it has been like this all morning long. not much serious movement. waiting for news on china trade. waiting for the fed this afternoon. go nowhere wednesday. connell mcshane in for neil. connell: i would pay huge money if someone on the internet would create a kim jong-un haircut on your face. somebody could get it done. could handle it. stuart: get on with your show, son. connell: thank you, stuart and company. welcome to "cavuto: coast to coast" for one more day. i'm connell mcshane filling in for neil. the dow on pace for third straight day of gains. trying to make it nine weeks of gains in a row, president trump sending a signal out as he has done a number of times, really drove it home yesterday, that he is, if anything, maybe likely to extend that china deadline on the first of march saying that the date is not a magical date by any means. let's start there.

give us something to talk about. edward lawrence on the trade beat. latest on the talks. >> talks in second day with deputy level talks. these discussions will set up a memorandum of understanding to come by the end of the week, when the primary level talks happen on thursday and friday. president donald trump touts progress but there are still major hurdles to overcome. talking to a group of business leaders in china. they stress china's doors to the outside world will open wider. that the u.s. needs to respect china's effort to become developed and prosperous. on the table for discussion, currency. a spokesperson for the foreign ministry says today china does not manipulate its currency. also china will not force fluctuations as a tool in trade disputes. another sticking point, the mechanism of enforcement. u.s. wants specific actions

taken if china fails to follow through. one interesting note in all of this, chinese vice premier lee china adding wait to come to deal by friday. china doesn't want to tariffs to increase. connell: president trump will meet with the chancellor of austria. he is a young guy. they're expected to talk auto tariffs at that meeting. the chancellor came in saying the main mission would be trade. we bring in axios reporter kaitlin owens on this. it is interesting, kaitlin, this is a 32-year-old guy, right? center-right. should line up as kind of a trump ally in europe which would be would be somewhat unique.

what about a clash on trade? what do you think? >> auto tariffs are threatening to almost every -- many many countries in europe. if the auto tariffs get put in place, first reaction look at places like germany, we import a lot of cars from there. somewhere like austria, they export a lot of car components. the entire car industry is interconnected over there. connell: so this idea of nobody wins in a trade war, from people you're speaking to in washington, is the president's threat, specifically on auto tariffs being taken seriously or is this one really being seen as the negotiating tactic? >> you know it is interesting, my colleague jonathan swan reported this weekend that most, most people are telling president trump this is a terrible idea, with the

exception of peter navarro. connell: of course. >> right. i think the president sees this as a nice leverage tool, just to keep in his back pocket. we don't know what the commerce report says, whether it recommends to use this or not but yeah, i think this is seen as a point of leverage. whether it actually happens, i mean i don't think anyone, it is not wise to guess as far as -- >> you make a good point about the support of this, because the president has built something in the business community, and political community i suppose, of a coalition of support around what is he doing with china. maybe to the surprise of some, so many are now supportive of at least the efforts the president is making. but here, even the u.s. auto companies, right? >> right. >> ones that theoretically are not for it. >> auto makers in the u.s. are uncomfortable with this. there is not much support for this. it is all interconnected.

connell: what about this giaours. we talk about europe and types of governments. socialism versus capitalism, south america versus europe and united states and all the rest. this guy rose up into power by being in opposition to some of the big leaders in europe, particularly angela merkel? >> right. this should be an opportunity for president trump to build up good will with some populist right-leaning leaders. there are others throughout europe. this is drawing universal fear. this could be squandering an opportunity to create somewhat of a trump eastern european alliance, any european country that may be warmer to trump than others. connell: that is true. on china we'll see as edward says where that goes. that is place we may be making progress, what investors are hoping. kaitlin, thanks for coming on. >> thank you for having me.

connell: kaitlin owens from "axios." looking at the economy more broadly, looking at cvs, stock falling on revenue miss, charlotte russe may close, how healthy is the economy overall right now? former hostess ceo greg rayburn is with us here in the studio. good to see you, greg. thank you for coming in. we appreciate it. i said we've been looking this week at retail because we've had a number of conversations about the strength of the economy and some saying hey look, what walmart did, that was great and that just proves that the concern about retail sales in the government figures may have been overblown. maybe those numbers weren't right. how do you see things? >> a december glitch. connell: exactly, something like that. >> i don't buy that. connell: okay. >> from my perspective you had strong numbers from well-run retailers, like walmart.

there should be good numbers. their competition is liquidating around them. not just charlotte russe today, payless shoes liquidating, toys are u.s., liquidating, dealing with companies, retail is the hardest animal to fix. connell: big guys survive. amazons and walmarts, biggest of the big and the others are struggling. why so much? what's really the problem? >> i think there is still a big dislocation in our economy. what i would call underemployment. so if you look at the employment rate, yes the unemployment rate has come down and i'm not ney saying the economy. the economy is better, it is markedly better today than it was a year ago, but we still have quite a number of people in this country, who are what i call underemployed. if you look at student debt, students with student debt they're not working in positions they went to school. connell: right. they have a job but would like a bitter one. >> sure.

reason minimum wage at place like mcdonald's becomes an issue because that is underemployment. you have a father or a mother trying to raise a family in a job that originally was for, you know, high school student at entry level. so that type of dislocation is still there and you can't have the disruption we've had in the last two years in the middle class and without any retraining or any progress towards turning that around to fix that dislocation. so the buying power in general is not where the unemployment rate would lead you to believe it is. connell: you brought up minimum wage. brings up a larger conversation about the future of some of those jobs. if the minimum wage is forced to go up from 7 or 8 bucks an hour to 15 as it is in many states, what actually happens longer term to the service industry jobs, which could be theoretically eliminated pretty soon, already in some cases by technology? >> sure. a.i. is coming quickly. connell: very quickly. >> easiest industries for that to sort of take over are what they call qsr, quick serve

restaurants, fast-food, mcdonald's, et cetera. connell: is that a big hit to the economy if and when it happens? i know it is happening to some extent? >> it will be big hit to employment and employment ranks. connell: how far away are we? >> profitability of those companies will be hugely -- connell: net positive for the overall economy, we have these discussion but people who live in this country and work in those positions could hit us pretty hard. what is the time frame on those types of changes? >> here is the issue i think. the time frame we'll see recession at some point. i think sooner than most people think. connell: what does soon mean? >> this year for sure. connell: really? that is outside, that outside of consensus. >> trust me i'm not an economist. connell: what leads to you make that conclusion? underemployment? >> dislocation, under employment, how difficult that is to fix. there is also an issue of what i call zombie capital, right?

hostess brands we had a lot of capital tied up in that business. until the business was able to be sold free of onerous contracts and deteriorating factories, now that capital is put to use and that company is growing now. those were good jobs as opposed to just sort of jobs. eddie lampert trying to save sears. i don't know why right? because capital will be tied up in a business likely still not going to survive long term. that capital could go somewhere else to create better jobs and create growth for employees. connell: last point before we go to break, we'll talk about it next anyway, what do you make of the political debate around these issues? if you're right about the timing of the downturn, that could be determining factor. proposals out on other side proposed to the president are way out on left? >> the democrats are giving republican as gift on a platter right now. connell: being too far left? >> absolutely right. if i were a republican

strategist, give them a microphone, television, follow them 24/7 to let them talk. those won't win the argument. at the same time the republicans will have to do something towards the middle class, towards the dislocation. if nothing is done, you know, that disaffected class, that was a trump supporter -- connell: they rise up. >> look for something free. that is not what we want. that is not good for the country. good to see you. >> thanks, connell. connell: we'll move on to talk some of the politics with bernie sanders if nothing else raking in the dough, millions and millions on the first day back in the campaign for 2020. will he put the crowded field of democrats on their heels? we'll talk about that when "cavuto: coast to coast" continues. see you this afternoon at 4:00 p.m. eastern on "after the bell." we'll tally up the markets, to see how they close out. we're up nine on the dow. coming right back.

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>> very close to our freedom. we're lucky this international effort has been cooperating in this pursuit. you can know on the 23rd of february we'll be back on the streets to demand our freedom and there peacefully, to achieve freeing of venezuela and do what's needed to put an end to the dictatorship. connell: interim president of venezuela, juan guaido, telling our own trish regan last night that venezuela will be able to accept aid on saturday. but the maduro regime has been shutting down a key maritime border and grounding flights as the opposition party tries to

get the humanitarian aid into the country. saturday is a big day in venezuela. we'll talk more about that in our next hour here on "coast to coast." meantime bernie sanders campaign said it received nearly $6 million in donations during the first day of the 2020 race. so do the democrats risk counting him out? former democratic ohio state senate minority leader capri cafaro, independent women's policy director, hadley heath manning. they would do this at their own peril, capri. that is a lot of money. a lot of people made a big deal kamala harris raising 1 1/2 million. bernie said forget that, i can do that in an hour 1/2. what do you make of this? >> bernie sanders has been around a long time. he has been in congress since 1990. a lot more name recognition than anyone currently in the field. has an existing infrastructure of low, low dollar donors, for example, back from the 2016 election.

he did win 23 states. so the difference now is, i just wrote an article for foxnews.com about this that obviously the progressive lane in the democratic primary is crowded. it was just him versus hillary head-to-head in 2016. now i think bernie sanders is trying to basically say to the progressive wing of the democrats, accept no imitations. i'm real deal. it will get interesting. connell: hadley, most of his economic policies, medicare for all, $15 an hour minimum wage, free college tuition, all those things as capri said, would have been more considered mainstream democrats. that said, this guy is a socialist, bernie sanders. not like we're debating whether he is. he self-identifies as one. so it seems like this is the type of candidate president trump, as much as he respects him, that said, he called him crazy bernie again on twitter, what he said respecs him he would want to run against someone like this, don't you think? >> i think so but it's a truly a

credit to bernie sanders's legacy, there are so many progressive candidates in the race. this is his own doing. could become his own undoing. he has the name recognition though that some of these other left-wing candidates may lack. he has been around much longer, he tried to position himself as political outsider, he served in congress for 16 years, before serving in the u.s. senate for 12 years. certainly in terms of money and cult following senator sanders has he has a leg up. i think ultimately the crowded left side of the democratic field is to the advantage of say, a more moderate democratic candidate who can come in, really take advantage of the opening there, say like a joe biden or john hickenlooper. certainly the field is more open on the center left. connell: you think about the west. hadn't thought about hickenlooper in colorado. the biden thing is interesting, capri, we still don't know whether or not for sure, there are reports oh, he is going to

run, he is going to run, but he hasn't announced yet. brings up discussion as hadley said, there is a semifinal before the final here. >> right. connell: for discussion sakes bernie sanders is in that on the way left but who does he go up against, who do you think, capri? >> i totally agree this opens up a middle lane by some one like joe biden. i'm not entirely convinced that joe biden will run. more than likely sherrod brown, from my home state of ohio will throw his hat in the ring. he can bring trump voters back into the fold as a democrat. amy klobuchar as much as she may not be electric, to some, obviously is trying to position herself as a pragmatist, and as an adult. i think the real question is will bernie blow everybody else out of the water and get the rest of the progressives and bernie heads up with moderate

folks? connell: i know everybody says how much, hadley, party moving to the left, but far left is bernie sanders and elizabeth warren. if bernie sanders is able to outflank, out fund raise elizabeth warren, win in new hampshire either one would have to win, he does have the matchup. for argument sake, who do you think he goes up against or she goes up against in what i'm describing now as a semifinal? >> i mentioned hickenlooper. some of the candidates in the center left part of the democratic party aren't declared as candidates yet. we're sort of speculating. connell: true. >> it is an open lane right now. i think it is an important lane. i think it would create more internal discussion in the democratic primary about the policy positions of some of these candidates because you have sanders, as you mentioned, the original sort of medicare for all democratic socialist style candidate. you have other the like senator warren who are pushing a platform that includes universal government-run day care for example. connell: right. >> if there were a center-left

candidate you would see more discussion about some of the flaws related to the policy proposes. there would be a more critical eye towards unintended consequences of some left-wing policies. >> klobuchar is only one declared having that discussion. connell: could fill that lane. we'll see. good to see you both. capri, hadley, thanks a lot. >> thank you. connell: the trump administration canceling a billion dollars in rail funds for the state of california, high-speed rail. why that state's governor says all this is political payback. we'll get it into next. ship andy that have made the rx the leading luxury suv of all time. lease the 2019 rx 350 for $449 a month for 36 months. experience amazing at your lexus dealer. if you want to know why people you have to start by asking... could listening to audible help you find the secret to a stronger relationship? sometimes it doesn't take anything at all for us...

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member ken blackwell. this high-speed rail thing has blown up, ken. they want 2 1/2 billion already been spent back, that is what the president said. they canceled these funds. what do you make of all of this? >> this is a matter of accountability. i mean the, department of transportation in this three-page letter to california officials, they lay out the fact that there were missed timelines, deadlines. they were underfunding, that was, being required local matches from the state of california. this is matter of holding california accountable. when i came in to government, the morgan, who was president of proctor & gamble told me, said with the budget the federal government has it can just do about anything. it just can't do everything. that is what we're saying, the trump administration is saying to california.

we are going to hold you accountable for these precious resources. we're not going to fund underperformance or poor performance. all we get is more poor performance, if we do that. connell: what do you think the decision the governorof california made? governor vin newsom, both democrats, left of center guy, normal situation, all things being equal i'm sure being inclined to support something like this, he said, you know what? it is too expensive. 77 billion, i'm out. i will put priority towards housing rather than high-speed rail. what do you make of that decision, receiving blow back as he is now from washington? >> well, again, it is on him to repurpose resources to make sure he is doing the best for his folks against priorities but the reality is, it is for, instance, the wall that the president

wants to put up is, .1 of 1% of 4 trillion-dollar budget. every dollar is precious. here is, here is a state that basically has blown about $2.5 trillion, and the federal government has said, hey, we're going to repurpose the one trillion dollars still in the pipeline that you haven't spent. so we don't waste taxpayer dollars. and i think it puts the pressure back on the governor to do what is in the interests of the people of california and, that is, to spend their money wisely and not -- connell: his argument he is trying to do that. he could have went forward with the project and wasted even more money. his point, you know what? i'm looking at this. it makes no sense, i'm out. >> that's, and that's fine and perhaps he will get back in and build more wall?

connell: if there is a deal to be cut there, i don't know about that one, ken. i don't think gavin knew gavin m going for that one. >> there is always a deal with our president. connell: that is the deal of all deals. go ahead, i'm sorry. >> let me just say, this is a president who was an entrepreneur. he knows how to walk away from a deal that has gone bad. that is what is wrong with too many washington bureaucrats. they keep funding, keep funding underperformance, poor performance, all you get is more, more waste and more poor performance. connell: ken blackwell, good to see you as wells. thank you for coming on. we appreciate it. >> good to be with you. connell: good to be with you. with this new review out that shows utility bills that people are paying have been going up. the reason is interesting. because electric companies, it turns out according to this report at least are overspending not by a little, by a lot, by

billions. price futures group senior analyst, our buddy phil flynn joins us from the floor in chicago. they found out they could have saved 8 billion in five years, just a third of their major projects were opened up to competition. that is the problem is that, there is no open competition in the utility companies just go ahead and do whatever they want? >> basically, yes. in fact, there was a rule made a few years ago, connell that really while these regional operators to open up projects because it took forever to get the government agency that oversees this stuff to approve things. the problem was, is that they opened the door just a little bit and not enough. you know they put restrictions on these companies a certain degree who they could do business with this people that have to be in the state and such, raise costs a lot. you and i know, best ways for consumers to get the best price

is competition. a lot of time regulatory agencies create monopolies that drive up costs. connell: get you on oil while you're there, we had a flash on bottom of the screen, 2019 high. venezuela, sound bite from opposition leader president on our show, looks like saturday is a big day, will they get the humanitarian aid in. how do you look at the crisis in venezuela and impact on oil at this point, 56.94? >> it is becoming a bigger and bigger problem. what we heard today, oil prices were relatively subdued today, were lowered until we saw the headline, embattled president maduro in venezuela was sending troops to the border, increasing the odds of some kind of a clash, military or otherwise. that caused the oil market to really go up. one of the big problems, the u.s. needs venezuelan oil, it is tight u.s. refiners refine. the heavy oil. which have plenty of shale oil,

but heavy oil we don't have enough of. if there is concern off the market for extended period of time, not only drive up the cost of crude, gasoline, heating oil. connell: saturday looks like a big day. phil flynn good to he sue, in chicago. >> thank you. connell: big banks are worried that democrats in congress are pushing new policies that wouldn't exactly be favorable. a look at their stocks. gold hand is -- goldman is down, ubs. we'll come right back. it's absolute confidence

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proposing a way to bring in bucks hoping to pay for green new deal and medicare for all. senator kirsten gillibrand and senator bernie sanders both back plans that would tax trains, an idea that could bring in billions much the congressional budget office, the revenue from a .1% tax on value after securities trade could raise about $777 billion over a decade, but critics argue that a trade tax makes capital more costly for companies so they would raise less money and markets would lose liquidity. but democrats are not the only ones looking to tap wall street for cash. republican senator marco rubio saying they could introduce a stock buyback legislation in just a few weeks because he thinks corporations use buybacks over dividends because they have a tax advantage. senate democrats elizabeth warren and bernie sanders also are pushing for their own reforms on buybacks. other popular progressive

policies on the table though, a crackdown on the super-rich, dems turning up growing support for a tax on the ultrawealthy. an extra tax on big banks, ideas that used to be considered extreme, now part of the mainstream in the democratic party. connell? connell: interesting. they love going after the banks now. after being out west, tech companies need money and fund-raising. hillary vaughn in d.c. this week. charlie gasparino here in new york has been reporting on the banks. which had this discussion the other day about fannie and freddie, i got to tell you it is a discussion that continues on the twitter up until this day. >> it is nuts. fannie and freddie freaks are out there. connell: who knew. >> it's a bunch of day traders, some of them living with their moms, some not. connell: here we go, why you get into the issues about people being in their mother's baste on twitter. >> they are. a lot of them are. connell: what percentage of your day is spent with this? >> not that much. some hedge fund guys.

john paulson a good guy, a guy i know so well, hedge fund investor, bought stock, common and preferred on two entities fannie and freddie, thinking that a reform plan coming out of washington will make them rich. it may make them rich. mark calabria new chief of the fhp a i think it is called, overseer of fannie mae and freddy, the government agencies. put out from conservatorship, owned by the government, make them private companies again. the devil is in the details now. that is where the bets are coming in. do they release them, capitalize them. get all the money or calabria do something in between? there are plans for the banks, take all the jpmorgan deposits, give it to the world, make it a better place.

connell: could be a good campaign. >> that is what they might -- if this plan goes reform of fannie and freddie the way it is being, the way it looks like the market is saying it will go, a recap, a release, keep all the money, keep their government backing -- connell: right. >> john paulsen, hedge fund guys make a lot of money and day traders that would be giving, trump administration, mark calabria will give such a campaign issue to bernie sanders and the left. they will basically say, listen, you basically released two semigovernment agencies, still backed by the government. they don't exist without the government. 30 year fixed-rate mortgage does not exist. that is what -- connell: ask you one portion of that. >> let me make this point, if they do the plan these day traders and mom's basement guys think they will do, bernie sanders may become president of the united states on that. connell: couple things, i don't know about the mom's basement stuff but social media buzz about this segment has been out

there for the last couple days. >> right. connell: one of the things i saw, come on, gasparino, what are you talking about here? you're essentially advocating socialism saying they should be nationalizing these banks? >> no. nationalizing fannie and freddie. connell: exactly, fannie and freddie. >> here is why. connell: you're saying they're backed by the government where argument goes on social media, banks on wall street, backed by the fdic. >> the deposits are backed by the fdic. that is why we bailed them out. the reason why we had financial crisis or bailouts, not because of lehman brothers and bear, they were symptoms of it, citigroup and bank of america were insolvent. when banks go insolvent, they go belly-up, right? you will have to start making up a trillion, two trillion dollars worth of deposits because the fdic fund doesn't have enough money in it. so the government would have been bailing out instead of what, instead of two trillion,

they, i don't know, 30, 100 billion. connell: something like that. a lot of money. >> that is what the tarp money was. think about it that way. you don't want to, you don't want to repeat that. one other thing. banks do many things. there are many lines of businesses. connell: whereas fannie, freddy -- >> one thing. it is a business that no one else can do without the government. my point is simply this, i don't care, i don't want, john paulson makes money, or these day traders, i don't care, let's be real clear here, only two-way this is company should survive logically. either let them go as private companies, no government backing, they have to borrow to make their vig, based on, you know, regular rates. connell: right. >> which then they won't exist, probably. or, just keep them inside the government so we know what they're doing. connell: essentially -- >> nationalization. connell: or nationalization. >> make them like ginnie mae. fannie mae, freddie mac should not be public companies.

think about it. that is so absurd. they were actually public companies created by congress. jpmorgan, whether you believe it or not, was not created by an act of congress, okay? look at the history. connell: created by jpmorgan. >> i'm saying, banks are regulated. it is not totally absurd argument but they're not, they're not, they're in many more businesses than fannie and freddie and, they're, and they're less and they're less part of the government than fannie and freddie. fannie freddy literally individual both ways, they have public shareholders yet borrow at treasury rates. that is literally amazing. connell: check your twitter. i was standing up for the mom's basement crowd. >> here is the real thing they will have to convince maxine waters, john paulsen and the day traders will get rich off this. will that work? that is insane. connell: we'll stay on it. >> it's a great story, i think i

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connell: as we move on to amazon we know new york is out, right? newark, new jersey, is making another pitch to try to win over the company. deirdre bolton with more on that from the new york stock exchange. >> that is right, connell. less than one week after amazon canceled the planned expansion for part of its hq2 in long island city, queens, new york, new jersey senator, cory booker, governor phil murphy are trying to get amazon to reconsider newark. newark is one of the original 20 finalists in amazon year-long contest. that city and state offered amazon $7 billion worth of incentives. obviously dwarfing the close to 3 billion that new york city and new york state with a quite a hubbub over. amazon is lower on the session. walmart is down as well. the uk merger is facing challenges. that is weighing on the stock. so britain's since bury was

supposed to buy walmart as a chain for 9 1/2 billion dollars n a surprise move the regulators are blocking the takeover citing antitrust concerns. analysts say that dooms the deal permanently. that hurts walmart's plan for expanding in non-u.s. markets. charlotte russe, women's clothing chain looking for buyer. it declared bankruptcy a month ago f nobody shows up, makes successful bid for the brand, it will start shutting down stores in march. the store has 500 branches all over the u.s. it has 8700 workers. connell, you know this, it was mall-based. that hurts in the era of online shopping. connell: deirdre bolton at the stock exchange today. to technology with samsung, rumored to be just about to release a foldable phone. they have a big galaxy event out in san francisco today, that i believe begins at 2:00 p.m.

eastern time. constell ages research ceo ceo, ray wong is with us. ray, good to see you. a-10th anniversary phone is coming as a lot of people talked about with apple. what is the idea of a foldable smartphone? there is a lot of buzz. what do you think? >> we think so. that is the rumor. we were standing outside earlier, that is the big talk of the town whether we get foldable device. people want a bigger format. that will be interesting. connell: combines tablet and smartphone to some degree, sizewise, tabloidesque, you are able to fold it into a phone? what would this actually look like, do you think? >> basically allow to you fold it. like a butter fly. comes back in two directions. that is what they are hinting at for quite some time. we've seen leaks on internet what that might look like. a single pane of glass end to end. they could announce that, but will talk about the s 10 and s

10 plus which is their flagship phone. connell: final on the foldable, what is the big thing on that? >> we see patents from apple as well as foldable phones. a lot of folks want a larger screen size. they don't want to carry the big box in the pocket. you and i remember like this to get the flip phone effect. i don't know what we get when we switch out a foldable phone. we'll see what happens. connell: that is weird. the razor, whatever the flip phones, everybody thought they were the coolest thing going. i don't know, 2007 happened and apple. apple introduced an iphone. that is true in 2007. i guess had a 10-year anniversary phone. there was a lot of blowback when apple came out with the iphone x. people said this is way too expensive. i wonder if samsung learns from that as they introduce new phones to some extent. >> that is a great point, connell. phone prices are too high. asps are too high.

chinese competitor coming down hard. you see huawei, see them coming down. they have been taking market share. xiaomi has number one market share in india. apple and samsung are losing out because of the price. connell: one of the things i'm fascinated about china its own market, chinese market which is huge numberswise, there don't seem to be as concerned now, maybe they never were, really now with the type of phone that they have, consumers in china, because just about everybody from what i'm told uses the app we chat, as soon as get in the phone. use it for everything, mobile payments, mobile banking. it has taken such control you can have any old phone because you're using that app. what is the impact on these big companies really for the next few years, apple and samsung? >> you have to look at this not about selling phones but about having install base. so think of subscribers and billions of users on devices. on each of these devices it is about what services you can sell

and monetize per user. china is great example. financial services, social networks, entertainment and video. the phone is the platform going forward for digital networks. connell: right, mobile payment, taken off like crazy in china, for whatever reason it hasn't caught on here in the united states. maybe it will. before you go, we have minute or two, i want to ask you about google, i don't know how much you've been following the story, google nest, device, smart home thermostat, there is a story out there about a microphone apparently in the device, people said wait, there is a microphone in this thing? google said it was never intended to be secret. we had a microphone in it, it should have been lists in the specifications to begin with. it is not automatically on. it has to be turned on. concerns about privacy, bigger and bigger. what is your take? >> i actually do believe it was probably an oversight, whether they put a mic in. they use it for sensing to see someone walked into the room to

turn on a device or some kind of security protocal. we're in era trust is ultimate currency, if you don't disclose things early enough, you don't be up front, customers will not trust you. that is the most important thing right now, especially in the digital age where you can be tracked, traced, privacy is so important. connell: ray, enjoy the event with samsung. we covered a lot of ground. thanks for coming on. >> no problem. take care. connell: ray wong. we'll get back to our top stories of the day. the president, got the weather down in d.c. it is here in new york as well. get a little bit of snow, nothing crazy. president is talking trade with the chancellor of austria, sebastian kurz, as "coast to coast" continues. we'll be right back.

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connell: we are back on the bhutto "coast to coast" spirit connell mcshane. new details to come out on the

federal reserve's inking. the latest meeting, the one we just passed through will be coming our way. then there's about 45 minutes away i believe from president trump believe from president trump's meeting with the chancellor of austria in the main topic air were those two get together. trade, auto tariffs, the thing that's been talked about. i'm sure it will, but not meeting. when the fox business network, suzanne laing and a couple market watchers with us. good to see everybody involved. suzanne, i will start with you on the dig issues. china trade is kind of out there. i feel like the auto term snuck up on us and i'm sure the austrian chance learn, just in general europe and the u.s. try until i take it as the president's trying to the entire trade landscape could not just at china, those are ongoing this week in d.c. but also with the european union

auto tariffs and also japan because those are the main international auto importers here to the u.s. beard so if he does take out the tariffs and it's going to have to have a few renegotiations steadier he has deals with mind new. connell: i wonder how serious he is on this particular ratio because there's not a lot of support. that doesn't necessarily stop this president in the past, but even here i mentioned last hour u.s. automakers would be in favor of this and they're really not. >> and relevance to the large car part manufacturer and supplier to the german market. connell: sometimes they forget how manufacturing a car is. >> a lot of these cars and manufacturers in eastern europe. any potential terrorists affecting the german market also by definition impact other countries such as hungary and austria and slovakia, other places where there are a lot of parts in industry that supports the german industry.

connell: it is interesting, rebecca, that they throw this wrench into things in all the reports out there that were actually making progress with china and, so how are the two related in what type of progress, the way you read it, and you think we are making with china. how close to a deal? >> well, i wish i could say we were closer. the u.s. wanted structural change. we want them to stop really sort of unmaking they are by government money, chinese money and private sectors like huawei is a perfect example. that is a nonstarter from china's perspective in >> this whole idea of structural change, and that seems just logically speaking like something that would take a long time. to be fair to the president, he's instantly telegraphed the fact that this doesn't really mean anything and now we are suing that's going to be

extended. >> i think that's right. i think some of the trade articles that were talking about are more the easy ones to do. connell: piece by piece or kind of let it play out until he gets some sort of a big deal. >> the bigger concern, the more structural things, the national security concerns, those things are much harder to interact in the immediate tariffs on particular items whatever they may be peered >> we are having a conversation about this in the green room. i was surprised by the outsides reaction by the markets to the trade disputes. if you look at it from a macro is common it accounts for one global trade. it's not insignificant. they make around 12% to 15% of the revenues and why markets are

imagine parsing through every detail and why are we down 20%. connell: is an overreaction but it only grows over time. the number two economy lies only gets bigger over time. susan: you didn't wait for my conclusion. i think it's a bigger impact in the second-largest economy in the world. that has more of a global effect been u.s. itself. connell: that is the debate whether the chinese have more motivation to get this whole thing done that we do. depends who you talk to, but their economies have been hit hard. there's no doubt it's slowing down. it's a matter of others only know enough to motivate them to act quickly to cut a deal more quickly appeared when you you think? >> i totally agree. president xi jinping if i could maybe outlast president trump, but with the actual impact we see the development and growth

from china in years from last year. obviously the global economic e.u. as well in china is saying i could come to the table and negotiate. >> it seems like we've only been talking about two things. china or the fed. i want to first get in with the minutes coming out. a little under an hour now 2:00 p.m. eastern time. it's a little different today because it's snowing down in d.c. the federal government closed down. doesn't take much. >> definitely be out by 2:00 p.m. connell: usually media wise with their chance to the lover before hand and put them in perspective. it might take us an extra second because forgetting them on time is supposed to ahead of time. these minutes a lot of time, i've got this old suit on. i wonder if it is a bigger deal this time because here's the federal reserve giving us the rationale of why depending on

your tears came on board or changed course or what you think what you're today in these meetings? in these minutes? i'm not sure there's too much information. connell: i tried to build it up. >> the question of what's happening for the rest of the year. of course we had this big climb down for multiple rate hikes this year to now most likely no rate hikes this year if we see the economy improving. so for that rhetoric change pretty dramatically and of course -- susan: nine or one because one of the fed presidents recently said that she thinks there might be one in the back. i'm not sure. >> there's even a debate about whether the next move is a hike or a car appeared when you think? we'll go to back on this, too. >> i think for a cut there has to be pretty big slowdown.

we knew coming into this year economic growth was slowing, -- >> not at this stage. connell: but you think of her backup? we should be rooting for a rate hike because if we do see higher rates for a good reason, the economy is doing even better than we thought. >> yeah, if we are talking about a couple of law be very depressed on a show that's for sure. i expect that the rationale of the global slowdown is the reason for the path and will have an economy this year so we can get another rate hike. to point to 5% if we made monetary policy to help us from some sort of market rout. we need some normalization in my opinion. connell: i guess i'd be curious to see how much and maybe this is hoping for too much on the federal reserve but how much discussion there was and i think things are slowing down. how much debate they were really having. >> you probably wonder what the

president was really thinking. but i would say right now the economy, those are retail numbers really scary. connell: is something it's one off. >> the new york fed came out the survey that showed the consumers here in the u.s. will spend more this year compared to last year. as you know that two thirds of the u.s. economy right there. connell: make your last point. susan is right there is a debate on whether retail sales numbers for the state we were in and were going to spend more than we did. >> providing the economy continues to grow and people experience real wage growth feel richer. i think the spending can certainly increase. connell: do you feel richer? good to see you. [inaudible] thank you, guys. as a move on, a little bit to politics at 2020 and the

democrats are bringing in the money, especially if your name is bernie sanders. he raised a lot of money his first day out there in the 2020 race. where do.com from and what does it mean? we will have that next. "after the bell" with the dow looking to make it nine straight weeks of gains. we'll have the closing numbers. we're coming right back here on "coast to coast." woman: my reputation was trashed online,

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and our shirts from custom ink help bring us together. we just upload our logo, and if we have any questions, customer service is there to help. - [male] custom ink has hundreds of products to help you look and feel like a team. get started today at customink.com. connell: 22 and i talked about the democratic contenders slamming well, talking about inequality. some holding fundraisers as they do that with, you guessed it, the wealthiest of donors. knox news correspondent william lunch announced.

>> this'll be fun to watch. as democrats campaigned on reducing inequality while driving into beverly hills or greenwich, connecticut to raise money for the millionaires they accused of rigging the system. >> stop handing out enormous tax giveaways to rich people. >> we have attacks though that got past decade a trillion dollars to the top 1%. >> we should close those tax loopholes designed by and for the wealthy. >> we need to have a tax code in this country that reflects our values as a people. >> democrats attacked what they publicly. privately base seek them out. corey booker receives $6 million worse than wall street followed by real estate and entertainment. >> this is an election where the wiltshire wealthy are going to pay more. pay more in contributions, pay more to super pac and ultimately if democrats win, pay more in taxes. >> senator elizabeth warren wants candidates to reject all

pac money from corporations and wealthy donors and appealed to a billionaire. >> elizabeth warren and number of years ago knocked on my door and asked me for money when she was running for the senate. >> senator amy klobuchar took almost 6 million from pacs. top donors to senator harris include names from silicon valley and hollywood which she recently attended a fundraiser with millionaire studio execs. >> the candidate to go to the top are going to pay for it in the polls and the democratic primaries. >> the question is do democrats try to hide millionaire money? do they say they can't cozy up to a ceo who makes 900 times the average american worker or do they just want a winner? connell: it is interesting because unless you're mike bloomberg you need money. he's a wall street guy to begin with. william la jeunesse finale for

us. 6 million or thereabouts five-point 9 million on the first day on the campaign trail. meanwhile, he has hard the billionaire howard schultz for using his own money is mike limburg what if he ran to get media attention. the spring the democratic strategist robin biro and liz harrington on this. robin, it's going to be interesting to see how this all plays out because bernie sanders is a force on the far left of the democratic party. i brought it up earlier. he should've wrote a column about this in "the new york times." will we get almost four candidates of the president in this primary and on the democratic side you'd have far left and maybe maybe centerleft. how do you see it all shaky now? >> definitely appear that the way it's looking right now. some of the more progressive people and centrists like amy klobuchar. bernie has been criticized by members of my party.

he said once he would not go back to being independent. he did that the day after he lost the primary election. he's been criticized for coming back to the democratic party. more power to him. he actually did us a net positive because of all the young voters that he registered. we didn't capture all of this, but enough to weigh up the difference. connell: if robin is right, bernie kind of rings in the grassroots enthusiasm, but i also think the establishment of the party is hoping that he doesn't win because it would be a tough matchup as a socialist against an incumbent president trump. how do you see it shaking up? who is the semifinal? bernie sanders versus someone in the democratic party. who do you think it would be? >> it is tough because he is a very formidable fundraiser. it's a lot of money and i think it's a problem for the democrats

because he has moved the party way to the left and i don't think he would be -- it would be an easy challenge come easy for trump to defeat if he got the nomination. bernie sanders is one of those types of people that alexandria ocasio-cortez one to get a paycheck to come and be unwilling to work. he was kicked out of a commune in his 30s or he wouldn't work, he was shirking and talking about politics all day. he didn't earn a paycheck until his 40s and now he wants to go out or howard schultz and call him correct but is never created jobs in his life. will cummings got a lot of baggage. he's never created any jobs. he's moving the party way to the left. >> it's been a lot of 20s -- [inaudible] it just seems like a good time to bring it up. do you think he does create a

serious issue for your party? you were talking about this opportunity he brings into voters. if it's a nominee from that wing of the party, whether it's him or against elizabeth warren to me if elected president drums twitter account, it seems like that's what he's hoping for. >> yes. and liz nailed it. this is a great opportunity for president trump to go after democratic socialism. this is basically my party's answer to make the same as the tea party was for the republicans. we are in the same situation now. i am being told -- connell: [inaudible] that's what you're hoping for. >> democratic socialism makes me nervous. at the end of the day it's taxpayer-funded. we need to accept that fact. tree until you made this point. he raises a ton of money. so that's where the energy is.

the only person who could probably counter and on the other side is the former vice president and joe biden in terms of raising dad. >> right. he raises a ton of money and is also the so-called more mainstream candidates. he's made them more to the left. they are adopting these policies. they are on board with the great new deal they don't even know what the net. kamala harris wants to eliminate private insurance in her first town hall. she has moved the party to the left and they've all gotten on board with these ideas that are radical, that are not mainstream and an average voter in a general election will reject. connell: if you had to back him into either one of you think he'll be the nominee, you don't think so? >> well, who's to say, but you could have a situation where since there's so many candidates running, he is the one with the base of support. he very well could. >> i learned to never

underestimate demand. we will see what biden has to say. connell: you think is going to run? >> it has to make a decision in january. waiting for an answer. >> almost two years for a the election and it's too late. good to see you, get back to the venezuela's touring with the key maritime border trying to keep the humanitarian aid out. what the interim president juan guiado is to thought business about that to get help into the region. that is next. g) what?? what?! what?! [crash] what?! haha, it happens. and if you've got cut-rate car insurance, paying for this could

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>> we have an opportunity this saturday to accept important humanitarian aid that the government in venezuela has forbidden and we have a

fantastic sample to polar country out of this crisis. aside, thanks to the announcement by president trump who has announced his operation by a coalition of countries. connell: that is juan guiado on fox business last night saved the humanitarian aid will get in by this weekend. the venezuelan government said it is closing its maritime border with the story made for venezuela. not a done deal yet. we watch very closely as we head into the weekend. local retired army lieutenant colonel and fox news contributor, alan last. colonel west, good to see you. a big day of unfolding. what do you think happens? >> everyday is a very interesting day and i think you will see this as a matter of hope, a ray of hope for people that are being starved in this regime that is preventing them from giving the aid and resources because that means by which he maintains power.

it would be very interesting to see how we get through any blockade and also barriers and obstacles put up on the land bridge that takes you into venezuela as well. the venezuelan government cannot be seen restrict teen food and resources and aid to the people. i mean, we'll just caused them to be in a very interesting a bad situation. maybe some of the foreign fighters down there supporting the madura regime will be the ones called to do this. connell: the hope is that the humanitarian aid gets in and things start to move a little bit quicker and maduro and his people decide to say, you know what tremendous is that worth it anymore. we are going to get out of town. guiado takes power. what if that doesn't happen? what if the blockade is successful. >> well, i think you continue to see the diplomatic efforts to isolate the madura regime as well as the economic efforts to

take away his resourcing. you saw what happened with the board, so that is used by which you isolate him from his bases of support. eventually what happens come even in the military when the rank-and-file, and mid-level leaders, noncommissioned officers while the generals are still getting rich, they'll pull away from that regime also. connell: do you have any doubt on how this all lands is just a matter of timing or do you have any doubt at the end of the day guiado ends up as the full-time later in venezuela and maduro is out to be mac well, and it did not happen their collapse overnight. diplomatic pressure, economic pressure and quite a few decades. look what happened so eventually the socialistic tatars either are ushered out and given sanctuary for exile somewhere else or they end up meeting. freedom and liberty will always

be socialist dictatorships. connell: the president has talked about and he did the other night in his miami speech. what is your observation of what we've seen in south america where there has been a move now kind of right of center on economics where reversing years and years of moving in the other direction where we hear stories all the time of saved europe's move to the left or even a moment ago here in the united states domestically at least in the primaries with the democratic party more and more to the left. it is interesting to see what is happening in south america. what you make of it? >> well, without a doubt. remember the problems we had in colombia with the drug cartels and what have you. it was not a matter of us having any military intervention, but eventually the drug cartels lost their power and control and look at it now is a successful country. 20 years ago venezuela was on the path of being a very wealthy nation in latin america but you had the hiccup with hugo chavez

announced nicholas maduro. they remember what it meant to be prosperous and that is something that aids them as opposed to in europe when you had years of those stick tatar ships, it took a while. took longer. connell: though it eventually happened and not is the argument that it never ends well. good to see you. thank you very much. timing is everything they always say in television. in the fed minutes will get at the top of the hour, we might have a little more interest than usual. the idea that this was the federal reserve shifting gears when it met the last time in what was the reasoning behind the gearshift? we will get into it when we continue here. "cavuto: coast to coast" when we come back. ♪ hoo

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chancellor in a few minutes. it's apparently worried about a trade war and that is of the conversation is expected to be centered around. the first time since he began working together and disappointed in blake burman who joins us instead of a picturesque shot of the white house north lawn he's comfortably standing in front of the podium in the briefing room. hello, blake. >> 72 degrees in here. is that what you've got in there? it's brutal. it's cold out. the austrian austrian chancellor set to arrive here at the white house momentarily. issues he can talk with president trump about. it comes as a pretty interesting day here at the white house is equipped the president as you remember earlier this month, february 1st to be at fact they announced they would he was trying from the imf treaty. the treaty that deals with

ground-based missile launches. at that time, the u.s. said essentially one of the reasons they were doing not was because russia is violating the treaty. earlier today in moscow, russian president vladimir putin responded to the united states saying that if the u.s. ends up putting those missiles that the imf treaty covered in europe, then essentially russia would respond in kind. vladimir putin said in that case will be forced and i want to underline that, forced to take both reciprocal and acer metrical measures. at that time, the reason i bring that up is because at that time russia or rather austria and a host of other european countries said they did not want the u.s. to pull out the imf treaty. they believe it's better to stay in a treaty then rip about treaty and try to move forward for now way i'm forward.

so it is possible that is one of the issues that president trump and chancellor kurz are talking about in the oval office meeting and gathering your shirt day. i do find it funny, connell, he was asked about a meeting with resident trumpet hyperpower for that and he said i don't think you can really prepare for a meeting with donald trump. connell: that's a good quote, right? am i allowed to ask you what's going on behind you? >> this is our friends of australian media was made their way over here into the briefing room. austrian media. that's why they're laughing at me i think. there you go. we'll get a good laugh here. we'll get a good laugh here in d.c. tomorrow. i think it's going to be in the high 50s. connell: everybody's looking at you like good day, made. blake berman played in the rain, but comfortably inside. this term is serious.

39 states. adam klotz joins us from the weather center. with the latest? reporter: this is a major huge system and we see some of the snowfall in the midwest and atlantic. all eras of the snow continues to fall. it is going to heat up and turn into an icy mixture and then eventually rain. you see that across the mid-atlantic were d.c. has seen anywhere from three to five inches of snow in the surrounding area. see the warmer air funnel on men with a mix of rain, i.c.e. and the area double turn all-terrain philadelphia, new york still looking at light snow at this point with some of the colder temperatures. as you look at the hour by hour forecast, pay attention to your timestamp, by the time we go into the evening hours they claim up to 34 degrees turning into an icy mixture ran the new york city area. you run overnight more heat moves on in an absolutely everybody, even in some of the areas where you saw some snow

through the overnight hours for the course of today it is warming up and that will all melt 45 degrees by 11:00 a.m. tomorrow, 47 in philadelphia, 45 degrees in the d.c. area. that is why look at our forecasted precipitation model. it does eventually become mostly rain. the only place they'll support snowfall adding up will be the extreme northeast here. so it is a big system covering a large area. there area. they're such warm air coming in behind it it's going to be a slimy mess. connell: that's always good. a quick warm-up. adam klotz in the weather center. in a moment the department of transportation canceling a nearly $1 million grant california for its high-speed rail project. we'll be right back.

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connell: the governor of california, gavin newsom's same president trump is retaliating over the national emergency lawsuit by canceling a billion dollars in the grant for high-speed rail project, the art the committee. it is interesting how this whole thing is playing out. not surprising that two of them going back and forth. the headline the first was gavin newsom is being responsible fiscally by getting rid of this

project raise going to spend too much money. but the president that i want my money back and you're not getting this grant. what do you think? or might the president is responsible here. if you take out the personalities in the trash talk, the federal government gave a grant to california to build a specific project no longer being built. simply put that the people's money and it belongs back in washington. connell: you're an attorney, but what is the state's argument that the state says congress gave us this money since it's allocated money. but they're not using it. >> grants given by the government are given a certain strings attached and conditions. the governor of california announced the project the money was given for is no longer going to be built as such. in fact, president trump it's in his right.

connell: let me stop you on that one. i thought maybe he just is making some headlines, trolling if you will. there is a legal argument on the callback. >> sure, absolutely. you can tell the government you want some money for the project and pocket the money. that's conversion. highly inappropriate and legal. i don't know the exact terms of the grant, but the project was originally going to be a statewide rail program now being called the farming regions of the state. the governor of california wants to keep the money obviously because the money is already then spent, but it's been spent for a purpose that is no longer fulfilled. people are entitled to their money back in d.c. connell: i try to assess earlier because the idea of building a high-speed rail system was done before him by someone in his own

party, but here comes newsom and you think the mayor of san francisco and he did say this cost too much and there's other things with housing and other things we can dedicate our resources. we did pull the plug. any credit for that? >> is also saving face because the project was never going to be built for mara mental reasons. massive litigation going on against the project and as many years over doubled out approaching triple the budget since it was originally authorized in 2008 in 2010. i don't think this is something in the major financial backers for the gubernatorial campaign. i spoken to democratic donors who said this was important to them that the project be pulled because it's fiscally responsible. connell: instead of going against his own base, he was

actually going along with. >> country made promises to business owners he made promises to. connell: it'd make sense sense or could be managed better. a mcafee or japan or europe and you belted in the 1900s, sure. in 2019 at the 19th century technology. i don't think it makes sense in a state like california is all. connell: dig tunnels built at some point. >> technology moves on. connell: thank you for coming on. in a moment come a new billboard coming up to new york city at times square. the congresswoman alexandria ocasio-cortez for her news on amazon. thanks for nothing, aoc. we'll talk about that when we continue here on "cavuto: coast to coast."

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connell: twist on the amazon story. the job creators network putting up a billboard we have on our screen now in new york city times square and the billboard blames congresswoman alexandria ocasio-cortez for amazon getting out of town before it even came into town and ditching plans for a second corporate headquarters in queens, new york. managing director 2020 trump adviser in studio. kind of splitting local democrat which was interest gain that plays into 2020 and now you have this group trying to make it known to the public that aoc, the congresswoman should take some blame for jobs not coming into town. when you make of this strategy? >> i completely agree. she killed 25,000 jobs at $150

salary. she's telling everyone across the u.s. in the tech business that were closed for business. this is terrible. new york city is the center of the universe. we should have these jobs here at amazon should be welcome here. she talked about $3 billion how she's going to spend that money. connell: everybody criticized her for saying that. i think it's the larger party that says you can than $3 billion somewhere else sounded like what she was sane and then i was reading her twitter feed us night. no, got that from the beginning. i understood what was going on but the issue is different. they were condescending. the jobs were promised. it's terrible. >> most of these jobs would've gone to minorities. she's done more damage to her constituents, to her -- it's abolishing.

>> what you think of the actual strategy. you can then this debate. some people say the tax incentives to individuals is not the greatest strategy. the argument grows across the board for everybody and not single out a winner or a loser. you ended up with nothing. >> it's fair to have a debate like that. this is an competency of politicians that have no idea what they're doing. how the private sector works, how tax incentives work in the fact that unfortunately because new york state is a high tax, high spend state we actually kind of made in amazon to get a boost to the arm. we needed these jobs in the tax revenue. our tax revenue is down to .3, $2.4 billion. cuomo, they wanted this bill to happen. they had an aoc problem and it's hurting the city. connell: and now amazon has a decision to make.

they say were going to go forward in northern virginia. we did report earlier that newark, new jersey, which is interesting for 2020 as well because the democrat they are and corey booker is all for this now. i wonder what happens. we'll see what happens. they stayed that is not a high spend high tax. connell: they don't have to go anywhere. and they have obviously their headquarters in seattle. amazon needs this. amazon was choosing to do this. >> amazon missed out. it couldn't be further from the truth. we should have been more hospitable initiative hopefully have them come. connell: jason, good to see you.

we move towards the top of the hour to shift from amazon. the we're four minutes away from the release now. investors look at clue how the fed is thinking, more importantly how they see the future. scott martin with us from chicago. what people are saying at least, scott, it is interesting this time around. not just ho-hum fed meeting minutes, this was a federal reserve in the middle of a big change in direction, a course correction, whatever you want to call it. are you a little more interested? >> i mean these are big meetings, connell, maybe they're not moving on rates. it is the rhetoric. the talk about unwinding or maybe not unwinding of the balance sheet, somewhat tightening depending how you look at it, if they don't raise rates. to me with seven meetings left in the year, connell, the rhetoric comes out of the meetings with the january meeting we had is just as big as interest rate decision.

your point is well-taken this is fed came in last october, hawkish, concerned about inflation, turned tail last couple months as rates came down and market came down as well. connell: if they change course again, it is your bet, i'm not suggesting they will anytime soon. nobody seems to think that the federal reserve will. they are in the patient mode jay powell is talking about, once the environment changes again what's your bet? we were talking earlier we bet on fed rate hike or fed rate cut. but as one of our guests pointed out, we'll root for the rate hike because the economy is it getting better, right? >> supposedly but the market may not like that. your question, when they change again, it is probably not today, a couple months, maybe late summer what is the data telling them or what is the market saying. because the points we saw over the fourth quarter, connell, the market bottom very weak when the fed got hawkish. interest rates popped, came down

quickly, faster than they popped. to me that was market saying hey, fed you're off course, get back on course. as long as they stay on course, that is not easy thing to do, let's be fair, the market will be okay with it. connell: this federal reserve chairman jay powell, who do they listen to the most? outside of the political criticisms, president. the president bashes the fed, the fed responds. your point seem to be making it is the stock market. you say they shouldn't be focused too much on the stock market. >> true. that is fair argument. open market rates, short-term rates, tell them, leave them, which way rates go. to your question, i think he listens to a lot of regional fed governors who have a little bit morphinger on the pulse for those regions. can break down economic activity, can break through some of the large-scale numbers. looking through the data, great job growth. wage growth, kids say meh.

employment, good numbers, gdp slowing. there are areas are with the fed doesn't have to do a lot of lifting or do a lot of hiking because the economy is cruising right along. connell: president trump is meeting with the chancellor of austria, we knew trade would come up. number one he said with headlines crossing, looking at the white house, the president said a decision whether to impose car tariffs, depends on whether the united states can get a trade deal with europe. goes to the idea of leverage. he also made a comment on the mueller report. there is talk when it will come out. new attorney general bill barr, the president just said, crossing on the wires, release of the mueller report will be totally up to the attorney general. will we know what the report is, what it contains? he says that will be up to the new attorney general, who used to be the old attorney general. scott, talk to you again soon.

have to wrap it up to get to the end of the show. the president with the young chancellor of austria, 32-year-old sebastian kurz. see you on "after the bell" 4:00 p.m. eastern time. time for charles payne. take it away, charles. charles: i'm charles payne. this is making money. federal reserve releasing minutes of last month's meeting as we speak. we'll see exactly what they discussed that made them halt interest rate hikes, in fact make 180-degree turn and we'll have market reaction. speaking of markets, they have been flying high as of late. dow jones industrial average hitting session highs moments ago. the underlying strength is the story here. i think it means we're on the pace to hit a new all-time high. panel of experts will weigh in on that as well. plus put on the boxing gloves. bernie sanders taking on howard schultz. could schultz end up running as a doc