♪ ♪ ♪ imus in the morning ♪ >> good morning, everyone, it's jobs friday and we've just received a dreadful report on america's labor market. item one, only 88,000 new jobs created in march. do not attempt to blame the

sequester. the furloughs were not in affect last month and the spending cuts were minuscule. item two, the labor force participation rate sunk to the lowest level since the days of jimmy carter. three, a half million people left the work force, they're gone and many of them to disability and finally, the unemployment rate, yeah, it dropped a fraction, why? because a half million people dropped out of the labor force. this is not the recovery we were promised and the stock market shows it. it will drop triple digits. "varney & company" is about to begin. gs -- cook what you love, and save your money. joe doesn't know it yet, but he'll work his way up from busser to waiter to chef bere opening a restaurant specializing in fish and game from the great northwest. he'll start investing early, he'll fi se good people to help guide him, and he'll set money aside from his first day of work to his last, which isn't rocket sence.

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>> all right. good morning, everyone, jobs are the headline, here is the numbers. not good. only 88,000 jobs created in march, the fewest in nine months. a half million people gave up hope and left the work force. the labor participation rate down to the lowest level, 63.3, lowest since the days of jimmy carter, now, couple that with

this number, 8 million, 853,614, the number of people who now collect social security disability benefits. it's another record up sharply in the obama years. more eye opening numbers. the jobs that are being added under obama, low wage, 58% of the jobs added since the recession are low wage positions. all right. that's the situation. we've got both sides of the political debate and the economic debate on the jobs market. and it's covering for you next. will the president's former economic advisor sugar coat this report? will he? plus, president obama's budget, yeah, more taxes on the rich. and this time it's your 401(k) he's after. details and the opening bell after this. how do traders using technical analysis streamlineheir process?

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>> one minute from the opening bell and we're expecting a drop of about 150 points for the dow when that bell rings. let's bring in tres joining us from chicago. obviously, it's an ugly jobs report, but it's so bad, doesn't it mean that ben bernanke just prints up a storm all over again, no pause, no pause for the printing presses? >> guess what, stuart, he's going to keep printing anyway, i don't care how good the economic

numbers get. how bad any inflation number gets we should learn from what we saw from the new appointee he to the bank of england. in england 2.8% inflation yet negative gdp growth, is he backing off the printing presses and set an inflation target which they've exceeded. no matter what news comes out no way that ben bernanke is going to back off because he can't afford to have rates go up. stuart: is this market now concluding that america's economy is not expanding at all rapidly, that it's just dead flat? >> well, that's certainly what would suggest by the action today. however shall we did just make new highs recently, but for right now, why am i interested in owning equity and why am i interested in buying a market in a no growth economy. no thanks, not with my money, i'm to the side line. stuart: people behind you, selling stock as of now. >> this is the futures pit behind me. this is an instrument that people use to hedge so maybe

they have a long stock portfolio and they can use the futures to hedge to offset some of that. that's one of the bigger futures of this pit. this is the futures. stuart: a busy day, we'll get you get back to it. the opening bell is going to sound and you're the not going like it, we're going to be down roughly 150 points in the first few minutes of the action. and other news of course all about the jobs market. to recap very fast. the rates dropped, but we only got 88,000 new jobs, the labor force participation rate to a new low, all the way back to the levels of 1979. and we had a half million people just drop out of the work force, a terrible report. and let's get to nicole, because the market has started to trade. we're down 62 right now. and who are the biggest losers, please, in the dow 30? >> right, so just watching the dow and they're not all up. cisco systems down 5%, microsoft, j.p. morgan, disney,

exxon, down over 1%. watch the credit card companies, mastercard and visa were also looking lower and now you're talking about a bad jobs report which can relate to every-- citigroup and morgan stanley looking lower and people worried about paying back what they get loaned. how about the housing market and the retailers and nothing is good when there's no jobs, when you go from sector to sector, we're going to see a lot of movers because of a bad jobs report. >> what really got my attention, when you started talking about big name stocks going down in percentage terms, not just a couple of dollars, but no, 4% i think i saw there on cisco. >> right. >> a very negative signal right there. nicole, thanks indeed. now looking at the dow which indeed has dropped by triple digits from the get-go. we're down 110 and that puts us below 14-4. let's get more on the jobs and the economy situation, got both sides of the fence for us, joining us on one side, a former chief of staff of the labor department.

on the other side of the fence we have austan goolsbee professor at the university of chicago's boone school of business. thank you for joining us on a very big day. paul, to you first, what does this jobs report tell us about the state of the economy? >> well, i think it's flat on the back. the idea more americans going to work not to celebrate a sterile number at that reflects more americans dropping out of the work force, when you look at the numbers you've recapped, increase in poverty level and increase in food stamp, this type of thing is not a great story today at all. the most troubling thing is the lower of the job participation rate which consistently come down since january. 63.5, 63.4, 63.3. that's not a good sign for someone trying to turn around the country and get more americans working to pay their bills and loans and be more optimistic. stuart: austan goolsbee you had something to do with the creation of president obama's

economy, and what do you say about the report now? >> it's definitely not a good report. i think as we talked about last month, stuart, i think the fact that the growth rate was already modest in the country and now the quest is going to be pulling the growth rate down and you've got these fears of what is happening in japan and europe. stuart: austan, i'm sorry to interrupt. i'm sorry to interrupt, but you really cannot blame this jobs report from march on the sequester. maybe you can blame some slowness in the future on the sequester, but not the jobs report in march. >> well, i wasn't-- what i'm saying is that the growth rate of the country is slowing down and as it slows down, as i predicted last month, you're going to start seeing the job market, the unemployment rate begin to drift back up. i agree with mr. conway that the weakest part of the job market has been the declining labor force participation and it's a tough report. stuart: okay, i want to ask the same question to both of you.

in a moment i've got a report about president obama's budget, which is going to be submitted next week. our own rich edson of fox business has learned that there are going to be tax increases on the rich, proposed, okay? proposed. austan, do you first. do you think it's a good idea to raise taxes again on the rich with an economy in this kind of shape? >> my understanding is that that was coupled with very clear proposals for cuts to entitlement programs. the president is for a balanced program to reduce the deficit and i think that's the right way to do it. stuart: you're an economist. >> if you're going to crush social security and medicare as the alternative that most americans would be for that. stuart: you're an economist do you think that tax increases of any kind in in economy are good. real fast, austan. >> it wouldn't be now, so that's a false choice. stuart: paul conway, if we get tax increase on the rich, any kind of tax increases, what's your forecast of what it does to the economy? >> well, i'm happy that austan

is a supply cider, this is what is going to happen. those who create the money and means to do it to employ the americans who are dropping out are going to get penalized once again for the fifth year in a row by this president who has a callus disregard about putting people back it work and understanding the very fundamentals of economic those who have money invest in growth when they're optimistic in an operating environment to employ people and that's not going to happen if that budget is submitted like that. it's just not. stuart: paul look down the road for rest of this year, do you think the unemployment rate goes back above 8%? >> i feel a feeling it will. and i tell you what, it's not only political implications for the president for 2014, but personal implications, this is numbers day, we have to have empathy and understanding and feelings for those americans who want to work. it's not their fault, but they can't get a job because the jobs are not created. we can't blame americans for this. the responsibility for this rests in washington, and that's squarely on the president's shoulders, he's got a role in

this, he can't raise taxes right now. it's just a shame if he does it. >> okay, austan, last one to you, give me a forecast of the growth rate for the u.s. economy for in calendar year, 2013. >> well, for the rest that we had a decent first quarter, but i fear that the second half of the year is going to be below 2 1/2%, maybe down to 2. because the sequester's going to pull off growth from what was already only a modest growth rate. stuart: all right, gentlemen, look, i appreciate your coming on board today and giving us both sides of the fence, we really appreciate it, gentlemen, thanks very much indeed. >> thank you. >> let's go to nicole, we've got another list of big losers, big selloffs, go, nicole. >> here is the first one i'm going to make, which is on the dow 30, which is 30 big names that represent our country, also lower. and so just pick anything, but here are the biggest losers in percentage terms, cisco systems works' seeing technology down in a big way and down with weak numbers out of f5 networks and also, bank of america, the banks

to the down side. and thises 3.6%, all the banks are lower and you can see also down, 1.7% much like bank of america. and hewlett-packard down 1.7%, whether you pick banks or energy, or drugs, or insurance, or telecom, or consumer staples, should i keep going? lower. stuart: i think we've got the message, all across the board, thank you, nicole. the dow is down 150 points, let's get to that story about president obama and the budget. he's going to release it by the way next wednesday and our own rich edson has new information on what's going to be in it. all right, rich, first of all, i believe he's going to target retirement accounts like 401(k)'s of wealthy people, can you briefly explain. >> he limits the size to 3 million dollars, wants to prevent the 401(k)'s and ira's becoming too large with millions in the tax deferred retirement account and subjects more income to taxation during your working

years and the white house says it brings in 9 billion dollars over the next decades. >> so a 3 billion dollar cap on a 401(k) or pension plan of any kind. over that you get clobbered. next one, i'm told, you report that the budget will also cap deductions, tax deductions at 28%. can you explain that one? >> well, this is a proposal the white house has pushed for years, for wealthier taxpayers, this provision simply limits the tax deductions, charity, mortgage interest, and tax deductions you would have taken is smaller. stuart: so a limit on your deductions, that's been proposed in the past and all of the above, the pensions, and the limits on deductions, these are proposals only. that's it, right? >> right, these are the president's proposals and they are in his budget. now, usually the president's budget comes out first, but the senate and house passed their budget and questionable what effect that would have on the budget process. stuart: rich edson, you've got the story and appreciate you

sharing it with us this morning. thanks very much indeed. all right, on "varney & company," you know, we focus on issues right here at home because they directly affect you. but there are, what i'm calling three sleeper stories from asia, stories which we have to watch over the weekend because they're going to affect you. number one, bird flu, a deadly appearance in china. number two, japan's record money printing, and brinkmanship in north korea and i'll bring you the three stories and why they matter to you in the next hour. 7 early movers, lower mostly. netflix upgraded and that stock is down. network gear maker, second quarter outlook the stock is down big, 18 points. no, $17 .58. valero, energy they're going to spin off the retail business,

down. and best buy's price target raised at steeple nicholas and that's down 40 cents. reuters reporting that disney is going to start laying off people at its studios and consumer products divisions, everybody is down. row s rosetta stone, down. and chairman of hewlett-packard chairman stepped down and that stock $21, down. and to the big board, we're coming back just a little and we're down 129 points, we were down 150. more consequences, unintended, of obamacare, tens of thousands of people, including community activists will be hired as navigators to help you choose the best health coverage under the law. believe me, it's going to cost you a lot of money. the foremost critic of obamacare is next. (announcer) at scottrade, our clients trade and invest

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imus: >> it's a down day. 29 of the 30 dow stocks are lower, we're off 137 at the dow. the story of the obamacare navigators. this made a big splash. starting in october, tens of thousands of people will start working to help you choose the different options on obamacare. these navigators will make up to $48 an hour, six times the federal minimum wage, 21,000 are requested by california alone and who knows how many across the country. it doesn't stop there. the government says it will provide free trancelatoslators those who don't speak english, and who will be the navigators according to the rules. >> this week they put a top priority on hiring people who represent the racial, ethic and

cultural demographics of each neighborhood. instead of recruiting people who have knowledge of insurance, knowledge of mathematics, who are capable of actually lending good advice about insurance, what really matters according to the department of health and human services what language you speak, whom you know in your neighborhood. these are going to be community organizers, race and et nhnici s ethnicities. stuart: that's incredible. >> it spells it out. and it's representative of the demographic characteristics, including primary language spoken. stuart: next question, as i understand it, there are questions in california about who these people will be what's this about background checks? >> there's resistance in california to insisting on a background check for each quote, assistant or navigator. you as a consumer, you wouldn't want to hand your social security number, your residential address, your financial information to somebody who could have a criminal record and yet, in

california, some of the community groups are arguing, we don't want to do background checks. it would render ineligible too many minority men with previous convictions. well, that's not putting the consumer first. stuart: how much money is going to flow through obamacare to these community organizations? >> oh, well, there's 100 million dollars a year handed out by the centers for disease control and prevention alone for, quote, community transformation grants. stuart: hold on, 100 million dollars a year to the likes of acorn? >> to all kinds of groups. some of them are funded primarily based on their race and ethnicity and the recipients have to be in majority-minority communities, where minorities make up the majority of the population, and there's a lot in this law that gives very strong preferences to minorities over the rest of americans.

for example-- >> hold on a second. i've got a lot to get in here. >> they start hiring people on october the 1st. >> that's right. and tens of thousands will be hired. >> tens of thousands will be hired. >> 20 to $48 an hour each? >> and we have millions of recent college graduates who are looking for work, but instead of suggesting that they be hired, the criteria here are race and ethnicity. stuart: who pays? is it the state government that pays like california, sacramento or-- >> that depends. in some states the federal government will pay because those states widely refuse to set up state insurance exchanges. but in the states that agreed to set up exchanges, they will foot the bill. their state taxpayers will foot the bill. >> i not there's a lot more to get into and you bring that tone. >> i don't care what my insurance assister is, i want to make sure that person, male or female, whatever ethnicity knows the insurance and can help me get the right plan. stuart: we're out of time, but

new for joining us, thank you, betsy. time for your gold reportment where are we on the down day for stocks? we're up on the price of gold. a 11 per ounce gain. union head richard trumka says feed the country and now fast food workers are demanding unionization and $15 an hour. what should determine wages in america? fairness? what i need? or the marketplace? monica crowley, charles payne, you can bet they've got an opinion. they're next. ♪ @

>> a half million members stand with you today and tomorrow and the next day and next week, for as long as it takes to get you fair treatment and dignity and fair wages and treat you like human beings. you work hard, you the country, you deserve to be treated with dignity and respect. stuart: that was richard trumka, a top labor guy supporting fast food workers during a walkout

yesterday. hundreds of workers demanding higher wages for low paying job. i happen to know at least some of them were bused in, i know that. they want $15 an hour, nearly double the minimum wage. okay. here is my point, you don't set wages in america by what you need or what you think is fair or what you demand. deset wages by the supply-demand for the skill that you bring to the table. am i so wrong, monica? >> that's the way that america is supposed to work in a free market system. it's what the market will bear, based on what you bring to the table and employment and the rest of it. this is nothing do with wages. this is about whipping up class warfare and exactly what he's doing, he's rallying the shock troops many of whom as you said were bused in to make a political point. this isn't about the workers, it's a bigger point about class warfare in america. stuart: charles. charles: you're absolutely right. but i've got it tell you there is he' going to be a gigantic

war over the next four years, economic justice and part of that, we're going to have to artificially set salaries that just simply, to your point in the free market, you could not command those and it's interesting because you have the union official there and the unions sort did have that for a long time in a lot of industries like auto. stuart: killed them. charles: destroyed them, made them uncompetitive. that's the buzz word you'll hear over and over again, the topic you were talking about with betsy, the $40 to do that job is also part of economic justice, the idea that you know what, this is as important as someone else's job making a six-figure income, why not pay it to them. stuart: we've got a big day on "varney & company." dow is down nearly 160, a whole new hour of our program is just ahead with this. an explosion of the number of people on social security disability, huge, i mean, just a huge extra number. we've got a big doctor shortage coming under obamacare as well and the bird flu fears in china.

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how old is the oldest person you've known? we gave people a sticker and had them show us. we learned a lot of us have known someone who's lived well into their 90s. and that's a great thing. but even though we're living longer, one thing that hasn't changed: the official retirement age. ♪ the question is how do you make sure you have the money you need to enjoy l of these years. ♪

>> jobs friday, april 5th, the news is not good. only 88,000 jobs created in march. half a million people dropped out of the labor force in one month. that's why the unemployment rate fell a fraction to 7.6%. and the percentage of people participating in the work force is now at its lowest level since jimmy carter was in the white

house. you call this a recovery? and the hits just keep on coming. now it's the aarp forecasting a shortage of doctors. they've backed obamacare, but its seniors who will take the doctor hit. watch out, china, six deaths from bird flu over there, high anxiety ten years after sars shut that country down. another awful number, 8,853,000 the number on disability, a new record, the number keeps going up. that's where our shrinking work force is going and the stock market keeps falling, now down 165 points. we're following all of this on this new hour of "varney & company". company". >> . stuart: all right. let's get straight at it. the jobs report, i've got one word, monica, charles, and that is ugly, go. monica: here we go, yet another

miserable jobs report in the obama economy. a measley 88,000 jobs created in march. compare that to the reagan recovery when we had 500, 600, 900,000. one month we had over a million jobs created. this is not a recovery, stuart, in fact, now, we have 90 million people out of the work force, so the only reason that unemployment rate actually dropped is because countless people are no longer even being-- >> 90 million people out of the work force. monica: out of the work force. stuart: that's out of the total population, 90 million. charles: 16 and up. stuart: 16 and up. 90 million 16 and up, not in the work force, not working. that includes retirees, but 90 million is 90 million, huge. monica: countless of people are no longer counted which is why you're getting a drop in the unemployment rate. stuart: charles, monica and i have been pretty dramatic, characterizing this as ugly, dreadful. join in. charles: the use i would use is heartbreak. that's the word, i've been calling the whole thing all

along a drop-out nation in so many ways, not just people leaving the labor force, but traditional american values and why we became the greatest country in the world. we've faded away from it, home ownership, marriage, kids, attaining a greater education, all of that stuff we've given up and this is what you get. let me tell you number that jumped out to me. with 350,000 people stopped working part-time, that means it's more attractive to sit on the sofa than to grind it out at a salary you're not happy with or a job air not happy with, typically younger people as they make their way up the ladder, one of the numbers that sort of struck me is that it's becoming too attractive to be able to drop out, not work part-time or not even trying anymore. >> 60% of the jobs lost during the recession, lost jobs, they were midway. and since the end of the recession, 58% of the jobs that have been added have been low

wage positions. we're creating low wage jobs. >> another number, the number of people collecting social security disability benefits. another record in march, up sharply over the obama years, it seems like they're dropping out and going on to disability. that's not healthy. >> and what i argue, stuart, in my book and argued on this program repeatedly. this is the objective of the obama economy and it's an endless feedback loop. you grow the economy, you grow the number of people dependent on that economy and once you lump them into government dependency, it's almost impossible to get them off. as long as the economy is bad, he's getting endless people and all of these social welfare programs locked into government dependency, you know what that ends up being, a permanent democratic majority. and that's scandalous, in my opinion. it's anti-american and it's criminal. >> and what the bleep just happened. >> exactly. stuart: with the background, it's hardly surprising the do

you jones average is falling out. to be precise, 156, puts us at 14,449. however, we've gone to nicole and found one of the 30 dow stocks which is going up and that is united health care. wouldn't you know it? all right. nicole, go. nicole: that doesn't come as a surprise to our fox business viewers, they know that health care has been a favorable sector overall, and certainly the most recent moves out of the administration have been favorable to health care, we saw that recently. this week, with obviously payment fees for 2014 going forward, for medicare and medicaid and that group and they've gotten recent upgrades. so this is the one that's bucking the trend and we've trade 14, 454. stuart: i think we put a banner on the screen there, rutgers fired the athletic director. getting completely away from the financial sector.

and following the basketball coach, he's gone and so now is also rutgers athletic director overall we'll have more later on. and we'll get back to the health care, another day, another negative report on obamacare. these numbers coming from the aarp. they're expecting a shortage of 45,000 doctors seven years from now, that's what happens when an extra 30 million uninsured get health coverage. mmnica, your reaction to that. monica: this is socialized medicine, this is what happens in any state that tries it. you're putting in so many more people. about 30 million, trying to get them covered so your access to your doctor is going to be much less, much more difficult and number two, attracting smart people to go into medicine when there's no financial reward for spending so many years of your early adult life getting educated to be good doctor. there's no incentive for people to go into medicine. >> poor people always had

healthcare. what we're talking about under obamacare is giving them, 30 million people, health coverage. that's what costs money, that's what restricts the services going to these people in terms of number of doctors. and obamacare is a disaster. that's what-- >> it's a disaster and only going to become worse and that's why stuart, i disagree with you, the idea it can't be reversed, i think it can be, it's only going to become more of a disaster. >> it could be defunded, could you do that. >> at some point, a majority of the american people will see, even people getting for free, it's watered down and lackluster. it's one thing to tell me i've got medical care and the nurse seeing me when i was hoping it would be the doctor. stuart: in case you're thinking, ladies and gentlemen, we're not all doom and gloom this friday. certainly not. despite the jobs report, this is friday and we're going to try to have fun later this hour. monica crowley is going to wear this very expensive diamond ring. it's going to be up for auction. guess the price, find out what it is in the next hour, tell you what, it's a very beautiful

ring. plus, get this, football star tony gonzalez joins us to talk about delaying retirement for one more big pay day. tony is with us at 10:45. back to nicole, i'm sorry to get back on the loser trail again, but we've got the biggest of all and that's cisco, is it? >> we're being fair, right? we showed united health care, the one winner in the dow and cisco systems, the biggest loser in the dow jones industrials and cisco systems has been down over 3% as you can see there. but one of the reasons why cisco systems in particular is to the down side. f5, a telecom software company coming out with numbers way below. you may not know the company it's down and taking others down, river bed, juniper network, it's a story already within a weak story. stuart: i've got 29 of the 30 dow stocks down. the on one up is the one you

mentioned a moment ago, that would be united health care, the health care company is up. okay. we know what facebook's big announcement is, there are issues with it. clayton morris is here to maybe it perfectly clear. >> i hope so. stuart: welcome back. let me see if i have h've got i. facebook has a deal if you turn on your android smartphone, up pops my facebook page, right? and the problem is privacy, is that correct. >> i think privacy is dead. we've had a notion of privacy for the past few years, but i think that notion is now dead. and i think that privacy has been dead for a few years. stuart: why? >> what facebook is doing, it's not just an app, what mark zuckerburg unhailed at the facebook home event was the idea that facebook would dominate our phone experience, it will always be on. that's to say i might not go into an app and say i want to share my home location with friends and family anymore, when i go to sleep at ten o'clock, the phone will know i haven't

moved for eight hours and i wake up at 6 a.m. and the phone will know i've left my house and that information and locatiin data sharing information is going back to facebook, and therefore, ads, ads targeted to you, they know your life style. they know the friends that you're most likely interacting with. facebook will always be on in your face on these devices. stuart: some people like that. charles: exactly, i don't think for many people, certainly young people who are on facebook on a regular basis, they can get a lower cost phone, they don't have to worry about these things or it doesn't catch up with them until we hear a horrible story in the news about some high school girl who's been followed home because now the guy knows where she lives she didn't share that data. stuart: what about the privacy off, i've got a smartphone, up comes facebook all the time and i put it down and go off and do something in the kitchen and everybody else can look right there at my facebook page which i don't want them to do. >> right. stuart: a lack of privacy isn't it? >> sure, like if you have a desk top computer in the house and someone walks by or go to a

library or log into your g-mail account and forget to log out and someone else looks at your account and sees what you're saying. stuart: yeah, i can get right in. >> the problem if you're using the services the terms of service, incredibly difficult to understand unless you're a lawyer and signing up. if you're on facebook, you're out there and your information is out there and advertisers are going to target the fact that you like dove soap and starbucks. stuart: that's the next issue. under the new home system am i to understand there will be more ads popping up at me, is that the problem? >> mark zuckerburg didn't hold back talking about ads. yes, targeted ads will be coming to the new facebook home user interface. it's not a device-- >> that gives facebook more money. >> the battle between google and facebook, it's a cold war, stuart. they have been longing for the data that google has had. for years facebook was behind a wall and private and google wanted it and now it's out there and now these two companies are

going, this is the new battle i'm telling you, because the amount of data that facebook has versus the amount that google has to target ads is the future in technology advertising revenue. stuart: well, it's surprising then that facebook stock is meandering around $26 a share, that's all it is and they've not done anything with the data they've got. >> when this is on every phone and people are sharing the information and they can't do anything about tthe amount of data facebook will have will be staggering. stuart: i love the way you explain it. to a neanderthal like myself. clayton, thank you. three he sleepers stories you need to follow over the weekend, if you're worried about your money. rising tensions in north korea, bird flu and japan printing money. and my take on it is next.

>> all right. you can't ignore this and you really cannot sugar coat it either. it's a dismal jobs report out this morning. 88,000 new jobs created in march and the fewest in nine months. and because the total labor force dropped by a half million people, that's why the

unemployment rate happened to come down just a tick to 7.6%. the market selling off directly as a result. 157 points lower. and now, look at hewlett-packard, the chairman announced he's going to step down and this comes after a botched 11 billion dollar deal for the british software company and shares of hewlett-packard down 1 1/2%. the iphone 5 now available to t-mobile customers for the first time. and it's available for pre-order, and prices for the phone just over a hundred bucks, 120 bucks for two years. and t-mobile execs ticked up nearly a half million users, and dow down 150. more coming up.

>> president obama's release next week. and we're seeing what's in it. small cuts to entitlements, but a lot more in taxation on the rich. and here is the headline, however. as first reported by rich edson by fox business last hour. the president is targeting the retirement accounts of wealthy people. charles, spell it out. charles: it's more of the war against the rich. it's so outrageous, this goes purely to envy, purely towards animosity towards successful people and not helping the economy. how does it actually help the economy? >> rich edson says it will be capped, your pension fund will be capped at 3 million dollars. he didn't say anything about taking money out above 3

million, but it's capped at that level. charles: what do you do with that 3 million dollars? and more importantly, these were people-- we were told to save money and save for retirement. it's envy, ridiculous. stuart: do we want to raise taxes on anybody with an economy that's producing the jobs report like the one we saw today. monica: no, of course not, it doesn't make any economic sense whatsoever, but this is what the president does. stuart: same old-same old. monica: the default position is raise taxes and stick it to the wealthy and i would phrase it in a different way. it is a war on the rich, but let's call it this way, this is a war on the successful and this has been shot through from every economic policy that this administration put in place, this is no exception. this is about power and control over your life. stuart: you've got it. now, charles is going to follow up on that with the beauty-- going to make us some money. which we hope the president doesn't-- and ulta? >> a couple of weeks ago, this was my biggest loser since you've been doing this with you guys, went down to $72.

hit 84 yesterday. made a beautiful comeback and this week an upgrade to a target of 100. i asked people that day you and i talked about it to hang in there and some even bought it. so continue to hold it and i would continue to buy it particularly under 80. i think this is a $100 plus stock. remind me of a company i had earlier this year, went from 17 to 12, i knew my work was right and got to take at 19 and another offer at 24 and sometimes you have to be patient. stuart: all right. now i'm going to delve into sports. charles: i love it when you do that. stuart: i bet you do. charles: we're talking crickets, marbles? what are we talking? >> shut up! i think you know my position, i think that college athletes should get paid for playing sports. and brian kilmeade agrees and found out the hard way to lou holt does not think that way. >> they're not there to do anything, but get an education, that's one of the problems with college athletes today. people are there because they want-- they're there to get an education. stuart: brian was trying to get

in an edge edge-wise and he couldn't, he'll join the company 10:25 and play more of the heated exchange and maybe brian will get his point across because i agree with the guy. the news today is dominated by the jobs report, we've got that. but there are three, what i call sleeper stories from asia, that may have a dramatic effect on our money here, as we go through the weekend. and here is my take on the yen, bird flu and-- the yen, japan is desperate to get some inflation, yeah, that's right, inflation rising prices because for a generation prices there have been falling with a real deadening impact on the economy. so japan's version of ben bernanke, he started to print yen. he offered a gusher of money. watch out over here, this is disrupt currencies and stocks worldwide. next, bird flu. china reports six deaths in a country that was shut down ten

years ago from that sars outbreak, this is an anxiety-causing event. remember video from asia with everybody wearing face masks? any, any hint of a repeat will have an impact worldwide. and then there's north korea, who knows what the inexperience of king jom jong-un, he's got n that his father and grandfather did not have. that would indeed be a shot heard around the world. in america we tend to concentrate on america, that's where we live, but this one weekend where we should be looking out more than in. what happens over there may make headlines over here come monday morning. ♪

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>> all right. next check the market we're down 150 points and it's a rotten report and down we go for the stock market. let's get to nicole because we have a winner. okay, not just united health care, but do you believe this? j.c. penney. what is going on, nicole. >> on a day when we're down 150 points. take a look at j.c. penney, it's up 5%. this is a stock that over the last 52 weeks is down more than

52%. and down more than that. and it's obviously been plagued by weak sales and ron johnson came in to try to save the company and did not do so. today is the day that they lifted their shares to a neutral from a sell, not saying buy, but they're being a little more optimistic here, saying it seems that business has picked up and this is what they wrote and their quote. we cannot be certain what sales will look like for the quarter, but we believe it's safe to say that traffic and sales have improved. stuart: wait a second, wait a second, analyst goes from sell to neutral and the stock goes up 5% and they say business is a little improved and that's good for a 5% gain. nicole: can't say for sure, you left out another point. but it seems as their guess and they believe that we may see, maybe, that sales and also maybe traffic improved.

stuart: yeah, but 5% is 5%, now? and hold on, let's bring in charles payne. he's clicking away on his computer and trying to ignore me. he not going to get away with that. j.c. penney? >> it's looking-- look how far it's come down. i always marvel, wall street sell to neutral. if you told me to sell how can i go to neutral? i don't have if anymore. stuart: and monica crowley hasn't been in j.c. penney for several days. monica: that's an accurate state. >> we're waiting for him. fox and friends host brian kilmea kilmeade, he agrees with me, college athletes should be paid. he tried to argue that point with former college coach lou holts. are you going to pay everybody

exactly the same? >>, but the coach-- >> awn unemployment insurance, disability insurance, that's part of the game of having an injury, that's happened. stuart: and brian kilmeade joins me and he's live on the radio as well. you didn't get your point out because you were aced out, brian. but what do you have in mind for paying college athletes? how much? >> well, as you know, as a pure capitalist, stuart varney, you know the billions that cbs pays the rights to have the tournament we've been showing the past month and the billions they layout for the bcs championship and espn did 500 million dollars to air 24 championships in 24 different sports in college. so, i'm saying for the division one athlete who plays basketball and football and brings the revenue in, there should be about a $200,000, we'll do the math in detail when we can get a rounded off figure, a specific figure. $200,000 after that player graduates. because most of these men do not go pro, but yet, they're selling

their jerseys in the book stores and they're selling their games on major networks. stuart: i agree. if you're part of a capitalist enterprise that's generating hundreds of millions of dollars in profit, i think you, as part of that enterprise, should get a piece of the action. that's the principle. the other side of the coin says, wait a minute, you're getting an education, what's wrong with that? go. >> nothing is wrong, stuart. it's not enough. i would say a private school costs you $200,000 in four years, at that time you're not a normal student. you have a unique talent and you're bringing prestige, you're bringing dollars into the schools and conferences just by being in the ncaa tournament, you bring millions to the school and you don't have to win a game, and maybe your conference. what's the one indispensable part of this equation, the player, they graduate with a degree, they can barely have time to get a job. with ncaa regulations they can't work on the side like you and i did through college.

can't further their career. give them five years to get a four year degree and $200,000 when they leave. stuart: incredible, brian kilmeade and stuart varney flat-out agree on this subject. we'll probably never repeat this again. kilmeade that was pretty good. and thank you for being with us, see you shortly. >> thank you, stuart. stuart: ten seconds to agree or disagree. charles: i say the least you have to put some kind of insurance on the kids. a broken leg, the leg sticking through the-- they put insurance policy on them. stuart: pay them i say, monica. monica: i say do not pay them. i say. stuart: what. monica: i agree with lou there. stuart: a socialist-- >> that's the ultimate insult against me, stuart. they're there to get an education and have plenty of time to earn. stuart: and even though we disagree. and look at this, it's beautiful, it's a diamond ring. which is the ring? i say it's the one on the left,

right. the one on the left. zero right in on that thing. you can't see it well at this point, but you'll get a closer look, look at that. monica's going to wear this in a moment and tell you how much it's going for. that's a beauty. back in a moment.

>> natural gas clearly booming in this country. and one that's creating a lot of jobs. today, i talked to the president of the shell oil company, marvin odom and asked him about the future of natural gas here and here is what he had to say. >> now the natural gas market in north america and driven by the market fundamental like a lot of other businesses, and you'll see the balance between where natural gas prices are and the pace in which drilling gets done. if i characterize where we are today. there are plenty of openings and we're as busy as we've ever been in terms of on-shore in america and prices as volumes come

on-line. that's the dynamic you'll see going forward. stuart: if you press for more fracking to get the price of natural gas down, you'll be accused of using big oil money to get your way with america's energy policy. how do you respond to that? >> i think the way to look at natural gas and what's happening is in north america, you know, we just come onto the huge opportunity. so there's a reason why natural gas prices are low is because we've discovered significant volume. that's giving america very cheap energy. that's helping to revive industrial activity in the country, i mean, this is a good thing, so matter how you look at it. so, the opportunity and the policies that allow this type of development to continue are very important to the country. stuart: how about fracking for oil? because you can extract oil from shale just like natural gas. are you active in that field in the united states?

>> no, we're very active both in the united states and canada and frankly, in other parts of the world. so the really interesting thing about where we are right now is to see how that opportunity developments and will it follow the same path that natural gas did. it's a little bit early in that development to know exactly how large it will be, but it looks like another great opportunity for not only the u.s., but also other parts of the world. stuart: i want to quickly ask you about the eco marathon, the challenge that you sponsored here. let me see if i've got this right. you've got a contest for young people, students, maybe, who can build a machine that can go farthest on the least amount of energy. tell me about it. >> hopefully you can see some of the activity behind me. these are students that come from the u.s., canada, three other countries in the western hemisphere, over 115 teams, we're talking over a thousand students, very, very bright students, interested in technology that are working on

building and then competing with their own vooks to see how far they can go on the equivalent of a gallon of gasoline. the winner in last year's program went over 2000 miles on a gallon of gas. stuart: did you catch that? over 2000 miles on one gallon of gas. all right, not bad. that was shell oil. a diamond like this needs no introduction. please just look at this. it's on the finger of monica crowley. this exceedingly rare, 3 1/2 carat fancy blue diamond art deco ring is expected to fetch-- we have jill with us from the heritage auctions. how much for that ring? >> we are estimating 1 million to 1.5 million. stuart: hold on a second, don't shake with that on your finger, zero in, it's a lovely blue diamond. look at that. shall we get closer? we can't get closer. >> it is spectacular and i'm

going to conveniently forget to take it off, stuart. this is why i came to work today. i love you, but i love this ring. stuart: i've got to say i really like that, not because it's a lot of money, but it looks beautiful. you wear it so well. >> thank you, stuart, i agree. 1 1/2 million for 31/2 carat. why is it worth so much? >> it's based on rarity. stuart: are blue diamonds rare? >> incredibly so, it's also art deco. stuart: what's art deco? >> items made between roughly 1910 and 1930. stuart: anything made between 1910 and 1930 is art deco, really, is it? >> yes. stuart: that makes it extra valuable? >> it helps, a collectible era in jewelry, very desirable. stuart: so it's the design and the rarity of the value, and the period during which it was made that gives it value? >> those are all elements, as well as the fact that it was

made by je caldwell an old american jeweler out of philadelphia. stuart: made in 1929. >> april 9th auction. stuart: who is qualified to bid? >> anybody who is in love with this stone, whether it's someone who wants to wear it or hold on as an investment. jewelry is a great alternative investment. stuart: forgive me for asking a crude question. if it sells for a million dollars, what percentage do you take as an auction house. >> very small percentage. stuart: and you're whispering. >> very small percentage. stuart: tell the audience what would be. >> probably less than 15%. stuart: that's a small percentage? sounds like a lawyer. jill, heritage auctions, april 29th. this fine, rare, 3 1/2 carat diamond currently worn by monica crowley for at least the next 20 seconds. we'll be watching for the auction price, thank you, we

appreciate it. >> you're welcome, thank you. stuart: president obama wants to loosen credit requirement for mortgages. and dave ramsey is not. >> what broke people don't need is a house, it becomes a curse rather than a blessing. this idea that home ownership is the silver bullet that help everyone with their financial problems is governmental hogwash.

>> this is not good news, march jobs numbers out today. they're worth repeating because they're flat-out ugly. only 88,000 jobs created last month. the fewest in nine months and a half million people gave up and left the work force last month. 63.3% lowest since president carter, labor participation. and down a tick 7.6%, and that's the jobs report, ugly indeed. gas prices dropped a penny overnight and the national average for regular, down to 3.62. again, about 3 cents lower over the past week. and check the price of oil, we're back down to $92 a barrel right now. off another this morning. the ugly information on stocks, we're down all day. and people and credit, being shoe-horned into houses they

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>> on a day when the dow is down 150 points. we need to make some money and here is charles with a follow-up on 3-d systems. go. charles: extraordinary volatile, but having a pretty good week this week. even in the down market, it's up right now. i think it's a buy here. it's a very, very, very volatile stock, but exciting thing going. this 3-d technology is amazing. stuart: you still look at 30? >> i love it at 30. stuart: michael kors.

charles: a follow-up, one that pulled back, too. the hot trend is to sell michael kors and get coach. but michael kors was amazing it's hard to believe to keep it up. samest-store sales 40%, have yo heard of that. stuart: michael kors. charles: sold 600 million. and 300 million. and for many that's a yellow if not red flag, but so far the company is doing well and the stock being down for me creates an opportunity. stuart: 3-d and michael kors not a word from you about it. apple down i think in a down market. something special about about apple. >> let's look at apple on the heels of what we heard about samsung jumped. good news for soamsung and appl down at 422 and change. stuart: the dow is down still

140 points. and it's been down that level all morning long, 144, following that rotten jobs report. a new push by the obama administration to make it easier for people with very weak credit to get into home loans. dave ramsey, champion of financial responsibility not happy about it. >> what most people don't need is a house. it becomes a curse rather than a blessing. this idea that home ownership is a-- it's a silver bullet that helps everyone with their financial problems is governmental hogwash. stuart: well, by the way dave ramsey pointed out, what they've got in mind is giving people a mortgage when they put only 3% down and they're got a credit score of 500. that's a weak borrower indeed and the loan would be backed up with our taxpayer money. joining us now is a realtor, samantha, a frequent appearer on this program. and all right, samantha, what do you say first of all, to the idea of lowering credit standards to get people into homes?

you're in the business. you're selling homes, don't you want this? >> i mean, i'd like to stay in the business, too. and it's, you know, i think we're going back to 2008 with that mentality and like we've always said before, you should only buy if you can. and now, if you want to, not if you think you can, but if you actually can, which means you have a good credit score. not, you know, it's going to put people in a position where they have no business being in, don't you agree with that? it's ridiculous. stuart: there's another side of the coin. it looks like they're really lowering the credit standards. if you get a credit score of 500 and put down 3%, that's low indeed. >> you're putting people in a position to fail. we have all of this positive news coming outs and price increases of 10% from last year, and 2 million home owners-- >> would it not be a socially good thing if you lowered the credit standard just a little bit and you allowed some of these youngsters, 20 or

30-somethings to get into the first home? there's a social good there, which is the reward for the risk of lowering your credit. what do you say? >> i just don't agree with that. you know, i'm 28 years old and i just bought my first home, i have great credit and worked hard to get to that point. if you don't have good credit just because of the signs point to buy didn't mean everyone should be buying. we should instead educate people how to strengthen that credit and put them in the position where they won't default on a mortgage. it's okay to rent right now. stuart: we hear you. one last point, there was a report out, i think earlier this week, it says that you, a realtor, you have the happiest job in the country. that will be all realtors, not just you, samantha, but all realtors. do you have any comment on that. >> i'm in south florida, of course i'm happy right now. but i want to stay happy. i want to stay in that happiest position and if we go back to just giving everyone a mortgage

right now, everything's going to go back to you know, when we had the crisis and when we had the crash. so, you know, right now, there's so much positive things that are happening in the housing market, it's really taking a turn for something good. so, let's stay on that path. stuart: samantha. >> i want to stay happy here. stuart: in sunny south florida, happy as a clam. all right, thank you for joining us, samantha. see you soon. >> thank you. stuart: tony gonzalez, i would argue that he's one of the best nfl players ever to play his position. he's next. (announcer) scottrade knows our clients trade and invest their own way. with scottrade's smart text, i can quickly understand my charts, and spend more time trading. their quick trade bar lets my account follow me line so i can react in real-time. plus, my local scottrade office is there to help. because they know i don't trad like everybody. i trade like me. i'm with scottrade. (announcer) scottrade. voted "best investment services company."

>> to recap a jobs report, and what is happening on the market. 88,000 new jobs created, hopeless. half million people drop out of the work force, that is disgruntlement in the extreme. meanwhile, the white house has put out a statement saying, this is more proof that the economic recovery is continuing. >> what continued recovery? you've got little to no economic growth here. the white house continues to put out the statement every single month and this time they actually warned about headwinds to come. let's face it, this is nothing to do with the sequester. the sequester had not kicked in yet. stuart: thanks. monica: this has to do with the tax hikes that kicked in january 1st, raising rates on the

highest earners and the payroll tax hikes. charles: and this goes back to day one, the war on success and business is taking a massive toll, a massive toll. stuart: joining us now tony gonzalez, star football player with the atlanta falcons. welcome to the program and good to have you with us. >> thank you, i appreciate you guys. stuart: i believe, i'm told-- look, i am an englishman, i know nothing about your sport and we understand that. i'm told, however, that you are coming back to the nfl out of retirement and you're taking a two year deal for 14 million dollars. is that accurate, sir? >> yes, that's accurate, but it really it's a one year deal and i was retired for about two days and then i decided to come back. so, yeah, it's a one-year deal and getting out of the nfl after that. stuart: did you come back for the money or a shot at winning the super bowl. be honest.

>> absolutely, i came back for the shot at winning the super bowl. the money is-- i'm not worried about that. i've been lucky enough to play for a long time with this beautiful sport called football. he so, we have a very good football team and i'm looking forward to going back and seeing how far we can take it. we came close this past year. stuart: yes, sir, you did, even i know that. i'm going to drag you back to the financial world for a second. you realize with a very high income under this president, you're going to be paying well over half your income in taxes. have you any comment on that whatsoever? >> well, from the sounds-- i was listening to you guys before you came on. you sound very republican out there, but for me, i'd have -- i have no problem paying a share of that. stuart: okay. >> i've been around this league like i said a long time and made some good money and i can't take it with me, so i don't mind giving it back as long as it's

to a good spot. stuart: that's another story entirely. you've he got a shampoo on the market, is that correct? >> it's not my shampoo, it's who i teamed up with. clear men's scalp therapy and ascribe to be the perfect man, that starts with flake-free hair and i love the products, two in one formula and great smells leaves your hair feeling fresh, not dry like most anti-dandruff shampoos out there. if you want to ascribe to be the perfect man, check out clear men's sharp on facebook. stuart: two points. the perfect man does not like paying 50% to the government and you're not going to like to pay 50% from whatever you make from the shampoo. it's an honor to meet you and thank you for being with us, sir. >> thank you, thank you. republicans, thank you. . [laughter] >> did you catch that, republicans. monica: conservatives. stuart: thank you very much.

market-oriented people, strivers, the highlight reel is next.

p2 it is friday. this is the highlight reel of the week. charles: it is definitely gross. stuart: he showers weekly. >> keeping it real. [ laughter ] charles: you cannot put this on obama speak i think you do. stuart: listen to this. fisker is going to play off a large number of employees today. charles: not a good thing.