stuart: i wanted to be a deejay on beatles channel on xm satellite radio. would i like to do that at some point. >> we'll put it out there. stuart: denied to me so far. great show today. we thank you all for being with us. all good stuff. neil, it's yours. neil: stuart, thank you very, very much. the dow is down 48 points. the big catalyst for the the sell-off consumer confidence report. people are surprised by that they're saying the backdrop for this is unheard of. low interest rates. we dipped briefly under 2% for ten year note. we're waiting for jerome powell, federal reserve head speaking in new york. we might get reaction on the president saying i can still fire or demote the guy. jerome powell feels otherwise. on top of blast being back and forth between iran and the

night, more specifically the president of the united states, and, the iranian mullahs there, now of course, being fingered by the president not knowing meaning of word, nice, insulting statements. he says no more john kerry and barack obama. that is just for starters. blake burman with the latest from the white house. reporter: you had dueling comments coming out of the presidents of iran and president of the united states. first from iran, iranian president rue hassan rouhani. the iranian president called those sanctions quote, outrageous and idiotic. he also shot down the idea of any potential future negotiations between the nations adding, quote, they tell us to negotiate with them. if you are truthful and want to negotiate, why do you sanction or foreign minister at the same time? it is obvious that you are

lying. well that clearly caught the attention of president trump as he took to twitter and fired right back, threatening at one point obliteration, saying quote, iran's very ignorant and insulting statement put out today only shows they do not understand reality. any attack by iran on anything american will be met with great overwhelming force, in some areas well ming will mean obliteration. no more john kerry or obama how he ended that threat. neil we have to point out iran last week did attack an american drone, unmanned drone. shot the drone straight out of the sky. the president at the last moment halted a retaliatory response which would have included as he put it three attacks on three different sites there inside of iran. so it remains a bit unclear as to exactly what might take the president to the next level hypothetically. now neil, the g20 meetings later

this week definitely come into more focus as iran will be a significant portion of the discussions there. keep in mind president trump will be meeting with the russian president vladmir putin, also will be meeting with the saudi king salman. neil? neil: is he shocked at the response of the iranians? that isn't even a fox news alert, that they would respond that way? reporter: i'm not sure how he could be shocked. this level of rhetoric is not anything new for the last hour, day, weeks, months, or even years. you're talking decades at this point. neil: iranians just put out a statement as well. i know you are but what am i? it was tiptoeing to the edge there. blake, thank you very, very much. this is really silly season here. this is two countries that could possibly go to war. iran is saying path to diplomacy is closed as a result of sanctions. you heard language as such that the two sides are far, far apart. what happens now?

former deputy assistant to defense secretary mattis what happens now, amber smith. amber, what do you think? >> well i can't say i'm surprised by this. it just shows how much iran is feeling squeezed right now. the maximum pressure campaign is working exactly as the administration had hoped. their strategy is right on point in terms of really pushing iran into a corner. iran is feeling feeling that the no other options right now other than to sort of flex their military might. that we've seen them done in the past. usually administrations often feel like they cave a little bit to iran's demands. this administration is not following forward as we saw the president's response to iran shooting down the drone earlier, with very measured, he was restrained but i think in the future iran needs to proceed with caution because they should not count president trump's restraint as any form of weakness or any sort of

unwillingness to strike back when necessary. neil: well, why would the president be surprised? i give him his due here. he tried to have a mild response to this, tried to give the iranians the benefit of the doubt, who shot the missile down. who shot the drone down. it couldn't have come from iran. yes, indeed it came from iran. you put himself on the line, they respond with petulant comments. the president responds with his own. i'm wondering whether the president risks putting himself in a box here? what does he do? >> well, there is still, the united states still has many options. if iran, whose hands are getting tied right now in terms of options on their end. their economy is crippled. the people of iran are suffering because of their government. neil: what are his options, amber? if he is not going to use

military force. could tighten sanction screws really all the more, those who do business with iran but they seem to merrily go along their way, their anti-american statements, particularly anti-president trump statements. so if sanctions are not changing that, the threat of more is not changing that, what does the president do? >> well i think they, i think they will change that, the tightening down these sanctions will continue to put pressure on iran. not only do we have more room and options when it comes to sanctions but we also have the full might of the military. president trump chose not to use at that option necessarily. we did see a military cyberattack against the equipment that shot down the drone but there are still plenty of options on the table, when it comes to what president trump can do to strike back at iran. neil: you need another provocative act, you need another provocative act to do

that, shot down another drone? >> correct. neil: based on his not responding, maybe for perfectly valley reasons he can't just, you know, respond to nasty tweets or comment from the leadership, right? they would have to be another provocative act? >> i think that would be a very big mistake on iran's part. president trump opened the door. he wants to negotiate. he wants to talk to iran. he wants a good deal, not a bad deal. that is why he ripped up the jcpoa. he wants to bring iran to the negotiating table and if iran was smart, if they want, the regime to survive they should think long and hard about negotiating with president trump for their own survival. neil: all right. we shall see. amber, thank you very, very much. >> thank you. neil: the president sort of put a timeline on this when he wants to see iran doing things. he also put a timeline on held off by two weeks deportations in

this country of those who are here illegally, particularly have not been allowed by the courts to stay in this country. that would be 700, hundred 08,000 illegals in this country. -- 780,000 illegals. in the interim that democrats, republicans come up with a plan to solve that. hillary vaughn on the capitol. reporter: neil, house majority leader steny hoyer there is breakthrough in the house border supplemental bill, he believes they have the votes to get it through, after what was late-night chaos in the democratic caucus, latino lawmakers and left-wing liberals basically met with pelosi, with major concerns over this border bill. many democrats saying it is not perfect but advocates of the bill say they need to move this bill forward. if they stall it, then they will get stuck with the senate's version of the border supplemental bill.

the house proposal is receiving last minute tweaks trying to get people on board. house republicans blasting democrats for delaying. >> speaker pelosi stop playing political games with the young kids coming across our border. these agents are federal workers trying to take care of them. you have border patrol agents right now, spending money out of their own pocket to buy diapers for these young kids because the agency is out of money. speaker pelosi won't bring a bill to the floor to address this crisis? stop playing games. reporter: speaker pelosi's message to fellow democrats this morning speak now, forever hold your peace as they try to get enough votes to push the bill through. speaker pelosi wants house democrats to push the bill forward. her argument, the white house and trump administration want the house bill to fail. this was her message to them. you can find fault with any bill that comes down the pike, you must respect the bill for what

it does, rather than criticize what it does not. a vote against this bill is vote for donald trump and inhumane outside the circle of civilized attitude towards the children. hoyer says he thinks they will get movement on the bill in next 48 hours. they are on a deadline, they are trying to get this through before they go on recess for 4th of july. neil: take half this week off. off all next week. they will not have the deadline met, right? reporter: wait and see. 48 hours if they get it done they will get it through. neil: hope springs eternal. thank you very much, hillary. we have record low interest rates, folks. there are mortgages that are going today, what i think my wife and i were paying per day when we got ours back in the '80s and no, it wasn't the 1880s. but nothing is moving in housing. nothing. and there are series of reports out today, that seemed confirm no matter how low rates go, people will not go to buy a home.

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neil: look at gold. still a flight to quality. market saw in times of strife or perceived strife, gold is a place to park, oil is a place to park. generally not gold with bonds, as well as stocks. that has been kind of the weird development in this whole global pitch that focuses on trade, focuses on iran and everything else. it is not the kind of stuff you normally see. but then again, these are crazy types. then there is bitcoin. that is above $11,000. up 180% this year. facebook is latest catalyst, pondering its own cryptocurrency. other players are involved indirectly. steve moore as charlie gasparino reports is looking to start a crypto central bank? >> that is what it is.

this is a great scooby my producer lydia monihan. neil: i like that. you're very generous. >> i always give credit where credit is due. neil: if we have a good show here i will never mention ralph. if we have a horrible show, i will certainly mention ralph. >> i should steal lydia's scoops more because it is contract year for me. [laughter] anger issues. burning bridges. neil: oh, my gosh. >> in any event, steve moore, i guess you could say this is his first business venture post-failing at the fed. essentially the same week he failed, he decided to pull his nomination from the fed amid all the controversy of personal issues. he was at the salt conference, anthony scaramucci's conference in early may, where he met a bunch of crypto entrepreneurs. they decided to bring him on. lydia got the pitch deck,

they're approaching investors. what they want to do is simply this, and moore is a key player in this, like the chief economist. he might be the alan, or jay powell of -- neil: gives them a lot of sheet. >> look at bitcoin. it is at 11. it was high as 19. it was as low as three. they believe there is tons of volatility in this crypto and all other cryptos. neil: not for faint of heart. >> there was a central clearinghouse, a bank of crypto, they believe, it could be a better product for consumers because it is not all over the place and that is essentially what they're looking to start. you come to them with your bitcoin. they give you their token. their token becomes the defacto cryptocurrency of the world. that is their plan. this is controversial. steve moore going to the fed. they hate cryptocurrency. a little controversial. other thing people think

cryptocurrency a huge fad. if you think about it, all the talk about this, when was last time you bought your pumpkin spice coffee with bitcoin. neil: they know me there. >> you get it for free. when i go to san pietro, i spend big bucks on a lunch over there, they are not taking cryptocurrency, not yet. isn't that the thing? >> when? talking about this forever. neil: i know. >> full write-up, neil on fox business. com. steve moores one of the reasons he wants to do this, this is quote, i hope this makes me rich. neil: nothing wrong with that. >> capitalism. capitalism. neil: you're really who arable. do you find it weird it has gotten traction? originally when facebook was looking to do? something going on feels a little different than the last push? >> could be facebook effect, they're getting involved, to bid up the price of bitcoin.

there is still a lot of, still a lot of question marks. listen, they approached. moore isn't on the pitch, but people there, the pitched product. they don't like it because there is a lot of question marks. their ceo is a smart guy. we should have him on. what is his name? i forgot his name. anyway, we'll have him on. he can explain this better than i can. it is a controversial product, i believe. the other controversy bitcoin is so, it is so fluid. neil: the appeal that it is untraceable. >> that is the whole appeal. neil: anything the mob would like. >> that is what i'm saying? why would you want a central bank for it? part of this is independence from central banks. on t-mobile sprint, just to tell everybody, rubber is meeting the road. can't say it will happen today. it may tomorrow. neil: constantly -- >> i keep saying it, keep teasing. you love this story. neil: i do. >> as much as pumpkin spice

lattes but it is coming down the pike. neil: well, almost. >> if you could get t-mobile service with bitcoins? you can't. neil: there must be something to it, very smart people, you and i are both getting involved. >> that is what people said about pets.com. neil: fidelity said they're open to the technology? >> they're all doing it. goldman, i guess, when i, when i'm going to buy like my martini with a bitcoin, then i know it's reached its critical mass. neil: but very nice shoutout to lydia. >> she did a great job on this. by the way, just investigative reporting 101. neil: she's a pro. as are you, my friend. >> thank you. neil: thank you very, very much. good luck with the anger. >> i have to go now because i have to do a session with my therapist. i like my son. hmm. neil: you get a lot of robocalls i don't know what's going on.

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neil: charlie bass leaving earth just a few seconds ago. this is spacex -- wouldn't that be funny. let me get out of this thing! we'll be digging into this a little bit more next hour. this is the future, folks. the private enterprises are footing the bill, have at it. meanwhile the ftc is announcing a major crackdown on robocalls. they said that before. i need the proof. it doesn't matter whether it is your cell phone or house phone, whether you sign up not to be bugged you're still bugged, right? jeff flock is all over this right now. hey, jeff. reporter: chicago office of the ftc here, neil, where they

announced a nationwide crackdown, i'll tell you it is all-out war on robocalls. legislation in the senate, as well as bipartisan bill in the house. now the ftc by my count, 90 plus new actions against people that make the robocalls. one. people here with us, a woman named jerry wilds, just pulled her over, you were the victim of one of these calls that led to a mess. >> yes, i was. reporter: how so? >> weeks of repeated phone calls, threatening mail, threatening voice mails. reporter: what you did, basically the robocall happened, you hit button i will talk to you. >> correct. reporter: that is where the trouble started? >> it explode flowedded from there. reporter: you spent months people threatening you, asking for money, threatening legal action. >> two months all together before it stopped. reporter: eventually it did. the ftc in the case of the company calling miss wilds, they

brought a criminal action, reached a set meant with that company, no longer doing what they did to you, as far as you can tell? >> correct, correct. reporter: thank you so much for your time. ask you to pause with me for a second. i want to finish here. i have more questions. ftc is not known for having huge enforcement powers there is only so much they can do, working with their partners at fcc as well as the justice department, they have been bringing criminal cases. you know what happens? when one of these operations get shut down, another one just pops up. maybe the legislation in the house and senate will have more luck. we'll see. neil: you're right. all about the enforcement. one thing to talk about ending it. you have to put teeth in this, right? jeff, thank you very much. always good seeing you. all right, jeff flock. amazon prime day, more like prime days. the dates just released. we'll you all about it and what they plan to do for the big

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regulations we are expected to be policemen for these export and import controls. neil: all right. i don't know what ultimately will happen with the china-u.s. trade talks or whether you can, you know, shut huawei out of all this but this is a very significant development. the ceo who runs fedex, fred smith, he was on with bret baier yesterday, talking about suing the commerce department over some of these huawei restrictions which he says go way over the top and limit commerce period. so far no response yet from the commerce department, but we do have analysis, good thing, by "the liberty file" host on "fox nation," judge andrew napolitano. i thought this was a very significant development and, because, he carries a great corporate heft. he is speaking for a lot of companies that are on the receiving end of a lot of this. >> he's right and he filed a lawsuit yesterday in the united states district court, federal trial court in washington, d.c.,

against wilbur ross and against the commerce department. they can make whatever rules they want but they can't, the gist of the lawsuit, but they can't put the burden, the expense, the cost of enforcing those rules on fedex. what do they want fedex to do? open up the package, go inside the computer to see if anything in there is made by huawei? can you imagine the cost for fedex to do that? that is not fedex's duty. neil: a lot of other companies are saying they didn't realize the burden on them, woken dozens who are calling to say he is right? to your point it is a responsibility. >> it is correct that is what the rule requires but the rule is profoundly unconstitutional, as fred smith said in the clip you ran from bret baier, it is shifting the burden of the government policing its own regulations on to private enterprise, it is not

compensating private enterprise for it. it -- the president may very well have sound national security reasons for not wanting anything in the united states made by huawei. fine, he can do that under the law, but he has to stop the huawei computer chips from getting into the united states from getting here. he can't put a burden on fedex. they can't simply open up every package. the law as it stands now, relieves the common carrier, fedex, ups, the legal consequences of delivering something they shouldn't be delivering are. they believe the sender who says this is not against the law. neil: all right, but by the same token they're in charge of moving boxes, moving stuff, correct? >> correct. neil: they will screen some of that, check for bombs that sort of thing. >> right. neil: this is an extra measure that would really require a lot more work and a lot more against? >> that should be done by the government at the port of entry. that is the lawsuit.

not looking for money but -- neil: this is not really about that, unless the administration trying to make a statement. huawei is sort of in the way. >> president says he is doing it for national security reasons as we know from the mexican episode -- he sometimes mixes, tariffs, product tivity, national security. he can do that, can do it with great success but he can't transfer the burden to the, the cost to private enterprise that is fred smith's lawsuit. i think he wins. neil: what if fed smith, unbeknownst to him, a lot of huawei equipment is coming, is on his planes, et cetera, is he liable for punishment from the united states government? >> under the regulations he is liable to look for them but shouldn't be his burden to look

for them. it should be the government's burden to look for them at the port of entry. that is what a federal judge will soon decide. neil: we're still waiting on the census bureau question, whether the government can ask if you're a legal resident of the united states. the supreme court taking this up? >> we'll hear tomorrow at 10:00 in the morning. can the government ask you your citizenship? is that forced speech as the opponents say or is it something the government has a lawful right to know in order to allocate resources as the administration says. neil: what do you think? >> i think the government is going to win. i think from the oral argument back in april, seemed as though it was 5-4. i don't want to cause anybody any ajita, but that decision was supposed to come out last week. the last time we had a delay like this, because somebody changed their mind, what was 5-4 one way went 5-4 the other way. we'll find out at 10:00 tomorrow morning. neil: why wasn't there nearly this amount of controversy when

they took the question out? it was -- >> they took it out in the '50s. it hasn't been in there. they put it back in. they didn't put it back in according to the rules for putting it back in. neil: i see. >> that is what triggered all this. neil: that might be the technicality. >> might be technicality the government loses or printing presses are ready to roll. they have to print 180 million census forms by september. here it is late june. they have to know which way they're going. is the question in or is it out? hope the court doesn't punt. neil: yeah. punt meaning -- >> not decide. neil: all righty. judge, thank you very much. >> pleasure neil. neil: is he scary smart or what? another big merger on wall street. if these guys are concerned about the crazy environment, they have a funny way of showing it. jackie deangelis at new york stock exchange. on a big one today. reporter: neil, all eyes on big pharma after abbvie said it was

buying allergan, part cash, part stock deal. shareholders will get $120.30 cash per share. it takes the stock up to 188. that was about a 45% premium from yesterday's close. no surprise that allergan's is up. abbvie's stock is trading lower today but the deal hits on important themes in the space overall. abbvie has been under pressure to diversify. humira it is blockbuster drug is facing competition from generics, or will soon. allergan was a target of pfizer in 2016. it struggled after this deal didn't go through. what you can see here, consolidation in the space. also diversification of the portfolio. analysts are saying it is positive for both parties because allergan shareholders will get a nice premium. abbvie will get an expanded portfolio. i want to switch gears to talk about amazon for a second as well. it is announcing this year's prime day will run for two full

days. that will start midnight pacific on july 15th. it goes for 48 hours. amazon plans to unveil over a million deals worldwide. so a lot of consumers will be looking for that, neil. neil: jackie, thank you very, very much. congress still divided over a border deal. one congressman think there is is enough common ground between republicans and democrat to make it happen. he is the democratic congressman from texas, henry cuellar. he is next. i don't know why i didn't get screened a long time ago.

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neil: democrat divided over the issue of border aid as the white house threatens to veto a bill they come up with. in the use of texas democratic congressman, henry cuellar, that i.c.e. does not have the money or manpower to deport millions but there are ways around this to find an aim mcable agreement that both -- amicable

agreement both sides can sign on to prevent deportations in the first place. the congressman joins from us washington. good to have you back, sir. >> thank you so much. neil: the crucial decision between you and a lot of democrats at least, you're open to adjudicating a lot of these cases when the migrant is still in mexico, not in the united states, right? >> yeah, that's correct. if we can do, have them wait either in mexico or in their country whether guatemala, honduras or el salvador, that is a better way of handling this particular situation. neil: sir, i'm letting you know, income times is reporting now that the customs and border protection agency acting commissioner john sanders is expected to step down. a lot of it over treatment of these migrant children. your reaction? >> again i don't know. actually i just met with him last week to go over different issues on the border

supplemental. so i don't know the facts why, listen, we need to put the money, we need a border supplemental bill, and i say that, as somebody that lives there. i go home every weekend. i talk to the men and women in blue. we can't blame our homeland security folks but, they need the money. they need the resources. this is why we're going to have a vote today. we are going to pass this, send it over to the senate, hopefully we work out differences so we get this done before the july 4th days. neil: do you think that is possible now? because the two sides seem to be far apart? some suggested sign on to the lindsey graham plan, about beefing up more judges in the area, up to 500? allow more time children in this country, stay longer, 120 days from 20 days? a lot of common themes, measure you support, it is really closer than people appreciate, isn't it? >> in many ways, keep in mind this border supplemental bill is, we want to focus on just

funding issues. i think what lindsey graham and other folks are talking about, tweaking some of the law on flores, asylum laws, for are this emergency, we need to focus on the money that we need to get hhs, health and human services, cbp, customs, border protection. one of the thing i've been working on reimbursement to the local community, non-profit, catholic charity organizations that have really been getting money out of their pocket to provide, you know services -- neil: would that, sir, in the 4.6 billion supplemental or added border measure that the president wants? or would this be something separate from that? >> no. this is, we got what the president has requested. neil: right. >> we added a couple other things like the reimbursement to the local community. that is something i've been working on since 2014. we got to get this done, to get the 4.5 plus billion dollars, otherwise, if we care about the

children, we have to provide this border supplemental. we can't let politics come in. we can't let a democratic or republican issue come in. we got to do this. neil: but politics come in, right? i mean, that would be fair, right? you are facing a challenge right now within your own party from your own former intern, jessica cesnaros, says you're more aligned with donald trump than you are with other democrats. she has great respect and admirers you, but still, is running against you. that is a little weird. >> you know, let me put it this way, sometimes people mistake bipartisanship for something else. i was not sent to washington, d.c., to make political points. i got sent to washington to work with democrats and republicans to solve the real problems that we have at the border. i've been successful because i am bipartisan. so yes, there are differences within the democrats? yes. just like there is differences within the republican caucus.

of course there is. but at the end of the day we have to roll up our sleeves, do the right thing, put politics aside. we will do this we will do this. neil: were you surprised? your former intern, all that, did she call you to say, hey, guess what, congressman, i'm running against you? >> look, keep in mind the justice democrats are the ones that pretty much handling this. neil: very liberal group. >> very liberal group. all i have to say, that the border is not new york. this is texas. this is south texas. this is the border area and i represent the area very well. neil: thank you very much, congressman. good catching up with you. >> anytime. thank you so much. neil: all right. maybe this is why a little steam came out of stocks. we were down 117 point. a voting member of the federal reserve, st. louis fed president james bullard says a 50 basis point rate cut in july, a half-point in rates would be overdone.

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neil: all right. i think we have sarah sanders replacement. this is coming from melania trump, tweeting, a few minutes ago, i am pleased to announce that stephanie grisham will be the next press secretary communications director. she has been with us since 2015 when the campaign just started. i can think of no better person to serve the administration and our country.

excited to have stephanie working for both sides of the white house f i'm reading this correctly, she will serve as press spokesperson for the first lady melania trump and president of the united states. i think that would be a first, but again i don't want to leap and say that is definitely the case. definitely moving in representing the president. whether she will simultaneously do the same and, with her old job as first lady's representative, sounds that way. debate on whether cap on state and local taxes should be repealed in high-taxed states. it is limited to $10,000. fbnam co-host lauren simonetti is here with the where that stands. >> tax cuts and jobs act, no democrats voted for it. most of the democrats, i will say all the democrats say it affects us, white house targeting house. neil: the blue states. >> we're in blue states.

there is a major hearing on this, a house hearing. essentially everyone said, no this affects everybody. this is affecting our home values. this is affecting the middle class. this is affecting first-responders. coupled that with the joint committee on taxation saying a new report getting rid of the cap so you can deduct more than $10,000 again only benefits wealthy americans. so that is puts democrats in pickle. they hate the thing so much f they get rid of it only helping the rich per this report. what does that do? many running in 2020 are running on income inequality. these are numbers from that report. the total would be $77 billion. that would be lower tax liability but most of that, 52%, comes from those making a million dollars or more. neil: wondering in some states, like new jersey where they put a surtax on millionaires, wanted to even include more

millionaires, they could raise it but not eliminate it, right? there could be certain income threshold which democrats could say, we're sticking it to the rich but we're helping everyone else? >> some democrat says raise income tax level again for high income earners and corporate tax rate. they're spinning this, saying well our middle class neighborhood is really getting hurt by this cap. look you have a permanent tax rate now, a lower tax rate on on corporations. the other thing to consider, i actually found numbers, very easily found numbers to love this, we talked about money being mobile, when you look where all the high-taxed states are going, it is to the south, yeah, over and over again. new york lost 167,000 people in the past year. neil: money moves. >> new jersey 72,000. where are we headed? we both live in new jersey. neil: exactly. for now. lauren, thank you very be very much. meantime, abigail disney, george soros, very rich folks want to

be taxed more. home depot cofounders were with me saying they're nuts. they said, tax us more. what do you think of that? >> well, they trust the government more than i do. neil: right. >> i can't tell you how much money we've given away. my foundation actually has given away oaf $2 billion. i would rather give it away than have some congressman give it away. >> i have no trouble paying more taxes, provided it is used to redeem the futures of the young people today. what the hell am i doing, what is bernie doing getting social security. we should not have that. fix it. neil: liberal commentator here. >> social security is means testing. a call for stronger and more stringent means testing. i actually totally support that this idea that a billionaire can always have the better answer of

what to do with money neglects the fact that the other 99% of us have ideas too. they might not always be in alignment. congress has a lot of ideas. democratic candidates have really good ideas. beto o'rourke idea on war tax is actually something i've been advocating for a long time. we make sure to take care of people coming home from a war zone. billionaires do not always have the answers. they shouldn't be the ones who decide everything for everybody else. that is why we left europe. neil: you don't have to worry about them deciding the tax tune here. ethan, i wonder, creativity coming up with ways to get money from folks, whether wealth tax or surtax or trading tax, to pay for you know, college for everybody, pay up their debts, a lot more of that than coming up with ways to get money for washington, than creative ways to save money in washington. i think both parties did that. if they applied the 10th

same time to spending ideas to try to get that under control, rather than money to fund all the spending so they keep it out of control, we'll never get anyway. >> i completely agree with you on that, neil. there is a lack of focus how to be more efficient how we spend money. we do lack of focus on things like college. big argument is canceling student debt entirely. i don't know if entire cancellation is a good idea, we're not focusing why college is so expensive in the united states. neil: wouldn't it be more expensive, ethan, all of sudden colleges and universities knew the government is picking up the check? they will keep gouging students, right? >> yes. you have to approach both sides exactly what you're saying. we need to address why these things are costing as much as they are. why is it exceeding inflation at such rapid rate for 30 plus years. neil: right. >> at the same time we recognize, kids coming out of college right now are absolutely swimming in debt, which is bad

are to the economy as well. let's look at it from both sides. i think we can do that. during the primary season we're focusing on one, not the other. neil: you're right. >> i hope the other sigh comes in. neil: ethan, very good catching up with you. i apologize for breaking news, my friend. breaking news includes this. important fed above, district president, saying i don't really see a reason to hike interest rates next month, certainly not by half a percent. the timing is impeccable. in new york the chairman of the federal reserve, the one who he wanted fire and demote, jerome powell, is minutes away from speaking. we're minutes away from hearing it.ll it was an instant savings and i should have changed a long time ago. it was funny because when we would call another insurance company, hey would say "oh we can't beat usaa"

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now we can barely play anything... even cards with the girls. if you have bent fingers, and can't lay your hand flat, talk to your doctor. it may be dupuytren's contracture. your hand is talking. isn't it time you listened? there are nonsurgical options. take the first step. and learn more about dupuytren's. at factsonhand.com ♪ neil: we have a new white house press secretary, stephanie grisham, who served in that role for melania trump. it was melania trump who tweeted out the news. she is going to replace sarah huckabee as white house press

secretary. we are told she will still handle that for the first lady of the united states as well, so she takes on the added role as communications director, a job i think that had been sort of unfilled since the departure of former fox executive bill schein back in march. she will have a lot of responsibilities. the dow is down about 104 points, having very little to do with that, more to do with this. the federal reserve or a key voting member of the federal reserve talking about the prospect of interest rate cuts as soon as next month. not going to happen. now we are waiting to hear from the chairman of the federal reserve, what he makes of that and maybe get a sense of the landscape. jennifer schoenberger on what to expect. reporter: fed chair powell doubling down on comments from the fed's policy meeting earlier this month, saying the fed will act as appropriate to sustain the economic expansion in the face of trade tensions and slowing global growth. speaking for the council on foreign relations in new york,

powell said many key members say the case for accommodative strengthened. he says the economic picture has changed since the fed met in may when they thought uncertainty around trade was easing. now the fed sees trade tensions may be contributing to a drop in business confidence and business investment though powell added the fed's mindful not to overact here. last week, powell also touched on how the fed is independent and insulated from short-term politics, this as president trump continues to hammer the central bank for not cutting rates. neil: thank you very much, jennifer. as you can see, what's going on now, we picked up some selling pressure largely on the president's remarks that he doesn't think it's necessary to see a half point cut in the federal funds rate, the overnight bank lending rate. he didn't say anything about a

quarter point cut, just that it's not warranted right now. the markets interpreted that, as you can see, as a bummer. they thought that was sort of baked into the cake here. apparently not. we will get a sense at least from the federal reserve head very soon, as jennifer said, where he stands on this even though he isn't going to be so concrete about it. that would not be fed-speak. "after the bell" host connell mcshane back from china with us. we have liz macdonald and scott martin as well. this is proof, as if we need it, that the fed does really dictate the course of this market. >> yeah, it does. you know, if there was a fed hike, you would be sure to hear more discussion we are going into recession. steve ratner said yesterday the economy is weakening but the leading economic indicators say no recession. we feel that's market analysts saying that's not going to happen. but is the market fed dependent, i mean, there's not much of a

selloff, right, it's fractional to the downside. >> still arguing about how much of a cut, whether there is a cut. it was 100% probability, correct me if i'm wrong, warning of a cut and out of that, there was a 38% plus chance it would be 50 basis points. that was the least likely of the two, you know, in other words, it was more than 60% chance it would be a quarter basis point cut. there were some people thinking it would be 50 but you know, it was still, the favorite was 25. >> i like to go big or go home aspect, though. 50 basis points. let's just really -- neil: you and i have gotten into this a little bit but the economy's doing quite well, thank you. i understand that there's no inflationary pressures, i get that. i know this was a backstop in case they didn't get a deal either on mexico or now china. but we don't need it. >> no. that's the prescient question. if this is one of the greatest or the greatest economy in history of the united states,

you are telling me this thing needs a 50 basis point rate cut in july? it seems a little incongruous. the market is telling the fed something's up. we are below 2% on the ten-year again with weak data today. that's what's interesting. if you look at the recent comments from powell, words like moderating, words like weakening are starting to creep into that commentary. neil: they are using the trade stuff as cover for something -- >> it could be underlying. which is fine. >> you know what's really concerning about all this, too, with the rates so dramatically low and central bankers around the world manufacturing negative interest rates? you know, i'm looking at information out of fidelity. 40% of our retoormeirement is g to be social security. the rest is 60% what we save. now it's either the market and savings rates are so abysmal -- >> and getting worse. >> exactly. getting more abysmal. neil: it's not as if it's helping housing. right?

>> but i don't know why you would have to use trade tensions as a cover. there is a real impact there on both sides of it. i think any read, it's always tough to read what's coming out of -- neil: say we do get a deal. would you even need to cut then? >> i don't know that -- i don't see any scenario now, i would be surprised if a deal is sort of the end of this anyway. if anything, the impression we got in china and again, you get all kinds of cross-currents and different answers to the same question and all the rest of it. if anything it's the impression they may be digging in and at the very best case scenario at the g20, you know, let's agree to have, as we talked about last week when i was in china, let's agree to have more talks but nobody is preparing for any kind of deal. >> what does a deal do to interest rates, though? if open market interest rates start to normalize a little bit -- >> to 4%? >> or 3% which feels like years ago. if that happens, maybe that is the reason they don't need to cut.

neil: would the market punish, would the market punish investors by, you know, by seeing no move on interest rates or would they welcome it? >> i think it would be punishable. i think the market would say the fed's got this wrong. they're not looking at something that we have been telling the fed for months now that's going on aside from the trade war. neil: let's say they cut and we don't have a deal, then all bets are off. >> yeah, that's right. this is like -- it's not even -- it's pushing on overcooked spaghetti. neil: someone named macdonald. >> true. what this is really about, the fed is doing a lot to undermine the dollar. in fact, china is doing more to support the dollar by buying all the treasuries. so it's really about investment creating growth here. that's the issue, is the fed rate cut going to -- >> you talk about the dollar. gold is skyrocketing, going towards $1500. gold couldn't even get through

$1300 multiple times. neil: home depot is one of those directly i think, conceded a billion dollar hit, they said that's fine, we will absorb the body blows because it's worth it. i want you guys to react to this. >> china has had a free ride since we said to them 47 years ago, we want to help you get on your feet, we want to help you come into the world. that was then. today, china and the united states represent 39% of the gdp of the world. china is 15 and we are 24. the fact of the matter is, we can't afford any more to allow this to go on. as bernie points out, they have been cleaning our clocks. intellectual property means nothing over there. neil: this is a fight worth having. >> but why haven't we had it before now? because our politicians, the

swamp creatures, push it down, let the next guy deal with it. neil: do the chinese feel this way, this president is a different dude, we got to be careful here? >> yes, i think they do. i think -- great interview, by the way, because i think it kind of illustrates what's happening on this side as similar, in my view, to what's happening on the other side. that's kind of the digging in. that's what i meant when i said earlier what's a trade deal look like. there might be some sort of trade agreement in the short term but i think what those guys are talking about and i definitely got the impression last week what the chinese are talking about is something much bigger than that, you know, some people call it a tech war, some call it like a new cold war on technology, whatever you want to call it, it's much more long term, de-coupling -- neil: the u.s. shouldn't lecture them or -- >> they view themselves as the victim of the west. they have had the greatest wealth transfer into their country i think in history. [ speaking simultaneously ]

>> they are called america's 3d printer for a reason. >> if we are going to have this fight, there are kind of ramifications of that, right. he's saying well, we will take the hit. he said home depot already took a hit. i think that's the one thing we need to talk about. he may be right, doesn't mean there aren't consequences of that. if we de-couple these two economies, look at apple last week. there are consequences of that. neil: we haven't taken any big macro hit yet. >> it hasn't been too bad. now, company outlooks are starting to get a little more cautious. neil: the effect of these tariffs will be delayed anyway because the stuff is already here. >> exactly. you also have companies that are probably adjusting, some of them are taking on the costs themselves, not passing it along yet. neil: they can't absorb 25%. >> nor will they continue to do so. friday, saturday, is a huge point. june 28th, besides being my 21st birthday, by the way, again, is a big day in history because this is one of those pivot

points, though i believe, where the markets want to see additional progress here. if we don't get it -- neil: they are not going to celebrate a rate cut. that i can promise. >> remember these old chestnuts, china sneezes we get a cold? part of that -- neil: you would get the cold. >> she got it. she has the cold. >> what i liked was how they said manufacturers are pulling out of china going elsewhere in asia. that was really interesting. neil: the chinese are worried about that. >> they are. they will make the argument their economy is transitioning to another economy. >> they expected this. >> apple is a big deal. this is video when we were in huawei talking about 5g. this is another kind of consequence of all this. whatever you want to say about companies like huawei, whether they are stealing, whatever's going on, they rls innovating. like that's what i'm talking about about the ramifications of all of this. if huawei is not going to be our answer, clearly they are not going to be, someone else has to

be. one of the ramifications is the slowdown of the 5g rollout. that may be fine, but in the meantime -- neil: i thought your coverage on hong kong illustrated that look, they got rid of this extradition law, for the time being, they didn't get rid of it, they suspended it, but obviously it's important enough for them to blink on something like that. >> on certain things. like when we interviewed the commerce ministry official, i tried to press him on whether they would be open to law changes. he wouldn't rule it out. there are certain -- neil: then he dragged you up to a prison. have to pay that ransom. >> huawei sent a hologram of connell mcshane. that's what 5g can do. >> see that? >> i would like to see an expense report. neil: you did a great job. very brave man in the middle of all of that. >> they're arresting us! neil: i don't know if you have seen this but they launched another rocket.

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we're not asking iran for much. we're asking iran to behave like a normal, civilized nation, to quit supplying missiles that are shot into its neighbors' territory or trying to overthrow the governments of neighboring countries, attacking shipping on the high seas. those are relatively simple things to ask of a nation. neil: senator tom cotton slamming iran. the nation he says is choosing to close off the path to diplomacy. fox news national security analyst on what happens from here. waleed, always good to have you. the president made it clear certainly in his response tweets to their nasty tweets that he can get very nasty in tweets

back to them, says that the leadership there is ignorant and they issued an insulting statement, no more john kerry and barack obama, goes on to say that i don't need congressional approval to strike iran, so what's going on here? >> well, two things are correct. one is the president doesn't need congressional approval for certain things and those certain things are so vast in terms of engaging iranian aggression, pushing against them -- neil: he would need it now, wouldn't he? if he didn't respond to the shoot-down of the drone, that opportunity to justify a strike has come and gone. you need a new provocative act, don't you? >> iran is every single day. it's not just what we see on our tv screens. what they are doing in iraq, for example, surrounding our positions with their militia, any incident could go bad. what the iranians are doing through their allies in yemen against the sawedudis but could

repeat the same incident over the red sea. the iranians are marching but they are paying attention. they don't want to give the president an alibi, an argument to go to congress and say now i need a massive support to move against the iranian regime. that's what they are trying to do. neil: were you surprised the president was giving them so much latitude in the beginning. first of all, the benefit of the doubt on shooting down the drone, the trigger-happy general, not the government, turns out it did come from the government. then on this notion of pulling a planned military strike with minutes to spare and this is how they respond. he is going to obviously be furious, he is, judging from these tweets and responses, so they set themselves up for something. what? >> you know, neil, we see what can be seen and not the unseen, meaning when the assessment is done, the white house, the nsc and all the allies, it's not just the first reaction. for example, they downed our drone. we could simply go and attack the place where that missile was

fired but that would be the beginning of an especialngageme. rules of engagement meaning they may respond to us in other places. we want to make sure our troops are well protected in iraq and syria, that we have everything in place. what we are doing right now is remember what happened with saddam hussein. it took us six months actually to get the right coalition, right forces on the ground. of course, it was much bigger there. but that's where we are. we are not going to be engaging them at their timing. that's what i think the president is trying to do. neil: all right. hopefully cooler heads prevail on both sides. we shall see. always good seeing you. thank you. >> thank you so much. neil: all right. well, all the stories of these kids who aren't given toothbrushes, toothpaste, combs, brushes, whathave you, soap, it's all added up and resulted in a change of border leadership. john sanders quitting as head of customs and border protection. now the question is who replaces him and what do we do? after this. the mercedes-benz of tomorrow

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neil: that's a big rocket. apparently it is the heaviest rocket yet, at least in the post-apollo era, carrying i think 24 satellites into space. lot of stuff in that thing. it's a test of things to come going forward. ashley webster, this sends a signal if you had any doubts the u.s. bacis back in space. ashley: this is spacex run by elon musk, of course. it's the third time the falcon heavy rocket, as it's called, meaning it's just really huge, the largest, 24 satellites going up there --

neil: that's got to be a record. ashley: it is, i believe. the military has not jumped on board these things yet. this was the first trial and it worked out very, very well. nasa has some satellites up there, air force, noaa. they aren't going to tell us what they actually do but this is remarkable. when the booster rockets, certainly the side rockets come off, they actually reland on a platform and can be reused. now, the core boost er -- neil: there are rockets you can buy on prime. ashley: overnight delivery, too, which is impressive. also on board, something called a solar sail that will open up in about a week's time up in space and has a mylar sheet. it will sail around space, fueled by not wind, but by solar particles pushing it along. if this can work, it would mean rockets or spacecraft run out of fuel, they may be able to use this technology to get around without fuel. neil: can this be configured for

humans? ashley: it can be. this is all about commercial use, but yes, absolutely. ultimately, i mean, elon musk's big dream is to get to mars to set up a civilization and everything like that. absolutely. this is impressive private sector technology. also on board, the remains of more than 150 people who were cremated and a company charges $5,000 per one gram of ash, as morbid as it sounds, but you can buy up to seven grams' worth so i'm assuming that's $35,000, it's put on to this rocket which it was earlier today, and the cannisters are released in space. they will circle around for awhile, then come back into the earth's atmosphere and burn up on reentry. remember the actor who played scottie in "star trek"? he went up on one of these several flights ago. on this one, bill polk was the astronaut who flew on the space station.

his remains were on board today and are floating around in space. neil: certainly we will eventually go back in the atmosphere and burn up yet again? ashley: yes. yes. these people whose lives were perhaps dedicated to space, who love space, it's kind of a fun thing to do. this is the way to do it. elon musk can do it for you. neil: do they have to be deceased? i'm thinking gasparino. ashley: it would take a bigger rocket to get him up there. leave it at that. neil: leave it at that. you're the best. ashley webster on top of this latest development. meanwhile, some out of this world comments from the fed chief jerome powell. see what i did there? you want me to do it in a scottish accent? ashley: no. for the love of god, no. neil: fine. fine. questions on the state of the economy and what a number of fed governors are talking about, including one very important one who was saying you know what, i don't see the need to cut interest rates a half a point next month.

we can hold off for awhile. he is looking at all those issues, what he's grappling with, the effect on housing. after this. your daily dashboard from fidelity. a visual snapshot of your investments. key portfolio events.

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neil: all right. the acting head of customs and border patrol, john sanders, stepping down. the former dhs special agent under bush 43, obama, president obama, i should say, tim ballard on what steps next need to be

taken. thank you for taking the time. >> thanks for having me. neil: maybe you can help me with this. obviously they are pegging to him all this disruption with the kids who were treated and they said horrible conditions and everything else, and it was on him and he's out. but i always feel as well for some of the officials there who were not trained to have to deal with something like this, an onslaught of kids, and i don't know whether we are even now. so what happened? >> the problem is it's not sanders' fault. this is congress's fault. congress is so frankly ignorant to what's going on here. we have a bill right now that nancy pelosi is pushing out, $4.5 billion to help the humanitarian crisis. which is great, on one end, great. horrific on the other end because the bill specifically says no money can be used to actually enforce and identify who these kids are going to. we can't investigate the sponsors. now, the united states is one of the top nations for destination countries for human trafficking,

and what's going on is i'm on the border. i have teams there right now helping identify traffickers. these migrants are given a piece of paper, given a piece of paper with a name and number on it by criminal organizations who are smuggling them in and they tell them get across the border, here's a kid, take this kid because the kid will help you get through quicker, then call this number. these migrants have no idea who they are calling. i have been with them when they called. neil: is that right. >> it's absolutely insane. imagine if we found an abandoned child in new york city. would anybody just say whoever comes for the child gets the child. we would never do that. right? we would have to vet this. we have to investigate this. the democrats' bill is actually saying we cannot vet the sponsors. we are not going to do that because for whatever reason, so it's great to give them toothbrushes and soap, i'm for that, but i'm also very much against these children ending up in the hands of traffickers and being raped in the u.s. sex markets. neil: i know under the obama administration, it was very different about separating families than the trump

administration. they would occasionally take a child away, separate them from a parent deemed not to be necessarily a parent of that child or if the child was, they were concerned as you said about the safety of the child, so now i'm wondering, we are still going to have variations of this because a lot of these kids are unattended, right? i don't know the percentage, but i do know that's gotten to be the new problem because you will literally have so many of these kids moving in on these, you know, migration centers, camps, whatever you want to call them, and they're with nobody. >> sure. look, back in the day when i was working on the border, i was an undercover agent on that border and we didn't have that many kids coming across. right? there was very few. mostly adult males were coming across. things have changed. 72% roughly of the migrants coming across are families, are children coming across. there's over 10,000 unaccompanied minors currently there. so we have to look at this differently. we have to take care of these

children. it's not just, you know, food and shelter and toothbrushes and soap. i'm for that, again. we have to have an enforcement mechanism in place but more importantly, look, until we move our asylum courts out of the united states and move them into mexico, into the northern triangle countries, lindsey graham introduced legislation that would do this, this problem's not going to go away. that is the solution. because so long as the asylum courts are in the united states, criminal organizations are going to take advantage of this, because all they need to do is kidnap a child, place a child into the hands of a migrant and say get across, here's a piece of paper, call this number, and they get across and neil, it's two years before they go to phoenix or l.a. to their hearing. neil: part of it is that they not cross the border, a lot of this adjudication be done on the mexican side. he's also calling i guess separately for the hiring of at least 500 judges. oftentimes the judges we hire don't end up going to the border. they go to other locales.

he's trying to stiffen that up to make sure they go to the border. but i don't know. i don't see anything being done to resolve this. certainly within the time frame the president wants to forestall deportations. separate issue, i grant you. but you know, it doesn't seem likely. >> it's not likely, because i don't think the democrats will change the asylum laws. lindsey graham is right. move the courts to mexico. move the courts to our embassies in the northern triangle countries because then only legitimate asylum seekers will show up because they have a reason to show up. right now it's open to fraud. we are literally completing trafficking events in our country by keeping the courts here and allowing this fraud to happen, where kidnapped children are often paired with migrants and told cross the border, call this number and our officials on the border are ill-prepared. they are law enforcement officers, not babysitting camps. neil: they're not trained for this. thank you very, very much. all right, meantime, you talk about things that have to

be done. we still have to deal with spending limits, the debt ceiling, weeks away, the end of the summer. that's not looking very good either. hillary vaughn on capitol hill with more on that. reporter: hey, neil. essentially congress is careening towards the potential government shutdown on october 1st if they don't work out a deal on spending caps as well as raising the debt ceiling, and right now, talks are stalled because republicans and democrats are having a major breakdown in talks, working out a budget deal with several people from the administration. treasury secretary stephen mnuchin, acting white house chief of staff mick mulvaney and eric euland came to capitol hill last week to try to work out a deal but things did not go well. right now, a senate leadership aide tells me there are no plans to meet again, leaving spending caps and a debt ceiling talk essentially stalled. hoorps h here's how things were left. mulvaney blasted democrats, saying they showed up to the

meeting asking for even more money in non-defense spending than they had asked for before. mulvaney saying quote, so you tell me if things are moving in the right direction, unquote. pelosi gave her take on the meeting with mulvaney last thursday. >> mulvaney is one of the people shut down government because they didn't want to lift the debt ceiling, so he has no credibility on this subject whatsoever. what we have said, though, is we will fight for meeting the needs of the american people. reporter: the white house has said they are not going to approve any spending caps until the debt ceiling is raised. that's priority number one. especially for treasury secretary steven that numnuchin figuring out how much money to give democrats for non-defense spending, then figuring out how to provide our military more funding that has been a priority for not only the president but republicans here on capitol hill is the other side of the equation. right now between these two there's a major impasse and so far, no plans to talk in the

near future. neil: that's promising. hillary, thank you very, very much. we are told that the president will be meeting with his chinese counterpart xi jinping at the g20 in osaka, japan at the end of this week, in fact, on saturday, one-on-one talks. in case you have high hopes something will get done, we are hearing from china's representatives that they see this going on for months or years. there's no guarantee that the talks will bear fruit right away. on such issues, the federal reserve's jerome powell says he's at the ready to address this. he also made an interesting comment about inflation, saying that low inflation is another argument for providing more policy accommodation, saying that the latest data shows the undershoot looks like it may be more persistent. what he's saying is inflation,

not only is it a problem but it doesn't seem to be remotely reappearing as a problem. that could be setting the stage as cover for him to cut rates if need be, but he's also sent out a very clear signal that the vulnerabilities of the financial system that he deems are moderate right now, they could get more pronounced if this trade situation goes on for quite awhile presumably with china. we have to deal already with mexico. he's at the ready to deal with it which presumably means a cut in rates. the ten-year note, ten-year bond, lot of people call it, is under 2% again. after this. at comcast, we didn't build the nation's largest gig-speed network just to make businesses run faster. we built it to help them go beyond. because beyond risk...

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neil: stephanie grisham announced as the next white house press secretary and communications director. to the "wall street journal" political reporter elizah collins on what call of this could mean. if i understand it, she replaces not only sarah sanders but fills the old post of former fox

executive bill schoen as well, right? >> exactly. it's a big job. she will be very busy -- neil: we ever had something like that, where the spokesman served both the president and his wife? >> i don't think so. i think this is new but a lot of arrangements in the white house are new. stephanie grisham has been with the president and first lady for a long time. she went back to the campaign. she's really more senior than many folks there already, because she does have such a connection with the president and first lady and has known them since the very beginning. neil: will we see any change, i mean, they don't have white house briefings. to be fair, the president does talk to the press quite often, especially when heading into or out of the white house for these trips when on his way to marine one or leaving marine one, he takes questions from them, but formal press briefings are few and far between. >> right. they were few and far between with sarah sanders. i don't expect them to really

ramp up under stephanie grisham. she was not hosting tons of briefings with the press when she worked for the first lady. i think that's something the president likes to speak for himself, so i think we can expect to see more of that. but again, this is a totally new role and a very big role. so she could really go in a lot of different directions. neil: i'm wondering what direction, you know? what will the tone be. obviously the president might have an agitating relationship with the press and the press with the president. i don't know if, in fact, i don't think the president feels it needs to change but what do you think? >> i don't think the president feels it needs to change. i think he likes how things are going. i can't imagine stephanie grisham going in a completely different direction. she is being promoted to this post because of her loyalty, because the president likes what she's been doing before. so i imagine they will keep on that path. neil: do you expect that as the campaign heats up, there might be more interactions with the president? i'm not saying of the marine one

type or on the south lawn or at an event or something, but something a little bit more substantive? >> i have no idea. i think the reporters we would like more interaction with the president. i think that the president feels he is his best messenger. he likes to speak to the press. he likes to get his message out there. so that's absolutely possible but i really have no idea what their communication strategy is. neil: yeah. maybe they don't, either. we'll see. thank you very, very much. i think she was intimating here, the ultimate press spokesman in chief is the commander in chief, the president. he sets the tone and the tune. that does not appear to be changing. more after this.

neil: all right. this could be just me but

following jerome powell's comments very closely here in new york, if this doesn't say i'm going to cut rates, i don't know what does. he just said that the u.s. economic conditions have changed significantly in the last six to eight weeks, says he and his colleagues are focused on getting rates set at the right level, says the risk to favorable u.s. economic outlook have increased and that the u.s. consumer is still solid with wages moving up, jobs plentiful, but the backdrop for all of this is an economy that is at great risk, at great peril. he repeated a line from the fomc presser not that long ago, an ounce of prevention is worth a pound of cure. he sees this weakness as better to come earlier rather than later and he wants to be able to act preemptively and not let a downturn gather steam. now, i'm back in the days of covering paul voelker and allan greenspan when i was a few years younger than i am today.

they were never so blunt or so clear. i don't know what bank rate senior economist, economic analyst mark hamrich thinks of that but man, that's pretty clear, i'm getting ready to cut. >> you're right, neil. we have been trying to decipher the comments of these fed officials for decades now, and you don't have to work so hard to decipher jerome powell. remember, he has said as he initiated news conferences after each and every meeting now that he wants to speak more plainly to the american people, and think about that in contrast or perhaps coinciding with the plain-speaking if that's the right way to put it, president, so in some ways, he's trying to match the style of communication that the president does but obviously, not nearly as effectively. neil: you know, the president, you mentioned him, still believes that the dollar is too strong, he blames the federal reserve, saying that with a strong dollar obviously in mixed trade, deficits get worse,

whathave you, and it's very, very difficult to close trade gaps with that being the case. so obviously, he's pushing for a rate cut to improve that but normally, when you cut rates, it's read differently by the markets, isn't it? that when they digest it, it's addressing a slowdown presumably. >> absolutely. and you know, that is one of the many conundrums that's associated with all of this, right. you know, the president whenever it was who really started pounding the table, whenever that was, saying really need to cut aggressively, maybe he was foreseeing this sort of worsening series of influences on the economy that includes burgeoning essentially trade disputes or wars, so maybe he, you know, did have a method to what he was communicating but yes, you never want to pray for a recession in order to get lower interest rates, you know, as a means of let's say addressing the housing market, addressing consumers, and so that's why i don't think this is a very good scenario that we're

in right now, where we're sort of caution a lot of trip wires to be set for the u.s. economy, and therefore obviously the fed is taking this seriously and investors are obviously now basically betting that there's no chance the fed won't cut in july. neil: amazing. it's just an amazing 180 we have seen. mark, always good talking to you. thank you. >> thanks so much. neil: you are probably wondering why isn't the market responding. well, because tucked in a lot of the other comments regarding the upcoming china/u.s. trade talks including the two presidents meeting and chatting one-on-one with each other in osaka, japan at the g20 was this little tidbit from a minister from china, indicating that nothing will be done right away, some of this could linger for months if not years. so that all of a sudden made the prospect for a trade deal look good, but still further off. so that's weighing on them. but i also think there's something else weighing on the markets. and it concerns processed meats. it concerns the fact that a

record number of americans are still eating them, and doctors the world over are clamping down on this and saying don't you see what you're doing, and now there are going to be these global warnings about the danger we failed to address on our grill. that to me is why the dow is down 92 points. a doctor who has the nerve to disagree with me, after this. is where people first gathered to form the stock exchangeee, which brought people together to invest in all the things that move us forward. every day, invesco combines ideas with technology, data with inspiration, investors with solutions. because the possibilities of life and investing are greater when we come together. ♪

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neil: i don't know who came up with bogus stud about processed, meat and cheeses being a problem, apparently we in the country are not giving you on them. this is such a health concern. processed beef consumption has gone up. they have been going down. this isn't owing up. it worried board certified family medicine doctor. doctor, good to have you. >> thank you. neil: i thought you would be morbidly obese, trying to talk about it, my bad luck. what is the problem here? we're not giving up on this.

>> the problem we had a lot of great research showing processed meats unhealthy, in the amounts we eat them are extremely unhealthy. neil: what is processed? >> anything salt, cured, smoked, anything processed outside of the natural food that exists within nature. that means luncheon meats. that means bacon, sausage, spam. neil: what? sam? >> i hate to single out -- neil: spam with a shelf life of 100 years. i don't know. >> that should tell you something. neil: what is it? what is the issue, this does a number on you? >> who did a great job, world class organization did great job has class one carcinogen. they increase rates of specific cancers. neil: wow. >> it is in the same group as as special toes, as smoking. not because they're equally as

harmful -- neil: there is sliding? >> not as equally harmful. smoking is not equivalent. neil: spam with asbestos. >> this is the classic mistake that people make understanding that. the group one one carcinogens, that they do cause cancer, not severity of cancer they cause. neil: obviously for the heart it is not great. >> obviously for the heart it is not great there was great study, randomized control trial. conducted this past month, those who ate processed food diet, whole foods diet, same amount of calories, same amount of proteins, they will add on two pound per two weeks. neil: really? >> after you flip them, eat different diets, eating from processed food, to whole foods, they lose two pound. eating same amount of carbs.

process foods play a role in hormones way our minds work. they're more palatable, they are favored to eat. neil: what is your -- >> stick to the natural stuff. neil: what is natural? >> whole foods. eat real meat. don't eat processed version. look at popular diets, keto, vegan. neil: what about cut back on carbs. >> all those diets work because they're cutting out processed foods, cutting out rich and refined carbohydrates. neil: what about in moderation, doctor? >> we have to define moderation. when i say moderation, their head is drinking moderation, one glass. neil: it is not. two about two cans of spam? >> two cans of spam in one meal. i hope that not. that would be a lot. neil: a lot of thing that is common sense. do people fight you on this

stuff? >> a lot of us don't know what we're eating. unless we track it, use a mon are toring system for ourselves, apps, talking to our family members, we mindlessly eat, especially the american diet. neil: what do you think of fitness watches all that stuff? >> fitness watches, they don't have a great record working long term but we do have a great record taking control of your health f you look what you're eat -- neil: becoming more aware of it? >> becoming more aware will allow to take actionable steps to, biggest thing i recommend. look at your portions. if you're eating a lot of sausage, bacon, all processed foods, cut down amount you're eating it, you will do a good service. neil: you realize 10,000 steps a day, cavuto. is it a day? >> yes. that is the recommendation. neil: okay. >> one thing i hope you don't do, most people, see 10,000 steps a day. i can get a extra slice of bacon in, extra dessert.

don't do that. neil: why? >> because you're harming yourself. neil: i was hoping you would be more -- take a lecture guy actually proving living that life. doctor, thank you so much. >> thank you so much. neil: don't believe a word what he said to you. charles: 10,000 steps a day and neil cavuto always go in the same sentence. neil: oh, man. charles: i'm charles payne this is "making money." we have lot breaking. ben carson will discuss with me to discuss the executive order president trump just signed to white house council on offordable housing. you do not want to miss this. stocks down ahead of highly anticipated meeting between china and the u.s. it is in japan and it is big. speaking of big, chair jay powell giving us an update on the state of the economy. wall street wants more clarity on july rate