financials and industrials leading the charge and we haven't seen that as of late and that my? maria: i thank you bring up important points. think for pointing out really the quality of this market that is not up to par. the co, good at the you. mark, thank you for joining us and that will do it for us. have a great weekend everyone. it's time for 'varney & company". stewart, have a great show. stuart: good morning. questions for investors, after the shock, is this the time to buy? a lot of people are. here's the development we have, all signs point to a russian hand in the plane shootdown. a russian separatist reports to a russian colonel in russia. israel extended operation on the ground in gaza, 60000 reservist called up. surprise from all sides, president obama stuck to his schedule and attended two fundraisers. some investors are indeed bind, stocks up nicely.

all of that plus that x indicted for carrying illegal drugs and google profits below. 'varney & company", happy friday, about to begin. ♪ ♪ stuart: i scripted this is not a rebound, maybe it is. it is definitely stability after 160-point loss yesterday the dow is up about 83.3 it was a different story yesterday as it ukraine and israel, news just unfolded throughout the day. today, the pause to reflect on what might come next. we are up 84. s&p 500 also to the upside after big lunch yesterday, a 12-point game. look at the price of gold and we were up yesterday and down 10 today.

i guess you could say it's a return to some form of stability. here's an interesting marketplace, the bond market, which is the interest rate barometer, 2.47% of the tenure yield, up a little from where was yesterday. it's all about the flight to quality. in times of crisis you move your money where its safe as treasuries and up does the price and down goes the yield. the yield back up again just a little today. how about this for a headline, said x indicted for its role industry leading prescription drugs coming from illegal pharmacies. that stock not affected at all. it's up 25 cents. >> look at google, a ton of money coming into that country. they took in 60 million and 13 weeks and made a profit on that 60 billion revenue. the stock is up nearly 3%, a 16-dollar gain. edit joins us now from dallas.

ed, we have seen this pattern before. you get a shocking instant, the market tumbles and the shock wears off and stocks back up again. nine times out of 10 that is what happens to read say this time? >> yes, what you had to do with these events, they are terrible events, what is going on in israel and the gaza strip and what is happening in malaysia with the jet, excuse me these are horrible events, but not major economic events, so whenever an event occurs every investor has to say does this impact earnings on the company that i'm interested in? does this impact earnings on the s&p overall and does impact interest rates? if the answer is no then it's not a major event for you to sell into or by into read you should it change your behavior based on those events. stuart: i thank you put your finger on it because a major event does not have a long-term impact on the market or where your money is. unless it has profound economic consequences, not political conferences, not

diplomatic consequences, not military, no, just economic consequences. i take it you don't think ukraine, israel meets that standard? it's not going to have long-term economic impact? >> they don't, the genius of investing is recognizing the direction of trend and trends don't happen momentarily. they happen of a period of time. stuart: stay there please i have an up-- couple more issues later on. you get more detail on the ukraine. we are going to get a statement from the president at 11:30 a.m. eastern. the security council is meeting on ukraine right now. here's what we now, here's the latest. an intercepted phone call has been released by ukrainian officials. the so-called self-styled defense minister of those russian separatist is describing on the so-called that shootdown and describing it to a russian colonel who is in russia. i'm going to say that is damning evidence of russian involvement.

christian is with a. former state department adviser and he joins me now from dc. christian, i'm not sure what to say about all this. what is your take on the very latest news here? it seems to me that the ball is in flagler prudence court. he is now charged with responsibility for what happened. is that right? >> he is and he is responsible. he put in place all the factors that led to this, the use of his force and they have said their uniforms in violation of the law of war. these rebels didn't just by these weapons off of ebay. they got them from the russian military. they were trained by the russian military and now, we know we'd they were in close court nation with a military. so, basically what happened is eight russian proxy made possible killed 23 market yesterday along with 200 other people on the plane that originated from a nato country. stuart: i'm going to say this looks like a huge mistake on the part of

whosoever shot down that plane and if russia had a hand in it. furthermore i think putin will try to control investigations of what happened. >> i think so also, only frankly there's not a whole lot left to investigate. if you send safety, transportation safety investigators, what are they going to confirm? this plane fell out of the sky because the engine was blown apart by a missile. already know that. the only question is who specifically pulled the trigger, but it seems our intelligence brock receipt has a fact trace that back to the separatists who were backed by putin in close cooperation, so quite frankly this is a russian act and what remains is making russia feel some sort of pain for this lest they continue to do this. stuart: if president obama and the governments of europe start to push on putin and put pressure on him he could respond by putting energy pressure on europe. in fact, he probably would

do that, which put the ball back and president obama's court, why not go gung ho for energy reduction the united states? you get a chain of events i'm try to get to hear. what do you think? >> i think energy independence is great, but it doesn't necessarily solve putin, what we need to do is get central europe, ukraine, poland and others off of russian energy and preferably onto north market energy. telling every declares world bank and our aid agencies to focus singularly on developing infrastructure in europe, gas pipelines, terminals etc. so they can use us energy is a russian energy and forget the lame think should the against russian individuals and copies who already have very little exposure to the west, meaning broad energy sector sanctions against russia that will make putin feel pain. i don't think obama will do that, unfortunately. that's what would be occurred-- constructive broad smart power approach.

stuart: i want to move to israel as well. is rarely enforces pretty brother to gaza and they hope to destroy hamas tunnels and such. that yahoo says the government will expand its woman on the ground in the gaza strip. is this the first time that we are going to see israel accepted in its right to defend itself accepted by the so-called global committee? >> cmac i don't think they will ever come around if you get the states in the persian gulf. they will never cannot say that, are somewhat accepting that. a lot of time very few friends, certainly not the egyptian government, which would like to see it go away now that there is a new government agent and not that muslim brotherhood, really hamas' only friend left is a ron street and number states professor we should also feel some say before average palestinians who are part of this. the fact is, they are not doing well in this war and is clear that instigated this. i think people think that

yahoo's movement into the gaza strip is reasonable considering this disruption. hopefully this is actually the beginning of the end that they are degraded significantly and they will get their token amounts of israeli casualties. unfortunately, so they can claim some sort of face. stuart: that would be an interesting turn of events. thank you for join us. with what is happening yesterday as it was having the president took time for a photo op with a young girl who had written a letter. he ate a cheeseburger and then heat went to new york and attended two fundraisers. your take, please come on the presidential optics? >> a lot of people are comparing while president obama reacted to help president reagan directed to the downing of korean area of low seven however, i thank you also have to take note of how other leaders in the democratic world reacted to this and ogier click example. quick example. australian feminist or,

there were more than 20 austrians who were killed in that downing yesterday. what did he do? he gave a long press conference at that wasn't an accident this is a crime. we are going to get justice. he fingered it russia and said we will have a national day of mourning . i'm going to go to church with the governor general tomorrow and we will figure out who killed, murdered our citizens. steve are harper in canada you had similar shape is like it's clear these are leaders that have more clarity. i think the thing that disturbs me the most president obama attending these fundraisers is that he -- there doesn't seem to be a strong moral compass there and where you do see it in these other leaders around the world's. stuart: thank you. stay there. a lot more to come. let me get back to the markets. show me the big board because-- this is a bounce back. it's not a huge bounce back. we were down hundred 60 yesterday and backup 70, 80

points today. we are back about 17000. that is a return to stand-- some degree of stability. the chipmaker a.m. the is a big loser today. now, does nicole discusses with us. >> a.m. d is down 17 and a half percent. it is now in negative territory for the year. however, not at 852 week low and that will not test they came out with her numbers. they saw the net loss of the second quarter. the forecast going forward missed despite the fact a try to expand in areas where they thought they would see more lows such as game consoles, low and servers and you and i have discussed intel recently in the pc demand is on the rise, turns out amd doesn't have quite the business aspect that intel does, so despite the fact we are seen pc demand on the rise it didn't help advanced micro as much as it probably could have if they were more the business the way into list. we see the stocks on the downside in a move to

negative territory for the year 2014. stuart: thank you, nicole. there's another market story today that has political imprecations. the us drugmaker is buying shyer of ireland, page $54 billion for it. this will allow you and other us company to leave america for greener tax pastors overseas. they're going to to dublin, ireland. ed, this is a flood and it's an increasing flood and frankly i don't see it stopping. quickly. >> washington in these high tax hasn't figured this out. money will go where it's rewarded and right now this -- they have lost all the tax revenue. cubbies will drop their tax rate 9% from 22 to 13. they with them billions of dollars and their shareholders will be happy and that is what the game is. that's who they report to, their shareholders. stuart: mary, what you have

on this? >> abbott lab ceo, where he says this is legal. look at the facts, the reasons companies do this is because when they get foreign earnings after they do these deals they can do whatever they want with those born early without being punished. it's a great up and and kudos to him for standing up as a ceo and taking a stand. you don't often see that. stuart: he has been pounded for being unpatriotic. you're supposed to stay here and pay the highest corporate tax rate the world. >> ultimately who is he doing this war? it's were shareholders. stuart: nothing will change, will it? nothing changes. >> store, what is unpatriotic as the taxes we have a country that does a lot of money to come back because basically these cubbies need to report to their shareholders. you want that money to come back then change the tax code in this country and that is patriotic. stuart: last word, mary. >> what's unpatriotic our senators and administration that demonizes business, the very people that employee

you and me and everyone else in this country. stuart: we have a big name you know, fed exly big-name facing drug trafficking charges allegedly delivering illegal perception drugs for decades. we will talk a former prosecutor about what is the nature of this drug trafficking. that's next. ♪

in new york state, we're changing the way we do business, with startup ny. we've created tax free zones throughout the state. and startup ny companies will be investing hundreds of millions of dollars in jobs and infrastructure. thanks to startup ny, businesses can operate tax free for 10 years. no property tax. no business tax. and no sales tax. which means more growth for your business, and more jobs. it's not just business as usual. see how new york can help your business grow, at startup.ny.gov

stuart: big selloff yesterday, some stability today and now, we are seen the bounce back. we are up 94 points of the dow was up 17071. listen to this one to citigroup analysts set out a note to clients. i will quote directly from it. based on current standings we think the gop, takes control of the senate with a gain of six points-- succeeds i should say mary, and occurs to me that citigroup is saying we are going to predict congress and predict the boat though we think, think they are saying, we think the market reacts favorably to a republican sweep. >> is that really it?

i think you're reading too much, but is that really a surprise? who is more pro growth in this country, the republicans are the democrats? i don't know how much these citigroup guys get paid, but to me that is not a shocking analysis. stuart: look at that, 17000 and with five years of a democrat and white house and the democrat led senate. >> i think part of that and we have written about this on the editorial pages you have had the fed and near zero interest rate since when, 2008? this is not based on 5% growth. if you think you're going to get at least space bar while the prospect of not to damaging policies like dodd frank, obamacare, the president will still use his pen and paper to layer red tape on american business, but you also the courts stepping in and saying you can't do that, that's outside the law. so, there are reasons to be optimistic.

stuart: i think if the republican sweep i think long term that is good for the market. do you agree? >> yes. stuart: take a look at fedex, please. it's likely higher. the stories this, the company has been indicted on 15 counts of conspiracy to assist illegal online pharmacist delivering drugs to customers without perspective. fedex the house to fight the charges and here's her statement. fedex transports more than 10 million packages a day. the privacy of our customers is the essential to the core in this privacy is at risk. former federal prosecutors here and by the way i know what he will say. he says fedex will fold and pay up big. okay. let me go further. >> sure, to give you the law. stuart: go-ahead. >> ended and we going to the facts, which we never prejudge except-- the law simple. if fedex as you said earlier

did not know that the tickler package contained a commit particular piece of contraband that they will feel anything. if on the other hand not only do have them on tape saying yet we are delivering a package and i know it has drugs and it the real world's number in the middle and it gets tricky because now obviously it isn't like a white it depends on what inferences. however, lasting to confuse the analysis is you have-- i have been in a zillion airport cases because when i was a prosecutor both airports were in our district. they had all kinds of packages and people carrying packages and the point is if you give me $50000 to deliver a package despite the fact that price pretty much announces is probably contraband with you don't tell me an idea literally don't want to know what is going on and that can be used as a theory of guilt if you deliberately? >> and the jury instruction, deliberate leak closure rise to the high probability it's

a drugs. but, forget that you don't need that in this case let me tell you why they will lose. the feds are saying-- a, the government the dea etc. warned fedex six times about specific internet pharmacies that they were dealing with and said they are problems. much stronger, one of the two, forget the names, was closed down yet fed ex continued to do business with them. three, fedex in many instances delivered to like a schoolyard parking lot and waited for the people to come and pick up without taking it to a specific -- >> isn't it on the government to go and close out and prosecute those drug companies in the first place. why are they doing it-- >> that's a good. >> fedex shouldn't be responsible. >> that is a policy discussion i'm a but you are

onto something and you're right and we have discussed this before and your show, which is this tendency to go after the corporations. remember its only corporate entities charged your, no individuals and the point is they are slamming everyone around you getting a lot of money. i'm not a social scientist, i'm a lawyer. you could argue that anyway you want. it's good for the u.s. treasury, they're getting muddy-- money. if fedex new that there was a line-- hold on-- stuart: just waiting minute. the bad-- the federal authority will now say that if any company has a rotten history or any individual has a rotten history you can't send packages on fedex because they will be indicted for carrying your packages. >> let me give you the alternative argument. stuart: we have 20 seconds. >> if there is a document and a lady the period where they are sending packages knowing it may contain

contraband that it's viable. >> where they going after the company knowing they had contraband. stuart: that's this is ministration. it up on corporations. we are out of time. sumac from someone on a policy stamp when i thank you guys are right. stuart: thank you. the obama ministration says it could cost up to $1000 a day per child to care for each illegal immigrants with the children crossing the border and you, the viewer, has a lot to say about that when we released that number yesterday. we will bring you what you had to say next. ♪ ♪

♪ ♪ [ male announcer ] if you can't stand the heat, get off the test track. get the mercedes-benz you've been burning for at the summer event, going on now at your authorized mercedes-benz dealer. but hurry, offers end july 31st. share your summer moments in your mercedes-benz with us. offers end july 31st. the shingles virus is already inside you. you should know that 1 in 3 people will get shingles in their lifetime.

speed to 250 to $1000 per day for child. here is what monica crowley had to say about that. >> children are expensive, but they are not that expensive. all of us will have to pay for the obama created a crisis to try to take care of this. >> it is not an international day care center. stuart: here is what you had to

say. no way on god's green earth does it take this to house a child. wade says this. this is what happens with government involvement. where is the money going? thank you one and all for your comments. staying on the immigration issue. he says he will consider every request that comes into his office regarding housing. mary kissel is still here. mary, it seems to me that he is trying to take a humanitarian approach. >> i think that he is. i do not know why democrats are the only ones expected to have this. recall the former governor jeb bush of florida.

the republican party ridiculed him. how could you possibly say that? if the republicans want to be electable, they have to say to every american, yes, including hispanics, we welcome you. we want you to come legally. i think, forget the politics, stuart. it is good for the country. immigrants are a benefit. they are not a burden to this country. stuart: how can you forget the politics? it is a political issue. >> if you are a leader, you do what is right for the country will were cordless of how it is interpretative. stuart: okay. we clearly differ on this.

on one hand, you have billionaire tom stier. on the other, you have the very often demonized coke brothers. why does tom stier always get a pass? we will discuss that

really... so our business can be on at&t's network for $175 dollars a month? yup. all five of you for $175. our clients need a lot of attention. there's unlimited talk and text. we're working deals all day. you get 10 gigabytes of data to share. what about expansion potential? add a line anytime for 15 bucks a month. low dues... great terms... let's close. introducing at&t mobile share value plans... ...with our best-ever pricing for business. it's one of the fastest growing crimes in america.

in fact, there's a new victim of identity theft every...three...seconds. so you have to ask yourself, am i next? one weak password could be all it takes. or trusting someone you shouldn't. over 100 million consumers had their personal information stolen in recent retail store and online security breaches. yo last month's credit score can stop identity thieves now? that alone just isn't enough. but lifelock offers the most comprehensive identity theft protection available. as soon as the patented lifelock identity alert system detects a threat, you'll be notified by text, phone or email. ♪ your response helps stop thieves before they do damage to your identity... helping to keep you safe... with three powerful layers of protection. detecting threats to your finances, credit, and good name 24/7. alerting you to potential danger. and if anything is found, your resolution expert will help restore your identity. so you can get back to enjoying your life.

♪ lifelock watches out for you in ways banks and credit card companies alone just can't. plus, it's backed by a $1 million service guarantee. if your identity is ever compromised, lifelock will spend up to $1 million on experts to help restore it. try lifelock membership risk free for 60 days with promo code easy. that's 2 months of proactive protection to help keep your identity safe, risk free. act now and get this multi-device charger. charge all your devices at once to save you time... a $30 value, free! call the number on your screen or go to lifelock.com/easy. try the most comprehensive identity theft protection available risk free for 60 days plus get a $30 multi-device charger, free. enrollment takes just minutes. your protection starts immediately. call the number on your screen or go to lifelock.com/easy. ♪

♪ stuart: the presidential statement on ukraine. it has been pushed back to 12 noon. look at the big board please. this is a nice bout back. up 81 now. 17,058. the money should be rolling and at google. a profit of 13 and a half billion dollars. a look at the stock. it was above 600 early this morning. now it is at 596. we have tom stier. a democrat donor. stashed money in the payment when he had a hedge fund. he has also invested very big and fossil fuels. why is it that the coke brothers are demonized in the media? tom stier gets a pass for his

hypocrisy. why don't we bring in nancy. it has been a long time. >> thank you for having me back. stuart: you know the coke brothers. you have been a spokesperson for the coke brothers. what do you make of this? the glorification. he totally gets away with it. i have given you some red meat. go with it. >> this is beyond hypocrisy even at the normal pc level. tom stier has every right to spend the money he has earned the way he wants to. in my mind, it means that there will be some pretty tough

questioning. he needs to get out in front. whether it is carbon -based fuel or a pipeline that is directly in competition. stuart: what is it about america today that the demonization sticks to the coke brothers, but the glorification sticks to tom stier? >> i think it is skeptical about the private sector. the american people actually have a fairly refrigerant that. i think democrats are definitely talking about anything other than the lousiest economy. the really frightening things that are happening. stuart: hold on a second, nancy.

i have the wall street editorial board here with me. >> nancy, another explanation. because the media in this country. very liberal. very democratic. does that have an issue on how these guys recovery? >> i think that it must. think about the contributions that david coke has made in new york. i mean, they are really in a backbend. they are trying to attack people who employ more than 50,000 americans in good manufacturing jobs. these principles are such that they will fight subsidies. stuart: nancy, i am not giving away any secrets when i tell our audience that you would have been the press secretary for john mccain if he would have one the election.

mr. obama. would you have advised mr. obama to go to two fundraisers yesterday? >> i think that that was a complete mess call. altogether the wrong signal. he just does not connect well with the average american. i think they miss frequently the fact that actions and symbols matter. when the rest of the country was praying for the people who had lost loved ones out there trying to hawk your self probably was not the right thing for the commander in chief. stuart: nancy, you have been away from this program far too long. come on back, please. nancy pelosi, everyone. thank you. i think we are up 100 points. by something, somebody. that is a rebound.

sales of fine art. they are building. i think it is because rich people. that we will do with next. ♪ hard it can be...how ...to breathe with copd? it can feel like this. copd includes chronic bronchitis and emphysema. spiriva is a once-daily inhaled... ...copd maintenance treatment...

...that helps open my airways for a full 24 hours. you know, spiriva helps me breathe easier. spiriva handihaler tiotropium bromide inhalation powder does not replace rescue inhalers for sudden symptoms. tell your doctor if you have kidney problems, glaucoma, trouble urinating, or an enlarged prostate. these may worsen with spiriva. discuss all medicines you take, even eye drops. stop taking spiriva and seek immediate medical help if your breathing suddenly worsens, your throat or tongue swells,... you can get hives, vision changes or eye pain, or problems passing urine. other side effects include dry mouth and constipation. nothing can reverse copd. spiriva helps me breathe better. sfx: blowing sound. does breathing with copd... ...weigh you down? don't wait ask your doctor about spiriva handihaler. ♪ stuart: a wider audience beyond

the 255 million users that login at least once a month. twitter will unveil new metrics. sources tell the paper, the new numbers will measure the people that see reuters content that are not necessarily logged in. executives of twitter hoping the results will show it is just not a smaller version of facebook. another new title. company gave her the extra title of chairman. chair, i should say. two days after the acting chair said he was stepping down. he was diagnosed with throat cancer in april 2013. the stock is up slightly. fine art sales. i say it is so that the rich can easily move stuff a round. bes ♪ n the world. it's delicious. so now we've turned her toffee into a business. my goal was to

take an idea and make it happen. i'm janet long and i formed my toffee company through legalzoom. i never really thought i would make money doing what i love. we created legalzoom to help people start their business and launch their dreams. go to legalzoom.com today and make your business dream a reality. at legalzoom.com we put the law on your side. we're changing the way we do business, with startup ny. we've created tax free zones throughout the state. and startup ny companies will be investing hundreds of millions of dollars in jobs and infrastructure. thanks to startup ny, businesses can operate tax free for 10 years. no property tax. no business tax. and no sales tax. which means more growth for your business, and more jobs. it's not just business as usual. see how new york can help your business grow, at startup.ny.gov thank ythank you for defendiyour sacrifice. and thank you for your bravery. thank you colonel.

thank you daddy. military families are uniquely thankful for many things, the legacy of usaa auto insurance can be one of them. if you're a current or former military member or their family, get an auto insurance quote and see why 92% of our members plan to stay for life. stuart: a very big name that you know. ibm. it is down. nicole: the stock is down about one half percent. 191.63. they saw growth with the software business. revenue was expected to grow by 3%. however, what is interesting is how the company is shifting away from that business and moving to focus on high-end products.

like cloud. mobile security. they estimate that software will actually bring in half of the profits. by the way, i just saw a headline, stuart, that you may be interested in. starbucks will now have pick up orders. you can do it via an app. i can send in my order now and say mocha from pacino for pick up. stuart: yes. when do you give them the money? nicole: i have been waiting for this for years. stuart: when do you give them the money? nicole: i guess when you get there. have it ready. i will be there. stuart: as of right now, we are still awaiting president obama's speech about ukraine.

the president could come out there at any time. that is the podium where he will appear. what question would you ask the president if you were in the press corps there? >> how are you going to punish putin? are you going to arm ukraine? stuart: what are we going to do about what happened yesterday. >> absolutely. what have you learned? this global disorder, mr. president, what are you learning from this? stuart: the president will turn and take a stronger line with our enemies.

>> this president has shown no evidence that he learns. i believe that he believes he is a pragmatist and a realist. america should just succumb to that and accept it. i do not think that he will learn from this, but he should. stuart: we do not want to go to war with russia. stuart: we live in a golden war. this is what happens when you allow putin free reign over his part of the world. you get civilian casualties. ultimately, i am sorry to say it, ultimately, that will come here if we allow it to continue.

stuart: fine art sales. just in the first half. we always bring this one out. two boxers. $84 million. >> i like that. come on. stuart: here is the man who wrote the rich people think. all right. i think there is a boom and art sales because art is kind of portable. a bot of very wealthy people in this world. what do you think? >> i think that they are status symbols. you have to sell your status symbols with mansions; right? the first thing you do is show the art collection. stuart: isn't there some warehouse at an airport in

amsterdam, it is just a warehouse. stifel airport. i think there is a warehouse. you fly in. you go straight to the warehouse. you put your art in. it is in your name. you just got that warehouse right there. that is where you keep the money. that is where it is going. >> when you have an extra 50 or 60 million, what will you do with it? stuart: the "wall street journal" editorial board. >> such bad motivations to these guys. they just like to show off to their showoffs. stuart: put that picture back up. thank you. two boxers with a blind down the

middle. >> why is that different from mark rothko? stuart: that is a good question. >> fabulous. >> i have a led zeppelin blacklight poster that looks better than that $84 million painting. stuart: on the other side of the court, some of this stuff, it is a good investment. it is a good investment. >> it is a good investment. the wealthy typically have around 10% studies have shown. they keep about 10% of their assets in treasury. i think it is more for enjoyment. it is a lot about status.

stuart: i want to know the dollar level at which you become part of the superrich. what is it? liquid assets of how much? >> that is a really good question. i would say somewhere around 50 million. stuart: roughly, how many people in the world have liquid assets of 50 million or more? roughly, what would it be? >> it is way under 1%. i do not know the exact figure. there is a lot of rich people out there. when you have an extra 50 million to buy a painting, you've got money. you have real money. stuart: thank you very much indeed. you have to put your last $0.02 worth in. >> also the feds, stuart.

these guys are also looking for return. it is hard to find return when you have zero interest rates in 2008. stuart: i can see a good investment when i see it. that is a good investment. >> you have to have a good appetite for risk. stuart: the president is going to appear shortly. he is not here yet. we were told he will make a statement on ukraine. it was pushed back to 12 noon. we have the malaysian plane shootdown yesterday. then we have the incursion into gaza yesterday. the stock market fell virtually throughout the day. a lot of money went into the treasury bonds market. that was the flight to safety. at the end of yesterday, we have

the dow industrials down. a selloff because of the global incident. two of them. we have seen this many times before. there is the shock of the international incident. the jitters in the market pushes prices down. you have stability returning. the hope it will not be a major economic event. at what point do you jump back in? if you have that spare cash sitting mayor, is this the time? is the crisis winding down? do you put the money to work now? since mary kissel is still here, i asked her that question. i think i am right in saying that nine times out of 10, you

get the plunge and they do get the return of stability in the market goes back up again. >> yesterday, malaysian airlines flight took off from amsterdam. it was shot down over ukraine near the russian border. nearly 300 innocent lives were taken. men, women, children, infants who had nothing to do with the crisis in ukraine. that is an outrage. my thoughts and prayers are with the families for this terrible loss. yesterday i spoke with leaders of ukraine, malaysia and the netherlands. my thoughts and prayers are with

all of the families. by far, the countries that lost the most people on board the plane was the netherlands. close friends and allies of the united states of america. today i want them to know that we stand with you shoulder to shoulder. we will get to the bottom of what happened. here is what we know so far. evidence indicates that the plane was shot down by a surface to air missile that was launched by an area that is controlled by separatist inside ukraine. we also know that this is not the first time a plane has been shot down in eastern ukraine. for the last several weeks, they have shot down a plane, a

helicopter and they in they claimed responsibility for shooting down a ukrainian fighter jet. we know the separatist have to receive a steady flow of support from russia. this includes arms and training. it includes heavy weapons. it includes antiaircraft weapons. here is what must happen now. this was a global tragedy. filled with insurgents from many countries. there has to be a federal investigation into what happened. the un has endorsed this investigation. we will hold all members to their word in order to facilitate the investigation. they must adhere to an immediate cease-fire. evidence must not be tampered with. investigators need to access the

crash site. the solemn task of returning those that were lost aboard the plane to their loved ones need to go forward immediately. in the coming hours and days, i will continue to be in close contact with leaders around the world. our immediate focus will be on recovering those that are lost. i want to point out that there will likely be misinformation as well. i think that it is very important for folks to sift through what is factually based and what is simply speculation.

no one can deny the truth that is revealed in the awful images we have all seen. the eyes of the world are on eastern ukraine. we will make sure that the truth is out. more broadly, i think it is important for us to recognize that this outrageous event underscores that it is time for peace and security to be restored in ukraine. for months, we've supported a pathway to peace. the government has reached out to all ukrainians and lift up to a cease-fire. violations that took the lives of ukrainian soldiers and personnel. more over time and again, russia has refused to take the concrete steps necessary to de-escalate the situation. he said he was not happy with

it. i told him that we have been very clear from the outset. we want russia to take the path that would result in peace in ukraine, but so far, at least, russia has failed to take that path. it has continued to violate ukrainian sovereignty and support this. that is why, together with our allies, we have imposed costs on russia. i think a softer and appropriate time for all of us to step back and take a look at what has happened. violence and conflict inevitably lead to unforeseen consequences. russia, the separatist and ukraine all have the capacity to put an end to the fighting. meanwhile, the united states will continue to lead efforts in the community to de-escalate the

issue. we will support the people of ukraine as we have courageously worked to strengthen their economy and make their own decision about how they should move forward. before i take a couple questions, let me remark on one other issue. i spoke with mr. netanyahu. we discussed israel's military operation in gaza. we reaffirmed my strong support. no nation should accept rockets being fired into its borders or terrorist huddling into its territory. sirens went off in tel aviv. i also made it clear that the united states and our friends and allies are deeply concerned about the risk and further

escalation. that is why we have indicated although we support military efforts by the israelis to make sure that rockets are not being fired into their territory, we have also said that our understanding is designed to deal with tunnels and we are hopeful that israel will continue to approach this process in a way that minimizes civilian casualties and all of us are working hard to return to the cease fire that was reached in november of 2012. working to support egypt's initiative to secure that outcome. let me close by making one additional comment. mh 17, there were apparently

nearly 100 researchers and advocates traveling to an international conference. these were men and women who had dedicated their own lives to saving the lives of others. they were taken from us in a sense of violence. we should not forget that in the midst of conflict and killing, there are people like this. people that are focused on what can be built rather than what can be destroyed. people who define themselves not by what makes it different, but by the humanity that we hold in congress. we need to lift them up. it is time for us to heed their example. the united states of america will continue to stand for the basic principle.

americans have the right to determine their own destiny. when terrible events like this occur, the international community stands on the side of justice and of truth. with that, let me take a couple of questions. >> thank you, mr. president. does the u.s. believe that this passenger jet was targeted? this incident really seems to escalate to a level that we have not seen before. >> i think it is too early for us to be able to guess what the intentions were of those that watched the surface air missile. the investigation will be ongoing. i think what we will see is additional information surfacing over the next 24 hours, 72

hours, the next week, the next month. what we know right now, we have confidence in saying that a surface air missile was fired and that is what brought the jet down. we know, or we have confidence in saying that the shot was taken in a territory that is controlled by the russian severus. i think we need to make sure that we do not get out ahead of the facts. in terms of identifying specifically what group of individuals, personnel ordered the strike, how it came about, those are things that i think will still be subject to additional information. we are working with the entire international community to make sure that the focus is getting

onto the bottom of this bay and being truthful. my concern is that there has been a lot of this information generated in eastern ukraine generally. this should snap everybody's attention and make sure that we do not have time for propaganda. we do not have time for games. everybody needs to make sure that we are holding accountable those that committed this outrage. in respect to your second question, as you are aware, before this terrible incident happened, we had already had sanctions against russia. the impact that this could have on the economy is for all to see. our preferred path is to solve this diplomatically. that means that the russian government has to make a

strategic decision. will they continue to support violent separatist whose intent is to undermine the government of ukraine or are they prepared to work with the government of ukraine to arrive at a cease fire and a piece to take into account the interests of all ukrainians? there has been some improved language at times over the last month coming from president putin. what we have not seen is an actual transition and different actions that would give us confidence that that is the direction they want to take. you know, we will continue to make clear that as russia engages the separatist, that we

have the capacity to increase the cost that we impose on them. we will do so. not because we are interested in hurting workshop for the sake of hurting russia, but for the sake of standing up for the basic principle. [inaudible] >> we do not see a u.s. military role beyond what we have already been doing. getting memory assurances. [inaudible question]

>> we do not know exactly what happened yet. as i said before, we do not want to get out ahead of the facts. what i do know is we have seen a picking up of violence in eastern ukraine. despite the efforts of the ukrainian government to abide by a cease fire and reach out and agree to negotiations including with a separatist, that has been rebuffed. we know that they are heavily armed and that they are trained. we know that that is not an accident. that is happening because of russian support. it is not possible for these separatist to function the way they are functioning. to have the equipment that they have. set aside what has happened with respect to malaysian airlines.

a group of separatist cannot shoot down military transport planes or they claim to shoot down fighter jets. that is sophisticated equipment and sophisticated training. that is coming from russia. we do not know exactly what happened with respect to the malaysian airlines. given the nature of the shot that was fired. there are only certain types of missiles that can reach up 30,000 feet and shoot down a passenger jet. we think itcontrolled by the se. without having a definitive judgment on those issues yet, what we do know is the violence

that has taken place there is facilitated in part, in large part, because of russian support. they have the ability to move those separatist in a different direction. mr. putin himself says he wants to stay. he has the most control over that situation. so far, at least he has not exercise it. i think that this certainly will be a wake-up call. europe and the world.

there are consequences. an escalating conflict on eastern ukraine. it will not be localized. it will not be contained. what we are seeing here is just in one country alone our great allies of the dutch, 150 or more of their citizens are being killed. that, i think, sadly brings home a degree of which the stakes are high for europe. we have to be firm in our resolve. it is bringing about a just cease fire and we can move towards a political solution. in aquick question.

[inaudible] >> we have been pretty methodical over the last 24 hours. working through the slight manifest. identifying which passengers may have had a u.s. passport. at this point, the individuals that i mentioned is the total person that we can definitively say was a u.s. citizen. events are moving so quickly. i do not want to say with absolute certainty that there may not be additional americans, but at this stage having worked through the list, getting in contact with the malaysian government which process the

passports as multiple boarding, this is our best assessment of the number of americans that were killed. obviously, that does nothing to lessen our outrage about all of those families regardless of nationality. it is a heartbreaking event. to the effect of sanctions on the economy, we have consistently tried to tailor the sanctions in ways that would have an impact on russia. on their economy, on their solutions, they are aiding and abetting. the activities taking place in eastern ukraine. minimizing the effects on the u.s. and global economy. it is a relevant consideration that we have to keep in mind. the world economy is integrated. russia is a large economy.

there is a lot of financial flows between russia and the rest of the world. we feel confident that at this point the sanctions that we have put in place is minimal. it is something we have to play close attention to. thank you very much, everybody. speak to the president speaking on the ukraine situation. the very latest and his reaction to it. broadly speaking, he made one point. we must have a credible, international investigation. the separatist must agree to a cease fire. i do not believe that there is any other concrete step. mary kissel is still with me. your first response to this.

the most important take away is there is no significant change to the u.s. policy. also understanding the weakness. we keep asking you for peace. there is no indication that that will change. the moral language, he says it was a senseless act of violence. there was outrage there. he could have said that yesterday. he should have said that yesterday. the dow jones industrial average was up 100 points. when he finished speaking, it was up. also joining me is judy miller. prize-winning journalist.

tell us about what we just heard from the president. >> she was actually at the un when she said the russians are either directly or indirectly responsible for what happened. this is a very different talking point. much more heartbreak and outrage. did she not get the memo or was she actually just genuinely outraged? stuart: it was a statement of don't do this. we will hold you to account. >> i do not want to get out ahead of the facts. this was the opposite of the kind of statement that ronald reagan's made after the korean

airline was shot down so many years ago. there was absolute accountability. the soviet union was to blame. here we do not know all of the facts. there are some genuine issues here. i think samantha power reflected what most americans feel about this. >> before this incident, when you look at other foreign-policy areas, america seems to be in retreat. whether it is syria, iran, iraq, etc. many people thought that this her read this incident, 80 children on board this plane, would change that basic approach to foreign policy. did you pick up any basic change in foreign policy with what the president just said? >> oh, no. i think the president is very consistent in tone and substance he is calling upon putin to do the right thing.

calling upon us to mobilize the international community so that we have an international investigation. he is reflecting pretty much what the american people want. we do not want to get involved. stuart: that may be what people want as a sort of knee-jerk reaction. don't we want leadership? >> of course we do. if the president does not explain why leadership is american, of course the polls will reflect this. the president came out, our appeasement of putin has led to 300 people being killed. i think those polls will say something very different. stuart: judy, will you stay right there?

mike baker joins me now. mike, you have direct content or you have in the past with these russian separatist. what kind of people are they? they are ill disciplined. the kind of people who could indeed fire off a rocket. >> it is a mixed bag of people. you get some very serious oppositionists. you get a variety of people that come out enjoying the opposition. you get, you know some very unsavory characters. it is typical of an environment like this. typical of a separatist organization. a real mixed bag of people. one of these kind of people, weaponry that can bring down a

passenger plane at 30,000 feet. >> this has been going on for months. they have claimed a lot of territory. they have had access to, sometime now, weaponry. some of them are capable or have had training in the past of dealing with it. russia has been supplying ukraine for decades. it is not a surprise. stuart: putin has a nasty problem. he is being held responsible, basically. somebody under his rock control that fired off that missile. >> yes. i would -- putin is responsible. i would argue in large part. i would also argue that russia's

behavior, well, putin's behavior, we are responsible for that. i do not want to say enabled. it has created this environment where we have allowed a vacuum at the top of the world stage. as a result, chaos tends to rush in. a very readable individual, in a sense. this should not be a surprise. stuart: i will break a way for a second and get to the markets. it seems to me that the president is not going to take any direct immediate action. that is the reason why the stock market has gone up. 102 points. what do you say? >> i think the market is taking a sigh of relief. remember, we were off yesterday.

number two, i have a feeling that the general invested community will probably be supportive of what the president had to say today. i do think the community would like the president to have been much stronger in the beginning. maybe none of these things would happen if this stuff occurred. they will like a little bit of what they heard. i still think that they could have been stronger. stuart: scott, thank you very much. we will see you in a few minutes on the halftime report. >> i think what i would worry about is those senators right now. trying to get support to arm this theory and rubbles. i would say goodbye to that initiative. what this plane incident has demonstrated is what happens when you send military equipment

of that nature to areas where you cannot assure their control. i think, if anything, this may play to the president's advantage in the longer run politically. i agree in terms of whether or not this is right and whether or not this is a demonstration of leadership. it is more what we had. stuart: judy miller, thank you very much for being with us. more varney in just one minute. ♪ ♪

♪ ♪ [ male announcer ] if you can't stand the heat, get off the test track. get the mercedes-benz you've been burning for at the summer event, going on now at your authorized mercedes-benz dealer. but hurry, offers end july 31st. share your summer moments in your mercedes-benz with us. we're changing the way we do business, with startup ny. we've created tax free zones throughout the state. and startup ny companies will be investing hundreds of millions of dollars in jobs and infrastructure. thanks to startup ny, businesses can operate tax free for 10 years. no property tax. no business tax. and no sales tax.

which means more growth for your business, and more jobs. it's not just business as usual. see how new york can help your business grow, at startup.ny.gov really... so our business can be on at&t's network for $175 dollars a month? yup. all five of you for $175. our clients need a lot of attention. there's unlimited talk and text. we're working deals all day. you get 10 gigabytes of data to share. what about expansion potential? add a line anytime for 15 bucks a month. low dues... great terms... let's close.

introducing at&t mobile share value plans... ...with our best-ever pricing for business. could help your business didavoid hours of delaynd test caused by slow internet from the phone company? that's enough time to record a memo. idea for sales giveaway. return a call. sign a contract. pick a tie. take a break with mr. duck. practice up for the business trip. fly to florida. win an award. close a deal. hire an intern. and still have time to spare. check your speed. see how fast your internet can be. switch now and add voice and tv for $34.90. comcast business. built for business. ♪ i voted for culture... ...with a 'k.' how are you? i voted for plausible deniability. i didn't kill her, david. and i voted for decisive military action. ♪ xfinity presents the people's hotlist where you choose this summer's

top 100 shows and movies. and all you have to do is watch with xfinity on demand. now through july 23rd. vote! take any new direct action against russia after the downing of that plane in ukraine but last night he still attended two fund-raisers in new york city. the daily surgeon joins us now. i am starting to go back to something that happened yesterday but these fund-raisers really raised the hackles across america. i wonder what young people thought. i heard from people of my generation. i want to know what you youngsters think of the president fund-raising in a time of crisis. >> it is clear there is not an event on the world stage that

willack obama to cancel a fund-raiser. he is having fun lots, glad handling donors, do things around, the press conference we just heard he could have said most of that yesterday. when he gets a press conference he almost looks irritated that he has to take up this tour of the white house. there is no sense of urgency or outrage or passion. one of my clients on twitter, barack obama is talking about a investigation, an investigation into the intention that those who might have lunch this missile might have had. it is a lawyery weasel words from the president of the united states. stuart: i agree with you with that analysis but isn't this what young people want? says young people i saying we don't want to get into a confrontation, we are tired of that, we won't fired guns in

danger, the president is doing what young people want. isn't that accurate? >> i don't know who has suggested going to end invading russia or starting a war with russia over annexing part of ukraine. stuart: is a soft line. i hate to say appeasement but it is that soft line, don't get hard, don't get tense, that is what young people want. am i wrong? >> young people in general are not that concerned with foreign policy but when we have incidents like this they become more aware of it. the president has all these vows and commitment and red lines but does nothing to back them up. what people are looking for is some sort of leadership. if you take a strong stand with someone you have to take a strong stand with someone like vladimir putin, you have to have the stomach and courage to back it up.

young people, middle-aged and old people will look to him and stand by because we can acknowledge, we should be able to, that vladimir putin is a thug and there are few options when dealing with a flood. i don't think he cares about this. if he cared he would have had this press conference last like instead of his fund-raiser. luann is there a politician popular among young people because that person is seen as a leader? >> i think the politicians who are popular among young people, probably rand paul comes to mind the most because he has been speaking on college campuses, going to environments that are hostile to republicans but is there someone who stands out right now? i don't think there is. stuart: 57 million people live in multigenerational homes, grandparents, parents and kids all to get there.

that is double the number living in multi generational homes, double the proportion since 1980. what do you say that this? >> you get what you vote for. they vote for state policies and consequences and that means living with mommy and daddy. he to be the bearer of bad news but it is only going to get worse the next two years so if you are young person and still living with mom and dad you can't afford to live on your own, page your room, put up the high school poster you had on the wall, get comfortable for another two years. will be the same status quo which hasn't arrived, it will go away because you can't afford to. you have different consequences vote for different candidates. stuart: we hear you, thank you very much indeed. quickly to the big board. the president issued a statement

about 15 minutes ago, simply called for an international investigation into the shoot down of the plane. nothing more. no concrete action. the market appears to like that. we're 110 points. ed klein, one of mr. obama's sharpest critics is here. he will join us next. shingles affected me tremendously as a pilot.

the blisters and the pain in my scalp area and down the back of my neck was intense. it would have been virtually impossible in that confined space with the rash to move to change radio frequencies. i would just stop and literally freeze up. i mean it hurt. i couldn't even get up and drive let alone teach somebody and be responsible in an airplane. when my doctor told me that shingles came from the chickenpox virus i was very surprised. for two weeks i sat up in bed because i couldn't lay down. i had the scabs all throughout the side of my head and into the upper neck region. i didn't want to do anything except go to sleep and have the pain be over. as a pilot that meant i was grounded.

i don't have to leave my desk and get up and go to the post office anymore. [ male announcer ] with stamps.com you can print real u.s. postage for all your letters and packages. i have exactly the amount of postage i need, the instant i need it. can you print only stamps? no... first class. priority mail. certified. international. and the mail man picks it up. i don't leave the shop anymore. [ male announcer ] get a 4 week trial plus $100 in extras including postage and a digital scale. go to stamps.com/tv and never go to the post office again.

stuart: we are holding onto the gains, we are of 106 points, close to the high of the day. no call to action on russia from president obama. maybe that is why the market is holding onto a 100 point gain. something puzzling a lot of people, the crisis in ukraine, developments in israel and president obama never ever changes his schedule. the author of blood feud and the amateur is here. he never changes. what does that tell you about the man? >> he is even more detached and aloof than he has been before. i heard from my sources that he is in a state of almost depression over all the criticism he has been getting recently and how his own party has begun to question his leadership. the second thing it tells me is he is more interested in saving

the sadness in the midterms, raising money for the senatorial candidates because if he loses the senate he might as well pack his bags. stuart: that is why he came to new york yesterday. sick of these crises and still attended two fund-raisers. the always attends fund-raisers. >> he seems to love fund-raisers because when he goes to them he is the star. now in washington he is no longer the stock. for instance, the leadership of congress on the democratic side, harry reid and nancy pelosi, i am told by my sources i am no longer calling the white house about legislative matters, they are calling the clintons to get directions what they should do, what bills to put forward, what bills they shouldn't put forward. stuart: does that imply harry reid and nancy pelosi have thought the senate is going republican? >> i think it also implies they

don't think the white house is engaged and the clintons are already in the process of a succession. stuart: tell me about hillary but also tell me about elizabeth warren. what is the latest on senator warren? she had a big meeting today. >> elizabeth warren is speaking at the net routes nation conference in detroit which is a left-wing base of the party. hillary is not attending this. she was talking to charlie rose last night and repeating her mantra that her frequent flier miles during the time she was secretary of state should be cashed in for the presidency. i don't think that is going to work. elizabeth warren unbeknownst to most people, there are several new organizations that have been created such as warren for

president, warren ready for warren, all kinds of new packs being created by the left-wing of the party to challenge hillary clinton. stuart: elizabeth warren has momentum within the democrat party. >> huge momentum because hillary appeals to the head of the party in the sense they think she looks like a winner may be but elizabeth warren appeals to the heart of the party. stuart: she is vigorously anti business, anti wall street, and i rich people, anti one%. >> she is as far left as you can get and i am told the obama administration has already been talking to her behind-the-scenes, offering her support in terms of financial and organizational support if she challenges hillary. stuart: blood feud between -- of president obama thinks he is the democrat nominee, he is not happy about that and you are

saying he is already moving toward elizabeth warren, his successor. >> she has been a bit coy so far saying i am not running for president. present tense at this point. she is not issuing that statement that under no conditions will run for president. stuart: you are a shrewd judge of politics in america today. what is your judgment on elizabeth warren's candidacy against a generic republican in 2016. do you think she could win? >> no. i don't think she can win because i think she is too extreme even in the present context in which people are feeling a terrible economic pinch all across this country people are suffering economically, financially, household income is down, there is a desire to get back at those guys who are making all that money on wall street but i still think elizabeth warren would

flag people is too strident and too extreme. stuart: we will see. how is the book going? >> it is number one on the new york times list. but i asked the this. great success. blood feud. thanks very much indeed. two citigroup analysts say that yes, republicans will take the senate in november. analysts said citigroup. we will discuss that and the implications thereof next.

stuart: we hear that twitter is taking steps to show everybody that have all water audience be on the 255 million users who live in once a month, the journal reports twitter will unveil new metrics and proving just that. sources told the paper the new numbers will measure the people who see twitter's content but are not necessarily log them. executives at twitter are hoping results will show it is not up smaller version of facebook. that is not working on the market, down 1.5%. hewlett-packard's chief, the company gave her the extra title of chair. this comes two days after the acting chair said he was stepping down to focus on his health.

was diagnosed with throat cancer in april of 2013. hewlett-packard stock is up $0.20, $34.63. next we have the real halftime report. stay right there please.

my mother made the best toffee in the world. it's delicious. so now we've turned her toffee into a business. my goal was to take an idea and make it happen. i'm janet long and i formed my toffee company through legalzoom. i never really thought i would make money doing what i love. we created legalzoom to help people start their business and launch their dreams. go to legalzoom.com today and make your business dream a reality. at legalzoom.com we put the law on your side. stuart: is that time. we have for you the real halftime report. nicole petallides, john layfield shining in from bermuda, john,

first to you. and the international incidents yesterday, now we are bouncing back 102 points. time to get back in and buy here, now. >> i'm not a big buyer and seller, labor day you will see direction the market does. i think we will tread water. regaining back to dale lot of what we lost yesterday. all this global destruction, happening in spots that i used to global disruptions so really hasn't affected the market much because it hasn't affected the overall economy or oil prices. stuart: when you get an international incident at this time and the market goes down, it only stays down for a long period of time if that incident truly affects our economy year or the global economy around world. >> yes. that is 100% true. it is a horrible tragedy, this airliner and i'm not sure what you do about this, if you find

out it was a russian missile. i think the reason the market has come back is they believe there is not going to be a contagion of fact of a larger military presence in the united states it was contained in this one isolated incident. stuart: the president did not outline any concrete action about a half-hour ago and the market is still up 100 points. we have good news at google. vostok is higher. what is going on with google? nicole: they just don't miss. it is great for analysts who have been hot on the stock. a lot of analysts uping outlook, stock is 3% sitting at $6, they posted their eighteenth straight quarter, 20% or more growth. they're just getting it right. acl number of clicks going higher. the cost has gone down and spending internet, mobile and

the like, they have android which is huge for them, the most world wide. they have youtube. these analysts, you can see why. stuart: there are two analysts at citigroup. they say the gop, republicans will take the senate in november. that would be good news for the stock market. >> the perception would be good news. the president reacted both houses being against them in a stalemate so at the end of the day the perception, and that is a down around the whole thing. the gop got in and started to take care of the tax reform. that is something i still think

with the pros at the bash the president's approval. stuart: i agree the market would explode. and corporate tax rates. also, fedex, indicted for prescriptions from illegal pharmacies. they should have known they were shipping illegal drugs? >> they should have known because the government warned them in 2004 that they were shipping illegal painkillers that people were ordering online by taking that survey, get your pain killer. fedex will deliver it. is there anything wrong with it? federal prosecutors were all right on this looking at fedex, and follow-up on it. stuart: so much for that. they got a tax move, a company leaving america. this one is going to ireland.

more of this to come? >> no doubt about it. tax reform was so badly needed, 24% effective tax rate, and the highest corporate tax rate in the world, small and medium-sized businesses because they don't have the money local political clout to buy politicians to get the pulse in the tax system. we have all the tech companies taking their eye teeth and licensing it to ireland as well. worldwide revenue goes through ireland, this was all legal and above board that shows you how bad our tax system is. >> i was in dublin ten date ago and walked down a stream of american offices, expatriate companies looking for a tax break. i suspect could be a real rush of companies leaving america before congress and the president tries to do something about it.

>> this absolutely blows my mind, i had a british passport as well. we fled that country because the taxes were too high. our forefathers are turning in their graves because we are now going back here. we have to address something, the idea that american companies are merging with foreign companies, the tax rate is unconscionable. we need to take action and it has to happen now. stuart: we got ten seconds to tell me how you got a british passport. >> i lived and worked there for 11 years, trading and 11 international futures from 1990-2001. stuart: they give you a passport for that? >> you have to pay a set amount of tax to get a passport. that is it for the real halftime

report. great show today. fox's bid for time warner rejected but it does prove something, content is king, worth a ton of money. some numbers in a moment. [bell rings] ♪ time and sales data. split-second stats. ♪ its so close to the options floor, you'll bust your brain-box. all on thinkorswim, from td ameritrade.

stuart: time warner has rejected fox's takeover bid. time warner is still very much in play. amazon, google, two accompanies being talked about, they have the money to snatch up time warner's valuable content. marcus fraser is chief creative officer who joins us right now. it seems to me the price of content, the value of content, is just going straight up. it also occurs to me that maybe that is not good news for some streaming companies like netflix. what do you say? >> time warner owns hbo. hbo is said to be valued at $20 billion.

hbo has premium award winning content, game of thrones, you can't get this content anywhere else. netflix although it has premium content, original programming like orange is the new black, house of cards, they have limited inventory. this time warner deal is going to bring huge competition in for a company like netflix, netflix is still growing and people are still subscribing to their services, there will be huge competition once this time when the deal goes through. stuart: we don't know if the deal will go through. it occurs to me a company like amazon has the clout and the money to buy time warner, a wonderful fit, wouldn't they? >> they already have a streaming service also. there amazon instant crime video streaming already has a original

programming, and adding time warner to the mix, a huge variety and consumer, whoever starts subscribing to the amazon -- stuart: i am prepared to make a bad that you, being young, don't watch television. i bet you stream all the time, don't you? >> honestly i binge watching. when i watch actual tv i watch sports. when i watch actual original programming from all the various networks by binge watching. i watched four seasons of game of thrones in two weekends, and you don't have to wait for monday at 10:00 p.m. to watch tv. tv is changing dramatically. stuart: you youngsters are

killing me. and thank you very much. more varney in just a moment.

really... so our business can be on at&t's network for $175 dollars a month? yup. all five of you for $175. our clients need a lot of attention. there's unlimited talk and text. we're working deals all day. you get 10 gigabytes of data to share. what about expansion potential? add a line anytime for 15 bucks a month. low dues... great terms... let's close. introducing at&t mobile share value plans... ...with our best-ever pricing for business.

stuart: friday lunch time, my time is a. dierdre bolton it is yours. adam: i am adam shapiro in for dierdre bolton. israel intensified its ground attack in gaza and someone should the passenger plane out of the sky over ukraine. these other kinds of the events that can trigger trouble in jittery markets but we will help you maneuver your investment safely through the turmoil. ed snowden delivered a blow to the nsa, now he drops the bomb on cloud storage, you may want to get your head out of the clout if what ed snowden says is true. sometimes facebook's privacy policy and push your buttons but the social media side is trying something new in retail and hoping it is m