tv Cavuto Coast to Coast FOX Business January 15, 2019 12:00pm-2:00pm EST
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points to a gain of 140 points. it is still boeing up just a fraction. maybe there is a connection. maybe there is some good earnings reports out there. maybe some positive news on china trade that did it but we are up 140. neil, it's yours. neil: stuart, thank you very, very much. we're focusing on that. this government shut down the white house put pen to paper, it will have economic impact, maybe that is helping stocks or helping stocks on notion if anyone was was thinking that the federal reserve poised to raise rates, decidedly less so in where things are slowing down. like a hurricane, a shutdown can be wiped out next quarter as over all spigot of government returns. for time being everyone is going along with moody's investor report, the zandi report, shaving off a couple of tenths percent of first quarter gdpt could run into eight or nine billion dollars that was last
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week f this keeps continuing obviously it would accelerate. following that closely and market impact with jonas max ferris and joe durant. joe, i end with you, how does the effect permeate if it this goes on mother month what do you think? >> i think there are two things you have to look at. the first and most important what is the impact if he passes executive privilege, ignores the appropriations process. that would have very significant impact for future administrations and future budgets. that's the issue that i think, as long as that is not on the table the markets will let this go by. it has an impact but mostly on small businesses and mostly in the way we operate. so it is tangential impact of this, the longer it goes on, the long-term impact on all the small restaurants and support staff that support all of these government employees. so it has an impact.
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it will slow down gdp. also you mentioned is the fed, but the big issue is, is the president going to go ahead pass an emergency order to just simply get what he wants? that would create i think a lot of uncertainty that would not be favorably viewed by the markets i don't think. neil: what do you think of that, jonas? the idea that the president make as emergency declaration, almost sure to be shot down by one of the courts that takes it up, and another court takes that up, goes all the way presumably to the supreme court? that would put a kibosh on any wall building going on in interim, but would get the monkey off the president's back, what do you think of that? >> i'm not entirely sure it's a negative. despite the market is up a lot during the whole shut down which is sort of surprising. anything that keeps federal revenue, from raising rates more is probably good for stocks. the whole threat of the trade war was probably keeping the federal reserve from going overboard with rate increases
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which would have caused a more severe correction we had because of rates going up. if the fed thinks this will be weight on the economy, that is good for the stock market at least, as far as the longer term effects, i don't want to minimize damage people who directly deal with the government have done. this is more psychological. this is impact. let's say i don't want to go to the trip to go to the airport to meet a longer line. that will hurt the economy in the shorter run. i think, bigger, longer -- neil: that might be why delta is saying one of the first to say from the airlines this sim packing business to the tune of $25 million a month. i don't know how they arrive at that figure. how others jump on the figure. use the shut down as an excuse for figures that don't figure what do you think, jonas? >> i think it is like a storm coming through. where you lose, that comes back later. i don't think it is a long term stock market event but long-term economic event. i think overriding fear
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eventually if we have another recession that seems to be building abroad what is the government's action plan? interest rates are low. we already had a tax cut. they don't seem to act over relatively simple thing. oh, let's do this tarp or "cash for clunkers." it will not be like that. it will not get together that in itself scary to ininvestors. we haven't tripped over that mode yet but if this goes on for a few weeks or months, inaction works against you, not necessarily for you as it might be now. neil: joe duran, the white house said this would sub stack .1 of a percent of growth every two weeks, that is just for starters and that might be very conservative. like hurricanes, we tend to look at these things as temporary phenomenon. do you? >> we do. you have to remember, at the end of last year we had 20% decline in the s&p 500 and no real reason for it to occur. there is some impact from trade
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tariffs. interest rates went up a quarter of a point. not like there were substantial reasons for a 20% decline. what we're seeing is global economies are slowing, the fed is now more response sieve. when you look, brexit is still unresolved, china is unresolved, got shut down, market is going up. what does that is telling you? last year we had and other reaction and we priced in a lot of bad things. so when i see continued reasons for the market to go down but it is not going down, that is a very bullish sign. and for me, what i think we're going to end up with a volatile year that will end up actually pretty good. 8 to 12% kind of year, won't feel that way as we get there. what i look at, what is the market actually doing, and what should it be doing? it is not acting the way you expect given gray clouds we're talking about. neil: thank you very much. as they were talking i want to pass an update from the "new york times," the white house is apparently
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considering former pepsi ceo indra knew which to head the world bank. u.s. has sway who runs world bank given all the major banking institutions are in the united states of america here. this would be a step in that international direction. keep in mind the world bank weighs in on a lot of trade deals as well, wto. she center nationalist by training. pepsico ceo turned that operation came around. famously came up with the line, snack foods are okay in moderation. meantime the jpmorgan miss had a lot of people wondering as it goes, as jamie dimon goes so go rest of the market? read from "wall street journal" global economics editor jon hilsenrath. it was not a awful report. it was telegraphing a mild miss, but it was a miss. i'm wondering if that sets stage
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for slowdown talk you're hearing about, that might oddly be helping the market. what do you think? >> number of $7 billion in profits, i would love to be in that position. neil: absolutely right, huh? >> they did miss estimates. neil: and guidance going forward. >> and guidance. the tone of jamie dimon's comments are also something to wake up to. you know talked about the first quarter being flat growthwise if this shutdown continues. i think that is a bit of a wake-up call. neil: do you think it is justified wake-up call? i heard estimates moody's others, .2 of a percent. to wipe out any gain at all because of this? onerous as it is on folks, it is a quarter of the united states government, it isn't all of it? >> so the white house has said you take out about .1 for every two weeks, if it lasts the whole quarter, 10 weeks that is full percentage point of growth. neil: you're right. >> depends what your estimate
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was going into it. some people are saying two%. maybe we end up with 1%. one thing i can tell you for sure is, we wrote this last october. the economy was setting up for a slowdown after really strong second quarter, really strong third quarter. you know, i got some unhappy reader emails saying don't be so downcast about things but it looks like we're getting that slowdown in u.s. economic growth and, you know, you have to wonder how that plays that into two really important negotiations that the president is in the middle of right now. one is the shutdown with his own congress and the other is the trade talks with china. we have deadlines looming on both of those fronts. march 2nd is when they have to some kind of agreement on the trade talks with china, and then of course that come to some kind of agreement on the shutdown. you know, i would say that there is some real major upside risk
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if the president can do deals, is supposed to be a deal-maker. can do a deal with china, do a deal with congress, these markets can be off to the races, if they keep kicking the cans down the road, continue with period of uncertainty, slow growth in uncertain outlook on these negotiations fronts could make for a tough quarter to investors. neil: as we said at outset, the market seemed to be factoring for today, judging by fed funds future contracts, no hikes this year, let alone, two the markets built to consensus during the holidays. >> right. neil: where are we on this whole debate whether this is good or bad? right now it is good for the stock market. >> there are a couple ironies here. the president spent a lot of time criticizing the head of the federal reserve last year jerome powell for increasing interest rates. it turns out that jay powell is sympathetic to a lot of the
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concerns that the president had. you know, they have signaled they're on hold for now. the fed is concerned about what is happening in the markets. it is concerned about a global slowdown. we just got soft ppi numbers, inflation numbers today. the fed is in no hurry to raise interest rates again as long as inflation numbers are slow. so that plays into you know, the markets hands, that is a positive note. but the other thing is, if the fed isn't raising rates because the economy doesn't look food, that is not really something to get very excited about. you would get excited if the fed was saying, hey, we have strong growth but no inflation so we can keep rates where they are. if the fed says, we don't have inflation but we're really worried about the rest of the world and markets, there is only so much rally you will get out of that kind of message. neil: we'll watch it. jon, always good seeing you, my friend. thank you very much. >> thank you. neil: jon hilsenrath. meantime they will resuming questioning confirmmation hearing for william barr to be
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the next attorney general of the united states. few think he won't get that spot although it might be along party lines with virtually every democrat supposedly voting against him. but of course things could change. let's get the read from edward lawrence in washington with more. hey ed. reporter: committee changed it is 12 republicans 10 democrats. they could get 12 votes. democrats are trying to pressure attorney general nominee william bar he will protect the russia probe. barr tried to head off any fireworks in the opening statement. listen. >> it is in the best interests of everyone, the president, congress and the american people that this matter be resolved by allowing the special counsel to complete his work. reporter: democrats are concerned about unsolicited email barr sent to the department of justice which criticized the special counsel
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robert mueller's investigation for going after the president on obstruction of justice charges. still barr says, that the president cannot intervene in investigations against himself or his family members. >> he is the chief law enforcement officer. could you say well, he has the power, but that would be a breach of his obligation under the constitution to faithfully execute the laws. reporter: barr says that he will go after violent crime, specifically violence by people and crimes against folks based on race or based on political view or sexual orientation. he says he wants to take a hard-line and harden our immigration laws. also go after any foreign agent or actor trying to manipulate our elections here. the republicans are saying that he would be a god attorney general. he has already done the job for four years under president george h.w. bush. he was in fact, unanimously sent out of committee in a
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democratic-controlled senate back in 1991. back to you, neil. neil: buddy, thank you very, very much. the issue of questioning of william barr goes back and forth something for both sides. republicans are noting that he famously said he would allow the mueller investigation to continue and that he should complete list work. democrats are concerned about that infamous memo which he talked about the probe itself as being in mr. bar's words fatally misconceived. so the back and forth continues on that. the dow up 180 points. we'll have more after this. nah. not gonna happen.
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neil: we should know later on this afternoon, theresa may forcing another vet on brexit. this one is the best we can do, concessions have been made and we have gotten a lot of new features here members should like but it is expected to face an uphill batter here. then what? the question becomes do they have a new referendum or do they just skip the whole thing? where do we go. european parliament member daniel hannan on what the abilities are. very good to have you. >> hi, neil. the root of the problem is very simply stated, when members of parliament asked the country to
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vote on whether to leave the european union it never occurred to them they might return something that the members of parliament didn't like. we're stuck in the situation where majority of mps won't except the verdict of the 2016 referendum. they want to stop "brexit" all together or force people to vote again or decaffinate it to the point it doesn't amount to what people voted for. that means almost anything is possible if remaining in the european union to leaving with no deal and almost every stop along that route. neil: so, what are the odds of a whole new referendum? because it looks like the same sentiment would apply as it did back to 2016 or i could be missing it, what do you think? >> yes. i don't think the odds are great but it is definitely a possibility. the european union does this regularly, when it doesn't get the result it wants it makes people vote again.
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they did it in denmark, twice in ireland. try it again, paddy, we'll say it more slowly. they literally refused to take no for an answer so that is a possibility and i think that -- i'm afraid the irish experience shows pretty clearly if there is a second referendum it will be rigged. they will not risk a fair referendum. at very least there would be a different question. they may tweak the franchise, for example, giving the vote to 16-year-olds or eu nationals resident in the uk but they're not going to risk putting a fair question to the country a second time. neil: you know, daniel, what is the big draw to those who want another referendum, another shot at this, to be, stay in this club, this club the european union when in fact so many members of the union, all the way from germany which is on verge of entering recession, to italy can't get out of its own way, to portugal, a mess in itself, with is there anything unique being in that club?
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>> such a good question, especially when you think that, all of the predictions of economic calamity we were given during the referendum in 2016 have spectacularly failed to materialize. i mean we were told that within two years of a vote to leave unemployment would have risen by an eye watering 500,000. it has fallen by nearly 800,000. the stock exchange is up, exports are up, growth is up, employment is up, manufacturing is up, consumer confidence is up and yet, the same pessimists who were so determined that we were facing a national catastrophe have now just postponed the date of apocalypse, but yeah if you leave with no deal all these terrible things we said are still going to happen. to be honest the answer to your question lies more in the realm of psychology than in politics. i think they are just so unbalanced by the country having politely turned down all of the options that the elites used to put in front of then, that they
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simply don't know how to react. neil: that sums it up better than any i heard of late. daniel hannan, thank you very, very much. we'll know one way or the other, daniel hannan, key member of eu parliament. took on the prime minister of britain more than a decade ago, in one of the most incredible back and forths i have ever seen. we have a lot more coming up. including grilling, it amounted to, william barr, president's choice to be attorney general. democrats are looking at this one way, republicans another way. this will go along party lines we're told, unless some other surprising developments or breakout of comradery comes in.
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into do you trust him to be fair to the president and the country as a whole? >> yes. >> when his report comes to you, will you share it with us as much as possible? >> consistent with regulations and the law, yes. >> do you believe mr. mueller would be involved in a witch-hunt against anybody? >> i don't, i don't believe mr. mueller would be involved in a witch-hunt. neil: all right. that was pretty aggressive give-and-take. william barr saying that he likes bob mueller. he is a good friend. he would serve obviously as mr. mueller's boss, the guy overseeing probe, would oversee mr. mueller, the guy conducting that probe and he wants to make sure the probe gets out, even though he had earlier claimed that the original investigation was totally misconceived he fully supports the right of the guy who is now heading it to complete that investigation. president of course is famously called it more often than not a witch-hunt. to attorney and legal analyst, emily campaign and axis reporter
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, kent kite. saying talking about the mueller probe, not to disrupt it, not to fire the guy, technically he could, is that even a possibility anyway? >> you know, frankly i doubt it's a possibility. i agree with you that he said all the right things. i want to point out for viewers, when he said transparency issue, within the confines of the law, that is up for debate too. after the report is issued, after the investigation hopefully concludes in the near future, that will be the subject of a future debate. and it is in the best interests of the public obviously to have the most transparency possible and that actual law is that it is in the, would be covering whether or not it protects actual criminal investigations, actual processes, things that really need to be in favor of with holding it. so that is where we're going to see conversations surrounding. neil: i'm coming at this from the position of a taxpayer. i helped foot the
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25 million-dollar by not myself, you participated. emily, participated, if they will not share that with the american people after two years of this, man i think there will be a lot of angry people, not just in congress, right? >> certainly. i think many people -- neil: go ahead, steph. >> certain i we're hoping to see what comes of this investigation. it has been going on for quite some time. it seems like every few months we think that mueller might be winding down his investigation, then it stretches on for another few months. i think as william barr said in his testimony, he plans to make everything as transparent at possible. there could be questions about regality of what he can share and what he can't. as he pointed out it is to the benefit of the administration and to the american people to share what robert mueller discovered at the end of the investigation. we can expect to see something of this investigation and ideally we'll be able to see most what went on during the past several months. neil: you know, emily, you reminded me in the past that the attorney general, although
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picked by president of the united states, once in power, is not the president's lawyer. he is essentially the nation's lawyer. i'm triphyllousing it here but this is a president who demands loyalty out of all his cabinet appointees and below. he might have a slightly different notion as to what mr. barr's responsibilities would be as as chief of the justice department. how do you imagine that relationship going? >> i think there will be some tension there. i think what bill barr brings to the table, obviously his longevity, his experience. he said earlier this morning, look, the role of the ag is three-fold and one of them, two are independent, one, yes, i can promote policy i can suggest policy i can be in advisory role to the president. so i noted there that there is room for tension and certainly from my point of view, based on his testimony, based on his memos in the past, clarifying letters, whatnot, as well as
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actual service he does view it independently. he has the confidence because he is performed in that role before. so he certainly is not one to be pushed around or pushed into a role of as you said private attorney position. neil: you know, by the way, that was extensive john kennedy's brother, he was looking at his brother, no nepotism and allegiance that was so glaring. steph, what is the latest, under and over when this mueller probe is coming out? any idea? >> i think one constant with this mueller investigation the fact that there is so much we really don't know. as i was saying it seems that every few months we think there might be an end to the investigation, even, last year we thought towards the end of the year we thought mueller was winding down. we have a sentencing hearing in march. status update on michael flynn in march. we know it will at least extend into march and likely beyond
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that as well. i'm sure we're bound to see more indictments and more subpoenas. it is really hard to say at this point but certainly doesn't look like it will be wrapping up anytime in the immediate future. neil: final word. emily, very good seeing you again. thank you, guys. >> thank you. neil: safe to say we could add seven days to the government shutdown at a minimum. i only say that because we're getting word from chad pergram, our capitol hill producer, steny hoyer, number two ranking democrat in the house has already said that next week's recess has been formally counseled. the house will be in session after that, reading between the lines here, quoting from chad, there have been zero talks on the shutdown, none. none are expected. the decision by hoyer means house democrats anticipate government shutdown running through at least the end of next week, until at least the end of next week. market down in pencil. this one is a record.
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♪ neil: we just got word of course on day 25 this could go until at least day 32. another week here amid indications the democrats are interested in keeping the house open next week through the martin luther king holiday. i believe they would have been off through entire week. that doesn't speed things up. it effectively keeps the status quo here going. if chad pergram, capitol hill procedurer is right, we don't get to resolving this for another week. blake burman at the white house. where things are. blake. reporter: show you where we are in the stalemate, neil, the white house invited democrats and republicans to have lunch with the president, right now to sit down to pave out a way forward as to how to dig out with all of this and now we're told that no democrats are going to even come over here and sit down with the president. at this point they feel it is best-suited to stay up on
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capitol hill, do their jobs there, simply put they do not want to be ones seen over here at the white house discussing this issue with this president. sarah sanders, press secretary respond this way, a little while ago, quote, unfortunately no democrats will attend. speaking of this meeting the president looks forward to having a working lunch with house republicans to solve the border crisis to reopen the government. time for democrats to come to the table to make a deal. mercedes schlapp, director of strategic communications echoed those same sentiments when she spoke with start varney earlier today. >> they have to make a decision. will they sit back and do absolutely nothing or will they come together and make a deal. the president will keep making his case. reporter: president, speaking of making his case, earlier on twitter asked why nancy pelosi is getting paid during the shutdown as so many members of capitol hill are. pelosi saw that tweet. this is her response.
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president trump, stop holding paychecks of 800,000 americans hostage. there is no reason for them to be suffering right now. reopen the government. #trump schmidt -- #trump shut down. when you look at this, there is every indication there might be a day 33, 34, 35. the question how many more days after that? right now there is no movement on this, whatsoever. neil: you know what is weird about it, blake, as you reported? if the president of the united states invites you to the white house, must say about the divisive times or extreme times, ignore him. no, i'm not coming. reporter: normally if you get an invitation by the president you show up here but this is not normal. and i guess the calculation from some democrats is, on day 25, if nothing is going to happen, why be the one or the group of
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democrats in the room being seen with the president, when you know exactly where democrats stand on this issue. neil: all right, but he could make it compelling saying i will order out from mcdonald's again. your call, if you want to miss that, right? wow. thank you, buddy. as always great reporting. blake burman at the white house where a whole lot of nothing is going on on this. "washington examiner" tina lowe on tsa agents increasingly not showing up for work. this continues to trend we see elsewhere at nation's premier airports. not in record numbers, but just enough annoying numbers for travelers trying to get through the lines to get their planes. how big of a deal, great to have you. what are you hearing? >> right now 51,000 tsa workers working without pay and this has led to absenteeism rate more than double at the same point last year. so, it is shoally adding up.
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it is slowly trickling down to consumers and people who are flying. houston had to shut down an airport terminal. in atlanta, lines are record high. so certainly beginning to affect people who have no necessary affiliation with the federal government. neil: so, how long do you suspect if this were to drag on, we'll see more evidence of this sort of stuff, frustrated workers having sickouts and the like. we're hearing this is spreading to a lot of fha loans. that a lot of banks that take these fha-backed loans are just holding off on closings and the like. so it is, its tentacles spreading beyond the notion, it is a quarter of the government. it belies the fact that it is much bigger than that. >> oh, certainly. while this should be referendum on the size and scope of government, maybe where we need to cut it back, ceo, of jpmorgan jamie dimon says if the shutdown
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continues on first quarter of the year, it could wipe out all projected economic growth, with a quarter gdp, 0%. this is very scary thing to think about, how deep the federal government is entrenched in our economy. how in charge of it abdicating responsibility of opening up the government. we're losing billions of dollars per week. neil: who is getting the blame for this? sounds simplistic on my part. i see polls show disproportionately republicans and president, still disproportionally that way but still that way, not that there is any winner in this but what are you hearing? >> it is neutralizing, people already hate trump, hate trump, it will not hate too much. however when we see we already lost at least 10 approximately dollars of out put thanks to the shut down, democrats are not willing to put up a pretty
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$5 billion, to end this shutdown, the fact they're not conceding extremely minor concession, could get something large, amnesty for daca recipients out of it, makes them look bad. especially optics of democrats partying in puerto rico with the cast of "hamilton." neil: seems like they're closer than we think. democrats, same ones are the ones who did approve 136 miles of wall funding under document document. republicans were also part of a group that did look at, getting daca status for those children of illegals here through no fault of their own in this limbo. they have a record in the past of doing what each, on the other side want toes see done. it just seems so, like i'm separating my teenage sons here. you know what i mean? it is weird. >> certainly at this point, it is about trump. gang of 8 bill they approved 4.5 billion for increased border security. it is all about trump. neil: they improved just that,
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bipartisan group of four democrats, four republicans. that is then. it is not now. thank you very, very much. theresa may in britain ready to give what is considered the closing speech of her life. doesn't mean she will get heaved out of office but likely means another uphill battle to get a key brexit vote done if brexit is ever done. ashley webster in london with the very latest. what is it looking like? ashley: it is pretty tense inside of the houses of parliament behind me. there is carnival atmosphere behind me with the pro-brexit, anti-brexit crowds trying to outshout each other with honking horns, bells, and inside it is pretty intense. i would expect within the next hour or so, come to the commons, probably give as you say the most important speech of her life. the only problem she has given this speech, many, many times before. nothing really has changed when it comes to touting her deal.
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she needs 318 votes. by some accounts, some local reports say she may lose by 220 votes which would be completely humiliating, an embarassment for her. she will respond quickly to whatever the outcome is, which presume whether i she will run after back to brussels again tomorrow and spend the next three days trying to win some more concessions. she will come back here next monday. then the house of commons will take a look again, decide whether it is now acceptable which probably it won't. what happens then? they could try to renegotiate then. very much extend article 50, push back the deadline. doesn't really solve anything. there could be a call for general election, call it no confidence in theresa may's government. could also be a no-deal "brexit" or perhaps a second referendum. all sorts of possibilities. no one can tell you what is going on. but the level of tension and emotion outside westminster is
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gone up and up with each approaching hour and i think the moment of truth is coming up. it could be pretty painful for theresa may. neil: i don't notice any prominent party figures within her ruling party, stepping up i'm here. all look to me. i will save the day. ashley: no. neil: why is that? >> it tends to fall on deaf ears. she had many resignations in her cabinet to be replaced by another person and another person after that. after a while the message starts to get lost. we understood what they're trying to say and people are not buying it. one of those things, you know, isn't it the definition of madness if you keep doing the same thing and expect a different outcome, it's a bit like that. but she is hammering on. she says this is the only deal we can get. ministers too, famous names, borrows johnsons of the world hate this deal. he want as hard brexit. wants to say sayonara with brussels move on without any
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deal in place. bottom line she is having a hard time getting traction at all. doesn't matter who is in the cabinet. it will not win that many votes. neil: i wonder had they done the hard exit 2 1/2 years ago certainly by now they would have sorted this stuff out, right. ashley: you think? absolutely. we're bombarded with, we're bombarded neil with messages from pro and anti-brexit. this is a receipt from restaurant around the corner. looking at bottom of it. says brexit is bad. immigrants make britain great. they also cookerred and served your food today. there you go. even in your receipts you get campaigned against. anti-brexit kitchen apparently. neil: you're not putting that in your expense report, are you? ashley: i certainly am. neil: ashley, great job. he is the good you want there at this very moment. we got him. we're so lucky. by the way are you a netflix subscriber? are you okay paying upwards 18%
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along comes net flicks announcing increase for present subscribers up to 18% and the market runs away with it. kristina partsinevelos has the details and fallout which is pretty nice fallout for investors i guess. >> good for investors. we'll see how subscribers react. this is the biggest hike since it launched four years ago. it will happen for anybody signs up new now. subscribers that are existing won't sigh the bill increase for three months. you're seeing basic package of $9. that is up about a dollar. not that much of an increase. the most popular package is the hd one up two dollars. premium 4k for those with better quality tvs, seeing that climb $2 to $16 a month. rbc spoke about this, he said in a note if anything we won't see trickle effect of people leaving platform until june. why? existing subscribers are not hit
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for the price increase for three months. it takes time to settle in, notice your bill. starting in june you might start to see or not, people leave the platform. nonetheless on your screen, seeing a year-to-date over the past little while, netflix stock climbed 40% in 2018. we're seeing investor today loving this price hike. the fact it is staying steady too. bringing up the debate whether netflix was undervalued for all the content it is providing. they said they're increasing the price because of original content. speaking of netflix and competition, talk about nbc. nbc is launching the own streaming platform by comcast. this platform will be free but it will be ad-sported for tv subscribers by comcast. not only comcast, if you're a dish subscriber, at&t subscriber, can get access to the platform launching in 2020. a opportunity for nbc to take away some at&t subscribers. nonetheless makes entire market
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even more saturated. this will be free though, again. three to five minutes of ads for he have hour. you have nbc saying they expect to make $5 per user per month just after the ads. so, i don't know. i don't know if people will really react too much to one dollar increase in netflix. now you have even more options out there, neil. neil: nothing subtle about this. kristina. we'll see what happens very, very much. quick take on this whole thing with charlie gasparino? >> netflix is a company i know a little bit about, i tell you where the story of netflix is not in the stock price. i really think as reporters we have to look at the stock price of netflix but look at bonds, but they tell a much different story. this is heavily indebted company. the company with cash flow problems. when you have a heavily-indebted company and now, we're running into user growth slowdowns, right, why would you, why would you raise, why would you raise your price whether you have user growth slowing down? neil: this goes a long way to addressing that issue, right?
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>> it is the debt issue. neil: might be why wall street is jumping on it. >> they're jumping on it for the wrong reasons. stock traders are generally dumb. it is bond traders. when i talk to bond traders, they worry about the company. neil: so you know we get a lot of stock traders on this network. you're characterizing them as dumb doesn't really advance -- >> some of my best friends are guys pressing button on algorithm. the reason i'm saying they're dumb. neil: i know what you mean. >> they react off headlines. maybe sounds good they're raising prices to pay off the debt but they have cash flow issues. neil: spend a lot of money for content. jeff bezos, who will we get into now, spent a lot of money to get the retail juggernaut up to speed. >> brick by brick. neil: what is going on? >> he is in a protracted war with our president. this is a fascinating thing. i've been talking with people that know trump.
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i know people, talking with people that know jeff. this is what they will say. trump really believes that jeff bezos is, as owner of "the washington post," i think he owns it personally. amazon doesn't own it. neil: personal funds. >> trump really believes heed dids negative editorials and stories. neil: he doesn't. >> i'm telling you, that is what he believes. he said that to people. bezos on other hand tells people he speaks to the editor of "the washington post," marti baron, just a couple times a year. it has nothing to do with content. usually about dollars and cents. about money. donald trump really believe jeff bezos -- neil: why he calls him bozo and act the presidentdential. >> that is not presidential and that is why he calls them that. neil: he is loving the president with all the trouble -- >> he is taking incredible delight at what is going on. tabloid nature and text messages and, that was interesting, i think trump is lucky. he had all his messy divorces
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done before there were text messages and everything. all the stuff with him and marla maples and ivanka or ivana trump, i mean it was pretty nasty. some of the court documents. neil: a lot of stuff came out too. >> it was all fed to the press. it was all fed to the press. wasn't contemporaneous. neil: okay. we'll not go into details. but look at the time. but interesting. we'll see what happens. things can change. >> i mean, this is like a good story because it is all tabloiding, and stock market. remember bezos wife theoretically could end up controlling amazon to a certain extent. neil: we shall see. all right. charlie gasparino. more on the shut down that could linger at least for another week. we'll explain after this. can you help with these? we're more of the plan, invest and protect kind of help... voya. helping you to and through retirement.
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neil: all right, welcome to our second hour here. the government shut down right here. what is alarmed as there is no sign, zilch, zero, zip a sign of progress. the president is meeting with republicans right now, but he did put out democrats. no matter how you feel about this, democrats decline. it's like the president wants you to come to the white house today. tell him i'm busy. they're not even doing that. it's kind of weird what is happening right now. this is a no progress down and we are told that chad pergram,
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democrats might be in session next week and working for the martin luther king holiday week, but they're not expected any progress at all so that would mean this is pushed back until at least next friday. now we are at 32 days, beating all records minute by minute, hour by hour, day by day, week a week. we've got market watchers dan snowball and "after the bell" connell mcshane. there are those, months -- >> the president himself used that language and people thought he was being hyperbolic. we'll see. remove kind of in uncharted territory so everyone kind of thought if it's like other shutdowns that last a couple days or maybe last a week. no big deal for the macro economy. people who are not getting paid or furloughed or businesses who rely on those people is a real and important story. we'll make the rest of it out. what jamie dimon set on a
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conference call for jpmorgan sums it up the best beard prolonged shutdowns are not going to help the economy. so we will make a lot of this up. his quote was this is not a help in other words. we will make some of those in subsequent quarters and people go back to work. but it's not a help and we're at the point where it is a bigger story than it was. neil: i am wondering, whether companies seize on this as the next years. >> there's an awful lot of trends that are already pretty negative about the economy appears slowdown in china, slowdown in the e.u. appeared all kinds of indicators that there's a manufacturing lowdown. there is a wealth effect. we have big selloff in the market. so a lot of things that could be already undermining the growth in the economy. after all that's why the market slowdown, market traded down because everyone was expecting a
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slowdown. what is incremental impact of a government shutdown i really don't think we know. it's probably pretty small but it is impact in sentiment. we talk about market not liking uncertainty. this is uncertainty. we don't know how long this is going to go on and i'm sure to call most pointers 800,000 people out there not receiving a paycheck. right now they're not spending money and not under the name. neil: delta airlines is famous as cost and 25 million a month. when you think? >> we are actually seeing across the board more than two of every three sectors in the s&p are recording lower estimates for the quarter. we were expecting 655% growth for all of 29 team peered >> are you in the camp that this is actually advances the talk. >> i think that certainly a possibility. we have two rate hikes sat in
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our economic projections. neil: you wouldn't know it from fed fund futures are they are pricing no such increase before all of this. >> for good reason. inflation is coming down pit gasoline prices down so much in february that inflation is over 1% probably. it's a hard case right now to argue that rates are going up. >> which makes sense they would be up today because you have the two biggest factors, but if you ask any investor over the last however long we can remember, like a month is what is the biggest factor you're watching the federal reserve and china. sam's comments not withstanding most people think the fed is out of the game for now at least until things change to tell edward lawrence in his interview yesterday all seen the same thing and we have reports out of china that the government there realizes things are slowing down and they help stimulate their
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economy. >> train to the next and the chinese come to the united states, ministers at the end of the month and presumably cobble together if he goes back without such a deal, then why? >> would be a pretty big negative because most people i don't think were worried too much about the fed. typically fed funds are about appointed map above inflation. right now we are pretty much neck and neck with inflation. you can still say the fed is in stimulative. the earnings slowdown is just sad. it is a slowdown because the bar was set so high in 2018 because of the end of year tax cut. the real question is the global economy and doing more than simply stumbling and will not then drag us into recession as well. >> you know what i hear about inflation and then i see netflix with 18%, not for everybody i
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understand not. i see a lot of medical equipment makers of double-digit increases and they are seeing double-digit increases, beginning to wonder whether there's inflation of which is not in the obvious areas. what do you think? well, that's a good point. companies that are in the position to get proprietary products will do that. drug makers obviously are coming under a lot of scrutiny for raising prices because they can do it. to your point, netflix can do it. i don't think it's broad days. there's no indication rages are going up so fast it's causing companies to have to raise prices. again, anything to do with the trolling him is going to be euro per year and month over month looking pretty good right now. there are a lot of a lot of reasons and a lot of indicators that the united states is slowing. china is a big part of that probably and so is the e.u.
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what we have compared to a year ago instead of global synchronized growth, we have global -- that's really hard to say -- synchronized slowdown. neil: it seems to be going in domino fashion. >> it really has. the real question is market watchers should wonder if really what we care about is the old adage don't fight the fed. if that is really true, is this a time to be buying stocks? sure into is it for you? >> i think probably it is. we had a big selloff. regain some of that back. we have stimulus being talked about in several european countries right now. chain as you point out is definitely trying to up the ante a little bit. we don't have any negative outcomes from the fed. probably a pretty good time to look at docs again. neil: that has been your premise, right? >> absolutely. look at 1995 at the fed raised interest rates seven times in 13
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months. lehman aggregate at the time. it was up 18.5%. you've got a nice rebound. the real question is did the drop we experience most recently -- [inaudible] so all that plays into the timeframe for all this i think in the political incentives for the president on whether he gives in on either one of these sites. because if he is catering to wall street as some people think he would do, then the idea would be cut deals both on the shutdown in the china appeared if you don't need to do that -- [inaudible] >> yes. your political incentive to your constituents, the people got to elect this to be tough on both of those accounts. people who supported him are the people who support built in a while. be tough on the shut down and really double and triple down on not end at the same time people elected in the states we talk about all the time,
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pennsylvania, michigan, wisconsin. if you're the president do you really want to open up an issue that's not open right now for democrats on trade. democrats traditionally would be aligned with him on trade. if you cut a deal with china that is seen as are portrayed as getting into the chinese government then you have senator sherrod brown, senator klobuchar in all those people thinking about running for president have an opening to come in and say we can be tougher than you and china. neil: does wall street start paying more attention to this if it means launches are delayed significantly because the sbc -- sec, which shut down for this thing. and there's a lot of offerings from bluebird and lyft for these things. not tonight, just delayed. >> i don't think i'll take the appetite for doing his ipos, but it's pushed out in terms of calendar. what impact does that have on the economy? i don't think much. or even the market.
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by the way, transactions come, transactions can make acquisitions being announced and that is probably just as frothy as anything else right now. neil: given the market now where it is and it's more affordable than it was, is it to you? >> absolutely. right now when you look at the valuations on for a 12 month earnings, we are rivaling where we were back in october of 2008. also when you look at how far down we got on the p.e. forward earnings estimate on christmas eve, that was equal to the average that we experienced. neil: we are as affordable as we were in 2008? >> enough for a 12 month earnings basis, that. that was the listing where we were most recently was october of 08. so you look back at 2015. you look back at 2011. you don't have to buy it. neil: i think you made that a
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tiered >> it seems like earnings are looking not. you're looking at 655% increase. that's pretty reasonable. >> that's not a rich market. >> a lot of that contingent in terms of how you invest through that environment on whether there is a deal say on china. a lot of people assuming there will be one if not by the march 1st deadline then after brief extension. not too as large of an extent about. they can imagine some of that change. >> a lot of the weddings are holding investors back. that is why it was as negative as it was. that makes a good contrary talk. neil: guys comment thank you all very, very much. the interest rate with one of the market rates are narrowing and a lot of people pointed that out. the word in the short-term rates get to the point where they start going higher than longer-term rates.
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we are not there yet. we punctuated that a couple times where people say, you know, that could be a problem. it's not yet, but it is getting safe to say. >> the good news is you have credit brad out before the end of the year and they've really come back in. i think credit markets are in great shape. neil: we have a lot more coming up. about 134 points. what is going on capitol hill with the president's choice at this next attorney general. he said he would not be beating the president's attorney general, but the american people attorney general. he takes great exception to the fact he would force the bob mueller investigation is not mueller -- [inaudible] he says he would not have investigation follow through. the only issue is how much of it he would make public. after this.
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the fomc, federal open market committee and echoes others on the committee who've been urging a pause in the rate increase and no less the federal reserve chairman jerome powell has indicated much the same that it data driven right now in the data has been friendly sort of sitting tight again. she does readily acknowledge a 3.9% unemployment rate would give you an environment that could be undesirable, that could lead to an undesirable increase in inflation but we are not near the process right now. if you take her at her word and the sentiment seems to be building within the federal reserve to stand type for a while. that is what markets like. for those who plays financial bets on that sort of thing, they invest in something called fed funds future contracts. you can actually buy a fed funds future lending right contract like you do to put on a stock and right now the betting seems to be no increases at all this
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here. forget about the two expected ratcheted down from three last year that were expected now looking at non-if you're to believe in volatile money. so there you have it. meanwhile, the mueller probe will be a big -- to be his next attorney general. edward lawrence has more from capitol hill. how's it going there. >> we are not seeing disruption during the kavanaugh supreme court hearing. but there is a lot of grilling here. right now senator ben bass is asking his question. william barr has had this role before in the george h.w. bush administration. he said these are very different times and democrats have been trying to pin him down to say he won't manipulate in any way the russia probe. >> where you commit to no interference with the scope of special counsel's investigation? >> the scope of the special
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counsel investigation is set by his charter and by the regulations and i will ensure that those are maintained. >> during a fuss confirmation for attorney general in 1991, he was confirmed out of this committee with a unanimous vote. that senate was controlled by democrats at that time. republicans have questions about the f. v. i am sort of the being unchecked and biased. >> do you promise me as attorney general if you get this job, to to look in to see what in 2016. >> yes, mr. chairman. >> i was shocked when i saw them. please get to the bottom of it. i promise you we will protect the investigation or we are relying upon you to clean this place up. >> act to the mueller investigation, and the senators here urged them to make as much public as possible when the report is finished. senator lindsey graham saying
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this cause tens of millions of dollars of taxpayer money. the taxpayers deserve to see what they bought. the attorney general nominee said that he would make as much as possible public based on confidentiality and that kind of thing. back to you, neil. neil: edward, thank you very much. treating the president is a puppet. she said the exact same thing on our third and final presidential debate. david asman, what you think? >> i must admit whenever i hear hillary talk about russia, when she was secretary of state with the target reset button saying we are going to reset relations with russia back in 2009. shortly after, russia went into the ukraine. united states didn't do anything. russia was encouraging its
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buddies in syria to do all kinds of things against rivals and they crossed over the red line. united tape that if they cross over, the last administration, particularly when she was secretary of state didn't do much of anything with regard to russia where is this administration, you judge him by his actions, not by his words. he says a lot of crazy things including about dictators that i don't think are very well said it all. talking about north korea. he's in love with the north korean leader, et cetera. judging by his actions what he's done is far harder than anything the obama administration never did against russia, whether it is attacking assad in syria, sending tomahawks to do that. russia's pipeline with germany. this is hitting at the core of our economic concerns. our ambassador in germany when
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after the russia's pipeline inside it are many deals with russia, they're violating sanctions in some of their company may receive sanctions from the united states. we are going against them where they hurt economically. and of course ukraine, the united states just sat back and watched the russia invade ukraine to take over the crimea. we have been providing offense of weapons under the trump administration. so you look at everything the trump administration has done vis-à-vis russia. not the words of the president about vladimir putin, but what we've done against them, much tougher than anything the obama administration does. neil: still, he is the president to let the move to get the u.s. troops out of serious. there was the helsinki performance where i don't know, it kind of made my skin crawl. >> think of what he said about the dictator of north korea. that made my skin crawl as well. but again, judging by his
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actions. it's not fair. we should justify our actions. thank you very, very much my friend. we have a lot more coming up on this brexit bout happening. you know the drill. the question then for theresa may is if it looks dicey, then it could go overwhelmingly down and this is the latest to those in her party. it's not palatable to most anybody. so forget about whether they get a deal done. what's going to happen to her? after this. alerts -- wouldn't you like one from the market when it might be time to buy or sell? with fidelity's real-time analytics, you'll get clear, actionable alerts about potential investment opportunities in real time. fidelity. open an account today.
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gerri willis at the new york stock exchange at more. >> that's right. netflix shares jumping higher. news that the company is raising prices were 58 million u.s. subscribers. shares trading good look at this unbelievable six by 7% higher. prices on the most popular plan which offers high-definition streaming on up to two different devices at the same time. the biggest hike to $13 a month. it is notable that even with the increase the service is still cheaper than hbo by $2 a month. the company's cheapest plan will be $9 a month versus a previously. this is the fourth time. the last hike right back in 2017. the stable of original shows as well as intense competition as you know from everybody in the world. amazon, disney, at&t, fox nation, you name it. we reach out to netflix.
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they did not return our request for comment. the company is facing huge backlash in 2011 when it hiked prices by 20%. subscribers that opted to keep it older dvd by mail service a new streaming service. consumers will pony up the extra dough. back to you. neil: thank you very, very much. we are focusing on capitol hill. the next attorney general william barr has served in that capacity for george h.w. bush. among the interesting tidbits as he would not fire bob mueller on the president's order unless there was absolute cause. he doesn't dna. he also echoed what he has said in the past that he believes the investigation must be finished in mueller must complete bad job here and so were going to be looking at that as well. in the meantime, looking at the cross currency, a lot of things could affect trading today. the shutdown i'm ongoing
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excitement around netflix. let's get this all very, very closely. you think about it, they are aggressively raising the price of their product in apple fell into disarray because it couldn't pass along doing the same for its product. that's overture realizing that, but what do you make of it? >> the territory in my opinion, netflix, the economics of the media business as you well know have changed dramatically. they used to be based on physical distribution limitations and barriers to entry. you couldn't just started a newspaper and have a fleet of 400 talks to deliver it. and so, the existing makes a lot of money. netflix is almost something that looks like the movie studio business. because it is not hard for somebody to pick up and move
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their subscription over. and those business is coming your ability to control pricing because there's lots of other things. nbc universal announced today was going to launch a new streaming service. so when competition can come in, you lose control of prices. when you say i'm going to do 13% to 18%, you have the hits today, netflix, but you and you will pay out all of your profits to the artist that make the movies, not to keep for you and your shareholders and that is your problem. >> obviously, charlie gasparino has in reporting they have a lot of stuff. they buy a lot of content with everyone from barack obama and michelle obama to top documentaries and movies that they richly pay that just to make sure they're a one-stop shop for anyone and everyone interested. if you think about the early days of amazon and not just
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through the early days, but just a those was criticized for spending a lot of money to get it to seem. but what is your sense of whether there are parallels here? >> i would say it's different. obeys those has done is in effect build the monstrous distribution machine which is analogous to what i'm saying about the newspapers that so costly that maybe no one else can build one. but i think what you're seeing is that it's not gigantically costly to launch a streaming service. the competition then become for the programming and in fact as an old economic an old economics guy, what that means is that the marginal profit does not slow. when everybody's competing for programming, the marginal profit flows to those on the programming. the deal is when you are in a
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competitive creative business all the profit flows to the creative talent ultimately. it is in effect a creative arms race. so great news for actors and writers and directors and producers. not so great for shareholders. drink two all right, we will see what happens. thank you very much. we are in the 25th day. a record shutdown going on right now. so far little if any relief in sight. the "washington post" has just refused to pay federal employees who've been forced to work without pay during the shut down. a number of federal unions representing various types of employees filing suit against the trump administration arguing the employee should not be forced to work without being paid or the judge more or less saying you have no case they are in the shutdown continues. more after this.
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neil: it will linger on. day 25 of the partial government shutdown. indications for better than 800,000 federal employees affected by this. a judge to give some relief here. you can't force our members to work without pay. a judge essentially shooting back down. tsa workers who have been showing up for the job without pay must continue to do so. remember, they are all promised they will be paid when the government resumes operations. but that's anyone's guess. it is pretty distinct now is spreading a little bit far. we've heard from dell's outcome of the big airline has ultimately impacted the bottom line by $25 million a month. jamie timon at jpmorgan chase jpmorgan chase amos could wipe out any growth at all in the quarter we are ran. david gergen joins us right now. anyone who has been at who has
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an fsa backed loan and looking to close on their home, they have to sit and stew a while. that's another effect. how pervasive is this getting? >> well, it can get very pervasive. her right now, most people are not being impacted except by fear. we need to be careful not to scare senior citizens for instance into thinking they'll be kicked out of their homes. for people closing fha mortgages, they actually can go to closing. those contracts are being honored. importantly, for people who are federal employees worried about making their february 1st mortgage payment, it's very important they call their service or are the country they send their payment to and tell them what's going on, remind them. the servicers have been told to give them if they were in a natural herb. this is clearly not natural. neil: do they sense that this word to drag on, given the way
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things are looking on capitol hill, saying were the number two democrat on the hill. something about democrats working through a martin luther king holiday. that will make a difference to addressing this. at the very least it means any resumption of activity or talks is delayed until late next week if at all. this could really just go on for quite a while. >> well, it certainly has already gone on. i think we are in unchartered water. i would be shocked if it went on more than a couple weeks because every day it goes on and i've been involved in that during my career. everyday it goes on, the pressure ramps up and we are going to see more concourses close because of tsa shortages and there are all kinds of impacts. there is also just a general concern and disgust at what's happening in washington. we can't negotiate these things bite to eat. we actually have to have people sitting in the same room and
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it's unfortunate we have not been able to do that so far. >> it is weird to no matter what you think of the president that democrats invited the white house today are coming. obviously they were so far apart are probably just wasting our time. the president is meeting with republicans right now. that's kind of like an eco-chamber right there. >> well, i asked about that. in fact, in democrats who were thought to be flexible and flip on their leadership were invited. not the leadership. and so, you know, when you have a war and go into negotiations, you negotiate with the generals, not with the troops. i think it would be useful to get the actual negotiators in the same room and have a negotiation rather than a photo opportunity. neil: well put. even the troops, they're not coming today. we will see what happens. david, thank you very, very much. theresa may is addressing our
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nation right now. the next big issue is about double decide not if she stays around a while, but if rags that ever gets off the ground. a year and a half into something that was not decided is still undecided. after this. of this town. of this town. by 2030, half of america may take after stonington, self-employed and without employer benefits. we haven't had any sort of benefit plans and we're trying to figure that out now. if i had had a little advice back then, i'd be in a different boat today, for sure. plan your financial life with prudential. bring your challenges.
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in that a separate referendum would be passing the buck. she's against doing now. she also said tonight we will determine whether we move forward with the deal that honors the brexit though. an historic decision will set the future of our country for generations to come. just winning over her party is one thing. she doesn't even have the support area. the u.k. opposition labor leader, corban has already said if they vote down the deal come the opening negotiations should not cannot be ruled out. the arty want to sort of keep her referendum idea out there. the message of the government seems to be saying there is not going to be another visit to this particular level. the cato center for liberty and dirty, senior analyst, maryland to pa. thank you for taking the time. >> is heated at my pleasure. neil: what happens in the event this goes down to defeat.
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what do you think? >> well, that depends on how big is theresa may's humiliation? it may be possible that she resigned and then you will have an election within the party for the next prime minister. if the humiliation is in too bad, she may stay on as prime minister, go back to brussels and try to get more concessions from the europeans, and then finally it's possible she wins, but that seems highly unlikely. neil: why are we even here? some conservatives push a straight break from europe back two and a half years ago when we have this referendum. i know they had to make all sorts of allowances you couldn't be a clean break. you'd think by now we would have these addressed anyway. what do you think?
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>> part of the reason has to do with the inept way in which the party leadership in 2016 took place. teresa may who was a remain are became prime minister and she filled half the positions in her cabinet with people who were opposed to the european union. as a consequence, they were always sabotaging a clean break of the european union. another reason we are here is because two years have passed since the referendum. the force of resistance to bragg said, which were understandably shop by the jury is time to a sickly coalesce to undermine
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brexit completely in keeping the e.u. indefinitely. timing has a lot to do with it. the further we are away from the referendum the more difficult it is to deliver on it. neil: the possibility of another referendum. if it came to bat, with the vote be roughly the same as it was in june of 2016? >> my personal feeling is the brexit side would win on an even higher margin. the reason why i say it is because the bricks as we have seen repeatedly through their history don't like to be pushed around. you will recall that the french, dutch, irish, danish had to vote twice over the last 20 to 25 years until they got a result.
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and there is something that the british always wanted to avoid. i think that a responsibility of the british elite to the public at least until now was understood to have been much deeper. and i think that there was an expectation that the british elite would do what the british public commanded them to do. i honestly cannot see a soccer referendum taking place in britain because i think the country and its democratic institutions are fundamentally different from those in france or ireland. neil: we will watch very, very closely. thank you very, very much. not so surprising the opposition leader has confirmed that the labour party will be voting against this in unison.
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then it is up to at least the u.k. prime minister to get some of the support from within the party. even dare and majorities expect them to vote against. that could change the condition of the hail mary pass and after that no one seems to know. moreto after this. 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.
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that i think is wrong. by anybody. editorial boards, congress or president, i will do what i think is right. neil: i'm going to do what i think is right. william barr, president's choice to be the next attorney general, would not be his lawyer, would not be sort of in his hip pocket that is the clear message william barr is laying out there. judge andrew napolitano joins us right now. do you believe that? >> i do. i believe he is coming across as savvy, as a intellectual heavyweight, pleasing to both sides of the aisle. there is a gaggle in democratic party. senator hirono from hawaii coombs to mind. wouldn't vote to confirm anyone president trump nominated. neil: do you think of all democrats of that mind? >> no i think democrats on the committee, senator klobuchar. neil: would vote for him. >> would vote for him. senator white house.
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when he was dominated, wrote a memorandum to the doj, bob mueller is wrong and president will put him in there to clip his wings. neil: that mission statement was totally misconceived. >> correct. neil: what did he mean? >> he talked about one clause of the one of the many statutes under which bob million letter is examining the president's behavior and the behavior of his campaign. he said, you know what? when i wrote that i didn't know any of the facts once i'm confirmed i am likely to know. by the way, bob mueller is a very honorable guy has been my friend for 20 years. i could hear gasps at 1600 pennsylvania avenue. i'm exaggerating a little bit they couldn't actually hear them. when he said that for people to say he is the adult in the room, impression he gives. savvy, serious, devoted to the rule of law. not a politician. neil: now he said a couple of,
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might raise the president's eyebrows, including jeff sessions was right to recuse himself. what did you make of that? >> i think most of the legal community, i in this group, believe that he was right to recrews himself. there is a specific clause which says, you know if there is political involvement, and you were part of that political group, that is the subject of the inquiry, you can't supervise that inquiry. how does it work if you were an attorney general? educate me on this. this is a very unique and special cabinet position because you are appointed by the president. after that, it is almost hands off with the president, right? >> yes. the department of justice is the only executive department in the president's cabinet by law and legal requirements by lawyers that work there must remain independent of the white house. the president says i want so-and-so prosecuted. the response is, thank you, sir, we'll take that into account.
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it is not okay, we'll commence the prosecution. there has to be lawful basis. neil: when i seen cabinet meetings where he said jeff, i want to you look at this, the cameras is rolling, is that unseemly, the president saying one thing -- can he make that kind of an order? it doesn't have to be specific or nefarious what are the limitation. >> it is unseemly. he cannot make that kind of order. i would be surprised if he does that to bill barr on national television. donald trump, who knows. neil: smart people like you telegraphed all of this to me, barr's reputation, why would the president given all the rap he wants cabinet officials at his beck and call pick a guy like this? >> the justice department needs very strong leadership and when bill barr was the attorney general 27 years ago he provided that mainstream, establishment, leadership. which brought the fbi in and the various other entities in and people were happy and it
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operated well and bad people were prosecuted and politics was kept to a minimum. i think president trump has been persuaded that is what he needs in the next two years. neil: so he is not going to lay any hands on bob mueller or do anything to disrupt the probe that is going on the witch-hunt as the president calls it -- >> which barr denied it was a witch-hunt. neil: how likely is it he will release this report or get it into the public's hands? we spent close to 30 million on it thus far? >> said to the committee under oath he will release everything that he can, if all thinks are equal he will err on the side of releasing. there may be classified materials that would have to be redacted but he will release everything that he can. he decides what is to be released, not bob mueller. neil: thank you very, very. judge napolitano. the buy is brilliant. corner of wall and broad, stocks
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are up 130 points. looks like brexit is taking it on the chin today. what happens next is anyone's guess assuming that is the case. to you my friend, charles payne. charles: thank you very much, neil. appreciate it. good afternoon, everyone, i'm charles payne and this is "making money." the market shows tremendous resolves despite earnings misses from jpmorgan and wells fargo. leading the way, netflix. why the streaming giant hiking prices ahead of earnings releases, well, kind of interesting. it is already the hottest stock in 2019. can it keep this going. also parliament is about the decide the fate of theresa may's "brexit" plan. we have the possible ramifications or the uk and here in the united states. plus president trump inviting members of congress to the white house as the longest government shutdown entered day 25. democrats, they passed on the invitation. is there an end in sight. congressman sean
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