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tv   Cavuto Coast to Coast  FOX Business  August 22, 2024 12:00pm-1:00pm EDT

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it's a great sound. what your pick? ibly2 i want to say 3 million. if you round them all the answer is 3 million. so there you are. ibly1 i believe it is 2.84 million. 2. 7 to 4 million. chicago is the third most populous city in america, 30 ninth most populous city in the world, that's wonderful music, don't know if you can hear it but it is truly beautiful. that's it for us from chicago. time to turn it over to neil and coast-to-coast in four seconds, two seconds. it's yours. ibly28's great. thank you very much. we are looking at the same thing you are looking at. a mixed market today, two big events, everyone focused on kamala harris's big speech tonight but the one that might
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pay more attention to is the speech in jackson hole, wyoming. i'm talking about the chairman of the federal reserve, jerome powell. edward lawrence knows him on a first name basis which is why we go there, because he's there. he could be doing this remotely but we want him there and the fed insists on it so there he goes. i always talk about we pay attention to these politicians and what donald trump has to sandwich kamala harris has to say but for the moment but guy who matters more at least near-term for the markets is jerome powell. >> i did bump into the fed chairman earlier this morning, said hello to them. he is asking is asking about you. the federal reserve has made up a pivot. they are focused on jobs that. we saw the benchmark revision, they want to see how jobs are going forward. the inflation risk has come down a little bit, but with the pulmonary benchmark revision,
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for the federal reserve president we talked with this morning, those revisions will not change the fed's path. >> we need to take this with a grain of salt. >> does it change your view of monetary policy? >> we are in a place right now where we start taking action. >> politically it's an issue. gina romano hours after the revisions were put out dismissed it saying when donald trump used it in a campaign speech, she commented. listen to this. >> when i hear that, i don't believe it because i've never heard donald trump say anything truthful. >> it is from the bureau of labor. >> i'm not familiar with that. >> he wasn't familiar with it but when it comes to the other side of the bed the mandate the boston fed reserve mandate, susan collins said she sees a
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methodical step down when it comes to rates hinting possibly 25 basis point cut in september and she's watching the consumer closely. >> overall i see quite a bit of continued results in consumption and also stress pockets in areas which i am paying careful attention to so i do think that is important. overall still in a good place. important to preserve that. >> our credit card delivered sees a red flag for you? >> i'm not seeing a red flag. i'm looking at all of it. >> reporter: she sees that methodical step down as they do the right cuts. she is a voting member for next year. that's the message, a slow, methodical rate cut is what we are going to see through mid next year.
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ibly28 when i look at the backdrop of the teton mountain range behind you it really is a stunning locale. i don't know how they focus on that. all right. >> there' s a moose laying down in the brush back there. we talked about this. that's one of the fed governors. ibly28 gets that a lot. good stuff. that's the best i could do. edward lawrence, great job in jackson hole, wyoming. what a stunning place. been there multiple times, love that each and every time. we are watching very closely what the fed could be hinting at. they seem to be joining around this notion of a cut in interest rates next month. probably accorded point. that is kind of a building consensus statement. where are you on this? >> this is a big week. the market wants to know if jerome powell will give us
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hints. is a 50 basis points? markets are conflicted. you were discussing the bls numbers that were overstated, we saw unemployment jumped to a 3-year high. we had good news, employment claims came down, retail sales numbers came down, inflation cooling. it' s a tale of two economists. was the fed too slow and will they turn a slowing economy into a full-blown recession? the market wants to see some actions. 50 basis points would be bullish for markets. the market wants to see a decent cut in the september. ibly28 take the fidelity and some of these others that have been having very tempting money market rates, they are as stingy as ever. you are lucky if you get it to
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tenths of 1% yield but a lot of money has gone into these safe investments where doing nothing at all you are getting that much on your savings, those days could be ending. what happened? >> really good point. as a wealth manager our clients come to us and say where can i put my money to work so as rates come down investors are happy, getting 5% on cds or treasuries so investors have to get more creative on ways to get yield so two things could happen. it could push investors into the market which could be bullish for stocks but sometimes when you see volatility if the fed is dropping rates because we are in a full-blown recession and you get market volatility, you get investors even though you should be buying, this is a shameless plug but we created a treasury fund, 99% treasuries get to 7% yield because we have a little bit of an option
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overlay so i think investors will look for options to where they can sell and buy options to generate a higher yield than they would get from treasuries. ibly25 heard variations of that, you do what you do extremely well. the motley pool has a great feature on people who do this sort of ladder build upon various notes and bonds and cds so you get this 6% yield that lasts a little longer, don't know how long it will last but the reason i keep mentioning that it is in an environment where rates are going down. that's one thing for savers to address but if you are borrowing or looking for a mortgage, the latest indications are 30 year fixed-rate mortgage continues going in and out of the lowest levels we've seen in the better part of the year, almost a year and a half, what do you make of that and the impact that could have? >> the biggest impact of rates,
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wall street benefits but it is consumers. the middle class has been has been a challenge for families to put food on tables. you fat inflation the last 3 or 4 years that really made it difficult so home prices, the rates come down but my concern is has there been too much damage to the housing sector where if rates come down, if supply is not there does home prices go up? we could be in a world where rates go down and hope prices still go up because the supplies and there to keep up with demand but for the consumer it will be a good thing ultimately and the dollar coming down you can see energy come down as well so all those would be positive for the consumer. ibly220 thanks for taking the time. david nicholas, nicholas wealth management, he knows of what he speaks, he speaks english though it goes right through my thick skull. madison alworth has been doing a great job in chicago at the democratic convention, this is the big night, kamala harris's introduction to the american people. when you think about it, even though she has been vice president for almost four
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years, a lot of us don't know her but this is sort of the big introduction, isn't it? >> it absolutely is. the opportunity for vice president harris to make a pitch as to why she should be president harris to her party and to the entire nation who do expect her to talk about her background and the differences between herself and her opponent donald trump but there's also hope that harris will share more policy positions because at this point, she has only laid out economic policies and they have a lot of people concerned. there's been no detail how her economic plan would be paid for or and acted but she did rear rate the need for an earlier this week. >> we believe in the future of our country. we believe in a future where we lower the cost of living for america's families. when i am president i will bring down the cost of groceries by making sure markets are competitive and fair.
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>> reporter: without full details as to how this is going to be paid for, analysts have said her plan could add $2 trillion to the national debt and looking at specific items in her plan, expanding the child tax credit would cost one. one trillion dollars and her plan to provide $25,000 in federal down payment assistance to first-time homebuyers would cost one hundred billion dollars. people want things like affordable housing and affordable goods but some economists argue spending like this would make inflation worse and make both housing and goods more expensive. than there are the real concerns about what price controls would do to the economy and businesses. harris is promising a first-ever federal ban on price gouging for food and groceries but many argue price controls don't work and it has not been made clear how they would determine if price gauging is happening. with food producers pointing out grocery store margins are
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at 1.6% last year, the lowest since 2019 and no plan for how this would be paid for. only thing we can look to that harris said she would raise the corporate tax rate from 20 one% to 28%, that would help fund some of the spending, this is just a little bit of the pie, harrison her campaign haven't said anything about energy policy, or foreign policy and that could add to the deficit as well. ibly28 get home safe after tonight, and in the meantime i want to go to karl rove. and a report that robert f kennedy junior. by bowing out of the race and supporting donald trump tomorrow. what do you think of that?
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>> his support in national polls has gone from 12% to 15% at the top down to 4% to 5% so assuming his supporters go one way or the other, it could have an impact. and and they play to a positive role. jill stein got more votes in wisconsin, than donald trump and hillary clinton, and in 2020 joe jurgensen. and donald trump lost those states. those outcomes were driven by third-party votes. exactly where we don't know. in a close race it could be positive. ibly28 the issue is in battleground states.
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the battle for 270 electoral votes. i've not taken the latest look at those battleground states outside of knowing they got tighter. what's your sense of where they were standing now. >> we don't, where president biden began to consolidate democratic support. and in arizona and michigan. bottom line, it is tight. if you look at where the general averages are. and one state was pennsylvania, whoever wins pennsylvania,
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whoever wins pennsylvania wins the election. it is going to be tight. the polls that are run the first week of september will show her head. it is a race to the end. take a look at 2016 on this day, and this is going to lose by a total of 77,000. and 7.6%, he ended up winning by what he 2918 votes in arizona, georgia and wisconsin. in 2016, we had 150 million voting in 2020.
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a handful of votes, the real politics average, one. 5% that would suggest she's going to lose the election if she doesn't get better than that. she will get better than that between now and labor day because of the bump of the convention. ibly28 a lot depends on donald trump. if he sticks to the issue, he's been listening to you, she -- he gets into the name-calling it often says he only does that because the other side called him names but i keep track of the name-calling and he leads by a lot with the name-calling including -- childish name-calling. is based loves it. and your thoughts.
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>> talking to a wise democrat. she can't when it but he can lose it. he has a big advantage in the polls but rather than talking about differences in a concrete way so offering a positive solution to those problems for what he's going to do, he spends his time, he will touch on that but spend a lot of time saying the greatest hits which the media has become inured to and then saying weird stuff. given a choice between taking a little bit about what he says about how she has failed and he has got an answer they would jump on the weird stuff and they do. unless he gets more discipline, the democrat strategists had it right, she might not win it but
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he can lose it. it. 20 he will respond 10fold and they got what they want. >> he is taking it too personally. we want him to rise above it, they want both sides to rise above it but his is so continuing and so visible and so pointed and personal that he looks like he is doing it more than they are doing it to him. ibly220 i come from an italian family where they go to funerals and they forgot completely why. it has been decades. maybe it takes a long time to go. i left you dumbfounded. >> i will leave that between you and your family. ibly23 sean o'brien, there's a reason we want to talk to him
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because of his canadian rail strike. that involves him in the united states but about this highlight of the democratic convention to which is not invited. the latest after this. [♪]
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neil: the rail strike is on, prime minister justin trudeau says will impact the country. possibly our country as well. >> reporter: just over a year ago rail freight came to a standstill, the two major railways locked out close to 10,000 employees after months of contract talks, primarily about working hours and fatigue. and supply chains, even if it means jeopardizing the entire economy.
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this is devastating to the economy, estimated to hit $30 million each day, spanning industry like agriculture and auto manufacturing. both companies set their -- industry groups say it could impact our own rail companies no matter how interconnected the networks are. accounting for 16%, that's $150 billion moved between the us and canada last year. some of the cargo could be rerouted to us courts to bypass canada altogether and there will be our cost to be congested with the influx of ships. trucks could take that burden but what i am hearing is nowhere close to the capacity needed. update on where we are right now, the canadian labor minister joining talks all day
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and try minister justin trudeau shared that we can expect to hear more soon and emphasized the need for a quick solution. neil: i don't believe this is -- could you educate me? >> we are affiliated with the teamsters, one hundred 50,000 members. i'm getting on a plane later this afternoon to support 10,000 members who have been locked out. this is a large part of the organization. neil: what is the issue. they want to expand the schedules, less break times and also not paying attention to our demands and safety. they've seen what happens in
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the us and palestine and ohio and other places. you can't sacrifice safety and/or family time at home while chasing record profits. it is the same playbook use two years ago in the united states. lauren: 20 this comes at a time, the last and final night of the democratic convention to which you've not been invited. it would be hard to fly up to canada now even if they did. how do you feel about that? >> they will definitely invite me. neil: how do you feel about that back-and-forth? what happened? as far as not being invited? >> i don't take it personal. one thing i pride myself on is representing the people who let me represent them. i've been in situations where i spoke to the rnc, maybe far left extremists, democratic extremists don't want to hear loud critical voices which i
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spoke at the rnc and called them out in the same corporate elitists have different names in different identities but are involved in the democratic party. i have a job to do this week. neil: you say you don't take it personally but if you include everybody, 160,000 union workers, that's a big number. you have been very impactful and getting friendly strikes resolved on behalf of men and women, why aren't you taking it personally? >> we have 50% or more members who are republicans so have to represent them as well. and the democratic interests and republican interests. i'm going to do that. if people choose not to invite us i think my members take it more personally than anybody. lauren: 20 will you pass on supporting either candidate this year?
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>> we have polling going on. we have a meeting with the general executive board and we won't release the data to the most important people and be transparent with membership. we have a ways to go. we haven't endorsed any candidate until after conventions have been concluded. neil: i don't mean to be rude but you wouldn't be a little influenced by your fellow colleagues supporting a party that clearly didn't want you to come to its convention? >> i have been not invited to certain arenas and that's okay. that dictates what i need to do, fight for american markets. of democrats don't want the most influential union, shame on them but i will be focused on taking care of teamster members.
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neil: i talked to some of those who say shame on you for doing anything good about donald trump. only a couple days after the assassination attempt. you were critical of what donald trump had to say with elon musk, on striking workers and firing them. there is that. it is sticky. i am wondering if there is any way to approach it. >> like i said the other day if someone says something, don't care who you are, i will call you out on it. the dnc chose not to have me there. we make choices and there's consequences for everybody's actions. at at the end of the day they will need us more than we need them. neil: that is probably an understatement. they could argue we have a new
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nominee, the old guy is outcome a new person in. has there been any contact with kamala harris's people or a roundtable meeting, discussions soon after the convention. would you bother with that? >> they reached out last friday and committed to a roundtable. any employer hire someone before they do that? >> and they are committed. we've got questions like we do about what their stance, and right as an organization. >> the ultimate decider, will be what? >> are member's input and transparency of our members. we pulled all our members and done three or four different
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polls and release the data so members understand where membership is trending. neil: now that you are dealing with this strike issue, and >> i making sure i didn't miss it. neil: keep us posted. good having you. sean o'brien, president of the teamsters. a lot on his plate. he's addressing democrats at their convention. amelia, weather. 70 degrees and sunny today. amelia, unlock the door. i'm afraid i can't do that, jen. ♪ (suspenseful music) ♪ why not? did you forget something? ♪ (suspenseful music) ♪ my protein shake. the future isn't scary. not investing in it is. you're so dramatic amelia. bye jen. nasdaq-100 innovators. one etf. before investing, carefully read and consider
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neil: you are looking at midtown manhattan, big commercial property area among the most exclusive ones and the fact, sort of like the mobile of commercial real estate telling me those officers are filling up, 75% capacity, they are going to see it. what do you make of this. it's not just tumbleweed blowing here, but occupancy going on. explain.
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>> people look at occupancy and say we are at one hundred%. no office building was over one hundred% occupied, people work from home, people work from their clients office. 75% or 80% was the benchmark today in new york, for the last month trending around 72% in occupancy. that is new york. neil: even at the depths. >> if you look at the national average, 50 today, and they are trending up in occupancy because they are coming back. and industries like that. diane: so much a great story but the residential real estate, it's a whole different commercial property. no one wants them to go but
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belly up. a klain what happening. >> if you look at demand, year-over-year in new york, that takes up 9.7. if you translate that, it's 22, 23 million of take up of demand and lease is done and committed. that puts us at the best year since post covid. what drives demand is companies growth. we see companies commit to growth. a large investment manager, and the need to come back to work to create.
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neil: not every industry is doing it remotely. >> that is the work at home numbers are coming down gradually. and and classe invested, the younger generation in that environment, attention to detail and retail, and these amenities allow them to offset the costs. >> it is fewer deaths 6, more coffee areas.
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>> >> we have a one size office, office is more on the interior, more collaboration. neil: what is more residential with that? >> you see more hospitality sector. you see people meet and convene. they are providing conferencing of 200 people. these are trends i mentioned in the break so it addresses needs of all the workers of every price range. madison: the amazing amazing amazing. i can see why in and outside
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and no downtime. i'm so glad i did it. it was successful in every way. to learn more, call today or go to gentlecure.com neil: there is a lot more going on. what is happening? >> a smorgasbord of headlines. 's is chick-fil-a cooking up tasty new entertainment options, launching a streaming service, chick-fil-a is working with several production companies for family-friendly shows and licensing content but
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they couldn't share any details at this time, visitors to an ancient wonder delivered a snack by drone. it is offering drone delivery on a section of the great wall of china underneath beijing. the drone could deliver anything from food to medical supplies and operates in an area where there haven't been any concessions available to visitors. it might feel a lot like summer but according to starbucks always here. the coffee giant's menu is returning to stores and you can get your pumpkin spice latte with new items like iced apple crisp non-dairy cream and raccoon cake pie which is dipped in chocolate ice cream and a raccoon and if you want to get boozey.
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and if you think it feels a little early this year, they are two days earlier than last year, the most popular seasonal beverage of all time, sold hundreds of millions. neil: to send those from the wall. >> you are watching in china. neil: it won't affect you. he's obviously a pumpkin spice guy. it does show stuff to consumers and the consumers are not entirely tapped out. it depends on the price point but what do you make of it?
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>> consumer spending, 70% of the economy is driven by consumer spending. looking at quarterly reports, they are showing for consumers are being selective in what they are buying, more money is going to essentials, less spending on goods that are higher priced. look at travel, the revenue per available room, the number is coming down, travel is down 4% year-over-year, delta added a bunch of seats to planes, saying we can't fill them. what we are seeing is the wealthy are doing pretty well. small businesses, families, middle and lower class struggling. the detail of these economies, who is going to win this battle? we are seeing breaking signs.
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lauren: 20 when companies, gigantic software concerns like snowflake even if they beach revenue and earnings, if they get a tepid hint at guidance, game over. that the relentless theme. >> there is this big, 30,000 pounds thing in the room with this elephant, the elections. i don't want to discount what i see with clients where americans say i am going to see what happens, republican or democrat. before i buy this new car or vehicle i want to see what happens. i see the sentiments showing up incorporate earnings, the next two quarters, we are on a wait and see approach but that is good for investors. when i extrapolate the data, you shake it all out, it's either hard landing or soft
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landing. you've got to duck for cover. i think this shakes to a soft landing. when we see weakness in the equity market, this is a good buying opportunity. i don't think we will see the 2008 prices. if you see slowing it is a soft landing, the fed's best case scenario for the us economy. neil: the fed will cut rates next, two more cuts expected, quarter point with each of those. is that in keeping with the steady as she goes theme? >> benchmark is interesting with jerome powell, not sure he will give the market the meat he wants or specific number. you get 25, 50 could spook them market, something more the fed the seas, 25 is the baseline and continues to get free cuts
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through the end of the year. that's good overall for markets. neil: wasn't long ago we worried about inflation. anything that hints of a recession scares traders. seems like these days bad news is bad news and good news is good news. >> back in a world of reality, when bad news was good news. as investors it is hard to manage, back in a world, reality meets the data. good news is going to be good news, markets share that on. bad news ultimately means we are leaning toward a 50 basis point rate hike.
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we get reasonably okay news and soft landing is the base case for myself and most reasonably minded investors. neil: most reasonably might be generous. we are following that. interest rates expected to go lower. it extends to mortgage rates so the trend for now is the friend. no one puts more love into logistics than these three. you need them. they need a retirement plan. work with principal so we can help you with a plan that's right for your team. let our expertise round out yours. what tractor supply customers experience is personalized service. made possible by t-mobile for business. with t-mobile's reliable 5g business internet. employees get the information they need instantly. this is how business goes further with t-mobile for business.
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meet the jennifers. jen x. jen y. and jen z.
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each planning their future through the chase mobile app. jen x is planning a summer in portugal with some help from j.p. morgan wealth plan. let's go whiskers. jen y is working with a banker to budget for her birthday. you only turn 30 once. and jen z? her credit's golden. hello new apartment. three jens getting ahead with chase. solutions that grow with you. one bank for now. for later. for life. chase. make more of what's yours. neil: they are confirming the body of michael lynch was recovered from the yacht disaster last weekend. madison scarpinot. >> believe to be lynch's 18-year-old daughter. the video may be disturbing.
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divers recovered the bodies of lynch and four others yesterday after a violent weather sunk luxury yacht in a matter of minutes. lynch was reportedly celebrating his recent acquittal of a us fraud trial with his family and people who defended him. 15 of the 22 on board survived and the body of the onboard chef was found just hours after the disaster but there is still questions how the super yacht sunk so quickly. the yacht manufacturer describing the boat's design. >> the sailing boat is known is the safest in the most absolute sense, they have little surface compared to a yacht facing into the wind. with the structure they become unsinkable bodies. >> reporter: italian prosecutors reportedly investigating the cause of this tragedy.
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neil: i was curious, they still don't know the exact cause, how some escaped and others did not. >> maritime experts, to different conclusions, the 5 bodies came from inside that yacht. neil: in the meantime we are keeping a close eye on the corner of wall and broad, some news that everyone is agreeing almost in complete unanimity we will see them cut rates, quarter point is the bedding, jackie deangelis and "the big money show" guys. we 16 great to see you. i'm jackie deangelis. lydia: i'm lydia hu. brian: i am brian brenberg

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