>> thanks to leah, kevin, have a great easter weekend. "varney & company" begins right now. mr. charles payne, take it away. >> thankou very much. i am charles payne. stuart is going to be back on monday. for now, a lot of big officials, including this. check it out. new video of the mother of all bombs dropped on a terror nest in afghanistan. 36 isis fighters are killed. another strong message to the world especially as north korea celebrates the date of its founding. the president, some are saying he's further to the left, will his base that elected him be happy. and elon musk, tesla stock has been on a tear.

and no rest for us, you should see who we've got on the set. "varney & company" set to begin. ♪ there it is again, the first time the u.s. has ever used this weapon. joining us now, rob o'neill fox news contributor and the man who killed usama bin laden. everyone is thrilled and everyone is saying what's next? >> it's the what's next, but that's good foreign policy when you're dealing with people like isis. >> this puts you in a stronger position, negotiating not only militarily, but diplomatically. >> rules of engagement has been so restricted, we've been fath since 2001. we did a bad job for a long time and now we're back. isis killed a green beret a

week ago, they said it wasn't in retaliation. >> sure. >> but he did die in a spot where they use the tunnels and staffed the weapons and building the bombs. a massive ordinance air burst and it's great for a number of reasons. you crush the tunnels, kill a lot of guys, the guys that don't die lose their hearing and it's a big moral bomb for lack of a better term. >> by the same token, there's i guess apparently up to 600 active isis fighters in that particular area and they emerged like in 2015, you know, they compare this to a nuclear bomb, obviously, it's not. even though it's the mother of all conventional bombs. but when we use a atomic bombs, it was the coup de grace. >> many people tried to win, it's a tough place to win.

i've been there, and it's not going to win, but getting a democracy in the major cities and having the valleys have what they want. it's never going to be like it is here. >> i was going to say, does it matter that these are isis members and not necessarily taliban? because what i understand from what people have told me, is that ultimately any sort of conclusion would have to involve the taliban. >> they're calling themselves the isis corazon, it's hard-core taliban, further east that wanted to go under the banner and fall underneath el-baghdadi. they're taliban and pledgeded allegiance. when isis start to lose raqqa and mosul in iraq and they're going to have a safe haven. they have to go somewhere.

>> we're closer and closer to raqqa and we've moved in closer there. i suspect that labor libya, i've been reading could be the next defacto capital. >> they're going going to go to the desert somewhere. the place they were going to fight the werner was northwest syria called the beak. and it was taken by turks and it's gone. they had to change the name of their magazine from debeak to rua. that was supposed to be biblical. it's falling and not going to happen and i would hope in 2017 we don't get an area that is run like in 1400 years ago, that's what they want. >> this mother of all bombs, the massive ordinance, should we be using it more often?>> if and you can minimize-- the minimizization of collateral damage is a tough thing, but if you've got

fighters there, even if they bring, got their kids with them, you know, the hard truth is, the cubs of the caliphate are not going to grow up to be upstanding citizens, if they're there, they're bad. >> and karzai, the former president said it was an inhumane thing to do and-- . he's one of those guys that likes us to kill people nicely. >> switching gears a little bit here because many say this mother of all bombs also was sent a message, sending a message to north korea, and the white house official tells fox business that they continue to watch what's happening there. of course, you know, kim jong-un is going to lead the celebrations over the weekend marks the anniversary of the founding of the country, but china less than an hour ago has been warned, they warned the world moments ago, they say a conflict could break out at any moment. they are really saying that they believe this is more than a staredown. >> yeah, i guess president xi

jinping gave president trump a lesson and the same thing. we're in a spot, what he calls an armada up there, a huge joint exercise on the border to include 150,000 chinese. so, it's a big push, china's actually, they're expressing interest in helping with the north koreans, which is what we need. we need players in the certain spots of the world. >> do you trust china? i've read some of the missiles that north korea has been testing, major components were made a china. >> well, yes. >> i mean, they seem like, i mean, obviously, there's obviously, warm and fuzzy thing and something is developing between xi and president trump, but how confident should we be that they can step in and help us avoid a serious military conflict? >> i think it's in their interest to do it and like they pulled some back and showing north korea if they play along, you know, that everyone can get along over there, a nuclear north korea is bad for china

and they realize that, can we trust them? maybe. can you trust the russians? probably not. >> dealing with third generation crazy over there, too. >> he is, too, he's a loon. >> jim-- k kim jong-un. >> and ceo's are pushing the president to the left, tammy bruce is here and tammy, this could start and we've seen some bubbling of social media push a lot of the core trump support,away from him. >> i think that's what the legacy media wants. you're seeing a lot of rhetoric out of the usual anti-trump places, that want to depress the trump base of support. the president made a basic promise, he wants to make america great again. he's run an industry that required him to be fast on his feet and to a changing dynamic. he's going to approach in a

business sense and the media of the day, he's proven that. if it means making america great, and isis he's bombed and dealing with china and north korea, all of those things go into the envelope. i have to say-- >> i think they're concerned about the economic front. xm bank, corporate cronyism, billions given to boeing and caterpillar and a lot of people saying this is not what they want, it's the same elites this control everything. why do they still have access to this kind of money. >> he's adjusting and talking to business leaders. in order to get the business dynamic moving again he's going to have to talk with business leaders. and adjustments even when it comes to janet yellen and the imx bank, it's important. that doesn't mean it's the case forever. we've already seen the economic benefits of this approach. it'sot just the stock market, it's about jobs coming back. it's about the coal jobs, it's

about his intention for the economy. he's already delivered on that, even with just conversations and relationships. >> sure. >> now he needs to deliver legislatively for people watching this, individuals on his end, on his team and his base, trust that these are things that we know that he understands what needs to happen. he knows who he answers to, which is the american base. >> bottom line, it's improv or evolution? >> you've got to be able to do both. it's also an understanding of his core commitment to the country, that he's not being consumed by the swamp, he's adapting and working with it so he can control it. this is the trump narrative and the trump era. >> thank you very much. now to united airlines, as if the dragging incident wasn't enough, another incident on another flight involving another passenger. . ashley: apparently, if you refuse to leave your seat because they've overbooked, they'll drop a scorpion on you.

just kidding. this guy on on a flight to calgary. in business class no less, having a lunch and appeared to be a creature looked like a scorpion fell out of the overhead bin and stung him. they called ahead and talked to a doctor on the ground and gave some advice, a medical crew waiting when they get to calgary. he was fine. >> how did it get on? >> a good question. >> how do we get samuel jackson on all of these and scorpions on the plane. >> the scorpions are a spider, technically a spider, not the mexican scorpions, who knows. liz: how did they get on? >> united airlines. people got stuck on a rollercoaster at a six flags in maryland, the name of the ride, guys, joker's jinx. it stopped a hundred feet in

the area for three hours, no one was injured, but golly, can you imagine that? >> no. >> an angry mob in socialist venezuela attacked a bishop, the holiest week of the year for christians. liz: it's a disgrace. >> we'll tell you why they attacked him. and next, one the tea party leaders targeted by the irs is cheering the call to reopen the investigation of lois lerner, remember this? >> i have not done anything wrong. i have not broken any laws. >> one of the basic functions of the fifth amendment is to protect innocent individuals and that is the protection i'm invoking today. my business was built with passion... but i keep it growing by making every dollar count. that's why i have the spark cash card from capital one. with it, i earn unlimited 2% cash back on all of my purchasing. and that unlimited 2% cash back from spark means thousands of dollars each year going back into my business...

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>> remember lois lerner? she's the former irs executive who was at the center of the scandal involving the targeting of conservative groups. she's now asking her deposition in the class action be sealed. tammy bruce brought us the

story. why is she asking for this? >> this is first of all in the discovery phase, a class action lawsuit in ohio, 428 tea party groups suing her, they got class action status. she wants privacy and security, charles, understandable she wants secrecy, didn't afford everybody else. she's afraid if her deposition is made public, she wants it sealed forever, in all of time and history, because she's afraid people will threaten her and want to kill her if they found out what her deposition is. so she wants privacy and she wants the security and secrecy that the government can afford her as an american citizen, which of course the irs has not afforded to 428 tea party groups that are now suing her. charles: she can ask. do you know the likelihood that-- >> well, the tea party groups are arguing against this. this is a public interest because of her position at the irs. it's the situation that many argue is still not resolved at

the irs, so, we think that in fact, that she will not prevail, but it says a lot about their attitude and what she is expecting for herself. i think it will be a wakeup call for mrs. lerner. charles: meanwhile, house ways and means committee wants the doj to reopen the lerner case. listen to this. >> she denied people due process and protection under the law under the political philosophy. and there's overwhelming evidence to suggest that's true and that's a felony. charles: joining us is the president of true the vote. her group was one of those targeted. welcome to the show, kathy. >> thanks for having me. charles: so, how do you feel, at least that this has come back and there are now members in congress who seem concerned about justice, which of course, all of those spectacular hearings were so unsatisfying at the end because it felt like that was it, spectacular hearings.

>> right, look, we're thrilled. this has been a great week. to hear the house ways and means say what they said, we've won a huge decision this week, given access to documents and depositions covered up until now. we think we're headed on the rit trk and it'sbout time. charles: what doou make of lois lerner being concerned about her own personal safety and personal privacy in the weak of all of this? >> it's not fun to be targeted. i don't wish that on anyone, but you know, the difference is, we had no protections. i think that there's been far too much coverup. we need to hear what she has to say, all of america needs to hear what she has to say and we need to make sure that what happened on her watch never happens again to any american for any purpose. charles: you know, this week, representative jim jordan wrote

an op-ed and he was tough on koskinen, saying he was brought in to clean things up, 422 backup tapes and 420,000 e-mails were somehow destroyed and used string ray surveillance, violation of the fourth amendment and it's crazy wasteful spending. how do you feel that koskinen still has a job? does that send a message? >> there are enough wrong messages to keep us talking until the sun goes down. we need to take the issues one day at a time and just clean house. right now what we're focused on is getting a policy that ensures there will never be the type of viewpoint discrimination that was unconstitutionally applied to our group and others. there are lots of problems, but there are solutions, and it takes the political will to get them done. charles: how confident are you, now that you're getting some victories that this is going to happen. the weaponization of the irs never happens again? >> if i have anything to do

with it, it's in its last days. charles: you're a determined person and a lot of people thankful you never gave up the fight and we appreciate you coming on this morning. >> thanks for the opportunity. charles: see you soon. check this out, a fire at the beagiootel in las vega broke out on the roof late last night. you can see those flames shooting out of the building there. >> the restaurant. charles: that's huge and we'll have more details on that coming up. also up next, a bishop attacked by an angry mob in venezuela, christianity under attack during the holiest week of the year. yes? please repeat the objective.

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>> now to venezuela where an angry mob of supporters for the country's president attacked an archbishop that gave a speech, rather, encouraging freedom. lauren green, religious correspondent is here and also the author of a new book, god is a living reality in a world immersed in fog. lauren, this incident plays into the premise of your book, doesn't it? >> and the idea na the white house an imagery of the ten commandments and the light is

atop, i am your god and put no one before me. and the conflict happens when the church actually stands up against it. and this system happens in south american countries all the time. it happened in argentina, and this is what pope francis fought against. and the government either wants the church to be-- to be a baffle for them and if they're not, they're fight against them. charles: i find the courts in south america, catholocism is almost everywhere and omnipotent and yet, you get the strong men who come in and the dictators and i never knew how they could always pull that off and of course, it feels like sometimes it becomes too late to push back. i mean, this cardinal attacked on the street like that is frightening to see. >> this is not the only incident. there have been several incidents like this in venezuela and caracas where

they've been attacked. the socialist supporters have been attacking the church and part of the same game. the church stands in opposition to a socialist government. the socialist government is seen by the church as a false idol and not to bow down to it and this is why they're always in conflict. charles: the coptic churches in egypt, not holding service because-- >> this is sad because one of the thing that's unique about this particular easter, the orthodox and western churches are celebrating easter together. usually they celebrate differently because they calculate in a time frame. and it's a very powerful move and passover at the same time they're con gregating the same day. the coptic celebrates saturday night and at midnight. and you know, christ has risen and he is indeed risen.

and they say he's defeated death by death. the fact that 46 people have died on palm sunday, it's a sad state of christianity, not to allow them to kind of celebrate the actual death of death. charles: sure. >> in the easter celebration. charles: lauren green, the faith, the book is timely in a good way and a bad way. we're getting back to the mother of all bombs and what it means for our standing in the world, plus, business leaders pushing president trump to the left. will they get upset. congressman is going to join us next. i use what's already inside me to reach my goals. so i liked when my doctor told me i may reach my blood sugar and a1c goals by activating what's within me

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>> well, we showed it to you earlier, the fire at the bellagio, now, we have more details, ashley. ashley: it started at the roof about 10:45 p.m. last night. none of the guests were in danger. there were no evacuations. it took them an hour to knock this down. it was a difficult area to get to, there were strong winds, not sure what caused this. the bellagio has that big water fountain with the water show going on. that never stopped. you had the crowd watching the fountain show with the flames shooting in the sky. it was surreal. at times portions of the las vegas strip was shut down.

a major story, but thankfully, no one injured, the fire took an hour to knock down and figuring out what happened. charles: thanks a lot. a big development in the fight fence terror. dropping the mother of all bombs in afghanistan. it's the biggest nonnuclear bomb used not in could combat. your thoughts about the moab. >> it'a sht. and the president's term between the oval office, the president and military leaders. what do you need in order to not lose. how do we increase your chances of not losing in afghanistan? what we're seeing right now, is that coming from president trump, coming from the oval office, that the conversation

with key military leaders in afghanistan and in the region is what do you need in order to win. and it sounds like a simple point i'm making, but it actually is a, you know, a real strategic shift in thinking which results in additional flexibility given to our centcom commander and general nicholson and secretary mattis and we're using an asset that causes a whole lot of destruction to tunnels and caves relied on by isis fighters, death delivered to isis fighters, giving a greater chance of success in afghanistan. it was a great move. charles: so, i mean, to boil it all down, there's a mission statement right there. before, it felt like a rudderless ship under president trump, so feckless, no one knew what was going on and already i know we're all hearing about a surge in morale amongst our military men and women. >> yes, before, where would you be, what do you need to have a

low risk, medium risk, or a high risk of not losing. now, you know, you have requests coming from general nicholson what he needs in rules of engagement, of assets and personnel and it's not much more that general nicholson is asking for, but what he's able to do is to provide greater assistance to the afghan government. our military around the world were able to bolster our efforts and bolster nato and other partnerships and it doesn't just an i-- allow american services greater success, but it's also delivering a certain level of destruction to the enemy where you're knocking them on their heels there. we're either going to fight this enemy at home or fight and eliminate them overseas and president trump is reinforcing a commitment to ensure where they are right now that this is the end of the battle on their heels and they're not going to spread to the u.s. so it's great leadership.

charles: i want to switch topics here because there's a wall street journal report saying that president trump's relying on the advice from the ceo's and the major business leaders that keeps missing. and consequently pushing him further to the left. do you see it that way, congressman? >> i see it as the president is going to speak to the subject matter experts on all of the key issues in front of him. to ensure that he has all of his facts to make the best possible decision. as you get into tax reform, it's helpful to speak to ceo's who could talk about the practical impacts on, you know, net importers, net exporters, on tax policy, gdp, that the dollar-- that the policies that you'll see in other countries elsewhere, what kind of ramifications it can happen towards american companies ap foreign companies and bringing liquidity back to the u.s. ap so much more to talk about. charles: but with all due respect, there's no doubt that there's certain expertise they ing, but they arprotecting their turf.

you know, you have to wonder because the heartland of this country elected president trump, the sort of pushback against these guys and maybe we don't want a weak dollar so that your overseas sales are worth more money and maybe we don't want the xm bank to exist, we don't think the biggest corporations in america should get this sort of corporate welfare. maybe we want you to focus on us, not a border adjustment tax. that's what i'm concerned about, the idea if these guys can bring their arguments to the white house and we shift what people thought they were going to be getting. >> well, for one, i certainly wouldn't want anyone either on the right or left to underestimate the amount of loyalty and support that president trump's voters have for him and the amount of both, not just praying, but want to assist him to make sure that this president is successful. as far as president trump

himself goes, obviously, it's really important that he understands and i'm confident that he would, that the people he's speaking to about their own businesses and what they need in order to be successful, you know, it's those men and women speaking on behalf of their businesses and the president needs to make the best decision for america, understanding that improving the business climate is the way to create more good paying private sector jobs to improve the american economy. so if you're watching this show and you're a hard working, blue collar middle american struggling to make ends meet, the president of the united states is speaking to the policy that's going to help the american economy and american worker. that's most important. charles: and they want to know these folks have more skin in the game and not having things the way they want. it's the thing that they want got us to where we are right now. congressman, always appreciate your service and you coming on

and spending time with us. appreciate it. >> thank you, charles. charles: i want to bring in now scott hodge, the president of the tax foundation of the all right, scott, if the president is taking advice from the ceo's, it means certainly changes to a lot of his platform, includg what some are calling now a watered down look to tax. >> the health care debacle has poisoned the tax reform and so fractured republicans they're not going to be able to get tax reform over the goal line. american businesses in particular are worried about competitiveness globally. every other country on earth has cut their corporate tax rate to be competitive. as you know, the u.s. has the highest tax caught and out-moded tax system and they want tax reform.

charles: do you think, scott, that the shift that's reported on makes this easier to happen? does it bring more people under the tent from both parties and other, you know, other folks that may be concerned with this? >> i think the worry is that they will-- people will just come to the least common denominator. we'll pass a simple tax cut plan rather than tax reform and that's a very different beast. so, what i think that many of these businesses want, is real fundamental tax reform. they want to change the structure of the u.s. tax system to allow companies to be more competitive globally, but also to make the u.s. economy more efficient. charles: sure. >> to improve investments and the tax cut won't do it, and t they're so poisoned or by the

health debacle. >>. charles: they had more reform and i think that the president wants a w on the legislative said. if you can get the lower corporate taxes in and work on other things, we'd love to have a big beautiful tax and put a bow on it and we live happily ever after. that's not going to happen. and budget director mick mulvaney says if we want tax reform, we have to gut everything and start from the ground up. stuart aed about this yesterday. roll tape. >> the motion that we can't move tax reform is an overcharacterization. at some point the plans will merge together. it's supposed to be hard, difficult and arduous to move something as big as tax reform and the fact that we're talking about this process right now is proof of that difficulty. here is what we need to know. we either move this in 2017 or i predict the opportunity will come and go. charles: scott, is the clock winding down on this?

is 2017 it? 2017 or bust? >> i think that the congressman is dead on here. as we move closer and closer toward the mid term election, members of congress become very risk averse and it becomes very difficult to pass massive tax reform or any big piece of legislation during that kind of environment and i think he's spot on. we want to do it this year while people have the confidence that they can do big work like this and there's also the worry that the economy is just not moving fast enough that americans are falling behind and they need to do something like tax reform to get the economy going, to boost wages and real investment in the country and to make the united states more competitive globally. charles: uncertainly is certainly creeping into the conversation. >> sure is, thanks, charles. charles: new news from tesla. two vogtehicles are in the work

a truck and a rig. the and president trump is talking about keeping janet yellen on. and dick bove says it's a disaster. he's going to make his case.

>> a new tweet from elon musk, quote, tesla semi truck for september. and doing an amazing job. next level. liz: they're going to show the electric semi truck it looks like in september and then elon musk is saying a pickup truck and a semi truck in 18 months. he tweeted it out. the stock popped 3%. his net worth went up and worth nearly $15 billion and owns 27% of tesla. this is a company going through serious cash burn. an overflow of ideas, but not overflow of cash. 3.8 billion in cash burn annualized they're going through. can he pull it off?

yes, robotic trucks, the uber anheuser-busch delivery in colorado. a third of the trucking industry expenses is compensation to the driver. the thing it, can he pull this off? he has dwindling cash burn, big cash burn issues. they've only been profitable for two quarters in the last ten years. he's a p tch.t. barnum guy, eve time he tweets, it pops. cash burn. charles: he's a got a good friend in the white house and president trump wants to do something on infrastructure. that hyper loop is going to be a big part, i think, of a green infrastructure plan. liz: that's hot and you and i talked about it, if this is a company worth more than general motors and a fraction of the cars-- >> t. boone pickens wanted the

stations and i haven't heard from t. boone pickens in a while. big banks are lending less money, and some feel that president trump's agenda is stalling a little bit, so they're stalling. dick bove, you'vbeen cautious on the banks. that's headlines when you're cautious on the banks. what's going on here? >> basically, even though there's a tremendous amount of enthusiasm among the business community for the trump programs, the fact is that most of these companies are going to their bankers and saying we don't want to borrow money, we're not yet ready to borrow. the banks have been complaining for three months. they can't get people to borrow money. if the banks can't lend money, they can't make a profit. so i think that's where that part is coming from.

people have not reached the point they want to bill the trigger, build the businesses and increase size of the operations and therefore they're not borrowing money. charles: let me ask you on that note. we had earnings from j.p. morgan and citi. for a long time i thought we should never consider bringing back glass-stegal. something in the earnings that make me think maybe we should reconsider that. citigroup, of course, which perhaps is one of the big beneficiaries when they repealed it, the retail services were down 5%, banking down 3%, but institutional business, j.p. morgan the same thing, mortgage lending went down 18%, but nevertheless, their banking business, corporate banking was up and investment banking up 34 pre%. if the banks never lend to main

street, how is mainstream coming back to life. >> why wouldn't they want to lend to main street. why wouldn't general motors want to sell or tesla, you mentioned them. the banks want to lend money, that's how they make a profit. if they can't lend money, the earnings don't go up. charles: the fact of the matter is, when you have the institutional business and a trading business, you could take less risk with main street. that's okay, that's your prerogative. by the same token they've got 4 trillion dollars of printed money from the federal reserve, bailed out by main street and benefitted from amazing political clout. i'm saying why don't we split them up so there are banks out there to our sole mission, is to lend to main street. >> let's take it from the point of view maybe you haven't thought about. over the last, i don't know, since 1987, we've lost one small bank in the united states every day, every day we have lost one small bank for 30

years. why is that happening? is someone walking into the small bank with a machine gun saying you've got to shut down so bank of america can take over your business? it's happening because the small bank does not provide the services that the american consumer wants. if you take a look at polls of millennials, why do they not want to do business with small banks? why do they want to do business with big banks? because the big banks are providing them with the products that they want. therefore, if the congress with the gig government attitude says we want to benefit the system to benefismall banks, we're going back to thact of 1982 when did the same thing. the result of that was the biggest financial crisis bigger than 2008, in the early 1990's when the small banks went out of business. you've got to have an understanding what the bank does.

the bank says i want to make money and i'm going to make money wherever the opportunity exists. the fact that they're supporting liquidity in the financial markets and-- >> i don't have a problem with that, dick. >> you just complained about it, charles. charles: i have a problem with those being under the same roof and i think that it does lead to a lack of opportunity for main street america to evolve. the stock markets are near all-time highs and banks are paying out billion dollar bonuses. i think the little guy watching this show that wants a house or a start-up business is getting a shaft. >> he's not getting a shaft from the banks, he's getting a shaft from government and for people like you who don't understand, that they're-- they're providing the bulk for little guy. charles: i'll study banking

more, a wonderful life less and dick bove, appreciate it. see you soon. clemson college reverse as training manual. if you expect people to show up on time, you're racist. >> what? >> we can't make this up. and don't throw my initials in the conversation next. yes? please repeat the objective. ♪ thrivent mutual funds. managed by humans, not robots. before investing, carefully read and consider fund objectives, risks, charges and expenses in the prospectus at thriventfunds.com. thithis is the new new york.e? think again. we are building new airports all across the state. new roads and bridges.

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>> we've got breaking news for you. the g.o.p. health care plan, it's on-- take a listen to what the congressman, a member of the freedom caucus just said. roll tape. >> i think there's definitely a pass bill. if you remember the march 23rd date where this kind of blew up. that was not a deadline. that was a self-imposed deadline and what happened, the bill wasn't ready for prime time, you hadn't gotten concensus and set a date without concensus. what's happened since then members are taking to each other and really the administration has done a good job. vice-president pence has been exercising a lot of leadership to try to figure out how do we actually fulfill the promises we made to the american people. charles: all right, liz, what do you think. liz: well, i don't think they have time. what do you think? does anybody think they have time to do anything with health reform? >> the original deadline.

charles: to this point that was an artifical thing. >> that's the problem. they've had seven years, some of them have been in there for decades. that was an artifical deadline they knew they couldn't meet which was strange. thises a situation if you couldn't do it in seven years and don't have the coalition around it, how are you going to make that happen in a few months? it seems like they don't want to do it and this is trump and pence's challenge. getting the g.o.p. establishment to play, to do the right thing. liz: so are they going to-- >> talking establishment for the freedom caucus. liz: are they going to let it collapse? is the president going to let it collapse and then do reform. charles: this week the keiser foundation find out if it does collapse, 67% will blame president trump and the republicans. and watching it collapse retroactively blaming obama, sounds good, but i don't think it's going to work anymore. i give it a 50-50 shot. they have to get it done. i want to go back to the clemson university story sending out a diversity training material to their

professors and get this, it says, if you expect people to show up on time, then you're a racist. ashley: what? >> look, this is a clemson, of course, a public university. $27,000 for an on-line training diversity course, which tells the professor. charles: i'm in the wrong raquet. >> that it would be bad for you to tell people who come late to a meeting that it's-- that 9 a.m. is an example, is everyone's 9 a.m. and respect that. if people show up late and this is what's particularly special about their attitude, you have to respect that this-- that these people's cultural perspective regarding time is neither more nor less valid than any other. charles: what does that mean? >> there will be fewer liberals on radio and television because they'll show up late. it's ridiculous. business, it's just a disaster. charles: we're supposed to be ning, these are the future captains of industry. >> exactly. charles: all right, more varney

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charles: i'm charles payne in for stuart varney. so don't at just your tv we are live. we have a lot of big stories affecting your money. president trump bringing in dozens of ceos to the white house several times over the first 80 days during his presidency. that is great stuff. there are reports that business leaders are influencing the president nudging his shift from foreign policy to fiscal policy. geyerry cohn as most people know is life loaning democrat. reports steve bannon, the man who helped president trump get elected in first place fall out of favor. the question we're asking, will that alienate the base that got him elected in the first place? the second hour of "varney & company" is about to begin. ♪

>> at the top of our agenda is the creation of great high-paying jobs for american workers. there has been a lost progress. you see what is going on. you see the numbers. we created over 600,000 jobs already in support period of time. it will start catching on now because some of things we've done are big league and they are catching on. charles: that was president trump on tuesday during a meeting with the country's top he ceos. "the wall street journal" now reporting that the business community is influencing the president's policy shifts. many of them to the left. jeff sica joins us, circle square investments. what is your thinking in this? we've seen president trump change his mind on janet yellen, the export-import bank and now he want low rates and less of a strong dollar. >> i think it has become pretty evident he is sort of going with the tide right now. he is taking the temperature of

the american people and i think that, in a lot of ways dangerous. i think, the american people -- charles: american people or ceos in this room? don't think the ceos represent the american people? >> you're probably right. i, obviously he is a businessman. people like steve schwarzman. he has been his friend quite a while. they spent a lot of time with each other through the years. he is comfortable with them i think that's a good thing but yes, it is true, the business community does not necessarily represent the american people as they should. liz: go ahead. the first two months were a case study in self-destruction, self-destructive action. that is what a pundit recently said is true for president trump. that was the steve bannon white house. he is moving more to the gary cohn, jared kushner white house. where you do bipartisanship. that is how reagan, clinton did reform measures, you need bipartisanship. that is jeff's point. will we see more measured, stablized presidency?

i tell you the first two month were chaotic. charles: president trump is a guy who gets things done, right? >> right. charles: i don't know this attitude ever been brought to the white house. certainly idea of getting things done quickly. so the, i don't think it has been a disaster. i think the health care thing was major mistake. liz: immigration rollout, travel ban rollout. charles: yeah, could you probably say that all the pushback, legal pushback would have happened no matter what i think. >> liz: worded incorrectly. go ahead. charles: even after he changed he got the same amount of legal pushback. i think the big mistake he made first of all was trusting ryan to spearhead health care. ashley: yes. charles: i think it is great -- ashley: and border adjustment tax he doesn't support. he was left with this ryan plan he didn't fully support. charles: it is great you meet with the sees yos. we're all -- ceos. we're all capitalists and want them to be a part of this. they have self-interest counter

to the person watching this show. ashley: it doesn't fit with the rhetoric of drain the swamp. yes, you take crony politicians out of there, you swap them out for top ceos w have eir own agenda. liz: which is goldman sachs crowd. ashley: the very same crowd he railed against on the campaign trail. liz: to ashley's point, he has mick mulvaney at omb drastically reducing size of government. people complain that he hasn't filled owl the posts he needs. maybe they are not needed? >> we're hoping, my hope, thinking it's a good thing he is reaching out to the business community, this has got to be their core issue. tax cuts, not just corporate tax cuts, but sweeping tax cuts. charles: right. >> if it is not, they're not doing their job. charles: what does it mean president trump says we'll leave yell enin place, at some points on campaign trail he talked about firing her on day one. what does that mean for your business? >> i have a very strong point.

i believe he is not going to renominate her under any circumstances because if he does renominate her, that's a support of the obama economy. he is not going nominate her. he needs a scapegoat. if this economy starts -- charles: what if she keeps rates low? what if the fed hikes only one more time? >> he is real estate guy. real estate guys want low interest rates. that is in our blood. the bottom line he could put somebody in there to keep rates low. janet yellen will be the scapegoat no economy continues to grind forward into, forever. when it does, when the economy does begin to reverse, my prediction is that it is going to be blamed on yellen and her interest rate policies. charles: all right, guys. jeff, i want to mention this to you, the u.s., we dropped the largest non-nuclear bomb ever. 36 isis fighters are dead in began. the nickname of it is the

"mother of all bombs." lt. general jerry boykin is here to discuss. first time used in combat, why was the first time the mother of all bops was deployed? >> yeah, well, first of all, charles, i think it was a great strike. the second quarter point is that donald trump says that the commander on the ground there, general nickerson, had the authority to do this on his own, but, thirdly, i don't think this had as much to do with killing isis as it did sending a message to both north korea, china, finally iran because their nuclear facilities are in deep underground bunkers and tunnels and that is what, a target in afghanistan was. so i think it was messaging to them more than it was killing isis. charles: so, and successive weeks we have very strong measures, very strong messages, rather, sent to the bad actors of the world that there is a new president who is not going to

have a feckless, indifferent approach to this that he is is determined that he means what he says and he is willing to take swift action. the question you now is, if these bad actors don't, if they don't listen to the message, if in the next 24 hours we get a nuclear bombings flowedded -- bb exploded in north korea what happens? >> that is a good question. we're as close to a war-time scenario on the korean peninsula as we've been in my lifetime, since the korean war certainly. but what happens? i think this is going to be diffused. i think china is working very hard, hey look, give president trump credit, you know what he did in syria and at the very same time that he was talking to the president of china, i think the president got the message. i think they still haven't figured donald trump out. they are not sure what he is going to do.

i think china is going to continue working. china has been very active in trying to defuse the situation. i think the south koreans are appealing to the trump administration to move with great caution. we've given them sophisticated air defense and we've got a naval task force off the coast now. i think we're ready launca preemi have tiff strike but i don't think it wilcome t that. charles: those thad missiles we put in south korea offended china. by the same token it has been revealed north korea has been using the key components come from china. so it is a murky, complicated situation, isn't it? >> it is indeed and i think the fact that we have not only used this gbu-43 in afghanistan but that we have put missiles there and we have put a very powerful, about 97-tons of diplomacy off the coast of korea is a clear

indication that donald trump is ready to act. now he doesn't want that to happen. none of us want to see war there, but i think the chinese are taking this very seriously. ultimately, i think they will be the ones that will bring this to a conclusion short of war. charles: main chinese paper yesterday warning north korea that president trump is quote, brimming with confidence, and it would be wise for them to back of of this. just about two hours ago one of their key officials warning that he thinks that conflict could break out at any moment. also the foreign minister warning that if war occurs, he said there could be no winners. i think this is something sane people understand but what about this perhaps insane leader of north korea? >> well, he is very unstable. we all know that. i mean this is a guy that killed his own family. he is very unstable. that is why i think, i think china will in fact prevail in this thing.

but ultimately, i think china is going to make sure that kim jong-un's future is not as the president of north korea. i think they're going to remove him one way or the other. charles: yeah. >> and you're going to see somebody that is more stable put in there because the last thing the chinese want is two million refugees pouring across their border, or more american military forces on the korean peninsula. china has huge interests. charles: three generations of madness i think is enough for everyone. general, thank you so much for your wisdom and your time. >> thank you very much, charles. charles: we're about to show you of video of the fire that broke out in the roof of the bellagio of the las vegas strip. parts of las vegas boulevard are still closed down as a result. the good news no one was hurt. you can see it was a pretty big fire there. major breakthrough on hiv research. scientists found a way to make cells resistant to the virus.

dr. siegel will join us later in the hour on that. president trump changing course he have recognizing the advice of business leaders over some of his most trusted advisors. the question is how much will this alienate his base? that is the theme of the second hour of "varney & company." please stay right there. ♪ think your large cap equity fund has exposure to energy infrastructure mlps? think again. it's time to shake up your lineup. the alerian mlp etf can diversify your equity portfolio and add potential income. bring amlp into the game. before investing, consider the fund's investment objectives, risks, charges, and expenses. read the prospectus carefully at alpsfunds.com/amlp

charles: now. reports h.r. mcmasr, president trump's national security advisor, considering sending troops, thousands of troops to syria. ash, what are the details? ashley: yeah he would prefer somewhat -- look, the current draft plan for syria, no one really has final details. it is a very difficult part of the world. calls for light troop presence. in other words, the preferred attack right now would be the

obama policy ramped up. more airstrikes. more use of u.s. special forces to help train and support the local forces. mcmaster, the national security advisor says he doesn't like that. he prefers to send in tens of thousands of troops to the eastern part of the country to help work their way across and finally root out isis. charles: what a lot of people don't realize, mcmaster is on record saying he liked obama's policies and middle east intervention. colin powell, the powell doctrine you go in overwhelming force, win quickly, then you get out. liz: your point, your prior guest, the general, said that would be bad to have overwhelming force. it will unite sunni and shia against the u.s. and drive the wedge even deeper, and deepen the conflict. charles: i don't see anything ever uniting sunni and shia, we'll see. with the death of mohamed,

without a succession plan, that ruined that. president trump as of now, sorry, pope francis during that g7 summit meeting in italy. father jonathan morris is here. of course he is a fox news contributor. the summit meeting is on, g7 summit, may 26 and 27. traditionally the world leaders, including u.s. presidents when they're in rome or italy take time to meet with the pope. are you reading anything into this? >> we know there has not been a request to meet with the pope or the pope to meet with president trump at least not publicly. we'll see. you never know what's going to happen. i think it's, i thinthey have a lot in common one on side of things the fact they want peace, right? trump talked about that a lot. we want peace. we don't want to get into all sorts of wars, we want peace. how that actually happens is another question. i think they have a lot of differences as well. charles: those differences were on full display during the campaign, weren't they? >> sure.

charles: by the same token a lot of people that president trump had problems with during the campaign, some of them he gave jobs to. a lot of his rivals. many he met with since then. even more recently janet yellen, he changed his mind with. there is still time. are you hopeful perhaps they meet? >> we'll see what happens. i don't really know. i'm not for pushing a meeting for purely a show. i think, if they both want to talk about important issue, let it be but i think it's better, not to have it at all, you know if they don't have an agenda of actual change, yeah. charles: this is an important time though, right? >> oh, it is huge. charles: we have all the bombs going off, particularly now during this does it, does it mean more to you that it's happening now with a disregard to the religious beliefs, that may have, some point time for at least a truce? >> just listening to you all talk about the possibility of

sending of tens of thousands of troops into syria, you go, what a total disaster for humanity, yes, this is good friday. this is very holy times for the jews as well as for the christians but you say, you know, i don't know what the best solution is. but what i do know it is a total, total tragedy for humanity that we're bombing each other. somebody asked me this morning, what is your thought about the bilge bomb that was dropped in afghanistan yesterday, and what is your first thought? can you imagine god looking down on his children going, they just don't get it. 2000 years after i sent my son into the world according to christian theology they're still blowing each other up. i'm not saying it is not necessary to stop an aggressor using force like this, maybe only way to stop the 36 isis members but it's a tragedy for humanity we're blowing each other up. charles: not in addition to killing 3isis members, maybe a

message to some of the bad actors in the world will help us avoid significantly larger carnage if we went to war for instance, with north korea? >> i get it. sometimes war is necessary. it is a tragedy. total failure of humanity to use god-given gift of reason to actually get along. when we're doing this, this is not the ultimate solution. bombing each other out does not solve the underlining issues. sometimes i understand sometimes it's a necessary to use force against an unjust aggressor but let's remind ourselves this is total failure of humanity. charles: father morris, thank you very much. >> god bless you. charles: we appreciate it. up next the mother of all bombs killed dozens of isis fighters in afghanistan. blasted stories of underground tunnels, weapons and ammunition depot. we'll be all over the story. general motors investing in america opening a up a plant in

california that will hire more than 1000 workers. that is next. ♪ yes? please repeat the objective. ♪ thrivent mutual funds. before investing, carefully read and consider fund objectives, risks, charges and exnses in the prospectus at thriventfunds.com.

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charles: breaking news. air china canceling some of its flights into north korea. emac you have details. liz: they're saying that it is not what we think. they're saying due to poor demand. local tv station said all flights suspended. national airline for china said wait a second we didn't shut down the route from beijing to pongyang. as we have since 2008 we've been suspending certain flights because no one is buying the flights. this story was breaking an hour ago. people thought, this is

north korea, china, reacting to north korea, another form of a sanctions for north korea. doesn't appear that way at all. charles: wink, wink? liz: since 2008 they have had shaky operations, not many people, not much demand to fly into pongyang. ashley: go figure. charles: we can always get united to fill that route. now this report, meetings with ceos and business leaders obviously having an influence on president trump. some think that is part of recent policy shifts we've been seeing. joining us john lonski, moody's managing director. the shift sort of to the left on a few of these issues, how will that impact president trump's growth agenda, the america first growth agenda? >> i think it is more of a shift to the center. i think trumis doing a wise thing listening to business leaders trying do come up with a policy that will boost economic activity. charles: are these business leaders, most of them, from

multinational companies, right? so are their interests truly in helping the american worker that they already exported his or her job maybe 10 years ago? >> these business leaders want sales. they want growth. so they're going to tell trump what it is they think he should be doing with policy so that the u.s. economy grows more rapidly. so consumers spend more. charles: yeah, but here's the thing. i'm a little worry some of these guys try to game the white house. they come, hey, we'll open a factory. a factory they announced four years ago. while we've seen a nice start at least for the two first jobs report. this last one was something of a disaster, are they growing to put, will we get corporate america to put more skin in the game? >> you i think they will put more skin in the game if they're fairly confident that the economy will grow rapidly enough to justify new factories, new offices, whatever it might be. right now the economy seems to be slowing considerably.

we had very bad news on retail sales. charles: retail sales came down .2 of a percent less than expected, worst back-to-back months in two years. do you think that is part of anxiety now? some uncertainty brewing because of some early missteps with the administration? >> yeah, it isn't helping either you have heightened geopolitical uncertainty. i think in retrospect to have big mistake short and long-term interest rates rise as sharply as they did of late. 10-year treasury yield at one point approaching 2.5%. after today's news on cpi, deflation both with and without food energy prices we're moving towards -- charles:ed good news, lessens need for higher interest rates. >> fed is finished for now. charles: thanks, buddy. up next north korea accusing the president of raising rising tensions in the region. the region game will conduct

when ever it sees fit. they say america has no say what happens. we're all over this north korean threat when we come back. think again. this is the new new york. we are building new airports all across the state. new roads and bridges. new mass transit.

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it really is worth a call to find out if a reverse mortgage can help you too. call one reverse mortgage now and ask for your free information kit. charles: now this. president trump's recent shift on policy reportedly due to the influence from business leaders. want to go to lawrence jones. charles: joins us the blaze host and conservative commentator. >> hi, charles. charles. how are you doing. charles: we saw it with the retaliation of the 59 tomahawk missiles a lot of key core trump supporters came out in social media and other places to voice their anxiety of this. do you think president trump is in danger alienating some of these people that really, really went to bat for him? >> i think he may lose some

people but will gain more people on the way. this president is different type of politician because he is businessman. typically politicians don't embrace being different changing their stances on things. he kind of likes this. he likes saying you know what, i changed my mine. i don't think china is such a currency manipulator. i actually thought we should get involved in syria. i think we should actually bomb isis. this president is embracing the office, the oval office. he is becoming a more measured president, not so much of the show man like he used to be. charles: is that a trap though, the knows, he has to be quote, unquote presidential? is that the sort of trap that lures him into not going after things that people thought were abrasive on the campaign trail, at least mainstream media did but the heartland loved it? they went crazy for it? build that wall! put america first!

mainstream media said that wasn't presidential. it got him into office. how far away should he veer from that? >> i think when you look at people, go back to the campaign, when we talked to the people on the ground, they always knew that donald trump would change just a little bit. they really didn't think there would be a real wall. they really didn't think trump would stay firm on some of his stances but there was a certain thing that donald trump had to connect with them, an they just wanted to be listened to. so what you see is, now that he is president, now that he has more information, donald trump is turning into that leader that makes decisions based on the results that he is getting. charles: now some of that influence is coming from cohn who is a wall street guy, a lifelong democrat, at the expense of steve bannon, who we know is being phased out. he is still in the white house but certainly him being the top

guy with respect to input has faded. a lot of hashtags on social media yesterday about keeping steve bannon in there. a lot of his supporters are really frustrated. how far can, should the white house go? bannon still has to be a part of this, no? >> i don't think so. i think right now donald trump needs results, and bannon and priebus and a lot of these guys screwed up with the health care thing. charles: bannon screwed up with it or paul ryan screwed up with it? >> they're his strategists. he let them in charge of letting the house do their job but they reported back to the president and said, hey, we want to use your political capital on this it put the white house at risk as well, because he put a lot of political capital on this he could have been focused on tax reform and other things. what you're seeing with the president is, like, okay, guys, it is time to shake some things up. charles: yeah. listen, i know 90% of president trump's core supporters believe

in him no matter which way he goes. >> definitely. charles: there are folks who are anxious out there. we'll see what happens. lawrence, thank you very much. >> small percentage, charles. thanks, brother. charles: thanks a lot. check this out, guys. nevada becomes the first state to install syringe vending machines this. is effort to combat america's opioid epidemic. joining me dr. marc siegel, fox news medical correspondent. these syringes how does this thing work? >> figure that nevada would do this, right where you have the slot machines. of all places. i'm just getting around to accepting needle exchange programs because studies rolling in, 200 of them in the united states, if you give out syringes in a place giving information and bringing people into the light let's say, it decreases risk of needle-sharing and decreases risk of hiv people stop and get into rehab. this is not a needle-sharing program. this is a machine. it gives out 10 needles. gives out 10 syringes rather.

gives out the tourniquet. gives out hiv information. but i'm worried this will lead to more needles be shared. nobody is supervising this. charles: really? >> nobody is giving you information. people will come -- charles: but if you're heroin addict or some other kind of junkie you have option of a clean needle, that is good deal for you, no? >> that's a good point, but on the other hand may be on the street, go over to the machine, get the needle, give it to someone else. this is what i'm saying i want people involved working with addict. i don't want it a impersonal machine to go for a needle. you're right, we may see a study it decreases amount of sharing. charles: would be more effective with a program goes with it, human guidance and perhaps intervention? >> that's what i'm saying. machines are okay, much rather be a place where people are involved. that will get people into rehab, not a dispensary machine.

charles: next one, doc, scientists in california creating cells that are resistant to hiv. >> well, first of all let's start by the way hiv works, charles. it goes into cells, immune cells and attacks them. hiv virus stops your immune system in its track so you can't fight off other infections. that is why it is a deadly virus. it has gone down 19% over last two decades. we have 2 million people living in the united states with the virus. it take as virus, puts on a cell of in danger getting hiv, bolsters with a defense, anti-body, a soldier i like to say in the war against hiv. those cells can no longer be infected. charles: is it for people already infected or something you take if you're risk of being infected? >> that is a very smart question and the answer it is the latter. it is on the road to a vaccine. it is a way of bolstering your body against hiv.

now maybe that people already have hiv can slow it down but the way they're studying it, people at risk, people engaged in risky behavior, they would take this, theoretically, again, just starting in clinical trial stage. this is in the laboratory. a lot of things work in laboratory don't work in real life. i tell you something else about hiv. it hides. even if you bolster million cells it will find other million it didn't bolster. this is not foolproof. it is on the road of immunotherapy. this may be used for people that they never get hiv in the first place. charles: looks like we made some progress. at least people living with hiv for a long time. i remember when magic johnson's doctor was on the cover of "time" magazine. it was isolated thing. why hasn't cancer an able to improve like that or hasn't? >> the reason hiv has it is slowing the spread of the hiv virus from cell to cell.

we're using same kind of thing with cancer. we're going to get there. cancer also fools the immune system. cancer says to the immune cells, we're invisible. we're lighting them up with immunotherapy. that cancer is foreign, let's kill it. we're halfway there as we are with hiv. it is a. charles: thank you, dr. siegel. the growth agenda is stalling. everyone is concerned. john lonski is still with us on that. we have some of these bank earnings out. we had a big thing with dick bove before you got to the studio. liz: it was fun.it was a big thing. charles: are you hearing banks saying same thing and lack of demand and lack of demand is from uncertainty out there, now that there is concern about the trump agenda? >> i think there is lack of demand for bank loans because

people are worried about the outcome for incomes and businesses are not seeing sales growth as expected. what is happening with bank loans is not the least bit surprising. even when i look at corporate bonds. for the most part corporate bond issuance is zooming of late, to refinance outstanding debt. this economy slowed considerably. so it makes sense that everybody is circling the wagons, taking cover. charles: so maybe this is the message then, that we need to get in d.c., for a sense of urgency? >> that's a sense of urgency so important. you're probably not going to get substantial tax rerm until we perhaps have some crisis in the equity markets. les: can we get tax cuts, can we get these things, lower taxes for corporate taxes and perhaps something on repatriation done this year. >> yeah. if we're going to go ahead to have tax cuts for corporations and middle income americans we have to accept the fact we have to allow the federal budget deficit to widen significantly. charles: so sending a message to the freedom caucus? >> exactly.

i would add too, this term, revenue neutral fiscal stimulus is an oxymoron. charles: by the same token the way cbo scores the stuff with static scoring, shouldn't they use so-called dynamic scoring? does anyone remember supply-side econmics, velocity of cash in the system? they don't ever model for that! >> not only tax cuts help, regulatory reform. we may eventually shocked how much benefits the u.s. economy derives from relaxed federal regulation. charles: well, i tell you what, president trump has done a great job with executive orders on that. he can do a lot more with congressional help. you're about to look at pictures from yesterday when over a dozen people got stuck on a roller coaster. this is six flags outside of d.c. they were 100 feet in the air. this is the good thing, they're all safe, on the ground. they were up there for three hours. liz: oh, no. charles: yet another bad day for uber.

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♪ ashley: now this. congressman lee zelden on president trump's strategy for defeating isis is. roll tape. >> our military were able to bolster our efforts and bolster nato and other partnerships, and

it doesn't just allow american servicemembers and coalition forces to have a greater chance of success but it's also delivering a certain level of destruction to the enemy where you're knocking them on their heels there. we're either going to fight this enemy at home or we're going to fight and eliminate them overseas and president trump is reinforcing a commitment to insure where they are right now, that this is the end of the battle on their heels and they are not going to spread to the u.s. ♪ at crowne plaza we know business travel isn't just business. there's this. 'a bit of this. why not? your hotel should make it easy to do all the things you do. which is what we do. crowne plaza. we're all business, mostly.

charles: now this. uber reportedly used a secret program to spy on lyft. liz. liz: remember uber had secret service wear called god's view to spy on where that are customers were. now they have a software called hell to spy on lyft. they created fake accounts at lyft and pick up on location and availability of lyft drivers. why do they want to do that? wanted to see prices lyft was offering customers. and see if their own uber drivers were working for lyft. zooms like good idea. we do this secretly. it is violating civil laws, breach of contracts, trade secrets and computer fraud and abuse act.

you got to wonder about a 6billion dollar valuation for uber -- 68 billion. charles: i have 10 bucks the next software will be called purgatory. u.s. military dropping the "mother of all bombs" on terrorists in afghanistan. this by the way the biggest non-nuclear weapon used in combat. pete hegseth is with us. fox news contributor. i have heard people say this isn't a bad thing. all the military guys, intelligence guys, diplomats and all the folks associated with the military think this is great, great move and it was overdue. >> of course. we've been howling to unleash the hundred of war for years. there have been political considerations, rules of engagement, decisions made by 30-year-olds in the white house that should be made by experienced commanders in the battlefield. this is reflex of that. president trump says i want to kill isis. i want to bomb the bleep out of them in the campaign trail. that is what he did in the tora bora region in nangarhar

province. if you tnk tis response to green beret we losthink they're wrong. pentagon says we don't fight for revenge. you take one of ours, we take out a lot more of yours. it had optic region in afghanistan and strategic reason around the globe. we will bring military might to bear which only helps our diplomacy. we're already seeing in places like north korea and china. charles: former president of afghanistan karzai said it was inhumane. he is, he more or less said this was sort of a disrespectful attack on the afghan people. >> he has been saying ungrateful things like that for a very long time. we installed him and fight for his country to get rid of terrorist element. that is ironic. we were bombing isis. we're at war with isis. divorce that from the overall strategy necessary in afghanistan. listen we're grappling with resurgent taliban, corrupt government, afghan military is not capable of securing that

country. that is another conversation, how many troops we need whether we are committed to that, great. isis getting another foothold we can't tolerate. i don't care what karzai says, what i care about the afghan president installed. he is fully supportive. charles: everyone took great care to avoid civilian casualties. >> you know what doesn't take great care of civilian casualties? isis. reality they would chop everyone of our heads off if they could, civilians included. charles: one more. reports that the u.s. is ready to -- north korea, if they test the nuke which could happen next 24 hours. china is worried conflict could break out at any moment. what are your thoughts? >> we need china worried invested in declubbing collarrizes north korea. whether cutting off energy, banking system. they have the levers of over the client state.

president trump with their president has born fruit. he made changes and adjustments. you have to give them a carrot if the stick is it going to work. i think we can avoid further nuclearization and further icbms in north korea by working with china as an ally in it particular effort and they have sent some good signals so far. charles: the thing i'm concerned, in the 1990s, 300,000, or 3.5 million north koreans, died, they starved to death and still could not get rid of this genocidal, this generational genocidal leader. how do we ever get this guy out of the way? seems he is such a wild card, pete, at some point we'll have to have a deep military conflict with him? >> no one wants a military conflict. they have hundreds of thousands of missiles point the at south korea and our assets, ability to deliver payload, not to the united states yet. what hasn't worked strategic patience. more talks, agreements on paper. kim jong-un family prints all

the u.n. resolutions puts them up in the office as point of pried, ability to stall the process. president trump says we'll use military force is necessary. no one wants the conflict. you have to have credible force. shoot down the next missile launch. shoot it down. force their hand. i think there is a lot more bluster than reality. he may know his days are numbered. charles: pete hegseth, thank you very much. appreciate it. president trump heeding vice of business leaders over some of his advisors in the cabinet. we've been talking about, and how much will this alienate his base. we want to hear from you because we'll hear from fox news host chris wallace in the next hour. yes? please repeat the objective. ♪ thrivent mutual funds. managed by humans, not robots. before investing, carefully read and consider

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♪ charles: so how do you feel at least that this has come back, that they are now members in congress who seem concerned about justice which of course all those spectacular hearings were so unsatisfying at the end because it felt like that was it, just spectacular hearings? >> right, well, look, we're thrilled. this has been a great week. to hear the house ways and means come back and say things they said. in our lawsuit against the irs won a huge decision this week being given access to documents and depositions that have been covered up until now. we think we're headed on the right track.

and it is about time. charles: what do you make of lois lerner being concerned about his other than personal safety and her own personal privacy in the wake of all of this? >> look, it is not fun to be targeted. i don't wishing that on anyone, but you know, the difference is, we had no protections. i think that there has been far too much cover-up. we need to hear what she has to say, all of america needs to hear what she has to say. we need to make sure what happened on her watch never happens again to any american for any purpose. charles: you know, this week, representative jim jordan wrote an op-ed in "usa today." he was really tough on koskinen, he was brought in to clean things up. 422 back up tapes and 400,000 emails were so-called destroyed. they used stingray surveillance a violation of fourth amendment and there has been crazy, wasteful spending. how do you feel koskinen still has a job?

is that sending the wrong message? >> oh, my gosh, there are enough wrong messages to keep us talking until the sun goes down. we need to take issues one at a time, just clean house. right now, what we're focused on is getting a policy that insures there will never be the type of viewpoint discrimination that was unconstitutionally applied to our group and to others. there are lots of problems but there are solutions. it will take the political will to get them down. charles: how confident are you particularly now that you had, you're getting some victories this is going to happen, the weaponnization of the irs never happens again? >> if i have anything to do with it, it is, it is in its last day

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charles: it's been over a week since president trump ordered the tomahawk missiles to strike the air base in syria.

in this hour a former reagan adviser say that is could bring my bipartisan support for a tax bill. both china and the united states monitoring a possible aggression this weekend from north korea. china saying a conflict could break out at any moment. greg paul is in north korea. we will go live this hour and we will also have corporate news on a nonmarket day. general motors, they are added 1100 jobs in california to develop self-driving cars and we are going to get colonel oliver north and his reaction of all mother of moarves, hour three of varney & company is about to begin. ♪ ♪ ♪ charles: former reagan adviser was in the room when reagan's tax cuts were negotiated. says that's the success of syrian air strikes creates a

chance now for bipartisan tax reform. so come on in, david smith, economist, hill staffer, david, you've got to connect the dots for us. >> all right. okay, for the first time trump is being praised by democrats for his syria bombings. i sathat i'm all for plan after that accident which -- plan a and to get reconciliation, it's a little bit like threatening two needles . it's going to be doable but very tough. donald trump loses nothing now that he has a little bit of praise and showing flexibility to strike out a bipartisan plan, a plan b. he loses nothing. he can't just say as he said i

want to be bipartisan, you to put a plan on the table. charles: what would that plan look like in laymen's terms, could attract some democrats without alienating some republicans? >> i certainly would want tax relief for everyone. once you start talking about individual tax cuts, you cannot get agreements with democrats. let's put the tax cuts on a separate bill and talk to democrats about four major planks. i would go with a expensing and some kind of repatriation plan that would include the understanding that corporations repat -- repatriate.

everything has a sweetener. for the democrats i would include, first of all a voucher program that for disadvantaged families living in one part of the country where there are no jobs to help them move to other parts of the country where they have job openings and i would include a very modest incremental hike in the minimum wage. modest -- charles: he thought wages should be higher. dave, i want to switch gears a little bit because the wall street journal says that the president because of his meetings with the large businesses, they've actually had influence on his recent policy shifts. what are your thoughts on that? >> well, i mean, i know what they're saying. it bothers me a little bit that

we are gearing policy so much to the large corporate sector. you look at what's happened since the financial crisis, you know, the large corporations took advantage of the 0% interest rate policy and bought back their stock. it's the small business and start-up sector that took up stock. i heard your comments before, you're exactly right. the large wall street banks because they presented systematic risks, they got treated with kid glove treatment and the small regional and community banks took nit the -- took it in the next and they have the ones who have been in terrible shape. i think that donald trump ought to be thinking right now large corporations and large banks are fine and small is beautiful. he ought to be concentrating on the entrepreneurial side a little bit more than he is. charles: we had congressman

peter from the tax writing committee on the program yesterday and take a listen to what he had to say about tax reform. >> the notion that we can't move to tax reform i think is an overcharacterrization. at some point these plans will merge together and it is supposed to be hard, difficult and the fact that we are talking about this process is proof of that difficulty. here is what we need to know, we either move this in 2017 or i predict the opportunity will come and go. charles: david y layed out a thoughtful elaborate tax plan but seemed pretty big and hefty. is there enough time to push something through like that or do we need simplicity at this moment? >> yeah, i would say two things about the congressman's comments, they're very interesting. if you look at the performance of the bond market, what the bond market is telling you and now the stock markets are saying the same, this economy is not as strong as we thought and so we

have to do something very quickly but also i think they -- he's also making a good point. i was involved in the '86 tax reform and people think it was easy back then and it wasn't. for two years we had tax reform, we had five different funerals for tax reform. we had all kind of divisions within the republican party and then we had democratic divisions and it was written off as dead, but what happened is we -- it was a bit of a -- unexpectedly that landed on everyone's desk and forced both sides republican and democrats to negotiate, that's what i'm suggesting that trump do. throw a plan out there and -- and, you know, plan beats no plan so you have to bet a plan out there for the negotiation. do i think -- look, once you get the plan out there, you -- it doesn't matter how complicated it is. charles harls sure.

a foundation, if you will. david, really appreciate it, thank you. >> great. charles: now to this, united airlines pilot wrote a letter slamming those officers for forcibly dragging that passenger, we know him now dr. david dao. here is a quote from it. the safety and well-being of our pagers is our priority and this should not have escalated into a violent encounter. united pilots are infuriated by this event. liz: what they're saying is that a ceo oscar muñoz, why are you apologizing, when you read this letter, that's what the pilot union is saying. it wasn't united doing this, it was republic airline that that crew called the chicago aviation security guards who are responsible for this incident. not united. they're saying we take passengers' safety well willing, it's our highest priority. instead of training local police

officers, they rely on security officers to do this. it's the first time they have broken silence. it's chicago airport security issue. ashley: united had a crew that ended up -- that's choking up responsibility. liz: but they're saying it's republic, another airline. ashley: who contracts republic? united? charles: i think the wrong thing to do -- it's not the first time either airline calls law enforcement to the bidding. ashley: no. charles: ceo says it won't happen again. good stuff. next one general motors. they are going to add more jobs.

they're building an autonomous car plant. ashley: they bought cruise animation, research and development center for autonomous cars. they will add 1100 jobs to this california facility and it's going to double the size of it. they're very, very serious about getting ahead of this, they say. they bought that cruise animation company last year, cruise automation, i should say, animation, a year ago for a billion dollars, so this will put a major, major boost for this self-driving car efforts. and california, testing arizona and michigan. interesting. charles: i don't know, my granddaughter is 4 year's old and i hope she learns how to drive although not in new york city. [laughter] charles: president trump listening more to these ceo's and that is influencing his decision-making and pushed him to the left, some say to the center, would the base that got him elected continue to be happy with this?

fox news sunday host chris wallace is next

charles: now this, uber reportedly used a secret program to spy on lyft. liz, give us details. liz: they were robo creating fake accounts at lyft. this is uber. this is what the reports are suggesting and they were doing it to see whether their own drivers, they were finding out the location of the lyft driver to go in there and take customers away from lyft. they were getting pricing information. this software was called hell, remember, we reported about uber using another software called god's view to track location of customers. it sounds shady and possibly violated laws, civil laws for trade theft, trade secrets, stealing trade secrets and the like. charles: you can make a james bond movie just on the stuff they've done.

thanks, guys. president trump he has been listening to the ceo's and that's influencing his decision-making pushing him to the left. we want to bring in sunday host chris wallace. a lot of anxiety and began after 50 tomahawk missiles and built up from core trump supporters that you're kicking bannon out and you're listening to the wrong people including the business leaders. chris: well, i'm not entirely sure of that. i think in the end the president sinks or swims with a lot of core supporters in the issue of economy and getting jobs back for american workers, particularly in rural areas, particularly in the rust belt and, look, president trump tried it, bannon way with the obamacare repeal and replace and that didn't go anywhere and i think this is a president who is looking for success, looking for deals and if one strategy didn't

work, he's looking another way. meanwhile, clearly it's so interesting to watch in washington to see people annoyed it. it was all about steve bannon. made cover of time magazine which was not particularly helpful in terms of the standing with the president who counts the number of times he's been on the cover of time magazine, but right now the it boy in this administration is gary cohn, head of national economic council. big stories in all the papers this week about how he has put together a really solid expert staff on tax reform, on infrastructure at the nec and that the president is listening to him and, of course, it doesn't hurt that cohn is allied with jared kushner, the president's son-in-law. charles: he brought two dozen policy experts. he brought in a team and circled the wagons, if you will. having said that, steve bannon

has a large group of folks who do believe in his economic nationalism that should be the core, if you will, of any america first agenda. so i know things change rapidly in washington, d.c. even more so with this administration, should president trump be concerned th ibannon is no longer with the white house at all at some point? >> well, that's an interesting question. if bannon were to leave then the issue is, and, of course, bannon has support of the mercers who have got a lot of money, would he turn on him. there's an old argument, i'm going to try to clean this up but lyndon johnson talking about hoover who took over in the mid-60's, i would rather have him in the tent out rather than outside the tent in. [laughter] chris: you can try to fill in the blank there.

that might be a calculation that death makes that he would rather have steve bannon in the tent even in a reduced role rather than outside directing fire in, but, you know, steve bannon gets a vote as well and whether he wants to stay in if he sees he's losing argument. it's very interesting, a game of thrones quality to this and washington looks who is up and who is down and one of the interesting names that's being mentioned is steven miller who the 31-year-old who was a speech writer and was really, i think, the prime architect along with steve bannon of the president's very strong america first inaugural address just a little two months ago, they were seen as being joined at the hip and president trump use today refer to the two steves, but it seems like steven miller has jumped ship and extricated himself from

stephen bannon and cohn working with ivanka trump and jared kushner on a bunch of their initiatives. charles: quickly, we have less than a minute but i do have to ask you about the mother of all bombs, how does that change the dynamic of foreign policy? chris: well, look, i don't think that this was specifically ized by donald trump. they make a big issue of the fact that they say that they have -- they are no longer micro managing by the pentagon as barack obama did, they say they get a lot more control to the pentagon and to the commanders in the field and i think this call was made by general nickelson, having said that, white house is not shy at all about the fact that this sends a message about the president and the willingness to project u.s. force that they hope is heard in the capitals of iran, syria and specially north korea this weekend.

charles: well, speaking of edited comments, president trump promised to bomb the you know what out of isis. chris wallace, thank you very much. >> you bet, thanks, charles. charles: it's the lincoln mall in suburbs of chicago, a judge just ordered it to be demolished. jeff flock is there with exclusive. he has the pictures, inside of this abandoned mall. we will be right back

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charlie: breaking news from earlier. air china canceling flights to north korea. liz: this is a confusing story. the airline is denying earlier reports from television broadcaster, that state broadcaster said all flights were cancel today pyongyang. wait a second, we still have flights going to pyongyang to beijing, we canceled flights for lack of demand, we have been doing that since 2008 so we will stay on the conflicting story. charles: thank you very much. now this, it's been a running theme in this program, the retail ice age with consumers finding other ways to shop, malls risking closing all over the place and jeff flock joins us from one, he's live at the

lincoln mall in illinois. that mall, now, jeff, to be demolished? jeff: you said it. take a good long look because it's one to have last scenes you will see of the lincoln mall built in the 70's. this is in some ways just the tip of the iceberg, this is a zoarvey mall, one retailer left here, but the thing is there are a lot of malls out there. about ten years ago, right before the financial crisis, a lot of mall developers took on loans, 10-year loans with a blown payment, they are now starting to come due. we have some pictures inside the mall. they're not letting us in right now but we manage to obtain pictures from a photographer name zeth wallace. you know, it fascinates me the abandoned spaces that were once centers of commerce and now not so much.

these are coming due and malls across the country, you know, facing obviously a lot of, you know, concern and competition from folks on the internet as well as people, i think, just in general wanting more experiences than things, used to go to the small, not so much anymore and pretty soon this will be a piece of suburban chicago history, charles. charles: feels like aztec ruins, civilization falling down or something. more varney next listen up, heart disease.) you too, unnecessary er visits. and hey, unmanaged depression, don't get too comfortable. we're talking to you, cost inefficiencies

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charles: i want to get to the markets. i know they're closed today but the's a lot going on. tgm investment scott, we had the ugly session for the market collapsed into the close, retail sales up this morning. horrendous, people are getting worried. how are you feeling? >> well, i mean, let's just talk regardless of what the president's troubles have been and, yes, there have been some successes, feel-good factors on what he's been doing internationally, the numbers aren't showing us what we need to see and the bottom working is

telling us. the bonds are telling me that we have a lot to be worried about. we've had one great job's number and one really bad job's number. you mentioned retail sales today but then at the end to have day, bonds are saying, show me the must be and we can't really -- we have some great unanswerables out there. i want to get rid of the unemployment rate number. i can't stand it. if 5% is still what the economists say is full employment and we are at 4 and a half percent. how come we don't have any wage inflation? that tells me that the engine is broken. how come we have still many millennials with the parents if they are greater than full employment. we still have some problems and the numbers aren't coming through showing us that we have done anything different in the last six months. that's what i'm word about and the market is slowly but surely waking up to that. charles: so-called soft data but the enthusiasm whether it's mall businesses and whether it's the uptick in people looking for homes and all the other consumer

confidence stuff out there, does that in your mind give us -- buy us some time as washington gets their act together? >> 100%. you're exactly right. it's only buying us time. they would go out and have great meeting and come back, hey, did you sell any product and they say no, but we had a great meeting. at the end of the month we are going to pay you a great meeting. that's the problem. we are living on hopium. if he doesn't have the numbers, the markets are going to wear thin on that. charles: wall street journal saying that meetings with business leaders have influenced president trump's recent policy shifts. he's talking now keeping janet yellen, he does not like the strong dollar and he wants rates to stay low, then, of course, the import-export bank, these are slight or major shifts that we heard on the campaign.

does that concern you? >> not really. i mean, as long as he stays to true core values. what's happening is he's coming into office and they're not knocking the sharp edges off of him. no president wants to have a really strong dollar really because that's going to slow his economy down, so i think he's won't up to that fact and i also think that slowly but surely he is seeing what everybody has been seeing and we don't have a real answer to our economic woes, we are trying but at the end of the janet yellen being the one, they're waiting for some knight and white shining armor to come around the corner and that's not happening. they can't see that coming around the corner and you start to see them change policy. anybody who can say that the bad job's number is not going to affect the fed, i think this is going to have a bigger effect than most people think.

charles: we are seeing bank lending, that's stalled already. some of it is saying because businesses themselves are saying, we are not ready yet, we are anxious here about the trump agenda, almost everyone believes most of the things are going to get done but there was a sense that the growth agenda was going to happen almost immediately and, of course, that happened. >> the animal spirits have been awakened and slowed down like a sea of malasis here. but that's still giving us the reason why we do have that hope but if that doesn't happen, we are in for some trouble. if we get something out of any one of those, the markets will like that. because it's been slowed down so much the market has gone sour. we've got a situation where the bond markets kind of like the missouri state, show me the market, show me that this economy is turning around and

ever since we had the first rate hike, you have seen bonds rally pretty hard. we had a yield of 2.3% very low at 2.6% when we had the rate hike. bond market is still screaming in my face, we still have big problems out there and other people are slowly but surely waking up on that fact. charles: a lot of people consider the bond market to be the canarian of bond market. >> happy easter. charles: the president's change of of course and being pushed to the left, i want to bring in fox contributor doug, doug, you know, i guess for a lot of us we get nervous when democrats start applauding president trump. [laughter] charles: they love the syria attack, they love some of the other things, what's going on? do you see a noticeable shift with respect to in the last

couple of weeks to president trump than when he came from, from the campaign trail. >> sure, we were going to have a good relationship with the russians, they're now at allow point, nato is obsolete, now nato is essential, he wasn't going to engage in syria, he did and in afghanistan which he said get out of, we launched the most potent nonnuclear bomb we have and on the domestic side we have, no more strong dollar, low interest rates, potentially reappoint janet yellen. charles: although we can say when president trump was campaigning, he wasn't going to ever really tip his hand. you know, that sort of set-up, those parameters, but to your point, china is working out a lot better than we thought we would. >> certainly. charles: perhaps china will help us with north korea but to put more pressure on russia. >> hope so.

charles: the thing here is since president trump is doing things as democrats applauding, will the democrats step up to the plate and play ball and help to get the economy moving? >> no. they won't. the most recent polls have the president's approval at 39. you saw the kansas congressional race which showed about 20 odd points movement to the democrats. democrats are going to resist and if trump proceeds with his plan to try to defund the insurance companies going forward, democrats will hold their ground and blame him. charles: perhaps -- i don't think that's gone anywhere. i think a lot of things are being thrown out there in an effort to sort of move the needle, but again, this sort of, you know, position -- >> sure. charles: the democrats railed against republicans for eight years, the party of no. >> right. charles: are they really willing to sit on the sideline let obamacare implode. the creature that they developed

that they unleashed on the american public? >> 61% in kaiser poll said that the health care system was -- is on the republicans and president trump, 31% said because of obamacare, so democrats responsibility. poll numbers like this, democrats will just say no like the republicans. charles: i think that's why people hate the establishment. >> i think you're right. absolutely right. charles: we are willing to let something implode to hurt your opponent. appreciate it. i want to show you this video again. the first time the united states has ever used this weapon. it's moab's. colonel, thanks for joining us. your thoughts when you saw the news and the video that we unleashed this powerful weapon that's been in our arsenal for a while. >> in fact, charles it was developed to use for the shaq in

awe back in 2003, we built a dozen or so and never used them in combat. what it's supposed to do is within a 1-mile radius of the burst and it's not a ground burst, it's an air burst, pressure to knock down buildings, it will knock down tunnels, it will crush caves and no one really wants to use it in a place like syria or pyongyang or north korea it's perfect wreheused. province of ghanistan is remote, i've been there. i think we were the only good guys out there. everybody else was a bad guy. so this was a perfect weapon for the perfect place for the perfect enemy because that weapon requires a transport plane to drop it. transport planes are big and they're slow and in this particular case there's got to be sufficient altitude.

it's never going to be used in a place as an air force, not going to be used in an aircraft or missiles, and so perfect weapon for the perfect place. what you have is a lot of people who got the message, aimed at assad or kim jong un. the right place, the right time, the right weapon. charles: you don't think there was any political considerations to this? >> i believe that what we are seeing, charms, -- charles, i think the president mentioned yesterday on what he was talking about why making the decisions, he's giving the authority to operate field commanders mattis and dunford. he has put trust in them. that's an incredible moral component for the rest of the

armed forces. there's not going to be the micro management from the oval office or the white house situation room like you've had over the course of the last eight years. all of this, by the way, you want a message, that's the message to the troops, the finest soldiers, airmen, guardsmen and marines we've ever had. stick around because your valuable to this president and the country. charles: shooting through roof amongst our men and women in uniform. thank you very much. i really appreciate it. >> happy easter. charles: you too. a fire at the bellagio hotel in las vegas. you can see the flames shooting out of the building, look at that. wow. we have more details on that and a lot more next yes?

please repeat the objective. ♪ thrivent mutual funds. managed by humans, not robots. before investing, carefully read and consider fund objectives, risks, charges and expenses in the prospectus at thriventfunds.com. ashley: fox news contributor father jonathan morris saying bombing attacks are a total failure of humanity. roll tape. >> sometimes war is necessary, but it's always a tragedy, it's a total failure of humanity to give our god-giving gift to get along and when we see that we are doing this, we have to remember that this is not the ultimate solution, bombing each other out does not solve the underlining issue.

sometimes i understand that sometimes it's necessary to use force against an unjust aggressor, but let's remind ourselves that this is total failure of humanity.

>> last time we talked, you explained that you were going to

make heaven on earth, maybe overstating a little bit. a great american city by letting a lot more people come there illegally and work for really low wages, it seems like your city council didn't agree, why they didn't see the brilliance of your plan? >> come on, tucker, i said nothing like that. >> i think you did. charles: that was the mayor of michigan, they dropped sanctuary status this after massive local push by businesses and ashley, i had the mayor on my show last night and you know what bothers me they come and start to conflict legal immigration with illegal immigration. ashley: this was a country built on immigration, yes, illegal immigration, not undocumented immigration where people pour across the border, we don't know where they are, some come here and do harm, let alone to the american worker and driving wages down. charles: right, also a sanctuary

city which you're essentially saying not only do you come in the country i legally but once you commit crimes, this is a safe haven, you put up a red carpet and flashing neon signs, hey, you know what, if you want to commit crimes, come to my city. ashley: that's disservice to the city. you're putting your residents at risk from violent offenders who should not even be here and they should be deported. instead as you say, putting out the welcome ad, come on and we will protect and be the way we will have the taxpayer pay for your lawyer if you get caught up in the court system. charles: so interesting, the city council vote is 6-0 to become a sanctuary city. businesses said, what the hell are you guys doing? [laughter] ashley: exactly. charles: think about it. we know the mayor, he's been around for a long time and he is a darling of the progressives.

he's up there with elizabeth warren. for him to back down and eat humble pie tells you that there's a massive shift not only mainstream but businesses saying this is dumb. ashley: this is exactly what put donald trump in the white house, let's be honest. yeah, there is a shift going on out there, but let's not be coy about it, this is purely a play for votes. that's the bottom line. charles: right, going t you. that's a dicey area. i want to also show you because we showed it to you earlier the fire at the bellagio. this is an amazing scene, you have more details. ashley: yes, this broke out 15:45 local time in vegas right there on the strip. the bellagio hotel in the roof, not in the main hotel area where the guests are staying, it was retail area. those flaming shooting 30 to 40 feet in the air. it took a while to get access,

they knocked it down in about an hour, no injuries, no evacuations, no guests impacted by this although the las vegas strip was shut down and has been periodically through the morning today as well, but thankfully no one hurt, what caused it that's what they're trying to figure out. charles: if steve wynn was still in charge -- ashley: he's pretty amazing. charles: i want to shift to tesla. elon musk making announcement on twitter, tesla semitruck set for september, team has done an amazing job, seriously next level. how next level is it? ashley: apparently, he's saying saying that they're going to be producing an electric pickup truck in the next 18 to 24 months. that also got a lot of play in social media and the next tes road car will be a convertible, all sorts of new projects out there. the semiis obviously a big one

k. you imagine a 18 wheeler semitruck. tesla is not a car company but a battery company. if they can get it sort it out in nevada desert and get the things operate sog they can power all the vehicles and homes and who knows, businesses, it becomes a whole new ball game. clearly they continue to move forward. they are burning a lot of cash. charles: he has a good friend in the white house. ashley: he certainly does. that helps. charles: all right, guys, more varney after this think again. this is the new new york. we are building new airports all across the state. new roads and bridges. new mass transit. new business friendly environment. new lower taxes. and new university partnerships

to grow the businesses of tomorrow today. learn more at esd.ny.gov

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charles: the white house and both china are paying close attention to north korea this weekend. some form of aggression, greg is in north korea, check this out. >> welcome to the pyongyang metro or subway. it's dual use not only transportation for the masses but it is built so deeply, so strongly that officials hearsay it could act as a bomb shelter in the event of nuclear war, nuclear war with guess who, the united states. charles: greg also spoke to a member of the north korean military, you've got to listen

to what this colonel had to say. >> even though that the u.s. is trying to invade our country, to attack, we have such a mighty strength and if they do, then we would smash the head and blow them up. charles: a little bit of confident, ash. ashley: they are brain-washed in pyongyang and delusional is one term that comes to mind. the kim jong un, the leader of north korea, a dangerous individual, he's so unpredictable. we know he's killed members of his own family, he's had members -- close members of his military assassinated or killed by firing squad, it's very difficult to deal with someone like this. we have a naval strike force in the korean peninsula in the ocean there, the message has been very clear from this white

house with attacks on syria, air strikes against them and we have the mother of all bombs in afghanistan yesterday, these are very strong messages, china saying as you recorded earlier, we feel a very serious conflict could break out at any time. charles: the wild card is we are dealing -- i don't think we are dealing with a sane person per se. he puts the mega -- the maniac. a third-generation dictator there and his father survived 3 million people dying and there wasn't a revolt. and they are probably pretty confident that they did fight south korean to a standstill. by the way, speaking of louis learner, she's now believe it or not asking that her deposition

in a class-action case be sealed. she wants former privacy? >> her and another member of the irs, both requesting that these documents, this evidence be sealed forever, they have been the target of death threats and reportedly provided proof of those death threats and they feel that their lives basically are in serious jeopardy if their testimony comes out. harming 438 tea party members. ashley: yes. charles: abusing the power of the irs. those are three letters the american fears, use their powers to hurt someone because they have a different political ideology and let us see exactly what was on so we can make our own minds. ashley: that's the basis of the suit. has she ever been held accountable. charles: absolutely not. she was smug about the whole thing and disingenuous and not forthcoming. ashley: we are waiting for judge

to decide whether, indeed, this evidence will be sealed or not. charles: we will see what happens. more varney right after this

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charles: we've bottom breaking news. involves apple and self-driving cars. ash. charles: they have a permit in california to test self-driving vehicles on public roads. charles: general motors will create 1100 jobs because they're doing autonomous investing in california. ashley: also apple. charles: that is the great gold rush. autonomous car. you will have to take myself driving, steering wheel out of my dead cold hands, connell mcshane. connell: that is very angry. 30 seconds before the top. charles: i want to get you in for a running start. connell: filling in for varney

on the other end wouldn't do that. would have tap danced to the top of the hour. we almost made it, have a happy easter. we have a lot more to cover on "cavuto: coast to coast." i'm connell mcshane in for neil. president trump is in large large. there are signs that it will be anything but a quiet one. in a new interview north korean official is blaming the president for building up what north korea says vicious cycle of tension. saying his aggressive tweets are making trouble. north korea is preparing for the day of sun, as they call it, where the militariry will be on full display. last year on the day of sun, there was a intermediate range missile introduced. today there is concern there may be a nuclear test coming. white house warned against test like that. north korea said, no, we decide