of sebleds left mike you're performance in markets after yesterday's big rally. >> i think we get a rally after g20 and it is a big rally. mike and great to see everybody. have a great day thanks so much for joining us that will do it for us go-sees the day "varney & company" begins right now. stuart is take it away. >> this is a day to be ceased. good morning maria. and good morning everyone. headline, about big rally wednesday, no retreat thursday. all right here's how we're going to open again, i have to say it, we do not know how we're going to close. we're going to be down about 17 points on the dow that's nothing compared to the 617 point rally we saw yesterday s&p nasdaq down a little especially nasdaq down half had percentage point no serious retreat that's the hl there. now in october, november there were indeed two big problems for the the market. the fed and china trade. well the fed problem is off the table after jay powell indicated

to slow down on interest rate hikes. at least that's the way investors took his comment. that leaves china trade and that will be addressed at the big meeting coming up in argentina. president trump leaves for that g20 meeting today. he xi jinping for dinner saturday night any positive comment or any kind of statement could really help stocks rally. now look at this. pls of dollars are pouring into the the coughers of the usa because of the tariffs being charged to china. this is a presidential tweet. and there's a long way to go. if companies don't want to pay tariffs, build in the usa otherwise let's just make our country richer than ever before. again, that's a presidential tweet. note the the tone there, that tweet indicates no softennening in the stand on trade with china. at the meeting putin, theresa may, a angela merkel leaders of japan and south korea is a very big g20 we're big maybe market

moving headlines. "varney & company" is about to begin. ♪ worthy of trumpets confetti too. the roaring crowd that's your national average for regular gasoline ladies and gentlemen down to 2.51 down a cent and a half a days and we've come down 50 straight days. i think we've got that -- weeks in a row many more than, 50 days prefer single day. christmas miracle. >> seven weeks in a day a lot of smiles at the pump. miracle on 48th street but that's irrelevant. have we got that map because we have more which have now start at least one gas station 21 states is it now -- look at that.

lizzy was saying up to 29 states with one gas station selling gas below 2 bucks. i love it once again -- in denton about, texas the lowest at a buck 69 north of dallas-fort worth, it is worth -- >> i guess we won't be seeing you or for a while. [laughter] >> that's a cheap shot i know i'm -- i'm a think of think of thriftyy are in the permian basin they've literally they can't give away natural gas for free. they have to pay people now it take it away that's how much the basin is on fire right now. i mean these -- >> that's good stuff. love it. all right, stock market, of course, coming off that 600 point rally. after comments from fed chief powell joins us now market watcher greg, about greg you've got a way of putting things into straightforward english can you for the benefit of migs and

viewers tell us exactly what the jay powell say that moved the market so much? >> i think he said he ubd market concern he didn't capitulate to donald trump i think he understood what sell you have and market this fall with the the drop in housing prices drop in commodity prices. that something was going on, and that he couldn't continue to argue the economy was at risk of overheating. so he did right thing he retracted stupid thing about a month ago that we're a long way from knewal neutral and we're very close to neutral. >> now there are two big concerns for the market in october and november. and they were the the fed and china trade. seem it is like the fed problem is off the table. how about trade? i know i'm asking you to speculate greg. but this big meeting about big dinner speculate will we get anything positive? >> it was the easy call stuart i think it is a tougher call. trump tweet this morning was

typically provocative he's going to go into this dinner, with -- with, you know, aggressive stance, obviously. but yes, i think it will be more than just a photo op. i think they will agree to intensify the talks. ithere actually could be a fog over next month or so no final deal to well into 2019. but i think the the beginnings of a paw start this weekend. >> that would be roughly equivalent of a truce, wouldn't it and that would be positive wouldn't it? >> well what trump has to give away is that he could tell chinese he will not increase tariffs late this year. he has the option of raise aring them even further i think he may indicate he'll hold off on that. if the talks can can yield results. >> okay. last one greg, can you see -- a santa claus rally i know we've got three weeks to christmas maybe four weeks something like that. but really are we going to get a nice move up in month of december? >> dare i say the word stuart, gold did i locks i think now with without the threat of

aggressive fed tightening with still no inflation thanks to your oil story, with corporate earnings still looking good, i think that the markets are looking at a very nice scenario for a rally heading into christmas. absolutely. prnlgt so that's absolutely santa claus rally. >> i think that fundamentals are there. yes. [laughter] why won't you say it? yes. >> who knows what's going to happen with mueller next week i think that's the big story. next week ping the indictments are coming. i worry about ukraine there's no shortage of worries for this wall of worry but i think the economic fundamentals look a heck of a lot better after the speech yesterday from powell. >> greg, thanks for joining us clean cut english you're very good at this. >> bye stuart get to g20 meeting prump is going to be striding across world stage. joining now trump campaign advisor jeff, this g20 meeting counts. this is going is to be big. i'm looking for headline after

headline. >> it does and what you just said donald trump and because of him america with with the world click it is incredible position now, to make demands, to push our agenda, and i think he will. >> well, he's reversing president obama's foreign policy. in every respect, i think -- >> and yet somehow, president obama keeps on taking credit for all of its success. [laughter] but yes he is. and what's going to be interesting to note how on -- on politics of it is will the house democrats emboldened by now having house actually try chip away at a position abroad. >> can they do it that. house doesn't deal with foreign policy so much does it? >> i think from the political -- as a political gain right now political gain right now i say donald trump is going there. dominance america is dominance and we're really calling shots

and will they try to suggest don't worry it be. we're going to undermine it? >> he's meeting with with president xi of china and putin something out of that. and side bar talks with leaders of japan and south korea about north korea. could be a headline there. but what about -- muhammad sulaiman saudi crown prince? he's going to be there? do you think he's not going to meet with trump? not going to happen. >> everyone is watching to see and a if we look right now at the global stage, forget about the issue that's captured everyone's attention which had is certainly noteworthy and news wot thy but right now they are prosecuting more in yemen and we don't want to be prosecuting that war so right now saudis are may behaves not like a similar culture but allies that we need to have. there are purchasing at huge amounts they're using their troops to prosecute a war that is not american troops anymore. and they're keeping the oil prices low which hurts them but

it hurts more and it helps us so truth is it is exactly what we wanted in ally and that real politic is helping us. >> fascinating waking up with those headlines come streaming across. actually i'm waiting market on monday morning see what happens then. >> amen jeff thanks for joining us sir, see you soon. i want to get it that migrant caravan it is now on southern side of the southern border. reports of serious health issues what do you got? >> you have 6,000 people crammed into a small space this is coming from the teeing wan that health department to say they now have three cases confirm cased of tb four confirm cases of hiv aids 101 cases of lice and four of chickenpox it is a humanitarian crisis you've got 6,000 people crammed into a small area, but just 35 portable bathrooms. there's this -- a third of the migrants are

leaving voluntarily and some have accepted temporary work from mexico but it is a mess and it is getting worse. >> ashley nailed it it is humanitarian u.s. wants to he these people. mexican authorities want to treat these people however when it was raise ared a month ago it was called racist to bring up this issue that these people are suck and need help. >> not to mention the member, ms-13 member who was arrested. >> right. check futures how do we open? pup 600 yesterday down not much this morning at the opening bell down 20 maybe for the dow industrials. it is as we said a very big day for president trump he's heading for argentina for that g20 meeting to leave over next hour i believe. he may speak to reporters before he gets onboard air force one if he does you'll see it live and you'll see exactly what's happening. before leaving, the president took another shot at gm. here it is. general motors is very counter

to what other auto and companies are doing big steel is renovating plants all over the krkt and autocountries pooring into the u.s. including bmw announced a major new plant. the usa is booming. take a look at general motor stock this morning under pressure, 36 bucks per share. when we got for you next i'll tell you canopy growth one of the biggest publicly trade marijuana companies. it is working with constellation brands are they working on putting part into the liquor we'll certainly ask, next.

>>right wall street journal reports that facebook considered charges companies for continued access to user data. several yearses ago in other words, there were quite prepared to sell your information through a third party. i'll get more on that after market opens premarket, though, the stock is down just a little. got a big deal to tell you

about. the maker of cigarette in talks to buy a piece of the e-cigarette startup joule what you got? >> we don't know how much of a dollar amount they're thinking of paying but a value for jewel 16 billion and look at this. after altria that stock moved higher so had is an interesting for it to get into the they think space right now. >> but that is worth 16 billion dollars. based on founding round over summer. 16 billion. a lot of money. let's move from tobacco as in nicotine to marijuana. as in thc those stocks have been seeing big move up and down called volatility look who is here bruce lynn ton ceo of canopy growth she said is biggests publicly trade marijuana company in the world. that is true. >> we also see we're large e-legal producer of marijuana might be a few who are less legal. >> you grow it as well.

>> canada started in 2001 where regulars made it federally legal and when i started this business we grow the product. we extract all of the can bonn noid and do interesting thing medical research how do i make you sleepy, hungry and then fun products beverage with no calories but make you feel upbeat. >> you can tailor marijuana to different characteristics a different high if you you can do that. >> bunch of times to aim at outcome how do you want to feel and make it so it has the ability to free to ingest it and experience it doesn't wait ten or 30, 40 minutes but has onset in 12 or 15, and you can have low not heavy amount of cannabis so you can choose to have two or three. >> what are you doing with constellation brand? >> they won't let you mix liquor and marijuana in the same drink will they? >> no, and you really don't want to so constellation is entrepreneurial company

everybody knows them as a big growth company and doing in a segment that is quiet but it is a family driven business and we're entrepreneurs they're entrepreneurs so what we're doing is taking their knowledge on channel, taste, our knowledge on cannabis and infusion with better bemple or choice on thursday night with a sip but no hangover. whanch we're getting at a here is kind of drink is it a marijuana drink to get you high? >> 100% marijuana driven, and flavor -- >> are you going to have a drink that makes you a little sleepy. a drink that makes you kind of happy? >> people on thursday night -- theyto have a beverage and have maybe a sip of a glass of wine kind of -- >> what about thursday night? >> thursday night is that night to go back to work friday but they want to not be hungover but take anxiety out and feel good so that's the befng that we look at for male, female, and by age demographic so the big deal on alcohol is a lot of people stay

away from it as they get older they get richer or but they have a something they're taking for blood pressure whatever so you worry about about drug on drug interaction well we don't have that profile so we think it is a good sales convention. >> you and i -- we're both perfectly fit question don't need to go to the gym because we never get too many calories but people worry about calories i think that's a big piece of it. >> very good three minute commercial. that was very good young man. you're all right. thanks for joining us we appreciate it. >> see you soon. where are -- where is market going to look at this we turn positive we're up 617 point yesterday. when i walked into my office this morning we were going to be down about -- 40 or 50 today. >> forget it. >> now open slightly higher. you are visibly thrilled. >> of course i am come on. new york city mayor bill de blasio hosted annual l rockefeller christmas tree lighting did not get a very nice reception kind of from the crowd -- we're going to show you what

happened, next.

comcast business built the nation's largest gig-speed network. then went beyond. beyond chasing down network problems. to knowing when and where there's an issue. beyond network complexity. to a zero-touch, one-box world. optimizing performance and budget. beyond having questions.

to getting answers. "activecore, how's my network?" "all sites are green." all of which helps you do more than your customers thought possible. comcast business. beyond fast. >> here to light the trail you have mayor of new york city honor bill de blasio and coceo of inspire jerry spier and rod. >> you realize you didn't layer it very well but that was new

york mayor bill de glash he was beaud during tree lighting at the rockefeller center we thought we would bring that to you. interrupt here breaking news a surprise court appearance by michael cohen going to happen today. st that's president trump's formallier tone i think right, ash? ashley: another one of his inner circle it is a surprise development apparently according to abc news he's going to plead guilty to misstatements to investor during russia hearings in closed door hearings so misstatements are made. so you know another development. again, involving the inner circle of president trump. but unexpected. stuart: show me futures because this news broke just a few minutes ago. but there's been no effect on presidents market. it's still positive for dow industrials. i would suggest that if there's any real dirt on the president from michael cohen maybe that will be reflected in the futures but it's not. that's the story. center for disease control says

this is a difficult story life expectancy in america fell again 78.6 years that's the expectation here. this i think this is opioid crisis and suicide. >> it is and maybe social media this is the worst showing in 100 years and 100 years ago we have world war i in a flu pandemic so in jobs anigh by manufacture jobs leaving. >> in a decade and by the way u.s. ranks 9th in the the world when if comes to life expectancy number one japan, and 84.1 years switzerland number 2 at 83.7 u.s. all the way down to 29 that's 78.6 years. >> 894 years of ages -- 84 is life expectancy in japan. that's a problem for japan. because it has a rapidly, i mean, i hate to say it, longevity is a problem that sounds ridiculous but you've

got -- extreme demographic situation more and more old people -- >> here in states drug overdose is skyrocketing in that demographic of to 54 skyrocketing particularly for tuts. >> just a dreadful tragedy isn't it? absolutely dreadful tragedy l until you get a handle on opioid fentanyl and despair. jobs for people in rule america absolutely. >> that's why trump was elected despair of white america rural working class america and for manufacturing jobs going overseas. shocking. >> check the market we're going to be up a tiny fraction at least for the dow industrials. up 4, 5 points that's it but please remember we were up 617 yesterday. stay there please. we're going take you to wall street on a very important day, next.

so lionel, what does being able to trade 24/5 mean to you? well, it means i can trade after the market closes. it's true. so all... evening long. ooh, so close. yes, but also all... night through its entirety. come on, all... the time from sunset to sunrise. right. but you can trade... from, from... from darkness to light. ♪ you're not gonna say it are you?

even when nothing else is. gopi's found a way to keep her receipts tidy, (brand vo) snap and sort your expenses with quickbooks and find, on average, $4,628 in tax savings. quickbooks. backing you. take prilosec otc and take control of heartburn. so you don't have to stash antacids here... here... or here. kick your antacid habit with prilosec otc. one pill a day, 24 hours, zero heartburn.

but when i started seeing i knew aboutthings,emors. i didn't know what was happening... so i kept it in. he started believing things that weren't true. i knew something was wrong... but i didn't say a word. during the course of their disease around 50% of people with parkinson's may experience hallucinations or delusions. but now, doctors are prescribing nuplazid. the only fda approved medicine... proven to significantly reduce hallucinations and delusions

related to parkinson's. don't take nuplazid if you are allergic to its ingredients. nuplazid can increase the risk of death in elderly people with dementia-related psychosis and is not for treating symptoms unrelated to parkinson's disease. nuplazid can cause changes in heart rhythm and should not be taken if you have certain abnormal heart rhythms or take other drugs that are known to cause changes in heart rhythm. tell your doctor about any changes in medicines you're taking. the most common side effects are swelling of the arms and legs and confusion. we spoke up and it made all the difference. ask your parkinson's specialist about nuplazid. okay we've got 40 seconds to go, and this market opens this thursday morning. this is going to be a big day. all eyes on how we open because -- we have a whopping great big rally yesterday. the the dow was up better than 2% points nasdaq up nearly 3% that was a huge gain. i think it was biggest gain in i don't know how many years but it

is a big, big gain so how do we open this morning well it looks like we're going to be dead flat on dow to slightly higher. looks like we'll be slower at lower a little bit on the nasdaq which implies maybe at pullback for some of the technology stock. so let's see what happens. it is thursday morning, we open trading in two seconds, bang here question go we're up, running i have to see how we start. down 20. down 20, 37 34 down 35. down okay. not that bad i call that a fractional loss. that's a loss of .14%. all right show me the s&p please. broader market indicator. let's see that. it is dun a quarter of one percent. that's a stronger loss than we saw or for the dow. and nasdaq here's where i'm expecting about half percentage point down no, down one-third of one percent. so limited losses, almost across the board this morning. show me big tech that's where all of the money has been pouring and where money has been

coming out recently too. big tech is opened lower. facebook is down, amazon is down. apple up a buck at 182. alphabet and microsoft both down. no major losses there, but mostly down the big tech. who is with me? michelle scott liz and ashley webster let's go to michelle first. give you a victory lap here. because you're the the one who was said consistently even when market was selling off you said we're going to end higher as i see it two big problems. fed china trade fed is out the way. just china trade left you predict we're going up? >> i think we should be optimistic with china trade, and fed right we saw that the fed is going to gradually slow down and actually might thread the needle this time and not cause a hard landing in which had is great news but i have said it time and again stuart fundamentals look good we have strong earnings

therefore market should move higher. scotty martin same question to you fed probably is out of the way. china trade problem remains. what do you say about a santa claus rally? >> definitely possible. the fed getting out of the way is huge, and getting a china deal done or at least some progress is good one two punch for the market but what's left is, you say i used to have boxing experience what's left is, evaluation stuart and compression and earnings because that's starting to cur, obviously, as we're seeing earnings reports that came out in last several weeks so how does market react to listen i understand it was unsustainable earnings growth as far as what we saw in 2018. but when you start seeing these comments and lower guidance cool in from s&p and 500 companies the market nailed them and hasn't taken that news very well. >> we have what i would call a negative for facebook this morning. "the wall street journal" saying that they considered charging third parties for your information. that's a big negative. >> this comes out right after -- this is dates become to right 2e

companies if this flies in the face of mark zuckerb yapght be clear he said it to congress last april. we don't sell ta-ta but they have considered selling access to data, and so this is coming out of the u.k.'s seizure of facebook documents this -- storyline is only going to get worse. in a weeks time u.k. is saying they're going release thousands of pages of internal facebook documents that could undercut zuckerberg public statements about this and also considered giving free data ac a seases to tender remember cambridge analytica reading facebook messages so what is going on with facebook? >> a drip, drip drip of nasty publicity that's what's going on here. >> however you can consider anything but they didn't. stuart: they didn't do it. liz: we don't know they say they didn't. i hear what ash is saying. stuart: drip, drip here's another one google they've been hit with a privacy complaingt by european watch dogs over what -- the europeans call company's

deceptive location tracking for ad targeting purposes sounds complicated it is not really. scott come into this please. at what point do investors start to say you know this is too much i'm going to walk away from the stock? [laughter] >> as one who is investor in google that we own as well as facebook the previous convo, we're almost there man. i have to be honest with you. i mean this is getting nastier and nastier doesn't smell right. european io ron ironically has been ahead of us and coming forward with ftc and things that may come down in next few month the because there's fire where there's smoke here. >> out of the eu could be upwards of 4 billion dollars chunk out of the quarterly profit. quickly here's quickly it is important this is what they're doing. when you disable or pause your location on your android, it is still tracking you. google still tracks you. grow disable a permanently stable it other on your android can track you and google could

possibly access those locations via the the app. so that's the question that debate now is going on in europe. >> big brother. there is no privacy what you got, initial? >> i think what's important is is i don't investors to lump in facebook and google and say all big tech is bad because i do think you are going to see new high rs if tech in general. >> well -- thank you very much indeed. let's hear -- i heard it. a pl versus ply kro soft this is the contest to be the most valuable company. the close yesterday, michelle. it was apple at 858 billion. microsoft at 853. who is going to win the race? >> i mean, i sit here and look and pretty much all of us have apple phones. so -- you know i'm an apple believer. i'm an apple lover so you know i'm going to go for apple. >> really? >> you will realize that i own a thin sliver of microsoft and you're going with competition? >> i'm sorry. okay. i could be bullish on both.

you have iphone -- i do. all right okay we're now five -- about five minutes into the session and we're down 60. still at 25,3 porks okay not bad after 600 point rally yesterday. rosy holiday forecast came in from abercrombie and fitch wow look at that 27% gain for that basis of a pleasant forecast for the holiday. i like it. dollar tree, okay let's look at them their sales projection i think -- not sure what happened i think their sales fell short but up 2% 85 up a share. we did get lower sales at express it did cut its forecast and yes, that puts it down nearly 20%. interesting story, not sure how relevant it is to american investors but look at a this. deutsche bank that is biggest bank in europe. their offices very raided in germany. >> in frankfurt. this is all about money land forget, german prosecutors

looking into whether at deutsche bank helps transfer money from criminal activity overs otherwise known as money landering so public and visible raid on deutsche bank today with a miserable time stocks prices cut in half over last year. >> no impact here. >> i think i can say that here. president trump tweeting about general motors again. general motor is counter to what companies are doing big steel open and renovating plangts all over country autocompanies pouring into the u.s. including bmw which just announced a new major plant. usa is booming. show me by the way, ford, obviously, a rival they are not cutting jobs they're actually shifting workers around to avoid layoffs. general motor stock is down a fraction ford motor company down

a fraction. the automakers they're not in favor at the all are they? >> curious to see how much ford cut compared to gm back in 2009. because i look at this, and i think gm is probably doing a good thing about trying to cut back so we're not in same positn as 2009. : fair point. >> gm it can a bailout didn't pay back a stock that bailout and others, ford, though, put a lot of dead on balance sheet after financial collapse. both of those stocks have been at a tight trading range or for last ten years. >> that's very true. trump xeak on general motors ongoing attack brought stock from 37 to 36 that's it fitch to talk diction sporting goods. they've got a new gun policy that hurt sales i don't know what policy is restricting gun or not selling them at all not sure exactly where it is. but age thing -- >> 21 or 21 to buy a gun at

dicks sporting goods that hurt them apparently so scott appears that guns are very important to some retailers. >> yes. i mean it depends where with you are in the country certainly. but listen i feel bad for them if that hurt their business but reality is, look at if you look at big box retailers out there anyway, they're all get crushed by online presence of the amazon and so forth so look -- we don't own a lot of these companies because of their presence of retail part but too much of a drag so this one is a pass for me. guns or not. >> got it i don't to talk about the tobacco company -- altri make marlboro cigarettes in talks to buy a piece of the cigarette startup, jewel. this is according to "the wall street journal." now, say it again because jewel is valued at what, 16? billion -- based on a funding raid over the summer so we don't know what altria will pay for the stock has been moving up. ever since this news kill out and joule has been dialing back its presence in selling vaping

products only to its website in response to what fda is doing with a crack down on restricting vaping sales. >> looks to me like it has jumping in when you'll is in trouble and taking a piece of the future. >> i think rape is definitely the future once goods are down. regulation is coming down hard. >> that is true. because teens are smoking and in your lungs longer nicotine stays in there and yeah -- >> i have a moral question for you, scott would you buy a tobacco stock altria? >> my mom watching, you know, i would in the case of sometimes when -- to emac point, you know and some of these other young tobacco companieses have a good defensive stock in times of market trouble so only mom, to reduce volatile any the portfolio when market is going down. >> good answer. >> what do you got? >> important doing everything. but to his point, you know, it was helpful in the market downturn in the past.

who knows if it is helpful in market downturn in the future. that's a question. >> fair point. got it it is 9:40 you know what that means, thanks very much michelle. scott, good stuff indeed great days to be with you and see you again soon. check markets holding the loss at a mere 30 points that ain't much. live look at the white house please, president trump leads to the g20 meeting in argentina next hour if he says anything before he gets onboard air force one you will see it right here. guaranteed. bombshell from the president's top trade advisor, just days ahead of g20. robert light highser says administration is thinking ab big increase on tariffs on chinese cars. we'll tell you how much, next.

i call this a very stable market after yesterday big runup we're down 30 points on industrials. big news out of europe germany has a antitrust probe of amazon stock is down what do they do? >> office in germany launched a probe. the allegations are as follows that basically, amazon allegedly has abusing third party sellers. icing them out of the platform withholding payment. blocking them from the palace formal using and taking their third party seller information watch this complaingt out of the eu as well stuart. the -- e corks accusing amazon of copycatting you know e-u company products and then selling cheaper versions of those products from its own site so now eu is stepping many, member we were talking about monopoly practices happening, it is actually happening. that would be a dirty trick it is true.

prchl it is true we don't know if it is true. >> fines coming that stock is down 7 not a lot on 1600 stock but it is down. trade representative robertlight houser talking tariff ahead of the g20 meeting edward lawrence at the white house. you broke the story here. what did lighthizer say? >> he's failed to come with anything meaningful at the table he calls autotariffs on u.s. cars going into egregious china charges 40% tariff on u.s. autos into china and 15% from autos from rest of the world into china in a statement robert says, quote, at the president's direction i will all available tools to equal withize tariffs applied to automobiles. now this is a signal from the administration to the chinese that they better have something meaningful when president xi jinping meets with president trump on saturday or 200 billion in chinese goods will go up in tariffs to 25% on january first

and be additional tariffs possibly on automobile and automobile parts coming into the united states. though this statement was made by robert lighthizer on way to g20 president leaves in about 15 minutes. stu. >> edward that's fascinating stuff two days before meeting with xig and they're ratcheting up pressure good stuff thank you edward. i want to bring in -- feater i'm sorry no, let me read the president tweet from this morning about trade in china here it is. billions of dollars are pouring in because of the tariffs charged to chienl there's a long way to go he says companies don't want to build tariffs build in the u.s. or make our country richer than ever before. peter with us this morning. so here you have, i mean, they're ratcheting up tariff pressure right before that meeting on sunday on saturday night. i guess you approve? >> absolutely. i think we've been too easy on china so far. most of the tariffs are about 10%.

and what their currency drop by 7 which had is just about negated it. despite all of the harping wining and screaming of second rate ceos like bharara at general motors, the tariff is not hurting them. xi complains about a 25% tariff for example on steel, well xi is crowding production under 25% u.s. truck tariff. you don't hear her wanting to abolish that tariff do you? what's going on here, though, is that general motors and ford are are setting themselves up to basically import what sedans they sell in the united states and china. and it would be ludicrous to let chinese continue to have a 40% tariff on our sedans that's why we don't make them here and sell them there. and then turn around and send them bag. >> i have to ask you not asking you about it -- but the idea that second rate ceo i think that's going a little bit far there. >> i don't think so. not when she leads with her announcement that that -- that tariff is a big deal.

there's about 200 dollars on 35,000 dollar suv from that steel tariff that was simply basically a low shot at the president the bottom line here remember, is that general motors and ford are having trouble making competitive sedans in the united states toyota is not. toyota makes cars here. volkswagen makes cars here they manage to make money here can they make money and not them also -- >> wait a second i have to get to trade deal at g20. do you think it's a -- do you think we likely to get some progress on trade with china if we go into the meeting with some very strong stuff ratcheting up how much we're going to charge them in tariffs? is that a good strategy is that a strategy designed to get a positive outcome? >> i tell you negotiating with chinese like secretary mnuchin would have us do won't get us a positive outcome and we tried that through three administrations now this one. my feeling is that the administration has gone

incrementally that has been a mistake with chinese opportunity to adjust to tariffs to get their ducks in a row. president xi is getting ready for a long siege. my feels is president has to go 25% across the board all chinese imports and if that doesn't work, go further. and by the way, to my chinese friends who were listening they may think president trump is shorter i can't predict outcome but democrats are not finding them either this policy is not going to change when we get a new occupant in the white house in two years or six. >> all right a strident this morning. you were. that's all right. >> but that's -- we can handle it. different than past. thankpeter see you soon. check the dow 30 we have slipped a little further south about two-thirds of the the dow 30 in the red and down 70 points as we speak. i've got good news story of the day gas prices, down 50 days in a row. you are average is now 2.51

gallon that's money in your pocket don't you love it? more varney after this. i am a family man.

i am a techie dad. i believe the best technology should feel effortless.

like magic. at comcast, it's my job to develop, apps and tools that simplify your experience. my name is mike, i'm in product development at comcast. we're working to make things simple, easy and awesome.

down 60 for dow industrials at 25,300. gas prices, the national average

love it 251 is down 50 straight days. patrick with gas budded did i is with us. this is where we get our information from. all right patrick here's where you make your money tell me and our viewers where is cheapest gas in the country? >> well stuart again today a dollar 69 a gallon but you would have to go all the way from -- new york there all way down to texas. where you would find buckies at $1.69 a heck of a deal might want to bring a few gallons back but 21 states have at least one station under $2 a gallon and data there 2.51 afnlg picked down to 2.49 a gallon and that's a live average and talking about taking down i don't think that will tick a whole lot of people off. >> no, on screen for patrick we've got all of those 21 states, where you can buy it from one at least one station is buck 99 or lower gasoline but let me go back to buckies in

denton, texas do you think they have that price that low to get on this program? do you think that's the case? [laughter] >> well, of course, stuart everyone wants to be mentioned on your program i'm sure that's exactly why. but you look at their wholesale price come on now. you look at their price and they're probably not making a lot of money but they're still on profitable side that is how far oil prices and wholesale gas prices have fallen it is 21 today. if you remember it, i can barely remember before thanksgiving it was five states with a station under $2 now at the 21 and we'll continue to see that number go up perhaps 25 maybe even 36. >> love it. tell me where you think the price of gasoline is going? how low are we going? >> i think we could see a national average that eventually gets down into the 2.30 but we have a long way to go and a perhaps music to ears of californians they have bigger drops along west coast with very little relief so far.

>> maybe down another maybe -- another 15 cents before we hit the absolute low on this cycle. down mid-2.30. >> i think that's certainly plausible watching oil markets today and how they're react aring to talk of russia, opec perhaps cutting production, it is not -- it is not very exciting 51 dollars barrel oil prices up ever is slightly now keep in mind watch out fors december 6th but we have more room to fall. >> patrick always a pleasure. thanks stuart see you soon. give you a live look at white house there it is moments from now, president will get onboard air force one and he's flying down to g20 meeting in argentina a different feel to this meeting you know they used to be dull. we have to cover them. but with president trump, we want to cover it. expect news my take on that, coming up next. ♪

. .

stuart: all right. president trump and the first lady, they are about to leave the white house. they are going to be heading for buenos aires in argentina. this is for the g20 summit. often what you see the president, stops answers questions from reporters in front of the cameras. if he does that, you will see and hear it all. now this. oh, what a summit this will be. for years we've seen them all parade for the cameras wearing those rather strange outfits, making dull, almost meaningless statements in the final communique. it will be different this time. trump's in town. vladmir putin will be there. his military just fired on the uranium navy. he meets our president saturday. some kind ever headline is surely guaranteed. remember this picture from the g7 meeting last year. mr. trump engaging, confronts

european leaders. europeans will be there again, pretty taken's theresa may -- britain's theresa may will be there. leaders of south korea and japan will be in argentina, not sure if meetings with president trump are scheduled, but john bolton, mike pompeo, they're going to be there. some kind of get together about north korea looks highly likely. the big deal of course is the dinner. saturday night, with china's xi xinping. there will be a photo-op. handshakes and smiles, probably. but the real business will be conducted behind closed doors. the headline emerging from that will have the world riveted. oh, what a difference this president has made. he is the center of attention in a way that obama, bush, clinton, never were. that's because this president has shaken up everything, shifted america's relationship with every major foreign power. we used to cover these meetings

because we had to. nothing much happened but a news operation just had to show up. now we're covering because we want to. a lot of will happen. news will be made, as the trump show goes global. the second hour of "varney & company" is about to begin. ♪ stuart: i look forward to this every thursday 10:00 eastern time. this is where we find out where mortgage rates are. ashley: i live for it, stu. you know that. 30-year, freddie mac, mortgage rate coming in this week at 4.81%. guess what it was last week? 4.81%. so the good news they have backed off, we were heading right to 5%. they have come down a little bit, these rates, stablized them. because of that we understand mortgage applications actually increased now. people taking advantage of the

stable rates moving in. as the rates were rising, it was frightening people off especially those trying to get in the housing market. stuart: we say this every time, 4.81% on a 30-year fixed-rate mortgage, that is historically very low. ashley: that's a good deal, right? stuart: anybody in our audience, my age, your age, can remember the days, not including you in this. liz: thank you. stuart: you can all remember double-digit mortgage rates. ashley: 16%. stuart: you paid 16. i paid 12. liz: this is for the highlight real. every week we have this conversation. stuart: let's get serious, get back to the g 20 summit. bring in fox news contributor, jason chaffetz. jason i think this is the most meaningful summit in probably a decade. do you agree? >> i do. whoever looks awkward in whatever shirts the country wants you to where, you're absolutely right there but look,

donald trump is a different policy a, he does what he says he is going to do. he isn't there to pat people on the back, to play the political correct card, and there are some big issues before us but the united states of the america is the economic and military superpower of the world and you will not be able to make progress without the united states. donald trump is a deal-maker, he says what he will do, he holds a tough line to put america first and it drives everybody else nuts. stuart: that's for sure. i will ask you to speculate. i shouldn't do this perhaps, but will ask you anyway. do you see a breakthrough of any kind with any of the foreign leaders the president will be negotiating and dealing with? any breakthrough you think you can point to? >> no, i think there could be several of them. because these world leaders are coming from their own countries and want to go back to their own press corps and population, we made things better with the united states of america. so i do think we can make progress. the biggest one is china long term that is a tougher thing to

do. the president's holding a tough line. only thing i would add to the list there has to be more discussion also about iran and saudi arabia. that will also be a headline in the mix but the big one that really matters to the united states and the markets will be china. stuart: mohammed bin salman, the crown prince in saudi arabia, he is going to be there. he is going to argentina but i very much doubt he will meet with president trump or any senior american official. what do you think? >> well i think if we're going to deal with iran and we're going to deal with syria and going to deal with yemen, those type of things the state department will have to take the lead on that type of issue. this horrific murder was wrong but i think it will come and go. i think the issues for the world are much bigger than the assassination of that one individual as wrong as it was. stuart: so i'm right in saying this is the trump show going global and president trump

dominates like no other american president in recent history? am i going too far with that? >> no. he has a bravado, he has a confidence level and he is a decision-maker and he has the back, being the president of the smites, making things happen and holding a tough line. he doesn't cower to, you know, some errant headline. that is not what drives him. he really does want what is best for the united states of america, is america first agenda, making america great again. it is not necessarily conducive to one world order but it is good for the united states of america. it forces people to come to the table and negotiate. stuart: he does indeed. thank you very much indeed, jason, always a pleasure. see you again soon. >> thank you, stuart. stuart: let's get to the markets. fed chair jerome powell moved the market yesterday because he eased concerns about interest rate hikes. gary kaltbaum with us, kaltbaum

capital management president, fox news contributor. all right, gary, i'm going to use the word of the day. >> no. stuart: yes. do you think that fed chair powell has kowtowed to the president? am i allowed to use that word on television? >> i used it in the report. i hope we're okay. that is all i can tell you. stuart: not politically correct, but there you go. >> i think 75% of powell was trump and the markets. the fed for the last 10 years, every time the markets get in trouble they seem to go the easy money route. with the president also jawboning them i think that's why you got what you got yesterday. let me be clear. jay powell went from coast to coast, from tightening to easing all in one speech. stuart: are you still bearish? because up until now, i know that you've been very, very cautious. in fact you said get out of some of the stocks you may have owned. still bearish?

>> yeah. on monday night, i put in that we had a low, not because of strength, but because we dropped 1100 points in 3 1/2 days last week and 2,000 points in nine 1/2 days. i think jay powell put a floor under the market. at least for the rest of this year. which means i think whatever low we saw ain't going to happen. we're not going down through it. i think we could pull back some. i'm actively looking to do some investing here but i'm certainly not bullish as all, as most bulls out there. i think you have to be very selective. i love how managed care stocks are acting. i love how the airlines are acting because of the oil price crashes. there are some things i am looking at right now. stuart: let's suppose. this is pure speculation, i know it. if you have some kind of positive announcement from the u.s.-china meeting, would that really help the market? >> oh, i think it definitely helps the market. i think a lot of stocks have been hurt by the tariffs so if

we get past that, those stocks, i'm talking about the caterpillars, boeings, things like that we'll start going back up in a much better way and that will affect the dow as well as the psyche and leave no doubt that tariffs and the china thing has affected the psyche of the market. looks like we got rid of the fed. now it is about that. so far all evidence in is that no deal is getting done. the good news, expectations are very low. stuart: i think you made some news today, gary, because, i mean you are no longer selling stuff. you're thinking about buying stuff. you say the market will go up by the end of the year, not a full-throated rally for a couple of years, but that is a change, a small ink change in your position, am i right? >> up until monday i was bearish as all heck but after 2,000 points down in nine 1/2 days, you know that it can't get much worse. with the fed backstopping markets, i never fight the fed. i think they have gone to the dove side again.

stuart: should i buy some more microsoft at $110 a share. >> i've been telling you for months, months, microsoft is a stalwart in the market. their cloud business is skyrocketing. i think you can continue to own it. if the market doesn't crack again i think it will continue to lead the market up. stuart: i knew i liked you. thank you, gary. good luck. >> thank you. stuart: check the big board, moderate loss, very moderate indeed, down 44 points. 25,342. apple and microsoft are still battling it out for the most valuable company in the world. at the moment i think apple has a slight advantage. only a couple billion dollars. that's it. apple is down a buck 80. microsoft down 50 cents at 110. facebook under fire after a report it considered charge being for access to look at personal data.

not supposed to do that. they thought about it. google privacy complaint by european watchdogs what they call their deceptive location tracking. that stock is down a buck. oh, look at mcdonald's. morgan stanley upgrading it. says buy it. biggest gainer on the dow. it is up two bucks. up 1.2%. 190 on mcdonald's. we have a big hour for you this thursday. president trump headed to the g20 meeting, there is a meeting coming up with china's xi xinping. could we get a deal? that is what everybody is asking. our next guest says the outcome may not be pleasant. that's different. google under fire. europeans going after it with tracking. google may have a antitrust problem like microsoft in '90s. we're on that. 55 conserve tough groups opposing president trump's plan to lower drug prices. they don't like it?

we'll have one make the case. you're watching the second hour of "varney & company." ♪ i think there are some ways to help keep you on track. and closer to home. edward jones grew to a trillion dollars in assets under care, by thinking about your goals as much as you do. starts with a december to remember at the lexus december to remember sales event. lease the 2018 ls 500 for $769 a month for 36 months. experience amazing at your lexus dealer.

stuart: all right. we were up 600 yesterday, in the first 45 minutes today, we're down 50. i will take that deal. look at please, abercrombie & fitch. look at them go. rosy forecast for the holidays and the selling season. they're up 21%. dollar tree, another retailer, they say freight and labor costs dragged on profits. doesn't matter. the stock is up 4%. we'll get into that a little bit. lower sales at express. that is another retailer. they cut their forecast. that does it. they're down 16%. let's talk football, why not? the nfl tv ratings are making a comeback. tell me more. ashley: they're up 5% through the first 12 games of the

season. ratings have been on a slide overall season averages for 2015, 2016, 2017, we've seen a drop. we know part of that is controversy and politics coming into the game. the first 12 games of this season 15.8 million. that is up 5%. one of the reason suggested that the games have been prolific. we have had 980 touchdowns through this part of the season. 8500 plus points. there have been amazing games. entertainment level. stuart: i'm an outsider here. ashley: yes. stuart: am i right they made subtle shifts in the rules makes scoring more points easier. is that accurate? ashley: i don't know if that is true. stuart: i don't know what i'm talking about. ashley: i could say yes but i couldn't tell you what they have done to do that. when you have the rams, chiefs, prolific teams, new orleans saints. there have been just remarkable. there is high-scoring games. entertainment level. stuart: everybody still hates

the patriots. now you may be watching more on tv but attendance is down. i think, lizzie, the tampa bay buccaneers, eight-year low in attendance. what are they doing? liz: for season ticketholders, limited time, giving away two free tickets to the panthers games this sunday. tampa bay buccaneers has the third worst average attendance behind the, you know the bengals and the chargers. so they're 4-7 right now. first-come-first-serve. see if it works. stuart: seems to me -- ashley: if they don't take them up you can't give tickets. stuart: there is pretty good weather in tampa. >> that could be a problem. stuart: people would prefer to sit at home and watch on the couch and see the instant replace. ashley: no traffic, paying parking. liz: better beer and food at home. stuart: cheaper too. what gets me, fighting traffic and parking. getting out, getting home. maybe i'm getting old. so much easier, watch it on tv,

why don't you. what is wrong with that? ashley: nothing. stuart: we haven't mentioned the anthem problem for a while, have we? three of the people kneeling this season came down with very serious injuries. two of them are out for good. one is coming back but somewhat later. so karma, guess. anthem karma. liz: we'll stay on it. stuart: look live at the white house. get me out of this. president will go to aboard air force one to the g20 meeting. he is goes to the camera. is drawn to the camera. ashley: you think? stuart: i do think. if he says anything, if he appears, you will hear it pronto, more "varney" coming up in a moment. ♪ helped put a roof over the heads

of hundreds of families, he's most proud of the one he's kept over his own. brand vo: get paid twice as fast with quickbooks smart invoicing. quickbooks. backing you.

♪ there's no place likargh!e ♪ i'm trying... ♪ yippiekiyay. ♪ mom. ♪

stuart: ah the maker of marlboro cigarettes in talks to by a piece of e-cigarette startup, joule. by the way juul only been in business a few short years is worth $16 billion. dick's sporting goods, you can't buy a gun if you're under 21. the stock is down 7% because of that policy. migrant caravan. there is what is called a health crisis on the migrants there on the south side of the mexican border. what illnesses are we talking about? ashley: this is from the tijuana health department have three confirmed cases of tb, four confirmed cases of hiv, 101 confirmed cases of lice. four confirmed cases of chicken

pox. becoming a humanitarian crisis. talking about 6,000 people crammed into a small area. just 35 portable bathrooms. the money by the way is running out. tijuana is not a city that has a lot of money to spend. it is costing them $35,000 a day to provide help and care and the money is running out. stuart: those democrats and leftists who want to let them all in -- ashley: encourage. stuart: encourage, cough up voluntarily the money to take care of them. partly their fault they are there. it is not our responsibility to take care of it. there will be calls for us to do exactly that, on humanitarian grounds. how can you possibly do this? it is coming, guaranteed. ashley: it is. stuart: serious story about amazon. i believe, yeah the stock is down this morning. germany opened up a antitrust probe. liz: federal cartel office, saying hey you're acting

monopolistic. the allegations are about third party sellers beingized out allegedly from the amazon platform the they're being blocked. amazon is allegedly with holding payment from two third party sellers. that amazon is trying to hoover up the third party seller info. another story out of the eu eu allegations are as follows. amazon is being accused of copycatting eu company products, then selling cheaper versions of those products on its website. all allegations. they have not substantiated yet. we're staying on the story. stuart: that is an offense. you do that -- ashley: if proven. stuart: if proven, you have a problem right there. liz: 4% global sales for the privacy angle for what is going on with google. stuart: google is under pressure. now amazon under pressure. going after big tech. got it. nancy pelosi indeed nominated as the next speaker of the house. she is going to have quite a

thorn in her side. that would be the far left. we're on that one. seems like every week we get new negative headlines about facebook. i just want to know, when are people going to start giving it up? actually we've got an ends to that. we'll be back. jardiance asked: when it comes to managing your type 2 diabetes, what matters to you? step up to the stage here. feeling good about that? let's see- most of you say lower a1c. but only a few of you are thinking about your heart. fact is, even though it helps to manage a1c,

type 2 diabetes still increases your risk of a fatal heart attack or stroke. jardiance is the first type 2 diabetes pill with a lifesaving cardiovascular benefit for adults who have type 2 diabetes and heart disease. jardiance significantly reduces the risk of dying from a cardiovascular event... ...and lowers a1c, with diet and exercise. let's give it another try. jardiance can cause serious side effects including dehydration. this may cause you to feel dizzy, faint, or lightheaded, or weak upon standing. ketoacidosis is a serious side effect that may be fatal. symptoms include nausea, vomiting, stomach pain, tiredness, and trouble breathing. stop taking jardiance and call your doctor right away if you have symptoms of ketoacidosis or an allergic reaction. symptoms of an allergic reaction include rash, swelling, and difficulty breathing or swallowing. do not take jardiance if you are on dialysis or have severe kidney problems. other side effects are sudden kidney problems, genital yeast infections, increased bad cholesterol, and urinary tract infections, which may be serious. taking jardiance with a sulfonylurea or insulin may cause low blood sugar. tell your doctor about all the medicines you take and if you have any medical conditions.

so-what do you think? well i'm definitely thinking differently than i was yesterday. ask your doctor about jardiance- and get to the heart of what matters. ask your doctor about jardiance- our new, hot, fresh breakfast will get you the readiest. holiday inn express. book now for at least 20% off during our annual sale. there's brushing...and there's oral-b power brushing. oral-b just cleans better. even my hygienist said going electric could lead to way cleaner teeth. and unlike sonicare, oral-b is the first electric toothbrush brand accepted by the ada. oral-b. brush like a pro.

♪ stuart: well i like that one. i kind of like that one. that's from the beatles white album of course. came out 50 years ago.

wait a second. there is something going on here i don't know about. i don't know what is on the screen. people on twitter are celebrating the white album, 50 years? liz: about millenials redoing the beatles songs. i get by with a little help from my parents. we all live in our parents submarine. strawberry fields whatever. stuart: i get by with help my parents. eight days a tweet. i like it. yelp. i eye identify as the walrus. what is a paper back? that is funny. liz: also eleanor bigly is funny. i saw her streaming there. stuart: not bad. liz: while my iphone gently tweets. stuart: not bad. liz: this is my own creation. bebe you can drive my parents

car. which one you like. this is millenials take. stuart: i don't like millenials messing around with the beatles. i take it. baby, you can drive my parents car. liz: yay. stuart: president trump speaking to reporters right now before leaves for argentina. we're waiting for the headlines. we do know he is speaking about michael cohen's guilty plea today. when the full tape comes in, when it feeds to us, we're waiting. promise as soon as we get it you will get it. promise. check the big board. we're down 100 points now. up 600 yesterday. down 105 after exactly one hour's worth of business. the dow on pace since for the best week since the 2018 election. "new york times" has a big front page article on the rally

yesterday, one of the things say, analysts quickly warned that investors were overreacting. look "the times" doesn't particularly want anything about the market, the economy or president trump, but do you share that view, that investors overreacted yesterday? >> no, no. i don't think so. i think with what fed chairman powell did was to sort of level, set expectations for interest rate increases and if there is any relief there, if there is less than the four that people were talking about next year, if it is closer to two or three, then we're going to get some relief there. the markets will push higher through the end of the year, like we talked about the last time i was with you. stuart: you're been with us several times in the past six months. you always said, we keep on pushing higher by the end of the year. so okay, you're on record. santa claus rally, here it comes. >> that's right. stuart: what about the trade issue though. the g20 meeting, the meeting

with xi xinping, that could upset things, couldn't it? >> it could. i think at the end of the day the president will be able to come back with something from that summit. might be not what he is hoping to achieve but he will be able to come back with something. maybe they will come up with some wording on an agreement with intellectual proper treatments or, market access, something of the like, something to move the conversation or the policy in the right direction. it won't be complete but it will at least move in the right direction. stuart: would that mean a market rally come monday morning? >> i think so. i mean i think, my base case, stuart, for this year we'll end the year on the dow as we talked about the last time, about 26,000. over the course of the year there will be a 5% price increase. throw in a couple points for dividends, 7% total return. for the market at this point in the cycle, it would be putting

up 7% total return. that is a good number. that is a solid result for the year, given that most of the markets around the world are either in correction or, or are downright bear market. stuart: by the way, hans, the president has spoken to reporters. he walked out of the white house on his way to air force one. we know a little bit of what he said. we're waiting for the tape. he said he is doing something with china, doing something on china, at g20, but he would not elaborate. i noticed that the market is not reacted very much although it has come from a minus 70, to a minus 30. it sounds like we might be having, getting something positive here though, doesn't it? >> i think so and it is really about, you have two players who are interested in getting deals done, right? they're transactional. it is in both interests to get some sort of agreement on the elements of our trade

relationship. xi is dealing with a slowing economy in china. he needs something, some relief there. the tariffs seem to be having a bite there. and the president should, it is hopeful, hoping to get something along with his agenda to get a better trade relationship, a fairer exchange of trade there. so i think it benefits both to do something. stuart: hans olson, our favorite norwegian of norwegian extract i will say. i leave it at this. santa claus rally, here it comes. thank you very much. >> thank you. stuart: "the wall street journal" reports that facebook actually considered charging companies for continued access to user data. this was several years ago, they didn't actually do it but considered it. jim anderson, social flow ceo is with us now. look, jim, seems to me the bad publicity, the bad pr just keeps piling up and piling up, against facebook. is there any evidence that you

can point to that people are stopping using the site or limiting their use of facebook? >> well, stuart, i think you're exactly right. they're like body blows in boxing, one hit after another after another. you have to wonder about the cumulative effect. that said we do not yet see any indication of people decreasing their usage of facebook. hear it anecdotally. i will give up facebook. i given up facebook and moved to instagram which sended by facebook. you will hear anecdotal reports eventually we may see it. 2.1 combined users across platforms. at some point they will run out of human beings and at some point people may pull back. stuart: i believe in the last earnings report in facebook, the daily users in europe were down one million. i got to presume that's because of the bad publicity? >> could be. i don't remember that one specifically. they're sort of very. very judicious how they break out the

u.s. andries of the world. wouldn't surprise me one bit. when you're saturated in one market, one million is not a large number in facebook scale. i'm sure they pay attention to it, they're really concerned about that. so far, so good. i think the stock price reflects that. stuart: i guess so, 137 on facebook, not exactly fallen out of bed. it is down significantly from its high. next one is google. they're underfire. hit with a privacy complaint over their location tracking for ad targeting purposes. again, this is another company where the bad pr is piling up and piling up, but i got to say, jim, the stock has not really taken that big a hit? >> yeah, this will be a long-term issue for them. and we talked about this before, these big tech titans, they're so dominant they have such a large footprint, doesn't take much to illustrate how they use their dominance in unfair ways. you were talking about the amazon which is the latest.

google got two fines from the eu which totaled $7 billion. this latest complaint is not yet from the eu. it is from a watchdog organization. not hard to imagine it could come from the eu. it really harkens back to what microsoft went through in the late 1990s. u.s. justice department, did. microsoft went through two decades of wilderness. now back to point where they're one of the most dominant tech companies out there. for two decades that doj action stifled innovation and limited microsoft to be competitive in the spaces they dominated. stuart: facebook, google are real targets. jim, see you real soon. >> thank you. stuart: president trump, going after general motors again this morning. here is the tweet. general motors is very counter to what other auto and what other companies are doing. big steel is opening and renovating plants all over the country. auto companies pouring into the u.s., including bmw which announce ad major new plant. the usa is booming. it's a different story with

forbes. liz: yeah, they're shifting 1150, instead of getting rid of workers, they're shifting workers. they're changing shifts. 1150 workers out of michigan and kentucky to different factories to build things like the ford expedition and lincoln navigator. stuart: in my opinion -- liz: not the lincoln navigator. to build the ford expedition and other cars. stuart: the problems at general motors and ford are not so much problems with president trump. i think it is problems with the car market itself. ashley: it is slumping. stuart: enormous amount of overcapacity around the world. we can produce millions of cars people are not buying. ashley: people's tastes changed. all suvs. stuart: 75% of general motors sales are small trucks and suvs. 75%. ashley: wow. liz: that is a great point. u.s. motor vehicle sales are little changed over the past three years. stuart: yeah. liz: carmakers are trying to deal with that.

stuart: the old leading indicatorss housing cars, are not real leading indicators now, are they. like iphones i think. liz: good point. stuart: general motors stock down 1% this morning. president trump speaking to reporters. as of right now before leaves for argentina. he is talking about china, michael cohen, paul manafort. we'll bring you the full remarks when they are fed to us any moment now coming up. do you remember this? this is president trump at the g7 squaring off very clearly with european leaders. now he is going to g20, where i think it will be a summit like we've not seen in a long, long time. bret baier gives us his take. that is in our next hour. ♪

the day after chemo might mean a trip back to the doctor's office just for a shot. but why go back there... when you can stay home with neulasta onpro? strong chemo can put you at risk of serious infection. in a key study neulasta reduced the risk of infection from 17% to 1%, a 94% decrease. neulasta onpro is designed to deliver neulasta the day after chemo and is used by most patients today. neulasta is for certain cancer patients receiving strong chemotherapy.

do not take neulasta if you're allergic to it or neupogen (filgrastim). an incomplete dose could increase infection risk. ruptured spleen, sometimes fatal as well as serious lung problems, allergic reactions, kidney injuries and capillary leak syndrome have occurred. report abdominal or shoulder tip pain, trouble breathing or allergic reactions to your doctor right away. in patients with sickle cell disorders, serious, sometimes fatal crises can occur. the most common side effect is bone and muscle ache. if you'd rather be home ask your doctor about neulasta onpro. pay no more than $5 per dose with copay card. ♪ ashley: in the last hour, market watcher greg valliere told us how fed chair jerome powell gave a boost to the markets. take a listen. >> i think he understood the market concern. he didn't capitulate to donald trump, stuart. he understood with the selloff in the market this fall, the drop in housing prices.

drop in commodity prices, that something was going on. that he couldn't continue to argue the economy was at risk of overheating. so he did the right thing. he retracted that stupid thing he said about a month ago, that we're a long way away from neutral on the funds rate. he acknowledged reality. we are very close to neutral. (toni vo) 'twas the night before christmas, and all thro' the house. not a creature was stirring, but everywhere else... there are chefs, bakers and food order takers. doctors and surgeons and all the life savers. the world is alive as you can see, this time of the year is so much more than a bow and a tree. (morgan vo) those who give their best, deserve the best. get up to a $1,000 credit on select models now during the season of audi sales event.

today's senior living communities have never been better, with amazing amenities like movie theaters, exercise rooms and swimming pools, public cafes, bars and bistros even pet care services. and there's never been an easier way to get great advice. a place for mom is a free service that pairs you with a local advisor to help you sort through your options and find a perfect place. a place for mom. you know your family we know senior living. together we'll make the right choice. stuart: it is just coming to us now. that is the tape of president trump and what he said as he walked out of the white house on his way to air force one this morning. here it is. >> through the house as i understand it and the senate. he put out a statement talking about a project which was essentially, i guess more or less of an option that we were looking at in moscow.

everybody knew about it. it was written about in newspapers. it was a well-known project. it was during the early part of 16, i guess even before that. it lasted a short period of time. i didn't do the project. i decided not to do the project. so i didn't do it. we're not talking about doing a project. we're talking about not doing a project. michael cohen, what he is doing, he was convicted, i guess, you will have to put it into legal terms, but he was convicted with a fairly long-term sentence on things totally unrelated to the trump organization, having to do with mortgages and having to do with cheating the irs perhaps, a lot of different things. i don't know exactly but he was convicted of various things unrelated to us. he was given a fairly long jail sentence, and he is a weak person, and by being weak unlike other people that you watch, he is a weak person and, what he is trying to do is get a reduced

sentence. so he is lying about a project everybody knew about. we were very open with it. we were thinking about building a building. we have a option, i don't know what you call it. we decided, i decided ultimately not to do it. there would have been nothing wrong if i did do it. if i did do it there would have been nothing wrong. that was my business. so he is lying, very simply to get a reduced sentence, okay. [shouting questions] stuart: which momentarily lost audio there. the president was talking about michael cohen. it is back. let's listen in. >> when i run for president, that doesn't mean i'm not allowed to do business. i was doing a lot of different things when i was running. after i won, obviously i don't do business, from january 20th. more importantly, which is following year. but, i ran a business, in fact, i often joke about the fact that

i was the only person that campaigned and simultaneously ran a business. but that was, that was a project that we didn't do. i didn't do. that was a project that wasn't done for a lot of reasons. number one is, that i was, not that i had to do it, but i was focused on running for president. i wanted that to be my primary focus, not running or building a building. [shouting questions] [inaudible]. >> this was a deal that didn't happen. that was no deal. if you, this was an option. i guess, i don't know, i want to be very specific but to my way of thinking it was an option i decided not to do. [. so we didn't, if you look we really didn't -- excuse me, excuse me. this was an option in a form but here is very simple.

we had a position to possibly do a deal to build a building of some kind in moscow. i decided not to do it. the primary reason, there could have been other reasons, the primary reason, it was very simple, i was focused on running for president. there would be nothing wrong if i did do it. i was running my business while i was campaigning. there was a good chance that i wouldn't have won. in which case i would have gone back in the business. why should i lose lots of opportunities. so here's the story, go back and look at the paper that michael cohen wrote before he testified in the house and or senate. it talked about his position. what he is trying to do, because he is a weak person, and not a very smart person, what he is trying to do is, end, it is very simple, he has got himself a big prison sentence. he is trying to get a much

lesser prison sentence by making up a story. now here is the thing. even if he was right, it doesn't matter, because i was allowed to do whatever i wanted during the campaign. i was running my business. a lot of different things during the campaign. so very simply, michael cohen is lying and he is trying to get a reduced sentence for things that have nothing to do with me. now let me go a step further. i think you should go back to, i think it was january, it was just reported very well by catherine harris, a terrific reporter on fox. she talks about a letter he signed. i don't even remember it. it specifically talks about this deal. this deal was a very public deal. everybody knows about this deal. i wasn't trying to hide anything. okay. [shouting questions] [inaudible] >> i cannot understand you. >> [inaudible]

>> we'll talk about, we have a lot, we have a lot of things to talk about. >> you're going into a summit. what is your sense about a trade deal with china. what do you expect to say to mr. xi? >> i think we're very close to doing something with china, but i don't know i want to do it. what we have right now is billions and billions of dollars coming into the united states in the form of tariffs or taxes. so i really don't know. but i will tell you that, i think china wants to make a deal. i'm open to making a deal. but frankly i like the deal we have right now. reporter: [inaudible] >> i probably will be meeting with president putin. we haven't terminated that meeting. i was thinking about it. they would like to have it. i think it's a very good time to have the meeting. i'm getting a full report on the plane what happened with respect to that. and that will determine what i'm

going fob doing. [shouting questions] reporter: said you would get a full report on tuesday. did you get that report -- >> i have a couple of reports. we're getting a finalized report, talking about on the russian situation with the ship and ukraine? yeah. we're getting a finalized report. i will have it on the plane sometime today. [shouting questions] reporter: why are you not meeting with the crown prince? >> it wasn't set up. reporter: [inaudible] >> it wasn't set up. i would have met with him. we didn't set that one up. i'm meeting with president sri which is very important meeting having to do with trade. i'm making about three or four meetings. we just didn't have time. reporter: if cohen is,. reporter: [inaudible]. >> are you going to bring up americans held in china? >> i will bring it you, yes. reporter: [inaudible] >> i doesn't hear you. you have to talk. you see that? you have a helicopter. reporter: [inaudible] >> no the question was asked

yesterday about pardons with respect to paul manafort who, it is very sad what's happened to paul the way he is being treated. i have never seen anybody treated so poorly but the question was asked to me by "new york post," said, no i have not offered any pardons. and i think they asked, or whatever, would you? i said i'm not taking anything off the table. that was done as a question from "the new york post." [shouting questions ] reporter: if cohen is such a bum, why did you hire him have him on payroll 12 years and do so much of your dirty work? >> because a long time ago he did me a favor. a long time ago he did me a favor. the shouting questions. >> not at all. i'm not worried about him. take a look at his written

document. look at what he wrote i think in january. he has a written statement. and that is the fact. yeah. reporter: [inaudible]. -- friends no longer europe like them in america. what do you want to say -- >> i don't know, you can't with the helicopter. sorry. [shouting questions] >> say it? , if we don't get the wall money, very possible. reporter: [inaudible] >> we're in negotiation, if we don't get border security, possible shutdown. [shouting questions] stuart: the president walks away there after answering numerous questions there, from the assembled media. let me wrap up what he said. most of that tape was all about the guilty plea this morning from michael cohen, the former

lawyer to the president, who is, he pled guilty this morning to lying to congress. the president said he is lying himself to try to get a lower sentence. he was asked, if he is such a bum, that was the word used, why did you hire him in the first place? the president sate, that was a long time ago and he done me a favor. a very small part of that tape, that question and answer with the president, a very small part was about china. he was asked about how is things going? how about a deal? his response was, china wants to make a deal but frankly i like the deal we have now. implying that the tariffs that he is imposed he likes them. ashley: reacting to that. liz: that could be so. stuart: let's fill that in. when we started out with the tape, just about 10, 15 minutes ago, the dow was down 70 or 80. now it is down 150. it may be that part about china, that has got to us.

i believe we have michael pillsbury with us, that correct? >> yes. stuart: michael, you're our china expert. the president said in response to china. china wants to make a deal, frankly i like the deal we have now. that sounds like the president's taking still a very hard-line. what do you make of that statement? >> well the chinese have revealed in this morning's news what their approach is going to be in buenos aires. it is up to the president to decide if he wants to see that as sufficient progress or not. stuart: what do you mean, michael? what did the chinese say this morning? >> the chinese prime minister, he said that china's market, the opening, access, technology standards, will meet world bank standards in the future. so the chinese are trying to say to the world, we are not making any special deals with president trump. we're not helping the americans because of the pressure on us from the tariffs. we're going to do these things anyway and the whole world can benefit because of so-called

world bank standards. that, if you take a globalist view, stuart, that is good news because china's opening up the, also used phrase, we'll open up more than the last 40 years. it sounds good but its not exactly bilateral saying president trump, you had this case against us, you had technology theft allegations and we're going to fix a bilateral problem. not meeting president halfway. stuart: isn't that a way for china to save face, give a little, open up a little but save face saying it is not just with america? >> right. of course it is. on sunday, the dinner you know, is saturday night. stuart: yep. >> six on each side. given time for translation there is really only not even quite an hour for each leader to make a presentation. there is a one-on-one meeting just before that. there could be some flexibility shown by president xi in that meeting but sunday when the announcements come, that is what

we're all looking for. do both sides claim victory and say something positive? or does president trump again say this is not sufficient, i'm going ahead with the full tariffs? stuart: thank you. >> we don't know that as of today. stuart: but you spelled it out just perfectly. that is exactly what we'll be looking for. thank you very much indeed. stay right there, please, michael. bring in jason chaffetz, fox news contributor. i want to refer to what the president is saying about michael cohen who pleaded guilty to lying to congress. the president says cohen is lying because he wants to get a lower sentence. your assessment what was said about cohen there? >> well i think if mueller, if this is what he has on cohen he lied, that is not going to be much. mueller is supposed to be investigating what russia was doing to invade our election process. some, two-bit lawyer who was, lying to congress, if you lie to congress, you should be convicted. you should be charged. but the department of justice

has been terribly inconsistent. hillary clinton lied to congress and they didn't do a darn thing about it. the chemical safety board, never did anything about it. terribly disappointed in the white house press corps. they're a national embarassment. i think questions they were throwing to donald trump, the leader of the world superpower leader on, you know economics on military, and they're asking questions about cohen, cohen, and cohen again. stuart: what really annoys me, the mueller probe, two years old, and we still haven't seen anything yet. that, frankly, that is ridiculous. >> if this is what they have got, yeah. yeah, but i think president was very clear. he is very open. he is very transparent about this. if you lie to congress, i think you should be convicted. duplicity of the department of justice, not charging, you know, coming to plea deals with others who have lied to congress, they seem to pick on trump, but don't do it against anybody in the obama administration.

stuart: last one for you, jason, the president did say that he is, i think the word was he is willing to shut the government down to get the wall. i think he reit rated that again. sounds like something he will do. >> that should be a lead question. we are facing a budget shutdown we are facing a budget shutdown next week, the quarter funding is critical to that, but the president is demonstrating that, yeah, i'm getting my border while funding and facing a veto appeared stuart: i want to go back to our china guy if i can put it like that. michael, you told us we should be waiting for that announcement on sunday after the saturday night dinner about whether or not mr. trump says okay we've got something from china but it's not good enough or whether he says you were moving in the right direction. would you speculate you think it'll be a partner statement come sunday morning?

>> the leverage will be increasing if he continues to but the tariffs on. he doesn't have to slap them on. there has to be a set of hearings conducted by the u.s. trade representative can sometimes go on two or three months. the big issue really is will bob lighthizer start talks or will we have washington that must precede my law slapping on terrorism whole 100% of chinese exports feared my own hunch is the president will start the clock feared he would not be happy with the global approach china is now taking i said this morning were going to fix all countries. that said, the europeans have also suffered from chinese technology theft, market controls can restriction on investment. so in a way, the chinese announcement is helping our european allies, japanese, everybody. the president could take the

view that i saved you all from these chinese market restrictions. i'm not certain what is going to do. thank you very much. we appreciate it. thank you and a gentleman. it is now right on the button 11:00 on the east coast era new york, 8:00 in california. richardson the president before he left for the g20 summit. let me recap what he said. most of what he had to say was about michael cohen who pleaded guilty to lying to congress. he said he come a cohen comments line to get a lower sentence. why did you hire this guy in the first place it be so bad in his response was both a long time ago when cohen it done me a favor. the president talked about the upcoming meeting with xi jinping. he said china wants to make a

deal, but frankly i like the deal we have now. china expert moments ago said wait a second, the chinese this morning that they would open up to the whole world without necessarily stating we are opening up just to president trump. the announcement comes sunday morning about whether president trump accepts that or whether he will demand a great deal more. there you have it. steve helton, the next revolution house on the fox news channel. >> hi, stuart. stuart: i think this is going to be one of the most important summit in many, many years to get the scout meetings with all the power brokers throughout the world. a deal, right, steve? >> it's a huge deal. mike pillsbury set it up perfectly. i want to sort of move in on

precisely because it is so big, and the stakes are so high and it's incredibly important in the president stands firm up to china because my view is not seen china says can be trusted or even really believed. we heard this for years about opening up. ever since they started they not, it's gone in the opposite direction. he got a much more authoritarian regime, a communist regime that we've ever seen before. it's going in the wrong direction. it's really important regardless of what china says they are at the dinner, president trump has to continue to get tough policy with china. stuart: from our point of view, where financial program. we follow the economy very closely. from our point of view, that financial standpoint we want something positive to come out of this. even if it's just window dressing.

>> that is quite a short-term taking it. the threat they pose to not just our economy but our society. they are raising a hand to take control of the technologies that will shape the future appeared artificial intelligence, quantum computing, things really dramatically change the 21st century. they want to apply that not just the economy but the military appeared to have a stated goal of being a world superpower, toppling america and running the world according to their values which are not the values we want. i understand people are looking for a bit of calm in the waters with the tariffs and the tit-for-tat and so on. i'm afraid it's a much bigger more long-term thing. president trump has done a fantastic job of changing the policy we've had for so long which is to basically up to

china. it's really starting to hurt china. that's why you see them coming forward but it not enough. stuart: quickly on brexit because you're the expert here. december the 11th preparing for a televised debate with jeremy corbyn in today's before the vote. i don't think that it's going to be a guest vote on the deal, do you? >> know and it shouldn't be. i want to be really clear what their viewers about this because what to reset may have come back with is not actually a deal and it does not deliver brexit. the reason it's not a deal is because all the difficult questions about the future relationship between britain and the e.u. are all printed into the future for two-year transition. he and then they start

negotiating about the future relationship between britain and the e.u. this prolongs the uncertainty which is so bad for business. it's not brexit because during the two-year period britain is subject to most e.u. roles. it is a disaster. she to be kicked out and what needs to happen is a clean break from the e.u. and then you can put in place the pro-business measures, cut regulation and all the things we've seen work here. strength in the british economy and then negotiate with the e.u. for a position of strength. stuart: hardlined steve helton emerges casting off a shell of moderation. we love it. as for joining us. appreciate it. >> great to see you. stuart: the big word has been down since the president made his announcement on michael cohen amnon china. down just 120 points. we been down 150.

do check snap down today at 1.9, $6 a share. amazon should add that thing, by snap, help them leverage with the users and technology. andrew left is with us, such research founder. you're a short guide. you short the market, don't you? >> about the tallest guy. stuart: sorry commissary. you short the market, don't you? >> yes, i'm known as a short seller, yes. stuart: have you been shorting snap? >> i just look at opportunities and icy winds docs or have heavily shorted. the amazon by snap may not happen because evan siegel came forward and said he wants to stay private for the next five years. amazon with an advantage in the marketplace with europe they can

take great advantage of 185 million millennia else in purchasing decisions by doing some commerce integration and using the cameras offered by snap shot for a search for congress. stuart: we will see if they can commence phase is to sell. >> we will see. you bought nvidia. i don't remember whether you shorted dipping or whether you're buying it. >> i was sure for a while. 200, 250, 280 and never went that i was crazy. their earnings coming you saw their new graphic as it should have been. finally, the stock two weeks ago got to $135 i bought the stock. it's up 17% and 18% since i'd

bought it. yesterday amazon announced they are putting their own artificial intelligence chip for data centers. we are seeing competition from china, a.i., intel, google ntp use. as an investor is probably best on the sideline. >> are you shorting general motors? if you short something you're betting it's going to go down. are you betting that gm goes down because it's under attack from the president. >> yeah, i'm not sure. there's two issues at general motors. the stock side, financial side in their responsibility to society and the situation with the president. someone in the stock were looking for images and how can i make money. you're better off walking away from general motors on a longer short side. stuart: you've taken sure positions that the marijuana

producers. are you still shorting? >> i am still sure cannabis. i will stay short cannabis. the canadian cannabis producers are all extremely ridiculously overvalued when people see earnings close to the projections. so yeah, i'm definitely short the cannabis names. stuart: that's an interesting introduction to a guest who comes on the show later today. that would be the dixie brand of ceo to to the ipo in canada today. interesting that you are shorting them. thank you for joining us. >> i'm not shorting them in particular. just because it might be an industry that's growing, not necessarily go to the bottom line. stuart: thank you free much for joining us, sir. we've got other stories were following. at the southern border migrants in the caravan could potentially

bring -- well, they've got serious health issues right there. we are going to detail what this guy. the president still threatening to shut down the government over border funding. president trump on his way to argentina for the g20 meeting. coming up we'll talk with fox news sunday. we really care because president trump holding forth at will be back on that one. the market down 130 points for the dow industrials not in the low the morning but almost. harvard economist martin felt times as the market yesterday and the fed should continue to raise rates. he makes his case this hour. jampacked hour ahead. "varney & company." ♪

beyond network complexity. to a zero-touch, one-box world. optimizing performance and budget. beyond having questions. to getting answers. "activecore, how's my network?" "all sites are green." all of which helps you do more than your customers thought possible. comcast business. beyond fast.

stuart: mexico's health department says thousands of migrants have been treated for health related issues. can i out what's going on here. jeff pollock in tijuana. just, spell it out, what health issues? >> yeah, first of all the big concern today which will complicate help issues is a pretty wet day in there expecting the worst of the rain to have been made day. you can see over your migrants who made that journey from central america are doing their best to stay dry. blankets on top of the tent to keep the rain out. the weather will only complicate the health issues. we are getting solid numbers about just the impact it had on this migrants. the big larry number of confirmed cases of chickenpox, skin infections of the respiratory issues. 60% of the migrants right now suffer from respiratory infections and because of that they are living in these close

quarters together, more than 6000 migrants all living together. when one person get something like a respiratory infection that can spread very easily. one of the other ratios we are seeing now here is the existing amount of resources available to these people and because of that they have to rely on some of these nongovernmental organizations to help them out, get basic necessities like food and water. the situation out here not getting any better for those migrants as they move forward and they're all sort of in a holding pattern about what's next. >> can you bring me up to date unless ms-13 gang member we here was arrested. tell me more. >> yeah, he was arrested about 125 miles away from where we are. this speaks to the administrations worry that the caravan is full of criminals. this is one person of more than 6000 but one member nonetheless. stuart: thank you for joining

us. still on the immigration issue, president trump says he would be willing to shut down the government over border while funding. senator john holden from north dakota is with us now. do you agree with that, mr. senator? he should shut down the government if we can get money for the wall. >> we need to get funding for the wall and we are getting $5 billion to fund the wall. you see what's going on there. i think it something americans strongly support. we are working hard to get them we want colleagues across the aisle to join republicans in the house and senate and from the wall. stuart: surely this is a political winner. the politics have really shifted surely you're in the dominant political position to demand this because that really is what america wants. >> we strengthen our hand. we've passed five bills which is

about 75% of the total funding so it wouldn't be a shut down. we have to press this very vigorously. again, back to the merits. securing the border and that is something the american people will press for as well and that helps us in this negotiation. stuart: what would you be prepared to give up in return for funding the border wall? some of the dreamers could stay perhaps. would you negotiate like that? >> the president put a deal on the table where you build the border wall and address immigration where we go to immigration based on merit rather than chain migration or the visa lottery system. those are principles that everybody can get behind. stuart: senator john holden coming thank you for joining us.

the price of oil this morning is that a little. not much. $1.24. $51.53 a barrel. meanwhile, look at this. the price of gasoline is tumbling one point i said to 2 cents a day. $2.51 as the national average down 50 days in a row. cheapest gas in america where you can buy a gallon for $1.69. the cheapest state overall is missouri with an average price of not date, the average $2.13. take a look at days. q. are the states where you can find gas to $1.99 or below. 21 dates now. that is cheap gas. president trump that the christmas tree last night as he declared merry christmas. the first lady hit the switch.

this is a presidential tradition goes back to 1923. in new york, rockefeller center the christmas tree very late last night. decorated with five miles of led light. 900-pound crystal star at the top. the rockefeller center first began in 1931. as mayor is introduced, this happened. >> we have the mayor of new york city, the honorable bill deblasio stuart: i think there was a little billionaire. we just had to show you that. which country is the richest, happiest, healthiest and most prosperous. i've got a clue. eight of the last nine years.

(vo) gopi's found a way to keep her receipts tidy,

even when nothing else is. (brand vo) snap and sort your expenses with quickbooks and find, on average, $4,628 in tax savings. quickbooks. backing you.

stuart: we just asked you which is the richest, happiest, healthiest, most prosperous

country. norway. it's held the top spot for eight years. the cato institute looked at all these countries that base their findings on the strength of the economy, natural environment. rounding out the top five. new zealand go in there for christmas. finland, switzerland, denmark and america finished number 17. which city has the most millionaires per square mile? geneva switzerland. extend thousand 958 millionaires per square mile. monaco number two, 13,400 per square mile. san francisco, zürich and paris, france. millionaires in those cities attributed to new investments in property values. dixie brands, the leading candidates out of old provider.

the company distributes snoop dogg's cannabis brand called lief beisner. the companies going public on the canadian stock exchange. they've got a marijuana shortage. the ceo is going to join us nonetheless. mark feldstein is next. is trade the final hurdle to a great big stock market rally. i will certainly ask him.

stuart: we've moderated the loss. we were down 100 xt. let's not forget yesterday the dow was up 617 points and now we are down exactly 125,000 we drop down 99. martin feldstein is with us, honored guest, harvard university professor of economics. >> no, still the real thing. you think the fed should keep on raising rates, don't you? >> the fed funds rate, the one that they control is essentially in real terms.

that's not a good place to be. so for that reason they have to do it, but they also need to have it up a bit so when the economy turns down they've got something to cut. stuart: do you think jay powell was job owned by the president to knock it off, don't go raising rates. >> the president? i doubt it. i don't know who put that phrase in their. he read it, but maybe this staff wrote it. it's a big reversal from where they were the last time when they were heading to 3.4% in the next couple years. to say we are nearly there, is 1% near? i think the market got carried away.

overreacted. stuart: really? he also said it's hard to measure this thing called the it's very uncertain. how do you know if you're almost there? >> nobody understands. >> and i guess i'm one of them. stuart: one last one. 4% growth in the second quarter of the year. 3% growth in the third quarter. i'm told it will be 2% didn't change in the fourth quarter. no, not good here that the downtrend. the last thing you want is the federal reserve raising interest rates as a trend lower. >> remember where those rates are. they are essentially zero in

real terms. even a 10 year rate is around 1% in real terms. stuart: but if it's not low in the is still coming on it down trend, why'd he have to raise rates at that point? >> the main reason for raising it is we will have a recession sunday. it may not be next year. maybe the year after. after 10 years without a recession i think were going to have one. recessions usually are not so bad because the fed moves quickly to cut rates by a lot. you can't cut rates by a lot if you're too in a court or percent on the fed funds rate. stuart: i'll go back to my original question. that's a recession track. >> that's not going to happen. we're not going into recession next year it must something happened to make it occur. the thing that is most likely is

the overvalued equity prices because of a decade of near zero interest rates. for a rate hike. >> it's the long wait double down on what happens to the equity market and the large fiscal deficit was slightly increasing inflation although were not seen much of it, i think we will see rates get back to something looking like normal. stuart: last one. an announcement on sunday morning between president trump and xi jinping of china. well, after the dinner they held the night before. some people speculate there is going to be a positive announcement of some sort. though smile, shake hands cannot say something nice. >> i would be nice but it won't change reality. >> at that happens the market goes up. >> the market should ask her the chinese going to do something about stealing technology.

stuart: the market doesn't care so long as we don't have these terrorists. >> i think were going to have those tariffs. >> in the market goes down. >> i think looking ahead that is going to happen. that is the trump strategy to get the chinese to take seriously the things they are doing that we think are basically stealing technology from the united states. stuart: the professor of economics, argued the professor? not quite. i guess they are about 20 professors of economics at harvard these days. stuart: i will never be one of those. >> i won't be you either. stuart: lucky you. martin felt time, thank you. something completely different. dixie brands. that is really different.

the leading candidates out of old provider in america now going public on the canadian stock exchange. guess what, ceo chuck smith today next to me. dixie brands. >> yes, sir. stuart: website going to do it the deep south? >> look, a global market in a great company in the u.s. and we are paying homage to the south. >> as i understand it in colorado where it's been legal for some time, 40% of the marijuana consumed is in edible form, eatable, drinkable. >> that's right. that's a last couple years from 25% seed really explosive growth and abuse products category. stuart: i don't mean to be pejorative. as edibles go up, that is because people like walking around stoned all day because they can have a much for

breakfast and there's no smell and they can keep eating all day long. how far wrong am i.? >> the great news about the fact this industry has now become a global industry, and these statements are going to be going away. the fastest-growing segment in the industry today are consumers 50 years and older using cannabis products as part of their wellness platform. frankly as a replacement for opiate they have to take to help them sleep or for pain management and as a supplement to their social platforms. instead of alcohol or using low-dose cannabis products. >> you get the same high eating and smoking it? >> different reaction based on the person's body type. our job, by the way, what makes us different is we've been around for nine years.

somebody called me an og. i thought that stood for old guy. the reality is it's nine years of building for a meal as. nine years of building the intellectual property that allows us to deliver consistent, reliable and safe product. stuart: i remember "new york times" columnist went to colorado when the first week of legalization. she bought some of the edibles. i think it was a bar of chocolate. she took a bite out of it. it didn't work. so she promptly went into dreamland. so have you spread the dosage around each of the edibles you sell? >> given the time dixie has been doing the formulation, we have perfected homogeneity so the very first bite of a product or said product or sip of the drink is the same as the last. i would also tell you our company so we've developed a

thick cement, a dissolvable tablet equivalent to half a glass of wine. now you can really manage your dose and use it in a way you understand and fix your social or medical consumption needs. stuart: chuck smith, dixie brand, ipo and canada. thank you for being with us. "the wall street journal" reported facebook considered charging third parties for access to user data. you may run for mark zuckerberg zuckerberg.congress this year that facebook does not sell data. a lot of pressure on facebook. a lot of publicity. the stock is up 1 dollar. google hit with a complaint. they say google users deceptive tracking practices for added targeting. google ceo will testify next month to the house judiciary committee on an alleged biased

against conservatives. the stock is down $2. sporting goods retailer says there is a backlash of gun policy. they won't sell you a guy unless you're 21 years old. that has hurt sales and not asserting the dock down 7% as we speak. president trump on its way to buenos aires. raking is i'm not. blake burman, go for it. >> meeting between president trump and president putin will not happen, stuart. about three minutes ago from president trump treating the following. based on the fact the ships and sailors have not been returned i decided it would be best for all parties concerned to cancel my previously scheduled meeting in argentina with president vladimir putin. i look forward to meaningful summit again as soon as the

situation is resolved. let me take you through the timeline of events here. a week or so ago between russia and ukraine as it related to vessels in that area. the president asked about it said he was not happy about it. then the white house said the meeting would happen between president trump and president putin. shortly after that, president trump said in an interview in thinking about canceling the meeting. i want a briefing. the kremlin yesterday said as far as they had heard the meeting would take place. now fast-forward to the president on the south lawn 30 minutes or so ago. he was asked about the meeting by reporters and said he was going to get on the plane presumably meaning air force one, wanted to hear a briefing and then he would go from there. then we get between three minutes ago from the president saying meeting canceled. no meeting between president

trump and vladimir putin. this was initially supposed to take place earlier this month when the president was in europe for the celebration commemorating the 100th anniversary to the end of world war i. now it's been pounded for down the line. we don't know when. stuart: political withdraw from that meeting. thank you for joining us. always appreciated. staying on the g20, bret baier coming, please. host does social report. the president is on the world stage. looks like the trump show goes global. he dominates this meeting. and expect in a lot of headlines whether positive or otherwise but in this meeting news will be made. >> a lot of new set of the g20.

that was long seen to be a setup to addressing ukrainian situation. the president via twitter famous the reason he's canceling the meeting. in the background obviously is the rush investigation here in all of the stuff happening with michael: the president's former attorney and the more investigation. that will be the background of the g20 summit. the biggest meeting obviously is between president trump and president xi of china and whether some deal comes together about trade. we are hearing peter navarro, pretty aggressive when it comes to china will be in that meeting and perhaps some experts this morning are singing the deal maybe doesn't look as good as it once did. >> the president when he emerged from the white house on its way to air force one as you know he did take questions from reporters and on china he said

china wants to make a deal but frankly i like the deal we have now and the deal at the moment is tariffs on chinese products coming here. at that point the stock market went due south acres that was considered a negative about the trade association with china. i'm very interested in the president's style and the way he would dominate this meeting totally. we want to cover this meeting is turn on us and media people. we want to cover it. in the past we had to cover it even though we didn't want to because nothing ever happened. this is direct opposite i.t. >> i've been to a lot of g 20s a lot of process, a lot of stuff that you think doesn't reach the headlines with president trump in the mix. there is always a headline and

usually three or four within one meeting. you have leaders dealing with all kinds of big issues let alone the background of saudi arabia situation, what iran is doing them examine, climate change, global economy. but really the china meeting is the biggest one were going to get a sense of where the president has. if you read the art of the deal, part of it is laying down a marker pretty firm at the beginning. perhaps that's what he was doing. >> hamid bin solomon in saudi arabia will be there in president trump was asked if he would meet him in the answer was that not been arranged. that's not been scheduled. >> there's a reason for that. there won't be a walk by for a moment where they are captured together. this is a sensitive situation

standing up on homicide situation is being handled. >> would you like to be there? >> yes of course. it is fun to see a lot of coverage. stuart: i'm dying for it. all kinds of statements and headlines over the weekend. i just want to see how the market reacts. yes, sir. thank you. down 150 after the president's comments on china by the way and now down to 78 points. individual stocks are moving. abercrombie and fitch gave a rosy forecast for the holiday. stocks up 20%. dollar tree sales fell short, but for some reason the stock is up nearly 6%. lower sales at express cut its

forecast amounts would have been spared down 10%. now this. nasa administrator jim bridenstine says the united states is returning to demand and it's happening sooner than you think it today at 2:00 nasa will announce new partnership for american companies, the first nasa is going to be with us next. place, the xfinity xfi gateway.

and it's strengthened by xfi pods, which plug in to extend the wifi even farther, past anything that stands in its way. ...well almost anything. leave no room behind with xfi pods. simple. easy. awesome. click or visit a retail store today.

stuart: nasa is going to reveal today at proposal return to demand. come on in nasa administrator time. you know what i'm going to ask. i know the announcement of the 2:00 this afternoon, but can you tell me now on this program are you going to send astronauts to the moon in when are you going to do it? >> the answer is both at the astronauts will come later but today we announce a number of companies that are interested and willing and who have been elected to deliver payloads to the surface of the moon for nasa commercially. in other words, nasa is not purchasing, owning and operating the hard work to get back and forth to the moon. we're talking about small

payloads delivered by commercial operators for nasa is one customer of many cuss to merit driving down our costs. numerous providers so we can do more to the service more to service other than the never before appeared stuart: to people you've got contracts with will deliver in packages almost, products to the moon and wait for the astronauts to come later. tell me, when do the astronauts arrive? >> we cannot astronauts on the surface of the news within 10 years. but we are doing now is different than what was done before. the president space policy says are going to go to the moon but this time we will do a sustainably. in other words were going to stay. not just landers, that robot in humans going back and forth to the surface of the men in a

sustainable way where we can be there for a long period of time. we think back to apollo and we know it was an amazing moment in american history. six landings on the moon. when i was over we haven't gone back now for 50 years and the president has said he wants to go sustainably. we are developing architecture that will enable us to reuse all elements of landers so we can be there to stay. >> almost like a housing block. just trying to imagine what are you going to build on the moon to stay there. >> the first part is we need to save station in orbit around the moon. we call a gateway. it's not really a space station. it's much smaller. it will be capable of hosting humans for up to two months and that will enable us to go back and forth over and over again.

and give it for your audience can have very intelligent audiences a reusable command module, whether they are robot for even landers capable of carrying huge bins, landers can be reused. they can go back and forth to the surface of the moon from gateway, which is in orbit around the moon will also have humans. stuart: i remember reading a book to write stuff. they made it into the movie. that was all about the moon missions so to speak and they had astronauts in trading for years before they actually went to the moon. do you have astronauts in training right now for the new mission you're talking about? >> absolutely. a cadre of astronauts right now going back and forth to the international space station.

december 3rd we're launching on another rocket but by next year we'll be launching american astronauts on american rockets from american soil for the first time since 2011 can we do with commercial partners. we are going to buy the service to go back and forth to the international space station. astronauts are doing that, preparing for this mission and those are the astronauts that ultimately will be going to the moon in the coming decade. stuart: i do want to give you a lot of credit for the mars lander. i've seen a couple of pictures that came back. what is the endgame for the landing? is it exploring the interior finding out more about the planets? >> absolutely. here's what we know about mars.

it used to protect the radiation of space. and also used to have a notion in his northern hemisphere. talking about three quarters of the northern hemisphere of mars was occupied by a notion and had a very thick atmosphere. in other words, mars was habitable. around 3 billion years ago, mars and earth were very similar planet and then something changed your earth continued to evolve. mars covers and at times but also lost and change the planet to what we understand today is a dry desolate planet. the question is what happened and why. i want to say what an amazing day monday was. congratulations to everybody who participated. >> congratulations indeed. that was fascinating. i do hope you can come back

soon. by the way, you can see me, more on the issue on fox nation. politics, all kind of stuff that gets me fired up. this is a program called might take. it appears that 1:30 eastern on fox nation. more breaking news from the white house about a meeting with big tech. details in just a moment.

. .

stuart: this is breaking news about big tech. the administration will hold a roundtable with technology executives. they're hoping to ease tension between big tech and white house. they will discuss quote, bowl transformational ideas. not sure which executives or when this will happen but it is

going to happen. >> making stuff in the united states. stuart: i guess so. >> whatever. stuart: there is other big news today, literally broke 20 minutes ago, president trump and vladmir putin will not be holding the meeting they were scheduled to meet in buenos aires on saturday morning. why not. ashley: president tweeting out based on fact that ships and sailors are to the returned to ukraine from russia, i would decided it would be best for all parties concerned to cancel my previously scheduled meeting. as a result of the ukrainian-russian standoff off crimea. stuart: there was no market reaction to that whatsoever. ashley: no. stuart: there was market reaction earlier when the president came tout to spoke to reporters about china trade very briefly. he said china wants to make a deal, but frankly i have the deal we have now. frankly tariffs in the place.

ashley: kremlin seen anything about the cancellation. if that is the case, mr. putin will have couple hours for useful meetings. liz: little he will go jab. stuart: sarcasm, low form of with it. we were down 150. we're down 50 points. what a day. day after. neil, it is yours. neil: meeting thing is abbott and costello. you said we would meet 40 minutes ago. i don't get it. stuart: who is on first? neil: i can't figure out who is being consistent with the reads out of the white house. no one soames to know. stuart, thank you very, very much. we are following that. looked like a meeting, then on the plane something happened, where the white house said, you know what? it is off. we don't know the details. for the markets at least all the confusion like michael cohen what he is going to say, what deals could be made. here is what might have really done the