josh: i am josh green. john: and i am john heilemann. never settle for second best. josh: in our lineup tonight, hillary clinton's cleanup, but first, rick santorum is ready to roll. he then i on the magic rocks in the corner of your screen. that is the santo screen, getting ready to officially jump into the 2016 raise.

he was the runner-up to mitt romney, and he starts this time where he was last time, at the bottom of the heap. josh santorum today said he is ready to do it differently this time. do you see rick santorum being a first-tier candidate again? josh: i think anybody can potentially be a first-tier candidate, but the problem for santorum is that he wanted last time in iowa, and he is pulling in single digits. he may be in a single digit so it is not a good reflection of santorum if people are supporting and at such a low level. the fear that his time may have passed, he may have had -- he may have a harder climb to the top. john: getting hot at the end, that is what happened in 2012. against a weak field. he got hot at the right moment. the problem for him this time is

a much more crowded field, as we said before, and a lot more people playing in his lane. you think about mike huckabee, a prior iowa winner, and you think about scott walker and ted cruz, guys who are really strong. he will have a lot of time making space for himself and catching fire in that way. josh: among the social conservative field, his ties to the blue-collar workers areas his idea the last time around is that the party lost because mitt romney was a plutocrat. he is making his announcement at a manufacturing facility. he is someone who can make that connection with working people that republicans had a hard time doing. john: he is one of the few republicans that have come out with a rise in minimum wage, although it is a small one. when he talks that economics, he can be very powerful. his biggest problem in 2012, which he would not acknowledge

and he should have stuck to the economic message come he got dragon to be social issues and started talking about cultural issues that started blowing up in his face -- stuck to the economic message, he got dragged into the social issues. hillary clinton is in south carolina for the first time since the primary, where she suffered an epic loss, and her husband caused an upset. seven years later, hillary spoke in south carolina at the democratic women's caucus. she sure sounded like she belongs. former secretary of state and senator hillary clinton: think of them on election day. they grow grayer and gray are, and then by the time they leave they are as white as the building they live in. now, let me tell you. i am aware i may not be the

youngest candidate in this race but i have one big advantage. i have been coloring my hair for years. [laughter] john: she has been making that joke with donors for the last couple of weeks. josh, i think it is quite funny. do you think hillary clinton can repair the damage that was done almost eight years ago with south carolina voters with her and her husband? josh: i think she has served being barack obama's secretary of state. and there is no real competition for the democratic nomination, so i do not think south carolinians, a are getting for another option and b, have won if they wanted one. john: help your line is not going to be a hospitable place for martin o'malley or for bernie sanders in a way that iowa and new hampshire could conceivably be. enthusiasm off the charts, and if you think about the obama

coalition, she will do fine with women and will do fine with hispanics. but she needs to do better than fine. this is what this is about, not just repairing the breach. josh: two people in the corner exciting african american voters, barack obama and her husband, bill clinton, the may have a little repair work to do in south carolina but who has shown a long history of being able to do that. john: i thought you were going to say michelle obama, who i am sure will be out there campaigning for her. and if you crave mafia drama played out on tv, you could have watched loretta lynch and the gaggle of speakers today. i'm sealing a 47 count indictment against some of the top people who run international soccer accusing them of being about as corrupt as -- well there is no way to compare that,

because nothing is as corrupt as fifa. racketeering, you name it. one person was left on indicted -- unindicted. can loretta lynch on her own with the power of the u.s. government clean up u.s. soccer? josh: they are relying on the act and are going out. projecting their strength in the world, and as you said, you'd be hard-pressed to find an area more in need of cleaning up more in need of a good john wayne style american sheriff and soccer. the dredge day, why is the u.s. attorney general waving off into this instant of the other things she should be working on -- wading off into this? john: they have been working decades to get this information. it is such a symbol of the

corruption of soccer that the notion that he somehow would be left off, i do not think you can clean up fifa without taking them on to the question now is if they will roll on him. coming up -- i like it that josh agrees with me. mark does not always do that. at the santorum moneyman will talk to us from the center of the universe today pennsylvania, when we come back. ♪

joh rick santorum is about to get things going, and we spoke with his biggest fan foster friess.

is this truly a loyalty thing or do you think he would uniquely make the best next president of the united states? foster friess: the reason i am excited if he has one of the best chances of winning because of his track record. you will remember that in the last go around, he won 11 states, more than all of the other non-romney candidates combined, who only won three. and if you look at his terms in the house and senate, he defeated incumbents, and he is getting a lot from the caller conservatives, and i think that is what we need to win for the republican cause to show that we really choir -- care about the guys who work, the workers, making a point about the republican party. there is an incredibly great message for the creators.

josh: there are three tickets. does rick santorum need to finish in the top three in iowa in order to be a viable candidate? foster friess: well, i do not know the political machinations. when mccain ran out of money and he showed up in new hampshire carrying his own suitcase, i think it is more the issue of the longer haul. we will see. i just think rick has a powerful message not only speaking to the american worker and the blue-collar worker, not just the elite, but there is the global jihad movement. there are very few with their

names in an isis magazine as an enemy, so rick is important, more important than health care, climate change. whatever you want to mention, we must deal with this issue in the years and maybe decades ahead, and he has been writing about the conversations and cooperations between ahmadinejad , the previous president, and also where they have a lot of jihadist camps, so rick has all three. number one, he has the national security the fact that he is very active in this area in dealing with them, the global jihad movement, and also very strong on the economic front because was one of the people that stood up with the balanced abutment -- balanced budget amendment, and was the first guy to come back with the rollback of federal entitlements where

he did welfare reform. at age 38, rick santorum. john: i went to ask you, we do not have much time with you. i want to ask you quickly, to the extent that rick santorum is a viable candidate going forward, with his track record in this age of super packs, people look at other people like yourself as potentially giving him the ability to compete by donating large amounts of money to a super pac that might support him. i saw a quote the other day about the donor contacts, you said you were going to be less noticed and lower profile. does that mean you are giving him less money? foster friess: last session, i was pretty naïve, and i was getting requests to fund dogcatcher is in little towns of missouri, so i think i want to be more low-profile, and the amount of money that i give will be between me and my family and

rick, and i just want to mention, some indication of support, my charter flight cost me $26,000 to come out here to be with him an interview with you, so i just want to let you know that i believe he has got enormous support. john: 120,000 donors. foster friess: i think it will be more grassroots than the big-money guys. john: does that mean you will be supporting him less generously than last time? foster friess: no, i am not saying that. i am just saying i want to keep my financial plans to myself. maybe if you work real hard, but i will make it hard for you to find out where i am giving and how i am giving, but i think the exciting thing is the grassroots perspective of rick's campaign.

way up in cabot pennsylvania, there are 36 different states represented, about 15 people coming up and the main thing about rick santorum that people are craving is authenticity. we see so many people who shifted their positions. rick states in his position because he thinks it is great for the country and great for the american worker, and that will resonate very powerfully. john: we have to leave it there. thank you very much for taking the time to talk to us. foster friess: well, it is great to be on bloomberg. you have a great reputation helping people to know the truth, so thank you for your good work. john: once again, foster friess. when we come back, rick santorum's speech. ♪

john: rick santorum's announcement speech is underway. rick santorum: we lust over 100,000 jobs in what seemed to be overnight. that has to and did leave a mark on all of us. afterwards, big government and big business told our workers that times had changed. american workers could no longer compete with low foreign wages and that those jobs were gone forever. well, what about those politicians? for all of those years, what did they do? what did they do for communities across this area and across this country in small-town america? they had no plan, and they provided no hope, and to that, i say no longer.

[applause] rick santorum: as middle america is hollowing out, we cannot sit idly by as they, government politicians make it harder for our workers and then turn around and blame them for losing jobs overseas. working families do not need another president tied to big government or big money, and today is the day -- today is the day we are going to begin to fight back. [applause]

rick santorum: i am proud to stand here among you and for you , the american workers who have sacrificed so much to announce that i am running for president of the united states. [applause] rick santorum: i offer a bold vision for america, one that is clear and conservative, that has plans for reforms and has a proven track record that i had with my time in service.

step one in taking back america. step one, let's scrap the corrupt federal tax code and the irs that goes with it. [applause] rick santorum: it is time to give america a simple, fair flat tax. [applause] rick santorum calling it would create millions of good paying jobs -- rick santorum: it would create millions of good paying jobs. powered by the shale revolution and the renewable revolution powered by those two revolutions , we have regained the title of the world leader in energy

production. [applause] with low-cost energy and our bold plan, i promise you, we will regain the title of a leader in world manufacturing. [applause] rick santorum: and that is not all. we will shrink government. we will reduce spending, we will revoke every executive order and regulation. [applause] rick santorum: we will revoke

every executive order and regulation that cost american jobs. [applause] rick santorum: from day one, we will work to bring back america and put americans back to work. [applause] rick santorum: american workers deserve a shot at these jobs. john: that is rick santorum, doing his announcement speech. josh, what do you think? josh: about what you would expect from rick santorum. he talked about government about families, and we were told in advance he was going to talk about blue-collar jobs, lifting

people out of recession, and the tax, i think that is something you would expect for a candidate like him, but what surprised me is him talking about not only a shale revolution but a renewables revolution could you do not normally hear republicans talk about renewable fuel. john: one of the most striking things to my ear and we did not hear the whole thing, you do not hear an emphasis on social issues almost exclusive issues about the size of government, about economics, about that kind of stuff, and we talked about this earlier in the show. rick santorum was when he was a threat to romney, he was a threat because he had the strength of the evangelical community, but he also had this populist economic message, which he managed to, as we said before, he lost sight of that in the key moments of the campaign

particularly in the michigan primary, where he got dragged into socialism, and it is clear if he is going to be a viable candidate this time, because there are going to be so many candidates competing for evangelical votes he is going to need to find a way to trim those things up. he cannot abandon the evangelical things because that is the core of his faith, but he has to go to the economics that gives in a foothold in that is different from where the other republicans are. josh: where this race is different, and the message they said was look, we are fine with social conservatives. they trust us. this is not something we have to go out and emphasize. the challenge for santorum is he needs to differentiate himself from as many as 15 other candidates and there are three ways they think they will do that. one that i think we got caught -- cut off on was foreign policy. for years, he helped impose sanctions on iraq, iran, and

syria and i think he thinks that will differentiate himself. rick santorum has always been against thanks, and the final one is that he more than establishment republicans like jeb bush, like mitt romney can connect to blue-collar workers and give that kind of earthy manufacturing vibe that he seen to be going for in his speech today. john: yes, given where he stands in the polls today, and given this whole new fresh crop, it is hard to remember what happened back in 2012. rick santorum really did come from nowhere. it was a surprise, and in a lot of ways, it has been lost to history, the role that he played, but we have not forgotten. our memories are sometimes as hazy as the puerto rican son. -- sun.

take a look at this, about rick santorum in 2012. >> remember rick santorum? the name sounds familiar. you're tempted to google it. maybe you should not google it. sure, he is polling around the margin of error in iowa, but the last cycle, he went from the very back of the pack to eventually winning the iowa caucuses, airily. game on. then, disappointingly, he came in fourth in new hampshire and third in south carolina, but he would not go away. rick santorum: we are still here. >> winning the trifecta, and states like louisiana and alabama, winning the nomination and embarrassing mitt romney and occasionally himself. he even campaigned in puerto rico, capturing some rays. rick santorum: it takes a lot.

>> in april, he suspended his campaign, seconds and the delegate count but forever first in fashion. >> amazing thing, that sweater vest. john: there he is, in that sweater vest. josh i want to know in 2012 how many times were you inspired to put on a sweater vest yourself? josh: not once. john: you were not in the hunt for the republican nomination. josh: true. i will not be this time either. john: you in a sweater vest will be something to see. josh: you are not going to see that. john: we are not done with rick santorum. we're coming to an end of "with all due respect," and we will have more of the rick santorum speech and more importantly post game analysis with josh and we are on the scene in pennsylvania with santorum. we'll be able to talk for

everything he said and where he is headed in the republican nomination. please, do not forget that this show is on three times a day and at 11:00 p.m.. until tomorrow, for me and josh, sayonara. ♪

alix: we are moments away from the closing bell. this is the "bloomberg markets." i am alix steel. alix: the name of the day is rally. you are looking at nasdaq closing at a record high while the dow and s&p seeing its best day in two weeks. tech leading the way, seeing its biggest game in four months, a record high. finally playing catch-up to th