put that in your pipe and smoke it. stuart: he is right. 15 seconds to neil cavuto. i will tell you this, the market rally stand. we're up 155 points. see what i'm giving you neil, it is yours. neil: i'm giving awe new new jersey governor sworn in a few minutes. phil murphy going after your wallet. wants to impose a tax on rich guys like you. he plans to detail that in his inaugural address. chris christie is history after eight years. the garden state has democrat in charge, full run of the table, controlling both houses phil murphy sees no indication that he has to slow down on a plan that might be damaging in this

environment of being able to write your state and local taxes off. it would hurt millionaires in the state if you added a tax to them, give them another reason to leave the state. chris christie by the way bemoaned that. be that as it may, we'll get details from the governor shortly. expected to be imitated across the country by other democratic governors coming in. virginia is looking at that. a virginia democrat taking charge on saturday. way too early to tell where all of this is going. what is not too early, look what is happening at corner of wall and broad for the second time this year the dow hit another milestone. we've been in and out of it since. now 25,971. this is seven trading days after 25,000. by the way it is the 8th 1000 point milestone since election day. the 7th since the president was inaugurated. among some of the companies we're looking at moving up smartly, a lot of people say based on tax cuts that are

improving the bottom line, united health an citigroup, merck also up on very successful lung cancer drug study. tech sector continuing to move forward. the president is entertaining the head of kazakhstan. when they speak to the media which they should within the next half hour we'll take you there. dow jones glen hall, democratic strategist michael star hopkins and deirdre bolton. it got me thinking, deirdre, it happens sometimes, when we're focused on federal tax cuts that the impact at the local level, of your state and local taxes don't go down or worse, go up. >> to up, right. neil: could offset the boom. >> meantime do not tell that to any single person invested in the stock market right now. right now this is euphoria. no one cares. you started talking about the 1000 point milestones. last year alone we blew by five,

right? 2014, two to add to that. you're saying within seven days two more. this extraordinary. put this in larger context, this is nine-year bull run. neil: that's right. >> this is awfully long stretch going up and up and up. to your point about the federal taxes to me this is all about that, right? corporations got a huge break, right? 35%, down to 21%. that is feeling good to a lot of companies. for all of these companies that make money overseas, they get a one-time forgiveness tax, not the governments. from this point on, nothing, you're not taxed on every single penny you makeover seas, if this is not a food time for stock investors, i don't know what is. neil: glen, that is the curse of riches. when you look under the hood here, beside the rate collapsing from -- to 21 from 35, the dirty

little secret this, tax forgiveness, curse of riches for companies that have not just getting it to shareholders that sort of thing. would be nothing wrong if they did, but they're going further than that that could be helping individuals out more and could be part of what is going on here but what do you think? >> optimism is real. there is a lot of adjustment being done, with citi and jpmorgan saying we have to take the one-time hit because all the tax deferred status we've been holding on in the future is gone but they're optimistic what the tax reform does for us long term. neil: they take the hit now to adjust for money they were putting aside that they don't have to? >> essentially right. that doesn't mean they don't have trouble in the future. they continue with the same plan but the taxes give them away to benefit the shareholders. neil: how much are you crediting the president with this? >> this is the president's tax plan. he pushed hard on this. neil: i'm talking about the rally.

>> oh, the rally. the tax plan is behind the rally. i agree with deirdre on that. the rally is sort of extension the optimism the president brought. that optimism is sustained when you get deals done, when you get tax reform done. when you get the next level of legislation. let's not forget all the regulatory deregulations done through the executive office. >> i would want to remind everyone while great the economy grow but we need wage growth. neil: don't mean to interrupt you. he is waiting the head of kazakhstan. they will have a brief statement. that is happening on the north portico. go ahead,. >> average american is not investing in the stock market. we're making sure that they have see benefits. neil: more americans. >> more poem in my age demographic. people in their early 30s, who may through their, if they have pensions or 401(k)s but a lot of people also don't. so what we're not seeing is

those kind of wage increases, in people who are working -- neil: what do you think of all these companies sharing the loot with their workers? >> i hope that continues but i think temporary -- neil: does that surprise you? >> not really the temporary bonuses is not surprising. what is surprising some companies incrementally raise wages. for a long time people said that would cause job losses. we're seeing that may not be true. neil: do you think raising taxes on upperring this in new jersey, phil murphy governor southern in succeeding chris christie he is still talked about wanting to slap a tax on millionaires. chris christie said at that will be a mistake. even the senate president new jersey senate said it would be a mistake, it could chase moneymakers away. what do you think? >> i think in all honesty rich people will not leave new jersey and proximity to new york the way they can get into city. great moment for republicans and

democrats to come up with a solution. neil: sound like you don't think it's a good idea. >> i don't think it's a good idea. i think phil murphy legalizing marijuana for recreational purposes will bring more revenue. neil: so will higher taxes. >> colorado seen a lot of success with it. i think new jersey can replicate it. neil: what do you think of that? this is the countertrend i was raising with deirdre, not across the board, but in those states where you can no longer write off the high taxes that is a conundrum. >> that is the downside to the tax reform for specific states, new york, new jersey, california, a few others. you have got a challenge there. they have got a challenge to face, this changes the dynamics between intrastate appeal for wealthy new businesses and other opportunities that might help their economy. so they have to work on that. neil: what do you think, deirdre? no i think the critics of this plan said why are you punishing the working middle class to upper middle class and giving that money to companies so that see crows get more so that has been the criticism i have heard.

i think net-net, more people with all due respect are invested in the stock market than maybe they realize, 401(k)s pensions. i think for average worker the fact that the stock market is up and up and up is helpful. i will begin to watch for the signs that maybe there is a threat, eventually at some point this comes down, right? for the moment i'm happy to cheer it on but there will be a moment where the market ceases to go up. then i think -- neil: you're a new yorker, right? >> yes, i am. neil: we talked about what they want to do in new jersey, but governor cuomo, unlike mayor bill de blasio, i think i'm correct, poo-pooed a tax on high earners would say it would be counterproductive. not so phil murphy yet. we could have border agony there, right? >> you want me to start mixing it up? i actually think the millionaires tax on manhattan, listen people who are working, earning above a certain level are through higher taxes supporting a lot of the city's

infrastructure. i'm only speaking of the city-state manhattan. i don't think people will be leaving. they will complain. they will be unhappy. their kids are in school. their jobs are here. neil: what about the ones whose kids are not in school? >> i think they can go. >> there is something about being in new york. people love saying they live in new york. they have homes in manhattan. >> why would you apply that to new jersey? >> i love new jersey. people love living in areas like morristown and affluent areas in new jersey allow them to be in the city quickly but i think when it comes to new york -- neil: i worry about new yorkers with their arrogance. certainly not you and deirdre. a risk that northeast terners who would want to move away. new york had that attitude when texas was tempting their workers. >> don't see a lot of migration

from california. that is the thing to watch for. less about individual millionaires and so forth moving on. more about ges moving to boston, that kind of thing where you see corporate mobility is alive and well. >> boston is amazing. 800 new biotech firms established there in last five years. neil: that is not a cheap neck of the woods to your point. >> it is not just the tax implications but also realities of having access to those cities getting there. >> the talent. they need workers. for boston -- neil: you're both sounding like elitists. >> you should see my bank account. it doesn't look like it. >> it doesn't match. neil: another thing we're focusing on this possibility on wall street to deirdre's point could be stopped by a government shut down which is looking increasely likely. fox news capitol hill producer chad pergram. what does it look like? >> some people believe to keep the government open, defense

spending and daca, they need a government shut down. the government is funded through 11:59:59 friday night. when you don't have much time, it is hard for house speaker paul ryan and senate majority leader mitch mcconnell to go to their respective conferences there is meeting in the house can you vote for this to keep the government open and get nothing, beseech them to do so. republicans are concerned that democrats will get daca. they will get an agreement to raise non-defend spending would be counterpoint to raise defense side of the ledger here. republicans are saying what do we get for this? keep in mind how republicans are leery of approving a daca fix may inflame the base. dick durbin, the minority whip indicated he stands bit language used in the white house meeting that the president said what he said. he was critical of the president

in the meeting on tuesday with the bigby cam ral session let's work together, find an agreement. the president said i will sign whatever you send me. on thursday they came up with a tentative plan and the president trashed it. they are running out of time. it might come down to simple math. they might not have the votes to keep the government open for the sake of keeping the government open, neil. neil: everyone is getting their dander up about, using infamous comment, far more alarming to me is 180 he did, bring me a daca deal i sign it, i will take the heat for it, even in a phone call prior. apparently looking like a done deal. whether he was talking to conservative members afterwards or not, total change of heart. so it is not so much his language that is alarming me, as much as it is about face on it. >> that is what concerns members of congress on both sides of the

aisle. which version of the president are they going to get? are they getting one week ago tuesday in 55-minute bipartisan bicameral meeting? will they get the one where there was salty language used in the meeting. we don't know. that is the question. why kirstjen nielsen the homeland security secretary in hot seat before the homeland security committee this morning there was a exchange between nielsen and dick durbin said, you will ask all these things for a while in exchange giving some sort of a package to the folks who came here did no wrong, brought here by their parents, why should it hinge on that. nielsen said why i appreciate your passion. it was interpreted smashingky comment interpreted by durbin. there is no clear path on tuesday solving this by friday that we had last tuesday or last thursday or even before christmas. keep in mind this would be the fourth funt to just keep the government open -- punt.

they are close on spending numbers. with raise defense spending and would raise democrats call it, democrats call parity, raise non-defend. that blows out spending caps of sequestration, very controversial impested in 2011. that will not move until they get something done on daca. daca is white hot and why things are at stand still right now. neil: you have to get nine democratic senators accept a temporary spending increase, measure, another few weeks that would not include daca, good luck on that? >> not so much those nine democratic senators. republicans in the senate are banking on some of those like heidi heitkamp in north dakota, joe manchin, states like west virginia where daca is not important. you voted to shut down the government and turn that against them in the electoral sense later this fall. neil: want to be clear. you know this far better than i,

daca is the dividing line here it seems, that democrats won't go on board unless it is. conservatives will bolt if it is. so i don't see us avoiding even a temporary shutdown? >> that is are with people are saying how do you do it just on time and what do we get for isn't if republicans have majorities in both the house and senate why would they vote just to keep the government open if they think at the end of the day the democrats will get a daca agreement and they will get beaten badly at the polls any way, even if this is not issue generic ballot is not favoring republicans right now. there are key retirements. some are saying maybe this is a good fight to have. some think this will force the issue. you can't go through three interim spending bills without forcing this topic, neil, the daca issue. it was issue in september. it was issue in early december. it was an issue right before christmas. at some point this has to come to a head. that head may be right now. neil: indeed. chad, thank you very, very much

no anytime. neil: there are cynics among you saying we tailored our new show we're starting on saturday to a government shut down, a constitutional crisis, an everyone out of money and we're going to light it with a couple of bic lighters because there will be no power running in washington. that is a little extreme, yes we did orchestrate this entire thing as we kick off the live show, 10 a.m. to noon eastern time, by the way live every saturday. this is kickoff what could be a government shutdown that we, hope to avert, that could be happening right now. the dow doesn't seem to care. investors don't seem to care. phil murphy speaking to his new constituents of the state of new jersey, doesn't seem to care. he must be figuring they're all getting richer. they can afford to pay up. so they shall, after this.

retail. under pressure like never before. and it's connected technology that's moving companies forward fast. e-commerce. real time inventory. virtual changing rooms. that's why retailers rely on comcast business to deliver consistent network speed across multiple locations. every corporate office, warehouse and store near or far covered. leaving every competitor, threat and challenge outmaneuvered. comcast business outmaneuver. neil: all right. we're just getting confirmation, fox news confirming that steve bannon, who has been up on capitol hill testifying has been subpoenaed now by special counsel robert mueller to testify before a grand jury as part of this russia probe. so we'll keep track of that, where that is going, exact timing of that. meantime you probably heard a little earlier a few minutes after trading, the dow crossed

26,000. it is trading below this. still a triple digit advance. nicole petallides has the 26,000 cap, everything else. she is piling up those caps. nicole. >> we are piping up those caps and they actually made one that said almost 30,000. i think it would be cost efficient to get by the tens at this point, half joking here but you did say, 26,000, another milestone, after seven 1,000 milestones, today would be the 8th for president trump since he was elected if we close above the 26,000 mark. it would be just zetsche days. technology is helping. we're seeing 12 dow components hitting new highs. we have some movers. unitedhealth within the dow jones industrial average raising its profit outlook. the stock is up 2 1/2%. with that, they're saying because of the corporate tax cut, that is one of the reasons they speed up tax investment at an aim to cut customer costs. another mover is merck, jumping

on news of positive results from a lung cancer trial. that is up 7 1/2%. we're watching general electric a different picture. the stock is under pressure. they cut the dividend. they're working on the company since late last year. it is down again 3 1/2%. the latest on that they expect to take a billion after-tax charge in the fourth quarter, reviewing ge capital insurance portfolio. so a charge will be taken there. another tough day for general electric. big picture, dow 26,000 in just he have seven days. we'll see whether or not we close above the market, up 160. neil: i ask you this every milestone but do they get nervous there? everyone likes stocks going up but though know eventually things go down. are they worried about it going down? >> interesting you ask that. that would be chatter you expect to here in light of run-up. that is not what they're talking about. they feel optimistic.

looking to corporate profits. now earnings season. we're seeing positive earnings. we've done so well despite all the news, whether north korea or, investigating if russia meddled in the elections. all the hurricanes and market really barreled through all of that. the pro-trump policies they're talking about, the business policies that they are really liking at this point is nicole, thank you very much. nicole petallides. let's go to the white house the pray of the meeting with the president of kazakhstan with donald trump. >> thank you very much. it is great to have the highly respected of president of kazakhstan with us. we have a tremendous relationship in terms of economics. a lot of good are being purchased from our countries meaning jobs, general electric, boeing, tremendous amounts of money. kazakhstan is doing really well. they turned things around. they have a lot of advantages over some nations frankly and

they have some tough situations but the president is highly respected and has done a great, great job. it is an honor to be with you. we were together in saudi arabia, developed an immediate relationship and really terrific what you've done. thank you for being here. >> [speaking native tongue] [speaking native tongue]

>> translator: first of all, mr. president, thank you very much for your invitation a great honor to be here and i would like to start with congratulating you with the first anniversary in the office and that year was very productive and you achieved a lot for your country. >> thank you very much. [speaking native tongue] >> translator: and i'm the first president from my part of the world to be received in the white house. it's a great honor and kazakhstan has always enjoyed good political relations and we appreciate american support for independence and territorial integrity and for the 26 years

of our independence we enjoyed a very good, strong partnership. we appreciate that very much. today's visit is witness to that friendship and partnership. and i'm looking to the fraughtful discussion with you on top ibbs -- topics of mutual interest to both of our countries. i do believe after this visit the economic cooperation between the two countries will grow even further. and once again thank you for your hospitality, and i wish you success. >> well, thank you very much. we've been talking a little bit about the economies and our economy and as the president has already said and said again and will say again, we have broken a lot of records. we're breaking another one today.

the stock market is way up. jobs are back. black unemployment is best it ever been in recorded history. it is best number with respect to black unemployment, we never seen anything even close. so we're very honored by that. country is doing very well. economically we have never had anything like it. i don't think we've ever been in a position, the president was saying we've never been in a position like we have. many countries, many companies are moving back from other countries where they left the united states and now moving back into the united states. we had a big announcement recently with chrysler going back to michigan. we had toyota coming in going to be build a massive plant. we have many, many companies coming in building in the united states, that means jobs. i appreciate all the nice things you have said. i look forward to our luncheon. i look forward to our discussions. and with that, i just want to

thank everybody for being here. >> thank you everyone. thank you everyone. [shouting questions] >> thank you very much. thank you very much. i want them to come in from everywhere. thank you very much. everybody. >> thank you everyone. thanks, everyone. [shouting questions] >> jim, thank you. thanks everyone. >> mr. president -- >> thank you. >> thank you everyone, we're exiting. >> no idea. really no idea. >> thanks, everyone time to exit. >> jim, thank you. everyone please exit. thank you, thanks, everyone. neil: all right, you never know. i look for the bye-bye. but the president using this opportunity meeting with the head of kazakhstan. he is only guy in charge of kazakhstan since it became a

breakaway republic 26, 27 years ago. he is trying to form a stock market. he thinks that could be drive the country's economy and market going forward. very big fan of the president and what he has done in this country but more to the point, the president a big fan of what is going on in this country and another record in the dow today on that wind at his back. obviously wall street likes it. to car industry analyst lauren fix, independent women's forum, hadley heath manning. hadley, the president wanted to use the occasion to talk up the markets to do this because he doesn't feel he gets the proper credit in the media, what do you think when he does that? >> look, i know this president from the beginning even as a candidate, like speaking directly to the people who support him. that is why he uses twitter and social media so frequently. he should be proud of the numbers in our economy, the jobs report, the stock market today.

those are good indications we have a strong wind at our back as you said, neil. i believe with the tax cuts and jobs act we'll continue to see improvements as firms respond to the corporate tax rate being reduced. they are offering greater wages an benefits. that means more money in our pockets as workers, as american consumers. i think we'll continue to see more prosperity from here. neil: lauren, you're good on manufacturing, particularly auto guys, ahead of your arival, ford is saying savings in every part of its businesses, the tax cuts a big reason. gm sustained profits through this year. a little bit concerned about the president potentially dropping nafta, yet chrysler as you know, handing out big bonus checks to workers because of the tax cuts. what do you think is going on here? >> well i think they're responding to the fact that more money coming to them. they don't want to be called out as being bad guys like they have been called out in the past so

auto manufacturers just like a lot of other industry are giving back to their employees. what do you think they will do with it? they are going to spend it and it will help the economy. part of why you're seeing stock market do as good it as it is. this will affect autos and many other industry. neil: toyota could see 200,000 boost in overall u.s. car sales just as a result of this. is that a little generous or what do you think? >> i think that we're going to see a boost. last year we had 17.2 million cars sold. the year before that, 17.7. at some point you can't keep escalating where we sell more and more cars. a lot of people out there keep their cars 12 to 14 years, if they're maintaining them at some point they will need the new vehicles and new safety technology. they wait until they get cash in their pocket. whether that is tax return money or bonus and money back from the manufacturers or who they work

for. they go out and use to it buy automobiles. second most expensive investment you have after your home. neil: hadley, without getting into the politics here, i still can not fathom how some of this hasn't rubbed off on the president's approval numbers. certainly would rub off if it were the opposite. what do you think of that? >> i think that people are waiting to see. i think a lot of americans have heard a lot of misinformation about the tax law and they're waiting to see how they will personally be affected whether through immediately the change in withholdings from the paychecks. waiting to see until tax filing time for the year 2018. so i believe when people see ultimately the real money in their pockets, that is when they change their attitude. experience is the biggest teacher obviously. but the beautiful thing about these tax cuts is that if you want to spend money on a new car, that is your decision. if you don't want to spend money on a new car, i'm a little skeptical about car sales i think there is generational challenge for automakers that

they have to advertise to millenials who maybe don't value car ownership as much as baby boomers or previous generations of americans. we see disruption in individual industries and markets, economy will be continuing to be very strong. people eventually give president trump and republican congress some credit for that. neil: we'll see. ladies, thank you both very much. these markets continue to rip roar ahead amid concerns about north korean tensions. countries looking smaller, leaner nuclear weapons. it gets really crazy, not enough to dissuade traders. we have former retired admiral robert natter what do you make of the environment? you guy look at probably chiefly concerned with our security that the markets cavalierly move on, convinced everything is just fine. are you? >> relatively speaking i am. the reality is when we had the

russia-u.s. unilateral challenges we got along just fine because we had a nuclear weapons policy that worked. the world has changed. north korea good example. the growth of china and their military good example. the return of russia to the cold war day operations, and so we need to change with it. having said that i think there is confidence in our military. there is confidence in our leadership to do the right thing with respect to nuclear weapons. >> these smaller, more tactical nuclear weapons, whatever countries are looking to do, russia might be violating strategic agreements that go back to reagan-gorbachev, what do you make of all that? >> well the rush shuns have long had focus on tactical nuclear

weapons. they have them today. we have gotten away from those because at the end of the cold war we had a strategic weapons balance with russia and it worked. but today things have changed. putin has become much more aggressive. developed weapons that can be used tactically. it upset that balance. we have to respond. neil: so if they're going to have them we have to have them, right? >> well we can't just stick our heads in the sand and pretend it doesn't exist. neil: yeah. >> we have to morph our weapons development so that we can have confidence that we can prevent war. neil: but i always worry, general, that too many people having these type of weapons heightens the possibility of war? >> no doubt about it, it does. we are in a less stable environment today than we were 15 years ago or i would argue even five years ago with

north korea involved but that is our reality. we can't just ignore it and wish it away. neil: you're probably right about that admiral, thank you for taking the time. i appreciate night thank you, neil. neil: given the sign of the times, around people are so sick in this country, with a wicked flu epidemic across the country, the cdc is staying away from strategies of planned nuclear preparedness, telling us to take two aspirin and go to bed. ♪

neil: all right. it wasn't what it was but it is still impressive, good enough for a record, the dow dipping back under 26,000 after spending a good chunk of the day, last three hours, well over that level. so if the close is above it it, would bs fattest 1000 point

ascent, nine trading days from one milestone to the next. in percentage terms, smart people like jack otter, you don't need to go so high in the points to see a big jump. it is what it is. "barron's" at large editor jack otter is here. one of the things you see as wrinkle, interest rates could tick up. the dollar could fall. the dollar is better than three-year low, that will cause problems but you say not necessarily. >> i would distinguish between those two, bond yields ticking up at some point that will be a problem for the stock market. the dollar falling is a big tailwind for the stock market. what it means that american companies make stuff sell it to people in other countries at cheaper price. so they buy more of it. so when the money is converted into dollars we get more. if the dollar were to plummet

that could be dangerous. but the slide of 10%, is good deal. morgan stanley said every percentage point the dollar falls add as half a percentage point to s&p 500 earnings. that is boost to s&p 500 earnings the past year. neil: can a bull market, sustained leg in the bull market, whatever they're calling this one, be sustained on a weaker dollar? >> a weaker dollar alone is certainly not enough. what it is the latest tailwind of the we keep on saying how long can this thing last? then somebody else happens to give it yet another boost. this is the latest one but, who knows what the next one will be. i tell you actually, answer my own question. the next one might be that benefit we get from global growth because, in this country it is hard for people to understand how long the u.s. was just toiling alone, pulling the globe behind us. and now we're actually slower. europe is -- amazing thing to say, europe is growing faster than we are.

those markets are cheaper than ours, much cheaper than ours are. so there is a lot of potential that can move this whole bull market forward. i'm not saying it is going to but it can. neil: we might be less of a beneficiary? >> yes i've been urging investors for the last 18 months, diversify overseas, buy for inare stocks. stocks are much cheaper and they're growing faster. neil: a lot of multinationals as you point out caterpillar will benefit from there obviously continue benefiting. >> yes. neil: you could take make a arguement follow average. >> that is jack bogle's argument. coke sells more than half of its coke overseas. that is obvious. if you're csx if the company is exporting more the rails will be bigger. there is lot of benefits to u.s. companies. >> dow transports are looking at their ninth or 10th straight up day. haven't seen something like that in four years. >> that is supposed to be a bullish signal.

neil: the dow theorists say that is another reason to believe this do you? >> it is hard, a little bit scary because so hard to find anything wrong right now. so that has to make you think, well, what -- so the market obviously looks ahead. when the market sees good things in the future prices go up. if there is nothing left to improve, that's when you have to start really worrying about the stock market. neil: but i'm old enough to remember before the '87 crash there were some souls came out, this is very rich market. remember that summer before we had been coming down. so the multiples had change ad little but it was still considered very lofty as it was late '99, early 2000, that sentiment was building. a lot of people are looking at this saying it is a little rich but not unseemly so. >> right. neil: where do you stand? >> need more than just a rich market to have a problem. you need a catalyst of some sort. neil: that punctures it. >> in '87 one of the issues was people bought this so-called portfolio insurance. so when the selling started it

snowballed upon itself. neil: they could sell-proof their stocks. >> they thought. neil: they thought. >> what is that thing now? the only thing i can really point -- two things and they're related, would be bond yields going up and inflation. we're starting to see an uptick in inflation which leads to another recommendation which is commodities. jeffrey gundlach said last week that his firmest conviction is buying commodities. if you don't want to buy commodities directly, energy companies benefit from falling dollar, as dollar false, oil gets more expensive. neil: we have a whole generation of people who don't recall double-digit inflation and don't recall fed fund much beyond a point or two. >> sure. neil: you and i know the historical norm for fed fund would be 5%, substantially north of where we are now. just to get back to historical means that would be a jolt for a lot of pima that would be a huge jolt. no one is predicting even that. people predicting three plus are a little worried be, blue to get

to five or six would be. biggest one i mentioned to you before is probably technology and this idea we no longer need to deal with atoms. we need to deal with bits which are free, these platform companies. you don't need to buy or rent a storefront. sell your stuff online. those are massive deflationary forces we have to sort out and i think will keep a lid on bond yields. neil: fingers crossed, whatever they say. jack otter, "barron's" editor-at-large the good to see you. cdc changed discussion on nuke preparedness to the flu. lauren simonetti, what is going on? >> this season's flu season is bad, neal. you might have noticed. so bad that the centers of disease control prevention changed topic of upcoming talk from north korea how to prepare for a potential missile strike to influenza. we'll have the update, that seminar at the top of the hour. not to down play the risk of a

nuclear north korea but how severe this flu season has been. 60,000 cases where people sought medical attention. that number likely higher. and we know that 20 children have died thus far. 6500 people in the hospital. to think there are 13 weeks left in the flu season. this is what the cdc says. quote, the vast majority are caused by influenza a, h-3 and 2, severe illness in people 65 years and older and children. this particular strain is not responding well to vaccines if you do get the flu shot. even worse news for those hospitalized. there may be a shortage of iv saline bags. why? hurricane maria swept through puerto rico in september. puerto rico is home to baxter international. they make many of bags that carry iv fluids. this situation is so dire in some hospitals that nurses and doctors are actually pumping

gatorade, neil, to patients through stomach tubes and finding creative ways often times hard to get iv bags. neil: lauren simonetti. thank you very much. take you to trenton, new jersey, where the garden state has a new governor. this is the guy, phil murphy, former big brokerage honcho. essentially paid 20 plus million to get elected governor. worked like a charm. unpopularity of his predecessor, chris christie didn't hurt. outlining plans to stick it to very rich folks in his state. like stuart varney. he mentioned varney 1times. more after this. s? well, with your finances that is. we had nothing to do with that tie. voya. helping you to and through retirement. ...from godaddy! in fact, 68% of people who have built their...

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neil: all right. we talk about this impasse over a daca deal. we were just hearing from the senator graham where hopes that republicans will come to agreement with democrats to make sure that is part of any package that is ironed out here to keep the government lights on. has questioned the president's strong language on this but not his incent to get a deal -- intent to get a deal done. that is oddly enough a theme in new jersey, looking a after illegal immigrants, making

new jersey potentially modern-day sanctuary state like california though he did not spend a great deal of time on the issue in his inaugural address, he touched on the notion that the wealthy should pay more, they will to the have the benefit of writing off taxes in states that are considered high taxes like his. he said you know, a stronger and fair new jersey insures that the wealthiest among us pay their fair share in taxes so working and middle-class families can keep more of their hard-earned money. ie, i am not giving up on that millionaire's tax. he goes on to say for those of you debating whether to stay in new jersey or leave, perhaps considering moving here from elsewhere i commit to you many years from now when you look back, planting your flag in new jersey will be one of the smartest decision you ever made. to "making money," new jersey resident, charles payne.

>> i told you he was going to do it. it is offensive, when i add up my federal, state, local taxes it is more than 50% i'm paying. i've offended that somehow -- neil: said you had an obligation to pay your fair share. >> somehow my paying over 50% is not enough, somehow i get up every morning before 5:00 a.m., i work 12 hours minimum every single day, somehow i'm ripping off somebody else. this guy is offensive but this notion is offensive. here is the thing. it has backfired. everywhere they tried this it backfired. look at in this country income inequality it backfired. last year homelessness in america went up first time in seven years by 3,000 people. 13,000 were in california. 20,000 on skid row in los angeles. neil, it does not look. you can artificially -- neil: one of eight states where the democrats have run of the table, the governor's mansion, both houses of legislature, both assemblies of the legislature so he could get his way.

we're hearing president of the senate, a democrat, said this might not be time to do it in light of the, you can't write off taxes. >> after taxes blue states got hit really hard. neil: i'm getting the vibe murphy doesn't agree. he is going to do it. >> they should stop lying suggesting it is economic policy. it could be a social policy. it could be a social punishment. it could be punitive but it is not a smart economic policy. i'm pretty sure there are some democrats who looked around, looked at the mass exodus of amazing talent left new jersey and like they left california, understand, why he had a line about those considering leaving, a lot of people are packing their bags. you're losing amazing talent. placing like charlotte going through the roof. place like atlanta, going through the roof. placing like florida going through the roof. neil: panelists, i have northeastern elites i call them, who would be want to away from proximity of this, all of that? >> one of these things, i bump

people almost every day on the way to the garage, they come to visit. it's a beautiful thing. it is great to have access to it. i prefer a backyard myself. i still go to all the plays and shows. i could do that if i live in charlotte. i'm tethered to fox news. if i wasn't, i was not here i would certainly move out of new jersey. neil: i think a lot of people whose kids are still in school, the only reason why they're not doing it, their kids are still in school. >> i get that too. i'm an army brat. so i went to my high school was first school i went to two years in a row. i get why people do that. push come to shove, take the kids somewhere elsewhere you pay for the college, they make new friends. neil: chris christie was there are to the big event. as far as we understand he said something like -- bppp. we don't know. more after this. whoooo.

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neil: all right, joint statement by the president of the united states and its counterparty cabinet. >> they've done a tremendous job in kazakhstan and having you at the white house is an honor. mr. president come a thank you for visiting with us. we have important discussions going on. [speaking in native tongue] >> for more than a quarter century the united states has seen the strong sovereign and independent nation of kazakhstan

as a valued friend and strategic hardware and central asia. as we are honored and we are truly honored to be the first country to recognize kazakhstan in dependence on christmas day, 1991. a long time ago, but not that long. we've made incredible strides. since that time from the united states in kazakhstan and work together to advance peace and security in the region and far beyond the region. [speaking in native tongue] [speaking in native tongue]

>> together, we dismantled kazakhstan's nuclear weapons infrastructure and ensure a safer and healthier future for the children of kazakhstan and for the world at-large. we pursued opportunities to win investments in kazakhstan and the energy sector in particular. [speaking in native tongue] [speaking in native tongue]

[speaking in native tongue] >> in today, our strategic readership with kazakhstan has advanced my south asia strategy, which is working and working far more rapidly than anyone would understand. in providing crucial support for forces in afghanistan and denying safe haven for terrorists, this cooperation has grown even stronger this month during kazakhstan presidency of the united nations security council and i will say that is a great honor. [speaking in native tongue] [speaking in native tongue]

>> today, the president and i have a series of discussions on how her relationship can further the safety, sparse verity and well-being of our people. kazakhstan is a valued partner in reference to read the korean peninsula of nuclear weapons. together we are determined to prevent the north korean regime for threatening the world with nuclear devastation. [speaking in native tongue] [speaking in native tongue]

[speaking in native tongue] >> i also want to think the president for his full support for south asia strategy, including our efforts in afghanistan. i greatly appreciate the president's personal assurances that kazakhstan will continue to provide critical logistical support and access for troops fighting access and the taliban where we have made tremendous strides. [speaking in native tongue]

[speaking in native tongue] >> we also appreciate kazakhstan's work to train and educate afghan civilian specialists and i'm grateful for the president's pledge of additional support to bolster afghan security. the united states seeks partners who are strong, prosperous, respectful of their neighbors and in control of their own destiny. [speaking in native tongue]

[speaking in native tongue] >> i am pleased that the president has shared his plan for kazakhstan to become a top 30 -- [inaudible] american companies who are over there and lots of jobs are being provided to both countries.

[speaking in native tongue] [speaking in native tongue] >> american businesses are currently among the largest investors in kazakhstan and tonight the president will attend a roundtable at the u.s. chamber of commerce to further advance our commercial ties. we also agree that they are reciprocal, such an important word, reciprocal trade benefits, both of our countries.

[speaking in native tongue] [speaking in native tongue] [speaking in native tongue] >> i greatly appreciate kazakhstan's participation in our central asia trade forum and in our central asia trade and investment framework agreement. we are working to bring the

kazakhstan a people, so important that it is really happening and it's happening rapidly all across a range of industries come including commercial aircraft, railways, medical services, technology and energy. [speaking in native tongue] [speaking in native tongue] >> working in common cause, we

can dance greater opportunities for citizens in both of our countries. mr. president, thank you for visiting the white house today. our nations have a long history of cooperation to provide a safer, healthier, more prosperous and brighter tomorrow. i look forward to seeing the great advances of the kazakhstan a people under your incredible leadership and that is what it is. incredible leadership. we want a strong, sovereign and thriving future for kazakhstan and for the peaceloving nations of the world, all of them. thank you very much. i very much appreciated. [speaking in native tongue] [speaking in native tongue]

[speaking in native tongue] [speaking in native tongue] >> distinguish mr. president, ladies and gentlemen, first filed by two thank you or vacation to visit your country.

i would like also to express my appreciation for your hospitality. [speaking in native tongue] >> translator: on our phone conversation in riyadh, saudi and today's been said, this is all done in the atmosphere of friendship and trust and i appreciate that. [speaking in native tongue] >> translator: and i am confident as a result of my visit, the relations between our two countries will be elevated to the level of the strategic partnership that would work in the benefit of both nations. [speaking in native tongue]

>> translator: and today, we will have a political statement about this new level of relations and output signal a new era of the relations between kazakhstan and the united states between washington. [speaking in native tongue] >> translator: and indeed the united states was the first to recognize their independence and support kazakhstan, which helped build and strengthen our nation and make it what it is today as a fairplay. [speaking in native tongue]

>> translator: and today represent a kazakhstan, the country to use to part of the soviet union when the soviet union collapsed, and this is not the most well-to-do farmer republic but i'm also here representing central asia and central asian countries. [speaking in native tongue] >> translator: and recently, central asia became into the focus of their global players because on one side and on the other side we have china appear to the south we have an islamic world, but we want also to the united states to be present there in the form of central asia countries plus one. that means united states and we would appreciate this new formal collaboration.

[speaking in native tongue] >> translator: from the very first days after 9/11, kazakhstan very steadfastly supported the fight of the united states against terrorism and that we continue to collaborate and afghanistan with your country. [speaking in native tongue] >> translator: while the american troops are in afghanistan, i think the whole world will make sure if anything is stabilized and also emission process in neighboring country to see that peace prevails in afghanistan. [speaking in native tongue]

>> translator: mr. president, so far we provided humanitarian technical support to afghanistan were $75 million, but on top of that, cause expand government spent $50 million training afghans to some civilian professions that they cannot get trained in afghanistan. [speaking in native tongue] >> translator: the leader will have an opportunity to discuss the issue of afghanistan. [speaking in native tongue] >> translator: we spoke about international issues, northern korean issues. [speaking in native tongue]

>> translator: you probably know kazakhstan was the country that forced the largest nuclear arsenal in the world, but then we voluntarily decided to give up nuclear weapons and will also shut down the nuclear test site, the largest nuclear test site in the world in 19 kazakhstan has the moral life to talk to the nations that are seeking nuclear weapons and this is the way we are talking to iran and the way we will be talking to north korea. [speaking in native tongue] >> translator: i think the issue of north korea can be sold by joining efforts at the united states, china and russia. [speaking in native tongue] >> translator: and kazakhstan being a neighbor of russia physically forces very closely

the dynamics between the u.s. and russian relations, which suddenly launched into -- [speaking in native tongue] >> translator: in bilateral relations come economic relations play a key role. [speaking in native tongue] >> translator: and kazakhstan we have major confidence operating for many years. we have general electric with about 50 billion years old and that tree great additional 5000 jobs in the united states.

[speaking in native tongue] >> translator: and we will have a roundtable will discuss kazakhstan the economy, the new opportunities in the roundtable will find 20 commercial contracts that would sum up to $25 billion that's a very strong sign how our relations are. [speaking in native tongue] >> translator: the contracts would be about purchasing additional passenger planes, about a certain assembly of 900 new general electric locomotives and cause expand and also some

contracts on collaboration in the agriculture sector. [speaking in native tongue] >> translator: kazakhstan declared american citizens in our country and we hope and expect -- [speaking in native tongue] >> translator: we are working on open a direct flight between our countries. [speaking in native tongue] >> translator: mr. president, let me conclude by congratulating you with the great economic success we've been meeting since you've been in office. [speaking in native tongue] >> translator: you carried out an outstanding economic reform.

and because i did something similar, i fully support what you do there. [laughter] [speaking in native tongue] >> translator: our corporate taxes 20% income tax, 10% were everyone. [speaking in native tongue] >> translator: so this is the first anniversary of you in the office of the president. congratulations on not. >> translator: [speaking in native tongue] >> translator: by the way, congratulations on the first of your franchise. [speaking in native tongue] >> translator: i'm a little bit ahead of you because i have 10 grandchildren and my family. >> thank you very much. thank you, everybody. neil: no time for questions or the president and his counterpart from kazakhstan, the leader who implemented the tax reform some years back pretty

civil and kazakhstan. 20% of an individual rate, the same rate of 10%. they don't all pay, but a lot of people still look concerned about the underground economy. the idea was getting to 10% to encourage everyone to pony up. i don't know the result of that. i do know kazakhstan is considered one of the top 30 investment alternatives for 2018 in the eyes of some financial publications. this at a time when the president on tax cuts were being heralded by its counterpart from kazakhstan, that it will bear fruit and the president certainly has been approved for a while today. wall street would continue to bear a lot of fruit, but not as much as early on. that was back under 26,000. the fastest sprint we have seen from 1000 to the next nine

trading days. again, the hope that it closes to keep that record intact. republican congressman house budget committee member bill johnson. congressman, the markets are assuming whatever problems are resolving the spending measure in keeping the government lights on till friday will get through this, but it won't be a big deal. are they right? >> i think they are right. what you are seen as the markets believe like i do the private sector free enterprise market driven economy of the united states that is built the largest economy on the planet, there's a lot of confidence in that concept when you let the american people and business creators keep more of the money that they are, america wins. that is historic. that is our legacy. the markets are responding to die. neil: it sounds to me like republicans want to address

this, but not hold that to this budget issue to avoid a government shutdown. democrats do not want it that way and it looks like at the very least a continuing resolution doesn't look like it. what do you think? >> i think it is sad that we are using or that some would use the daca issue, an immigration issue to hold up funding for the federal government because they are two very, very different things. you know, i am hopeful will we be having our planning conference tonight, but i am hopeful that we are going to find some bipartisan support to keep the federal government open. i can tell you we don't want to shut down the federal government. we are determined to keep it open. there is a good chance that the children's health insurance program could be funded in this next go around as well as some disaster relief funding after the hurricane of fire victims.

so there's a lot of reason, things that democratic colleagues can find to like about the upcoming cr. but i will tell you, neil, this goes back to the larger point. we've got the budgeting and appropriating process that is just absolutely broken. we shouldn't be in this position in the first way through the house deserted dirty past 12 appropriations bills and they haven't even been taken up in the senate. we need to fix the big problem of funding the federal government with responsible budget reform and appropriations reform. neil: all right, we will see what happens. sounds like you don't think it will come on friday night. >> i'm hopeful it will not come to a shutdown. certainly not what they want. neil: congressman, thank you very much. what are the markets think of that? a funny way of showing up your losses have come down here from what they were. still appreciable and still open territory. brian wesbury joins us as well.

are the markets ready for the possibility they don't come to an agreement late friday and we do have a shutdown? >> i think they are coming neil, and it is something i can say is really priced and so much, but it's not really a top-tier issue. a lot of pullback on a failure for everybody to come to an agreement. but i don't think there's going to be any long-term -- any long-term ramifications, especially beyond a couple days. neil: to know, maybe just a quick rush to 26,009 trading days that a lot of people are seeing then. we've got a slow this thing. what do you think? >> welcome we don't necessarily have to. when we came into this year, we believe the stock market was undervalued. we also thought that the tax cut

was very positive for the market. there is a reason that it's. in other words is what i'm saying. that doesn't mean we can't have a correction and it could be over a government shutdown. it could be over north korea. it could be over a lot of different things. but if we do, it is just a correction because the market is still undervalued. corporate profits still going. the economy is accelerating and so i look for this market to go even higher by the end of 2018. neil: how much higher? >> we are at 28,500 on the dow by the end of the year. 3100 on the s&p. so if you kind of go back to the beginning of the year and i know we've moved fast, but we are expecting 15% to 20% gains in the market. it is a great environment. as long as i'm here, a shut down -- when newt gingrich and

bill clinton shut down the government because they couldn't agree, that led to spending cuts in welfare reform so that was a real positive thing. it is not the shutdown we should be worried about. it is what politicians do after the shutdown to kind of bridge their disagreement. if they grow government, that is not good, but if they can get some spending cut, that would be a real positive. neil: that's a very good point. seven trading sessions since our last visit. it has been nine -- nine was stuck in my head, nine straight advances. a lot of people read into that a bullish sign because obviously trains and planes and all sorts of folks are shipping goods. a good sign of the economy, good sign for the markets. do you share that? >> i do share that, neil.

i tracked the 45 different single country etf spirit for 2017, while 45 are positive. the global economy is supporting us. our local economy is supporting as you rightly point out. when we are moving stuff around, and that means we are making stuff. i think this earnings season is going to be fascinating because it is almost impossible to price in the entirety of this tax reform into the market. it is going to be something that is going to start seeing the true impact when companies start telling us what we will see in our bottom lines and i have to agree with brian. we've got an upside in this market even if we have some wiggles between here and there. neil: gentlemen, we shall see. way early here. there does not seem to be something to curb this or the enthusiasm for this.

meanwhile, fireworks over the dreamer deal and it got almost god as the comments that were made in the white house last week. ♪ copd makes it hard to breathe.

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that pairs you with a local advisor to help you sort through your options and find a perfect place. a place for mom. you know your family we know senior living. together we'll make the right choice. >> the commander-in-chief in an oval office meeting referring to people from african countries and haitians with the most vile and vulgar language, the language festers the ignorance and bigotry is alive with power, it is a dangerous force in our country. your silence in your amnesia is complicit. neil: all right, not a day for the homeland security department secretary nielsen. blake herman with the latest on the fallout from this.

reporter: hi there, the white house is defending president trump and the accusations by some of what he may or may not sit here at the white house last week about african countries in haiti rather proves that the president is a racist. sarah sanders reacting last night to a challenge that chuck schumer made when he sat down speaking with stephen colbert. listen here. >> actions speak louder than words. you want to begin, just began the long road act to proving you are not a racist, not negated. support the bipartisan compromise. >> i think of the critics of the president were who he said he was, why did nbc give them a show for a decade on tv? why did chuck schumer and his colleagues at donald trump for money? reporter: the major players face off on capitol hill, got been senator dick durbin negotiated among democrats and kirsten

nielsen, the newly installed department of homeland security secretary. nielsen had said over the weekend that the president had viewed strong language. he would not get into exactly what the president said and whether or not he called haiti in some african countries as whole countries and today she stuck to that script underwrote. >> what was the strong language? >> strong language there was -- apologies, i don't remember specific word. what i was struck with as i'm sure you were a slow was just a general profanity that was used in the room by almost everyone. >> profanity? >> no, sir. neither did i. reporter: senator lindsey graham who's in the now famous meeting as well with the part of the meeting spoke to reporters and said he feels there is a different president trump on thursday when the meeting took

place versus last tuesday when there was that 55 minute event before the cameras for the entire nation to see. graham contends the president in his words got, quote, really bad advice. he feels the president was not served well by his past. neil: thank you very much. blake berman at the white house. as blake pointed out, much attention on what the president said come in but not nearly as much, which is really the big story here, a 180-degree turn in sentiment. but they never was covered last tuesday at the white house was on live tv playing out, where he said in the conversation with comet, democratic and republican senators and congressmen, you guys come up with a daca deal in all sign it. i'll take the heat for it. it was not that he reversed himself on and that is the debate going forward here. not even necessarily the language that was used, but what prompted the change in all this

hyperventilating over the other stuff seems to be political theater. the "washtington examiner" commentary writer emily jasinski. emily, really don't care what people say that frank language in the white house. i don't think the presidents are racist, nor do i use that kind of language in such a setting are horrible people. i think what is more noteworthy are here as they were on the verge of a daca deal and then they weren't. everything blew up and i don't see it coming together anytime soon. what about you? >> i don't think it will come together anytime soon. it's important to note the daca this doesn't have to be done until march and they want it now and need it now because they're grassroot is pressuring them so intensely not to put this off to shut down the government. if it does look like it's going to get that off. they are saving intense pressure from their base and you look at

it. i don't know if the president really believes in daca. i would like to know, but i've no idea idea at a policy level because dick durbin and lindsey graham do have a plan. i would like to know what he believes the daca plan, but we are so good that we have no idea. neil: believe me, and i'm not a fan of that language in the characterizations of just what you think it would get. no well, the president did say that you guys come up with a plan. all sign it, take the heat for it. the criticism is someone got a hold of them and then he abandoned it. he would not be the first president to do that for maybe perfectly valid reasons. that to me is the story here. not the language. >> well, you are right on that. missing the whole point, and the

media focusing on the hearings as well, focusing on the profanity. they are focusing on that. first of all, democrat has now created a crisis and everyone is trying to rally around. neil: by the way, is anyone in the media -- that's like me on dietary advice. and i cannot go there. >> well, the problem is a tide vulgarity parallel to racism and now they are saying because he is vulgarity that he is a racist. going back to square 101 instead of focusing on the bigger picture, which is daca. while daca is very important, and last week when he had everybody income he said he wanted to do a bill of love. i want this to be a bill of love. we are going down this nice pathway and everybody is singing group via emma looks like we'll

probably get tempting. now because of this advice and what's going on and what the focus on the profanity and did he say it, now they are looking at may not be having a deal done. i still think there is hope for because i don't think republicans want to be the bad guy in the room standing up and say no, we're not going to do anything with it, but the problem now is democrats are going to be coming into 2018, midterms. now democrats have a choice to make. they don't want to work with the president. that is obvious. are they going to stand and put their feet in the sand and say unless we do what we want on daca the way we wanted that we will withhold the military. this is a bad place where they are. do they go back to their base is hammering around on daca and try to stick to it and we end up

having a government shutdown? i know you were talking with congressman -- or bill johnson and when you have a government shutdown, good points come from that. in this case because of what we are dealing with and the deadline for daca is in march. this is not a good time to do that and i don't think anything good would come out of this with a finish that. neil: by the way, for either party. thank you very much. we are debating about the language people are using. this has got to stop. you are actually affecting our physically feels. you are. i hope you're happy. building a website in under an hour is easy with gocentral... ...from godaddy! in fact, 68% of people who have built their...

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>> i think it's going to put more money in consumer's pockets and when that happens they go out and buy things like cars. we think the tax package would have about a 200,000 unit onto the overall marketplace, but more important than not, people have really positive attitude going forward. neil: if wal-mart can give bonuses to a million employees, why can't fedex do something similar? >> well, my guess is we will be

responsive to the tax bill. >> can. >> i say that as they probably? >> you can say that is a probably. neil: the latest ceo telling fbn good things happen to companies that get good tax cuts. wall street over medicaid work requirements. gerri willis, what's going on? >> that didn't take long. neil, day after the trump administration announced it can impose work requirement advocacy groups are lining up to see the administration at issue here whether trump officials have the power to allow work requirements for medicaid without actions for congress. they'll also question whether the centers for medicaid and medicare are correct in asserting the work and can lead to better health. i think we all know that's true. groups like the national health law program say no. in a statement the legal director said the action appears designed to achieve significant cuts in medicaid furnishing

medical assistance to low-income people. families u.s.a. predicts thousands will lose coverage. naysayers here say the work requirement is the objectives of the medicaid program. 10 states have submitted waivers suggesting such powers. kentucky was waiver was approved last week. seema burmaster as the agency has broad authority under current law to allow state to make changes to medicaid and if the policy stands, it would represent a huge change in how medicaid works. there are 75 million people enrolled in medicaid. of those are able-bodied, 60% work. the $375 billion of her taxpayer dollars on medicaid in fiscal year 2017 and the hospital insurance trust fund is project did for insolvency in 2029. bottom line, lots of changes coming, maybe. neil: may be. thank you very much, gerri

willis. mitt romney was speaking then, but dodging the potential run. for the senate air with orrin hatch retiring, quick line in his speech, nothing for you on that topic and the crowd laughed. republican minnesota governor tim pohlad t., what he makes of all of this. great recruitment of some juicy romney ran for the safe republican seat a matter, that he would be the favorite candidate early on. what do you think? >> i hope he does run. he'd be a spectacularly good senator and have immediate impact in the united states senate and the people of utah and the republican party they would embrace them, and there would be a fairly easy election for him. >> a lot of people looking at what is going on now and saying you should run for the senate. a lot of big names are passing up such an opportunity but in your state they could use you.

what do you say? >> neil, i'm interested in public service and service for the common good. i will tell you today running for the net they senate in 2018 will be part of those plans. neil: so you have no interest in hearing how some of these fundraisers are at it and we need bigger republican name. we have no one to go for this seat. you are saying don't talk to them. >> i certainly appreciate that kind of encouragement and people think of me in those terms. they rent for the united they senate this september. that's 11, 10 months away and it will be a content -- competitive mud. you have to start very soon. there's a variety of ways to do that running for u.s. senate this year won't be one of them. neil: have you ruled out public office altogether? >> not necessarily, neil. i enjoyed my time in public

service parasite at the local level, served at the public level and anything can be a helpful and meaningful thing to do and i enjoyed it. i also enjoy a lot of other things as well. neil: do you wonder what the issue is? very established, well regarded public officials not interested in running. not only the incumbent stepping down in your party, but all the other incumbents and big names who are not interested in filling the void. >> well, little more context is helpful. if you are mitt romney and ridding utah and everett state that gives you more helpful outlook. a place like minnesota couldn't go this fall in the senate race or other races, but you have to take into consideration the tax bill is starting to reveal itself. it could be much better economically than people expect and assorted doom and gloom by some relative to republican candidacies could turn much brighter by fall.

at the moment in my blue states or blue states it looks to be an uphill battle. neil: governor, a number of democrats took over. big states on saturday, that was not a pickup of a democratic trend, but more importantly new jersey today to take chris christie's place they are talking up the idea of tax funded welfare. i want you to listen to this. [applause] >> astrologer in fear new jersey ensures that the wealthiest among us pay their fair share in taxes, so working and middle-class families can keep more of their hard-earned money. neil: now, governor he avoided the term millionaire tax. democrats put a run at the table, controlling all branches of government. that looks like a slam dunk

until sweeney said we don't want to chase rich people out of the state. the state local taxes, would he think about this? >> new jersey has a lot of problems are being undertaxed is not one of them at the 8.7% at the marginal tax rate one of the highest in the nations. by the way, once you are in the loss of state and local tax deductions in the high tax state like new jersey under the federal tax bill, there's a lot of people in new jersey who are high income people already getting an increase in taxes. that's misguided and chris christie vetoed that idea five times when he was governor of new jersey. neil: i know well. the one thing i do see at least as new governor in new jersey as he is not giving up the fight on that. you know, you could use the argument that takes a couple people away and we see none in illinois and elsewhere, that if

he goes through with it, what then? >> well, because of the effects of the federal tax bill and bad decisions by left-leaning state policymakers, you will see a shift in money and people over time because there's a good chunk of people, won't be all of them who say i'm not giving not much more of my money to the state of new jersey and they will relocate. neil: there's been a lot of back and forth about the president's language in meetings, private and otherwise. what you think of that? almost a week later that's all they talk about. >> well, if you look at what president trump has done substantively, the appointment confirmation of neil gorsuch, progrowth pro-economic development, tax reform, trying to right size and common sense many regulations, trying to get some common sense back into her

trade policies coming strong posture towards national defense and security and more common that substantively is a good list. he sort of unfortunately characterizes and views things in ways upsetting to people and that distracts from the debate on the merits. neil: governor, is it possible the minnesota vikings in the super bowl, they need another win, but it would be the first time that the venue in this case would be to one of the participants? a lot of people say that would be fair. what do you say? >> the luck of the draw. the first time in super bowl history that happens, but all i can say to you, mr. caputo is school, brother. neil: all right, duly noted. thank you very much. up to about 64-point are there a lot of concerns about potential government shutdown. all of that other stuff, but no

super bowl. after this. . . . .

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neil: you know could be anecdotal but i read a lot of market sites, including market watch, part of this fine umbrella company we all call fox and news corp. market watch had a headline, the markets were off to the best start since 87. that is bad thing to say. people know how '87 ended,

october of '87. only thing i could grasp on to, now the dow up over 250 points, now up a 7 points and now under 26,000. we'll keep an eye on it. trish to you. trish: not at highs we were earlier. hey, the day is young. breaking today, everyone. another record day on wall street with the dow within striking distance of 26-k for the first time. it was seven days ago when the dow actually crossed 25,000. do you know that is historic? we have never seen such a huge run-up in quick amount of tile. we're off the session highs following news that former trump advisor steve bannon was subpoenaed last week but robert mueller. meanwhile on capitol hillah makers have until friday to reach a budget deal to avoid a government shutdown. i am trish regan. welcome, everyone, to "the intelligence report." presidentru