around. and valuations are going up everywhere, not just the stock market, but real estate as well. have a good day, everybody, on a day we're expecting a triple digit loss for stock prices. thanks for being with us today. charles payne in for stuart today have a good show. >> good morning, i'm charles payne in for stuart varney. lots of big stories. we start with the biggest of the day. the greek crisis and drama. banks are closed tourists are stranded and the country on verge of total panic and make no mistake about it the money matters to you. other headlines, it will concern another supreme court ruling at 10 a.m. eastern about the obama administration's war on fossil fuels, as well coal. we'll take you there live as it happens. remember, massive carnage, a lot of things happening there.

and elon musk and the prison escapee shot close to the canadian border. he remains in critical condition. three important hours of "varney & company" starts right now. ♪ we've got to get right to this guys. the greek crisis and go straight to ashley webster who happens to be in athens. give us the latest. ashley: hey, charles, the clouds are starting to turn dark and there's thunder rolling around the greek parliament behind me lending to this somewhat ominous feeling as we find out the banks are closed today in greece and will be closed for the next six business days. the stock exchange in athens also shut down and all you can take out of an atm per day

right here 60 euros, that's about $66 u.s. dollars. those capital controls in place as the government tries to maintain the liquidity in the system, what there is left of that, and keep the financial systems from total collapse. the big question can a deal be reached before greece may indeed be forced to drop out of the euro zone. they're due a payment to the imf 1.8 billion. in the meantime as we've seen for the past five months the last five years, all sorts of headlines, all sorts of rhetoric, nothing has changed. greece is essentially bankrupt and european creditors are fed up and not going to give them the money until they agree to the austerity measures laid out by the creditors. here we are, the crisis going on in greece for five years really is a crisis now. it's crunch time. it's interesting to see whether a deal can be done. at this stage, charles, there's

no sign of it. >> ashley you mentioned greece accepting austerity measures. over the years, austerity meant different things to different people. some people think higher taxes are austerity and that's the plan that the greeks presented to the imf and others involved and say, come on guys it's going to be a lot more pain. listen, we get it nobody wants to go through the kind of pain they're talking about, but help the audience understand to what degree is the sacrifices now being asked of the greek people? >> well they've already faced unemployment, for a start, still right around 26%. they've had cuts in pensions they've had sales taxes move higher across the board. and don't forget there's a huge public sector here many of them have retired early and it's their pensions that are at the very heart of what the european creditor would like to be seen held down even cut, somewhat of a red line. for the everyday greek

population, charles, more families are showing up at soup kitchens and it's a very very tough economy and nothing as compared with what they found out of the euro zone that would be disastrous because this economy that's struggling would really really be up against the nightmare scenario. >> all right, ashley thank you very much. we'll be coming back to you as often as possible. those pensions by the way, 16% of gdp. no country could survive like that. we're less than-- we're down 180 right now. you can see the market is under a huge amount of pressure and want to talk a look at oil right now, commodity prices are reacting to the news. oil to the down side, but gold happened to be up. also you've got to remember there's a key decision with the epa at the top of the hour. there's gold by the way, starting to make a big move up. and of course we'll look at all of it. i want to take a look at

10-year yield again. they talked about it with maria, a flight to safety. where does money go when? and we have mary here and liz macdonald. listen, of course we've seen this and talked about it and the onus came off the international banks and european and imf and agencies and they're fed up. they've drawn a line in the sand and who is going to blink? >> the original one, greece promised more than they could pay. and the bailout terms imposed on on greece in the first place. >> what was wrong with the terms? >> effectively what you needed was to roll back government not to punish the private sector and in raising taxes, it's the wrong thing to do here. what you should be doing is lowering taxes encouraging investment and getting people in.

now you're in a real pickle because the greece people didn't see the benefits of that so-called reform. so now you're in a spiral downward. i have to disagree with your correspondent, charles. i think the best thing here for the creditors to hold firm. if they bail out greece again, think of the message that that sends to portugal to a spain, to a france. unfortunately greece has to take the pain here. let's just hope that they don't again, compound their problems by raising taxes and making things worse. >> their creditors aren't accepting that they want a lot more, e-mack liz: for the market it's more like a bear stearns. it's gdp is the size the of metro detroit area and to mary's point will it do reform and bring it back just like argentina did in 2001 is and argentina's growth spiked

higher to 8% when argentina moved to fix itself. i tell you, charles, when you see the present government of greece making statements like we are being humiliated and pimp -- pillaged and going through fiscal waterboarding, something has needed to be fixed in greece for a long time. >> they're going to put it into a referendum to the people who voted to be belligerent in the first point. and do you want to play this game to the ultimate conclusion? unfortunately they'll find out the hard way. remember, today also the final day of a supreme court ruling. last week we saw major rules, obamacare same-sex marriage and today it's power plant emissions. how far can the epa go with the rules? i don't think that a lot of people understand.

the epa, is the ultimate weapon, i call it thor's hammer, they've done a lot of damage and could get more power today liz: people don't like air pollution, it's really, really bad. what we're talking about unelected bureaucrats willy nilly making rules and a lot of politicians don't read the rules. what's at stake? coal stocks are down by more than 95% since 2009 when the president took office. what's at stake today, the epa ruling on mercury and other toxins in the air, whether the power plants have done enough to scrub that out and whether the epa properly assessed impacts to businesses and not just to people. >> to that point, mary let the audience know when you do the math, what this case says you've got 6 million in potential lost earnings versus 9.6 billion to implement the rules. which one matters. they are arguing the case it shouldn't matter. >> that's exactly what the epa

made in court. if it poses any threat to anywhere the cost doesn't matter. that's absurd charles, if you cared about public health you'd take the measure that cost the least amount for the greatest good. this is the problem that europe got into. we shouldn't have it here and let's hope the supreme court rules. >> the administration is saying, oh the coal industry power plant industry 360 billion in revenue that's not number to use. they're saying $10 billion in impact and they've got so much money. you've got to look at bottom line numbers and that's a lot smaller. >> a lot have gone out of business and thousands and thousands of americans wonder when they're going to get the next mill. in case you missed it we've got lauren simonetti. >> good morning, the u.s. has its own greece that's puerto rico where the territory must approve a budget tomorrow.

padilla warns it may not be able to pay the debt. 70% of economic output. the island has been mired in recession for years. unemployment hitting 14%, crime surging schools closing and physicians leaving. and they could lead to potential default. if that's not bad enough. the governor of puerto rico says they will run out of cash by mid july and that could lead to a government shutdown. as our adam shapiro has been reporting between tomorrow and friday, puerto rico must pay almost $2 billion to avoid default. we have our own greece. >> puerto rico our greece 1950 they grew 70% of their own food, we started giving them payments and they import food and housing allowances and we allowed this to happen. thanks, lauren. greece is the biggest of all the big stories today.

the market on that news headed lower. what it means for your money here at home and spacex suffering a third failure this month. a lot more bad news for nasa. a lot more "varney & company" next. ♪ i built my business with passion. but i keep it growing by making every dollar count. that's why i have the spark cash card from capital one. i earn unlimited 2% cash back on everything i buy for my studio. ♪ and that unlimited 2% cash back from spark means thousands of dollars each year going back into my business... that's huge for my bottom line. what's in your wallet?

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>> greece's shutdown the stock markets and banks and looks like they'll be forced out of the euro zone. we're less than 15 minutes away from the opening bell. the futures are under a huge amount of pressure. u.s. officials told fox news that world leaders meeting in vienna will miss the june 30th deadline for an iranian nuclear deal. former director michael haden said on fox news sunday that the united states has lost its edge going into the final days of nuclear negotiations with iran and says that the frame work of the deal doesn't go far enough in preventing iran from obtaining a nuclear arsenal in the future. then there's this. an unmanned spacex rocket exploded yesterday, a

spectacular scene minutes after launch. the rocket was on a resupplying mission to the international space station when it occurred. it's the third recent one to fail. what the heck is going on? they almost had a perfect landing from almost perfect on the landing, sticking a landing which would have been spectacular to exploding right off the launching pad. >> right off the launch pad. third such attempt by the way from spacex. by the way, don't worry about the people up at iss, they've got food. four months of supply on hand plus you've got a russian mission coming up in the next few-- actually two or three weeks. charles: don't worry, the russians are coming. >> the russians are coming to help, the chinese are next. elon musk with spacex you know, a little egg on his face this morning. i don't think this affects them long-term. you're looking at a company that profoundly is the only company to do return missions in the 1.8 billion contract to

do it. >> tesla has a major cash burn. >> it's not related. tts related. they're only 1 1/2 billion cash on the balance sheet. how can it stack up against a boeing or a lockheed when it's going through massive cash burn and wants to build batteries and more electric cars. >> separate companies and separate businesses. >> but they rely on governor subsidies and a ton of government subsidies. charles: that's why stuart has taken a call on elon musk p.t. barnum. my first tweet after that news is how much is it going to cost us. i love the idea of private sector going in this, but not with my money. where do we stand? i got a lot of tweets back saying nasa would have spent a whole lot more on the same failure. >> overall operationally he's way under what nasa would have been, you're dead on for that.

and and. mary: they're mounting. >> if this spends spacex into the elon musk into a twirling head spin i'll tell you this the worst case scenario a, it's still working. b worst case scenario you've got exactly the players that you've mentioned lining up to chomp at the heels and either buy out spacex at that i can it over do a hostile takeover but the fact is they still are succeeding where no one ever in the history of mankind has been able to do in the industry. charles: why are you optimistic when they feel they can't get the launch down. i guess landing is tough to and ultimately this can happen but it feels like the promise of this happening overnight, the hype it hasn't lived up to the hype. >> elon mufk is -- musk is an innovator and he's going-- >> spacex is a huge distraction

for elon musk. his ambitions are outpacing his cash position and this is a distraction at spacex to what investors want to see happening at tesla and it's not happening. it's a huge momentum play and richly valued. i think it's a bad sign. charles: do you think that tesla stocks will be down because of spacex? >> i think because of elon musk's distraction. charles: the underground train on the air hockey thing and the world batteries. >> let's take the man out and shoot him for being a great guy and coming up with-- >> no one's overreacting i'm giving the fact and the balance sheet. >> you're giving the market-- >> i'm giving what nl a lists are reporting and wall street research houses are reporting on tesla and concerns are. charles: and you're confident that ultimately and soon they'll get it straightened out and we'll be applauding elon

musk as the modern day edison or something? >> the guy is going to crash more rockets, it's going to happen. god forbid it's the human rocket in 2017. this is unmanned. the fact is innovators are going to make a lot more mistake than the copycats and the giant bureaucracies that have run-- >> at taxpayer expense, a lot of government subsidies. charles: net-net you're saying it's cheaper for the american public? >> i don't know what the cost factor is. charles: okay. >> overall he's done a much better job. charles: we're talking about him right now. i appreciate it. and of course, we're talking about greece and all over that crisis this morning. remember, their debt crisis has come to the point that margaret thatcher has warned us about, it's gone deep. the banks over there are closed and everything there is in turmoil and another piece of news for you at the top of the hour. the supreme court will have a major ruling on epa and regulations. this impacts you big time.

we'll have it for you right at 10:00 eastern.

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perks are nice. but the best thing you can give your business is comcast business. comcast business. built for business. >> we're five minutes away from opening bell. take a look at that. we are going to get crushed right out the gate. sandra smith and elizabeth macdonald are here. sandra, it's like deja vu all

over again. sandra: i don't feel we're going to get quote, unquote crushed out of the gate. i don't see the markets shaping up that way. if we were going to get crushed we'd follow in the selloff we're seeing in asia and europe. europe is seeing a sell off more than 3% in stock market averages. here at home futures are pointing to maybe a percent off out of the gate. charles: i heard you and maria talking and she made a bold statement that we could be in the plus column. sandra: why not, with guys like you believing the fundamentals of the market are so strong. what's a little 100 point selloff? people using it as a buying opportunity. charles: i don't buy every point i'd like to see a thousand points personally. i don't think that's any urgency for anyone to rush in and buy the first hour or two of the market. as the day goes on it's conceivable we could drift lower and begin selling. sandra: that's true too. charles: i think the only thing that would turn us around you guys tell me, some kind of

positive news out of greece liz: could be a test how the bond market is so illiquid right? a problem with the intermediaries. charles: and the bonds not selling them-- >> i'm talking emerging market debt issues. the banks have been told derisk, make your balance sheets safer. maybe it's what ben bernanke has been talking about. >> the problem is that the average u.s. investor doesn't quite understand. i'm not just lumping them. we all don't quite understand what the implications of a greek exit really are. i mean what impact is that going to have on-- >> the mean for that there are a lot of question marks. there's a lot of could and that's why-- that's what greece is using to negotiate. you kick us out, spain could follow, france could. we're going to continue of course with the thing with

greece, spooking investors and not just here around the world. global, ma -- losing half a trillion before you woke up. stay with us. this allergy season, will you be a sound sleeper, or a mouth breather. well, put on a breathe right strip and instantly open your nose up to 38% more than allergy medicines alone. so you can breathe and sleep. shut your mouth and sleep right. breathe right.

>> our market's about 20 seconds away from opening here. we're keeping a close eye on

stocks with greece in the focus. we're less than 30 minutes away from the supreme court rulings. the epa, lethal injection and also a congressional redistricting. the opening bell is starting to sound two, one, there it is. let's check the big board as the dow is looking like it was down at least 107 points at one point overnight it was indicating off almost 300 points. as the trades settle all 57 and counting. stocks are trading and let's get back to the main topic guys, greece. joining liz macdonald and sandra smith. we've got keith fitz-gerald in portland, this is also a game of chicken, but greece have they gone over the cliff already? >> 0oh, yeah i think that greece counted on european union to blink and what they've done, taken the steering wheel

and held it out the window. charles: is there anything happening happening-- >> we've got a lot of things greece being one of them. i think it's a big story and i think they're done i agree they're out. what's going to happen this week more and more turmoil and that's going to have the greeks vote themselves back in, but they don't have the money or the growth. number two, how come we're not talking about china coming off the highs of june over 20% and in bear territory and having to cut rates. we've got a lot of things to worry about, i don't think that the market is respecting all of those worries. charles: china is still up 100% this month, this year rather. a pullback and i think that everyone-- >> a pullback? it's in bear market. charles: if you bought anything in january, you're up 100% you're not sad. if you bought it last week and

it's down 20%, you're sad. this greek thing because of the question marks we put around it last time it really did hurt our economy and our stock markets. and it did put the world in a tailspin. we talk about black swans all the time. this is the closest thing that could be a black swan. no one thought they would take it this far. sandra: for the average investor who was fearful that it would happen like this the atm's and greece they're scared how it's going to effect them and that's enough to ep coo the investors out of the stock market for at least the time being. so the key question according to robert van battenburg whether the greek bank deposits are frozen and see the lines at atm's and many of them have run out of cash. that's a dire situation liz: there's a geopolitical risk here russia china, either of the countries could step in and help out greece. russia has leanings trying to

seize back annex parts of the ukraine and china is moving into the south china sea. charles: and russia would provide the muscle. >> they could step in and help out greece. charles: let's go over to ashley webster. what can we expect to happen later today. ashley: that's a good question. right now the banks are closed you guys have been talking about atm's have been running out of cash although the government said repeatedly they're going to refill the atm's it hasn't happened. we're waiting for german chancellor merkel. there's a big but to this because of the consequences knock-on effects, italy, portugals spain. years ago when there was a threat that greece was going to drop out, the european economy overall was pretty week. now it's more solid, it's not

great, but it's moving in the right direction. it's far more able to handle it if greece wants to fall out. and that's for creditors who are fed up with broken promises, they've called the bluff of greece neither side has blinked and now greece could fall into the abyss. charles: and greek government says the bench will be open on thursday, that suggests to me that the ecb would control, somehow the spigots would come back on. i'm not sure why they're making that assumption or promise, but maybe it will quell things what are you feeling? >> well certainly if that's the case charles. it's all a game all about rhetoric. the greek government and leaders can say whatever they want. i will tell you that the european creditors are feeling betrayed by the person and the

party after they called for the referendum. and the eu president says he feels betrayed and upset by what he called the egotism, and when they said let's put this to a vote. that's upset the european creditors. as for angela merkel it would be bad for her politically. charles: right now i with a bt to check on the big board. the markets are off. i think we've erased gains for the year. we weren't up a lot to begin with, but 140 on the dow takes us even. and i tell people the story is so long you have to go back to the 1970's the greek government ran a surplus every year and there's a military takeover and when the civilian government took back over every year after that there was a deficit.

beginning in 81 though the deficits grew because that's when the-- >> half the time greece has been in fiscal default or restructuring its debt. the euro zone is like a castle in the air, it is. the central banks around the world with their loose monetary policy has been trying to help these countries outrun the math on entitlement spending and has not been working. we're hitting where the rubber meets the road and fiscal restructuring and where we see banks are restructured as well. charles: let's take a look at the banks. they're taking a hit on the greek news and i think we'll have a couple of quotes here. here we go here. banks are down. most of them are down 1% about in line with the overall market. and keith, says u.s. banks how much exposure and people should be looking to sell or buy? >> i wouldn't be especially concerned here. the traders are walking away from trif did i haves derivatives.

j.p. morgan is the most interesting. jamie dimon is the only ceo out there who truly understands this picture and i'd be looking at that and buy, give it a day or two to shake out and it's compelling. charles: sandra we talked about not really nothing to what extent the greece news is. keith just brought up derivatives. nobody ever knows what the hell is going on with derivatives. sandra: not to mention we're looking at puerto rico chasing $72 billion in debt obligations they may not be able to make and u.s. investors are the biggest holders of puerto rico debt versus talking about germany holding all of greece's debt and when you look at the banks selling off like they are, you have to wonder what sort of exposure not just the institutions, you know facing here, but the institution and the average investor. that's the fear and it's kind of unknown, what the real exposure-- >> they're smoldering volcanos and we don't know what's going

to happen. nicole is going to tell us about the biggest losers in the dow. >> a few thoughts you mentioned some of the financials financials and energy are under pressure you're seeing j.p. morgan as a loser travelerses an a loser, exxon and chevron, all 30 dow components are in the red and we're coming and going in here and many of them said we're going to buy the dip. it's a knee jerk reaction and there are many people thinking about buying the dip. we're off our lows of the morning and the other thing to note here the gold was trying to hold a gain up nine bucks earlier, but now it's not. so, you know coming back a little bit. and we'll see how they play the etf's that's out 16% and that represents greek stocks. charles: wow, i'm a little facetious, but surprised they're still trading. now to the so-called central bank of central banks, what they're saying not good news they're saying the entire planet, central banks will be

unable to fight the next financial crisis because they've gone to the toolbox and pulled the rabbits out of their hats and liz, there's none left. >> when you see countries like denmark sweden switzerland, getting zero to negative bond yields, you know it's called you know paid to save. you have to say to yourself what the heck is going on? we talk about this time and again and sandra has been really an expert here how central banks around the world-- this is a powerful organization, this is the central bank of central bankers saying this that they've painted themselves into a corner, central banks around the world have done this and so, what is left for them to do in the event there's a serious crisis? >> it was so well put saying the low interest rate environment has these economic boons and excessive risk taking and the booms are turning to bust and policy makers are reacting with lower interest rates. it's counter intuitive.

charles: this boom didn't boom to the degree they thought it would and now they've gone through the tools. scott what do you think. >> it's an uneven boom and only a percentage of the population benefitted. so that's made it worse. we've kind of exhausted our monetary policy to fight the problems and now we'll have to go country to country and fiscal solutions if we have another problem. >> now what? reform is the word of the day and that's the word in greece and they so far don't want to take it. speaking of greece the strong crisis and dollar sending energy stocks lower. what are you thinking, keith on energy stocks? >> i'm not particularly concerned. this is short-term fundamental, versus long-term demand. long-term demand going up i haven't heard a single oil company say they're worried about what is coming out of the ground. they says to me buy the dips. charles: sandra. sandra: the volatile energy

market, what do you want to see volatility? you don't care if the oil prices are going up or down you want to see the volatility and right now it looks like that's here to stay and that usually is a good thing for the trading environment. charles: let's leave it there. and next vladimir putin is making moves on vulnerable greece. colonel ralph peters who owns a unique perspective is here to tell us about this russian-greece romance and also the supreme court is about to deliver some major rulings on power plant emissions and lethal injections and judge andrew napitano is next. more "varney & company" is coming up.

>> the market is in selloff mode. let's take a look at the big board. they're off 144. at this stage we've got to consider that a moral victory. maybe buyers may step up. we'll see. let's look at oil trading at a range 57 on the down side and

58.56 where we are right now. and oil and gold had a major spike, but look at this starting to fade. 117 1174. 1174.50. and look at the etf, under a lot of pressure obviously. and there's going to be big news today out of the supreme court. rulings are expected in just minutes. major major rulings on power plant emissions, redistricting and lethal injections and we'll give you that right at the top of the hour as huge news impacts our economy and our freedoms. greece is looking like game over. let's face it the stocks are closed, banks are closed and atm's are empty. people there are in a state of panic. who shows up? vladimir putin. he's making moves on a vulnerable country at the right time, i might add. colonel peters joins us. tell us what vladimir's play

is? >> vladimir's play is primarily mischief making. prime minister visited and came away with no concrete measures. putin is pulling the strings. from putin's angle, greece is a member of nato and eu and both operate on a concensus basis and greece can make mischief in either institution. you look at a map and greece is strategicically positioned close to it turkey syria, lebanon israel across the sea it's egypt. it's got a refugee problem it can be used as leverage against europe. there's something deeper. we don't understand greece at all. we talked about greece as cradle of democracy. that was two and a half min

millennia ago. and greece missed building institutions, codes of thousands a thousand years under the byzantine and 500 years under the ottoman's empire's boot and a mistrust of government, the state is the enemy. a culture of tax evasion, weak civilian institutions and really this financial crisis we're seeing as severe as it is, it's really part of a crisis, and back to vladimir putin culturally greece in spite of pride in being part of europe is closer to russia know the only because of the orthodox religion, but because they were divorced from european developments for so long. putin is looking to make miss cleave. and tsipras is closer to putin

than-- >> i'm a history buff and glad you walked us through that. i imagine putin saying are' part of that, but they let you down. and pipelines coming through turkey, and what could they promise them and offer them in terms of money? ultimately that's going to be the solution. >> well putin still has some financial resources. and obviously, he could offer cheap fuel and gas as well. it's important to understand that putin does not want greece out of nato. he wants greece in nato making mischief on gumming up the works. i mean, putin is a strategist we're tacticians we don't think far ahead and stand back and say why is greece the way it is. we say greece has problems short-term. this show has a really sophisticated audience a lot of wall street people, but also main street folks and for lay people like myself why don't

you try and layout what the greek crisis is about shortly. when greece joined the eu its mailbox was flooded with credit card offers and it signed up for every credit card and maxed every one out and now it says not that it can't pay, but doesn't think it should pay, but please give us more credit cards. the situation is untenable and from a lay perspective the best thing we hope for is a correction. take the pain. charles: ultimately it's a hard lesson to be learned, but they have to be self-sufficient at some point, and they'll never be able to become the nation they could be under the current system. not under the current rules. >> greek debt payments today proportionately if our government was paying the pentagon budget other year. charles: it's a cautionary tale to everyone wg about the

direction that america is going in. thank you, and have a great day. >> thank you, charles. charles: and more supreme court watch. yet again, major decisions are expected a very few minutes from now so we bring on another amazing guest, judge andrew napitano. he joins us next. t loud, live loud, super poligrip. super poligrip holds your dentures tightly in place so you never have to hold back. laugh loud, live loud, super poligrip.

>> let's check the big board.

that's it. excuse me. @ c1 >> let's check the big board. that's it. excuse me. you're looking at the dow. it's off, off a lot. triple digits again, all of this associated with greece. over there the banks are closed. now, they are saying they could be reopened on thursday and it seems like that news gave us a pause and hope because we erased some of the losses today. keep in mind we're down for 2015 although we are to you can see off the session lows. in j us a few minutes, we are going to have major decisions from the supreme court. you have the epa regulations, lethal injection drugs, and redistricting also so we brought in judge andrew napitano to help us break it down. we want to focus on the epa, judge, this is such a huge issue and already done so much damage because of a past supreme court ruling on the clean air act, essentially i'm calling thor's hammer it's given this administration the power to whack everything and destroy a lot of jobs and large parts of this economy. what's at stake here from what

i understand is that the epa saying the equivalent of $6 million in lost wages because of mercury in the air, we should spend almost $10 billion to address that. michigan versus the epa? >> yes, there's another angle to it as well and michigan argues that the-- not thison

you know when you dile dent and you dissent alone, you can say whatever you want. when you write an opinion for the majority you have to have everybody in the majority agreeing with the opinion. if it is the four conservatives if we can put the chief justice in there, plus justice kennedy, i think they'll probably give him carte blanche to say at wost anything he wants about about the epa consistent with the facts in the case and the law as we know

it. if one of the more liberal members of the court is for some reason in that majority that's going to restrict how expansive the opinion will be. charles: and would say what if it's on the other way. >> it could be 5-4 unleashing the ep4 if the epa ile den leashed on this we have very very serious ile dues. >> you could go to the carbon rule. >> and the next 18 months when president obama is in office and succeeded by that that person appoints a new epa. charles: you've been busy. >> ie, within more day supreme court rulings, remember you heard the judge talk about the epa ruling, it's huge and monumental and that comes in. we'll take you to d.c. and then i have the spark cash card from capital one. i earn unlimited 2% cash back on

everything i buy for my studio. ♪ and that unlimited 2% cash back from spark means thousands of dollars each year going back into my business... that's huge for my bottom line. what's in your wallet? ♪ ♪ ♪ (singing) you wouldn't haul a load without checking your clearance. so why would you invest without checking brokercheck? check your broker with brokercheck.

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charles: very busy news day. two big stories that we're watching this hour. first, the the greek debt crisis. banks closed for the day, in fact, for the week as 60 euro limit at atm withdrawals. panic is in the streets. we're going to have a live report from athens any moment. and here at home, well, there's another big supreme court decision day. coming down any moment, did the epa unreasonably disregard costs when it decided to regulate power plant emissions? again, that's just moments away from now. a real quick check of the big board, dow jones industrial average off 136 but we want to get right back to this greek crisis and go back to ashley webster. he's in athens. ashley? >> reporter: yeah, charles listen, you know it's interesting the atms we've seen have been relatively quiet today because over the weekend many greeks stood in line to get

as much money and cash out as they could, realizing that the chances that the government put capital controls in was very high, and they were absolutely right. in the very early hours of this morning, it was decided that the 60 euro or $66 limit would be imposed today. the greek banks closed for the next six business days although there are reports which you mentioned, charles, in the last hour that perhaps some greek banks will open for those people who do not have credit cards or debit cards to give them a chance to get access to some of their cash, and that would be available at only a few banks. it's all very confusing, all very tense. it is remarkably quiet in the city of athens today. people went about their business as usual this morning, back to work on a monday morning, but all the banks were closed, and there's definitely an eerie feeling. don't forget, these people, charles, have been going through this now for five years. they're just as fatigued as all of us who have been talking about it, but they've had to

live with the very real pain. we haven't seen the demonstrations that we've seen on previous visits though we are expecting a couple of rallies out in front of the greek parliament building behind me later on today. it will be interesting to see how many people attend those. there are groups who are very pro-eurozone and want to stay in the eurozone, and there are those who are pro-government who are backing them to stand tough against european creditors and say, no, to austerity. so as the clear -- as the clock continues to tick on here, charles the imf doesn't look like they're going to get their $1.8 billion payment tomorrow. there's probably no chance. charles: yeah. all right, ashley, thank you very much. we're going to come right back to you, great stuff as usual. >> reporter: sure. charles: i want to bring in heritage foundation's stephen moore. here's the big question, and this is what everyone's tweeting to me. we're 18 trillion in debt with a socialist president, another one waiting in the wings, how is it

that we are not already in greece's shoes? are we in greece's shoes, or can we avoid the same fate steve? >> we're not there yet, charles but i think there is a comparison. what i've always said is greece is the canary in the coal mine. this would be a blaring sign to our government of the united states and, by the way these other european countries which are hardly in better shape than greece, countries like france and spain and italy that have built up over the last 30 years these massive welfare states, high taxes to pay for them and all these countries are going bankrupt. the united states is in better shape than most of those other nations, but look, when we're borrowing a trillion dollars a year, charles we ought to wake up to the fact that we're moving right down this greek direction as well. it's very much like what happened in detroit, by the way, a few years ago here in the united states. charles: right. but therein lies the problem, right, steve? i mean, let's face it, listen they talked about -- to greece about reforms, reforms reforms. >> yep. charles: you've got to make certain sacrifices.

what american right now receiving a welfare check receiving food stamps, who would like to have extended is going to say, you know what? forget about it, for the greater good don't give me that money. >> that's probably not going to happen but i want to make an important point about what's happened in greece charles, because i think the left is trying to portray a fairy tale here. what's happened is everyone's imposing austerity on the government. that is absolutely not true. you know, the greek government spends half of its gdp. so you have a massive, huge welfare state that's taking up half of everything that's earned, and what's happened is you're basically in greece. you're paying people not to work, and you're paying -- charging huge taxes on people who do. and you're moving towards a situation more and more people don't have jobs fewer and fewer people are willing to pay into the system. it's what margaret thatcher warned us of 30 years ago. when you spend other people's money, you run out of it, and that's what happened in greece. charles: right. i'm with you there, i'm just

very concerned, you know bernie sanders for instance, coming on strong. >> yeah. charles: elizabeth warren is a juggernaut, hillary clinton lurching further and further to the left. there's a good chance we could see the next administration take president obama's policies, which are sort of steeped in social justice even further to the left, and that means higher taxes, more punishment for businesses less jobs and a death spiral that takes us to greece. i would like to understand how do we avoid this? how do we articulate a message to all americans that it's good for all of us to avoid this? >> well, you're exactly right about the problems, especially on the democratic side of the aisle with people like hillary and bernie sanders. my god, bernie sanders talked about a 90% tax rate charles. can you think of anything more ridiculous than that? nobody would work in the united states with a 90% tax rate. and the left in america -- and i would include this current administration -- has always suffered from what i call euro envy. they want the united states to be more like europe, and you look over at the other side of

the pond, and you go why would we want to be like them? they're all going bankrupt. look, i have more confidence that the american people understand that we can't keep this up, we can't keep borrowing a trillion dollars a year. i think there's a much higher probability that we're going to correct things. we're americans, you know? we don't allow this to happen, charles. [laughter] charles: okay. what do you think -- >> no, we're going to solve this problem. [laughter] >> right. it's e. mac here listen, the welfare state really does destroy the ability to create wealth. >> of course. >> we've seen that in the eurozone. let's talk about hillary clinton, looks like her strategy is she's going to be rolling out in stages giveaways, you know, all sorts of giveaways, either weekly or quarterly, this as bernie sanders is nipping at her heels. you know, bernie sanders is spending other people's money, he would if he was elected. >> yep. >> but a recent poll shows even democrats are worried about the state of the economy. they're waking up that something is wrong. 1.8% flatline growth since the president took office.

do you think that voters out there understand now that if bernie sanders would not be good for their pocketbooks? >> you know, i'm not so sure about that. bernie sanders has been rising in the polls, that is of democratic primary voters. that tells you, by the way, a lot about the modern democratic party. instead of this guy being laughed out of town, he's being taken seriously with these crazy ideas, 90% tax rate give away everything for free. it's the greek model right that he's talking about. and it's somewhat unsettling to me that he is among democratic primary voters, he's making some ground against hillary. charles: it's unsettling, steve, but in a way it's refreshing that we know this now and some smarter people help us prevail because i want to wave the pom-poms too, and i still have the faith, but it's starting to slip. hey, buddy, you are fantastic. thanks a lot. want to check on the big board, because the dow -- it's not falling anymore, in fact it feels like it's putting in a base, we were off 134 when steve

pulled out his pom-poms, he brought us back 20 points himself. take a look at oil 58.81 in a tight trading range. and what's really curious, gold prices up huge this morning. this might have been it this might have been that global calamity that sent gold through the roof, a double-digit gain. let's take a look at the ten-year yield, because we had a major shift, a major flight to 70, we were off 15 basis points at one point, people feeling a little bit better. why i'm not sure, but just a little bit better. remember, we're still waiting for that supreme court ruling on the epa. it's going to be absolutely huge and joining us now congressman morgan griffith, republican from virginia. congressman, you happen to be on the energy committee, so help the audience understand exactly what's at stake here. >> well, what's at stake is whether or not the epa can regulate without any cost

benefit analysis. this particular rule related to mercury and other hazardous air pollutants is estimated to cost about $9.6 billion for less than ten million in gain on the health side. so you've got a 10 to 1 ratio there. you're talking about, you know, ten billion versus less than ten million. if they can do that, then they can regulate a lot of things. now, if the court remands it for a cost benefit analysis of sorts, then what you have is a situation where a lot of other regulations will be stopped in their tracks at least for the time being until that analysis can be done. so it's very important, because i think that is important. why should we sacrifice our jobs for something that we don't know what's going to happen down the road and particularly when the benefit to the public is very, very small? and my district is directly impacted. we've had two of our power plants shut down as a result of these rules. so even if the court remands it, we've still lost a lot of jobs and had electric rates go up. charles: yeah. we'll bring up a board of just the stock prices of some of these coal companies, to your

point. also the epa is trying to broaden this out a little bit. i'm not sure if it's part of the official argument with the supreme court, but they're saying hey once we retrofit these plants, we'll be able to reduce 11,000 premature debts 4700 nonfatal heart attacks and they crunched their numbers and come up with the number of 90 billion. now we know that's not the official what's at stake here but that's how they're going to articulate it to the general public, and the public seems to have a lot more sway with the supreme court than maybe they should or ever had before. are you concerned the court may look at popular opinion on this and rule that way? >> well, i've always been concerned that the court may look at popular opinion and decide that. they're supposed to decide the law. i think the law would require them to remand this case and put a lot of others into question mark and hopefully put them on hold for a while so that our economy and our industries making electricity can have some time to have some breathing room. we had a very important bill

last week, the rate payer protection act introduced by my colleague from kentucky, mr. whitfield, and that bill passed the house. we'll hope the senate passes it as well. it says let's get these court cases finished first so you don't lose the jobs already. that's what's happened in my district. we've already seen our rates go up as a result of these regulations which i believe the court is about to send back to the epa for reworking. charles: congressman, thank you very much. we appreciate it this morning. as we were discussing very big supreme court decision on power plant emissions. but does it even matter at this point? remember, the president -- and you saw some of those stock charts -- has won or has been winning bigtime in his war on coal. we're going to talk about it in detail after this.

charles: all right. we are still waiting for the supreme court ruling on the epa. want to take a look at some of these coal stocks under president obama. to say they haven't fared well, would be a major understatement. i say he has certainly won no

matter what the supreme court says. the carnage is there, the jobs are lost and i don't think that we can ever get those back. but we have brought in former shell oil president john hofmeister. when it comes to these kinds of things, you are so spot on. let's talk a little bit about the epa ruling, because it's coming out any minute now, and just where are we with respect to coal? because it feels like it's been displaced to a certain degree anyway, and i don't see how we can get those thousands of jobs back. >> well, the eba is clearly -- epa is clearly on a mission to stop the kind of pollution into the atmosphere which the nation's economy has been built upon. now, i've written and i've talked excessively about the importance of clean air, and i am a clean air advocate. but here's what's missing. at the same time we should be talking about clean air and its importance to society, let's also talk about the supply side of energy. let's face it the largest economy in the world is predicated upon a steady supply

of electrons at an affordable price. and i think the epa is being a one-trick pony in focusing only on the air quality side without anyone else in the administration focusing on the supply side of electrons going forward. they all talk about efficiency as if efficiency is the cure for we're closing coal plants. it's not. there's no efficiency plan for the nationment there's only -- nation. there's only haphazard work going on. charles: here's the thing though, candidate obama did say electricity prices would necessarily have to go higher, so more or less admitting, yes, you know what? we take out cheapest form of energy that we have, it's going to cost everybody a lot of money, but we do it for the greater good. we do it because it's right and we save mother earth. and that message has resonated. now they also got a little lucky because natural gas prices have come down a lot. i did not think we could live -- take this much coal out of our system and still have

electricity in this country. >> i think we're at high risk. it probably won't happen while obama's in office, but i've predicted for years now going back to 2010 that by 2018 2019 on the path that we're currently on brownouts and blackouts start to affect the american economy, the american consumer, and then we will reverse course, charles. we will reverse course because this nation has to have electrons. banks don't work without electrons. factories don't work. homes don't work. electrons are the basis of our society, and somewhere along the line you've got to have a plan in this particularly 21st century electronic era of having more electrons not less. and there's no plan to do that. there's only a plan to take out hundreds of coal plants. charles: although the epa in an ancillary argument saying, you know, today's case if we retrofit these plants, that would stop or prevent 11,000

premature deaths 4700 nonfatal heart attacks. you know, their argument says, you know what? we're too focused on maybe brownouts, we're too focused on the money instead of focused on the human side of this. now, you say, john, you're a clean air advocate. isn't it really true, though that the industry through free market principles was moving toward clean coal as not so oxymoronic as it sounds, but just would have taken longer than these draconian measures? >> yes. we have had no bona fide efforts, charles since i've been around to really push a clean coal agenda. it's a bunch of rhetoric. nobody's ever made it happen. the industry doesn't get the enablers that it needs to invest if money. the -- the money. the administration walks away from it other than words because they don't have any actions taking place, and the consequence of all of this is we leave the mesh people very confused -- the american people very confused. what'll happen in the electric utility industry is decommissioning of plants because the economic value of the retrofits just isn't there.

>> well, you know, adam shapiro is with us too. adam -- it's e. mac here. thank you so much for joining us. we have though half of the power plant capacity additions meaning energy capacity came from natural gas. so isn't the free market fixing this so that power plants are moving toward cleaner natural gas? you see that with next air energy down in florida. half of their capacity is there nat gas. >> well we're not putting the enablers in place to make it happen. we're blocking pipelines. there isn't enough pipeline capacity to the southeast of the nation to make a material difference in energy output. in addition, we are, you know citizens don't like the disruption of pipelines coming into new england. i though that personally. i know that personally. we have, you know some hopes in pennsylvania with the marcellus and the unica in ohio, but that's a small part of the nation. >> but, john, doesn't the fact that we used to produce 50% of

our electricity from coal, the market was taking it to natural gas, and that's not shifting. the fact was a lot of these coal-powered electric plants were outdated, the vast majority of them older than 20 years, so the industry itself was going in the direction that the obama administration would have wanted. what's going to stop that? is it what you just said? >> i think that there is an imbalance in the rush to gas which is not sustainable. and i'm in favor of moving towards the cleanest sources of energy we can, but it's all about the timing. charles: right. >> the timing is very, very rushed -- charles: john, stay right there. okay. stay right there, we've got to go to break and we want to keep with this, the big news of the day. also you've been hearing about all the financial/political impacts on the greek debt crisis. we're going to get real personal on this topic and talk to nicole petallides. she's got family and friends in greece. she's going to share some

perspective on that with us. we'll be right back.

charles: any minute now we're going to get a decision on the power plant emissions from the supreme court. still don't have it yet but peter barnes is at the supreme court. so when can we expect the this to come out? we're on pins and needle, peter. >> reporter: yeah charles, any minute. we're still in the middle of the first decision issued which was on lethal injections in oklahoma the conservative justices upheld the right of the state of oklahoma to use an anti-anxiety drug in lethal injections and executions on death row in oklahoma. the author of the decision, justice alito, first read the summary of the decision to the court, but now we have several liberal justices reading

dissents on this opinion. it's unusual for this many justices to actually read more than one or two dissents. but they're still reading their dissents right now from the bench, so we are delayed in that epa decision, charles. charles: all right. this is a court that no one can really predict. when you think the conservatives are going to be conservative, they're not. and then, of course there's the lethal injection ruling. peter we'll be right back to you any moment. another big story we can't ignore, the markets are down can and that's greece. shutting its markets today shutting its banks. nicole petallides at the new york stock exchange. and, nicole, of course, for you this is a very personal story. >> it is, indeed. obviously, we've watched the greek people, and i know people don't really care, they want to know when is greece going to pay their debts, and i understand the financial aspect. but the human aspect, you know can't be left out. you have people who are living at a standard 40% below what they are used to, women in fur coats picking through trash, you

have them worried about only taking out 60 euro a day. there are some people who have been taking out cash for years because they haven't recovered from the last crisis n. the meantime, there's worries about not only the money that they have deposited the prime minister basically saying, listen, don't worry, your money's safe, your money's safe. but you know what happened in cyprus, all the banks -- all those depositors took a huge haircut n many cases 40%. so while they want to believe in the greek government they're scared. and now they're very nervous. charles: nicole, you know what though? it seems pretty orderly compared to a few years ago when there were riots in the streets. have people resigned to the fact that this is going to end, it's going to be tough on them no matter what? >> well, you know, they're orderly at the moment. but then you have the referendum over the weekend, and that's what the worry is. i have family who are not even going to greece this summer. without the tourism, without the investment in the country the country is doomed. charles: nicole, thank you very much. appreciate it.

up next, another blow to elon musk. his spacex program, an unmanned rocket exploding just right after it took off. this is the third high profile failure in recent months, and socialist democratic candidate bernie sanders, he was all over the sunday shows, and if he has it his way, we could be looking a lot more like greece a lot sooner. more "varney" next.

- ♪ there's a me no one knows ♪ - ♪ waiting to be set free... ♪ - so what's the empty suitcase for? the grand prize trophy. ♪ i was born to be somebody... ♪ charles: checking the big board, all of a sudden that little bit of a bounce has faded quickly. down 160. we're starting to really break down. of course, the dow off the for the year now, 2015. let's get back to the greek crisis, and want to go back to ashley webster in athens. give us the latest ashley. >> reporter: yeah, you know, charles, i want to pick up on something nicole petallides was

saying earlier. really this whole thing is being made up as they go along. we find out that many pensioners, those people who are existing on state pensions -- and there are a lot of them in greece as we know -- are unable to access the 60 euros they're being allowed to access because they have no bank cards, they have no debit cards, credit cards. the last day of the month they go into the bank, and they get their state pension, and now they can't do that because the banks are set to be closed for the next six days and there are some desperate scenes. people saying, look, i have no food in the house, i need the money. i need to buy bread and all the basics, and they're not being able to do that. so the government now has to come up with other ways to take care of these people, and we understand that that's why some of the banks may be opened on thursday, to cater to those pensioners who have not been able to get access to any money at all. in the meantime, we have heard german chancellor angela merkel saying today, look i'm ready to negotiate anytime, as has france

and some of the other major negotiators. in fact, merkel saying today she would negotiate with the greeks after the referendum can which is a little change in rhetoric because prior to hearing that, most of the european creditors say we don't care about the referendum can. you, your bailout program ends tomorrow, june 30th. you have a payment of $1.8 billion to the imf tomorrow. what are you going to do about it? but the fact we have the german chancellor saying, look, i'm open to negotiations after the referendum perhaps shows a little bit of softening. of course, what happens on the referendum next sunday, july 5th, the question is yes or no that's the question to the greek people yes to austerity or no, and a no vote as seen as a no to the european eurozone membership. so a lot at stake, charles, a lot of pain for the greek people, and it goes on and on. but could we be in the final end game? it certainly feels like it. charles: i think we all hope so. thanks a lot ashley. we want to bring in peter no

race city. listen -- can more reese city. decades and decades of deficit spending and well they finally hit the end of the road. is there a way out of this for them? and also, more importantly for a lot of people perhaps watching this show people believe america's on this path, and a lot don't believe we can get off of it. >> well, greece and the united states aren't quite the same places. it's like puerto rico versus the united states. greece did bring this on itself. however, you know, over the last five years its creditors kept extending more and more credit knowing that greece was in over its head and couldn't pay. so there's some culpability among the germans as well. i mean, we have to face facts the debt is so large, they can never dig themselves out. and the only reasonable things to do would be to write down the debt so some of it gets repaid. not all, but some of it. and that greece is eased out of the european monetary union or the euro but still continues to be a member of the e.u. or have free trade status.

because greece culturally institutionally and so forth is always going to be a bit dysfunctional. >> peter -- >> it's never going to quite be like italy even. and so they have to really evaluate what does it mean where there's so much cultural diversity, and what can they live with? now, the united states well we print our own money and as long as the world is taking dollars, we're okay. but that could change. and if it changed, we could find ourselves in that mess. >> peter, you mentioned the german creditors to greece, but what about the united states? didn't goldman sachs and yp morgan chase when -- jpmorgan chase when they were entering the euro, didn't they help greece hide some of its true debt and do the banks have any expose -- exposure in the united states because of that? >> in a large way, in a pulse way through people like paulson and his hedge funds who bet big. and i have no sympathy for them. they made a bet and they lost in the last couple of years.

but, yes, the big new york banks sure did help the greeks do irresponsible things with their money. it's kind of like where, you know, they would persuade a city to sell its parking meter revenues forever to a creditor and then they counted all this year and then next year they don't have enough money. that kind of thing went on. >> yeah exactly. professor, we love having you on you're so great with economic history. we've got some analysts saying so what? greece should do what argentina did back in 2001, 2002. it, too had capital flight. and, in fact when you see the deposits fleeing greece it's six times worse versus what was going on in argentina as a percent of gdp. to the point is it a good thing maybe that greece has kicked out and it has to be forced to devalue, print its own money and make its own way out of its economic crisis just like argentina did and saw a snapback in economic growth? >> i think it would be very good for greece to be outside the euro, not be able to borrow in euros and have to live on what

it earns. that's the only thing that's going to start to shrink that huge government sector. but you can't just do what angela merkel has done, saying we're going to have austerity, you're going to have to tighten your belts and miraculously growth is going to happen. the greeks are saying we've had five years of this, now we have 25% unemployment, our debt is bigger than before, our economy is smaller than before, this doesn't work. but angela merkel and christine lagarde behave as if the last five years hasn't happened. it has to change. charles: although peter, some would argue that what they call austerity and higher taxes really isn't tightening your belt. a lot of great stuff. next time we'll do it even longer, appreciate it. >> take care. charles: okay. we've got the supreme court -- is that decision in? okay. breaking news right now, supreme court is ruling on the epa. let's go straight to peter barnes. >> reporter: charles, it looks like the epa has lost this one. in a 5-4 decision yeah 5-4

decision, the conservative justices have ruled that the epa must consider costs when imposing new regulations. in this case, specifically on coal-fired utility plants that the epa has targeted for lower greenhouse gases. i've just been handed the opinion here, but it looks as though 5-4 the epa must now go back and issue regulations in a different way and specific including the costs of its regulations. and so this is going to make issuing these regulations a lot more difficult, and it is a setback for the obama administration as it moves forward with its climate change agenda. charles? charles: all right. peter barnes, thank you very much. judge andrew napolitano's going to be back. he actually made this call he predicted this. john hofmeister former ceo of shell is with us. john, finally a huge victory. i just want to reset for the audience, explain exactly what was going on at least from my

layman's understanding. the epa made an argument that, you know a certain amount of mercury in the air retards our iqs a certain amount and it came up to $6 million annually. so their prescription was $10 billion worth of annual retrofits for these coal plants. i mean, it was, obviously, disingenuous. it was an argument that finally fell flat, at least so far with the supreme court. what does this do for the industry, and how much momentum can it be to maybe change some of the other things john? >> well, i think what it does, hopefully isive -- is give us time to make the kind of energy conversion we will be making anyway given the need for clean air. and so the time is what is essential to get, first, the full economic value out of existing sources of energy, and secondly, to plan for the future infrastructure requirements of new sources of energy be that natural gas or be that clean coal. now remember, natural gas, we think we have plenty of it, but

i've maintained for years now we need about a third of that natural gas to be converted over to make transportation fuels so it's not all available for power generation. if we don't have transportation fuels from natural gas we won't be able to afford the oil in the years to come. so we need to use natural gas for multiple purposes, not just power generation. charles: right. and i think a lot of people also, you know, it gets to a certain point, and you can just see them burning it off in north dakota. an unseemly sight. we do have peter, we didn't let him go, and i'm glad we didn't. peter, the economics of this at least with this particular case seem so farfetched as being hard to believe. but we know that the administration's not going to give up this fight so quickly. their goal is really about it's about climate change anyway. this is just a sort of a farce to get us there. but from an economic point of view, i think this is amazing news for us. >> well there's two aspects to this decision. one is we've had a long tradition in the united states before obama of weighing costs

and benefits so that the environmental rules that we put in make some sense, and we don't overburden the economy. since obama came in, you know it's all been one-sided. now what really disturbs me is, again, 5-4. what that tells me hillary clinton is elected president and she comets on this agenda or -- continues on this agenda, and we lose one justice then all of a sudden we're making rules greek style. whatever we feel like doing we'll do today and to heck with the future. this is the real danger and threat of another democratic administration that is so hard left. >> professor, to your point, it's e. mac here. all right, so the mercury and other fox sips rule get -- toxins rule gets todayed and a lot of people saying listen this does hurt unborn babies and children it has health aspects but the epa lost at that level. could they come back and say with the clean air act and its carbon, co2 rules could it sweep again mercury and the air

toxins and continue to regulate those, the toxins that way down the road? >> well, yeah. it could regulate them through another category. the real question is would the cost benefit analysis make sense that way? a lot there depends on what you think about climate change and global warming. does the united states cutting back emissions a little bit each year while the chinese get to grow their emissions, you know for another 20 or 30 years make any difference at all? the answer is no. but that kind of talk and reasoning seems to have no bearing on the obama administration and the epa. so we'll be up at the supreme court again. the question is, which nine men and women will be sitting there at that time. charles: right. >> it is so critical now, what we've learned this week above all other thing, is that past presidents good judicial practice, normal rules of judicial/legislative construction and so forth, what is the law are out the window if somebody like anthony kennedy feels like it's a good thing. charles: john hofmeister, on that point, they didn't really -- this case wasn't about

the particle matters. they tried to introduce that in the argument saying, hey we do retrofit this, we'd save all these lives, but there's absolutely no doubt that this might be the next avenue that they come at the industry with. is there any chance of some sort of detente between the industry and the administration saying, hey, we want to do the right thing, but let us do it in a smart economical way so that tens of thousands of people don't lose their job and we don't lose our status as the most powerful nation in the world? >> for six years charles, i've been asking people in the administration to please, come to some kind of a consensual agreement with the industry. keeping in mind the industry oil and gas, coal, you name it, they are fundamentally compliant industries. they follow the law. let's come to a consensus. but this administration has patently refused to have any kind of rational meeting time with any of the hydrocarbon industry people in the country. so it's my way or the highway

with respect to this administration. and i've appealed as high as vice president biden to try to say can't we do something rational, can't we do something consensual so that we all win? charles: right. >> the u.s. economy wins and the administration's climate change agenda wins. time, time is the way we get victory here. charles: i've got to jump in because we want to go back to the supreme court, peter barnes has more details on this decision. peter? >> reporter: yeah. just reading from the opinion of the majority written by justice scalia, it says that there was a deferential standard here potentially that the epa argued allowed it to maybe consider costs but maybe not consider the costs when setting these regulations for greenhouse gas emissions. it said ultimately, that really the most important thing was not cost, but the impact on public health. and so it decided to avoid a direct cost benefit analysis in its actual rulemaking.

but here scalia writes that agencies must operate within the bounds of reasonable interpretation of the law the clean air act specifically here and other legislation and, quote, epa strayed far beyond those bounds when it read the law to mean that it could ignore cost when deciding whether to regulate power plants. still going through the decision for more, charles. i'll get back to you with more as i continue to read it. charles: all right peter. we want to wring in david -- bring in david chrysler with the heritage foundation on this. you know i guess some people thought this would be the decision, they knew scalia was writing the opinion, but this is just maybe a pause right, david? i mean, the fact of the matter is that the administration's really hell bent on this the epa's been an amazing weapon for them and they probably will redirect this in some form or fashion and not really miss a beat. >> absolutely. this is not a constitutional issue, this is a legislative issue. the obama administration and the

epa for quite some time have been going after coal and after hydrocarbon fuels for quite a while. i mean, this is good news for affordable energy, but it's certainly not the end of the story. you know, it was a smoke screen, so to speak because the -- they called it a mercury air toxic standard that they're trying to regulate, the amount of mercury emitted by power plants in the u.s. is equivalent to the amount of mercury from forest fires. they bent over backwards, did theoretical gymnastics to try to come up with that $6 million on benefits out of a $10 billion rule. that was bogus. the other benefits were from their secret science. anyway, good news for now, yes. they'll go after coal and other forms of hydrocarbon relentlessly. charles: well, david, is there an opportunity maybe for the industry to make some quick moves at least obviously, you don't do the things -- first of all, i don't know if the technology is there, but can

they make some moves that might buy them some popular public opinion with respect to coal being a cleaner source? certainly it's a cheaper effective source of energy for our nation. >> well yeah. i mean they've been doing this for decades, all right? a coal-fired power plant right now a modern one with the technology they have now reduces the soot by 99.8%. if you look overall, old plants and new plants and so on, in the past 30 years or so air pollution's gone down by about 50% even though the economy has grown dramatically. so we see the pollution going down and, ironically, the things that were supposed to be getting worse with this pollution are going up. so we have less pollution and more asthma. so that's all, like i said, that's a side show, a red herring. what they're really trying to do is do a global warming thing. and as was mentioned earlier, we could zero out u.s. co2 emissions by 2050 and never emit

it again and it would have inconsequential impact on global warming by the end of the century. so this is a nonsolution. charles: peter, you wrought that up -- you brought that up. i remember when president obama cut this deal with the chinese and he had a lot of periodicals and news agencies saying, what a deal, are you kidding me? they don't have a limit, and they won't have one for a couple of decades. in the meantime, their mercury can settle, rain on us, and it doesn't change anything so the reality is what we're fighting against is the global -- the manmade climate change hysteria, and any avenue that can be used to address it. >> well, that's right. there are two things going on here. one is that china and india are wholly irresponsible when it comes to -- the chinese have so much more impact than we do. new energy sources in china are filthy, you know? they'll run diesel-generating plants behind manufacturers because the grid is insufficient. the second thing is an unfortunate cultural problem in the white house. when it came to automobiles and

mileage standards, it wanted to make a deal. it wanted to reach a consensus. think about over the last six years how many major speeches the president has made. for example, state of the union speeches where he's taken a dig or a sharp knife or a poke in the rib at the oil and gas sector. he just doesn't like industries that domicile conservatives and republicans. this is a visceral, cultural blind spot. charles: john, arch coal, we just had it up there, up four cents, and that's a 10% move. i think that sates it all. -- the says it all. the president's war on coal i don't think is reversible. and what does your industry do from here without any help from the white house but knowing how critical it is for the american people and our economy to stay at the top? >> well, i mentioned i've been pleading for six years for some kind of consensual get together,

and peter's right, the hatred of the industry is visceral in this white house. it was when obama was a senator and it continues today as president. so what the industry has decided to do basically charles, wait 'em out. wait 'em out and hope for better days, because you can't talk to somebody who is irrational and simply unwilling to bargain or to negotiate. you just wait 'em out. and the industry's been a whole lot longer than obama's been around. and so you just, you just go with what you've got to do. in the meantime, you've got shareholders to satisfy, you've got a business to run you've got tens -- you've got thousands and thousands of jobs -- charles: right. >> -- paychecks, and so you contribute to the u.s. economy every day and you wait out this administration hoping for better times ahead. charles: all right. well, we'll see. i've got the tell you, so far they're winning the waiting game. john, peter, david you guys

were absolutely fantastic, and peter morici also. the supreme court rules 5-4 in favor of the epa. the good guys won today. hey, more "varney & company," we'll be right back. seals out more food particles. so your food won't get stuck and you can enjoy every single bite. eat loud, live loud, super poligrip. super poligrip holds your dentures tightly in place so you never have to hold back. laugh loud, live loud, super poligrip.

>> we're going to update the news, the supreme court ruling against the obama

administration's epa saying the administration should have considered costs when it issued new emissions regulations. with no iran nuclear deal in sight, talks are expected to go beyond tomorrow's deadline. blake berman joins us with the latest. how much time do they have? >> reporter: there is a deadline of tomorrow but it appears that will not be met. not making any promises and likely blowing past that deadline. john kerry briefly addressed reporters in vienna this morning. when asked about the status of the nuclear negotiations with iran, kerry said, quote: we are just working, and it is too early to make any judgments. kerry was also asked right after that if he thinks negotiation cans will result in a deal and he once again very briefly responded, quote we'll see. that came during a photo op with the director general of the international atomic energy agency. iran's top deal maker zarif was not there. he returned home yesterday after

more than five hours of face to face meetings with kerry this weekend and without a final agreement. zarif though, is expected back tomorrow. that, of course is the originally-scheduled deadline for a nuclear deal can but u.s. officials acknowledged yesterday it likely won't be met as the talks are expected to continue on for several more days, possibly all the way until july 9th. so you're talking maybe even ten more days from now. issues still remain, adam over inspectors having access to iranian nuclear sites while tehran is pushing for economic sanctions to be lifted immediately. >> is iran willing to give on any of those issues, to allow inspectors into their military sites as well as nuclear sites? >> reporter: that is certainly the sticking point. the ayatollah came out talking about these red lines, i believe seven is the number of red lines that he wants to be seen drawn. whether or not that was actually some sort of a signal or a sticking point remains to be

seen, and it appears adam, they're not going to have to make a decision by tomorrow possibly all the way down the line until july 9th. >> all right. well the first two weeks of july are going to be very busy when you consider greece and iran. thank you very much, blake berman. hour three of "varney" will start in three minutes.

>> here it is a big story that wild weekend in greece, now a big market story. bottom line greece has gone broke. banks are closed, the atm machines are giving out few money. and you better believe this is going to hit us in few ways at home. and the obama administration a big story we take you to the supreme court in just a few moments, and another big story out of the supreme court. housing lawsuits no longer needing proof of discrimination. this is huge. it may

determine who your neighbor is in the future. judge napolitano is going to come and delivery his opinion. the third hour of "varney & company." right now. . stuart: well, a big below to president obama. the supreme court striking down epa regulations the vote 5-4, peter barns is at the supreme court with a special guest. peter. >> hey charles, that's right we're joined with todd, and he helped the state of michigan to help propose these and welcome back to fox business. >> thanks for having me. >> all right. so what does this 5-4 vote mean today. >> i think it will have a very broad implication and epa and too many other agencies ignore. and that is that agencies must

consider both the benefits and costs of their regulations and they can't impose regulations on ordinary americans unless the benefits outweigh the costs. >> only like that practical effect of the decision then on regulation. will it slow it down? will it allow utility companies to file or lawsuits? will it force the epa to be more careful in its -- imposing these regulations? >> well, a few other statutes are already clear wobble so probably won't have an effect there. the immediate effect is that these particular hazardous air pollution regulations is applied to a number of power plants that 23 states oppose have to go back to the drawing board. have to go back to the agency for some sort of cost-benefit analysis although the court didn't prescribe what that would be. it has a broader application

because a number of other constitutes are unclear whether cost or benefit analysis is required in the agencies in many of those cases have resisted considering costs. i think in many other instances there will be opportunities for regulated parties or states to sue to stop enormously expensive regulations that are unsustainable. >> so a big ripple effect of this. decision today. and one last question, though. what about the other side? congress writes legacy. agencies viewable a lot of leeway in writing the specific regulations. what about the that side of the argument? >> well, they do have a lot of leeway. too much leeway in my view. but justice reminded them that no matter what their authority under the law, they have to have a refund decision-making process. and ignoring the cost is irrational. >> all right. todd from the pacific legal foundation. thanks for joining us today on

fox business. charles, back to you. >> let's get a check of the big board because we really started to fall apart here a lot, maybe pending home sales came in less than expected. of course the dow is up 187 points is greece, and you can see the greece debt crisis. the banks here now are over there. they stayed open on thursday, at least to help pensioners, ashley webster is in athens. ashley, what's the latest? >> well, to your point charles, some branches will be open to help state pensioners get access to their money because they don't have atm cards or credit cards, so they don't have a way right now to getting access to that cash. so that's why the greek government has taken that step. in the last few hours we've had prime minister david both saying that the vote scheduled for sunday on the

referendum is between the your owe. it comes down to that. that's technically not drew. the vote is supposed to be if the measures are up a . stuart: yes or no vote. but it's seen as much bigger than that. but this country is essentially bankrupt. it's wanting a new bailout to help pay off its old bailout. it's just more good money as the sang goes and thought help in sight at this point. it will be european union commissions saying, look, we're willing to negotiate but many of these negotiators feel betrayed, the greek prime minister who called unexpectedly for this referendum. so if we do get a "yes" vote on that referendum, the political future is still in doubt. so still a lot more turmoil to figure out before this gets

settled. >> yeah. he didn't seem like the right man for the job. he came back and punted this thing after the whole thing. >> yeah. >> takes this reminds me of the that thing sooner or later socialist do run out of other people's money and guess what? it's finally happened. and all right. so they've done it. they've run out of other people's money, and now we're saying what happens next? because margaret warned us about this. >> well, it's phenomena follow-up interview she expanded on that famous quote she made and she said, look, socialist governments end up always make a mess of things. and that's what we're saying. right now greece has made a complete mess of this. you've listened to the people who has on potential referendum. he followed the left movement in greece, and look where they are. they can only get 66 bucks a day. and i know that she's done.

>> do you think merkel is done. >> i think merkel is done with the greeks, i know the ims has essentially had it because they stayed at the party too long. >> right. and her has drank all the booze and now they're walking away drunk and don't know what they're doing. >> let me turn real quick. >> the real hazard of greece has bailed out. and if it has bailed out and they didn't have to do any reforms; right? >> well, we'll see. i wouldn't be surprised if throughout this drama they still get some form of a bailout. but the big question is this is what we're talking about. why yeast matters to you. what about the your retirement. right here at home. gerri, help us connect the to this because everyone wonders there's this little tiny place that they go to for vacation but how the health care them not paying their bills impact americans. >> well, a lot of people own greek debt, greek stocks. let me break it down, i spoke to the people today. they gave me the numbers on how much american investor

money is in mutual funds and etfs invested in greece. and it's just 3.3 billion in stock funds invested in greece. 463million in bond funds. i've got to tell you when you look at americans investments it's a very small part. but here's what mat this goes to what liz was saying earlier. if you look at developed europe that's where investments pick up. $1.1trillion in american dollars, and invested in developed year, that includes the uk and switzerland. 147billion in bond funds,. >> 147 billion with a b. >> b, billion. bond. >> and t trillion stocks. >> right. so we have a lot more money in europe than we do greece, and i think the issue for american investors is key. >> yeah. >> i've got to tell you like chief black rock investors telling investors and this is something that individual

investors listen to that he's not that concerned about this at this point and people who watch fund flows and there are people who do this for a living. >> sure. >> they don't expect changes very soon. >> but contagion could help, if you kick us out italy's leaving, spain's leaving,. >> i still don't buy that. >> yeah. i don't think anyone does. that's why it's coming to this level. back to the big stories today lemonades coming in at us from every angle. the supreme court rules against the epa. from a natural resources defense counsel is in dc. bob, a big blow to the whole climate change sort of movement here, at least the man made climate movement, no? >> well, i don't think so, charles. i mean we would like it to go the other way, but it's the supreme court the law of the land. it will be observed, honored respected. but here's the thing. the epa is going to look at cost-benefit and goodnights pass the test because these are ugly pollutants we're talking about. cancer brain damage, birth defects.

>> hold on. but i've got to jump in. the amount of mercury we're talking about, though, so minuscule, that it's -- it doesn't make sense. the rest of the world pours a lot more of this out than we do china pours it out, it rains over here on saturday. i don't know why we would crush a key industry like coal and all those great jobs. there's no proof that the amount of mercury coming out of there is harming anyone. the epa didn't even make that argument. >> well, we're not going to go to the route of china, i know that's not what you're advocating but it's in our fish food, pregnant mothers it gets into the fetus it damaging brains, it's ugly stuff. and here what we know. we're going to prevent 11,000 premature tests every year, 5,000 heart attacks. >> that's not from mercury though. that argument, bob is about the other particles not the

mercury aspect of this, we're talking about ana idea that if we retro fit these plans than these other particles would also be mitigated. now, listen i don't know the industry is arguing with you about this, but the whole thing is at what cost. and we learned today there has to be a cost analysis to this on the economy. >> right. and charles, when you add up these benefits we were talking about it comes to $8 in public health benefits for every $1 we spend cleaning up our air. that's a so you understood investment. in fact, it's a bargain we ought to do it, and that's what we're going to do. >> well, there's no doubt we would move in that direction. by the way that's what free markets do. they move in that direction and things get better, safer cleaner, that's the beauty of capitalism. but why don't you why don't we trust it year? what's the urgesy to trust and put tens of millions of people out of work when it doesn't really gain it's not doing anything different because it's klein. it's india the pollutants are

in the air. why don't we crush americans because of that? >> well, here's the thing. this is exactly the way it's been done for more than 25 years under the clean air contact, it's what's been done to businesses to dry cleaners and hundreds of businesses. the big coal industry came in and said we want special treatment. we don't think they should have gotten it, but gear move forward. >> stocks down 97%, you say they got special treatment? more special treatment like that, we're going to drop a nuke on them. >> yeah. but coal stocks are down more than 95% since the president took office. what rugs doing about pollution in china. are you doing anything to stop air toxic anyone's china. >> you bet. great question. nrdc has had an offer us in china for nearly 20 years we've had a great presence there, and we're working with the community there the government there and china's making progress. i mean let's remember. china is doing something no country has done in the

history of the world. they're moving hundreds of billions of people to a poverty to a global middle class. we understand the costs that come with it. but we are out there trying to do everything we can to minimize those costs and we're going to see big changes in china but it's going to take time. >> yeah. try two decades in china. you're a great sport. you guys lost one today. maybe some food for thought. everyone wants clean air, but it does come at a cost. up here next, isis terrorists killed 38 in tanesha. so how can you defend defensive that kind of attack? we'll try to explain next

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upside. remember that supreme court ruling 5-4 helps a lot in some of these energy names are breathing a sigh of relief. and the loan gainer for the day. stocks hanging in there and that's a defensive stock as well. we've got a quick news alert for you. world leaders are meeting in vena will miss their june 30th deadline for the iranian nuclear deal, and the u.s. has lost its edge going into the final days of these nuclear negotiations with iran. he also said that the framework of the deal just doesn't go at war enough in preventing iran from obtaining a nuclear arsenal in the future. and now this. terror in tanesha, 38 people killed in a beach resort. the loan gunman had ties to isis. tony is in dc. you know, tony it's just -- it's absolutely remarkable the images that came out of there and there are so many

questions and of course there were two other attacks that day, one in france and i think the other was in syria. but the point is, you know, to me these are westerners that went there. >> correct. charles: they felt comfortable enough to go there even though we had this major air springs started there. why did we think it was so safe -- or why did they think it was so safe? and just one loan gunman tells me is there anything that can be done to stop crazy? >> i think there's two ways of answering it. first the western companies to need remain vigilant, and i like the idea of citizens going to places. i encourage people to go to egypt. no matter where youing, you're not going to be completely safe. with that said, clearly isis is now reaching out, trying to attack targets of economic interest to the west. and i think it's very clear at this point that what's going on is that you see them trying to basically spread their wings. these all were orchestrated within hours of each other and globally.

and, again it's -- these isis folks are trying to send a message to the west. something we need to heed because as you are pointed out as an introduction to this segment. how do you look at preventing these sort of one of attacks? well, you have to be vigilant. everybody, even here in the united states, charles everybody has to start paying attention to the fact that weapons are available, and you have to find a way to be aware. charles: to that point though. >> yeah. charles: here's what i find very disturbing, almost every time these things happen now the person was on a watch list. >> yes. absolutely . charles: what the heck is going on? we know who these people are. i don't know if we're talking about constitutional issues here monetary issues, but we actually know who the most dangerous people are and we don't watch them, and then we find out they went out and did something like this. >> we've allowed the islamic radicals to create a blind spot for us. even president obama has a hard time admitting that this is about a very radicalized version of the islamic faith.

and, charles, i have a hard time my associates in london, for example the muslims who are fighting radicals and trying to deradicallize the faith, that becomes a law enforcement issue, law enforcement is told to back off, give these people space and don't look at this religion because it's a religion of peace will some of it is not a religion of peace. >> thanks so much for coming on the show. >> sure. >> which of the u.s. presidential contenters are going to get national security. you have attacks on the nsa you know, the democrat diane said 54 plus were foiled by the nsa and that was as of just 2013. which of the u.s. presidential

contenders with the issue. >> cowe have half an hour? no, i'm just kidding. i don't know. quite honestly. behind the scenes we're meeting with all the candidates. look, we're going to try to talk to all of them to find out who basically has the best ideas going forward. there's lay long time out there between now and the primaries. but what we have to do right now is recognize that each can't candidate is going to have to learn. so i think it's more important who they talk to. . charles: tony, we've got just 20 seconds left. >> sure. charles: july 4th coming up. should people do any different? go out and be vigilant or a lot more cautious? >> be a lot more cautious. let me tell you. the fbi has put out a memo behind the scenes here, and they're telling everybody, all the local police departments all the local securities to be on your toes. again, we've seen attacks right here in the united states already in texas, and the drama contest

there's no reason to believe that they're not here. . charles: right. >> and i'll tell you right now, if they don't have attacks, there will be folks right here this weekend. . charles: thank you. >> thank you . charles: and new jersey governor chris christie is expected to formal announce his intention to run for the president of the united states. christie released a new video on sunday with the slogan quote telling it like it is. he's been doing that for a long time. right now the two republican front runners are jeb bush and donald trump. and up to a total of six in the month. the full story is next

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charles: checking the big board. the dow jones industrial average, down almost 200 points right now struggling all morning long. also take a look at oil. oil has been struggling, and starting to break down a little bit. 58.40. down a 1.20. and gold right out of the gate double-digit move with a little bit flight to safety up $4. of course the biggest flight to safety alice u.s. treasuries. those yields have been down all day and now down 10 bases points the world sends its money onto our bonds. we've got a quick news alert.

another shark attack. a swimmer was benefit by a shark in north carolina. now, the teenager rains in critical condition but is improving. this is the 6th shark attack in june along the care library acoast. another big story this morning, second escaped prisoner has been caught in a up state new york. sherrill, give me the timeline of how this went down. >> this has been crazy. 22 days, guys. after this massive manhunt and it flaccidity 22 days. david sweat one of two escaped murderers is back in custody this morning. he was apprehended by a new york state trooper after 48 hours of his accomplice matt was gunned down. that first friday night. one state trooper in a small town just south of the canadian border, that's who took down mr. sweat he's now recovering at a medical center before he'll be heading back to prison. lots of questions for him.

and new york governor spoke about it. take a listen. >> 22 days, 1,000 men searching swamp and brush and we got them. no law enforcement was hurt, no one else was hurt, and the escapees are brought to justice. so it ends as well it could have ended. >> okay. kind of ends. but there's a lot of questions for david sweat. as he recovers, we've got to determine how these guys got out, how did this happen. will him being alive and joyce mitchell get charged with aiding them. and he was two miles away from the border. >> wow. >> so remember all the like, they're in philadelphia, they're in mexico, yeah, they were basically. >> it's interesting what they planned it for a year, and they mapped out the hunting cabins, this is a version of naked and afraid. it ain'tase living in the woods. >>

charles: 22 days is pretty remarkable. >> a million dollars a day can a it cost new york . charles: a lot of people believe in guns. and greece in huge trouble. really someone say they're bankrupt, if not in the brink of bankruptcy, it's obviously taken a toll on markets, on your money our dow's off 200 points. we're going to take you to athens next.

charles: greek crisis, blanks closed for the next six days, 60-year-old limit -- $60 limit, and germany says that the greeks weren't simply willing to compromise. let's go out to ashley webster live in athens. ashley. >> and that's exactly why. she's not very popular in these parts charles with as are the rest of the european creditors, who the breaks believe are being unreasonable. now, we found out that greek prime minister alexis will be on twillings tonight live at 10:00 p.m. local time. it's 6:30 p.m. here in athens. so in about three and a half hours from now. apparently will be questioned by two journalists. and one of the first questions, charles, i'm sure will be on this referendum

because it's clear that the powers within the euro zone by making that referendum in their mind very clearly a vote between the euro and the drachma. now, i have a feeling that they're going to say it's not the case. it's the vote of whether we should accept the terms of the next bailouts. so certainly the pressure being cranked up on the greek leader. european leaders wanting to know how important this referendum will be. and if it's a "yes" vote, if the greek people disguised yes, we will undergo these reforms that are being demanded, it could be a very difficult time for the current prime minister. we could end up with another greek election because certainly painted himself into a corner when it comes to the issue and his campaign against it charles. . charles: ashley, thank you very, very much. that's a consequence big banks are taking a hit on greece.

charlie is here with more. charlie. >> i would say that this is not a good situation for the banks. the banks have been preparing for this since, you know 2009. i think they're pretty hedged. they're probably going to have some losses. i think the bigger issue is it, and that's maybe what the market's pricing in. if greece is not going i be solvent to and the whole thing implodes. i think that's what you're seeing here. and the real question is italy next. and here's where italy could be next. it's a huge economy, we should point out italy. but it's huge -- except for the fashion industry. there isn't much new business going on there. government controls a lot. italy has a lot of -- italian banks have a lot of exposure to greece. so if those banks start to get crushed in the aftermath of this, you could say -- charles: are you worried about economic contagion rather than

a contagion where the italian people say what you know, greeks are the right. >> well, it's one of the simon. charles: right. >> that's the whole problem here. i have family in italy. italy is a huge quasi-socialist state. people forget that . charles: well, you've got the north earn league and the south -- >> south is essentially a welfare state . charles: right. >> and much of the wealth that's produced in the north gets try to find to the. south where full disclosure that's where my family's from. so -- and judge napolitano. >> mine too. >> but i still have cousins there, and aunts, and my father-in-law lives there. and i'm just telling you that it is a big welfare state. so greece, greece is really showing the world that much of southern europe and who knows about places like france is really a place where you don't -- with business isn't going. business isn't happening. you know, we don't have a entrepreneur class and when you don't have a entrepreneur

class, it's almost impossible to bail it out. the banks were bailed out real easy . charles: the business infrastructure, any of the infrastructures that they can really go at on their own. >> right. charles: and that's what people were worried about. we've got to get to other breaking stories for you today. the supreme court ruling against the epa. all rise. he's back. judge andrew napolitano. now, what part of italy is your family from? >> actually three-quarters from naples, one quarter from florence. would you consider that northern italy? it's pretty much in the middle. >> florence is northern italy. >> yes it's. >> and has been a banking city. >> yeah. charles: it used to used to be a huge banking system. you called it 5-4, you the called the majority thing and essentially it came down to this. we had a guy from heritage, he said this is not a constitutional argument, but more of a legislative issue. >> i agree with him . charles: and the idea is that they did not do a cost

analysis. and the if they would have allowed this to go through the can of worms that they would have opened with respect to administrative powers. >> when the new deal congress and fdr created the administrative state and then 40 years later the epa was added to that. the agencies were given broad discretion to rule make and enforce those rules. the check on that discretion is a abusive discretion. that's a very, very high standard. guess what? five members of the supreme court said the epa abused its discretion by failing to take into account the cost to investors and consumers of enforcing these regulations. this is a major slap down to the epa. what does the epa say? we issued this rule three years ago. two-thirds of the industry has been already started to comply with it. >> yeah. >> that's a fundamental unfairness when the issue of rule like this as to which there are serious challenges, it should be held in abeyance . charles: it could have used in

any agency saying, hey, we want you to do this and we don't care what the cost it, it doesn't matter. >> no. agency can do this anymore. all agencies have to take into account the cost . charles: and you see the government? they destroyed an industry. can you sue the government for this? >> no. the government has written laws for lawsuits from this type of -- charles: that's what i want to ask you about the next story. because the supreme court had a big ruling that affects real estate more -- mostly affects neighborhoods; right? where the thing is we no longer need any kind of proof about discrimination when it comes to housing. essentially the supreme court says even if it was unintentional, if there's any kind of width of discrimination, you know, then you're liable. but here's the angle i wanted to ask you and you can tell me if you're crazy. two weeks ago you said obama administration said we want to do a program where we move poor people into rich neighborhoods where these poor people have a chance of not being poor anymore. >> yes.

charles: based on economics would probably would be a lot of blacks and hispanic. when i saw this ruling and i saw attorney general loretta lynch saying that enthusiastic, they will continue to vigorously enforce and unaccessable discrimination practices. i'm thinking they might be able to use this to force neighborhoods, to shape neighborhoods, say okay. you pay 3 million for her house she can't afford it, but she's going to be your neighbor anyway. >> you're right on the mark. the supreme court opinion addresses whether or not discrimination in housing must be intentional or whether it can be demographic. and the law for many years was it had to be intentional. meaning someone has the to point that the government that intentionally caused that discrimination. no longer. now, if mere demographics, who lives where on the basis of socioeconomic factors and other similar factors results in the appearance of discrimination.

that is stouter trigger a lawsuit. combine that with what the obama administration wants to do, which is to spend cash to change zoning laws, the federal government will buy tracts of land on the -- from the city on the condition that the city permit the federal government to build what it wants there. so in an area of mansions, you'll see low-income housing . charles: but also private -- also in new york city we've had buildings that have gone up recently. >> right. charles: where they say listen we'll let you i would build it but you've got to assign a certain amount of lodging to poor people. they've got poor doors. this complex that has $2 million housing -- >> in a all italian neighborhood; right? and one person the catholic here says wait a minute everybody in this neighborhood is catholic,. >> you mean irish. >> can she sue for discrimination then? can she sue the government then? >> i doubt if one person -- >> haven't we always had

housing projects? >> . charles: no, we're talking about section 8 in rich neighborhoods. >> that's happened. >> oh, inside the building? >> what's wrong with that? . charles: i don't know you'll find out the hard way. all right. the antiuber discrimination. well, we've got two company detectives that have been deigned by french police. this thing is getting ugly. more in a moment

>> i'm nicole with your fox business brief. the dow jones industrial

average has accelerated to the downside over the last hour. right now down 1.1%. 211 points at 17,735. the s&p down 24, the nasdaq down 71, concerns about greece continue to build. the gold up about $4. and the tenure 2.36%. we're watching the vicks. uncertainty. looks look what's going on with the vicks right now. up 24%. 1737. and level national banker of greece down 22%. and our financials here at home welled goldman sachs jp morgan, all coming under pressure and taking a queue of what we saw broad banks as well. and goldman sachs down 2%, bank of america down two and a half. more "varney & company" coming up after the break

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we could save a lot of money. i was like, wow, if i could save this much, then i could actually maybe upgrade a little bit. and it was just easy. usaa, they just really make sure that you're well taken care of. usaa car buying service. powered by truecar. online and on the usaa app. charles: breaking news. exclusive reports that the ecb rejected a bumper loan to greece pleading today. that's sort of a bridge loan. remember tomorrow the ims payment is due. if they don't make the payment, they are in default. well the vote is later on in the week on the 5th. maybe they needed the loan until the vote. the ecb says no deal. remember they've already cut them off on cash. playing hardball over there unfortunately, our market's taking a front of that. and antiuber protest. and today french authorities

announcing that two uber managers have been taken into custody being questioned over activities. uber in big trouble in a lot of places now now just france. >> we're talking about the head of uber branch in france. and france has done everything to deny uber service. but uber drivers and consumers still love their uber. and now they're bringing them in for questioning, and that's on top of the legal act. . charles: this is an intimidation thing. >> absolutely. >> this is a big deal. uber cannot run its cheapest operation in the netherlands. this calls into question uber's sky high valuation which has doubled in the last six months. they are valued more than the airlines and 80% of the s&p 500. well, uber keeps seeing this kind of action, you can bet that it will not be valued

at the sky high valuation. . charles: although this action as the people are afraid, they're afraid of change, nickel places where there's not a lot of capitalism or free markets. i mean in new york city the taxi business. >> right. charles: was a small business. >> right. charles: i mean listen -- >> but taxis. it came right after the taxi protest where 70 uber cars were damaged . charles: yeah. >> including seven -- charles: because they had one million users in china alone. it's amazing. and the supreme court a huge, huge day. and a reversal from last week, dealing a big blow to president obama striking down his epa clear air regulations. the 5-4 vote, the epa speaking out saying that the court did not uphold the rule, but this rule was issued more than three years ago. investments have been made. and most plants are already well on their way to compliance. ie it doesn't matter. away "we" already shook them down.

joining us now you're in a lot of businesses and including the energy business. >> including the oil business . charles: but i think we can argue that this was a big victory for private industry in general because what the government was demanding and what they tried to argue is that $6 million savings is worth $10 billion spending. >> right. charles: and that kind of math means lost jobs, lost opportunities. >> all right. certainly does. but, you know, i would hate to bring in obamacare with this, but they did support obamacare with tax incentives and all kinds of other things to think it through. there was no thought that went into this epa ruling when it was eventually made . charles: well, the thought was that the industry would bear -- >> exactly. but there was no support behind it with tax incentives and all kinds of other things that are the government could put behind it. you can afford it. and had the government thought this thing they would have seen that tax incentives and using not as a weapon

necessarily taxation per se . charles: right. >> but using it as a incentivization to work . charles: i like the day of incentivizing and stick this kind of stuck. >> right. charles: justice scolia saying at any time done. in your industry, getting the epa where had want them to at their own pace. >> without a doubt. you know, american entrepreneurship is what leads the world and there's no doubt that we s industry cannot there. but there's no thought at washington how it will happen . charles: but there won't be no thoughts. it's evil, it's man made climate change, the bottom line is that they're out to destroy your industry. >> well, they're out not to help. i don't know that they can destroy it because they've destroyed themselves at the same time. the energy, fossil fuel energy is what the country runs on,

whether you like it or not. that's reality . charles: well, in the meantime caught between this battle between your industry and the federal government administration are the middle class. and they have destroyed a lot of the middle class. collateral damage, they have been crushed. >> i it's on going and it's continuing and we can just count the days until this administration gets switched . charles: do you think exxon mobile put out a report. they said every part of oil that they have in the ground over the next 30 years will still be used despite these. we need fossil fuels. >> without a doubt. that's not changing in their lifetime. maybe yours not mine. . charles: thanks a lot, buddy. really appreciate it. well, the president taking a blow in his environmental policy today in the supreme court. we're going to head out to a power plant that's making a big change st first impression. love loud, live loud polident. ♪ ♪

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charles: breaking news right now. it looks like grease wanted the ecb to increase the banks. the ecb has been begin drawn the line in the sand, and they will not budge, they will not increase the funding they'll keep it at current levels. the market is coming back, we took a big hit down, about 60 points or so from that moment. >> yeah. this is important what this action is. the fact that the ecb is rejecting it. this is the only thing that's propping up greece's shattered

banking system. and it matters too to the individuals living in greece. they get greece imports a lot of its food, so the people in greece need to get at some money in order to live and survive . charles: and and the promise that greek officials made earlier about extra cash being made valuable on thursday. and now to this, the supreme court and president obama's fossil fuels. jeff flock is right outside a power plant in milwaukee. is the power plant behind you and has it already made the conversion? >> it is now in the process

>> let's face it, the largest economy in the world is predicated upon a steady supply of electrons at an affordable price. and i think the epa is being a one-trick pony in focusing only on the air quality side without anyone else in the administration focusing on the supply side of electrons going forward. charles: that was former shell oil president john hofmeister saying that the epa is a one-trick pony. now here's what some of you have had to say on our facebook page. brandon says this about the

supreme court ruling quote: regulations are only as effective as those who oversee the agencies. so far laws and e-mails and disclosures haven't gone well, so i presume this won't matter. and manny says this about the greek crisis, quote: america, beware. socialists create the situations taxpayers, those who work must bail out. remember margaret thatcher, she called it right. >> we were talking about that earlier. stuart loves that quote from margaret thatcher and it's true. they have run out of options they have done nothing to curtail their pension obligations. i mean, the swimming pool tax what joke in greece. 300 some people have a pool that's in the thousands. charles: didn't some of them put tarps over them so the helicopters couldn't even tell if they a had it? >> they won't go after them. charles: cheryl, how do we change a couple decades' behavior overnight? >> it's not going to happen with angela merkel telling them to cut a deal can. charles: americans must pay

attention to this, immediately and in the future. neil cavuto take it away. neil: all right, charles, if you could just do a little more here the member's room is a -- the men's room is a mess. the market is up about 200, problems much closer to home. puerto rico has incurred bills it simply cannot pay. that country's governor, the effect of a president, saying you know what? the 70 billion due we can't pay it. so stretch out those payments, forget the payments, and that one's a little closer to home. bottom line here, while it's not this bad in puerto rico, it is this bad in greece. if you want to get your hands on your money, you can't do that. all banks are closed. there's talk about reopening them, but all the european markets have been filling the -- feeling the chill of all of this. dagen's going to spell that out. i can tell you germany just had its worst day in more than four years. that has been pretty much the rule of thumb throughout much of