>> great show everybody. you rock. see you tomorrow right here same place "varney & company" begins now take it away. >> good morning everyone. you are about to see a substantiate drop for the dow industrials look at this please. a half hour from now we will be down what, 240 odd point and the decline was stretched to the s&p after the nasdaq. now there are a couple of factors in play here. these three companies amazon, berkshire hathaway and jpmorgan team up with a new company together they will use technology and private sector know how to improve the delivery in cost of health care very big deal. there is a major selloff in the stock price of other health care providers and ensurers they might be squeezed out by this new company. that is affecting the whole market.

here's another factor. the all important big tech companies announced their financial performance in the next two days. there's a few nerves here. any disappointment would upset the whole a the cart. we should also say that the market is due for a setback after 15 month near straight up rally. well that's money. now politics. tonight, the "state of the union" speech. the as the is cleared his schedule today to prepare he's likely to sell his growth plan and maybe reach out for a bipartisan immigration deal. and here's the news that is truly rocking the world of politics. the memo, spelling out reportedly deep state goings on before and after the election. we may get to see it. the fbi director read it and promptly got rids are of andrew mccabe fbi guy at the center of the memo. money and politics, what a day. "varney & company" is about to begin.

>> have we got a big deal to report right off the bat? and it is moving the whole market. amazon berkshire jpmorgan they are teaming up to create a new company, a nonprofit of all things. this could change health care. outline -- >> for their own workers 1.1 billion this is descrupghting already the pharmacy benefit manager company here's where it is headed tell medicine lowering drug cost, turn the alexa device into a virtual doctor where with you could order drugs over and be diagnosed via doctor over the device. amazon is already bringing the echo device into hospitals and testing. so you know, amazon is already disrupted sector of the major economy so this is about lowering cost of drugs in medicare you can't negotiate

drug costs and prices of medicare right so about using their 1.1 billion employer records it see how you lower the waste in the system. how you get rid are of unnecessary medical proceed and so what works and what doesn't. >> to me the big deal is this is a private enterprise solution to the health care mess bringing private enterprise know how and technology and capital to fix this mess. >> jeff has said your major season my opportunity they're saying this is not about profit right now. this is about what do we know already via our own work rings and how can we change the system for the better? >> on your screens right now you are looking at the amazon effect. the big insurers are down for example, united health which is a dow stock it is way down this morning. it is so far down that it is cost cooing dow industrial which it is a part roughly 110 ponts

so take that into consideration when you see a huge loss at the opening bell. j finally this is a guy began tuck database medicare and u.s. government doesn't use that to make a system better. >> report we've got it thank you very much. we are going to see a triple digit seller right at the opening bells that be second day in a row we've seen that kind of drop. dr barton is here obvious question all of ow viewers want to know is this a start of something much big center >> stiewrt the bottom line is, markets don't have huge selloffs from all-time highs over the the past nine big selloffs date back to the crash of '29 we've never had one that wngt where brotder broader market. we've had individual stocks but all time highs to a 20% decline. these things make rounded tops even if this was the start of the bigger pullback we would see many chances to -- exit before were before

someone -- >> let me get this right you do not think that this is the start of the big selloff? >> i une don't think so. >> any reports of thursday? >> we've had such a beautiful run. straight months without a 3% pullback stuart so eve time market has slightest little drop people start working. why worry when things are going so well pullbacks are still to be bought. >> dr barton -- good man to have on your show all right dr we hope you're right stay there because we have more for you. individual stocks some of them moving today on earnings news for example mcdonald's. sales up, stock price is down. not much down a half percentage point in a big overall decline not bad. higher profit at pfizer but we have same story the stock is down 2% there on pfizer. etna, with oh got to face it

here down nearly 3%. all a of the big health insurers are down u because of that berkshire amazon jpmorgan partnership. got it. now this -- let's turn to plucks. nancy pelosi continues to talk down the new tax u law. roll that tape. tax bill is over o 86 million americans paying more in taxes as a result of this bill. >> i've got to -- 86 million middle class american families will be paying more because of this tax bill. okay i'll get to that and dissect that in a moment. but look at this. exxonmobil plans to invest 50 billion dollars in the u.s. due in part for tax law. fox news contributor is with with us. there's a voice off on the side there saying a $50 billion is a dark cloud. obviously, not -- jason we've got parallel stories here. massive investment poo pooed by

the democrats. why do voters believe that ms. pelosi is right? >> well, i don't think they will. i think that proof will be, you know, about the march time frame when people are actually making more money and that bonuses that they've gotten. i mean, nancy pelosi was the one that predicted she was going to be this speaker she predicted nancy that -- that hillary clinton would be the the president of the united states. she said it would be armageddon, i mean if this is armageddon let's have some more of it. [laughter] >> i do want to die dissect statement that 86 million middle-class families will be seeing a tax increase or hit by this. what she's doing is projecting to the future when individual -- tax rate cuts end, and she's saying that end of this 7, what 8, 9 years then -- taxes will go up. that's her explanation for this outrageous statement you want to chime in on this? >> gamesmanship senate passed a bill that says budget was going

to be at 1.5 a trillion dollars in cuts. and so if they per peach wait cuts over ten years with no increase to the economy, then they would say that those cuts would go away. but there's a lot of people that believe there's no way that congress is beginning to implement a tax increase. this we're talking about years like 7, , 9 down the roads but over next five plus years, you've got a tax bill that's in place that is driving the economy forward. >> i want to sigh our president sell those tax cuts tonight. do you think we'll see him do that? >> absolutely. i think he's going to take a bit of a victory lap but lay out future an talk about immigration and i think he'll spend a lot of time talking about the infrastructure which is something that democrats have traditionally said that they're in favor for. i don't know how you pay for it. that's what i want to hear is fiscal conservative. but i think that is something that is applause line on both sides of the aisle. >> jason always a pleasure thanks sir. appreciate you meeting with us. now lizzy waving her arms.

no you're talking about you're right. that nancy pelosi saying that tenure. but that means that in thes would have to let those tax cuts expire that when nancy pelosi will say raise tax cuts and obama extended bush tax cuts. >> last night the house intelligence committee voted to release a classified memo remember that word. the memo. it is supposedly reveals government surveillance abuses. we're told that fbi director christopher wray read memo promptly removed mccabe is fbi director napolitano is here. that say to me that it is dynamite and i want to the see it. >> wish we would have seen it weeks ago when congress was debating whether or not to expand fisa authorities that expansion occurred with congress ignorant of the abuses that are in the memo xepght 22 members of the committee. now, the democrats on the committee late last night i know this because i was outside the building and had to rush back here. crafted their own memo on the

basis they say of the same raw intelligence material and asked committee to release both the come thereined to release the democratic memo. so -- well -- i'm going to tell you what -- i want to see more of the memo i want to see the intelligence that it is based on. because of one set of eyes looking at the same raw data comes up with one conclusion those come up with another conclusion i want to be able to have the mernl people make their own conclusion. but i think it was misconduct in office for this tome sit on this hot potato while congress was -- was debating. >> straighten me out here. i think, and i'm not seen it. but it appears to me that this memo contains an outline of how rogue fbi agents met with the people who wrote the dossier thundered by hillary clinton. and used that dossier to spy on trump campaign and then to undermine the trump presidency. >> i think that's what it

outlines. you think that's what appears to be and appearances are from statements made on television by people who wrote it. we know who the writers are. devin and trey and some staff members and people who have viewed it but when the justice department. donald trump don't release it is reckless they haven't seen it. so they're saying it is reckless without having seen it that's what caused fbi director to go over there on sunday afternoon and read it. he read it and said i don't know if it is reckless or got national security secrets in it. i see mccabe name in here. >> that tells me there's dynamite in this memo and i want to see it. other o thing was release by senator ron johnson of the secret society. he had three fbi agents who were moles that shutdown when he said i had moles he lost them. [laughter] >> that's fascinating not said secret society he would still have are those mole. they were moles and reported

what they've been seeing and hearing. you can't stop this story. it is judge we'll see you again at 11. thank you sir. fox business has special kofnlg of the starch address want to lew kick it is off 7:00. neil cavuto 8:00. president trump speaks at 9. this is eastern, and tryst wraps it up for us after that. how about this one e-cigarette use researchers finding that e-cig users would be putting thelses at rick of developing cancer and heart disease. more on that. a new poll from reuters majority of americans still believe that wealthy and large corporations will be the major ben factors of the president's tax cuts. i say the republicans need to do a better job of selling this thing. senator bill cassidy on what, next. so i got an offer on the business, and now i'm thinking... i'd like to retire early. oh, that's great sarah.

let's talk about this when we meet next week. how did edward jones come to manage a trillion dollars in assets under care? benefactor benefactor on whatever's on yours.

>> you could say that the new

tax is misunderstood by the public. according to a new poll from reuters 58% of adults large corporation and wealthy people benefit the most from this tax legislation. only 13% said that middle-class will bipght the most. senator bill cassidy republican from louisiana is with us mow. senator, i had suggest that the gop an the president have a really -- they've got to do some selling of the tax cuts. what say you? >> totally agree with you on the other hand if you look at that poll, only about one out of four people that actually spoken to a tax expert. and about 24% of the people one with out of four -- thought that they were tbing to personally benefit so i think that shows more people know more they like if theyen will to ms. plea sew making up stories they don't and talk to tax expert they did and most peel will speak it a tax expert. >> yeah i think they will actually. smart, retirement plans,

patience funds. i think that writing high after the trump stock market rally, you sit on the pensions am i right are they doing much, much better with the rally? >> i haven't looked at the portfolio but the democrats have wanted to bill out of chicago and illinois and other and a the revenue they need, and all the people the trump rally and a the president that all of the people that hate him are benefiting i suspect ms. pelosi is richer than she was when he took presidency. it is a little odd she's soing tag scientistic. ening would you comment on her statement the very recent statement that 86 million middle-class american families will be hurt by the tax cut legislation. comment on it please. >> what you learned from that is

never be to the racetrack with ms. pelosi the horse she picked to win will come in dead last. [laughter] so, of course, she's speaking ten years off she's not speaking at the end of february. by the end of february people will look at their withholding it will be decreased. and all of those folk who is do not yet understand their taxes are beginning down, at the end of february, we'll e see absolutely it is and as lawyers say, race it will speak for itself. >> have you done any research in your own constituents in louisiana whether or not this is popular as a middle class tax cut? >> yeah we have washington, d.c. mardi gras where folks from louisiana come to celebrate mardi gras in washington and they are bowlish if they are an individual. they understand their taxes are going down. if they're a business, there's a business in shreveport buying new concrete cuts in anticipation of the business. now, that is one business owner

but he's very typical of many others. i can tell you folks in my state, louisiana are bullish. >> sir you look more fired up than we've seen you in a long, long time and we love to see that. senator bill cassidy republican of louisiana thank you, sir, appreciate you being with us. thank you. yes, sir. >> now look at this. this is the stock market, and how it is beginning to open in about ten minutes time. we are going to be down couple of hundred procedures. maybe 250 points and a 20 down on the the s&p and 55 down on the nasdaq. lots of factors going into this sharp decline. and we'll get into them when the market opens. and let me set the stage we're going down at the opening bell this morning. the grammy awards as you know if you watch this program got very, very political and ratings yep they hit an all time low. then we have the nfl losing 30 million dollars in ad revenue because of its very low ratings. you put politics and entertainment, and you're going to lose. we're on that story after this.

retail. under pressure like never before. and its 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. >> if you mix left politics with sports and/or entertainment, i think that's a bad combo and somebody loses out financially. so let's go through this. liz, first of all, the grammys

they started out heavily political, and their ratings were terrible, correct? >> yes there's a 24% drop in the prior year biggest year to year decline in -- one of its worst showing since 2008 and 2009. and the demo really fell off a cliff. >> wait a minute that is -- the 18 to 49-year-olds. that's the demo for the grammys so this -- really is bad for award season we've got the oses cars coming up. we saw this falloff. i mean, people don't want to be lecture to celebrity and using they power stepping outside the area of expertise lecture. >> they don't want the political rant next one is the nfl. their ratings are down and what impact on a.d. rev u knew down more than 1%. but they're talking now on wall street about a structural decline in the nfl rating. so the playoffs are down 12%. their season down 13%, and a.d. revenue down it 1% this comes

the a perfect storm of needs protests of streaming. so the -- meaning streaming on the internet at amazon and elsewhere. little it it is not just kneeles who have hurt the game but a structural problem with the way the game is presented on television or streaming or whatever. >> new guys you have a marquee game between blue chip blue plate top of the line name and those, that viewership was down as well you're talking about a cowboy steelers game that's your viewership. >> he wants to speak. just going to say ewe can't put this all on kneelers but a lot of it on kneelers because once that started i think any sort of negative vibe toward the nfl really snowballed a lot of people turned it off for that political reason. >> right. if you're just joining us you know that market openses in about four and a half minutes time and if you watch this show you will flow that we are going to be down and sharply so from opening bell now five minutes to go. dow is going to be down about

270 s&p down about 20, and nasdaq down 60. those are very, very significant thereins. there's a major story that developed about a couple of hours ago and it is this amazon jpmorgan and berkshire hathaway teaming up to form a nonprofit company which will bring technology and capital to bear in a private enterprise forum to work on the problems of health care. now, that is really having an extraordinary effect on other health care providers and insurers their stock prices all way, way with down. and that is not helping the dow. where am i going wrong with this analysis of the movement today dr? >> i think you're spot on stuart because dow was down a bit before this announcement came out when it hit. we took another big chunk down and i would throw one other facet in here you've got technology and capital expertise berkshire hathaway one of the nation east biggest insurers is going to bring some other cost

cutting expertise to this. >> i think it is a terrific development. j finally, and on health care, on health care you've got it right. finally we're getting there. private enterprise getting involved, three big name companies that know what they're doing i think overall it is a terrific thing. >> it is absolutely terrific. i say it all of the time stuart so we're looking how technology disrupts industry. the stocks that are selling off today are about to be disrupted by amazon jpmorgan and berkshire is hathaway so get the government out of our government and private money into our health care let them disrupt the current companies that are there. and let the best process work and a the consumer and employers are going to be winners here. >> you know it is really interesting that mike just said and ashley and i have talked about government dominatings half through medicare and medicaid they don't use their database to tell consumers about problems that they could be coming their way for example one in seven drug prescriptions are

interacting negatively fatally possibly with other drugs you don't hear about that. you can with this endeavor don't take that drug so it is all sort of things that they could do to push back on the government. not doing eights job with the information it has. j interesting created just for their own employees correct initially. >> usually -- but the theory is it is expanded so other people can buy in if you like -- and database right, well amazon has hr chief who was rock star, and she oversaw the fulfillment center and brook shire hathaway successor to warren buffett he's in on it, so three rock stars. so insurance expertise, and insurance company that's what they are, and jpmorgan what do they deliver? >> yes, financial expertise they also bring the employee -- employee base, i that also -- three of them combined what they're saying we're going to give you better health care had

and a cheaper price so -- it >> woman who -- the wol who was there jpmorgan ran those, so -- there's a lot of that. i don't to dwell on this development in health care to explain the entire stock market decline that we're about to see. because that's not the entire explanation. i suspect that from nervousness ahead of the everybodyings reports from the big technology companies. you know, they're out performing. i don't think so. they're low and they're doing well. i think there's a almost over, tealing of we know we've been talking about the correction is this it? is this it a sense of push this button. >> stuart's point 43.4% of the nasdaq waiting reports today or tomorrow. or wednesday or thursday. and those top five companies. >> seen to make you choired they don't get that. that they disappoint at all even to the tiniest degree, boom you

have to a reason to sell. why shouldn't i sell my microsoft talk my money, put it into a tenure treasury with a tax break on interest of 2.7% a year. i'll take it. all right three, no i'm not done. bang we're up. now okay you're going to see a lot offed red on your screen ladies and gentlemen you're going to delook at that right from the get-go we're down nearly 1%. important -- nearly 1% that's 246 points. okay. 1% is not a gigantic selloff. you have to stress this. you've got the dow at 26,200 almost down almost 1%. now, let's have a look at the s&p. is that down by a similar percentage amount? no it's not. almost. it is down almost you're almost down .8% not quite as big percentage wise as the dow show me the nasdaq please this is one that could be very sharply lower and it is. down 1.1% that's an 82 point

drop for the tech heavy nasdaq composite. okay. got it. and move on real fast here as we told you amazon berkshire jpmorgan they're tomorrowing an independent nonprofit company that deals with improving health care. lowering cost for employee, that is the nature of the news this morning, it's spilling over into other health insurers and health care delivers look at this health insurers are reacting very negatively. they could be squeezed out from this new company. cigna united health humana health equity and all of them on the downside significantly. ashley is here, with liz is here. murphy is here, dr barton all of us together on this day when right now the dow is down -- 260 point all right. dr -- how much of this decline on the dow than the s&p is ngted for by the amazon effect forming this u new health care company? >> well if we watch the tape this morning, the premarket tape

i would say more than half. we're down about 100, with 110 points on the could dow future s this thing hit and we saw a quick cascade down among all of the health care among all a of the health care stocks plus the pharmacy service providers and i think that is that big of a deal. >> now, mike dr told us earlier. he does not think this is the -- it on a historic basis had doesn't think this is start of a whopping great decline. do you? >> i do not i couldn't agree more. what you're seeing today is a 1% selloff on mashts an hear or more earnings reports over next 48 hours you can talk about negative surprises could hit the market. but i think i should push become on positive surprises could and should push these stocks to new highs. i think selloffs that everyone talks about big selloff is coming and everyone will buy this selloff. >> usually doesn't work that way people don't pick top and bottoms you're invested in a microsoft, for instance, they invest in the company until

something terribly changes with the company. right now, everything for the market or microsoft specific is looking positive so you would be a buyer not a seller. >> stew look i don't think there's any concern about it. why would you be concerned about earnings they've been stlong and become and looking everyone is focused on guidelines they're giving huge tax break. life is good. i don't know even if there are a few misses there's plenty -- >> rising interest rates more of an issue than the earnings. >> the dip. why do i feel i'm pummeled -- [laughter] not selling microsoft by the way, in it for the very long term an there you have . by the way goldman sachs has been warn withing or yesterday i think warned of a high probability of a stock market correction in the come months oak so be warned about that. how big a threat to our interest rates? i don't think they're that big of a threat what do we got yield on ten year treasury. 271 back up again that could be a concern right? >> it could be a concern and it

is one of the possible disrupt tores if you look at what stocks what sec or tores have not done well year to date. the market is very strong. but if you look at utilities but you look at real estate investment trust, these places that are very interest rate sensitive they're down on the year. there's a possibility that that could be a drag but not to much later in the year maybe second half. >> barring get or more expensive which may hurt expansion that's one of the biggest take aways. okay mirrorty. wait a minute, the "state of the union" message tonight those think that president could stop bleeding on the stock market by what he says? >> i think people want to hear from the president. themght to hear more about what he has outlined for the year ahead. so in that sense the market doesn't like uncertainty so i think once you hear the plan from president trump going forward take that off the table. the focus comes back on to earnings our companies earning more or earning less and answer is they're earning more. that's why it is justified to

be -- >> last time he spoke to joint session of congress market blew through the 21,000 level the very next day so if you can deliver a speech tonight then we are offering a lot of reassurance to our viewers are we not, and by the way market is come become a bit down 260 at one stage now we're down 203 points. 26,200 that's the level where we are. i think it is time we took a check of the big tech families we report on them all the tile because that's a focus of attention the word is, afl them are down. amazon is down 16 bucks at $14.01 apple is at 166 down about $2. facebook at $183 and google, is at 1181 all of them report their profits or otherwise i'm sure heavy duty profits wednesday night, thursday might. so there you have it. not that big a selloff for any of them really alphabet dun a

half percentage point. i want some -- you know, i hate the word expectations. i rarely use it. but what do you expect dr from the big five? >> well from the big five, i think the most likely to disappoint is going to be apple and we've with had -- heard through some channel checks that they've had problems with the ten sales so that is a possibility for a disappointment. on the upside i think we could see a good chance of that -- advertising of google and facebook to give us some good news. >> okay what do you say mike? >> overall these chains that make the most cash are going to benefit most from this tax plan. so when i hear their earnings when we get earnings reports i expect positive across the board. to dr point a is tracks most closely so some sort of a hiccup in expectation on iphone x could cause temporary selloff. but that will be a buying opportunity. >> confirm what ashley reported yesterday that apple will cut

production of the apple ten phone so -- confirmed that. >> they kismed it. okay. oh, let me draw your anxious to the big board. down 260 in the first two minutes of business, now down 190 we assuring the market. bringing them back. >> holding down. stuart it is all you. don't say that. [laughter] the price of oil this morning where is that? i think it is around what 64 a barrel. down a become today that's interesting. it is down. take a look at when the casino the gaming stock -- struggling back $2 that's all. it was in the high 180s that steve wind problem broke back up 2 this morning. thousand we have exxonmobil they're beginning to invest $50 billion in the united states, i believe that's over the next five year. inch yeah. >> nancy pelosi calls that a dark class -- give me a dark class please. >> any day a weak outlook from

harley-davidson that will take it a down majority overall they're down nearly 7% hairly at 51 wal-mart plans to ask suppliers to deliver nor goods to square houses exactly on time or -- face fines. this is wal-mart improving its performance as it goes up against amazon. i still think that wal-mart is the players if you want to pick on anybody who is going to compete with amazon wal-mart is the guy at 108dr. >> absolutely. you are absolutely correct. if there's one if there's one retailer to bet on it has to be wal-mart let's realize what they're doing here. they're getting tighter, they're not putting new intoos the there. they used to be fines if you -- only got 75% on time. now they're tightening that to 85%. but they're just saying we want less working capital we're going to push working capital back to p&g and others. you talk about reare inventing yourself wal-mart year ago you thought of the big store that you walk into and they sell everything. now you think of wal-mart you think about the jet.com

acquisition and thinking about get your product to your home. same did i or next day. so they've done a great job there. >> we're always talking about amazon and listen to this. it is expanding a deliberate service in which sellers can buy fast amazon warehouses ship directly to homes i see that as a problem for fedex and ups right ?mght there's a bigger deal here this is a little amazon taking stuff from suppliers into their warehouses and doing that shipping themselves. so they're cutting fedex and ups out of yet another leg of the distribution chain. 2016 they spent 16.2 billion on shipping stuart. they're going to do everything they can to cut that number. >> hard to keep track of the numbers isn't it? lord all right individual stocks "star wars" you know the last concern for there, and would you hesitate to buy disney shares because of this? i don't think it affects disney

overall stock does it? >> not so much espn is big profit driver. espn's numbers are down on subscribers but their profit margin is way up. this doesn't concern me with that happen. a big down day disney stock is actually up. do you own dis ?i? >> i do own o disney company own o disney. got new survey finds that wage increases have been reported by the highest number of companies in 18 years. that's a pretty good domestic economic indicator isn't it? >> it is and small and medium businessessening are also feeling this. those are ones that are going out hiring consumer confidences at great levels if you want to talk about state of the u.s. economy right now i think it is just about hitting on all cylinders. >> that's an interesting point none of them are are cutting pay to dark it cloud was really slow wage growth that was in ten with the slow growth to the u.s.

economy. but this is over the last threw months that this is a striking finding finding that wages are going up according to technology according to this one survey. technology is keeping cost down so helping consumer on that side and if wages go up, it is a win, win for the consumer. >> i should have kept my mouth shot. >> here i am when the dow was down 190 so we're coming back a little bit. so reassured them but i'm afraid back down again now we're up 228 points holding just above. tenth of one percent keep perspective. you're right. you're right. you think that dow is down 220 points. second day in a row. but we do get excited when it goes up 1% hits the new u thousand point thrermd. >> i do. [laughter] just kidding. keeping real. we're down 227, that's .85% a similar decline in the s&p. slightly great or decline in the nasdaq. so a lot of selling i have to say that there's a lot of selling in the technology issues as we speak. all right we've got down 225, let's go.

not everybody likes facebook's new messaging app aimed at kids is nicole there. can she tell me go what's up? >> for facebook down 1% what's interesting about facebook is they have a free app it does messager cuds in december that it was launched downloaded 80,000 time on ios. but is it good for the children? that is the question, in fact, you have all of the advocates out talking about the fact that, this is not good for children's health, in fact, the orr o side of the point is that facebook said they worked with parents and children that it is a safe, controlled environment in order to chat. so it is a back and forth but the advocates want facebook to pull plug on this one stocks down at 184, 23. down there on the floor of the exchange within of the traders saying about this selloff how do they characterize it? j look you have first and foremost story about health care that's number one and that weighs on dow but bigger picture from what i'm hearing from traders is pension funds

ultimately is what a great unbelievable january that we have had. and so now today and tomorrow, that they have to jump out of some of the equities in order to balance their portfolios back with asset allocation to have a lower value in equity. so they need to jump out today and tomorrow get out of the some of those because they were so heavily waited for the month of i can so you might see pension funds doing exactly that so that's what traders are talking about. might be seeing that just weighing it out at the end of the month balancing. >> thank you very much indeed i want to repeat what is -- i think, hold on a second talk about e-greats in a second i want to repeat about amazon jpmorgan and berkshire. they teamed up three huge companies -- and they've teamed up to create a new company or they're going to a nonprofit and they're going to apply private sector know how private sector capital and private sector technology playing delivery and insurance businesses. u now stocks themselves haven't

been assented by this, but the expwier health care industry has been assented by it. the health care deliverers and the health care insurers are all -- and way, way down. >> pharmaceutical because of cheaper prices because -- cheapers prices this is amazon effect really, really large here. they proposed to up end the way we take care of health care for employees and employers costs. right they're going to up end it. 1% workers and records on 1.1 billion workers. between three of them globally yes they do. >> jpmorgan chase, amazon yes they do -- >> wait, wait, wait come on -- >> i'm with liz on this 1.1 billion -- three companies. themselves beer shire hathaway worldwide. >> they employed 1.1 billion people? >> yes. >> i'm sorry if i stand

corrected i'm shocked. >> i think it is 1.1 million -- with an m. thank you. >> because billion would be -- >> population -- it just inflated three companies big time that's all right. thank you, liz. million but what you're getting at stuart here is there's all three ceo os talked about three thing they want to get at a better health care experience. better health care outcome better health? general and lower cost an they're all targeting two things. [buzzer] what are you buzzing for? because we have to wrap it. question of to go to commercial or something that was drastic i thought that was a strong set. [laughter] a terrific presentation well they're telling me without the buzzer -- news alert -- okay. right here we go. st la night the house intelligence committee voted to release a classified memo -- are we talking about the "state

of the union"? or the memo we're talking about the memo okay all right -- okay -- [laughter] got my -- the house intelligence committee they voted to release a classified memo that's been circulating in congress reportedly reveals government surveillance abuses congressman matt gaetz is with us republican. sir, you have seen this memo. i know you cannot detail what is in it. but in broad terms, is it a shock are we going to be shocked when we see it? >> i think the american people will be shocked about the content of this memo about the processes tharm used toen gauge in surveillance and fundamentally i think this is going to lead to major changes that the fbi and department of justice we've seen andrew mccabe about you know announce his retirement. his early retirement yesterday i expect more heads will roll and criminal consequences as a

result of the information we learned but mostly eager to get this mommy mow and front of the american people the congress has done his job. now president trump has to make the decision to declassify this i expect he will in coming day. >> democrats say that this undermines america's leading law enforcement agency the fbi, that it underminors national security, and that it deliberately to side tract mueller investigation what say you in response? >> well it is very clear why democrats did not want the american people to read this memo. and that will be clear to everyone once it come out but i expect that transparency is going to be the only cryptonight to deal with bias that seems to infected fbi and department of justice and i hope they would be more bipartisan about this stuart. we have ul a sake in laws and liberties that we hold so dear and you would think they want to work with us so never again with a political party use apparatus

of government to be against their opponents. >> the key point if we get to see it that i'll be looking for -- is whether or not the fbi rogue fbi agents used the dossier from russia as an excuse to spy on the trump campaign domestically. now you know you can't -- >> that would be a big shocker if that happened and i can't confirm whether it did or didn't. but you can only imagine the -- the horror that so many americans would feel if a political document if opposition research actually was to be converted into intelligence document used as basis for spying on americans that would be type of thing that you mentioned that i think would shock american people. >> you have a long way to telling us what's in that memo without telling us and you're on dangerous ground and i do understand that. matt gaetz you've been a point man on this. thank you very much for joining us this morning. andlet hope we do. all get to see what's in that

memo thank you. >> all right. all right where are are we now on the markets we have had a tumultuous 28 minutes after 28 minutes worth of business -- okay we got that. quickly now -- mike you don't think this is a start of a big selloff? >> if you look at the screen right there you see the green on top of the screens that's rotation money coming out of certain sectors going into other sectors. this is -- it that simply rotation i don't see it as a selloff any n any way shape or tomorrow. >> why are you going down in more sellers than buyers right now but not exit so people reasoning -- >> all right. so i have to remember everybody -- amazon berkshire hathaway jpmorgan teaming up creating nonprofit that will focus on technology to improve health care. doctor marc siegel says this is a game changer. that could make health care a whole lot cheaper -- how about that? they'll make his case after this. two, one, fadeaway.

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>> of the day any company associated with health care their stock is down. drug stocks they're getting hit hard. this is because amazon berkshire and jpmorgan have agreed to form a new health care company aimed at reducing costs. there's going to be a lot of red arrows. you point to any health care

stock, and you'll see a red arrow are that thing is going down. health care service stocks also getting hit. look at the pharmacy benefit manager express scripts on downside that is a huge corporation 10% down express trips. fox news medical correspondent doctor marc siegel to the rescue because you, sir, are beginning to explain to our viewers why this new company is of the three why it would cut the cost of health care. >> that is very good for doctors and patient and warren buffett is right as a tapeworm on our economy and here's why this will help we're going to have direct negotiating right are and we're going to have three huge companieses with over a billion employees. >> no they don't have a million but a billion people data on a billion people. >> a billion, one million employee. but they're going for their employees at least to start they're beginning to be able to negotiate lower drug prices, lower cost of technology, lower cost of doctors visits and stuart we're at a time now when

we have personalized treatments coming out that work for one person and not another person an the insurance models from the 1930s. it's a one size fits all. and they're making record profits right now. last year alone, the insurance industry was up 46% in materials of net income from the year before. 46%. yiepted health care took in 46 billion dollars in 2016 up 10 billion from 2015. they're an interface between the doctor and patient that isn't guaranteeing you care that they're promising why should they? they want to profit. >> so if you now bring three enxas together an they've got information, health care information on over a billion people, that can use that information that database as a predictor of what had happens to those people in the future and how to treat them is that roughly accurate? >> that's one thing. then you have amazon that could actually provide health care solutions. amazon is devoteing into that business anyway. pjts so solution no congresswomen that we need to

provide products to get into the pharmacy business. amazon can be the arm that provides actual health care treatments to us to physicians he use and morgan, of course, jpmorgan can figure out financial strike that for this but note direct financial strategy and your book right london school of economics the financial strategies will be more direct. what purpose does an insurance company play anyway? they don't really have a central role do they? i'm providing the service to the patient. i should get paid for that service. they're parasites on health insurance companieses with all due respect you're a parasite. what is the purpose of health insurance company? with all due respect it is supposed to be -- supposed to be a rainy day solution. the initial idea was i get this if you have a catastrophe and you rush into the hospital and you don't have a check let the insurance cover you but why is it covering blood pressure check? >> got you. it is a huge day for politics and money that's what we do in politics and money.

trip digit selloff "state of the union" less than 12 hours away and soon learn what's in that memo what a day. stay there please. wool we'll be right back. achoo! (snap) achoo! (snap) achoo! achoo! (snap) (snap) achoo! achoo! feel a cold coming on? zicam cold remedy nasal swabs shorten colds with a snap, and reduce symptom severity by 45%. shorten your cold with a snap, with zicam.

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if you get a dexcom, you're going to be very glad that you did. visit dexcomnow.com to learn more. stuart: it is a four pages long. it was written about it republican chair of the house intelligence committee and it is about senior fbi officials and what they did during an after the 2016 election. it is called, the memo. we have not seen it. house members have. it is dynamite. reportedly it outlines the following. before the election the fbi met with the people who wrote that dossier, that is the salacious, unverified, anti-trump rant report paid for by the clinton campaign. the fbi met with those people the allegation that they used the dossier to spy on the trump campaign. think about that. our top law enforcement agency

is alleged to spy on the presidential candidate they hate and set off the mueller fishing expedition that dominated our politics for a year. after the election a alleged cabal of senior fbi people organize to disrupt the trump presidency from within the government. it is dynamite. it implies rogue fbi agents, hillary supporters all, interfered with the the democratic process. the democrats do not want this memo to be released. they say it undermines national security, undermines america's top law enforcement agency and undermines the mueller investigation. the republicans have beaten back those challenges. it is in the hands of the president. he has five days to decide whether to let us see it or not. there is a hero in this story. it is devin nunez, republican chair of the house intelligence committee. without him and his constant push to get at the truth, we would know very little about the deep state and what it has been

up to. the second hour of "varney & company" is about to begin. ♪ well, it is happening this hour. republican leadership holding its weekly news conference. any headlines you will most certainly get them. breaking numbers on consumer confidence. ashley: good, better than that. 125.4 which means nothing to anyone, but it shows you the number is strong. december's number was revised higher as well. we've been in this -- november hit a 17-year high at 128 we are still, put this together with yesterday's consumer spending number, consumer confidence is certainly rammed up. stuart: got it, but no impact on the market. we're still down 277 points. that is just over 1% drop.

ashley: yes. stuart: big tech names. apple at the lowest level since october of last year. remember it is going to cut the iphone x production, cut it in half. trying to wint right now. mcdonald's reported higher sales. they reported best same-store sales growth in six years but the stock is down three bucks that is 1.77%. harley-davidson looked down the road so to speak, a grim future. not good at all. not strong. they're down 7%. thomson reuters, higher after confirming it is in talks to sell off its financial terminals and data business to the blackstone group. that is a private equity firm. that stock is up 10%. health insurers, after amazon, berkshire, jpmorgan joined to improve health care, health insurers, all of them on the downside all across the board. health stocks down today. stayig

on stocks, goldman sachs reported that there will be a correction in coming months. who better to deal with that jack hough. stuart: "barron's" senior editor. is this the start of big correction, jack hough? >> it could be. it has been so long, decades since we had a meaningful correction. we're due for one. what they're not saying we're due for a bear market. when you look what is going on with corporate america, the percent of companies beating on revenues, earnings canning fudged in the short term, revenues, real indicator coming in the door, that is the highest on record going back to 2008. numbers are very good for corporate america here. stuart: in your opinion you don't think this is the start of a bear market, or major 10, 15% correction? >> if you want to get a bear market. you need to get a recession. i don't see signs on the

horizon. where are the signs of recession coming? the signs from business are good and getting better. stuart: are you reassuring our viewers? >> if you see correction here. that could happen anytime t could be good reason. it could be no reason. if you see one, time to buy into positions you like. stuart: okay. ashley: interesting, look at number, united healthcare, 85 points of this drop. that is a third of this loss just one company. you have berkshire, amazon, those guys health care pigeons keep in mind, doesn't like equities are off the table and we'll cash in. health care is having a huge impact on the overall dow. liz: this extremely rare market event we're seeing across the board all these stocks getting pounded by this one announcement. that shows how much fat was marbled through the health care system these guys are going to team up and lower costs. second item, amazon, you got to wonder if they will put their

second headquarters in d.c.? to deal with these issues, all right. put money on, we hate to do this, put money on one side for a second. i want to get back to politics. mid -- my editorial, top of the hour, the house intelligence committee said yes, they want to release the memo. i want to know what is in it. come on in, katie pavlich, fox news contributor. >> good morning. stuart: the director of the fbi saw the memo, went back to fbi headquarters promptly got rid of andrew mccabe. that tells me there is dynamite in this memo. what say you. >> timing is not coincidence. he said mccabe was retiring in march and running out the clock to get all his benefits. good that fbi director christopherway is cleaning house. we need to see the memo. at this point republicans put

money where their mouth is, talking about it, voting to have it released. we'll see what the president does. we'll see what democrats do too comparing two memos if we see both of them. stuart: dynamite, isn't it? this is dynamite material. >> i haven't seen exactly what is in it. i don't want to speculate about the exact details and facts but based on what we've been told by republicans, the fact they're going to release it, i don't believe they are saying these things are extreme if they actually aren't. we more than likely are going to see it. on the reform side, republicans have to walk the walk when it comes to cleaning up these abuses at the fbi. it is not just a matter of removing fbi agents or reassigning them into different roles within the bureau. this means that they're going to have to redo some of these laws, when it comes to surveillance and national security to make sure american citizens are not caught up in this. that will be a large hill for them to climb. it will take major reforms, lots of debate on the floor.

i'm not so sure they're up to it. we'll see what the details of the memo say. stuart: i want to see it, i really do. now the koch brothers they plan to spend serious money on midterm elections. they want to keep the republican majority in congress. do you think that the republicans at this point are in danger of losing the house? >> i don't think they're necessarily in danger of losing the house. i do think there are a number of districts they're concerned about, especially republican congressman who have retired who their districts went blue for hillary clinton. the resistance is strong there. the grassroots organizing on the left is getting ready to do a big push. the koch brothers, let's not forget instrumental taking back the house in 2010 with republicans. they were the ones who pushed americans for prosperity. got a lot of money on the ground to organize conservative tea party voters. that is probably what they're wanting to do here. republicans overall, rnc is raising money. they have the funding.

issue will be turnout. there is alarming number of republicans retiring early in seats that could flip. in terms of losing the house completely, i'm not so sure we're there yet. stuart: katie pavlich. thanks for joining us on busy day. >> thank you. stuart: get back to the market. we're down over 300 points. to be precise, we're down 325, 326. back to 26,100. big tech companies on your screen, they all report their financial performance tomorrow and thursday. jack how much, still with us. if they disappoints if any one of them disappoints, minor league disappointment, they don't come out with their usual stellar performance, i think that has the market worried, what say you? >> one at risk is apple because it as slow grower. we haven't seen companies this big grow this past. the disappointment on earnings, are mature companies who are

slow growing where everybody is sure what they will earn this quarter. these companies there is high uncertainty because they're still growing really fast. stuart: the disappointment they grow 20% instead of 30%. that is it what we're talking about. >> i think what you look at is revenues. there have been moments where these companies have had -- google had a slowdown in its revenue growth and a reacceleration. these companies have done it over and over again. i don't necessarily think a slowdown is coming in numbers ahead. i think they'ring doing quite well. stuart: jack, we're down 317 points as we speak on the dow jones industrial average. check this one out too. minor league story but interesting. some tickets to the state of the union, the speech, had to be reissued because of a glaring typo. inviting the bearer to the state of the u.n. iom. ends with a m, instead of an n. the mistake was on several dozen tickets. no big deal.

president trump no public appearances ahead of the state of the union address tonight. we'll talk with someone who just met with him yesterday about the state of the union speech. question, what is the president's mood? he will tell us. much more on the four-page memo that may be released to the public. we'll talk to a former fbi official later this hour. you're watching the tech hour of "varney & company." ♪

stuart: we are still down just over 300 points. 316 to be precise. for our radio listeners we're at 26,126. look at the stock of wynn, the gaming stock. it is struggling back by a buck 47. a couple days ago it was in the high 180s. then the wynn sexual misconduct

story broke. only back up a buck 1/2 right now. the president will make his first state of the union address tonight. adam shapiro is right there close to the white house. what is he going to zero in on? can you tell us, adam. reporter: you can expect the president, stuart will talk about some of his accomplishments and agenda going forward. as you look at video of president trump. he prepared for the speech yesterday, doing what you might call a walk-through here at the white house practicing the speech he will deliver tonight. which will be roughly 50 minutes to hour long when he delivers the state of the union. some key highlights of set set of which the president will take rightly a victory lap talking about accomplishments, obviously unemployment rate at lowest level in 17 years. tax reform, that is huge victory for the president. that is first major reform of taxation in 31 years. down, the market is up 24% plus in 2017. that is looking backward but the president is looking forward.

he will talk about his call for infrastructure, could anywhere from a one trillion dollar plan over 10 years, to 1.7 trillion. he will talk as well about immigration reform, pathway to citizenship for the "dreamers." $716 billion for 2019. one other thing he wrapped up, he is going to do, highlight individual americans. among the people being there. it will be varied. you will have families of victims who have been killed by the gang ms-13. that is part of the reason for border security. there is also going it be a corporal who is retired marine who reenlisted after being blinded and losing both legs while serving in iraq. really a moving story. those are kind of things we'll see tonight at the speech. stuart: adam, thank you very much indeed. as an aside, if i was producing that speech, i would say, ask for the following, please, stop everybody rising. up and down.

up and down. please forgive us, spare me that. charlie hurt with us, turning points usa founder. charlie you had a meeting with the president yesterday. i believe you were talking about the state of the union speech. i know you can't tell us what he told you, but give me a hint. >> look he is in great spirits. i can't wait to see the speech tonight. one of the only opportunities the president is addressing american people uninterrupted all the networks will air it. he lays out the accomplishments of last year. economic success, isis slaughtered in middle east. manufacturing confidence, consumer confidence is up. i think a lot of americans are will watch the speech, why am i not hearing this on the nightly news? this is wonderful opportunity. he will call upon democrats get behind his agenda on immigration and trade and infrastructure. stuart: i would like him to break tradition and reach out to

the democrats and propose a deal and push a deal. do you expect him to do that? i know it's a long shot. >> the way to do it, i know the no democrats in the room voted for biggest middle class tax cut in history but now you have a chance to get on board for infrastructure. which is true. this is big point of the democrat party allegedly being for infrastructure. the country needs to be rebuilt. a matter how we pay for it. the president will advocate for that tonight. the other point reiterating success. a lot of people that i talk to, that do not always watch the news every night, they hear these rumors that things are not going very well, yet the look at success of this administration is absolutely unprecedented. stuart: a terrific opportunity to sell tax cuts, sell a growth agenda to a very large audience. one last one, charlie, is has been written that the president has a short attention span. that he bops from one subject to another. is that how he was than you?

>> not at all. he is a brill an man. he is smart and witty. all the opportunities i had to spend with him, i'm so impressed with his memory and intellect and capacity to solve problems. these are people that want to destroy this president because they're jealous and they don't agree with his policies and his agenda. it's a bun. of nonsense. i take large exception. stuart: will you be a the speech? >> i am not. off-site. cheering him on like all of us. i can't wait to see it. stuart: charlie, that is a shame, you will be delivering a state. union address in 2048, if i'm not mistaken. that is wild guess. >> you're too kind. that will be the press secretary, stuart. stuart: i will be dead. i will be 100 years old. charlie kirk, you're all right. thanks very much for joining us. good luck tonight. >> you bet. stuart: check this out, one automaker working on a police car, chase you down give you a kickket without a driver. we have the story in full shortly. ♪

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stuart: awfully close to low of the day. still down more than 300 points. down 313 to be precise, 26,125. apple getting further into the world of self-driving cars. what are they up to now? liz: they have grown their fleet of lexus suvs they will drive around california and cupertino. what they have done, this is really interesting, they have a lot of catching up to do with robot cars. now they're going, patents indicate they will put software in their robot cars that can constantly upgrade their maps. so they won't rely on old maps. they will have the new virtual

technology sensors and radar to pick up and upgrade constantly the maps in their own robot cars. i mean that, what was that story you did about the people using waze drove into a lake? ashley: yes. liz: not happening in a apple robot car. ashley: one would hope not. stuart: one is saying it's coming. it's coming. i've not seen it yet not sure i like it but it is coming. how about this one. maybe this is coming. watch out. could you soon get a ticket from a police car without a police officer driving it. ashley: "robocop" car. that is what it is. what these cars can literally through wireless connections pick up you speeding, you go through a stop sign or red light. it will wirelessly get the information of the car and then inform the car, you have got nothing to do with this, you're speeding. will take your drivers license information from the computer of your car, into the police car and reply back, say you have a

ticket, 270 bucks, thank you very much. stuart: really? ashley: it will also have the capability to chase you. liz: what? robot police car chasing you? that is scary. stuart: without a driver. ashley: this is just a patent. this doesn't exactly exist this is something being explored. so the police officers can do more important things than just speeders and people who run stop signs. stuart: what you're talking about is glorified stop sign cameras. ashley: exactly. stuart: which cast millions of people getting millions of dollars in fines. ashley: that is exactly right. stuart: that can chase you down. liz: talk about anxiety dream? ashley: somewhat disturbing. stuart: in the distant future. ashley: distant future. stuart: should have said that right up front. the four-page memo released to the entire house about senior fbi officials and what they did during and after the election, i say this is political dynamite. we have an fbi guy to comment on that. voters still believe that the tax cuts are for

corporations and the rich. the president has to sell it tonight. congressman kevin brady next on that. ♪

♪ stuart: our floor manager, works every time, play beatles at 10:30, varney smiles. liz: are you on to them yes? stuart: you would think i would learn. i don't know why i'm smiling, because if you check the big board we have a serious loss on

your hands. we're down 286 points as we speak. please remember, that is a mere 1%. ashley: should have played help, i need somebody. stuart: we're down 276. s&p is down, biggest drop i believe since august of last year and the nasdaq is on track for the biggest drop since december the 4th. across the board, we are down. how about the big tech names? we have to check them. they report earnings or otherwise on wednesday or thursday afternoon. in advance of that they're not down much. they're down a fraction. biggest loser microsoft down 1%. biggest loser is microsoft in percentage terms. going to get to the state. union message. the president speaks tonight. i think he is should sell the tax bill. why do i say that? there is a new poll that shows that 58% of the people believe

large corporations and rich will benefit most from the tax cuts. come in, congressman kevin brady, the man who wrote the tax bill the welcome back. >> thanks, stuart. stuart: i hope you had a rest. you were working 24/7 for at that long time. you're not getting good pr out of this. i think you have to sell it better. will you do it? >> no, i agree. tonight is great opportunity for the president. he gets to do something that rarely do presidents have the opportunity, say i delivered. a year ago he said i want a stronger, safer and more proud america. he has delivered on that especially on jobs and paychecks with tax reform, and a number of other areas as well. what i know, stuart, is not only exxonmobil which has a huge campus in my community and those major investments on top of what they're already doing, but in courthouse squares, town halls last week, you know these mom-and-pop, or mom and mom businesses where two women come

together build a restaurant for their families to grow, they're adding jobs. that local auto dealer and -- stuart: congressman, it is not getting through. nancy pelosi goes out there and twice she says, 86 million middle class american families will suffer because of this tax cut. look, i'm going to characterize that as nonsense but people believe it, kevin. >> they may today. but they won't by year's end and may not by month end. now people are starting in february and march to see changes in their paycheck. two people, two workers yesterday, one who said i'm getting $180 more in my paycheck. the second who said, i'm getting $460 in my paycheck. that is my car and truck payments together. when people see real life, they know they have been duped by the democrats. stuart: i got to bring to your attention, i know you know about this, we have got amazon, jpmorgan, and berkshire hathaway, they're teaming up to use private enterprise approach,

plus technology, plus a lot of capital, to fix the health care system. they seem to be doing what congress can not do. what do you say? >> great. my answer is terrific. disrupt that system. you know, it need it, frankly. congress can make major changes in medicaid and a number of those health care provisions, the affordable care act as well, but nothing can lead to show us to more affordable health care than the private sector. especially pulling back that curtain on pricing so people actually know what they're buying and shop for quality care. having control of your medical records and your own health care plan that you choose, i think is just critically important. so i welcome this news. stuart: can i ask one brief aside? can we expect any tweaking on taxes in the coming year? >> absolutely. look, we're not done on tax reform. we think there is still key parts of the tax code that can be better, and, we're listening

to those who, as this tax reform enrolls and areas we need to improve. stuart: can you give us a hint like what? >> i still think we don't do a good job on pensions for companies across the country. that needs attention. i think frankly we can encourage more retirement savings than we do today. families need to save early and save more for their retirement and for their health care and kids educations. also, stuart, what if our competitors around the world don't hear anything, they should do this. we're not doing this again. we're not waiting 31 years falling this far behind f our competitors, china, mexico, move aggressively on tax rates we'll do the same. we're going to fight for our workers and our families. stuart: sir, i think you broke some news for us. we like that, mr. brady, we just love that kevin brady everyone,

thank you for joining us. >> you bet. stuart: now i want to get to the classified memo that could soon be released to the public. remember please the fbi chief, christopher wray, he read the memo and within 24 hours he fired his second-in-command, andy mccabe. danny coulson with us, former fbi deputy assistant director. welcome to the program. >> good morning, thank you. stuart: what does it tell you that the fbi chief read this is memo, goes back to the fbi and fires his number two? it tells me there is political dynamite in this memo. what say you? >> i think there is practical dynamite in that memo. everything in washington is political, even the weather. the director strongly supported mr. mccabe when there was pressure to ask him to be removed. now after he reads the memo and comes back and immediately dismisses him. that is very, very sinister for mr. mccabe. i think this is the first leaf

to fall. i think others more important than this. the fact he let him go, that doesn't bode well for him. stuart: former fbi director james comey right after the good-bye to mccabe, this is what he tweeted. scroll up, here we go. special agent andrew mccabe stood tall over the last eight months when small people were trying to tear down an institution we all depend on. he served with distinction for two decades. america needs you. what is your response to that, sir? >> well he also presided over the biggest fake investigation in the history of the fbi, that being the investigation or matter of hillary clinton. that brought disrespect to the fbi. it terribly disconcerting to those who served it. the agents that are there now. mr. comey can say what he wants to say, but frankly i think we ought to sit back, see what happens, then make our judgment on mr. mccabe. if he did nothing wrong, frankly they need it say that.

if he is exonerated in this thing, the department needs to come out and say he did nothing wrong. i'm not sure that is going to happen. frankly justice needs to prevail here. we need to know exactly what happened, especially with regard to the fisa court. if they misled the fisa court, that is the ultimate disgrace to those people that did that. stuart: how do you feel about, you're an fbi guy. you spent your career with the fbi. how do you feel about the current state of the fbi? >> the current state of the fbi is great. in my business, i worked with the fbi from january to december. this doesn't affect them. it makes them angry. they still do their job. they catch terrorists, rescue hostages, they do their job. this is small group of people that happen to be at the top levels of the fbi frankly let us all down. they let down our culture what they believe in. let down the american people and didn't follow the constitution. if they did that shame on them. it doesn't reflect on me. it doesn't reflect on any other

agents, it reflects on them. that is basically the bottom line. stuart: well-said, andy coulson, fbi guy. >> always a pleasure, stuart. take care. stuart: got to get back to the markets. i want to bring in scott shellady, tjm investments senior vice president. scott, now we're down 240 points at this moment. we were down more than 300 just a few minutes ago. is this the pullback that is long been predicted? is this it? >> well, 1% really isn't a pullback. i have a secret for you, investors need to know this, every now and again stocks can go down. i think what happened to the retail sector, when they were ama-zapped. i think the health care sector was ama-zapped today. insurers down two or 5%. pharmacies down 5% across the board, that will affect the market. folks might get nervous taking

stuff off the table. the largest two-day drop since "brexit." it will rile some folks new to the game. after to years, i can tell you -- 30 years, 1% is nothing compared to where it has been from the night of the election to today. stuart: i want to ask you about the big technology companies which report their earnings wednesday night and thursday night. if they don't produce absolutely stellar results, it will be considered a disappointment. >> yeah. stuart: i mean, it just is. that is the way it is these days, and the possibility of a disappointment i think that is a negative for today. what say you? >> i think you're right there, stuart. there is another negative that has been hanging out there as well. earnings expectations for 2018 are around 16%. although they're 10% for 2019 which is still up. that is earnings deceleration, right? that has come out of late. folks are seeing earnings starting to decelerate. if we see a lot of tech stocks,

a lot are priced to perfection by the way, if they start to falter, we have deceleration on our hand, it will make newbies to the market nervous. us old guys who have been around the block know these are good for the market every now and then there. is ton of cash out there, earnings are still good. we'll see how nervous the market really gets. stuart: we should have you on the air in our next hour because in the ten minutes you've been with us, the dow has gained 100 points. >> there we go. there we go. stuart: come on back, lad. see you again soon. scott shellady. >> thanks. stuart: goldman sachs has been warning after correction in the coming months. today we're down triple digits. jonathan golub said everybody else is estimating the market. he will put us all into perspective. that will be in our next hour. we're down 239. president trump hours ahead of his first state of the union message. will the president appeal to

"dreamers" to offer a bipartisan deal? the legislative director of legislative affairs is next. ♪

♪ ashley: louisiana senator bill cassidy says despite some polls that show negative feelings about the new tax bill people in his state are feeling pretty good about that new plan. roll tape.

>> we just have washington, d.c. mardi gras where a lot of folks from louisiana come celebrate mardi gras in washington and they are bullish. if they are an individual, they understand their taxes are going down. if they're a business, there is a business in shreveport, carlton golden, he increased wages of his workers. he is buying new concrete trucks in anticipation of the business. now that is one business owner but he is very typical of many others. i can tell you folks in my state, louisiana, are bullish. ♪

stuart: this looks like a big drop and it is. we're down 250 for the dow industrials. i want to give you a little perspective here. january ends tomorrow. even after these two days of selling, the dow and s&p are still up around 6% for the month of january and on track for the biggest monthly gains in almost two years. as for the nasdaq composite, it is looking at the best month of performance since october of 2015 even though we had all this selling today and yesterday. a little perspective there. all right, the classified memo, the memo spearheaded by house intel chair devin nunez,

alleges, house surveillance abuses, so we're told. we have marc short, white house legislative affairs director. do you know which way the president is leaning? is he leaning toward releasing this thing so we all see it? >> i think the president is on the side of transparency. if there are abuses he wants the american people to know it. but let me be clear, the president can do this in responsible fashion. we only received the document last night. white house counsel began to review it last night. the national security council will lead inneragency process here to make sure there are no secrets to divulge and no methods are to be divulged. it will be done in responsible manner before a recommendation is provided to the president. stuart: i will be very surprised if it is not released in some form or another because there is a lot of pressure, that we want to see it. i'm sure the president understands that pressure. >> i'm sure he understands that the pressure. he will not do anything that will harm the intelligence community. the reality as you note on the program, the committee reviewed

it and republicans on the committee voted unanimously it should be released. they are the ones who received it. we only received it last night. stuart: the democrats are apoplectic about the release. that is not your problem. the state of the union address tonight, will the president appeal to "dreamers" to offer a bipartisan deal? i ask that question. there will be some "dreamers" in the audience. i could see our president looking at them, saying i have a deal for you. then looking at senate democrats i have a deal for you. everybody could be happy. do you think he might do that. >> stuart, i think the president said all along even on the campaign trail, for those who are daca recipients, keep in mind those receive a legal permit who have been productive workers in our society, they came here as no fault of their own, and they're actually working producing in our economy. the president always wanted to protect them. he expanded that population a little bit in his most recent proposal. he thinks it is more important

to finks the problem once and for all we're not back here four or five years. important to get border securitier, we end chain migration and end the visa lottery program. get rid of programs that are outside jeopardizing the security of our country. as you outlined the two terrorist attacks last year, pipe bomber and the terrorist ran over people in the truck, one came chain migration and one with the visa lottery program. these are things we need to do to secure our country. yes, he has a deal to make sure people working and producing in our country are kept here but let's make sure we secure our country once and for all. stuart: what do you think the tone will be? i want hill to entertain. he has fantastic audience. people will tune into this. frankly i want him to go off script a little. do what he does best, speak directly to people in the way they understand? you think there is a chance he might do that? >> stuart, i think you know the president. he will be purely authentic.

stuart: yeah. but will he stick to the script. he has a prompter. will he stick to it? >> i think the president will likely speak to the american people in his authentic way. sometimes that will mean going off script. sometimes i think he is going to take advantage of the audience in the room, make sure he is speaking to them too. the president will reach out and do things in bipartisan manner in 2018 to get things done for the american people. the question will be whether democrats accept that offer. stuart: okay. marc short always interesting to talk to you. you have the keys to the president's mind on legislative affairs. >> good to see you, sir. stuart: marc, appreciate it. investing with god on your side. next a way to play the market based on faith. we'll bring it to you. ♪ hey, what are you guys doing here?

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leaving every competitor, threat and challenge outmaneuvered. comcast business outmaneuver. stuart: now faith-based investing. joining us is inspire ceo robert nestle. all right, robert, you specialize in biblically responsible investing. am i correct? >> yes, sir. stuart: you run a fund that is biblically responsible.

>> we run four funds that a big lickly responsible. stuart: tell me of names that you invest in and you're being biblically responsible. >> a dr. pepper snapple. be a vie. stuart: that's is beverage maker. >> abbvie is dug maker. stuart: pick on those two, why are they biblically responsible? >> for aspire investing we're looking for biblically investing company. they are doing good with business, operating high degree of ethics and morales and giving back community. avoid tangling in anything anti-biblically. we're avoiding companies involved in abortion, pornography, human trafficking, things like that.

problem with human trafficking and those sorts of things. but that is company pays very close tending to that issues. be a v. does not involve in the abortion industry. stuart: what do performance of your four funds compared to the s&p, are you beating them. >> we are beating them? stuart: consistently? >> consistently. stuart: by how much. >> today the s&p is down half a percent. we're down .21. stuart: over longer term, the s&p has done very well up, 20, 25%. are you up, 20, 25%. >> we are. stuart: you are? better than that? >> we are. stuart: turn it around, which companies if you want to name them, would i like to hear the names, would you specifically not invest in? >> microsoft. we talked about that last time amazon. stuart: not invest in microsoft. i'm episcopalian. i have a piece of microsoft. what is wrong with them. >> they involve themselves in

lot of issues like the abortion issue. like, gay marriage issue. that people of faith and christians don't want to involve their money with. so we avoid microsoft. they also have graphic nudity in their video games and violence and cop killing and issues like that. >> you're very pure, very pure. >> well, thank you. stuart: i'm not meaning you, very pure. you go to the inn degree? >> he wan to do best we can. all we have has been given to us from the lord. it is his money. one day we will give account. we want to honor him what we got. stuart: itch 20 seconds. many christians believe that donald trump is instrument of god. that he was sent by god. represents god to change america back to way it used to be. you say what. >> god is sovereign over all things. he chooses rulers to place them. sometimes good, sometimes bad, they accomplish his purpose in the end. stuart: very interesting perspective, robert, shared by many people. appreciate you being with us.

>> thank you, sir. stuart: nancy pelosi calling the tax bill a dark cloud. i call it what she said is nonsense. we'll be back with more on that in just a moment.

stuart: nancy pelosi said it again, 86 million american middle-class families will be paying more in taxes as a result of the tax-cut bill. nonsense. she says because tax cuts for individuals run out in a few years time there will be a tax increase at the end of that time. that is torturous logic but it appears to be working. in a recent poll 58% large corporations and wealthy adults will benefit most from the tax plan, clearly the republicans and president have the work cut out for them. they have got to sell the tax

cuts much more effectively is what better place to start than tonight at the state of the union speech, the president will have a huge audience, people tune in for a trump speech and sitting right in front of him will be senate democrats from trump voting states who are up for reelection. he can look right at them and ask are your states better off now because of tax cuts? is my growth plan really armageddon? of course it is also an opportunity to look at the same senate democrats and ask them are you going to shut the government down again for the sake of illegals? or are you going to work with me and secure a future for those dreamers? there will be dreamers in the audience. he can look up and ask the same question, you want to deal? he could do that. we should all be asking which economy do we want to live in? the obama pelosi schumer static economy of yesterday or the dynamic economy of tomorrow, the one that is already taking

shape. there is a selling job to be done, get on with. the third hour of "varney and company" is about to begin. ♪ stuart: let's go to the market, triple digit loss on the dow industrials, second day in a low. this guy is a mover and shaker, chief us equity strategist for credit suisse. john lansky, moody's managing director. last time you were on the show you where unrelentingly bullish. >> it is up 5%, 6% for the year and i 8 out of 10 days, before

they were properly souls, and in the first half of the year. stuart: this is not the start of a big correction. bond yields are higher, and we won't get that 10 year treasury lower. suppose this variety's report on january payroll on the low side. that would be good, construct equities. stuart: that is what it is all about, down 500 points. >> very nervous about the sent by bond yields, warning people with the stimulus coming into the economy, we don't have the ability to absorb the stimulus without paying price in terms

of faster price inflation. stuart: hold on a second, back to you, amazon, berkshire hathaway, jpmorgan teaming up to create a new healthcare company that will lower costs and give better deliberate to customers. this is a wonderful thing and you say? >> i can't evaluate this but i would rather see public companies trying to address healthcare issues. and the infrastructure plan, the businesses to invest to build on their own or public aptitude to pardon with government, and private companies, makes it more

positive. stuart: it is private enterprise technology, capital and know-how that is going into this. different from obamacare and government and all the rest of it so i approve of it and you do too. >> a whole different issue. stuart: you have thrown cold water on my concept of market decline, are you going to throw cold water on this? >> we are going to see more intervention by the private market to drive down costs. this merger between cvs and aetna, in the near future, going to this drugstore cvs to take care of relatively minor health matters. you have the flu and want to see a doctor waiting for you. stuart: private enterprise element of amazon, jpmorgan and berkshire hathaway, the private enterprise part turns me on. >> i happen to agree with you and increase quality of care.

stuart: the big tech companies come all five of them report their financial performance wednesday night and thursday night. are you expecting really good news or any surprises? >> of the tech companies imported so far, 8% better than wall street was predicting and the earnings growth for the tech sector 15% to 20%. i have no reason to believe you won't see a continuation of that trend. it has been the biggest winner in three years in terms of better earnings than expected, name by name a little bit of noise but the general trend should be very positive. stuart: a bullish kind of guy. >> there are two stories, the old tech companies, harvard

companies and really winning because the economy is better and not necessarily innovative, and companies like the googles and facebook's that are more innovative that are capturing our imagination and winning simply because offerings have a more positive general term, two thing going on. stuart: your opinion of the big five tech earnings? >> they are global in scope. the fact the world economy is growing straight since 2011, very much supports optimism as far as earnings prospects are concerned. stuart: the dow industrials are down 259 points holding with that 1% loss. thank you very much, with us again. back to my take, my editorial at the top of the hour. 58% of americans believe corporations will benefit most

from the tax plan. i say the president has to get out and sell this thing tonight and you say? >> the same thing but how does he go about selling it? it will take time for the benefits to be realized. he might stress the fact this is going to be the lowest corporate income tax since 1939, repatriation of cash from abroad, immediate capital expenditures, all of this should lead to a big push, business investment, more jobs and more capital spending, higher productivity and higher wages. stuart: the higher wages has got to pound the table on. next month everybody's wage packet goes up. pound the table. >> higher-level of x managers, more productive and paid a higher salary. stuart: he cannot allow nancy pelosi to get away with the nonsense where she says 86 million middle american families will pay higher taxes.

you can't -- liz: a footnote, that is ten years on and is she going to let those tax cuts expire she is still there? that is what that means and where she comes up with that. stuart: pure demagoguery. >> you may add too the educational system is lacking in many respects. where we rank? 15 food or 20ths? asian countries, who controls the education system in this country? which party? the democratic party, and completely in this respect, this is why wage growth is petered out. liz: propaganda directly aimed at donald trump's approval ratings to keep it capped and down. stuart: glad you came on the show this morning, you are all right, pound that table, thank you, good stuff indeed. mcdonald's reporting higher profits and sales growth in six

years and mcdonald's on $1.20 and a down market. we are spending more, saving less. the commerce department says the savings rate has dropped to a 5-year low. consumers spend more as the economy picked up. surely it is because we are confident we do that the reason? meryl streep, check this out, meryl streep, i am getting ahead of myself, meryl streep applies for a trademark on her own name. the actress filing an application last week for this would give her exclusive rights to the use of her name and protect it from unauthorized commercial use. does that mean if i say her name i got to pay her? and the list of democrat lawmakers skipping tonight at state of the union message, it is growing, we are up to 12 dorgan congressman greg walden tells what he thinks of his

colleagues skipping the event. the koch brothers, $400 million to help gop candidates this november including $20 million to promote the tax plan. rnc spokesperson kaylee mcinerney joins us and we will ask her what the rnc are doing to promote the tax plan. ♪ u for years. they're all about me saving for a house, or starting a college fund for my son. actually, i want to know what you're thinking. knowing that the most important goals are yours, is how edward jones makes sense of investing. stay at la quinta. where we're changing with stylish make-overs. then at your next meeting, set your seat height to its maximum level. bravo, tall meeting man. start winning today. book now at lq.com

stuart: the koch brothers reportedly set to spend really big on the midterms, like $400 million, $20 billion alone goes to promote just the tax bill, $20 million just for that issue. kaylee mcinerney is with us. that is what the koch brothers are doing. what is the rnc doing? >> constantly out there on a daily basis talking about tax

cuts and what they will do for the american pupil, attack circular on the website, individuals can see how much they are saving and we are raising tons of money, candidates can do the same. stuart: you are not winning. former speaker nancy pelosi can go out and say 86 million middle-class american families will lose because of the tax bill you are losing and 58% of americans think the big corporations and the rich are winners from the tax-cut you are losing again. you are behind on this one. >> the tax cuts have not even kicked in but voters have a big wake-up moment when they look at their paycheck, see they are bigger, look at nancy pelosi and her lies and see them for what they are, expose the sql's lies, windchill of companies pouring money back from overseas, bonuses and raises, little by little people i seeing -- stuart: i don't know whether

you have any input on this but i want to see our president pound the table and sell the tax-cut deal. aggressively sell it. >> that is a huge component, number one component and infrastructure, saying to the american people listing those companies that brought money back, apple, $250 billion, and his opportunity to do what you said. stuart: stevie when out as part of the finance chair. the allegations of sexual misconduct. i want to ask you, who made the call? somebody at the rnc had to call up and say goodbye, steve. >> he offered his resignation, he realized even though he said he is innocent and deserves a full and fair investigation he realized being attached to the party would hurt us in 2018 and offering his resignation.

the chairwoman accepted it. stuart: was there much conversation between the two sides? >> there have been conversations. it is a tough situation. this is not the person -- he deserves a full and fair investigation but can't be attached to the republican party while that goes on. stuart: you for joining us, this is a big day for you. let's hope the president pounds that table. child advocates send a letter to facebook urging facebook to pull the plug on the new messenger apps for children. the apps says the apps poses a danger to children and undermines their development. facebook replies by saying messenger kids was defined with strict parental controls and safety filters. facebook stock on the upside today, generally down market. more companies raising wages been in anytime over the last 18 years. survey says 48% of businesses

have raised salaries in january, up from 36 in october and the third highest reading since april of 1982. that is an indicator. the dow is down 238, the s&p and nasdaq down sharply. all of them down less then 1%. drug stocks getting hard-hit. amazon, berkshire and jpmorgan with the new healthcare company and their reducing costs. any kind of healthcare company is on the downside, drug stock, all of them down, more drug stocks on your screen, red arrows all across the board. healthcare service stocks getting hit, pharmacy benefit manager express scripts, last time i checked it was down significantly, now it is down 67%. that is a big drop for a big company. virgin atlantic spreading the love. the airline announcing its new airbus will feature a love

sweet designs with in mind. virgin says the seats are perfect for dining or watching movies with your partner. and oscar winning actor going to play mister rogers in a new movie, we will tell you which hollywood star will play the beloved tv personality. let's begin. yes or no? do you want the same tools and seamless experience across web and tablet? do you want $4.95 commissions for stocks, $0.50 options contracts? $1.50 futures contracts? what about a dedicated service team of trading specialists? did you say yes? good, then it's time for power e*trade. the platform, price and service

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♪ let me be your neighbor ♪ won't you please ♪ won't you please ♪ please won't you be my neighbor ♪ stuart: mister rogers is coming to the big screen. tom hanks is going to play the children's tv host, the film is called you are my friend, based on the friendship between fred rogers and a journalist assigned to write about him. mister rogers neighborhood, if you remember, i do, and from 1968 to 2001. tom hanks plays the role. disney's villa loses her head. it happened at the little

mermaid right at disney's california park, and anna medtronic ursula's head came off, dangling from cable during a performance of the four unfortunate souls. the lawsuit. amazon's rain forest open in seattle, the house 40,000 plants from 30 countries designed as a green space where employees can take a break and hold meetings away from their desks go open for business. liz: looks like a dome from buckminster fuller. stuart: the world's tallest man and shortest woman together in egypt, he is from turkey, she is from india. they met at the peer amid trying to boost the struggling tourism business, he stands 8-foot one, she is to put 6. now you know, now you see. big political store, the house intel memo on the fbi could be

made public this week, that memo that apparently led to the ouster of deputy fbi director andrew mccabe. the judge coming back to tell us about it again. donald trump stay at the white house repairing for his first state of the union address. will he go off script and make an appeal direct to the dreamers who will be in the audience. fred barnes gives us his take on that. look at the markets, we are down 200300 point to, we are back. ♪ hi i'm joan lunden.

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stuart: going back down a bit, we are up 300 points, 292, that is 1.1%, plenty of red, stocks down triple digits, look who is here, charles payne. i don't believe for one moment you think this is the start of a major correction. >> no i don't, you are a mind reader. stuart: tell us why it is not the start.

>> they are phenomenal. they make trucks, the order for class a trucks the last two months, through the roof, earnings through the roof blues not a big name per se but they do make bigger trucks on the highway. this company is not ordering $200,000 trucks because they think it is a win or a temporary thing. it points to the economy maintaining underlying strength or even getting stronger. a market like this up 100% for the year, giving some of it back. stuart: a major story. amazon, jpmorgan and berkshire have teaming up to form a company to use private enterprise technology and know-how to improve our healthcare delivery system and the costs thereof. i love it because it is private enterprise. charles: i don't see anything wrong with it. there has been an overreaction to the names this morning but not like they will come up

tomorrow with star trek devices that can cure your cancer and check your vitals. i won't be able to do that tomorrow. we want companies taking the initiative, lower healthcare costs for employees, let them do it. it is much better than the government saying we need the federal government to fund this or make it happen. stuart: the insurers are worried they will be based out if you have this enclosed system that may spread to other companies. out go the insurance companies, they are just the middle guys. charles: i am not sure about amazon. they sell furniture, they may want to sell healthcare insurance but improving employee's health is a noble one and it is not altruistic. if they get some things out of is that can be exported or sold somewhere else or given away for free they are still

accumulating data. it won't all be out of the business of their hearts which is fine. stuart: looking for reasons we are down 293 now, 200 yesterday. i could blame a lot of it on higher interest rate, the 10 year treasury, 271. there is something to be said about nervousness. nervousness ahead of the big five technology earnings, the slightest disappointment and down we go. charles: they have all experienced 10% pullbacks along the way and guess what, they rebounded quickly and went back to all-time highs. real quick on the yield, 1980, when we hit a peak, the 10 year yield was 12%, 1987 before the crash the yield close to 9%, 2000 before the crash, the yield was over 6% so 3% yields historically do not necessarily a harbinger of the market

crash. stuart: he does his homework. >> my subscribers, 6 pages. stuart: you are all right, appreciate it, back to the healthcare partnership and bring in congressman greg walden, republican and chair of the house energy and commerce committee. this is a very big deal, i really like it because it puts private enterprise right into the mix of healthcare. what say you? >> couldn't agree more. where you see disruptive technologies go is where the most bureaucratic rule driven regulation sectors of our economy have been languishing but i can think of a sector of our economy that is more rule driven, regulation ridden, consumers are disengaged, they

are not empowered. what you could do if you could harness today's technology, today's innovators to do for healthcare reform what you have been able to do for ridesharing, purchasing things online. look at the streamlining of consumer choice, reduction in cost. this is a sector that desperately needs this disruptive technology to come about and if jamie diamond and jeff bezos and whoever else make a little money off of that, fine, we tried to do it federally and it is such a monolith to bust through, we need to bust through. if it is good consumers -- stuart: i want to refer to the state of the union message, growing number of democrats who will boycott the speech. the list at the moment is 12 altogether and they include this gentleman on our screens, your colleague from oregon, tell me what you really. >> i have been to every state

of the union, republican or democrat, i respect the office of the presidency, i want to hear with this and i try to find areas i work with, the obama administration, clinton administration, bush administration, right now we have a hearing going on, 25 infrastructure ills connecting american high-speed broadband, some are democrat bill, some republican, i hope the president speaks out infrastructure including broadband buildup and we want to be there to cheer on and do the right thing for the country, that is what people elected us to do. stuart: what is in the water on the west coast that produces an overwhelming number of democrats and you are the loan republican. >> i'm protected by the endangered species act, i am a unicorn on camera as the only republican from oregon and very few of us on the west coast. it is a different attitude. my side of the state fairly

republican but we have to earn our keep as well. we need to pull together for the country, we did on taser from which nancy pelosi calls -- can you believe $1000 is a crumb, not to people i represent. stuart: we will be watching for you tonight at the state of the union message and we thank you for being with us. now this. fbi deputy director andrew mccabe off the job and the house intelligence committee has voted to release the memo which claims government abuse. agenda napolitano is back. anything late to add to this? judge napolitano: andrew mccabe telling friends he resigns, he wasn't fired. i don't think this is significant to me was scheduled for suspension to kick in in march, four or five weeks from now. there is a coincidence of his departure occurring within 12

hours of his boss having read the memo. being sarcastic. it probably is was a question of how explosive is that? who does the memo point to as having abused spying powers the president has given to individuals? who took raw intelligence data and weapon eyes did come used it for political purposes? stuart: it is all about how they got a secret court to allow the bugging of the trump campaign. judge napolitano: it goes beyond that. it extends into the present doj. it is not just the last months of the loretta lynch barack obama doj but the first few months of the donald trump, we haven't heard this name in a long time, jeff sessions doj. stuart: is that why the doj doesn't want this release?

judge napolitano: i believe so. when they said we don't want it released they realized because critics pointed out how do you know what is in it, you haven't seen it. that sent chris ray rushing over there to see it. at the present time the president's people, not a given the president will release it, the president said he wanted it released, political statement but his national security people, hr mcmaster and his team will look at this and decide is more harm than good going to come from it? if he can started being released? stuart: i don't see national security is affected by this. you can reject any names. judge napolitano: even a redacted name in the context of the rejection can be figured out who it is by people who know what is going on. you have to redact more than the names of the revelation of names of whistleblowers and spies and the means by which

the government acquires its purloined data. i am in favor of releasing all of it like you. not just a memo, not just a memo. underlying data on which it is based because you have adam schiff's memo and devon nunez's memo both based on the same material and came to the opposite conclusion, let us look at this material and dry our own conclusions. stuart: there is one other developed you have not mentioned yet and that is senator johnson who had this secret society and we now know that he had three moles within the fbi telling them what is going on. judge napolitano: emphasis on had. when he said this to bret baer our colleague and used secret society rather than a bunch of agents getting together from time to time to vent politically, secret society and revelation of a mall, shut it down but the fact is -- stuart: he had 3 moles in the fbi. judge napolitano: this group does and did exist but not like

the illuminati, some bizarre conspiracy. it was a bunch of fbi agents furthering their own personal and political agendas in the fbi and three of them spilled the beans, formerly, to senator johnson. stuart: you are being so pleasant. this is political dynamite. last word. judge napolitano: i hope it is not exaggerated when it comes out, on monday when it does come out it is as has been represented. stuart: watch this program, judge andrew napolitano break it down. >> 9:00 monday morning. stuart: thanks. soccer star david beckham giving major league soccer fans in miami something to cheer about launching an expansion franchise in miami. he would like the team to start playing in 2020. covered in tattoos. nancy pelosi continuing to slam the gop tax plan even as more

companies announce billion-dollar investments in america. fred barnes has something to say about that was amazon targets fedex and ups for the delivery service that allows sellers to bypass warehouses and ship direct to homes. that story 90 seconds away. ♪ my name's dustin. hey, dustin. grab a seat. woman: okay. moderator: nice to meet you. have you ever had car trouble in a place like this? (roaring of truck) yes and it was like the worst experience of my life. seven lanes of traffic and i was in the second lane. when i get into my car, i want to know that it's going to get me from point a to point b. well, then i have some good news. chevy is the only brand to receive j.d. power dependability awards for cars, trucks and suvs two years in a row. woman: wait! (laughing) i definitely feel like i'm in a dependable vehicle right now. woman 2: i want a chevy now. woman 3: i know!

>> nicole pedallides with your past business brief, amazon trying to get you more product. you see stock of $9 that 14 -- expanding service that can get you more cleaning supplies and other products overall. by using sellers and merchants, quick delivery and this could hurt the other guy such as fedex and ups, avoiding congestion shortening overall the delivery time and lastly, saving money and reducing costs by having a volume discount. all of this in the early stages of fulfillment by amazon and they are working on this and it could be expensive to help you. men jake!

today, you're recognizing two promotions. hey kids i'm home. what do you want for dinner? hers to manager, and yours to grownup. with blue apron, any night is a chance to see what cooking can do. stuart: 250 points, triple digit loss for the second day in a row and now this. nancy pelosi at it again. listen to what she is saying about tax cuts, roll tape. >> the tax bill is the dark cloud that hangs over the capital. they sell it as a middle-class tax cut come 86 million americans will be paying more in taxes as a result of this

bill. stuart: nonsense. let me bring in weekly standard editor fred barnes. the point is she is totally wrong on 86 million americans paying more in taxes. the point is she is winning. people believe this. 50% of americans think goodies go to rich people and corporations, she is winning. >> i don't think she is winning, she will be losing even bigger than she is now come february when people look at what they are getting in tax withheld and there will be less of it, they will be getting a tax increase -- a tax-cut, rather. what is she going to say then? it is a mirage? she is an economic illiterate for one thing and it is doing something, making claims now that everyone knows are going to be proven false next month and next month comes pretty

soon. stuart: very soon indeed, the first paycheck coming with the week. paul ryan says he is looking forward to tonight's state of the union address. here is what he had to say. >> this is my 20th and i got to tell you, state of the union, very encouraging. stuart: i want the president to pound the table and tell the story of tax cuts, i want to be political and reach out on an immigration deal, discard the script, go at it and entertain. do you think he is going to do that? >> that is so risky, discard the script? donald trump does that frequency, sometimes it works, sometimes it doesn't, i don't know whether i would try that in a state of the union but i agree with the tax bill, the best thing republicans have and they are to make the most of it

and i am not sure trump will do that. the things he likes the most, he will talk about the things he likes the most, immigration, let's have fewer immigrants. stuart: you worry about that you cannot fewer immigrants, he wants to do a deal. >> what he is about immigration is one thing, it is more popular than what democrats are saying. the problem for democrats is they have been offered this deal by trump. i will let in nearly 2 million of these dreamers, these young illegal immigrants and legalize them and give them a path to citizenship. what are you going to give me for that? chuck schumer offers nothing. he can't offer anything. stuart: he will speak over the head of senator schumer and go to the senate democrats did from voting states who are up for reelection in november and he will say i got a deal for you, you come to the middle and deal for me.

he can point up to the dreamers in the audience and say i have a deal for you, to be political like that. i hope he doesn't. >> i don't think there is a deal to be made that easily. for one thing, if the democrats say you can build a wall, won't be that big a deal, the democratic base goes berserk. these are the people who believe resistance, we have to resist trump, we can't give him anything, we can't make a deal with him, the split in the democratic party will be worse, they are in a bad place. stuart: is ten democrats in the senate who are up for reelection are a different kettle of fish. >> but they still have what this party, whether you are hispanic or whether you are

some other identity group, there's going to be some identity group that gets mad at these democrats and they don't have much margin for error in their reelection bids. stuart: i hope he goes off script it is very political and you don't. we understand the difference, see how it turns out tonight, 9:00 eastern. fred barnes, see you later, if you very much. an unusual story, a 19-year-old college student in california singled out by the wall street journal as a stock market sleuth. he will tell us what he found that the experts missed. ♪

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stuart: add one more to the list, writer, the trucking company awarding a one time cash bonus employees, they will sell out $23 million, the money will be paid next month. look at the market, now down exactly 300 points, the s&p, nasdaq, all of them on the downside, 1% or slightly less, they are all down across the board. a youngster in college in california digging deeper into

the practices of several investment companies, made headlines in the wall street journal, meet an intrepid stock market sleuth, just turned 19 years old. uc berkeley student aaron chow is the man and he is with us now. welcome to the program. okay. what business did you look at intensely in debt and what did you find? >> the company at the wall street journal was this real estate investment trust i have been looking at and accompany a friend invested in, and when i looked deeper and deeper i found a lot of accounting themes, filing claims that were regressive and so that is when i decided to go to is easy and later on to jb why. stuart: how did you dig deep? don't know if you are a

computer whiz or whatever, what was your methodology? >> a lot of brute force. i read through every filing and everything a page of the filing the company filed with the sec and filings that were not with, i told the company to please file them. i was talking to the director of investor relations and 5 minutes later after i asked for the filings, they were filed with sec so there's a lot of convenient things that happened that made me more suspicious. stuart: why did you do it? >> i have a friend investing in the real estate trust so it was all because i wanted to make sure his financial security was okay. he is a bit older and i wanted to make sure he had a bit of money in it and at the

beginning, there was actual gravitas to actually what happens with the company so i wanted -- if it continues who knows how much could be lost? best to stem it early. stuart: congratulations, you did what the experts could not and did not do. you are a winner. i would hire you if you ever wanted to get into television, in a heartbeat and i would be terrified if you went after any company i was involved in. >> in investigative journalism and investigating stocks, the same type of investigative sleaziness that you need. stuart: we are on sixth avenue in new york city between 47, 48th street, come on over, you are all right, congratulations. there will be more varney after this. ♪

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stuart: ladies and gentlemen, we are going up in the world. tomorrow on "varney & company," steve mnuchin the treasury secretary on the show. neil, it is yours. neil: thank you, stuart, we have crazy day. one day i noticed all the networks are paying attention to the markets. it is darnedest thing. the dow down 330 points. in case you're looking for that correction. not even 1.7% over last couple days. a lot of people are clamoring to see 5% one to get us on to something healthy, however you want to interpret it. what you have royal -- roiling the markets, president's speech can he get any kumbayah on capitol hill. the sudden announcement out of likes of amazon and