enthusiasm about more stimulus. friday, the big jobs report for the month of august. we will follow that on "the opening bell". have a great day. time for "varney and company". arthur aidalla wonderful show. stuart: the president of events to the economy. it says we are better off by almost every measure. he is campaigning on that issue with sweets a month to the elections. good morning and welcome to election season 2014. this is not just politics. your money is very much in play. the president hopes to keep control of the senate, obama policy not going well so he looks to the economy as is this issue and it dovetails nicely with this week's push for higher minimum wage. there will be protests and sit ins at fast food restaurant across the country. america says the president

deserves a raise. the polls suggest look have that will not work. the republicans look very likely to take control of the senate. today what does that mean for you and your money? "varney and company" is about to begin. all right, welcome back, good to see you. let's get to the big story with special report host bret baier joins us from washington d.c.. is my premise correct? is the president pivoting to the economy as his best issue? >> he has pivoted to the economy numerous times over the past couple years and he desperately wants to turn the page on what has been a tough couple of weeks, months on the foreign policy front and also frankly domestically, has not seen his poll numbers hold up.

that is particularly troubling for a lot of senate races, democratic senators trying to hold onto their seats and red bean states so he is doing that and that speech monday in milwaukee in front of labor groups was aimed to do just that. it is interesting a couple things, labor has had some push back with this administration, one on the keystone pipeline, the fact that it has not moved forward. labor didn't like that. obamacare, there has been some push back elements of obamacare because labor wanted to waiver to hold on to their specific plans instead of being in the obamacare exchanges. and the attractiveness of this minimum wage call is kind of a clarion call for democrats across the country, whether it really changes the dynamic in these races is yet to be seen. stuart: i am going to pass judgment and say it is a risky strategy because the economy is

not performing that well, certainly not for middle america so the president says we are doing just fine while middle america shrinks. there's a greater risk involved in that. he has been pushed into a corner. difficult to campaign on foreign policy which is a series of crises, difficult to campaign on obama care which is not a major success by any means, the man is in a corner. not many places he can go. >> every election comes down to the wallet. how you feel about how you are doing and what that means to you and your family, that is where they are going to focus. the problem is nothing is getting across the finish line. republicans say no to everything is not really true in that there are a number of things that could get across the finish line if democrats came to the table on the senate side controlled obviously by the democratic majority. the president would need to pick

up the phone and say let's pass corporate tax reform. there are votes to get that done but it is not happening so instead it is this push back and division to try to whip up the democratic base. when did that work and not is to be seen. the president is good at campaigning but hasn't been good about getting big things across the finish line except obamacare. stuart: today he flies off to estonia and then goes on to whales for a summit. he is going over is there, doing foreign policy over there but at the same time right here we have headlines made by this push for higher minimum wage with these sit ins expected across the country. maybe the president wants to keep the focus on the economy at home with these demonstrations higher minimum wage and not necessarily forget what he is doing overseas but put that on the back burner. >> they are going to play off of this. the economy is doing better but

people at home are doing worse. hourly wages decrease and have been decreasing while corporate profits in the second quarter are up 8%. this disparity between the two is going to be live territory for democrats to tap into? the big question is the economy overall. as you talk about many times, the tide rising and lifting all boats and so far that hasn't happened. stuart: just give me growth, that is what i want, give me growth. would you hold on for a second? want to deal with the markets and get back to you in a second. look at what the market is doing this tuesday morning back from a long holiday weekend kicking off the campaign season, back to school, back to the markets, back to some action, update points, same store with the s&p 500, it touch 2,006 earlier. 2005 right now. not a bad game of the the past

couple weeks. would continue treasury yields moving back up significantly to 2.40%, not a high-yield. look at apple, they touch $103 a share earlier, that is where it is right now. the i phone 6 comes out week from today, supposed to have a built-in payment system, they got to deal with visa, mastercard, that is a big deal. stocks up. china's anti-corruption drive makes a lot of money out of gambling in macao, gaming revenue down 6% in august, unheard of. with heavy bets, mgm, wind, all of them down 2 percentage points. wall street journal headline, gop eyes agenda for senate. the journal says it will win the senate. is that good news for investors. >> absolutely.

there has been unrelenting war against business. you just ticketing with this minimum-wage thing. that is a farce. think about this for a minute. the irony about bragging how strong the economy is and how demanding higher minimum wage is, think of the irony in and of itself. we have two separate things, you heard of a jobless recovery, remember the term the jobless recovery. i am calling this the income list recovery. $8.1 million loss, paying 23% less. since march households going into the field position. i don't know what is spooking the america but the savings rate has gone through the roof and spending has gone down. look at gdp, the numbers were remarkable. businesses are putting money to work. they are putting money to work and you have two different americas year. stuart: if the republicans sweep the senate does the stock market got? charles: absolutely.

stuart: bret baier, thanks for hanging out with this. take your take on wall street journal headline. gop eyes agenda for the senate. if i was a republican politician i would not be happy about jumping the gun, making a forecast of victories two months in advance. you, too? >> don't want to get overconfident. there is a sense, every pollster, every pundit, every analyst looks at the numbers in all these different races, the new york times has gained 65% chance, others have 75% chance that the republicans take control of the u.s. senate. it looks good right now and as we know what can happen from september 2nd through november 4th, but if you were forced to put a bet, putting it on the republicans taking control is probably better than it was a couple months ago. stuart: bret baier, thanks for joining us today.

we do appreciate it. tesla got a look at that today, hitting a new high. i will ask nicole petallides, there are reports that california has walked away, talks with california about getting the factory in california have not collapse. tesla wanted a big tax break, might not get it, they walked away. what is going on here. >> we talked about the battery factory aspect for tesla and that is a story that will be ongoing. didn't sound like good news. the good news is the coproduction, less so about the battery itself. we have the analysts at steve and nicholas upgrading the company. they went to the factory in california, the rate of change is staggering compared to the last tour in 2015. another analyst said recently as well we should go into the factory, seeing what is going

none. they are producing and impressing wall street and so with that, they think it will be a winner. that is why. next year we have the electric cross over, the model x, morgan stanley recently said the model x will make a models which is the one we talk about look like chopped liver so not even worrying about the fact that as late as a one hit wonder and in 2017 the model 3 which will be affordable. and the last thing i am going to tell you, going back to the warranty. eight years in order to quell concerns about that. stuart: along list of good things for tesla. the stock is up 4%. look at this please. avalanche new headquarters under construction in california.

the video was taken on a go pro camera attached to a drone. it is a 175 acre site, it has been nicknamed the space ship because of its circular shape. huge compared to the homes wn ar rdiuartll look like. this is the last major project steve jobs had his hand in before his passing. charles, i understand he said build this. charles: an amazing thing, 12,000 people will work in that space ship, of course eco friendly. it is amazing, to your point last priority legacy, and i don't sing -- it will not be improved, this is an exclamation point for his visionary

thinking. stuart: they are extraordinary buzz creating company. what we have is a deal with mastercard, visa, american express, swiping your card on these things. charles: steve jobs was a master at mitigating the excitement, setting us up, tim cook has got to carry on. when you get on that stage you got us with the buzz, the little extra we weren't waiting for. stuart: and now this. the stock, apple stock at 103 and rising this morning, that will put it at a new high. $103.62 as of right now, pretty handsome looking chart. vice president joe biden told a labor day crowd it is time for the middle-class to take back america. uncle joe launching minimum-wage hike week. we are about to launch art laughter on that.

stuart: back to school, back to political campaigning, back to little stock trading. we are dead flat. price of gold, that is down. movement there, $22 an ounce. we are down $1.74, 82%, $94 a barrel. look at this video, two big names, under robert, to be part of its new winning campaign. look at the price, the share price of under are recommending spending on this, market likes of 3%. time is money. here's what else we have got view. kevin durant dumping -- he said no to an under armor offer and yes to deal with nike. durant agreed to of hundred million dollar contract with

nike. charles: is a lot different from $300 billion to nike. stuart: we got reports that ali baba, we got the chinese amazon, they will launch the idea next week. could be the biggest ipo ever raising may be $20 billion. germany says 9 to uber, imposing a nationwide ban on the car service saying drivers face fines of $300,000 per trip because the drivers are not properly documented. joe biden is back on the fair share of the band wagon. >> it has always done best when we have acted as one american because when we do, the nation's succeeds. stuart: okay. speaking of fair share, a fast-food workers planning to

protest thursday for higher minimum wage and unionization come on in former reagan economic adviser art laughter. we were tossed cussing earlier on the show what would happen to the market and the economy if the republicans week the senate. i think they will sweep the senate but i think this economy is going to expand and the stock market is going to go up. you cannot suppress the great engine of capitalism, american capitalism. you can suppress it forever and a boom is coming with the the republicans sweep or not. that is my opinion and you say? >> i think you are right but let me say how balance your show is. in the last segment you had charles payne and now laughter in you and a blend of there before. you are completely correct. we are in for a big boom, republicans will take the senate. it will be spectacular, joe biden and president obama are on

the wrong track, this minimum wage stuff -- if they really believe that, this minimum wage, why don't they set up a government program to subsidize the difference between the current minimum wage and whatever price they think and see if it passes the senate and the house. that is what they should do but what they are asking, they are asking employers to pay low-wage workers more. the low-wage workers would get more, the employers will get less. and bernard: got of business and fire these projectors and workers are going on strike, they don't realize it but they're putting themselves out of a job. the best form of welfare is high-paying jobs quote kennedy. stuart: the wall street journal says the republicans have a fairly ambitious agenda if they take control. it is restricted, let's build the keystone pipeline, repeal the medical device tax. i think those are somewhat minor

league things to do it the republicans win the senate. what i want to see as corporate tax reform. >> they could get some corporate tax reform. i am talking to a lot of democrats who would love to see the corporate tax rate lowered and the base broadened, static revenue neutral. the only one against this is barack obama and his team in the white house so they could get tax reform, corporate tax reform which i think you are right but i don't think the pipeline smaller agenda, i don't think that is a small thing. we want to be constructive, you can't do the big deals like repealing obamacare if you don't have obama out of the white house. a lot of democratic senators would like to repeal obamacare and obama is there, it will be very difficult to do that. let's get done what we can get done.

let's be positive and go for the white house in 2016 and and really do the job. stuart: if you did get corporate tax reform. you wouldn't be significant growth in the economy. in comes hillary clinton and says we are the guys, we are the ones, vote for me, democrats keep the white house, in 2016. >> i voted for clinton, that was bill clinton. i don't know what hillary is going to run on. i don't know what her policies that going to be. taking the any attack on the economy, we are after good governments, not partisanship. if we can get a democrat to the pro-growth, supply side like jack kennedy or bill clinton, we take every day of the weekend twice on -- is not republican or democrat, but the economics, in

ignorance. stuart: prosperity is the glue that binds us all together. >> it is growth, i think you have been modest about four or 5%. we give you real growth, growth rates in the chinese rates on a quarterly basis. we had growth. we brought the unemployment rate down, brought jobs up, when you talk about this the economy is a catastrophe. employment is a share of population have not increased in 7 years. a little smidgen, we are $4 trillion on gdp, those are not good gdp numbers, offsetting the second quarter offset the first. when looking at housing is a catastrophe, new house sales tournament thousand population at its lows, it there's no improvement yet. we need that economic policies

to get this machine going and we can do it with a good senator and a good house. stuart: there you go. isn't that a great way to start the campaign season, back to school, starting the show at 11:00 a.m. eastern time. shares are laugher on fire for us. stuart: aren't you on fire too? seriously, it is our hope and dream, and it is wonderful. stuart: great stuff, and we will see you all very soon. and up next, we will take you there live one moment from now.

stuart: do you think my idea of celebrating capitalism, free market economy, don't you think that is better than celebrating unions who have contributed to the demise of america? go. >> you never cease to amaze me. we celebrate capitalism and free markets as we should, 365 days the ye ian'the was state of the union fill dines at stake on renaming labor day.

you may have called me a scrooge but viewers came up with pretty good tons in cheek suggestions for a new name for labor day. here are your thoughts. john, we should change it to unemployment day, the unemployed are probably offended by the word labor, much too harsh and i disagree. jules thinks there is no reason to change the name of the holiday. she says i earned labor day by working all my life. let's call it labor day for those who are and are still laboring. got you. thanks, keep the comments coming. we love to read from. thank you. the hotel and casino in atlantic city closing its doors, italy and two years ago and because $2.4 billion to build it. cheryl casone knee is live at the casino. a lot of questions here. who owns that casino and who lost the money? >> it will cost companies, hedge

funds. and more. they have gone through two bankruptcy filings, what can they sell? what do you do withnebethre sti boardwalk. stuart: private equity money that was lost. which the casinos in atlantic city are closing? >> showboat closed on sunday and at 6:00 a.m. this morning, revel close their doors at the trump casino will close on september 16th. the three casinos closing, 6,000 jobs are disappearing here in atlantic city. 13% unemployment rate in atlantic city. they will crunch the numbers of all the jobs that were lost. three casinos are now shutting their doors. stuart: this is unheard of.

three casino closings. >> competition, capitalism on fox business. competition from pennsylvania, competition from upstate new york, the mohegan sun, they are bringing in the business because why pay $40 in tolls to leave new york city, and they used have buses, the express train service, a lot of that is over and frankly all they can offer is an empty boardwalk, and gambling. there are better options out there that do want to gamble in this part of the country. no real airport to speak of. atlantic city is suffering. it is a shame too because of budget in atlantic city will be losing 15% of its revenue with the closing of the three casinos, talking $30 million in annual property tax revenues. it will be done. what is happening to the city? atlantic city and the presidents

that are left here. stuart: i don't see what the rescue plan could be but it is a dire situation. thank you very much indeed. coming up, a hacker releasing nude pictures of some of hollywood's biggest names. can the stars su and if so who do they suit? judge andrew napolitano is back and with us in just a moment. new rules that require car companies to install black boxes in their vehicles going to affect day. precisely what does the black box recorder as you are driving along and who has access to the information? gerri willis has one of the boxes with us and will join us in the next hour. for get the hype we hear from the greenpeace, a new report finds the arctic is act gaining ice cover. greenpeace co-founder patrick more coming up on that at 12:15 eastern. a new apps let's use can a product with your phone, tells you if the company which made the product leaves democrat or republican. we have the apps creator after the break.

stuart: eric cantor moves to wall street with them three months after being defeated by a team party candidate in west virginia. how much does he get paid?

$3.4 billion. republican jump ship to the hated wall street. >> they might. he was developing these kind of relationships on their time. that is why they kicked him out. to me, it underscores the fact that these pellets have been under for a while. stuart: that is very good, charles. we had a new app out there. it will tell you the politics behind what you purchase. i buy a can of coke, for an example.

i scan the barcode with that app. i get results. 33% giving to democrats. this app is called bipartisan. the creator, matthew ko baier joins us right now. welcome to the program. how long has that been in business? >> less then three weeks. stuart: you have timed this for the midterm elections. >> yes. stuart: tell me exactly what you can about the product. it is political giving. what else do i find out?

>> it breaks it down for different ways. you are looking at the ceo. look at the political action committee. look at each one of those four metrics is. the size of coca-cola, they lean both ways. they cannot afford to leave 100% to either side of the aisle. stuart: can you tell me if there is a big company that leans exclusively to the democrats? >> if you wanted to find one that was democrat or avoid one,

you would want to find one in vermont. stuart: toilet paper. >> toilet paper, cleaning products, yes. stuart: can you give me a strongly leaning to republican? >> angel soft toilet paper or brawny paper towels. stuart: what kind of downloads do you have? how many people do you have signed up? >> it has been great. stuart: that is not bad in three weeks. how do you make your money? >> we realize a lot of people do not just care about politics, they care about other issues.

whether it be gun rights or the environment or pro-business. you look at all those issues. adding new filters if you look at that toilet paper. what if you could have alternative toilet paper. stuart: fascinating play on politics. thank you for joining us. i am actually going to install that app. if you are still there, think you very much indeed. i will have somebody download it for me very, very soon. releasing new pictures of some of hollywood's biggest stars.

do these celebrities have any legal recourse? the judge is with us after the break. ♪ on the trading floor in real time. ♪ the shell brought him great fame. ♪ but then, one day, he noticed that everybody could have a magic seashell. [ indistinct talking ] [ male announcer ] right there in their trading platform. ♪ so the magic shell went back to being a...shell. get live squawks right in your trading platform with thinkorswim from td ameritrade.

♪ nicole: iam nicole i am nicole petallides on your fox business brief. morgan stanley says more than

30,000. the transportation index also hitting record highs today. take a look at some of the buyers. talking about merger act to the deep. talking about the pipeline. there is still room to the applied. nike has been a leader in the dow jones industrial average. 300 million for 10 years. that leads him into 20 years. new photos of celebrities. how did that happen? ♪

>> every now and again, charles joins us and tells us a about a big names that. charles: the underwear company. haynes, champion, maidenform, maybe the wonderbra. stocks that are at all-time highs. direct consumer was. international up. it was a good solid company. stuart: i prefer under armour.

charles: under armour i like as well. i would write it on the next big hip. stuart: a hack over the weekend. jennifer lawrence and model kate upton and many others, apparently. who can these stars sue? >> certainly they should be able to sue someone. one can really argue that they probably did not really protect themselves.

they are victims of those that violated their privacy. who transgressed the security of the company. stuart: you can sue the hacker. >> exactly. you ought to be able to sue the entity that was storing them under circumstances that permitted hackers access to them. stuart: you can see several major lawsuits coming out. >> i would encourage lawsuits. the result will be far better security for all of us that store all kinds of information. you probably store much of your banking information. i do not know if there are

enough gigabytes in the world for your banking needs. we must fulfill the promise. the promise is security. stuart: i believe one of these actresses is saying if another website runs these pictures, i will sue you. >> that is actually a little iffy. they are already in the public domain. the people that failed her may not be apple. you can certainly sue the people

that caused it to come out there. i do not blame jennifer lawrence or her lawyers for threatening people. i am sure that the moral of the story is if you don't want nude pictures to appear to the world, do not take the nude pictures in the first place. >> the hackers will not be able to argue with a jury. >> you really want me to address that. apple, as wealthy as it is, it could cost them a fortune.

stuart: $160 billion in cash. >> i think some of that ends up in jennifer lawrence's bank account. >> are you sure you are glad i am that? >> i am. stuart: president obama says he is better off since he took office. we have the details on that one next. ♪ over 12,000 financial advisors. so, how are things? good, good. nearly $800 billion dollars in assets under care. let me just put this away. how did edward jones get so big?

could you teach our kids that trick? by not acting that way. ok, last quarter... it's how edward jones makes sense of investing. ♪

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help cover what medicare doesn't pay. and could save you in out-of-pocket medical costs. call now to request your free decision guide. and learn more about the kinds of plans that will be here for you now -- and down the road. i have a lifetime of experience. so i know how important that is. stuart: president obama says we are doing quite well. it really does not match reality or the way we feel. 57% consider themselves to be middle or upper class. in 2008, 72% thought they were middle or upper class. what a shift. welcome to the program.

it seems to me that middle-class people have changed the way they think of themselves. >> what is the middle class? i think we have to get mentally tough. this is the new norm. it is not going to change. stuart: it is shrinking. >> they are saving more money than they saved before. incomes have not come down. it is more of a mindset than anything else. stuart: charles, as you say, they are act and on the way they feel. charles: that is the scary

thing. overwhelmingly, people are upset. they are worried about the political season. savings has gone through the roof. spending has gone down. americans are bracing for something ugly. >> we have to transcend it. we have to get past it. >> that creates behavior which creates economic growth. >> it is the only way you can do it. you have to have someone at the top that says you can grow. >> it backfires so badly. it has destroyed this country. >> what if we don't get new leadership? what are we going to do?

this is the new norm. stuart: is it true to say that the rich are getting richer? >> i am broke. moving toward something. it generates anything but more fear. stuart: >> i love charles. stuart: thank you very much, indeed. actresses targeted. nude photos. we have a good guy hacker coming up right at the top of the hour. apple's biggest event since the ipad launch. this is a big deal. it will make it easier for you to spend. the second hour of varney is coming up in two minutes. ♪

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stuart: it has become almost a daily event. a hack. valuable information. today it is intimate information . nude pictures of actresses hacked from the cloud. this is the extreme downside of the digital age. the privacy, a thing of the past. 2.2 make here. it is time for biometrics. some id that makes it unique to ourselves. number two, a simple rule. if you do not want a nude picture splashed across the world, do not take the nude picture. ♪

stuart: i am going to get out the big story. we are told red tiger security founder is with us. you have to tell me exactly what happened here. i am told that there was a bug in the find my iphone service that was exposed. >> changing the letters and numbers routinely into you pop out the password. you will see clues that expose these photos from other sources. the victims were holding phones

that were not apple iphones. they were android and other devices. if you look closely, there will be ones that expose dropbox and google drive. it was not just a hack again i cloud. i believe the hackers actually look up and scoured the internet for the information required to unlock your account. the name of your hometown. this stuff is exposed out there. if you have that information, you can login. stuart: anybody and anything at any time can be hacked into.

information and pictures, but ever it is, can be exposed. >> absolutely. these features are really great to use. you have to think about how you set up the technology. most people when they get their phone, they just go okay. when my new phone comes around, i just enable i cloud. you need to think about selectively what information you really want to allow to leave your phone. >> i want them to reassure me. they cannot. do not worry, you are dead safe. they are hacked. i have a lawsuit. i have a lawsuit i can lay on them and make a great deal of money. you cannot fix it.

can you? >> no. that is correct. it is no longer in your control. you can place as much technology around, but if there is a weakness or a vulnerability in the system and they are not catching them as often as they should be, a hacker can break in. i am always a component of using encryption. if you feel the need to share, at least they will leave your phone. >> good advice. i am glad we got somebody to try to do with it for us. let's get to the markets.

we are moving a little bit lower. the s&p 500 touched 2006 earlier. it is down four points below 2000. look at the 10 year yield treasury. it went up to 2.40%. last week it spent the whole week around 2.3. i tell you that you. look at tesla, please. it is 400 charging stations in china. lots of other good news on tesla. 5% up. 283. china's anti-corruption drive. this is a big deal for the gaming companies. how bad, though call?

>> what we have seen since march is the group has been hit really hard. that is a big move for a gambling stock. in fact, down over 20% since march. you have an anticorruption president who focuses on that. anybody who has business dealings related to the government is tiptoeing through life. they are not so hot on gaming. they are feeling the discipline committee there. it really put a damper on that site there. first week of october is actually a vacation time. now they are feeling the pressure.

thank you very much. we have president obama heading to estonia. then he goes on to wales and britain. k.t. mcfarland here with us. he goes to estonia. right at a time where putin is threatening ukraine. is that slightly provocative for our president to do that at this time? estonia is a member of nato. i call it the three musketeers article. what obama is doing symbolically is saying we are here. we are nato and we will stand up for nato. >> over the weekend, i saw at least one.

maybe two appearances by britain's prime minister. taking a very firm line on what he would do within printed with passport holders. it was a very firm presentation. kind of start contrast. >> it is important to separate this into two things. they want to take curtis in. they want to expand ultimately to control the middle east. there is a second issue which is domestic security. he talked about keeping britain safe. finding people that were using tradition passports to travel to the region. they will bring that knowledge back and cause terrorist attacks in britain itself. he does not talk about the

domestic situation. stuart: i just said yesterday, watch out, isis comes to europe next month. a direct warning from the king of saudi arabia. >> guess where they will also go. stuart: why doesn't he use his armed forces? >> president obama loves to say i know you have troops on the ground. >> if you are not willing to do that, we need to rethink the whole middle east. we need to get our oil from someplace else. secondly, get very serious about

homeland. we are coming up to september september 11. september 11 is on the calendar. stuart: k.t. mcfarland, everyone. checking the big board. moving a little lower. i want to move onto apple. huge event scheduled one week from today. apple is expected to unveil the iphone six for the first time. that is generating a lot of buzz. i think this is perhaps the most important. they have a deal with mastercard it will allow you to do what? i can just swipe this across.

>> you have a transponder. your mobile phone becomes a secure digital wallet. you sign up for it. it could be an airport. they could be a department store or whatever. you could use your phone. you would have an id in there. you would have what would be called communication. you have these readers that are located around the united states. a number of digital payment processing companies. it is hard to say what will be the most important announcement out of that. the new mobile operating system is going to be more important. there is also the whole ecosystem that they are starting up with a production of the assembly. it will integrate with ios eight.

stuart: the announcement next week is probably the biggest event that apple has put out there since the introduction of the ipod. >> having some time with the center. the construction down there has been pretty big. this is a company that has a lot of momentum. a new campus that they are building. it would be $1000 per share. you are still sticking with it

they are at 103 now. 142 is not that far away, i suppose. >> we are watching. gearing up to sell 80 million new iphones in the first year alone. they have this product called continuity. it will put an enormous amount of pressure.

here is what we have for you the rest of the hour. why take those photos in the first place? we will ask the good doctor. how much data is the black box recordings? we will have a black box here in the studio for you to look at. public worker pensions get a break for the people that try to save the city lending him money did they get the short end of the stick. for 19 years, we have patrick moore, cofounder next. ♪

stuart: fast food workers planning to protest this coming thursday. they will be asked to protect. they want a fit team dollar per hour minimum wage. they also want unionization. >> there have been $0.07 november 2012. here is what is new. here is what they are pushing for. they want to hit these companies hard with the bottom line. these companies are not paying their workers appropriately. >> a strategy to embarrass these chains and keep customers away. you may see as well civil disobedience. that is what they are aiming

for. these are considered entry-level jobs for college graduates. this is a sign of a very bad economy. >> it is good stuff. i've got two headlines on global warming. more than the entire size of the state of alaska. the polar ice cap will be completely gone by 2014. item number two. a warming trend. warming trends have been stagnant. i want to bring in greenpeace

cofounder. always a pleasure to have you on the show. the expansion of the polar ice cap. how could al gore's prediction have been so wrong. getting through the northwest passage in 1906 within 18 course motor on a small boat. it was a very warm. in north america. we are going to see fluctuations.

stuart: it has been static for nine tina years. we are warming up no matter what. how could that have been so wrong? >> it is a fact. it is recognized by the international panel on climate change and nasa and others. they have had to recognize this hiatus or paused, as it is called, and global warming. during which time, about 20% of all the carbon dioxide that has ever been emitted by humans has gone into the atmosphere. most of the co2 we have emitted has been in the last couple decades. it is very hard to reconcile

that no warming, even though there is increasing co2 levels going into the atmosphere. whether or not carbon dioxide is in fact a major factor or even a factor at all. obviously, that had nothing to do with human emissions either. for some reason, the true believers in global warming seem to believe it is caused by people. stuart: what is the atmosphere and some of these climate department. the conventional wisdom that they created is warming. what is the thinking when you

have this critical debate that is flowing all around the world? >> who are the real deniers? the true believers in global warming. associating us with people that are denying the holocaust. it is really a nasty slur. if they are now the deniers of what is actually happening. it is just a fact. it disproves it a little bit. it is getting to the point where pretty much disproves it altogether. stuart: you know what you are talking about and we appreciate that. new rules requiring car companies to install new flap boxes.

some serious privacy concerns. what information will be on that box and who has access to it? gerri willis coming up. ♪ when folks think about what they get from alaska,

they think salmon and energy. but the energy bp produces up here creates something else as well: jobs all over america. engineering and innovation jobs. advanced safety systems & technology. shipping and manufacturing. across the united states, bp supports more than a quarter million jobs. when we set up operation in one part of the country, people in other parts go to work. that's not a coincidence. it's one more part of our commitment to america.

. stuart: stock alerts, stock alert. gopro shares up big, camera inquiries up 5 fold after the ferguson shooting. that's helping gopro shares hit a new high. up 6%. general motors launching a new technology that will detect distracted drivers. lauren simonetti you are going to explain this one, aren't you, you. >> the statistics are three-quarters of all accidents happen because we're distracted. we're text messaging, not look at the road, we're falling asleep. there's a company in australia called seeing machines, working with a japanese autoparts supplier, they're working together and reportedly working general motors to put these devices in cars, that track your eye movement and head tilts to see if you're looking at the road when you are supposed to be and checking mirrors, rear view and side

mirror often enough to prevent you from getting into an accident. thank you for keeping me safe. however, a lot of people concerned about privacy say i don't want my car and this technology to know if i'm putting lipstick on or sending a text message when i'm not supposed to be. it's an invasion of privacy in many shapes and forms. stuart: precisely. that segues nicely into the next story. beginning today, actually september 1st, all cars sold in the united states must have an event data recorder. that's an edr otherwise known as a black box. gerri willis is here with one of the boxes and i've got a bunch of questions to ask. >> that is the event data recorder, the black box. stuart: first of all, what information does that black box record? >> speed, whether you have your foot on the gas or brake pedal. seat belt whether you got it on, the position of steering

wheel. here's how it works, it's recording that in realtime every 20 seconds and turns over every 20 seconds. all it has at any one time is 20 seconds of data. this is because what they're trying to track down and get a window into is what people are doing at the time of a crash. stuart: that's it. it doesn't have my lifetime driving history. >> no. it doesn't care, it doesn't care. this is all about getting analysts, people who are experts in driving more information to deal with what people are doing. there's an upside to this. let's say you get injured in a crash, this can help the emergency people figure out where to send you. stuart: who has access to the 20 seconds' worth of information on the black box. >> that's a huge debate right now. >> the cops obviously have that. >> you're supposed to own that data. in 14 states there are laws on the books you own that data. in other states it's a free-for-all. >> in 14 states i own the black

box. i get into a car crash i can say, you know, that's my black box, i'm not telling you what happened and the black box is not going to tell you either. in 14 states i can do that? >> can you do that. stuart: that won't stand. >> you, you get into a court of law, an accident, who caused it? don't you think somebody is going to ask? what's more, in the rest of the states it's open season and not just the cop who wants the data. it's insurance companies interested in controlling rates. they want to know is it your fault, you're trying to make a claim against me? i don't want to pay that. i'd rather it's your fault, look at event data recorder and find out. everybody wants their hands on the information. here's what's interesting about all of this, it's not just this, it's the cell phone right, everything is invading privacy in the car. understanding when you get into car and close the doors that's a private sanctuary. i feel that's my space, my territory, just like it is in my house. not anymore. stuart: doesn't record your

voice, does it? >> no. [ laughter ] it's off the record. otr. stuart: thanks, gerri. >> you're welcome. stuart: detroit bankruptcy trial starts today. it turns out public worker pensions are getting a break in the bankruptcy. but the people who try to help the city lending it money, they're losing out. we're going to deal with that next.

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. stuart: how do you wipe out $7 billion worth of debt? the bankruptcy battle begins in detroit. liz, how do you wipe out $7 billion worth of debt, i think that's what the bankruptcy deal is doing? >> you wipe out certain lenders, meaning the creditors, the guys who help your financing to keep your city afloat. what we're talking about is creditors from european banks to bond insurers are getting ten cents on the dollar. after the city detroit said you know what? even though we borrow billions of dollars, we're going to renege and stick it to you guys. stuart: that's interesting. one more time, the bond

holders, the people who lent the city money in difficult times, they don't get it back or not much of it back. >> right. stuart: but the workers whose pensions could be affected by this bankruptcy, they're getting a much better deal, is that accurate? >> they're getting cuts. the pension holders will see reductions in cost of living and payouts but getting a better deal, you're right than the creditors. two problems, detroit will set the template for other cities on the brink of bankruptcy, will you now see more of the bond holders getting slashed and the bankruptcy not getting the money back. stuart: if the bond holders are stiffed who will lend money to risked municipalities in the future. >> the barring costs of municipalities will go up if you continue to see creditors getting stiffed, meaning the bond market getting stiffed. who will lend to them, you offer higher interest rates on bonds, right? stuart: very good story, which you hack through -- forgive the

expression -- figure out who's getting what and why, very good story, liz. >> sure. stuart: back to the story of the day, celebrities being hacked. nude photos leaked online. jennifer lawrence, model kate upton. it's happening, it has happened, maybe other actors, actresses, too. dr. keith ablow joins us on the phone. sorry, we had a problem with the studio. my question is why do people take nude photos of themselves and post it. why do they do that? >> stuart, i think they do that because they can. it seems as though technology has intertwined with our instincts and so people are using their phones. they've always used technology, they're using phones and the internet to reach out to each other if you will, be and sexual, and that's what's happening. it's as simple as that. stuart: is there an element of. you said they're narcissists,

are they exhibitionists, define them in psychological terms. >> listen, i think probably the availability of this technology has to begin with created more narcissism. the selfie. this is an extension of the selfie, it's a selfie that goes further, a complete selfie. listen, this is so entwined in our dna. look at the buzz around this. after all, most people have seen naked bodies, we remain interested, we're interested in what her naked body looks like, the star's. why should that command a price? but it does because people are fascinated by that which they normally cannot see. stuart: now all of us could do this, what percentage of people do this? any idea? >> i tell you, a much higher percentage than you imagine. i don't know the exact percentages, but i will tell

you that when parents now find out that their kids have done this, teenagers or perhaps adolescents. their response is not, oh, my god, what's happening to my child. it's, well, kids do this. and you know what, stuart? kids do this. they are focused on themselves, and they have become very comfortable sharing these images because it's seemingly so easy to do, seemingly so secure, that it substitutes for being in person and intimate with someone. stuart: you've got to make the moral judgment. is it wrong? not a teenager, let's go to an adult, 21 and older. is it morally wrong. >> no! what's so morally wrong with taking a picture yourself in the buff and sending it to someone who wants to see it. i have no moral problem on that.

do you? >> don't throw that back on me. >> i'd want a price for mine. if people are giving them out free, i suppose with the bigger problems we have in the world, this should not register high on the scale. stuart: very interesting. everybody is talking about this, and it was good to get your input on it doctor, that is very unusual. >> all right, my friend. stuart: dr. keith ablow, talk to you soon. >> take care. stuart: next up, something much more serious, isis, funding terror campaign with all our money. my opinion to drill right here at home in america. go get what's ours. why is president obama dragging his feet on the issue? he asks again.

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dad,thank you mom for said this oftprotecting my future.you. thank you for being my hero and my dad. military families are uniquely thankful for many things, the legacy of usaa auto insurance could 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. . >> reporter: i'm nicole petallides with your fox business brief. the dow jones industrial average down 62 points, and the nasdaq higher 2 1/2 points, it hit a record we haven't seen since 2000 and the s&p 500 hit a record all-time high but pulled back in negative territory. apple record high since the split. 10341, this is intraday record high for apple. we are awaiting the iphone six.

it finishes higher, the fourth straight record close for apple. also working on mobile wallet with visa, mastercard and american express. darden restaurants unveiling a new slate for who's going to be on the board. they left openings for an activist investor starboard. up 1%, and olive garden sales up as well. credit suisse talking about maybe we'll see staples and office depot get together. 17 years ago it tried out and didn't work. maybe this time it will.

. stuart: lot of interest in digital ally cameras after the ferguson shooting. that's helping all digital camera makers, gopro above 55, or it was recently. digital ally pulled back a little. but still higher, and taser now at 16 bucks per share. then we have isis. selling $2 million worth of oil a day on funding terror campaign with it. here's the question which i asked all of our energy guests. why isn't president obama drilling right here at home. why is he not gung ho to get the oil and gas that's ours. joining us is greg zuckerman, the author of a great book called the frackers, the history of the people who created the fracking business, right? >> the revolution, yes. stuart: answer the question. i asked all of our guests the same question. why doesn't the president jump

on board and say let's drill, let's frack, get that oil because it's ours. we don't have to get it from isis or saudi arabia or anybody else, it's ours. why not do that? >> political reasons, mental reasons. despite president obama and all the politicians and that's the theme of the era, this whole revolution that the experts got it wrong, we don't have much in the country left to drill, natural gas or oil. and entrepreneurs, innovators, american wildcats said show the politicians they're wrong and we've gotten production soaring. it's a credit to them. stuart: but it's not soaring as much as it could, and we're not building liquefied natural gas terminals to put it on the market and not gung ho to converting towards natural gas, we're not getting help from that. why doesn't he do it? put your finger on the reason? is it the power of the greeners? that's what is doing it? >> when it comes to l and g, we

should build more terminals for lng, liquefied natural gas, it's not just president obama or republicans, it's bureaucracy and states and senators or people who haven't signed off and build more of the terminals because it creates jobs, and you talk to people on the field and people have great ideas to find new areas of natural gas and can't do it. stuart: the president's heart is not in it, is it? >> he's got mixed feelings. stuart: he doesn't have mixed feelings, he hates it. >> the thing about the obama administration, it's happening despite them. they've dragged their feet on a lot of things, a lot of us have held our breath as to whether the epa and others. stuart: new york, california, both states sit on top of enormous volume of natural gas and oil and they're dragging their feet. and the president is doing nothing about it. >> governor cuomo and those are political reasons. he's the neighbor of casinos

upstate but not drilling upstate. those are political reasons, yeah. stuart: do you think president obama is a true believer? does he believe global warming is a crisis and the only way to attack it is use fewer fossil fuels, natural gas, oil or coal, use less fossil fuels, is he a true believeer? >> if you are worried about global warming, you got to be a big believer in the revolution, we are lifting from coal to natural gas and helping carbon gas emissions. whether you believe it or not, you've got to be a huge fan of the revolution. stuart: greg, you are dancing around the issue and you know it? >> i'm a centrist. my book came out, the right wing hates me, the left wing hates me. everyone has a problem. i believe in the country and the innovation is going on and the entrepreneurs. that's what i'm a believer of. stuart: you work for the "wall street journal," get them moving on it. >> i will try. stuart: it's a good book, the frackers, you reveal the

history. american of the had, great stuff. see you later. up next, it is the one political race that could really affect california's economy one way or the other we have the democrat candidate for the state's all-important controller seat. she joins us in a moment. your 16-year-old daughter

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. stuart: california's economy has share of trouble. the highest poverty rate in the nation, highest taxes, not too long ago we were joined by the republican candidate for controller of california, ashley swearington. >> i certainly think we can weave together a coherent strategy to peel back regulation, support economic development. be pro-taxpayer, it's in everyone's interest and i think i'm the person for the job. stuart: that was the republican candidate for controller. we're joined by the democrat candidate for controller ms. betty yee. >> pleasure to be here. stuart: is there a regulation that you would peel back? >> i think regulations certainly serve their role, we want to be sure they aren't

overly costly burden for people who do costs in arizona. the area i'm focused on is a stable tax system that can provide certainty for business owners. stuart: well, i did ask, is there any regulation that you would peel back? >> well, i think part of the regulatory, we want to streamline our regulations so that the permitting application processes are much better. stuart: you wouldn't pose them more efficiently. >> absolutely. stuart: is there any tax that you would reduce? >> i think what we probably want to do with respect to taxes is spread out the income tax so it's not all falling on the upper income so we have a stable tax system. stuart: you would raise taxes for middle class californians. >> we have to look at sales tax to property tax to income tax. i'll be leading the company on the state tax reform. stuart: is tax reform raising more money in tax revenue or cutting tax rates and increasing growth? which side of the fence are you

on? >> i think that we need to have stable rates so everyone can have certainty in terms of what's expected of them. stuart: let me interpret this, you are not in favor of reducing tax rates anywhere, right? >> well, if we look at entire system, we may be able to do that. for example, sales tax rates are quite high in california. if we looked at potential of expanding base of sales tax, that rate should go down. stuart: i don't think that california will elect someone who really wants to cut taxes, cut the degree of government, cut regulation and unleash the brilliant dynamism of capitalism. that's my point of view. you stand on that side of the fence that says everything is fine, tweek it. that's what you want to do. >> i don't think everything is fine, california is recovering. we are regaining all the jobs lost during the recession and have a long ways to go to

rebuilding, and part of this is how are we going to keep businesses in california that want to be in california and part of that is giving them certainty. stuart: we hear you, controller candidate from the democrats in the november election. thank you for joining us, appreciate it. thank you very much. almost out of time, we have time for your take on the show and it's next. so what we're looking for is a way to "plus" our accounting firm's mobile plan. and "minus" our expenses. perfect timing. we're offering our best-ever pricing on mobile plans for business. run the numbers on that. ll, unlimited talk and text, and ten gigs of data for the five of you would be...

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>> i'm always a proponent of using encryption for personal and intimate photos. stuart: yeah. >> if you feel the need to share naked pictures of yourself, at least encrypt them if they're going to leave your phone. stuart: yeah, well said. okay, i'm not sure we caught the last of that. his advice for celebrities whose nude photos were leaked on the net over the weekend. quickly, just got time for one take from you on the show, sherry says this about vice

president biden demanding people get a fair share to enhance prosperity. she says if a middle class thinks they should be given prosperity, america's in trouble. prosperity is directly proportional to work. well said. deirdre bolton it's yours. >> speaking of work, stuart, thank you very much. here are the alternative investing stories we are following for you. a new study shows u.s. companies do not feel welcome in china. heightened government scrutiny, one big reason. apple's icloud security breach, high-profile from photos to payment information, we are going to be putting cybersecurity in focus. and comedian jim jefferies going on netflix all the time, launching exclusive stand-up special available only on the video streaming service. apple's icloud breach shows tech companies need to take security