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tv   Cavuto Coast to Coast  FOX Business  March 22, 2018 12:00pm-2:00pm EDT

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with the legal team that will be decided very soon. >> couple weeks. stuart: a new legal team coming into place. they have to read up what is going on here. that is not a quick thing to do. >> even more reading that did not -- stuart: time's up, neil, it is yours sir. neil: man oh, man, we were already down on concerns about the president launching what some are calling a trade war with china then this eclipsed it. news his lead attorney was quitting, leaving, we don't know why john dowd is doing that. he might have been the odd man out. but he is out. a lot of people continue to read into that all sorts of awful things. whether that is the case maybe starts reanalyzing things later. we're in the selling phase. this is the worst performance so far since february 8th. down 447 points.
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we have glen hall, fox business's charlie gasparino, market watcher melissa armand. melissa, as we listen to this, we'll hear from the budget director, spell out spending battle, this is another issue we might look at a shutdown late tomorrow night, all this came together fast, didn't it? >> kind of the perfect storm. i think it started monday. monday actually, i will preface this i'm long-term bullish on market, mopped was the most bearish day in 2018 for me when i look at technicals. we opened, we gapped down. we opened. sold off all day. straight selling down. even the day with the big selloff. neil: focus on today. >> we will continue to sell off. neil: any rumor narcs tisness, they bounce and sell. >> we don't need a reason. the market is selling off. we're not near the highs. overall we're strong, today we sell off. if you're in the market long-term not a reason to panic. if you're a year away from
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retirement, take some profits. neil: common theme anything looks lines the president could be in trouble even way overdone the markets take a hit. >> we've been talking about this for a while. usually at first the mueller probe was not existential to the market and now it is. at least there is an algorithm plugged into anything mueller-related including john dowd. we should point out -- neil: this lawyer's resignation, the vix went nuts, up 20 points. >> that is happening a lot with mueller stuff, we've been reporting that out. why is that happening? this is the market, i'm not saying donald trump is guilty. the market is sensing there is something more here and that is no the just a nothing burger. this is not deep state. this is that mueller has him on something. i will say up with other thing though. the trade stuff is another thing that is existential to this market. look at it this way, if you're a
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long-term investor. i like the fact he is cutting taxes. think about what they are doing. they are engaging in protectionism. they are, we are probably getting higher budget deficits because the first year of the tags cut does not produce the revenue. so you get higher interest rates. you get all that together, you have instability in the white house -- neil: doesn't take much. glen, dowd was the lead personal attorney for the president. he was at loggerheads with some other lawyers. maybe this is not even worthy of a fox alert here but it does raise to charlie's concerns, what else don't we know, right? >> there were tensions whether or not the president should or shouldn't give an interview with robert mueller. dowd was on the other side thinks he shouldn't. neil: he is supported by other lawyers including our open judge napolitano. it is negative good for the president to set up something especially up with that talk.
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>> that gives reap to believe they're preparing for fight. >> i know john dowd, covered him as white-collar attorney. famous giving% the finger during they have hired joe digenova, a lawyer i know, not necessarily a courtroom fighter. he will to on air and fight like hell. he is very persuasive. my guess that the trump, whoever is around him, i don't know exactly know who it is, they're saying this mueller thing is taking a turn. this is one thing you can surmise. we will need to go public with this here is one thing i should tell you. impeachment is not necessarily legal. impeachment is political. >> i don't think it is good for
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the country. neil: we're a long way -- >> think about what he is thinking game planning as a lawyer. we'll have to sway public opinion. we get rid after guy not necessarily good on tv, we bring in a really good guy on tv, joe digenova. >> how much is the market's fate built on the president and him being politcally stable? >> sips he ran up since he was elected market likes trump. it is is not a good feeling. it is sell now, worry about it later. because you can always buy back in. so i think the market just reacting. neil: we've seen this before. development today, mueller is going after him or the russians overseas might have been willing perpetrators in all this. market sells off. you find out no american entity was taken in. we see this again and again. >> a lot of volatility back in the markets. we were bouncing off the highs
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so there was some hesitation there. what i think you're seeing exactly the reflex will this president champion the kind of changes that made the market happy so far? >> or will the rubber meet the road? one thing to erase -- if we had a gdp print today of 3.2%, anything above three, this market would reverse. think i that, market is pricing in the fears that i think economy is not going to respond to the tax cuts. we might get higher deficits, higher interest rates, a trade war but the thing that curse that always for markets is better corporate earnings and better economic growth. if we get those two, this -- >> we're still bull ir. market is uptrend. we could sell off all day, we could sell off all week, we could off all month. >> he is the opposite of me. that is why you sat us next it each other. >> there are a lot of things going on at once.
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trade wars. >> you have the trade war thing that could escalate. the fact that the president now extended independent lexer wall property. that is a weird one. >> the tech sector has been driving the bus, right? neil: absolutely. the tech sector is in and out of correction territory. they're feeding on facebook and amazon was down almost 40 bucks. it has had a great run to your point. >> it had a great run. things can't go up forever. be realize i can. neil: let me write that down. can't go up in a straight line. >> the market has cut amazon the biggest break in the world. we don't care about your earnings which are not so great as you know. because you're am sop, everybody is going amazon and we cut awe break. we engage in a trade war that affects tech. doesn't take that much.
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>> china is a problem. neil: you're okay with this response? >> >> do you think amazon goes straight line up? >> maybe it doesn't. it is still strong. >> after two year of -- neil: in and out of significance lows. dow 450 points. nasdaq a good proxy for technology. that is getting clobbered down better than 8%. the fears it is coming together at worst of times. a lot of people are selling now, asking questions later. i do not, i hope i did not at the outset of the show read too much into the john dowd resignation. he is a big deal. he is the president's lead personal attorney. he was again as our guests pointed out here very instrumental trying to urge to the president, don't talk to this guy. there is no upside talking to this guy.
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others are back and forth in the president's legal team find parameters even taking written questions. >> there is a lot of different ways to frame that. constrain the amount of inquiry. >> don't you think the american people are sick of this? neil: sometimes if you quit in a huff one thing -- >> called it mutual agreement. >> this was not like a great week for him. he really, showed a degree of instability by basically saying the president approved it. no he didn't. yes he did. he is working for a guy volatile. he is theoretically the lead attorney. but i'll tell you, what was really interesting in december i reported that trump was telling people he thinks the mueller probe would be over very soon. i remember what i reported, i reported on stu's show first. neil: why would you do his show first? >> because he asked me. ordered to do it. neil: he is only recently an
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american citizen but go ahead. >> very patriotic. i said, stu, there is one thing we have to keep in mind, when trump said it to people, he said it to a source of mind, the source came back, donald, be careful here, because mueller, he may not be finding direct collusion but he is looking at your private business interests as well. that is where this is going. neil: do we know whether dowd was concerned that the president was starting to tweet mueller by name? that got a lot of republicans -- >> who knows. any lawyer -- neil: when you hear that as investor, regardless where your opinion the case is going, that is another level of in your face when you start mentioning the guy is investigating you, his name. >> i know. this is what got trump elected. neil: i understand that. from your perspective, did it change the game and make you think, all right, i'm in for more volatility here? >> definitely. we started the year with volatility. i think it will continue and not
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stop anytime soon. volatility is here to stay. >> traders told me, i spoke to a lot of traders, what do you make of that? politics is the markets right now. they said he sounds guilty. i'm telling you -- >> don't you think the american people are sick of this? >> no, no. if he had nothing, listen it is logical inference. i'm not saying he is, if you're not worrying about it, why are you tweeting in the middle of the night on this? neil: because he likes to tweet. >> or he is really worried. >> it has been going on for a year, they haven't found anything. >> how do you know that? how do you know that? >> nothing has happened. neil: this is coming up at same time some republicans are getting antsy about their prospects for november holding on to the house and senate. it is looking increasingly iffy for the house and then along comes this heated back and forth with the fbi, the justice department, mueller, then you get a trade war going which goes
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against the dna of a lot of republicans, many of whom said you're going too far. kevin brady house ways and means chief, architect of these tax cuts a trade war risks wiping out any tax cuts gains. he is getting nervous. his own party is guests nervous. >> there is a reason to be nervous especially midwestern states that could be hit by backlash from china that is it states trump mostly carried. neil: you think china goes after soybeans? >> that is "the wall street journal" is hearing that they would go after soybeans. i believe everything that they write, come on. >> not the editorial page. neil: if you will slap us with penalties we won't waist too much time slapping you. >> it is not even that. the fact that there are industrial states that rely on cheaper raw materials like aluminum and steel. neil: you and i talked for many decades, donald trump was saying, one of the things he
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always said, china is a paper tiger. we're more afraid of them than we should be. they need us a lot more than we need them. that has always been -- why he is so thinks he is right with the tariff. >> putting in the context of jobs. china is taking jobs. that message worked. >> do balance sheet analysis here. you raise tariffs on steel. that may save some jobs in the steel sector, it could hurt jobs in other manufacturers. neil: if they go into a -- >> tariff is different thing. they're targeting intellectual property. they're targeting relationships. neil: that is a weird thing. that elevated to a level we haven't seen -- >> they did fbi investigation. there is real evidence of it happening. the real positive thing happening with this we are asserting we're a world power in the united states once again. china has been doing this for so long. neil: you're not worried about any of this other stuff, are you? >> no. neil: you will make money hand over fist. >> technology transfer companies
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had to do in china is real issue globally. the only challenge u.s. is going it alone. >> that's right. >> be real clear who is calling the shots. it is not larry kudlow who is just got there. not mnuchin. it is peter navarro is the guy. we need to read up an peter navarro, some extent wilbur ross. peter navarro is long-time economist. he has written books. he thinks we are at economic war with china. he convinced president we are and we should -- neil: playing nice and trying not to go tit-for-tat has gotten in the problem we're in right now. >> yes, he believes that. >> factor in the president also has been making good on every campaign promise he delivered. he is out there every day everybody remembers i'm doing what i said i would do. >> sort of of trade thing he is involved with the tariffs using more of a blunt instrument. neil: a threat. it could get out of control. then you have to go ahead and
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do -- >> creating a bargaining position perhaps. >> hope you're right. neil: guys we're taking a quick break to pay our bills although apparently the nation can't pay theirs. do you get a deal, glen, the deal it worth, a lot of republicans are saying this, a deal like this, driving us deeper into debt and showing no fiscal austerity, is not worth it? it is in the even worth a government shut down? >> there are a number of republicans feeling that way right now. they said so publicly. you saw the president's tweet as well give away for the dems to get -- neil: he sports this so far. >> there is there a tension in l of this. >> you can't shut the government down. >> it is one vote in the senate that is real tricky. >> i don't think for investors
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the budget is not the big thing. possible trade war, higher deficits. that is the negative. positive is tax cuts and less regulation. which wins out? the only way you know through corporate earnings and gdp if those are good, then you buy. >> the fed just raised its outlook. so they're showing positive -- neil: very thing that concerns them, higher interest rates -- >> banks make more money when rates are higher. bring more deposits. >> we haven't seen the transferee february yet. >> no. but you will have not a weak market and strong banks. when you have strong banks you will have a strong market. so the banks will get stronger with the rates on the rise. it will help the market. >> banks get weakwer trade and protectionism. neil: you like the president. you like the policies. you think he is safe. market roar will continue, everybody calm down? >> i don't know if trump is safe or not. neil: you don't really care? >> i think the american people are tired of this whole mueller thing. it has been gone long enough. they haven't found anything. >> we don't know if they found
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anything. >> where is it? >> lawyers are quitting left and right. neil: we're waiting on couple things. we are hearing, we'll monitor the budget director, mick mulvaney. he will go over details of that $1.3 trillion spending plan. he gets us through the end of fiscal year. a six-month deal to keep government lights on. not everyone is in love with that he will detail why the administration is supporting it even doing so holding their nose. we'll get more details what the president outlines some say 50, high as $60 billion in tariffs against china. we have never taken such a sweeping move against a single country. we have been running a 375 billion-dollar trade deficit defense the chinese. this would represent a fraction. nevertheless opening salvo even the french leader macron would be a mistake. what is french for mistake? le mistake. we have a lot more coming up. you are watching fox business. ♪
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that's a good one. seems a bit long, but okay... set a memorable wifi password with xfinity my account. one more way comcast is working to fit into your life, not the other way around. neil: all right. we're waiting to hear from the president of the united states that will outline the tariffs planned against china right now. they could be 50, $60 billion, depending how you price out some of the more esoteric items like
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intellectual property. how do you price it out? we'll get to that in a second. we'll also get in this $1.3 trillion spending measure. republicans are efforting to get through fast with a lot of democratic support ironically. not a lot of republican support to keep the government going for six months. to avoid a shutdown. that would happen on 12:01 a.m. on saturday. mark walker is with us now. how likely does it look in the house. the senate if it wants to tinker with anything what happens then? >> if the senate begins to tinker with it, the house, they have two choices. either they could go to conference and offer back solutions or bypass that to go straight to the president's desk. however i would add, neil, i have not heard at this point the senate would want to tinker with this, they were instrumental, mitch mcconnell and chuck schumer putting this deal together. neil: what do you think of this?
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>> i think it is a problem. i will be voting no, for eight years republicans jumped up and down of deficits and out of control spending for the previous administration. look at last four years of the obama administration, look at our deficits this fiscal year, what is projected next year, there is not much did i recognize if any. there may be a little more on our side. >> do you worry about mick mulvaney, we'll be monitoring congressman, a lot of republican don't like the spending measure, many are concerned on the administration push on the tariffs? there is a problem in the family. is there? >> i think we understand the bigger vision. we're trying to work together. we've had a food year in 2017 -- good year. pro-life legislation, anwr, regulatory relief, tax reform. we can't rest on laurels going into 2017. republicans have been preaching fiscal responsibility. it is not just a matter of spending, neil. the process to drop 2300 pages
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last night and have a vote in less than 24 hours. a lot of republicans are having a issue with that. neil: kevin brady, house ways and means chief, a trade war risks wiping out any of the tax gains, i'm paraphrasing what do you think of that? >> i think democrats would agree with that. vf corp located in greensboro, north carolina, located in my district. the eu threaten ad 25% hike in wrangler blue jeans. what is it newton's third law, for every reaction there is equal and opposite reaction. if there are bad rogue players call them out. before we make drastic changes we want to make sure we're not driving up costs for consumer or costing companies. neil: i commend you as inserting isaac newton in this debate. but he was short the market as you know. i'm kidding. your final thoughts what happens
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now. the president through mick mulvaney indicated president will sign the spending if it ever gets to his desk. so there is subtle pressure there on fellow republicans, maybe guys like you included to go alongs right? >> well it is. some of the things like continued, even increased funding for energy renewables, we're looking at bringing back the export import bank funding that, these are principles and things republicans for most part stood again. i understand speaker paul. he worked hard to maintain pro-life provisions in these negotiations. neil: right. >> we have promised we would do things in a different capacity. we need to be able to do that. part of what drives our electorate, even if you're talking about from political strategic standpoint, this november when the majority is on the line, our base will come out if we're keeping our promises. we saw they didn't do that with saccone in pennsylvania. if you go back to 2014, murphy, that is a problem for us.
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neil: congressman, thank you very, very, much. you sort of class up the place with those references from centuries ago and i do appreciate that. so i don't know what isaac newton, if you want to insert copernicus in this, we're the center of the universe. i digress. i should let you know markets come back off the worst levels. the dow is still down 362 points. we're not out of the woods. power shares, qqq, good proxy for tech-heavy nasdaq. it was down 1%. it was down 2 1/2% at one point. a lot of people made a big deal of that. i'm not a technician, it was below 250 day moving average i'm told is horrific when that happens. they came back from those levels. go figure. more with the president detailing tariffs against china. he warned this day is coming. guess what? it's here.
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♪ >> welcome back to "cavuto: coast to coast." i'm nicole petallides live on the floor of the new york stock exchange on a day where we have a selloff across the board. dow jones industrial average right now down 322 points. it was down over 500. several stories circulating. the president's lead lawyer resigning as well as tariffs front and center. waiting to hear from the president himself. rate hikes, spending, all of these put together weighing on the markets. market down 325 points. worries and trade war worries, costs of higher materials.
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caterpillar, 3m, boeing under pressure since the tariff announcement. markets look how they're faring. for this week the dow and s&p are down over 2 1/2%. nasdaq down 3%. here is for the month of march how we're faring big picture. a quick look at the 10-year treasury yield which yesterday moved to 2.9%. right now 2.83%. neil. neil: all right. thank you very much, nicole. the president is a few minutes away from announcing tariffs against china, presumably targeting steel and aluminum but they could expand. there is that intellectual property thing is kind of vague but could be expensive. adam shapiro at the white house with more what we could be hearing. adam? reporter: neil, what the president will sign is memorandum instructing the united states trade representative within 15 days come up with a list of items on which possible tariffs could be imposed. we expect that list when it is made public after the 15-day period would include very
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high-tech items, not necessarily steel and aluminum. high-tech items perhaps, semiconductor and finished product from china, include those kind of things. it is targeting roughly $50 billion in tariffs against china as well as 1300 items. the items not being identified but the ustr to come up with a list to be made public within 15 days. there will be a public period of comment before any tariffs are actually imposed. this is based on the findings of a 301 investigation, section 301 of the 1974 trade act allows the united states to retaliate. what that found that chinese are taking u.s. intellectual property from those companies by require them to. favorable terms for u.s. firms in china when it comes to licensing agreements. they say that china invests in u.s. firms. actually the state, the government of china investing in u.s. firms for the sole purpose
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of actually taking technology from those firms back to china. and then there is the issue of cyber theft, documents issues of the state, the government in china stealing technology from different companies here in the united states through cyber issues. senior administration official said when you look at the trade deficit we have with china, roughly $370 billion, quote, everyone billion dollars of trade deficit in china costs the usa 6000 jobs. that trade deficit results two poll more jobs in china and two million less jobs here. as we are on tariff watch waiting for the president to sign the memorandum, already on capitol hill, people in leadership, orrin hatch, senate finance committee chairman saying this. >> i expect some pushback from china. i don't think there is any question about that and the question is, are we in a position economically to really fight them? i do believe that the president has good intentions. he wants to pull us out of some
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of these messes that we're in but i'm not sure you do it by starting a trade war with china. reporter: but people like peter navarro here at the white house who advises the president on these kind of issues, look, chain has far more to lose than the united states. finally we have an administration, navarro says, that is standing up for the american worker. president is expected to sign the memorandum for ustr for coming up with a list of tariffs to be imposed on. they will have 15 days to do it, pro the moment the president signs the memorandum. back to you. neil: thank you, adam shapiro. to my buddy charles payne. china has responded to some of the developments, contemplating actions and measures it could take to respond to these developments. it denies forcefully that it demands companies to do business within any provinces that they hand over this technology. they say there is no intellectual property rights
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violations. that this is all about nothing. furthermore the wto weighed in on this, no friend to the united states when it comes to trade impasses on the pass, but acknowledged china meaningfully controls some, some state-owned companies. it is the non-state-owned companies, american companies in this case that do business over there that the president is addressing they're getting gouged. it is not fair, not right he wants to put a stop to it. charles payne, when everyone else was saying trade wars are bad you piqued my interest if everyone is against something, i'm paraphrasing here, maybe i should look into this more? >> i instinct tiffly, when intellectual elites climate change is settled science and tariffs a settled dismal science i push back. the last experiment with smoot-hawley, virtually 100 years ago. things have changed. president trump, they're talking about -- neil: but they did prompt a
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depressions. a global depression. >> after 10-year period of excess around the world there were a lot of other contributing factors. but the point i'm making it was almost 100 years ago. the dynamics have changed. we have so-called free trade which is not free trade. china has tariffs on 19,500 items. this is not unusual set of circumstances we're lobbying a hand grenade into. neil: they make it tough to sell is cars in china. he says this is going on a long time. being nice with them has not changed that. let me ask some. companies there include, raytheon, lockheed martin, general dynamics. i could to on and on. they have vested interest like this. much like the steel companies they had a vested interest. do you worry we're picking and choosing our winners here? >> i don't know. we'll see what the 1300 items
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are compromise, comprised of rather. neil: is there any steel or loom hum-related products like washers came from south korea, solar panels came from china this will widen? >> i think it should widen but i rather look at it we're picking and choosing winners and the administration is picking american workers over the chinese workers. that is the way i look at it. not a particular industry. that is false argument with overall picture here. steel and aluminum stuff is a tiny drop in the bucket when we talk about intellectual property, particularly trade secrets. estimates go from 550 to $600 billion a year are stolen. here is the thing americans better wake up to. they are private companies, unicorns, neil, less than a 10 years old with a valuation of billion dollars. with estimate there are 105 in america, and 96 in china. they have taken up what they
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have stolen sped up their curve. they have gotten away with it. if we don't draw a line we won't be able to draw a line in the sand. when it makes me worried like orrin hatch are we in a position to fight them. if we're not now, we never will be. neil: john dowd the president's lead attorney quit today. that accelerates selling. we since come back. but as a guy who helps investors invest in an environment like this, to say it is volatile is understatement. that the vix shot up 20%. it did. but it does remind you we're not out of the crazy woods yet here, are we? >> we're not. we were spoiled last year. i tell many people last year could have been the best ever in the market not because it was up a lot but zero volatility. the sun was shining, birds were singing and market went up. we are reminded this year of volatility. these wild swings are mostly on headlines, mostly on
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speculation, mostly on emotions. neil: anything, if, the mueller investigation, anything that looks not going the president's way even appearance of it they sell off. >> right. neil: when mueller first went after the russian entities. the market sell-off. when we heard only russian and not american entities the market came back. instinctively following tick for tick is this good for the president, bad for the president? >> right. because the president is good for the economy. two word to your point, constitutional crisis. whenever that word pops up in a conservation the market sells up. neil: would you step back, what are you telling people? >> for the long-term investors, i said don't focus on headline risk, focus on fundamentals the actual facts what is happening in this country which are remarkable, absolutely remarkable. that will not changeover night. so your core positions you hold them. some stocks coming down, buy them on weakness. boeings of the world, caterpillars of the world i'm
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licking my chops. neil: boeing could be a company sacked by chinese. >> they make the best airplane out there. china wants the best airplanes. neil: you don't think boeing will be targeted by the chinese? >> i don't think so. i don't think so. it remains to be seen. speaking of which we heard this morning china would target agricultural companies. soybean makers? up until about an hour ago monsanto was down less than half of 1%. adm were up, bunge were up. top three publicly-traded soybean companies. i think what is happening today, not china sending a message to the white house, this is wall street, elites send a message to the white house, please step back. they are making speculation on nothing that has announced. whatever said not affecting publicly-traded soybean makers. neil: charles is, very, very smart. we're waiting to hear from the
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president of the united states. he will detail a lot of stuff charles got into here. as to charles's point the house taking up the spending measure, $1.3 trillion spending measure that is take us through the hump, sent this, new fiscal -- september 30th. assuming it is expected to pass the house the senate could be a logjam. big ceos and a lot of prominent republicans with the president, has details an plans he will take against china. the hope is that the threat alone will get chinese to blink on steel, aluminum, some of that stuff. i'm not sure. it is still early. the dow down right now 354 points. stay with us.
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neil: this is the moment the president promised he would seize. now outlining tariffs that he is going to slap on the chinese. >> well, thank you very much, everybody. this has been long in the making. you heard many, many speeches by me and talks by me and interviews where i talk about unfair trade practices.
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we have lost over a fairly short period of time 60,000 factories in our country, closed, shuttered gone. six million jobs at least, gone and now they're starting to come back. you see what is happening with chrysler, with foxconn, with so many other companies wanting to come back into the united states. but we have one particular problem and i view them as a friend. i have tremendous respect for president xi. we have a great relationship. they're helping us a lot in north korea. and that's china. but we have a trade deficit, depending on the way you calculate, of $504 billion. now some people with say it is really $375 billion.
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many different ways of looking at it. but any way you look at it, it is the largest deficit of any country in the history of our world. it is out of control. we have a tremendous intellectual property theft situation going on which likewise is hundreds of billions of dollars. and that is on a yearly basis. i've spoken to the president. i've spoken to representatives of china. we've been dealing with it very seriously. as you know we're renegotiating nafta. we'll see how that turns out. many countries are calling to negotiate better trade deals because they don't want to have to pay the steel and aluminum tariffs. we are negotiating with various countries. mr. lighthizer, mr. ross, we are
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just starting a negotiation with the european union because they really shut out our country to a large extent. they have barriers that they can trade with us, but we can't trade with them. there are very strong barriers. there are very strong tariffs. we don't. just not fair. nafta has been a very bad deal for the united states but we'll make it better or we'll have to do something else. the deal we have with south korea is very one-sided deal. it is a deal that has to be changed. so we have a lot of things happening but in particular with china, we're going to be doing a section 301 trade action. it could be about $60 billion but that's really just a fraction of what we're talking about. i've been speaking with the highest chinese representatives, including the president and i've
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asked them to reduce the trade deficit immediately by $100 billion. it is a lot. so that would be anywhere from 25% to depending on the way you figure, to maybe something even more than that but, we have to do that. the word that i want to use is reciprocal. when they charge 25% for a car to go in, and we charge 2% for their car to come into the united states, that's not good. that is how china rebuilt itself, the tremendous money that we have paid since the founding of the world trade organization which is actually been a disaster for us. it has been very unfair to us. the arbitrations are very unfair. the judging has been very unfair, and knowingly we always have a minority and it is not
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fair. so we're talking to world trade, we're talking to nafta, we're talking to china, we're talking to european union and i will say every single one of them wants to negotiate and i believe that in many cases, maybe all cases we'll end up negotiating a deal. so we have spoken to china and we're in the midst of a very large negotiation. we'll see where it takes us. but in the meantime we're sending a section 301 action. i will be signing it right here, right now. i'd like to ask bob lighthizer to say a few words about the 301 and where we are in that negotiation and we're doing things for this country that should have been done for many, many years. we've had this abuse by many other countries, and groups of countries, that were put together in order to take advantage of the united states.
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and we don't want that to happen. we're not letting that happen. it is probably one of the reasons i was elected, maybe one of the main reasons. but we'll not let that happen. we have right now a 800 billion-dollar trade deficit with the world. so think of that. so let's say we have 500 to 375 but let's say we have 500 with china, but we have 800 total with the world that would mean that china is more than half. so we're going it get it taken care of. and frankly, it is going to make us a much stronger, much richer, nation. the word is reciprocal. that is the word i want everyone to remember. we want reciprocal, mirror. some people call it a mirror tariff, or a mirror tax. just use the word reciprocal.
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if they charge us, we charge them the same thing. that is the way it has got to be. that is not the way it has been for many, many years. for many decades it has not been that way. i will say the people we're negotiating with, smiling they really agree with us. i really believe they can not believe they have gotten away with this for so long. i will talk to prime minister abe of japan and others, great guy, friend of mine, and there will be a little smile on their face and the smile is, i can't believe we've been able to take advantage of united states for so long. so those days are over. ambassador lighthizer, thank you. >> well, thank you very much, mr. president. first of all for those who don't know section 301 is a statute that gives substantial power, authority to the president to
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correct actions in certain circumstances whether there is unfair, acts, policies or actions by our trading partners n this case the area is technology. technology is probably the most important part of our economy. 44 million people who work in high-tech knowledge areas. no country has as much technology intensive industry as the united states and technology is really the backbone of the future of the american economy. given these problems the president asked us-fr to conduct a study. we conducted a thorough study. we had hearings. we reviewed tens of thousand of pages of documents. we talked to many, many, business people. we had testimony as i say we concluded china does have a policy of forced technology transfer. of requiring licensing at less than economic value at state capitalism where in they go in and buy technology in the united states and non-economic ways,
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finally of cyber theft. the result of this has been that the president has analyzed it. we have 200 page study which we'll put out, and he has concluded we should put in place tariffs on appropriate products. we can explain later how we concluded what products they are. that we would put investment restrictions on china with respect to high technology and that we'll follow wto case because one of the actions here does involve a wto violation. this is an extremely important action, very significant, very important for the future of the country really across industries and i would like to thank you very much, mr. president, for giving me the opportunity to work on it. >> thank you very much, bob. secretary ross. >> intellectual property rights are our future and it's no accident that in june of this year the u.s. patent and trademark office will issue its 10 millionth patent.
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10 million patents. no country in the history of the world that remotely approaches that. so the steel and aluminum actions we've taken deal more or less with the present. this action on intellectual property rights deals with the future so we're trying to solve both today's problem and problems that otherwise will be forthcoming. that is why these actions are so important and so important in unison with each other. we will end up negotiating these things rather than fighting over them in my view. >> mike pence, would you like to say something? >> thank you, mr. president, and to all our honored guests. today's action send as clear message that this president, our entire administration, are determined to put american jobs and american workers first. the action the president will take today under section 301 also makes it clear that the era
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of economic surrender is over. the united states of america is taking targeted, and focused action to protect not only american jobs but america's technology which will power and drive an innovation economy for decades to come. it is just one more step of a promise made and a promise kept by president trump. >> so we'll sign right now. i just want to let everybody know, just for a second time, that we are in the midst of very major and very positive negotiations. positive for the united states and actually very positive for other countries also. and we have some of our great business leaders and leaders period right behind me. i may ask marilyn lockheed, the leading woman's business executive in this country according to many and we buy
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billions and billions of dollars worth of that beautiful f-35. it is stealth, you can not see it, is that correct? >> that is correct. >> better be correct. marilyn, say a few words. >> thank you, mr. president. i would say this is a very important moment for our country in that we are addressing was a critical area for the aerospace and defense industry and protecting our intellectual property. has been expressed that is a threat to us. if we have that stolen from our companies because that is the lifeblood of our companies and so we very much welcome this action on the part of the trump administration and the president of the united states. thank you. >> thank you, marilyn. this is the first of many.
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this is number one, but this is the first of many. thank you all very much, marilyn. thank you very much. [shouting >> thank you very much. [inaudible] >> thank you. [inaudible conversations] neil: is a done deal to the president has signed off on the authorization upwards of $60 billion worth of tariffs on chinese goods. the steel aluminum areas it did not outline what specific firms of parent companies are trying to remember.
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they all joined the economic apr, which the tarnished here. remember, governments don't pay the stare of spirit you do. the hope is the president says that the chinese and those that abuse these policies are dumping steel or aluminum on our shores and get the advantage in trade at least $375 billion trade deficit with china. the president did have a trillion dollars with these intellectual property matters back to hamas. former u.n. ambassador john bolton peered ambassador, what are we looking at here? the markets have been thinking this will keep escalating an escalating. kevin brady, the house ways and means chief, orrin hatch has acrobat purity when republicans are concerned. are you? >> it depends whether gets china's attention. particularly on the piracy of
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intellectual property is important here china comes into the world trade organization. it is supposed to follow norms and agreements that prohibit this kind of activity. the argument for china coming in with all these international norms will pressure china, increase chances for reform. it hasn't worked in i want to know what the responses. they are stealing our intellectual property, followed mercantilist policies in a free-trade environment and our responses were just supposed to sit there? is that the answer? i don't buy it. i'm a free trader, but i don't think that means getting pounded into the ground when another country does not abide by the commitments it made. we abide by our commitments with such scrupulousness that really it would astound people. china hasn't come anywhere close in our answers were just sitting take it? i don't get that. tranter before a follow-up on ottawa to let folks know back in
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on the house has approved a $.3 trillion where it does not necessarily of a short deal here. this is the one that keeps the government operating through the end of the fiscal year september 30th. that is a done deal. now goes to the senate. interested in reworking parts of this bit is of this day the senate might vote on it as is with the recommendation of speaker paul ryan. again, you got to do so before 12:01 a.m. tomorrow or we are shutting down. ambassador, back to this issue come you mention whether china plays fair or you have your doubts. wto, the world trade organization has readily acknowledge that the chinese don't exactly play fair, but a lot of times in recent issues that have come up regarding the chinese, and the wto has said china clearly meaningfully controls some state-owned companies then this is what bugs the president mostly that they have an unfair advantage right on their own turf and the extend that elsewhere.
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what if they do about that? >> so far we haven't done anything about it. they subsidize their domestic corporations, discriminate against foreign investors and traders. the judicial system is utterly biased against outsiders in favor of the local team and this has gone on all the while china has been getting the benefits of being in the wto. the only argument i've ever heard is on balance china wants to subsidize its industries or do this or that or the other thing. there people will suffer a nice benefit because we can buy lower prices. china doesn't have the same concern and there's simply no excuse for the stealing of intellectual property, force technology transfers it sometimes called. the bureaucracy has a real problem in cali now violations of a lot of international
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agreement. i seen it endlessly in the arms control world and it seems to me the same is true in the trade world. i don't understand why being a punching bag is the right response. if you get the attention of some of these violators, you could move towards real free-trade forget the agreements renegotiated. last week they said i can understand the americans put two or 2.5% on european cars imported in the united states. we impose 10% tariff. somewhere in some complex negotiation, that was agreed to. i would like to know why americans agree to that. neil: just to get access to iran. also monitoring the dow over a quarter point decline right now. confirmation of the lead attorney has quit. he was apparently pretty ticked off and has left now.
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some people read that i struggle in the bob mueller watters investigation. there's simply no way we can all die, so we will see. back on the trade issue, of course they were beneficiaries of a bailout and the meltdown may happen after that of the federal reserve keeping interest rates at 0%. they sometimes can pick and choose who they want to help. we should report that boeing is taking it on the chin right now. the fear seems to be that boeing is the key dow component could be targeted by the chinese for retribution because of these activities. china has vowed to take all necessary measures. it is denied for some companies do business there to hand over technology. it says that it does play fair. kevin brady has said that a trade war risk, whatever you think about it, wiping whatever tax cut game we have is a concern building on wall street here that what the tax could
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give it, all of these other things take it. market watchers larry glaser. are you worried about this? is this building in the something? >> yeah, it's been one of our primary macro worries that in theory you could combat what clearly are some unfair practices in china by going down the tariff shoot. the problem is what does is what does that do the supply chain? what is it due to retaliation? there's no history anywhere as terrorists resurrecting an industry in some secular decline. i think the potential negative ripple effect of this may be more significant than what ultimately we might get out of this. i do think it is a factor in market volatility, not just on a day like today, but really this year so far. neil: your story about the tit-for-tat nature in what follows. we start as we did a few weeks back when the president was looking at south korean washers
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and solar panels provided by china. now it is extended to a variety of aluminum and steel related products. chinese could come in and start targeting a lot of agricultural goods. you know the drill on this. are you worried? >> your throat easy to say they are not pro-growth, not for business. tariffs are potentially inflationary. they raise the cost of goods in that state. they cause the fed to act. all those are true, but they miss the whole point. the president talked about reciprocity. the markets are selling off on the basis of fear of retaliation. the reality is fear has been driving our trade policy for the last few decades, especially as it relates to china. this conversation needs to be had. we need to draw a line in the sand. wall street doesn't like it. i do like the lack of free market. a president uses wall street as a scorecard. he's very of the market
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reaction. >> you must be mindful as well having said that, as soon as we got news that john dowd was lead attorney in this probe, the markets were down about 300 points, fell another 150 and now we are in between. just the instant reaction now here is the president was typing out of the room of reporters what he testified before a special counsel, the president responding as i would like to. you say enough camera. way those two dramas, the trade drama and the mueller drama and what is wayne on markets more? [inaudible conversations] neil: go ahead. >> on the trade side, the president best understood a blunt instrument. that is where he is most effective in trade negotiations are full of subtleties and i don't think he intends to get into them. i think when you watch this
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terror thing, where he drops the boom, the single tactic sort of thing. what you are seen and i think now he knows what he's doing. i think his intent is to wave in and reset the dialogue in the way it's going and i don't think he has some fine tooth comb of policy ideas that is going to spread. watching the chinese i think it's kind of working. if you have people trying to decide what is this tariff on washing machine, i don't think that is the way to read it. there could be an over reaction on that front. neil: i'm sorry, hold onto that. john dowd issued a statement right now saying he resigned thursday morning president trump recently except did the case and has proved a special counsel robert mueller and his team. the special counsel and dean is no different than what i had told mueller and his investigations on multiple
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occasions. i'm proud of the president's transparency in how anyone could accuse them of destruction after the extraordinary cooperation is beyond me. i love him and i wish him well. dowd was among those who didn't want the president to sit down with bob mueller. other lawyers are either contemplating written answers are some very tightly constricted areas where he will answer questions from bob mueller. john dowd thought that was a mistake. in fact, when he went sort of rogue by some interpreted over the weekend should shut down and be finished, be done. that was too far. liz ann sonders, i guess about getting into the weeds your comments more uncertainty is it not for the markets and that can never be good. >> it really depends. the market doesn't like uncertainty. that's an old adage. if you look at it from an investor standpoint, one of the reasons why over the long
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history of being able to track partisan conflict, when it's been highest historically, the stock market has had its best performance. to the extent it helps to keep the reins in on investor sentiment get into frothy commode is one of the precipitating factors would kind of optimism, excessive optimism that kate didn't. that may not necessarily be a bad name. that's not to say any of this uncertainty is a good thing, but it is having the effect of keeping a lid on the fraud resolve in january coming back. neil: one thing i could say and i'm no market technician, but i'm telling you, every time a development happens that looks like it might be bad for this president, the immediate reaction to the market at valve when they see a development that
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they deem to be not dangerous, for example, when mueller had come out targeting the russian entities that no americans were complicit in that first wave. when we got the report he was going to do something the market sold off. the russian only entities that came back. it seems to be the market is tit-for-tat following the prospects of where this administration is going. the stronger looks, they like it. the less strong it looks, they don't. >> well, what has been driving ceos optimism, small business optimism, main street optimism has been missed not only tax cut and progrowth agenda, but the lack of regulatory burden. that's the piece that gets missed in this conversation. it doesn't change main street. they are still building factories, trying to find skilled labor. all of those things go on. it's in the into the turmoil they perceive is not
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economically related or driven. a progrowth agenda that's very much in place. a lot of turmoil, a lot of distraction. main street and wall street will screen out and focus on corporate earnings. we are playing chicken with china. that is what we are doing today. we look at past that at the end of the day. that's a negotiation posture that hasn't been in place for the past few decades. we will get comfortable with adding realistic amid economic impact and i will be okay. neil: we will have breaking news and all that. why thank you again. i should point out here bonds are looking good. close to 2.9% now around to point it 0%. the safe haven place to sort of park your cache if you're getting nervous, deal growth down come indication prices going up. a lot of people are seeking a safety. today in particular. a little more after this.
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one more way comcast is working to fit into your life, not the other way around. neil: all right, lasting meal be hearing from a venue like this. rex tillerson at the farewell address today. the president canning him last week. michael pompeo of course to eventually take its place. let's listen.
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>> your loved ones and your colleagues. second, to maintain a commitment to accountability by first holding ourselves accountable so you are able to hold others accountable and that's a positive environment of accountability is underpinned by honesty and integrity in all that you do. never lose sight of your most valuable asset, the most valuable asset you possess, or personal integrity. not one of you was gifted it. you were born with it. it belongs to you. it always has and will belong to you and you alone. only you can relinquish it or allow it to be compromised. once you have done so, it is very, very hard to regain it. so guarded as the most precious thing you possess.
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finally, i hope you'll continue to treat each other with respect regardless of the job title, the station in life or your role, everyone is important to the state department. we are all just human beings trying to do our part. in closing, i would like to ask that each of you undertake to ensure one act of kindness each day towards another person. this can be a very mean-spirited town. [applause] but you don't have to choose to participate in that. [applause]
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each of us get to choose the person we want to be in the way we want to be treated in the way we want to treat others. god bless you all, your loved ones. god bless america. [applause] neil: rex tillerson within the state department on a major speech. he's not mention the president by name or even the president generically saying that they are gifted people and should be grateful for the areas that they are enjoined us to the country. no indication to what the former exxonmobil chief plans to do. apparently stock and equity investments worth in excess of $150 billion. again, he didn't take the state department job for money or leave it for lack of money. the bottom line is the president wants to go in a different direction with director pompeo and that it's a much more
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spartan view of foreign policy, getting tough on those included today with the chinese in his tariffs chinese in this terrorist that had just been slapped on them, $60 billion worth. $1.3 trillion spending measure. connell mcshane with the latest on that. no slamdunk they are, right? connell: not at all. one senator can hold it up in allies around rand paul after the last time around. it did get to the house a massive bill. 256 in favor. 167. he mentioned over a trillion dollars when you added. the other thing is the length of the bill. 2232 pages introduced last night a couple days ahead of our friday midnight deadline. of note here come the few republicans supported this measure than the budget agreement in february with a 107 republicans on board. as it moves over to the senate, we should point out it will be signed by the president into law if it passes the senate.
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budget director mick mulvaney appeared at the white house and the last hour and said as much at the president will sign it because it funds his priorities. leading up to all of this, all kinds of emotion on the house floor from both sides really. the freedom caucus republicans are unhappy with the process. domestic spending programs in the bill and also we heard from democratic leadership. take a listen to this. >> not a single person has read this bill. it was filed at 8:00 last night. if we had put this on the floor, not a single one of you on that side of the aisle would vote for it. not one. you have demagogue for years about reading the bills. this doesn't come close to your three-day layover rule.
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connell: steny hoyer's point is there are a number of republicans who were upset with the way this process was handled. but now the speaker docks has defended this in the main take away here is that this bill, although not perfect does increase in military spending in the something many republicans have been pushing for a night is ladies and hanging his hat on. to your point, we are on to the senate. keep an eye on rand paul. see how it goes. neil: thank you or image. paul ryan a speaker, david hobbs in managing editor katy bridge on this. to begin with you, what if this does not pass the senate? what if those who are concerned about it, rand paul included they know we don't care. >> well, particularly for democrats, if they don't support as, it includes measures for gun control. they are not as sweeping as democrats would like, but they've been saying we have to do something. we have to do anything and
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includes the protection that allows work to medications eloquence a government, potentially things like florida and allows the cdc to do research on gun violence. so there are things in there or there do something, do anything motto. republicans have a chance to get them on this if they don't vote for her. what rand paul is going to do, i'm not entirely sure. although the process in the house has seemed somewhat swampy. neil: that's a good way to describe it. he can win money on this issue, just something to keep the government lights on. he's picking up the members of the freedom caucus and conservatives to say is just more reckless ending on top of spending and they are not happy and they are not budging. where is this going? >> well, the big thing they got done is to raise money for defense. that has been a terrible problem facing the government. if you look at the training in
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all of those things over the past eight or nine or 10 years, we have not put enough money into maintaining the military. this will do that. the democratic senator getting a huge increase in domestic spending as a part of this. this bill passed the senate. senator colin others might take it beyond midnight friday night, but that is the most they can do. it will pass the senate and be signed into law. there's a lot of issues and a lot of problems they have. one of the things the whole process has done over the last month or so is to send into effect accounts for the next fiscal year, which means if they would like in the house and senate to work on individual appropriations bills over the next four or five months they can actually do it because usually you start that up with this big fight over the totals. totals are agreed upon. so now there is an opportunity for the house and senate to do individual appropriations bills, which will start to bring back the control of spending to the house and senate to the
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legislative branch of government, which i think would be a great thing. neil: i'm sorry, a little breaking news. we are hearing by the way that the chinese are planning a response to this and it could come sooner rather than later after the commerce secretary wilbur ross acknowledges expected retaliation from china. that is on the upwards of $60 billion worth of tariffs on chinese goods. the president is indicating right now that he thinks china will do the right thing. china has found action on all necessary measures being a desert. the word as it will target a lot of u.s. agricultural products. the president has indicated right now that at least in prior actions that they won't do that. we shall see. a little bit more after this. the dow was down 298-point.
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. neil: all right, only getting this good news, we had been down a lot worse, 200 points worse. the dow well off lows of the day but still down a lot, and these are fast market conditions, you know the drill and investors can get drilled making assumptions in any given minute. for example, the vix, the volatility index, it's like dealing with my teenaged sons, they're great one second, the next second, i don't know. but i'm just telling you the volatility is still there. the anxiety is still there, but the fact of the matter is, they're weighing these concerns about this investigation with the mueller investigation is going. the man who had been urging the president not to testify with bob mueller resigning today. the president's top personal lawyer, and then you have the trade tariffs, the president slapped on the chinese, indications the chinese are set to respond maybe by the end of the day, and the spending measure that just passed the
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house, $1.3 trillion spending measure that will keep us going for another six months. won't have to do all this all over again. they're weighing all that together. this lady knows how to weigh it together very, very nicely. "wall street journal" editor kim strassel. the markets are betwixt and between on all this, i notice whatever your views of the president, the worst things look for him potentially especially if investigation might not look good, look worse for the markets. then they think about it, calm down, what's your sense? >> yeah, people want to feel as though they've got a white house that is free from the kind of overhang that is going on right now. so the more you hear about mueller, the more you hear comments from former obama officials like john brennan, suggesting the russians have something on him. more all of the news media is on this, the tougher it is for the markets to the believe that there's going to be any head
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room in washington to just get things done that are priorities like for the economy, because everyone is so wrapped up in all of these theories and conspiracies. neil: let's take each one quickly if we can, on the mueller stuff and whether this somehow telegraphs more ominous things than the president earlier thought. i didn't read it that way, i think he went out on the limb when he more or less said it was shut down and already cleared and didn't want the president to testify, or am i missing something there? >> no, the worst thing that donald trump could do and hopefully he has many advisers around him telling this is to fire bob mueller. i don't see any indication he's going to do so. he probably should knock off the tweets when it comes to this stuff, just let him get through the investigation. neil: i'm sorry, kim, it's the very tweets that make me think, maybe he is considering it? >> well, i know, and you never know. the president who you can't guess what he's going to do one
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day to the next. look, that would just cause huge meltdown in washington. neil: true. he's going along. what he needs, you just mentioned the president's lawyer resigned. probably the best thing donald trump could do at the moment is get a lawyer who is specifically versed in some of these questions about for instance, obstruction or collusion, who would know how to treat with the special counsel, where to draw the circles and the gates around the president in terms of how he would testify, if he would testify, and to maybe, push back against the special counsel, a little on the question of some of these potential charges if they were to come. so he could get something out of that. that's where his focus ought to be rather than complaining about the process itself. neil: you know, kim, a little earlier, the president, again, slapped these tariffs on chinese steel, aluminum-related goods. the chinese are going to
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respond. he said as long as i've known him, the chinese need us a heck of a lot more than we need them. he's almost tempting them to do something. do you think they will? >> they probably will. look, this is what happens when you decide to go into a trade dispute with someone. what's interesting to me about this, neil, is initially i'm told by people in the white house, it was only ever supposed to be china, they were leveling attention on in part because of frustration over legitimate trade abuses like intellectual property theft. then the president got with wilbur ross, the commerce secretary, got wound up and said he was applying steel tariffs across the board, across the entire world. they ratcheted that back some. they are back on back to china. china will likely retaliate some way. how far do they push it? they are a growing economy and
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they need the world trade. neil: very good stuff. "wall street journal" editor and fox news contributor kim strassel. weighs on the stock market, not so much the bond market, whatever they were committing to stocks, going one way, they committed to bonds, going the other way. the 10-year note fetching 2.85%. the yield had gotten as low as 2.81%. a lot of that is unwound now as the stocks are off worst levels of the day. we're nowhere near done with this day. 2 1/2 hours to go, the trading day. the rest of the day, many hours after that. i'll fill you in when i do that copernicus and galileo and newton thing right after this. you know what they say about the early bird...
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. neil: all right, facebook down again today, i think it's off close to 10% this week. now earlier you might have recalled mark zuckerberg said in an interview we have not seen a meaningful number of people deleting their facebook accounts, there's no way to verify that one way or the other. the market is doing a lot of the work for those who are disgruntled about what's going on right there. we are also hearing that zuckerberg is willing and open to testifying on capitol hill, talking to attorneys general from around the country. i don't know if this next fellow is one of them. ken paxton, the texas attorney general. general, very good to have you, thank you for coming. >> absolutely. thanks for having me on. neil: the attorneys general with whom zuckerberg is slated to meet and do this tour where he's trying to reassure people, are you convinced that he has done enough to address this or doing more to address this?
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>> no, i'd love to talk to him, we're not on the list, i'd like to be, i'm concerned about the privacy of my citizens and information being used by them that shouldn't be. neil: now, a lot of this stuff that came up, the 50 billion users whose privacy was compromised. portrayed as a trump administration, something similar was done and deemed genius with the obama folks. not quite similarly but did remind folks on both sides of the political edge or whatever your views that whatever you sign up to on a social media site isn't exactly a secret. does that worry you that this is getting out of control? >> yeah, it really does worry me because i think that people are giving out information, and not expecting it to be used and spread around to others, and they're finding ways through technology to get more and more information about people they don't know they're exposing. i have concerns about that and i think there needs to be more
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disclos, and you are potentially more regulations in this area. neil: i don't know what the fallout would be on texas beyond the facebook tramplings. the president has indicated he's ready to play hardball with the chinese and slapped tariffs on them, gets people nervous about trade wars going and texas economy that's been booming, but could this have a direct effect on you guys. are you worried? >> no, you know what? i'm not surprised, though the president campaigned on all this, he's always been worried about unfair trade practices. we are very much a free trade state. we trade with all kinds of countries, including mexico and others, but when we're dealing with unfair trade practices like we've seen with china, obviously investigation by the administration on this where they're stealing intellectual property, forcing companies to align with chinese companies and disclose important technological information and then having chinese companies or chinese government buying our companies.
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it's a concern for us in texas that we have fair trade as well. neil: switching gears, so much going on, glad to have you. i'm going to ask to you weigh in on all of this. the mueller investigation and the president's personal lawyer stepping down. markets originally interpreted that, general, as something is wrong there and since calmed down a little bit. but they're antsy about this. various thought whether this means that the mueller investigation is going to drag on a while. looking into his business, trump businesses prior to the election. where do you see this going? >> you know, it's always hard to tempt obviously the president has other people in the administration leave. this is not unusual. lawyers get at odds with client. hard to know from one lawyer stepping down what that means for trump's future and hard to know how that affects the whole probe. neil: any new bomb revelations from this guy who is obviously a mystery to a lot of people.
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had no idea he was going to do what he did. any new developments on that case? whether there were others working with him? >> fortunately, obviously, we're grateful that horrific event is over, and he's gone. it's really remarkable. so far they're talking to roommates and family members, looking at things he's posted on websites. there's really no explanation so far, and obviously he's deceased, so it's hard to interview him. right now we have nothing else other than he was by himself and don't have an explanation why he did it. neil: ken paxton, texas attorney general, thank you, sir. sorry to throw so much at you. >> no problem, have a great one. thanks. down about 258 points. bonds are looking good. john dowd, the president's personal attorney, lead attorney is out. to judge napolitano what that could mean and what happens now? congratulations. thank you. how many kids? my two. his three.
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like any medicare supplement insurance plan, these help pick up some of what medicare doesn't pay. and, these plans let you choose any doctor or hospital that accepts medicare patients. you could stay with the doctor or specialist you trust... or go with someone new. you're not stuck in a network... because there aren't any. so don't wait. call now to request your free decision guide and find the aarp medicare supplement plan that works for you. there's a range to choose from, depending on your needs and your budget. rates are competitive. and they're the only plans of their kind endorsed by aarp. like any of these types of plans, they let you apply whenever you want. there's no enrollment window... no waiting to apply.
1:48 pm
so call now. remember, medicare supplement plans help cover some of what medicare doesn't pay. you'll be able to choose any doctor or hospital that accepts medicare patients. whether you're on medicare now or turning 65 soon, it's a good time to get your ducks in a row. duck: quack! call to request your free decision guide now. because the time to think about tomorrow is today. . neil: john dowd is out. the president's former top personal attorney. she out. what happened there and what to make of that there? you really have to get the read from the judge, andrew napolitano, and he's here, i'm very happy to see him. what do you make of this? what happened? >> i think there were some disputes and personal egos were
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bruised and as a result john dowd left. three things happened in the past week. one, the president hired a new lawyer, temperament of john dowd. the new guy joe is an attack dog. the second thing that happened is bob mueller said i want to know whether or not the president will sit down with me? john dowd strongly advising against it. others on the team, i don't think joe was on the team at the time. advising against it. the third thing that happened was the president began his tweets against the investigation and against bob mueller personally, and john dowd talked the president out of that, told him that would hurt him not help him, and the president did it anyway. so when the lawyer perceives that the client doesn't have the lawyer's confidence, the lawyer goes. that's what happened this afternoon. what confronts joe digeneva.
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100 documents that joe is going to have to review. he's going to give him the documents and say you gave him this? why did you give him that. only the president can explain with you. the president is on the phone with vladimir putin, he's not going to explain things to you. it's a very awkward situation with a large, long learning curve. neil: where is mueller going here? >> think of it this way. he's putting together a puzzle of 10,000 pieces. there are holes in the puzzle. only he and his team know what the holes are. how do they get them filled? talk to the president. the only reason for them talking to the president is to help them, not to help the president. neil: and this lawyer did not want the president to talk to them. >> correct. neil: you were an early advocate it would be a mistake. >> i think it would be the most dangerous environment that donald j. trump has been in that he subjects himself to
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these people. they know more about the case than he does. he will tell you he knows a great deal. they've seen the 100,000 documents, he has not jo do most presidents cooperate? how does it work? >> i thought that bill clinton made a mistake when he subjected himself to the interview and the interrogation by ken starr, not everybody agrees with me on that, and history may give us a different view. there's a one-liner that defense lawyers always use. don't talk to a guy that owns a grand jury. bob mueller owns two. one of inner city folks in washington, d.c. one of more suburban folks in alexandria, virginia. but donald trump, tremendous self confidence, and doesn't always use an economy of words. trying to be diplomatic here. those things can be a recipe for disaster. neil: what does bob mueller have? >> he has all the deutsche bank paperwork, the trump organizations principal lender.
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neil: and that gets out. we find out the president, and you hear about that, it gets you more infuriated, and you fly off the handle. >> before he introduce the president, if the interview occurs, he'll have the flipside of those documents from the trump organization. these things have nothing to do with russia whatsoever. neil: it veered off course as the investigations invariably do. >> radically off-course. if you want get into the business of firing. neil: if he were to fire him, that's nuclear. >> i believe so. you probably are aware of the one liner from lindsey graham this week. neil: beginning of the end of the presidency. >> correct, correct. and that's from a new trump supporter. neil: yeah, it was a mistake for the president to raise the level of vitriol by naming mueller? >> i think so. and most lawyers do. the ideal client doesn't say anything in public. again, a oneliner.
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don't taunt the alligator until you cross the stream. he's taunting him. not everybody that works for him has thick skin. there are other things happening, the stormy daniels interview that's going to come up on on "60 minutes." there's a judge downtown in new york city that authorized a lady who's suing the president over allegedly defamatory remarks he said about a relationship they had 12 years ago, to take the president's deposition in the white house! interrogation under oath and with cameras there. that is the last thing he wants in the middle of putin and china and tariffs and spending and the congress and the courts and all the other things that he worries about as the president. neil: if you're mueller and seeing this, and now you have the stormy daniels stuff and other cases that are suddenly resurrecting themselves. does it help or hurt your case or we've got the president rattleed? >> i think -- and i'm sorry to say this, neil. it gives -- i'll use a john
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roberts phrase, gives bob mueller more rabbit holes down which to go. let's see. the allegation is he lied about stormy daniels? let's take a look at that. stormy daniels was nowhere near the radar screen when bob mueller was there. neil: neither was monica lewinsky and the ken starr investigation. >> what was that about? a land deal in arizona, and ended up the blue dress. history repeating itself. of course, bill clinton surviveed. >> he did survive. another reason the president hopes republicans hang onto the house. >> absolutely. neil: thank you very much, my friend. not bad for princeton. [ laughter ] >> i'm still trying to spell princeton. a lot more coming up, i can smell tariffs, i can smell big ones and i can see the chinese are ready now respond. the president was under the
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impression they were going sit back and take this. we're getting growing indications that will not happen. after this. alerts -- wouldn't you like one from the market when it might be time to buy or sell? with fidelity's real-time analytics, you'll get clear, actionable alerts about potential investment opportunities in real time. fidelity. open an account today. especially if you need to get to a bathroom a lot. used to be me, before urinozinc with the ingredients in the special formula that can help you with your problem day and night, and supports a healthy, normal prostate. urinozinc, the number one prostate health brand. . .
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neil: tow down about 266 points. a lot to going on here. we have a lot to cover next two hours. house passing $1.3 trillion passing measure, chuck schumer when it comes to the senate that the senate will vote on the
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bill. will have to rely on a lot of democratic support as it did in the house because some conservative republicans were not keen on it. the aim thing could play out in the senate. too early to tell. they are trying to avoid a government of the shutdown if they don't get together on this 2007:01 a.m. saturday. president delivered tariffs as he promised. chinese indicated they are ready to respond. they said they will respond with meaningful measures. the talk agricultural area or might pick on prominent u.s. companies. boeing, a key dow component was getting shellacked it could be targeted. as bad as that low, it was down close to 12 points earlier in the day. it since made up a lot of that. you can imagine all these crosscurrents. good thing we're live at we are every weekend10:00 a.m. "cost of
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freedom" on fox news. live for you offer every development across the day. lauren simonetti for trish regan lauren: we're not down yet, two hours to go. stocks selling off as investors digest massive amount of news on the heels of president trump's major decision to impose new tariffs against china. hi, everybody, i'm lauren simonetti is in for trish regan. welcome to the "the intelligence report." president trump fulfilling another campaign promise. imposing tariffs on china for unfair trade practices investors let's say are not keen on this move. it was down 265 points. it was down much more moments ago. economists fear


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