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tv   Mornings With Maria Bartiromo  FOX Business  July 25, 2019 6:00am-9:00am EDT

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warship through taiwan strait this less than a week before they go face-to-face trade talks between the u.s. and china mornings with maria begins right now. we have a big show this morning joining conversation right now fox business dagen mcdowell and james freeman and atlas and offer of china vision jonathon d.c. war great to see you this morning. first time on the panel jonathon about, welcome. >> thank you good to be here. we want to get your expertise on china and russia as well big day yesterday also on deck this
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morning, congressman and ranking member doug collins here to talk about all things mueller after yesterday. ohio congressman house intelligence and weighs means committee member joining us and house energy and commerce manager debbie plus tennessee congressman and committee member is here on israel boycott bill, and c op of raymond james paul riley on company fernings but ceo of ups will weigh in on earns and brotdzer economy. don't miss a moment of it and top story this hour more than six hours on the hot seat yesterday former special counsel answering to lawmakers for first time leading dmets with little hope for impeachment mueller taking heated questions concerning the wording of his report and the conclusions. watch. the president claimed your report found no obstruction and that exonerated him but that is
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not what your report said is it? >> correct that is not what the reported said. report did not include that he did not commit obstruction of justice is? is that correct? >> that's correct. >> what about total exoneration? did you actually ling totally exonerate the president? >> no. >> now, in fact, your report states it did not exonerate the president. >> right. >> i stated your report back to you and you said did that collun very not synonymous term in that page 180 of volume one of your report, it says as defined in legal dictionaries collusion is largely synonymous with conspiracy as that crime is set forth in general conspiracy statute 18us371 you chose words carefully are you contradicting your report right now? >> not when i read it. sorchl you you would change your answer to yes then? >> no. if you look at language --
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>> i'm reading your report, sir. is it yes or no answer? >> phage 180. volume one . okay this was from your report. >> correct. >> and i -- leave it with the report. they are synonymous hopefully out of your report we can put to bed the conclusion the statement about exoneration is meaningless and it colors this investigation one word out of the entire portion of your report and it is a meaningless word with with no legal meaning and it has colored your entire world. >> and that word exoneration president trump declared victory wow. i think this was my favorite testimony ever to watch. i mean, it was so interesting, and surprising in many way. your reaction james is? >> yeah. i think suggested at the top this was really the end of the impeach. dream for democrats. if they want president trump out of the white house they're going
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to have to beat in the constitution way the old fashion way in next year locations. i think you have the clip there talking it be that exoneration and this kind of bizarre inversion of the traditional burden of proof where we're not presumed innocent, but the president in this case is sort of presumed guilty and the idea is he has to prove he's innocent. john radcliffe as well talking about that yesterday has been, obviously, a guest on this program a lot, and i think it was all huge setback not just the dud in terms of not advancing the story against the president, but i think a lot of members of congress on the republican side that really poked holes and demonstrated a bias in terms of both the selective use of material in the report and the team that was put together by mr. mueller. >> i mean dagen, i thought nunez radcliffe, jordan nailed it.
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jim jordan bringing up joseph , as we've talked about and, of course, had had george papadopoulos who told pus about entrap. but that journal was reached out to go to rome to meet important people, one of whom was joseph and lied to the fbi three times and he was not charged. this was really for me such an important point that jim jordan brought up because if, in fact, it becomes that we find out that he was, in fact, working for western intelligence, working for the fbi, then we know. entrap. exactly what i've been expecting for the last two years but there's the evidence that it was just entrapment they just trapped him to drop this news on his lap so that he would go to tell the president which he did not. >> everybody asked the question
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what's next? what's next is inspector general report from horowitz without maybe in september, and then john durr ram investigation and what plin city graham is doing in the intelligence committee in the senate. as you've pointed out those are the next steps. but i said on this program yesterday, watch bob mueller's performance. >> you did. >> i said watch to see if he has a grasp of the information and dottering not only was he come across like he didn't read his own report but seemed as if he wasn't involved in the investigation and he couldn't even comprehend questions that were being asked to him. he couldn't follow what people were saying. and the only win for the democrats other than for nancy pelosi who wanted to put to get rid of these impeach. proceedings wants to calm down the waters, stirred up by the likes of jerry nyad e her and adam shift in thes may be won because it was so pun comfortable to watch this. even a few minutes into it --
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people might have turned off that was the only way that democrats walk away from this with a win. pfnt should question assume that it was andrew running this show? and this is let's just explain that this is a major clinton donor, friend, colleague, he was at clinton's party, the night of the election. was he running how does he not who fusion gps is? >> his performance was so awful. almost as if he was sandbagging and democrats remember leaked that they had the mock, the mock hearing. well you know who they didn't rehearse with, that guy. robert mueller they didn't do any -- do any research about what his condition was i don't think. >> your thoughts jonathon i know that jonathon will come out during the show is expert on china founder has worked tirelessly on looking at china
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and national security risk to get all of that from you so your reaction to the mueller testimony anything? : not my subject. not your subject. i wonder if post yesterday, the president is empowered against the chinese. because this last three years, people don't realize what has happened last three years with media heads on fire. speculating that the president colluded with russia. that gave china this opportunity to think well maybe this guy will be gone in a couple of years not so. : that's true in the trade negotiations you're looking at the chinese side weighing whether or not trump will be around in a couple of year so with this behind him potentially that puts him in a better position politically to hold line on china. in the trade negotiations i think also -- should this be concluded i think we have to be thinking about the need for national unity as we go forward into strategic competition qp china i don't think you can wage the major competitions that are ahead with china and russia and others without some level of american unity so we have to get toward that politics if we can.
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>> one thing when you take away impeachment threat removal from office threat, the president now squarely faces reelection, and as he thinks about the deal he needs to cut with china wants to cut with china, he's now looking at a -- what seems to be a pretty soft economy in the u.s. we'll get the gdf report for the second quarter tomorrow. but so far look like services are good manufacturing a bit soft. he's got to calculate how long he can have this what is a costly trade battle with the chinese. and if he wants to draw this out i think he's got to start making peace with other people lowering tariffs with other countries to get that economic boost that we're not getting out of the china trade right now. >> and in terms of reelection, though, i know i'm jumping ahead a little bit where we've got a new fox news poll about how people feel about economy so president approval rating on my is up to 52%. but the number of people that
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percentage of vote percent now feeling that the economy is excellent or good is is 51% so last time this many people felt that way was almost two decades ago. >> wow. so you have to focus on if you're running for reelection at keeping people feeling about the economy at this level and a lot of that is the job market and the way the incredible wage growth that we've finally seen -- the fastest wage growth in at least a decade. >> the job market but if you want qaijs to keep rising you need business to keep investing that makes us more productive allows people to earn high per salaries so-so that's something to keep an eye on here is maintaining that corporate invest that the environment. >> i have a chart this morning from corner stone macro on capex and let's not forget in terms of soft square spending a lot of people taking that spending out of capex but that's one of the key for corporate america so you have got soft square versus total i'll show you that chart coming up but we want to look at
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futures because markets are this morning mixed after record day yesterday. but look at where we are this morning dow futures up 39 points s&p up half a point and nasdaq lower by 20. james you mention gdf tomorrow and we've got ecb hear from mario this morning and, of course, earnings facebook and tesla reporting earnings after belle yesterday. facebook posted strong earnings and revenue groat the stock ended up up -- yesterday and up again this morning another 1%. a little different for tesla look at that move on tesla a earnings missed company focusing to focus on growth and not necessarily bottom line amazon did this and investors all in on it. tesla is say don't worry about losses we're going to focus on revenue growth down 11% right now with that churn in terms of cash. . right. tesla is a different story because they are high cost business of making, making automobiles and again, when you were in a precarious financial
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situation and you keep changing your story about the focus and again the high end sedan and number of registration plummeting according to tim higgins reporting in california are that was in "the wall street journal" facebook is just this incredible story because not only did they resolve this one federal probe. facebook disclosed the existence of another ttc trust review that company started in june. and got the doj reviewing all of these internet companies, and but facebook again the stock was up is up 56% so it is start of the year. and rising on these strong earnings. so mark zuckerberg calling for reregulation. >> he knows it's coming giving into the pressure puerto rico governor announcing he is stepping down. we've got those details after this. and then trouble at kneeing san big trouble the automaker reportedly set to cut more jobs after major struggles including the arrest of chairman carlos ghosn wait until you hear how many day it has been that carlos
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ghosn hasn't been tiebl speak to his wife under japanese law. unbelievable. back in a minute. most people think a button is just a button. ♪ that a speaker is just a speaker. ♪ or - that the journey can't be the destination. most people haven't driven a lincoln. discover the lincoln approach to craftsmanship at the lincoln summer invitation. right now, get 0% apr on all 2019 lincoln vehicles
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you don't need to see that. oh, here we go. can you believe my client steig had never heard of a home and auto bundle or that renters could bundle? wait, you're a lawyer? only licensed in stockholm. what is happening? jamie: anyway, game show, kumite, cinderella story. you know karate? no, alan, i practice muay thai, completely different skillset. >> puerto rico governor stepping down cheryl casone on headline this is morning. good morning cheryl. >> good morning maria big news out of puerto rico overnight governor ricardo is resigning. after nearly two weeks of mass protest over weeks of crude and insulting private messages between him and his top advisors were made public his last day on job is going to be august 2nd he's the first govan to resign in the u.s. territories motedded modern history and jeffrey epstein placed on suicide watch after found nearly unconscience in jail cell. accused sex trafficker wealthy
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finance had injuries to his neck and taken to a nearby hospital that is according to several reports out this morning. but it is unclear exactly how epstein was injured we'll get developments to you if we get them in this morning. big job cuts at nissan. japanese automaker says that going to eliminate 12,500 jobs globally by march of 2023 they plan to overhaul the pus business where profits have fallen sharply over past 12 years. nissan struggling in carlos ghosn back in november, of course, that case is still going on as you were mentioning during the commercial break. >> that's one of the reasons that carlos ghosn wanted to merge the if company do a deeper partnership with rano because company was in such dier straits been 112 days since court rules carlos ghosn could not speak his wife there you go coming up
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facebook win. posting beaters than expected better earnings what massive fine from the exchange commission and federal trade commission. then fake news fashion check this out. forever 21 sports shorts causing a fire storm on nothing. back in a minute with that. kevin, meet your father. kevin kevin kevin kevin kevin kevin kevin kevin kevin kevin trusted advice for life.
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equity e analyst john freeman good to have you on the program thanks so much for being here. >> thanks for having me. fist your reaction to facebook i want you to look ahead to look at alfa bet and amazon but first tack physical facebook in erm its of the numbers last night. it feels like no what you throw at this company it come back stronger. >> that's right business is i.t. is really on rails one of the things that, you know, it's -- sing really interesting and just a very easy driver for growth if you look at the number of either the daily active users that came in real strong at 1.6 billion or the active view is 1.2 billion that's a third in less than a third of the world or quarter of the world. and yet there's still, you know, there's still plenty of room to grow there. there's a lot of people that can still grow there and both of those were up 8% that ultimately drives revenue and i think last thing is that this is interesting is the fact that the
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united states and canada represent only 10% of the number of facebook users. but represent, you know, the majority just over the majority of the revenue. the amount of revenue they make mother u.s. user in the u.s. is -- is, you know, ten times that what they make in the rest of the world even three time what is they make in europe. in materials of advertiser revenue so a lot so rest the world has got a lot of room to catch up so ting there's a lot of legs to this growth story. trveg john, james freeman from "the wall street journal" no relation as far as i know -- user number there is because you look at this and i e suppose you could either say that people don't care as much about the privacy issues as people in the media and in politics do or you can say this really is a monopoly people feel they have no choice is there anything you can see in the data that say
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what users are thinking about all of these issues that have, obviously, generated headlines about the company? >> i don't think they think about them much at all. i think the reason, and you know if you go back to -- if you look at the history of this kind of regulation you go back to microsoft right nobody cared that microsoft it was going to bundle its browse we are a operating system like that's convenient. you know it was the competitor it is that of microsoft that had a problem with it. this time it is not so much the competitors of facebook. although i suppose they yap a little bit. but it is the politicians themselves this is all about about the fact that facebook now wields tremendous am of influence, and political power whether they want to or not. and therefore, the people who are arriving in this legislation are regulator side people are motivated by politicians and thing that really, you know, sort of scares me to the degree that i'm -- there's a risk there is the politicians and legislators coming up with new legislation
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that they are, you know, supposedly exploring many writing that would regulate facebook not in terms of, you know, its antitrust situation. but as a, you know, as i think the wording with something like, you know, as a -- influence on society. and all of that stuff. right, that's the risk. >> jon it is dagen mcdowell i wonder if focus on privacy the ftc find ongoing probe new probe disclosed by ftc, also the investigation by the department of justice and regulations coming out of congress, but this actually helps facebook continue to grow. because it wipes away any concerns that people might have about using the service. more frequently -- >> yes. i think that's in term of the privacy side that i absolutely agree with. but what is a little more problematic perhaps with legislation is if they kind of mess around or change the law from 1996 to communications
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decent act said they're not responsible for content that users post right if that kind of changes and you become a lot more responsible or, you know, some significant degree more responsible and they have to hire sensors and ted tores and things like that that changes business molds -- but you know, it definitely degrades it certainly in terms of the quality overtime. >> of google amazon tonight give us your sense what are you expecting real quick? >> well, yeah. i think more of the same for google google is on rails with amazon focused everybody is focused on the cloud business aws, and see, you know, that's still growing at 40%, and that represents more than 50% you know the revenue growing over 40% and profits represent more than half of amazon all of amazon profits. so it is actually greater than retail now. >> trying to take a bite out of market share, and the big guy oracle microsoft et.
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great to have you this morning. thanks so much. >> thank you. john freeman coming up democrats divided but maybe not for long what to expect from nancy pelosi meeting with congressman alexandria and numbers after the break. $4.95. delivery drones or the latest phones. $4.95. no matter what you trade, at fidelity it's just $4.95 per online u.s. equity trade. no matter what you trade, at fidelity don't miss your gto experience our most advanced safety technology on a full line of vehicles. now, at the lexus golden opportunity sales event. lease the 2019 es 350 for $379 a month, for 36 months, and we'll make your first month's payment. experience amazing.
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welcome back i'm maria bartiromo and it is thursday july 25th your top stories right now, 23u6 30 a.m. on east coast first full day on the job for a new u.k. prime minister, boris johnson meeting with his new cabinet and addressing marlment shortly as he makes hard press to exit the european union a live picture you're looking at parliament in london right now and we will bring you back as he makes breaking news develops. another day for earnings develops a number of companies had the by grounding of the 737 max southwest, due out in
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moments and american in the next hour. plus 3m with comcast among big names beef bell this morning on second quarter earnings got all of the numbers null analysis municipal. taking a look at futures this morning. mix stories so far. dow futures up 33 points. s&p futures are lower by a point and nasdaq futures right now down by 29 as you can see there. this follow new records for nasdaq and s&p yesterday. the dow was dragged down by boeing and caterpillar after disappointing results we brought you results yesterdays are here two companies i loan cutting 121 points off the dow with that low too actually the markets would have been pup as you see yesterday the dow was down 79 points. the s&p was up 14 and a nasdaq was up 70. global market this is morning look like this european i understooded cease are mixed it is up 15, and the dax index is lower in germany we are waiting latest interest rate decision from the european central bank, later this morning, and we will
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probably get some commentary from mary and bring that to you european market ahead of all of that mix index and asia overnight mostly green as you can see xepght for south korea it is down following the missile larges but best performer there was china. shanghai composite up half a percent. breaking news, 3 a.m. is reporting earnings hitting tape standing by for southwest airlines and lauren simonetti is on all of the earnings this morning with details right now. lauren over to you. >>let start with 3 a.m. good morning maria a double deed a lot of analysts pretty bearish on stock but for the earnings per share 3.20 look at the reaction up 3% here in premarket the estimate was for 205 a share revenue also beat maria 8.2 billion versus estimate of 8.04 billion dollar. , obviously, this is a diversified company and industrial consumer stock. tons of risk exposure to
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slowdown story violatorral concerns tied to some of its chemicals. weak autodemand particularly in asia. but this is a double beat investors liking stock is up 2.5% they did reaffirm their full growth and adjusted eps so that may be was a little bit better than some folks had expected. >> all right lauren we want to go right to london right now boris johnson is speaking to his parliament let's get right there making his first address to parliament since assuming the prime minister role. >> it is more than possible that the united kingdom will be the the greatst and most prosperous economy in europe. at the center of a new network of trade deals which we have pioneered -- we've rode and rounded since we're making and proposed to make the investments in broadband and 5g our company most affordable and connectivity
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on the planet but unleashing productive power of the whole united kingdom not just of london and sos but every quarter of england scotland wales and northern ire land we will have closed forever the productivity go and seen to it the no town is left behind ever again. no community ever forgotten. our children and grandchildren will be living longer, happier lives and our kingdom in 2050 thanks by the way over -- the previous prime minister. no longer will make any contribution whatsoever to the destruction of our boarded by carbon emission so make the world in delivering that net zero rgt it and blamed by british technology, being developed right here right now.
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to revitalize our community and the sector, liberated from modification rules and crops that will feed the world. and the satellite earth systems that are the envy of the world we will be the seed big for the most exciting and most die signal die signal pick investment on the planet our constitution -- i apologize for interrupting prime minister far too much noise many this -- and shout out their opinion at the prime minister let's be clear it isn't the statement will be heard and there will be ample opportunity in conformity with convention and as you establish by me in last decade for colleagues to question the prime minister. but the statement will be heard and it will be heard with courtesy, the prime minister.
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>> i applaud and far too much negativity by the potential. united kingdom will be firm and secure and united kingdom beyond question. our democracy robust, our future clean, green, prosperous, united, confident, and ambitious and that is the prize ands that our responsibility in this common and to do so take to immediate step and the first is to restore trust in our democracy. and fulfill repeated promise of parliament to the people by coming out of the european union pane doing so on october the 31st. i at all minutes of the community on this date whatever the circumstances and to do otherwise would cause a catastrophic loss of confidence
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in our political system. it would leave the british people wondering whether their politicians could ever be trusted again to follow a clear include instruction. i would prefer us to leave the e.u. with a deal i would much prefer it. i believe that it is possible even at this late stage and i will work flat out to make it happen. but certain things need to be clear with all agreement negotiated by predecessor has been three times rejected by this house. it is unacceptable to the parliament and to this country. no country that values its dependence and self-respect agree to treaty which sign a way our economic independence and so government as this backstop does. a time limit is not enough. if agreement is to be reached it must be clearly understood weight of the deal goes by way
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of the abolition of the backstop. for our part we are ready to negotiate in good faith and alternative. with provisions to ensure that the border issues are dealt with, where they should always have been in the negotiations on the future agreement between the u.k. and the e.u. i do not accept the argument that says these issues can only be solved by all or part of the u.k. remaining in the custom union or in the single market. the evidence is that other arraignments are perfectly possible. and are also perfectly compatible perfectly compatible with the good friday agreement to which there, of course, steadfastly committed. i -- my team, and the right friend secretary of state european
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union will ready to meet to talk on this basis to the commission other colleagues whenever, wherever, they're ready to do so. and for our part, about we will throw ourselveses into these negotiations with the greatest energy and determination and in spirit, and i hope that the e.u. will be equally ready, and that they will rethink their current refusal to make any changes to the withdrawal agreement. if they do not, if they do not we will have cost the u.k. without an agreement under article 50. the u.k. is better prepared for that situation than many believe. but we are not as ready yet as we should be. in the 98 days that remain to us we must turbo charge preparations to make sure
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there's the disruption as possible to our natural life as i believe that that is possible. with a kind of national effort that the rich people have made before and will make again. and in these circumstances, we would, of course, have available the 39 billion tons in withdrawal groament to deal with any consequences. i have today -- instructed the chancellor of the dutch of lancaster to make these preparations his top -- priority. i have asked cabinet to deliverout come should it become necessary, and the chancellor has confirmed all necessary funding will be made available. i will also ensure 4.2 billion i will also ensure that prepare eking for leaving the e.u.
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without an agreement under article 50 is not justified seeking to mitigate the challenges but also by drafting the opportunities. this is not just about technical preparations by talk, though, they are. it is about having a clear, economic strategy for the u.k. in all scenarios. something on which conservative party has always led the way. and it is about producing policies which will boost the competitiveness and productivity of our economy when we're free of e.u. regulations. >> boy you heard him say it. straight out we're steadfastly committed to leaving if the e.u. even if there's no trade deal. the new prime minister of the u.k. speaking to his parliament for the first time in role and take a short break and back with to mueller testimony the guest on the orr side of this break. stay with us. (vo) the ant mindlessly marches on.
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can you give me example other than donald trump where the justice determine determined that an investigative person was not exonerated because -- it was not conclusively determined. >> i cannot but this is unique. well you can't find it because i'll tell you why. it doesn't exist. i believe reasonable person could conclude that at least three crimes by the justice occurred only thing to add is when i'm through elements with you it does not mean that i subscribe to the what you're
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trying to prove through those elements. >> he told papadopoulos and when fbi interviews had him he lies three times, and yet you don't charge him with a crime. he charge rick gates for false statements and paul manafort and michael cohen with false statement he charged mike fell flynn a three star general with false statements. but the guy who puts the country through this whole saga starts it all for three careers we've lived this now, he lies -- and you guys don'ts charge him. >> i can't get into it, and it is obvious i think that we can't get him to charge decisions. member of this committee said president trump was a russian agent of a your report was publicly released. that's statement is not supported by your report, correct? >> that is accurate. >> does your report contain any evidence of president trump was enrolled it in the russian system as a member of this committee once claimed? >> what i can speak to is information and evidence that we picked up as a --
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special counsel and i think that's accurate as far as it goes. >> thank you. >> what a day yesterday, by the way we're just getting this southwest earnings numbers there on screen there beating expectations on the earnings number as you can see check the stock as well. those were some of the top moments from robert mueller testimony on capitol hill yesterday. joining me right now talk more about that, right now is that was congressman from the house intel committee, member brad he joins me right now, along with michigan congresswoman debbie good to see you both thank you very much. congressman brad, you made the point in that -- in that monoage that we were just looking at that you needed to clarify certain statement with robert mueller didn't you? >> clearly. we are hearing things from members of the intelligence committee that are clearly false, and if i just wanted to point that out.
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and that's what america has been subject to. i mean let's be clear, what they are accusing trump and trump associates with are things that they themselves democrats have been doing, if you look at the beginning of this whole thing, when -- if you're a republican basically the trump team they were very passive. you the active engagement by russians and government operatives that were trying to supply dirt on hillary clinton to the trump team. on the other side of the coin with the democrat side they were actively being aggressive paying someone christopher steele and russians to come up with dirts on trump that was false. and what's even more amazing is that this made its way into the fbi where people in the authority use that authority to use this type of false information in a fisa court and all of this component of it has been ignored by democrats. by the mainstream media and clearly bill mueller report
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itself. : it really is truce and congresswoman we've talked about this before. you know why is it that your colleagues on the left refuse to just admit where there's wrong doing? i mean, look we could all see it no matter what side of the aisle you're on, you know, we are americans and we should not be subject to illegal wiretapping of ourselves for no reason. and that's what you have here. you have entrapment entrapment of journal papp do lotion and carter page so that dems could get a window into the donald trump campaign. why won't they just admit it? >> maria i'm going to say eferl things one i'm as worried as you are about all of these third party tapping that's going on and what people aren't paying attention to but one thing i think that we can agree on that cheerily came out of yesterday hearing was that russian trying to interfere in our elections and that's --
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>> to that congresswoman you know that. we've known that for decades we're talking about why your colleagues asserted donald trump into that story they inserted donald trump into that story in 2016 that's something i've been saying for three years. now it is out in black and white. >> you know, i would argue with with you with colleagues that put it into the election. but it was actually those that are working to keep our nation safe who picked up on some of these threats to our country. none of that is new not mainly intelligence committee did. i've known that russia has been -- i've known that russia has been meddling for decades i remember going to russia. being told don't bring your black because as soon as you get there they have all of it -- china the same thing. sm right. but fact of the matter is, that we didn't know this blow by blow that we know now. members didn't know that. they decided that there was enough -- >> we've known that russia has meddled in united for decades te have known. yeah.
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and that's not the point ofpoins story but that they inserted donald trump in this story. >> inserted themselves into it. but people trying to keep us safe -- told us it that they did. john brennan told us that president committed treason that's what he said multiple times on cnn that's absolutely what he said web and he asserted donald trump into a story that russia meddling into u.s. affairs we don't have to talk about this anymore. what i'm asking you is why won't they admit it on both sides of the aisle? >> we have to look to continue the fact and above the law but i'm person that's out there. you know i was doing what we're supposed to be doing too which is be worried about prescription drugs and trass and what we're going to do. i was surprised that the if boris statement in, about i understand that there are things to be done and there's a lot of to be done and i want to ask you if you turned to vote. because this is a major priority
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but we also need to stay true to who we are as americans and that is -- innocent until proven guilty. and that is due process. and that is you doapght rawrnd with your head on fire saying that the president of the free world colluded based on no evidence. congressman, what do you think came out of that hearing yesterday brad, in terms of what we learned from mueller? you were questioning why mueller didn't know some of the things that was in his own report are you questioning whether or not he wrote the report? >> i am at this point for sure. i mean, i'm suspicious that andrew weisman wrote the report. mr. mueller did not seem to know much about the report itself. it was kind of, kind of sad to see. you know, and going back to what we're talking about well we learned that the collusion is conspiracy anden that trump campaign did not take part in that. but what we did engage again is what democrats did to as you said maria, insert donald trump into this conversation.
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they fade for it actually why is it that democrats on intenls committee were against us trying to find out who paid for this sealed dossier it doesn't take much to really figure this all out, and if i look forward to the work of the inspector general. and to the work of mr. to work of the attorney general as we move forward because right now america has rightfully lost its faith in our government officials that are supposed to be agnostic that sit in entities like the fbi and the department of justice. and if there's ever going to be a trust in government and we're to be a government of the people we have got to clear that up. >> well american people are recognizing this fight, and you know congresswoman you have been congresswoman you was been very much focused on the issue every time we speak we have the same conversation in terms of what is important and you're not there with the squad trying to, you know, upset things but you have a real issue with the squad
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house speaker nancy pelosi set to meet with alexandria ocasio-cortez tomorrow pelosi has feuded with four progressive democrats known as squad, what do you think comes out of this meeting congress come? >> i'm going to say two things i first of all want to not let us attack the if fbi and other men and women of law enforcement across this country trying to keep us safe. >> it is not -- not your man and woman on the street. no one is attack the entire fbi because they will do -- workinghearted and on the scale. you look -- i'm not going diswrows have things spoken out we are not attacking fbi but individuals that we know pert strzok lisa paimg andrew mccabe jim comey john brennan we know that they were involved in trying to stop president trump. that's what we're talking about. they went rogue. they did their own thing. >> you know, we can sit here and debate it i'll go to the --
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other question that we're a bunch of different people. a lot of people with different perspectives and that's what makes america great because we do have people from all kiengdz of different perspective my district is next to spend a lot of tile with one energetic we have different styles. meet with aoc i think people have to do a better job on all parties republicans and dems of communicating with each otherren willing to each other, listening to each other's perspectives. we all need to take deep breath in the august recess couldn't come soon enough. >> and you've got some serious issues even before the august recess like the budget and how about the house. >> we e do. passing legislation to oppose global boycott against israel. known as bds critics include alexandria ocasio-cortez elon omar and congress you voted against this bill, why? >> i represent plearnlings
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population of arab americans in country and i'm a very strong supporter of israel. i think this resolution was designed to totally divide us. i believe in free speech. our constitutions under attack right now maria. i think everybody all of the viewers here need to worry about freedom of speech. freedom of religion, and i think it is more under attack than it has ever been and i took that vote because i do believe in freedom of speech and religion most difficult vote i cast. i didn't feel like i could win on either side it have but i have to go home to any neighbors who are arab american and be able to look them in the face and i have a lot of friends that are jewish that i love and very dear to and that resolution shouldn't have been on the floor. sm what about freedom of speech for israel. what about the israel should have freedom of speech. absolutely we should have freedom of speech and i don't think that it shall that the forecast -- i'm for two state solution and by the way, we're supposed to be bringing up two state solution bill. so -- but we got everybody what is got
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a right to freedom of speech. >> under attack. >> we've a lot to talk about good to see you congresswoman thanks so much. we'll see you both soon we'll be right back with a lot more. stay with us. >> thank you. jardiance asks: while managing your type 2 diabetes- why think about your heart? because with my type 2 diabetes, i'm more likely to have a fatal heart attack or stroke. lower a1c helps, but type 2 diabetes still increases my risk of a fatal cardiovascular event. because type 2 diabetes is more than a1c. wow-these are great answers! and that's why there's jardiance- the first type 2 diabetes pill that offers a lifesaving cardiovascular benefit for adults who also have known heart disease. because jardiance can reduce my risk of dying from a cardiovascular event.
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a visual snapshot of your investments. key portfolio events. all in one place. because when it's decision time... you need decision tech. only from fidelity. maria: welcome back. good thursday morning, everybody. thanks so much for joining us. i'm maria bartiromo. it is thursday, july 25th. your top stories right now 7:00 a.m. on the east coast. a big day for earnings. bristol-meyers and comcast due out momentarily. we'll bring you the numbers. also in focus, the airlines, two airlines hit by the grounding of the 737 max. southwest airlines just reported a miss on revenue. but better than expected earnings. it said the grounded max jets cut operating income by $175 million. we have american airlines due out later this hour. we'll bring you the numbers, southwest shares are down 3% right now. futures are mixed, dow futures up 60 points, about a quarter of a percent. the s&p futures are lower by a point and nasdaq lower by 26.
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this on top of the nasdaq and s&p closing at record highs yesterday. the dow was dragged down by boeing and caterpillar after the disappointing results. those two stocks alone cut 121 points off of the dow average. it was negative but it would have been up if not for those two stocks. s&p was up 14, nasdaq up 70 at all-time highs this morning. global markets this morning look like this. awaiting the latest interest rate decision from the european central bank this morning. we'll tell you what mario draghi and company does coming up. the fq100 is up 9 and-a-half ahead of that. we heard boris johnson speak with the parrel plant fo -- parliament for the first time in his role. korea fell following north korea's missile launches, the kospi index down a third of a percent. more questions than answers yesterday. robert mueller testified for more than six hours on capitol hill, leaving democrats with little hope for impeachment. i'll speak with house judiciary
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ranking member doug collins later this hour, get his reaction to all of that yesterday. and the opposing the boycott of israel, the house passed the resolution. alexandria ocasio-cortez and ilhan omar among the few voting against it, along with debbie dingell. all those stories coming up. joining me to break it down, dagen mcdowell, james freeman and from the atlas organization, the author of china's vision of victory, dr. jonathan ward. great to see everybody this morning. we have breaking news on earnings. looks so far dagen that the earnings have been better than the lowered expectations. dagen: right. despite we should point out as we've been talking about the s&p a 500, nasdaq, new all-time highs yesterday. it was only the disappointment from caterpillar lowering the guidance. worries about china, so it will be interesting to see as we move on, but facebook's numbers really incredible despite a 50
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plus percentage gain, i think this year. maria: bristol-meyers squibb earnings out right now and comcast is hitting the tape right now. lauren simonetti with all that. lauren: bristol-meyers squibb raising their earnings guidance, still the stock is down by 1.7%. it was a double beat, nonetheless, for earnings per share coming in at $1.18 an revenue coming in at $6.27 billion. this is a stock that's been hit hard this year. stock is down 16% coming into today. they are looking to buy, the deal still pending, anti-trust review going on, celgene, the company saying they continue to advance their celgene integration planning with the transaction expected to close. they also said their best selling drug eliquis, sales rose 24% for them. there's something in the report investors aren't liking. maria: lauren, thank you so much. lauren simonetti with the latest there. top story this hour, tesla
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shares are plunging this morning following the company's disa appointing second quarter results, despite record sales. tesla says it's concentrating on increased production and model lineup over earnings. that worked for amazon back in the day. it's not working for tesla right now. the state o stock is down. bradley tusk, it's great to have you on the show this morning. your focus is private companies, venture capital. we want to get your take on a company like a tesla and facebook. tesla, for example, would it be better for tesla to be a private company? >> it may. when you see it with the markets and you see the employees coming and going, it's totally unpredictable. investors want predictability. they want to know what they can expect and there's a combination of elon's reputation is a little shaky, l combined with -- it's a company that does cool, innovative things and they're not conventional. it's hard for the results to be
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conventional. you see this constant swings, whether or not they meet the goals, who is working there, share price, everything else. >> how much does tesla going forward rely on favorable government policy. the electric vehicle tax credit going away, i mean, are they in trouble with a trump re-election? >> it's a problem. the economics aren't clear they add up for tesla even with all of the tax credits and tax breaks. once you take those away, you can argue either side of that equation, but you're right, they're going away. whether or not there's enough customer demand to be able to make the product successful i think is very much in question. that's why you see the stock plunging right now. when high level executives keep leaving, you've got to think they know something. dagen: the stock made huge gains after it reported strong second quarter vehicle deliveries earlier this month, so reversing that in the premarket. i want to ask about the company going private. it was the tweet from elon musk that funding secured that got
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him in trouble with the s.e.c. 420, we get it,y long. what about them -- elon. what about them going private? what about them being acquired? you acquire the company, you acquire elon musk. >> first question is, do you want to acquire elon musk? is he a genius? absolutely. he's like a real life iron man. is he somebody you would want as your employee? i'm not so sure. second thing, it's probably too highly valued. i see this with startups i invest in, once they become unicorns, it's great, big games for our fund. but at the same time, it's like okay, the ability of someone to acquire them ope went down significantly. i think tesla's at this value with elon at the helm, it's a tough acquisition. maria: how about facebook, posting better than expected results, after the a $5 billion fine, the settlement with the f ftc. >> what's your take on how they're going to do in india,
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southeast asia, africa? >> right now, you have this divergence between how government sees facebook and how investors see facebook. it's two different directions. when you look at the privacy legislation that's clearly coming, when you look at the anti-trust investigations underway, facebook rolled out libra, maybe to change the conversation but i think they realize for customers in the u.s. and in the western world, they're going to need, once they have less ability to monday ties people's -- monetize people's data, they'll need different revenue sources, hence the payment through libra. where the opportunity lies, maybe because there hasn't been as much adoption, is in places like india and africa. maria: where are you seeing growth in the private market right now? >> artificial intelligence, a autonomous vehicles, cryptocurrency, the underlying technologies that make it, e-sports, again, we're super early in all this stuff but that's the kind of stuff that we're excited about.
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maria: that's real growth all right, bradley, thanks so much. turning to israeli relations, the house passing a resolution on tuesday to oppose the israel boycott. the measure winning bipartisan support. it is facing pushback from some outspoken progressives. alexandria ocasio-cortez, one of the few lawmakers to vote against it. along with her colleagues, ilhan omar and rashida tlaib, the fourth member of the squad, ayana pressly veering from the pack to support it. a few moments ago i spoke with debbie dingell who also voted no. i asked her why. congresswoman dingell, you also voted against the bill, why? >> i represent the largest population of arab americans in the country and i am a very strong supporter of israel. i think this resolution was designed to totally divide us. i believe in free speech. our constitution's under attack. i think everybody, all the viewers her need to worry about
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freedom of speech and religion. maria: joining me right now is tennessee congressman, member of the house republican study committee and one of the co-sponsors of the resolution, david kustoff. thanks for joining us. can you explain the resolution? >> yeah. well, you know, we voted on the other day simply a statement from the floor of the house of representatives to the nation and the world that we're not going to tolerate anti-semitism and we're going to support israel. to me, it's a no-brainer. i just heard the interview with congressman dingell. it's a no-brainer. this should have passed with zero no votes. and i think it is a strong statement. i will say, though, to correct her, nothing comes to the floor of the house of representatives without the permission of nancy pelosi and the democrat leadership. they put the bills on the floor that we get to vote on. so i'm proud that we did have a strong vote but we should have had zero no votes and to me
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that's concerning. maria: i agree. what do you basically say, i'm against wiping israel off the map? what was she saying when she says i have this big arab community as my constituents. yeah, so? >> i'm not sure she's reading her constituents accurately. she seems to be saying she wants to get reelected. maria: that's what she's saying. >> i'm trying to think, is there a another friendly democracy where this would be an issue? a and why is it that the boycott is focused on israel? >> well, roll back just a few months. we've heard frankly anti-semetic comments from members of congress going back to the beginning of the year. some of the newer members that you mentioned. that's a shame. and so we've had at din differet points of the year where the house of representatives have had to -- i'm going to use the
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words, gently rebuke those members. this was drafted, it was bipartisan, but again, went on the floor with the permission of nancy pelosi and her leadership to show to the world that we're not going to tolerate it. i've got another bill with lee zeldon and mike mccall that goes even further. but it shouldn't -- we should have had no "no" notes. wvotes.we didn't. i'm pushing a bill that goes further. we've got to get it to the floor. i don't think the speaker is going to allow it to come to the floor. and so we're trying to push it to the floor with what's called a discharge petition where we need 218 signatures to sign on. we've got a little under 200 right now. maria: congressman, you're one of two jews in congress, right? you and lee -- in the republican party, in congress.
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you and lee zeldon. do you feel anti-semitism in the congress? >> you know, i actually do not. and certainly in my district, i don't. very supportive. but it does concern me that people from around the world, they look to the house of representatives for the voice of america. maria: right. >> and when you have really some freshmen members that get more media attention and more social media followers than their leaders, there are people out there in this nation and around the world that think that those people speak for the united states and we've got to tamp that down and shut it down. maria: all right. we'll leave it there. thanks so much. >> thank you. i like your new set. maria: thank you so much. we like it too. we appreciate that. thank you, congressman. coming up, mueller on capitol hill, the former special counsel fielded heated questions from lawmakers for six hours yesterday, including congressman doug collins.
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i'll speak with the ranking member of judiciary doug collins later this hour. arrest getting e-cigs, facebook looking to ensure that young people don't pick up the habit. more after this. ♪ wake me up when it's all over. ♪ when i'm wiser and i'm older. ♪ all this time i was finding myself. ♪ and i didn't know i was lost. ♪ truecar is great for finding new cars.
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the stock trading sharply lower in the premarket, down almost 5% right now. the second quarter profit actually missed expectations. they issued a disappointing forecast for 2019. they have cut thousands of jobs as they invest billions of dollars in electric and hybrid vehicles. facebook and instagram prohibiting private sales of alcohol and tobacco products including e-cigarettes on their platform. anyone under 18 years old not going to be able to see content related to alcohol and tobacco on facebook or instagram. the company reported 2.1 billion daily users across facebook, messenger, instagram and what'sapp. you were talking about it earlier. they may be getting beaten up by regulators but investors are loving facebook right now. maria: it's incredible. it's a machine. cheryl: buy the stock, you might do okay. maria: raymond james financial reporting last night and we've
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got the ceo on, talking about the environment there. stock is down 1.5% this morning. we'll talk with the ceo of raymond james coming up. diva fired, actress faye dunaway, what she did to a crew member to lose her job. back in a minute. ♪ you be my something sweet. ♪ i'll be your strong and steady. ♪ you be my glass of wine. ♪ i'll be your shot of whiskey. ♪ -and...that's your basic three-point turn. -[ scoffs ] if you say so. ♪ -i'm sorry? -what teach here isn't telling you is that snapshot rewards safe drivers with discounts on car insurance. -what? ♪ -or maybe he didn't know. ♪ [ chuckles ] i'm done with this class. -you're not even enrolled in this class.
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aw well. he doesn't know our phone number! you have our fax number, obviously... today's xfinity service. simple. easy. awesome. i'll pass. maria: welcome back. raymond james financial releasing third quarter earnings after the bell last night. they missed profit expectations reporting $1.80 a share, also reporting revenue was up in line with analyst expectations. joining us right now is raymond james ceo, paul reilly. thank you for joining us.
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>> good to be here. maria: what drove the quarter, paul? >> well, first, we had great driving metrics. we have record number of financial advisors, record client assets under administration, record bank loans. the only thing down a little bit is cash as clients put mother money into the market which is a -- put more money into the market which is a good thing. expenses were up on a quarterly basis. we had a number of large conferences for advisors and other costs and advertising costs were up. if you look for the first nine months of the year, we're up both on revenue, profits, double digit and last year was a record. so we're up over last year's record, first nine months. so we feel really good about where we are. maria: what are you going to do as the federal reserve embarks on a new phase of cutting interest rates, paul? in terms of the net interest margin, the impact on your firm and really the entire industry. we're seeing rock bottom rates. what's your take in terms of the
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fed and the impact of the rate cut which is on the way? >> well, i think a rate cut would have some short-term impact on profits, but the problem i believe is that the rate cuts for the economy aren't the right thing to do. interest rates are near a record low. it really doesn't impact business, borrowing costs, so it's i think a mechanism that pushes the stock market in disadvantages, long-term and fixed income investors. we have had record spreads. they will probably come in some but would still be healthy. maria: how significant will the impact be on your earnings and do you need more expense management as the earnings get hit from the rate cuts? >> i don't think it's going to be a big number. it will certainly have an impact. our focus is always long-term. the secret to our long-term success is making sure we invest to support our advisors, so we have world class recruiting and
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retention for 10 years in a row, less than 1% regretted attrition. and that's what's really driven our business. we're going to focus more on the long-term and making sure those platforms are in good shape and not in short-term movements in the stock market or in interest rates, which will change over time. >> paul, hi, james freeman of the wall street journal. really interested in your comment. obviously, we hear on interest rates, we hear a lot of constant demand in this city for lower rates, lower rates, as you mentioned, always tends to juice the stock market. you're not seeing a need for lower rates in the main street economy, i guess. and i'm wondering if you can elaborate on that a little and also tell us as you look at the european central bank getting ready maybe to push rates even further into negative territory, i'm guessing you don't that will solve their problems either. >> i don't think -- you know, interest rates are certainly a
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factor. you look in europe or you look here, they're near all-time historical lows. what do you do? go negative? i do think long-term economic policy would say lower rates aren't going to have that kind of impact. it certainly helps into the short-term but it also artificially if they get too low pushes people into stocks because they can get better yields and can't everyone anything on their cash or fixed income investments which i don't think is healthy long-term either. i'll let the central banks all over the world decide that policy. we'll react to it and help our clients as best as we can through those shifts. maria: paul, great to have you on the program this morning. thanks so much. >> good to see you, maria. maria: paul reilly joining us there. mueller the day after, i'll speak with ranking judiciary committee member doug collins about yesterday's hearings and what's down the road. then one more try, samsung giving it another go with the foldable galaxy phone, when you can get your hands on one, coming up. stay with us. ♪ who's going to walk you
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maria: welcome back. good thursday morning, everybody. thanks so much for joining us. i'm maria bartiromo. it is thursday, july 25th. your top stories right now, just before 7:30 a.m. on the east coast. in focus today are the airlines, you've got two airlines that were hit by the grounding of the 737 max jet. we have american airlines due out any minute. we'll bring you the numbers. stock is down a quarter of a percent going into it. southwest airlines already reported a miss on revenue, it said it will pull operations out of newark airport. southwest coming out of you newark. the stock is down almost 5% right now. as you can see. big impact there from the max jet.
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dow component 3m reported a 39% decline in quarterly profits. but it is reiterating the full year earnings forecast. the stock is up almost a 5%. as you can see. $8 higher on 3m this morning. broader market is mixed. futures indicating a gain at the start of trading for the dow industrials, up 56. the s&p is down 1 point and nasdaq futures are lower by 27. this follows the nasdaq and s&p closing at all-time highs yesterday. the dow was dragged down by boeing and caterpillar after disappointing results from those two companies. those two alone cut 121 points off the dow industrials average. the global markets this morning are mixed. we are waiting the latest interest rate moves from the european central bank. the decision from the ecb coming later this hour. european markets as you can see are mixed. the cac in paris is up 12. dax is lower by 22. in asia overnight mostly green except for korea. south korea was down following north korea's missile launches. best performer was china,
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shanghai composite up one half of 1%. all those stories coming up this thursday morning. the top story this half hour, reaction to the mueller hearing on capitol hill yesterday. the former special counsel answered questions for more than six hours from the house judiciary and intel committees yesterday. watch. >> collusion, conspiracy were not synonymous terms, your answer was no. >> that's correct. >> in that, page 180 of volume one of your report it said as as defined in legal dictionaries collusion is largely synonymous with conspiracy as that crime is set forth in conspiracy statute. you chose your words carefully. are you contradicting your report right now. >> not when i read it. >> you would change your answer to yes, then? >> no, no. if you look at the language -- >> i'm reading your report, sir. it's a yes or no answer. >> page 180? >> page 180, volume one. >> this is from your report.
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>> correct. >> that was congressman doug collins, he's the house judiciary ranking member. he joins me now live. thank you for joining us. i'll tell you, you had to get him to clarify things what was your reaction to the hearing yesterday? >> i think the reaction to the hearing was is number one, re-learned nothing new. hopefully this is the final chapter. the democrats can finally say we put mueller to rest. we know it was not everything that we wanted. we can actually -- there's no more democrats can run to a camera says there's collusion and consisten conspiracy. he put that to rest yesterday. he took on the issues of obstruction and when the democrats tried to lay out obstruction, he said i disagree with your theory. when we look at it. this was a complete ending of the page is my hope, that the democrats will turn to things we have to listen to and that's how to fix the country. the one thing he did, he would not talk about the origins,
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would not talk about things that were in the report such as the steele dossier, the other issues there. that's what we'll see from the inspector general and mr. durham coming up. maria: that's a head scratcher. how do you do an investigation about russia meddling when you don't actually look at the dossier which is the collection of nonsense written by fusion gps with the help of russians, trying to meddle. >> it was amazing to me, some things he didn't know, like he acted as if he never heard of fusion gps. it really goes to what i believe has happened over the past two years, is they went down a path, we had investigators who had -- seemingly a bent towards this president, against this president because this president, they didn't like him. we go back to what he with talked about many times, corrupted page, comby, how this got started. what we have is a revelation, at the end of the day, nothing is here. what did i learn yesterday?
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nothing that i did not read in the report three months ago. this is what was sad about yesterday. maria: the question i always ask when we talk is where is the accountability. do you believe we will see accountability for that group of people who did in fact put their finger of th on the scale, try p donald trump and lie about it? >> i believe we will. we now look forward to the inspector general's report and the issue of the fisa abuse on american citizens. this should ring true. i don't care what political name you put after your name, partisan, whatever you want to have. you should never want a department of justice that goes to a secret court and takes out warrants on american citizens, especially with the flimsy reasons they had. an due mccabe, he -- andrew mccabe goes on tv, he tries to rehabilitate himself. he was in the middle of this with comey, strzok and page. this needs to come out. this is why the american people don't need to lose sight. this is important right now. maria: you know what i find
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stunning peter strzok, all of his efforts to stop donald trump, not only should he face charges of trying to obstruct by lying and putting his finger on the scale, but also by putting national security at risk for the country. because now, you know what's been outed, all the fbi sources and methods. we now know how the fbi operates. they will put informants on you, use honey pots, they will bring together intel executives from around the world. i'm talking halpe, downer, missfood, so we know the fbi sources and methods. they've been outed because of peter strzok's cavalier use of them. >> well, i think what we're finding is there's was a large problem in the department of justice especially prior to this administration. we've seen it cataloged in you how they adjusted things, how the former attorney general actually had the information in the clinton e-mail scandals.
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we see this coming forward. here's one good thing. his name is bill barr. he came back to the department of justice to get the department of justice right. i have every confidence in the world. everything he ever told me and everything he told the public, he followed through on. that's a man of integrity. i believe the department of justice and all the issues we're finding are being put back -- slowly put back together because of leadership like bill barr. maria: who do you think is vulnerable in terms of prosecution? are you looking at the peter strzok, andrew mccabe potentially facing prosecution? who else? >> i think anybody that was involved in the process, if you see them either gone quiet or trying to rehab rehabilitate th interviews or tweets or op eds, understand the idea of what mr. horowitz is doing and the fisa issues we have and they also understand a that mr. durham is someone who doesn't play around and he's going to look to protect the integrity of the system. i think anybody who did something they need to be concerned. maria: meanwhile, the president and house speaker nancy pelosi
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spoke out after the hearing yesterday. listen to this. got to get your reaction. >> this whole thing has been honestly it's been collusion. it's been collusion with the media. it's been collusion with other countries. this has been a disaster for the democrats and i think we're going to win bigger than ever. nothing was done wrong. this was all a big hoax. >> we want to have the strongest possible case to make a decision as to what path we will go down. but if it comes to a point where the cone of silence and the obstruction of justice and the coverup in the white house prevents us from getting that information, that will not prevent us from going forward. in fact, it's even more grounds to go forward. maria: congressman, she is still calling it a coverup. >> yeah, i think this is the bigger picture. you've had a president who has done a great job. we see our economy skyrocketing, the standing across the world is doing better.
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he's been attacked since the moment he was elected in 2016. i think he makes that case very well and we're going to make the case we need to continue what we're doing and what i'm seeing in ms. pelosi is this, she is run by others in her party, the far left of her party with the socialist agenda on the hill. they only have their only hope is to get rid of president trump because they don't like him. she's having to try to balance something which she has nothing to stand on. the sand is rolling out from under her and she's having to now try to appease both bases, those who know impeaching the president would be a disaster and those who say we need to impeach. she is abdi kateing her lea leadership. maria: can they get anything done? it's been seven months since the democrats have been in the majority. what do you think of significance has gotten done and what about the budget? how are you voting there? what about usmca? >> i think what you've said
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right there is important. nothing has gotten done in seven months. we put show bill after show bill out here. when we look at this perspective of what we need to get done, if i was a democrat right now going into the august recess, i would have to be really concerned. first of january, you told your base you were going to all of these great things. you've done nothing. you said you would wait for the mueller report and the mueller report would lead to impeachment of the president. that didn't happen. it backfired on you. now you're going into six weeks of the august break, when we go back and talk to the constituents and they have a failed agenda and a failed attempt to get rid of the president they hate. they have a problem going into this. the traitd trade agreements are on the table. we have to get these things moving. this falls straight in the lap of a speaker who is leading an inept congress. maria: all while the public is watching, all in a fish bowl. good to see you. thanks so much. doug collins joining us there. american air lines out with its
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earnings. lauren simonetti with all the numbers there. lauren: let's get to it. american airlines better than expected profit, eps, $1.82, revenue in line, $11.96 billion. stock reaction, sharply to the downside. losing two and a quarter percent. here is the deal. they fly 24 boeing 737 max jets out of 900 aircraft, about 115 flights a day. they're extending the grounding to early november, so two additional months. that's the holiday season, right. and american is saying with that, they expect that grounding to negatively impact full year pretax earnings by about $400 million. that stock is down. i want to show you southwest. because if you think 2.2% is down. southwest is down a 5 and a quarter percent right now. they fly the most max jets, 34 jets, 180 flights a day. and the grounding has been so significant to the company that they are now closing up shop,
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ceasing operations at newark airport because of it. their revenue missed by the way, $5.91 billion. comcast, adjusted earnings were better than expected but the revenue missed at $26.86 billion. the issue for comcast and many other stocks is the pay tv losses as we continue to cut the cord, 224,000 people did so in the quarter, maria. maria: thank you so much, lauren. we'll be watching those stocks. we've got a big hour coming up. signaling stimulus, all eyes on the european central bank, the decision out momentarily. that will likely move markets. stay with us on that. (vo) the hamsters, run hopelessly in their cage.
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maria: breaking news this morning. we're waiting on the european central bank's decision. we will flash it on the screen as soon as we know. but we know that rates are nearly negative, unchanged, no move in interest rates in europe. we're just getting word. we are looking at some kind of stimulus that's on the way because mario draghi was pretty clear the last time he gave a press conference, saying more stimulus is on the way. what kind of wiggle room do they have? joining us now is chief investment strategist, nancy tangler. the ecb announcing no rate coverage but what kind of leverage do they have in terms of stimulus in your view?
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>> they're in a pickle. growth is super slow. a lot came as a result of the china trade issues and our cutting back on or threats of terrorists on the autos so that's driven the -- sorry. i had coffee. the manufacturing down, particularly industrial production for germany. so i'm not sure what they can do and it's not a position i would like to be in. maria: so the last time we talked about europe with rick reeder from blackrock, i told you during the break, we're seeing $2 trillion in fixed income and equity money at blackrock and he said one of the most important things that he's expecting from the incoming president, christine lagard, is that she buys european equities. that's why he's loading up on european ebbin equities. what do you think of that strategy. >> >> i think that's super interesting as i reacted during the break. i don't know what else they can do. there's $3 trillion in negative interest rates or bond exposure
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around the globe, actually it's 8. i think the equity option is risky. but at these valuation levels it may not be a bad. maria: james, you say they're putting limits in in terms of how much bonds they can own. >> looks like no change on the rates for the moment. we'll see more if there's a signal that that's coming. another option is to lift the amount of a country, a government's debt that they can -- the central bank can own if they're buying bonds or stocks, private companies. i guess to an investor, maybe you say oh, great, there's a new buyer in the market. if you're a long-term investor -- >> frightening. >> i mean, you're looking at europe and it's just a mess. this 5,000-year -- the first time in 5,000 years of recorded history we have negative rates and now that's not enough and they're going further. i mean, is there any optimistic case about the european economy, if you're not a short-term
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trader? >> i think so many of us have been alley-ooped by that market. every year we go this is the year, valuations are super low compared to the u.s., regression to the mean, we've got to get some return out of europe and the developed markets have not been -- global markets have not been where you want to be. i'd be in emerging market debt and equities before i go to developed market even with a new buyer. >> which emerging market equities are you looking at right now. >> i'm a domestic equity manager. but in terms of i think brazil's super interesting, i think china is still interesting and so we actually sub-advise our emerging market exposure out. maria: let's take you back to the us. dagen, the fed meets on the 30th and 31st, right? dagen: right. is this an economy that needs an interest rate cut at this point? >> i'm not there. i don't think so. but we'll get one regardless. maria: do you think it will be 25 basis points on the 31st?
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>> i do. we may be surprised. the inverted yield curve is what's driving this. i don't see it -- i mean, the earnings numbers have been outstanding from the standpoint of revenue growth, has been particularly strong. and margin expansion in this environment is a real coup, i think. maria: jonathan is an expert on china, give us your take on china and the u.s. in terms of the national security risks. do you think we'll see a deal. >> people are headed back to the table on the negotiations. maria: they'll talk in shanghai next week. >> that's right. things are resuming. the deeper u.s.-china competition, i'd be curious your take on this. to what extent are chief investment officers factoring this in. do people understand what's at stake as china looks to overtake the united states military and economically. are people looking at this as a short-term deal? >> thank you for that question. sadly, i think we're going to get a dressed-up deal that
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really isn't going to address the issues that most of us are concerned about. i am concerned about intellectual property theft and the military. i have a son who is a navy pie lot who is over there right now. i don't like what i see in the south china sea in terms of china's dominance. i don't think that's the deal we're going to get. we're going to get something that's dressed up. maria: china, buy more stuff from the u.s. >> let's get more soybeans on the table. maria: i wonder where ceos are today on this. they've been more educated in terms of the risks. for too long, ceos were so interested to getting their products to the people in china and they forgot about protecting their own products. >> what happens next is you have chinese companies coming out with stolen american ip and going to emerging markets. >> i think long-term it's a severe risk. near-term, there's going to be euphoria. i feel like china has moved to the side and is off the table from the standpoint of
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investors' views. maria: you want to buy stock there? >> yes, definitely. selectively. maria: nancy, thank you so much. jonathan, you've got china's national defense strategy, we'll talk about that coming up. we'll be right back with faye dunaway, done. wait until you hear this. his is. this thing is beautiful. i love the lights. oh man, it's got a mean face on it. it looks like a piece of candy. look at the interior. this is nice. this is my sexy mom car. i would feel like a cool dad. it's just really chic. i love this thing. it's gorgeous. i would pull up in this in a heartbeat. i want one of these. that is sharp. the all-new chevy blazer. speaks for itself. i don't know who they got to design this but give them a cookie and a star.
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maria: welcome back. hong kong protesters vowing to defy a police ban. cheryl casone with details there. cheryl: the march must go on, that's what protesters in hong kong say, despite a police ban. police rejected an application to hold a rally after dozens of masked men beat commuters earlier this week. fears growing that the chinese military could be called in to end the protests. well, a request from upo ponzi
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schemer bernie madoff, he wants president trump to get him out of prison. he filed a petition fo for clemency. he orchestrated the largest ponzi scheme th in history. well, faye dunaway channeling her famous role as joan crawford in the film, mommy dearest. >> what are wire hangers doing in this closet when i told you no wire hangers, ever. cheryl: she has reportedly been fired from a play. the 78-year-old reportedly slapped and threw things at crew members who were trying to put on her wig. the play was on a prebash broadway run. it would have marked her return to broadway for the first time in 37 years. i guess she channeled her inner joan crawford with folks at the
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play. maria: not good. cheryl: slapping people. dagen: i want to give michael riedall who is a theater reporter at the new york post incredible credit for this reporting. he is one of the best reporters working anywhere today and even in the last 30 years. maria: give us a taste of this. dagen: you read the details, the slap was the final straw. 98% of the play was coming through an ear piece. her behavior was unsettling from an early photo shoot. someone gave her a salad for lunch and she threw it on the floor. she was on a diet and she said the salad is better on the floor. the producers were so concerned about her condition, they called actors equity, the union, to see if it was unethical to put her in in, in this state, on the stage. in june she had a mommy dearest meltdown where she demanded staffers get down on their hands and knees and scrub the floor in
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her dressing room. maria: quick break and then the chairman and ceo of ups is here on earnings and seven-day shipping, next hour, "mornings with maria." back in a moment. so i only pay for what i need. and this is me now! any physical changes to this man's appearance are purely coincidental. only pay for what you need. ♪ liberty. liberty. liberty. liberty. ♪ is it to carry cargo or to carry on a legacy?? its show of strength or its sign of intelligence? in crossing harsh terrain or breaking new ground? this is the time to get an exceptional offer on the mercedes of your midsummer dreams at the mercedes-benz summer event, going on now. lease the gla 250 suv for just $329 a month at the mercedes-benz summer event. mercedes-benz. the best or nothing.
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your daily dashboard from fidelity. a visual snapshot of your investments. key portfolio events.
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all in one place. because when it's decision time... you need decision tech. only from fidelity. >> welcome back. good thursday morning thanks so much for joining us. i'm maria bartiromo. thursday, july 25, top stories 8:00 a.m. on the button east coast we have ford on earnings, southwest airlines reported big mess on revenue, said it will pull all operations out of newark airport, big impact from the boeing jet, are american airlines expectation maximum cancellation 400-million-dollar impact on full-year earnings southwest down 4% american down almost 2% 3m, 39% decline reiterating full-year earnings, shares rising 3m off 5% right now, futures broader markets like this futures indicating, the
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dow industrials up 100 points high of the morning, dow up 99 third of a percent s&p also now 'up 5 and a quarter points nasdaq lower down 7 points fractional loss for the nasdaq this follows nasdaq s&p 500 closing all-time highs yesterday dow dragged down by boeing caterpillar disappointing results we told you yesterday on program those two alone cut 121 points off dow industrials global markets this morning look like this, no rate cut from european central bank but ecb did say it is determined to act if needed to ensure inflation hits its on the. ft 100 up 30 points cac quarante up 50 points dax up 50 as well there was immediate reaction, in european markets after the ecb brought that news we are expecting some stimulus at some point, in asia overnight was mostly green except south korea that fell following north korea missile launches, as you can see, kospi down a third of a percent, trouble at tesla to
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report the carmaker lost money again, in the quartered it is stressing however that it will be about profoundly going forward. investors not hooep with news, the shares staking a dive down almost 12% testl on loss guidance as well coming up this thursday morning joining me to break it all down fox business network dagen mcdowell, assistant editorial page editor "the wall street journal" james freeman atlas, author of china vision of victory dr. ward, good to see everybody good to be here. dagen: this is a morning i want to shut up listen to everyone else. >> him, him, him our guest coming up. >> interesting few guests on the program paul riley nancy tangler saying you don't needed to help economy it is fine don't needed interest rate cuts refreshing message. >> 80% chance according to fte futures we are going to see four rate cuts until 2020.
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two rate kits potentially this year, another two next year, or one and three if that is if that is necessary, the economy is in terrible condition. >> yeah. dagen: people talk about insurance policy back to 1998 federal reserve cut s&p 500 recommend in a bear market down 19 1/2% from july to september, and 98, russian death crisis with collapse of long-term capital management with starr report impeachment against bill clinton fed cut economy running, the market kept running, recovered roses again, it wasn't until 2000 that we had the down depravity in tech stocks following recession. maria: joining the conversation, this morning, on all of that chairman ceo ups is here, along with host of "varney & company" stuart varney weighs in don't miss a moment our top story this hour tensions rising in asia, the asia-pacific regional u.s. we areships through taiwan
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straits, trade stalks with china to resum next week north korea following short-range missiles off east joining us president of eurasia group great to see you -- >> tell us what your reaction is to all they see provocations again in asia-pacific area. >> most important story continues to be the underlying u.s.-china trade relationship and the fact there is an announcement that we are now going to restart those talks, steve mnuchin others traveling to china to engage in relatively short order but if -- the thing that china most upset about with united states right now is if fact that we have functionally threatened to shut down, huawei we put measures he against them technology firm taiwan is critical because, if you look at china's semiconductor production virtually 90% importing from other places including critically taiwan if they don't get a deal with americans, it is so important,
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chinese have dominant political reegs more tightly into those, he on the other hand taiwanese responding with in other marshnatural a.m., mor pro chinese because of hong kong because they know domestically it is unacceptable not to be in common cause trying to have a separate model from mainland china tough. >> jimmy lai on the show china activist dissident better term he said if that extradition does go through if continuation of undermining of hong kong, hong kong will never be the same you are expert on china what is your take on hong kong protest what it says about china. >> sure, all coming together in region, the taiwanese concerned about this for a listening time there is a word in chinese called -- means hong kongization, they don't
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want to hong kongize the idea could wind up in a situation like that, you know, beijing's proposition to taiwan one country two systems. >> ian mentioned huawei there is a reason u.s. is pressuring huawei national securitys risks. >>h deeply integrated with communist party to rejuvenate nation of chinese nation the founder added to gathering in the 80s because of zeal for party saying the beginning of america following behind in 5g making aggressive statements o we are going to take highest position in the world because of that conflicted with united states inevitable he says in chinese not english huawei the ict arm of the chinese party ra andd goals essentially mirror those of communist party out in world a marriage issue, boris johnson in uk one
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significant thing would be what he does honorh essentially. preserving dmakz special relationship is he going to kill the huawei, you know situation, in brin many openers unwilling to do. >> a good point because british prime new, boris johnson made first firnl address paramount making brexit work about what about that one most important decision the impact of what he says about huawei. >> everyone talking about how trump and boris johnson are close they like each other similar sorts of politicians all true but boris johnson first statements on china after winning premiership were positive, about the importance of chinese investment, explicitly mentioned uk was first european country to join asia infrastructure vest bank aib americans told brits not to do he did not make a estimate on huawei, but everything applies not going to be with americans on critical issue, that really
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important. >> a problem i think for uk secretary pompeo, were here came on this set said to me, straight out if if europeans issue using huawei telecom we have to share less with them. >> it is a problem yet the americans can kind of force the issue, i mean, think about it we pulled out unilaterally of jppoa, iranian nuclear detail uk wasn't with us french pt the weren't with us i tall i hand you those with us but all supporting american sanctions because year gorilla in the room, if we decide we are going heavy against huawei, most of our allies are going to support us no the because they like the policy, but because the americans have so much influence over their economies that is what chinese worry about. >> i think -- dagen: i want to add really quickly in terms of our information sheering with britain what boris johnson said, what we should be concerned, about brin and the leak of that information, and
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the comments made by the uk ambassador who is now gone about president trump, why wasn't that protected, that is another that is a that goes right to how their protecting their information, and our information, i didn't mean to interrupt you -- >> shoour on huawei point i think boris certainly one prices are special relationship when is a problem we have with all our allies they want chinese economic cake, and to eat sort of american security agreements together not a deal we can make with allies, ian a year ago in march 2018 you said you might have surprised that i say this but i i think the likelihood of a trade war between u.s. and china is virtual zero what happened in what is your take on this. >> i still agree with that the fact trump said he was going to do that additional 3 too billion dollars of tariffs and didn't, understand because those are the goods that would hit american pocketbooks there are dushldz clothing toys, iphones trump watches the markets, more than just about anything else, so he doesn't
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want that escalation he wants to be seen as tough deal maker eventual gets deal done. maria: not going to stop stealing what is he going to do. >> i believe same way you have scene chinese say we will buy mirror soybeans last time trump met with xi jinping said we get along well g20 osaka a difference between being tough throwing out sal vaz a trade war having said that on technology side i said last year as equal we're not going to fix it obama did iranian nuclear deal small didn't make us friends with iran we still have sanctions, we can do a trade deal with chinese not friends on taiwan not friends, south china sea won't be friends on huawei limitations of the agreement between trump and xi jinping should not make the market says oh two are just he largest economies friends not the going to stop stealing we are not having a technology system integrated. >> get a deal to get a deal. dagen: creating change without any deal getting done.
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maria: yeah. dagen: with mnuchin still heading back to china. again, with xons finally moving production the of china into other nations have you gone vietnam. >> that is right. >> i think where this is going some level of sanction, tariffs to have to be prm informant law or companies away from strategic advocacy. >> china national defense strategy. >> this is a big deal china released first national defense strategy in four years wednesday, it fore groundz united states blames a lot of what is going on in the world on united states says u.s. provoked intensified competition among major countries brings taiwan into picture saying year going to defeat any sort of intervention that comes into taiwan. >> they want to be number one superpower have largest military bigger than u.s. >> there is no question united states our enable security strategy under trump this is black a, we put it together,
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the defined china as a strategic competitor of the united states not the way we not about them historically because we are bigger they said publicly we want to be the world leader in artificial intelligence by 20 positive because they have publicly taken on a much more sort of position internationally with the road a competitor to washington type system be clear on defense american defense spending increases in dwf spending out stripped those of china since trump has been in power americans spend more than next seven countries combined in total defense china is still a recentlial military power even though a global economic and technology superpower that is a difference. >> they should say that way i don't think the world wants a you communist country being most dominant focuses in the world. >> they don't the chinese one country spending zblajt
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long-term infrastructure for other countries with brits boris johnson say we want that money italians join g7 after we tell them not to so many allies seeing chinese writing checks americans have nothing to counter to it a problem we miss address. dagen: should look at he heardland america throughout the south china destroyed fabric of our country many ways the people i grew up with, knew it, felt it. politicians ignored it corporate executives ignored it president trump has come in and said enough. >> that is right. >> you think trump can get a trade deal while maintaining the hard line on huawei you don't think that has got to be part of it. >> no again, i think that we can walk and chew gum at the same time, the united states and chinese have incredibly complicated relationship, that hits all sorts of different issues there are strong incentives for both americans and chinese the different incentives to come to trade deal not further escalate, i said before, there is no trade
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carr but serious trade skirmish ishs between countries i don't think going to break through that i don't think request a trade war between two there is disentanglement a lot of americans less -- >>
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welcome back airlines in focus shares of southwest american down jackie deangelis about looking at that sharp declines jackie. >> they are sharp declines good morning to you it was not a pretty picture for the airlines this morning, southwest slightly higher a big revenue miss 737 grounding having impact on airlines southwest also said that it is going to consolidate flights pull out of newark airport new jersey zailt starting november 3 la guardia airport in new york, american airlines be the revenues in line 737 a problem there as well, also watching tesla this morning, taking a big hit after earnings last
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night, investors looking for the turn around quarter didn't get it expecting to hear more positive results from elon musk that stock down 11% this earning earnings after the bell as well hearing from al google parent amazon brace for that starbucks as well maria. maria: all right jackie thanks so much we will be watching jackie deangelis wall street genuine durable goods report out in 10 minutes' time the xhub economists expecting 7/10 of a percent increase dow industrials at highs of the morning up 105 points. back in a minute. kevin, meet your father. kevin kevin kevin kevin kevin kevin kevin
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committees on wlort joseph wasn't charmed for lying to fbi can you give me an capital other than donald trump where justice department determined the investigated person was not exonerated innocence not conclusively determined. >> i cannot -- >> okay, well, you can't find i want i will tell you why it doesn't exist. >>ible reasonable does include at least three crimes of -- by president occurred. >> only thing i want to add going through elements with you did not mean or does not mean that i subscribe to the what you are trying prove through those elementals. >> joseph told papadopoulos when fbi interviewed him -- lies three times and, yet, you don't charge him with a crime. you charge for falls statements manafort false
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statements cohen falsely statements michael flynn three star general falsely statements the guy puts country through whole saga starts it all for three years lived this now, he lies, and dies going to bes charge him. >> i can't get into it and obviously, i think we can't get into charging decisions. >> joining me issee executive political commentator john solomon from the hill thanks for being here. >> good to be with you -- >> i want to first kick off with what you heard from jim jordan the case of joseph joseph told george papadopoulos russia has hillary clinton e-mail papadopoulos told me others that was entrap meant trying to tell him something he would pass on to look like a conspiracy you've got new reporting this week. >> i do, i think there was a lot of reason for some of the
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questions yesterday, joseph if you believe mueller report started it all at a contact you mentioned with papadopoulos what fbi says was reason they opened entire russia collusion investigation, i reported on tuesday, that bill barr's hand picked u.s. attorney john durham is reaching out to him and attorney to secure a new interview that signals one we figure key inclusion of the moourp report is revisited by the new team by durham why is that the what the lawyer told me is that he is prepared to show durham that his clients was long-term western intejs asset specifically tasked to meet papadopoulos and introduce him, to it be russia's overseas that could suggest a setup by george papadopoulos, a long way from that got let investigatings but after tleer years mueller's probably we don't have answer mueller couldn't provide any probablebly
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indicates why durham taking a look at this. >> huge point i want to make sure audience understands why because the first guy who tells george papadopoulos who was a trump pain person he wasn't yet work for campaign told current job i will leaving in two weeks to work for trump campaign they said intervene you go we want owe meet someone important send you to rome because we want you to meet this guy going october greet important for you tells him russia has hillary clinton e-mails, if it is established, that in fact joseph was working for western tej possibly fbi ciawe speculating that is entrapment evidence fbi set up george papadopoulos isn't that right. >> certain the concern that needs to be gaitsdz he calls the contact intelligence
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operation that is own lawyers words says he specifically was tasked to target papadopoulos plant relationships with russia, and says that famous antidote in the report about putin's niece that wasn't his niece what was a student took off campus to' at putin's niece looks like dirty trick or intelligence op the fact of the matter we don't know answer after mueller report explains why john durham is probably looking at it now. >> why so are to show jim so aredan exchange saying lied to fbi three times you he never charged him why? because he was working for you great to have you thank you, sir. we will see you, durable goods right after this. "changing what's possible" mean anyway? well...if you run a business, it means a lot. for starters,
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for june futures into this number a rally for the dow up 99 points s&p up 4 and half nasdaq split into negative territory down, 11 points right now, on the nasdaq, that is after the s&p, and nasdaq, hit record highs yesterday on wall street, big day yesterday european markets a lot of action there european central bank -- the number is out on june durable goods get to lauren simonetti with that. >> is -- >> 2% on durable goods we just got number out it is hitting the tape lauren standing by with number about durable goods for june up 2% lauren? yes up 2% as you said much better than the estimate, and much better than the previous read when saw a decline in may, largely impacted by the grounding of the boeing 737 max, we had 1.3% decline the
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number for june much better than expected, 2%, and core coming in 1.9% so this is this is a -- much better than expected number. maria it shows you, that many reports show weakness in manufacturing in the industrial sector this is -- businesses are still investing it might not be as bad as it looks, trade delegation gets set to go to china the trade also part of this. >> thank you, durable goods odds, big ticket numbers to last six to nine months down road why we look at these numbers higher cost, and long-term big ticket umz durable goods up 2% versus statements 7/10 of a percent no reaction on markets we have dow up 100 points s&p up 4 nasdaq negative by 10,ups reporting a double beat on earnings yesterday due in part to 30% quarterly surge in next
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day air shipping volumes announcing plans to o dploifr packages on sundays deliver on sundays starting index year chairmen ceo ups, thanks so much for joining us. >> glad to seal beach here. >> you have overseen transformation of ups i want top ask initially a story about amazon putting -- setting tone for others, that are you know next day, 24 hours, but now it is really a story about you are seeing increasing demand. >> yes, we absolutely are. and one of the benefits to see is the fact that it is driving a lot more shipments, people think of the larger retailers, retailers but there is hundreds of thousands of smaller mid sized businesses that are actively involved in this. so part of our transformation to focus maul mi sized he
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customers into offerings that will how them act as big companies even though they are small we feel we can empower them to have a bigger size in the market than they actually have. >> you said -- do you see business to consumer versus business to business b to b, tell me about that, because recently, you have maida accommodations to deliver b, to c, i meaning business to consumer you can deliver several packages at once tell me what changes of you maid to encourage bto c . >> b to b , bto c, 50% favt is b to b, bto c, but but b to b, working with small mid sized consumers b, to c, the key how you can get more package per stop one of the ways we have done it announced with cvirtualitys michael stores
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advanced auto parts, we can deliver or our customers can ship ups packages through these stores, that creates multiple packages per stop makes it a lot more about profitable. >> you make an important point, because you b to c, one package to one person not delivering 10 packages to one person, but you've got cvs partnership can deliver all in close to person's home that is 12,000 additional locations, that we add to existing, maintenance, 21,000 in the u.s., 40,000 across the world, no one can match that so we have the most extensive network when it comes to access points. >> tell me about the economy right now broad walkdrop how do you see it. >> from the euro side we still see it strong, but the consumer is driving it, and
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unemployment you know how that is looking inflation seems to be in control i can tell you that we're happy with what we're seeing global straight standpoint, there are concerns, there is no doubt about it. we've seen trade patterns change we've seen for the first time in a while -- global exports is predicted to be lower than global gditchp shows trade pushers. >> u.s. he negotiates headed back to china monday going to resume negotiations in shanghai what impacts have you seen so far from this trade war? >> there is definitely -- caused supply changes trade flows have vaengsed nor the process of changing, what we have really seen in china is a good example china exports into uas he reduced obviously, for the reasons we talked about we've seen china to the rest of the world increase
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trade flows are changing from china to u.s. to the rest of the world in fact we moved a -- a largest jet we have 747 that was scheduled to go from china to the u.s. we moved to china to europe, to accommodate that change. at the same time, we are seeing people that were doing a lot of manufacturing in china, are looking to vietnam indonesia philippines other places we are seeing trade flows changing from china to these other kinds then flowing into the u.s. so it is a very dynamic sfwhie dynamic. >> situation. >> how does this pay play out in emergency rooms the of china. >> i believe president xi president trump realize value of trade lines wen two largest economies we are encouraged g20 made comments going to restart negotiations. we have hope he wouldn't say high hopes but we have hopes
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for next week that it will be a good positive discussion i know that -- that treasury secretary mnuchin and lighthizer are going to be there, and i would like to see it be the start of the basis of a productive agreement that would help to increase trade between china, and the u.s. because just to important parts of the world. >>s as part of your transformation at uups not only access points if you will like cvs partnership you are investing in technology you've got drones tell me about that. >> yes just announced that we are forge a subsidiary, focused on drones at least in the beginning, in health care setting. two years ago we started delivering medical supplies and blood in rwanda just using nothing but drones we're doing it in ghana first steps in
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u.s. has been productive -- exhibit of how we can use drones, medical campus in north carolina we are using drones to deliver within that campus. we applied for faa part 135 certification if we get that later this year, that will allow us to expand past line of sight will also let us not be restricted by number of drones or number of operators. we see it as an important part of our business, not to replace the ups uniform driver and human reaction, but in k have, others, where timing is a matter of seconds, minutes can i mean something we see big application here maria: let me ask you your thoughts on europe, we just heard from ecb the interest rates unchanged mario draghi making some comments after the news basically saying that a
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stimulus is still on the way european central bank president signals a rate cut is still out there, that is sending euro to two month low right now it is moving markets in europe, european indices higher across the board. this is just hitting the tape 150 minutes ago what is your characterization of europe right now? >> there are pressures the biggest pressures that we see over brexit, of course, and if there is a -- a soft banana republics we think th-- a soft much better that are consumers if a hard brexit there is going to be border difficulties going to be challenged but we are largeers broker in the world can help customers no matter when scenario we think european uk trade a soft brexit. >> what do you say about driver concerns, concerns that drivers dealing with hot weather, there is recent
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report finding over 100 workers hospitalized for heat he related issues in 2015, people don't riff but driving a truck, a truck one of the more dangerous jobs out there you are doing it for long hourslong haul why all this conversation about a.i., and taking over, trucks in terms of -- in terms of self-driving your thoughts? there has been some misrepresentations lately people have taken information incorrectly applied it or not understanding. >> first thing is it was reported that we have a high number of heat related accidents. the truth is less than .100 of 1% reported accidents have been heat related. and then over five-year period it was reported that there were 107 incidents. that would be like .0900
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degreedths of 1%. >> small issues. >> yes, the truth of the matter is our drivers work hard i was one of those, i delivered on the mississippi. >> fantastic. >> i knew how -- >> you first got to you. ps a driver? >> before that package hander >> i love that making chairman and ceo spot. >> i did, one of the hottest places in the country you learned to hydrate you a learned to take care of yourself, and we focused our drivers nothing is more important to is than safety we have the best health safety pictures in entire nation. >> thank you for clarifying that let me ask you you have overseen this company the stock is soaring now, the growth is there, you've got all this innovation going on, but you overseen during the time of amazon. how has amazon changed your business? >> amazon has changed the
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business i think sometimes amazon gets credit for how big it changed the business i am not diminishing amazon they are large company a customer of ours also places we overlook we closely monitor one thing i can tell you about amazon, they are very responsive and so from a mutually beneficial relationship you know that if you show them something, that could help them and help us, they will respond. >> i know that they are customers as well partnerships with them but although those competitor. >> they have been. >> also getting into shipping. >> they are >> the thing about amazon has changed the expectations like for example for me, i expect my package in 24 hours. >> that is right. >> so the pressure is on you, and on others, you know competitors to get me that package in 24 i know amazon will do it. >> that started, we could see it, a few yies ago was going
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to continue to swing in that direction, now a structural change everybody expects 24 hours, amazon started it or others started it amazon. >> it is here. >> it is here. >> where does growth come from at ups going forward. >> well, from that aspect shipping to next day air next day ground. and coming from second day and deferred options, moving into our network would he happen to have capacity we added 11 new aircraft this year when you have a structural change, and you have the capacity it just doesn't work much better than that. . so it caused air volume to surge 30% last quarter caused our financial -- improvements that we record yesterday. >> you are in middle of an investment cycle investing in new planes, investing -- et cetera, it is working out no market changed right to us worked out. >> great to have you. >> thank you.
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>> chairman ceo ups initial jobless claims lower than expected stuart varney says the underappreciated indicator up next and us there why. >> choont and fame report reveals independently of money entrepreneur tv star can ily jenner makes off one instagram post more than some make in a lifetime, the figure coming up. ♪ i love you baby, and if not all right. i needed you baby a lonely night i love you baby, ♪
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we'll we'll jobless claims below expectations joining me host of "varney & company" stuart varney to weigh in good morning, stu. >> maria you know i don't play the expectations game. >> now don't. >> i don't care what was expected, i impair the actual number 206,000 first-time jobless claims i thinkt underappreciated indicator. that really is the firing indicator the layoff indicator. it is the number of people, who went from first-time jobless claims, just got out of a job, that is an historic low number. 206,000 that is it? that is close to the all-time low, now, what does that tell you? it tells you that employers not firing people these days they are not laying people off no, they want to keep everybody, they don't fire don't lay off they want to keep the worker they have got because the economy is
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expanding what do you think? is it the underappreciated indicator? i think it is. i think it should get more pbity headline news i like a window into that every week we get every week to understand where jobs market is going where it is but i have a lot of favorite indicators. >> tell me one. >> no. >> i like the baltic shipping index now you really geekdz me out making me admit what a geek i am it is great tells you what is going on with global shipping. and that is a perfect indicator on economic growth, globally right now the baltic has been doing better. >> always remember baltic i am going to portray my age a very significant indicator boxcar loadings you may think i am scraping of the 1950s in my
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day one enormous indicator. >> thank you stu we got a nice really under way you are going to cover it ten minutes see you stop of the hour begins 9 a.m. eastern after "mornings with maria" join stuart major headlines ecb ready to cut traits interest rate cut on the way according to mario draghi held steady today, coming up hold season samsung galaxy phone making its way back we tell you when it will be up for sale on shelves. >> star power report reveals amount of money kylie jenner makes off one instagram post it is more than some people will make in a lifetime, jaw-dropping we've got it next. ♪ i want to get away, i want to fly away ♪
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yup. so, i'll wake up ready for anything? oh, we've got your back. so, you can really promise better sleep? not promise. prove. and now, save up to $800 on select sleep number 360 smart beds. ends saturday. maria: welcome back. the governor of puerto rico stepping down. cheryl casone with the details in headlines now. >> governor ricardo rossello resigning after nearly two weeks of mass protests over leaks of crude and insulting private messages between him and some top advisers. his last day on the job, august 2nd. rossello, the first governor to resign in the u.s. territory's modern history. a new shipping date for the world's first foldable smartphone. samsung says the galaxy fold will go on sale in september in select countries. the original launch earlier this year was delayed by screen issues. china's huawei also announcing a foldable phone which is expected to go on sale in september as
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well. talk about a money maker. kylie jenner takes the top spot on instagram for a second straight year, beating the powerful trio of her own sister, kim kardashian, beyonce and ariana grande. jenner founded jenner cosmetics and pulled in nearly $3.1 million per sponsored post. not bad money if you can get it. maria: now she's less embarrassed to say yeah, i'm doing this for the company. cheryl: i expect to see sponsored content on instagram. i'm not shocked by it anymore. maria: i'm loving instagram. so are you. >> you love photographs. what took you so long? maria: you're right. i'm here. >> i posted a photo. i'm making no money off my very
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flawed -- maria: you didn't get the million bucks? >> no. i don't get one buck. it's all free. maria: i'm having fun with it. i'm loving it. go to our pages. final thoughts from this all-star panel next. stay with us. most people think a button is just a button. ♪ that a speaker is just a speaker.
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so i have nothing to hide. always discreet. your daily dashboard from fidelity. a visual snapshot of your investments. key portfolio events. all in one place. because when it's decision time... you need decision tech. only from fidelity. maria: welcome back. final thoughts from this all-star panel. james? >> you mentioned the now ex-governor of puerto rico, rossello. another one of these self-described progressive politicians and we're not seeing a whole lot of progress on that island. i think that's a fair statement. maria: we are seeing a pretty good sweep the other way, actually, across the world. jonathan? >> china's release of the military strategy yesterday says essentially the u.s. is provoking major power competition. when you are talking about a country that's essentially hostile to the united states when it comes to beijing, i think business leaders need to
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understand where they sit. they have to understand the reckoning between national security and business that's coming. maria: this is the issue of the day for sure. dagen? >> faye dunaway, bye. maria: thanks so much, everybody. "varney & company" begins now. stu, take it away. stuart: good morning, maria. good morning, everyone. robert mueller has come and gone from the national stage. the hearings were a bust, a disaster for the democrats but president trump is gaining ground. look at this, please. the latest fox poll shows his approval rating on the economy moving up to 52%. as the democrats dream of impeachment fades, the president campaigns on prosperity, looks like it's working. next case. ouch. tesla takes a giant hit. they're not producing enough cars, they're not selling enough cars. the stock down a whopping 11%. question, can a stand-alone car


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