and fire and explosions through a poultry plant killing 119 people in china. and 1200 people employed there. no word yet what caused the fire and explosions and this is the kind of thing that could set off some social unrest in china as well. back to the market, poised to rally today. joining us now is clem schaeffer. i'm looking at the future and looks like 60, maybe 70 points at the opening bell. tell me, why is the market going up today? >> at the end of the last month, the drop-off and so much bonds and equities and equities have been running up and you have to sell equities and buying bonds to keep in. and they have to keep so much in equities. the equities have gone up so much they have to sell them down to buy more bonds to equal the balance. a sell yoo of at the nd of the month and now they can go the other way. so there will be other

housekeeping and poem repositioning for how they see the month coming. if it's going up, we could have a good june. stuart: let me throw this at you, because my colleague peter barnes finished an interview with mr. lockhart who said we are emerging a time when tapering, that would mean printing less money. when tapering could be considered. and hinting, dodging around the idea when ben is going to quit printing the money. do you think that statement, we are approaching a time when tapering can be considered. will that make an impact on the market? >> if bad news is good. that means more money is printing. if there's good news coming and not printing so much money. it cancels out. in a sort of a win-win situation. the markets will correct because markets always correct and it could well happen this summer because it generally happens in the summer, but the markets are extremely strong right now. they've got every sign of being very, very strong.

so the market seems to be the kind of new era. so, it's not necessarily bad news, in fact, it's probably good news long-term when they do stop it, because this new money, they spend it, they're printing fabulously large amounts of money. 85 billion a month, it's unprecedented. turning that down isn't necessarily bad news. it might cause a little bit of a front-end shock, but it won't change the long-term picture. >> that's what i want to talk about. a lot of people come on this program and say, look it, this market just wants to go up. >> you can come up with all kinds of reasons, a sweet spot, where the prettyiest horse in the glue factory, and america's economy looks better than most of our competitors. but you're in line with that thinking. it wants to go up. and 15,000 on the dow is real. go. >> i would look at it slightly ifrnl did--

differently. we've portioned a bottom of that trough, and therefore, the next cycle we're in the beginning of will be a long cycle and have upside. unless it strikes, which it can, we are at the beginning of a new cycle. that means it's a long-term move up, long-term, not just a week or a quarter or even a year. three, four, seven years of a global economic cycle which is to the good. so, there's a long-term upside now that even the politicians will find hard to ruin. [laughter] >> that was very good. even the politicians will find it hard to ruin. you're music to the ears of our viewers because we're constantly bombarded with people who say look it, we've gone from 16,000 in '09 to 15,000 now. do i put my money into stocks?

and yeah, yeah, put it into stocks because it's going higher? >> well, never jump in with both feet. what you should think about is 2000, it was 10,000 and it's 13 years later and it's 30 or 40, 50% higher. in 13 years, it's a low compound number. so, we've been going side ways for a long time. most people are stuck and have been brain washed into this bear market. into this dreadful economic times and seen nothing like that for a decade. these things do come to an end and i believe they've come to an end. if you look at the markets in brazil, in india, in china and where they were, say, ten years before they reached their peak. these markets went from 5,000 to 50,000. the growth in those markets was just unbelievable. until we-- >> i've got to break it off. >> 25 and 30-- >> i've got to break it off. i've made the mistake of always

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>> that sells, doesn't it.

fast and furious 6 topped the box office second week in a row and easily built out will smith "after earth" a total flop. and more on the two movies a couple seconds away. we're a minute from the opening bell. i want to go to scott in illinois. did i hear illinois is going to frack, is that right? >> we're the next great energy state. didn't you know about that? i think it's more to do with the fact that we've got 100 billion dollar hole in our balance sheet and start to see some of the politicians slop on their own ideology. we need the money. stuart: yes, you're going to get some on your own turf. you might have a word with california when you get a

chance. scott, stay there for a second. i'll open up the market and we'll be back in a moment. and friday, we dropped over 200 points late in the day, that's friday. this morning, i'm expecting a modest upside move, a modest rebound, 50, 60, 70 points maybe. we're off and running and the opening trend is to the upside. we're up 11 in ten seconds, not a bad start. i want to get back to scott shelledy. we heard from the atlanta fed chief and told peter barnes, quoting from the fed chief, we're approaching the period when tapering can be considered. do you think it's going to have any impact on the market at all. >> i think a little bit. but i come from -- it's way too premature. i'm glad they're looking at it. i think it'd be more irresponsibility if they didn't consider ii.

but stuart, we've got managed markets over here, an economy over here that slowly needs to catch up. is it catching up? a little bit. we're nowhere near where we get to the fed on cutting off that money. >> so no impact on today's marketplace? >> i don't think so. >> frack away, baby, thanks indeed. and did you take in a movie this weekend? if you did, chances are, it was not "after earth", will smith's latest, it was a flop. 20 million for a movie that cost sony 150 million to make, but fast and furious 6, first place for the second week in a row. $34 million adding to the record take over the memorial day weekend, $120 million. and all right. nicole, by the way, the dow is up indeed. 50, 60 points as we suggested and nicole, samsung said it's going to use intel chips in its new tablet. >> right. >> intel, any movement on intel?

>> it is, it's moving to the upside. we're watching intel gaining on the news saying that the in you processor, the galaxy tablet, for some of the models, they're going to use the intel chips and that's up 2% at the moment, obviously, and helping to power the dow along today. on the-- and the performers, about 17% this year, and i saw a movie. you want know what i saw? >> you're going to tell me. >> i loved it, i saw "epic" it's an animated movie, he cried twice, a two love stories, good versus evil theme. fantastic. stuart: who made it? >> you know, we'll look and report back. stuart: okay. nicole, thank you very much indeed. the dow is up 51 points in the first couple of minutes, all right, by the way, ford motor company came in, solid gain in sales, i believe they're up 14%.

that's ford's sales figures, 14% higher. i want to get back to the irs scandal, you're going to be hearing a lot about this. joining us on the phone, congressman mike kelly will be taking part in tomorrow's ways and means committee. thank you for joining us. you're not going to have irs officials saying i don't know, i wasn't there, i don't know what you're talking about. you're going to have victims, i believe. will you set the stage for us ap tell us what to expect? >> i think we're going to hear is that these people will be coming forward, we're getting a lot more people, they're not afraid anymore, not intimidated as they were a couple of weeks ago and coming forward with their stories and we're going to hear, and we know that these groups were targeted and that the irs leaked information and we know that they audited certain people for reasons. and these people have gone through the process are going to have their day in court, a chance to come before congress and tell them what happened to them and we'll get to the bottom of it. stuart: congressman, i see

three areas here. number one, the targeting of groups that applied for tax exemption. they were targeted and didn't get the delay. and number two, the targeting of republican donors who were audited, their personal irs tax returns audited and number three, the release of information gathered during the tax exempt hearings. the relief of that personal and private information, liberal groups, it's a three legged stool, this scandal, i think. >> it is, and you and i had this conversation last week. we have got to stay on top and the main reason why. there's a loss of confidence and trust in our government right now. we've got to get back to the point where the american people, there's not a bogeyman coming after. it's not the irs. we're not going to allow the different agencies to do what they've done and strong arm people and intimidate people and where they make a move. the idea, again, just to

restore the faith and trust that the people need to have and the people they need to represent them. any other thing we could do that's more important than that right now? >> i don't think there is, thanks for joining us, i have to keep it short and we'll follow your progress and we appreciate your input today. >> thank you. i'll get back with you. >> thank you. >> and let's bring in al-- ran against democrat big donors in 1996. and lois lernor, at that time she was the federal election committee and mr. salvi says he was hit with complaints when he loaned himself money and that's when he said miss lerner offered him this, i'm quoting, if you promise never to run for office again, we'll drop this case. al joins us now. and that was a bribe? you've got to get out of this

race or else? did she say that to you personally in a phone conversation or was this written down somewhere? >> no, she said it. i asked her to put it in writing, but she said they don't do that, which made me think it was somewhat suspicious. stuart: how did you take it at the time? >> well, the federal elections commission went after me and going back to '96,,stuart, this was a big story. it was on the front page of all the papers, and it really hurt my campaign and ultimately ruined my political career, maybe that's for the best, but the point is that lois lerner, her accusation was proven to be without merit and the threw it out and appellate court aagreed. she made my life miserable for four and a half years. stuart: hold on a second. i want to link this to the current irs scandal because there is, i think, a link.

what miss lerner did to you, when you were running, what she did back then is mirrored to some degree what she did with the tax exempt office when the tea party groups came for tax exemption. it seems to me a direct link what she did to you then and what she's done alledgedly and admittedly to tea party groups now pt there's a direct connection. >> i agree with that and that's why i've left my happy little private life because i don't want her to do this to anybody else. i read an article that said she's always been bipartisan, apolitical. she's been a competent bureaucrat, but in the case against me she was very partisan, she clearly did not like conservatives. i wasn't the only one. she used the power of the federal election committee-- >> hold on a second, al, i've got limited time left. what tone of voice did ms ms. lerner use when she was

telling you, get out or else? >> well, they are very powerful and i was just one person and i felt very threatened and then after i won, this is something very important that i haven't been able to share yet, after we won the case and my political career was over, the newspapers didn't cover the fact that it turned out that i was right and the federal elections commission was wrong. a couple of months later, two fbi agents came to my home and they said they wanted to interview me and i didn't take the fifth amendment. about a $2,000 contribution that my mother gave to my campaign. where did she get that kind of money, they asked. and then they interviewed it -- my elderly mother and i told mom, tell the truth. you contributed to your son's campaign? and the fbi agents came back to me, we're dropping this. think they knew they were used

politically. lois lerner was after me, didn't let go and i don't think a person like that should be in power and much less run the obama care. stuart: we appreciate it, that was an interesting story about the fbi visiting you about a contribution from your mother. >> thank you, stuart. stuart: thanks for coming on board, we appreciate it. coming up new at 10:00. another example of politicaling targeting outside the irs, gibson guitar, raided because the company was accused of using illegal wood. the ceo is a republican donor and his competitor using the same wood, not raided, his competitor is democrat. the gibson guitar ceo coming on the program the top of the hour. dow is up 50 points. and thinking about a major restructuring, this stock is up

one cent. depot med scraps menopausal treatment after the fda. and standard & poor's lifted the outlook on kinder morgan, pretty much dead flat. order sales today, the stock has been riding high, general motors up 1.8%. 34 on general motors. that stock, by the way, is up 18% so far this year. ford sales were strong, up 14%. that's year over year and ford is now at $16 a share. and then we have nissan, that stock is up 14% so far this year, down a fraction so far this morning and toyota, the big winner. the stock is up 26% this year, that's because of what's going on in japan more than here. and this morning, down 2%, butted 115 a share and not long ago, 80. we're up 40 pointsen remember,

please, we were down 200. we're at 15,162 right now. time is money, here is what else we've got today. president obama, later this week, hacking will many could up. do we have any leverage over china to stop them doing this? we will ask ambassador john bolten. cue the death watch organ music please. game stock, video game retailer could go the way of blockbuster video, really? we have somebody who says, yes. death watch. detroit, broke. the state taking over detroit and selling famous works of art to make money. s discount van goghs and renoir. we have the story for you, yes, we do. another number for you, 50-- no, 85 billion dollars a month, is that the reason behind this rally? and how long will it last? (announcer) scottrade knowour clients trade

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>> now, we have this news for you right before the break. lautenberg, from new jersey di died. and now chris christie, a republican, he'll nominate the person who will-- the late senator's position in the senate. who is he going to pick? >> very, very interesting. first of all, prayers go out to the families of the lautenbergs. i live in new jersey and i knew lautenberg and chris christie and i i think i know. >> the mayor of newark? >> there was a rumor that cory booker was going to run against chris christie for the governor's office. he said he was going to hold off and run for lautenberg's

seat. the issue, see the d next to his name? he's a democrat. for chris christie putting a democrat and that's a big move. and chris christie showed signs of wanting to move to the middle. welcomed president obama with open arms ap and a lot of team saying maybe you shouldn't have done it. he did it. he seems to want to move toward the middle. putting cory into that seat would be a sign of moving towards the middle even though if you were to put another republican, a different republican in the senate seat that lautenberg vacated, cory booker would likely win the seat next year anyway. if he did it, if he nominated booker, it's to his own-- governor christie's own political-- >> and the next senate-- >> cory booker is in his his

political interest. if he returns for the governmentship, he wins hands down, if he runs for the presidency, looks good because he's moved toward the center and believes that's the place to be in american politics by putting cory booker in the senate. >> i would say mostly likely the gentleman we talked about, a republican that would be maybe entertained, but the possibility that chris christie has been playing the political environment six, eight months since the hurricane and since deciding not to run for president in 2012, he's really kind of tried to be all-- pick the right guy for a lot of different political ideology. >> if you were right and cory booker takes the place as a united states senator, is cory booker very much a centrist? how does he feel about obama

care? >> very good question. i think that cory booker will be seen more to the center than frank lautenberg. cory booker has had some interesting things, gun control issues are interesting, and not as far left as the others. >> i want to know how-- he gets along well with chris christie. stuart: i wants to see how he reacts to obama care. if he takes his place in the senate, any difference in obama care? >> no matter who chris christie puts in for the next, i don't know, a year or so, year-- a year and four months. i think that cory booker gets that seat anyway. stuart: all right. eric bolling good stuff. see you soon. it's time for the gold report. the dow is up 50 points. what happens to gold? nothing, absolutely nothing. 1392 is the price of gold per ounce. there you have it. scandal at the irs and here is how that agency spends your

money, line dancing? you can't make this stuff up. charlee payne is here, and he's doing a mean line dance. watch out, he's here. he gets me nervous. [laughter] ♪

>> whoa, ladies and gentlemen, we're going to show you a clip you may have seen. the irs has used this line dancing video in preparation for a lavish trip to anaheim, california. this video, plus a "star trek" spoof cost $50,000. and bigger numbers for you, the agency spent actually more than 50 million for 220 conferences in 2010 and 2012 from presidential suites to baseball tickets. and i've not had a chance to tap the level of outrage of my good friend and colleague charles payne. he's sitting here and what do you think? >> here is the thing, they didn't negotiate on the tickets. you know, the anaheim hotel, saying 15 speakers, one speaker was paid $17 grand, like, i tried to find out that's the day you were out, i'm not sure. 17 grand to give a speech on

leadership through art. stuart: i do not lecture on literature or art, okay? >> the bottom line though, everyone should be outraged, but what i want to bring up, stuart, it's crazy that we have so many scandals happening and so, at the same time, and i don't want us to really get the -- this is completely outrageous the way they spend our money, but i hope that the focus stays on the way the irs is used as a club. stuart: yes. charles: by the white house to punish their opponents. those the most outrageous, egregious thing out there. and the american public-- >> i think we'll get more of what you're talking about intimidations of conservatives during the last election and that comes tomorrow and the committee will hear from one of the people targeted and they'll hear from them tomorrow. i think headlines will get us back to the original scandal

which as you say is the government using its machinery to clobber and club the president's political opponent. that's the principal scandal. not line dancing. >> this has been on a long time and the guest on at the 9:00. lois lerner is promoting because-- >> hold on. we'll take bites from mr. al salvi what he told us and rerun it. and the ceo of gibson guitars. victim of political targeting and ambassador john bolten joins us on president obama's visit on cyber hacking and we have a tech watcher who says game stop should be on death watch. get ready for a brand new hour of "varney & company." [ larry younow throughout history,

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stuart: monday, june 3. we are starting a big week. our president meets china's president in california. shocking numbers on health insurance costs as obamacare approaches. that's imo quoit is here without. so is the man that runs gibson guitars. then, we have the man who is putting that company on the

deathwatch. ♪ ♪ stuart: i have a number for you. they came in at a 49 reading. lowest in a long time. taking some steam out of the dow. am i right saying that? charles: absolutely. stuart: this is bad news on the economy. the atlantic fed tells peter barnes that we are getting close to a time where the ends of money printing can be considered. peter barnes is right here right now in new york city. we are getting close to the time where we can talk about and consider printing less money. peter: yes. leaving plenty of wiggle room to

go either way. we have a soundbite from him. stuart: let's hear exactly what he said. >> i think we are approaching a period in which it could be considered. ttat is not to say june meeting, but we are approaching a period where it can be safely considered based upon the momentum of the economy and based upon accreting confidence in the economy. stuart: that would suggest not good news about the market. hinting that they will be talking about it. it will happen at some point in the future. peter: remember, what they

appear to be doing now and these comments are in all coming together. it is a flexible policy that allows us to react to the data. we just saw this number at 49. fifty or above indicates and expanding economy. that kind of number, and if we see in the friday's jobs report a week number, then you can bet that she will continue for quite some time. stuart: it is not great news. who knows what is coming with the jobs report on friday. maybe not really fabulous news. the dow is up 38 points. peter: because of the bad news. stuart: you know that peter and i are right.

charles: they are and that of people playing this game now. do they start to be so flexible that the good news is good one week so they adjust policy and in the news is bad the next week and they adjust policy. aren't they worried about the little bit of credibility that they do have? peter: yes. we may see increases and decreases in qe, and bond purchases, depending on where it is. they want a flexible policy. stuart: thank you very much, indeed. that is why the dow jones industrial average is now up 57 points. lousy news on manufacturing. you have to listen to experts like peter barnes.

[ laughter ] stuart: great interview, peter. good stuff. thank you, peter we are now up 57 points. two nicole petallides. what is this? crackle barrel? nicole: it is an all-time high. it is a tennessee-based company. they are a retail and restaurant company. their earnings jumped 30%. they also saw same-store sales on the rise. merrill lynch really and this one. they are trying to buy out a shareholder that was involved in some proxy battles and such. they are doing exactly that. we are seeing the stock on the

rise. to answer the question that you asked me earlier about the film i saw this weekend, 20th century fox. stuart: it was a great movie. the 20th the most fantastic movie ever. it was great before i knew it was a fox film. stuart: thank you very much, indeed. general motors sales up 3%. that is not great. charles: it is all about the trucks. charles: general motors have been having some troubles. stuart: i, of course, drive a dodge ram. i listen to country music with

my elbow out the window. the irs targeting conservative groups sheds a new light on the gibson guitar factory. is this another example of someone being targeted because of politics? i say, yes, it is. henry, first of all, i beliive it was a swot team raid with guns drawn. did you see this as it happened or did you get a report? >> the first time i was actually at a meeting and i got a call that homeland security was in our factory and closed it down. yes, i saw the agents in swat attire, bulletproof vest, with weapons, our employees out in the parking lot. they were seizing goods.

stuart: when you say browbeating employees, what exactly did they do? >> one fellow was sitting in his office with seven armed men asking questions. that is pretty intimidating. stuart: you are a republican donor and you feel, i believe that you were targeted because you are a republican donor whereas, one of your competitors who've used the same word, was not targeted. >> i am not sure if it was my politics or what caused this. whoever made those decisions is behind this veil of secrecy which is one of the issues that is so topical today. the fact that people can make

decisions that are arbitrary and forbade since and at the end of the day, you do not know. i am a republican. there are many companies that are using similar wood. some advertise the fact that they do that. there definitely is a cause that goes beyond the issue of conservation. stuart: can you bring us up to date? >> we lost quite a bit of money. they seized, you know, over a million dollars in goods and that forced us to change our manufacturing practices and alienated some of our consumers. we were clearly injured.

stuart: we thank you very much for coming on board today and telling us your story. it is intriguing. thank you, sir. >> thank you for having me. more fallout from obamacare. we have new numbers suggesting that the cost of premiums could jump 146%. this is for people who buy their own insurance in california. this comes after regulations. we have two issues here. we have that the lecroy. as always, she has with her the obamacare legislation. if you buy your own insurance in california, your premiums will probably go up significantly.

payback last week, california unveiled the plans it will offer. everyone around the nation is watching. the plans that were unveiled cost, on average, 50% more than what an individual would have paid last year. stuart: okay. they will offer the marketplace of health insurance coverage. you are staying in california they revealed that those plans would cost 50% more than they do right now. >> let me explain why this is particularly significant. you are not actually getting the same type of insurance. the insurers restricted the network so you are likely going

to have to give up the doctor and hospital you currently prefer. the insurers cut out most of the doctors and hospitals and included only the ones that were willing to take payments, reimbursements way up below average. we already see that happening in maine which is about to unveil their plans and people who live in southwestern maine have been told they will have to travel thousands of miles. if you have a health insurance policy that you like, you will not necessarily. to keep it. higher rates under obamacare. if you smoke, if you have high cholesterol, if you are obese, is that accurate? >> that is right.

it will be on even across the country. stuart: i have no problem forcing people to shape up, so to speak. >> i do not either. there is no reason why people who conduct themselves in a punishing way to their bodies should not have to pay more. stuart: is one area that you approve of obamacare? >> i do approve of rating. >> if you have lung cancer, that is a very unfortunate situation. the two if you are obese, is that a previous existing condition?

>> not everyone is obese because of those reasons. stuart: betsy, it is fascinating stuff. quickly to the big board. ninety-two points higher for th3 dow jones industrials. all of this is bad news so, what do we get, the market goes up. china and hacking, stealing our but valuable defense secrets. will the president take a stand. ♪ we went out and asked people a simpleuestion:

hoold is the oldest person you've known? we gave people a sticker and d 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 tt hasn't changed much the official retirement age. ♪ the question is how do you make sure you have the money you need to enjoy all of these years. ♪

♪ intel has sealed the deal. how the newest tablet has announced it will announce two new tablets. intel is up 4%. a big day for that company. dell announced this morning it will release an 11 and a half inch laptop. it will run windows eight. it will be on the shelves by the holiday season. that stock is dead flat.

microsoft's chief is considering a restructuring of the company. shares of microsoft, which i own some, that stock is up $0.15. thirty-five dollars a share. president obama meeting with china's president this week. top of the agenda-- the local [ shapiro ] at legalzoom, you can take care of virtually

l your imptant legal matters in just minutes. otect youramily... and launch your dreams. at legalzoom.com we put the law on your side. stuart: you know, charles payne is here. he said he is going to make us

some money. capstone turbine. he likes it. charles: they are revolutionizing the turbine business. they did this all over the world. it is a small company, but i really think that they will do well. the new oil and gas. the stock is up, but it has huge potential to the upside. their margins are improving. it is a prick volatiles stock, but i think it has room. stuart: it is up 6% right now. would you say chase it? where is the stop that right now. let's watch that by the end of the show. charles: okay. stuart: the dow is up 93 points.

let's not get into it, charles. president obama meets with china's president later this week. many say that cyber hacking should be the top of the agenda. john bolton joins us now. it is a clash of the titans here. the number one guy from both of the two leading economies. do we have any leverage on china. i think that people who say that china is holding some american dad gives them more leverage, i think, ms. understand the complexity of the relationship that we have. our purchases, their goods -- it is very risky for one ide or the other to try to use economic pressure. stuart: now you have this cyber hacking. the methodology in the american

government and the business community is that china is engaged in a peaceful rise. this cyber hacking, a long with a lot of other authentic chinese behavior shows that it is far from a peaceful rise. stuart: we got that. the question stands, what should president obama say to the chinese, hey, quit it or else, what? >> unless we are prepared to play at the same level as the chinese, we cannot protect our secrets and we cannot threaten them with the possibility that we can do the same. stuart: you do not think that we

have all offensive cyber weapons? >> i think that we have some. i do not think that there is any dow. china is the most advanced, the vista gated cyber where -- where fair on the planet. i do not think that the chinese think whatever he says will be credible. i think they will simply continue. they will do it in anti-space weapons and anti-axis area denial weapons. stuart: president obama would wwn with the american public if he took a stand and said, quit it. >> it is all about rhetoric. congress needs to step in here or we will be in real trouble.

stuart: ambassador john bolton, thank you very much. another company we are putting on death watch. game stop. someone who says game stop could go way of bob buster video. remember them? the story on game stop is next. ♪ [ kitt ] you know what's impressive? a talkingng car. but i'll tell you what impresses me.

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stuart: some bad news on the economy. (u( 78 points. to nicole, merck stock hitting a high there. nicole: that it's right. intel and merck is why we are seeing the market topping. the lead story is michael douglas and his throat cancer. and now, hpv virus which he says is the cause of his cancer. merck cells of vaccine we virus and we're seeing merck hit new 52-week highs. the stock is up about 5%. if you want more on the story, go to the new york stock times t the story. stuart: it has been a rough time for game stop.

watching the company, welcome back, good to see you again. essentially you have put gamestop stock on deathwatch. speaker this is not in the next week, we are talking a few years down the road, but people go to stores to buy video games will be a thing of the past. stuart: you by a physical product, that is gone, you say. >> the next generation of causally focused on digital distribution. essentially people just download the game. they downloaded straight from the company. stuart: you just download it? >> yes, to be focused on digital distribution. stuart: gamestop has gone from

16? charles: 16 from 34. stuart: why did it go up in the first place? >> look at the spots it did drop down, on may 17 essentially it took a huge dive, based on a used game sales, making a ton of money, reselling them for a lot more. the new companies coming up are essentially saying they are not 100% what the used game practice is going to be so there is a lot of doubt. it has gone up because it has not been very digital centric but it is essentially we don't know what they used gamestop will be like. stuart: so many things don't take physical possession of. music, a video, you don't do

that anymore. >> where is lock buste blockbus? stuart: and you put gamestop in there. >> we are a few years away, but we're certainly in there. stuart: it is your fault. you would not by gamestop? charles: i gave up on it and long time ago. common sense, figure it out. i don't know how you do it. stuart: internet has ruined a lot of things. i used to go to a travel agent. now could this be good news for our legal system, the number of law school applicants falling. all rise, the judge is next.

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stuart: earlier this hour the supreme court ruled police can take dna samples from people charged but not convicted in crimes. george and napolitano is here. >> first of all, good morning, stuart.

what is interesting is the makeup of the dissent. argue me the most conservative member of the court, you think you'd have three other conservatives with him. he had the three most liberal members with him. so this is the most liberal court and most conservative member of court combining to say enough is enough. this march on the right to privacy which the court has led in recent years must stop since an arrest is evidence of nothing, the police are not supposed to arrest you on a whim. what does that do to get the most remote evidence to you, your dna. but the argument is the society has legitimate interest.

stuart: why would the liberals say no, you can't get dna? >> people on the left even believe there is a right to be left alone. charles: even people on the left. >> this doesn't mean they will swab the inside of your mouth every time because it still could be unlawful in states under state law, unlawful in new jersey for the police to do that prior to conviction. stuart: i see the day, when everybody has the dna sample with the government. >> i hope you are wrong but you are probably right. the rights to privacy is almost totally gone. stuart: one more opinion for you. law school applications have dropped nationwide for the third year in a row. it isn't worth it, even a law degree, the judge is still here.

>> i understand your argument. even many of us who are taught, i have taught over 1000 human beings who are practicing lawyers, even many of us have thought there are too many lawyers but this is a reflection of the economy. there was a time when large law firms in new york city hired 150 new lawyers every september. that number is now down to just a handful, fewer than 10. they used to take on hundreds and hundreds of interns every summer paid fabulous salaries, that number is way down. stuart: it is not just because of the economy. >> the lawyers created a bubble,

the over charged, they were drunk with the luxury, and this house is crumbling. stuart: this is wonderful news. >> it is news that will take the legal profession a while to adjust to. it'll take law schools a while to adjust to it and law firms a wild to adjust to it but the day of law students have a choice of jobs, for students at ooher schools and other grade point averages. there were misjudgments made. too many resources in one place. stuart: we have the rule of

lawyers and we don't like it, but that is my opinion on it. thank you very much, judge. women on the rise as the main breadwinners for american families and lou dobbs created quite a stir on his show. even has megan kelly. >> wire you attributing that two women in the workforce? >> le left me continue what i'm saying. vo: aveling you definitely end up meeting a lot more people but a friend under water is something completely difrent. i met a turtle friend today. avo: whatever you're looking for, expea has more ways to help you find yours. evyou can't sayifferent ideas,'one size fits all'. risk. it doesn't. that's crazy. we're all totally different. ishares core.

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[ male announcer ] e pill eachmorning. 24 hours. zero heartbur stuart: gas prices settling. let's take a look at the price of oil this morning to determine a lot to do with gas prices. almost $93 per barrel. ford up 14% year-over-year. ford fusion, ford escape, continuing to make record-setting pace, doing well. general motors stock is up this morning following a 3-cent sales move. fast and furious six led the box office. "after earth" making the headlines. coming in third place.

we will be back with lou dobbs, watch out.

stuart: i'm watching the tape go by i keep on watching intel go up. nicole, the tell me what is going on? nicole: helping the dowel long by six points. we're finding out samsung will launch new galaxy tablets, they will be using intel chips.

as a result we're seeing the stock dip. stuart: helping maintain a modest positive. up 92, 94 points. now we're up 23. joining us by phone, lou dobbs. creating some controversy that more women are becoming the breadwinners in the household. welcome aboard, good to hear you. what have you been up to? >> i am minding my own business, initiating a serious discussion and people wanting to take it off in their own direction. but the fact is, i understand everybody has emotions, they want to exploit moments of exploration.

-- emotion. it was research that illustrates 63% of single moms, the 1% who happen to be on television who can afford the best help, these people are struggling and doing so because of social policy, public policies that were adopted, devastating to the family, the toughest job in america. we have to have serious talks about this. stuart: the use the society faaling to pieces. pretty strong stuff. >> you like to have what happened over the past six years? we still haven't recovered 55% of the wealth loss in 2007, 2008. still more than 20 million people unemployed. people in the workforce are the

ones who are suffering because these women are simply fighting the most difficult in our society. stuart: you agree the one thing this society must have is growth? i want to see growth for a couple of years, that would solve a lot of problems, wouldn't you? >> it would solve a lot of problems. but over extraordinary growth from 1960-2011 we watched that single mother from 8% of the total population now to 40% of the population talking at 63% single mothers earning between $17,429,000. average $23,000. that is poverty and it is crazy

because they are not educated, not working with great skills and an immense responsibility. we have people planning political games, gender games. stuart: lou dobbs, watch him tonight on the fox business network. thank you for joining us. >> thank you. stuart: i have had it with team building. i think it is a racket with an ideological twist. here is my take. you have seen the irs taking that line, that is teambuilding. remember the team builders at the general accounting office? they charged tens of thousand dollars to build and bicycles together. it takes a village.

nothing without collective support. this fits in with the collective view of the world. it is not your fault you drank too much. you didn't get enough government support. we let you down. i think the exact opposite, the exact opposite. collective teambuilding, i want leadership. in the corporate world i want to see executives plead and held accountable for the success or failure of their plan. of course they will get input from their team, but let's not pretend of everybody just sit down together and talks it all out, it will be useless. they have no accountability, do they? i guess i will be called a neanderthal because i am not in tune with this new age teambuilding mentality but ask

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stuart: detroit is broke and now the city could be using fine art to pay for pensions. for the $15 million in debt. emergency asked the museum to inventory what they have to pay off. what art do they have? charles: the to have some big n, then go, initialed by ford himself. stuart: i have no problem with them selling off art that makes a small contribution towards paying down the pension. socialism is okay and we run out -@of other people's money. they sell this trove of art and

then i have a problem with it in the sense it is like the one time gimmick buy you more time. until they change the mindset, they would be better off biting the bullet, whatever the hell to do as opposed to selling them or buying a couple more months. stuart: they are so heavily in debt, what are they going to do? we are defaulting. charles: we change our ways. stuart: they will not be paid. charles: or they will be paid a lot less. another way of making serious money. charles: these guys make the cameras, the camera kit that goes everywhere, the tablet, the dominant player in the space. still extraordinarily cheap by any way you measure stocks for

initial valuation. they have offices in shanghai, all over the world. the sensor goes into all these devices. 44% notebooks, entertainment, security cameras. they are automotive. most cars have a rear, grill, even the interior. i look at this stock and i think it is worth chasing. stuart: thank you very much, indeed. political intimidation. we had the story today, all of it next. we went out and asked people a simple question:

how old is t 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 ho'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 much is the official retirement age. ♪ the question is how do you make sure you have the money you need to enjoy all of these years. ♪

stuart: more political targeting, last hour we spoke to republican senate candidate in illinois. he says when she was with the federal election commission, not recently with the irs, she went

to him and said if you drop out of this race, if you promise never to run for office again, we will drop the case we have against you. here is what he told us. >> it was on the front page of all the papers and it really hurt my campaign and ultimately ruined my political career. her accusation was to be without merit. the district court threw it out in the federal appellate court threw it out. she went after me and made is miserable for years. stuart: apparently somebody sent to fbi agents to his mother. charles: to ask his mother where she got to grand to donate to the political campaign, so not only is the irs being wielded

around, but the fbi can be brought into this as well? that is scary stuff. stuart: that was 1996. exerting political influence on the senate race in the state of illinois. she moved on to the irs where it is alleged and she apologized for political targeting of tax exemptions like the tea party. astonishing. there are moles in the federal bureaucracy exerting that political will in an election year. charles: on behalf of who though? who told them to do it, who are they trying to please? stuart: it is now yours for connell: thank you very much. the case against the irs just keeps getting worse. we will talk about that, and a

first on fox business interview with peter barnes, says it is time to at least start talking about an exit strategy for the feds, details on that interview. more storms the midwest, so recovering from the disaster. and lawmakers lang at the president demanding talk against china on the cyber threats. those stories and more on this hour of "markets now." all right, good to have peter barnes in new york in the studio with us coming up. nicole petallides in a few minutes. a big story off the bat. dagen: the irs under scrutiny for spending $50 million in employee conferences between 2010-2012. now almost infamous dance video will be showing copious amounts