there are not enough places to put money in. cheap money is what it should be. [closing bell rings] there is no reason not to keep rates lower. liz: thank you for rounding up the last couple seconds of a wild trading day. the markets close higher on big fed news. melissa: we saw what he did. the federal reserve holding rates amid increasing pressure by the white house but jerome powell and company did raise concerns about the economy slowing suggesting that interest rates cuts are on the way. president trump has been calling on the central bank for months to cut rates to boost the economy, and considering he be considering demoting the fed chairman. the dow closing up, looks like 38 points at the close after the fed decision to hold rates steady. i'm melissa francis in new york, and this is "after the bell." connell: i'm connell mcshane reporting once again from bejing

in china. we're being told that active preparations for a meeting between president trump and president xi xinping are underway from this end but the deal is not around the corner. at least it doesn't seem that way. my interview with a senior chinese official on the red lines what items china is not willing to give ground on. what he thinks will be the big headline to come out of the meeting between the two leaders set next week. that is all coming up. melissa: first we begin with breaking news and fox business team coverage. gerri willis on floor of new york stock exchange, edward lawrence at the ever important federal reserve. hillary vaughn on capitol hill. with that introduction heed ward i will start with you. reporter: federal reserve, no rate cuts, no rate hikes. they will paws, leave things where they are. they were one vote away from looking at the dot plot to have a rate cut. chairman powell defending the

decision they want to look at longer term data and longer term trend before taking action. powell says they don't want to move too quickly and there could be growing crosscurrents coming into the market he says over the last month or so. >> we're seeing this all around the world. manufacturing investment and trade have been, have been weaker. it is not solely a domestic issue. it may be that there are a range of factors that are contributing to that, including, for example, what china has done over the last couple years in working to bring down its leverage. reporter: powell says they're not looking at one trade deal over another trade deal but how it works together with trade, manufacturing, investment and consumer spending. the chairman also responded to the growing pressure from president donald trump. he has been tweeting and talking about the latest pressure that the white house looking at demoting him. >> i, i think the law is clear that i have a four-year term and

i fully intend to serve it. reporter: that is a message in itself, short and to the point. the decision, there was one dissent. st. louis president james bullard voted against this action. he told me in an exclusive interview earlier this i year he wanted to see a rate cut this year. back to you. melissa: thank you, edward. gerri,. >> jay powell singing the tune traders wanted to hear. the announcement led to a spike in stocks, did the best after that decision. we were up 100 points. we drifted back on profit-taking at the close as a trader told me moments ago. what they like here changing the patient wording to act appropriately. sounds like they're listening to their mother. what that fed speak really means is, if they need to cut rates, they will do it immediately. there is nothing standing in their way. that means we could get a rate cut at the next meeting in july.

as ed was saying, this is an important thing, that trump-xi meeting is important not just to companies all over the country but also to the federal reserve. they're also watching this. they're keeping their powder dry until after the meeting until they see what happens there. i want to tell you briefly about the u.s. senate banking committee has decided that they will hold a hearing on july 16 regarding facebook's new cryptocurrency plans called libra. as you will recall maxine waters and other lawmakers said they wanted a hearing. maxine water said she actually wanted facebook to stop in its tracks not to do the cryptocurrency. she wanted regulatory review first in front of the action. now they will have a hearing called examining facebook's proposed digital currency and privacy consideration on july 16th they will review this. this is what facebook had to say in response to this. we look forward to responding to lawmakers questions. back to you. melissa: yeah, i'm sure.

gerri, thank you. here to react, jonathan hoenig fox news contributor, founding member of the capitalist pig hedge fund, adam johnson, "bullseye brief" author. thanks for joining us. adam, feels like we're getting back to one of those situations where good news is bad news, bad news is good news when you hear the fed will jump right in. some people feel like oh, my gosh, we're in real danger. others are celebrating that they might lower rates. how do you sort all that? >> it's a good news, bad news type of thing. markets love lower rates in theory what you earn down the road in earnings you finance finance more cheaply. that is reason to finance stocks. here is the problem. go back historically three times since 1985 when the fed lowered rates and yield curve inverted. meaning than long-term rates are lower than short-term rates. that shows you there is stress

and the fed is playing catch-up. on average 15 months later you get recession. markets may like it. i'm still long and playing but the shot clock has started. melissa: i don't know than, what do you think? the bond market is pricing in a cut if you look how it is playing. >> what a turnaround. melissa: i would say the fed acts like they're going to be reactionary, not proactive at this point. >> proactive and lower rates. a year ago we were talking about unquestionably high interest rates. despite booming economy, economic numbers, as you said we're looking more and more like japancation if you will. infrastructure spending, aging population. as you said, melissa, ultraultralow rates. certain percentage chance, 100% chance after fed cut in july, the dollar down, gold up.

worldwide looking more like inverted rates or extremely low interest rates, a complete turnaround what we were talking about just 12 months ago. melissa: guys, stick around. let's go back to connell in beijing. connell: we got some insight, melissa, on preparation on insight on things for the meeting of the g20 next week. here is what chinese commerce senior official told me exclusively about those appropriations. >> translator: the chinese side is making preparations for a successful meeting. >> what would define a successful meeting from your point of view? what a realistic expectation what might come out of g20? >> translator: the leader's instructions will be highly important for us to solve the trade friction. a successful meeting would mean that they would instruct us and direct us for a way forward. connell: how hopeful there can

be a deal in the short term? what is your level of optimism? >> translator: that depends on willingness from both sides. from the very beginning china made it clear that we do not want a trade war. of course we would like to see an agreement concluded as soon as possible to end the war. but china will give no ground on major matters of principle. connell: after the g20 meeting between president trump and president xi, what do you hope the big news headline will be? >> i imagine that the headline will be that the two leaders had a good meeting, reached some consensus, set the direction for the consultations to solve the problems. connell: more talks, that's a win? >> translator: so the talks are not an end in it teal. it is a means to an end. connell: jonathan, adam, are still with us. jonathan, i will go to you first

on this. that last part is basically, i suppose, at least where the chinese say they are right now is that if, you know, the two leaders get together and at least agree that everybody should keep talking that's a win. leads me to believe we still have a way to goes. how do you read into it? >> connell i've been following not only your reporting, your intragram feeds, from your whirlwind tour of china. it has been tremendous reporting from start to finish. we're watching as you are the talks extremely closely. an estimate said americans paid on order of $22 billion in tariffs. cummins a major engine manufacturer, since the tariffs have wiped out the tax cuts. this has been a trade war going on better part of the year. everyone from ceos to farmers i think has their fingers crossed, some deal, some certainty can be made, and can be had. connell: we were talking, we'll hear more about this, adam, later on in the show, from the

chinese side, whether the slowing economy here in china might force chinese to cut a deal sooner rather than later. jonathan says the pain is starting to be felt, or will be soon on the american side. seems like we have a ways to go. maybe you have a different take. how do you read it? >> both sides feeling pain and both sides need a win. we'll get some sort of arrangement. i don't know how substantive it will be. two million people protesting in hong kong, that is a big deal, connell. the data as you can see in china is getting worse. our employment data, our manufacturing data here is not looking as great as six months ago. mr. trump needs a win and wants a win in 2020. both sides need a deal. you're absolutely right the gentleman you interviewed sounded cautious the fact is his tone is still suggestive they want a settlement. that is very different from three to four weeks ago. both sides need a win.

connell: fair point, fair points all around as a matter of fact. jonathan, adam, thanks to you both. you talk about how the chinese feel about things, today we got a idea how the u.s. side feels about things. u.s. trade representative robert lighthizer was on the hot seat testifying in front of housewares and means committee following a senate hearing yesterday and lighthizer planning meetings with his counterpart with china as well as japan at the g20 summit coming up next week. hillary vaughn is live for us on capitol hill with the latest on all of that. hillary? reporter: hey, connell, u.s. trade representative robert lighthizer is saying today if congress doesn't pass the usmca there will be millions of jobs on the line. he also told the house ways and means committee that the usmca reaches far beyond just a deal between mexico and canada. it could have ripple effects on our ability to reach a deal with trading partners around the world including china.

>> right now we're going to have a catastrophe if this doesn't pass. it will have a bad effect with respect to our relations with china and everyone elsewhere we literally can't pass this agreement. what does it say about our resolve to have a fair trading system? reporter: ambassador lighthizer is not ready to say there was quote a break-off in negotiations between the u.s. and chinese delegations but he also said he is not positive when negotiations will actually start back up between the two groups in a meaningful way. >> i have a conversation set up with my counterpart on the telephone in the next day 1/2. then i expect to meet with him, with secretary mnuchin in osaka before the president meets. then i expect the president to have the meeting when actual negotiations begin again i can't say at this point but -- reporter: lighthizer says he will also meet with japan's trade representative in osaka

around the g20 meeting. he says the big point he want to make in terms of reaching a deal with japan is opening up market access for products here in the u.s. to there, including from japan to the u.s. he actually said he think as deal can be reached between the u.s. and japan in coming weeks. connell. connell: hillary vaughn for us live on capitol hill today. we have much more coming from here in beijing. the u.s. pointing a finger at china for backtracking on a trade deal that president trump had been saying was almost complete. china though blaming, quote, u.s. actions for that move. so can the two nations find some common ground? we're live at the white house with the latest on that. melissa. melissa: echoing themes from the last election, president trump hitting on some familiar items during a fiery kickoff to his 2020 campaign. the president touting job growth, the booming economy, and calls for congress to help fix the border crisis but is it

enough to expand his base? and putting iran on notice, the u.s. keeping up pressure amid heightened tensions in the middle east. the white house hoping to push peace through strength. why critics say president trump's strategy could backfire. breaking news right now as we take you out to break. president trump arriving at joint base andrews after kicking off that campaign in florida. we are going to bring you any breaking headlines from the president as he comes out this door here. that will happen in this hour. we'll bring it to you right after the break. ♪ experience the style, craftsmanship and technology

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melissa: breaking news related now. president trump here. arriving at joint base andrews after kicking off the big campaign for 2020 in florida. we understand he did not stop to speak to reporters. but you know, that changes all the time. we'll keep you updated on any breaking headlines as they happen but here is the president coming back at joint base andrews. we'll keep an eye. ♪ >> the united states however says it was china backtracked on

a number of issues and a deal was just about complete and that the chinese then reneged. how do you respond? >> translator: -- have explained the issues. this is ongoing process. this is with wto negotiations or other negotiations in a context. nothing is agreed until everything is agreed. both sides need to go through domestic procedures before the agreement is concluded. this is nothing strange to the u.s. you once had an agreement with -- but congress failed to rectify that. you were once a party to the tpp but president trump decided to withdraw from it. [inaudible] and -- actually happened during the course of the negotiations

but with u.n. actions. for example in the joint statement released in may, the two sides agreed to avoid the trade war. but in less than 10 days the tariffs on $200 billion of goods was imposed. i don't know how the u.s. would like to explain for that. connell: a little bit more of my conversation with an official at china's ministry of commerce here in beijing today. we bring in blake burman on the white house north lawn. it gets to that question, blake, as you heard in that clip about why the trade negotiations between the two countries broke down the first time. reporter: right. connell: there was no denial there that the chinese backtracked but i doubt the white house is big fan of the comparison, yeah, essentially, maybe we backtracked but you did too on things like tpp. reporter: that is interesting. even, connell, the president was asked on the south lawn yesterday as it relates to iran, a totally different subject but he was asked, why should we

believe you about information about iran? the point being there are some who feel this is, that there was a credibility issue with this white house. you started to see some of that from china there, with that spokesperson, with that top official who you spoke with hey, look, the u.s.-backed out of tpp and that is one example as well on the international stage. here is a problem with that thinking though, connell, which it was the obama administration that engaged in the tpp negotiations. and it was president trump who said if i get into office i'm going to get out of tpp the president got into office and he got out of tpp we saw this as well with the iran nuclear deal. we saw this as well with the paris climate accord. it was no surprise to anyone that the president got out of this big, multilateral trade deal. we know what the president thinks of multilateral december, especially multilateral trade deals. even though china is trying to hold that over the president and hold that over the administration on this one, we

should note, started in the obama administration, and president trump said, he was going to get out of it, and he did just that, connell. connell: he did indeed. one other quick point, blake, from that interview, there has been a theory out there, maybe the chinese, the real strategy they're trying to wait out president trump, hoping to get beyond the 2020 election and have somebody else to deal with. here is what the official in the ministry of commerce had to say about that. take a listen. >> translator: the tariff war was not started by the chinese side. we had no other choice but to make a response to that. as for who will be elected, that is your domestic politics which has nothing to do with us. connell: it would be the person you would be negotiating with though. would you rather see a different person in the white house? >> i think we should develop china-u.s. relations based on our common interests, not based on who is in the white house.

connell: yeah. whether china or the u.s., real quick, blake, that is what we call not taking the bait. reporter: i was going to say that was diplomacy what we saw there, basically. a foreign country saying hey, it is your election we're not getting involved with it but there is long reporting, even from within us at fox business, who have reported that some in china are think at least, that maybe they're stalling to 2020 to see what happens there. connell: whether the thinking is going to work out or not is completely different issue. we'll see, blake, thank you. good to see you as always. blake burman on the white house north lawn. off the table in the trade negotiations, we'll have more from that rare interview with the china commerce minister senior official who we exclusively spoke with here in beijing about make-or-break items to strike a deal on trade. much more, melissa, coming up from beijing. melissa: it's a great you have a

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melissa: breaking news. mexico becoming first country to ratify the trade deal, the new deal known as the new nafta. you remember when critics said the president was putting the deal in jeopardy when he asked them to enforce their own southern border and threatening tariffs. turns out they're the first ones to pass it. canada's legislature starting debating the deal last night. house speaker nancy pelosi has not set a date for the ratification vote yet.

>> 2016 was not merely a four year election. this was the chance to reclaim our government from a permanent political class that enriched itself at your expense. we look on a political machine that tried to take away your voice and your vote. they tried to take away your dignity and your destiny. but we will never let them do that. melissa: president trump kicking off his reelection bid with some familiar themes, taking on the entrenched entitled elite in washington. will it work though now that he is the incumbent, not an outsider candidate? let's bring in hadley heath manning, policy director at independent women's forum. what do you think? >> you know may have disadvantage now that he is no longer the outsider but he has a new set of advantages. first and foremost he is running on not just promises made, but in some cases promises kept. he appointed conservative

supreme court justices. he cut taxes. he has gotten tough on immigration and trade. those were some key campaign promises from 2016. president trump asking voters to relech him, to continue along those lines. melissa: he is bringing back up though, that really powerful theme that worked in the first place. hillary clinton cemented it with with the deplorables comment. the idea there is ruling class, government elite that looks down on the rest of america and doesn't think we're smart enough to vote ourselves, that we are not smart enough to spend our money, that they know better than we do because we're too ignorant, racist and everything else. he said they tried to take away a voice in your vote. impeachment helps him with that argument, does it not? >> it does. that exact phenomenon that you're describing, sort of the campaign class versus everyday americans, this is what is

leading to the incredible enthusiasm behind the president and his re-election campaign. we hear about people camping out, waiting in lines for hours to get into one of the president's rallies. not a single policy issue. we're obviously very divided country. when the president is running for re-election support of gop, they were united. look at other side of the island. democrats have wide, crowded field in their primary. that works to their disadvantage after they prepare for 2020. melissa: you mentioned judges. that is a thing how many people forget. that is fulfilling on his promise to be conservative like a lot of evangelicals wanted but were concerned. let me talk to you about another kind of launch, hadley. in l.a., residents kicking off a formal effort to recall los angeles mayor eric garcetti

for his failure to deal with the homeless crisis. the crisis, l.a. homeless services authority, counted nearly 60,000 county residents experiencing homelessness this year, up 12% from last year but there is a lot more than that. there is, filth on the streets. there is the police officers getting sick because there are people out defecating in the streets. and you wonder, these cities that vote in liberal mayor after liberal mayor who promised sanctuary cities, then all of a sudden conditions get really tough out there, you wonder when does the tide turn? how far do things have to go? l.a. may be seeing it, i think about seattle, san francisco, i think about new york. at what point is the backlash real? >> yes. homelessness is not an issue that you can put an easy bandaid over it. it is not simply actions to decriminalize homelessness or provide services to the homeless

population but there are issues that run very deep and at, at the intersection of drug abuse or mental health issues, poverty, that is where we find a lot of struggle with homelessness. it is something we need to address as a nation, especially in urban centers, not just on the surface but at at deeper level. although we should have expectations for local leaders like our mayors, we also should have expectations that this is a partnership, that local governments along with private sector and many community groups, chairs, have really strong, you know, ministries and effort to address the root causes of homelessness. that is the openly way that we'll see real progress on that issue. melissa: as opposed to saying it's a lifestyle choice. it kind of balloons. hadley, thank you for that. we appreciate it. >> thank you. melissa: so have you seen this? >> what is happening? [shouting] melissa: wow. officials investigating a brawl that broke out among adults at a

colorado youth baseball game. the lakewood police department tweeting out the video saying that they need help identifying the man in the white shirt with the teal shorts. police say several people have already been cited in this fight. and there were multiple injuries. this is at a kids game. wow. >> the case against iran. u.s. saying it has even more evidence the roe regime was behind an attack on an oil tanker in gulf of oman. what happens next? we're live in beijing with more. connell. connell: we are, melissa. u.s. and china working on getting a new deal. even if the two sides are successful, how would the deal be enforced? it is always a key question. i talked to a senior official at china's ministry of commerce today, finding out maybe what beijing thinks about that. the answer to that, which is somewhat revealing is coming up. there is more after the bell,

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canada's legislature started debate the deal last month. in the u.s., speaker of the house nancy pelosi, she hasn't set a vote for it yet, a date for that vote yet. ♪ connell: coming back from vacation to get it done. pushing for common ground. meantime if we do end up striking a trade deal with china, how will that deal end up being enforced? you know it always has been either the or one of the key questions. we spoke to a senior official at chinese commerce ministry about that and more. here is what he had to say about that topic. >> translator: i think the obligations go two-ways. if china is to revise laws and regulations the u.s. should do the same. i would like to stress that as for the procedures to go through, what laws should be revised.

we will revise it, these are questions related to a country's sovereignty. connell: what is earliest you imagine a deal could be struck? >> maybe you should put that question to the u.s. side? connell: we have, we have. depend when you ask it. sometimes people are quite optimist i can. other times they're not. but you're the one sitting with me now so i will ask you, how optimist i can are you? >> translator: as i said which hope we can settle the trade dispute as soon as possible. and to address each other's demands and concerns. connell: i just want to be clear because you mentioned it a moment ago that there are certain matters in which china will not give ground. what are those matters? >> translator: that refers to the red line issues deal with china's sovereignty. we'll give no ground on that. we will not accept mandatory purchase requirements.

connell: let me talk to you a little bit about the economy here in china, if i may. some of the economic numbers have not been terrific lately. industrial output as one example was only up 5% in the month of may from last year which is below economists expectations. in fact it was the slowest rate of growth in more than 17 years for that particular data point. it brings up a couple of questions. number one would be, how much of that is attributed to the trade tensions. number two, do numbers like that, make it more likely that china would be looking to make a deal with the united states sooner rather than later? >> translator: i'm not an economist but i can share with you some of my personal thoughts. china is shifting from high speed growth to high quality development. we are advancing the supply side structural reforms which means

there will be disruption in the growth. it might be easier for a smaller economy to grow rapidly but it is unrealistic for the world's second largest economy to sustain high speed growth. as for whether trade frictions has impact on economy, i think to some extent it does. connell: live reaction now from curtis ellis. curtis is former trump campaign trade advisor. take the last part of it first, curtis. do you feel there is motivation? just looking at data from the chinese side, to strike a deal here because of the slowdown in the economy? >> absolutely. china has far more to lose in the confrontation than we do. they depend on the american consumer market to sell their vast sea of exports. to the degree we're seeing companies moving out of china, we're seeing foreign direct investment in china drying up as companies are moving their supply chains finally out of the

people's republic of china, finding other places to manufacture and take advantage of cheap labor. this is definitely affecting china. and the more that china does to retaliate against american companies, threatening possible sanctions and moving in on the hong kong investor haven there, it only accelerates the rush for the exits in china. time is not on china's side. president trump understands thats, as you heard him say last night. we'll have a very good deal or maybe have no deal at all. the crowd roared, when he said no deal with china. connell: all right, curtis. thank you. curtis ellis joining us on this. we'll have much more from china as we continue in beijing. ongoing trade dispute with the united states. how about the huawei factor? is the company huawei being used as negotiating tactic? that angle on all of this is coming up next, melissa.

melissa: plus escalating tensions with iran. iranian president escalating plans to violate the nuclear deal adding to tehran's uranium stockpile. how the u.s. is responding now. we're the slowskys.

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melissa: growing conflict now. looking at newly-released video from the u.s. military showing damage to the two oil tankers attacked in the gulf of oman last week. this as explosive expert for the u.s. navy say they have uncovered new evidence that iran is responsible for those very attacks. take a listen to this. >> the damage that we observed is consistent with limpet mine attack, it is not consistent with an external flying object hitting the ship. limpet mine used bear as striking resemblance that publicly displayed in the iranian military parades. melissa: joining us is michael o'hanlon from the brookings institution. what do you make of all of this? where are we headed? >> good to be with you. i think it is smarr the administration is putting people like this officer you just quoted on the air and in public because of course the world is a little unsure of just how much to trust president trump and even his supporters would acknowledge he uses his rhetoric

in a sometimes dramatic way for effect and if you're trying to prove an intelligence case, you may want to go to the intelligence community, to naval intelligence, to naval operatives. so people can still say, well the president told them to lie. that requires more and more levels of disbelief or more and more times suspending disbelief for that to happen. i think it is smart, we need to bring the world along to something the world doesn't want to believe that iran did this the reason people don't want to believe this, you should ask how should we retaliate and if we should retaliate at all? much the recalled would is not comfortable with the u.s. strategy squeezing iran so hard we're trying to force a resolution on this issue for better or worse. we have to make a case step by step. we need diplomatic capability, to sit down with iran, dictate strong terms, show this is not john bolton, mike pompeo

extremist policy with no logic behind it. those are the two pillars we have to build but that is a good first step. melissa: the president repeatedly he wants to sit down and talk. he made offers. iran has no interest in coming to the table right now. a lot of people have, you know, said that what we're looking at right now. you know, is iran trying to ratchet up its, you know, its strength before it eventually has to come and sit down at the table and trying to make it clear that it is them doing this. and that they are putting pressure on, you know those folks who had ships attacked saying look, you better not side with the americans on this? >> i think you're right. that is a lot what is going on. i also think right now, what would the diplomacy be about. you remember the secretary pompeo speech from last spring about how iran would have to change. virtually every dimension of its foreign, even domestic policy. that is something i would love if it happened.

i don't think we have that kind of leverage even with a zero export policy in place. so i think we're going to have to see some kind of an indication of both sides what the terms of negotiation could be. until that point i don't really expect either side to really sit down. i think, president trump may be sincere in one sense but i think he also said it may not yet be the time. i think he wants to make iran feel pain a bit longer. iran showing what it can do in reply. that is the back and forth happening now. melissa: along the same lines when asked that question, pompeo said they could just stop assassinating people around the world. >> yeah. melissa: one of the biggest problems, talk about totally fundamental shift in what they do, but the biggest one is that you know they're an active sponsor of terror every single day, assassinating people around the world. >> yeah. melissa: that aggression is the behavior that would have to change. is that too radical in your mind? i mean when you talk about, they're never going to change their philosophy that you know,

america must die and israel must die, not going to come off of that, but in terms of acting out assassinations every day, do you think that is a possibility, something that could be negotiated over the table? >> i think you're right to highlight that point, just as mr. pompeo was correct. you could have added that 1000 americans have probably died at the hands of iranian operatives or weapons since 1979 going back to the marine barracks bombing in lebanon. that is highest we've lost of any state sponsor of violence over that same period. it's a very heinous regime but i don't think it is realistic they would give up all the positions let's say in syria or yemen. you can call what they're doing there assassination if you want, it is brutal, and pursuing battlefield goals, pursuing goals for their allies and proxies. that we have to be more nuanced what we expect. political assassination should stop completely i agree. giving up all positions in some

of the civil wars in the broader middle east, that will be a little more complex after negotiation. we have to start seeing how people engage on that topic. with the nuclear deal, what you do extend deadlines indefinitely into the future of the logic of that is easier to, you know, to predict not so much yemen, syria, iraq, et cetera. >> it is complicated. michael, thank you. good insight. appreciate it. >> thank you. connell: all right. our special coverage will continue from here in china a moment. more from my interview with the china commerce ministry senior official we spoke with earlier, talking about accusations over the years that china has been stealing intellectual property from the u.s. we'll also get into whether huawei is bargaining chip in the trade negotiations. we spoke with the huawei vp andrew women son here this week and about that issue and the u.s. crackdown on the company. more coming up live from beijing next.

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connell: protecting intellectual property has been a big issue in united states in dealing whether china, what are they saying here about it. what about intellectual property property is that a red line issue. >> it's not. the chinese government established invasion through strategy, strengthening ip pro checprotect lawn and law enforct has been our policies, we revising the copyright law, they are in the right direction of our reform. connell: you say those laws have always been your policy, u.s. would argue otherwise, saying for years china has been stealing intellectual property. >> that is ground less. we say we -- but we're not

saying there is no infringe am t in china, but the accusation that china is stealing intellectual property from the u.s. is groundless. connell: is huawei considered by the chinese to be part of the trade negotiations. >> the huawei issue did not happen until recently. it was not on the table in the previous round. should be based on a stable framework. had a telephone conversation with president trump, he stressed importance of stable china-u.s. relations, if we're to strike an agreement on one hand, a party continues to take --- provocative actions that

would create troubles for the other country, i don't think that is i inthat -- interest ofs negotiationism we'll have more tomorrow from after the bell. melissa: great stuff, great reporting, that does it for us. >> stocks getting an initial pop after federal reserve leaves rates unchanged exciting economic growth and strong market, this is bulls and bears. joining me on panel, scotty martin, susan lee, john layfield and mark waters, president trump touting robust economic growth under his administration as he kicked off his reelection bid in orlando. >> since my inauguration we added 16 thousand manufacturing jobs a month. that did not happen by accident. remember the statement from the previous