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tv   Cavuto Coast to Coast  FOX Business  June 4, 2018 12:00pm-1:59pm EDT

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stuart: liz: you wonder if the democrats will shoot their feet off tomorrow, the way they have been running this whole primary right now. stuart: it will be very interesting. i'm sure results come through late tomorrow night. we'll have candidates tomorrow. neil, it is yours, sir. is. neil: we're following that. we're following a run-up in the dow, despite trade concerns, confusion ahead of a big primary day. north korea making overtures to some not so friendly nations, at least not so friendly to us. we're on top of that it is supposed to be gyrating stocks negatively, it has a funny way of showing it. blake burman from the white house. including important powwows going on eight days from the singape summit. reporter: neil, 45 minutes from now president is expected to have lunch with vice president pence and defense secretary james mattis. talking about the way forward with the summit expected to happen one week away.
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also the defense secretary met with his counterparts from japan and south korea. it was mattis who said he was quote, cautiously optimistic about dealing with the north koreans going forward. remember president trump on friday. after he had the 80-minute sit down with number two from north korea. was very optimistic on the way forward. where the process stood. mattis, i'm not sure you can say he necessarily backpedaled things, you put them in perspective, telling unar from japan and south korea he should buckle their seatbelt. >> how times has the dprk carried on international negotiations? so yeah, it will be bumpy. reporter: it will be a bumpy road he said. mattis reiterating before any sanctions relief could come off the table for the north koreans there needs to be irreversible steps to denuclearization and verifiable steps as well. by the way, over the weekend, kim jong-un making some
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decisions, shaping up his military ahead of this likely summit one week from now. taking out three members the military and putting them in their place, instead, three others who are viewed as oil to kim. the positions are the defense chief, the arm genal chief of staff, and the top official at the general political bureau. so kim jong-un making moves one week to go before this summit as the defense secretary will be here at the white house momentarily. neil. neil: really question, i noticed president lowering expectations following on heels of secretary mattis, that this is opportunity, quoting here, for a meet-and-greet what do we make of sort of dialing things back? are the white house concerned things have gotten ahead of themselves? >> i don't think anybody thought this was going to be a straight line from here at any point really to june 12th. you know, when you look at how things have progressed, there was cancellation of the letter. all of sudden few days after that, this 80 minute meeting
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inside of the oval office. the president was very bullish, very optimistic on where things stood on friday, but that was also 11 days yet to go until the summit. and i think to i might be at line f that point, even from here on out, i don't really think that was ever implication, even tho the president was happy where things stood just a few days ago. neil: thank you, my friend. blake burmanping track after couple important meetings at the white house. including that with the defense secretary. if we get more we'll pass it along. he did outline big changes goin. three top military commanders taken out of their jobs, replaced what we're also told younger generation, all in their uess the other butch are in their 70s, i don't know. they're considered to be more loyal and trusting to leader kim jong-un who will be in singapore. there are concerns that there
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could be a resvelte when he is away. maybe this lessens that likelihood. former assistant secrery of the army va hippll of this. van, what do you make of the military changes at the top? >> it is prettyficant, neil. what it interesting it took play 15. it took place three weeks ago. i think we're just finding out about it. i agree with you with, a changing of guard, younger, military group of advisors. there are three of them. what they call the minister of the people's armed forces. that is the minister of defense, their general mattis if you will. i would look at this, loo at g ws leaving. this guy, 68 years old, old guard four-star communist general of the new guy, chol, a 3-star general, only 38 years of age. also, neil a member the politburo.
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more politically savvy. asian media calling him moderate. that these three new leaders have more quote, flexibility and thinking. they're more savvy. i would point to the minister of defense. people closer, and closer not in certainly closer in age to kim jong-un. neil: you know, i'm glad you pointed out, secretary, this is something happened technically a couple weeks ago here. maybe greasing the skids for this trip but i'm also curious what your thoughts are, what will be busy travel plans on the part of kim jong-un? not only going to singapore in eight days but apparently intent on visiting russia. he has an open invite from vladmir putin, i guess somim this fall. he will eta people in leader assad.luding, syria's what do you make of this? >> always count on putin and russians to engage in some shenanigans. don't forget, last september or
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october, kim jong-un gave them a contract, the russians a contract for increased bandwidth for internet, even though the people don't have access to the internet. something that did come out, neil, about timet he replaced the three old guard generals has not gotten much press but concerns me, it is called the chigang province, middle to upper part of north korea. it borders the chinese border. 98% of the area covered with mountains. a lot of tunneling taking place there. many believe the tunnels are goin to china, something happened, with dissension and so forth north korea, this is where kim jong-un would escape. listen to this. at the same time he made this play with these generals he named the province a revolutionary military force zone. this is where he would hide the stuff. this is something that as we embark on this process of denuclearization, what goes on at the chigong province has to
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be front and center. neil: interesting. i didn't think of that, van hipp >> good being with you. neil: a trade war likely the reason and fear it could escalate as the chinese indicate they're not inclined to buy any u.s.oybeans. they are our largest foreign buyer of this stuff. hence a big drop-off from the community actively backing donald trump when he was running for president. does it boomerang on him. let's get the read on former ambassador to china, max baucus. what do you think about the feeling the pinch and the threat and chinese seem to be relishing it? >> threats are taking their toll. price are going up on steel because of 232, because threat of it. same in korea with soybeans. my bottom line, there will be a
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lot of bluster u.s. and china. we can not bully china. china can not bully us. we'll have to stand up in a way that gets progress but not a way that bullies them with tarfs in thinks it can stomach tariffs more easily than we can the united states. china is stronger now, bigger. xi xinping is more in charge. has, feels it has wind at its back. it has very strong country. we have to push them, they are taking advantage of us in several ways. we have to do it in solid way. the solid way frankly using our allies much better than we have in the past. that concerted effort to get china to back off on some unfair trade practices. neil: do you think, ambassador, a lot of those allies, still smarting from the treatment they're getting from t administration over steel and aluminum tariffs we're considering, they are secretly rooting for us because they too complained about china's trade
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policies, they too bee ennod the fact that it -- bemoaned the fact that it rigs their policies? that countries are angry at united states, some of them, behind the scenes,oping that the united states united states prevails in this? >> well, that is right. they, very much hope they do prevail. unfortunately they are free riders, our allies. ey push us out front. you do the dirty work. neil: lead the way, go ahead, lead the way. >> we'll follow behind. exactly. thatappens often. neil: in your old duties, sir, it has always been a delicate stance. this administration's approach is anything but delicate. the read from the trump white house, ambassador, delicate doesn't work with the chinese and the proof is in the bipartisan ahn pudding. republicans tried in the past, it hasn't worked. democrats tried in the past, it
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hasn't worked f this does work, will this rewrite rules how you negotiate trade deals? >> you're right, delicate has not worked very well in the past. that isly because we americans assume other countries wa be fairt like we think we're fair. china is a big exception here. china is much more transactional. they don't care about fairness. they just care about results. that means we have to stand up, concerted tougher way than we have in the past recognizing we'll not get everything. this is big challenge, china. it's a huge challenge. i think idea of slapping tariffs is not going to work. they're going to just slap their own retaliation on us, rather it take as big, concerted effort, with the united states around other countries in a very solid, thoughtful, strategic. i don't see that yet. neil: you know what is interesting, ambassador? if i could just look at it from litical perspective if you don't mind. democrats, not monolithically
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seem to support the president's tough measures to protect american jobs more so than republicans who are very, very concerned. it's a little weird. i'm notg all democrats i'm saying bernie sanders wing and elizabeth warren wing seem to support the ideahat americans are getting taken advantage of here, not so republican side. it is weird isn't it? >> yeah. that's true. democrats are more likely with donald trump when it comes to trade but the real issue, what do we do about china, that is really the question. that is not a partisan issue at l. it is an american issue. the answer frankly is to be stronger but in a more concerted way, a solid,ore strateg way, not this on again, off again. not we're going to slap tariffs, no we're not. but also a way that works with other countries, ambassador, thanks for seeing you again. max baucus. be well. >> thank you very much. neil: as ambassador said, it is ongoing tit-for-tat here.
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we'll see how it all prevails. dow up 175 points. we're on top of that big supreme court decision, surprisingly lopsided 7-2 with the court ruling in favor of a baker who said on moral ge could not make a cake for wedding cole. i spoke wit ter in 2015. >> what this cases abo as an american citizen i do have first amendment rights to practice my religious. ♪
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neil: the supreme court by 7-2 vote today siding with a colorado baker refusing to make a cake for a same-sex couple arguing it went against his religious biefs. i spoke with this baker, jack phillips in 2015 when this first dusted up. government is trying to f me to violate my personal freedom, create a cake for a ceremony any that i have objections to. neil: you won't make a cake for gay wedding? >> correct. neil: you will nor a heterosexual one? >> right now we're not. we're not making wedding cakes. that has taken a good part of our business away.
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neil: when you hear about threats and portrayed as religious freak who is, all but a racist, how does that make you feel? >> there are comments byeople who don't know me, who haven't taken the time to come into my shop to get tow me. ey're making assumption that is what i am. that is still beside the point. what this case is about is, as an american citizen i do have first amendment rights. neil: all right. that was what was at stake here as this went all the way up to the supreme court. justices by 7-2 vote ruling in favor of the baker. they said it ultimately came down for battling between respect for religious beliefs, versus practices that subject gay persons to indignities. ultimately saying this will not be a precedent-making case. others in the future will be on a case-by-case basis. read from former justice departmentia robert driscoll. i guess the justices were
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dancing on the head of a pin here, robert? what do you think they made out on this? they kept stressing this was not a precedent-making case. what does that mean? >> i think what they're talking about, it is precedent, is a narrow precedent. they didn't decide forever and all time laws sufficient as colorado are unconstitutional. they didn't decide bakers never have to make wedding cakes. what they decided in thisee tris tribunal heard in case was itself hostile to the religion of mr. phillips. and i think justice kennedy's opinion took great pains to point out, these are the people making the decisionshemselves, compared them to nazi, compared them to racis a it was clearly not open to treating his religious beliefs sincerely. and that was the bigger problem. a couple of the justices pointed out in concurrence that, same tribunal had allowed bakers to
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not bake cakes tt had anti-gay marriage messages on them. they, i find that offensive. i'm not going to make that. that same kind of parallel case gone to the same tribunal and they had decided other way. so there is some evidence, real what was driving the tribunal was hostility to mr. phillips' religion. they decided this case he wins. they're obviously leaving open the question, i suspect gave pretty strong hints how it would come out. if there is broadly applicable law, straight public accommodation law, that you don't want to serve gay people that would be upheld. what is difficult here, this creative process in baking the cake made it complex, but also makes it a narrow decision. neil: to your point, robert, two liberals on the court, stephen breyer, elena kagan went along with five conservatives on this, two justices ruth bader ginsberg
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and sotomayor did not. what do we make of the two liberals joining in the opinion. >> the happiest person has got to be chief justice roberts. he wants people to view the court as not necessarily a partisan place. i think hopefully 7-2 decision will cause people to look at the decision, maybe there was some actual constitutional basis here, when 5-4 and conservative justice vote one way and liberals vote another they tend think it is politics, which those of us who practice law hope it is not. the strength of phillips' case, demonstrate that breyer and kagan went along with it. they agreed the tribunal in colorado was hostile to his religion. he deserved to have his religion taken seriously. and he has a first amendment righto, to not be compelled to make statements about marriage he doesn't want to make. so i think, you know, it's, it's a good decision for the court.
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hopefully it will turn the temperature down in the country a little bit. these discussions are a little bit academic in some sense. i think seeing a 7-2 decision hopefully wl make people realize there is legal analysis going on here, not a straight political play. neil: you know, i remembere years back when i talked to jack phillips, the baker involved here, he stressed to me, i'm not anti-gay, i'm not making a judgment about gay people. i just on religious grounds don't want to honor same-sex marriage. i'm fair phrasing his argument at the time. >> right. neil: he was sincere in his beliefs obviously and justices believed that as well. couldn't someone take advantage of this decision, robert, use it as an excuse to mask otherwise anti-gay behavior? >> i think it would be hard to do. i mean obviously people can if people are operating in bad fait buthink it would be hard to do in this case, it really we have together a couple different strands of the first
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amendment. religious freedom strand of the first amendment, free exercise of religion, but there is first amendment strand. and the first amendment strand needs to be bound as well. in the average case that first amendment strand isn't there. in straight public accommodation case, i'm running my diner around don't want to see gay folks in violation of state law i suspect the court would have no problem upholding a fine against that business owner, notwithstanding his relynn us beliefs. broadly applicable laws are generally going to be upheld. i think in this case, there needed to be some analysis whether there is least restrictive way to do it and some other things. in the cause of doing that analysis the civil rights tribunal in colorado blew it by being open in their hostility towards his religious beliefs. i would not be that concerned. the market takes takes care of these things. 99.9% business owners want
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customers, whether race, religion, o sexual preference or not. most people hold religious beliefs willing to forecold business. he stopped doing wedding cakes entirely after the decision in order to violate colorado law. i think that on its face is pretty good indication his beliefs were sincere. neil: robert, thank you very, very much. former department of justice official, robert driscoll on a decision still has ramifications but as he pointed out, narrow an pinpointed in scope. whether this is making sweeping indictment against gays or overwhelmingly victory for religious enthusiasts is no way to make that conclusion. juste went out of their way to say that was not is can. we'll stay on it. staying on corner of wall and broad. a lot of buying. dow up 205 points. a lot of it spillover from the strong jobs report on friday.
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the fact that is fueling talk we'll see very, very strong quarter report up for the overall economy. that this second quarter, when all said and done, could move at about a 4, 4.5, maybe close to a 5% clip. is that view? and then what? after this. until... we lost it. today, we're renewing our commitment to you. fixing what went wrong. and ending product sales goals for branch bankers. so we can focus on your satisfaction. it's a new day at wells fargo. but it's a lot like our first day. wells fargo. established 1852. re-established 2018.
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together we'll make the right choice. neil: that jobs report is sort of the gift that keeps giving here. the fact that because it is such an important number, jobs reports are generally grand daddy of all reports, it was so strong, you know the deal, we got 3.8% unemploym level last reached in 2000, matched aa lot of folks saying that the quarter we're in right now will be a boffo quarter. the atlanta federal reserve, not exactly the most prescient of regional banks, is indicating we could see growth in the vicinity of 4 1/2%, maybe even more.
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it had to dial back high expectations before. but that we're so substantially above a 3%, a trend-setting goal of the trump administration shows where this market is coming from and thinking about. gary kaltbaum, gary, whe a is said and done do you see a number like that for the second quarter? >> absolutely. let's add another thing. i i wrote about it early last week. i think oil prices topped out. the economy is doing with higher oil prices. they spiked darn higher. that is supposed to slow the economy. instead we're accelerating, when you look at markets, strongest of markets are the risk areas. you're getting semiconductors, technology, internet and the like and also retail stocks are breaking into new high ground. so the market is speaking loud and clear what we're seeing. i think 4% will be on the low end of prediction at this point in time. neil: you know that kind of
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growth, if it were to be repeated quarter after quarter, which is a tall order as you remind me in the past, that could solve and deal with a lot of sins, couldn't it? it sur can. the more gdp you have, more money you have to pay down pension funds and other obligations like that. what trump really needs to do right now, go double down, places likes orange county, california, tell the people give me a republican house in 2018 if you want to see more of this because the whole thing, you know could come to a sudden . we could go back to this crummy 2% growth if that doesn't happen. neil: the crummy t which you're touching on, rich,eans more revenue comes into washington. they will likely spend the revenue and then some that is history of both parties, or, or, you already paid for tax cuts and then some. what do you think of that first off, rich? >> well, look, growth does cover
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a lot of sins. you can only tax as so much you got people making paychecks. when that is growing, you have a larger tax basis, of course politicians will squander a lot of money but the absence of growth is what creates sins and tears societies apart. growth is the best thing we could have for our political environment right now. >> let's not forget, the biggest part i see of growth is a ton of people are coming off of welfare. they're coming off the food stamps. they are now in the producing side of things, paying taxes into the system that is the virtuous cycle we have needed, and i don't know if we'll be runaway from here but certainly starting to feel like we're getting some of that right now. let's hope it continues. neil: what is remarkable, gary, to that point, some of the issues that would be directly affected by the trade war getting worse or tiff, or whatever, turning into a war or worse, caterpillar, boeing, some of these issues held up
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remarkably well. it has not forwarded since things would looked like would turn south or more widespread than thought was the case going after our friends. what do you make of the resince of the overall market when it ignores developments like that. >> i've been one that is not thrilled about the handling of this. i don't like tariffs. i don't like the fact it is going back and for the, something about markets, bad news can be bought up and in markets good news can be sold off. the market hit a low may think. it is speaking loudly and clearly. it is building on itself, that is the important part of equation. when you have the trade war, getting close to that right now, back and forth where you have this harsh rhetoric, think we'll walk into the market down 200 daily. right now they're being bought up and brought up pretty well. let me just say this, the nasdaq, nasdaq 100, closing monthly highs at this juncture
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and if that continues, nothing but good comes of it. it is a mar signaling something here. neil: what? what is it signaling? >> earnings are strong. the economy is strong. interest rates staying low. i hate using this, because i don't want to jinx it, you kind of, sort of have the best of all worlds right now. when you add in like i said earlier about oil prices coming wn, that is a very good news. that is a huge tax on the consumer as well as business we've been seeing over the past few months. neil: you know, rich, do you think we would be as far along as we are, if we didn't get tax cuts, particularly corporate tax cuts? what are your thoughts on that? >> i'm absolutely convinced the corporate tax cuts play a large role in this. back in march and april, i saw things i never seen before. ceo confidence was all-time high. as was consumer confidence is very high. well, consumer confidence you always take with a grain of salt. it is lagging indicator.
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ceo confidence is forward-looking. here we had a clear record signal, forward-looking confidence in march and april. why are they feeling confident? they are feeling confident because they feel shackles have been taken off them, both in the regulatory front and corporate taxation side. neil: well-put. gentlemen, thank you as always. i appreciate it. all right, gary was just mentioning technology stocks. a tale of two very different issues and two very different stocks at least for today. apple doing fine. facebook doing not so fine. both are facing their innermost conflicts. apple is just having a better time with it. after this.
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neil: we're looking at a tale of two tech titans, getting close to a awesome number. facebook not so much. facebook really not feeling the pinch as much as you would think given the latest accusations that it has been giving user
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data to device manufacturers and doing more some time. we have deirdre bolton. he is happily takes a my idiotic questions, russ. deirdre, first to you, what is going on here? >> "new york times" says facebo shared a lot of data it should not have without users consent to 60 partners. this is not third party app this is preapp. 60 partners including apple, amazon, microsoft, samsung. amazon and samsung said no comment. amazon said it was happening but stopped last september. neil: apple which was judging this company? >> yes. neil: apparently was beneficiary of, that is karma. >> life comes at you fast. neil: indeed. continue. >> the idea here is that facebook says they're not really third party app developers this was being developed before apps existed. say you had a blackberry, you it didt exist.your facebook app,
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facebook says, we're building new company, nobody has done anything like this, we had to partner with the hardware producers. in other words to get our basically service out on the device. neil: they were all in on it together and knew about it? >> they were all in on it together. the discrepancy, what exactly was shared and with whose consent, yes or no. neil: did zuckerberg lie when he was on capitol hill? >> facebook says no. "the new york times" says, according to ourouing, yes. neil: wow, how big of a deal is this? it's a big deal for people that care. deirdre and i were talking about this the question is, are people going to stop using facebook because of this. we keep seeing stories come out every minute? will we see the stock drop because of this? neil: no big deal today. >> it has not left a impact. how many stories have to come out before people are like, i should be worried about what sort of data i give to facebook. neil: a lot seems like in the weeds stuff. i'm not minimizing it. people say when i'm on online
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site, certainly one quite as bit of this i kind of expect some of it? >> i thought the stock would react a lot more t was down at its worse, close to 1%. even in my head, oh, my gosh this is the third strike for facebook. it was hitting a lot of pretty important categories for people. this was hitting religion. this was hitting relationship status. this was hitting photos. this was hitting political leans. those are sensitive categories. >> much of what cambridge analytica had. neil: right, right. >> distinction here, facebook did have a post saying why we disagree with the "new york times" reporting they say our partners did not abuse the data in the same way that arguably cambridge analytica did. >> right. neil: what this proves, i'm not here to bash tim cook or apple, i am apple shareholder, facebook shareholder, i should disclose, he was getting high and mighty facebook was facing, right? >> sure. >> apple leans into that stuff,
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hey, we're the privacy company. we're doing it right. but meanwhile obviously they are also a business that thrives on user data. and that is how they make money. neil: or just shut up. let me ask you about apple right now, you know, it is at all-time high again. charlie brady follows us, the guy is scary smart, like you scary smart. >> he is. neil: he is saying now we're 10 dollar valued company.trillion that's amazing. >> i realize that is a pretty good indicator how u.s. consumers, when you have to pay $30 to plug in your phone because you lost your cord, you're okay with that, and the stock is near all-time high, that shows the american consumer, is alive and well. to your point about their business model they sell us hard goods. neil: they do. >> we buy them. around keep buying them. earnings kicked off a five-day -- neil: kicked off a five day
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developers conference. >> they -- neil: i thought you were saying wwe. he wants to find ways of making his very phones not as addictive, up, iuess presumably for tnagers and young people and everyone else. well, good luckh that but what did you make of that? >> so the idea new version of the phone tell you, hey, you used your phone three hours today, cool it, maybe. i think it is -- neil: it is supposed to say that? >> it will actually say that. >> really? i don't believe that my teenage sons would ignore it. >> i think it is pr move. fitbit watches say stand up, you've been significant for an hour. similar function for that. people can turn it off. neil: it is not 10 steps a day, 10,000. >> very judgegy. i think it is just pr. neil: one of the things you found, you probably knew this, 14 out of 15 last developers conference through the five days, stock invariably goes
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down. that's weird. >> people say, you buy on the rumor. you sell on the news. no matter, they can say we brought back a t-rex and it can program and play "fortnite." neil: are new things expected? >> this is quiet. >> it will be pretty light. no hardware announcements. maybe some car stuff. neil: lock your car, unlock it? >> are self-driving, a peek where they're going perhaps, if they want to go down that road. but buy and large -- neil: any 11 details? >> the new iphone? i have heard x-1. i heard 11. whatever. their branding is kind of tricky at this point. i think there will be a few different models but we'll not hear about them. it will be mostly software. neil: wouldn't we have heard more buzz? that is months away. >> they have a scheduled one. it happens later in the summer. we'll hear concrete announcement stuff, august, usually? neil: tending to disappointment? >> not according to cook.
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he said people are buying that more than any other phone but, you have to consider the other phones are splitting market. if someone wants 8, 8 plus, those are two different phones, the iphone x is one phone. neil: end related phones, they're so many of them. >> right. neil: divide that pie, right is it? >> yes, exactly. could you make those cases. apple is certainly very proud of the iphone x. it is kind of hard to say exactly how much of a bank buster deal it is. i think it is too expensive. neil: apple up. facebook dn. but again the movement isn't very big on facebook. again to deirdre's point that is kind of telling no matter what kind of news comes out it tends to be a short-lived worry as investors continue to bet on this service where people showcase, you know, their families, and how happy and woerful they are. it is a little ture real but it is what it is. we'll have more after this. -- ey.
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neil: he is indestructible, bush 41. i can happily report discharged from a maine hospital following treatment for low blood pressure. you might recall he was admitted. this was the second go round of hospital visits for him, second in as many months, on may 27th. looks like he will be okay. talk about resiliency here. meantime we're keeping track
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what is happening with oil prices even though they have been following lately. american airlines is warning that rising oil prices we saw before could hit you with rising air fares. jeff flock at chicago's oh hair with more. hey, buddy. reporter: that's right, neil, doug parker, ceo of american, this time talking at the international air transport meeting association in sydney, australia. here is what he said, and i quote him now, if this becomes the new normal, that being high oil prices i think you would see less capacity in the industry, less growth or higher prices, that is to say higher air fares. he add this is caveat though. but i don't think it will happen in the very near future. part of that may be because oil prices are coming down and so is the price for jet fuel. right now jet fuel is 2.15 a gallon. wait you say, less than cost to put in gasoline in my car. why is that? can i put jet fuel in my car? no, you can't, jet fuel is
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essentially care -- kerosene, it is less refined and cheaper than gas in yr car. year-over-year, jet fuel is up over 50%, 54% over the course of the last year. the other positive note, maybe not positive, i guess negative note for the bottom line of airlines, the iata estimate that is it is about $41 billion, $42 billion extra it has cost airlines to operate this year because of high jet fuel prices. in the u.s., jet fuel is not the number one cost. in most countries the number one cost for airlines is fuel. in u.s. the number one cost is labor. both are high right now. neil. neil: is it me or are they a lot faster to respond when prices are up? i didn't see them willy-nilly cutting prices when oil was tanking. i might have missed it? >> no. no, i think you did miss it
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because it didn't happen. what they did do though, when they started going up, they tried to raise price as couple of times and, competitors didt . it didn't stick. maybe that's a good sign. neil: buddy, thank you very much. jeff flock, he is the best. meantime we have some big, big primaries coming up tomorrow night. virginia republican congressman dave brat on democrats feeling maybe a little bit nervous becausthings have changed for the economy. take a look. you're almost certain to be right that it will be stronger than recent quarters we've seen and i'm wondering how republicans handle that? already nancy pelosi is kind of poo-pooed this latest number. >> democrats will have their talking points. they don't have an alternative. they usually pivot off to identity politics or some negative stuff because they don't have an economic plan. they never have. they can't tell you what causes economic growth. neil: all right. wee have former bush 43 advisor, brad blakeman, democratic
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strategist, richard fowler. richard, brad's argument on the weekendhow, the treight now is the friend for republicans. blew wave, put off talk of that? do you agree with that or just a case of one republican getting a too giddy. >> no. i think our chances look good but history is not on our side. since the civil war on average we lost 30 plus seats in the house and two senate seats. we can't afford to do that and remain in control. the good news is, we have history, not on our side but we do have the fact that we have a record. we have a record of accomplishment. the economy couldn't be doing better, regardless what pelosi or democrats say. also democrats are defending many more seats than republican this is cycle. they are out of money. they can't raise money. you need order to defend or take a seat. neil: you know, richard, do you think, regardless whether you think of the economy or the comeback is real or whatever, nancy pelosi, it is one thing to poo-poo the tax cuts or whatever, it is another thing to say that this recovery isn't real or whatever, that she is
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hurting whatever chance democrats have of gaining because she, she just doesn't get it? a lot of democrats have come on this show to say, that is not the argument we want to be making. what do you make of that? >> here's the thing, remember we're not running a national race. e running 435 different local races, right? we're running 33 senate races, 33 different senate races. so nancy pelosi will not have as major of an effect she thinks she will v brad wants her to have biggest effect possible that is not the case. we heard congressman say democrats don't have a message, just remember you will have 435 different messages. where this race matters is in a couple of key states. it matters in the state of california. it matters in the state of pennsylvania, and it matters in the state of new jersey. in the state of new jersey, thanks to the trumps tax cut or trump tax plan whatever you want to call it, for those people in the state of new jersey their taxes increased because they repealed the state and local tax
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deduction. so new jersey voters, when they go to the polls in november, they will vote against republicans because their taxes increased. neil: isn't their argument, richard, that there are fewer those, net-net across the country benefited? >> well, remember, it is for democrats for us to get a blue wave -- neil: you need 23 seats. win in 23 districts. >> exactly. there are nine, 14 seats in california. there is six in pennsylvania. and additional five in new jersey. that gets us very close. neil: you think democrats can still do that? >> i think we can. in new jersey, taxes increased for new jersey residents. neil: has to be bigger than new jersey. >> in pennsylvania. neil: you're boring me to tears going state by state. >> but that is what this is about. neil: please stop. brad i could make the same argument with you. that you could look at all of these races and conclude that 23 to his point, are still doable.
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do you worry republicans are not ones getting ahead of themselves? >> no. i worry about the history of midterms. i worry about voter turnout. yeah i dabout it. but we have blessing. and that is we have a record. we made good on promises. the economy is doing well. this is a message that will sell in every jurisdiction, because the majority of people are doing much better and, here is the major point, people feel better about the economy. the right track-wrong track is with us. people feel good about the future. neil: months to go, right track, wrong track, we'll see it across the country. guys, thank you very much. i know i offend people left and right, i do that. we tick off everybody. more after this.
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i guess they don't want you driving around on three wheels. smart. with liberty mutual new car replacement™, we'll replace the full value of your car. liberty stands with you™. neil: you know, wilbur ross had to go without a promise or construct it or construct of maybe we can find a future deal. that is called losing face as they say in china. but how embarrassing was this and what does it mean when future trade talks look like they seem to be going nowhere fast. edward lawrence with a watch on the latest with all of that. reporter: commerce secretary wilbur ross emerged from the two-day talks with a warning. the warning was the chinese see if the u.s. goes forward to oppose 25% tariffs on $50 billion worth of chinese technology coming into the united states as well as
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limiting china's ability to invest in american technology, then they will not buy more agricultural products or energy products, thus reducing our deficit in the new tariffs would go into effect on june 15th and it struck a nerve in china because it could affect their goal to hnologically dominant by 2025 with the trump administration standing firm on a fair trade deal that protects our intellectual property appeared >> you cannot just ask other countries to treat us better and expect them to do it. that's not the way the world works. the president has done to help american workers and their families. will it be as quick to show results? probably not because we are dealing with foreign countries do not commerce on the hill. everything is aimed in the same direction. reporter: to political grassroots groups funded by the koch brothers are putting on a free trade campaign now. the americans for prosperity
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favor for prosperity citigroup president economic agenda, but the tariffs will, quote, undercut the progress in needlessly hamstring our full economic potential. there are better ways to negotiate trade deals and by punishing american consumers and businesses with higher costs. those groups seem to be in line with some of our allies around the world. this morning the british prime minister and president donald trump had a phone call where they talked about trade. theresa may says they talk about the need for free trade. she understands that, but the u.s. is a close national security ally with the united kingdom. theresa may also stressed she's very disappointed with the steel and aluminum tears that have gone into effect because of national security concerns according to the president and how she did say she and the president would talk face-to-face at the g summit about free trade. neil: thank you very much my friend. edward lawrence in washington. what if this hangs on a while and drags on a while. we've got a lot of friends angry
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at us. the chinese tingly with this year. moody's chief economist john lonski and last but not least, market watcher jim s. bergman. your sense of where you think this goes. >> these things always seem to get worse before they get any better. i think we are making a terrible, terrible mistake here. i'm almost embarrassed to be a republican because republicans believe in free trade? are we better than putting into effect tariffs and trade protection and we are going to do tremendous damage if we are not careful to american ine have sent that signals and with us in the past several days. i find this very dismaying and i'm worried about the slippery slope upon which we are treading at this point. tree into the administration's reaction to that has been using with the other guys have doing to us. but we are doing is only a fraction. if that argument winning out or
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what is your sense of where this is going? >> it remains to be seen, but the approach of playing hardball with china is needed because we have china has been promising to open up its economy for years. meanwhile, the trade deficit has grown from $82 billion in the year 2002 over 300 billion today. the previous administrations have addressed this problem. they haven't solved this problem and trump is saying we need to be tough. it's not just trade either where china has where china is being hostile and there's a big problem here. there interfere in those talks. secretary mattis went after them because of their coercion and intimidation in the south china sea. trade is one aspect of this we need to be tough on china only because they are causing a lot of problems for us geopolitically. neil: she i right when you think about the multipronged effort we are taking with the chinese, not only reacting to the militarization of violence
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across the south china sea in jim mattis, the defense secretary saying enough already, but the chinese do not appear to be knuckling under. if anything et a little more stubborn. where do you see this going? >> i think the trump administration book push towards a firmer approach towards existing trade treaties that we have with china and other countries as long it does not upset the financial markets. over the past couple days, the financial markets are doing just fine. but when push comes to shove, when the trump administration pushes too hard for enforcement of existing treaties and the market falls, that is perhaps when the administration eases. this is a problem that previous guest stated that his lingering for far too long. it's almost akin to illegal
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immigration. we will tolerate the fact that our partners are not sticking to the rules. the longer you do that, the more difficult it is to remedy the situation. tree into why, dennis gartman, are the markets ignoring it? do they assume it's all settled amicably like the south korea thing they read some sort of a deal that might not be much to write home about, but not nearly as nasty as people envision. what's going on? >> the markets want to be optimistic and are hoping in fact these things resolve themselves, which historically they tend to do. always a great deal of wailing and gnashing teeth. but they seem to come to some sort of agreement in the end announced that the markets want to have. this'll be good news until it becomes bad news. as long as this continues in the way we are doing it, we will be fine. if we start to price a little too firmly your problem r right now, it is a bull
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market, isn't it? neil: it is bad. maybe cooler heads prevailing here, but i could see this getting to a new low. maybe that is all for the benefit of a longer term. the markets have got way ahead of themselves. what is your read from people you talk to? >> right, he thinks trade wars are easy to win and he's going to be tough on this because that is the business perspective he comes
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we do know his father kim jong un has no it's vladimir putin is all in russia. what is going on with all this busyness on his part? >> well come i think we have seen since the beginning of the year since they started the diplomatic offensive that he has regained the isolation that the trump administration had
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inflicted on the north is gradually easing. there are all kinds of capital is now in major powers approaching north korea to reestabli some diplomatic dialogue and get in on the great scene unfolding before us are the real danger here of course is that the united states has to again revert to the maximum pressure campaign, i think it is going to be much harder to do, which is wh it iso important now that we really hold kim's feet to the fire on june 12th and get a strategic commitment on denuclearization that we require. neil: our rights come it will take sometime to your point. johnah, great seeng you. another development, the fallout from the supreme court decision that was a bit eerie for a baker who was thought to have no chance for days. i don't think it's that simple.
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neil: all right, lopsided decision in favor of colorado banker who has nothing against gays but wouldn't make a wedding
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cake for a same-sex mac couple. back in 2014 they told me why. what they are saying if someone comes in aeterosexuauple, le comg up to pride for them no difference. what you do? >> there is no difference. i treat them the same. the you all make a cake for a gay wedding. >> we are not making any wedding cake spirit has taken a good chunk of my business the way. neil: a big victory in the supreme court today the senior judicial analyst, how could two liberals go ahead and vote for this. >> you are speaking of justice stephen breyer and justice elaina kagan.
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but this seems like a classic chief justice john roberts compromise. make this a vote so that it has ort so it does not appear to be political. the compromise probably was this is a narrow ruling. it would just apply to this case. it is not of any presidential value. and we are only concerned with the lack of respect or even hostility towards the religious views of the baker whose clip you just ran. i really narrow range of scope, he probably got justice kagan and prior to joining. neil: he did not get respect or ginsburg or sonia sotomayor were. >> if i may, a lukewarm dissent. i thought justice soda may or, a
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friend of mine, and instead is this baker can say his religious views keep him from serving for a same-sex marriage, and can he refuse to make a cake for a biracial couple? the logic from this case with a yes. but the language says don't take this c and apply to any other fact. neil: but how can you not? they are anti-same-sex marriage, couldn't they use the religious view excuse to endorse presidential behavior? -- prejudicial behavior. >> you have the judge on a corporate him asking someone how central is this to your religious belief? where your religious beliefs come from? this is the type of interrogation that judges should
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never be making. they should never taken up and justify religious belief. if someone makes up a someone makes that the religious policeman says my religion says i can't serve italian or jewish or black is that enough to allow the baker to discriminate? these questions are not answered by this case be a neil: the colorado civil rights commission when it made this decision to say you have to do this, where they criticized by the court for not weighing enough his passionate religious beliefs? >> yes. they were referred to by the seven person majority is not only were they not neutral as they're supposed to be under the first amendment. states must respect the free exercise of religion. they were hostile towards his religion. they don't name the religion, but theyay and it quoted some language in the opinion from some of the members of the civil rights commission and colorado, which in their view, the courts view a matter of law demonstrate
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hostility towards a person who holds a religious view like the baker does. >> so when there were gay groups and others lamenting that others lamenting as a scene we've giant step backwards in the progress gay had made in the conservative court, would you say. >> they have legitimate cause for concern and sad to say. i hope this does not open up a can of worms, but i believe it will. we'll be getting into this nonsense of judges deciding do you really believe this? does this really comforting or religion or do you just dislike gay or italians or people from new jersey about whatever the class of people they want to discriminate against beard to an extent, for the members of that class, it is 1950 all over again for potentially 1950 all over again. neil: all right, thank you very much. a lot more on the burgeoning market for sports.
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certainly on tv. i'm not talking about sports here. i'm talking abouts abroad. it has become a new flying field led byis ceo. he is next along with the guy that heads the pta after this.
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neil: all right, chances are when you think of discovery, you think of nature specials, animals, you go on and you look at the acquisitions at hgtv and the food network and on and on. you do not think of sports. when it comes to sports abroad, you better start because right now a $2 billion deal that t pga golfer golf rights across the globe. ceo david zaslow and board commissioner jay monahan. welcome to both of you.
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appreciate it. >> good to be here. nice to see you. neil: let's begin with you on this deal and what it means. it is not for domestic golf audiences, but more about golf abroad. could you explain? >> sure. as you said, we've expanded over the last several years and our strategy has been to all global i.t. that we can take all over the world and ultimately take to consumers on all the devices. so that is why we did this group steel. we think functional content related to food and home and travel will work very well on other devices. then we got into sports in europe with the eurosport and the olympics. but we think this is our biggest ip opportunity yet ims of a global attack. in sports for the last several years in europe, we look at all kinds of sport. we are in the middle of the french open right now in cycling
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and soccer. there's one international sport that comes up at the top of the heap in a free analysis that we've done and that is the pga tour. 50% of the players are from outside the u.s. they are already in almost all of the market and it has fan bases everywhere in the world, particularly some of the markets massive in terms of growth. china, korea, japan, all of asia, latin america. and time and time again we kept coming back to this idea that the pga tour is content that people will pay for before they'll pay for dinner. the is no global direct consumer product that can be the fort ecosystem for people to love golf. as we started on this journey, we put together everything that jay monahan, the commissioner of golf set out as his vision for what he wants for the pga has a global platform.
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and it totally aligned with our vision. jay and i got together and it's been over a year and this is a huge moment for us. we just couldn't be more excited about being in business with you. >> likewise, david. neil: let me ask you about that. whv the foreign golf events are, so couldn't include the masters for the u.s. open, but almost everything else. >> that is correct. the pga tour has six tours we operate around the world including three international developments. this partnership will bring together 140 tournaments. 40 tournaments on the pga tour including our fedex cup playoffs, players championship, presidents cup and the seven event replay outside the united states. i think the key here, neil, as david said more than half of the top 50 players in the world are international players. this is truly a global game. we've got players that are
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developing and emerging from every market around the world. we consume golf and we know it is daily content here in the u.s. and we feel we are at a point in time where we can really accelerate our desire to diversify and grow our fan base until accelerate the growth of this great game and we believe strongly that golf in the pga tour are in a unique position to do so. this is the absolute perfect company to do this with. this is what they do but the largest international media company. you talk about the brands up front. they bring the experience has come, know-how, intelligence to the relationship as they go out and identify the life partners in every market in addition to a streaming service on the pga tour brand. so, it is a really exciting time and we think most importantly this will benefit fans. those we know today in the international markets and those we bring forward to follow the
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pga tour. >> let me ask you about this. given the golf commitment you are making here and all of these other foreign events that you have right to i guess sport cycling, european rights, olympic games 2024. tennis. is this setting the stage for american base purchases? in other words, when they, for the rights of cbs and nbc in the golf channel would join now for u.s. and pga tour event. would you then be looking at that down the road? >> well, we think we are really unique in that we are the largest international media company. we own all of our i.t. we attended 12 channels in every country. local teams on the ground everywhere in the world here that makes us different than anybody else. we do have a big business in the u.s. over 20% of the viewership more traditional nonfiction area. our focus on sport was europe
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where we spent the last several years learning and building a direct consumer product, building the eurosport brand, working with the olympics. what is exciting to us about golf is we've looked with en at facebookoogle and amazon and apple as these companies that have global scale. netflix here they are able to reach the entire globe so that fans of a particular product can hit one button and be getting anywhere in the world. neil: have you looked at what is happening with my parent company and the battle that fox and disney are looking out to close their deal and now you have comcast interested in the same properties. i'm wondering which are thought are en masse and if few sniffed around anything. >> look, they built a golf nut product and we think that is
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massive. when you look at how the capital markets direct to consumer business but mostmportantly. they are trying to get it all instioal deo. theyant to follow the best golfers around the worl we can put all of that in one place. that is our focus and if we can do it, we can emerge at 10, 20, 30, 40 million people. neil: you are not interested in some other things going on here in this country? >> what interests me is the fact that it is a recognition that very high quality, the best idea in the world is what is most valuable, which is the fact that you have comcast great company willing to offer 17 times for sky and had thisy company talking about how they want to diversify internationally. the truth is we are in every country in the world so it reinforces the recovery strategy
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to get discovery in the world and our other partner in global leadership will make up for. jay is as we get our entire company behind the pga tour. we think this could be huge. >> if i could just add, you look at where we are. this is a big announcement today. this is a testament to our players on the strength of the pga tour, strength of the game. we come into today with a great long-standing relationship with nbc in the golf channel, cbs and now you add discovery as our leader and as her partner in the international space. i mean partner. we are working day in and day out to accomplish our goals. you look at this from a standpoint, players standpoint and sponsor standpoint, we have a portfolio that will continue
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to evolve to rapidly changing marketplace and benefit from incredible experience ngth of the bands and that is what brought us to this day today with discovery. we couldn't be more excited to move forward and began to grow our fan base and accomplish great angst together. neil: let me ask you real quickly. i've been noticing a lot of people are paying attention to these big golf events including the memorial event in tiger woods. he's been playing a lot better in recent tournaments. how much of some of the ratings success you've been seeing on the pga front is in large part to him? >> well, you know, you go into this year and we were seeing significant growth in our ratings all the way up through the championshipn mexico city where phil mickelson won, had a great week they are then transferred tour event in florida, that all-star in the bay area were tiger played well.
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what you see now and that is why this partnership works so well. if you look at the t 50 in the world. we've got stars turn every market around the world great great yngye emerging. his big worry where he beat them on from korea. so this is a combination from the development of stars over the past couple years. young, relable, pposeful. their reintroduction of tiger and this is a game that stands none in the way our players onto every community and that's where we are excited to tell a story in the international market with that experience. neil: real quickly, most ts are
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neil: all right, it's a big deal
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every year when apple kicks off a five-day conference short of showcasing their plans, their stuff as it were, susan li with the very latest on what we're learng. >> today we're talking about si ri right now and what siri can do to take the wraps off their new operating system ios12 which will be introduced in the fall along with hopefully a new iphone so siri can be customized for you, if you lose your keys, order a coffee or change up your workouts. we did have tim cook kicking off the keynote today and started off by doubling down on the new ios 12 saying it's going to build on ios11. he did address one controversy from last year which is the slow down in batteries in older model s. apple now saying that ios12 will actually make the iphone 6
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faster and that's despite the batteries and maybe battery replacements, but it's all about services right now since they do have slowing iphone sales. those services have jumped some 30% last quarter in their earnings making up now over 30% of their enings and this is their focus going forward i should point out we're still awaiting the introduction of digital wellness that's the big unveil that everyone is expect ing, how do you curve iphone addiction, and curve use of apps and especially the younger one on their phones, so we're looking for that and some dres o digital privacy which everyone including facebook, microsoft and google have all done just in the past few months in their developer eventss wellack to you. neil: susan li, thank you very very much let's take another look at apple stock if we can guys there's a busy game going on here how close will it be to
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becoming a trillion dollar company right now that figure would be 203.45 a share to get there, so we're really a little bit more than 10 or $11 from that level at which an american company thiompany would become the first trillion dollar market cap concern on the planet that would be a huge event the read from tech analyst. it just seems a matter of when, not if, but what do you make of what the company is outlining for what will be a busy five days at this conference? >> yeah, this conference is always focused more on what's on your phone, the software, the services that you get on your phone and you're going to see more of that over the next five days and things that apple really needs to stress are advancements in ai and siri, things that make its home pod more sellable, things that reassure users that they're
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not going to experience the awful release of ios11 in the fall of 2016 and you know that slowdown they seen so it's rebuilding trust and showing innovation, in all of the service platforms that they have neil: you know, i understand the company is going to try to do something about the addictive nature of the devices period, the iphone included. knowing my two teenage sons, they would have to have a feature that electrifies their hand to do that and i'm wondering short of that, is this just a pr gimmick? >> it doesn't seem hard to buy when the company is going to spend probably the first hour and a half of their keynote talking about new features to try to get you to use your iphone more, easier search, easier browsing through photos and then spend a little bit of time talking about cushing that
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addiction. it's hard to see the kind of the truth behind that, though i think it's something that every organizaon, every big tech company, facebook, apple is going to have to contend with and at least acknowledge that they hear you, they see you, you know, sort of therapy sort of words they're going to use but i'm not sure if it's really going to change their development process. neil: any big new product announcement or will this be about neat new features in the software to unlock your car and that kind of stuff, is that the gist of the expectation >> it's all software and services. in the fall we'll see big announcements. i think all of us would love to see kind of the next, you know, game changer technology come out of apple in the fall the next iphone, next ipod, but right now
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, in this context in the next couple days is going to be reassuring to developers that we have a stable platform that you should stay and build with us and that we're the place where the destination for all your users is going to be in the future. neil: i'm telling you there's money to be made mark my words if they can find a way of shutting the phone off i you told your teenager yet again
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stop stop stop and they don't, it goes down. just an idea. >> i only have one and a half year old twins i'm already experiencing that it's a shock of them knowing how to operate my iphone. neil: [laughter] >> i can only imagine what's
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neil: all right, donald tumultuous jr. is working on a book that's not surprising because of all of the controversy that could come with
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it and any of that stuff, multiple best seller charlie gasparino on what's going on here. what do you think? charlie: two. neil: that's more than one. you know, i try to help you out and pump you up, dude. charlie: listen i'm not saying donald jr. isn't going to be able to sell his book but someone is going to buy this and it will probably sell but here is the one downside. he is getting pushback from major publishers now i spoke to -- neil: why? charlie: i spoke to him on the condition of not naming who they are or they are among the big five, let's say, and here is what i hear. they are questioning him as he's got his book about the mueller probe, they're worried about whether he might in fact be
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charged, put all of that together, and you've got people backing off this thing, significant publishers, and here is the interesting thing, they do ask him, what was your role in this, they ask him about that infamous meeting that he had in june 2016 with a ration national looking to give him dirt on hillary clinton, that mueller's obviously probing and he comes away, he's essentially flabergasted saying i can't believe they're still looking at this. neil: is this the same meeting we learnedhe president and his father coached? charlie: yes and that's part of the problem so he is having difficulty convincing publishers that what he wants to pitch as essentially as one person called it a defense of daddy, [laughter] that that is a book worth
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publishing now that doesn't mean he won't publish it. combine a positive presidential tweet, i don't care what it said , donald trump has a cult following and you look at the sales of corey lewandowski's books the former campaign manager and even newt gingrich doing well, there is an appetite neil: that's from his flesh and blood. charlie: you could sell from 150,000 to 300 books but there's another side of the coin and i'm telling you people are walking away balking at this. neil: why would a publisher be concerned if he is immersed in some legal revenue? charlie: well let's just take it to the extreme. are you going to be able to finish the book in jail? that's the extreme, i'm not saying that's going to happen. he maintains his innocence. he's got a very confident lawyer
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, i like don jr. a few times he's a really good guy and people would buy his book, he's a smart kid but i'm telling you this is sort of the back and forth, the pushback. neil: when would this book be out? charlie: well they were querying publishers last week and i'm telling you, there are several major publishers who have said no, so that doesn't mean the betting is that he that he will end up with the center street books who seems to be cornering the marketing in pro-trump books i think they had corey lewandowski's book and newt's books and both of those books sold, and corey lewandowski probably will sell according to the estimates out there something like 250,000 books. now that more than covers an advance, let's just say he got advance of half a million dollars that more than covers it neil: trump jr. isn't indiana this for the money? charlie: i don't think so but people by the way advances are
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people like listen, i'm in it for the money because i need to pay the rent. he works for the trump organization and makes a lot of they to brag.e people get j neil: people are under the impression you don paid here charlie. charlie: i do. neil: it sounds like you need a book to make ends meet and you'll do very well and your books do very well. charlie: thank you. my last book did not do well it got good reviews but i want to make one point. the british tabloids say that if he does a tell-all book which includes his divorce, his alleged affair with some model. neil: he won't do that. charlie: and he tells about family drama he can get $12 million. i'm telling you based on what he's pitching, it's something like i want to defend my dad. he's not going to get that type -- neil: you never know real
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quickly wilbur ross leaving china without even the frame of a deal or a future commitment. charlie: the markets don't seem to care. neil: no they don't. charlie: listen i think the trump people on trade, it is conflicting ideologies between peter navarro, wilbur whose a peter navarro light on china and more free-traders like mnuchin and larry kudlow. i don't know how you develop coherent policy. i tell you the one listen if we don't have a trade war no one going to care in the markets but the one bad casualty if they don't really ding zte, if this is somehow they're going to look for pure victory, where z basically says i'll give you a little bit here and we don't crush this sort of criminal enterprise, which zte was, if we don't do that, then this is a big problem and you know, i'm telling you i'm sure that peter navarro, i don't agree with him on a lot of trade stuff but he's right on this because that is a company that does bad stuff. neil: it had you wondering what
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the concession we got out of the chinese to get to this, is it still too early? charlie: who knows. neil: thank you my friend. multiple best seller. charlie: [laughter] million dollar. neil: all right charlie: [lauter] neil: all right in the meantime, these trade back and forth, right now doesn't matter don't take effect we're feeling a pinch connell mcshane out in iowa the latest on all of that. hey, connell? connell: hey neil it was interesting i was listening to you and charlie talk and the president had a tweet after one of their conversations saying the chinese are charging a 16% tax on soybeans coming in from the united states and i want to bring in ron heck in also the president of the advisory committee and the president point about hearing us speak is that things aren't as great as they are. tell us what you're dealing with right now. >> absolutely there's a price differential. soybeans are much more expensive in china than they are in the united states and part of it is the taxes that they charge when
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we bring soybeans in and some of it's just unexplained. connell: it's tough to tell. what if they add another 25% to that though how worried are you about the future?>> well that g concern for the up coming harvest. far there heen any harm donald in fact the chinese removed a small part of the removed a small part of the taxes this spring, but they can go right back on. 25% hit would be devastating to our finances here. connell: obviously hoping to avoid that and ron told us he 't really changed his business model, neil, yet and to
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neil: this is probably the most important day on the election calendar, save, of course the
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merm elections in november. five states with crucial primaries across the board that could go a long way towards deciding whether the blue wave is still coming or not, or slowed. we'll see. tomorrow, beginning 8:00 p.m., till whenever. here is trish regan right now. trish: hey, neil. wrapping up attacks against robert mueller russia probe. the president claiming that the probe is unconstitutional. it is a never ending witch-hunt. he is right? the president tell greats his 500th day in office. welcome, i'm trish regan to "the intelligence report." ♪ president trump tweeting today he has the right to pardon himself, but, he wouldn't. he wouldn't need to anyway. since he has done nothing

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