>> not apple, google has higher ground in terms of protecting people's privacy. >> yeah. i agree with you. let's start looking at the other tech companies. because we're looking at the moment where the davids become the goliaths, and we're going to see increased scrutiny. >> mr. varney, it is all yours. >> let's see now. you've got murphy, that lady right there, you know, they used to be on our show all the time. but now total desertion? do they like getting up at 2:00 in the morning, i might ask. >> you are a trouble maker. >> i am. but thanks, dagen. i'll take it from here. don't worry about it. on monday, everyone wants to know how their money's doing. good morning, everyone. a modest gain. that's what we're going to see a half hour from now. the dow up 140, s&p 11, nasdaq about 40. a lot of talk today about the big profits that will be reported starting this week.

we're hearing gains of 15 to 17% or even more. surely, that is a plus for stocks. we'll see about that. the news backdrop. frankly, very hard to take. a gas attack in syria blamed on assad, the ally of iran and russia. well, that was saturday. last night, a missile attack on a syrian base, 14 dead, including iranians. russia blames israel. says israel did it. the u.s. denies any involvement. but president trump says there will be a high price to pay for that gas attack. the world is waiting for america's response. and this is zuckerberg week on capitol hill. two days of testimony, big deal. yes, it will be political theater. but the impact could be far reaching. facebook's business model may be up for grabs. right now, they offer a free service and in return, they sell your information. if the politicians upset that model, you will feel it in your wallet, that would be. yeah, your wallet. okay? the monday edition of "varney &

company" is about to begin. ♪ ♪ stuart: let's see it. that's patrick read. 27 from texas. winning his first major championship. that's the masters, of course. he shot 71 to finish 15 under. a one-shot ahead lead of ricky fouler. two shots ahead of jordan spieth. by the way, we are a financial program. so i will tell you this. the top 24 four at augusta get paid at least $100,000. now, reid himself, he takes home 1.98 million, along with that green jacket, of course. ricky fouler gets 1.2 million. spieth, 748,000. now, hold on a second. ash, what's this i hear about reid being the most hated man in golf?

ashley: that's a strong title but let's face it. everyone yesterday was pulling for jordan spieth as he went on that birdie run. and rory mcilroy. but apparently his reputation is earned. he got kicked off the georgia golf team because he was seen wearing notre dame outfits at a georgia notre dame game. so he went to augusta state where he was so disliked that his teammates were pulling for those he was playing against in golf tournaments. 2014, he is so estranged from his family that when his parents turned up in u.s. 2014 open, he had police escort them off the property. so he has this reputation. he's a great player, though. he knew he wasn't the favorite today. but he kept in there, hung in there, he's also brilliant because he has that kind of tenacity. but he's not the favorite. >> i had no idea about any of that at all. and i'm glad i didn't know.

>> all right. we're going to be up about 145 for the dow at the opening bell. maybe trade war fears are easing back a little bit. there is a gene therapy deal to tell you about. buying for 8.7 billion. this is the future, folks. gene splicing and all of that. big deal. don't forget the tech names. all of them on the upside. of course, all of them on the downside. i think almost all of them down last week. amazon's up # 17. facebook, apple, alphabet's up, higher this monday morning. doug is with us. he's with sea breeze. doug, i'm looking at big profit gains that are going to be reported very soon. 15%, 17%, surely that's good for my 401(k), isn't it? >> it's good for the market. but there are other issues that the market's concerned with. to borrow words from one of your country men, we live in a

fang, new world. i believe that we're arguably in a new regime of heightened volatility and compressed market multiples. if you think about it, 2017 was the year of hope in which valuations expanded. the s&p price earnings multiple rose by over two points. 2018 by contrast is probably the year of reality in which multiples are compressed. vis-à-vis 2017. stuart: so let me get this straight. even if profits go up very significantly. i mean, we're talking 15, 17, maybe 20%. let's suppose we do that. you're still telling me that this market does not go up some more. it doesn't hit new highs above 26- 27,000. >> that is correct. first level thinking is corporate profits are higher so the stock market must rise. but the second level thinking, which really works in the stock market most of the time, is that corporate profits are

rising, and it has been fully discounted in the marketplace. stuart: you do not like big tech. spell it out. why not? >> well, i do not like big tech. you've been talking about patrick reid in sports. i will give you a baseball analog. to me, fang just completed the first inning of a baseball game. the share price of facebook, amazon, netflix, and google, the acronym for fang rose astronomically. their technological advances were very impressive, but they were in the batters box against a bunch of class a baseball pitchers. in real life, my cousin is sand sandy koufax, the hall of fame from the dodgers and probably the greatest left hander pitcher in history. he's coming on the mound.

donald trump, our president has basically issued a sell recommendation on amazon and reduced its price target, and i think all four members of the fang should be avoided or shorted. stuart: okay. i do hear one doug. is sandy koufax your cousin. >> yes. he is. i'm a koufax. stuart: wow. i didn't know that, but you can be back on the show regardless. i'm sorry you don't like the fangs. i'm sorry you don't think the market's going up anymore. but, look, thanks for being with us on monday morning. don't be a wet blanket on us. we accept your valid analysis. we got that. okay? >> you got it. stuart: thanks very much, doug, see you again soon. i'm going to switch gears completely now. russia blames israel for the deadly air strike on assad's base. says the israelis did it. well, this follows a horrific gas attack for which america does blame assad. the wall street journal editorial guy joins us now.

president trump has to respond militarily; right? >> when you say there's going to be a big price, you can't get away with not getting -- well, president obama did that. look where it got us. and i think this is a special slap to president trump because he attacked the first time and said this is a warning. don't do it again. they're obviously testing him. stuart: i remember the last time. i think it was a gas attack. president trump was entertaining president xi, china's leader at mar-a-lago. he puts down his knife and fork in the middle of a desert i think it was, goes outside, orders a missile attack and tells xi what he has been up to. >> right. not bad. >> exactly right? >> and i think that's the larger point there. this is not just about syria. the president is going to enter talks with the north koreans and so forth. he's got north korea, iran, and russia. and they're all looking to see is he serious or are these attacks a one-off thing? >> i think general mattis --

am i right. general mattis, defense secretary said i don't rule anything out right now. did he also say, justin, that he's not taking action immediately? nothing yet, but he's not ruling anything out. >> yeah. i think they want to be smart. look, there's a lot of avenues in syria. i mean, some people would say take out his air force. you take away assad's air force. and others, put safe zones in, which i'm more sympathetic to, which is create areas inside syria where syrians can go and live in peace without the threat of being bombed. and maybe you can build up a healthy part of the country. the other part is either get rid of assad or confine him to such a rump syria that he's not as much of a menace as he is today. stuart: but to do all of that, you have to keep several thousand u.s. troops in syria. >> i think that's.'s dilemma. he complained in no more wars

like president bush did. i complained for president bush. he did a tremendous job in this. but the american people don't want these long wars where there don't seem to be an end. the problem is -- and he knows obama was too weak. so he has tried to thread that needle. you know, strong strike. one off things. but nothing that commits you further. he committed a little bit more in afghanistan. and that's his dilemma because to have the effect that he wants to, he probably has to do something stationed people there or have some kind of presence longer than what he wanted. stuart: some kind of action is coming. >> some kind of action, but also, i think there needs to be something that shows this is not a one-off either that we have a policy, and we want to see it through. stuart: okay. bill, thank you very much. >> you're welcome. stuart: thank you very much, indeed, bill. america's changing the energy equation. that's because we have frackers over here who are

fracking like crazy who are producing a great deal of natural gas, and we have rick perry on the show to tell us exactly what's going on. astonishing news from california. a republican could win a statewide election. newt gingrich says the governors race could swing republican. now, that is news. the guys from deadliest catch are going to be here. new season starts tomorrow. it's so easy to get hooked on binge watching reality shows, isn't it? liz: yes. stuart: i'm from life below zero. that's my person. we're just getting started on "varney & company." much more after this ♪ with expedia you could book a flight, hotel, car and activity all in one place.

♪

. stuart: futures holding onto those gains. we'll be up about 150 points 15 minutes from now. where's the price of gold, holding at $1,337 an ounce. our next guest, someone special. met with leaders around the world, and they want to buy

our country's energy products. in particular, liquified natural gas. here is the secretary of energy. rick perry. welcome to the program. >> thank you, stuart,. stuart: what's this i hear you you're sending a ship, liquified natural gas to india. >> it got there two weeks ago, actually. stuart: oh, it did? >> you recall what? five, six years ago we were having all of these import facilities being built along the gulf coast. over the last five years or so, those have been turned around. now they're export facilities. and because of the great shell revolution, american lng is now absolutely changing the geopolitical position in the world of united states when it comes to energy. stuart: you use up russia's position. >> indeed. >> every molecule is a molecule that doesn't have to be taken into hostage. stuart: why are you smiling.

>> i love the competition. the idea that the united states -- ten years ago there were people making a good speech, making nice money on oil. and now because of american innovation, american technology, we are now in the driver's seat when it comes to energy in the world. so when we're talking to people like india, when we're talking to our european counterparts, poland, they were in the baltics, those are people who truly understand what has happened in the energy space. and the united states is their friend, and we will be there for them day in and day out and delivering energy. we're delivering freedom around the world. not just gas. stuart: can you increase the supply that's going out of america. >> indeed we can, and i think that's one of the things -- these are long-term contracts. 20 to 30-year contracts, so there's a lot of really great opportunities out there, and it's a -- u.s. technology on the coal side.

i mean, the idea that somehow or another, you know, coal is not going to be in the mix. it is. and 2040, 77% of the power generated in the world will still come from fossil fuels. we need to do it wisely, we need to do it efficiently, we need to do it as cleanly as we can, and it will be american technology that leads that. stuart: that's fracking, isn't it? and horizontal -- >> fracking and drilling have completely changed the dynamic in the world from the standpoint of the united states and various places in the united states and some that we don't even know about. when you think about what has happened in the asplation region, the opportunities are fabulous. but there's -- stuart: i have property in new york state. i'm sitting on top, i'm not allowed to frack. any comment on that. >> well, here's the issue. not only the idea that you can't produce that natural resource in states like

new york, but you can't even transit it with gas. that puts those citizens and citizens on the other side of that line, if you will, in jeopardy economically. we pull another vortex in that has the potential to shut down those power plants because they cannot get the energy. at that point in time, elected officials are going to have hard answers because people are having -- will be having to make the decision about do i keep warm or do i turn the lights on. stuart: well, said, sir. one last one. you're spending $1.8 billion on supercomputers for the energy department. >> yeah. if i had the ten fastest supercomputers in the world belong to the department of energy. obviously being able to model nuclear tests rather than doing underground testing is one of those. but also in things like health care. massive amounts of data that used to take literally months, even years to come up with the answers to problems that were laid out.

these analytics and this computing capacity that we have now is going to be able to allow us to address issues like post traumatic stress, traumatic brain injury in our veterans. i mean, some powerful answers to issues and questions that affected us for a long time because of these doe-operated computers. stuart: you know, you look like a man who is having a really good time. you look like a man who's having more fun than any other cabinet minister at this moment. >> it is an interesting place to work. i love -- i'm so glad -- i'm glad that the president -- stuart: interesting. >> well, it is. at the doe not withstanding the political world that we live in. stuart: under fire. >> i don't know if it gets into the fun category. but it is not the best job i ever had. that was governor of texas. but the most interesting job i ever had, secretary of energy. i'm so glad the president asked me, and i'm glad i said "yes"." stuart: mr. secretary, thank you very much. >> thank you.

stuart: we're obliged to you. individual stocks moving. how about tesla? where is it this morning? i'll show you in a moment. there you go. up $300 again. elon musk seems to be moving the conversation again away from tesla and production problems and towards space. ashley: yeah,. stuart: having success with the stock. it's at 301 as we speak. we'll be back you know, i used to be good at this.

then you turn 40 and everything goes. tell me about it. you know, it's made me think, i'm closer to my retirement days than i am my college days. hm. i'm thinking... will i have enough? should i change something? well, you're asking the right questions. i just want to know, am i gonna be okay? i know people who specialize in "am i going to be okay." i like that. you may need glasses though. yeah. schedule a complimentary goal planning session today with td ameritrade.

. stuart: the spacex chief, elon musk, he posted this picture of what he described as the main body tool for his company's interplanet aerospace ship. you know, the one that goes to mars. a car nearby apparently trying to show some scale there. ashley, liz. ashley: the matchbox car shadow. stuart: that does show scale, though. is he trying to divert production problems by going in all into space. ashley: that has been his style. although, i will argue that the last report that we had, earnings report showed the production of the model 3 is picking up. 2,000 in a week and that he doesn't need to borrow more money this year. whether you believe that or not is another question. but those numbers were better than they have been in the past. still burning through cash at a ridiculous rate.

stuart: he got the stock at $300 again. ashley: he did. liz: to show that, it's pretty impressive to see that image and apparently he's sleeping at the factory to oversee the production. ashley: yes tesla is still having a lot of headaches at the road. no pun intended. they almost went bankrupt in 2008 now saying they won't need to raise capital. he said that in 2016 and raised capital in 2017. he can easily sell stakes to toyota. already owns 5%. so when he said i don't need to go into the bond secondary to raise capital, he could sell pieces of tesla, which he has done in the past when it almost went bankrupt in 2008. ashley: but he does have a history of nothing to see here, folks. look at this big rocket. it is very impressive. stuart: by the way, futures picking up steam. we're. up about 144 points. now up 170 points.

solid gain for the nasdaq as well. stay with us, please. we'll take you to the new york stock exchange and show you the opening bell this monday morning. back in a moment ♪ ♪ i can do more to lower my a1c. because my body can still make its own insulin. and i take trulicity once a week to activate my body to release it, like it's supposed to. trulicity is not insulin. ..

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stuart: and 20 seconds come will start trading this monday

morning. big drop for the dow in all the other indicators on friday. the indications are we will bounce back a little. don't know why in particular. i think maybe some good profits are coming. maybe trade figures are waning just a little. who knows. it's monday morning and it is 9:30 eastern time. we are up, running where we going? up 150 points and one under 60 points, 167, 172. that is about where we are in the early going this morning. 182 points. sea of green on the left-hand side of her screen. 190, 191. do i have 200? liz: we are now at december levels. stuart: we are up 020%. where are we on the s&p? a similar game he asks you the answer is no, we don't. it is a .65% from 17 points up for the s&p. the nasdaq, tommy what is happening with the tech stocks

up .88%, .9%. solid gain for the nasdaq and the dow appeared who's with me on an historic monday ashley webster, elizabeth mcdonald, jeff barnes men and job seeker. why are we have today? >> we are right because this weekend we learned president trump rbf adds. they are good friends. president trump traits that is going to stay friends with president xi jinping no matter what happens. they interpreted as they are going to work this out, whether rates proves to be true or not is the one factor that will determine where the market is going to go. i don't believe it and i think a market that been so attached to these headlines is a very dangerous mercury. we don't know if there's going to be a reciprocal reciprocity, which how he feels about president trump is to decide

where the markets are going to go. stuart: where a 200 points because trade fears are received. what are you laughing at? >> why were down 500 friday in at 600 wednesday and done 700 tuesday. five, six, seven days in a row. this is boring. stuart: no single big reason we are up and running again. ashley: one tweaked away from a jump. stuart: i will get to earnings in a moment. that is the big deal here up 194 as we speak. they tech. don't forget we've got facebook mark zuckerberg testifying tomorrow and when day. facebook will have hurt the big talk recent. apple's cofounder steve wozniak says he's let facebook because of their data collection. have you left?

liz: i've left in the path and i've come back on to connect with my friends and family. when you look at the messaging and the sheryl sandberg says maybe even more data breaches coming because we are doing an audit. it could be even worse than we know. she says in the next breath if you want to opt-out of advertising on facebook, you may need to pay up for it. they cannot say now they are going to help the world connect via facebook if they start charging. i just don't trust it. i don't trust the leadership. stuart: if they offer the option to users here press this button and we will never use your information at all. but when you have to pay us, facebook for no advertising coming at you. but nobody would change. liz: their revenues would go down dramatically. they could no longer say we are helping connect the world by charging you. >> the advertisers pay for those

logistics. they pay for that information. people don't realize from day one -- this is the business that facebook is in. they learn about us and target us. if anybody doesn't think facebook is going to be business. dream for we just don't know how bad it is. >> i don't think they care. and they have everybody at the end of facebook. i'm interested in the people who leave facebook and come back as they can't be without it. they have created such an addiction an attachment that people can't let go. stuart: the only the facebook stock comes down significantly and the politicians make a profit from your information.

stuart: we are all in agreement on that one. amazon as you know, president trump paying their fair share of taxes. amazon getting a free ride from the postal service. just, you are an amazon watcher at the very least. you are gung ho for amazon. >> here's what i see right now especially when it comes to how president trump is handling this. this is a personal vendetta against jeff is those. president trump is talking about amazon not paying their fair share of taxes are the taxes he is referring to our sales tax. what i see about this beef that he has with jeff bezos, what will ultimately happen is consumers pay higher sales. liz: they do pay sales tax. so this is going to reflect directly on the consumer. i think they should work out their differences and find a way to get past this, renegotiate the deal at the post office because it is a bad deal for the

post office and move on. amazon has been good for the economy. stuart: amazon stock is going about 14.22? amazon stock rose about 14-point to two. you know what i mean. it's not something we would want to touch for any other reason than not these multiples and conversations are disruptive to the valuation. repricing is in order and regardless how they work those things out, i'm of the mind that they will. i am pro-amazon in terms of the discussion. but with this kind of extraordinary valuation, all you can do is wait for it to get to a more reasonable place to price. stuart: hold on. i've got a move on because i've got a winning caterpillar. they are way up, both of them today. nice gains because trade fears are fears of a trade war are receiving. a proxy for the trade story, adding to the dow.

>> i will go back and forth. liz: we can't be intimidated. transfer congress is back from spring break. stuart: those stocks are down and they contributed 15 points to the upside move. up 174. 50 of that is by winning caterpillar. check the big board as we said back about 24,000 at this moment. interesting story. gene therapy deal. no virus buying of access coming to gene therapy company paid a .7 billion. ashley: that's a big deal because gene therapy as we talk about so much as the future. a lot of medical advances are going to be made. no doubt about it. stuart: $91 higher. if you'd been saddened by gene therapy is the place to go, where are we going here. i didn't see that coming.

stuart: battening druggist spinal muscular atrophy. people who become paralyzed. that is what affects us. stuart: okay. profit season begins in earnest on friday. the big banks start up a whole profit reporting program on friday. david, i am told we will get profit increases the 15, 17, 20% compared to this time last year. >> at 7:00 p.m. the big cat. 20%, 25% small-cap names. stuart: is that good enough for a nice rally? >> it should be. certain names, certain sectors that don't benefit as much as others. absolutely this is the time to really test how much stocks the benefits tax reform. stuart: are we playing the expectations game? i really don't like that. i am not sure i trust back. profits are going to be a

big-time. >> what i have to say about that, there's a certain amount of a relevance in the fact that profits will be up in the relevance comes from the fact that there is this potential trade war and there is a high likelihood we are going to get serious number of interest rate increases. we will see good earnings. i don't doubt that. these are priced to perfection. i would just say it the whole nature of the tug-of-war. the benefits of the tax cuts and growing earnings are a big deal. so is the fears around the trade war. those two forces are creating attention and volatility. stuart: dealers don't sell. >> do not sell. stuart: viewers maybe think about selling. since the average investor has way too much allocated toward stocks, especially the big five. now you have amazon and facebook

really getting hit by what is going on. i would say if you are allocated to heavily in stocks, now is the time to take your profits and you'll be okay. then move in emerging markets. >> we have a market at 200%. transfer you really know how to catch falling nines? >> no, i don't. you're good at timing it? >> no, i'm not. the bottom line is people are too heavily allocated in stocks and if they are too heavily allocated in stocks they have to look -- ashley: we don't see that in the flows. to heavily allocated in big stocks. stock allocations are modest. i would like to see more meaning into value, less into growth. stuart: a difference of opinion and you're out of time. thank you for joining us. where are we? up 150 points at the bottom line.

24,086 this monday morning. coming up, the man who captured the chap though commonly implements drug kingpin, how did he get them? the man who tracked him down. we've got them on the show. they're not the guy who let him go, buddies on the show. when i read this headline, newt gingrich thinks the governor's race in california could swing to the republican. are you kidding me? karl rove would discuss this. we will be back.

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as this may increase your risk of stroke. while taking, you may bruise more easily or take longer for bleeding to stop. xarelto® can cause serious, and in rare cases, fatal bleeding. it may increase your risk of bleeding if you take certain medicines. get help right away for unexpected bleeding or unusual bruising. do not take xarelto® if you have an artificial heart valve or abnormal bleeding. before starting, tell your doctor about all planned medical or dental procedures and any kidney or liver problems. learn all you can to help protect yourself from a stroke. talk to your doctor about xarelto®. stuart: we've still got a triple digit gain. by the way, the disney blog

buster "black panther" has now beaten titanic at the box office. tommy moore, nicole. >> it is amazing. "black panther," the marvel superhero by disney down slightly at 100 bucks. would have there had overtaken at the spot pass titanic in the domestic box office numbers. they brought in more than a hundred 16 million. how does it stack up? it remains the top earning marvel released in franchise history, powering over the avengers. this sci-fi thriller is going great. back to you. stuart: it sure is. frankly i'm shocked. thank you, nicole. the title of this op-ed from newt gingrich. california may elect a republican governor. incredible as that sounds. yes it is.

karl rove aired what you make of that? by what you my heart, but i'm encouraged by this development. what say you. >> well, it's an uphill climb. they have a primary out there, which means everybody, republican and democrat alike went in one primary. latest polling shows lieutenant governor in the lead followed by the former mayor of los angeles, anthony de la rosa and in third place is republican cox, john cox a businessman, now what they -- there were several options here. we end up in the general election, two democrats. the top two vote getters regardless of the general election. or cox continues its upward movement and appears to be dwindling a little bit and passes him by the time of the primary in which case we could have sort of what we've seen on the east coast and state like

massachusetts or new jersey, the voters say we need to have an adult who is serving as a little bit of a restraint on the worst impulses of the democrats. so we will elect charlie baker in massachusetts or chris christie in new jersey or larry hogan in maryland, republican governor to balance things out and rein in the excesses. stuart: you think it's very much a longshot at this point? >> an uphill climb. cox has got some money. there are certainly more than one out of every five voters in the date is republican. he could make the case he defended dean in the election and then at the question is can he make the case? you want to have a sane and sensible person in charge of our government as opposed to other crazies running this in sacramento. but it is a test blog and help source wire in the country.

one problem is a second republican with 7% of the vote in the most recent poll running to six, seven, 8% in the senate. if he were to dwindle, those votes would naturally go to cox. stuart: this morning, florida's governor, republican rick scott declared he's running for the senate seat held by bill nelson. you think he's got a shot? >> i do. i think he's got an excellent shot. he's been a good governor and his work the state assiduously, paid attention to his job. we saw last fall, there is the governor in command making decisions, warning people to take action and was everywhere and was right there in the middle of this all. don't also marked a little distant, a little out of touch and not really connect to it. rick scott has been a good two-term governor of florida.

he's paid attention to the job. he's got a lot of accomplished those he can point to and in the state donald trump one narrowly, he's got an excellent shot appeared stuart: both sides of $900 million? >> easily. scott has a deep pocket of his own, but both sides will spend a lot of money. this is the third most popular state in the union after texas and california and it's got a huge number of people. very long panhandle and a long peninsula. the further south you go, the more north you are. think about that a moment you can figure it out. stuart: it will take me a while. >> all those people in miami who are from new york and new jersey, palm beach and broward county and up north it is south. the northern part has a lot in common with lower alabama and georgia than it does with lower

florida. stuart: you been a pensacola recently? >> i used to the place of their recall that the redneck riviera at the tourism people say we now have to call it the emerald coast. stuart: karl, we'll let you go. thank you very much. wisconsin's governor scott walker and congressman tom cole warning of a democratic win in november. a new poll shows burton, republican, behind her democrat opponent in the senate race in tennessee. she is with us in our next hour. the guys are deadliest catch her coming. new season starts tomorrow. easily today put on binge watching reality shows. that's one of them and we will be back with it. termites.

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stuart: boeing and caterpillar up this morning. the new season of deadliest catch starts tomorrow and the discovery channel could look who's here. you know these faces. josh harris and jake andersen stars of the show. gentlemen, welcome back. >> thank you very much. stuart: you had a difficult year last year. the boat went down. tell me about it.

>> actually i will let jake take this one. >> the destination went down and she was about 40 miles east of main. it wasn't just a boat going down. this was one of my heroes, friends, family and it hit our fleet hired because there's only 70 boats now. do people consider that safer, but it's only because we've knocked out 250 votes like i said there's 70 now. they lose six people out of those. it just traumatizes the whole fleet, to where my mentor runs the northwestern. it's hard for him to even fish out there and for all of us. stuart: but you have captured a remarkable share of the reality tv markets. i'm a fan of life below zero, wicked tuna. not yet caught up with deadliest catch. what am i missing? >> what you are missing, for both josh and i., why i believe in the show and i believe what

it has brought to the public as you watch the american dream unfold for me. people don't know 12 years ago, before i got a job fair, i was a bum on the street. 14 years later they watch the american dream unfold before them too now i'm managing multimillion dollar company. stuart: that's pretty good. you know this question is coming at you. do you make more money from the tv show because you've got to get paid for, then you do from actually catching crab? >> i wish there was the case. i would tell you what, we wouldn't be fishing out there. we would be, but would wait for nice weather. stuart: how much is crab worth? you get a good catch, whatever you use, you've got a great catch, boatload. >> you can do a couple million dollars in a matter of two days. train for a couple million? >> i grossed to buy 5 million in a couple days. stuart: that's the best of the best. there must be days where you

don't get it seen. >> you are going to say we have this superman. i'm not going to tell you. i'm a professional on tides and currents, but i should be. four or five days. two months where your booty bags go underwater. you couldn't haul. massive waves goodbye to a call for 20-foot waves. it would be getting 40-foot waves during a fish. stuart: i see that in the new season? >> you will see that in the new season and it's terrifying. stuart: you've got a great voice for radio, by the way. you really do. it's like when you think back on everything that's happened, it is so terrific. the injuries than the struggles were nonstop. stuart: but you have become stars. >> we are just people with problems.

>> i think the weirdest thing is you're gone 11 months out of the year and people know where you are. stuart: 15 seconds to heartbreak. you are on the air tomorrow. gentlemen, thanks for joining us. more "varney" after this. promise. . .

stuart: don't underestimate the impact of mark zuckerberg's testimony in front of congress this week, don't. that tv hungry politicians grilling a billionaire hoodie boy, i got that, but the stakes are very high. first of all, you realize how much of the modern high-tech economy is based on the sale of your information? that is what facebook does, you know. you get a great free service and in turn facebook sells your information. amazon and google do something similar. that business model helped fuel their astonishing financial power. congress might unravel the model or restrict it in some way. remember when the clinton administration went after

microsoft, set them back a decade. rein in zuckerberg, you rein in the shining stars of america's economy. second, you realize how much of the trump stock market rally is based on the amazing rise of those big tech stocks. about 40% of the multitrillion dollar gain, facebook, amazon, google, microsoft, apple. think about the impact on your 401(k). if the politicians decide they have to rein in young mark zuckerberg. third, you are likely to see a great deal of billionaire envy at these hearings. the left will use the occasion to rail against zuckerberg. he is worth 62 billion and amazon's bezos, he is worth $116 billion. they are walking examples of income inequality and another signal we just can't allow these modern day robber-barons to get away with it any longer. i'm saying the left will use the hearings to push tax the rich as we approach the november elections. in short don't write off

zuckerberg's appearance. it will have impact. last thought, if facebook said pay us a small amount and we will stop using any of your information for commercial purposes, i think most people would leave things as they are. that is the way i see it. the second hour of "varney & company" is about to begin. ♪ well, look at this, we're 32 minutes into the session, we're up 216 points this monday morning, 24,148. big tech actually leading the way up today. look at amazon up nearly 30 bucks. microsoft up a buck 71. apple $3 higher. alphabet, small gain for facebook at 157. now this. twitter ceo jack dorsey very much under fire for a tweet he

appears to endorse articles calling on democrats to start a second civil war. he wants everyone to follow california's lead and resist. that is what he is saying. independent women's voice president thereof, tammy bruce. >> good morning. stuart: this trouble for social networks spread to twitter. how bad is it? >> very difficult. they at least now not to seem to be hiding their bias. there is a lot of complaints about twitter, shadow banning conservatives, instead of taking them off the platform, their voices are not heard or tweets are not seen. he said great read. that was extent of linking article another element called medium, website called medium called for a non-shooting civil war. that there is no reason for bipartisanship, other side, i.e., conservatives, trump, republicans are so out of line that the rest of the country needs to take california's lead which is remove republicans from

the public square and from politics. they need to completely use california as the example of what the rest of the nation needs to do. apparently everyone should deal with high poverty, homelessness, extreme debt, there is obviously chaos inside of california. counties are now suing the state for being a sanctuary state. so crime is of course increasing. drug use, et cetera. if that is the model, that is apparently what mr. dorsey is advocating or at least endorsing. i think most americans now that we see the state of california would disagree with that. stuart: you shouldn't come out with a strong political opinion like that running a social network. doesn't make sense. >> especially there are already complaints twitter is effectively doing what california is doing, removing conservative voices from the platform, if you will. and that is of course what this article calls for, politically across the board. and it is concerning because of course is this fraud in some way or at least a breach of trust,

that this is publicly-held company we're a platform for all voices except apparently seems like they may be taking actions against that. stuart: what do you make of sheryl sandberg? sheep says, if you pay a little bit, you, you will have to pay -- you're a facebook user, you have to pay them if you want to have your information absolutely secret and not sold or distributed to anybody. >> it was a good interview. savannah guthrie asked good questions on the "today" show. at that point what can people do to opt out you sharing all of their data. miss sandberg that would be something at a pay point. you would effectively have to pay them to keep your data private. as an italian it kind of reminded me of dynamic the mafia used would attack a store, break their indwindows and go into the store owner saying we can

protect you effectively from us if you pay us. that is what it sounded like, their protection of people's privacy is a hallmark of what is important and there is miss sandberg saying you will have to pay us for us to do that. she recently pulled out of an abc interview after the details of that interview came through. stuart: i'm actually with her. i mean the business model is, you have this great free service in return we use your information. >> the issue was, totally do that, but then let, because people don't go on to facebook without that. it is sold to them as a medium where you can share and without saying, but, the real goal here is to get your data. if people do have a way to opt out that i think could make a difference. and also frankly, this is the problem for mr. zuckerberg, is what they have been doing. miss sandberg also said we have never sold people's data. what they have done is they have sold a dynamic involving access

via apps to other organizations that then access that data. there needs to be transparency and a little less of the euphemisms when it comes to discussing this. ashley: they have never sold your data why do you have to pay them to protect it? stuart: that is their business model. ashley: but tells you they have sold it. that is part of their business model. stuart: i think everybody accepts that. if there was a button, you could press it, you're totally private, i think nobody would press it. if you have to pay them you wouldn't press that button. ashley: i agree. stuart: 99% of facebook users don't want that much change. i don't believe they do. if you get a slippage rate of one or 2% facebook users opting out. that i would be very surprised. that is a personal opinion. >> our world is wrapped around that. stuart: totally so s you're all right, tammy. italian? >> italian-scottish, can't beat it. stuart: whatever you say. i will stay on big tech.

i will bring in wells fargo senior equity strategist name is scott wren. frequent guest on the show. lawmakers are pushing regulations on big tech. i'm sure you heard the discussion there. if you regulate their ability to make profit i think repercussions are enormous. what say you? >> i think they are, stuart and you know tammy brought up a lot of really good points. she is hard to follow. she has the facts down hands down but i think anytime most of the time the politicians, they jump in, they regulate, they overregulate, they shoot and ask questions later. social media really is almost really in its infancy still. a lot of things have to develop but i would not be confident that washington would be able to regulate these companies the way that they, if they even need to be regulated but that they would regulate them properly.

stuart: answer me this question if you would. we're into earnings season. starts at the end of this week. i'm told profits will be real good, 15, 71, 20% higher than they were last year. i don't see any reason why that profit outlook why i should be selling my stock? >> i agree with you, stuart. we're right down here at some good buy zones. you and i talked about this the last couple weeks. anywhere between 2560 and 2600 in the s&p 500 that is a really good buy zone. if your forward look is good which us is, you need to be stepping in here. for us earnings season, 15, 16% growth is we're in line, we're not quite as optimistic for the full year, but certainly we'll get out of this year with a good deal of earnings growth. i think the question pretty soon, probably by mid-year, we know this year will be good.

what will happen in 2019? stuart: this will be real good, this profit season will be real good? >> it is. what people will pay attention to, stuart, we know numbers are going to be good, once again, what is cap-ex? what incrementally will you do as a result of this new tax code? that is what investors want to hear. stuart: you are a buy on the dip guy, aren't you? >> we do. valuations have come off. we're expecting from robly where we are right now, 2850 is our, the midpoint of our target for year-end. you tack on a little bit for dividends. that is a good return from here. we want our clients in this thing. stuart: scott wren, welcome to the show on monday morning. >> thanks, stuart. stuart: see you again soon. thanks very much. >> have a good day. stuart: if i were to say still no sign of spring in south dakota you know what i mean looking at this picture. in heavy snow a plane skidded off a runway at sioux falls.

nobody injured. there was degree of hysteria as they realized the plane was out of control. marcia blackburn run for senate in tennessee. the latest polls show her down double digits to her democratic opponent. she is at show. the man that helped capture "el chapo." i want to know how he got him and keep him from escaping again. ♪ the second hour of "varney" on its way. i'm just worried about the house and taking care of the boys. zach! talk to me. it's for the house. i got a job.

it's okay. dad took care of us.

stuart: rain, on a monday morning we're holding on to our triple-digit gains. 26 of the dow industrials are in the green. that means they're up. general motors, got an upgrade. morgan stanley says it will

thrive from rising infrastructure spending. while gm is up nearly 1% on that. next case. our next guest, he helped to catch the mexican drug lord "el chapo," and he has written a book about it. joining us former dea agent and author of "hunting el chep poe." drew hogan. how did you grab this guy. >> started cooperation and building right team, from dea, from hsi, to the u.s. marshals and in with our partners in mexico with the mexican marines but, you know, to start, it was a breakdown of his sophisticated communications structure and really targeting his inner organization. stuart: you penetrated his inner circle and found out where he was. where was he? >> right. by targeting the phones. he was in a strong hold in

sinaloa, the state, capital of the mexican drug trafficking underworld. stuart: how did you listen to his phone calls? did you use the cia? or do you have your own -- >> no, we had a crack team of hsi agents up in the states running all the wire intercepts. they were sending me the line sheets and able to diocese those and figure out his inner structure and his organization to pin him down. stuart: so you got him in his strong hold. you surround him with the mexican army, mexican marines. >> mexican marines. and we hit it and he escaped. stuart: went in with guns blazing. >> there were no shot fired. stuart: hes escaped? >> down underneath the bathtub. stuart: i know he escaped from prison once you got him but he escaped from the strong hold. >> on our first hit. stuart: how did you get him? >> through sustained and persistent operations. we stayed on him.

we knew he made a quick trip down to mazatlan. he was holed up in a hotel room. stuart: how did you find him down there? again telephone intercepts? >> telephone intercepts and pinging device of his top secretary standing right next to him. stuart: so you got him in a hotel room in mazatlan. the marines went in again? >> they went in and banged the door down. there he was rifle in hand. he put the rifle down. they took him in custody. stuart: did you ever see him, meet i am. >> i came face-to-face with him seconds after that. stuart: you were in the bust? >> i was, standing out in front of the hotel making sure the perimeter was secure. as soon as they had the target, i ran in, and i was wearing his black ball cap i had taken from his safe house. black ski mask. ran up to him in his face, and

yelled, what's up chapo! right in his face. we could have locked eyes for a second. he jumped back, and put him into the first car there, and the marines took him out. stuart: whoa. right in his face? >> in his face. stuart: you should have said, right at beginning of the interview, should have grabbed it right there with that one. that is very good, young man. off he goes to prison and escapes from prison? >> right. stuart: is there any prison, i know where he is now, but i take he stays with he is now. >> he is to the south of us locked up 23 hours a day in manhattan. stuart: he is in manhattan now. couple hundred yards away from the studio. >> sure is. stuart: locked up 23 hours a day? >> yes. that is where he needs to be. they have been tough on him. the judge has been firm with him. that is the only way from

gaining one step ahead. he always been. stuart: he never gets out? >> won't get out here. not in the united states. stuart: you have that look on your face. not in the united states. stuart: wait a second, president trump wants to impose death penalty on major league drug dealers. "el chapo" would qualify. would you like to see him get the death penalty? >> that is not my determination to make. i put him away. now prosecutor is in charge of that. stuart: were you the guy in charge of putting him away, were you the leader? >> i was leader along with agents of dsi around dea. stuart: don't be bashful. >> essentially the quarterback. stuart: congratulations, drew. >> thank you. stuart: that was really terrific. you toiled the story so well. that is what i wanted. i want ad good story here. the name of the book is "hunting "el chapo"." you're the author, drew hogan.

i shall read it. >> thank you. stuart: totally different stuff. really different. cofounder of apple, steve wozniak, he is leaving facebook because of privacy concerns. here is the quote. the profits are based on users info but the users get none of the profits back. well that's true, but nonetheless facebook stock is up this morning. we have this for you, signing your name after using your credit card is going away like the vcr and the fax machine. who wrote that? why all major credit card companies are getting rid of sig signature requirements. we'll be right back. ♪ [ phone rings ] hi, tom. how's the college visit?

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stuart: paypal, i got news, very important, reportedly paypal is getting into banking, traditional, real banking. kristina partsinevelos has more. why if paypal getting into conventional banking why is it such a big deal? >> because all the other tech companies will follow paypal's lead. some have already done so. this makes it more difficult for retail banks with spaces across the united states. stuart: what do they do? what is paypal actually doing? >> paypal only toward a few select people. they are going towards the unbanked. they are providing cards. according to "wall street journal" they are providing cards to customers. there will be no monthly fee. a charge of 1% should you do direct deposit. what they're doing entering the traditional banking world. they are not the only one. there are several other competitors as well doing this. you have apple, with apple pay.

google wallet. you have last week amazon, reports about getting a checking-like product they will build. square offers bank cards for customers. that is jack dorsey's other company. then you have transferwise also started offering banking services. stuart: you have all of these electronic folk. >> right. stuart: doing electronic -- >> who can monitor data. it is perfect for them. they follow you online. they provide with you a financial product. of course they can tailor it perfectly. stuart: local banks with all the branches where people don't go in any longer. >> they need to become more innovative and entrepreneurial and move a lot quicker. not only tech companies, you have the big investment banks are getting into it. for example, goldman sachs, they want to move away from trading and investment banking and focusing on the retail sector. just in the last 24 hours, the deutsche bank, the new ceo, he was head of the retail sector, retail banking, they suffered losses over the past year.

it is an excellent opportunity. it will be very crowded. ashley: will it be good for us because we get all the free deals? >> and more competition. stuart: you're doing very well on fox. you made me understand which is a miracle. >> just not you. we're hoping audience. stuart: if i can understand, audience can certainly understand. kristina partsinevelos, thank you. checking the big board. getting close to a 200 point gain. one of our market watchers says stimulus from the tax cuts is 20 times more important than the negative reaction to tariffs. 20 times more important. the dow is up nearly 200. yes, we will be back. ♪

♪ liz: love this one. stuart: when i first heard this i was dancing to this at parties in east africa. nairobi, kenya, 1967. i did the peace corps. i was in kenya, east africa. spoke a little swahili. liz: the news is that you could dance. ashley: we didn't say that. >> stock alert. get me out of this. we're up 230 points for the dow. 24,165. big techs all of them nicely on the upside. microsoft up a buck 84. apple up 3.40. facebook is at 159, almost at 160. it's a rally this morning. the back and forth over

trade tariffs in china, bear that in mind when you look at this. louisiana exports $8 billion worth of product each and every year to china. i think that makes louisiana the biggest trading state with china. come on in please, bill cassidy, republican senator from the great state of louisiana. mr. senator, you are vulnerable in this trade war tit-for-tat stuff, aren't you? are you getting worried? >> i think we're the solution for the trade war. we're exporting commodities which china needs as well as refined products. that would be the solution. if china had more relationships with the automobile industry than it has with louisiana's energy, chemical, agricultural industry we would not be in the fix we're in. stuart: you're not being targeted i take it? the products louisiana sells to china are not on the target list for tariffs? >> we have not, although we have lots of agricultural products go through and some domestically produced in louisiana like soy. they need our natural gas and need our refined chemical

products. that raise as broader point, stuart, which is, there is a trade war already taking place but it has been unilateral. china has been coming after us, only accepting the goods they absolutely need, but otherwise screening out they may or may not want but only if we give them our intellectual property. there is not a question whether there is a trade war. there is a question whether we fight back. stuart: do i put you down as a firm backer of president trump? >> there may be particulars i disagree with, the pushback on china as china does everything it can to tilt the playing field towards their favor and against our workers, i'm for our workers. i'm not for china to kind of continue to take advantage of us as they continue to have. stuart: last time you were on the show, mr. senator, you were talking to us us transparency for truck prices and how that would get drug prices down to help consumers. can you tell me what you have

done to get those prices down and more transparency in the drug market? i think everybody wants that kind of thing? >> yeah yes. everybody understands it i should no the price of something before i get the blood test done as opposed to get the bill six weeks later. we sent out a letter two weeks ago, and three weeks ago and got responses two weeks ago from stake holders. 134 sent us responses. doctors, hospital groups, some as long as 34 pages. we're putting that together. it is bipartisan, three democrats, three republicans. hopefully introduce legislation in the next several weeks. we do think that the power will flow to the patient. she will know the price of something whether drugs, x-rays, doctors visits and she will be better off. stuart: so your legislation with say you go to the doctor, prescribe something for you, you

have got to know the price right up front, no matter what, you know the price, that is the firm price, that is what you're trying to do? >> we would say if you're paying cash, you have a 6,000-dollar deductible and it will be a cash payment, or you just elect to pay cash, you should know the price straight up. if it interacts with your insurance we won't cover that, too complicated but we think once people begin to understand the wonders of price transparency, my gosh, i know how much it will cost, other things come along including an interaction with insurance. stuart: do you have a lot of support for this bill? >> so far we have three republicans, three democrats who participated in the letter. folks in the house also interested. we think as we just speak people like the concept. i go to a town hall meeting i explain it is like booking a ticket. you log on for the airplane i want to go here i want to go there you go at this time you see the price, you go a different time, maybe even a different place you get a better

price, that is what we should do with x-rays. folks get it. my colleagues here in congress will get it too. stuart: can you explain to me, i'm sorry to get involved in this but i have got a pet peeve here, can you explain why i'm paying $1400 for a simple blood test? enormous amount of money. >> because you don't know the price before you get it done. "the times-picayune," the new orleans newspaper, get as blood test $300, gets the bill six weeks later, finds out later she could have gotten the same test for $34. they take advantage if you don't know the price to bill you much higher. if you knew the price you would go to a place for a better price. stuart: yes, sir, you're right about that senator bill cassidy, thanks for being with us. we appreciate it as always. >> yes, sir. stuart: our next guest -- by the way, show me the big board. we had a nice little rally in

the last five or six minutes. now we're up 271 points. we're at 24,200. i'm not aware of any thresh development. ashley: tech stocks are bouncing back. financials are reporting ahead of friday. liz: boeing, caterpillar. stuart: big techs are doing well. our next guest says the benefits from tax cuts will far outweigh any negatives from this tit-for-tat on tariffs. john taft with us, vice-chair of baird, the investment company. welcome to the program. >> good morning, thank you. stuart: did you say the benefits of tax cuts are 20 times more valuable than any negative from tariffs, 20 times? >> we modeled it. actually if you model it out couple more tits for tatss the number is 10 times larger. people are focus on the economic greg of tariffs potentially

escalating into a trade war but they're discounting and not appreciating what will be deenormous stimulus benefit from tax cuts passed earlier this year. stuart: we had guests say the earnings season is upon us, the profit reports will be pretty good, 15, 17, maybe 20% liar than last year. you in line with that. >> that is the consensus, 15 to 17%. if you look at the financial sector you're probably talking more like 22% over all. i don't know what portion banks will play in that but the other thing going on in the financial sector, earnings appreciation is the effects of deregulation. we're now one year into a steady rolling back of a lot of the obama era postcrisis regulations that were put around the financial services industry and that's still has got a long way to go. there is no question the pendulum swung from too little

and inadequate regulation going into the crisis to way overand excessive regulation. we're now on our way back to something that makes more sense and will allow more money going into the economy to stimulate economic growth. stuart: i'm reading between the lines what you're saying, you're telling our viewers you don't have to sell here, this market is going up from here? >> right. we are near term and long term very positive on the market. with one caveat. this is something viewers should be aware of. which is that u.s. equity markets tend not to do very well in the months running up to a midterm election. we're looking at double-digit corrections more often than not in a midterm election year but almost every time the markets rally in the fourth quarter and those dips end up being buying opportunities. stuart: so your message to our viewers is, if you're a long term investor, by that i mean you got your money in the market

for at least the next year, don't sell? >> that's right. stuart: you're looking good. >> you're looking good. stuart: in particular you like, did you say banks? >> we think banks will be strong this quarter. we like small cap stocks. a little protection from the trade nonsense and a good sector to be in at this point in the market cycle. stuart: you can buy the russell 2000 index. >> that's right. stuart: you don't have to buy a basket of your own. you can buy the index. >> that's right. in those sectors, small and microcap stocks active managers tend to perform better than large cap stocks because there is not as much information out there available to everybody. so i would look for active management solutions if you like the small cap sector. stuart: john taft, thank you very much for joining us, sir, we're obliged to you. >> thank you. stuart: next case, another day, another data breach. best buy says some of its shoppers may have had their payment information hacked. it happened last fall. this is the same breach that affected delta and sears.

ashley: could be easier to tell companies that haven't been hacked. stuart: is there any individuals whose privacy has been respected? up next congresswoman marcia blackburn trying to make up in the tennessee senate race. is she worried about polls that show her trailing by double digits a democratic opponent? ♪

♪ ashley: in the last hour fox news contributor karl rove talked about the chances of republican john cox being elected as governor of california. take a listen. >> cox continues his upward movement. villaraigosa appears to dwindling a little bit, passes him. we end up with newsome versus cox. we could have seen on the east coast where deep blue states like massachusetts or new jersey or maryland that the voters say you know what? we need to have an adult serving as a little bit of a restraint on the worst impulses of the democrats. so we're going to elect a charlie baker in massachusetts or chris christie in new jersey or a larry hogan in maryland and have a republican governor to sort of balance things out and rein in the excesses.

stuart: merck, the drug company leading the dow and s&p 500, a very solid gain there. they disclosed another apparently positive clinical trial for the lung cancer drug keytruda. that stock is up a whopping 3.6%. a very big gain for a drug company of that size. a new poll in the tennessee senate race shows republican marcia blackburn, her democrat

opponent has a double-digit lead. marsha blackburn joins us now. welcome to the program. >> good to see you. stuart: do you want to contest the poll or what? >> you know what? i'm focused on the poll november 16. we have a great campaign. we know what tennesseans want in their next u.s. senator. they want someone that will support the second round of tax cuts, not be a no vote. they want someone who will vote to confirm constitutional supreme court justices and put them on the bench. we know where we're headed. stuart: is president trump popular in tennessee? >> oh, very. stuart: but what about his style and persona as president? i mean, there is some opposition to that? >> the president and his policies are very popular in tennessee, not only with primary voters. but stuart, also with a general election voters. and they want the president to keep working to drain the swamp. stuart: so what are you going to

do? are you going to stress the economy? >> we're going to stick with our plan. we'll talk a lot about the economy and tax cuts. we'll talk about those supreme court justices. we're going out every day working, meeting voters and spending a lot of time across the entire state. stuart: are you going to be questioning mark zuckerberg in this week? >> yes, i am. stuart: what will you ask him? what do you want to know? >> i want to know when they, why they did not pay more attention as they ramped up their first decade to privacy. i led the privacy working group in congress. we tried to get big tech to work with us. we know that big tech is using their users as a product, and then selling that. they are peering at their posts. they are viewing their videos. they're lurking in the shad toes. they find something they can make a buck off of, so they commodity --ize it and selling

to advertisers. we want to tell us where they got off track. this is not a data breach. this is not a bug. this is a business model for big tech and the browser act, my legislation that would protect the entire internet ecosystem is something we need to get on the books to get the guardrails in place. stuart: marcia, at the moment, i get a pretty good deal for facebook. i get a completely free service, in return they know a lot about me and sell that information. are you going to inter fear with that business model and if you do you take away profitability for facebook and social networks and you give a hard time to america's technology companies? >> you just touched on it, it is the entire ecosystem, but, stuart, whether it is financial services or the banking industry, the securities

industry, health care industry, everyone has privacy standards. what you have seen is that the slice, the social media and the edge providers have worked outside of data security and privacy standards. there need to be some guardrails in place. consumers need the ability to opt in and choose what they're going to share because this i.p. address that you use, that is you and your virtual presence online. you have a right to privacy expectations on your information that is posted on line. when i talk to women all across this state, one of the things that at he tell me, they want te ability to protect themselves and families online. how in the world can they protect their children when facebook says, well, you accepted a privacy agreement. there need to be guardrails in

place. we need to give moms the ability to protect them. we need to be certain that the data from schools, from school libraries. that is not something they are data mining, and they are making money off of. it is time for data security and privacy legislation. it is a fight i've been leading for about four years. i'm looking forward to questioning mark zuckerberg tomorrow. and i found it so interesting that mark, universal income, zuckerberg is not for universal privacy standards and protecting the people that are using his service. stuart: fair point. marsha blackburn thanks for joining us. >> see you tomorrow. stuart: masters winner, patrick reed, he has been branded by some, i can't believe this, the most-hated man in golf. next hour i will ask golf legend

gary player don't apparently like mr. reed. ♪

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>> yelled who is it. >> i'm on edge of my seat. we have warrant for your arrest. please come out. she said hold on a minute. then the firing began. stuart: pretty graphic stuff, wasn't it? ashley: there is your answer. stuart: from tonight's episode of "strange inheritance." joining us now the host, jamie colby. it's a gangster houses. up for sale. take me through the story. >> the sweet little old lady, ma barker, protected her sons. sweet little woman, moved down to oklawa, florida. they would rent the house to spend their elder years. that is the site of what is still to this day the longest fbi shootout in history. they woke up one morning, federal agents were on their front lawn. ma barker herself shot a lot of

bullets. that house belonged to a very up standing family who didn't know what to do with it when they inherited. bullet holes are all over the place. we toured the house. stuart: did you take, not somebody, took the house away on a barge or something? >> you know they worked something out with the city. it is now going to be a museum. it really should. there was a time of history where there was a lot of interest, if you go to oklawha there isn't that much to do. when they lived the house off the foundation and moved it on the barge to a new location the city gave them to be a museum. you can't imagine what they found buried underground. not people. stuart: give me a hint. >> things. shell casings and other things. and a ring. stuart: oh. how much did the ring -- >> you always try to pry it out of me. 9:00 p.m. tonight on the fox business channel. we have a second episode that is truly fun too.

this series is so well-received this season, season four. we appreciate everybody's interest. stuart: two episodes, new ones tonight, 9:00 eastern. >> the other one has to do with the astrodome in texas. you texans might like to hear about the history of the railcar, it may be back at the astrodome, as they work on a conservation, renovation project, vip, it is not amtrak. stuart: watch tonight at 9:00 and 9:30. >> thank you. stuart: contrary to what i've been saying a long, long time, the republicans may have a shot, a very long shot at winning the california governor's race this november. i call that amazing. my take on it is next. ♪

.mac .. let's begin.

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tree and do you know, i might have to eat my hat. for a long time i said republican could not win a statewide election in california. look at this. for newt gingrich commie is a sharp guy. california may elect a republican governor, as incredible as that sounds. it would be incredible, but it's no longer totally out of the question. the leading republican candidate, john cox, has a shot and here is why. the price of gas, california paid heavily to be and traffic and now they pay on average 86 cents a gallon more than the rest of the country. eight income taxes, worst in the nation. welfare rate, highest in the nation. one third of all welfare recipients in the whole country living california appeared and let's not forget those norms protecting criminal illegals which are now facing open

revolt. $77 billion bullet train boondoggle. although we see crime wave, et cetera, et cetera. take note of this date, june june 5th. all candidates regardless of party appear altogether on that day on the primary ballot. the top two regardless of party go to the election in november. john cox republican is running second in his support is increasing. i was one of those who say republicans would not get looking. the combination of hispanics from a grin from the public sector unions, hollywood hypocrites and trump haters would win easily. times change. in particular, the climate of opinion within california. the oakland mayor didn't win many friends when she gets a criminal that the feds are coming, paying $4 a gallon to sit in traffic is never going to be popular. in short, california has become a sanctuary for irresponsible

politicians. they were safe so long as california accepted the nonsense of tax impoverished and resist. time may be up. it's the third hour of guardian company about to begin. i hope you heard my take. later you heard might take kindly to this are returned by congressional candidate sean flynn. he is taking on an incumbent democrat. also happening this hour, and a new set of data and you'll get it right here real fast. look at the market. the big board shows a gain of 250 points and there's a sea of green amongst the dow 30. in fact, 28 of the 30 are up in the green. only to our downtime including general electric. scott martin is with us, and fox news contributor to boot.

profit report they start at the end of this week. they go on the following week and the week after that. i am told they will be really pretty good at 15, 17, 20% higher than last year. i don't know what you make of it. i would've thought that would've supported another leg up for the rally. >> yeah, me too, stuart. earnings reports will save us and the downside volatility. the only concern i have an eight to spike the party punches the financial earnings that kick off as you noted with friday and bank of america, jpmorgan, the bank's real bank. the expert patients are so good in so high for them with respect to what's happening on the interest rate curve that i'm concerned if they fall flat double put pressure on the market again. turning to other than that, when marion for a solid profit reporting season. >> i do. the leaders we've had so far in the industrial side come in the tech side, zuckerberg going in front of congress.

when you think about the tech stocks in the earnings they will release, which will be very good, something we can count on, i'm not sure in the marketplace located more. masters champion patrick reader at the headstock speared stuart: very interesting question. it's going to be a big week for facebook and for mark zuckerberg. testifying on capitol hill as you know. it looks -- it sounds to me as if regulations are coming and that means a crimp on the profitability of facebook and maybe amazon and google as well. what say you. >> at us, but this is something that probably should've been in the cards a couple years ago. the company is zuckerberg, tim cook knows that in some of the guys at google and twitter know it as well. you look overseas. they've got other regulations. they have privacy to put these things in place with respect to what they do with their data. they didn't have the regulations, so i think alone

make those companies better, stronger and a lot of investors in people the use of platforms will be more confident in those companies. to me, while there's a hiccup short-term, the long-term viability after the regulations are in place is a good thing. stuart: if you are now common ordinary investors, would you sell facebook, amazon, google now? >> no, we own them and i would take, and maybe even before this week to buy in. if you've got some cash and you miss the run-up over the last couple years in and they stocks come you got a nice opportunity to give lower price we saw in january. drink a very good. i like that one. scott martin, thank you for joining us. see you later. i really do want to talk about the trade war or the fears of a trade war. charles dean is with us. he's the host of making money here on the fox business network. you say there is a chance

president trump will win in this battle with china. make your case. >> absolutely. we still have the leverage right now. it's interesting people say they can't win this and point to farmers. people say we shouldn't have a steel tariff because we are favoring one industry. also arguing you shouldn't have the site back against china because it is the same rationale for both of them. here's the thing company sells $500 billion worth of goods could another 15 billion worth of services. there is no alternative market for that. the market is sort of excited about, not overly excited that tomorrow in china they have this major summit that is the equivalent that is surpassed by both with respect to importance to the global economy. this would be an opportunity for xi to come out and announce something, moving the needle just enough that it's a wink wink. the markets are anticipating this can happen overnight in

china. stuart: tonight, tomorrow and china, xi makes that speech. >> right. it is sort of china's hawaii. they want to compete with hong kong. they want to duplicate what they said in shanghai. shanghai free trading zone. and they want more money. they are making an over sure the world overnight. of course he's got a save face in his own country. we understand that. this would be an amazing opportunity to give something up right now but will move this market even further. stuart: imagine a wink towards america. strong nationalism to the homefront within china. but that will be enough. >> president trump but that over the weekend no matter how this come out. both sides now have done rattling. what shocked me is how many

americans direct the white flag on the notion they would ever have america pushback against $600 billion in theft each year come against a country who has stated their goal is the world's premier economy. it's amazing to me. stuart: and trump surprised everybody with his reasoned approach to president xi. down in their logger with me. that is really different from the trump we associate with what the harsh comments. to prove it? >> i do. you could nitpick. i think maybe if he would've gone to the american public with a more nuanced explanation about how this could work out, what we would expect beyond tweets, i would've done that differently. the idea that he's pushing back because the longer we wait, the harder it's going to be. stuart: charles payne, everyone. interesting message. this came out of -- i don't know where this came from. the world's richest 1% on target

to control as to control as much as two thirds of the world's wealth by 2030. that's according to an analysis from britain's house of commons. the wealth of the richest 1% is growing on an average 6% each year, extrapolate out with bloody nonsense. we move on to there. i've got a british accent. transfer how much tax? train to income inequality. switching gears. this is dreadful. russia blaming israel for deadly airstrike on assad space overnight. this follows an horrific gas attack for which america is blaming assad. kim strassel shortly. national builder of home builders not happy with tron. the price has already hit record levels as a result.

this ceo of that group is with us. in 20 minutes, president trump will hold a cabinet meeting in the white house. we may see and hear from the president this hour. stay here. the third hour of "varney & company" is rolling quickly. ♪

stuart: we are already spending a lot more money at the gas pump in prices this summer will be even higher. the highest and 5 cents the year 2014. the national averages $2.66 per gallon. russia is blaming israel for deadly airstrike on areas president bashar al-assad space. this follows a chemical attack over the weekend. president trump tweeted this

directly. here it is. if president obama had crossed his standard red line in the sand from the searing disaster would've ended long ago. animal assad would've been history. joining us now is can strassel, author of the intimidation game in "wall street journal" editorial board member. he seems to me a president trump has to do some thing. he said i'm going to make them pay a big price. we don't know what, we don't know when, but i suspect is going to do something. what say you? >> is going to have to do something more than just tweaked because that will not solve the problem and that has been the problem over the past year. you had an obama administration that did nothing when it came to bashar al-assad and he was doing attacks like this all throughout their administration. they talked about red lines, but never followed up here last year in april, president trump appeared to be in that policy when he launched an airstrike

against them in retaliation for his daring gas attack. but it was limited and there was no follow-up. in january, there was a chemical attack. again, no follow-up other than some condemnation by rex tillerson at the state department. when you are bashar al-assad you say there's not going to be consequences for this you know it's going to check me and you continue until someone makes a strong response. stuart: john bolton's first day in his new job as a senior white house foreign policy adviser. he is a hardline kind of guy, presumably, that will stimulate hardline action. it's going to have to happen, isn't it? >> welcome ambassador bolton has been a strong advocate over the years were much more aggressive airstrike approach that would do more to take out a bashar

al-assad, morbid spaces in the strikes on the presidential palace. something to get their attention, but also sustained in a way that definitely undercuts their ability to continue this. the other thing happening here is it's not just about syria's actions against these rivals. it's about their entire alliance with iran, hezbollah, which threatens others strategic american interests in the region like israel. stuart: hard to get out of syria as the president says he wants to do with this kind of thing happens and he wants to respond. >> welcome and this is what happens when you go around saying you are going to withdraw troops. bashar al-assad is listening to that. he says not only have they gotten away with chemical attacks already, the president trump is running scared. he wants out, so i might as well keep up with it. he's got to be a lot wiser about his words. stuart: i'm going to interrupt because i want to get this game. you brought this story to a

spirit i want you to tell a significance. jeff sessions has appointed john lodge to oversee document production for congress. i don't know what that means. give me some sense of significance, please. >> first of all, it's about time. we've been having an ongoing fight between congressional investigators who say give us the documents we want. don't redact them. we have the right to look and provide oversight. fbi and department of justice foot dragging, taking a month to get documents to congress over redacted material, limiting the number of people who can see it. this is jeff sessions attempting to get the process in order. she's going to be the main point of contact. he's going to make the decision about how quickly and also if anything is redact dead, there's a real legal reason for it. this is necessary in a good step forward. stuart: got it.

kim strassel, thanks for joining us. we will see you real soon. by the way, the dow industrials now up over 300 points. 310. spacex cheat elon musk posted this picture of the weekend. he describes the big thing they are as the main body tool for his company spaceship. he put a tesla car right next to the rockets to show how big the rocket is. by the way, tesla stopped this morning at $304, above the 300 mark. down again today, below $7000 a coin, 6735 pre-money capital economics says bitcoin is worthless and will keep going down. the price of gold this morning, 13.36. barely changed at a volcano in japan put on a spectacular lightning exposing over the ash. a rare phenomenon when ash particles produce electrical

charges. the volcano has been erupting for more than a month. patrick reid, 27-year-old texan winning his first major, he won the masters, finished 15 under, one shot ahead of ricky, two shots ahead of jordan spieth. next, gary player. a rally and a half, nearly 300 points higher. more "varney" in a moment. ♪ this wi-fi is fast.

i know! i know! i know! i know! when did brian move back in? brian's back? he doesn't get my room. he's only going to be here for like a week. like a month, tops. oh boy. wi-fi fast enough for the whole family is simple, easy, awesome. in many cultures, young men would stay with their families until their 40's. we're all under one roof now. congratulations. thank you. how many kids? my two. his three. along with two dogs and jake, our new parrot. that is quite the family. quite a lot of colleges to pay for though. a lot of colleges. you get any financial advice?

yeah, but i'm pretty sure it's the same plan they sold me before. well your situation's totally changed now. right, right. how 'bout a plan that works for 5 kids, 2 dogs and jake over here? that would be great. that would be great. that okay with you, jake? get a portfolio that works for you now and as your needs change from td ameritrade investment management. stuart: to the masters paired the masters spirit agreeably ghettoized her 27-year-old texan patrick reid one, shot 71, dished 15 under. joining us on the phone, gary player. welcome back to the program. it's been too long, sir. >> thank you. always a delight to talk to you. stuart: now, why is patrick reid in so many newspapers this morning called the most hated man in golf? >> i think first of all the man behaves impeccably well. he's a bulldog and i've noticed

in my 82 chairs -- [inaudible] i can give you many examples. people have been very ridiculed. you know what happened behind doors, do you? stuart: one does not know those things. all i know it has been one of the most pleasant weekends of my life watching a fantastic golf tournament that had you excited right down to the line. i think it was one of the best ever. >> i agree with you. it was marvelous. jordan spieth is a terrific young guys. i feel sorry for rory. he's a wonderful golfer, but i think --

[inaudible] transducer, have to ask u.s.a. always do. you are now 82 years old here can you shoot your age? >> yes, i'm everything 72. i'm an awful golfer. stuart: outcome you ever 72, 73? that's incredible, gary. do you still do 1000 situps a day? >> i do it four times a week. i watch my diet really well. stuart: you are a wonderful man. anytime you want to call us up and offers them was among golf in anything you like. gary player, everyone. what a great guy. we thank you indeed. back to the market appeared close to the height of the day, at 304 points. president trump is about to begin his cabinet meeting. stay there.

if we get anything at that meeting, you'll know it first. more "varney" after this. nah. not gonna happen.

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a 304. the battery down 500 on friday is irrelevant. a 304 with about 30 of the green. now this. white house adviser, larry kudlow says the trump administration should undo or wants to undo the $1.3 trillion spending bill. the coups in new york now, no less ohio congressman jim renée c. running a senator. >> running for the senate. stuart: you came to new york for some funding? [laughter] are we going to get this done. i know from our viewers that they really don't like spending bill. they want stuff taken out of it. >> president trump wants to do it. in many ways we have to look at what the spending is. when you get a bill the night before and have developed on it at 11:00 the next day, i just can't vote for something like that. i need to read the 2200 plus

pages. stuart: you voted no? >> i voted no. stuart: the president identify specific spending he doesn't like. he can get a hiatus on it for like 45 days in congress votes, 51 vote majority to get it out. >> i think that's where we have to start looking now. our spending that we don't need. we are running into a situation where doug was a thirst of growing. that's one of the things i haven't ignored that i'm a big believer. stuart: are you going to step on the third rail of american politics running for the senate in ohio and say this mean i don't want it. as soon as you do that from your opponent will say he is starving children, ruining the elderly. you know what happens. >> in and are going to starve children and ruin the elderly if we don't have money anyway. the attorney general said we are running into a situation in the next 20 years and we have to have people willing to step up and say enough is enough.

stuart: would you say you can go to the country in november, the republican party? you need to cuts in spending not a bad bill. otherwise your toast in november. would you say that? >> i wouldn't say that. we have to expand our vision for the future. too often in politics people are looking for the next election. we better be talking about the next generation and how we will change things. stuart: you are too calm. you've got to pound the table. to get that message through. >> i learned a long time ago if you are loud and pound the table, people look at you in i.e. is a really calm enough to get things done. stuart: i am loud. i pound the table. we are the most-watched business news program in america. >> but you're not in congress. if you're in congress is a different story. stuart: next one. you want to make it easier for businesses to submit 1090 nines businesses electronically.

i thought they could already paired with the problem? >> the problem is we don't have the portal said it appeared the irs still in the old days using fax machine technology. we do need to change some of this. in business the irs claims and thumb on the other side say the irs need for money. it doesn't cost anything. today you take 1099 on a paper for many cinnamon in the irs has to do a lot with them. w-2 portals can go through. see the information that gets disseminated. too much work. let's figure out a way to help the irs and make them more efficient. stuart: you'll have to spend the money. you will. you've got open a portal with money. >> the cbo said this wouldn't cost anything to do it. we've got a situation here. stuart: let's not forget the irs has been starved of money, how did i get cut significantly in recent years. amateurs the problem for the earth is spending 40% through

the affordable care act which is a problem. stuart: 40% of resources go to obamacare? >> you have to follow through, so they are using a lot of their money to get the compliance of the affordable care act. i like to eliminate the affordable care act and go back to the congress doing what they're supposed to do, which is the revenues they should be collect them. stuart: i could get back to you until you had your chance to get rid of obamacare. you didn't do it. >> i voted 12 go to the senate. i'm tired of him not at them. i've also signed a discharge position in the house to move it, too. one of these guys who believes we've got to get it done. stuart: what business are you in? forgive me for asking i don't know. >> i was a cpa bible told businesses. bars and restaurants, nursing homes, car dealerships. harley dealerships. stuart: you own?

>> yet, couple sports teams. stuart: you should've said that right up front. congressman jim renaci running for the senate. activist groups running on the federal trade commission to investigate youtube for allowing advertising to be targeted at children. all rise, napolitano the judges here. it's unbelievable isn't it? >> no. of course it's targeted at children. that youtube doesn't children. that's a youtube does and how it makes its money. it would be illegal if it offered a product children couldn't buy, but to create a paradigm for algorithm of what children like on the basis of their responses to what they look out on youtube is how youtube makes its money. this would be a novel area, expanded government authority. at the federal trade commission, which the president can control were to go there. the same federal trade commission that has an agreement

with facebook, that you will pay $40,000 for every act of privacy violation we can find in you just admitted to 87 million of them. stuart: you would say get lost, act or disputed another case. >> address on the federal trade commission, which i wouldn't be, which way are children being targeted. >> you inevitably target groups of people. >> that is the job of an effect as communicator of the goods that are being sold by the producer. i would imagine the activists are saying it unfair because children can't say no and they buy their stuff on their own or drive parents crazy. >> at the violation of the children's online participation act with kids under 10. watch what they are watching and follow them on their social media platforms and influence their behavior.

>> that doesn't violate the act and the contents of what the children have been their facebook friends like happened with cambridge, analytica. monitoring what children watch on youtube. stuart: that is not allowed? >> 13 and under are not allowed to be targeted. that's what they claim. stuart: the word targeted others may. you're not allowed to check up on, look at. >> of course you're allowed to advertise to children. you absolutely are. it's protected by the first amendment. stuart: but you're saying you're not allowed to target. >> the activists want the federal trade commission, not a federal court to interpret the rules so as to prohibit targeting children. i know you don't like the word. targeting means you're doing advertisement for a particular class. stuart: so you are saying get lost.

>> yes. stuart: thank you. we could've done the whole thing and 10 seconds. >> i took your fellow englishman to bridge the gap. stuart: we are americans commit thank you very much indeed. the script says thank you, judge. texas became the first state to send troops to the southern border after president trump announced his plans up to 4000 troops to the border. officials say 250 national guard personnel would be and will be or have been dispatched. let's look at some stocks. amazon still under attack from president trump. the stock is up $23. the highest 16.16. paypal very interesting. partnering with small banks and debit cards and direct deposits.

how about that. stocks of 3%. national association of home builders not happy with resident trump tariffs. prices of lumber have hit record levels. jerry howard on with us. newt gingrich said the republicans could take california as incredible as that sounds. it is a revolution we are hoping for. we will be back. here you go little guy.

a cockroach can survive submerged underwater for 30 minutes. wow. yeah. not getting in today. terminix. defenders of home. at crowne plaza, we know business travel isn't just business. there's this. a bit of this. why not?

your hotel should make it easy to do all the things you do. which is what we do. crowne plaza. we're all business, mostly. >> i'm nicole petallides victor fox business brief. best buy suffers a cyberattack them now are investigating many cases like many of the large retailers. online -- [inaudible] that has gone to a third party, the third party has recently now had other concerns cyberattacks that would include delta, kmart, a few hundred thousand. hundreds of thousands of credit card information and they are looking closely. of course no customer responsible or liable for the fraudulent cards and there will

be credit monitoring services as well. looking closely at this cyberattack.

stuart: at bats and headlines breaking off in the cabinet meeting president trump is holding. condemn this heinous committee attack on innocents in syria. we are studying the situation in talking to military leaders and

will make some major decision in the next 24 to 48 hours. look at this. no impact, certainly no negative impact on the stock market. the dow industrial moving a bit higher. of 323 points. of 324 and the dow. more breaking news just moments ago. mark zuckerberg arrived on capitol hill. meeting with lawmakers today ahead of his testimony which takes place tomorrow on the senate side. nobody for him today. florida's governor rick scott has announced he was running for the senate seat now held by democrat senator bill nelson. expected to be a very expensive race. president trump encouraging to run for that seat. now this. the national association of home

builders is not happy with president trump's order implementing tariffs on imported steel and aluminum. jerry howard is at best, national association of home builders. you are telling us that the price of lumber has gone up because of the threat of terrorists. make your case. >> the price of lumber has gone up because of the exchange agreement with canada for the past 10 years have expired in the talks to extend it has broken down in the president in the administration has placed significant tariffs on canadian lumber. the prices up over 25% from a year ago and 60% from where it was two years ago. very, very difficult for builders to absorb that increase. stuart: but part of that increase is surely the extra demand because of the pace of new home building.

demand is way up as well, isn't it? >> demand is up, but we are still at 66% of capacity. our industry has not recovered from the recession and we are just not there yet. demand is part of the problem, but it isn't anywhere near the price you not only the price, the availability because of these tariffs coming across the border to canada coming at a slower pace and really holding up the construction process, which also adds to the cost. stuart: you want to see this whole trade situation finished, ended, fixed in some way fast as possible. >> we want both parties to get back to the table and get something done here. it is ludicrous that a neighboring company like canada is not able to import into our country. i was in vermont a month ago. a state that produces softwood lumber on to become a builder told me when the openoffice lumber pallet, the bumper of a head wasn't for mod lumber. it was. it wasn't even american lumber.

it was russian lumber. we are importing lumber from russia to build our american homes with. i just doesn't make sense. stuart: what about the steel and aluminum tariffs which have not yet been imposed? what is the price action there because that affects you at home building. >> absolutely. deal and aluminum are component in a single-family home and in multifamily housing there is a primary component. these tariffs are hitting us both in the single-family side in the multifamily side. it would really impact the housing economy. at a time when major publications are saying the next housing crisis will be because of a lack of supply in our builders are having a hard time building to meet the demand. stuart: i think of the building industry has been pretty much trump backers. are you now edging away from that, not supporting them? >> i don't think we would go so far to say we are not supporting the president and a lot of what he's doing. on this particular issue, we

hope you will remember what his roots are and make sure we do not disrupt the housing market, especially right now in the springtime come in the building season begins. we need a consistent supply of commodities to build americans affordable housing that they demand. stuart: jerry howard, thank you for being on the show today. we appreciate it. the alternative point of view on the trade issue and we like having you on the show for that. jerry howard, everyone. the headlines keep on coming from the cabinet meeting. president trump says he will meet kim jong un sometime in may or early june. we are going to do this thing. earlier, president trump condemned what he called a heinous attack on innocent civilians in syria and more to the point, he will make a major decision on what to do about that gas attack in the next 24 to 48 hours. as we said earlier, the harsh language, the implied threat of

military action has no impact whatever on the stock market. i'm surprised about. you get that kind of turmoil and international relations. look at that, the dow was up 347 points. 24,280. individual stocks, and upgrade came from morgan stanley, which says gm will do well from rising infrastructure spending. not much change. 120% up on gm. gene therapy deal to tell you about. novartis buying of access for a $.7 billion. gene therapy, part of our medical future. big deal indeed. up $91 a share. next, we will deal with california. it's more and more likely -- it's a longshot. it's a very long shot, but it could win a statewide election. even newt gingrich says so.

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stuart: mark zuckerberg is on capitol hill. testimony has been released in

addition to saying he made in his date, he says he's sorry. zuckerberg says the company is making a major investment in security that will significantly impact our profitability going forward. stock is up 160. headline from fox news.com. california may elect a republican governor incredible as that sounds. that was written by newt gingrich. come on in, please. economics for dummies out there in california congressional candidate sean flynn. when you say about that, the republicans could win a statewide office in california? a longshot, surely. >> it's not that long if you live here. i've been concentrating on my own race, but if you visit it, which he might have recently come under his homelessness issues, terrible infrastructure, some of the worst schools in the entire country. you can go on and on. stuart: i'm sorry, i've got to interrupt you. tape just in from the president and the cabinet meeting.

>> on anything scary ends with chemical weapons. it was an atrocious attack. it was horrible. you don't see things like that as bad as the news is around the world. you just don't see those images. we are studying the situation extremely closely. we are meeting with our military and everybody else and will be making some major decisions over the next 24 to 48 hours. we are very concerned when a thing like that can happen, and this is about humanity. we are talking about humanity. it can't be allowed to happen. so we will be looking at not act in studying what is going on. we are trying to get people in there people in their picket fence around it, it's hard to get people in.

not only has it been hacked, it's been surrounded. if they're innocent, why are they allowing people to go in and improve? they are claiming they didn't make the attack. so if it's russia, if it's eerie, if it's iran, all of them together, we will figure it out and we'll know the answers. we are looking at that very come in very strongly and very seriously. i would also like to provide an update on trade negotiations. we have a situation with china where we have a very good relationship and will maintain that relationship. i'm very good friends with president xi. i have great respect for president xi. i spent two days in china. the president spent two days with us that our lago in florida

and they were four great days. with that being said, china has taken advantage of the united states for many years. since the start of the world trade organization and they have really done a number on this country. i don't believe china. i blame the people running our country. i blame presidents, representatives, negotiators. we should've been able to do what they did here and we didn't do it, they did. it is the most lopsided set of trade rules, regulations that anybody's ever seen. with that being said, we have many of them. nafta was a horrible deal. we are renegotiated to see what happens, but we are strongly renegotiating nafta. the european union have tremendous trade barriers. we essentially have bad deals

with everyone with south korea, which is a horrible deal and will give . we lost jobs. it was a horrible deal. and that's being renegotiated. and we have, we have a long way to go but we made tremendous progress. we're fairly close on nafta. if we don't make the right deal we'll terminate nafta and make the right deal after that. but we have a chance to make a deal on as a matter of fact, -- on nafta. the deal we have with south korea i think, i think it is going to be a very fair deal. we want a fair deal and we don't have fair deals. north korea by the way, as you probably seen, we've been in touch with north korea, we'll be meeting with them sometime in

may or early june and, i think, there will be great respect paid by both parties and hopefully we'll be able to make a deal on the denuking of north korea. they have said so. we've said so. hopefully it will be a relationship that is much different than it has been for many, many years. this should have been done by other presidents. they decided they didn't do it, they couldn't have done it but it would have been a lot easier if it were done five years ago, 10 years ago, 20 years ago, a lot easier than now. but we have a meeting that is being set up with north korea so that will be very exciting i think for the world. i think it will be a very exciting thing for the world. we'll talk about opioid today, opioid destruction and drug destruction. as you know we strengthened up

the border. last year we had record low numbers. this year they're going up, could be because your economy is good and people coming into our good economy but we're putting the national guard and military at the border. we're beefing up the border patrol who have done a fantastic job. i.c.e. has done a fantastic job, we will take care of that situation. we need a wall, whether you're a republican, we need a wall and it will stop your drug flow, it will knock the hell out of the drug flow and stop a lot of people we don't want into this country coming into our country but right now we're putting the military and national guard and we'll have very strong borders now. we have strong borders now but they will be much border. with that the cabinet meeting will begin. we're going to be discussing a lot of different elements of what's going on. the country is doing very well. we've