tv Varney Company FOX Business September 6, 2019 9:00am-12:00pm EDT
we've got a jam-packed show on monday the founder of pa johns here join me in his first interview since stepping down as chairman and ceo of papa johns exclues there to talk trade and economy thanks to great panel today . have a great weekend let's get right to stuart and company. >> this is what the market wanted. moderate job growth so the fed won't hesitate to cut rates. this is what we got. 130,000 new jobs. unemployment rate stays the same 3.7.. wages up 3.2% over last year. i'll characterize this job report as follows very modest job growth solid wage gain and for african-americans ever recorded 5.5%. larry kuld low is on the show later we'll see what he's got to say all right here's the markets reaction.
i guess investors liked what they saw the dow is going to be up what maybe 80 points after whopping great gang in last two days same story with the s&p up about a third of one percent. the nasdaq is going to be up a quarter of one percent. as of now by the way all three within a breath all time record highs. the political news of the day, my opinion good news for democrats howard shuttle starbucks billionaire will not run for the presidency so anti-trump volt will not be split and it will be a straightforward election between mr. trump and the left. on today's show is america the best performing economy? will the market hit new highs we're very close and yes, larry kudlow with the view from the white house. "varney & company" is about to begin. >> yes we will have more on jobs
report in just a moment hold on few birse former starbucks ceo howard shuttle will not run for the presidency he had a statement what did he say? >> here request this is what he said, quote, not enough people today are willing to consider backing an independent candidate because they fear doing so might lead to real unique dangerous president. i think we have the -- there you go. i'm also concerned that far left policy ideas being advanced by several democratic candidates will outer if alienate voters who believe those ideas will inflict more economic harm than good. so he's consider concerned that democrat party has gone too far left and he's going to siphon up votes from the democrat party and back in january announce a sin tryst independent at least considering he said. also had like three back surgeries in recent months so he's not exactly fit either. that we didn't though. but it is not. a health component but that's
why. >> bring in former ceo himself again my reading of had is that the anti-trump vote in november next year will not be split. you with me? >> i am with you on that. i think it also could help republicans, though, because there may be some republicans who are more moderate and a little offput by trump who might have voted for shuttle so pullings out third party candidate hard to say what impact that -- anderson had a big impact in rage began election back in 980 hard to say whether had that impact but help democrats he's right now. >> back to jobs report that's a big economic news of the day. 3.7% unemployment 130,000 new jobs participation rate up. andy again, i characterize this as very modest job growth perhaps constrained because we don't have enough workers qualified to do the jobs. a nice rise in the parption rate, and a record low for black unemployment 5.5%.
am i going wrong anywhere? >> you're absolutely right and a lot of numbers indicate that -- there is a shortage of ploaf. number one we've seen 3.2% wage growth 13th straight month where it is 3% or better. that indicates that work -- that employers are for works earn labor participation go up 63.2% over the past five, ten year that's a pretty good number that's a number l that we haven't seen since priority trump since september of 2013 so you're pulling people back in. wages are going up. so i think we're in unemployment staying low so i think we're seeing a sweet spot. you talk to people and work done on a home i have a guy asking me if i know people who can hire to do work on my house they can't find workers. >> it is a solid report let's not tack it separately the average is 150,000 jobs in a full employment environment. i think that's very impressive i know you want 500,000 but they get to a point where you can't have that money and then wages
to andy point become important about participation. >> for the wallet. can i have it? quick word -- accident actually we have the ism number that show contraction shrinkage and lay the floor of what they're doing. >> 25% of everybody that's unemployed got a job that would be wonderful number. >> i want. i want it. let's get to jonathon now he watches the market for us. does the market interpret these jobs numbers? a positive way? sure looks like it we're up 08 on dow futures. >> sure does it stuart had a little bit from before the number was released but market seems to like it and has anticipate the good numbers for a number of days now. just in the last couple of weeks you've seen wal-mart you've seen at&t you see coca-cola utility stocks, all hitting new highs so
the market seems to have a bit of a lift here as you pointed out just a couple of percentage away from all time high let's not forget these jobs numbers although good are backward looking and market is forward looking. so take a piece of advice from alan and earlier this week talk about watching the market as that perfect recession indicator so when you see for example stocks like über stock like lyft trading at all-time low or we work that company public having evaluation slashed in half there's reasons for concern. but the fact of the market likes this number and so close to all-time high suggest that momentum is starting to turn up. stuart: that's what i'm getting to if we're close to all-time highs and we are really what one and a half percent away from all-time highs you think we will get to new records? the very near future? >> it is all about unfortunately stuart a to do with washington s wall street just as number that came out of, of course, president trump was tweeting
about jerome powell starting affect to where did i find this guy? you can't underestimate and the the president is right. the market would likely be significantly higher if not for not just the trade war. but all of the intervention all of the tweets on trade on the fed. what that does is destabilize investor willingnd to put money in the market and i think he simply let it be and great american business continue to produce, you can certainly see this market move higher. >> okay we like what you're saying. see you again soon. couple of individual stocks moving. solid numbers at zoom. but it is still down, probably more to do with wall street expectations. it is sending down a fraction. again a retailers better sales at lululemon those things 198 dollars share. i remember when it was down and what was it, 40s on 50s or something. and had trouble with see through pants i don't know. nearly 200 a share up 5% today. we've got a rosy forecast from
the footware retailer look at it go, 16% high per clothing retailer -- back to look at it, 11% higher. hey mr. pozner come into this nothing wrong with consumer they're out there spending big time. >> i would be interesting to find out how much of the supply chain for companieses that's going up is based in vietnam opposed to china. so that may not be that impacted or may not be -- but the consumer struck with with 4.7% in second quarter that's the second high fest number since is 20034 7% growth july was very good consumer drives about 6% of the economy this is very positive for mr. trump in the american people. >> let me sum it up as where we are so far modest to solid jobs report. a rally on the stock market, the consumer clearly spending a lot of money. all right move on. facebook and google, they are facing antitrust probes in texas and new york. different probes i think.
>> different probes that's right so on monday according to "the wall street journal" and reporting, it look like texas ag will be leading three dozen other ag in former launching antitrust probe into google and what they're accusing google of is way too much power when it comes to digital marketing the joe see about 70 to 80% of the market along with took and oversee 90% of the global search on internet so they're very powerful and also just how concentrated all of the power is in one company. what okay let me get to facebook one quickly because we have new york attorney general letitia james heading that one she has nine attorney general onboard with her to look into what's happening with facebook and this is after what had facebook did the fcc5 billion settlement and that was because of what they call deceptive disclosure the account settings so you know, big tech is folks and don't forget back in 1980s yiewrm how many onboard for microsoft just 20 this time around 36
bipartisan. stuart: with such frequently on program always bad pr that comes to facebook and google, has not affected the stock. but look now. we're down 6 bucks on google. buck and a quarter with on facebook, and oars up market i wongd per it is going to get traction? >> i don't know about that buzz we with think by the end of the took and break whereupon for so long it is up 40.this year. >> you're right. 40%. stuart: maybe it is not getting traction yesterday maybe that's anomaly futures showing nice gain thank you very much. up 90 point for the dow 20 odd for the nasdaq and that follows two day of very big gains. how about this one? an american airlines mechanic says criminal charges allegedly trying to sabotage a plane before it took off. wait until you hear why it was so upset with the airline. later on the show o.c. larry kudlow i'm going to ask him about jobs number china trade rate cuts and a whole lot more he's coming up had. high level trade talks with
kate north carolina it is now a 1 storm maximum winds of 90 miles per hour but it has landed literally moments ago and let's to this talk about e-cigarette business we do a lot of that on this program. that is rash of vaping illnesses, congress wants the fda to investigate joule the e-cig customer. >> about illegal advertising sewell suggesting in its advertising of its product that it is a way to quit smoking to transition from combustible smoking to vaping.
and the congress the congressional sub committee says no. that's not true. now what's interesting joule changed its wording bit from quit from using cigarettes to try a healthy alternative now question how healthy is this alternative. all about way they advertise their product is one of the also being investigated for these vape illnesses and in a couple of cases deaths that could have been is linked to the vaping advice we don't know what was put in vaping device bus that was a company and industry under microscoab scope. a full investigation of the whole idea of vaping period. a good thing too. why not? got it. china trade talks big talks are again next month. look who is sitting next to me. china watcher michael pillsbury okay i want you to hand cap this for me. the end of the talks, do you think there's any livelihood of a modest deal just a modest interim deal and agreement to keep talking about the big
issues later? smg well you're kind of referring to what we call in washington, d.c. the stuart varney plan. >> no you don't. not refer to it as that that's flattering. proposed a plan one time i saw it it has been discussed. i'm sorry to say i think the president tweets without mentioning your name he rejected the idea of a short-term deal in favor of who knew waiting even l until after the election. and he's kind of teasing the about chinese he said you know it is a long shot to belt on someone else defeating me you're going to lose you'll suffer all of this pain. in next 16 months and he wants a significant deal because so much effort has been put into this for the first time that it better have legally binding almost court-like procedures. where you feel yourening has been stolen by me. you know, just complain there's an action approach punishment goes if you're shown to be
engaging in violation of the agreement. so a forceful mechanism with a court-like system the ability to sue china, in courts of law inside china which is already done, several other parts of this agreement have to be agreed to by the chinese. that's frankly is what's wrong in hong kong suzanne lee reporting has shown. mr. thatcher got a great imreement that promise universal suffrage someday the china put that in their law in 1990 but no enforcement mechanism. stuart: so bottom line here is, no short-term deal . they don't buy a couple of hundred billion or dallas worth of our foreign products and we drop tariff that's not going to happen a big comprehensive deal or nothing. is that it? >> varney plan has been rejengted. [laughter] >> did they really interpret the president tweets because he's been very clear there were three of them it is a really good deal he's not in a hurry it is cheen ho wants near term deal so you
have support of china for your plan. >> do you think what do you do? do you think there's any chance of a serious good dole a deal that both china and president trump would agree to at end of talks in october? that possible? >> it's unlike but it is possible because of a very important fact. 150 page draft agreement is very detailed and very, very secret there hadn't been a single word of it leaked even though chinese. >> it was rejected no. some things were as we say negatived but fundamental totality of the agreement was not turned down by the chinese. so three sources from the white house who told reuters not too long ago that it is the legally binding mechanisms that changes in chinese law that's the part of the chinese took back not the entire 250 pages that gave grounds for optimism. stuart: it does indeed michael thank you very much. >> i encourage you to come up
with another plan. stuart: i'll see what i can do during the commercial break. [laughter] thank you michael good stuff. all right look at future here's how we're going to open the market this friday morning. 12 minutes from now. we're going to be up about 80 points up 20 for the nasdaqing. more news on fake meat there's an online petition to get wendys with a plant-based burger and thousands have signed it. will this meatless trend ever -- should they slow down doesn't look like it -- got a slam on millennials there there -- >> they think it is going to solve global warming. be sure to stage him for that because we have him on the jobs report and a whole lot more. we'll be back.
at comcast, we didn't build the nation's largest gig-speed network just to make businesses run faster. we built it to help them go beyond. because beyond risk... welcome to the neighborhood, guys. there is reward. ♪ ♪ beyond work and life... who else could he be? there is the moment. beyond technology... there is human ingenuity. ♪ ♪ every day, comcast business is helping businesses go beyond the expected, to do the extraordinary. take your business beyond.
fans we know days taking matters into their own hand when it comes to plant-based burgers eve this a petition here. >> fans want plant based something or another we're looking into it to see if it is viable for a company but everybody else has one. >> they do. vegetarian option burger king has impossible whopper. and now -- about yes. >> mcdonald's does not.
>> not yet. may be looking at it but not yet. if goes beyond meat and plant-based meat it goes to plant-based fake fish. >> you're kidding. >> of a new market tyson foods theys yewed to be meat company now protein company but you know them for chicken everything else. they just took a pretty sizable stake in a company called new way of foods that does fake fish. and they're going to come out some time next year with plant based shrimp usually soy and seaweed in there and crab and lobster i know because when you want to eat healthier you can cut down on meat but fish is pretty healthy. so if you are very concerned about the ocean -- this would be a meal for you. >> you sir pozner you have 25 seconds to tell me whether peatless meat is peaking. >> i know here to stay millennials want this it is a global warming thing. food companies are not if there's a demand they'll sell
and mcdonald's and wendys is there there's a limited supply so they're having a hard tile getting enough out that's a problem at karls and hardies there wasn't enough meat. >> shaking her head suge disan lee says it is here to stay and then >> they say they're looking into it. but i guess you have to have the volume to justify the move. >> you have to have big volume supply. opening mark in five minutes and we'll be up about 80 odd points 19 for the nasdaq for the s&p. moving up again folk pps friday morning, back in a moment.
to the aarp auto insurance program from the hartford? let's hear what actual customers are saying. - with the hartford, not only did i get a better policy and better coverage but i got a better rate as well. hundreds in savings. - [matt] in fact, four out of five aarp members aged 50 and over who switched to the hartford from companies like allstate, state farm and geico, got a lower rate with the hartford. - when i first called the hartford, they couldn't have done anything better. he said were we able to save you some money? i said absolutely and he goes i hear that quite often. - [matt] not only are people saving hundreds when they switch to the hartford, they're getting amazing benefits, like lifetime renewability.
it's the hartford's promise not to drop you even if you're in an accident. - it's a great feeling and a very comfortable feeling to know that i'm not gonna get dropped. - [narrator] drivers 50 and over can save hundreds of dollars when they switch to the aarp auto insurance program from the hartford. to get your free, no obligation quote, call the hartford at the number on your screen or go to the website on your screen. - [matt] did you know that the hartford has the only national car insurance program endorsed by aarp, in fact, they've been working together for over 30 years. not an aarp member? the hartford can help you join in minutes. - i would recommend the hartford to friends, relatives, anybody. - certainly when we needed them, they were right there for us. it was pretty impressive. - [matt] see for yourself why 96% of customers recommend the hartford, based on their claims experience. - try the hartford, if you don't, you're missing out. - [narrator] to get your free, no obligation quote
and see how much you could save, call the hartford at the number on your screen that's the number on your screen. or go to the website on your screen. the buck's got your back. one of the mechanics of american airlines charged with sabotage tell me more. >> scary situation so this mechanic was based at miami at the miami hub for american airlines, and he's been charged with sabotaging live flight for 150 people onboard this flight was supposed to fly from miami to nassau in bahamas apparently what this gentlemen was it octobered air data module system what that does is very important by the way because it tracks speed, it tracks the height of the flight. and it is very important for fly the plane. luckily, the air pilot noticed that there was error message
aborted take you have and he wanted more overtime. >> to delay the night so he work more overtime. american airlines is in contract negotiations with 12,000 mechanics. what a situation. 9:30 friday morning off we go we're up right from the get-go. not that much. it is a 60 point gain as we speak but that takes uses to 26,780. that means we're about what 500 points from all a-time high so we're up on the dow how about the s&p. i'm sure we're up a little bit there. yes we are. not not much three point that's it and nasdaq composite that is -- well virtually flat. 7 points high per on 8,000 index. now look at this. the yield on the tenure treasury hard to believe this. 1.56%. earlier this morning it was 1.60 but 1.56 way above where it was last week. to use that 53. gold where are we on gold we god
at 1532 up 6 buck this is morning get together with andy pozner david dietz sudan lee ashley webster start with the jobs report. david, your reaction please. >> happy with it. i mean you were at a 367-year low in terms of the unemployment rate the labor participation picked up which is a good thing. year over year wage a 3.2%. i think this particularly heartg for me getting ratcheting up of the trade crisis and interest rate down by a half had of a percent in august. what is that telling us that u.s. customer and economy staying reasonably strong. >> andy pozner your view. >>s that absolutely right i think it would be stronger if there were more employees available to hire. i think we're having -- businesses are bumping up against inability to find employees. which is why you have 1.3 or 1.4 more million job employees and people unemployed. >> private sector and 90,000
jobs opened and weaker in 019 but that goes back to trade war right, and -- >> this is modest job growth in a clearly slowing economy. had which is concerned about china trade. i'm going to sum it up like that larry kudlow is come i'm sure he'll say it is solid see if he agrees. >> that doesn't deter from cut fed rates expect two by the end of this year. up 52 points now but fractional gain for the dak take a look at google from texas and new york antitrust concerns. no efnght on the stocks thus far, though. >> already been effect and one story that's not been covered is fang names are underperforming and market up 3.5% banks are a little bit under other than microso the so i think investors are kind of incorporating a
splieghtly slower growth and although you know historically these probes move so slowly that by the time they reach a conclusion the landscape is completely changed. >> that is true but on the other hand it could affect the cfo saying should we make this acquisition or go slow? >> having some bite look alphabet google down 7 buck i know that's not a lot and facebook is down a buck and a half. >> stocks rally up double digits 40% so facebook so this year calling for doom and gloom. >> my conclusion is this. if the government makes them change their business model. so they make less money. that stock goes down if they don't touch the business model and takes ton of money those stocks go up. ann and i were with discussing this and state attorneys don't have that much and breaking up the companies there's an antitrust probe by the doj into google right now and if they go ahead had and acting that might be a big problem. >> that's the threat. >> these states and stage is attorney general files he's not the federal government to really
take -- very substantive action with respect to the companies they want to check. this is like a harassment lawsuit they want to check at the end of the day. >> okay want to move on to unicorn worth a billion dollarss start with zoom video communications they put up strong numbers the stock is up about 4% . zoom has more than doubled since april since april debut it was earlier this year. look at share price of über still underwater since going public. über is at 32 dollars a share. look at lyft. pretty much the same story. still underwater, we have them at 45 dollars share. as of this morning -- pin interest that stock is up -- what 50% since its april days beau that's done well and it is up bit more this morning and then, of course, always beyond meat. that thing just keeps on going up. 500% up since going public in may of this year. do you buy any of those ipo's
here. any of them? >> so -- no. [laughter] i mean with here's what we're seeing here is i think we're seeing market shifting to reflect some slowing of global growth and so what we're seeing those are are outperforming and headlong in stocks aren't making any money profits are going to be off three to four years now. >> so that's a part of good ipo from bad ipo and how much money they can make? >> pricing i think because lyft went 60 bucks in change and über did same thing around 40 but do you want to be holding the bucket at the whengd the earlies investor cash and made all of the money so you have late stage ipo buyer. you have to think whether or not -- it is like trade? >> where do you think it is going to go? >> i buy über at 32 a share but for what it is qort if i would like to buy that thing. go along with that stuart because über controls that
market and basically people need transportation from point a to b and biggest branching out into like food delivery other ways to make money i think über is horse to bet on. >> okay, by the way market has turned we opened with a gain of 50 or 60 point i think up at the opening bell now up 4 i want to call this absolutely dead flat. bitcoin where is that this morning? still 10,800 a coin, and oil i think is at yeah 54 down two and a half percent there. down a buck 40, 5489 the, and price of regular gas nationwide still average it is look at this 257 we haven't moved since the labor day weekend. then we have apple -- they're going to roll out new gadgets well that's not gang etses is not the right word i think. new iphone sing more accurate i don't think of an iphone and gadget i'm not a gadget guy and i have iphone so they roll it out on tuesday. we've got all star tech watcher
gene on the show of it later on tell us what he thinks of the new gadgets. look at big tech. not doing well this morning. apple is up is it 213 a share that's apple that's doing -- look he just turned mow it is down a fraction. but still at 213 amazon, facebook welcome google microsoft, all on the downside this morning. let's get to retailers. some of them are reporting really nice profits. first ofapparel retail make or a rosy forecast that helps up 1%. same story with clothing retailer zoom yis up 8.5% and then lululemon big gain in online sales. that stock is up what 50% this calendar year which up 31.on digital sales also men apparel you think of this as men apparel is up 35% which has been a key driver they also beat all of the estimates and raise their four-year outlook that was a very strong report. it was.
i just look, i remember when lululemon was way down there. yes but all kinds of problems ceo said some furniture thing. see through pant now look at them. >> wearing these type of -- what are they doing right? what are they doing right? >> digital sales are doing really well and men are buying stretchy yoga clothes. not only -- >> 35% and double online sales. and men sales in five years annual revenue growth men international revenue by 2018. >> growing interfacially as well. that's a great opportunity for them they're in the right category at leisure to wear fancy sweat pants everywhere they go. having said that from investment point of view is now over 40 time earnings so i love the company be careful of the stock. >> okay. i'll be careful of the yoga pant. please. [laughter] >> please it shall for the younger crowd. [laughter] >> no.
no -- don't even -- >> better control myself here. >> please. two more retail bright spots for you big bricker a mortar storeses and wal-mart is at 150 a share. is this the consumer strong, the economy strong? and up go the two one of the two, two of the large retailers of the country is that? >> the consumer be very strong and has a big impact on this. i think also a wal-mart may be getting a little bounce from some of the reaction that had to shootings recently and china just had a huge opening in japan. they have a close the store down and too many people there. >> it was costco opening in china. in china. they signed up you know you have to sign up for a subscription of some sort at costco they signed up 139,000 people on day one. >> close after six hours this is because of all of the discount they were giving away. you know only product apparently
that people were not grabbing for -- the liquor they drink this china if so they weren't buying liquor but everything else they were just grabbing for. >> so when does -- a stampede when does sames club open in china? >> they have a few locations already open. >> chinese version. business molds is a real ander everyone wants subscription revenue, of course, they make money on selling memberships moving to web and wal-mart and reflects work and conservative market out there. people are going to safer place to larger wal-marts and costco almost like consumer staples you've got to go there to fill. >> they make most of the costco, makes must of their money on the subscriptions the memberships that they sell. >> the cost which is why they have a cost in subscription but 25 whatever it is per -- per year for memory that goes straight to bottom line and making their money. >> they've got millions of people signed up for membership
i don't know the number but it is in the millions i those. a great business molds now i'll show you altria why are we showing you altria because it is a big investor in joule. and congress wants fda to investigate joule. altria stock is up but -- >> they're being investigated on a number of levels this particular one is on what they being accused of illegal advertise chg they've already brought back basically saying this will help you quit smoking if you go from regular cigarettes to e-cigs that's strict isly not true they've changed wording a little bit to go for a -- a healthier alternative. but you know, the congressional sub comets want more enforcement from fda and investigated for what are these in these thing and what affects can they have and we've had 200 people put in hospital because of various problems. so, obviously, needs to be investigated that's what's happening. >> i can't see the day coming
when they'll ban vaping devices. i can't -- >> michigan was was first state to ban the flavor cartridges. whole idea, concept of vaping which is a pretty good way of getting you off smoking tobacco i can't see them banning that mechanism -- when had gets you off the tobacco. need to get in there a little bit see what's going on. a limit to how much you can control who gets that product. as it a limit to how you can control what they can do with the product you understand you get a vaping device if you want your own stuff in there to better -- and that's what's happening. how do you stop that? >> fda is more concerned about younger the teenager -- about graying vaping devices getting hooked on them. >> but is it joule somebody hass gone to identification process, at joule is saying id systemses put in place where no one under 21 can get ahold of these things. you wonder when company will go public pardon me private right now. it is a fast unicorn to get
through 10 billion but regulatory risk you wonder -- >> what they'll do with vaping devices. more you ban, more popular it will get. >> that was true with marijuana last 40 years you say it is illegal and kids want it. >> that's exactly right shall we move on? ivelg yes. we've got a dead flat market. okay modest gain in jobs. dead flat market, 26,700. let's get to target. the retail chain. they are demanding that suppliers eat the cost of china trade war tariffs. gerald back with us he's former ceo of countless retail operations toys"r"us included i don't know the number gerald but it is a big number of stores that you've run. is that correct? >> yes, sir. stuart: i thought so retail leers do anything to avoid passing cost along to consumer
is that where we are? >> discuss this many times, stuart. the -- it is time we get past complaining about the tariffs and work harold and manage them. certainly it creates uncertainty but a lot of that uncertainty is self-imposed when you work a problem, then you find solutions. so as we discussed, a retailers are going to put pressure on suppliers. to reduce their prices and they're going get a lot of confessions large retailers like wal-mart, amy dison they get a lot of those confessions we go from move production elsewhere our job is to manage this. and stop complaining about it. and again as we discuss many times i do not believe overall effect on u.s. economy or on consumer will be very large from this. i think it is grossly exaggerated and we've had sort of hysteria about this i'm not saying it is good or bad or indifferent not doing the negotiation i'm saying it is time to move on from worrying it be and start managing it. >> okay. let me talk to you about costco we've reported it that they signed up 139,000 new
memberships in one day when they open their store in shanghai. that is a very big number costco seems to be redoing extremely well especially in china. tell e me. >> they've always done well they're a retailers retailer as we've discussed a short list of retailers doing well in any environment. and provide a tremendous value to the the customer i don't care what you buy, you can buy it the least expensively at costco it is by far undercut the markets place and every single product that they carry it is an awesome retailer an they find great things they appeal to all income strike and may not believe this costco is higher of any retailer go and look small business poem and merse mercedes in the parking lot that works all over the world including china. people in china are lining up to shop at costco because they're brilliant rear doing awesome job
i shop there all of the time. >> but membership molds that's very important is isn't it we were discussing it a moment ago where do they make most of the money and membership fees that you pay to become a member of the costco family, so to speak, that's really where they get most of their, really? afnlg big part of the profit but they have a small single dig l major son make money in multiple places with a credit card, you know arrangement with -- city corp. with visa card. they make money in a lot of different places but at the end of the day economic molds works. it has tremendous throughput and positive cash flow think about all of the process working through that system and cash that generates when is they sell it before they pay venders so a brilliant operateing model. the best at it by far, you know throughout the ages other people have tried. bj does a decent job and went public recently interesting company to look at.
wal-mart has a sam's club division okay but always been second fiddle to costco think about it. no matter how hard they try at wal-mart largest retailer they can't be as good as costco is. >> in my opinion the three best retailers in america are -- wal-mart, costco, target. would you add any to that list or take any off that list? >> sure. well as always on that i would include those target shareholder get by heritage but add amazon it is amazing brilliant more and more third party sellers so they're making money even when third party seller isn't making as much money so brl i can't marketplace molds also dollar store dollar general is brilliant company doing amazing offerings value every day. t.j. maxx is worth more than target. you know think about it -- t.j. maxx is department store industry. you know, the parasite eating up
the host wait -- >> t.j. maxx is worth more than target and the market capitalization is it is more than target? and more than all of the dpght stores combined? really? >> all of the traditional i think 60,000 billion dollars it is more than -- youd a they will altogether. nordstrom mesas dillard's, you know j.c. pennieses sears worth nothing it is nothing compared to market and why pay department store price and consumers said you're right i'll go to you instead and taken on awe of the share, and all of the profits out of the industry. sm my producer put in my ear what was that then t.j. maxx 67 billion dollarss. in market cap value, versus 56 billion dollars for target. that's extra i did not know that. you know gerald you're full with information along with my producer by the way. pretty good that's pretty good. anybody else that you want to add on to your list of -- >> you have to put home depot up
tremendous retailer different sector but ding a fantastic job. i would add vertical you saw lululemon job today. whether they're doing i also like nike, of course, both a manufacture and retailer many terms was vertical can succeed succeed and sell product in any economy no matter what happens on the internet because they control the distribution in their product. so no one else can sell it on internet and undercut prices and vertical companies and luxury companies embrown which you can buy there and you know they're often on the exchange like chanel someone like that these are amazing companies as well air -- a sub of that company trade and vertical companies that control distribution or value companies home depot et cetera. >> i don't know what you're doing these days gerald but i would like to ask -- given your druthers like to go back to run a retail operation again? >> in the right circumstances it is always fun to be in the game.
>> what's the right circumstances? >> well you have an opportunity to make a difference it is always to play a lot of people. take on this broken and something fix it or take a student loan and make it better it is a lot of money. >> you're all right you with really will thanks for being on the show we always appreciate it. great stuff today. >> my pleasure. >> harley-davidson rolling out a line of bicycles. what? are you kidding me? >> bicycles electric bicycles reveal them launched at dealers meeting in milwaukee no pricing no release dates these are prototypes but this was a big market u.s. bike sales tripling in a past two years and 176 million dollars over the past 12 months is a growing market. and given that -- you saw harley-davidson there user base first of all is aging. and also tariffs are hurting their bottom line. the only deliver 69,000 motorcycles in the second quarter that's down 5% from the previous year.
and that is the trend right now for harley-davidson unimportantly because bikes are too expensive and not a lot of people are buying them. >> i'll break into what i might call regular broadcasting with us right now from berlin is american am bees ambassador, and a friend of this program. mr. ambassador angela merkel is in china right now. and you want her to take a hardline with chinasome is she going to do that -- do you think? >>well we hope so tried to make clear is now that now not the time for business as usual with the hong kong protest, i think with president trump sepgding very clear message that now is the time to take on the chinese and to stop this market manipulation, stop all of their -- their i.p. theft. all of the things that we know that they do that don't follow the rule of law, which by the way, stuart would benefit
european companies, german companies if we could fix this. to see the chancellor take a group of business leaders to china and signal business as usual i think, it is the wrong time. >> but is it possible that she's undermining america by going to china with these business lead percent and perhaps undermining our strong position in the trade talks with china? >> well, look what we've tried to say is now is not the time for business as usual. we also know i certainly hear from german ceos every single day, that the chinese communist party constitution says specifically, that any research done in china must be turned over to the chinese army. and the chinese military. so it is a very dangerous prospect to bring companies over that are going to talk about artificial intelligence immobility, all of the things
that are heavy on research which is what the german ceos are focusing on while they're there. i think it is a dangerous time to ig e mother the fact that the chinese ignore rule of law. that that nip late wto we think it is a mistake to include china in the wto so fight that trump is making, we think that europeans should follow because they will benefit from it. >> you are america ambassador to germany i understand that our relationship with germany is not exactly smooth. there's a little bit of hostility in the relationship. is that accurate? >> i don't think so . i think we're confronting issues that have long been simmering certainly the defense shared defense capabilities is a big issue that's a bipartisan issue. the last administration had the same policy that we do. we're making more progress this time i think president trump is being tougher, he's being more
stringent and being someone who is demanding action, and so we've a hundred billion dollars for instance increase in europe and in canada towards defense spending. that's unprecedented wouldn't have been done if it weren't for president trump tough stance and confronting these issues but make no mistake. couldn't peel us away from germany. the american german relationship is incredibly strong we've with got companieses in germany that are based in germany like bmw so what i try to do is really go to the german business community, the business ceos, the leaders of capitalism they understand the importance of the relationship they understand that there's an energy in the united states that they need to be a part of. the growth, for instance, is unbelievable, and i will say as
germany's economy is beginning to show signs of slowing down, the german export to the united states have increased during this time. so it is not the united states's fault. actually we're helping the situation. >> you're right in the middle of europe. and britain is trying to out of european brexit. no trade deal until the brits get out of europe and then do you think we're going to have america has a very is strong trade deal with the brits? >> oh there's no question we have a special relationship with great britain and we will always have a -- a incredible easy trading relationship with the brits. i think when it comes to parkine european union there's some pain certainly we see it with medical devices most of the notified bodies, the bodies that approve the process are located in the u.k.. and so those are going to have to all change and they're going
to have to come into traditional ement u. so we're going see some l growing pains within certain industries but i think that -- america's relationship with europe will always be strong and america's relationship with the u.k. when they leave the e.u. and we have brexit will be just as strong as well 2378 >> >> mr. am bar dos thank you for joining us always appreciate it. back to the markets. now we're up. not a whole lot. but we are now up 40 point 26,769. walgreens, cvs latest companies to make changes to their gun policies. christina at the new york stocks exchange what are they doing christina? >> welling right now they're listening to what the course online is doing if you check groceries not guns that hashtag is trending online so seeing a lot of retailers that are stepping up to the plate or joining the course in the national gun debate so you said, cvs we also walgreens asking
customers not to enter any of their stores carrying any firearms unless they are an official law enforcement officer. and this comes just two days after you also have wal-mart as well as kroger all joining national gun debate seems to be consensus they don't want customer walking into stores with guns, and it is not just them you got on that list starbucks target pennsylvania pt back in 2014 wendy as well so some of these retailers some of the people online believe that government is not coming to plate so at least corporate america is doing so. back to you stu. >> christina thanks very much indeed i want to bring andy pozner in this debate it seems that retailers businesseses are mooing towards a position not antigun position. but they're conforming with their customers who don't want open carry in the stores. how do you see this? >> two things one is they want to meet the customers demands what their customers want about and customers want fewer gun in
stores what retailers will do and sitting behind a big desk and chair and saw it recently with wal-mart when you go home if there's a shooting in your store and you see your wife and your kids you may want to rethink that policy i know people have been shot in a hardy or carl's jr. when i went home that night, it would have troubled me and when you come back in the office the next morning you want to try to do something it be. so i think that they're meeting consumer demands adjusting to what they feel is the right thing to do in the circumstance. >> i have to say that i spend a lot of time in a county in upstate new york when is open carry that's it. you want to walk with around with a gun you can i've never seen one. >> same thing in tennessee. tennessee is carry and i don't see people with guns. i don't see it fast food or store or grocery store, never seen it. absolutely never seen it. never. >> right. and i'm looking out for it to be honest with you because i'm interested in had it. a guy who is born and raised in
england no handgun and long guns for farm that's it. america is fascinating and i look for it. and i never see it. so -- there you go. i have a number for you this is for you again. [laughter] the national association restaurant association says, industry sales hit a new high. 863 billion dollars worth of restaurants sales this this year. does that surprise you you're a restaurant guy. >> it doesn't surprise me people want to eat out and i think now with delivery services, it's even easier to order from restaurants than it was in the past. you've got something like über eats or door dash. i use über eats at home in tennessee. >> you do? : i used to go out to restaurant more regularly. now we're actually eating from restaurant more. but we're doing it out of über eats so i think -- i don't think it is all surprising that restaurants are -- >> i'm shocked absolutely shocked. plus more people working they're making more money that would go to the tax cuts and more money. in their pockets they have more to spend. reflection of a great economy
and how both parents are working and don't have time to cook to stop on one of the great restaurants on the way home. >> don't have to stop. don't tell me consumer is not out there spending money 863 billion in restaurants. how about that? here we go it is 10:00 eastern time. 7 in the california washington oregon. coming up, we're going talk with harry kudlow the latest jobs report we're going to talk about that 130,000 new jobs added unemployment rate steady at a 3.7% wage is up 3.2% over past year. in my opinion, it's a modest job growth that was reported today. let's see what larry kud load has to say about very shortly. as for your money well we have a modest gain for the stock market as well. we're up 43 points for the dow industrials. 26,769, what about 500 odd points 600 from all time record closing high. couple of individual stocks go back to them because they're moving lululemon 200 a share.
up 6.7% . the apparel footware retailer that is up nicely on a rosy forecast. a 17% gain now. okay, larry kudlow coming up i believe we're trying to mic him up as we speak in the meantime market watcher john allison is with us all right john let's talk jobs. i characterize this as a very modest job growth in a clearly slowing economy. that is a little upset about the uncertainty of china trade. where am i going wrong? >> actually you're completely on the mark stuart. i think if you know 130,000 compare with last couple of months asmg of about 150 plus thousand so yes it is small. it is particularly slower in the private sector . less slow in the government sector. it is partly distorted because august is a weird month that you add census workers but people are not working as much in august so i think your bottom line you're correct. >> okay three -- again we're going talk to larry
kudlow very moments from now. about this jobs report but back to you for a second three major indicators dow, s&p, nasdaq they're all extremely close to their all-time closing highs. seems like market want to go up and beat those records. you with me on that? >> you asked me that the last time and i said to you yes the market want to go up and the bsh but what's con straining it as i said the last time i rarely say these as strongly as i say them now trade war with is definitely a very and feel okay but a cold is coming on the cold is manifesting itself in exports being down substantially in the ism with numbers being done and so on and some are saying consumer is strong unemployment is very good. so there's this kind of
bifurcated market and i really do these things so associate but seemingly simplistic way is to get a trade war behind us maybe it can't be behind us but i think that would make a huge difference positively. ivelgt we cannot go up go up substantially in terms of stock prices unless we get something out of the china trade talks. like a modest deal, for example. >> i'm putting myself on the line and saying that. yes we can go up a little bit. yes we can have a little bout of optimism but if we want to get something more substantial where people feel the fundamentals are really a tailwind in their favor, then i think you've got to get this -- trade war deal done in some way. i think it is possible it is not easy, obviously, but it is possible. >> qowld it have to be a full scale trade deal where all of the major issues are tackled as opposed to a modest trade deal they buy more of our soybeans we drop the tariffs.
age good deal right now given all that's happened a small step is forward or a couple of small steps forward, with real work done on the big or issues. i don't think you can wrap the whole you can't write war and peace on trade deal next couple of months but you can write the first chapter. >> okay let's see what had only time will tell you don't say that. only time had tell. you don't say it but i said it. >> but it's true. that's the problem. [laughter] stuart: so true i like to be declarative but you can't always be that. you're very right thank you for being with us. : all right. thank you. stuart: wall street journal that federal reserve might cut rates by 25 basis point. that's what "the wall street journal" says. look, i think that today's job report yep -- supports that point of view. it changes if it was a blowout report -- i don't think we're going get a rate cut. >> i agree. there's a lot to like in this report.
you know, we have a labor force participation up over 63%. you have also average hourly earnings also higher as well and length of the average workweek also increase, you know if weerp in a slowing environment and jobs were being lost you would see workweek being cut first right? >> good point i'm sorry still with us. are you still there. he is still there. okay. are you onboard with this? the the feds going to cut basis points. yes. i thinking that fed will cut 25 basis points, and actually i thinkst there a chance i wouldn't say it is 50% but getting closer to cut 50 because of the slow growth that a you have talked about earlier and part of this hid hadden iceburg that i mentioned to you a while back which is that there's a lot of almost that 3800 plus billion dollars of net new government funding that has to be done in next four months that would be helpful if rates were at lower.
>> okay are we being force foods lower rates because in europe you get no interest at all but if you legend money to government they don't give you yours back that would seem to be forcing our rates down. nothing to do with our so much as what's going on down there? >> i don't buy into is that stuart for simple reason that europeans have some very difficult problems that we don't have. they have a serious growth problem, as you know they've had had some very serious government funding problems in spain and italy and spain is now, you know, basically under control in italy sort of under control. europeans have a much tougher e road and that's reason for negative rates and they have fewer levers because european economy is funded much more by debt than equity. as compared to ours which is much more by equity so i think it is a different animal. >> okay. john again, thank you very much indeed for joining us we will see you again soon. got you. thanks. >> more on jobs report, big deal
you know, paul con way with us former department chief of staff all right paul. you know what i'm saying that it is -- a very modest rate of job growth in a slowing economy. and we're slowing because of worries about and the uncertainty of china trade. tell me where i'm going wrong. >> actually i don't think you are. i think for con text it is important that -- it is a modest report, but i would say this also that it is not volatile so if you attack a look at a lot of reports leading up today folks are predicting level of volatility and not where we would like it to be it continues to show in the details of the report that fact that -- the economy is a vacuum cleaner taking people off the sidelines, and one of the best indicators of that stuart, of course, we've talked about this many times before is the employment rate of those who are disabled americans where they're finally get back closer to being in arena where they were for participation rates in 2007 and 2008 which is
a very strong indicator of a king thely. ing economy. >> so the problem seems to be we've got lots of jobs available. but we can't fill them because we don't have qualified people. to fill them do we need to increase immigration, for example? >> well, look i tell you one of the things that's going on in work force in the the former secretary, and others have talked about this a great deal is they're recalibration of american work force and thes investment in new skills about and you are continues to see u.s. employers do that. with new technologies adapt technologies, for their employees and i think that's a positive thing. i think that is part of what the mismatch is, and the other part is, sometimes you have regional strengths and you have employees that are available and other regions people haven't made the move yet. and that's another thing that i think we have to keep in mind especially as conservatives that you want to see people go where the job are and sometimes that take some time but that's happening over time. >> i may be a little --
upset not upset. but i would like to see far more job growth and love to see 200, 250 thousand new jobs last month but we have 130,000 i wrap it up and it seems to be a pretty strong economy, this not over heating, it is slowing down a little but not that much. i'm not going to call it a gold lox economy but it is pretty close isn't it? >> it is look for unemployment numbers for those americans who are suffering for eight or ten years trying to figure out whether or not they're degree mattered whether or not they themeses had any dignity left, you're solving a lot of different problems with consistent strength in the economy and that's a good thing. but you have this issue of china. that's got to get resolved in america favor in ally favor with a strong hand and then you also have this issue with the train is starting to develop for 2020 and key question is going to be, how are you doing? how's your neighbor doing and your community doing in terms of employment versus a narrative of
the road to being put out by a candidate that will oppose the president. the focus has to be on continue employment and continue private sector growth and removing barrier to that had is includes antiregulatory stand point continued from the white house. top hedge fund manager who says that there's a 25% chance of a recession by the end of next year. where do you stand on that, paul? >> i think you have to monitor that closely i think there's a risk of that and that's why -- the close handling of the china issues very important. because i think one key strength in here is consumer confidence and you must maintain confidence that's why i think that as much as we're tangling with china it is incumbent upon administration to explain to american people why we're doing that and why we're actually having disagreements with the chinese in dealing with some of these issues that are long standing issues so people have context for that but it is there a recession concern i think there should be and i think people should watch that and again take
a very strong look at what are the prieflt sector, encouraging more growth and creating more jobs and continue to be aggressive in removing those and not debt gracted. paul, man who always joins on jobs friday and he joined us again today. thank you, paul good to see you i want to digress and wait for harry to mic up and get on camera for us and ask him all about jobs report to china trade all of the rest of it let me digress away from money for a second. because this was very interesting political development today. howard shuttle is not going to run for the presidency. and he put out a spaiment ashley i think he's saying didn't want to be guy who splits the nontrump vote. >> that's part it have let me read you statement if i can. he says howard shuttle not enough people today are willing to consider backing independent candidate because they fear doing so might lead to reelect uniquely dangerous incumbent president he got that shot in goes on to say i'm also
concerned far left policy ideas are advanced by several democratic candidates and that will further alienate voters who believe those ideas will fin applicant more economic harm than good. so he's criticizing how far left many of the candidates are going for on the democrat side he's also say he's worried he's going to siphon up votes to allow president trump to be reelected. i'm sure he got an enormous amount of -- please don't do this because to you do you'll give election to mr. trump. >> correct so this is a win for democrats because anti--- nontrump vote is not going to be split got it. next case is, protests oh happening now. in hong kong what have we got here? >> taking place in district as you see fires are being set. and it is being basically these protest and confrontations taking place at prince edward subway station. that's in the calen district why is this significance? this was a subway station where you saw basically this viral video of police going into the
subway cars to basically hit and beat up some of the protesters. so again, this is another flash point and it is this weekend we're expecting 14 the weeknd of protest so far we're looking at about rubber bullets fired here at prince you see protesters hurling molotov cocktails tear gas has been fired reportedly. and you can expect another weekend of unrest. so the withdrawal of the extra bill did not stop not for protest taking place barricades on fire, that's a pretty serious thing in hong kong. >> it doesn't appease these young protesters right. i think the confession was aimed at tries to get and win more support for the majority of hong kong people instead. >> does it therefore raise odds that the police will have a more vigorous crackdown if they can isolate those people who have set fire to barricades the violent group? that they can isolate them and
leave the peaceful people in place maybe that's what's going to happen. >> a very good point i would say if they win more sport from the majority of the resident in hong kong, i would say probably the government does have more, more support in cracking down on, you know, the picture. as i mention to you you know most of hong kong they don't want us to characterize the city it is a very safe, civil city and, in fact, you know they also told me in hong kong the residents there they spoke to and some of my former contacts, they say we want international broadcasters to tell people that it is still, you know, life still goes on in the city people are still working they're going to their jobs they're going shopping, and shopping malls. this what you see on your tv screens is not the average daily life of the average resident and everyday in hong kong. >> it is one likes to see youngsters trying to preserve an element of freedom which they
thought they got from the british handed other power to china. you want -- i'm on their side you know in terms of liberty and fighting for their freedom with and no question about it what i don't want to see is become a violent place. >> into the island nobody wants to see that. i don't to see that. right no one does, of course. but i should point of pingt theg place at the hong kong airport once again last weekend you know they blocked the roads web and trains, into the airport that caused massive delay. let me ask you how did you get out? you left last weekend. >> i did. that was -- that was planned for saturday so i decided to fly later and thankfully i was a toibl get out. but there was a worker strike taking place on the day of leave. because they wanted people to show their support for these ongoing protest so -- the flight was delayed a few hours because catering staff, walked off the job and supports of these youngsters. it is not having any effect on
our markets i've often tried to link the events in hong kong to our market and frankly there is no link at the moment. i think there's a link in terms of what happened with china trade talk because i would say because of the ongoing trade war that actually forced staging to make that and it doesn't make confessions when they hold a lot of cards in this hong kong case. and if they actually for once actually blinked in terms of say okay wreel withdraw officially withdraw the hugely unpopular extra extradition and fight all fronts right? >> hard to see beijing making any other confession. >> they can force carry to resign but highly unlikingly because the protesters simply demand free vote to replace her. >> on sunday i should pingt out a protest in front of the u.s. consulate. in front of the u.s. consulate by whom? >> protesters that's planned right now on sunday in hong kong so reason i suspect is because
they want to get the attention of president trump. and the administration help us in our fight with the beijing government and get our freedom exactly what you enjoy in the u.s. right which is -- free speech, free assembly right to vote due process, all of the good stuff. >> we did see the american flag paraded down the street a couple of weeks ago and we did hear some of the protesters singing the american national l anthem had. and seen all of that -- yep if that whats again it be that's like red rack to a bull. you fly the american flag and appear to be in support of our constitutional republic, and i think that is a real -- oh, yes for sure. it certainly. we're following this for you because we are very much in fave of the rights and freedoms of the people of hong kong. we don't like to see -- to violence but there's no question, this program is on the side of liberty and freedom and the people of hong kong. all right, i want to get back to
the for a moment because heir kudlow is micked up almost with us and by the way we with now have market moving up nicely. we're up 66 points got a point that's a quarter of one percent okay. nice gain, remember we're up 300 yesterday, what was it 200 the day before that. 285, and away we go. all right larry kudlow is now with us. ladies and gentlemen, he's with the national counsel director and he joins us now all set larry here we go. here's my interpretation i'll start with my point of view. on the you nigh if i was going to do this i think it is very, very modest job growth in a slowing economy which is being slowed by uncertainty over china trade. tell me i'm wrong. go ahead. >> you're wrong. [laughter] >> exponged on that will you. >> no stuart, you know, i have greatest respect for you. nobody better in the business look -- let me just try to --
illuminate numbers 130,000 payroll a solid number not a spectacular number by the way seasonably, the august print cially comes in low and then revised high or. but let's not get that out. here's the story. here is the story. okay -- the household survey. household survey from which unemployment rates are derived household survey tends to be smaller business newer businesses, and leading indicator exploded exploded. 590,000 new jobs in the household survey. that is virtually unprecedented stuart, and this is the third straight month okay -- let me read you -- 373,000 average, 373 average for the last three months this from the household survey, blowout
numbers shows you real health another number i want to say this, civilian labor force civilian labor force up 571,000 again, the third straight month the average is 425. was that mean civilian labor force? that is people coming back in to the report of labor force. we sometimes say they're coming out of the woodwork. the household survey at 590, the increase of civilian labor force 571 tells me that america is working. and that is so important. and final point stu final point on the wage finish average hourly earnings 12 month changes 3.2%. but in the last three months all right while we've seen an explosion in the small business household survey, and explosion in new labor force entrance, the
wage rate for the last three months at annual rate is 4.2%. so i'm joust going to say this. america's working, america is getting paid well. america is spending, and saving and producing. so i think this is a dynamite report which got to look under hood many analysts don't. >> you're lucky to have me on here. i used to do this for a living. so -- our harry i'm still doing it for a live okay. >> we can look under the hood and find these numbers. but i'm really quite serious. this i'm not just being political here. these are actual factual numbers that need to be covered. because they tell a much different story than the headlines. >> other part of my opinion which i expressed a moment ago is it shall the economy is slowing. in part because of uncertainty over china trade. what can you tell pus about china trade, the conversations that you have been having the
telephone calls been made meetings that is going to take place next month how could you characterize state of the trade negotiation and we're at on the subject. is there a chance that after a these meetings this will be a very modest agreement on buying agricultural products and drop the tariffs? and then continue talking on the more issue of intellectual property theft where are we going here? >> i don't to predict outcome i'll just say this. kudlow actually always better to talk than not to talk. so -- even though going back to may we were disappointed we thought we were closing in on an agreement. and our chinese trends withdrew all right. but we've been in communication with them the whole time. and so now after a the phone call earlier this week with secretary mnuchin and ambassadorlight house and his
team it was it doesed that deputies, the deputies on both teams will convene here in washington, d.c. later this month and principle negotiators mr. mnuchin and mr. lighthizer will join himming and his team i suppose in early october hasn't been set yet. that by itself is very good thing a very good thing had. so we are back now to the table. pencht other negotiations calm? is the atmosphere calm between the two sides? not shouting and screaming? >> look, if they were yelling and screaming -- they wouldn't have is -- come i don't know 18 hour plane flight i've made it a couple of times they're coming that's a very good thing. >> any indication from the phone calls that china is prepared to go back to where it was before they were made? >> look, i cannot possibly be specific on that. those negotiations tricky
business like labor negotiations you know one step at a time one point at a time coming back to the table is a good thing. now as far as i know, and my conversation with my colleagues -- all the topics will be on the table. i mean we would prefer that question go back to may where we were maybe 90% home on a deal. but we'll see. i don't to predict i don't to suggest anything. last evening and this morning i spoke to my colleagues mnuchin and lighthizer on have very point you can rest assure stuart that everything will be on the table. you can rest assured for example the absolute key structural issues the ip theft force transfer of technology, cyberspace, the clouds, the financial services, all of that will be on the table. agricultural purchases industrial purchases, energy purchases, getting tariff and
nontariff a barriers down so china opens its economy. that's what america wants. trump is determined to defend american economy and work force. and we must do this because of china's unfair training practices which we have discussed but we're going to have this whole broad-based discussion. and we'll see what happens look, our imhi economy is very strong their economy is not. nair lowering the u -- that is essentially neutralize it is that impact on our consumers but it puts china in a very bad place with capital flight and disinvestment i don't to go into that detail but we think they need a deal president trump thinks they need a deal president trump has said preengtly every day recently he's -- he would make a deal. as long as it's a good deal for the united states. hopefully it would be a good deal for both countries.
president trump believes china would like a deal. but it will be hammered out and that means if i may, we have the best negotiators in the business. all right if i may -- bob lighthizer best trade guy in the business and incidentally never talk about this right in front of us as congress come back and session -- there's a usmca mexico canada usa deal that would add at least a half a point to our gdp with a couple of hundred thousand jobs every month that would be fantastic. we announced at the g7 and france, i was over there. the outline of a deal with japan that deal may be finished and announced in entirety at the u.n. meetingses coming up in a couple of weeks, and heck, we even sold some beef to european union they said it couldn't be done and i think those talks are continuing. so by lowering trade barriers, that is progrowth that is the
president's vision. but he insist there has to be rest and he's got to defend this country's economy and its work force. are we going to get back to 3% growth? first quarter of the year. 3%? about second quarter 2%. "the new york times" this morning saying a period of sluggish growth looks more likely to be immediate future. are you predicting a bounceback to 3% growth in the third and maybe fourth quarters of the year? >> i like what i see, stu. i like what i see as i've said ping underneath hood these job numbers, or very powerful. i thought ism services release was absolute blowout. absolute e blowout, conference board consumer confidence absolute blowout especially by the way, in the jobs category. now, question have seen a little softness in production and curable goods and cap spending
some saw that whats along a cycle, you know you go up and down -- i noticed durable goods particularly the core is now picking up the order books arising by better than 6 pbt annually over the fast three months i like that very, very much. wages, salaries here's another one for you stu. productivity now i'll go eight quarters eight quarters. 1.8% that's a tremendous pakistan from the prior i don't know ten years or more and employment growth is 1.3% eight quarters reason i say that is as a rule of thumb, back of the enhave they envelope real gdp equals productivity plus employment groat, gets you to over 3% right now so if we removed some of the monetary obstacles and we continue our incentives with low tax rates and rolled back of regulation
and cheap and plentiful energy i'm going to play this on the bullish i'm sure you're shocked to hear that and i'll play what -- what stew varney whatever your number is i'll take it other as i always do. [laughter] you've been relatively right. some kudlow forecast is better than others. over last 40 years but -- so far the opinion some varney opinions are better than others i might that as well that's a matter of fact larry i'm afraid we're out of time but we appreciate it always when you're on the show. thank you so much. see you again soon. okay. all right what do we take away from that i think i took away -- the underlying strength of the labor market 5 a 71,000 people back in the work force kowstled household survey you have to say that is strength and that he think will be the spring board of part of the spring board for getting us to better growth in the third and fourth quarters of
the year. as for china trade, they're talking. and atmosphere -- everything on the table he says. so you know -- >> he's the president spokesperson, on the economy. and he represents administration point of view which is bound to be upbeat and positive and relatively bullish. and i think he made his points and testifieded himself very well 378 >> i thought testifies interesting what he said about about comien trade talks whrrnght you asked him whether or not we can give back to the agreement we have back in may. i think he still seems a little bit skeptical about whether or not we'll get that deal back on. but then do you agree to a trade deal if you don't get those terms? >> we remember told by michael pillsbury that idea of a short-term small modest trade deal is absolutely out of the question. all or nothing. says no all or nothing. but find it it shall i do think they're waiting past 2020 until we get someone or more friendly towards china before we deal. >> that's a fair point to it
sure is dow is down 60 points. he gained about 20 point during course of that interview i'm not suggesting we move the market there. but okay we're up 60 point. john allison still with us. john, you heard what larry kudlow had to says any comment did you pick out anything there which is -- a relevance to investor? >> well i think, you know, larry kudlow is as you said is taking the point of view the administration he's a very effective cheerleader he's right factually on fact that -- the consumer side of the economy is household survey he was talking about is strong we talk about that earlier but you know as investors, we actually have to look at the reality we're not just under the hood we're under the car. you know, and under the car you've got a strong consumer relatively strong consumer, and you've got a weak manufacturing qeak exports sos it's giving you 2% growth and i think stuart that -- your original comment right at the start of the show --
is correct and so slowing economy but it is not a economy and worry is simply that it i its over so i think larry kudlow is at least -- more than half right. but he's, obviously, in comer leading mode as well so -- that's the way i would take it john thank you indeed for being with us for 45 minutes that's a long time on this program believe me. >> thank you, sir. >> you're welcome. stuart: see you again soon john thanks very much. i'll change subject completely. we just had had had larry kudlow we've had had jobs report. we've got a modest gain for the dow industrials. there you have it we're up 46 as we speak. next subject -- at cnn's climate debate, senator bense bernie sanders was asked if curbing population growth was a good way to fight climate change here's what he said, roll tape. >> mexico city agreement which denies american aid to those organizations around the world that are --
allow women to have abortions or even get involved in birth control to me is totally absurd so i think especially in poor countries around the world where women do note necessarily want to have large numbers of babies, and where they can have the opportunity through birth control to control the number ky have something i very, very is strongly sport. >> all right look now the man used word abortion used the words birth control. he apparently wants taxpayers to pay for abortion and birth control in third world countries as a mean of combats climate change in a nutshell that's when he said. terry is with us president of the independent women's voice. >> good morning. >> i was shocked and disgusted at the idea to abort third world brown and black babies for sake of climate change testimony >> it tells you everything you should know shock americans and it was clear it was a question about -- population control, which some
to be a theme for the democrats at least within that framework and that town hall. the fact is that what they're suggesting what he's suggesting and it is not necessarily new from in thes remember this was always about issues that are vague that can be like playdoh kind of molded into anything you want. but what's especially shocking is, that women don't grow up thinking oh i hope i can have an abortion someday. women have abortions because they think they can't afford to have that child. the answer is not more abortions because of an economic dynamic but answer is capitalist system the free market, creating an economy that allows women to genuinely make decision ises that best suit them. >> all true. but so callus to solve climate change by lowering population through abortion and a birth control. >> this is -- please.
shows hypocrisy they say women need to be able to choose and make choices that best suit them in this case, of course, it was well let's have women's bodies be controlled by the government. opposite to abortion to eliminate, you know, the burden of human lty on the planet at what point and we've seen this with democrats like with virginia about -- there's where is the point where you draw that line this is more of that issue of -- killing human beings because of some other dynamic that we think we're contradicting it and having well's bodies be the end result of women and also this issue that women i don't know is he talking about south and central american or talking about about african continent about especially poor countries? why not france? why not england? why poor country is this the presumption that women economically burdened shouldn't have children even though they
may want to? maybe it is because perhaps they're catholic and they don't want to have abortion. that perhaps they want to have a family because that remains important to them. even though they're in a country that may be economically is not as strong who are we with to say that american taxpayer dollars should be telling them that they shouldn't have children. that they should have abortions, one way or another who are we to say to them what they should be doing when women, in fact, know what they want. they are in countries where they should have a voice. where maybe it is their faith, this presumption of this american sensibility also is insulting. >> i'll change the subject. but somewhat related. former e espn host jamil hill she's back. she's saying -- it is time for black athletes to leave whoit colleges piece in the atlantic saying universities built on exertion of black
athletes they make money for the white colleges. they should withdraw. aa stanging we're looking at educations, young black people have made choice about the institutions they want to attend. to get that education about -- so suddenly they're not able to make their own choice about where they want to go . many people -- we have all kiengdz of colleges in this country. from howard wherever you want to go and fact is i don't know. should african-americans should she have not worked in a company that either is run by white people or what -- this slice of identity plucks fact to make decisions based on your complexion is an extraordinary condemnation of the ability of what americas worked for had is every individual this is what -- the revolution was about and the civil rights at the civil war was about, to free the individual. to be able to make choices that best suit them.
and she's saying people should make choices based on come plengs to e remove themselveses from places to give them an education that allows them to be even more powerful as a person? to make more money as an individual? or to simply make choices that best suit you as a person regardless of your gender and regardless of your complexion. that's freedom. it is -- it is totalitarianism to say that you should make a choice based on the color of your skin. that is what the nation is fought against as needing to do for some reason, people want to like democrats and liberals want to put us into a preindustrial age enslavement in general with when had it comes to where to get an education in if you do we still is and this nation may be this is our crime. elevate individual for individual power and decision making whether it is countries that are not, you know, that are
unlike us, when it comes to reproductive health and when it comeses to educational choices. we still like individual freedom, it is unfortunate that many people don't. >> throughout the show until about minutes ago we've dealt with a jobs report larry kudlow and stock market. very glad we made time for you if these are all the same this is all about money for individuals to live their best lives. not what bernie sanders wants not what maybe a sportscaster wants, what the individual wants separate from those elements. that's america. that's right thanks. thank you, sir. good stuff you have got e me. very good. breaking news, happening now. the feds reportedly launching antitrust probe into four automakers. this is new. tell me. wall street journal is reporting ford honda bmw, be investigated by the department of justice on antitrust probes, and basically they force independent deal in july with california remember
that they were going to make their emissions they're going stick with obama era of getting to 150 miles per hour and california has their own set of rules? state own set of rules in terms of how much they can i guess force automakers to make more efficient to vehicles and their engines meantime trump administration wanted to keep it 30 miles a gallon and e himent most that have clean air act right and to basically not force automakers and implement these. >> obama teammented to raise miles per gallon for corporate fleets mr. trump came along said no we're going ignore that automakers come in and say well we're going to do it nag and we're going with california an now administration on antitrust ground and what antitrust are doing here. federal competition laws. that's it. so what is still part of that antitrust. the suit going after the
automakers or california? is >> automakers themselves honda says that they are going work cooperatively with doj in terms this emission agreement and investigation. but -- before signed with the country. general many tores where are they on that screen i have a trump retreat for you here we go. the economy is great. the only thing added to uncertainty is the fake news. now moments ago you had say that economy was slowing in part because of the uncertainty of the china trade talks. perhaps the president is taking issue with that statement so no. only thing adding to uncertainty is the fake news. all right, i hear you. mr. president -- buffalo wild wings -- got to bring sports gambling to their restaurants, the president is on the show next, the president of buffalo wild wings that is. i want to know when can about when can we place our bets and how do you place a bet?
uh-oh breaking news not breaking news. on ashley, the other guy with the british accent what's the news? >> guess here we go again the house of lords just approved a bill that essentially tells boris johnson and this will become law an monday, if you don't have a deal in place by october the 19th you will go to brussels and ask for extension. and that's it. basically what they've done is
block him from getting a no deal the question then becomes what if you ignore, one-third of brussels what if he doesn't go and he can do that but taken to court so more drama. but they're doing everything they can to prevent a no deal brexit in october the 31st so this is last latest example. boris is doing everything it can to get the hell out of dodge on october about 31st and elite are doing everything they can to say no, no, no it shall i watch this press conference he said rather die in a ditch rather than ask for another extension there you go. >> you give him general election. >> they won't. but opposition party won't. it has a mess suzanne it is a mess ashley and i growing up in england have no clue what is going on over there except what it is absolute chaos. and doesn't affect us at all market is rally there you go check that market -- up 73 point on dow that's what we have reached may i reminding
you following all time record for the close on dow is 27,359 so we are 500 and almost 600 points away from the record closing high. let's change the subject shall we? see please -- restaurant chain buffalo wild kings drink your beer bet from your seat while watching game joining me now buffalo wild wings president welcome to the program good to see you, sir. thank you very much for having me i want you to walk me through it. i walk into a buffalo wild wings, i ordered my wings how do i place a bet on my phone or on my oh pad or going to gi me a machine to bet on. how's it work? >> well i guessst there is probably a bit of a setback before we with get into the betting bit which is -- betting is part of this. but i think there's a bigger story here which is around
sports gaming and engagement in general we're the only national sports bar we really pioneered that category, and with the way people are engaging with con tent today we need to give them an opportunity to participate and what we're all about is camaraderie letting people have fun and engage together around -- >> i do have that. but look i want to know how the gambling bit works tell me. >> shu, so in states where gambling is legal. so for example in new jersey over coming months beef end of the year you see a test what you'll be able to do is through your phone -- because ultimately we think that's most user friendly way to do it through our app you'll be able to engage in a free to play game that has prizing and him pick betting behavior and then through -- bet mgm able to access through that. if you wanted to you'll be able to actually place bets through bet mgm but buffalo wild wings itself is not becoming sport book and we want to provide opportunities for people to engage in the game through both
free to play games as well as where legal through betting with bet mgm. do you get a piece of action if i place a bet in one of your restaurants or through had apps through mgm but do you get a piece of the action? >> we do not get a district piece of action. how about something indirectly? >> what we're investing in this partnership with bet mgm, because we think it has a return on investment for us as a company i can't disclose how this works financially from our perspective. but we're investing a lot of money as well as human capitol because we think as return investment and you would think that is connected to creating more fun and engaging environment for our guests around sports. >> we've just got this report that -- spending in restaurants in america has reached extraordinary level of 863 billion dollars. in a year -- consumer is, obviously, strong, and a easing out. i take it that you seen that
kind of spending in your restaurants can you give me any numbers how much your sales are up? >> i can't give you any direct number, i mean, you see it in both dine-in and you see it in takeout and delivery when you look at consumer behavior i think one of the things that we're dong with this partnership is trying to revolutionize the experience in the restaurant. to get people to come into our restaurants so people are engaging are different than that on your couch. pfnlg lyle thanks very much for being with us thank you for the new venture i live in new jersey i might get myself some wings. [laughter] and if i hope i hope you don't bo to meatless wings either let's get that real clear here. lyle thanks for joining us see you again soon. thank you, sir. >> sure. just lost audio right there. bitcoin 10,877 a coin as of right now that's up 300 bucks according to a bloomberg report, the trade war with china may be
see that's funny, i thought you traded options. i'm not really a wall street guy. what's the hesitation? eh, it just feels too complicated, you know? well sure, at first, but jj can help you with that. jj, will you break it down for this gentleman? hey, ian. you know, at td ameritrade, we can walk you through your options trades step by step until you're comfortable. i could be up for that. that's taking options trading from wall st. to main st. hey guys, wanna play some pool? eh, i'm not really a pool guy.
what's the hesitation? it's just complicated. step-by-step options trading support from td ameritrade to the wait did frowe just win-ners. prouders everyone uses their phone differently. that's why xfinity mobile let's you design your own data. now you can share it between lines. mix with unlimited, and switch it up at anytime so you only pay for what you need. it's a different kind of wireless network designed to save you money. save up to $400 a year on your wireless bill. plus get $250 back when you buy a new samsung note. click, call or visit a store today. sleep number 360 smart bed.st sale of the year on a you can adjust your comfort on both sides your sleep number setting. can it help keep us asleep? absolutely, it intelligently senses your movements and automatically adjusts to keep you both effortlessly comfortable.
all right gradually ijing higher now up 74 points that's a quarter of one percent but we are above 6,800 now something special i want to welcome back our own gerri willis back to show this weekend, she has the komen greater new york race for the cure. and what's that race all about and why are you in it? >> raising money for breast cancer to combat breast cancer, and way to do that is to put together a whole lot do you from people all over new york city fox and fox viewers are helping and sunday morning at 8 a.m. we're going to have of a good time with biggest team we've
ever had had and members there bill hammer sn dray smith we get together why? because one and eight women in lifetime diagnosed with breast cancer it was my turn three years ago. and i was diagnosed with stage three lobular breast cancer eight months of treatment two srngs chemo, daily radiation for a month and i'm on other side and i'm here to tell you mr. stuart varney if you get early diagnosis, you can get over this. >> you are racing this sunday 8:00 new york city. >> come on join us we wish you well. >> we wish you we also. >> thank you, sir. thank you. america financial performance doesn't rate very highly in media these days despite our stock market close to highs go to my take on that coming up for you next democrat debate coming up and on the stage i say it is make or break for joe biden. ask pete all about that, of a this.
val, vern... i'm off to college and i'm not gonna be around... i'm worried about my parents' retirement. oh, don't worry. voya helps them to and through retirement... ...dealing with today's expenses... ...like college... ...while helping plan, invest and protect for the future. so they'll be okay... without me? um... and when we knock out this wall imagine the closet space? yes! oh hey, son. yeah, i think they'll be fine.
stuart: our stock market is very, very close to all-time, record highs. you may not know this. after all, america's financial performance doesn't rate very highly in the media these days unless the news is bad for the president. it's hardly reported. but the statement is accurate. stock prices are within a hair's breadth of their best levels ever. the market's total value is up 9.5 trillion dollars since the election of donald j. trump. so why is wall street in this celebration mode? there's an easy answer to that. american companies are highly profitable, and american companies dominate the most important sector of all, technology. when stock prices move to record highs, it means investors expect that to continue. that's why your 401(k) looks so
good. next one, interest rates here, they are higher than elsewhere. that is an accurate statement. it's not a negative, no, it is a signal that our economy is doing very well and others are not. we spend a lot of time telling you about the crazy, negative rates in europe and japan, you know, zero interest, and they keep part of what you lend them? there's a reason for that, their economies are not doing well at all, and they are flailing around, printing money by the trillion, trying desperately to get a little growth. they'll do anything except cut taxes. we cut taxes, we're growing. they print money, they're sinking. one more for you, and this is important for everyday people, you know, voters? we have the best labor market. there are more than seven million jobs available, and we don't have workers to fill them. european governments would just love to be in that position, but they're not. unemployment in italy, for example, 9.9%.
in america, 3.7. when it comes to news about your money, you can forget the establishment media. they hate president trump's success. ignore 'em, don't let them get you down. just open your 401(k) and smile. the third hour of "varney & company," on its way. ♪ ♪ stuart: let's check the markets. within a hair's breadth of all-time, record highs. the dow's up 74 points, this follows two days of huge gains for the dow. same with the s&p, up modestly, 5 points. the nasdaq's up 10 points. we're on the upside. look who's here. hey, it's friday, it's 11:00, he starts his weekend after this. >> it's true, after lunch. [laughter] stuart: pete hegseth, "fox & friends" weekend cohost.
i've said it before, i'll say it again, this is the only network, fox are the only people who cover financial success in america. the rest do not. >> absolutely, because the financial success in america today translates electorally into success for the person who's the president of the united states right now, who the establishment and elite media haven't wanted to see as a legitimate president from the beginning, let alone give him any credit for the economic boom that we've had. and it's actually not hard. you pointed out, you cut taxes and you deregulate and get government out of people's lives, and it turns out people are entrepreneurial, and they want to grow their business and be successful and keep their money. that's america. that has been the growing contrast between this great country when it is unleashed and the museum that is europe in places where statism has taken over. stuart: you stole my line. [laughter] >> did i? stuart: i'm the guy who calls europe a vast museum. >> maybe i stole it from you. [laughter]
it is a museum when you don't have -- when you're taxed to the hilt, when you don't have militaries to defend yourselves, when you've got open borders, you become irrelevant. so you ride the high seas of history, and you hope that america continues to lead nato so that the 101st airborne can defend you against the threats that exist in the world. stuart: for a non-financial guy, you know a lot about finance. [laughter] i want to talk to you about next week's debate, it's the third round -- >> yeah. stuart: ten people on the stage. i see this as make or break for joe biden. >> i agree with you, this is a big one. to get up on the stage together, each candidate has had an advantage before but a -- based on who they were placed with, so an interesting stand-up. joe biden is the front-runner in name only. it's because of his name recognition and the legacy of his connection to obama that he is where he is in polling. he hasn't gone down as much as people had thought because of his gaffes, but because people know him.
given an alternative on that stage whether it's bernie sanders or elizabeth warren, kamala harris needs to come big, cory booker, ultimately this is where you'll see either sanders or warren -- and it looks like warren -- start to become a one-on-one challenge to biden. the progressives have the energy here, so it'll be interesting to see whether or not he can bring energy. stuart: howard schultz dropped out. he is not running for the presidency. my opinion is that's good for the democrats because he is not going to be splitting the democrat vote. the trump -- the anti-trump vote will not be split. >> true. the news to me was that how'd schultz was still in the -- howard schultz was still in the race. i didn't even know he was running! stuart: he said he might run. >> is so he decided to not run at all. yeah, this doesn't split the vote which ultimately, i do believe, helps the president -- stuart, no it helps the democrats. >> you think it helps the democrats? stuart: i think so, more than the president. >> potentially, but they're
going to coalesce around whichever nominee they nominate. i think somebody in the independent space probably polls from both places, and if you need narrow victories, the president has his supporters. i think it's good to have a clear choice as opposed to a ross perot moment. the reason we got bill clinton is because perot gobbled up enough of the votes, the republicans couldn't capture the white house. stuart: you saw the seven of -- seven hour town hall on that night of the marathon, fox had double the viewers. that night all the democrats coalesced around the fantasyland of the green new deal. they put climate right front and center. i think that's a complete voter mistake. i don't think america's with them on this. >> they're not with them at all. there's a reason -- i saw that it happened. i didn't see it happen, and that's why most people didn't watch it because they don't want to watch seven hours of ideology
get rammed down their throat. the dnc's been pressured by outside groups to do an official dnc debate on climate. they're smart to resist that. stuart: they are. >> can you imagine if voters turn on their tv and all they hear is the lunacy of you're going to change the weather based on control? sean and tucker and laura beat the pants off -- stuart: they always do. >> yep. stuart: you know, i think you rather enjoy coming on this show. >> i love this show. stuart: we give you free rein. >> don't give me too much, though. rein it back in. fox business, i think that's your new tagline, 101st airborne of fox. stuart: thank yous very much, sir. ratings are in for the opening night, nfl's opening night. not a very exciting game. how many people watched? ashley: well, the rating was a 15.3. we don't have a total number, that doesn't mean anything to anyone, but what it does mean is that the ratings compared to the opening game last season are up,
so that is good news for nbc who aired the game, bad news for pete hegseth because his vikings hate the packers, and the packers beat the bears. i just want to throw that in. stuart: packers are my team because of the ownership, it's publicly owned by the people, largely by the people of green bay. >> you have to inspire your enemies sometimes, and they have an amazing franchise. they really do. stuart: they do. >> we haven't figured it out in minnesota yet. stuart: well said, hegseth. >> this is our year. stuart: let's get serious for a second, football's not serious. walgreens and cvs, they're making changes to their gun policies. it's not that they sell the things -- deirdre: no. they're just asking shoppers not bring guns in unless you are a member of law enforcement. so this follows what walmart and kroger have done. and then as we know, dick's sporting goods actually doesn't sell the things anymore. the rest were just talking about
open-carry. oddly enough, dick's even though they won't sell arms anymore, you're still allowed to go into a dick's with your firearm, you just can't have ammunition in it. stuart: i spent some time in an open-carry county in upstate new york, i said this before, i've never seen a gun carried openly on the streets of the towns near where i live, never, not once. no bar, no restaurant, nothing. never seen it. anyway, check bitcoin. hegseth, coming up -- yes -- [inaudible conversations] stuart: we have a bitcoin watcher coming up, thomas lee. there's a new report that claims the chinese are putting a lot more money into bitcoin because of the trade war. that gonna help its price or hurt it? i don't know, we'll find out. check the price of apple. they've got another big event tuesday. they're going to release this new iphone. apple watcher gene moneyson's going -- munson's going to tell us all about it after this. no, no, hold on.
the toy story movie, nowadays john ratzenberger is a business kind of guy. he started his own company. how does he feel, though, about those hollywood stars wanting to blacklist trump supporters? is his business hurting because he supports the president? ratzenberger in our new york studios next. ♪ ♪
stuart: dorian made landfall on the outr banks of north carolina. it is now a cat one storm, by the way. come on in, janice dean. is it now starting to move more quickly? is that what's going on? >> reporter: hi, stuart. stuart: are you there? >> hi. stuart: there you are. >> they told me jonathan serrie, the reporter, was coming up, so i apologize. stuart: can you jump in fast?
>> reporter: here i am. stuart: it seems like it's moving more quickly now. >> reporter: it is. it's going to start to accelerate. we still could see the effects across portions of the northeast, long island, cape cod and the islands but, certainly, not the hurricane that it once was. and, by the way, i'm also hearing reports that through the day today we're going to get more devastating results from the bahamas. so i think that means we're going to be hearing more deaths, unfortunately. it was a category five, it sat there for days with unimaginable damage that we really haven't seen, especially for the northwest
bahamas islands, so we'll certainly bring you the very latest there. now, as for the storm, you mentioned we had a landfall. the first official u.s. landfall, and that happened around 8:35 this morning off of cape hatteras. it is moving north and eastward, and it's really going to start to accelerate. you can see with the radar within the last couple of hours, there's our landfall, and it's
starting to boot out to sea, which is great. but we're still going to see the effects along the coast, 60 miles per hour winds in elizabeth city. here are the peak wind gusts, we saw over 90 miles per hour, cape lookout, north carolina. atlantic beach, even charleston harbor, 75 miles per hour. and, by the way, we had over two dozen reports of tornadoes yesterday as well, so we'll for that. my apologies for not being right on my mark right away. stuart: i'm shocked, janice -- >> reporter: it's the first time in i don't know how long. stuart: that is true. [laughter] janice,
you're all right. >> reporter: thank you, my friend. stuart: let's get to jonathan serrie now. jonathan, it's very, very close to the eye of the storm. doesn't look like you're seeing much of an effect. >> reporter: yeah. well, right now the sun is coming in and out of the clouds, some light sprinkles and the highest winds are occasional gusts of up to 29 mile-an-hour,
that's a far cry from what we experienced last night when you could hear the roaring ocean behind us. around 3:20 the power went out, and by mid-morning more than 200,000 customers in north carolina were without electricity. driving up and down this barrier island community though, damage is at a minimum, although we did notice one old motel that had the roof ripped off of it. stuart, back to you. stuart: jonathan, thanks very much, indeed. let's get back to that jobs report, came out at 8:30 eastern this morning. 130,000 new jobs added last month. i think we've got the perfect guest for jobs in america. he's kind of a made in america guy. he's an actor, he started his own company helping american businesses up their advertising game. roll this tape for a second. >> hi, john ratzenberger here. as i travel the country with my show "made in america," i heard and continue to hear from many successful business owners about the challenge of connecting
their superior products with the right consumers. i have made it my passion to tell the story of american manufacturing. together, let's tell your story to your audience. stuart: well, he's here. he can say it for himself. john ratzenberger, frequent guest on the program, welcome to the show. >> thank you, thank you. always nice to be here. stuart: your company is called american made advertising, are you an ad agency or something? >> well, it's -- when i'm in my travels, i talk to a lot of ceos, obviously, for various things. and what i've found is there's a lot of great products being made but not being advertised properly because they can't incur the costs from a chicago or new york ad agency s. and now with everything digital, so i teamed up with ryan irwin out of las vegas, and he's got a company that does a lot of political work. but a lot of the computers and
everything online. and we've come up with a way to help american companies -- stuart: yeah, that little clip that we just ran, it seemed like you were asking the audience, asking viewers, hey, you've got an american-made product, come to us -- >> right. stuart: -- and we'll help you advertise it. is that the pitch? >> well, that's the pitch, also to make american products healthier. because if you make a great product and nobody knows about it, that's -- you're going to be in trouble, yeah. let's tell people, let's brag a little bit on ya. stuart: why not? i know you as a conservative kind of guy, you're a hollywood kind of guy. >> a hollywood kind of guy. [laughter] i'm going to get a t-shirt saying that. [laughter] i'm a hollywood kind of guy. stuart: i'm trying to -- look, what about this blacklisting that's going on? >> that's a head-scratcher to me. stuart: really? >> yeah, well, i think it's group think.
i didn't have the advantage of -- i didn't go to acting school, which you can probably tell in some of my films. so when i came to hollywood, i didn't know anybody. i wasn't in a clique or a a group. and everything i do is kind of like an adventure, let's see what's going on here. and so i made a lot of friends, conservative or progressive, in hollywood, and i just don't talk about it. but it's a head-scratcher to me why someone would stand up and eliminate half of their audience. because it's show business. so why would you eliminate half your audience? stuart: fair enough. >> i just -- stuart: have you ever, do you think, been turned down for a job or not invited to audition, if that's the correct expression? have you ever felt resentment because you are a trump supporter and you are a conservative? is. >> yeah. actually, i'm on president trump's task force for apprenticeship expansion for teaching young kids -- if you
don't want to go to college, don't go to college, but do an apprenticeship. stuart: it's a terrific idea. >> also there's no reason -- because i did it. i went to college, but i was also a journeyman car pepper the. so you can do -- carpenter. so you can do both. that's the way the civilization was built. everybody had another skill. a vocation and avocation. stuart: that seemed to go out of style, out of fashion. i mean, when i was a young guy, a lot of people went for apprenticeships. back to the question, have you ever been stopped from working, have you ever been not considered for a part because of who you are? >> i don't know. i couldn't prove it even if i did know. i just don't know. stuart: okay. >> truthfully, i are have no idea. stuart: seems like it goes right over your head. >> you know, because i can always go back to carpentry. [laughter] you need something built over
here? [laughter] stuart: actually, a new set would be nice. >> that's how i got into acting, i was doing some carpentry work at a theater in london, and i was watching these people rehearse, and i said to the guy who ran the theater, i said, these people get paid for this? he said, yeah. i said, i could do better with a sock puppet. [laughter] stuart: you're all right, and good luck with the company -- >> thank you. stuart: advertising for american-made stuff. >> american made advertising.com. stuart: american made advertising come. >>tize is with an -- advertise is with an s, not a z. [laughter] stuart: they're pulling out a line, rolling out a line, i should say, of bikes, bicycles. >> yes. stuart: there's a catch to this, and we'll tell you all about it. if you like riding on the water more than the road, how's this for a mega yacht dubbed the octopus, owned by the late
that could allow hackers into your home. and like all doors, they're safer when locked. that's why you need xfinity xfi. with the xfi gateway, devices connected to your homes wifi are protected. which helps keep people outside from accessing your passwords, credit cards and cameras. and people inside from accidentally visiting sites that aren't secure. and if someone trys we'll let you know. xfi advanced security. if it's connected, it's protected. call, click, or visit a store today.
stuart: billionaire yacht lovers, lend . paul allen -- of course, he's the late microsoft cofounder -- had a mega yacht, a gigantic monster of a ship. it's not a boat, it's a ship. how much is it going for? >> $325.5 million, and as burgess, who's selling it, the maintenance costs are usually about 10% of the purchase price every year. if you have to ask how much, probably not for you. [laughter] 400 feet, you have two elevators, a helipad, pool, private deck. there's a compression chamber where you can put more oxygen in your blood, 13 guest cabins, it's a small town on the sea. stuart: it's a floating palace. deirdre: it is. at least a floating hotel. stuart: i'd like to know what the initial cost was to build it, because i think paul allened had it built for him, and i
don't know what that cost him. i don't know whether there's a loss on this thing or not. ashley: an arm and a leg and a few other things too. deirdre: it does cost four times more than what he paid for the nba franchise, the portland trailblazers. and mick jagger once used the boat as an impromptu recording studio. stuart: now, we did tell you earlier that harley davidson is getting into bicycles. now look, obviously -- ashley: there they are. stuart there is a catch. what kind of bicycles? ashley: electric bicycles. now listen, they're just tiptoeing their way into this. they unveiled it to harley dealers and said, look, is this the core of our business? absolutely not. however, we think we'd like to offer this with the harley brand. we don't know when they may be released, how much they're going to cost. this is a picture of the prototypes, they just want to dabble in it. they're desperately trying to get the next generation of
people into the harleys, the traditional, big old hogs. but they're kind of spreading out a little bit and trying the electric bicycle -- stuart: there is a market for these. ashley: there is! stuart: look, in new york city you see lots of delivery guys cruising around on electric bikes. i've now started to see them in the suburbs because they are comfortable and a nice way to get around in summer. and they can move fast. ashley: they can. stuart: i don't know what the top speed is. what does a harley electric bike do for you? ashley: i don't know. deirdre: i don't know what the harley ones are, but some are about 35-40 miles an hour, the faster ones. stuart: of course, the attraction of an electric car is the acceleration, off you go. deirdre: well, and also just a little bit -- i feel like a little bit of metal around you too if you're weaving through the streets of new york city. i like the idea of a little metal. stuart: i wonder how long it'll be before electric bicycles take over from conventional bicycles. how long will that be?
ashley: most of the ones i see are the guys delivering food, and they can get around quicker, which makes sense. they are just flying around this city -- deirdre: frightenly enough, all dressed in black and no lights, which scares me. ashley: through crowded crosswalks. stuart: okay. as we await an important announcement coming up at 11:30, let's bring you up-to-date on the markets. we started out this morning at 8:30 with the jobs report. i'm going to call it moderate growth in jobs, 130,000 new jobs last month. then we had larry kudlow on the show who disputed my interpretation of the jobs report. he said it was a dynamite report because, if you look deep down underneath it all, he says the 571,000 people showed back up into the labor force. earning money, etc., etc., and all that was very, very good news. and then we get to the market, which is gradually, ever so steadily gone up for much of the
morning. and we're now up 84 points, 26,812. this is a nice addition to the big rally which we saw yesterday and the rally that we saw the day before that. and as we keep pointing out on the show, you know we're a hair's breadth from all-time, record-breaking highs. now breaking news just coming to us from the federal reserve. deirdre: the fed is going to require larger insurers between 10 billion and $250 billion to basically have a higher capital buffer. they need to have about 2.5%. now, what the fed has said is none of these companies -- usaa, state farm, aaa, first mesh, none of these -- first american, none of these need to do anything right now, this is just a guideline being put in place. the fed does have jurisdiction over these particular insurance companies because they all have a banking component. i mean, we saw the banks go through this, right, after the last credit crisis, a lot of
executive moaning and groaning about it, but right now it does not seem to be moving any of the unsheerers -- insurers -- stuart: it's a safety move. basically, when you raise the capital requirements, you've got more money on hand -- ashley: right. stuart: so if you're an insurer, you've got to worry about some catastrophic event that drains your funds. so the fed says you've got to have more funds so you don't face an emergency. deirdre: and i think the macro, we've seen asia slow aring, particularly china, we've talked about germany slowing and europe, i think this is a slight tweak towards a more defensive stance. stuart: they did it with the banks. you have to have more capital on hand because of the financial crisis back in '07 and '08 where there really was an emergency, and banks had to scramble for liquidity, money to pay out their obligations. so they did it with the banks, now they're doing it with insurance companies. deirdre: yep. preemptive safety move. stuart: all good. at the top of the 11:00 hour, i came on strong with an editorial
about america financially being the only game in town when it comes to your money. our next guest is comparing our markets to an old timex watch. it may take a licking, but it keeps on ticking. that's a good one, tom lee. [laughter] i just stole that for my script. you're bullish, aren't you? >> yes, i am. stuart: you think our stock market's going up. new highs, here we come. >> i think there's a lot of pieces in place that support new highs for the s&p, double-digit gains from here. stuart: the all-time high on the s&p is 3,025. >> yes. stuart: now, right now we are at -- can't see it on the screen, there we are, 2981. you think we're going up significantly in the s&p. make your case. what's in place to get another rally? >> well, i think a few things. one is i think that investors, for the most part, got defensive in august. they expected the market to really break down, and now instead the data's been okay, and now as people put money to
work in september, they have to start buying stocks. so i think positioning's a big factor. the second is i think that the cyclical dynamics of the u.s. economy are going to start accelerating next year. stuart: what the devil are the cyclical dynamics? >> well, i think last year's drop in oil and the government shutdown sort of took some wind out of the economy, and that's why we had the slowdown. of course, amplified by the trade war. and that's getting investors more in the camp that we're going to actually see the slowdown worsen. we think the slow down's going to end and start to accelerate. and part of that is signals coming from the bond market itself. stuart: okay. can we rally if we don't get a real agreement with the chinese on trade? >> yes. i think we saw it this week, you know, even just a sort of stasis, you know, no change in the tensions is actually good for equity markets. so i think for the most part what we want is this to not escalate, and we can get a
rally. stuart: okay. bitcoin, you know, i have to ask you about that because you made a remarkable prediction it would go to -- the sky's the limit. you made that idea in the past. now, we have a report that chinese investors are moving into bitcoin. there is some buying interest amongst chinese investors. that has to be good news for bitcoin, i doesn't it? >> yeah. i think that gold's recovery, you know, this year, it's really awakened, probably got a lot of wealthy people both in china and the u.s. to say besides gold, are there other things that act like gold. and i think on the margin digital gold and bitcoin have become more interesting partly because gold's done well this year. stuart: that's your theme, isn't it? bitcoin is going up. >> yes. stuart: that's it? >> well, i think it's what we call a network asset, meaning its value rises as more people hold it. today maybe two million people really own bitcoin. you know, there's five billion visa accounts, so there's still
a lot of upside. if you can double the number of people that own bitcoin, the price would more than double. stuart: i just want to make sure that it's easy to buy. back in the old days it was kind of tough to get into bitcoin. you've got to know what you're doing. but now can i just walk in somewhere or go online on my computer or whatever, give them a buck or give them dollars, get a bitcoin, and when i want out, sell it and get my dollars back? can i do that? easy? >> yes. actually, in the u.s. if you're willing to treat owning bitcoin the way you would do a securities can account, so, you know, you give your driver's license and information, what they call kyc, it's very easy. buying bitcoin on some of these exchanges is just like using an iphone app, it's that simple. stuart: it's that simple. >> yes. stuart: you give away your identity, everybody knows who you are. there's no secrecy involved, no under the table business. >> that's right. to an extent, when you own it on an exchange, it's really
essentially held in exchange until you take those bitcoins into your own private wallet. and then once you do that, you can become anonymous. stuart: quick forecast. $20,000 on bitcoin when? >> let's say approximately is the old high, i think that within the next 12 months we should be exceeding those all-time highs for bitcoin. stuart: we hear you. tom lee, thanks very much, indeed. i want to show you hong kong, live pictures, i believe. let's get back there. this is from the streets of hong kong. we heard earlier -- i don't know what that is on the right-hand side, but the left-hand side, is that hong kong? doesn't look very clear. there you go. look, protests are forming all over again. earlier today we saw the barricades on fire. ashley: if this is outside the prince edward rail station. protesters were upset about violence at the same location a week ago, and they are demanding that the police station release the cc-tv video of that.
but on the left-hand side, you can see they've graffitid walls and torn things down, demonstrated outside the nearby police station, again, wanting them to investigate and release video of the attack on protesters. stuart: the bottom line is that a few days ago carrie lamb, the executive in charge of hong kong for the chinese government, she withdrew the extradition bill. that was an attempt to placate the protesters. it's not worked because they're back on the street. this is friday. we still have demonstrations coming and a blockage of the airport possible on sunday. ashley: yeah. stuart: so the attempt to placate things, whether -- i don't think you can say it's working if you've got that kind of action. deirdre: reports from the ground essentially just saying too little, too late. there are also some pro-democracy protesters actually trying to get people to go to the atms, trying to convert their hong kong dollars to u.s. dollars, basically make
the banks run out of money, pressure the government. most people saying that plan stands very little chance of success, but it's another way they're trying to make the point. stuart: okay. ashley: damage. stuart: you can see what's going on right there. now look, we're going to leave this video up on your screen. this is live a action direct from hong kong. i'm going to deal with another subject, but you can watch that, left-hand side, as we move forward. i want to talk about apple. big event coming on tuesday. i believe they've got their new iphone going to be released. gene munster is with us, loop ventures managing partner. right. i think we're going to see the new iphone. is it e going to be a dramatic revelation? what's in this thing? >> well, there's going to be three new phones, they're likely going to be called the pro series. and what's in it is another camera, and those three high-end phones -- just if you're keeping track -- it'll be the first time they have three cameras in their phone. it begs the question why do we need three cameras, and the
answer is people are, of course, using photos as more a form of self-expression, so you can do pano-photos and different effects around video with those three cameras. so think of it this way, stuart, is this for those consumers that want the latest and greatest having three cameras, in fact, will check that box. i think the other part that's going to power this upgrade cycle is just there's a lot of people who have older phones who will upgrade. but i want to really mention too the elephant in the room here which is 5g will not be a part of these phones. so i think that's a smart move by apple. look for that in their phones in the fall of 2020. stuart: so we've got to wait all the way through for about, what, 18 months before apple comes in with a a 5g phone? i mean, that seems like kind of a long time. >> a long time if you're kind of reading headlines around 5g. it's not when you think about
the actual rollout of 5g and availability. yes, there are some pockets, and it is true that the major carriers have talked about 75% adoption by the end of 2021, but what i think is most important is over the next year there really isn't going to be much. there's also another factor when you think about 5g, battery life is important. these antennas take up an incredible amount of juice, and there needs to be some improvements in battery over the next year to make it so that your phone will last through the entire day. stuart: but you still like apple as a stock. it's been going up were slowly, but steadily and nicely recently. you still like it for the longer term. >> i do. and i think this is one of the most underappreciated stories even though it's so widely covered, i think the upside. we've talked about this idea of the multiple inching higher. the stock is essentially where it's at with the recent highs before some of the rejuvenation of some of the trade tensions back in july. and i think what the stock
should be even higher if not for that, and i think that if you simply take a step back and think ap apple is going to be the fabric of our consumer tech products and really hold these together whether it's through services or wearables or phones or computers, i think that this should trade at more of a coca-cola-like multiple which should yield a $350 stock. simple takeaway, there's big upside to apple. stuart: that was the magic number, we got to it, $350 a share. it's now about 214, 215. of gene, thanks very much for being with us. >> thank you. stuart: i want to see these new phones. thanks very much. look, left-hand side of your screen, the action going on now in hong kong. bear in mind it is 11:40 at night in hong kong. ashley: yeah. stuart: this is the time when you get these demonstrations and the protests taking place? ashley: basically, they're besieging prince edward station, and also the local police station. and there's a rallying cry now
that basically says five key demands, not one less. now, they've withdrawn the extradition bill, but there are other issues that they want also including the ability -- deirdre: self-governance. ashley: -- to self-govern, and they will not stop until they get those. there's reports that police have been firing rubber bullets at the protesters who have, as you can see, spray painted, graffitid buildings. and again, what they want is a video released showing what they say is police brutality on a protest last week in this same location. deirdre: and larger picture, for the ninth straight year in a a row, the most expensive real estate in the world is in hong kong. the average price of a place is 21 times someone's average household income. so the young people from reporting are really frustrated. they see no future in hong kong in the way that they did, let's say, a decade ago. shenzhen has been built, a lot of the chinese mainland has been favored, if you like, obviously, by the chinese government.
so in addition to young people feeling frustrated, what's different about this between 2014 is there are also civil servants out on the streets, 55-year-old accountants, doctors, lawyers, it's not just a youth movement. stuart: it is an economic protest as well as in favor of liberty -- ashley: we understand there's another rally tonight of 1,000 people near government building, and the chant there was "fight for freedom." stuart: that's at the government building. ashley: yes. stuart: we're going to bring in steve hilton, knows a lot about hong kong. steve, they withdrew the extradition bill as a way to try to placate the people of hong kong. doesn't look like he's working. what say you? >> no, i totally agree. ashley's right, there's a whole bunch of demands there. but it goes to the heart of the promise that was made in 1997 and then broken by the chinese government. i was there that night on the handover. i saw the chinese military vehicles rolling into hong kong.
and at the time i thought this moment would come, because i thought the chinese communist regime is not going to be able to keep its promise, which is one country, two systems; freedom for hong kong while you still have the authoritarian regime in the rest of mainland china. they were never going to stick to that, and now the breaking point has come. you saw some protests a couple of years ago, kind of fizzled out. this time it looks like these protesters are really fighting for the keeping of that promise which the chinese regime has broken. but i don't see that the regime can afford to give in to these demands. i don't see a positive end to this. i think the protests will go on, but they won't result in what they want which is true self-governance as promised by china. stuart: what i see now is, basically, a provocation to beijing, a provocation for xi jinping. he's made his concession, withdrawing the extradition bill, but the people are still out on the streets. earlier we saw barricades on
fire. now we're seeing some minor league vandalism against a bank, i think it is, who's certainly got a lot of people out there. that is a provocation. that's almost asking the chinese government to step in and forcefully put it down. and if they did that, surely that would affect the trade talks, wouldn't it? >> it would and it should. but, you know, that's why i actually don't think that the chinese, that president xi will respond in that way to the provocation. i think you're right that's what they're trying to do, the protesters. but actually, i think going back to deirdre's point earlier, very important point, the chinese regime are actually pretty happy, i think, to let hong kong descend into this kind of chaos. why? was they want -- because they want to favor mainland china. they don't mind if hong kong declines as financial sector, one of the leading in the world, because they want shanghai to be that leading financial center. so i think they can perfectly happy wait these protests out not just for weeks and months, but literally for years.
i think they're a very patient regime. they don't have the pressure of elections, they've always taken a long-term view. i think you could see these protests going on and on and on for a very long time. stuart: in which case, steve, that's the end of hong kong as i know it, as our own susan lee knows it and maybe you know it and those of us who have lived there and worked there. what you're talking about is the end of hong kong as we know it. >> i think that's right. i think, sadly, that is, to me, the most likely. look, none of us know. who knows, we can't predict the future. but right now looking at the situation; i think that's the most likely outcome, and it's incredibly sad. stuart: steve, i want to talk to you briefly about brexit. [laughter] look, the only thing i can say -- >> i don't know why we laugh the minute that word comes up! [laughter] stuart: because it's chaos. i mean, we constantly report on what is, essentially, chaos in the british political system. my question to you, steve, is
look, why should we care? does wall street care? do we as investors in america care? do we as our body politic in america, do we care about what's going on over there? >> not particularly. i think that in practical terms it doesn't make that much difference. yes, there may be a change in the trading arrangement, there may be a free trade deal and so on but, you know, that'll be tougher to negotiate. in practical terms, not really. i think there are a couple of symbolic things that reflect what's going on in politics. it's very interesting to see the ferocity with which the establishment in the u.k. is fighting to overturn that popular vote, the people's vote in 2016. and it tells you something about how reluctant the establishment is to give up power. there's an element of that here in america, so there's a parallel. the other thing, i think, is the story this week about the prime minister's brother, joe johnson, boris' brother, leaving the government. that family dispute coming out into the open. there's a parallel too here in america with the way that the
trump election in 2016 has divided families and friendships and communities. there's something about those votes in 2016 that really changed our culture. they were much deeper than any other normal political event, and they represent a real fracturing in our political and civic culture that i think is going to be with us for many years to come. stuart: you know, steve, you've been at the center of some major events. you were in hong kong when the chinese rolled in, and i think you were at the center of events when brexit was being discussed -- >> yeah, i was there. i was literally there that night. i campaigned -- i was in the room, and i campaigned for it. and, again, i experienced that division because my good friend david cameron, who's the prime minister who i worked for on many year, was on the other side, and i campaigned against it. and i think there's something really significant about the way -- what you saw in 2016 was really the coming to an end of an era where the people who believe in unrestrained immigration and open borders and
globalization really had, finally, a challenge to their ideology. and it's been very disruptive. and you're still seeing the effects, obviously, in the u.k., but here as well. and in france with the yellow vest protests and all around the world. this is a really seismic change in politics and economics. 2016 was the first moment to be, to make it clear. stuart: in america we've got contentious politics, and some of us have lost friends because of differences of political opinion. you were a good friend of david cameron, and are you still a good friend with david cameron? forgive me for asking, steve, i don't mean to put you on the spot. >> no, it's a fair question. i consider myself to be. we haven't spoken literally since 2016. the way i put it, my door's always open. i don't think it should, political disagreements should affect friendship. i think he's still pretty sore about that. he's got a book coming out in a couple of weeks, we'll see what
he has to say around that time. perhaps we can talk about it there. stuart: we will, because you're probably going to be in it. [laughter] thank you for being with us. great commentary for what's going on in hong kong. thanks very much. i want to talk to everybody here about what we're seeing on the left-hand side of the screen. some of our viewers may be wondering, why are you doing this? well, there's two reasons here. first of all, i, frankly, support those youngsters. i want to see freedom and liberty in hong kong. i want to see it preserved. they thought they were getting it, freedom, when the british left and the chinese took over. they got 50 years of an independent judiciary, certainly dependent on their politics, and it's been taken away. the other side of the coin is we're looking clearly at what xi jinping, china's leader, is doing here. that is repression. and i think it's going to get worse, and i think it will have an impact on the trade talks. ashley: steve hilton was saying this could go on not only weeks,
months, years perhaps because beijing is not motivated to do that much about it. with the idea of all the business going to shanghai, which is terrible news if that's the plan, for hong kong. stuart: terrible news. deirdre: this is the 14th weekend, right? coming into the 14th weekend. ashley: five demands, one of them was the withdrawal of the extradition bill. they got one, but the rallying cry now is five key demands, not one less. they want an independent investigation of allegations of police brutality, the unconditional release of those detained, no more labeling of the protesters' riots, and the final demand, direct elections of the city's leader. deirdre: i think that's the biggie. stuart: we're going to leave this up so you can see what's going on on the other side of the world, because we are affected. president trump last week announced the u.s. space command. he said it's put into place to protect the country's interests involving dangers in space.
jim bridenstine is with us, he's the nasa administrator. all right, jim, i'm not sure what your relationship is at nasa with the space force, but maybe you can identify these space dangers for us. what are we talking about here? >> yeah, absolutely. so nasa is a civilian agency, that's absolutely true, but i also serve on the national space council. and in that capacity, we have discussions about how important it is to secure space. let me frame it for the audience. a lot of people are watching this on directv or dish network, maybe some people are watching it on the internet. a lot of people receive internet broadband from space. that's a huge part of the american economy and, in fact, it's an export for the united states of america. but that's just communications. then we talk about navigation with gps. the way we produce food, the way we produce energy all dependent on space. and when we think about that gps timing signal specifically, and you'll know this, stuart, every
banking transaction in the united states of america requires a timing signal from gps. the regulation of flows of electricity on the power grid are dependent on a timing signal from gps. the regulation of flows of data on terrestrial wireless networks, your cell phone, stuart, dependent on a timing signal from gps. in other words, this is existential to our country, and as a matter of fact, china has actually called space the american achilles heel. and i'm here to tell you that president trump and vice president pence will not allow space to be held at risk by the adversaries of the united states of america. stuart: i don't know whether you can confirm this or not, but if we've got a space force to defend our satellites, surely we're going to have weapons in space. can you confirm that? >> so there's a lot of different ways that we can think about the space force and, of course, as nasa administrator, those kinds of decisions are going to be
above my pay grade. but i can tell you this, the enemies to of the united states are not messing around, and when we look at anti-satellite missile tests being conducted by russia and china and other nations around the world now, that is proliferating. when we talk about co-orbital anti-satellite capabilities, in other words, satellites flying in formation with other satellites, again, kinetic effects in space, very dangerous for the preservation of space, for the american economy which, by the way, is a $400 billion economy currently, quickly becoming a $1 trillion economy. and it is now being held at risk which we have to make sure that if these countries around the world, if they believe they're going to get a strategic advantage over the united states by holding at risk space, that those investments will be made in vain. that's why we -- the president just announced the u.s. space command, and it is, in fact, why i am a big supporter. and i was in the house of
representatives of a space force. which, by the way, when i was in the house, it got 344 votes in the house of representatives. strong bipartisan vote because people in the house understand how risky space has become. stuart: jim bridenstine, fascinating stuff. we appreciate pit, sir. nasa administrator, thank you, sir. >> thank you. stuart: on the phone, dave wilder, former national security director for china. dennis, on the h. side our viewers have been seeing the protests, not exactly violent, but there's vandalism going on. what's your understanding of what's happening here? >> sure. well, what happened earlier this week, carrie lamb, of course, made a concession to the protesters by pulling back the extradition bill. what she's trying to do is a divide and conquer strategy where she gets the majority of hong kongers to pull back from the big protests and divide off the more radical, the more
extreme protesters. will this work? i don't think it's going to work as a strategy. but that's what they are trying right now. stuart: let me just interrupt for a second, dennis. >> sure. stuart: we had a point of view a moment ago that the chinese really don't care about hong kong as a financial hub. they don't care about it as a wealthy, prosperous city. they would rather like to make shanghai their financial hub. they don't care about hong kong. what do you say to that? >> well, actually, i don't think it's going to be shanghai, i think it's going to be shenzhen right across the border from hong kong. we have seen articles the past couple of weeks about trying to make it a competitor to hong kong. so i think there will be a real attempt to force companies, international companies to move where they have more control. stuart: i have to say, dennis, i have to say that if that happens, it's the end of hong kong as you and i know it, and
that's a very sad thing, do you agree with that? >> i know. stuart: ten seconds, please. >> it would be terribly sad, and you and i both lived there, we know it. stuart: dennis, thanks very much for coming on the air very short notice. we appreciate it. always have, always will. there'll be more "varney" after this. should always be working harder. that's why, your cash automatically goes into a money market fund when you open a new account. and fidelity's rate is higher than e-trade's, td ameritrade's, even 10 times more than schwab's. plus only fidelity has zero account fees and zero minimums for retail brokerage and retirement accounts. just another reminder of the value you'll only find at fidelity. open an account today.
130,000 new jobs last month. 3.7% is the unemployment rate but participation rate went up nicely, we are pulling back a lot of people back into workforce and that's a big positive. at 9:30 the market opened and we went up again, remember up 300 yesterday, 200 the day before that, we will get real close to all-time record highs for the stock market, the only gain in town, then along comes hong
kong, protests starting all over again, some of them violent and vandalism, another challenge to xi jinping, my time is up but neil it's yours. neil: thank you very much, we are monitoring protests in hong kong because the chinese thought this would be settled by caving on the extradition issue, they have another thing coming, we will be talking a little later n with ambassador. we are monitoring that, jarome powell who will be talking to members of the swiss national bank, the prospect of cuts
IN COLLECTIONSFOX Business Television Archive Television Archive News Search Service
Uploaded by TV Archive on