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tv   After the Bell  FOX Business  July 24, 2019 4:00pm-5:00pm EDT

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longer term i think consumer will help us. [closing bell rings] liz: federated investor senior portfolio manager, thank you so much for your perspective. folks, that's a record. s&p and nasdaq closing at record highs. earnings for ford, tesla. and more. connell: a lot to do here. record-setting day on wall street. as we wait for some of those numbers, one of the biggest names in technology. facebook will report second-quarter earnings any moment right now. we'll bring you those results of course as soon as we get them. plus a lot of other things, what promises to be a very busy hour. i'm condition nell mcshane. lauren: i'm lauren simonetti i'm in for melissa francis. this is "after the bell." we're waiting results from tesla and ford. let's show you the dow ending the day down 79 points .
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boeing fixings technical problems with the plane's flight systems warning it mate have to shut down production entirely. connell: s&p right around record territory. it needed to close up just under nine points to set a record t was able to do that. a 14 point gain for the s&p where we settle in. that is a record closing high. same thing for the nasdaq, with a 70 point advance today. we have all of that. plus the president, of course a big day in washington. president trump is expected to leave the white house in the next few minutes, following the robert mueller testimony on capitol hill. this is a chance most likely to hear from the president. we'll bring you any breaking headlines from president trump if he stops to answer questions as he often does from reporters on the south lawn of the
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white house. lauren: think he will do that today but we will see. as we wait for facebook, their latest quarterly earnings imminent at this moment. jackie deangelis in the newsroom with the very latest. hey, jackie. reporter: lauren, big changes at facebook, the social media giant reaching settlement with the ftc over violation of user privacy orders from 2012. the fine is five billion dollars. forcing facebook to set up an independent committee to oversee privacy. ceo mark zuckerberg will have to certainly setfy the privacy requirements are being met he have quarter and annually. should he be untruthful he could be held liable civilly and criminally. most important the settlement doesn't include ad mission of guilt by the company. needs to be approved by a federal judge. here are the restrictions that come along with it. they can't use phone numbers to enable security. it must give facial recognition notice when it is used and can't
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use email passwords for other services. they hope the size of the fine will send a message to other tech companies that privacy isn't an option. facebook issuing a statement earlier today, saying in part the agreement will require a fundamental shift in the way we approach our work and it will place additional responsibility on people building our products. fundamental shift, guys. certainly. lauren: jackie deangelis, thank you very much for the set-up. let's talk about it with today's panel. todd horowitz from bubba trading, lindsey bell, analyst with cfra, john miles, starship capital managing partner. ladies first. start with you, lindsey. it is bipartisan and multiple agencies at this point, multiple from facebook, targeting big tech. what do you think this will be? >> this gives us good insight to expect for other tech companies with regards to regulation. it's a good foundation. it's a good starting point. it will be nice to see as the
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quarterlies roll through, what that privacy ships up to be how they report it to the public most importantly. lauren: todd, what do you make of all this antitrust talk? can you argue, for instance, in the case of apple it has a monopoly when apple music isn't doing that well, the iphone certainly isn't dominant, you can say the same for amazon and the others? >> hi, lauren. apple is a little bit different. facebook might have an monopoly. i believe facebook wants to be regulated. they want to close the barrier to entry for any competition. the only way they can do that is get regulations. the 5 billion-dollar fine you got, is like you taking a dollar out of your wallet. it is absolutely meaningless. they would love to be regulated because it would keep anybody else out from competing in their industry. it is really that simple. they have a cash money machine they don't want to deal with anybody about it. lauren: john, as we look at facebook's stock it is moving a
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quarter percent to the downside here in after-hours but this year, with all of these concerns that we just outlined, that target facebook and other big tech and social media companies the stock is up more than 50%. as we wait on these earnings, if facebook is able to gross the user base, will investors say so what about all these investigations so what about privacy, that they're growing, that's what is important? >> i think they will and the reason why this is so interesting is because of the fact that facebook has the most powerful advertising product that ever existed in history. for that to be powerful and influential it requires users and because that's where all the revenue is coming from, over 98 percent of their revenue comes from ads as long as they increase the user base that is all investors care about, that means more power to reach more people. lauren: something todd said, the fcc 5 billion-dollar fine was a
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joke, a slap on the wrist. if you look at the commissioners on the ftc, they were not all in agreement. two of the democrats on the committee wanted litigation against facebook. connell: jump in for one second, lauren. the earnings are coming out. they will give us more detail. i would say the revenue is better than expected at at 16.8. because a lot of this is accounting, when you compare it to the, what the analysts had put out, there will be something called a gaap number versus a non-gaap number. first number i saw crossing said it was a gaap number. that is not what we use to compare to analyst expectations. i'm sure deirdre and our team is trying to figure out what that is. i will say revenue is better than expected.
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16.89 billion is better than 16.51 billion which is what i should say the estimate was. a little better on revenue. we're up about 5% right now. so there you go. lauren: facebook is estimating, we were talking about user numbers with john, more than 2.1 billion people use facebook, instagram, whatsapp, messenger every single day on average. it goes to show you, lindsey, it is amazing we're not, amid all these concerns, we're still using the site? >> that is investors haven't worried yet, the stock is up 54% on year-to-date basis. the users are still there, the advertisers are still there. they're paying to put their ads on facebook's apps. lauren: yep. >> there is still a long runway to go with monetizaton especially with regards to instagram and messenger. lauren: deirdre bolton on the floor of new york stock exchange has all the numbers. reporter: lauren and connell. we're going through the numbers, as you talked about
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discrepancies with adjusted, adjusted eps $1.99 a share that is a clear beat. wall street by that metric was looking for $1.88. that is better than 8 1/2% gain quarter on quarter. connell you highlighted revenue number earlier, exactly right, 16.89 billion came in for the revenue figure. wall street looking for 16.51 billion. that's a gain better than 25%. i hear you talking about the optimism among the analyst community. i called around a lot today. i was hard-pressed to find anybody on a neutral or a sell. i'm going down, bank of america, jpmorgan, oppenheimer, goldman sachs, ever core, all optimistic, saying buy. exactly for the reasons you've been discussing with your guests. solid fundamentals. solid ad business presence because i was the one pointing out privacy issues, potential regulation, controversy, the libra currency having a difficult time getting out of
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the gate. there are plenty of reasons we've been talking about for two years, notwithstanding 5 billion-dollar serious slap on the wrist facebook got for the cambridge analytica scandal. basically lawmakers will monitor how facebook does its job, have quarterly check-ins. mark zuckerberg could be on the hook if they don't like the way he is running that company. seems like there are tons of reasons to be pessimistic. if you look post-market you can see really soaring, better than expected on the top and bottom lines. back to you guys. connell: stock is up about 3%. on the panel, john i will go back to you first on these numbers. as deirdre says better than expected top and bottom line. on user numbers, you're right in line on monthly active users. above expectations a little bit on the daily active users. so up 3%. facebook made a few comment on the investigations saying it was informed in june. the ftc opened an antitrust investigation.
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deirdre says about the ftc fine. it was informed in july the department of justice will begin an antitrust review of quote, market leading online platforms, something we talked about on this show yesterday. it seems john, the story here, when you put all of it together is that facebook continues to do what it does despite all these headwinds. can that continue? >> correct. that is the biggest question. it will come down to two possible forces that i believe could be factors that could put a stop theoretically to facebook's continued growth. the first if finally we might hit a wave we haven't hit yet of consumers beginning to realize just how much facebook truly has disregarded their privacy, which could theoretically happen. today i believe the documentary, the great hack is released on netflix, which covers this and cambridge analytica controversy. the second possible factor if some other company comes in,
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unexpectedly to just upend the actual ad business. because again that's where all of this growth is coming from. connell: todd, you want to take a stab at that in terms of, and john brings up a couple good points, what might happen down the line. so far facebook keeps on keeping on here? >> listen, connell, we are the product. if you sign in to facebook, if you sign in to amazon, if you sign in to any major platform you are the product. you are willing to hanover your information. if you don't care, then they're going to use it. that is where they really monetize everything, is by information you provide them. so there is no reason rellations. you're signing it over on your own. you're saying here is my information. you think amazon sits back on the information as well? everybody uses the information because its their form and the real money in the business is by amount of names and people they collect they can market to through their advertising.
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so at the end of the day you want to be product, you want it for free, that is what you will get. i don't think there is any defense of your privacy if you're handing over your information. connell: we continue to do it, lauren. 2.1 billion people use facebook, whatsapp, messenger, every single day. that plays into the active daily users on facebook alone is over 1 1/2 billion. when you work in the other platforms. young people on instagram. that is over two billion. we're doing exactly what todd suggests. >> exactly the consumer is out there say they don't like the privacy is being used in ways they don't necessarily like but they still continue to go on these apps. if they go on, facebook continues to sell ads. that is what it comes down to facebook is making money. until that happens, investors won't care. they only care about growth. a market it is hard to find,
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hard to get investors into value stocks. they keep going into growth areas like tech this is communications services. tech is up over 31% on year-to-date basis. it's a clear winner. that is why investors are so comfortable. lauren: let me jump in here. john, i have a question for you. facebook is pushing that controversial libra currency. even though that is controversial, are they trying to convince investors we have something else up our sleeve? >> i'm glad you asked that question. what is interesting about libra, this is contrary about some of the fears about it, facebook controls very little of libra when eventually it is released, it will be one of 100 members. visa will be in control of this thing. when libra can actually do for facebook if done right, is not make facebook a boatload of extra revenue. i still think the ad revenue
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will be the primary driver of their business for the next self years but i do think what libra could do ironically ease some public concern over privacy because it does have a lot of elements of the blockchain world and blockchain technology where transparency is one of the top factors that go into building these products. connell: right. that is the argument zuckerberg is making, todd not only with libra but i guess whatsapp to some degree and messenger, and now this is the new branding of this company ironically, whatever word you want to use, about the concerns about facebook and privacy, trying to make that its own brand. do you buy it? >> no, i don't buy it. i don't buy their libra either. i think that libra is, you have already seen that they're looking to have it partially regulated. the whole key to the cryptocurrency world is that it is unregulated and only products
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that are truly determined by real price discovery where buyers and sellers meet that trades 24 hours a day. the first time, when you start bringing in the name regulators and regulating a currency you're back into the same garbage we're in now -- connell: we have more breaking news. we'll get back to facebook but we have another big american company, just reporting its numbers. ford second quarter results just out. jeff flock with those figures for us. jeff, how did they do? reporter: what a day, connell. looks like good news for ford. one miss and one beat. the stock did pretty well today anyway. but take a look at this, this is eps, this was a miss but not a terrible miss. estimates were for 31-cent a share. they came in at 28 cents adjusted but they had a write-down on a software company that they own which would have taken them up to 32 cents a share. so that is not a bad miss. revenue was a huge beat. not only on automotive revenue but also on overall company
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revenue. the company revenue came in at 38.85 billion. automotive revenue at 35.76 billion. they both beat estimates. a good quarter for sales, even though sales down 4% in q2. sales of f-150 killing it. that is why the revenue was high, because they have high prices for what they did sell. the stock was up 1.6% today. they had a huge beat last quarter. i suspect the stock will do okay. in the after-hours, somebody is telling me i'm wrong. connell: down a little. >> it has gone down in the after-hours. you know, there you go. here's the deal. the reason their miss and profit is low, they are doing major restructuring in both europe and south america, laying people off of the costs money but makes the company much leaner, meaner, fighting machine. maybe going forward things will be better. but to look at that stock right now, it is not looking good. connell: almost 3% lower on
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earnings miss. as jeff says it is a little more complicated than that. we have facebook. we have ford. there is one more big one to come this hour. we're waiting for tesla. we'll bring you numbers as soon as we have them. we have tons of other news. lauren: such as this. grilled on capitol hill, former special counsel robert mueller facing questions from congress about his investigation into russian interference in the 2016 election. the potential fallout from that in just a bit. connell: plus we're awaiting a possible response from president trump on the mueller testimony that could come your way any minute when he leaves the white house. headlines from there as we get them. don't go away. ♪ here you go little guy. a cockroach can survive submerged underwater for 30 minutes.
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lauren: breaking news. president trump is expected to leave the white house at any moment after former special counsel bob mueller answered questions for the first time on his investigation into russian interference in the the 2016 election. let's go to edward lawrence on capitol hill. edward, what a day. reporter: what a day. the democrats on the house judiciary and intelligence committees zeroed in on the obstruction of justice. they tried to get former special counsel robert mueller that the president tried to obstruct the investigation. >> based on the evidence that we have heard today, i believe
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reasonable person could conclude that at least three crimes of obstruction of justice by the president occurred. we're going to hear about two additional crimes. that would be the witness tamperings of michael cohen and paul manafort. >> the only thing i want to add, going through the elements with you, does not mean i subscribe to the, what you're trying to prove through those elements. reporter: mueller later clarified he did not reach a conclusion if the president committed a crime or not. democrats say this was a chance for the american people not to learn anything new but hear from the author of the report. some democrats after the hearing have a louder call now for impeachment proceedings to start. republicans really stressed that the report found no collusion. also that the special counsel went out of bounds when investigating obstruction of justice. >> you wrote 180 pages, 180 pages about decisions that weren't reached, about potential
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crimes that weren't charged, or decided and respectfully, respectfully by doing that, you managed to violate every principle and the most sacred of traditions about prosecutors not offering extra prosecutorial analysis about potential crimes that aren't charged. reporter: republicans adding that the democrats did not get the show they were hoping for from the former special counsel. on mueller's performance there, senator john kennedy said hopes this is not the way the american people remember his service to the country. back to you. connell: edward, thank you. crosstown to blake burman at the white house. we'll get the president's reaction. blake standing on the north lawn, every chance when the president leaves the white house on south lawn he may speak about this he has been tweeting throughout the day. reporter: one of those if you never know the president will talk. he is set to leave the white house here any moment now.
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he took to twitter, wrote truth is a force of nature. rnc called this a quote a disaster for democrats. press secretary stephanie grisham said it was an embarassment. after the first hearing he seemed to be gearful what he heard on capitol hill. he wrote, i would like to thank the democrats for holding this morning's hering. that was a 180 from the president who started out the day trashing robert mueller as he has done for the last extended period of time, describing him as highly conflicted. he also continued to hit the investigation as a whole, calling it the biggest witch-hunt in u.s. history. the president's personal attorney, jay sekulow, focused part of his statement today, trying to shoot down democrats attempts to hit at issue of obstruction of justice. this from the president's attorney, quote, it is clear that the special counsel conducted his two-year
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investigation unimpeded. this issue is over. they understand that the case is closed. this moment was clipped to the president's twitter feed as well. watch. >> at anytime during the investigation was your investigation curtailed or stopped? or hindered? >> no. reporter: so, we sit here as i literally refresh the email connell, hold on one second. the president is speaking to reporters on the south lawn. notes to come. that i guess is a tease in the tv business. stand by. we get the president shortly. connell: get on your horse. you can get the end of it. president will speak. we'll get tape. it is not live. he is speaking right now. that will be interesting. i guess we're coming back to the white house in a few minutes. lauren: that is a tease. i have another one, new head of the uk, that is boris johnson,
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officially becomes great britain's prime minister today. he is gearing up for a brexit battle. he is gearing up the deal his predecessor was not able to push through. can he get it done? we have an update from london. another look at facebook shares in after-hours. up on a revenue beat even as it agreed to pay the $5 billion fine over data privacy and announced a antitrust investigation. we'll keep you updated on the breaking headlines. we'll beur right back. one plac. because when it's decision time... you need decision tech. only from fidelity. you need decision tech. dto experiencer gthrilling performance. now, at the lexus golden opportunity sales event. get 0.9% apr for 60 months on all 2019 models.
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we'll keep you updated on the president's comments. we'll bring you the tape once we get it. connell: we should have that on camera very, very soon. another big story overseas, taking the country on a new path. boris johnson, prime minister of england, saying it is common sense to prepare for a no-deal brexit. greg palkot in london with the latest. reporter: boris johnson becoming the new prime minister of the uk. british tradition he was asked to form a new government by the queen in buckingham palace after gaining the leadership from the majority conservative party. he is the keep's 14th prime minister. by the way after outgoing prime minister theresa may handed in her resignation to the queen on her way out of the office and residence of the pm, 10 downing street, she wished johnson good luck. johnson will need it. he face as daunting task getting
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out of european leader three years ago which may was unable to achieve. he promised the uk would leave by the new deadline october 31st with, a newly negotiated deal or without. summing up all the oratorical bro viewed dough is known for, take a listen. >> after three years of unfounded self-doubt, it is time to change the record, to recover our natural and historic role as a enterprising, outward looking, a truly global britain, generous in temper and engaged with the world. reporter: european union officials pretty much said they won't reopen negotiations. looks like johnson wants to summon up of courage of his idol, by the way the first prime minister of the queen, winston churchill. back to you. connell: thank you, greg. 14 prime ministers for queen elizabeth. isn't that amazing? lauren: unbelievable. former special counsel robert mueller answering questions on the russian probe
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for the very first time. we're breaking down the political fall out from all of this. implications for 2020. connell: we're still waiting on ruts from tesla, in case you forgot with all other breaking headlines. as soon as tesla is out. we'll bring you those numbers. lauren: have you heard this coming on the next dunkin' run? looks a little bit different, taste as little bit different. it is partnering with beyond meat to announce a maidless sausage sandwich. the vegan sandwich is available at select locations here in new york city. you want one? connell: maybe. lauren: maybe, okay. free access to every platform. yeah, that too. i don't want any trade minimums. yeah, i totally agree, they don't have any of those. i want to know what i'm paying upfront. yes, absolutely. do you just say yes to everything? hm. well i say no to kale. mm. yeah, they say if you blanch it it's better, but that seems like a lot of work.
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lauren: facebook stock up 1 1/2% in after-hours following a beat on second-quarter earnings. let's go back to deirdre bolton on the latest. reporter: lauren, it was a beat on the top and bottom line, facebook, a 1.99 per share. that was adjusted eps. wall street looking for 1.88. clear beat there. revenues 16.89 billion for second quarter revenue. wall street looking for 16.51. even if you compare this quarter to this quarter last year earnings beat by 8 1/2%. revenue beat by 25 1/2%. clearly a lot of optimism and among analyst community, i was really hard-pressed to find anyone who had a neutral or a
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sell on facebook ahead of this afternoon's earnings. everybody talks to me about fundamentals. they talk to me about the presence in the ad business. if you even look at the story that the stock has been telling year-to-date, this is the best performer by far, of so-called "fang" stocks which book is the f in that equation. is 55% year-to-date. apple, amazon, google, netflix are all a range of 8% to 32%. facebook clearly outperforming this big cap tech group. i want to highlight some other metrics we've been breaking down here, monthly active users exactly in line what wall street was looking for, 2.41 billion. daily active users exactly in line, 1.59. seems if facebook is really consistent in hitting all the metrics. of course it has to be at this point. we're also talking about this stock on a day where it has the $5 billion slap on the wrist from the cambridge analytica
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situation, the way that they handled that. the fact that the company will now be monitored. that mark zuckerberg can be held personally liable for the way he is running the company. there is potential regulations, there is still brand risk. for the moment investors seem to focus on the fundamentals and facebook's presence in the space, lauren. lauren: the doj investigation and sec settle men to that, it is amazing. deirdre bolton thank you very much. connell: back now to the breaking news on mueller testimony today, president trump speaking as we speak on the south lawn of the white house, before leaving the white house after former special counsel robert mueller testified earlier in the day today on capitol hill. that today prove ad lot to everybody. we'll bring you the president's comments on camera when we get them. we do have some of them already coming across, as that will be tape play back. the former special counsel
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largely referring back to his own report, did so time and time again when he was on the capitol hill hot seat, with election inferior recognize he rejected a characterization as the president made repeatedly. let's listen to this part of the hearing earlier today. >> the president repeatedly claimed that your report found there was no obstruction and that it completely and totally exonerated him. but that is not what your report said, is it? >> correct. it is not what the report said. connell: we bring in former justice department prosecutor, james trusty. we have new response from the president moments ago, james to that very issue, dismissing the refusal of mr. mueller to exonerate him. the quote from the president was that the special counsel, quote, did not have a right to exonerate. you pick it up from there? >> that is the maddening part of the report, they talk about the olc opinion, even today mueller couldn't seem to get it right
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what their framework was, what were they looking to do when it comes to obstruction. he said we're not using a typical prosecutorial model. lays out a bunch of facts there would be some problems but clearly says at the end i'm not exonerating the president. horrible mush everyone is having a problem with the semantics of. connell: just about everybody agrees nobody's mind has been changed by anything that they saw today. to anything, maybe there is a little bit more confusion. olc, the office of legal counsel, the guidelines put out by the office were of much discussion today that you can't, you're guided against indicting a sitting president. that was a point of confusion that the special counsel you know tried to clarify in his afternoon testimony saying when he said he wasn't going to indict because of those guidelines he was not making a judgment whether a crime was committed. earlier on it appeared to some yeah, the president committed a crime of obstruction i would have indicted him as sitting president. apparently, james he didn't mean to say that. >> he bit on a question this
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morning where he essentially said we could have indicted but for the olc opinion. and then the first thing he does after lunch, gets it right. no, that is not what we mean. the report itself, read it a dozen times, it is not really clear what standard they're using other than saying here are some facts, here are some problems. and we're not indicting. so it's a tough call but he tried to fix the one substantive thing he gave the democrat in the morning. connell: another comment just in from the president. we'll have to see this on camera to get the constant back and forth with the reporter asked him this question, whether the president understood which question was being asked, maybe he thought it was the topic we're talking about but he was asked from the south lawn on pool report, whether or not he was worried about being indicted after leaving office. the president said to criticize that question, called it quote fake news. criticized the reporter for asking that question. but james, if i have it right, bob mueller did say that in the morning testimony in a
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hypothetical, that a president could be indicted after leaving office? >> right. that is the key. he was conceding the availability of it in a hypothetical sense. i don't think he was pitching for it or suggesting that is what's coming. if you read the report carefully, it doesn't just talk about the olc opinion, there are significant issues of criminal intent we could spend an hour on, which i won't. there are pretty significant hurdles to prove the conduct he engaged in would fit under federal obstruction. connell: before we get to the commercial break, is there any next move, the democrats are meeting on capitol hill to discuss possible next moves? is there a next move you can think of on their perspective or is this over? >> i feel like the movie is played out. everybody is out of popcorn. the prequel could be pretty interesting with john durham. i don't think they want to have a piece of barr or a piece of rod rosenstein up there, it will be more of the same. connell: james, thank you for your analysis today. we appreciate you working through all of this with us.
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lauren: i have his book. the report was better than the movie. after what we saw today. connell: yeah. lauren: breaking coverage of these mueller hearings does continue after the break. we'll talk to matt schlapp former gw bush political director, about the political fallout. plus the chaos in the streets of puerto rico, thousands of protesters calling for the island's embattled governor to resign. does he? an update from san juan after this. we know that they're always going to take care of us. it was an instant savings and i should have changed a long time ago. we're the tenney's and we're usaa members for life. call usaa to start saving on insurance today.
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lauren: will he or won't he? the governor of puerto rico facing growing pressure to resign amid massive protests on the island. fox news's bryan llenas on the ground in san juan with the very latest. good to see you, bryan. reporter: good to see you. this is drama. in 15 minutes, less 15 minutes governor rossello could be making announcement. the press is going to the governor's mansion. we don't know what he will say. the house of representatives president had a press conference that impeachment proceedings are moving forward. if the governor decides to resign there will not be any impeachment proceedings. that is what we know so far. will he?
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we don't know. last night about 11:00 -- came out with a report that said that resignation was imminent. that sent everybody into a flury. if you look behind me, these are the protesters that continued 12 straight days calling on governor rossello to resign. that the administration is -- connell: we have to jump on you in the middle of report for some breaking news. bryan llenas breaking news, tesla stock down after-hours. just out deirdre bolton with numbers that don't look so hot. bring us up to speed. reporter: this is a huge miss on the top and bottom line. a huge miss, we put it that way. the loss is $1.12 a share. wall street looking for a loss of 36 cents per share. that is adjusted eps. that is apples to apples in this case. if you look at the revenue, tesla posting 3.65 billion. wall street was looking for 6.41 billion. a clear miss on the revenue as
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well. what is a shame for the company is that for many people, this is really supposed to be a solidifying quarter if you like. if you remember in the last quarter, they surprised everyone to the upside. they had that first quarter deliveries. it was the head of the previous quarter t was 51% increase. they delivered a record number of electric vehicles, among the top five ev models sold in north america. tesla actually had three, with different models. three of the top five spots. only chevy bolt and nissan leaf were mixed in there. at one point, elon musk said the best is yet to come. we'll solidify for the second quarter. that is clearly not the case. in after-hours the stock is getting killed. connell: 8% lower. we'll bring our panel to talk about this. if anybody wants glass half-full. the shanghai factory is on track to be done at the end of 2019. i saw the headline.
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gary gastelu joins us and i will go to you on this. deirdre put it right, this quarter was supposed to be all right, we're back on track. that does not appear to be what we're seeing from tesla. what have you been observing from the company here recently? >> still seems a little frantic over there they had a lot of deliveries in the last quarter. they were adjusting prices on a monthly basis, eliminating models, bringing models back. changing options available on these vehicles. clearly chasing that demand. but as a result, obviously they handed off a lot of earnings and a lot of profit going after that. we've seen a shift, there is a lot more model three production, that is going oversee. the model s and accident. , the profitable models they're stagnant going down. there is not a big redesign coming up. they will evolve those models. that means they will never jump up again in sales. you can't stoke a model by just
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having these evolutionary updates. you really need a whole new product. tesla next one will be the model y. that is still over a year away. connell: right. >> the next news is the tesla truck. ford came out this week, yesterday, playing defense or offense, depending how you look at it, demonstrating a prototype for its electric pickup. because it knows it has to defend that ground. connell: in less than a minute, lindsay, we'll hear the comment from president trump. if you're interrupted, that is why. there is a lot of breaking news as well. to gary's point on the model y, the company, tesla says it is on track by the fall of 2020 to come forward with that. on a lot of other measures this is a disappointing, disappointing figure. what do you take away from it? >> absolutely. i find it disappointing they couldn't make profitability, at least the consensus estimate on those sales. the sales number like deirdre pointed out for q2 was the best quarterly sales result ever, on
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number of vehicles sold, obviously they missed on revenue. they couldn't trickle them down to the bottom line. makes me wonder what are automotive numbers are looking like. connell: we have to jump on you. the president talking from the south lawn. >> our country. there was no defense of what robert mueller was trying to defend, in all fairness to robert mueller, whether his performance was a bad one or good one. i think everybody understands that. i think everybody understands what's going on. there was no defense to this ridiculous hoax. this witch hundred. that has been going on for a long time. pretty much from the time i came down on the escalator with our first lady and, it's a disgrace what happened. but i think today proved a lot to everybody. in fact some of my biggest opponent wrote things today that i wouldn't have believed they would have written. i appreciate that they did that. this has been a very bad thing
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for our country. and despite everything we've been through, it has been an incredible 2 1/2 years for our country. the administration, our president, me, we've done a great job. we've got the strongest stock market, the best unemployment numbers, the most number of people ever working in the history of our country right now, almost 160 million. our military has been rebuilt, getting even stronger. we've done a great job and we've done it under this terrible, phony cloud, a phony cloud. that is all it was. and they should be ashamed of themselves, absolutely ashamed. you know who knew it was a phony cloud more than anyone else? schiff, nadler, schumer and pelosi, everyone of them, they all knew it was phony stuff. and you look at the polls. the polls are showing it maybe
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more than anybody else or anything else. and i've had my best polls. i don't say why but people see what has gone on in our country with this whole thing. i've been going through it for three years, for three years, all nonsense. so this was a very big day for our country. this was a very big day for the republican party. and you could say it was a great day for me but i don't even like to say that. it is great. i'll tell you what, i very much appreciate those incredible warriors that you watched today on television, republicans, that defended something and defended something very powerful, very important because they were really defending our country, more than anything else, they were defending our country but they were warriors. they have been warriors for a long time. everybody knew it was a hoax,
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especially the democrats. i wish we could be a fly on the wall in the rooms where the democrats would go talk before and after meetings, they would be laughing and smiling and say, can you believe that we're getting away with this. but in the end they didn't get away with it. yeah? reporter: [inaudible] >> so, there is no such a thing. he didn't have the right to exonerate. and you know it is very interesting, people mentioned exoneration. that was something where he totally folded because he never had the right to exonerate. and it was covered very well by congressman turner and put to a conclusion. we were, if you take a look at, not only the report, beyond the report, take a look at not what he said but what he was forced to say. even your network and your network and your network,
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everyone of these networks, they put up their hands. we had a couple of cases with, actually we had six cases where they asked our people, our representatives, television networks, please don't come in tonight. we're not going to be doing much on it. the reason they're not, because it's over. go ahead. reporter: [inaudible]. are you concerned you could be indicted out of office? [inaudible] >> so wikileaks is a hoax like everything else. all of those problems, having to do with crime, were the biggest hoax of all. it was a witch-hunt. a total witch-hunt. and when you saw robert mueller's statement the earlier statement, and then he did a recap, he did a correction later on in the afternoon, and you know what that correction was. and you still asked the question. you know why? because you're fake news.
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you're one of the most. let me just tell you, the fact that you even asked that question, you're fake news because you know what? he totally corrected himself in the afternoon. and you know that just as well as anybody. kaitlin. [inaudible question] >> i don't know whose answers werwork. because if you look, the whole report, take a look at what they did. some of the things that he did not even know about. some of the things he did not even know what was going on. but you know in the end what he did, he actually probably came through for himself the performance was obviously not very good, he had a lot of problems but what he showed for anything else, this whole thing has been three years of embarrassment and wasted time for our country.
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and you know what, the democrats thought they could win an election like this, i think they hurt themselves very badly for 2020. [inaudible question] >> i don't know. i really don't know. go ahead. [inaudible question] >> friendly whether or not he did, what does it matter to me. he did nothing wrong. because it's so unimportant and it's always an unimportant meeting. it was only important to the fake news. go ahead. [inaudible question] know he did not say that. again your fake news and also right at the top of the list. it's not what he said, read his corrections, read his corrections. if you read his correction you will find out. that is why people don't deal with you because your not an honest reporter.
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[inaudible] [inaudible question] john, they are devastated. democrats lost so big, they're party is in shambles right now. they got the squad leading their party. they are a mess. or even you take a look at so many of the people that were the most outspoken and they say this is a devastating day for the democrats and you know john and everybody else knows it, this was a devastating day for the democrats. [inaudible question] and very dumb and unfair question. if you look at his corrections, he took that

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