virginia. diamond and silk, thank you for being with us. we appreciate it. thank you for joining us. see you tomorrow. good night from new york. .. .. >> turkey has in my opinion acted very badly so we have not seen the last of that. we are not going to take the city down. they cannot take our people. you will see what happens. >> indeed we will see what happens. after the latest incident in turkey where gunmen shoots at the u.s. and the -- embassy. there is no deal to return an american pastor home. for the second week in a row the dow up 110 points. >> and stocks still up this morning. early monday morning.

in europe stocks opening slightly higher as they are watching developments in china and of course the developing situation in turkey. and in asia stocks mostly higher there on optimism on the newest china trade talks. and pepsico continues to move away from sugary drinks. it is a megadeal monday. we start right now. happy monday it's 5:01 in new york. good morning i'm lauren simonetti. >> i'm cheryl casone. it is a megadeal buyout monday.

she has made some changes. we do had breaking news overnight. shots were fired in the u.s. embassy up to five gunshots were heard in the drive-by shedding. drive by shutting. the suspect then took off in a white car. nobody was injured. meanwhile the trump administration rejecting an offer by tricky to detain a u.s. pastor if the u.s. would be willing to forgive billions of dollars in fines in a u.s. bank. i dispute that is strange relations between turkey and the united states. they are open for a half day today. and then they will be closed for the rest of the week for a holiday. anxiety rising in venezuela after president nicholas missouri had a controversial plan on the soaring inflation. he wanted to devalue the currency by 96 percent. venezuela businesses warning the government that those steps would cripple the economy and force more people to leave the country.

brazil is deploying troops to a town on the border with venezuela. following alleged assault on a brazilian store owner. back here at home. u.s. trade representative holding tariff hearings on the next $200 billion worth of chinese goods starting today. they doubled the link of the appearance to six days. the list includes chinese seafood. chemicals and plastics. the tariffs expected to take effect in late december. on $34 billion of chinese goods. and they will cap additional tariffs. >> the trump administration plans to relieve the coal industry this week.

it is a latest in the series of reversals. the epa estimates that are the new rules that will affect more than 300 plans providing companies with an incentive to keep cool plants in operation rather than replacing them. breaking overnight. pepsico making another move towards healthier options. and tracy's rasco joins us. and making news this monday morning. for $3.2 billion. this is part of the push to add healthier products to its lineup and become more in become more environmentally friendly. the soda stream will be run as an independent just division. it will remain in place. the deal is expected to close by january 20 tesla ceo elon

musk is tweeting again. >> a lot going on on twitter. fellow to for newer andrea huffington. please change the way you work to be more in line with science around how humans are more effective. you need it. we need it. she sent this tweet along with an open letter to must about his work habits. in the interview they called us the most difficult and painful year of his life musk file back at her with a treat of his own. ford and tesla are the only two. is still under a lot of pressure. help where on twitter.

the version ten cut update to support the ability to stream videos inside the car but only when it stopped and charging. that is supposed to come out later this month. version ten can be summer way in the future. we also reported last week they were lawyering up to protect themselves. they're actually pretty unhappy with that. it's the ceo of other companies as well. adding to the sleep deprivation. crazy rich agents -- asians. it was a big weekend at the box office. that is exactly what a super rich person would say. with an estimated $25 million

crazy rich agents beat expectations. that was 25 years ago. in second place in the second week in the theater was the mag with just over $21 million opening in third place this weekend $13.6 million rounding out the top five. and mission impossible fallout. disgrace after. kevin spacey and his crime drama. they quietly debuted in eight theaters across the country with an opening of $126 on the first day. >> eight theaters. it was 280 something dollars for the entire weekend. quite a fall. coming up a father and son make a mad -- in the middle of

a blazing forest fire in montana. and in the markets the high valuations do they matter. some investors are saying ignore them. let's say the market right now we have another positive day on wall street. it looks like it. you're watching fbn:am. [music] [music playing] (vo) progress is in the pursuit. audi will cover your first month's lease payment on select models during summer of audi sales event.

>> good monday morning. let's get you caught up on what's happening now. will see how that markets are doing bring in early. they're down there by 55. 110-point gain on friday. nasdaq up 27. we've a developing story in afghanistan. government forces had freed 149 people including women and children objected by the taliban just hours ago 21 people are still being held captive officials say the insurgents ambushed a bus on the way to kabul and took passengers hostage. at least seven taliban fighters have been killed in the rescue operations. the leader of the me to movement now accused of paying off a child actor over sexual assault allegations the new york times is reporting that italian actress shelled out $380,000 to jimmy bennett and bennett said he was assaulted

in hotel room. he was one of the first actresses to accuse harvey weinstein of the sexual assaults. check out the dramatic cell phone video. it shows a father and the sun a son in a miraculous escape. they were forced to drive through the friends -- flames. burning tree blocked the road and they have to back out the way they came. they eventually abandon the car and ran into a lake where a ranger ranger in about took them to safety the car burned in the fire. incredible video coming out of there. while things are not tough if you're a tech investor. tech stocks have been red-hot this year but their strong performance is raising questions about whether they are overvalued.

a big front-page story on the wall street journal today. a lot of this is saying is not about the over evaluation it's the strategic vision of the company. the plan for the company. they are judging this high valuations because of the company's business. that's different than what we released in the past. and to be fair here. the debate around valuations surrounding tech that is as long as the market is going on. the to look at company by company. on the surface it looks egregious the expenses. trading about 85 times earnings. when you look at the price for sales. jeff pazo's could really make this an earning power house if he chose to. he chooses to put everything back. >> we have a script up while you were speaking. they are the party for the market.

60% so far this year. one of the names i would take out of that matrix right there is apple. apple is not an expensive start. pretty attractive on an earnings basis. one name i don't like is netflix the only thing more staggering than its rise in revenue is the rise of debt. the debt levels go up about 50% per year. their neck and be the only one on the planet. disney will be a very formidable force especially with the purchase of content from 21st century facts. they will be a very powerful force in streaming. they can get big very fast. >> one of these managers that spoke to the journal. here is what he said about tech companies. he's gonna pushing back on the idea that that is happening. how me understand what this business looks like at

maturity. what does maturity look like. that statement from that manager that works right up until the time it doesn't. i will admit over the last decade growth has outperformed value by over 100% to the very powerful force. value managers were on suicide watch and very much like it is today but it actually outperform arose over the next eight years by about 50%. i've made this call in the past. my call lasted about four weeks. if we all have crystal balls we would be working. >> when you hit year ten if we have it that's when you're gonna see the reverse happened.

i cannot tell you that that is the case. right now we had 23% year on year growth. that's not sustainable. certainly 10% over the next couple of years. the united states has the most attractive game on the pratt -- planet. there is problems everywhere. that's a great point. thank you for being here as always. the worst monsoon flooding and century. temperatures start to come down a little bit at least. we have the forecast coming up in just a bit. we will show you the stock market futures this monday morning. building on the gain that we saw from friday and they gain a hundred ten points. we are watching what goes on with china and the trade talks that are coming later this week. we will be right back. [music]

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>> southern india hit by the worst flooding in decades. at least 22050 people have been killed so far and about 800,000 people misplaced. this area has been pounded -- pounded by downpours. meanwhile here at home dry conditions out west. they're not helping firefighters battling the deadly wildfires. they're here with the very latest. they cannot catch a break out there. it's dry in the western half of the country. it continues to be warm in the western half of the country. as we see temperatures get up.

your senator 23 degrees. maybe some nasty storms later today. the heaviest of the rain into the northern plains. these are heavy, consistent downpours. that is our best chance for some severe weather today. that's where the flight risk currently is. from little rock arkansas up to memphis, tennessee. we will see a line up potentially severe thunderstorms this afternoon that would include winds up to 60 miles per hour. it does dry conditions those are continuing. here is a line of storms i was talking about. you can take it out as we run through your monday. we continue to see elevated a fire danger fire danger out in the west. we are seeing the winds back down a little bit but it just

continues to be dry unfortunately. this is our rainfall in the west. our anticipated parts the patient in the next seven days. all the rain and the interior west. nothing right along the west coast. i would love to see that out west. it's not just can be the case here in the next week. unfortunately now think you could deceive. with a lot more coming up. fans of the simpson canal munch a heap -- heat lamp hot dog. and there is a maternity leave and paternity leave now about fraternity leave. animal owners are going to like this. a nice little kickoff on your monday. trade tensions our easing.

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turkey in my opinion has acted very badly so we have not seen the last of that. we are not gonna take it sitting down. they can take our people. you will see what happens. indeed we will see what happens. after the latest incident in turkey. a gunman shoots at the u.s. embassy in the capital city. there is still no deal to return an american pastor. for the second week in a row. in taking a look at the futures right now. your monday is looking pretty

good. s&p at five and a quarter. stocks there are higher across the board. in china and also with turkey. amid optimism that the u.s. and china will be able to come back to the table and work it out. even after erie on huffington pleads. what can the tesla board do to change things. it continues right now. it's 5:27 in new york. good morning happy monday. the futures are looking pretty good.

elon musk is admitting that his friends are worried about has while being because of the long hours he puts it at work and one of them is going public with her concerns. they post an open letter he would serve tesla and the world better if he would rest. so far he's not listening. but can the board of tesla force him to change. >> you know what i didn't get too many. enough to not be tweeting erratically. if the sleep enough take not get yourself in trouble. this is a serious topic. they have a whole book about sleep. it would be better for you and your help and your company and everyone involved if you disclosure eyes. can the board to do anything about this.

it actually has a lot of power and it depends on how and when they are going to exert it. they could remove him as ceo. they could say you need to take a leave of absence. the buzz is that they might try to hire a number two to take some of the pressure off elon musk. they've an interesting situation because elon musk is so synonymous with the brand. the question is what a leave of absence or something like that actually hurt them in the long run from a financial perspective. >> he is the crazy guy that has all of these ideas. and he will work hard to bring him to fruition. if they don't like the number two that the board selects the see of the ultimate approval. i actually think that if he didn't like his number two. maybe if his number two found the job to prove too difficult. it's obviously going to be a tough dynamic there because

you have someone that doesn't necessarily want to be controlled but from the board's perspective the board really inserts to the shareholders. that's who their duty is to. if the board feels like a change needs to be made with respect to this erratic behavior and ultimately that could have financial consequences for the company. just to be profitable. they are burning about a billion dollars every three months in cash. just to get the cars out plus the legal fees. can the board say you know what you are involved with the space ex. here just to all over the place. can they do that. >> the board can put different sorts of pressures on him. and we might have seen this in other cases. the board put pressure on him to step down and resign.

there is an interesting dynamic here. and we know this from previous incidences. the board has been criticized for not being independent enough. there is a lot of personal connections. the extent that they will desert the power they have. that's a big question mark. >> and unhinged interview at the new york times. a lot of people are saying what he said in the interview was a disguise call for help. help me i'm just working too much. he talked about sleeping on the floor and not sleeping for days and forgetting to shower, that actually could be a cry for help. he needs someone to intervene. if shareholders get fidgety about the situation and think that this guy might not be great for the company you may see that same thing. the shares are down about

20%. missy, we appreciate you so much. have a great day. u.s. trade representative robert light heiser holding hearings on the new trade obligations. they had doubled the length of these hearings into six days because overwhelming demand from companies that want to testify. he is a democratic strategist in a former consultant. he is the creator of the etf. group i have to tell you the list of products and consumer products that will be affected here. were talking everything from seafood that is coming from china. they are calling it cradle to coffin.

everything. do you think that these american companies are can actually maybe get through to say that this needs to be fixed. this is an audience of one. the trade war has begun. we actually don't know. and the and kind of -- the uncertainty in the business. it's a impossible thing. there is a lot the has to be done in terms of protecting our intellectual property. but we need support of the rest of the world especially europe. starting a trade war on two fronts is as they say it's idiotic. a lot of business groups agree with that statement. he is a businessman. the u.s. chamber came out and said the trump administration lacks a coherent strategy to finance that. and the internet association came with a statement that

said this. they represent facebook and amazon. they will cause disproportionate harm. it includes products about how they function. there is a lot of business voices that are going against the president right now. >> the businesses are focused on the short term. i think it's very apropos that present trump is taking aim and many of the mainstream media. the first president in decades that is focused on the trade issue. especially as it relates to workers. and they are trying to frame this as an un- hinge trade war. you just heard it. that's not accurate at all. present trump is there. the point is that this is something he campaigned on. and then he talked about china on the campaign trail. i think it's the how that they are delivering the message to china. and that might be a little bit

misguided. >> i think no one disagrees that china has been for decades stealing intellectual property from the united states and around the world. no one disagrees that we should do a better job opening up chinese markets for american companies no one disagrees with that. but when the president goes out and instead of having a coherent strategy. and he built around the world to isolate china. he starts the trade war in europe, he starts questioning nafta. and then he goes into a trade war with china while he has opened up in north korea which we need china's help in trying to negotiate with for nuclear weapons. they have a habit of opening all of these things that might've been good as an individual businessman. this is not how you run the largest economy in the world

and the president is leading us down a false path and those that just keep egging him on our plane with our livelihood and our farms. that point has been made. >> i do have a lot of time left. the ceo of hoppe bikes. he is expected to come on and say this is too little too late. we wanted tariffs on chinese bicycles years ago. we do close all to close all of our u.s. plants. there are a lot of voices that can be pretty fired up with these hearings. the global markets are speaking. we are winning this. we are all-time highs on the stock market. china china is down over 20%. the markets around the world are down. the u.s. is up. the dollar is up. to say that we are losing this

or somehow our economic interests aren't being put first is not accurate at all. we are winning this war. >> i think it will be fascinating to hear the actual voices of the business leaders themselves this week. thank you for being here. >> apple cracking down on illegal gambling apps in china. we are just cannot stay on this china theme this morning. according to state media in china apple has reportedly pulled 25,000 illegal apps from its app store. they filter out that material. apple says it has been many developers in order to stop them from distributing illegal apps. they reportedly offer 1.8 million apps in china. a little over 1%. >> forget maternity leave but there is now furernity.

and i think this makes sense given the fact that families come in different shapes and forms these days. a digital marketing company in middle apple us has adopted -- minneapolis has adopted this new policy. one employee came and said animals were just as important to their employees as human babies said they implemented this new policy i think it will work. when i got my new dog years ago. i could've used some furernity leave. get that may be potty trained. just a few days. i get it. i'm with you girl. you can now visit a real-life simpson quickie mart.

if you are a huge fan of "the simpsons" you can enjoy a heat lamp hot dog. the convenience are also cells some character member bill yet for fans. the aztec theater expected to open later this year. it's just a little simpson area there. that's of their call there on the show. it sounds like a lot of calories. the state of california wants to regulate what your children drink when their restaurants. and here's something that they might agree about. get rid of quarterly earnings reports. will take a look at your futures.

we have a nice little kick kickoff to our markets on this monday. you're watching fbn:am.

welcome back let's get you caught up on what's happening now. taking look at futures on your monday. whether it's china or turkey. they like it. nasdaq up 26 and a quarter. present trump attorney is getting criticism for the exclamation on where he -- why he will not allow that. he doesn't want to get the president trapped into perjury. >> it some these version of the truth. he didn't have a conversation. speemac truth is in truth. on sunday morning futures with maria and romy rudy giuliani defended his position. they already have all the information they were and ask us about except they don't have it under oath from the president. then we get very nervous that it's tried to track them into perjury. they have said that he is open to setting sitting down with

the investigators. >> the former lawyer being investigated for $20 million in bank loans to taxi companies owned by him and his family. according to a new york times report. he could face charges within the next two weeks. they want you to put your soda down. it would only give your children to drink options at restaurant to milk or water. the goal is to support parents effort. some parents are pretty angry about this. they shouldn't interfere with what their kids drink. it's the parents responsibility. from one debate to another present trump sparking debate on wall street after that request to study whether companies should report them two times a year or four times a year. the fox news contributor.

the semi annual reporting is it a good idea? >> i try to think who's can a benefit in this case i really can't see anyone benefiting. the reason that we do a quarterly reporting is to let shareholders know how the companies are doing. no requirement for these conference calls and the earning estimates earnings estimates going in the future that i think is a thing that the mosque doesn't like. all he needs to do is file numbers with the fec -- sec. there will be more long-term thinking. i doubt it. i remember my many years with ibm. we have monthly reporting. we certainly didn't report monthly to the f -- sec. they are looked at on almost a

weekly, monthly and daily basis. just to get a sense of how they're doing. it sounds to me like you'd be more in favor of what jamie diamond and warren buffett suggest. the guidance you might want to get rid of. >> i think the guidance is their purely there purely for people trading the stock market to see how they're doing. i don't think there's any problem with companies assayed were working on this in the future. things are looking bright. but quite frankly as an investor i always take that with a heavy dose of salt if you well. because things change. there's competition that you can't see. just give me the numbers and tell me how you've done. and your focus on the short term. and making sure investors are satisfied. with your company does that

gear you away from being a visionary and looking at the long-term growth which sometimes means e of short-term pain to get the long-term gain. i will give you a great example. ge in its heydays was always a long-term thinking. i think any good seo you have to look out in the future just anticipate what competition is doing. but on the flipside are the things were doing now working. i was out there in the competitive marketplace. the only way to get a sense of that is to look at it monthly. it's like any olympic athlete training. they don't just say organists are now and were to run the race and see how we are. are they on the right track to making their goals and their olympic trials had to do

both. i think in the good ceo will do that. it wouldn't be a sunday race without a spectacular crash. robert wickens. we can have an update on his competition. in tennis it was the battle of the best. history was made taking a look at futures this morning. you're watching fbn:am. [music]

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>> welcome back and in the cart driver has been hospitalized after a scary crash last night at the pocono raceway. he tried to pass another driver. multiple times on the track. completely destroyed the other drivers will be okay. but wickens is being treated to injuries to his leg right arm and spine. we do have some good news though. he is reportedly awake and alert. a historic opening round. they polished off a terrific weekend. he won by three strokes.

that's something he's never done before. he captured the first title at the cincinnati open. that makes him the first to win all nine masters. he won this tournament seven times before. they faced off in the little league classic. in williamsport pennsylvania they got to hang out with the big stars. they watched a little league world series game. they and up pulling off a little league win. and check this out this is great. and none has become an internet sensation after showing off her baseball pitching skills. this is the white sox royalty.

what did she do right before. the prep move is more impressive than the actual pitch. she has watched some baseball. coming up venezuela president unveiling a controversial plan. will it at work. we go to london. [music] at fidelity, our online u.s. equity trades are just $4.95. so no matter what you trade, or where you trade, you'll only pay $4.95. fidelity. open an account today.

cuz, um, i thought that was what i needed to do. we got our orders to go overseas and i went to baghdad, iraq. we were transporting a bomb sniffing dog to the polling stations. we rolled over two anti-tank mines, it blew my humvee up, killed my sergeant. after the explosion, i suffered a closed head injury, um, traumatic brain injury, loss of a limb, burns to 60% of my body. when the doctors told me i reached my plateau, i did not want to hear that because i do not believe i have a plateau. so, i had to prove 'em wrong, which i am doing to this day

and i will still do until the end of my days. i've gotten to where i am at because of my family. and, the wounded warrior project has helped me more than i can ever imagine. they have really been there to support me in my endeavors. my number one goal, basically, is to get close to where i was. i am more than ready to work hard to get to that goal. i am living proof to never give up and i will never give up.

venezuela president unveiling some pretty controversial economic reforms. including valuing the currency. chris beecher is the chief marketing analyst. once you make of these latest reforms in venezuela. >> it doesn't get them very far. it's the biggest one in history as far as we can tell. i'm not sure it really addresses the underlying issues. it's got a lot going for a. this is probably just one of these temporary measures that will do nothing to stop runaway inflation. the financial markets are closed this week.

is that a good thing chris. i suppose. they were not controlling that. they make the real reforms in the interest rates and get the confidence back. you really don't see much change in the situation. thank you for your perspective this morning. we like to thank all of you for watching fbn:am. we now say good morning to maria bartiromo. we will see you in a few minutes. thank you for joining us. your top stories right now. just before 6:00 a.m. on the east coast. a new survey raises questions about the administration's policy on terror. the present is doubling down on the strong economy. we are going to new jersey for

work. it's good to be all work. i think you see what's happening in the economy. the best they ever had. we came out huge numbers is just been fantastic. >> markets this morning to start the week. is expected to be up about 17 points. the corner of the%. and the nasdaq this morning set to open up about 27 that's one third of 1%. expected gains across the board on friday. the lifted stocks are now there. 110 points. almost one half of 1%. in europe this morning. stocks are higher. similar situation here. the dax index in germany up better than 1%. in asia over night. overnight. markets mostly higher at the

close. japan was the outlier down a third of a% overnight. tensions with turkey on the rise. before considering any relief for turkey. a shooting at the u.s. embassy in turkey's capital. we've all of the development's coming up. a little bit of a merger money. the stock is up this morning. it better than 10%. a risk of her children headed back to school. the epipen shortage. and re-creating a classic to remake the classic james bond film. all of the stories are coming up this morning. today the cleveland clinic. dr.