dollar valuation, a apple or amazon? >> apple. yes. shorter distance. stuart: $10 higher, apple is a trillion dollar company. it might bet there. almost out of time. neil cavuto, sir, it is yours. neil: thank you very much, stuart. we're looking for a race who gets to a trillion dollar figure. it is anyone's guess. we have a sell signal on corner of wall and broad. a lot has to do with friction over auto trade tariffs that could be coming. they could be big. look what we're talking about here, $176 billion worth of cars are imported $136 billion worth of trucks, $147 billion worth of auto components. you can add that up apparently i didn't do but it's a lot. so what happens if the eu retaliates and we retaliate after that? edward lawrence is all over this stuff, joins us out of washington with the latest on the tit-for-tat. where are we on this thing,

buddy? reporter: you didn't include auto parts we import into the united states. that is part of this. auto union workers, auto company representatives, all descended on commerce department to give input on the tariffs you're talking about, up to 25% on imported autos and automobile parts. the commerce department received 2300 comments with a wide range of views. insurance industry, for example, believes your insurance rates will go up if a 25% tariff goes on auto parts. it costs more to repair a car. they believe a 25% tariff would add 2.7% to your auto insurance bill. car companies say cars would be more expensive. auto union workers protested with a drive-in. they drove cars they made in america around the commerce department and around the capital. the commerce department would not let media cameras inside of the building for the hearing. they do offer a webcast, showing

just the panel, not the crowd in the room. on the panel the european trade commissioner gave a stern warning to the commerce department. >> imposing restrictive trade measures on steel and aluminum, trying to justify them on national security ground. taking unilateral trade measures against china and using aggressive rhetoric at allies, these measures are disruptive to alliances when we should be coordinating. they work against the global order when we should be consolidating. they undermine decades of u.s. foreign policy and western partnership. reporter: and this warning comes as european commission president is going to meet president trump next week. president trump has said that there would be tremendous retribution if they can't work out a deal, specifically, at least on autos, with the european union, to sort of level the playing field. i can tell you that german

automakers came out and said they wouldn't mind seeing no tariffs on either side in or out. neil? neil: thank you very much. edward lawrence in washington. what will happen then for folks, i don't know, like us in this country, if and when this comes to pass? it looks like it will come to pass. you will get a little sticker shop if you haven't already when you shop for a car. deirdre bolton with the latest on that. >> underline that a big if our colleague was telling us about 20, 25% tariffs put on foreign autos and foreign parts. we are going to show you what the peterson institute thinks you will pay on average. almost $1500 and $7,000 depending on the model. so we went through, we're going to show you model by model what a lot of americans own as far as cars. so look at a toyota corolla. the price would go up more than $1500. i will show you the honda sick,

sick -- civic and chevy cruze. chevy cruze will be over $2000. the reason the honda civic and chevy cruze are higher, 51% of those particular models, 51% of the materials, of the parts are coming from a foreign supplier. go on to the lexus nx. you will see that is the biggest sticker shock if you like. when i was reaching out to experts talking about why this is so much higher, listen you will really pay for the luxury models and you will really pay because these have mostly foreign parts, quite simply are made abroad. peterson institute, before i actually want to show you parts because edward lawrence mentioned that and he's right. we'll pull up a live trading screen here. not just automakers themselves it is parts as well. lear corporation, borgwarner and choicepoint. the larger issue the peterson

institute flag ad danger is american workers too. we know the parent of mercedes invested a billion dollars in a plant in alabama. so peterson institute says if these tariffs go through, 190,000 u.s. jobs could be taken from the u.s. economy. so just because the supply demand, all interchangeable now. neil: especially people know now this could be coming down the pike. you could put early chill on sales now. >> indeed. a lot of people are saying only silver lining for used cars salespeople. they we'll may see all bp. bump. that's it. neil: thank you very much deirdre bolton. who is right on this, who is wrong on this? let's go to smart people, jack mcintyre, former dallas fed advisor, danielle dimartino booth, former chief of staff to paul ryan, dave hopp. welcome to all of you. you said, i want to go to you

first, you said trade warsly almost instinct make you go defensive. at very least you think of a defensive posture going into this. even if it doesn't look like it will pan out, right? explain that. >> yeah, because it is not necessarily where we are today in terms of the trade dispute. it is uncertainty going forward. market investors hate uncertainty. that is where you need defensive thinking, nobody knows exactly how this will play out. in your asset allocation have things that going to hold up hey, if the global economy goes down if we turn into global trade war. that is the point i'm trying to make. neil: danielle, going back to the fed hat of yours, wondering whether flip side of this, seems like perverse logic to me, means could slow economy down. federal reserve, despite higher prices coming with tariffs would have to cool it on number of interest rate hikes precisely

because this could put a damper on the economy. what do you think of that? >> you know, it is interesting, after jay powell finished up with his congressional testimony the beige book came out from the fed yesterday afternoon and every single one of the 12 districts tariffs were mentioned being a big concern going forward and that really did echo what chairman powell said he was concerned he heard quote from, many, many companies, the tariff talk has caused them to ratchet back their spending plans. we saw that in this morning's philadelphia fed report. you saw it in the empire new york fed report, the outlook for spending is coming down appreciably. this could indeed puts the brakes on the fed continuing with its rate hike campaign. neil: dave, i'm thinking of that, i'm thinking of rhett sy sense on capitol hill on all of this. another thing to get tough with the chinese, another to get tough with europe and another to

get tough with canada and mexico. having worked for paul ryan he was among the early ones saying you know, just be careful with this but they're not taking the president on to take away that ability to negotiate this stuff but they are getting worried. what do you make of that? >> there is concern, neil. with tariffs, it starts like a little no ball at the top of the mountain. you start rolling the snowball down the mountain. it may stop to become a snowman, or in more cases unfortunately it becomes a avalanche. nobody knows from the beginning. since the beginning of this year everybody upping anteon everyone else. that concerns congress. if you look at the vote taken in the senate this week, 88-11. it didn't mean anything controlling it. it tells you where senators are, house members in much the same position. neil: that 88-11 was non-binding, way, mr. president, talk with us. he is mr. tough guy. they don't have any plan to

force that on the president because they don't want to challenge him. >> right now they don't. if you look, this is section 232 issue they were bringing out. that is what the hearing is in commerce today is section 232 issue. is this really national security? and are autos, do autos have to have a tariff put on them because of national security? there is a great skepticism in congress, broadly and bipartisanly this is section 232 violation in any way, shape or form. neil: there is no national security involved in this. >> that's right. neil: i don't know, jack, you're following this closer than i, this is not something that will imperil our future. what will imperil it, if all this goes into effect. i don't see that, but i might be missing something, what about you? >> you know, we really shouldn't be surprised. i mean there is one thing that at its core trump has followed for decades. that is his view that trade deficits are bad. he is talked about trying to

make trade more fairer, protectionist leanings, that sort of stuff. in part i'm not sure the equity market, that it is holding near highs. russell 2000. neil: i don't think they think it will happen. i think they think this will never happen. >> that cooler head will prevail. i'm in the camp i think trump will pull back. if he wants republicans to do well in the midterms, you don't want a trade war going into that. neil: there is assumption of some logic there, but danielle, i'm wondering how these things escalate. because if the chinese don't budge, and we expect them to, yes, steve bannon i think who speaks a lot for the president's conscience even though they don't necessarily talk to each other anymore, i think his view china will blink. he said as much. china might blink, but what if it doesn't blink within the next few months? what if it goes on quite a while without blinking? >> you know, there is a lot of disruption going on, maybe not in our stock market but in the

chinese stock market and with the chinese currency the yuan. we're seeing a lot of blood set. neil: that is why they use the blinking analogy. they think that is why they will be forced to come to the table. >> that could be the case but there is no telling with xi xinping whether he is going to blink or not. he is strong politician in the same spirit donald trump is. you don't know what they might have up their sleeves. if this currency devaluation continues, when it happened back in 2015 it eventually bled into our stock market. neil: you're right. >> maybe they're gambling with time right now, saying, that at some point our stock market is actually going to start reacting to this. for now, as dave said earlier, stocks are close to their peak highs. so far, the assumption is that this is just a big game of chicken. but i don't know, again, china's leader is a very strong individual and i don't think he

likes to be tested. neil: no one does. let me ask you, dave, is there a sense that this could be unwinding the advantages that republicans felt they had going into the midterms? the wind was at their back, economy picking up, still picking up, jobs looking good, retail sales looking good, the market with some bumpps along the way looking good. then the putin disaster. i know the president views it otherwise. now this trade back and forth, i don't know, what do you think? >> there is growing concern on capitol hill both in the house and senate among members that a month ago, six weeks ago, things seemed to be moving postively and very possibly for republican members, and republican senators, in some of these races. and there is a real concern about this. but, there is one little break in the clouds that i hope will broaden out, and it is the kudlow-grenell view, what we ought to do is remove all tariffs on european automobiles

in the united states and united states into europe. the german car manufacturers apparently like this idea. i'm hoping it will catch on of the it is an opening that president trump would take if somebody will grab it in europe and united states will grab it as well. neil: that is big deal. tough clear that with the european union. there are a lot of phases to go through. >> there are, but this is long process going through tariffs and automobiles. it will take months to get there and once again the question they're looking at is this a national security requirement. there is awful lot of people as we said here who don't believe it's a national security requirement. it does not in fact impinge on u.s. national security in any way, shape or form. neil: it gets to tariffs though it will become a national security issue. we'll watch it closely. thank you all very, very much we don't know. a lot of people talk about what china has up its sleeve. it is very patient. they think in terms of hundreds of years, thousands of years.

if it were thousands of years, i mean, all bets are off. we're looking at the white house where we'll get more on that, meeting president is having with defense secretary, secretary of state, presumably amid the russia firestorm, you can bet a doughnut, maybe a dozen doughnuts, maybe two does doughnuts, thinking cream-filled type, that this could easy, easily top what they're talking about on russia, after this. n t? embrace the chance of 100% clear skin with taltz. t? up to 90% of those with moderate to severe psoriasis had a significant improvement of their psoriasis plaques. most people were still clearer after one year. with taltz, 4 out of 10 even achieved completely clear skin. don't use if you're allergic to taltz. before starting, you should be checked for tuberculosis.

taltz may increase risk of infections and lower your ability to fight them. tell your doctor if you have an infection, symptoms, or received a vaccine or plan to. inflammatory bowel disease can happen with taltz, including worsening of symptoms. serious allergic reactions can occur. ready for a chance at 100% clear skin? ask your doctor about taltz. you shouldn't be rushed into booking a hotel. with expedia's add-on advantage, booking a flight unlocks discounts on select hotels until the day you leave for your trip. add-on advantage. only when you book with expedia. add-on advantage. that's the same things i want to do with you. it's an emotional thing to watch your child grow up and especially get behind the wheel. i want to keep you know, stacking up the memories and the miles and the years. he's gonna get mine -but i'm gonna get a new one. -oh yeah when it's time for your old chevy truck to become their new chevy truck, there's truck month. get 18% of msrp cash back on all silverado 1500 crew cab lt pickups when you finance with gm financial. that's $9,000 on this silverado. plus, during truck month make no monthly payments for 90 days.

retail. under pressure like never before. and it's connected technology that's moving companies forward fast. e-commerce. real time inventory. virtual changing rooms. that's why retailers rely on comcast business to deliver consistent network speed across multiple locations. every corporate office, warehouse and store near or far covered. leaving every competitor, threat and challenge outmaneuvered. comcast business outmaneuver. streaming must see tv has never been easier. paying for things is a breeze. and getting into new places is even simpler. with xfinity mobile, saving money is effortless too. it's the only network that combines america's largest, most reliable 4g lte with the most wi-fi hotspots. and it can be included with your internet.

which could save you hundreds of dollars a year. plus, get $150 dollars when you bring in your own phone. its a new kind of network designed to save you money. click, call or visit a store today. neil: president trump is having separate meetings with his defense secretary and secretary of state. he is presumably looking at whole russia relationship, how actively they were involved in the 2016 election. he seems come around they were, still are. that is a big worry. his defense team has been worried. the reed from christian whiten, former bush 43 senior advisor. banner public affairs vp. christian is a bigwig, big chief. always good having you, my friend. >> thanks, neil. neil: we're told, christian the president didn't only rattle people who wanted the joint presser but he really rattled people on his own team, republicans in general, who are

in this odd position of trying to back the president's approach to vladmir putin but they're not, i'm not saying they're not happy about it but they're anxious about it. are you? >> i'm not. a lot of people were poised to go completely hysterical before trump opened his mouth. sure enough it did. it wasn't just the resistance, democrats, progressives, the establishment wanted to basically sort of maintain acrimony with russia to serve its own interests. neil: for good reason, right? it was a little off-putting, you think. >> i don't think so. mostly communications issue. trump shapes things in advance by being tough. he did sew in this case, arming russia's opponents in the ukraine, arresting people, sanctioning, he is polite in people with press conferences as long as they don't double-cross him like canada's prime minister did. neil: that worries me right

there, christian, i will criticize you like crazy when you're not on the air, right? but i will be respectful to you, but i'm joking. that is human nature. i understand how that works but did he go too far the other way? >> you know, first of all he did correct himself on one thing he said, but, no, i think, the important thing, you know, flattery and courtesy is free. the issue, we have a problem here. we have yellow journalism going on. we have people vastly overstating the threat from russia. russia is not a boy scout, they are not our friend but the threat they pose is extremely limited. they got lucky with a number of presidents, two presidents -- neil: mitt romney was wrong in 2012 -- >> completely wrong to call russia the greatest strategic -- neil: you agree with barack obama then, the 70s is calling they want that are for rin policy threat. >> i disagree with that china is the biggest threat and wants to, has a plan to do it.

russia is something that could be managed. they will pull fast ones on us, and they do, but just be tough. neil: i'm wondering when it is receiving favorable press it gets in russia, i know this works, go back to your home country, of course that is a pretty tilted, rig system, surprisingly all the articles are in praise of vladmir putin but there was the impression here he got the better of the president. we don't know what was done behind closed doors. so i'm going to ask you what you hope was done behind closed doors? >> what i hope was, most importantly, if you could drive a wedge between russia and china, people have pushed the theory lately that these two countries are becoming more chummy. this idea has been around a long time since the turn of the century, shanghai cooperation organization was founded. i think it is overblown. china has deep suspicions unpopulated east china eyeballs for space and resources. that is something we could exploit.

engage russia into north korea's economy, if they come in from the cold, give up nukes, if we could pull north korea away from china, that would be good for everyone. also in iran, i don't think russia doing favors in syria but could get them to push iran out of syria, ameliorates threats iran poses to our ally israel. those are real world changes i hope to achieve and they discussed. and i think they did. neil: well-put, as soon as i cut to commercial i will trash you, but it wasn't coming from me. christian white on, thank you very much. >> thank you, neil, appreciate it. neil: can you believe that guy? no. looking at trillion dollar deficits again, you remember when trillion dollar debt, accumulation of all the deficits? that is just one deficit, for one year and it is likely going to be at least that for many years. you starting to get worried? so are a lot of other folks after this. ♪

i'm a four-year-old ring bearer with a bad habit of swallowing stuff. still won't eat my broccoli, though. and if you don't have the right overage, you could be paying for that pricey love band yourself. so get an allstate agent, and be better protected from mayhem. like me. can a ring bearer get a snack around here?

>> welcome back to "cavuto: coast to coast." i'm nicole petallides live on the floor of the stock exchange and the dow which has been up five days, gained 500 points during that time, down today. one of the big losers american express, revenue miss. profits are on the rise, they spent $2.4 billion on the rewards program. those higher expenses hurt the overall number. we're seeing financials and american express, wells fargo lower across the board. this is the interesting question, who gets to a trillion first, apple or amazon? >> apple hit 950 billion. amazon on prime day hit 900 billion. one of the analysts we spoke to, scott redler can do it by

year-end or amazon get as stock split will get the trophy. i will tell you, neil, if i bought 1hundred dollars, 100 shares of amazon i got out of college in 1997, you know what that would be worth? $2.2 million. why didn't anybody to tell me to buy 100 shares of amazon? neil: you didn't do that? >> i missed it. neil: amazing. story of the markets and history. thank you very much, nicole petallides. of course back in those days when you could do that, you didn't have nearly the debt and deficits you do today, right? we have a trillion dollar deficit we're looking forward to this year. having likely trillion dollar deficits for years on out. and it is getting worse. it is not getting better. to capitalist pig hedge fund giant jonathan hoenig. what he makes of all of that. what do you make of all of that? >> oh, neil, when you see anything critical of the

president or this administration, i mean you know what it is like. the twitter sphere jumps down your throat. but you always said, you know, but you always say not blue or green, it is not blue or red, it's green, if you are looking at the green you have to be concerned about these deficits. there has been a trillion dollars added to the national debt first year-and-a-half of the presidency. it is on track to double in the next 10 years. tough to make the argument that the gop are party of fiscal conservatism that they have been at least for most of my lifetime in the past. neil: you know what is so weird, jonathan? people pick and choose where they see life through the prism or bias, assume we never say anything good about donald trump or for that matter we never said anything bad for barack obama, i understand how it goes. i accept politics the way people see life through that. you and i have been talking through, i think democratic and republican administrations alike. you're a lot younger than i am, for a long, long time. it is getting a lot, lot worse.

i always worry about the time we just can't keep pushing this forward and whether an uptick in rates does it, dramatic uptick or some other crisis but it's not going to keep going like this. >> well, neil, what i fear, what helped us far what they say the full, faith, credit of the u.s. dollar. we've seen the dollar actually rise. so there is a confidence still that the u.s. dollar is really the currency you want to hold worldwide. what worries me with this tariff talk. neil, what ends up happening when we buy less goods from overseas, foreign investors have less dollars to turn around to buy our debt, buy our equity, to invest back in our country. if you're looking the tipping point, i only think back to 1987, words from james baker about the u.s. dollar that tipped off '87 crash. i'm not a casandra, i worry with

the trade weakening and bad news for stocks and economy writ large. neil: the seeds were planted with the plaza accord, all the other nonsense before you were born, young man. >> not at all. neil: having said that, is there a way to play this? i know this sounds crass, if you expect deficits to continue piling up, you expect trade friction to continue existing, i don't see any side blinking anytime soon, i could be wrong, hope i'm wrong, then that is a tough field to play. what do you do? >> yeah. it is infuriating, neil. as you pointed out, it is not red or blue, it is green. during the obama administration, for example we were criticizing the stimulus because every investor had to figure out how this will affect the market. what i fear whether you run a company with one other person or tens of thousands of other people, ceos around the country talk with their lawyers, how do we circumvent tariffs? how do we get around the arbitrary restrictions? tremendous amount of money is

lust as a result. maybe that is the tipping point, when pressures start to rise and small businesses get affected maybe that is when the message gets through. neil: what about technology? it has kind of been impervious to this. do you look at this as sort of a safe place? if it gets worse with china probably the last place, how do you play that? >> neil, back in the late 1990s, you can only find historical comparisons. we saw very much the same thing, only a few stocks holding the broad market up. at that point it was sun microsystems, oracle, some of the names aren't even around anymore, cisco was one of those, very much the situation we have now. if you strip out the fangs, those facebook and amazon and netflix, the rest of the market has been quite flat for the better part of a year. that is what is holding the whole market up. i think it is positive. these are the companies that are innovating, that are pulling our economy forward, if they

stumble, to quote neil patrick cavuto, katy-bar-the-door. neil: what do you bar the door? that is the trillion dollar question. >> jesse livermore, from the book, stock operator, has a wonderful line a time to go long, a time to go short, a time to go fishing. to me great time to get one's financial house in order. investors have consumer debt, credit card debt. not far from all-time high. what i'm doing with my money, getting the financial house in order. now as good as time of any, get six months worth of living expenses in the bank, save in the kitty. if you get that far, better off than half of most americans of the it is a great goal. neil: i can't see you fishing. i can see you going to a restaurant ordering fish. >> that's it. that's it. neil: but the whole fishing thing and waiting, and waiting, i don't know, not the jonathan hoenig i know. >> no, no. neil: nor is it me.

>> i have people for that neil. neil: exactly. you have people -- all right. i guess let them eat fish sandwiches. we have a lot more coming up on this. real quick question. we're so worried about russia and cyber threat that they pose. what if i told you in this country there is even bigger threat and it is not russia. what the fbi director is saying, has a lot of people wondering, oops, we forgot about that country, after this. ♪ hi, i'm joan lunden with a place for mom,

the nation's largest senior-living referral service. for the past five years, i've spoken with hundreds of families and visited senior-care communities around the country. and i've got to tell you, today's senior-living communities are better than ever. these days, there are amazing amenities, like movie theaters, exercise rooms and swimming pools, public cafes, bars, and bistros, even pet-care services. and nobody understands your options like the advisers at a place for mom. these are local, expert advisers that will partner with you to find the perfect place and determine the right level of care, whether that's just a helping hand or full-time memory care. best of all, it's a free service. there is never any cost to you. senior living has never been better, and there's never been an easier way to get great advice. call today. a place for mom --

you know your family, we know senior living. together we'll make the right choice. there's nothing more important than your health. so if you're on medicare or will be soon, you may want more than parts a and b here's why. medicare only covers about 80% of your part b medical expenses. the rest is up to you. you might want to consider an aarp medicare supplement insurance plan,

insured by unitedhealthcare insurance company. like any medicare supplement insurance plan, these help pick up some of what medicare doesn't pay. and, these plans let you choose any doctor or hospital that accepts medicare patients. you could stay with the doctor or specialist you trust... or go with someone new. you're not stuck in a network... because there aren't any. so don't wait. call now to request your free decision guide and find the aarp medicare supplement plan that works for you. there's a range to choose from, depending on your needs and your budget. rates are competitive. and they're the only plans of their kind endorsed by aarp. like any of these types of plans, they let you apply whenever you want.

there's no enrollment window... no waiting to apply. so call now. remember, medicare supplement plans help cover some of what medicare doesn't pay. you'll be able to choose any doctor or hospital that accepts medicare patients. whether you're on medicare now or turning 65 soon, it's a good time to get your ducks in a row. duck: quack! call to request your free decision guide now. because the time to think about tomorrow is today. neil: all right. helsinki for a brief time was becoming the number one cyber focused attack site on planet. wonder why that was? hillary vaughn with more details. reporter: helsinki cyber attacks

into that area when president trump was meeting with russian president putin spiked 2800% but, most of those attacks weren't coming from russia. they were coming from china. and fbi director christopher wray is making it very clear that russia may be meddling with the u.s. but china is really what keeps counterintelligence teams up at night. wray says china by far is the biggest threat to national security. at aspen security forum yesterday wray says china wants to be only superpower in the world, the only economic power and they're willing to do anything they can to get there. >> i think china from a counterintelligence perspective many ways broadest, most challenging most significant threat we face as a country. i say that because for them it is a whole of state effort.

it is economic espionage as well as traditional espionage. reporter: that economic espionage makes china a lot of money. they make $600 billion every year just stealing intellectual property from the u.s. wray says that the fbi has investigations open in all 50 states. he says china isn't just targeting our tech. they're going after everything from corn seeds in iowa, to wind turbines in massachusetts. china has always been the number one leader in cyber attacks against the u.s. but they aren't keeping those attacks within our borders. you saw what happened in helsinki. also when president trump was -- a lot of cyber attacks coming from china as well. neil? neil: hillary, thank you very be very. the read on all this, if we've been under assumption it is russia, all of that, no, we find china puts them to shame, what do we do? defense one technology editor patrick tucker with us right now. patrick, are they as big as this as that report seemed to

intimate? >> yes, a new report from f5 came out on their website actually within the hour. it does show that chinese hackers were specifically targeting internet of things devices in helsinki in lead-up to the trump-putin summit that traffic jumping more than 2000 percent and it does come in line what we understand about chinese cyber espionage. it is persistent, it is pervasive, it is very well-done. these particular attacks were brute force attacks on internet connected devices. a lot of compute power, manpower going into them. the difference whereas china takes information that it ex-filtrates and uses it internally to inform strategy and future decisions, russia will operationalize it in ways that causes a lot of attention. many ways the bigger threat that one occupy counterintelligence profellsals is this more

stealthy threat. neil: pat, it cab very ugly and crude, can be effective. if you use a brute force attack, what are you doing with that? can you explain that to me? >> in many cases these internet of things connected devices come with vendor credentials installed on them and often administrators that install them don't change that basically says, to access is the device you use password which is the password. so if you have some understanding of what the factory defaults on those devices are, if you have a lot of time and a lot of people to just shoot random combinations at these different ports, then you have a better than average chance of striking it rich. so it is a little bit crude. it has the name brute in it but it is actually an example of an attack that is very manpower intensive and very compute intensive. it is favored by nation states that have that sort of capability. neil: who do they target? or is it just anybody and

everybody but their preference is who? >> well it is anybody and everybody. you know in 2015 president obama and president xi signed a pledge to limit industrial cyber espionage but there is a lot of evidence to suggest that china continued that activity, even if it is decreased in june. they target ad u.s. navy contractor, stole something like sick hundred gigabytes of information from them. we see them targeting internet of things devices happen to be fiscally located near a meeting they would like to gather intelligence. some are voice over internet software you might use for a telemeeting. some could be internet enabled security cameras. it runs the gamut. we're not sure how they are using the information because unlike russia, they don't operationalize it in a big, sensational way. neil: patrick tucker, thank you. i think, pat, tentative on that. thank you very much. good having you. charlie gasparino will be back with us very soon here.

what he is reading on comcast closing shop as far as picking up any of these properties back and forth between disney and twentieth century fox. there is that google $5 billion fine. so tech and entertainment, they're kind of joined at a weird hip here, after this. with tripadvisor, finding your perfect hotel at the lowest price... is as easy as dates, deals, done!

simply enter your destination and dates... and see all the hotels for your stay! tripadvisor searches over 200 booking sites... to show you the lowest prices... so you can get the best deal on the right hotel for you. dates, deals, done! tripadvisor. visit tripadvisor.com

our phones are more than two, just phones.k up. they are pocket sized personal trainers... last minute gift finders... siri: destination ahead. and discoverers of new places. it's the internet in your hand. that's why xfinity mobile can be included with xfinity internet. which could save you hunreds of dollars a year. plus get $150 when you bring in your own phone. its a new kind of network designed to save you money. click, call or visit a store today. i'm 85 years old in a job where. i have to wear a giant hot dog suit. what? where's that coming from? i don't know. i started my 401k early, i diversified... i'm not a big spender. sounds like you're doing a lot. but i still feel like i'm not gonna have enough for retirement. like there's something else i should be doing. with the right conversation, you might find you're doing okay. so, no hot dog suit? not unless you want to. no. schedule a complimentary goal planning session today with td ameritrade®.

neil: you know only seems fitting the man who was the first to report on disney and comcast sniffing around looking at 21st century fox assets is here to report on at least one of those players exiting that. charlie gasparino with more on that. >> if you remember how i really hurt your portfolio -- neil: yes, you did. >> it was on july 2nd, i remember the exact day for some reason, don't ask me why. the day you lost a lot of money because you hold stock in 21st century stock. neil: many do. >> including our boss, right any cost everybody a little money that day where i reported that bankers are telling the fox business network that comcast is unlikely to bid for the whole enchilada, all the assets. neil: billions of dollars of market value. >> 2%. they were basically going to focus on a small piece or piece of fox, not the whole thing despite what market was saying,

that they would bid up and challenge disney. today it has come to fruition, brian roberts conceded yes. neil: why? why did this happen? it was supposed to be going back and forth, back and forth. >> by the way, rich greenfield, good guy, works at btig, believed there would be $47 bid on the table all cash for us, upping the disney bid. i told rich it wouldn't be. here is why i never believed it. if you know people in the justice department which i know in the antitrust division, they based their entire attack on at&t time warner based on their hatred of the comcast business model. they think these big tech companies, telecom companies are basically too powerful when they merge up with content providers, particularly content providers that hate donald trump. they basically took the stance that at&t was a mini-me of comcast which they would have never approved. here we go with comcast looking to get bigger.

i'm telling you in order to get bigger and really make this work they would have had to bid maybe $50 a share, right? just for the risk, dealing with the regulatory risk. they clearly don't have that type of money. they are highly leveraged like most telecom carriers are, issue a lot of debt. they did not have the money to do it in the end because doj would have put up a stink. they would have to way overbid to entice 20 furs century fox, looking -- 21st century fox, the numbers didn't work. that is why they pulled out. that is what i told rich. my point to all the analysts, wall street guys, they think it is numbers around dollars and cents, i outbid you, you outbid me, you have to talk about the government here. the government plays a big role. as we were first to report, the government going back at at&t and time warner. they're essential isly to kill the deal, appealing judge leon's ruling that approved it. justice is very fick kill with

these deals. now -- neil: reared head in sinclair. >> sinclair, they had the justice department on their side, the antitrust. what they didn't have is the fcc on their side, the fcc, we did a long story, i did, lydia moynihan my producer did a big piece on foxnews.com laying outsources. amid this defeat where sinclair is nearly shut down by the fcc, a miracle could save the deal. an administrative court judge say yes i could approve it. without the fcc's consent it is a big, heavy lift. here is what we know sinclair broadcasting has gone out looking for a lobbiest, a little late, looking for a washington, d.c. lobbiest in the aftermath of this stunging defeat. we understand they're paying at a minimum of 12-k a month for this lobbiest. i know people that have been -- neil: how? >> i'm, my sources are people that have been approached. so in the middle, i guess the question is, what does it mean that they're hiring a lobbiest?

you really can't lobby an administrative court judge, just so you know. that is where this gets weird. maybe they pull the deal. makes me think -- neil: pull it to rework it or pull it all together? >> pull it to rework it. maybe start over or maybe pull it period and then just repair its reputation with regulators because at the crux the reason why they got turned down by the fcc which is basically a pro, this is the trump administration. donald trump likes sin chair. he actually said it. ajit pai, head of fc crop has done some things to help this deal move along so they can get the approval but at the heart of it, when you read the rejection i guess notice, they believed that sinclair bsed them on their divestitures. neil: is that right? >> that is what pai said. sinclair says no. that is what he said. he has been public.

these lobbyists may not be hired to save the deal. it may be hired to repair their reputation. neil: are either or both of those in play then? >> explain? neil: sinclair or tribune's case? >> here is the thing. sinclair could pull the deal, there is no doubt. tribune could pull out of the deal. i believe they have until august 8 to pull out of it. the administrate tough court judge could do a -- could rule in their favor although based on the way this works, when the fcc like basically voices its rejection, generally the administrative court judge abides by that. this is a very, very heavy lift for them. so i'm not quite sure why they're hiring a lobbiest. my guess this is damage control for the future. neil: yeah. let me, bob iger from disney issued a statement after it looked like he secured 21st century fox. our incredible enthusiasm of acquisition and value it will create continues to grow as we have gotten to know

twenty-first-century-fox's stellar array of talent and assets. we're extremely pleased at today's news. we're focused on completelying regulatory process moving to integrate our business. any bumps that you can -- >> one thing that did not mention was sky and here is what a lot of people thought, particularly after my reporting a couple weeks ago. i broke it first, cost you money, right? maybe there is a deal at hand between disney and comcast. that they said, okay, you could have sky, disney said you could have sky, just leave us alone here. there is like a little back room -- neil: you think comcast is still making moves? >> comcast made the move on sky, right? neil: right. >> it is disney's turn. my question custodies any now get into a bidding war with comcast over sky or did they do a secret handshake agreement you got that, we got this, let's move on. neil: didn't disney want sky for international? >> that is what they said.

like how -- who knows. i think that is a legitimate question to ask. did they cut some deal? or did they walk away from sky. neil: this is the most important question we left out. would we get discount tickets to disney world? >> you know, i think we could. i think i could probably pull a couple strings. neil: we would have what, 20% stake in disney. >> how much does it cost in disney world? neil: it is a lot. it is a lot. if you could look that up. >> do you want to go with me? you see the big turkey legs? >> by the way, disney world, when i was there last, i think 1978 -- neil: wow. >> i think they had good ice cream back then. neil: it's a wonderful place. what a beautiful world. >> is there any adult stuff there now? strip clubs, do they have strip clubs at disney? neil: no, they don't have strip clubs at disney. >> do they have gambling?

neil: no. >> do they serve alcohol. neil: some places. >> ralph told me i got to go. neil: ralph got a beautiful haircut by the way. >> beautiful. [laughter]. neil: okay. i wish we had more time. we do not. meanwhile the white house is doing a lot of damage control on this russia thing. it has this look of pee-wee herman. i meant to do that. maybe they did. i'm telling you though it's weird, after this. ♪

i'm. .. .. ♪ a hotel can make or break a trip. and at expedia, we don't think you should be rushed into booking one. that's why we created expedia's add-on advantage. now after booking your flight, you unlock discounts on select hotels right until the day you leave. ♪ add-on advantage. discounted hotel rates when you add on to your trip.

only when you book with expedia.

neil: albright, the president with divisive with vladimir putin. i try to get a big picture of what's going on. blake urman packing up those frequent flyer miles. the one thing the white house is trying to argue today as it was a successful trip meeting with the secretary of state, but the idea the law, it goes beyond that. what is going on here? >> the president supplement the argument of status at the press conference now. that is of course a big set aside here he met with vladimir putin for 2.5 hours behind closed doors at a handful of issues does to discuss in the president very clearly feels this was a successful meeting with modular putin. here he was in his interview

with cbs news laying it all out. >> i think i did great at the news conference. i think it was a strong news conference. you have people that said you should have gone up to him. you should've gone up and started screaming in his face. we are living in the world world. nobody has been as tough with putin as i house. >> you mention the secretary of state, mike pompeo meeting with the president right now at the white house and the secretary is pushing on the notion that the president wasn't tough while standing next to vladimir putin because he might've been afraid. >> president trump obviously seemed frightened in the presence of putin. what was he afraid of? what is he blackmailing president trump with? personally, politically or financially. >> what you make of the assessment or president appeared

weak in helsinki and allegations by lawmakers that he must have some ring for him to be acting this way. >> i think those allegations are absurd. this administration has been relentless in its efforts to deter russia from its bad behavior. russia was all over the united states. more heat than light. >> the president said he feels the summit was a success. he also said i look forward to our second meeting. not exactly sure what he means by that, and it we could be going through this once again. more frequent flyer miles. >> real quickly, what changed? the president had a good trip, we are told he was watching air force one, looking on a lot of conservative republican leaders, others saying he botched it and that really stuck in his craw, right? >> what i'm told speaking from

people at the white house and the big question is, why wasn't the administration on this faster saying this was a slip of the tongue for the president. they put out the first week and i stand behind the intelligence community. when you speak to the white house, they insist the president wanted a transcript, and was that really sure of the whole dustup taking place come i didn't really the big deal of it all. then finally got the transcript and they insist it was at that point they decided to then come forward with the explanation of it all. >> all right. republicans showing a lot of respect for the president, but they are worried about developments because they do get in the way of what they consider

to be good economic agenda. a strong pace and job growth, strong retail sales, and in the month on housing data that was also strong in the second quarter ended on a high note and could have grown more than 4%. republicans are concerned all this stuff gets in the way of that. chris wilson, the u.s. news actually pride and on thick medium managing editor katie price. what do you think of that they are trying to sort of thing that the president back to the economy, talk about the economy and job opportunities, what she's doing a great deal of today because this is a winner for them. despite what the president says. >> it's always hard to get term to focus away from something negative happening and onto positive things. at the same time, republicans were right if they're going to

push back on the unmitigated disaster that was his press conference with vladimir putin. the right to do things at the same time. you can criticize someone and support them on other issues. this is not your a democratically later things democrats do a republican because he liked everything he does fear the right to get him back on the economy, back on the good numbers, look at the good things happening to america. the same time, sit back and say you were great last week. >> is this a crisis that shall pass or does it state? a lot of people want to see notes in a meeting, what transpired him of go back and forth. a lot of republicans are concerned about what actually transpired. where is all this going? >> just a national poll in which they asked americans what the top issue facing our country was russia was 30th on the list in

acting 37 other issues before we get to this in terms of what voters are concerned about are what we care about. the challenge the democrats have when you have nancy pelosi making common that you just played, she becomes so unhinged about everything and not everything can be a crisis. they've got a pick one or two things that they want to make something a crisis. the more the democrats are calling for impeachment or hearing or to subpoena translations, it causes the american people to tune it out and think it is another made-up crisis to take the words of rahm emanuel that they are trying to not let it go to waste. in the meantime the economy will hum along and republicans will keep trying to do more to create our jobs and keep the process going. >> republicans concerned when they first heard or saw the daddy wasn't tough enough into a man or woman they come out and

express concern. i am just wondering how that relationship now goes. they are not taking them on to say wait a minute, we are going to go after your the florida senate for example and police further actions we can take him around. consider an additional sanctions that the russians do this again. how do you see this going? >> there's a couple ways they see this going. each time we think he can get himself out of the blunder or hold that he falls into, he somehow does. while he's been at odds with many in the republican party, many moderates and those that people would label as establishment, they've often gotten behind him when it comes to an economic agenda wanting to propel them on behalf of the republican party. when he does things like this, which when you have newt gingrich coming out that a single one of trump's most articulate supporters in a lot of ways and almost everything, he will clarify what the

president has said when he comes out and disagrees with something and says this needs to be rectified. that poses a problem and as establishment republicans a leg to stand on when they are going after him. moving forward, republicans and figure out what they're going to do here. will they fall in line with everything the president does by way of just a unified agenda or are they going to fight him tooth and nail and everything that will happen given the fact they don't think he can control his time and possibly whine us into a dangerous situation with the dictator of russia. neil: obviously to your point, some of them were not giving up on the idea of punishing russia for actions that might be considered now in this election. i am wondering when i was talking to ohio senator rob portman leading this effort to get pensions going and talking about the support he has an overwhelming majority of republicans, the next question

when he doesn't like this. he couldn't answer. >> it's a difficult question to answer because anybody who looks at our election system and is not a complete respect for the integrity to cause issues there. that is very problematic. that is one issue you will find republicans working together. if they are there saying we've got to take sanctions against the country were trying to interfere, that is one where they can all come together and agree. >> i don't. i feel like we have a president currently when he makes contradictory statements and guys coming in now, he probably will have the best relationship with putin. i believe that was a direct quote today. that stands as a bit of an issue with republicans as well as democrats. aligning yourself with a

dictator in russia doesn't seem to align it tells with u.s.a. deals in ways americans have portrayed themselves as a home for freedom and against the communism and whatnot we've seen portrayed in russia. i do think this is a larger issue moving forward because while he thinks he's being tough on food and thing in the u.s. is foolish and writing u.s. intelligence agencies said they very wrong message to the american people and those he's trying to work with in congress when it comes to stopping for sanctions on them are moving forward with a start or policy against the elections. steve knight do you think that frenetic act to the to go after the president on this and so much more than a something chris touched on at the outset here, make the other side look a little too zealous, a little too, you know, to rehash syndrome like?

>> i don't think so. i've said this before. it's important and you shouldn't point things out but have been done wrong because someone also do the same thing. the problem is you can't be flattering vladimir putin. you can say nice things to him because on the left and they'll scream that trump is in bed with all the tater's and that is of course not true. but it lends some credence to the irrationality and that doesn't help anyone. neil: thank you very, very much. appreciate that. a quick peek on what is going on here. the president is doing an interview on another network on a financial network. he's talked about the federal reserve rate increases of which he is apparently not a fan and that it is the first time he's taken on this notion that you have to raise rates in the middle of this environment here. the only thing i could attribute

to it doubly than the sum of right now that he's now targeting the federal reserve. more after this. sweat the details. noticing what most will never notice. it's what you do. when the thing you're making... isn't a thing. it's your reputation. the all-new ram 1500. comfortably, the most luxurious truck in its class. and why more people are switching to ram than ever before.

this is moving day with the best in-home wifi experience and millions of wifi hotspots to help you stay connected. and this is moving day with reliable service appointments

in a two-hour window so you're up and running in no time. show me decorating shows. this is staying connected with xfinity to make moving... simple. easy. awesome. stay connected while you move with the best wifi experience and two-hour appointment windows. click, call or visit a store today. neil: all right, we are down 122 points. the cnbc interview of the president as wrapped up in his getting quotes on the wireless

services, the president is not happy about the federal reserve rate increases. that is the first time he has focused on the federal reserve in his line of attack. you might recall when he was running for president, we don't know how they do things. not accountable to anyone. he might in fact have called them chatter had. not a fan of the central bank. but the criticism obviously extended to jerome powell, the man who runs the federal reserve. fox business network susan ley. also, mcshane and market watcher air and goods. is unusual for a president to go after the federal reserve, although not unprecedented. what do you make of this? >> it is not surprising. he clearly does not a full understanding of what the federal reserve mandate is. neil: he does, but he knows people are concerned about it. >> we have long criticized the

fed. everything we do, the market criticizes and gives feedback. neil: this is the only fact i saw on this. on the fear that he's getting in the middle of that process? >> there is always reaction to all of his street. there is never a non-reaction. >> you don't find this over-the-top much to worry about? >> you will either blow over by the close or by tomorrow. this is just par for the chorus. she's had to handle more volatility. through the more opportunity within a day trades. one thing we really lucked out as wall street really changing its fundamental forecast? très do you say. >> it's not. 2018 earnings.

in 2019 has moved from 10 to 9.5. overall the trade wars, we are listening to it, but we are not actually changing our forecast. >> but then the stock prices have gone sideways regardless of the fact we expect good revenue, profit growth. >> arrest we see this as much more healthy. the markets of 3% for the year. we came in super high. >> the russell has obviously charged this year. you look at more domestic oriented companies that are a little bit more shielded from global trade policy. trade to it in the aggregate, not so much would rock this party. >> in general the president's comments now, quite a week for going after your own people.

the white house chef also getting worried about the comments. this one is a weird one because the federal reserve is raising because the economy is doing pretty well. if they were raising rates come he might have a different issue in your hands. her into going after the federal reserve for raising rates. he's going after drug companies were raising drug traces. gone after harley davidson. that is not exactly the republican type of behavior. it continues the pattern. >> and 90s creating all these terror fours and now we have inflation because we have these additional tariffs. neil: you don't think it will come to that. >> a lot of it is just talking what have you. the auditors are interesting. i didn't know whether it was true. 44 witnesses at the hearing of 43 are against the tariffs. they couldn't find anybody.

someone was down there is an industry i've never seen anything like this in terms of the consensus of everybody being against the ban because the way the auto industry is set up committee serves would not bet nobody domestic foreign, you name it. the hope is some sort of negotiating type it. neil: they are gouging us. when you go and say they are gouging us in these companies. a lot of americans say it's right. >> folder 4% of cars are imported. that's why they hit the wallet of the average consumer. 5800 is the average price you expect cars to go outside. neil: do you think the inflationary effect of that, to aaron's point, would get them to keep raising rates? >> exactly.

that's a tough position for the federal reserve. jerome powell might be put in a bad position by the trump administration and their policies because they have to boost growth, cap inflation and make sure people are still happy in the markets. it's a tough position to be in. neil: couldn't you argue the opposite that this is a $300 billion plus. auto parts, and auto tracks, that could slow the economy which would slow the pace and the rate of increases. >> this is all so much speculation. and that's a possibility for us. one thing to keep in mind because we are much more focused on what it would do the stock market. autos or 4.5% of the s&p 500. they are tiny. neil: that is the prison you look at. and the economy that's a big part. >> a small part of the overall.

[inaudible] >> or expect you to lose 5% this year and only make 1% more next year. they are not what is driving the overall u.s. economy. we are less concerned. >> this main concern is the strong dollar as well. the highest in a year two big trading countries like china, and that has a ripple effect. it's gotten people to had into earnings. >> that may be where the comments came from because that's a big story just in the news. neil: the difference with this president usually unless the federal reserve, talk about a president with the right to go after the federal reserve for going crazy.

paul vocal were raising rates. if anyone could've gone after the federal reserve and what they were doing, exasperating for the time. these are nominal increases still at nominal rates. is there any upside to doing this? >> i don't know. he gets the political wind up being i'm for the people here so you don't have to pay more interest on your car loans. >> you are missing it. >> people start going to sleep neil: i thought it was a risky move. note to self. don't talk interest rates. thank you very, very much. her last appearance with us. maybe wayne back and forth on the marketeer and what aaron had to say about this explains why

we are dominating 89 points. don't take any bows just yet. we will have more after this. [laughter] - hi folks, i'm matt mccoy.

for people as experienced as you and me, careful driving just comes naturally. all that experience should be worth something, and it is with the aarp auto insurance program from the hartford. switching saved me hundreds. in fact, four out of five aarp members age 50 and over who switched to the hartford from companies like allstate, state farm, and geico got a lower rate with the hartford. - with the hartford not only did i get a better policy and better coverage, but i got a better rate as well. - of course drivers 50 and over like to save money, but it's great when it comes with coverage and benefits designed for us. that's real value. call the hartford for your free quote. not an aarp member? the hartford helps you join in minutes. here's an insurance company that respects its customers enough to do the right thing. like with new car replacement. if your new car is totaled in an accident, the hartford will pay the full replacement cost

for your car. that's pretty cool, huh? - sometimes life happens, and when it does it's important to know that the company you're doing business with has your back. the hartford has my back. - they even prove their loyalty by offering lifetime renewability. that's the hartford's promise not to drop you even if you've had an accident. - it's a great feeling, and a very comfortable feeling, to know that i'm not gonna get dropped for that reason. i feel like i have a partner in the hartford, and that i can trust them when and if i need them. - [announcer] you could save hundreds of dollars when you switch, and get other incredible benefits like new car replacement, and lifetime renewability. - i would recommend the hartford to friends, relatives, anybody. - and certainly when we needed them, they were right there for us. it was pretty impressive. - [announcer] call the hartford at. to request your free quote. that's. or go to.

neil: apparently the president doesn't limit himself to companies than they raise prices like drug companies, pfizer when they willy-nilly raise chart prices on hopes of various medicine, pharmaceutical goods. they rescinded those increases after the president made a big to-do about it. he extended that to the federal reserve in an interview on cnbc and "the wall street journal" based on quoting the president i'm not happy about interest rate increases. this comes at a time the

president said they would stop raising interest rates. it was an unusual to quote the central bank. of course, this on the heels of going after drug companies for raising prices and would apparently be in keeping with prices praised and they increased in interest rates you are using and not having it. he is defending american companies of foreign attacks. far better than $5 billion. the president treating out earlier and told to the european union left to on one of her great companies, google. a busy day on the part of a president whose does not subscribe to the view that a

government should out of these things and then maybe for good reason, maybe not. i'm throwing a lot at you, but the federal reserve. that is a pretty apt overall. would you make about? >> yeah, he is taking a bigger role. what you said about google is really unprecedented here this is an atypical tariff value with automaker in theo for the typical elect tronics type of role where he would weigh in. the unique approach is a little bit outside of my day-to-day more tech focus, but this is noteworthy in terms of his defense of google. he has not been particularly defending any of the other large-cap tech names. he had commentary on that, too.

as someone as an advocate for attack, i think it's encouraging. >> you could argue he might not flip over those type guys. they run largely as far as individuals to run those companies, largely a democratic asked him, but is money. whatever the president feels about them coming as an even less favorable view of european government trying to lecture them. >> that probably plays into it as well. i want to take one quick minute and talk about the significance of why donald trump is talking about the $5 billion fine. david in an antitrust case. the reason is google has been advocating who used the google products and beat antitrust

related. keep in mind that google ever does pay it, they have 100 billion in cash. this is a great avenue for president trump to advocate for the rights of some of these tech companies around the world. neil: what is wrong with the company trying to leverage his success to the days of microsoft , to try to draw traffic to its other products? that's essentially what is going on here with google. i'm wondering what it does to ignite measures here in the united states. would you think? >> well, the u.s. regulators will look to the e.u. the 90s with microsoft, what happened there as microsoft was bundling windows explorer with their operating system and not allow them to get a leg up when it came out with the internet.

because the regulators to break up microsoft essentially. you will see undoubtedly these tech companies continue to gain market cap. there will be more regulation around that and it's hard to see how that plays out. the next chapter is probably going to be around privacy and data sharing, but eventually have a monetize other parts of their business could be impacted. i would put it all together, they are still in a great position despite what will be a different climate in terms of regulation of the next several years. neil: real quick, if the president can succeed the interpretation to slow it pays, it wouldn't be because of this. but it seems that he inserted himself much like in the case of

drug companies and got the desired response, good or bad thing? >> i think it's a good thing. trump is ultimately out to advocate for that. he can use his influence to have the impact on interest rates that would be that it's a good thing. neil: thank you very much. as always you hit it out of the park. tech analyst here the dow down 100 points. we'll have a little more after this. greatness of an suv?

is it to carry cargo... or to carry on a legacy? its show of strength... or its sign of intelligence? in crossing harsh terrain... or breaking new ground? this is the time to get an exceptional offer on the mercedes of your midsummer dreams at the mercedes-benz summer event, going on now. receive up to a $1,250 summer event bonus on select suvs. mercedes-benz. the best or nothing.

with tripadvisor, finding your perfect hotel at the lowest price... is as easy as dates, deals, done! simply enter your destination and dates... and see all the hotels for your stay! tripadvisor searches over 200 booking sites... to show you the lowest prices... so you can get the best deal on the right hotel for you. dates, deals, done! tripadvisor. visit tripadvisor.com

neil: all right, it is weird, but it's not unprecedented. but, the president made a cnbc and a lot of services picking it up that he is a little frustrated by the federal reserves pace of rate increases. this president is putting it to

work, but again complimentary voucher on powell. charles payne and what he makes of this. he's been busy going after companies, so i guess by extension the federal reserve. >> the greatest threat to the economy come into the economic moment in the stock market beyond terrorists and everything else, the federal reserve, has sparked a most every session we've had. they've overreacted because they have under reacted. he comes from wall street the carlyle group. i think he gets a benefactor who spoke this week on capitol hill. what i took from him was that he said something that was the most profound statement to make, that the economic rally we've got, the momentum in our economy could last a few more years and with fed rate increases come in other words they are not going to derail the economy.

they will put in a feud speed bumps so it doesn't derail itself. that was the ultimate comment that you can make. >> the expert patient is they will hike rates to my times. let's say it's only one more time that's because the president put the pressure on him. i am 1000% sure that jay powell and the rest of the folks of this the folks of this better not be pushed around. his voice in his frustration. he doesn't want the fed to put any speed bumps into this economy right now. he spoke what was on his mind. it's unconventional, but that's not the first time i've heard that on any topic. neil: would it be better to think back and say that? >> sure, sure. >> you are feeling and for men don't i know it, and another one said i was hoping you'd kicked the bucket.

and that was from your family. >> they don't have a lot to do these days. neil: anyway, you were talking about joe lieberman has had with some of these extreme democrats. >> is the democratic party overlooking something going on because they sort of practice, but it feels like it's growing pretty rapidly. >> is that it three it's taken as a direction of where they should go nationally they will not elect a president in 2020. neil: what was your reaction when you heard that? >> i think is under arrest made in the whole thing. it's the establishment. neil: the name is on that. >> but is underestimating the idea that this is a niche, that this is somehow an anomaly. when i spoke to joe yesterday.

the fact that i really believe also obvious decades of identity politics will come back to haunt the democrats. for me as a black man, i've always been pitched that there is good white people in bad way people. the good ones are democrats and the bad ones are republicans. it's interesting they keep pushing back on the neil young rising stars or they want to deny her that area. what maxine waters said about leadership. she said it was racist they came out against her. dr. frankenstein's monster better be very careful. >> that's i want to bring in howard franklin. there's a prominent party figure, independent now saying goes slow.

this could hurt democrats. >> yeah, sure. obviously, senator lieberman had his own feelings about being challenged in the left in 2016, lost the democratic primary challenge. now running for governor of the state. i do want to put too much stock in his opposition. this is also someone who endorse the gop over president obama in 2008. i'm not sure he's quite the best person, independent to be giving direction to the independent party today. >> what is the independent party today? republicans suffer that, too. neil: not anymore. president trump took over the party and it is not -- neil: it is the whole prudent thing, though. >> it certainly isn't one thing at this point. president trump has made that very clear.

both of the parties are in a bit of an identity crisis. >> i don't think there's much point in comparing one crisis to another. they are both in freefall and without president trump, i wonder what is the identity of the republican party much the same way you could ponder the identity for democrats. neil: they seem to have more of an identity whether you support are like that. of course that could change. what do you think, charles? >> the bottom line is it is an establishment prices on both sides of the aisle. that's when trouble to the establishment in washington on both sides who most people are saying you know what, there isn't much difference between either one of you. we want something different. neil: thank you guys very, very much. charles, thanks for stopping in. whatever. [laughter] a little more after this.

>> would you make of the reports and assessments that north korea has no intention at all of getting rid of their nuclear ambitions at the program? >> no one has been closer to that than i have. a runoff is simply speculating

about what's taking place today. i've been there. neil: after he branded north korea a third time, using gangster like tactics. that is coming up on fox news. i should be a doozy. one for the books. the house republicans are looking for a tax reform to point know if you will. the idea is to get everyone on board. in the senate, which might be an uphill climb. tom macarthur and all about. what will this to point no entail? >> you've got it think about what the original tax-cut bill has done, just reducing and doubling child tax credits and all the things we did for families. reducing the corporate raise as a trigger growth in our economy. unemployment is down, wages are

a good business confidence is up, so far it's been fabulous for the economy. a few things need to get cleaned out and that is part of the bill. the biggest part is making the individual tax cuts permanent, which most of us wanted to do the first time. there's a few reasons why that was too heavy a lift back when we did it. that is sort of the real colonel of what we try to do now is make the family and individual cuts permanent. go ahead and finish out. >> have a few other changes i propose. one, i want to index the state and local tax deduction for inflation. i think that would be helpful and fair. and two, baked into the original bill we can fix and that is if it is a combined household, they

shared together a $20,000 cap on state and local tax. if they get married that gets cut in half. i would like to see us remedy that, too. i'm pushing for that. neil: you've got an uphill push in your own state. the governor hiking taxes on multimillionaires and businesses. it would seem to be counterintuitive for new jersey especially to be contemplating this. the exodus could pick up steam and you got no money. would he think of all about? >> the state legislature is ridiculous to be frank with you. the legislature wanted to raise business taxes. the governor wanted to raise individual taxes and their idea is a compromise raise everyone's taxes by a billion dollars. that's exactly the opposite of what my state needs. new jersey and so pay up because of the federal tax cuts bill.

we will pay $9 billion less to washington next year. 9 billion less. that is staying in new jersey families. >> even though we just got in the governor's office at the governor is running for president. is that true? >> i don't know what he's doing. all i know is raising taxes in new jersey and took one of the highest tax burdens in the country's is wrongheaded and the reason i have so enthusiastically supported with opposition and i'm so enthusiastically supported the tax cuts bill is because we are leaving more money in new jersey families come in new jersey businesses. the rationale that the governor and legislature used for rating corporations as they got a tax cut the work i take it now. how is that helpful for a state when businesses and people can

move to pennsylvania and new york, which by the way is the number one and number two state they're moving too from our state. i think it is a way to go about it. i will keep fighting to reduce taxes for the people i represent. neil: must he do something about what they've done on the taxes and limitations come you got an uphill battle there. is it your sense the president is behind this effort? is it doable especially when some of the party are looking at deficits getting worse, i find it interesting that fixed on the cost of tax-cut. not so much all the spending that dwarfs those tax cuts. what do you make of that? >> are in mine, government revenues have gone up 1% since we did it. just concerned about the deficit as well and our national debt.

this is our best shot is growing in the economy to a degree where we can start to get beyond deficit spending. is it a guarantee? no. we are off to a really good start and we have a good shot at growing the economy fast enough. not the anemic one point a process of the eight years prior to this administration. we are now getting to a place where we can expect upwards of 3% annual growth year-over-year coming year after year and that is the -- out of bringing the debt down. neil: not if we have a trade war. are you worried about the effect that new jersey and will have to pay a lot more for just a car? >> i worry about trade deficits in trade wars. get what he's trying to do. for too long we've been chums on the world stage when it comes to international trade and he is trying to get us past that. but i worry it is maybe too much

too fast. i think we have to give them a chance, though. when everyone else was eating our lunch. at least we have a president trying to fight for a level playing field. don't forget, he propose what i think is the best trade policy evolve. no terrorists anywhere. if anyone really wants to be fair, we will drop all of our tariffs. like china and europe all drop all of their terrorist and a free competition. neil: will see how that goes. we will see how it goes. thank you for taking the time. i appreciate it. neil: this president has been consistent on that. going after businesses that raise their prices and moses grows globally and now the federal reserve feels that too has gone too far hike in the cost of doing business in

america. afterur this. liberty mutual won't raise their rates because of their first accident. ♪ liberty. liberty. liberty. liberty ♪ then you might have a dcondition called dry mouth.? biotène is clinically proven to soothe and moisturize a dry mouth. plus, it freshens breath. biotène. immediate and long lasting dry mouth symptom relief. . . . .

♪ neil: all right. i think unspoken thought could be a good thing, could be a bad thing, when it comes to sharing thoughts on federal reserve as president of the united states, it could be interpreted as bad thing, could confuse people. in a cnbc interview he is not too concerned about the federal reserve hike in rakes. respected federal reserve chairman, said out a message, saying what the heck is going on

here? didn't say it like that. just concerned. so many markets are concerned. trish regan through the next busy hour. trish: thank you, sir, very, very busy. breaking everyone, we're just one hour away from the white house's pledge to american workers event. this is an event where president trump will sign an executive order that arms students and workers with the tools, they say, that they will need to succeed in today's labor mark the can. plus we'll take a look at this market which is down almost 100 points right now. happening as the president breaks from tradition, saying he is not thrilled about the federal reserve raising interest rates. i'm trish regan. welcome, everyone, to "the intelligence report." ♪ trish: the president wants to beef up the american workforce. it's a goo