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tv   After the Bell  FOX Business  June 23, 2016 4:00pm-5:01pm EDT

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either way to make money with his names. markets no fear about the british exit. closing at session highs. [closing bell rings] here is the closing bell. david and medical list, pick it up for "after the bell" -- melissa. melissa: dow soaring in final minutes of trading up 225 points. i'm melissa francis. david: i'm david asman. looks like we'll be above 18,000 as the markets settle. we have you covered with big market movers. first, here is what else we have for you at this hour: high drama at the high court, supreme court dealing big blow to president obama's immigration plan. as we all know, we finally come down to that final hour, 5:00 p.m. that is when the polls close in england, 5:00 p.m. our time. uk is going to decide whether they're in or out of the european union. how this historic out come will affect us here at home. why is donald trump going to scotland of all places right in
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the middle of his presidential campaign? we'll take you there live for the details. melissa: back to the markets. the dow hitting a two week high, now positive for the month. nike the only stock in the dow 30 in the red. phil flynn, price futures group, fox business contributor is watching action in oil and gold from cme. we have lori rothman on floor of new york stock exchange. big rally driving story. what does it mean? >> we'll close at session highs today with the dow up 228 points, comfortably above the milestone 18,000. we saw a late surge of buying as we saw a spike in the pound sterling. so the pound sterling against the dollar is up about 1.2% and that says something. this market believes that the uk will vote to remain in the eu. let's look at some of the bank stocks. goldman sachs is a leader on dow. no surprise. these guys have been turning positive since late last week.
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bank of america, jpmorgan, european banks as well are strong, pardon me, i'm getting ahead of myself. i do want to back up to mention the vix because this is a big story. risk on day today. risk came in trading level about 17 and change. two days ago with the "brexit" worries, that vix was above a level of 20. so that is a huge message right there in terms of investor confidence and calmness today. guys, back over you. david: lori, thank you very much. phil flynn, oil edging just above that 50-dollar mark. what are traders saying about the outcome of the british vote and how that might be affecting commodities? >> well it's a big thing but i'll tell you what. one market that wasn't all about the "brexit" that was oil. there is no doubt david, oil will get a bounce on a stay vote. that means stability. that means demand growth in europe, less of a rick of a recession at least in the short term. oil traders love that. but we really got a spike later
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in the day on report out of nigeria, that a pipeline, a shell pipeline was attacked by militants. there was hope they had some type of sees fire in place. that is all off. there is a lot of rick of supply in nigeria. other market of course is gold. it was down five days in a row. it is battle between speculators and commercial. speculators were bullish. commercial were bearish. looks like they made the right bet, oil is up, gold is down. phil, thank you. melissa: last hour of voting for historic referendum in the uk, british voters are deciding as of course you know whether to leave the european union. a bit of bad weather might affect the outcome. fox business's charlie gasparino is in london with late left. he is impervious to bad weather
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and knows exactly what is going on, charlie, fill us in. >> in british can survive dunkirk i can survive a little rain. all day it was raining, that was generally seen as positive sign for "brexit," british exit of eu. a lot of kids were at a concert. if looked like woodstock again, very put did -- muddy. more enthuse as sick exit crowd would get to polls. the remain crowd wouldn't. polls say it is 50/50. tilting a little bit to he remain. talk to bookies they're heavily invested in a remain vote. that is best you can say right now. my guess the markets are usually
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right about this stuff. markets are pricing in remain, if they're wrong, god forbid tomorrow we'll have one hell of a day. it will be wild trading in u.s. markets which went up pretty sharply at last hour of trading primary on what people think is remain vote that is definitely coming later this evening. so tonight is the big night. 3:00 p.m., 3:00 a.m. our time. nine or 10:00 p.m. your time. and we'll see what happens. melissa: all right. >> if it is "brexit," wake me up. i will be ready to go. melissa: charlie, wake you up? you're not going to be asleep, you will be at pub taking pulse of everyone there. >> do pubs stay open at 3:00 around here? melissa: i think so. you figure it out and get back to us. you let us know how that goes. thank you, charlie. of david, over to you. david: no matter what happens he will be up at that time. the dow over 18,000 again.
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bring in today's panel. jonathan hoenig of capitalist pig hedge fund. he is fox news contributor. dominic tavella. dom haven't seen you in a while. >> how are you, david? david: charlie says markets already priced in a stay vote, but what happens if it is exit vote, how bad will the markets take that? >> it could be substantial. i heard numbers 10% u.s. globally. david: 10% on dow? the no potentially. economic impact short term is nonexistent. doesn't matter. it will take two years for this thing to unravel. but on other hand, europe, eu say staying together, britain is string holding the sweatinger together. it could literally unravel. david: you're laughing at dominic's guess of 10% drop? >> i remember back to the year 1999 all the predictions about the y2k, year 2-k problem would
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send all computers in a tailspin. the thing with well-telegraphed market events, because they're so well-telegraphed people hedge them bevacqua the cataclysms actually unfold. i think the vote will go towards "brexit" and britain will leave the u.k. the fact pound is doing so well, near yearly high, suggests it will not be market cataclysm. david: even if there is stay vote, markets are calmed by the notion stay votes are the markets getting a little heady right now? >> we're facing barrel of a shotgun with the federal reserve looking to raise interest rates and britain coming out of the eu. so combination of two, people in markets were walking on eggshells. we eliminated one. hopefully we eliminate number two by tomorrow. then markets have time to focus on real economic data which has not been horrible. of course the election in the fall. david: good stuff, guys. melissa: not a bad start for biggest tech ipo of year.
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twilio surging in first day of trading. jonathan hoenig what do you make of a jump like that. >> this is something, melissa, not just a tech ipo but venture-backed ipo. this is one of the unicorns, privately-traded companies that have absurd valuations that is actually coming to fruition. yes, market is certainly strong over 18,000, but the fact this ipo came to market and did so well suggests maybe this tech drought is no longer a drought. melissa: but of course the question is always, is it sustainable? dominic, does it stay there or one of these stocks that comes out and dies? >> to jonathan's point there is a lot of these unicorns and there is so much capital out there, venture capital, private equity, they didn't even need to venture out in the weather to see what the temperature is like this. is pretty courageous for this company to do it. hopefully portends for good things going forward. melissa: jonathan, is that what you meant? there are not a lot of unicorns anywhere?
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that is the whole point of a unicorn, it is anomaly? >> still even, melissa, companies like uber raising money at obscene valuations, there is still a lot of interest in these companies. the fact they have been able to realize that valuation and go public, makes this so defining. the fact the market received it bodes well for technology in my opinion. melissa: guys, thanks for playing. david. david: a new report outlining hundreds of terror plots in the united states foiled since 9/11. most involving foreign-born suspects. the former policy director for dr. ben carson, shows politicians like president obama and hillary clinton have been burying their head in the sand. melissa: vulnerable to viruses. why state department stopped crucial security features to receive email from hillary clinton es private e-mail server.
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[ barking ] [ washing machine running ] party's on! know what your pets are up to with xfinity home. xfinity. the future of awesome. see the secret life of pets, in theaters july 8th. david: well president obama's immigration plans have been put on hold at least for the moment. the supreme court blocking his plan to shield millions of people living in the u.s. illegally, as many as five million from deportation. the president using the ruling to slam republicans who he says refused to deal with the issue. >> unfortunately republicans in the house of representatives refused to allow a simple yes or no vote on that bill. so, i was left with little choice but to take steps within high existing authority to make our immigration system smarter, fairer and more just.
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david: yeah, but won't be able to do that now. here is rich lowery, "national review" editor, also fox news contributor, and christie setter is new heights communications president. thanks for being here both of you. rich, is this good or bad for the economy? >> i think it is good, first of all, just on separation of powers ground because congress doesn't act, it doesn't allow the president to go and create an immigration system more to his liking. david: right. but specifically on the economy itself, you know, there is a big debate about whether immigrants provide more to the economy in terms of doing jobs, legal immigrants or u.s. citizens don't want to do, or whether they take more out in terms of public services, what do you think? >> i think low skilled immigration what we're talking about with illegal immigrants provides perhaps a small net benefit to the economy that comes at a cost of lower-skilled workers who have to compete with
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the additional labor. but also, illegal immigrants, they have children, they to to hospitals. their children go to schools. there is also a fiscal cost that comes. net-net, i think it's a minus. david: christie, just education alone is estimated from 40 to $50 billion a year, educating all of illegal immigrant children here in the united states. there are a lot of other costs added on. aren't we better off without this, the president's plan? >> no, we're not. look there is reason why everyone from the u.s. chamber of commerce to president george w. bush tried very, very hard to get immigration reform done because they understand that immigrants are, going through the legalization process very much a net benefit to our economy and to the fabric of america, right? to have diversity around us. david: but hold on a second -- >> this is very disappointing decision. david: isn't fabric of america held together by laws and to
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immediately grant with would essentially be a minor form of amnesty for five million illegal immigrants, kind of tears that fabric apart, doesn't it? >> well you know, what it does, it would tear families apart, right? we're talking about the fact in a lot of these families the children would be considered, legal to stay here but the parents would not. what are you going to do? will you deport millions of parents of children legal to stay here? and then, make them orphans? again practicalities of this decision are really gut-wrenching and heartbreaking. david: rich, what about the idea that a lot of democrats are saying look, ronald reagan had a huge amnesty program, millions of illegal immigrants. of course it was done by law. wasn't done by executive edict the way the president did it but what is the difference here? >> there is not much of a difference, why so-called comprehensive immigration reform didn't pass in congress because the experience of 1986, we had amnesty and enforcement was supposed to come later around
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enforcement never arrived. the bills that were rejected by congress were structured in the same way. a rational policy, enforce at border, enforce most importantly at place of employment through the e-verify system and then -- >> that is not why it failed in congress. that is not why it failed in congress, if we have a wall, enforce it at border and allow for kind of amnesty similar to one president obama wanted, would that be policy you would support, rich? >> sorry, i missed that, david. what i support is enforcement first. then we can have a conversation about everything else later. you look at the low end of the labor market, these are people whose wages have been stagnant. labor force participation is very low. we do not need more low-skilled immigration. we just don't. david: christie, what about enforcement at border? i know you're in favor of the president's plan but would you also enforce -- you talk about the sad situation with kids.
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there are tens of thousands of children being sent over the border alone by their parents that is not good either, is it it? >> no but look, the, truth is that obama, whether we think this is good or bad thing actually deported more people under his administration than previous presidents. >> that is a myth. it is a myth based on deseparatetive accounting. eastern he has admitted that number is misleading. president of the united states itself said number misleading. when you come overboarder turned around, that wasn't counted as deportation. they started counting those as deportation. >> there has been -- david: christie, rich, thank you very much. appreciate you both being here. thank you. melissa: after more than 25 hours of chants and speeches on house floor the democrats ended sit-in for gun control despite failing to get republicans to vote on two controversial gun bills. georgia congressman john lewis still says it was victory to
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make a point to american people and do fund-raising. did you see the emails. david: serving dual purpose. melissa: while we're sitting here doing this. david: surprise, surprise. business leaders choosing side in the presidential race. which candidate is now the big names throwing their support behind? coming up we'll tell you about that. historic vote underway in britain. we'll talk to former u.s. ambassador to the eu about the impact that a uk exit could have on the rest of the world. with usaa is awesome. homeowners insurance life insurance automobile insurance i spent 20 years active duty they still refer to me as "gunnery sergeant" when i call being a usaa member because of my service in the military
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david: voting underway just about 45 minutes left in the uk. the country deciding whether or not to remain in the european union. results of this vote could have huge impact on future of eu. we have former u.s. ambassador to the eu. good to see you, mr. ambassador. if britain decides to pull out of the eu, would the eu fall apart?
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>> well, i don't know that the eu would fall apart but it would create difficulties. it would certainly set a precedent and the concern would be that other member-states where many of the citizens have the same concerns that the "brexit" supporters have might push for, might push for the same thing. david: right. >> so it could be a problem. about those concerns, specifically what it is that the eu has become too powerful, essentially as trading concept and movement of people concept, has moved into britain and other members of the eu having to accept all regulations, many of which they consider to be onerous. is there some message to the eu, even if britain decides to stay in, some message eu bureaucrats have to pull back a little? >> absolutely. i think that is the case. this is a shot across the bow. and, the eu has to recognize there are grievances that many citizens have, and i think that
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the eu does have to basically look at itself. it has to become more transparent, to, has to make decisions that are not necessarily overly technocrat technocratickic. david: spends less. forgive me for interrupting i've been to strasbourg. there are a lost bureaucrats don't do much of anything. have a huge expense account. $27 billion of taxes goes from britain to the eu to support infrastructure they don't like that. >> i don't know how much i want to get into that. the, overall eu budget is not large compared to most member state countries. obviously there is waste everywhere. the key point for the eu to recognize there are grievances t has to slow down, forget about more integration for time being. take steps that will try to
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instill more confidence in the citizens. there needs to be more growth. more economic growth. it really has to, again look at itself and, take this as a warning that they may need to act -- david: ambassador "morningstar," we have to leave it at that. eu i hope got the message, pull back on the regs. melissa. melissa: shares of macy's getting a boost after ceo terry lundgren will step down next year and current president jeff gannett will take his place. the retail chain is struggling to adapt to changing consumer habits. the stock is down more than 53% from this time last year. david: wow, that is a big drop. "the donald" is short on campaign cash but will not stop the gop candidate from promoting a new trump golf course in scotland. melissa: latest allegations in the hillary clinton email scandal. how the former secretary of
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report on health of u.s. banks. we'll go into that in just a second. first look at all of these, not records but we're very close to records. 17 points away from an all-time record close on the s&p. just 17 points. less than 1% away from that. all of the major indices are at a two-week high. now we have peter barnes with that news on the banks. let's listen. >> david, all 33 big banks and u.s. subsidiaries of foreign banks, u.s. capital levels or exceeded them under this year's fed stress tests. one big regional bank, huntington bank shares of columbus, ohio, landed above fed regulatory cutoff. a few firms. were close behind it. four 1/2 is equity tear 1:00 capital, cash on hand which is today is 12%.
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how they would bep able to handle a hypothetical bad economic downturn with 10% unemployment, 50% drop in stock prices and a 30% drop in housing prices. all of this part of 2010 dodd-frank financial reforms to make sure washington doesn't have to make anymore taxpayer bailouts. this downturn like the great recession could cause bank losses, hurting bank capital lending. huntington would come in 5% tier 1 capital under scenario. bmo financial, 5.9, alley financial at 6.1. among biggest banks, goldman sachs would fall to 10.2%, morgan stanley 10% and citigroup at 9.3. well fashioner go 7.2. part two of this process comes next wednesday when the fed announces results of its proposed capital plans to return capital to shareholders through dividend and stock buybacks,
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something wall street and investors pay very close attention to and are waiting on. david? david: peter barnes, thank you very much. melissa. melissa: shares of bank stocks slightly higher after-hours. bank of america up .3%. citigroup is about the same there. taking a look at those stocks. david: despite concerns from some regarding his campaign fund-raising, donald trump taking a trip across the pond today to visit scotland and attend a business matters involving one of his golf courses. right in the middle of his campaign here. fox news's john roberts is standing by there in turn bury, scotland, with the very latest. kind of a strange thing to do in the middle of a presidential campaign? reporter: kind of is, but it is historic occasion at turn turnberry, it undergone renovation with 200, $300 million. i went out on the course. nine, 10, 11, for those watching, play golf, three of
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most beautiful holes i have ever seen anywhere. donald trump will officially cut the ribbon tomorrow. he will hold a press conference. he will talk about the campaign, talk about turnberry, comment on results of "brexit" vote as well. indications we're getting here from scotland the stay folks are probably in lead at this point though there is nothing really concrete to hang that on. donald trump also talking a lot about money today. in an interview with hugh hewitt early this morning specifically, the disclosure in his fec filings the other day that show 20% of his campaign spending in the month of may was given to trump-owned properties. donald trump said that it is something he has to disclose and he defended the use of trump properties for catering and political events. here he is. >> why should i give it to the club down the street? why should i give it to hotel not a trump hotel? there is no reason for that. but if i do a news conference or if i do some kind of an event at a club, by law, under federal elections i have to reimburse at
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fair market and all of that stuff, right? and i do that. we do it very meticulously, we do it. headline trump receives y from his campaign. so dishonest. reporter: there are indications that the trump campaign reboot which happened after he got rid of his campaign manager corey lewandoski is actually having favorable response among republicans. his focus on clinton and fewer self-inflicted wounds is being met with some praise. listen to what house speaker paul ryan said about trump when asked about him earlier today. >> i have said all along, we want to see the campaign improve. we want to see the campaign improve in tone, approach in every respect. i heard it, he gave a good speech. i've been too busy, i haven't even seen the thing or read it but when i see and hear things that i don't agree with, that i think are contrary to our principles as conservatives, as americans, i will speak out on those things. reporter: and it is quite possible that some people here
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in scotland will be speaking out as well. there are a lot of people who are at odds with donald trump. we'll see. he arrives here first thing tomorrow morning. david? david: they're giving me a wrap, but i got to ask, i saw the "60 minutes" thing in scotland how they hate him. do they hate him or some people turned around and liked him again? reporter: like anywhere, david, some people who love him and some people who hate him. donald trump said my problem, a lot of people love me, a lot of people hate me. david: john roberts, good summation. appreciate it. melissa? melissa: risking email security for personal gain. they disabled email security features, weeks before hackers broke in. this is according to new emails released by cone so i tiff watchdog group. chris farrell, head of investigations and. what did you discover in the latest salvo? this is incredible stuff.
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>> this is incredible stuff. we had to go to court to get it. state department inspector general released a report with very damning language but neglected to release exhibits behind the report. we went to court and compelled the state department to release those exhibits. in these emails it details how the state department shut down their anti-spam and antty phishing firewalls in order to allow mrs. clinton to communicate off of her blackberry and off of her outlawed server she established at her home in chappaqua. this is outrageous stuff, to the point where they have acknowledged in writing that they were aware of the vulnerabilities going on and yet they still took actions to circumvent the system. this is devastating, out rage just stuff, encapsulated from one email to huma abedin and jake sullivan, hey, don't send hrc sensitive stuff now. i will explain later.
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melissa: unbelievable. unbelievable. morgan, i want to make sure i'm understanding this right. state department, not clinton email, might be what we said in the introduction, the state department put down their guard, took down their firewall and their security features because she was having problems communicating with them from her own private server? how dangerous is that? how bizarre is that? what does that tell you? >> first of all, good to see you again. glad to be back on with you. look, this is a case where obviously convenience just trumps security. i can't tell you, i was appalled when i started reading some of this. biggest fear because of this, shut down amount at this virus and content, detecting spear phishing and emails. that is number one tactic used by russians and chinese to penetrate our systems ukraine, power outage was caused through spear phishing, delivering malicious software, black energy.
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if people don't think this is dangerous, look to the ukraine. melissa: chris, how do they justify and defend this? >> it is outrageous. in the emails they say, hey, we're being hacked. we have to shut down the server for a while. these are explicit admissions in these emails. it is not open to discussion. it their own email admitting it. we're not talking about a grave danger to our national security. this is probably some of the worst stuff you could imagine. melissa: you know, morgan, does this, i mean i guess it proves they were vulnerable to being hacked. >> right. melissa: to prove they were hacked which, like everything else she says one thing, next day it changes, but they said again and again there is no proof this caused any sort of hacking. this shows they were vulnerable. i guess we're waiting for those wikileaks emails to be released to prove that somebody else actually has it? am i right about that? >> yes. in fact let me tell you, if you look what john kerry said, when he said he fully expected the
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chinese and russians are reading his e-mails, if you look at string of names on there, in unclassified system, where everybody is referring to hrc 22 at clintonemail.com. this is 2010. you can't tell me, i went on record 10 months ago i firmly believe emails are in hands of our adversarieses targeting officers from foreign intelligence agencies, saw this and targeted this fbi investigation will prove out there was some indication of a breach. if they can get into clinton foundation server, they can get into their personal server. melissa: amazing. thank you so much. >> you bet, melissa. david: bipartisan group of more than 50 business leaders, long-time republicans joining together endorsing hillary clinton for president. look includes at&t senior vice president jim ciccone, dan achier son of formerly general motors and. brent scowcroft was national security advisor for two republican presidents.
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they're all now going for hillary. melissa: sounding alarm about a better, bigger trojan horse. our next guest slamming lawmakers for ignoring donald trump's call to ban muslims from entering the united states. family road trip! fun! check engine. not fun! but, you've got hum. that's like driving with this guy. all you do is press this, and in plain english, "coolant", you'll know what's wrong. if you do need a mechanic, just press this. "thank you for calling hum." and if you really need help, help can find you, automatically, 24/7.
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david: new congressional finding hundreds of terror plots have been stopped since 9/11 most involving foreign-born suspects. donald trump has been outspoken on the campaign trail how to prevent terrorism. he propose ad ban on muslims from entering the country. we have the former deputy policy director for dr. ben carson's campaign. thanks for coming in. you support donald trump's call for a ban on muslims. how would you do it? how exactly would you ban muslims from coming into the u.s.? >> david, first of all, good afternoon. good to be with you. i think actually what i said is a little bit more complicated
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than that, number one, my argument is that politicians like barack obama and hillary clinton pretend as if religion has absolutely nothing to do with the radical islamic terrorism that we seen. david: right. >> with donald trump i think americans support him and a lot of people have been encouraged by his blunt talk and reason is, because he is actually willing to tackle these very tough issues, questions that are very difficult to ask. david: some of the tough issues that he has not yet approached or at least announced publicly is the mechanics or mechanics of it. exactly, if you were to ban muslims, you know, i don't think you ant i would have debate on some of the specifics about radical islam and need to call it such but exactly how would you ban muslims? a lot of people say, look, a person can put down on their entry card i'm not a muslim even if they are? >> correct, correct. i think a lot of what trump proposes will have to be fleshed
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out in detail. one of the things we've seen him do offer a little bit more of that as time goes by. for instance, earlier this week he talked about focusing on the countries that the harbor terrorism. david: right. >> countries that promote terrorism. one piece of detail. another piece of detail he is adamant about, making a lot of sense, not allowing in syrian refugees that we can't properly vet. david: just to be clear about it, you are in favor of banning people from particular countries where radical islam is rampant and sharia law is accepted over standard civil law? >> i am in favor of taking radical islam much more seriously. david: right. >> i think as i said in writing and elsewhere, i think a flat-out muslim ban would be overinclusive and it would be clearly extremely controversial but there are all kinds of
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things we can do to protect the country beyond what barack obama and hillary clinton want to do, right? so you know, so there are plenty of countries where a majority of the population, not only are muslims but they also believe sharia law. and that is something entirely contrary to what our values here in the america. i think we should actually look at those questions, much more seriously ying ma, from "national journal." appreciate it. >> thank you. actually national interest. david: national interest, forgive me. melissa: tempers flaring outside after baltimore courthouse after the third police officer tried in the freddie gray case was acquitted on all charges. officer caesar goodson was the driver of the van freddie gray rode in after being arrested and where he died. goodson faced charges of second-degree murder, manslaughter, second degree assault, misconduct in office and reckless endangerment. david: judgment day for britain.
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what the uk's decision could mean gore you and your money. >> this is the last chance i think our country has to back control obviously of a lot of money, that is important, of our immigration system which is important, but basically of our democracy. years ago, i was starring in a one-woman show about a cat allergic to other cats.
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say they would recommend their plan to a friend. remember, medicare doesn't cover everything. the rest is up to you. call now, request your free decision guide and start gathering the information you need to help you keep rolling with confidence. go long™. ♪ david: polls are soon to be closing, just ten minutes away. we're just moments away from the results of a historical votes with monumental implications a the united kingdom votes whether or not to remain a member of the european union. adam shapiro standing by in berlin, germany, with the latest how germany will react to the vote in the uk. hi, adam. reporter: hello, david. angela merkel had a press conference earlier today, she doesn't directly say you would vote to stay in.
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she said it would be best if the uk voted, if the citizens voted to stay in the eu. we spoke with citizens of the eu who happen to be german at brandenburg gate. one woman said it would be best for citizens of the uk to stay. here is what she told us. >> we have to have a strong spirit of unity and we have to convince people that is, that being united is only way to go. so, i hope that the uk is going to decide that it will stay. reporter: and so when you look at this vote and you want to put it into numbers, for germany alone, they estimate if the uk votes to leave the eu, it would cost the german economy roughly $50 billion, a little less in euros by end of 2017. but growth in 2017 is projected to be 1.8% in germany. it would be revised to half a
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percent should the eu vote to leave. the results are coming in a few minutes, david. back to you. david: thank you very much. adam shapiro in beryl lynn. melissa. melissa: final minutes before polls close in britain. the world is waiting for the big decision. here is steve moore, heritage foundation distinguished fellow and a fox news distributor, and tom clorty from cato institute. thanks for you both joining us. steve, i want to give your real honest opinion, somebody at beginning of show, jonathan hoenig says it feels like y2k, everyone said oh, my gosh, computers shut down, atms won't work and it will be a disaster. >> i like the analogy a lot. i think there is a lot of scaremongering going on. i have ooh been reading a lot of news stories in washington. it will not just be terrible for europe but for the united states and terrible for investors. i don't believe that. i'm a small is beautiful guy when it comes to government and governance. melissa: right. >> i think this is really all about whether -- look, you
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showed interviews of some of those europeans saying oh, yes, sir, absolutely we want britain to stay in the eu. obviously, melissa, european countries are net beneficiaries. it costs britain. we don't know the exact number but somewhere around $10 billion a year for privilege of being part of eu. that money goes to these other countries. melissa: we did some of the number crunching. the number we came up with was $16.3 billion a year to be part of it. it is staggering. tom, it is kind of hard to see the benefit that they're getting. they get bossed by brussels. i don't know if that is really where you want to be? >> not where i want to be and i think there is a fair number of britons who don't want to be there either. look i think you put your finger on something important which this referendum is fundamentally a constitutional referendum. it is about political union. a lot of scaremongering that has been going on, these forecasts of economic devastation if britain votes to leave the eu are just silly.
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this referendum is about whether we want to continue centralizing power in brussels or we want to take the powers back to westminster of the it is not actually about britain's trading relationship with european union. it is not actually about immigration. melissa: no? >> no. listen the european union which is political union and european economic area which includes 28 member-states of european union but places like switzerland, norway, iceland. melissa: right. >> they have complete access to the eu single market but they are not members of the political union. first of all if britain votes to leave, i will admit it is not looking terribly likely at the moment, if they vote leave nothing will change immediately. there will probably two year at least transition period. melissa: right. >> at end of that period i think what we'll get is britain with economic relationship quite similar to the one it has at the moment frankly, maybe with a few differences but exempt from that political union. melissa: steve, i mean we were showing people in germany who want britain to stay, mainly because they want them to help them foot the bill, they would
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be stuck with it otherwise. there is upside for germany, if britain leaves, all of sudden they become the biggest power. it really shifts back to them. britain has been a bad sport. don't want to be in. didn't take currency, fine go your own way. maybe germany would be better off, no? >> there is something to that, melissa but there is downside. germany had to pay a lot of costs for all of the mistakes made in greece around italy and spain. melissa: yeah. >> the problem for germany especially, in my opinion, if europe leaves, i mean if england leaves then who is left there to carry the weight of all the lesser countries? that are in so much financial trouble? all of the weight of that cost falls back on germans and they're getting pretty upset about that too, german citizens. melissa: you're absolutely right. i was trying to be the devil's advocate. appreciate your time. we'll see how it goes.
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be sure to tune in fox business special coverage of the british exit vote. lou dobbs kicks it off a at 7:00. we have you covered wall-to-wall through the night. david: varney is not off until 1:00? melissa: i heard he will sleep in his office. david: that would be good. david: they are ready to run, look at these guys. uk politics going to the hogs.
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melissa: the swine vote it is david hameron, get it? versus boar is johnson. racing his pigs to figure out the referendum. david: we have the results. they were clear. three votes for staying but one little piglet held his ground and voted to leave. melissa: i like that pig.
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i'm not sure this is kosher. david: oh, please. irhoging all the punch lines. melissa: stop hamming it up. are we done? we're so sorry that we did that. we couldn't help it. david: "risk & reward," starts right now. >> this vote, if we leave is irreversibility. much. >> if we get it wrong, we vote to remain, that is it. we'll be locked in the back of the cargoing in the wrong direction. >> tomorrow we can vote for real change. tomorrow we can vote to put power back in the hands of people. >> more than 60% of the world's leading companies sony, aig insurance, bloomberg have european headquarters guess what? here in london. that would underestimate our ability to do better deals if left to do it on our own.

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