you so much, bill lee. the dow at a record. the nasdaq a record. s&p, record closes, all three powering higher on a day where fear is almost nonexistent. the vix is at 9.5. near an all-time low. david and melissa, how about that? david: remember when donald trump said you're going to get sick of winning. we have another record day on wall street. i'm not sick of it at all. i don't know about you. the dow is joining the party, settling up 95.7 points. brand-new high for the dow, just under 21,700. the nasdaq closing at record as lymph the s&p fighting for gains. too close to call right now. see how it settles in a moment or two. this shakes out, we'll let you know. i'm david asman, glad you could join us. melissa: absolutely, i'm melissa. this is "after the bell," more on the big market movers.

big news from washington to wall street, the senate voting right now on a straight repeal of obamacare with a two-year window to replace with a new health care plan. we'll be following all of the action from the senate floor and bring you the results of this key vote. and social media behemoth facebook out with report any minute. will mark zuckerberg deliver? we'll bring you the numbers the moment they come out. david: back to the market records. nicole petallides on the floor of the new york stock exchange. nicole, we haven't always had the dow go along, now the dow setting the pace. >> reporter: right, we haven't seen that since the 14th of july. this is great news here. you're getting not tired of winning. you're right, absolutely right now, we are to the upside. off 96 points at the closing best. record high for the dow jones industrial average. boeing, thank you, boeing, adding 112 positive dow points.

that was a winner. the s&p 500, another record there, off almost 16% since election day in the nasdaq again. the nasdaq showing up how great it's done, 24% since election day. amazon new all-time high for amazon. remember when it crossed 1,000, now at 1053. up 40% this year. they want to hire another 130,000 workers and so that's going to be across the nation in august. whole foods deal, which is likely to close the second half of the year, and amazon now worth $500 billion. this is half of a trillion dollars. and whole foods, taking a look how that fares, off six cents. the vix, is everybody getting too used to this in the vix is the lowest ever. no fear here. i don't know, back to you guys. david: we have breaking news from inside the beltway by the way.

the hyde amendment, this is something that is not about the repeal of obamacare. this is a separate issue entirely. we have just got word that that has failed. this is the hyde amendment, correct, producers? okay. now we're voting i believe on the straight repeal. all right. and word is from chad pergram, he's on the floor. chad pergram is a producer for fox news, that they don't have enough votes for the straight repeal either. the hyde amendment, it was unexpected to win anyway because that needed 60 votes to pass, but the straight repeal in which they were looking just for the 50 votes and it would be 50 plus 1 if the vice president has to be the tiebreaker as he was earlier. apparently, according to chad pergram, on the senate floor or right nearby, the republicans do not have enough votes for that passage of the straight repeal.

what's called the skinny bill. we're going to give you more information on this as we get it, but again, not looking good for the president or his agenda right now as, again, the repeal of obamacare, straight repeal, does not have enough votes, according to sources down on the floor. melissa? melissa: oil continuing climb for the third straight day settling near two month high, up nearly 2%, to $48.75 a barrel, driven higher by government report showing crude supplies have fallen for the fourth straight week. david: will corporate profits driving to new records today. it appears the motion will now fail. here is jonathan hoenig from capitalistpig hedge fund and heather from sunamerica funds. good to see you both. heather, to you first, the breaking news that the straight repeal might fail, if we're

stuck with obamacare until the thing continues to spiral as it has been out of control, what happens to the economy and specifically the market? >> the markets are waiting for health care in one form or another legislation. some sort of legislation to be passed because we want to get to tax reform. that's very important, but as we're seeing right now, if this isn't going to pass and the repeal state, that's because i think a lot of republicans are saying we need a sustainable and suitable replacement, not just repealing. that's not enough. david: jonathan, we may not even get the straight repeal, it appears. >> and david you talked to a lot of investors, they don't know what's going on in washington. they don't care, though. david: no, they don't. >> the late 1990s, with all the tumult in washington and what does the market keep doing? went up in '96 and '98 and almost doubled. david: the difference between then and now you have donald

trump as president, he can do things without that crazy legislative body, like reduce reductions dramatically reduce all of the regulations that we have, which business very much enjoys and appreciates. >> certainly a lot of investors betting on that david, health care reform, tax reform, as long as have you companies, amazon, which we heard from nicole petallides and the nyse, new 52-week high, microsoft, mastercard, as long as the companies are innovating. >> not to undermine what's coming out of washington here, but i think that markets are going up because of the earnings data. the earnings results are looking pretty good, and revenue is up 5% year over year. melissa: senate voting under way as we said in the straight obamacare repeal, but it's not looking good. adam shapiro live in washington with what exactly is going on with the vote. adam? >> reporter: right, this is the

straight repeal, and it was going to die because the mod rates want there to be a replacement. you heard rob portman in the last hour say there has to be replacement, that means the medicaid stabilization and expansion, that's billions of dollars that the conservatives don't want to be part of any health care reform. so the skinny repeal which is going to be coming down the pike, john cornyn said we will see the text of the repeal within 24 hours, the skinny repeal would repeal the individual mandate and the employer mandate to buy insurance. that's not enough to consider senators portman or collins to jump on board. that's in danger. here's what senator john cornyn said moments ago. >> once we got on the bill, there is expedited process, 20 hours of debate and the famous vote-a-rama at the end where we vote until we get fatigues and worn out and quit. so we'll conclude one way or

another either late thursday night or friday morning. >> reporter: there you heard it, vote-a-rama, voting on aufrl the amendments. the only one that matters is final vote, that's most likely a vote on skinny repeal, repeal of individual and employer mandates, not sufficient for senator portman or senator collins. back to you. melissa: breaking news, facebook is reporting second quarter results. let's go back to nicole petallides, she's got the numbers, nicole? >> reporter: all right, earnings per share and revenue beat the street on the top and the bottom line. stock is down 3.3%. earnings per share, 132, revenue 932 billion. so those are beats on the street. much like for the entire earnings season. mark zuckerberg came out, good second quarter and first half of the year, community is 2 billion people, focusing on bringing the world closer together. we know instagram has been a

huge part, 250 million daily active users. what happened with the total daily active users under all of facebook and the platforms? that jumped 17% year-over-year. monthly active users off 17% and the head count up 43%. across the board, doing great with growth. i will say that the analysts are saying are they going to get the same ad costs? they started to do so on instagram. they made a lot of money on the news feed. can they do it on the messenger chat app and also whatsapp. can they make money? we'll see. right now down 2%. melissa: nicole, thank you nar. david: our panel is back with us along with rene richie, why weren't these beats good enough for investors? we see the stock is down about 2% right now? >> they could be taking money out of it. in general, it was great and optimistic for the future and showing strategy of either

buying competition or just picking over competitions features is working for them. david: rene, it's extraordinary, when you look at numbers. facebook's revenue growth is twice that of google, now called alphabet. it's 43% increase from last year. how long can they continue almost doubling every year? >> almost like they're going to run out of population at some point. they're showing the power, they make value off of data but good at holding attention, and a lot of the products they've bought or created when they bring on instagram or whatsapp or use the news feed, that holds our attention, and doesn't mean they can put ads in it but repeated ads in it, that increases value. david: jonathan at $162 a share, is it overpriced right now? >> that's the one issue, facebook is the prototypical stock of this bull market, continuing to hit and lead the market higher but up, about what, 65% in just the last year and a half. if you're going to see profit

taking, but i have to tell you the move in the after-hours, 2, 3, 4% for a stock up 40 and 50% is not a big move down and the revenues continue to climb quarter after quarter. they haven't had a quarter as a public company or continued to beat on revenue. david: it's improving right now, it's down now just about 1% or 1.25%. do you think there's a little profit taking off the top? nothing that's going to hit the stock long term? >> i think in general, the technology sector and social media companies as a whole, we know that expenses are exceeding revenue but they are bringing in because they announced that it's been there so it's increasing, they are bringing in ad revenue but running out of room for the ads. are users clicking on the ads. i don't know about you but never clicked on an ad on the social media sites. melissa: never. >> that will be the challenge going forward. david: rene, there is also digital video, they're using

more and more of that. what's the future for that, is that a growing revenue income for them? >> it's exactly what we were talking about. advertisers love it and do things like auto play video which makes the numbers look really, really great and put video in news feed, put video in not just instagram but stories. a lot of real estate to put it in, the question is how well does it convert for them. >> jonathan, heather, rene, thank you very much, nicole has a little more information on facebook. go ahead. >> reporter: losses have been down 3%, now down about 1%. for facebook, though, i will note that it has been a real winner as the outpaced some of the other big guys. now can you see pared the losses. the second quarter mobile advertising revenue is 80% of the total ad revenue, and you know that mobile is where it is at. back to you guys. david: nicole, thank you, melissa? melissa: back to health care and the big fight in the senate vote on a straight obamacare

repeal is currently under way. it's expected to fail, though. here now is lauren zelts, independent women's voice campaign manager. thank you for joining us. what do you think can actually get passed here realistically? >> what we've seen today, none of the votes today were expected to pass. these were the votes that needed to be taken to bring senators together to get through the motion to proceed vote on tuesday. so what we are looking at is as adam discussed, the skinny repeal legislation that they're going to be voting on, which does three things, it strips the individual mandate. it strips the employer mandate, and it strips the medical device tax. melissa: but that's not going to happen. >> right. i know that's what you are reporting today, i wouldn't underestimate mitch mcconnell. i think there is a lot to be -- melissa: okay. >> i've heard negative tone in the coverage but we haven't seen the bill yet. it's expected within 24 hours,

so what i think we should do is wait and see. i don't think we would be talking about this unless it had a reasonable chance of passing, and that's a win. it's a step forward in repealing and moving forward to health care reform. melissa: okay, so the one they're voting on right now is yeah 44, nay 55? david: 45 to 55 it. failed and everybody voted. that's that. so you think that the skinny repeal could get done in the senate and head back over to the house? i think people at horm watching the back and forth, and they're trying to figure out what could this look like in the end, if they do succeed in doing something. what do you think is the most likely outcome? >> i do think it has a chance to pass in the senate. i think congress is looking at august recess. they're looking at facing their constituents and having accomplished nothing. so i think what they are

wanting to do is to get something done. the skinny repeal bill i think is going to be something that they can come together on. it comes over to the house. there is discussion about whether or not it would go conference or whether the house would vote on it as it is and send it to the president's desk. i don't think this bill is dead. i think we need to wait and see. i don't believe we have the full text of it yet. so don't take today's votes to mean everything is failing. everything today was designed to fail and that's the important part to remember. melissa: yeah, this is like the get it out of your system voting that's going on today. lauren, thank you for your insight. appreciate it. more breaking news, paypal reporting second quarter results. back to nicole, she's got the numbers now. >> reporter: how is everybody paying? venmo, peer-to-peer, at 46 cents, earnings per share adjusted. the stock is higher, up 2.2%, a

real winner this year, up 47%. but we are seeing the addition, 6 1/2 million customer accounts added, and the payment transactions were up 23%. but the analysts do say that venmo is the key growth catalyst and waiting to see what deals and partnerships they would make, something they're work on is bank of america, jpmorgan working more so people can use the credit and debit cards. it costs paypal more, if they can get the volume, this can help out rather than direct bank accounts. they've been working. last but not least, this is the acquisitions and what kind of strategy will they have? increase the european presence. will they make a deal with square? watch for that, back to you. melissa: i love paypal. all the kids love venmo, if you have to pay a baby-sitter, they only use venmo. do you do any of these? david: none at all. i pay with old-fashioned credit card. little more information what

happened in the u.s. senate. the amendment to repeal obamacare outright failed, 55-45. there were seven republican nos, susan collins, shelley moore capito, rob portman, lamar alexander and lisa murkowski. surprising names in the group. a double threat, fox news reporting iran is prepared to launch a missile into space while north korea may be a lot closer to having a long-range nuclear missile than we thought. melissa: plus, she was one of two republican senators who voted no to proceed with the debate on health care reform, she's caught with the hot mic. we're going to weigh in on that one. >> the tape is amazing. the president pushing ahead on tax reform saying the middle class needs a break even if it means the wealthiest have to pay more, what does that mean? rates are going to go up or lose deductions?

blake burman asked that question of the president at the briefing at the white house. he joins us live from the white house next. >> reporter: does the president believe that the wealthiest americans deserve a tax cut? hello, this is adt,

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. melissa: breaking news for you, facebook shares slightly higher after hours following second quarter results, beating earnings and revenue. the company's efforts into video advertisements helped drive growth for its mobile and business. david: meanwhile, new details on president trump's tax plan. the president indicating he wants to give the middle class a break, but it might be on the backs of the wealthy. blake burman at the white house. blake, the real question is, whether rates will go up on the

wealthy or whether when the president is talking about some people paying more, he means they will lose deductions, rates might go down but might end up paying more because they lose deductions. >> reporter: and i tried to get into it with the white house press secretary sarah huckabee sanders about rates and what the president means with all of this, they didn't want to get into the specific numbers on this day. a white house official did point out the very point that you made, david, the rates if they don't go down as low as possible as once thought with the deductions and so forth, it's still a moving puzzle over here that everybody is trying to figure out. the catch phrase on this day from the white house is this, pirateizing middle class tax relief. that's what they say, press secretary sarah huckabee sanders said is the focus for the white house and the president going forward. genesis of all of this was a "wall street journal" interview that president trump gave just yesterday and here's what he said, quoting from the president. he said --

so that led me to ask sanders during the white house press briefing the following. >> does the president believe that the wealthiest americans deserve a tax cut? >> i think the president is looking and prioritizing middle class tax relief. he's made no secret about that, that's one of the biggest priorities of the three things he's focused on when it comes to tax reform. >> reporter: sanders add of the three things that a simpler code and creating jobs are part of the focus but it could be a potential downshift in expectations as the administration said earlier this year they were looking for the, quote, biggest tax cut ever. speaking of jobs by the way, david, a pretty big jobs announcement in about 45 minutes as the white house says this involves foxconn. the associated press is

reporting there will be an announcement involving a plant in wisconsin. david? david: lot more american jobs in that one. blake, thank you very much. melissa? melissa: jonathan hoenig and heather are back with us now. jonathan, what do you think? >> i'm shocked, melissa. the president had promised before the election and after some of the biggest tax cuts in american history, and from my ears it sounds not so different from his predecessor thinking the middle class and words have gotten screwed and to remedy that he's going to raise taxes on the higher and upper income earners. melissa: no. >> the same as obama. melissa: i predict this is a decoy. heather, i think this is -- he always throws something out there at start that sends everybody -- i don't want to give it all away, sends everyone off track. like when he said he was going to have the trade war with china. that was about getting north korea under control. like when he said he wanted to eliminate deduction for state and local taxes.

that was a shot the democrats that they better shut up, of course, that could hurt democrat cities that have a huge budget and get the feds to pay for it because you can deduct the local and for. the way he said it is sending everybody offbase, what do you think, heather? >> yeah, i think this is more about tax reform versus tax cuts. although he may not give tax cuts for the so-called wealthy or the highest bracket, what we want to see is tax reform where, we decrease the deductions, lower the loopholes, you get rid of all the lobbyists and you throw everything out and simplify it. i don't know if it will end up on a post card. make it simple so the average american, me, you, can do taxes on our own and not worry about the itemized deductions and doing it right. melissa: sounds good, we gotta run, david? david: pushing forward on tax reform. after the obamacare repeal bill failed in the senate, can republicans unite behind tax

reform. we're going to talk to chuck fleischman with his take coming up. fresh on the job and ready for action, what the incoming white house communications director has the stomach to give any leakers the boot. fox news media analyst and "mediabuzz" host howard kurtz with us in a moment. r floss you may have gum problems and could be on the journey to much worse. help stop the journey of gum disease. try new parodontax toothpaste. ♪

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. david: there's a lot of action in the senate today. senate voting on a plan by democratic senator from indiana donnelly to send the health care bill back to the committee. this after the senate just rejected an amendment for straight repeal of obamacare, replacing it in two years. seven republican senators voted no on the straight repeal, including susan collins, shelley moore capito, john mccain, interesting, rob portman, lamar alexander and, of course, lisa murkowski, melissa? melissa: back on camera, new white house press secretary sarah huckabee sanders holding an on-camera press briefing

moments ago, as incoming communications director anthony scaramucci continues cracking down on those white house leaks. >> there are 300 people in the west wing, so you are one in a million, you have a one in a million, once in a lifetime opportunity to serve the country and your president and you need to serve him honorably and do the right thing for him. if you can't do that, i have the stomach and the back bone to fire you, no problem. melissa: i love it. he's doing math for us this morning. here now is howard kurtz, fox news media analyst and "mediabuzz" post. 300 people, one in a million, i love that. i can't help myself. so what do you think of this development? we know there's already one person who has exited the white house in the wake and within the communications department in the wake of what may or may not have happened. what do you think? . >> the person that left was the sean spicer guy, we shouldn't necessarily read too much into that. anthony scaramucci acting like

the chief of staff. he's threatening to fire people over leaks. it has been an incredibly leaky white house, and i can understand great concern, the president is poorly served by the internal finger pointing that makes its way into the press. i think if he gets rid of one or two, that might send a strong message that some of this leaking has got stop. melissa: yeah, what do you think about the messageing? has it changed other than the tweeting? i mean, beyond the tweeting? >> lately the messaging is all scaramucci. he's got a very big personality. a good sense of humor, forceful tv advocate for the president, but i think he's the one that's turned the cameras back on, as we saw today. sarah huckabee sanders, used to be that maybe one out of every two weeks to be on-camera briefing this is when sean spicer was having difficulties. if we can attribute that to scaramucci, better for the administration to get the message out. spares us from having to play

the long boring audio segments. that's a step forward. melissa: do you feel that the temperature has gone down just a little bit? >> i do feel that. scaramucci at least is saying that he wants to de-escalate the incredible level of tension between the president and the press corps. there is fault on both sides, president campaigning against fake news and journalists who sometimes get it wrong or push very sustained negative narratives about the white house. i don't know how long it will last. maybe this is a week long honeymoon. i sense a couple of degrees it's gone down. melissa: he does a good job speaking for the president, when they were talking about jeff sessions, look, he likes people who are tough, fighters, if you work here, stay tough. that would be the advice. it's almost the best defense you could come up with for something that everybody thinks is a really bad move.

a decent way to defend it, what do you think, yeah? >> anthony scaramucci, like donald trump is a businessman with no previous government experience. that's one of the reasons trump likes his style. melissa: howard, thank you so much. you can catch "mediabuzz," of course, you know this, with howard kurtz, every sunday on the fox news channel, i never miss it. david: i don't either. terrific show. lot of questions rex tillerson, secretary of state, just asked moments ago if he was going to hold onto cabinet position, taking a short vacation at an interesting time. listen to the response. >> i'm not going anywhere. >> reporter: how long are you going stay for? >> as long as the president keeps me. melissa: more breaking news, meg whitman stepping down from hewlett-packard's board of directors effective immediately. company is appointing chip berg as the new board chairman. meg whitman stepping down. david: interesting. creating jobs in america. the president's promised to do

it and getting ready to make a major jobs announcement concerning a company that feeds into apple. is he just following through on campaign promises? we are moments away from a speech you can't miss. melissa: a session showdown, attorney general jeff sessions is the target of a twitter attack from president trump. what's going on here? karl rove is here with his take. that's after the break.

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melissa: here's another look at the records on wall street. all three major averages closing at new highs. the dow led higher by shares of boeing, adding 144 points to the blue chips. without it, the dow would have been in the red on the day. david: interesting. republican senator from maine, susan collins, and democratic senator from rhode island, jack reed, were caught on a hot mic listen to how they were slamming the president. both she and the democrat. listen. . david: of course, susan collins was one of seven senators who

just voted against an out-and-out repeal of obamacare, simple repeal of obamacare. she and john mccain and others voted against it. karl rove joins us with what it means, of course, a former deputy chief of staff to president george w. bush and fox news contributor. karl, simple question, why is susan collins a republican? >> well, she votes for tax cuts. david: not always. >> well, she supported every supreme court nominee of george w. bush and donald j. trump, i'm not aware of a single -- david: there was only one of donald trumps but you're right, voted in favor of it. >> david, let me put it another way. i'm not aware of a single federal judge nominated by a republican president whom she's opposed. look, she's from a moderate state. david: okay. >> more moderate than most republicans. david: i would call her liberal on certain issues.

look, karl, when you look how medicaid has expanded. extraordinary, it is the largest medical expense of the united states government, now eclipsing medicare, over 70 million people on it. it's a huge expansion. it is essentially a step on the way to socialized medicine, and she's fine with that. i think that's liberal, i don't think that's moderate. >> a strong disagreement on issue that. our president has liberal views on entitlement reform. you are absolutely right. medicaid is not only a problem for the federal government, it is absolutely eating the budgets of our state. i was having dinner with the chairman of the texas state finance senate committee who said when she came to the legislature it was taking up 6% of the budget, it is now 14% of the budget, pushing money aside, taking money from things like education and corrections and quality of life issues and only going to get worse. the great things that happened in the senate and house bill is we had fundamental reform of

medicaid that would allow us to make this a sustainable program for those that really need help. david: absolutely, and she and the six other republican senators are against the most minimal attempts to cut back on that explosive increase in medicaid spending. you know, tragically, a "wall street journal" editorialist genius just died, he's only 44. >> so sad, so sad. david: he coined the term obamacare republicans just last week. isn't it fair to call susan collins and the others obamacare republicans. >> i'm going to wait to throw names until the end of the process. i'm an optimist. i hope to get republicans who claim to be center right, on the conservative side of the spectrum to unite behind a measure that will do several things, reform medicaid and make it a sustainable program long-term and bend our health care system in the direction of more consumer choice, consumer

power and individuals in charge. david: it used to be that the republican party represented getting the government out of private sector in individuals' lives the way obamacare has gotten it into the lives. it is to the detriment of the republican party. i wanted to ask you about jeff sessions, please come back, we're going to be talking about that soon. >> read my column in the "wall street journal" about this very topic. david: it's always worth reading. thank you, karl, appreciate it. melissa: breaking news, we're awaiting a big jobs announcement from president trump. the president expected to appear with the foxconn ceo and sources say there could be an announcement on a new factory in wisconsin. we're going to take you there live just as soon as it happens. david: don't want to miss that. tax cuts for the middle class. president trump is proposing a major overhaul of the tax code, but could come at a little bit of a catch. we'll tell you about that. plus keeping a promise to the american people. the ongoing battle to repeal

obamacare in our nation's capitol. next congressman chuck fleischman weighs in on the senate's progress, if you can call it that. s its way into you. ...i hear you. when that pain makes simple errands simply unbearable... ...i hear you. i hear you because my dad struggled with this pain. make sure your doctor hears you too. so folks, don't wait. step on up. and talk to your doctor. because you have places to go... ...and people who can't wait for you to get there. if you have diabetes and burning, shooting pain in your feet or hands... step on up and talk to your doctor today. where's jack? he's on holiday. what do you need? i need the temperature for pipe five. ask the new guy. the new guy? jack trained him. jack's guidance would be to maintain the temperature at negative 160 degrees celsius. that doesn't sound like jack. actually, jack would say, hey mate,

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i'm the new sleep number 360 smart bed. let's meet at a sleep number store. . melissa: breaking news right now, shares of buffalo wild wings tanking nearly 10% following a major second-quarter earnings miss. same-store sales at company owned restaurants fell 10.2%. wow, look at that. david: the obamacare straight repeal proposal falling short of the 51 votes to pass. what now? here now is congressman chuck fleischmann, a republican from tennessee. first of all, the fact that seven republican senators voted against a straight repeal. i'll ask you the same question i just asked karl rove, what makes these folks republicans? >> well, let me say this, we have a great nation. i represent a part of the

nation that is solidly conservative. i was very proud to vote for the house bill that did reform medicaid and put in some of the reforms that were critically necessary to not only repeal and replace it with something that was actually workable. there are different parts of the country that unfortunately are much more moderate or liberal in their tone, and i think we're seeing that reflected in some of the senators' votes. david: i understand that, with republicans, shouldn't there a basic belief government should play a limited role in our lives and private sector? >> absolutely, i couldn't agree with you more, and most importantly, when there's a government program like obamacare that's an abysmal failure from the beginning and as it's continued on, at some point in time, whether you are republican or democrat, failure is failure. it's got to be repealed and replaced. david: talk about tax reform, and frankly, i'm wary whether they're going to get something done because of the failure in

health care. president told the "wall street journal" we could put up the quote, the people i care most about are the middle income people in the country, that's fine. he says they have gotten screwed, which i think is true. if there is upregard revision on taxes, it's going to be on the high-income people. the question is what he meant by upward revision. i can understand if tax rates come down and get rid of deductions, rich people could end up paying more. that's fine, the way it should be in simplification. if he's talking about raising the tax rates of the upper class, that could be disastrous, what would you think? >> it would be disastrous. i've ascribed to what jack kennedy had, ronald reagan had and what we have today. if you reduce taxes, the treasury gets more money. i want to create incentives for americans to go out and work and prosper and we'll actually see more growth in the country. we've got to make america

wealthy again, in order it make it wealthy again, we have to remove burdensome taxes and regulations and the administration and congress is willing to do so. david: so when the president says upward revision, are you certain that he's not talking about raising tax rates. he's talking about getting rid of deductions? >> going to see the president tomorrow. david: i hope do you ask him and let us know how he answers, because if it means raising tax rates, that could kill any economic progress. >> you're absolutely right. let me make a steadfast comment, the house of representatives does not want to raise taxes, reduce taxes on hard working americans, we've got to get corporate tax rate down, it's the highest in the developed world. it is destroying our chance to get companies to base themselves here. david: that's corporations, as you know a lot of small businesses pay taxes on individual rates and a lot of the people may look like they're making a million books but putting $950,000 back into their business, so in the end

of the day, not make much. shouldn't be taxed at 40% or more. congressman fleischmann, wish you luck meeting with the president. let us know what happens. >> thank you. melissa: threats from two different enemies, iran and north korea raising the alarm for foreign intelligence officials. next we'll talk to fox news strategic analyst ralph peters how the u.s. can prepare for the worst-case scenario? ♪ ♪ ♪ ♪

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here now is ralph peters, fox news strategic analyst. thank you for joining us. >> hi, melissa. melissa: first, what do you make of the test out of iran? >> the missile that can go into space teaches you how to make an intercontinental ballistic missile. it's an icbm masquerading as pseudosatellite launch. it matters, and marries by the way, melissa, that iran has missile technicians helping the north koreans develop their missiles. melissa: yeah, what do you think? how does the white house respond to this appropriately? >> the core problem is no mrlgz has responded for the last quarter century. all carrot for north korea, no stick. and now we're in a corner, and it's really, really tough, and basically, north korean nuclear and missile program duo goes forward, i see three options and they're all ugly. one is do nothing, subject ourselves to nuclear blackmail or nuclear strike from north

korea. two, aggressive action to take out the north korean leadership on a broad basis. that's probably the best, least, bloody but still bloody hope. the third is wait until we're in a war with north korea which would be an ugly, bloody mess with if there were only tens of thousands dead, we'd get off cheaply. this is what happens when you lead from behind, when do you nothing about a threat and pass it onto the next president. melissa: well, they passed it onto someone who seems like has the will to do something against it, about it, you see the sanctions that are coming into effect right now if the president signs off on them, is it a step in the right direction? something? >> step in the right direction, certainly. but the problem has gotten to such a severe point, that the sanctions will annoy north korea, they will not stop north korea, and by the way, we absolutely need to be over the myth that china will help us, china regards north korea as a

valuable ally in peace and war. and so we need to be prepared for all eventualities and the authorities in hawaii and honolulu planning civil defense drills and warning sirens, that's not hysteria because honolulu above all, that's the key to our whole pacific strategy, that would be a target. melissa: absolutely, ralph peters, thank you for your time, appreciate it. david: scary stuff. deal maker in chief is getting ready to deliver another deal for the american worker just moments from now. president trump is expected to make a major announcement on on jobs. we're covering it. stay with us. ve a ford f-150. michael: i've always been a ford guy. potsch: then i have a real treat for you today. michael: awesome. potsch: i'm going to show you a next generation pickup. michael: let's do this. potsch: this new truck now has a cornerstep built right into the bumper. gary: super cool. potsch: the bed is made of high-strength steel, which is less susceptible to punctures than aluminum. jim: aluminum is great for a lot of things, but maybe not the bed of a truck. potsch: and best of all, this new truck is actually- gary: (all laughing) oh my... potsch: the current chevy silverado. gary: i'm speechless. gary: this puts my ford truck to shame. james: i'll tell you, i might be a chevy guy now.

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i wanted to know where my family came from. i did my ancestrydna. the most shocking result was that i'm 26% native american. i had no idea. it's opened up a whole new world for me. ♪ melissa: we're moments from major job announcement from president trump, sources telling fox business. that a world leader in manufacturing products will build a new factory in wis. david: they are a source for

apple, they are expecting to create 10,000 jobs and bridge billions of dollar to investment in u.s. bring a lot of iphone to america. melissa: huge. that is it for us, "risk & reward" starts right now. >> every president on mount rus rushmore believed in protecting american industry. we have to protect our industry. now we're going to start. we're reclaiming our heritage as a manufacturing nation again. manufacturing enthusiasm is the united states is at an all-time high. because we're going to bring back our jobs, bring back our wealth. we're going to bring back our dreams, we're going to bring back once again our sovereign dia diaz