tremendous value there i would buy it here. >> joe >> intuitive surgical. >> john? >> erin, thanks for being here. >> thanks. "power lunch" starts right now. >> president trump just finishing up a one on one with ""squawk box's"" joe kernen. his news straight ahead. plus comcast shares rallying today, officially dropping its bidding war for fox. what should our parent company do next? stick around to find out special "power lunch" series "dangerous jobs" continues, a meteorologist who chases deadly tornadoes to save lives. "power lunch" starts right now. >> welcome to "power lunch."

glad you could join us i'm tyler mathisen nasdaq staring potentially at its first back-to-back losses of july melissa mentioned disney it is the biggest gainer in the do right now ibm also higher on the back of its earnings beat. crude oil up saudi arabia's opec governor easing concerns about oversupplying the kingdom's exports for july will be roughly in line with those of june michelle >> thank you, tyler. we begin this hour with breaking news joe kearnen just spoke with president trump at the white house, a wide ranging interview from trade to russia, to the federal reserve and the man he put in charge of it, chairman jerome powell. >> i put a very good man in the fed. i don't necessarily agree with it because he's raising interest rates. i'm not saying i agree with it and i don't necessarily agree. i must tell you, i don't i'm not thrilled

we go up and every time you go up, they want to raise rates again. i am not happy about it. but at the same time, i'm letting them do what they feel it best. i don't like all of this work that goes into doing what we're doing. you look at the euro and what's going on with the eu they're not doing what we're doing and we already have somewhat of a disadvantage although i'm turning that into an advantage last year, and for years, we've been losing $150 billion with the eu nations, with the european union and they're making money easy. and their currency is falling and china, their currency is dropping like a rock and our currency is going up and i have to tell you, it puts us at a disadvantage i'm just saying the same thing that i would have said as a private citizen. so somebody would say maybe you shouldn't say that as a president. i couldn't care less what they say because my views haven't

changed. i see rates going up i see china where -- look what's happening with their currency. it's dropping like a rock. >> steve liesman joins us now to give his reaction. the independence of a central bank bank, this will be controversial, what he said. isn't it >> because the president said it, criticized the federal reserve, he has now made it political. the idea of our central bank, most of the major central banks around the world is that they be independent. all of a sudden now fed policy, the issue of raising rates, lowering rates, it's always been political but never spoken about by a president my nerm isn't perfect, my research is not necessarily perfect. the closest thing i can find to this is back to 199 2 or '91 when george h.w. bush said i appointed greenspan and he

disappointed me. >> that's after the fact. >> after the fact. >> not in the course of what the fed is doing. >> i'm doing my best, melissa. i do not believe in our modern history there is an analog of a president talking so openly and, i guess, honestly would be another thing. and critically of fed reserve policy chairman powell gave an interview and he said that the federal reserve is independent and he doesn't really follow the ongoing, in terms of the political side of things i also am pretty sure that as chairman, jerome powell has not met with president trump. >> he described himself, the president, during the campaign as a low-rate guy. >> he's in real estate for goodness sakes. >> that's exactly what he said steve, stay with us.

on the newsline, frederick michigan, nominate e mishkin. thank you for being with us. >> good to be with you. >> what is your reaction to what the president just said and how, if at all, does it affect the independence of the fed to do what it thinks it needs to do in the best interest of the economy? >> well, there has been a -- there was a change in the way the president dealt with monetary policy after h.w. bush, starting in the clinton administration a body of research and experience indicated that leaving the central bank to do its job to properly control inflation was essential to the health of the economy and keep control of inflation that was adopted by -- under ruben, treasury secretary, and that has persisted up until now, that the idea that the central

bank has to look long term, which politicians usually look short term and also the key which is you have to sometimes take away the punch bowl from the party when it's getting good. it's been well understood by previous presidents after h.w. bush this is a change, not a healthy change and i will say that the appointments have been excellent appointments in that sense he has been doing what he should be. we've seen in countries where this kind of thing happens, it is actually bad. classic example recently is turkey where the turkish president has been making comments about the central bank should not raise rates, put a lot of pressure on them. what was the result? a lot of inflation this is not a good policy from

the administration but this is donald trump. >> ric, we know he doesn't like raising rates. is this specific comment damaging in any way? >> i don't think it's a super big deal in the sense that he qualified it by saying that they need to do their job and i have confidence in the federal reserve chairman certainly it is new and it's not particularly welcomed. >> what do you think the affect will be on jerome powell, anything >> i think very little the federal reserve has a tremendous tradition of being apolitical i never once -- i spent five years, two as a governor, three as chief economist with the new york fed i never saw discussions that said because of politics or

pressure, we're going to do things different that was not true, by the way, for example, under arthur burns. it is an apolitical organization to do a good job in managing the economy and not be involved in politics and i think that that's not going to -- >> the effect may not be much on chairman powell but the prism through which we view powell's actions will be changed, at least for a while. if, for some reason, the fed decides not to go through with a december or later on this year, not this next expected hike but the next one after that and cites trade, aren't market participants going to say, i remember those comments from president trump who said they did all this work to bolster the economy and there they are, raising interest rates, working against us it's the perception that matters at the end of the day. >> we're always going to wonder. >> exactly, we'll wonder if he

was fueled by the president's comments. >> i think that may be overplayed jerome powell is a -- as long as the fed communication is good, they will not have huge impacts. that could change, by the way if, in fact, the president and republicans who support the president start to actually become much more it's a comment the president made we don't know how it will proceed further. >> frederic mishkimishkin.

>> larry, always great to speak with you. >> thanks a lot, melissa good to be here. >> is there some truth to that, the differential between u.s. rates and rates around the world will only grow at a time when rates around the world aren't expected to rise either? >> it's easy to carry that currency i have to agree with something that your previous guest, mr. mishkin, just said he said i appointed a good man as chairman. he then also said i'm leaving them to do their job.

>> trump adjusted, right and so, no, i do not think this will have any effect and i don't think it's an attack on -- >> larry, there's this one line in here that you could read any way you like at the same time, i'm letting them do what they feel is best as if the president, indeed, has the power to let them do or not let them do. there's a chilling aspect to that, right? if you were on the board saying i'm letting you do it for now. >> not a bit larry kudlow and haslet have said publicly in the last month several times, each, that they completely support the

independence of the fed and that the fed should do what they do no, i don't think creating a hypothetical here -- i think it's the contra positive of what he said, is a useful tool. i'll tell you, steve, when i heard the president and the fed i expected much, much worse. >> the dollar index right now, and the dollar is falling. what do you make of that is that overfraction the markets considering what you think >> well, i'm not allowed to say buy or sell. but i do not think that this will affect interest rate policy

at all, zero powell is a strong, independent person if he wanted them to change policy, he wouldn't do that. so, no, i don't think anyone should change their investment strategy because of what the president just said. and if you adjust it that it's donald trump -- >> it's mild, you would say, larry. >> it's air. there's nothing there. >> larry lindsey, thank you very much tomorrow morning at 6:00 a.m. eastern you can see the entire interview with president trump. ""squawk box"" will unpack it all for you tomorrow morning let's go to bob pisani at the new york stock exchange.

robert >> s&p futures rose three or four points. obviously the president expressing his desire for lower interest rates, that's certainly no surprise. we saw the s&p move up three points and basically back down yields down a little bit banks down a tiny bit. i look at this line from the president. then i see rates going up. rates certainly go up when the economy gets better. i think the fed raised 50 bases points so all of this sort of makes sense. what moved the market this week, interestingly, the president can usually move the markets not this week. better earnings and jay powell's testimony moved the markets. he was a big hit with the markets. powell talked about gradually raising rates for now. the market took for now to mean if things go bad, something goes sour, i'm going to stop raising rates. they like this talk about 2% inflation. very small numbers there they like that as well

finally, the president is talking about the dollar and a little bit about europe. when you're dealing with foreign exchange, there's an enumerator and a denominator. the economy in europe is weaker than the economy in the united states, number one number two, there's a lot more political issues over there, particularly with italy. i certainly would expect the euro to be weaker against the dollar right now things seem to be unfolding well right here i understand the president's desire for lower interest rates. >> here is the question that i had when this first crossed. i read that. i saw the sound bite and i thought you know what? what if the fed laid off on raising rates, would that be welcomed by the market or the market sell off on it? the notion being that -- >> or fear that they listened to the president. >> exactly. >> first thing that would happen would be, what does the fed see that we don't see? >> exactly. >> there must be a slowdown coming and i think that would not necessarily be welcomed. >> it might see it now as bowing

to the president. >> that's the question. >> who knows -- >> yesterday, i don't know if you remember, i ended my report on chair powell's two days of testimony saying how little controversy there was about fed policy, either from the republicans or the democrats it seemed as if -- this is a line that now i feel stupid saying there was a brief moment of bipartisanship about the current trajectory of fed policy now i wonder if opposing the fed could potentially become at least some part of the republican party in congress. >> is it fair to say that many in the gop had been critical of the yellen fed >> they had been. >> putting too much money. >> for just the opposite, keeping rates too low for too long. >> in qe 3, 4, 5, whatever it was. and indeed they wanted to see -- >> higher rates. >> return to more normalized

policy. >> yes. >> seems that they've found a way to bring both sides together with gradual rate hikes and not necessarily get that same kind of criticism they had previously president trump has appointed very centrist people to the board. people who have talked about fed independence, who understands the value of independence. i don't think there's an issue of the people he has appointed bowing to his whims. >> he is not an orthodoxed politician or republican, as we've found. >> really? >> in any way, we've found. >> you don't say. >> thanks, bob our nextguest is urging th president to reconsider and how businesses in his state are being hurt and what he wants the president to do about it it's not about quantity. it's about quality. no trendy stuff.

i want etfs backed by research. is it built for the long-term? my reputation depends on it. flexshares etfs are designed and managed around investor objectives. so you can advise with confidence. before investing, consider the fund's investment objectives, risks, charges and expenses. go to flexshares.com for a prospectus containing this information. read it carefully. is it to carry cargo... greatness of an suv? or to carry on a legacy? its show of strength... or its sign of intelligence? in crossing harsh terrain... or breaking new ground? this is the time to get an exceptional offer on the mercedes of your midsummer dreams at the mercedes-benz summer event, going on now. receive up to a $1,250 summer event bonus on select suvs. mercedes-benz. the best or nothing.

we all want to know you know, the new, new thing. with xfinity's retail stores, you can now see the latest. want to test drive the latest devices? be our guest. want to save on mobile?

just ask. want to demo the latest innovations and technology? do it here. come see how we're making things simple, easy and awesome. plus, come in today and ask about xfinity mobile. a new kind of wireless network designed to save you money. visit your local xfinity store today. >> steve bannon defended the president's performance with russian vladimir putin and said he does wish the president had criticized russian meddling more but he feels that the uproar was overdone because russia isn't

that important. >> russia is an annoyance. china is our great challenge as you heard today with folks talking about china. russia's economy is the size of texas or new york state. it's, what, 70% dependent on natural resources. it's got lots of nuclear weapons but in today's modern warfare, cyber, information warfare, economic warfare and kinetic, guns up, nuclear weapons have taken less and less of an important role. >> we talked about china, facebook, bitcoin. >> his emphasis was on cyber warfare and how it's not about guns anymore, arms i'm not sure that many administrations, this one and past ones, have acknowledged that in terms of reacting or retaliating in kind to cyber attacks. >> he would argue that the last two, three administrations have had almost no inclination. >> yes. >> of how much he believes china

has been at war with us on the economic front. >> at war for a long time. >> yes. >> and that it's about -- and that the risk is that we become a secondary power. >> yes. >> and that's where he sees -- >> unnecessarily, he thinks. >> unnecessarily as trade tensions rise, businesses across america are hoping that the trump administration can close a better deal. trump's economic adviser larry kudlow told our own jim cramer we are no closer to a trade agreement with china. >> i do not think president xi, at the moment, has any intention of following through on the discussions we've made and i think that the president is so dissatisfied with china on these so-called talks that he is keeping the pressure on. and i support that. >> should american businesses get ready for an escalation in the trade conflict with china? joining us now from capitol hill is ron johnson, senior senator from wisconsin senator, you sent a letter to

the president after a recent roundtable you held on trade what was in that letter? what did you tell the president? >> we've been hearing from hundreds of businesses most of them from wisconsin. on monday we sat down with about 15 that represented the full range, from farmers to food processors to manufacturers, small, medium and large. and the theme was depressingly consistent the generalized steel tariffs, increasing their costs, making them uncompetitive globally as well as domestically global competitors are increasing steel that hasn't increased 30, 40%. farmers are losing access to markets they haven't developed for decades, losing orders and the administration has talked about short-term pain for long-term gain i'm hoping a lot of this pain will be reversible

their competitors are able to increase profits, giving them greater capability to expand their apacities. we've got to bring these negotiations to a conclusion to return to center that, let's face it president trump has a great deal -- should take a great deal of credit that he stopped adding to and reduced it and made our taxes more competitive. the trade war sundaymining potentially all that positive gain. >> he has argued that he has to be very, very tough right now in order to get to the place a lost your constituents would rather be. >> trade rules with china -- the way to get china to comply with the trade rules is have a united front with the remaining nations in the world confront china and demand they comply with those rules. right now we're at war with everybody and the people that are -- >> didn't we do that the last

20, 30 years >> pardon? >> the counter will always be, that's how we've done it for the last 20, 30 years. we got together with the allies. we brow beat the chinese you should behave differently. and we're still here. >> no, hope has sprung eternal the last 20, 30, years that they would embrace. and they haven't donald trump recognized that china is a primary abuser. they've been cyber attacking, espionage. they are the main problem child here i just don't see where his being at war with everybody is going to actually produce a result of reciprocal treatment from china. >> it's my opinion, senator, but it seems for a long time americans have looked the other way because a lot of americans were enjoying the benefits of cheaper imported goods from

china. regalware. husko international, hillcrest family farms, $30,000 loss in corn sales and $100,000 loss just in grains alone. do these kinds of hard numbers change the equation this fall in the mid term elections will republican congressmen and women in wisconsin lose because of this administration policy? >> one of the dairy farmers that participated has lost a couple hundred,0 hundred thousand dollars they can't afford hundreds of thousands dollars worth of loss. they'll be out of business somebody put out of business because of trade policies probably won't vote for republicans in the fall. one participant, a seventh generation owner of this food

process. this is a quote. in that 160 years, there has been no government action that has left us in such terrible shape as what this has 160 years, no government action has done more damage to her business than what's happening right now. i think the president has to listen to the pleas of small, medium and large businesses that are being harmed by these policies. >> yes or no, does it put republican seats at risk >> i think it does, if this continues. what i'm trying to do -- i'm trying to be supportive. president trump is right china is the bad actor here. he also has to realize it's not just short tn term pain but real damage cost increases on steel alone. >> we talked about what happens when there are tariffs and what it has done to pricing senator johnson thank you for

joining us. >> markets reacting to president trump's comments on the fed, saying he's not happy about rising interest rates. what it means for stocks, coming up on "power lunch." 'm a broker. do you offer $4.95 online equity trades? great question. see, for a full service brokerage like ours, that's tough to do. schwab does it. next question. do you offer a satisfaction guarantee? a what now? a satisfaction guarantee. like schwab does. man: (scoffing) what are you teaching these kids? ask your broker if they offer award-winning full service and low costs, backed by a satisfaction guarantee. if you don't like their answer, ask again at schwab. if you don't like their answer, theextreme risk of burstd a pipes and water damage...y... soon, insurance companies won't pay for damages. that is, not if they can help prevent damages from happening in the first place. at cognizant, we're turning the industry known for processing claims into one focused on prevention with predictive analytics, helping them proactively protect the things

that matter most. get ready, because we're helping leading companies see it- and see it through-with digital.

s&p up 4% the last four weeks. the nasdaq up 5% in that time to hit record levels.

are there enough targets margie a margie, you think by the end of the year the markets could be up by a double-digit percentage how are we going to get there? >> basically earnings look pretty good. people are always concerned about yes, but what about the outlook of 2019 and yes but what about interest rates moving higher as long as we continue to see strong earnings, low unemployment, reasonable inflation, i think the market will come back to say >> that's encouraging. john, what do you think? >> tyler, we've been looking for the s&p 500 to hit 3,000 by year

end, since last december so, you know, right now we're only about 6.8, 7% away from that target. we think there are good chances to see that 3,000 level at least. for the small caps we've been market capagnostic for a long time we suggest the last few years that i remember it's always been market capignostic the mids and smalls are out performing large caps. it's narrowed a bit between the mids and the larges but smalls are up double digits already this year and nasdaq similarly we favor cyclicals in here it looks good. the big thing will be if we can get some kind of agreement on trade, then watch these markets globally go higher >> sure. and rates will be a big thing. margie i want to get your take

on the president's comments, the fact that he doesn't like rising interest rates although he'll let the fed do what they think is best. what would happen if the fed took its foot off the gas pedal? would the markets be better off or worse off >> i think the markets pretty much accept that the fed is doing the right thing, which is looking for the flows of liquidity and economy. >> but what if they didn't >> well, i think you saw how the economy performed when we had abnormally low rates 1% or so once they started to raise rates, you saw the economy accelerate i think higher rates would be positive. >> so john, i see you think financials will perform better in the second half of the year

you really don't want to hear the president talk about keeping interest rates low. >> we believe we'll get a steepening of the yield curve somewhat what we're really relying on, if the economy keeps kicking in 2.5%, 3%, which looks like we're headed toward 3 or 4 this quarter, we would have to think that financials are just going to benefit there will be greater loan command as well as a pick up in overall performance from trading with greater volatility. we don't think we need such steepening of the yield curve. what you said earlier, highly unconventional presidency. we don't think it affects the way that the fed will be operating and jerome powell, his statements certainly have been that way so far. he's doing a good job, i think.

>> margie, john, thank you. the fight for fox is over. y mcast bowing out, paving the wafor disney to buy assets who is getting the best of this deal hi, i'm joan lunden with a place for mom, the nation's largest senior-living referral service. for the past five years, i've spoken with hundreds of families and visited senior-care communities around the country. and i've got to tell you, today's senior-living communities are better than ever. these days, there are amazing amenities, like movie theaters,

exercise rooms and swimming pools, public cafes, bars, and bistros, even pet-care services. and nobody understands your options like the advisers at a place for mom. these are local, expert advisers that will partner with you to find the perfect place and determine the right level of care, whether that's just a helping hand or full-time memory care. best of all, it's a free service. there is never any cost to you. senior living has never been better, and there's never been an easier way to get great advice. call today. a place for mom -- you know your family, we know senior living. together we'll make the right choice.

i'm scott wapner, 5.7 magnitude earthquake was felt in mexico city, causing some residents to evacuate. speaking in london today, south decree camera's foreign minister says there's a political will in north korea to reach a deal on complete denuclearization, adding it would be hugely risky for kim jong-un to backtrack on it and also says south korea is not seeking reunification, but rather a peaceful co-existence >> samsung is reportedly working on plans to introduce a phone with a folding screen. starbucks is opening its first-ever sign language store in washington, d.c the school is designed for deaf and hearing impaired students. starbucks says it will provide

employment opportunities for the deaf and hard of hearing community. that's the cnbc news update at this hour. melissa, back to you. >> scott, thank you. stocks are moving lower. dow is down just about -- actually it's about 87 points right now. lower for the first time in six sessions nasdaq on pace for its first back-to-back losses for the month of july. commodities are also on the move comments from saudi arabia, gold hitting its lowest levels, trading in correction levels, copper falling to its lowest level of the year. we did see a little bit of a move off session lows across commoditiy ies sector here. >> thank you, melissa. big breaking news in the past hour, joe kearnen speaking with the president at the white house, wide ranging interview from trade to russia, to the president's take on the federal reserve and the man he put in charge of it, chairman jay

powell. >> a good man in the fed i don't necessarily agree with it he's raising interest rates. i'm not saying that i agree with it and i don't necessarily agree with it. i must tell you, i don't ooup not thrilled because we go up and every time you go up, they want to raise rates again and i don't really -- i am not happy about it at the same time i'm letting them do what they feel is best but i don't like all of this work that goes into doing what we're doing. you look at the euro and what's going on with the eu they're not doing what we're doing and we already have somewhat of a disadvantage, although i'm turning that into an advantage last year and for years we've been losing $150 billion with the eu nations, with the european union and they're making money easy and their currency is falling and china, their currency is dropping like a rock and our currency is going up and i have to tell you, it puts us at a disadvantage

i'm just saying the same thing that i would have said as a private citizen. somebody would say maybe you shouldn't say that as a president. i couldn't care less because my views haven't changed. i don't like all this work we're putting into the economy and i see rates going up i see china. look what's happening with their currency it's dropping like a rock. >> let's get reaction from rick santelli at the cme. i've been listening to you for 20 years i know you hate devaluation of currencies around the world. what do you think about president trump saying this? >> songs it's his own opinion -- i think he made it quite clear that it is you have to understand the person we're dealing with here and many understand donald trump over the decades as long as he doesn't put jay powell in his office and put his finger in his chest and say listen, i want you to stop, he's entitled to his opinion.

however it did move markets, two year, five year, ten year, they all dropped two basis points the real issue is that you look at longer term charts it's doubtful he will affect it other than kind of the knee jerk electronic trading everybody responds in algorithms type trade. i will caution just a bit. dollar intext seems to have had the biggest effect that makes sense i would look at 95 as the magic line here f it closes below 95, maybe he did have an effect. intraday highs that we've been flirting with over 95. we reached the highest level and right there at the magic point one other notion i agree that policy here versus policy in europe, japan or china is at odds the president is right maybe he shouldn't fight t their normalization is so far behind the curve that it's going to ultimately be a good thing that

jay powell and company have garnered rate insurance. i know they always say it's because of inflation and i'm sure it's true but i am also sure that part of janet yellen and part of jay powell would like to get rates to a point to get a cushion because of the uncertainty of some of this big policy from the credit card and as it continues to get removed, a lot of unintended things that we don't know or issues that arise and that could be quite valuable. >> if i could sum up what your saying, be careful what you wish for, mr. president you may think you want lower interest rates, but the fact is you don't? >> i think that's exactly correct. >> got it. >> thank you, rick rick santelli. >> don't forget, mr. kearnen's entire interview with president trump on "squawk box" tomorrow

at 6:00 a.m. here on cnbc. is the media soap opera over julia boorstin joins us with more. >> battle for fox is over. skye is still up in the air. comcast says it does not intend to pursue further the acquisition of the twenty-first century fox assets and instead will focus on sky. as of now, comcast is on track to buy 61% of sky, assuming those deals go through the question is whether disney elects to sell to comcast 39% of sky that fox already owns and whether disney would try to buy from comcast the 30% of hulu that it owns if disney ends up buying out stake in hulu, that would give it 90% of the streaming company. disney is focused on fox ceo bob iger saying our

incredible enthusiasm for this acquisition and value it will create has continued to grow we are extremely pleased with today's news and our focus is now on completing the regulatory process and ultimately integrating our businesses next up a week from tomorrow, disney and fox shareholders will vote to approve the $71.3 billion deal. >> julia boorstin, thank you comcast shares up 3% right now raymond james saying they are happy this bidding war is over great to speak with you. >> great thank you. >> if memory serves me correct i spoke with you when the doj announced the appeal on the at&t/time warn er decision. why do you think comcast is better off without the fox assets >> it's not that they're better off. i think they're very

disciplined. you look at comcast, they absolutely wanted these assets if you're from the fox position, clearly, there was a much longer extension and taking away a lot of the -- you have to wait for the doj and at&t deal to be done and get regulatory approval after that there's probably not a price that comcast is willing to pay that would make up for that. they were smart and they backed off. i would like that they had the assets but would rather they stay disciplined smaller overhang for the sky asset but ultimately those are very good assets they understand that business. i think they're probably in a better position to run that. now you've got the best operators in the business that investigators can look at more cleanly on a fundamental operating basis. >> is sky a growing business or a declining business, ultimately >> in general, the video distribution business is just

shifting i think they can do the same thing over in europe plus i think they have the ability to maybe expand the pie, if you can bring in a different content, package it differently. x1 platform is possible. longer term, we think a smaller package of linear video is eventually where they're going to go. they have a streaming package in europe and they can easily package that and push that over the there, which elongates the business. >> in the battle for the assets, frank, comcast bulls would have said that it's hulu and the assets in india that were very key. they're not as key as we thought? >> they're still very valuable assets at the end of the day, comcast is very disciplined about this they had a very clear value of what they thought it was worth and obviously what they thought it was worth versus what it

would take fox to wait around probably wasn't there. there's no reason for them -- one reason we're fans of the comcast management team. they do things methodically and don't get over their skis. >> thank you. >> these are the most dangerous jobs in the world. not these. those. how much would they have to pay you to chase deadly tornadoes? we'll meet one extreme meteorologist, yes, that's a job, who gets his adrenaline rush doing just that a special ri yseesou'll see only on power lunch, coming up next alerts -- wouldn't you like one from the market when it might be time to buy or sell? with fidelity's real-time analytics, you'll get clear, actionable alerts about potential investment opportunities in real time. fidelity. open an account today.

the kayak explore tool shows you the places you can fly on your budget. so you can be confident you're getting the most bang for your buck. alo-ha. kayak. search one and done. >> time now for another dangerous jobs storm chasers the people who tear off after toernds. morgan brennan has the story for us >> i'm a storm chaser and extreme meteorologist. >> intercept it.

intercept it. >> while most people hunger down and pray reed drives into tornadoes head on used a customized suv that can withstand crushing 200-mile-per-hour winds. >> we're going inside. >> those tornadoes can be deadly and very dangerous you have to respect the power. >> here it comes >> but i guess it's the sense of adventure also when i see a tornado in the field it's one of the most beautiful things i've seen almost looks like it's not from the planet when you see it up close. >> but he doesn't risk his life thrust for the thrill. he does it to save lives. >> storm chasers are the highs unthe fields reporting to national weather service forecasts to news media and notifying people in the path of the storms to take shelter and hopefully save lives. >> guys take it seriously. this is a large fast moving rapidly changing tornado. >> that's what storm chasers are trying to prevent.

>> as for pay on average they can earn around $70 grand a year mostly by listening jaw dropping footage like this to media outlets outlines reed earned more than that thanks to the discovery series storm chasers. >> it's a massive tornado. >> still, he says he is definitely not saving up for retirement that suits him just fine. >> everything that i've ever made goes right back into storm chasing back to the gas, lifting on the road. equipment, but i do it because i love science i love storms. i love storm chasing not only do do you what you love but you're also helping to save lives at the same time so that makes it a great thing. >> morgan brennan, cnbc business news. >> and if that didn't sound bad to you, how about a line of work where getting punched in the face and kicked in the head is in the job description next week we look at the dangerous job of ufc fighter page van zant.

>> vfrs taking another bite out of papa john's pizza a new fight about the founder and the company. all the details on the other side of the break. don't move re coming, a little bit of water, it really- it rocked our world. i had no idea the amount of damage that water could do. we called usaa. and they greeted me as they always do. sergeant baker, how are you? they were on it. it was unbelievable. having insurance is something everyone needs, but having usaa- now that's a privilege. we're the baker's and we're usaa members for life. usaa. get your insurance quote today.

yothis july 16th - 22nd, enjoy wa free week of epix on us.ou". just say, "epix" into your voice remote. that's a full week of all-you-can-watch critically acclaimed shows and hit movies, on your tv, online or on the go with the xfinity stream app. we're on to something. come on. and it's all on us, and it's all week long. so you should probably start canceling your plans. you've got some serious watching to do. tame now for the latest in the soap opera involving papa

john's the stock popped yesterday on news that before the resignation of john schnatter, the founder and former ceo of use of a racial slur. since talk talk cooled but there is allegations indicating back years. >> the stock is now lower again today on the heels of a new forbes article on a toxic culture at papa john he is claiming it was run by a boy's club with schnatter in full control and installing loyalisting to keep it that way. and it accuse z him of sexual harassment and confidential settlements. they say it was worse under steech richie the new ceo. in addition they pointed to the audit statement it's going through adding we take it seriously. if anything is found wrong we are determined to take action. meanwhile schnatter denies the story. saying it's easy to make false statements when hiding behind

the cloak of anonymity they have acted without investigation of the facts and to the contrary. for the fiduciary duty it's a perfect example of ready shoot aim process opinion. and the lawyer has been asking laundries service, the marketing agency he was on the phone with during the conference call if there is the audio recording of the call using the racial slur she she believes it's going to indicate him and told me if there is a tape let's hear it. which is interesting. >> back to you. >> president trump speaking to cnbc weighing in on the fed and the move to raise interest rates repeatedly, saying he is not thrilled with it also talking china, details and reaction ahead, the second hour of power begins after the quick break. only about 80% of your part b medical expenses. the rest is up to you. so consider an aarp medicare supplement insurance plan,

insured by unitedhealthcare insurance company. like any of these types of plans, they pick up some of what medicare doesn't pay. and could really save you in out-of-pocket medical costs. call unitedhealthcare insurance company today to request a free [decision guide] to help you better understand what medicare is all about. and which aarp medicare supplement plan works best for you. with these types of plans... you'll be able to visit any doctor or hospital that accepts medicare patients... plus, there are no networks and no referrals needed. there's a range of plans to choose from, too. and your coverage goes with you when you travel, anywhere in the country. join the millions who have already enrolled in the only medicare supplement insurance plans... endorsed by aarp, an organization serving the needs of people 50 and over... and provided by unitedhealthcare insurance company,

which has over 30 years of experience behind it. apply for a medicare supplement insurance plan any time you want. call unitedhealthcare today. remember medicare supplement insurance helps... pay some of what medicare doesn't these kinds of plans could save you in out-of-pocket medical costs. you'll be able to choose any doctor who accepts medicare patients. and there are no referrals needed. so don't wait. call unitedhealthcare now to request your free [decision guide.] this easy-to-understand guide will answer some of your questions.... and help you find the aarp medicare supplement plan that's right for you.

and welcome to hour number two of power lurchl. the president targeting the fed and his newly appointed chairman there. he is also getting set to hold an event at the white house to push for more training of american workers by correspondent america. the deputy white house chief of staff of policy joins us minutes from now in the meantime chairs of comcast on the up side

this is cnbc's parent company, drops the bid for fox. does this mean comcast will win in its effort to get sky media magnate tom rogers weighs in appear and check out domino was the pizza giant lower after missing the mark and revenue and sales how will the ceo offer this burnt offering in we dig in. the second hour of power starts right now. >> welcome to power lunch. i'm michelle caruso cabrera, the dow is lower for the first time in six sections. off the session lows about 88 points but it was down 145 points earlier the nasdaq is on pace for the first back-to-back losses of july, lower by a little more than nine points oil is rallying. copper closing in on bear market territory. it's off by nearly 2% again today. check out the dollar it turned negative and has fallen to session lows against the major currencies

probably because of the comments from donald trump we are talking about that more. snap-on is leading the s&p 500 shares tracking for best day since 2014 on the back of positive earnings. melissa. >> michelle, we begin with the comments from president trump on interest rates and his appointed fed chairman j. powell. >> i put a very good man in the fed. i don't necessarily agree with it, because he is raising interest rates i'm not saying i agree with it and i don't necessarily disagree i must tell you i don't. i'm not thrilled because, you know, we go up and every time we go up they want to raise rates again. i'm not happy about it but at the same time, i'm letting them do what they feel is best. but i don't like all of this work that goes into doing what we're doing. you look at the euro, what's going on with the eu, and they are not doing what we are doing. and we already have somewhat of a disadvantage, although i'm turning that into an advantage

you know, last year and for years we've been losing $150 billion with the eu nations, with the european union. and they are making money easy and the currency is falling. and mcthe currency is dropping like a rock. and our currency is going up and i -- i have to tell you it puts us at a disadvantage. now, i'm just saying the same thing i would have said as a private citizen. so somebody would say maybe you shouldn't say that as a president. i couldn't care less what they say because my views haven't changed. i don't like all thework we put into the economy and then rates go up, china, where -- look at what's happening with their currency dropping like a rock >> steve leastant what's been the reaction from the fed. >> they will not comment directly on the comments made by president trump. however, they pointed to us comment that jerome pooul has made in the past about federal reserve independence

in the last week interview he wanted we have a long tradition of conducting policy in a particular way and that is independent of political concerns we do our work in a strictly non-political way based on detailed analysis. i would add no one in the administration has said anything to me that gives me concern on this front but this is in our -- deep in our dna. also in stockholm -- in may, he said the case for central bank independence rests on the dmonted benefits of insulating monetary considerations from shorter term political considerations as i reported last hour, i i understand that the chairman has not met with the president there are meetings between the chairman and the treasury secretary. those are normal and pre-date the administration along with i believe a monthly meeting with the cea, sort of the that's the extent of the regular meetings between the administration. >> is that typical there is the wall. >> yes there is a wall. one other thing i talked to a former senior federal reserve official he said to me it puts markets on

age when they feel the fed ins dependence and monetary policy are questioned what if markets think the fed is being cowed? >> yessy that's the big question, right do you think jerome powell would feel that. >> i do not. jerome powell has already charted a very independent course in the sense of a couple of things. when he is asked about current -- the current economic growth right now, he took pains yesterday, especially wsh because the house republicans really wanted him to say it's the tax cuts he wouldn't do that. he said a lot of things go into growth. >> and democrats pushed him on other things. >> he wouldn't say it was obama of course either yes. then there is the question about the sort of current things the president takes credit for now and powell seems to go out of his way to say look this began in 2010. this started in 2014 so he really seems to be trying to -- he uses this phrase a lot. in fact maybe i need a dollar for each time he he said it. stay in our lane stay in my lane.

also on trade, whatever he may think privately about trade, he sort of just for saying look this is what we hear from investors and from businessmen about it, but being very, very careful not to go beyond just the potential economic impact. >> okay. let's get reaction to president trump's comments on the fed. randy kroszner is a former federal reserve board governor serving under george w. bush from 2006 to 2009 he is currently a professor of economics at the university of chicago. booth school of business randy great to speak with you. >> great to be here. >> i understand that most fed watchers believe that the president's comments would not have any impact whatsoever on the fed's course but should we be concerned that the perception of the fed could change, that the prism through which we evaluate any fed actions from now on would be tainted? and that therefore would then distort markets. >> certainly one wants to be concerned about that but i think as steve was saying and taking the quotations from j. powell.

he has made it clear that he wants to chart an independent path he has said i will stay in my lane you stay in yours he has gone at -- been at pains to make clear what's mine and what's thine the president i think very clearly said that he may not be happy, but he is letting them do what they think is best. and he reiterated his broad support for j. powell as chair and so if there is a drum beat of criticism that continues then that's going to potentially erode the feemg of independence and concerns i think a one-off comment in and of itself is not going today that especially since he specifically said i'm going to let them do what they think is best and i think j. powell is a great person. >> take us inside the marble building on constitution avenue. what are they talking about? are they saying there he goes again, or what >> i don't know what they are saying

my guess is that they are focused much like j. aid and what's happening in the economy. the vast majority of ghaes going on is the data analysis, statistical analysis certainly people are monitoring what the market reactions are, et cetera bup i think the focused is just going to be they're staying in their lane. >> so they're not at deaf con5 on this at all in other words. >> gel again i can't -- for what's going on in fl. >> you've been in there. you know the staff. >> i know one thing that's going on. >> but why -- i don't understand why they would be if -- because he said very clearly i'm going to let them do what they think is best. and i think jay powell is a good person if he didn't say that that would be more of an issue or challenge. >> one thing, michelle they might be saying right now in the constitution avenue is what took so long? i think everybody sort of had a feeling that it -- 18 months. >> from the president. >> what took so long for him to

comment on interest rates? i think it was interesting when we had larry lindsey and rick mitch kin two former federal reserve governors. nepd hey it's trump. beef we've been inured to what's happening. i don't know, randy, i'm surprised you're not more up in arms i'll tell you why. >> i. >> let me finish this point. it was never okay to do it, not for clinton, not for bush and not for obama. they all didn't do it. and now look i go with the reporting takes me on this you and mishkin and lindsey and two former federal reserve governors who i have a lot of respect for saying no big deal maybe they should they should have all been taking talking about. >> no, no, the question you asked is this going to cause the markets to lose confidence in the fed? i said given it's a one-off compensate and given the specific things that -- i don't think this is going to lead to

people being worried the fed is now going to lose independence i think you know all other things being equal, it would be the better the president didn't say anything as you said, given the president's very strong criticism of janet yellen and the fid in the election, when the fed then raised rates in december of 2016 the president said nothing and he has been very respectful towards the fed and said very little although he did say when he was considering potential either potentially reappointing janet yellen or replace ing her that liked janet yellen and had a lot of respect for she is a low interest rate person i like low interest rates. he said that before. and the key is whether this is a one off or a consistent message presented. if it's one off especially with the qualification that's really the. >> do you think it's a one-off

thing. >> i mean once he sees the. >> i don't. >> who can know. >> as i said the president has shown enormous dplin on this in december he easily could have said i told you so because it was exactly his narrative. they were waiting until he got elected to raise rates any did exactly what he had said -- you know from his perspective they were going to do which he had been critical of and he remained silent. >> professor we got to go we have breaking news here thank you. >> thank you. >> randy kroszner. >> the white house weighing in on the president's comments eamon javers with the details. >> the white house putting out a statement in the past couple minutes about the president's interview earlier today with cnbc, particularly that sound bite that we played at the top of the show. the president describing feelings about the fed appear interest rates white house statement is of course the president respects the independence of the fed as he said he considers the federal reserve board kmar jerome powell a very good man and he is not

interfering with fed policy decisions quote i'm letting them do what they feel is best. unquote. the president's views on interest rates and are well-known and his comments are a reit ration of the long held positions and public comments. the white house saying here that the president respects the independence of the fed and that he simply repeats as you point out some of the things he said previously and on the campaign trail in terms of being a low interest rate guy and his other attitudes toward the fed process. but the important thing is the white house puts out this statement just a short time after that first clip of the interview aired on cnbc saying of course the president respects the independence of the fed, guys >> all right eamon thank you very much. don't forget, joe kernen's interview with president trump, you can see it all tomorrow on squawk box that begins at 6:00 a.m. eastern time right here on cnbc and steve leastman will be there. >> do you feel better about the independence respecting the independence of the fed. >> i'm more old school than the old school guys. >> thank you, steve. let's get the market's take

on the headlines art hogan is chief market strategist and jordan pose ner is a senior portfolio manager with matrix assets management. we'll get to the broader markets in a second. what do you think about the president talking about interest rates? we did see the dollar move lower and gold moved higher, not a lot but the market reacted are you worried the fed is going to suffer from loss of credible or independence because of the president? probably not i don't think we should be shocked. we heard about this in the campaign what's interesting is that the new cabinet level secretary that they have to name in the white house and it's going to be the department of the walk back because we continue to have the different surprising statements that come out. then we have to walk it back they get faster at it. this took less than 24 hours but clearly you know, you get the sort of knee jerk comments, off the cuff comments and none of us should be shocked when it happens. unfortunately i agree with steve it shouldn't have happened and unfortunately we're at a point in time where we don't get

shocked. but in terms of long-term effects on the market probably not. we have a very solid chairman of the fed. he certainly did a great job up in capitol hill for two day this is week. >> jordan i'm letting you pass on that. what is going on the markets finishing higher or lower this year. >> i think the year ends a little higher from here. you know, 10% plus or minus, call it an 8 to 12% target by the end of the year. we doenltd explicitly project returns. but looking at the economy and looking at correspondent performance, looking at the interest rate environment. we think that's supportive and constructive of some grinding forward of the market over the course of the year albeit with some volatility here and there as you know events take place in middle of the earnings season a good example of that. probably the biggest uncertainty is trade and we have, you know, everybody has been talking about that incestantly the last few months

for good reason. a trade war is something that there may be some that lose less, but nobody really wins in a trade war. if there is an extensive or extended trade war. >> right. >> we think ultimately that that can be a material negative. >> sure. >> for the global economy. u.s. economy, and for the u.s. markets regardless of how the administration spins >> art, can you indulge me let's say the economy proceeds as you predict the rest of the year that's what you are building your stock forecasts on right now. but the fed doesn't raise as quickly. is that good or bad for the markets? >> well, if the kpee proceeds as we think it probably will for the balance of the year i think the fed will it's hard to thaens that but let's make the assumption the fed goes one more time and then they take pass on december i think the market has priced in for this year. that's probably you know something we look at as positive what would that do we would see a broadening outs of the tuesday, taens spread

the twos are so high we price in are rate hikes and the tens drift higher photographer the urs course of events and that would be a market positive. to the extent the market -- i mean the economy continues we are getting four rate hikes this year and that's okay. >> jordan, what should i sell? >> well, we're concerned about utilities, concerned about reets, the interest rate environment and we think the 10-year yield des o does edge up the course of the year thoets are areas that are struggling we would avoid those i can't say any particular entity dsh in there a is an issue. but there are definitely areas we like more than that's where we focus money, particularly financials and industrials in the second half. >> art, jordan thanks so much. >> thank you. >> yes. >> here is what's coming up on power lunch. comcast out of the hunt for fox's assets now focusing on pursuit of sky

good idea or bad idea. >> one marijuana company hitting a milestone with big implications for the pot business plus cold pizza dom owkns pizza after reported earnings. all that and more coming up on power lunch. what about him? let's do it. ♪ come on. this summer, add a new member to the family. at the mercedes-benz summer event. lease the glc300 for $429 a month at your local mercedes-benz dealer. mercedes-benz. the best or nothing.

let's get the party started. it's going to be a beautiful night. this whole place is awesome. ♪ having the time of your life woo! to the woman of every hour. you're too kind. they mean sophie. i know that. ♪ dig in the dancing queen rated pg-13. our parent cop comcast announced it drops its bid for fox. the news pleasing investors. shares of comcast up around 3% as you soo i there but with one bidding war gone. comcast has another on its hands.

the company saying it will focus on the acquisition of sky. what is next for comcast and the media landscape? joining us now is tom rogers, win view executive kmarm and former cable president tom good to have you with us you said this is the way it would finish, didn't you. >> i remember when we started talking about this tyler, many months aig and i said there was a win/win win scenario where disney got the fox assets. comcast got sky and fox shareholders got a higher bi out of each. and it looks like we move in that direction. >> what about comcast continued interest in getting sky? what do you think happens there? and is sky an asset that comcast can make hay with? >> i look at it a little bit from disney preventing, and does it make sense for disney to continue to bid aggressively --

or i should say give fox perms to bid for the sky asset given the superior bid now. >> i think it makes sense for disney to stand down, as i always have. the sky asset does not play to disney's strengths they're not truck rolls, satellite dishes or set top boxes or managing churn. this is in comcast's wheelhouse. comcast can create more value here and moreover, disney has really great outcome here from a financial point of view if it doesn't look to ainquire all of sky. it can basically now that the government required it to sell off the regional sports channels, and presuming it can sell the 39% of sky back to comcast, it could end up here with essentially no more leverage than it has today after completing the fox transaction and that's a great outcome for disney

in terms of comcast, they need this asset more. it gets them out of the box of being a u.s.-only company. and it is an asset that they can do more with. >> but tom obviously comcast very much wanted the fox assets. they saw the value in being in india. you mentioned international presence they wanted something beyond the u.s. and the fox assets would have gotten them there. hulu was also valuable longer term, are we looking back and say comcast missed the opportunity to make a strategic pif oh on the it needed to make in order to be competitive in the new world of media >> well, there is some chess here to play out still disney could bid higher for sky. even if it doesn't think it's going to get it, that allows -- forces comcast to bid higher, ultimately giving disney the opportunity to get more for sky shares effectively a higher bid

allows disney to pay itself back at a higher rate but disney has to face comcast here on the hulu 30% comcast owns has to face comcast on the content that disney has tide up in sky that it would very much want back for international distribution purposes. and so comcast has some leverage here in terms of ultimately where in goes. would they have preferred to get the fox asset? yes. but comcast has been dogged by regulatory political issues that everybody knows has been a constraint as to what they could do and that constraint continues to be there in that disney's dale has been regulately greased the u.s. cop kachlt isn't for them to put forward a bid for fox assets they would have to bid much higher to make people stop and think whether it's worth waiting for. >> i heard you say that it's

part of this fox sells regional sports networks. would nbc be a buyer since they have -- or comcast since they have their own regional sports networks >> that's a good question. because in terms of regional sports networks, the most obvious buyers were disney and fox. and disney isn't going to be able to own them by virtue of the government's conditions on the approval and comcast probably would have a good deal of regulatory issues acquiring them also. >> right. >> most likely it will be a bunch of one-off transactions to potentially cable operators like charter in markets that they're significant in and other possible buyers. >> right. >> but it's an opportunity for disney to be able to have this end up being a transaction where it is not more highly leveraged. >> that's a very interesting

point. >> has to respond a lot more money if it's getting into the netflix game people think that this gives that disney ability right off. most of that disney product is already tide up in netflix, stars, fox product typed up at hbo. they need to create an enormousment of a original product, taking an enormous amount of cash and they have to think about that before bidding higher for sky. >> tom thank you for analysis. we appreciate it. >> thanks for having me. >> you bet. microsoft lower after the earning after the bell the shares up, tripling in the last four years under the ceo. ou you buy the stock ahead of the results we'll debate next. because, when you really, really want to be there, but you can't. at cognizant, we're helping today's leading media companies create more immersive ways to experience entertainment

with new digital systems and technologies. get ready, because we're helping leading companies see it- and see it through-with digital.

welcome back to power lunch. i'm sara eisen and this is trading nation today we watch microsoft dipping into negative territory ahead of the big earnings report later today. the stock is trading within a hair of all the high up more than 22% are to the year what's the best way to play it craig johnson is piper jaffrey stayscy. >> craig is it bullish

too late to jump in. >> you don't want to bet against this trend the stock has done well and well for sometime i'll tell you buying stocks that look extended coming into the earnings releases don't seem to always be a rest pie for success. think about netflix from last week from my trading perspective i would say long-term trend is up short term i'm not buying it ahead of the release i would see downside support near about 100 if it it sells off after the announce many i would be a buyer because i think the long-term trend is intact not a buyer ahead of the release. >> stacey clearly investors will look at metrics on the office 365, the azure the growth businesses what's the options market telling. >> you the options market even with the sfok's outperformance continues bullish. if we look at the implied move it's roughly 3%. looking at how microsoft performed over the previous four and 8 quarters moved roughly between 2.5 to 3% on the close

basis there is no excess risk. but in terms of bullish sentiment not only are we seeing upside call buyers that's a strategy more profitable with the pop to the up naern the slow ground we are seeing tellers around the the 98 level if there is a pull back particularly as we get to $98. and the get hub acquisition and the new deal with wal-mart among others things investors are watching for more trading nation head to the website or follow us on twitter at trading nation. tyler. >> thank you very much sara. president trump weighing in on the fed. rising interest rates and his pick for fed chairman jerome powell the president set to pennsylvania speak in the next hour or so about his plan to grow jobs. we will talk the white house deputy chief of staff about that next stay with power lunch. >> announcer: and now the latest from trading nation.cnbc.com

opinion a word from the responser. >> daily flukt wakes from individual price stocks can offer trading opportunities. however if you are unhappy with the returns while trading actively consider taking smaller positions over a greater investment time frame. evaluating trends over multiple weeks rather than hours can help a trader locate remo consistently tradeable trends while possibly trading less frequently

i'm bill griffeth here is the news update at this hour homeland security secretary kirsten nielsen says there is no doubt in her mind that the russia tried to interfere in the presidential election. she made the comments in the interview with peter alexander at the aspen security forum in colorado. >> i don't think there is in any question that russians attempted to i will fill trait and interfere with our electoral system they have the capability, the intent

>> meanwhile all-star shoermts manny matched ho expected in the lineup tomorrow when they open the second half against milwaukee brewers. the dodgers ainquired him in the block bluster trade with the baltimore in exchange for five prospect dodgers back to the world series you watch. meanwhile the home in los angeles featuresed in the opening and closing scenes of the brady bunch is for sale. price tag $1.89 million. records show that george and violate mckalt sister bought the home in 1973 for are you ready 61,000 it has since been updated and upgraded and i'm told that the real estate agent says that there have been 50 to 60 visitors each day but mostly looky loos and fans of the show but no entires. >> marsha, marsha. >> indeed see you later. >> all right stocks are off the lows of the session but still in the red as investors ride a new batch of

corporate earnings douj town 80 points. the nasdaq down by 17 ponts. in terms of percentage it's almost nothing real estate and utilities the best performing s&p sector telecom and financials laggards. the s&p financials are off more than 1%. oil market closing for the day let's get to dominic at the market desk. >> wet prices pup the opec governor says it's producing 100,000 per barrels a day less in the month of august it seems to outweigh in terms of record high oil production levels pr from government data yesterday. traders also responding to a report from research firm forecasts a drop in inventories at the key cushion oklahoma delivery hip for wti prices. traders know the technical factors. the august expiration as you can see, today is the last drading

date attention turns to the tomorrow's weekly baker hughes goil and gas count that 1 378 eastern on friday. >> thank you very much dom chu. >> president trump expected to sign an executive order are the shormt to protect jobs he says in the united states he will announce a national council for the american worker training for jobs of the future. joining us with more on the program is white house deputy chief of staff chris ledow many good to have you here. >> thank you. >> full disclosure you talk to somebody who think the federal government should be as small as possible and that has historically spent billions on job training programs at the federal level which have been pretty much worthless. convince me why this republican administration is doing this >> sure. let me give you a bit of background and then address the question directly. obviously the chee and labor markets are doing extremely well at the moment and for the first time in decades we have a situation where there are more job openings than people looking

for work but one of the big issues with how we solve that is the school's gap not all the people looking for jobs have the skills that employers are look looking for what we are trying to do about the signing of the executive order is take not only a whole of government approach to the your point but a whole of country approach we are setting up a national council made up of senior staff here at the white house and cabinet members. but we are also having an advisory panel of senior leaders from the private sector, academic leaders felon throppic leaders, people out there employing people and dealing with the situations and we are looking to them to help provide the solutions. so we are certainly going to play our part as the government. but very much a private sector led initiate disbelieve are they writing a report you know, i just think private companies when they need people we do it here at cnbc. bring the kids in and train them. >> sure. let me give you three -- three

examples we firstly have a national program to highlight best practices and companies that are doing great initiatives. secondly we'll be encouraging companies to invest in vocational training apprenticeships. one of the things we really believe in is that not everyone needs a four-year degree to have a job. we want to encourage companies to have innovative programs. one thing we will be doing this afternoon to that is getting a number of leading companies to sign a pledge to create new jobs, create a eapprenticeships, and to invest in workers and we believe that by getting the companies to pledge and build nag over time we are really encouraging them to drive it and last but not. >> chris last but not least. >> last but not least is big data we have seen big data transform every industry, whether it be travel or health care. and we think by big data has a role here but very much industry

led. >> you are from the private sector the former microsoft cfo is the government better equipped to do this and the private secretarier. >> a at proikts proirkts couldn't you have had the apprenticeships and training programs. >> to correct you there we are not stepping in to provide we are going to highlight thp and have the companies promote it this is not a government creating new training programs sure we do some of that. but this is going to be very much a private secretarieser led. >> you're encouraging the private secretarier. >> where is the money coming from who -- all of these things take money. and it either is federal money or it's private money. and are you looking for companies to pledge specific dollar amounts that they will commit sno or what. >> specific commitments to workers, whether they put more money in or use different programs or create apprenticeships that's up to them but it's encouraging them. the money or the programs are private sector led and when we think of something

like data, there isn't a lot of money needed for that. what's needed is common standards and a common framework. so if i talk a little bit to that give you a flavor again this is not a government-driven. this is industry-led soive with the chamber of commerce doing pilots around creating data schemer that will allow employers to describe the jobs employees to access jobs so match their skills. academic institutions to provide new programs innovators to provide new services so we're not doing that we will encourage it and play our part but this is something that's lacking there at the moment. and it's one of the reasons why we see this mismatch between jobs available and jobs seekers. that's not spending money. that's just about connecting the dots and coordinating people on a national basis. >> all right good job trying to fend off a panel of skeptics. deputy chief of staff at the white house.

a panel of skeptic not experts. >> i'm from the private sector and i believe the private secretarier is going to be the leader in this don't worry about that. >> thanks, good. >> thank you one new ipo having a smoking debut. the stock is up 30% right now but can it stay in the green down the road? the company ceo will join us neck imagine traveling hassle-free with your golf clubs. now you can, with shipsticks.com! no more lugging your clubs through the airport or risk having your clubs lost or damaged by the airlines. sending your own clubs ahead with shipsticks.com makes it fast & easy to get to your golf destination. with just a few clicks or a phone call we'll pick up

and deliver your clubs on-time, guaranteed, for as low as $39.99. shipsticks.com saves you time and money. make it simple. make it ship sticks. with tripadvisor, finding your perfect hotel at the lowest price... is as easy as dates, deals, done! simply enter your destination and dates... and see all the hotels for your stay! tripadvisor searches over 200 booking sites... to show you the lowest prices... so you can get the best deal on the right hotel for you. dates, deals, done! tripadvisor. visit tripadvisor.com every day we hear from families who partnered with a senior living advisor from a place for mom to help find the perfect place for their mom or dad thank you so much for your assistance in helping us find a place. mom feels safe and comfortable and has met many wonderful residence and staffers. thank you for helping our family find our father

a new home. we especially appreciate the information about the va aid and attendance program. i feel i found the right place. a perfect fit. you were my angel and helped guide me every step of the way thank you. the senior living advisors at a place for mom partner with thousands of families every month, listening and offering local knowledge and advice to help find the best senior living communities across the country and it won't cost you a cent. this is a free service. call today. a place for mom. you know your family. we know senior living. together we'll make the right choice. is it to carry cargo... greatness of an suv? or to carry on a legacy? its show of strength... or its sign of intelligence? in crossing harsh terrain... or breaking new ground? this is the time to get an exceptional offer on the mercedes of your midsummer dreams at the mercedes-benz summer event, going on now.

receive up to a $1,250 summer event bonus on select suvs. mercedes-benz. the best or nothing. the marijuana industry cross as new milestone as tilray debuts on the nasdaq the first to debut on the exchange giving it a market value of $1.5 billion it's up 32% at 22.50

till ray is a subsidiary of seattle based private ear holding. both held by brenden kennedy welcome. >> thank you for having me. >> in terms of the biggest lever for growth for companies like till ray all cannabis producer, is it getting the cost of production down? >> it is so the funds for sus increasing capacity around the world. obviously we have cultivation facilities in canada but also cultivation facility in potteringle where we will produce products for inside of the eu. >> you have gotten your cost per gram declining 404 in 2016. 284 in 2017. the mrj jens went to 5 a% from 21%. you have that town but at what point do you sort of reach the limit in terms of bringing the cost down and what different 80s from the other grow hers bringing cost down. >> we continue to drive the cold

front down while increasing yield from the existing cultivation facilities what we see is that our products today are currently available in ten countries on five continents we continue to see country after country around the world legalize medical cannabis. obviously on october 17th canada will be the first g 7 flags to legalize it for adult use. that's an enormous market opening up >> what does that do in terms of the total addressable market once canada does that. >> what's interesting about canada is you see the global adult use market go from 3.5 million people to about 40 million people but more interestingly over the coming years you will see other countries around the world model their regulatory framework around canadas that's an opportunity for company like ours to build global adult use brands. >> that increases the number of people who can smoke it legally. but i bet a lot of are already

smoking it illegal you don't think all 40 million are smoking it how much usage do you think will go up? by what percentage simply by legalization. >> i think what you see is a shift away from an illicit market to a legal market the biggest brand in cannabis is zip-loc. people buy illicit cannabis in zip-locs what you see in places like canada is people will buy professionally branded and packaged, tested products, safer than what's available on the illicit market most products in other countries are available in pharmacies. and so our supply chain is identical to the pharmaceutical supply chain around the world. >> ultimately, how much of the product will be -- will be consumed by smoking versus edibles or in a pill form. >> we are seeing. >> and which is more profitable. >> we see it rapidly decrease around the world. >> smoking. >> smoking, yeah eight years aig you would have seen 90% in revenue in colorado

from products smoked today about 40% long-term. i think we will end up with smoking being 10% and all the other products will be 90% people will consume cannabis as a beverage in a bar anden instead of alcohol they'll have cannabis and they'll have a low or no calorie product with no hangover. >> wow with, brendan, thanks interesting stuff. brendan kennedy of till rayen. >> at stock moves higher he said >> and we left. >> all right so from pot to pizza >> yes. >> if the previous segment gave you the munchies you are in lock because we talk to docken os see why the stock is getting sliced when power lunch returns

♪ that's confident. but it's not kayak confident. kayak searches hundreds of travel and airline sites to find the best flight for me. so i'm more than confident. how's your family? kayak. search one and done. so, my portfolio did pretthat's great.year. but the market was up nearly twice as much. that's a tough pill to swallow. exactly. so i started trading. but with everything out there, how do you know what to buy? well, i think my friend victor has just the thing for you. check this out, td ameritrade makes it easier to find the investments that might be right for you. like our etf comparison tool it lets you see how etfs measure up to one another. analyst ratings and past performance... nice. td ameritrade also offers access to coaches and a full education curriculum to help you improve your skills. that is cool. and if you still have any questions you can always chat with us on facebook or call our experienced service team, 24/7. yep. just because you're doing it yourself doesn't mean you're on your own. that's great. you're still up.

alright. you're still up. if i knew you were gonna run the table i wouldn't have invited you over. call (866) 296-7451. act now to take advantage of commission-free trades for 90 days, plus get up to an $800 cash bonus when you open and fund a new account. ♪

domino shares recovering the stock was down about down a percent and this afternoon -- chris, great to have you with

us what did you make of the report? >> i think it was a solid report i think senment is pretty down on dominos because they expected them to do knell every quarter and it was one of the more bullish sentiments among the restaurant stocks. >> especially the headline that we got that prior to schnatter's resignation there had been talks held with wendies which have now since ceased >> i'm sure the company has been in talks with several potential candidates after the initial incident last fall i think last week, though, was a game changer i think you had a lot of consumers that were disgusted by the comments, and we probably have seen sales fall off since then i think any kind of talks that could have occurred before last week i think were probably

suspended given the flex the companies in right now >> you see any evidence papa john's are hurting enough it'll help dominos >> i think it probably will. i think it'll help dominos and pizza hut, the two dlifelivery providers. when their sales are down mid to high single digits then i think you're going to see share go towards dominos and pizza hut and maybe even little caesars. i think it's going to be difficult for the company to operate in this environment. i struggle to see how the company doesn't need to rebrand or fully rebrand the business. i think the sentiment is so

negative right now it'll be difficult to turn around >> why do you have a hold rating on the stock then? >> i think there's some event risk that the company could be sold the fundamentals are deteriorating. but there's a question whether the board will start looking at strategic options for the business >> chris, thank you so much. and you can tune in tonight to mad money, jim kramer sitting down f aorn exclusive interview with rich allison. check please is next you always pay your insurance on time.

tap one little bumper and up go your rates. what good is your insurance if you get punished for using it? news flash: nobody's perfect. for drivers with accident forgiveness, liberty mutual won't raise your rates due to your first accident. switch and you could save $782 on home and auto insurance. call for a free quote today. liberty mutual insurance. ♪ liberty. liberty. liberty. liberty. ♪

interview for the former white house steve bannon yesterday, we've been airing a lot of the sound bites today from that interview. i asked him about the race for 2020 and he says it's starting right now. who would you most fear he could lose against in the election >> forget about 2020 it's all now here's what he's going to do this is prejudice re-elect this is his first re-elect here's the strategy. all of those folks need 2019 to get their sea legs, just like trump needed '13 and '14 to get his sea legs and even '15. you need that year to get that messaging. it's incumbent upon us to draw

out cristten jill brand, elizabeth warren -- he blew up elizabeth warren that that rally the other night in montana, and you're going to see that every time he's going to call out these people by name you have to take the top contenders, force them onto the battlefield now and so us what you got. >> force them onto the battlefield. he sees everything as war. >> as war. and he would see the president cutting up any of those contenders >> and forcing them to do it now. >> but didn't he go onto say, when you went back to him. you said who do you think is the fiercest >> and he said oprah >> just like you audible gasp in the room people like really >> how do you cut up oprah, a well-known, well loved celebrity. >> he also thought there could

be a number of people. >> the rock. >> all right, continue to watch market reaction to those comments from president trump about fed and fed independence meantime thank you for watching "power lunch." "closing bell" starts right now. it's time for "the closing bell," everyone. president trump about to announce a new jobs training program plus an interview with the man himself. an update from washington coming up >> i'm josh lipton in san francisco. shares of microsoft are on a roll this year, but can the ceo keep the bulls happy a full preview of what to watch when the company reports earnings after the bell. >> with the latest slice in the ongoing papa johns saga, shares rising on some deal chatter yesterday but taking a tum