seconds away on "the kudlow report," poor earnings and revenue drop the dow 121 today, but all the indexes did manage a weekly gain. yes, the spanish flu sweeping through europe. we are not immune from it here. plus the colorado movie shooting, evil people unfortunately do tragically evil things. we are still a great country. we're going to talk with former colorado governobill owens. "the kudlow report" is moments away. apple, invest. not trade. i like to say there is always a bull market somewhere. i like to try it for you on "mad money." i'm jim cramer. i'll see you monday. hey, larry, what do you have for us? soft corporate earnings and revenue plus the spanish flu infects our markets here. good evening, everyone. i'm larry kudlow. this is "the kudlow report." we are going to get to our top story on the colorado shooting in a moment. first, poor earnings and

revenues here and debt problems in spain drag down the dow 121 points. it was, however, up for the week. cnbc's brian shactman, what can you tell us? >> for the first time earnings took a back seat to europe. the euro weakened. walmart, ge, chevron the only dow gainers. bank of america flirting with a six handle. despite the slide in the dow all three managed to hang onto slim gains for the week. back to you. >> all right. we'll have much more on markets shortly. also this evening president obama and mitt romney cancel all campaigning after the worst mass shooting in american history. 71 people shot, 12 killed at a midnight movie outside denver. forget the debate over guns. evil people unfortunately do tragically evil things. i believe it's not indicative of our great country.

we are going to talk with former colorado governor bill owen and john timine who ran the police departments of new york, philadelphia and miami. we are going to take the pulse of america from the country's best radio talk show host. let's get the latest on the colorado shootings that left 12 dead and more than 50 wounded. nbc's miguel almaguer is there. >> reporter: the emergency calls rushed in as people flooded out. the victims soaked in blood. some carried out by family and friends. >> seven down in theater nine. several down. >> reporter: police say the gunman, 24-year-old neuroscience graduate student james holmes wore body armor and was armed with an assault rifle, 12-gauge rifle and two glock handguns. minutes into the batman movie he opened fire. with his hair died reddish orange he said he was the joker.

>> 71 people were shot. 12 are deceased. >> reporter: witnesses say he tossed what appeared to be smoke grenades. then pointing his weapon into the air, fired a single shot. movie goers dropped to the ground. some ran for the exits. then the suspect opened fire, spraying bullets at anyone who moved. police found his parked car outside the back door of the sold out theater. >> he surrendered out any significant incident to officers. >> reporter: tonight detectives have no motive and say holmes acted alone. four miles from the crime scene police swarmed his apartment. >> his apartment is apparently booby-trapped. we could be here for hours or days. >> reporter: using a hook and ladder fire truck and a camera on a pole police discovered multiple incendiary devices. tonight, colorado's third largest city is in shock. a community grieving. miguel almaguer, aurora,

colorado. >> all right. many thanks to nbc. today's shooting was one of the deadliest in the united states. we are remembering the 13 killed at ft. hood, texas, in 2009. the 32 killed in virginia tech in 2007 and the 14 killed at columbine high school in 1999, just to name a few. we just also remind ourselves that evil people do evil things. these senseless acts of violence are not indicative of our great country. joining us now is former miami police chief john timine for the minister of interior in bahrain and bill owens. governor owens, thank you both for coming on. you were governor at the columbine tragic high school shooting. when you got up this morning and heard about this aurora story what was your first thought? >> larry, just exactly that. here we ego again. what a tragedy.

it wasn't that many years ago we had columbine. here we have the same sort of misguided, sick individual that kills innocent people. i agree with your comments. this is a great country. crime has been falling dramatically. we still have these sorts of challenges and we are living with one tonight again in colorado. >> before i get to chief timine, bill, what happens in the community here? there's got to be fear, anxiety. the losses will be huge. so many people are going to be involved. everyone will be praying for them. what happens when you have the columbine disaster, what happened? how might that be similar to what we'll do in aurora? >> you know, aurora is my hometown. i raised our children there. it i have been to this theater many times. it is in our old neighborhood. the community will come together. it's the great thing about colorado and this country. this is a horrible tragedy. our hearts are broken.

but you look at the way people come together, the way the red cross rallies. the salvation army, the state, the emergency responders. it makes you proud that this is an aberration, that it doesn't happen often, thank god. when it does, we learn from it. we get better by it. we move on. i think that's what colorado is going to do after this latest tragedy. >> chief, good to see you, sir. welcome back. >> thank you. >> tough night. a lone wolf, somebody acting alone, armed to the teeth, chief. is that about the hardest thing to stop? >> without a doubt. that and a suicide bomber. this guy took his time. clearly he booby-trapped the apartment. took the effort of getting four separate guns, two handguns, an ar-15. this guy was coming in to get a high body count. it's horrible.

it's almost every other year if you go back over the last dozen years. every year we see it happen. it's not just in the united states. we saw it in norway, scotland. however, it's starting to happen in the u.s., i hate to say it, with some kind of regularity which is disturbing. >> it could be a terrorist. we don't know anything about him yet. just a little bit about his background. maybe we'll learn more if they get into the apartment. chief, from a security standpoint what do you have to do to the movie theaters? americans are not going to be crazy happy if the theaters have metal detectives. what's going to happen? where does it take us? >> you have to be careful. as much as humanly possible you have to assume a normal life. if you look at england today they have been so concerned with the security surrounding the olympics that there is an inability to get around to the

different venues. you have to calibrate. clearly you want to be security conscious, but it can't be to the point where people can't move freely. where it takes an hour and a half to get in to see a movie. you have to be reasonable. in a case like this, the lone wolf, my sense is the only way you get to know about this is a family member, friend or neighbor noticinging something. he's acting strange. that's situations they should call the local police. other than that if somebody is hell bent on committing such an act there is little to be done. >> governor owen, raising the same question to you. what are the current governor and police going to do. what will you do in theaters in colorado. how is that going to work now? >> you know, it's truly an aberration. i don't think you can defend every venue, every bit of the time from every crazy person. crime is dropping dramatically in the united states.

violent crime and gun crime. it's a horrible thing to have to remind ourselves of that on a night like tonight. but it really is. we are probably not going to see armed officers in every movie venue across this country because of this lone gunman. some good came out of columbine. we saw it last night. columbine, the tactic was you surround the school, wait, consolidate, hold and move in slowly. last night the police were there within 90 seconds of the first call and they moved dramatically in and the results could have been worse. >> governor, are you going to do anything? can you help, operate? you say you are from aurora. what role do you want to play now? how can you be helpful to bring people together? this is a moment when people need to be together, it seems to me. what role do you want to play? >> i will do anything i can to help.

we have a good current governor. he's doing that tonight. i have talked to the current governor, given him a little bit of advice. it's time for coloradans to come together and all of us donating, trying to help. we have community meetings. we are going to learn from this, be better by it. we are not going to overreact. we are going to grieve together and move on as americans. and try to learn from it. >> chief, there is some talk today by various commentators in the entertainment business that they are worried about copy cats. what do you think? >> i know ray kelly in new york, i was with him last week. he's concerned. that's always a possibilities in these cases. somebody looking to get 15 minutes of fame. you hope it doesn't happen. that's a distinct possibility. fortunately i think the governor pointed out after columbine one of the benefits coming out of

that, if you will. police training changed as a result of how to deal with an active shooter as opposed to isolate and contain where you have to confront the individual. we've got to be on our guard. but we can't put up security to the point that we can't live semi normal lives. >> would it be a good idea, chief, if people didn't come in to theaters with masks on and outfits on. i hear in new york city they are banning people. seems across the country that wouldn't be a bad idea. no masks, suits. nothing that looks like something that could be threatening. >> i completely agree with that. you want to see who's coming. i was in the airport today. you go through the screen. you have to take the sunglasses. people want to see who you are. same thing for the movie. what's the point of bringing in a knapsack to a movie? i understand kids carry them. i think there should be

prohibitions of bringing things in such as a big knapsack that could contain weapons or a bomb or things of that nature. in the new york city subway system your bags get checked before you go on. unfortunately this is the time we live in. it's unfortunate. >> chief, thank you very much. former governor bill owen. i wish you, sir, all the absolute luck and prayers in healing what happened today in colorado. thanks for coming on the show. coming up, both presidential campaigns take a deep pause after the overnight shooting in colorado. they are calling for prayer and reflection. is our country's culture in crisis or was this a random act of an absolute mad man? later in the show we turn back to stocks. sell rs had their way with stocks today. july's gains are gone. our market pro will try to tell us with why. don't forget, free market capitalism is always the best

path to prosperity. i pray, as i know all of you do, for the families involved in this terrible thing in aurora, colorado. i'm larry kudlow. we'll be right back. i'm barack oba ma and i approve this message. [romney singing]: oh beautiful, for spacious skies, for amber waves of grain,

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welcome back to "the kudlow report." there are going to be other days for politics, said president obama today. particularly contentious campaign weekends with a note of solidarity for the candidates who each addressed a nation stunned by the tragic shooting in corado this morning. cnbc's chief washington correspondent john harwood joins us now with the details. good evening, john. >> good evening, larry. very few things can stop american government and politics in its tracks, but the horrific events were one of those things. president obama cut short a campaign visit to florida and cast himself as someone who identified as parents all over the country. those victimized by the shooting and those who weren't. >> michelle and i will hug our girls a little tighter tonight. i'm sure you will do the same with your children. for those parents who may not be so lucky, we have to embrace them and let them know we will be there for them as a nation.

there are going to be other days for politics. this is a day for prayer and reflection. >> as flags flew at half staff over the white house and the capital, mitt romney in new hampshire struck precisely the same somber tone. >> ann and i join the president and first lady and all americans in offering our deepest condolences. for those whose lives were shattered in a few moments of evil in colorado. i stand before you as a father, grandfather, husband, an american. this is a time for each of us to look into our hearts and remember how much we love one another. and how much we love and how much we care for our great country. >> larry, we'll see how quickly

politics gets back in this election year. both sides took down attack ads in colorado. mitt romney is scheduled to go overseas to the london olympics next week. president obama has campaign events scheduled. a spokesman said we'll keep you advised of changes in the schedule. >> many thanks, john. we appreciate it. here to share with us the pulse of the nation, two distinguished nationally syndicated radio talk show hosts. welcome to the show. before we start, todd, you had a listener who called in to voice concern about civil liberties. let's listen. >> it goes back to me to civil liberties. you go back down to this situation here. you've got to have a police officer. what's next? are we going to be patted down before we go into a theater? >> todd, how did you answer that? >> first of all, larry, to the people of colorado very near and dear to my heart. i'm an eagle county property owner. i was just in colorado last week. my sympathies and thoughts go to

all those affected. they are concerned. we have occasional tragedies which are rare in this country and people are concerned that this could be the beginning of an encroachment or another attempt to take away civil liberties. people are concerned. >> michael, what were your listeners saying when they called in? i want to ask you, was there speculation about who this evil guy is -- what, who, where, when? that kind of thing. >> not so much. we had answers about that to begin with. one of the things i think is important about this is this helps to rebut the notion that somehow the people who commit this kind of crime are all people who are left on the margins of society. they are poor, left out. they are the victims of bullying. this guy was 6'3". he graduated with highest honors from the university of california at riverside. he was a grad student at university of colorado denver. a lot of listeners were concerned as people are

instinctively with the idea that simply if you get rid of guns you will get rid of this event. i would refer them to the kind of event e that occurs in other countries where they do have tighter gun laws like norway where 70 people were killed recently. >> besides the gun law issue were there questions about this guy's motive? in other words, was there a buzz out there? we know his name and so forth. i don't want to repeat it on the air. >> right. >> but the things he reads, whether he's part of a political party. you know, video games or anything of that. are people looking for motive here? >> of course they are looking for motive. there is a lot of speculation. a lot of rumor out there now. the story is going to unfold. the bottom line, larry, we live in a country with 312 million people. you will have people who snap and go skra crazy. it's unfortunate but it is a reality in a free society. >> what was your toughest questioner today, michael? >> uh i had somebody who thought

the cia was behind this. i don't think that's a tough question. there is a general sense and i'm trying hard to lead people away from it with my listeners that when something like this happens it is a symptom of a sick society. you will remember as i do in the 60s when john kennedy and robert kennedy and martin luther king were killed it was a sick society. when the texas school book shooting, the tower shooting where people were gunned down at random, was that a sick society? we look back on those times almost nostalgically. evil is eternal. >> to me this is an important point. i believe this is the greatest country in the world. unfortunately with 300 million plus people there are real evil people. real nut jobs. we just had one right here.

do you agree? did your listeners agree with that? >> listen, i spelled it out simply. when these things happen, these are events that happen occasionally. luckily, thank god, they are rare. but in a large country with a large population base you are going to have deranged individuals that are going to commit horrific acts. >> we'll leave it there. thank you. michael med ved, todd schnitt, we appreciate it. up next, we'll ask our market pro. stick around, we'll be right back. [ male announcer ] before you take it on your road trip...

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today marked the worst day of the month. the dow is down 120. the nasdaq down 41. losing all the giens for the month. jim le camp of ubs, good evening. you sound particularly pessimistic in your notes. you're saying the market is going to hit a new low. can you expand on that? >> yeah. technically the market looks fine. at this time last year the market looked fine and we went on to new lows. i'm concerned the market has under estimated what's going on in europe. the bank runs going on there and how quickly the funds in the efsf are dwindling. the market is too complacent and

they are too eager about getting qe-3 and we look at revenues on stocks. they are about 46% or beating. that's the worst number we have seen in a long time. >> the revenue sales on stocks on earnings reports, are they coming in low because of a poor global economy and a poor american economy? >> look, larry. investors are seeing things going on around the world. it's tied in to revenues here. we are seeing the slow down in europe, in china. if uh you look at what commodities are doing, they are not confirming rallies in the market. we are not seeing lumber improve. we are not seeing copper improve. we are not seeing base metals improve and treasury should be selling off on rallies. it would indicate money coming out of bonds into stocks. that's not happening. investors are listening to rumors about healing in europe. we know it is not healing. qe is uncertain. >> as reagan used to say you

have shown me the manure. where is the pony. i ask you, where is the light at the end of the tunnel? >> i'm optimistic. i think we'll have one more sell-off. we'll see tremendous opportunity in stocks. stocks are more nimble, lean and mean. sometime this fall we'll see opportunity. >> all right. thank you, jim. great way to end it. trading the globe with amanda drury and tim seymour next. thanks for watching. see you monday. [ male announcer ] it would be easy for u.s. olympian meb keflezighi

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