49ers' player getting early retirement: more nflers are watching smart guys on "varney & company" and thinking i can invest early and live just fine. again, well said. my time is up. neil cavuto, it's yours. neil: all right, stuart, thank you very, very much. the president just leaving germany a few seconds ago but leaving a lot of questions in his wake right now. did the president really say we do not have a coordinated plan even now as to how to deal with isis? some defense wags' tongues are going nuts. secondly, on the health care law and if the supreme court ultimately shoots down those subsidies, does the administration have a backup plan for that? again, the president seemingly making it clear in germany today, no. we just don't see that happening. hanging on hope and luck and it's lunchtime on east coast of america. cavuto coast to coast begins

now. we are watching, among other things, a big apple development later on. what will they announce out in san francisco today? if you're expecting something big, we are told you might be disappointed. is that in and of itself a bad sign for apple? and maybe technology? we've also got former morgan stanley john mack here exclusively. remember, he was a big supporter of hillary clinton's back in 2007. you know how that went. he then went on to support jon huntsman jr., you know how that went. who is he looking to now, what duds he think of the anti-success -- does he think of the anti-success rants we've heard out of liberal candidates? his thoughts on that. and, of course, all attention on these markets now that are technically underwater for the year. robert proctor, remember him? the elliott wade theorist who now sees major market crisis if not crash coming. now, owing maybe to a sign of the times in that he doesn't carry quite the influence he used to, the markets aren't really tanking on that. but when you hear the reasons why he's worried about these

markets, you might want to listen up. but before we get to that, to brian wesbury, chief economist for first trust, who joins us now. the gist of what he is saying without getting into all the chart gobbledygook is, hey, the party is over. we've had a six-and-a-half year run, it's over. it's done. stick a fork in it. what do you think of that? >> great to be with you, neil, first of all. you know, just because a bull market is six and a half years old, we could go back and look at average times they last and recessions, recoveries, but those are just averages, and it's all from the past. today the federal reserve is easy, tax rates, they're not -- look, i don't like our tax cold, but it's about where it was in the '90s. we aren't getting protectionist, and at the same time government's big and regulation is big, but the bottom line is it's not getting worse. we have a divided government. that's not the kind of environment that i see where you get a crash, a big drop in the

market. neil: i think everybody's looking at, brian, and i think what he's looking at is just the numbers and the charts, the fact that transportation has not hit a new high since back in december last year while the other markets have been pacing one high after another. that's getting long in the tooth, interest rates are popping up a little bit, confidence, giddiness, bullishness still out of all-time highs, that's a bearish signal. suffice it to say, he wouldn't be surprised if there's another high, given the fact that interest rates are ticking up, people are still pouring money into markets and stock they can't understand, that this is the end of a parade. you don't buy that. >> no, i don't. and, neil, you know this and your viewers know this, there's kind of two ways to look at the market. one is a technical way. and protector is a technical analyst. now, he may talk about some fundamental stuff, but at the root he's a technical guy, overbought, oversold, volume, all of those kinds of things. i look at the world from a

fundamental point of view. and really we have to be heading to a recession. the fed has to tighten too much. and in order -- i mean, the federal reserve's holding rates at zero. at the most, there are going to be three-quarters of a percent by the end of this year, and i can't imagine anyone would believe that's going to hurt this economy. we have 2.5% real growth. you can pay 75 basis points for money and earn 2.5 and still have a profit margin. so the fed's just -- they're going to raise rates this year, but they'll just be less loose. they won't be tight. i get worried when they get tight. neil: all right. and we're not there yet, and even half to three-quarters of a point jumps would not ruin the math for them. let's get to the gist of what the worry is, the rates go up, markets go down, the reality that is sinking in is that later on this year, sometime this

year, rates will go up. not everyone buys that, but john taylor, former undersecretary of treasury, says that might not be so favorably received. furthermore, john is arguing this is way too late, that we should have been doing this much earlier. so, john, your point is that welcome the rate hike, but it's just too little too late, essentially, right? >> well, i think let's get on with it is the way i put it now. if not now, when? they're talking about september, that would be fine. i think the thing is it's going to be a positive. there may be some, you know, sort of shorter run hits here and there, but, ultimately, this economy could do better with a more normal monetary policy. neil: let's explain that to people who hear rates going up, and they go, well, that can't be good. you think then we've gotten behind this proverbial curve you hear about, in other words, the rate environment isn't, you know, relating to what's going on in the economy that warrants

higher rates or that we've kept them so low for so long unless the fed starts raising rates and soon, we're going to be in a hump of trouble? >> remember, these low rates cause a lot of distortions. markets don't function as they normally do with such an activist fed. you want to have the markets work and be able to deal with news as it comes in in a normal way. you know, we had a good economy in the '80s and '90s. it hasn't been so good recently. i think it could work better if we get back to a more normal kind of monetary policy. i think the fed wants to get back there. they're apprehensive about how quick to do that, but it will ultimately be better, and it's actually part of, i think, what we need as a broader change in policy to get growth up from that 2.5% or 2% you were just talking about up to much stronger levels. neil: you know, john, you might be right, but i don't see everyone would be prepared for the reality once it hits. and i wonder maybe shortly ahead of that move, whatever it's going to be on the part of the

feds to raise rates a quarter point, what have you, maybe in stages and increments, i don't know if it's going to be well received. what do you think? >> well, of course there's going to be some people who would like to keep the low rates longerer, but there's people who would like to see some higher rates. think about the people who aren't getting much interest on their savings, long-term savings. think about the idea that if there is another slowdown, the fed has to be able to be able to move. and if it's zero, where are they going to move, quantitative easing? that hasn't helped so much. a normal operating environment which in the long run is good, and that's really where we were for most of the '80s and '90s and again until recently, this zero rate is a new thing. yes, there's going to be some adjustment costs. there always are. ultimately, it'll be better for the economy, and i think that's why they're going to move before too long. neil: all right. we'll watch very closely. secretary, thank you very much. again, for those of you just tuned in, the betting is that we are going to see a rate hike by the end of the deal, and that

was sealed by that better than expected unemployment report on friday, the only question is when. despite protests from the likes of the imf to hold on on that. again, that is sort of getting bogged down in a lot of gobbledygook, but the fear is once the fed starts this process of raising rates, investors are going to get out of town. that's the consensus, which is always dangerous, but the likes of robert protector say don't follow that view, he is very bearish in predicting a market crash. again, that's just one man's opinion, and we wanted to share it with some of the uptick in rates. in the meantime, another development we're following is what happened at deutsche bank. the big german investment concern that now saw its co-ceos up and leave, and it was more than just one of them being unable to speak german, for german institutions that is problematic. but charlie gasparino's been following this development closely because one of the biggest issues i know you and others have been getting into is that as goes deutsche, a number of other concerns could feel the

pinch or we could be vulnerable to it. >> here's the problem when you have turmoil at a big bank. in the old days when john mack left morgan stanley and went over to work at credit swiss, i broke that story at "the wall street journal," it was a big story, but because they had a change at the top of credit suisse, it wasn't that big a deal. now you have so few banks with so much risk in those top nine banks which deutsche bank is one of those global banks, that when you have turmoil at the top, when the ceos leave, that's when the alarm bells start going off. neil: does it signal that deutsche had problems beyond just these guys? >> deutsche bank is a very well captainized bank -- neil: so it's not like the bank is in trouble. >> it's not going under, that's for sure. but because it has so much risk when you see the management start to change and, you know, then you start worrying about the management and what's underlying the problems there. and p, listen, there's regulatory issues there, they

got dinged a bunch of times on the libor manipulation, on a few other things. and there's lots of talk about them downsizing massively because of this. because now they see that, you know, it needs to be a much simpler organization to be able to run. so that's what's going on there. neil: what is the fear wuss then that we would feel -- with us that we would feel or potentially could feel something from this? is that overdone? >> yes. here's where it gets sticky, if they start going into the balance sheet -- and this is something you should talk to john about because he knows this stuff, and they start seeing problems in the balance sheet, that's when it starts to reverberate through the banking system. here's the thing, this is not the crisis that's going to cause the great collapse that you were just talking about. but because the banks have so much risk concentrated on so few players, whenever something like this happens, you've got to be concerned as an investor. you've got to pay attention, you got to see it through. i don't think this is the sort of calamitous 2008 lehman brothers collapse which led to the chain reaction of everybody else going, but there's an issue

here. lots of risk, few banks, management that can't manage these huge institutions or find it very difficult to manage -- neil: i thought dodd-frank was going to take care of that. >> the problem is it imposed a lot of restrictions, but it didn't do anything to the massive size, and i have a problem with the fact that you still have deposit -- listen, these banks are too big to manage. jamie dimon has proven that. the best manager in the world cannot, it's very difficult for him to manage jpmorgan. what needs to be done is it needs to be broken up. do not give a bank deposit insurance that has a securities arm. it's very easy. it's a free market -- neil: these guys have been wrestling with that at deutsche for some time. >> of course. that's why deutsche bank is going to get smaller. neil: okay. and with that, will you go that route too? >> good chance. neil: very good. we will be talking to john mack about that later in the show, also addressing what's going on at apple. another conference, 5,000 attendees there. you know the talk is that it's always something big that's got

to happen at this shin dig. not necessarily, ceo tim cook is expected to speak there, but i must stress if you're looking for a new product announcement, we're told that might not be in the offing. more new music service could compete with itunes and would already be a cannibalizing service. hard to say, but when apple does something, it gets a lot of attention not only at apple, but in the technology sector itself. we're following that, we're following this thought that interest rates are going to be spiking. that is not really happening today, concerns of what's happening at deutsche is a sign of things to come for other financial banks, and then rick perry getting ripped a new one on the part of those saying, wait a minute, you said you were against dodd-frank, but at the same time you say we need more rules and regulations. i don't know if they heard that interview the way i did. i think what he was saying is dodd-frank isn't the right set of rules and regulations. but, again, the media's impression of one guy's take. we'll have much more after this. ♪ ♪ it's more than the cloud.

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neil: welcome back, everybody, coast o coast, i'm neil cavuto. another development we're keeping a close eye on today, and it concerns the president, what he was saying in europe today as he heads back from germany for the g7 summit and what he is planning to do later this week could come as soon as today, redefining what is overtime and who qualifies. effectively meaning if you're a salaried worker and you are not getting paid more for working in excess of 40 hours a week -- and it could be less than 40 hours a week -- you're due for overtime, and you should get overtime. so if you're earning as little as $26,000, you could be qualifying for that overtime now as a salaried worker, goes all the way up to 52 grand. the reason why i mention these figures and this initiative is

that it would dwarf whatever big changes businesses would have to shell out and money versus let's say a hike in the minimum wage to even $15 an hour. this affects far more workers, those who are on salary, those who have fixed benefits and for whom overtime is not an issue, the president wants to make it an issue, and this will be a clarion, pop list call in the next presidential election. it is something that hillary clinton supports as well, redefining what is a full-time workweek n. the meantime, going over to the california coast right now where all eyes are on when apple computer, apple, of course, going to be making some major announcements today but not necessarily, if jo ling kent is right, new product announcements per se. jo ling, what can we expect to hear? >> well, you know, you're right. it's not about devices, it's all about the software. there are 5-6,000 developers here, those are the people who make those apps that appear on your ipad, on your iphone, and they're from 70 countries.

in fact, the youngest developer is a 12-year-old girl from brooklyn. she is here to hear ceo tim cook give a keynote address about what is next for apple. and what we expect here, you know, a variety of different things really. apple's streaming service for music, maybe $10 a month is what this would cost to go up against pandora and spotify. we may also get some news on the apple watch and the operating system there, an upgrade, perhaps, to your iphone operating system. we're also expecting potentially not to hear about the new apple tv, neil? neil: thank you, jo ling kent. in the meantime, how this could affect other players in this music business, pandora chief among them, publicly traded down 2% on this apple news it could be facing some competition. apple is down as well, i should stress here, in what has been a soft day certainly for technology stocks. are expectations a little too high for apple or what it's trying to come up with? tech watch extraordinaire kurt can knudsen on that.

>> downloadable music, the music on itunes we would pay for and keep on the cloud or on your own devices and say hello to apple really now chasing, as you've mentioned, pandora, spotify and another one who's really cracked this premium category where they get you in for the free trial, and then you hook up for about $10 a month for the service. this is exactly the price model that apple is looking at. it's rumored to come out today -- neil: doesn't it hurt itunes? >> well, i think they're going to use itunes as a method to get people there. itunes radio which tried as a free radio service is still going to be kept alive, but i don't think it's going to be relevant much longer. the apple music is the name of, apparently, this new service -- neil: how do the musicians make money then in this -- >> that's going to be the big question, is this now going to squeeze even more the recording industry out of their profits and artists out of their profits, or is this a way to balance it out a little bit more

because the spotifys of the world who were able to negotiate artists' rights way down may have some competition, so those prices may go up as those companies try to get the same and similar rights. neil: some big superstars can kind of set their own sort of streaming agenda, but i'm wondering lesser players or those coming up, is it going to be harder for them to make a buck or cut through? >> it's going to be easier at the onset for them to get noticed but more difficult long term for them to start recognizing money for being noticed. neil: all right. so you think win-win for apple in this case. do we know how the other stuff with apple is doing? >> i mean, for me, i'm not even using itunes, i'm using spotify, other services like that. in terms of the other stuff at the show, i think there'll always be that one last thing, announcement. i don't know if it's going to be hardware this year. there is so much debate about the apple tv, and i don't mean the big monitor, i'm talking about just that over-the-top box

that you use at home to interface. apple wants to own your living room. so look for things inside of their operating system upgrade, they're going to do a preview of what's called ios9. look for the home feature to become very big -- neil: that's in all these devices. >> it's in all the devices, and you listen at home going what does that mean to me? you're going to be able to walk in your living room and say, hi, siri, can you please put on the game? it'll know how you want the volume and the lights -- neil: still have the same attitude? >> no, apparently more proactive, and she's going to be able to understand you a little better and predict what you want. neil: kurt, thank you very much. we shall see. again, apple's stock trending down. music competitors, they're also trending down, but that is only for the time being. we told you these new changes in effect for overtime, that it could come very soon. what that means is the president is redefining what it means to work overtime. not only the hours, but if

you're a salaried worker, whether you should get a piece of the action. what employers are worried about is it's going to be a lot of the piece of the action, and for them, well, no action, no sales, no money. and for those workers, no jobs. scott brown on that next. ♪ ♪

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at 62,000 brush movements per minute, philips sonicare leaves your mouth with a level of clean like you've never felt before. innovation and you. philips sonicare. neil: all right. we are on top of a major adopt that just dwarfs whatever the administration and others want to do on the minimum wage. what the president is ready to announce later this week could come as soon as today, to double the salary level would be the trigger point for businesses to kick in and start paying overtime. right now it's about $26,000 a year, at a 2,000 it would kick in -- 52,000 it would kick in, if you are a salaried workers and you are working more than 40

hours, you as an employer have to start doling out overtime. senator lamar alexander has said it seems engineered to make it as unappealing as possible to be an employer creating jobs in this country. perspective from scott brown, former senator of the fine state of massachusetts. is senator alexander right, that this is a jobs killer? >> well, of course he's right. and i'm hoping in the next election we can actually get a president who, number one, either had a job, number two, either created a job and actually signed the front of a paycheck and not just made efforts to continuously give these unelected, unaccountable bureaucrats more and more power to basically hurt job creation because as you know, neil, and as you've commented many, many times the number one way that we can get out of any of the malaise we're in right now is to actually have a vibrant and energetic economy and incredible job creation. and this president is doing everything possible to make sure that doesn't happen. obamacare, the nlrb issues, the

minimum wage issues and now this. it's unbelievable. neil: you know what i'm thinking, though, if you're a businessman regardless of what people think at home on the left or right of this issue, but then what's going to make them to not change the work hours of those workers and the salary levels of those workers and what is, if full time is 40 hours, it's actually closer to 30 hours with the health care law, to to lower it still more so that i could avoid having to pay this. what do you think? >> i think the employers are going to do whatever they can to make sure that they do not have to be subjected to these onerous types of regulations and rule changings. and here's the issue, i'm not saying that this should not be looked at periodically, but businesses need to have a seat at the table. the president just can't willy-nilly through his advocates, the nlrb and the labor relations boards and others can't just say, oh, by way, in midstream we're going to do this. don't forget, we don't have a tax policy. you have obamacare that's coming in and crushing businesses that still isn't fully implemented,

and what you're going to do is find more and more automation and fewer and fewer young people hired and fewer people working in more, i think, productive jobs. neil: you mentioned earlier, scott, the health care law, the president in his final press conference before dashing off from germany at the g p was saying all -- g7 was saying all of the dangers and nightmare scenarios haven't materialized, it's doing just great, the health care law, all these critics should just think a chill pill. i'm thinking to myself what about those insurance premiums that have gone up 20, 30, 40, in some cases as high as 09%, what about that? he ignored that to say the critics have missed this which was his way of saying the supreme court now debating whether subsidies are constitutional or not will, of course, come to the same conclusion he did, that they're perfectly fibro. what did you think of both his attitude on this and that he has no backup plan in case the highest court in the land doesn't rule in his favor? >> well, remember, isis is the jv as well, and obamacare is

unbelievable. everyone loves it. first of all, even in new hampshire there's been as of yesterday a notice increase for some of the insurers to go up between 20 and 50%. it's killing businesses. they're changing the way they do business. to have a less than 30-hour workweek be a full-time workweek is a joke. it's actually the job killer not only in new hampshire, but in new england. the president is not dealing with reality when he's talking like this. he's taking selective pieces of a plan that, quite frankly, i think the states can do much, much better than the federal government. you look at the v.a., you look at the post office, you look at obamacare, you look at all these things that the federal government's running, and it's a joke. neil: all right. i'm going to put you down as a maybe on the president's all of the above issues. [laughter] scott brown, always good seeing you, my friend, appreciate it. >> thanks, neil. neil: in the meantime, this jailbreak in new york was big news, it was page 1 of the london times this morning, page 1 in all the international

papers how these two convicted killers broke out of a prison that no one has been able to do since 1865. they're on the run, indications now that they had maybe help from the inside. we're on it after this.

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. neil: all right. when inmates break out of one of the highest security prisons in the world, it's not surprising that a command here in usa where it happened, but abroad

virtually every major slapping it on their front page. like that london times, they're a good example of that because these two are on the lamb and they still don't know how they got to be from an up state new york prison facility where david lee miller is also on the hunt with authorities to find out what the heck happened and how these guys pulled it off. david lee. >> neil, as you said, a massive manhunt is underway. it's reported that the two men were seen a little after midnight saturday emerging from a manhole about one block from the prison in new york. they were not officially declared missing, though, until 5:30 that morning. that's when a bed check took place. now, the escape itself extremely la elaborate, even

the governor was surprised, and he toured the facility and he saw where power tools were used to cut through a steel wall. he saw the area where the inmates were able to navigate a number of catwalks and the 24-inch pipe that they actually had to crawl through in order to win their freedom. authorities are not commenting on a report that they may have had help from a female prison employee. authorities also will not say how they believe the inmates obtained the power tools. apparently that's a mystery at this hour. they say an inventory of these tools took place over the weekend and they were all accounted for, and then the ability of these power tools from the inmates may have been left behind by an outside contractor. again, at this point it's still a mist. and a new york state is now offering a $100,000 reward. the governor, neil, calls it

unprecedented, unusual, but appropriate for information leading to the capture of these two men. but right now it appears, neil, authorities have no idea where they are and possibly complicating things, the prison is about 20 miles from the canadian board. neil: so they could be in canada for all we know. thank you very much, david. in the meantime some other disturbing news here in case you're in that area or not, because the tsa apparently missed some very worrisome workers on its watch list, 73 of shem. liz macdonald has some curious details of the rather more than curious oversight what happened. >> yeah. that's right, neil, that number could get bigger as we move forward. this is the inspect general report that came out last week from the department of homeland security. they did a check of individuals working in airports across the country.

467 airports. found 73 were working, but they were affiliated with traceterrorist activities. they were aviation workers. by law, the tsa is not allowed to do criminal in the u.s. airport. neil: what is the argument behind that? invasion of privacy or rights. >> that is a good question. the ieg report did not stipulate is what the document argument is. some of these guys could have clearance to secure zones in the airport. the other thing is 75,000 don't have passport numbers either.

so what seems to be happening is people are coming on tourist visas or student visas and getting jobs and security clearances with the tsa to work in these airports. neil: so you could be working in the -- but once you're in there, you're in there, and you're a pretty dangerous person. >> essentially, yeah, the tsa relies on the commercial airports to do it for them, and they already denied 4800 workers for not having a lawful status here in the united states. so 73 may be just the beginning right now. . neil: incredible. thank you so much. and then there's this. >> this should be an easy case. frankly it probably shouldn't even been taken up. neil: well, unfortunately, for the president it has been taken up. the supreme court is waking those subsidies granted to those who can't afford health care cover under the obamacare plan, the affordable care act. if the supreme court decides that those subsidies are ununconstitutional, he is in a

lot of trouble, so are those who benefited from it, what happens to him if those subsidies don't cut it, are they cut out, and does he have anything as of that plan to deal with that? and to sort of help them? at least the reading from that press conference today is he doesn't. chief editor who says that could backfire on him to put it mildly. that's surprising. but i'm wondering do not assume supreme court has a back up plan, when, in fact, he might have a back up plan. what do you think? >> yeah. the administration including the president has not indicated that they have a back up plan, but i'm sure they do. they have told congress that they're confident because they want to express confident because justices read the newspaper. but both parties have back up plans and they should because this could be quite chaotic. now, neil, the supreme court if it rules against the

administration, it could give congress six months to pass some type of fix. but as you know, neil, it's going to be so hard for the parties to agree on anything that's obamacare related. neil: all right. now, the supreme court can also do something kind of weird where it sets an end date; right? >> uh-huh. neil: deem these unconstitutional, i'm paraphrasing here in 2017. >> yeah. neil: in other words, giving all parties enough time to craft an alternative or something that ensures that these folks have however many are out there are covered. what do you think of that possibility? >> that's definitely a possibility. i think with the 2016 politics it's going to be so difficult to strike an any type of compromise, maybe they ban together as a multistate exchange, a lot of options out there. there's no doubt about it, though, that if the obama administration loses this

case, and it's very interesting that the superior court did take this case, then it's going to be -- could be a lot of chaos, neil . neil: yeah, they did waste their time to do that to the president's point. we have a lot more coming up here, on what could happen on this jobs front, the interest rate front, and we're going to be giving you a bit of a follow-up on the triple crown, american pharaoh, and how that horse could be a lot like milk helps. you've got to hear that explanation like this. not that that horse will be able to race for next year, or whether or not he can keep racing. do you know what i mean? and then we're going to have former john knack, his read on all things politics. he of course a big backer of when hillary clinton. and who he is setting his sights on now after this without hearing them first.

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♪ . neil: all right. you didn't hear it from me, but the american pharaoh and the triple crown. [laughter] connell has more. >> i'm waiting for this michael phelps comparison. neil: when i hear the horse was young enough to keep running next year, it immediately reminded me no, but for the next half year for competitive raises. >> and i think it's a lot of surprise i think a lot of people overlooking what we should have known going into this triple crown. neil: what you should have known. >> did you watch this, by the way,. neil: i did. >> one of the biggest moments in sports history. neil: i did. >> sports history. neil: bill i like having you here. bring me up to speed. >> so there's raises, there are options in the month of august to have the horse race

again and then possibly at the breeders cup, which is a big one in october. so what i mean by overlooking, i think going into this, we had an announcement already in may that the owner had sold the breeding rights -- and this is what it's all about, how much money you can make off this horse, what it makes other horses. so the breeding rights had already been sold to a place called cool more stud, which is an irish outlet. so they sold the breeding rights and they said they're not going to race this horse again because there's too much risk, and they've been characterized as not being so sharp in terms of selling those breeding rights early. but there are reports, the reports that there may be a klaus in the contract where he gets more money because he won the triple crown, so we're going to see american pharaoh again, and now i have a big

for you, american farrow's father is a huge winner in all of this. pioneer. well, the breeding rights there are 75% owned by this guy. on so they could keep breeding this horse for when he was in the kentucky derby and was the runner-up in '09. neil: keep breeding and making or horses. >> well, you know how that works. i'm not going to go into the gory details. and they can keep making horses and they can get 75,000, $100,000 per horse. i'm losing you on this aren't you. neil: you are. and a lot of people are critics on this and i say nay. >> all weekend you had nothing better to come up with? . neil: no. well, thank you much. >> you're very welcome. neil: there are a lot of folks will say very seriously that this race is one of the reasons why he didn't have a super box office weekend. i find that hard to believe,

but i guess that's what they're saying. explain. >> yeah. what are you going to tell your friends. i missed the first triple crown winner in 37 years because i went to see entourage. if that happened, you're a loser. neil: valid point. >> it was a huge weekend, though, for the sorts. you had the french open, nhl finals, nba finals last night, and then good ratings and not as gapped as last year. the preliminary overnight ratings for belmont. but take a look at the weekend box office. let's give proper respect to malissa mccarthy, number one, $31 million take, that's her first number one debut as a leading lady. the biggest loser of the hbo series entourage came in fourth place, $10.4 million in its take. and getting along in the twos, also george clooney, by the way, this is the third weekend in a row that the box office was down. george clooney started it all

off memorial day weekend. tomorrow land. huge loser. moving on from that. overall the box office is still up about 2% this year, but that's because of avengers age of ultron, it's because of furious 7, the fast and furious movie and also american sniper. it's been -- well, lousy so far this year. however, neil, what will turn everything around for the movies? dinosaurs. jurassic world opens this weekend, and it could open with $100 million. and then you get these sequels to magic mike. my personal favorite. >> i cried during -- neil: real quickly. it's -- the rates was 6:30 sunday? >> 6:45. neil: so the weekend is over for a lot of movie goers, and they're using that as an excuse. >> well, you've got to drink all day and then you've got to

watch the race and then. neil: understood. >> you end up in a gutter face down if you go anywhere. neil: thank you very, very much. >> you asked me. neil: i did. meanwhile we've got this fox buzz alert. jeff flock in the middle of all the bees. jeff, what's going on. >> in the middle of it for sure. you're going to see something extraordinary, neil, we've been waiting all day for this to show you this. 10,000 bees about to be introduced. you know, colony collapse obviously 40% of the nation's bees, honey bees lost last year and they are trying to get back to speed right, sir. >> that is correct. currently what they're doing is they are going to introduce a package into a hive -- >> that's the convene in there. >> that is correct that's the queen in there. i don't know if we can get a shot in there, but she's going to be the biggest bee in there, got a big bell even, we're going to pop this tin off, and what we want to do is

put that queen cage in between the frames and we -- >> that's the first thing that goes into the hive. >> the first thing that goes into the hive. the wean is the most important, she's the one that lays the eggs. >> we've got bees all over, they're not going to sting. >> no. they don't have a home to defend, so they're not going to be aggressive at all. they're just looks for a home. >> neil, i know we've got to go, this is extraordinary to see, this is the food coming out of here and then once that comes out, they flip this over and the 10,000 bees, the 10,000 bees you see -- >> come right out. so now what they're going to do is they just came out, they're a little disoriented, so what they'll start to set that down, move into the hive, some bees will go to the ambien make sure she's okay, make sure she's fed taken care of, and then we'll put the cover and let them set that

down, and put sugar on, that simulates a nectar flow. >> they have just created two new colonies here, credible. i'm not stung. . neil: all right. and i don't care. no one had gloves. that's a little weird. a little bit more after this you're driving along,

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and for drivers with accident forgiveness, liberty mutual won't raise your rates due to your first accident. switch to liberty mutual insurance and you could save up to $423 dollars. call liberty mutual for a free quote today at see car insurance in a whole new light. liberty mutual insurance. . neil: you know, it never fails every time we're focusing on a apple development, a lot of people, like you, why bother? why is apple getting all this country? on anything what the company is saying today, that this big conference is going to, you know, ring anyone's bells. what do you think. >> it hasn't historically over the last 11 years, this week, the worldwide developer week

the stock has been down 10 times. and not down a little bit, down 3.7% for the week. and most of these are down. and it's and they've got these amazing hoops to jump through and to make people excited and almost everything we know coming into this thing is already there. so, you know, we'll get more streaming, more in apple pay maybe. . neil: but when you look at the technology sector, do you look at it as a leader? >> apple it carries a lot of weight with the but it's not doing well, we see where the stock no one heard of a year ago up another $7 because it represents so many things from drones to cameras and all the household security. so there are other stocks out

there, nonhousehold names that can move up or down without apple, but apple is the name most households now, when people think of the market, we think of apple. neil: and when we of charles, we i think of his fine show. and coming up the populous rage that the president says is out of control

neil: welcome everybody, i'm neil, you're watching coast to coast, and one is apple, we'll get to that in a second, the other are the markets the concern right now that they're over due for a big correction, maybe something to a crash, and of course predictions back in the '70s and '80s earned him a unique consult status in the financial community a buy who buy in large and got some big market trends right. so their market followed some 15 years after that.

he's missed some things on and off, but, again, his attention to the that and the fact that we're over due, we've been telling some experts that don't necessarily buy that, but we thought fair and balance we would share that with you today. also sharing some big developments out of apple today. a new product announcement that aren't soutch r so much a new product as much as new offerings. with the latest from apple. jolene. >> hey, neil, yeah, we're just getting underway, ceo tim cook is about to take the stage to talk more than 5-6,000 app developers, and we're talking about the people who build those apps that you play with on your phone and on your ipad. today's headlines are the streaming music service. we do expect to hear more about how apple tends to compete against spottify, pandora, and what they're going to do with that expensive purchase of beats music last year. so we're expecting to hear

that. but the software that so many people were expedited about potentially a bundling service, neil, we don't expect to get that today, because it seems apple has not reached deals with the cable providers and with some of those big contact providers out there. but right now thousands of people inside, actually quite a site to see. neil: right at the end of these sections steve job saying the one more thing thing, that cod harold a product of a new phone, new ipad, are we expecting anything like that even a sort of teaser? >> you know, analysts are not expecting that today because typically they do during big product announcements, today is all about software, so but you never know with apple. they're a tightly held secretive company. we really could hear anything .

neil: all right, thank you, jolene content. again, we're waiting former apple on this and a lot of you as we cover this sort of thing. all right., well, why do i care? i don't own apple, i don't give a care about apple, but the fact of the matter is that apple goes into a business and threatens other businesses it tends to be a threat of those businesses, and that's what happens and that's the question here. i mean we already know spottify site unseen or sound unknown get hit and it's down about 2% in straying because apple's coming in or soon to come in. is that justified. >> yeah. absolutely i mean apple is a jugger nut, they're a huge player in this place. this is spottify's business that apple is about to get into. neil: but isn't also apple's business and their eye turns parade.

>> yeah. their itunes parade has been slowly dragging because everyone went to the subscription model and they never had it, so now they feel this old dinosaur and now am they're jumping into it and now pandora and spottify has a reason to get worried. neil: do you ever have a sense that these businesses might suffer because apple comes in, if they had a better model and have been doing this model for so long and sole, and so long is ever in this business i grant you. >> sure. neil: but spottify has done that right that apple can just walk in and kill them. >> i don't think they're going to walk in and kill them. i think the best analog would be netflix and amazon video, netflix is still doing well, but they had to is adjust, so they introduced original programming and spent a lot of money on that, so they were able to pivot and do their own thing. that's important for spottify, and pandora if apple is going to do their own thing, how do

you differentiate your product from apple? . neil: meanwhile the presidential race here, the candidates have been declared, but what does he think of all these financial rules and regulations? take a look at. >> if a bank makes bad decisions, they ought to fail, on anybody ought to be too big to fail. you need to pay a price in this country i don't care who you are, if you're a big wall street firm or or a big. neil: i think essaying is he is against the law that they came up with try to police banks into avoid and it's sort of a -- that the financial melt down and then to say i think that went too far. banks are still too bill to fail. but is he trying to have it both ways? financial services roundtable president tim joins us right now. governor, you know the drill and that he has been drilled on this for being

inconsistent. i don't think he is. i think he's saying frank was and is an overreach and mistake because we didn't get to do the things we aimed to do because they can still be -- that is financial institutions too big to fail. did i get that right? did he get that right? >> well, i think, neil, i watched his interview, i think he's trying to make two separate points. one of much is on anybody should be too big to fail. completely agree. everybody should agree on that, no institution should be too fail or jail i just want to make sure sure, though, that you minimalize collateral damages to innocent bystanders, and i think that's what candidates should explain. and, by the way, frank claims to do that and has never been tested but on paper we did end too big to fail. neil: but we did, though; right? i mean i cannot imagine and maybe you're closer to this, but bank of america or financial direct that we would let it followed.

we would let it go belly up. we wouldn't let that; right? >> okay. paper, it says liquidation authority, first bankruptcy first, but liquidation, take out the shareholders -- neil: do you think that would happen. >> well, thanks the debate. people say i see that on paper, i believe that >> let's lighten up on the community banks. the super small institutions that have too much regulation on them and i think everybody can agree on that too. neil: yeah, what he was saying is that one size does not fit all and whatever owners and regulations you put on the big banks, you are by definition throwing them on the small banks and financial institutions and that went too far. and then if he became president and we've heard of this more afghani up the approach of the part of the other republican can't candidates, that is in direct

opposition to what the other democrats are proposing that we have to actually tighten up these rules and regulations. we have to be much more aggressive in going after these guys. so the differences can't be more stark, can they? >> no. but you also have to be careful because i think these candidates should be challenged to go one or two layers deeper. bill at some point if you're going to the president of the united states you've got to put a little meat on the bone so what do you mean by that? ing of course on the too big to fail part of it, if you don't like frank, are you going to go to a bankruptcy for everybody model? and how is that going to work super big institutions that may require financing that's not available, you know, in the private markets. people might fly a bankrupt airline for a year or two, but they're probably not going to put their life misstates the evidence bankrupt bank, particularly if it's over the fdic insured amount. so there's more complex here than the sound bites and i

think as we get into the second and third quarter of the campaign, people ask put some meat on the bone. . neil: yeah, if everything hits the fan, what would you propose doing in that event if you were the president of the united states. thank you very much, governor. we are awaiting to hear what some of those other candidates plans for the. institutions because some of them. hillary clinton leads two times this week, we are told other candidates following suit and others saying that this has not gone far enough and are got to be much more aggressive. and when it comes to food stamps about, do we have to be much more aggressive who gets them? a sign of fraud that is now running rampant. nearly 100 million are on food supporter. do you think they all deserve that? what does that say about the united states and this recovery if they are all getting that? the fraud side of the story you are not hearing, but you should. and you will. after this

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neil: here's why we follow all the government spending and, you know, when it gets this big, folks, it doesn't take much, even if you fall the 10% rule of the fraud, abuse, waste, you get a serious number of problems, and it's happened again in our food stamp program. >> yeah. fly, neil, so what happened just recently where 17 individuals arrested, they were running convenient stores outside in and around birmingham alabama. 11 stores rated. basically food stamps being in or around immediate cash for drugs or tobacco and alcohol, and then some of the proceeds from this ended up in the middle east, in yemen. and we've seen a number of growing cases where now food stamp fraud is being tired

transfers of money going overseas. and now there's a 3 billion-dollar fraud rate and the food stamp program, you're right, it's up 45% since the government took off. but when you have immediate cash and the food stamp is basically a plastic card that'srer loaded every month by the government with cash on it. so what these guys are doing as their saying, well, we want to use it for cash or drugs or alcohol or tobacco, so they're selling it to convenient stores for 50 cents on the dollar, and then those guys go to walmart or whatever and guy steaks or waver food and then jack up the cost for the stuff they buy and send the money overseas to places like yemen. so the fact that it's being linked to the mugging east right now should be cause for concern. neil: but it isn't. a lot of times they do this because to keep it away from using they don't want to touch it. >> yeah. they don't to want touch it; right? because you're a bad guy fuss anything about the food stamp program.

but when you see cases in alaska, certainly in california we've seen similar cases and places like detroit. i mean that has to be a cause of concern, certainly for u.s. taxpayers out there that the food stamp program now going to god knowing what in the middle east. neil: that's right. and it doesn't end with social security. particularly when it comes to those social security disability payments, right now we're getting news that they've been running into a 17 billion-dollar that no one can account for. former policy director todd, i guess we shouldn't be concerned with these types of numbers and abuses, but this is staggering because it's social security, social security disability. explain. >> well. look at it this way, neil. the work place has been getting safer. we should have fewer disabled workers. you know, back in our fathers or grandfathers time, people were employed holding shovels and digging tunnels.

now we can complain about carpal tunnel syndrome. we've lost about a third of the manufacturing jobs in the last decade or so. manufacturing jobs on average tend to be more dangerous than office jobs. and yet the disability claims keep growing. that tells us that something really is a miss in how the program is structured. . neil: and you wonder when i hear candidates saying, you know, be very careful about going after social security because it's fine it be governor mike huckabee telling us that a week ago workers' compensation now, he wasn't addressing the disability fund, but it's that old notion, don't even mention it, even if you see abuse. so i wonder if anyone is going to address this. >> interesting enough, the mainstream media you might call it the liberal media have looked at this. and a couple of years ago "the new york times" did a front page article about the long island railroad and they

discovered, electrocuted that nearly every worker was retiring early on disability. national public radio, hardly, you know, a right wing conspiracy discovered in one county in alabama, one another quarter of the adult populous population was on disability. the banks in that county stayed open late whenever the disability checks arrived. so this doesn't have to be some republican agenda, this is an agenda or an issue that actually has been looked at by all sorts of media, and they all come up with the same conclusion had a we have a broken system, that it is getting worse in an era where it actually should be getting . neil: all right. well you the putt. they very much. preferential both parties knew about this. good seeing you again, my friend. and coming up the former head of morgan stanley is doing lots of interesting stuff today. one of the most quoted respected names on wall street. what he makes and the big correction that is this the offering of wall street. a lot of folks fearing it but,

again, markets have climbed that wall of worry. what happens next. and his read of the markets right now above going after banks and the financial types right now. and that little detail of the 2016 presidential election and who he is supporting right now. after this

neil: all right. and you think scott walker fight with union creating a lot of nastiness, you should hear what he's planning to do now about teacher tenure for college professors in wisconsin. he essentially wants to end it, that should go down well there, not. and just as he's saying enough is enough. there should be no job guarantees that after ten years or whatever on the job that you become fireproof and that your job is good for life. that is not going down well in that community, is it. >> no. it's not. but really what he's doing is

that he's saying that the boarder region should have more control and if there's budgetary issues, if there's programmatic issues, then that tenure should be able to be reviewed. and what tenure is about freedom of speech, that's why it was snoo institute, and nothing in the proposal purchaser is going to go away with those freedoms. in fact, you're seeing story after story after professors that are more afraid of their own students and speech codes on the campus than they are in the administration and that's what these professors need to be worried about these days when it comes to freedom of speech. neil: you know, there are other workers that would love the envy that a guarantee that the ten years they can stick it out, sometimes shorter depending on the exact legal area you're in. and make it virtually

impossible for anyone to fire you. so it's not one that has much populous supporter, certainly in wisconsin and keeping this going, but the unions are very much aggressively trying to stop this one, aren't they. >> they are. and scott walker is calling this the act ten for higher education, act 10, which is created all the controversy with the state and local government workers that the budget reform bill that he instituted on collective bargaining in 2011, and judging by the results of act 10 that budgets are coming in ballots that property taxes are actually going down in a lot of these local districts. you know, you could say some strong from any type of other act 10 reforms, (speaking spanish) ones at the higher education level. neil: all right. now, he's making this an argument that the state needs money and so many workers cut proof or fireproof, that doesn't make sense. we'll see where it goes. always a pleasure. thank you. >> neil, thanks for having me

on. neil: all right. we've been talking about robert, the man who used to move markets. his dire commentators in the latest go around that we are due for a significant aren't quite honoring the same attention as 20 years ago before this young lady was born. but having that, intelligence report joining us now. what essaying is, hey, this is getting -- my data confirms it's getting electro low, interest rates are moving up, transportation stocks are moving down, what do you think. >> well, there's something to be said for this -- somewhat artificial environment we've gotorously in now because people are valuing assets based on this idea that the fed is going to be there in perpetuity. so, in other words, if i told you this was worth, you know, whatever you thought it was worth versus what do you think it's worth with the knowledge that the fed is going to be there in support behind it, they're kind of two different things. and i say that because in this

environment of extremely cheap money, you're able to go out and borrow at basically nothing. companies are out there doing buy back after buy back they're doing a lot of mma, and typically it will results in fewer jobs. now, you may say, hey, it's great grate for productivity, but at least in the interim, it means fewer jobs, so companies have really been doing what you could call the financial engineering side of things in order to achieve growth as opposed to actually -- provided the oxygen; right? >> been there all long, yeah. neil: let's say the fed takes that away be flator year they do, in fact, raise rates, you could still argue that even at rates that low, it's still -- the favors wall street contingent because it's easy money. >> yeah. i wonder how they're going to do it. right now they have themselves in a bit of a pickle because they have the rest of the world copying our strategy, so

they are now aggressively engaging in quantitative easing, effectively printing minimum to put more of it into the system. and as a result it's hurting our dollar. i mean to the sense that our dollar is getting stronger and stronger and stronger, which is good if you want to go on a european vacation this summer, it's great -- neil: this full sense that everything is okay. >> well, and it's hard for those companies because they're shipping the companies over there and it's costing more money. neil: intelligence report where she gets into the movers and shakers, should be fine. she kind of whined because it's cold in the studio. >> it is cold in here. it's freezing. . neil: all right. we're going to get the read from morgan stanley saying one of the five years, the legends of wall street, what he makes, what we were just chatting about, and what he makes of this presidential race and when it comes to dealing with the financial community after this

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cell if you have his way. others want to pylon the bankers and communities that have gotten for clinton herself saying the top 1% have to be reined in. by exception i would call hillary clinton and her husband bill. with me now the former wall street guy, still a wall street guy. john mack. john, good to have you. you surprise me during the break seven or eight years after row of the bankers are still targets. tens of billions in fines. not enough. what do you make of it? >> i'm not surprised at all. one of the hearings there were four or five of us dear jamie dimon, lloyd link fine and brian was there and i was there. when it was over lloyd made the comment what do you think, john? another three or four year of the senate calms down. avoid it at the end of the

korean war before bankers were respected again going back to the depression. depression happened in the 30s. it wasn't the 60s that focused on the banks. it is greatly. >> another 15 or 20 years ago. the >> point by point if it doesn't surprise me and it's not over. neil: what about all the fines? either a 37 -- in the most recent wave, over 100 million since all this began and now dozens more. >> it is political. i think the real question i have in the financial sector are up dramatically. think about the favor who has invested money in these companies. you continue to do it and you take holders and spirit i wonder even if the sox were done well

in the last two, three years in the financial service sector, what would they be trading at the fines have been moderated in some way or at least finally ended. i would want to know my day-to-day and will go up because of all these fines. tree into the rap against her industry. the friend of mine in the baking industry. they say i'm ashamed to tell people i am. >> tell your friend to get out. i was never ashamed to be in the business. did they make mistakes? absolutely. but i was never ashamed when i was doing was wrong or illegal. if you look at the technology sector and see how it's going, go back 25, 30 years ago to one of the first deals. look at what we got to get the industry up and running. i don't think the bankers at large have anything to be ashamed of. do we make mistakes and do

things we shouldn't have done? absolutely. neil: early on you supported hillary clinton. but now the top 1% we didn't go far enough going in. do you feel disappointment? are you not anti-democratic because at least the prominent ones are all from the same dashing flag. >> to me it's all politics tried to get elected and get a nomination. if you go back and look what she was senator of new york state which ac was one of the best senators we've had. if you are running come you've got to win. as long as he did the tv is the right we have to go a neil: you don't think she would offset that have been anti-wall street president? >> hillary clinton is a very smart individual. my wife christie has talked to her great deal.

i go back in early on i didn't follow the clintons. when she was senator of new york, the most impressive senator advert with the long period of time. neil:.c. remember, not this one running for president. >> well, when you have 20 people in the field you get attention. i think it's politics. neil: after that he went to jon huntsman junior. who is the candidate now? >> i'm a flexible person. i voted for president obama the first election and not the second. i supported mitt romney. i will be supporting secretary clinton. neil: the republican party, sounds more pro-wall street. you are saying that it's not the case. >> i don't look at it as pro-wall street. what did we need to do for the country global economy. you asked me about market correction.

the biggest risk in my view is geopolitical risk. we need a president involved on a global basis. not just focused on wall street or the united states. geopolitical risk is our biggest risk. two weeks ago the chinese or the russians both warships with planes. if by chance they were actually attacked and fired, which could have happened, we are in a big, big heap of struggle. neil: do you think hillary clinton would be more dressed dealing with these things? >> i don't know the president. i only know her. i think she would be much more engaged than he is. neil: anything that would be a welcome development? >> i would welcome it. neil: they went too far too fast. you can only do that for so

long. he's arguing the the recovery, the rally. >> will listen. most of my investments are private companies, mainly in the technology sector. i have outside managers who are much smarter than i am about public market and probably smarter than me on technology. i believe that but i don't make decisions by ourselves. they do that. neil: but you are aggressively involved? >> i'm fully invested. that's right. neil: and the private markets you alluded to, what promises look good to you? technology, financial? >> to me the number thing doesn't change. we're four years ago the housing market, apartment buildings or very track it. today most of my focus is on biotech and financial technology. everything from insurance companies to health care to biotech. technology is really just --

>> is contingent on the market. an investment made here. >> i don't think so. a young kid came in my office from israel six months ago that i'm trying to raise money. he took out his iphone and put it up to my tv. i happen how fox station on with the sound off. he tapped it twice and said the picture to the cloud and brought it back down and a 52nd audio. your flight has been delayed an hour. you can't hear anything. either your iphone have been headed. let's say one gentleman who we went to raise the money said forget about watching tv. you saved my marriage. my mother-in-law is 90 years old. now that we have that we have tended to you saved it. we have the right way to settle the tv. i'm involved in a number of things like that.

neil: you notice something, you're in the business now into iran. >> a lot of changes in all these businesses. it could be a huge change in the medical field. steve corbin, our ceo with technology in the way we treat patients and communicate with patients, we start with apple as a whole hard path. more and more this is done via technology. neil: finally, you are a wealthy man and you've worked hard to gain a wealth. there is a view among many that you got wealthy or you are not to be trusted or you have to pay more. don peebles is a big financial backer for barack obama. he doesn't like the message. he was telling me last week was a bad message for democrats. the party, and extreme vocal part of the party is a loser for

the party. what do you say? >> let me just to attack station and wealth. i have been very lucky and i'm prepared to pay whatever taxes. but others is the way we spend the dollars. we are not holding people accountable when they are entrusted with tax receipts to spend properly. neil: you pay the top rate of 40%. you are welcome to pay more but you want to make sure you can account for the spending because it's not happening. >> that's exactly the point. neil: if someone wanted to raise the top rate over 50% from the u.s. i am hoping to god, but first? >> not only an myopic to that, my wife and i have a foundation or we help different charities where we know the money is going. neil: that is your foundation?

>> if we can get accountability on what we use our tax dollars for and how it's being spent. i will be pushing back on taxes going up. neil: but your private foundation is a better job as bill gates, warren buffett, michael bloomberg. when push comes to shove, they would sooner take control of where they put the money. what does that tell you? >> it tells you they don't see the results. neil: john mack, thank you very much. good to see you again. we will have a lot more after this. ing as the thrill of the find. (announcer) at scottrade, we share your passion for trading. that's why we rebuilt scottrade elite from the ground up - including a proprietary momentum indicator that makes researching sectors and industries even easier.

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>> we are back here on "cavuto: coast-to-coast." connell mcshane. it has not been a very good day for the airlines at all. the dow jones transportation average have transportation average evidence were transportation average have been its worst in two and a half weeks because the airline stocks are heading lower. capacity concerns, worries about pricing as well. investors say a lot of concern about competition in the dallas area. american airlines in dallas and the other stocks are really getting hit as well. it is a rough day overall for the airline stocks. in terms of the markets in general, the dow is down 77 points today. we will have much more to calm as "cavuto: coast-to-coast" continues here in just a moment.

it's a highly thercontagious disease.here. it can be especially serious- even fatal to infants. unfortunately, many people who spread it may not know they have it. it's called whooping cough. and the cdc recommends everyone, including those around babies, make sure their whooping cough vaccination is up to date. understand the danger your new grandchild faces. talk to your doctor or pharmacist about you and your family getting a whooping cough vaccination today. neil: john mack, former jpmorgan had is backing eloquent in. think should be good on this political issues.

the international tension issues and barack obama. i want to get a reaction from lieutenant general richard newton. general, the insane were standing president obama or clinton would be different, a lot more aggressive. i think he is saying he'd be a lot more in-your-face. i don't want to take a leap there. >> interesting comment. i'm not sure i was expecting that. i'm looking for someone to be the administration not only domestically but internationally. looking for someone to connect the dots based on the challenges as well as opportunities but how do you then laid internationally as well. we see this come out of the g7 summit. the importance of our nation's leader being able to not only they'd effectively but also abroad. neil: i got a sensor in the press conference before we left that he does have a plan in

place which is the g7 partners to how to deal with it because a lot of jobs were left open. he's just started playing it by ear. >> the president hasn't landed back at andrews air force base. what i am paying close attention to and was paying close attention to his in terms of how the g7 summit and the president would lead regarding putin in ukraine. certainly combating graphical in in -- radical islamic terrorism. something i was hoping to see at the summit was some discussion, some public statement about iran. we've got the deadline june 30th for the final iran negotiations. you've got france and u.k. in britain and germany and the united states but no leverage of the g7 summit to put pressure on iran. neil: i run into doubt when i

run into these things and dealing with that. i got a sense when it comes to russia and ukraine they don't have a policy or for that matter if it takes any more chunks of iraq or syria or both. so that is what worries me. >> putin responds to strength. he also takes advantage of weakness. neil: vladimir putin heard that. but as he do? >> he continues to do what he's done. the courts in february of this year when you have a cease-fire and sanctions put in place in march because of the russian taking of the crimean -- peninsula. he will react whether he faces stryker week as. certainly our next president will have this on his or her play to determine how to effectively deal with that. not only the united states, but the free world.

you just can't have a loose boot and trying to take advantage of taking ukraine out of the last and also putting ukraine. then what happens? neil: general, thank you very much. mcdonald's still can't get out of its own way. come on, this new guy has been in charge for less than a couple and everyone is shocked when they see reports that, the sales are going gangbusters. i want all of you to calm down. ♪

neil: you know, this is the point in the show where you go in to the grain. everyone jumping all on was made donaldson the monthly sales reports that assume they will be gone by way of the official sandwich. they were down 2.2% in the latest month versus the prior month. that's awful. fine. but they say the pressure on the new ceo dave easterbrook. the guy is only an opposite couple of months. you can't reinvent the firelight like that. dagen mcdowell, the hater she has this still piling on here. >> no i'm not. they didn't do away with the filet of fish. there is a filet of fish, big mac, fries. that is like bringing you --

>> this is a giant tanker in terms of writing it in turning around. dave easterbrook on the job for three months. this is something that happened over a long period of time. kids turn their back on chicken mcnuggets. do they. i will point out in the u.s. the declines have been flowing. sales were up in europe. they're trying to fix china. there is a problem with bad food, soil food. that's a huge issue for donald's. they've got us by chipotle tastes in the country. shake shack had the an article following. burger king was doing my mcdonald's does, but better. it was a simpler menu. they're stressing on the floor over here. >> this could be a problem.

neil: by the way, he looks better in the dark. >> here is the bag for your head, too. >> i probably didn't have to work together. >> he's trying to come at this from all different angles. they picture organizational problems. they are doing little things, toasting the buns longer. they are trying to make the patties juicier. they are installing dual drive installing dual drivers to speed up service. antibiotic free chicken. neil: what are you doing? those are my fries. >> how can you do a segment about mcdonald's and not have to. neil: we will have more after

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♪ >> all right, we're keeping on top of it. this apple developers conference on san francisco. nothing really big here. we will not be cutting this an apple commercial. they're making adjustments doing a music service that could be bad news for some of the other -- like spotify and others that do the same deal. it's not exactly helping apple's stock here. if you were looking for something that would reinvent the atom, it ain't happening thus far. a lot of you are responding to what you think of coast-to-coast. one of you, you're like the energizer bunny. i set my phone alarm so i can see you at noon. i assume you're on the west coast and you have to set an alarm for noon. otherwise you're like my daughter. i watch your show on fox business because it is the best show on the telly.

robert says, i don't care what anybody says, neil. you're the best. look forward to your shows. who else are you looking for? and what else are they saying? all right. that will do it here. trish regan is now. >> you saw this. the us has no complete strategy to deal with isis. that was according to president obama who made this revelation to the world at the g7 summit in germany. president obama: so we're reviewing a range of plans for how we might do that, essentially accelerating the number of iraqi forces that are popularly trained and equipped and have a focused strategy and good leadership. and when a finalized plan is presented to me by the pentagon, then i will share it with the american people. it's not -- we don't yet have a -- a complete strategy. >> still?