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tv   Kudlow  FOX Business  August 5, 2024 7:00pm-8:00pm EDT

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larry: hello, folks. welcome to kudlow, i'm l arry kudlow. markets crashing today deep doodoo, for a third straight trading day. charles payne will help us but first hillary vaughn at the white house with the latest, how are your indexes today? >> i have not been looking, to be ignorant to what is going on. here is white house if you think that friday's bad job report was a nightmare are about biden-harris white house would be wrong biden-harris economic time insists what they are doing is working they will keep doing it. >> it is not a change in course, but it is a continued commitment to the course that we've been on.
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>> are we in a recession. >> we're not in a recession. reporter: we could be on the brink of a recession, economists at goldman sachs believe that is more likely today than it was before raising odds from 15% to 25%, we tried to ask president biden here if he is worried about it did you high didn't stop to talk. >> -- he didn't st stop to talk. >> are you worried about a recession? mr. president? are you worried about a recession? reporter: the tr trump ccampaign said that market melt town could have been prevented but biden-harris economic policies have caused it. >> a lot of their economic policies were predicted by economists on the left to lead to where they are now, they went ahead with it, as kamala harris said she say
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radical who didn't listen to common sense. reporter: and the harris campaign doesn't seem too have reyets about how they have handled the economy, they are drafting some people from biden's economy team, jean sperling is moving to maris campaign, a sign they are not throwing out bidenomics playbook, they are keeping it for 4 years. larry: can't wait. now, the latest on today's major market sell-off u, kelly o'grady with more. reporter: i have red here. there is a lot of questions regarding are we enter could a recession or a market correction? let's look at what why -- where the major indexing finished dow down over 1,000. this is off session lows. the dow took more of a turn, it came back a little bit
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but it is close to where it was at lowest point. looking at big tech. allred, nvidia down over 6%, alphabet close to 5%, they are beneficiaries of big inflows of the a.i. hype, a lot of folks say that sell-off is more of a correction we're seeing profit taking or if we're approaching a recession you move away from these growth stocks, another area getting clobbered is crypto, bitcoin fell below today, a lot of folks taking money out of riskier assets with overall volatility, the sell-off is not just happening in u.s., japanese nikkei closed down over 12%. the worst day since 1987, and crypto currencies
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shedding a bunch, investors are concerned there is a flight to safer assets that we're seeing. >> all right, we will track it. thank you kelly o'grady. recession risk grows larger, stocks get clobbered that is the coming of the riff. >> yep recession risks larger, stocks clobbered, investors who were irrationaly exuberant a few weeks ago for running for hills there may be politics to story as kamala harris, polling better than joe biden of the, that say low bar. no matter what she says, we know she hates business. real meat and potatoes is rising unemployment coupled with falling consumer sentiment and overall
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recession-like weakening of the economy. without question 1% point rise in unemployment rate suggests that economy is on the front end of a recession. just last monthly 352,000 people joined unemployment lanes and last year number of unemployed reached 1.3 million. and jump is worrisome for unemployment. even broader measure of labor market weakness. the so-called labor impairment or under implemployment rate leapfrogged to 7. 8%, that includes part timers who want full time work and discouraged workers who left the workforce that is the soft under belly of biden-harris labor market. over the last year biden and harris policies led to half a million more part-time workers, and actual neg av-- negative half
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million drop in pull time workers and catastrophic open border policy led to increase 1. 3 million foreign born worker thinks, a shakier economy than most of media has been willing to admit and, a recessionary first half of 2022, real gdp fell 2 c consecutive quarters, much can betrayed to affordability prices. hourly wages have risen 17%. for three and a half years plus, typical families, working folks of all different stripes have suffered a pay cut, what ronald reagan called take home pay, their taxes have
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gone up not down, it is too expensive for them to live in biden-harris economy. now, other recessionary indicators, plunging home building and sales, weaker consumer spending continued to decline in factory surveys, stock markets hate recessions because they drive town profits. -- down profits and they are mother's b bill milk of stocking and lifeblood of the economy. and everyone flames the fed, but the fed has been pumping in money since financial meltdown i in 2008 and wall street has always loved easy money. the 20 trillion dollar yen carry tread, for investors on wall street in t tokyo borrowed ultra cheap yen
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that trade has come to an end with 92 days before presidential election question is, who do you trust to pile up the emergency e american economy out of the danger zone. kamala harris will continue the biden-harris war on fossil fuels and big government socialism, it is anti-business. mr. trump, on other hand, he is the pro business guy. and high un he understands you can't employment without employers, if you are worried about an economic or stock market fell meltdown who you will trust? me, i'm taking the business guy, a shocker, joining me now taylor riggs and charles payne thank you, kids. a lot off my chest there. >> good.
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larry: charles what do you think about this. >> good for you. >> i agree. all of the above. >> just, something for everyone here. >> there is. it is you know, you started off in talking about powell and how j. powell taking the blame, they there has been easy money, everyone is hoping that j. powell come to rescue, he is between a rock and hard place, the fiscal side of it continues to pump in cash. larry: right. >> you know they make his job impossible, and other part is of all this sell-off that most fascinating part is small caps. in july, when president trump had a dominating lead over president biden, the small caps went crazy, one session we had never see your standard deviations, back to 1900 with the dow,
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19 28 with s&p, we never seen an index take off like, that in has given it all back that right there is a proxy for how at least investors feel about a harrison presidency. >> fair, taylor riggs, recessions will breed falling profits, profits are mother's milk of stocks. i have said it a million times, you could talk about the fed until you are blue in the face, business shows talk about this fed this and fed that, charles is right, they are between a rock and hard place, what are they going to do? a crazy -- the reality is a recession will hurt stocks, they cannot prevent a recession in next year. >> we woke up and say market not the economy. but i think today we're
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pricing in what a slowing economy or a risk session looks like within the markets, we had a huge run-up some of big tech stocks up 40% year-to-date. how are we now recap great -- recalibrating when data changes with labor report we're seeing is this a healthy correction, they are good in the market, they should happen every an months or is this a recessionary idea coming, you have profits that slow or negative. no profit, all of that is market trying to figure out what are we living in. what is it? larry: charles, i'm argue, it has been a shakier economy than reported. for several years now, almost a full term. because of the level of consumer prices, beating wages that is one point, i
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think that working folks in middle, typical families, hardhats people that work with their hands not folks on wall street, not the folks on silicon valley, i'm not against the those just in a since, what we called middle america. they had trouble affording this economy for several years. and these chickens are coming home to roost. >> they are coming home to roost, you go to that 1.9 trillion dollar so-called covid relief package that was the pending -- the tipping point, a notion you could print as much money as possible, i tell people we have come a long way from chicken in every pot, this is crazy. ironically it will benefit the top 1%. look at warren buffett's portfolio, one of the rich the richest men in world all he invests in now are industries. and average american watches
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credit card go up it will get worse. it is been a thing where it boggled my mind when i see anyone in bottom 80% of this economy thinking they would want to vote for a vice president harris. we have seen a shifting of the guards biden president see has ushered in a new democratic party of the elites, and wealthiest people. and everyone else is suffering. larry: it has been soft under belly for three and a half years, people forget, the reality is first half of the 2022, inflation shock caused 2 quarter down turn in gdp then a bump from spending that charles described. that is not -- you said a chicken in every pot, i love, that but an ev in every rich pot. every rich person. >> and we'll pay your
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college loans and give you earned income tax credit that was designed for poor working families. larry: we're a long -- the yen carry trade is falling apart. >> yes. larry: too technical. but it is 20 trillion d dollars worth. >> when the yen is weak easy to borrow, that now the yen is strong, japanese currency, you are caught on wrong side of the trade, sell equit to close out that. larry: i knew that i worked on other business channel for so many years. >> so many technical things but really big worries about global growth if sneeze -- if the u.s. sneezes does the rest of the world catch a cold. larry: china bad consumer spending in u.s. and china. >> you heard it from every multinational, from mc donald's say we're worried
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about the chinese consumer and starbucks the same thing there is a global consumer figuring out how we're no longer spending when we were a year ago. larry: and i just want to conclude the technical part of this show, okay. the fed can drop rates, this month or n next month or after, that it will not impact the economy in a serious way for at least a year, the fed can't bail us out, they cannot bailout the mistakes of the past, they can't. they can bailout mark market from a total collapse, look at fiscal policy, look at spending and the borrowing, look at middle class suffering, the middle class is under water for three and a half years. we have never seen anything like this. >> heartbreaking. larry: you worry what when fed cuts does that ric re-- reignite inflation, it does not help lower and
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middle income classes, a different game, charles payne and taylor riggs, charles, making money on wednesday 2 p.m. eastern, what is the name of the book. charles. >> unbreak able investor. >> i sold on the radio for offer, taylor, is the bottom line, is that the name -- big money show. >> big money show, god help me, brian brenberg and jackie deangelis, big money show here on fox business working overtime appreciate it. >> for you larry. larry: on kudlow, why is joe biden appeasing iran. not deterring them? like i got your home phone number, i know your home address also. we have congressman m mike walz, later on we have steve moore, we'll have art laffer and steve forbes puzzle over the stock market
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larry: biden administration worried about potential iranian strike on israel. fox news peter doocy with latest from what white house briefing today. what are they saying? reporter: we would love it if there was a white house briefing. but, there is not we'll just piecing it together. we know that from what we have been told president biden and vice president harris spent a good amount of afternoon in house situation room getting a briefing from spy chiefs about what iran is believed to be planning, meeting had to wait until, president biden could get home from delaware, where he spent the weekend, he has estimated 4 th4,000 sailors and marines repositioned in middle east to help israel, following t ayatollah's lead. >> we have make darn sh
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sure we're ready, to defend ourselves. reporter: on biden call with king of jordan leaders discussed effort to deescalate regional tensions. in delaware president said she is not sure what will happen next. >> mr. president, do you think iran will stand down? >> what? >> do you think iran will stand down, sir? >> i hope so. we don't know. reporter: and he doesn't have anything else on schedule for the rest of the day on public school, we watched as vice president harris' motor cade left white house campus we believe the meeting has wrapped up, she is back to widdle down her vp short
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list. larry: quickly, you may not know this yet, no one way. mentioning the american troops on alert, are they thinking about using those troops? any kind of iranian attack? is there that thought out there? reporter: no, it seems that anything that these troops would do, based on what we know about their training and what they have been doing would be defensive to help israel find off or beat back an iranian attack. but, there is no belief they are sent there to fight in iran or anything like that. larry: all right. thank you peter doocy on white house lawn. >> thank you. >> florida congressman mike waltz, a retired green beret, i was watching peter doocy's report, you know can see stop iran he said i don't know, i hope so, it has a feeling of appeasement
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and we're lost in our policies. and thank goodness for israel. how do you see this right now? >> you know, larry, i'll take everyone back to the schoolyard and biden and harris and antony blinken and sullivan, they are like kids that got picked on by the bully, their response was to find more lunch money for the bully. if i give you my fruit roll up with my lunch money and hey, buddy give them your haham sandwich on top of it maybe the bully will be nice. donald trump, you have to punch the bully in the mo mouth, you have to escalate to get bully to deescalate. i want to remind everyone that harris thought taking out soleimani was a bad idea, and biden opposed o obama talking out osama bin
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laden. we should not be surprised if we appease better and harder m maybe everybody will be nice to american and allies this is so druz dru dangerous, i fear in next 48 hours we'll get more people killed. >> congressman mike waltz, you talk b about appeasement. i think mr. trump and israelis for that matter, pput it to mullahs and leaders of iran and hamas, and hezbollah, we have got your phone number, and we know your home address. if you take -- just like this incredible you know they -- israel took out the hamas commander. in middle of tehran, right now the of a spy novel but this is real that sends a deterrent message, wu we need that, they -- mike w
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waltz, they won't even go back to total sanction the on iran, they won't do, that the bidens. >> no. larry, here is what you walk out of house situation room and do i know from th trump would do, unleash american oil and gas, drive down prices in world put putin and iran's economy on their back foot, you pass secondary sanctions on chinese buyers, brokers and shippers, you say, a single missile drops on a singling israeli head and all hell the drop on you. the big winner in this, it is the ayatollah but really china. the forces that were throwing into middle east, that aircraft carrier was diverted from the pacific, the mus missiles used to
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shoot down 50 million dollar drones we need those in the pacific we don't have many of them. china gets cheap oil and to watch the u.s. you know chase its tail in the middle east. again. this is not only dangerous now, but dangerous for the next generation, and god help us, if we have 8 more years of this appeas appeasement strategy with kamala harris, i can't wrap my mind about how dangerous that is. >> congressman waltz thank you, appreciate it sir. >> coming up we gave you the market experts. now we'll talk to the economic philosophers, the pithe best of the best, art laffer, steve moore, and steve forbes, we have kudlow i av available as podcast episode each day after the show.
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larry: if you have a big downturn coming, stocks, economy or both, who do you trust? the business guy? or the anti-business guy? joining us now to talk about it art l laffer former reagan economist, and steve moore and steve forbes. fox news contributors. art laffer, start with you, you are a market guy and f philosopher, what do you trust, i don't think that it will collapse. we're on front end of a recession and what could be a bear market. do you business the business important or anti-business. >> i don't want the person that brought you the crash.
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i really don't want, they brought the crash, with bad policies, the anti-business people, they are no different from hoover in my mind, slightly less damaging wbut same type of policies, i trust trump every day of the week, twice on sunday for bringing us a good economy. >> why is that crack up cracking up. >> it say realization. kamala harris could win. i don't think she will, also japan is in trouble, they are over in debt worse than ours, that market you saw 12% drown yesterday. -- down yesterday, realizing that dragged it all down and the rest of the world is in poor economic shape, where are growth pro prospects coming from. larry: why. >> from the u.s. >> i don't see, this is a pause. the world growth does not enter into the lexicon of
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mr. biden or ms. harris, trump at the convention talked about growth, and growth tax cuts and tax cuts, growth and growth. he is the only guy on the world stage, i think, much less the you know the political stage here in the states, who talk the language of growth. >> that is true. and also it put in policies of growth, ie cut taxes if kamala harris gets in she does not need congress she has regulatory state behind her, they will do what they want heck with what courts say, we'll have an avalanche of regulation, we will not be able to get rid of stuff put down our throats now that will bear down on the economy. we'rwe're in for a big downturn, if we're down the world is down, we have to lead world out like we did in 1980s with ronald reagan pro-growth policies and pay attention to federal
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reserve get over the idea to depress t the economy. cut taxes, and good things' happen. larry: cutting interest rates is not a solution that could reinflate. >> keep a stable dollar. larry: steve moore, you are a long time editorial writer for the "wall street journal," okay, you know it is coming. so today, i want to ask you, today, our friends they are individual friends of ours -- they are good friends of ours, come out gai against trump idea of reducing social security benefit taxes that could be indexed to inflation, threshold 25 thousand dollar with a bump to 35,000. that has not been changed. if you did change, that the new basis for inflation today would be 80 thousand dollars, which would be a nice middle class tax cut. would reduce the overall tax burden on retirees, so they
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would go out and work and produce. now what you in the lord's name can be that bad. >> i like the policy, and i think that when you look at seniors who say are between ages of 63 and 70, or even a lit little bit higher, half of them are still working or collecting or investing, and you know we'ra an aging population we like to see people who want to continue to work, stay working. that is a good way to stay healthy by the way. and the policy today, i want to make sure our viewers understand this i don't think that anyone in washington understands it. the average tax rate on someone who continues to work after the age of 63 or 64, collecting social security benefits can could 50 or 600 or 70%, highest tax rate of any worker in american economy we fixed a little bit of economy you were clinton when we go the rid of some earnings tax,
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this sun fair to seniors -- this suthis is unfair to seniors, a great policy for those who want to continue to work, encourage that let's not punish them. with the very high taxes, i think the journal got it wrong today. larry: be mindful we have already paid social security taxes. >> thank you,. larry: for last 50 years, and we're being asked to double tax it. i'm not messing with the earnings tax at-this-point that complicated but mere the simple -- look, art laffer you wrote a book on this, simple idea of indexes of inflation indexing, a threshold, a tax threshold that has not been touched in 40 years, how can that be bad? the journalist turned to green hi saids they are wrong, the they -- everyone
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improves, i don't know. everyone -- no. three out of 4 of people in this segment are shall we say, senior citizens, how is that. i got one at least over 80, a couple in their 70s, and then -- >> i am 64 now. >> i got one high schoolkid only 64. art, i think that the bigger point i'm making, trump is the business guy. i think at-this-point in time in history we need a business personal the hillm, hthe helm. larry: >> we do, and i wish they chosen steve forbes as his running mate to be honest with you, i loved your opening comments. larry: now your cooking. >> we need to lower tax rates on working output employment and continue trump agenda of business first, what he did under tax cuts and job access is second to nothing, he cut tax rates from 35 to 21ers.
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cut personal income tax we need to bring people off sideline into the labor force, we need to get this country growing and going again, this the interim, we need to treat seniors. people over 80, say moi, tretttreat them nice, sweet and polite, and trump knows how to did it, he is a senior by the way. and i don't think that kamala harris is. there you go. i treat a senior. larry: 80 is the new 60. >> true. >> 80 is new 60 we can hope about, that steve. >> many ways i'm younger than all of you for the record. larry: one high schoolkid on the sig am. on the segment. steve forbes, i don't think it is unfair, maybe it, it is, i said in my opening riff that kamala harris is
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anti-business, i think she hates business and joe biden hates. maybe i'm not 100% right, i have seen nothing in their policies over last three and a half years to suggest they like business or under central role of business in the economy. remember our old friend late great jack kemp, said, democrats love employment, they just don't like the employers who create the jobs, that is still the democratic mantra or worse. >> yes, they just takings for granted, somehow it will be done. and like you go to grocery store, just assume it will be there you have no idea how it gets there. they have no appreciate for it they see scoundrels to be fleece forward their own programs, one thing new congress has to do hopefully republican get rid of crazy budget rules that prevent republicans from the tax
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cuts. -- and scoring with no real world relevance we will see america being great again, and if we're doing great, the rest of the world w will follow. larry: important point. steve moore, why do you think stock market wo -- went down so much? do you buy that profits of mother's milk of stocks. >> i'm not saying recession. >> recession threat. >> yeah. so, but i would say, that trump tweeted out today or his truth social, that this was a kamala crash, i think there is a bit of truth on that. 10 or 12 days ago, trump had about 12 point lead now down to 1 because of this
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something i have never seen before, where they treat kamala harris like she mother teresa. in the press. , i think that you know, it gets to your point. kamala harris is bad for business, she is bad for investors and the stock market. i think there is a bit of convulsion there among investors who are getting nervous about prospect this woman could be president. i don't think that will happen, i'm younger than my friend art laffer, i don't remember herbert hoover regime. i know art was there. larry: they say nancy pelosi said that joe biden should be on mount rushmore let's leave it at this at laffer, you have been giving market advice for a long time, what advice do you give now? >> right now, the just to answer the question about trump versus kamala harris. trump has actually written
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checks that other peoplek have received. kamala harris has only received checks that other people have written se she has never been in a entrepreneurial position, and never relied on market, she has only been on receiving government checks not writing checks, for employees and employers, i think steve is correct, the rise of kamala harris that is scaring the heck out of people, they are reassessing market prospects. i think that is really what you are seeing. and steve is right on that. >> all right. steve is right on that. we'll end on that note, steve is right on that. we found something. steve moore thank you, art laffer, steve forbes appreciate you. >> next up, if you will have an economic crack up, who do you trust as your president? the business guy or the big government socialist we'll have rich lowry and tudor dixon when we come back here on set, stick around, i'm
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>> we have our political experts, similar question who do you trust as president. business guy or the big government socialist.
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joining us on set rich lowery. and tudor dixon -- rich lowery and tudor dixon. i am told on gutfeld tonight we're the warm up for that welcome to you, tudor dixon who do you trust? do you trust the business guy, i argued in my riff that miss harris -- ms. harris hates. if i am wrong i will apologize. but everything that she has talked about, they don't like business, they are not for business, this is a business collapse we need someone that understands. >> it shard for american people -- it is hard for american people to know who is better because they know nothing about kamala harris, she has been great at
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concealing who she really is, our job to focus on fact she will crush business with climate policies, she said she the shut down fracking, that means bad things, we have seen it happen today, she is not saying anything, she is the stand in president, we have not heard her talk since we had a crises in stock market. larry: when will she talk about any of this only thing i saw saw, on friday, unemployment shot up they put out a press release from her campaign, not her. but the campaign, that donald trump was to blame for the july 2024 hike none. in unemployment. a little bit of a reach. >> most extraordinary 14 days in politics, amazing things happen she has ascended to presidential nomination, without a fight and we have not heard one word from her in or own words about it we had on tarmac hostages came home from russia she it a word salad, one sentence that
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made no sense, doubling up on itself. a lot of polling has changed. one thing that has not changed president trump had a massive lead over biden on the economy, that is still true, who you help you more financially, 45 percent trump. larry: "wall street journal" poll shows said thing on immigration, economy and inflation. he had huge leads. >> he should talk about to. >> rich lowry, campaign manager, a point there, stay on message. right, stay on the key points, honeymoon for kamala harris vice presidential pick, mr. trump should stay on those messages, he has a great message. >> absolutely, because, that is what the people in the midmiddle of the country top hear this michigan a new change to the minimum wage now restaurants are concerned they will go out of, so many workers are
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like, mr. trump, please tell us you will help us, that is what they want to hear, he will help people that need to get through what could be a coming recession, he needs to be there for them, he needs to focus on that. the other thing that are go on, all of the noise, it is meaningless to people who are like i just want to be able to feed by babies every day. larry: the, position is a middle class position he understands that businesses create jobs. you kill the business off you kill the jobs off, rich lowery, kamala vice presidential candidate will be. >> josh shapiro, i think she would be an idiot not to pick hupp, him, she has a couple short listers that are in swing states. tim walz i don't get, like
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msnbc folky guy. >> thank you very much rich lowry and tudor dixon i'll be back with my last word. f youe cashbacking you could earn on everything with just one card. chase freedom unlimited. so, if you're off the racking... ...or crab cracking, you're cashbacking. cashback on flapjacks, baby backs, or tacos at the taco shack. nah, i'm working on my six pack. switch to a king suite- or book a silent retreat. silent retreat? hold up - yeeerp? i can't talk right now, i'm at a silent retreat. cashback on everything you buy with chase freedom unlimited with no annual fee. how do you cashback? chase. make more of what's yours. [ applause ] the day you get your clearchoice dental implants changes your struggle with missing teeth forever. it changes how you eat, how you feel, and how you enjoy life. it changes your smile and how others smile at you. clearchoice network doctors have changed over 100,000 lives with dental implants,
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a perfect day for a family outing! shingles doesn't care. but shingrix protects. only shingrix is proven over 90% effective. shingrix is a vaccine used to prevent shingles in adults 50 years and older. shingrix does not protect everyone and is not for those with severe allergic reactions to its ingredients or to a previous dose. an increased risk of guillain-barré syndrome was observed after getting shingrix. fainting can also happen. the most common side effects are pain, redness, and swelling at the injection site, muscle pain, tiredness, headache, shivering, fever, and upset stomach. ask your doctor or pharmacist about shingrix today. larry: that's it for kudlow, thanks for watching, folks. (dramatic music)

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