neil: it's june, ready to swoon? forget today, are bad days coming soon? i am neil cavuto, june creates most headaches this month we're just starting the month we historically see the most selling, this particular june, so happens to be when all of the scandals are approaching scalding. i am talking about news for more than a couple of rogue agencies, cracking down on conservatives, try 88, they were not just sere -- zeroing in on groups they

were targeting individual donors. who knows where there is going. it is hard to know where this goes, here is what is not, a lot more hearings, a lot more questions, if you are looking for more progress on anything else in washington, lots of luck, no one is talking about deficit or tax reform. everyone is talking about not keen on irs agencies policing health cares, no one has come up with a credible alternative. this leads ni believe to few alternatives in june's stocc, when no less than ben bernanke hints that rescuing days coulding winding down, you tell me how stocks can trade up? i know wall street climbs a wall of worry, but so many walls and worries? i hope we never get swooning,

forgive me just the same if i am sweating, swoon or boone? john ellison. and pat buchanan. and bob dobb what do you think? >> i don't think we have a big down side. i think washington dc monetary matters, how many times can i say it. until the debt ceiling issue, washington is a side issue, all of the noise around when you put to table will hopefully not matter a lot to markets. >> to that point, john ellison,

he kept repeating monetary matter. the federal reserve is only game in town, any hint they stop feeding this with 85 billion a month of buying securities and keeping interest rates as low as they have, then all bets are off. >> i agree, it is interesting, there reason for stock market to have risen but the market ahead of the economy. we have a lower per capita income since 2007, we have challenges in europe, china and india that impacts our economy. it is clear that fed is driving a lot of what is going on in the stock market. while the fed can print money for a while, some day, you have to stop doing that. when it does, you could have a rise in interest rate that would impact the relative investment

in stocks, maybe not in june it could be a year or 2 from now, but, fed policy has to change. neil: you know, pat, i without getting too work. ed out here. one thing i notice in this month of june, it is one of the more problematic months of the year, out doing october for freakish evens having said that, do you think any of these scandals would provide those events? as this more widespread at irs it looks like we're getting different stories out of the attorney general. when it comes to chasing down the reporters, what plays out in your mind, pat? >> in the economy, i don't think any of it really does for this reason. the president of the united states has not been directly touched. there is no danger or power they will move like this did toward clinton and nixon toward

impeachment. we're getting nothing out of this congress and president. republicans are against tax hikes. and that is all been factored in i think already. one big question mark for me is iran. because despite what is happening in syria, iraq, and afghanistan, that is only place i see a real possibility of an american clash, that could have an impact on the economy. but that down the road. neil: that -- but bob, i know that wall street pack backs of you reminded me about over the many years, we have known each other, one certain thing i could see this summer, is essca lawsuiting scandals that could touch the oval offers, hey have not as yet, highest they go to maybe the justice department, i

would think in that environment, wall street likes to see certain things done like addressing the deficit. and a simplified way to deal with our taxes, this gets in the way of that. >> both of these would be good, that is tax reform and a lower deficit. >> but that is out th the windo. >> but cyclical deficit is falling. neil: but not for long. i don't know, bob, your point is well taken. john this ukuphoria to deficit coming down, when you used to trillion dollar plus deficitting, this is progress, but it issstill money piled on the debt, i think this is a short-lived phenomenon. >> yes last year we celebrated a

lot of taxes, then a demographics when you get massive deficits of 4-5 years downs rhodes. we still show united states has a negative net world of about 40 trillion, in unfinded die littleys over a hundred trillion, now is the time to a act. but our problems are not getting better they are actually getting worse. neil: patrick? >> yeah. you know the attorney general i think could go down the tubes over the scandal over james rosen and the ap. i think that benghazi scandal does not reach the white house. the president was out giving same foolish talking points at susan rice. but i do agree there is a potential for irs to reach into

the washington, that is not there now. but if they at the white house 178 times, it is hard for me to believe he never saturday down, and talked to one of the political fellows and mention the word tea party. if someone has not told the truth that is the problem, if they get it in there, they could have an impact on the president, what is going on in the economy and the market. neil: when i look at markets running ahead. i say here manage to step back, and regain pom kosure, as i do in the middle of a meltdown. hen my fixing a on all things bubble-like. and whether one of those big bubbles is about to pop. or a notion 13 loves gridlock --

this nooion that everyone loves gridlock. what do you thiik? >> i don't think we have a double in stocks or bonds, stock market still yielding more than a 10 year pressure. >> reporter: rates are not highest they have been in a year. >> all the way to 2.15 on a 10 year pressure. neil: i talk to young people here. who tell me, neil, i'm getting nervous, i might get stuck with a 4 something mortgage, that is what we had her day, their perspective is only that. >> we have an environment here where the economy is not strong enough to with stand very high interest rates. watcher the fed.

neil: i don't know, but pat we could have use that argument during the caters year, rates can't get too out of whack, right? >> about what matters is level. >> i do believe that the fed is the game. i think everyone should wash that, if bernanke starts to move in the other direction, i am almost certainly will this some kind of dramatic when he. >> john? >> i agree. quick thing, people don't realize this under dog frank. just said very low lending standards for qualified loans, it has a lot to do with what is

happening in housing market. we're probably setting the foundation for another housing bubble. it tight make 95 or 10 houus to get on the road. >> i would qualify under these new standards. i want to thank you all very much, good chatting with you. >> in the meantime, maybe the first tip-off was the name, wart game, maybe the second is who is playing. the united states and china. maybe the final hint, all of this was announced, both leaders meeting this week, we wanted you decide if we're all taken for a ride. >> you died if north koreans, not using their own currency means this go starts using more

expensive rifle. have known someone who's lived well into their 90s. and that's a great thing but evethough we're living longer, one thing thahasn't cnged much is the official retirement age. ♪ the questn is how do u make sure you have the money you need to eoy all of these years. ♪

neil: i heard about our latest offer to china, all i could think about is how the invitation would read. you are cordially invited to join us in joint naval exercises, politely next year. what is the next line? be there or be square? china and u.s. sitting down in the mid els elyce stevens rohera hack -- middle of a hacking scandal and perhaps a trading scandal as well. james lions on why plays nice with china does not always mean making progress with china. i was looking at this, admiral, i said, we're playing the same

old game. we're back too that. what do you make of it? >> we got to step up and realize we're in you on second cold war, with another communist, totalitarian regime, that ii what president obama needs to make clear in his meeting in california with the chinese president. he has to show the leadership, that has been lacking up to this point. neil: what does he do? argument that been we feel indebted on chinese because they buy so much of our debt, we don't want them to get annoyed. i never pout that i believe that they need us more than we need them. but i don't want to go down that side road, wu we're always on defense. why? >> first of all, you know i don'whyeveryone is shocked on ts

hacking issue. it is 21st century spying, it has gone on for a millennium and will continue. the chinese, in their meeting in california will agree to a further meeting and set ul principles on cyber warfare. about what will it mean? nothing, but we would abide by principleses, and chinese won't, it will be to our net disadvantage. neil: we're at loggerheads. what to we get out of china doing joint exercises with us? >> let me tell you, what it does for china, with all their hacking and penetration of our intelligence, defense agency its will prove is that the intelligence they have been able to gather they can now check in our actual operations in hawaii.

this makes no sense to me. any i was commander in chief of pacific fleet it would have been like me inviting soviets to participate in our exercise to show home our coordination, and communication service and how we operate. neil: do we getting anying out of this to spy on their stuff. >> they are not going to show us anything, they will have umpty political komisars on t ship. we need to do, is really get sirius. first of all, we need to tell china, look, you have built a navy to go against the u.s. na navy. your antiship ballistic missile, are not geared to go against the bangladesh navy. we consider this unconfidencely rattle. further -- we consider this an

unfriendly act, and china has 3,000-miles of underground reinforced tunnels for their nuclear strategic intercome intercontinental ballistic missiles. they estimaae that china has at least 1800 warheads, we want to go ahead and further reduce our warhead inventory? put our national security at risk? this is nonsense, what president obama should make clear, to the chinese president, we're going ahead with the modernization of or nuclear infrastructure and developing new war feds that is how we'll start the a little. >> i wouldn'little. >> i wouldn't hold my plet brear that. >> we need to we have to

develop, a very complete offensive and defensive cyber warfare plan. which will then actually hold our companies who fail to comply with -- when they find they have been penetrated and don't put in place the necessary fire walls and protection to protect this sensitive technology and information they are to have their connracts rescinded and they need to be fined. neil: all right, admiral you make way too much sense always good seeing you. >> thank you. neil: thank you. meanwhile time for anyone to apologize for which whole irs mess. darrell issa? are you kidding me? case closed. o.

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neil: a pied liar, that is how described white house press secretary jay carney. now robert gibbs demands that darrell issa apologize apologiz. is that real story could probably real story commentary. time to beam someone up? >> well become quite obvious that jay carny is paid by this administration to lie to the american people. neil: now, now, you are compounding the sin. lie is a strong word.

we don't know? >> let's look at this three direct lies, irs, jay carney lied on behalf of the department of treasury, saying that irs scandal just started and ended with those in cincinnatiing truth is goes higher,. neil: could you argue he did not know. >> then we need better communication. if that was on its own, but now lie number 2, he was paid by state department that benghazi talking points were never edited. it is obvious they were repainted by hillary people to make sure that it looked better than truth was. >> all right. >> reporter: then lie number 3 he was paid by department of the justs they eric holder never knew anything about -- targeted then. signed off on warrant. biggest lie, this is the most transparent administration.

neil: i would get him on this, this hair cut does not cost more than $ 10 thing. do they hurt their cause when they go so clearly for jugular. but they look this is all about a political kill? >> yeah there is no question, you know people are so frustrated, they lack so much trust in government, the scandals do not help, but these are like little children on a schoolyard fighting. while all of the while we hear of politicians in washington squabbles and fighting and nit picking, small be owners struggle. and -- small business owners continue to struggle and lose jobs, we're seeing these fights and squa squabbles we should see

washington stop doing the bad stuff and stop the scandals. this is crazy. neil: christian, do you think when a former top administration official, in the name of robert gibbs says that darrell issa should apologize, he reawakens folks to anyone in the administration should apologize to the american people very having us go through this. >> remember, part of the reason they are scandals is because darrell issa told us befores evidence demonstrates it these are scandals -- >> i think -- we're part of that point where what irs was and doing to 98 -- >> no but the scandal is whether or not this comes from the white house. darrel ice is darrell issa has -

>> listen, what is good for the goose can't be good for the gander, if that behavior calling someone a liar circumstance fenciv--offensive, then leavingr not asking for answers from white house is just as offensive? >> we want answers from the white house, issa is in charge of a critical committee that checks the checks and balances of our system, he should take charge of that. but he has done over -- >> we don't know what evidence circumstance we know it mushroomed, scotty, can we stop the name-calling get back evidence to that to your points. does implicate more individuals than we know whether this is up to white house i have no idea. but i will say they are getting shifting stories,tion that be

the focus of the republicans. >> we're not talking about a scandal like bill clinton and monica lewinsky, that does not affect importan important people -- american people. these affect people's rights, people have lost their lives such as the case as benghazi. all three of these scandals are more than just things on a soap opera, these are things targeted and lies. neil: i wish i could get back to something else, but i want to get you back, scotty, i'll put you down as a maybe on this administration. when we come back. imagine if we stopped using dollars here, we lost so much of our faith in our currency we used other currencies. don't think stuff like that

could happen? in north korea it is. detdesperate leaders try to deflect. centurylink as your usted technology partner, you can do just that. with our visionary cloud infrastructure, global broadband network and custom communications solutions, your business is more reliable - secure - agile. and with responsive, dedicad support, we help you shine every day of theeek. and with responsive, dedicad support, that a good thing, but it doesn't cover everything. only about 80% of your part b medical expenses. the rest is up to you. so consider an aarp medica supplement insurance plan, insured by unitedhealthcare insurance company. like all standardized medicare supplement plans,

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helps cover some of what medicare doesn't pay -- expenses that could reay d up. these kinds of plans could save you up to thousands in out-of-pocket costs... you'll be able choose any door who accepts medicare patients. and you never need referrals. so don'tait. with all the good years ahead, look for t experience and commitment to go the distance with you. call now trequest yourree decision guide. this easy-to-understand guide will answer some of your questions, and help you find the aarp medicare supplement plan that's right for you. neil: get ready for, this guy firing another missile. he will have to do something to get his citizen's minds off their money that is all but useless.

north koreans think that their currency is a joke, they are abandoning their own currenciry for more stable bills from countries like china and the united states, ain't that a kick in pyongyang's pants. and maybe the world's pants, every time it gets bad in north korea, the leaders do all they can to deflect their citizen's attention, this worries me. this is from someone that wants to stay alive perspective. >> i tell you what, any time a society's currency collapses or when that society uses currency or urban elite use it, as sort of a you know means of trade, that is a sign that the leadership of that particular country is collapsing. then you add to that this

explosion of information in north korea. this is all relative, but urban elite in pyongyang are beginning to not only understand how their own economy is in a shambles but the rest of the world's economy particular of that nation to south is doing very well. that the rock under kim jong-un is fracturing. neil: would that worry you? if you are among elite in north korea, and are you trying to, forgive my crassness, play this crisis. you know people are abanninging your own currency in favor of almost any other currency. you want to get out of dodge, but you can't. but you don't want to do anything to go against the flow, right? >> not exactly. revolutions in these types of society don't happen -- great

danger is that ruling elite, the military bureaucratic and political elite in pyongyang will get so sick of kim jong-un and his inner circle and they try to take control. neil: but what if they call the shots say, our country is a toilet bowl but if you could launch a few more missiles, we can get the peasant's minds off this other stuff. >> you are right. %-korea since 2009 when their black market economy began to collapse. you ave a very thin va near at the top who are doing reasonably well by north korean standards. but the middle management. that look around thinking to themselves there has got to be a

better way to do this this lifts kim young uni's grip? >> true. and which -- you see in country right noww is this huge sense of unease, among bureaucrats and sort of merchant class and among the army we'll see. neil: you know you are very good at this economic stuff, this is the last time i'm going to book you, because you areal most too good, thank you, very much. interesting take. how about one set price for flying as much as you want for a month, for one airline, the offer is on. male announcer ] if you suffer from a dry mou

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california, surf air is a california commuter airline for now. has enormous appeal to business flyers that fine cost of flying from san francisco to santa barbara. it is a start, issue number one in our biz littl biz blitz, mon. >> i think when it comes to a subscription service it works with limit openedtions, that is when -- options. you have a predictable opportunity to see how much things cost, you have travelers within 400-mile radius this a few places it can work, but when it is nationwide, doing pay-as-you-go, that is not going to work. neil: done jetblue have something like this for a while. it was later shelved. but, a lot of people will take you up on that offer, you will fill the seats, they paid a one

time set fee, find out you are not making money off those seats. >> well, that is an interesting model. looking back. american airline tried this a while back at a higher price, this is a interesting twist, biggest appeal is solving some convenconvenient hassles, but ty the aircraft they are really nice for single prop aircraft but, i flu on one once to jacksonville, florida it took 7 hours. neil: not a learjet. what the dell? are the dell computer guys high or hybrid, they insist that they have the best of a laptop or a

ipad. >> this strikes me assa. early days of the automobile industry, with so many pieces moving to figure out what a car would look like. it feels like there is a lot of uncertainty in all parts of that mobility and technology eco system. a lot of people are throwing stuff at the wall, hoping it the work. neil: haven't people decides. they want the ipad. >> i think it is exciting that dell has decided to be last computer company to offer an ipad. fabulous, and they executing

upon 20008 business plan. you know there is nothing interesting going to here. come on. >> we have devoted a segment to this, i am not saying you have to go along but it would be nice. >> dell trying to buyback the company, why would he put out something that would shake the earth right before, and raise stock price, does not make sense. neil: okay. issue three. apple may feel sick, google topping apple in apps downloaded last month. all of those droid, sa samsung enthusiats did believe this day would come, they take apple over on app fronts. >> well, because apple was pioneer, but i have to tell you, google has at least in its device world, is to me a little

bit more on the side of open frameworks, you know across devices more transparency to me. that is a much more powerful dynamic than apple. which, you know we'll make you the best consumer product in the world, as long as you like to the way we give it to you, i don't think that is the core dynamic that the internet era and technology era enables. i am betting on google. neil: i'm fine. that when i was looking at samsung phone years ago, no apps, very nice, very cool phone. but that was -- now, every app you could want on those phones. i am wondering down the road for others who apple skeptics might be a game changer? >> i think that key point here for me is that no longer is apple providing a product that is so revolutionary, if that i

want to continue to charge a prepremium they have to show thy are staying on top of that, 5 years ago iphone was spectacular compared to a black ber that's looked like a piece of crap but now that not the case any more. neil: does blackberry advertise on the show. >> a beautiful piece of crap. neil: unions expressed by monica -- seriously, thank you. too many tornado in too little time. a sign that tornado alley residents had enough? there is a new wind blowing, for oklahoma it might not be good. they are good to go. ale for this mission i upgraded ur srt phone. ♪ right. but the most important feature of all is... the capital one purchase eraser.

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neil: this in in, 16 people confirmed dead, that number could climb as rescue workers continue to search for latest vehicles of -- victims of the tornados in oklahoma. the one earlier is forcing most determined to seek out other areas, but question is how many. we see this in florida, a few years back, after a series of category 3 or better in new orleans after hurricane katrina and downtown new york city after 9/11. who knows maybe the sweeping fires scops scorching much of sn california will have the same effect, folks who want out of there. psychotherapist robi ludwig, said it boils down to denial? >> i think that denial. also when things are familiar to

us that equals happiness and safety, to some extent there is some vulnerability where you live. there is no place that is om complete plecompletely safe, wee risk, we live a little bit in denial. we all live in denial otherwise we would be a neurotic mess. neil: you wonder, with back-to-back serious tornados in same area. does it give them pause, to say if i go through trouble of rebuilding it could happen again, i don't want to make that chance. >> for some people, but others are stuck, it is where their ffmilies are, their life is and their jobs are. they fall in love with where they live, i am in love with where i live. the other point. neil: you can't fit your home in a zip code.

do you think, i emember right after 9/11 a lot of folks moved out of downtown manhattan. many mostayed there or bought, were richly rewarded. but you always are. >> i think in back of one's mind, the possibility for something bad to happen condition happen because it already -- can't hoo happen bece it already did, we're told you have to live your life, other piece is emergency manage think. why are we not protects our people if we know a certain area is vuer in in. -- vulnerable should we protect. neil: realizing when we rebuild, build better. japan i have been there many times i look at tokyo with its share of earthquake, it is darn close to an earthquake reis a staresistance one, with each

earthquake they make the buildings stronger and stronger. they make their construction more responsive to the next disaster, here we build the same. i know chris christie to his credit in new jersey are trying to make sure -- >> i love how he is handling that. >> no everyone does, when it comes to oklahoma school system, let's protect our kids, have basement that can handle. you know the tornados that are going on. we should not leave people vulnerable. but truth is we live in a world where anything can happen. >> what do you tell your patients, when they say, i don't want to live in manhattan because wild be attacked again, and i don't want to be in south, a hurricane season, and i don't want be no in california with

mudslides and fires. >> i would ask them, where do you want to live? where do you think is safer. neil: how is iceland. >> europe, paris? neil: i could deal with paris, if i could just deal with structures and the food, not the people. >> i have patients to really wanted to move out, if that is where they feel safer they need to do it. what you need it to to protect yourself. neil: people cocoon after something like this. >> it is appropriate. fear is designed to protect us from harm. just when it over firing it can be dangerous for us, it is stop us from living our lives, always a fine balance. neil: you see one days aster after another. -- disaster after another. >> just feeling a realism these, in city we have hurricanes, it

was so disruptive it was horrible for many. neil: it did a lot of damage. >> i don't know if people are ever ready for this kind of trauma, but, i saw this quote, the worst of mother nature brings out the best in human nature. there is truth to that. we see best in human nature when people experience this tragedy together. neil: a very good point. you get top dollar, don't you? >> thank you. neil: dr. robi ludwig, stick around, the staff one at a time will start telling you our problems. neil: when mickey gets piggy is it time to give the magic kingdom the finger? the news out of disney that will have you feeling dizzy.

now $72 i have tried that actually but reached under that and pop down more cash on the table because it will cost more and it is now going to infinity and beyond. >> i want to see you in a diaper. >> you are not alone. >> i am the champion of the free market system more power to them that is their choice.

but as it continues to escalate but it is genius that the more days you go to the cheaper becomes. what they're doing is making sure you want to spend more days there and less of the competition of universal and busch gardens that is intelligent with marketing. neil: the timing is goofy we're just coming out of the recovery. >> not only that but many people are stuck with higher ticket prices would it hurt them to announce at the end of last winter so people could plan around it? they're taking advantage of people who are stuck into a disney vacation but that being said, people find them to be a lifetiie expeeience i have no problem with the actual place but the timing stinks. neil: it is a small world after all and now have to

pay more for that song? i don't think so. >> in case anybody thinks this is a mickey mouse again.ion finigan -- think they know what price the market will bear but we have 350,000 small businesses across the nation and the main street is out there in our community is far different from any disney property. people are struggling, uncertain, higher taxes, more regulation, they are scared. and like a large corporation or disney small-business owners cannot just raise prices or they are out. is part of never, never land neil: i like the analogy. [laughter] but maybe it is the strength of the recovery and we don't

have to fear as much with the major entertainment come on -- conglomerate feels comfortable hiking prices. >> this is only 25 for $30 more for a family of four when you add it together plus maybe one toy when it will be tore up at home by the dog. neil: but not the turkey leg that would be the choice but then it is game over. >> i don't see that happening because people go there to make the magic and make the memory and $30 will not stop the trip but down the road if they keep escalating the price. neil: it is a market. my only fear is that others follow suit to go to families and they make enough money as it is. i am not -- year to police

capitalism but the timing is we ears. >> this doesn't speak to the larger economy that is still in the area where people are struggling but theme parks are there on the economy and they can operate by their own set of rules once you commit to promising your kids you go to disney you cannot be dissuaded. >> kids are not going to disney. >>, you try that. >> you tell your five year-old he will not take him and you will already put them into therapy thank god we have obamacare. [laughter] neil: it is the bottom line? >> it is. if our politicians really want the consumers at disneyland to be successful to see that don't raise prices let's make the landscape better we just keep telling politicians

stop making it a mom-and-pop on the of wild toe ride. [laughter] >> thank you all very much. b you have been very dynamic and colorful. we will see you tomorrow. gei: hello, everybody. i'm gerri willis. tonight on "the willis report" th irs scandals deepened as video surfas of millionspent on lavish conferences. also, out of controledical costs. an youredical privacy at risk. important fact for all consumer watch out for you tonight.