for the big -- stuart: yeah, but you can gut it as far as everyday -- >> he is gutting it. and believe it or not, what the democrats are saying, oh, this is going to undermine the system and let people escape from the obamacare exchange programs. well, in america work for the
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little guy, not for the system. stuart: well said. i've got a question for you, because you are the former lieutenant governor of the great state of new york, aren't you? >> i am. [laughter] stuart: okay. the governor of new york state right now, andrew cuomo, he's going to sue the -- >> oh, this is rhetorical -- stuart: -- on the grounds that ending the deduction for state and local taxes is unconstitutional. >> it's laughable. it's laughable, because every tax law impacts different states depending on their economics differently. in fact, new york and california came out big winners in part of this tax code change because the tax code capped mortgage deductions and deductions for property taxes, and that started to level the playing field between renters who are always treated as second class citizens and homeowners. everybody got a rate reduction, and it's being paid for by reducing these deductions that homeowners enjoyed. and guess who benefits the most? renters. guess where they live? new york and california. the most renters are in those
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two states. what are we going to do, are -- >> this is a democrat strategy, economic civil war to retake the house, right? >> probably is. but the fact is he doesn't have a constitutional leg to stand on. equal protection does not protect one state against the other. it protects -- stuart: and the fact is if you really want to protect california, new jersey and new york -- >> throw out the politicians! stuart: you filled in the sentence for me. [laughter] betsy, thank you very much, indeed. >> thank you. stuart: when there's so much going on, what do you to do? you check the weather. the snow gone, now this story is really all about arctic temperatures. tomorrow expected to be the coldest day in the northeast in many, many years. temperatures could fall as low as -- no, with a wind chill it'll feel like 40 degrees below 0 in parts of maine, that's important. wind chill, 40 degrees below, in maine.
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watch out. check this, please. these are just some of the companies that have pledged to give bonuses to their employees since the tax bill passed. jetblue, the latest to be added to the list. jetblue says $1,000 bonus to 21,000 of its crew members. other airlines have made similar announcements, american, southwest also giving $1,000 in bonuses. a new "forbes" study shows three of the cities with the fastest growing economies are in one state. you know which one it is, you can guess. we'll tell you in just a moment. you're watching the third hour of "varney & company." ♪ ♪
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stuart: the headline is retail ice age, listen to this, two big retailers closing stores, cutting jobs.
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sears will close 103 additional stores by the end of may. most of them kmarts. ten years ago, sears had 3,000 locations in america. now they're down to about 1,000. macy's, they're going to cut 5,000 jobs, close seven more stores. this despite a relatively strong holiday season. the stock, macy's, down again. now this. the justice department opening a new investigation into the clinton foundation. they are looking into alleged pay-to-play politics while hillary was secretary of state. lawrence jones is with us, he's "the blaze" host, and he joins us from dallas, texas. >> happy new year, stuart. stuart: and the you too, young man. i jumped all over you there. [laughter] i could never understand how a leading politician who was about to become america's top diplomat and maybe the president of the united states was allowed to create a $2 billion fund. how did this start in the first place, you know? i don't get it. >> well, it looks like they were
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doing a lot of things under the table, stuart. because remember, when obama first took office, they were concerned about this foundation, and she was supposed to report a lot of this directly to the administration. and apparently, they didn't know a lot of this was going on. i am finally excited that a u.s. attorney -- let's be clear, it's not jeff sessions that is doing this, it's a u.s. attorney in arkansas that is looking at this. jeff sessions hasn't been doing his job. that's just the fact of the matter. and now we have a u.s. attorney that saw that there may be some evidence that may warrant an investigation, and that's what we need, a thorough investigation on this topic. stuart: politically do you think the clintons both are done? >> they have to be done. i don't think that is going to stop hillary clinton from running for another turn. but i do believe that the democrats would be under a lot of scrutiny considering this me too movement, and you have the
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leader as far as bill clinton being a serial rapist as still one of their leaders in their party. so i think that a lot of republicans would criticize them if they were to bring the clintons back into public life. but i don't see hillary clinton going away. stuart: okay. that's pretty strong stuff will, lawrence. you got your point in well. >> yep, this is true. stuart: go on. what'd you say? >> well, i was going to say, you know, it's the truth, you know, as far as the clintons, you know? look, they have focused a lot on donald trump and a lot of these new sexual allegations, but they have to look at themselves. and i think the democratic party is going to be forced, under a lot of pressure since now they waited until the clintons were out of the public light when they didn't have a chance to win any election to now start this movement about men that touch women inappropriately. and i think they would have the deal with it if they continued this path of public service.
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stuart: okay. we've got a new study, it's from "forbes." it shows three of the fastest growing economies in the u.s. are texas. austin, number one; san antonio, number two; dallas very closely behind. lauren, is all about taxes -- lawrence, is this all about taxes? >> it's about taxes and then texas. come on. stuart, we know that texas, my home state -- and i know i'm biased -- have been leading the way. we essentially have the u.s. economy on our back and driving, dragging america along. it's because that we have a business-friendly state. and many politicians on the state level have been going to states like new york and california and saying, hey, if you got high taxes there, you can come to texas, and we'll make a business-friendly environment. but i don't want to get too excited about my state because although we've had a great business climate, we've got to get those property taxes down.
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and if we want to continue that trend, a lot of these local cities that are ran by liberals have to be cautious with it. stuart: very good, lawrence, very good. you know, i think it's time -- i don't know what the temperature is in dallas, but i'll tell you here in new york it's about 10. so if you ever want to -- >> it's too cold! stuart: i know. i was going to invite you up, but you're not going to take it. okay. [laughter] >> i'll be down there soon. stuart: you've got a deal. >> all right, brother. stuart: all right. check this one out, please. these are the most expensive real estate listings of 2017. we're going to show you the top three in just a moment. and for the first time in, what, more than 150 years a super blue blood moon is coming. a little weedy. but on january the 31st, you will see a blood moon, a blue moon and a super moon all at once, that's not happened since march of 1866. i remember it well. [laughter] you get all this stuff on
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"varney & company." and pay attention bomb-right of your -- bottom-right of your screen. the dow's up 88. we'll be back. ♪ ♪ achoo! (snap) achoo! (snap) achoo! achoo! (snap) (snap) achoo! achoo! feel a cold coming on? zicam cold remedy nasal swabs shorten colds with a snap, and reduce symptom severity by 45%. shorten your cold with a snap, with zicam.
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stuart: i'm smiling because any moment w we're going to be up 100 points. i thought we were really close. [laughter] okay, we're up 98. look at that, 98. i mean, the rally has now resumed, i've got to say. 25,174. if you hold that -- there you go, up 100 points. buy something, somebody. apparently people are buying microsoft, and it is a dow stock. look at that. [laughter] nice timing on the trumpets. yes, i own a sliver of microsoft. i'm thinking retirement, you know? >> you are already? on this? wow. stuart: one of our floor guys, austin, said moments ago he remembers a couple of years ago when i said if it hits 47, i'll retire. >> and you're still here. >> you lied! [laughter] stuart: thank you. elon musk's spacex, another producer just said we're counting down to your
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retirement. [laughter] not popular this morning. they're going to launch the world's most powerful rocket later this month. it's unmanned, it goes off kennedy space center. it's got 27 engines generating five million pounds of thrust. it will carry musk's 2008 tesla roadster. now, that's the 2018, surely. the 2018 tesla roadster. >> that's correct. stuart: spacex plans to send that car into orbit around mars. >> okay. stuart: and now this, the top three real estate listings of 2017. here's number one. the chartwell estate, 25,000-square-foot mention, it's in bel air, los angeles. priced at $350 million. a hair salon, tennis courts, covered parking for 40 cars. $350 million, bel air, los angeles. number two, $250 mansion in hawaii. the sprawling property's got 20 miles of coastline, sea cliffs,
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it's got a nature preserve in it, pastures and all that kind of stuff. that's the second most valuable, the second highest price of last year. $250 million. third is also in bel air, $250 million, 38,000-square-foot mansion. two master suites, ten vip suites, 21 bathrooms, three gore may kitchens -- gourmet kitchens. it's got what's called an auto gallery with a collection of cars valued at $30 million. >> and that was your segment on real estate envy. stuart: keep holding microsoft, and i can afford one of these. >> right. stuart: attorney general jeff sessions announcing that he's cracking down on obama era rules that let legal marijuana flourish. more on that one coming up. and listen to this, the las vegas economy is reportedly on the brink of a major economic boom. yes, we're on that one too. and the markets, we're up 100 points, 25,176.
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stuart: it's still a solid rally. we might not be up 100 points, but we're up 95, 25,170. that, of course, is record territory. oh, but look at row i cue. they're down big today -- roku. citigroup said sell 'em, and investor are apparently selling it. it's down 8%. big drop there. tax reform news. the number of people receiving tax reform bonuses is about to reach one million. that's according to grover norquist from americans for tax reform. he joins us now. a million people are going to get these bonuses? you've done the math, i take it, grover. >> on our web site,, we have a list of all of the companies that we've been able to find who have made announcements that they're giving significant bonuses to their employees. we are right on the cusp of one million. today we'll hit one million. if you go to k it gets
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updated regularly, but i would -- for all of your viewers, if your company, large or small -- we have companies with ten employees calling in and saying here's what we're doing. let us know so that we can get it up on the list so that america can see the benefits of the tax cut, tax reform that passed. stuart: you know what the left is saying, that this is small change, it's small potatoes, it's a very small amount of money, and it's just window dressing to look good for donald trump. what's your response to that? >> first of all, we are five days into this tax cut, and we are about to have a million americans receive bonuses as a result where the companies are saying this is as a result of the lower tax rates that businesses face. secondly, again, five days in, only the people who have already made announcements. not every board of directors has met, not everybody has set the budgets moving forward. this is the beginning of a series of very helpful, good
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announcements that the american people actually will see progress. and i love these ted kennedy limousine liberal rich business pooh-poohing a $1,000 bonus because it's nothing, because they spend that much in coke in a weekend. [laughter] this is important to -- stuart: whoa, grover, whoa, whoa. back off there, grover. [laughter] that's a little provocative, i'd say. but i've got a couple of -- >> i was speaking of liberals in general. stuart: i've got a couple of negatives for you. first of all, carried interest, that special very low tax rate for hedge fund managers and others like them, it's still in there. they still get that break. i think that's wrong. what say you? >> well, the president was looking to change that. we did get a change. now if you hold something for a year, takes a year to get capital gains. it's now three years for carried interest. so they think that will cull back some of potential abuses. i do have one caveat. i am nervous whenever
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politicians say let's take ordinary income or capital gains income and count it as ordinary income because the ultimate goal of our friends in the democratic party is to eliminate the differential for all capital gains and all savings and investment and how we treat ordinary income. stuart: fair point. >> my view is once the government's stolen some of your money, they should leave you alone. if you want to drink it, it's yours, if you want to invest it, it's yours, but they shouldn't be back to hit you again. the left wants to hit you again at the same high rate we had before. i'm just nervous about anything that moves things from cap gains to income. stuart: taxation is theft, why not? took it out there. now, the medical device tax, that's back. that's real bad news. >> yes. the medical device tax was part of obama's list of 20 taxes that paid for obamacare.
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obamacare was a trillion dollar set of taxes with a stethoscope stapled to the op -- to the top of it. it was a trillion dollars in taxes. one of them, medical device tax, a 2.3% sales tax, excise tax on all medical devices which does what? raises the cost of health care, this' what it does. it's -- that's what it does. it's been kicked off a few times, it's been delayed because a number of democratic senators, elizabeth warren from massachusetts, she's for getting rid of this or at least delaying it, you know? she wants to tax other people's industries, but she -- somebody told her that they make medical devices in massachusetts, so she's for helping to fix this problem. she's not wrong on everything, evidently. [laughter] but we have a handful of democrats who for their own special interest reasons don't like this tax. i believe we can get it kicked off at least temporarily, move it off a few more years. but it needs to be abolished. stuart: okay. >> the other one is the health
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insurance tax which is $130 billion plus over a decade which is a tax on people who buy their insurance. you were talking to betsy mccoy. to people who go into those kind of private but not -- a company, a small company and you buy your health insurance with other people? that gets hit coming up now with a 500, as much as a $500 tax for employees. stuart: get rid of it. >> gotta go. health insurance tax. stuart: grover, provocative guy today, as usual. thanks very much, indeed. see you later, thanks. now, the las vegas economy reportedly on the brink of an economic boom. come on in, the property man, fox news legal analyst bob massi. now, what's this based on, an economic boom for vegas, here it comes, based on what? >> i'm so excited. i'm so excited. it reminds me of the early 2000s, there's so much more ene. well, i mean, first of all, i don't think we could base it on the tax reform yet, stuart,
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although you and i have talked that there's going to be a consequence of migration over here to las vegas. i just think everything goes in cycles, and vegas, as you know, was hit very hard, and now things are turning around. matter of fact, i was just reading this morning we have five of the top communities in las vegas that is in the top fifty . you get in your car in vegas and drive around, all you see is vertical. and mr. wynn announced he brought the property where the frontier used to be, he's building a beautiful convention center at the wynn. the energy level is wonderful. we have people like that who are pioneers in our city. everything happens. stuart: what's reaction in las vegas to the news that the attorney general at the federal level wants to go after legalized recreational marijuana as it is legal in nevada? what's the reaction in nevada to that? >> not very happy because i have several friends, guys that i know, that went into the business. and, honestly, i actually told a
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few of them a few years ago, listen, you know, if things change in the government, you know, the attorney general could say, hey, federal law preempts, and as a result, be careful. there is a concern, obviously. the president did make a statement, as you know, during his candidacy -- or maybe it was after he was elected -- that, in fact, it should be up to the states. the people in nevada voted for it. i personally am against it 100%, but notwithstanding that, i think it should be a state issue because so much money has been invested, and a lot of money's been made. stuart: the states are laboratories, let them act as that. >> absolutely right. stuart: you can watch "the property man" fridays, 8:30 p.m. eastern time right here on the fox business network. bob massi, thanks very much, indeed. now this, a new axios poll finds 44% of democrats are fearful, that's the word used, fearful about what's going to happen this year. only 9% of republicans are fearful. come in, nick johnson, ax cose
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editor-in-chief. -- axios editor-in-chief. what are the democrats fearful of? are they worried about losing the elections in november? >> i think this is a fascinating poll for us. i love doing it over holidays because it looks at how politics influenced the way people view things so much. it's like when you can do economic polls right before the election. before the election democrats say the economy's doing great, after the election republicans are saying. so we did the same thing look at 2017 and 2018. it's that partisan breakdown where democrats were fearful about 2018 and republicans were hopeful for 2018. one other point we did, we asked hem to tell, to describe 2017 for us. democrats used words like worrisome, hellish and chaotic. republicans called it great. [laughter] stuart: we are a divided country, aren't we? >> yes, absolutely. stuart: have you ever seen america as divided in an emotional sense like this as much as before? >> i feel like it's a cliche to say it's never been this divided or partisan. through the polls we've been doing, we haven't been around
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sheriff -- around very long, this is probably as stark as we have seen it. the political environment in washington is combustible, and trump is very sort of you love him or hate him, and we're seeing that in these kinds of surveys. stuart: nick, i'm sorry i kept this short. we've got a huge day here, stock market, economy doing well, freezing weather, you know how it goes. >> absolutely. stuart: appreciate it. look at oil. the administration's going to expand dramatically offshore drilling, opening most of u.s. coastal waters to exploration for oil and gas. no impact on the price of crude at point, but wait til they start drilling. might see reaction then. we have the minimum wage going up in 18 states on new year's day. there's a study from the university of washington which finds that workers who receive those increases actually made less money. we'll try to explain that one.
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also businesses reinvesting after the tax deal. on your screen right now, just a few of the many, many companies which are giving bonuses to their employees because of the tax plan. we said business was on notice. it appears they are taking notice. and some more good news since president trump took office more than a year ago, about a year ago, the number of people on food stamps is down dramatically. we're covering all of this on "varney & company" which will continue. ♪ ♪
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>> i'm nicole petallides with yourx business brief. the end of apple music is leaving, leaving in august though when his shares are pulley vested. this is after receiving a final payout for the $3 billion beats electronics deal. we're talking about jimmy iovine founded beats with dr. dre, johned with john lennon, u2, eminem, springsteen. he's helped to propel apple music paid subscribers up to 30 million. and that was since june 2015 launch of that. in addition to the fact that streaming for apple's number two and streaming overall when you take a look, 68 billion songs were streamed in 2017. that's up 9%, 9.5%
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year-over-year, more than half of the overall music consumption. ♪ ♪
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stuart: sign of an improving economy, se president trump took office more than two million people are off food stamps. 42 million still on. that is the lowest number since 2010. now this, almost a million workers so far are getting bonuses as a result of the tax plan. some of the companies are on
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your screen right now. we're going to let them keep on playing on your screen as we bring in ed renzi, former mcdonald's ceo. all right, i think that business was on trial here. they've got to come through getting just about everything they want in the tax deal, they've got to pass that money along. and, you know, it seems like they're doing that at this point. what say you? >> well, i think it's brilliant, frankly. the energy in the trump economy is profound. businesses are happy to reward their employees. they've been working hard the last eight years, struggling to survive. and that $1,000 means an awful lot to a lot of people. i think it's great, i think it's brilliant, and we're going to have a great new year. stuart: now, in 18 states the minimum wage went up on january the 1st. you brought us this from washington university which says the people who got the higher minimum wage, the higher wage, they're actually getting less money. tell me how that works. >> well, it's simple.
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you reduce the number of hours of the employees. managers have to pick up the slack. you shrink the hours of operation and get rid of the hours that are not productive, so you eliminate jobs, you reduce the hours, you increase management load, you go to automation, you shrink. and it's been proven time and time and time again that these exorbitant increases in the minimum wage stifle business. it stifles income. and these people are making less money. it's tragic. stuart: but why do they keep pushing for, you know, $15 to work in a mcdonald's? why do they keep doing that when with it's quite obvious that technology is taking those jobs away, and employers are reducing the hours worked so they make less money? >> well, if you look at union membership across the united states other than government, union membership is down. and these unions are driving the minimum wage up for two reasons. one, you've got a lot of these contracts are indexed to the
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minimum wage in these states. and secondly, they're trying to prove to these service workers that they're getting money and they ought to join unions because they need the dues. it's hypocritical as hell. everybody knows it. it's a game that the governors play, the federal government plays it better than anybody else on the face of the earth. and the democratic states push it the hardest. you don't see this kind of nonsense in texas or wisconsin and those kinds of places. they're smarter than that. stuart: we're quite a divided country on the tax issue, that's for sure. now, you brought us this one. a mcdonald's worker named dawn martin just celebrated 37 years of working for the company. >> yeah. she works for, she works for roland parrish in north dallas, texas. roland is a graduate of purdue university, a track star, he's an african-american. i think he's either the first or the second largest mcdonald's operator in the united states. a wonderful man.
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he believes that you hire people at minimum wage, train 'em, teach 'em, grow 'em, lead 'em and let them become the executives they can be. and dawn martin is a classic example. and i join her in that. i started working at mcdonald's for minimum wage and ended up being the ceo of the u.s. company. it's a fabulous company, it's a fabulous story, and that's what minimum wage jobs should be. it's entry level for low skill to become a ceo in 35 years with proper training. stuart: ed, every time i interview you i get the impression that you'd love to be back in the thick of things in a major corporation sorting it out and making it fly. [laughter] you would, wouldn't you? >> well, you'll be happy to know, stuart, that i just took over the chairmanship of fat brands in los angeles, california. so i'm anxious to get back to the grill serving great food. [laughter] stuart: all good stuff. ed renzi, you're all right, and we'll see you again soon. thank you, sir. >> happy new year. stuart: president trump, vice
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president pence, they're going to camp david this afternoon, two days of meetings coming up. we have the full agenda -- their full agenda. we've got it. we'll tell you all about it in a moment. ♪ ♪
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stuart: the president and vice president head to camp david this afternoon. a couple of days of meetings. they're going to be joined by, here's the list, budget director mick mulvaney, defense secretary james mattis, homeland security secretary kirstin nielsen. paul ryan, steve scalise, kevin mccarthy, john cornyn, membership mcconnell. they've got a lot of topics on the agenda. today they plan to discuss house and senate maps for the midterm elections. they'll also discuss welfare reform. tomorrow they'll move on to infrastructure, national security, next year's budget, tax policy and the dreamers, as in daca. what do you think they're going to do first? >> well, for congress to -- for the republicans to keep control of congress, three things; continue to reform obamacare, immigration reform and infrastructure. what can get done first?
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probably -- likely immigration reform, and that is a gigantic victory for president trump. they've not had immigration reform, i think, in decades. stuart: if it goes his way. >> if it goes his way. if he could do a deal on that, that would be a victory for president trump. he also has to get the senate to start working. i mean, work more, rather. they work two and a half days a week. congress has to work with the president to get it done. so what could he get done? possibly immigration reform. now, if he gets daca, if he says, yes, democrats, you can have the illegal immigrants, children, stay here -- stuart: the dreamers. >> the dreamers, that could anger his voting base. that would be an issue. but if he gets the wall down, if he gets an end to chain migration, if he gets an end to the problems in the visa program letting terrorists in, that would be a victory for him. he's tinkering at the margins of obamacare with his proposed rulemaking to buy insurance over
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state lines, that's a big deal. and infrastructure is a big one as well. but there's hurdles in the way right now. stuart: okay. that book, what is it called, "fire and fury," michael wolff's book where steve bannon is quoted with all those dreadful things he's been saying about the white house, that could get in the way of the president's forthcoming agenda. >> yeah. stuart: we've said on this program this morning the president needs -- well, you've got to have 60 votes in the senate to get anything done. >> yes. stuart: not 51, it's 60. >> so that means you need nine democrats, right? stuart: right. >> this is a five-alarm dumpster fire as it's being called right now. here's the lay of the land. the democrats need 25 seats in the house to flip the house to their control. there are 14 seats in california that we know that are at risk, right? they don't like that rollback of the s.a.l.t. deduction. so is the michael wolff a distraction, is it a problem? yes. is it a wrench in the process for the president's agenda? likely yes because, as jason
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chaffetz pointed out, you do need those 60 votes. i will say it's really about the house, stuart. the republicans are defending eight seats in the senate. the democrats are defending something like, you know, 26 seats. so -- in the midterms. so it's really about the house being in play. stuart: okay. but that book could be affecting the president's agenda. >> that's correct. stuart: not well. okay. look at this, bitcoin. the sec says if you are scammed, you're on your own. they cannot help you. bitcoin up $1,300 today at 16,000. big tech names, let's check them. we do it all the time because that's where the money's been going. amazon -- well, let's go to the top. facebook, 185. amazon, $1219 a share. microsoft, above $88 a share. alphabet, $1,111 a share. and apple at $174. all, most of them hitting all- well, let's get this clear. alphabet and microsoft and
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amazon close to hitting all-time highs today. how about that? [laughter] more "varney" after this. ♪
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stuart: which stories that we brought you today affect most people? well, the easy answer is the stock market and the continuing records. the other story is, yeah, the weather. what you're looking at right now is current wind chill. that's not temperature. that is how it feels. let me put it like that. in new york, new york city just outside these walls right here, we're at minus 4. now, look at that down in new orleans, you're at 45, dallas 53, albuquerque,
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new mexico 50, even phoenix is a mere 62 degrees. head up north, minneapolis, you poor devils down minus 16. have a lovely weekend, north america. neil, it's yours. neil: all right. stuart, thank you very, very much. we are on top of the cold and on top of the heat like the hot stock market again on a jobs report that really wasn't all that great, but it did show job gains, did it not? 148,000 more than december. the bottom line is the unemployment rate remains around 4.1%, the lowest we've seen since 2000. so a lot of folks are measuring that and saying you know what? steady is a good thing for all of us. we're going to go to market watch right now on what that could portend because i'm thinking as i'm looking at those employment numbers we're going to rattle through them, including wage growth that was moving at about a 2.5% clip, if anybody is worried about a inflationary up particular, it


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