>> and remember, if you have your own hit or miss tweet it to us at jer on fnc that's it for this week's show thanks to my panel and for all of you for watching hope to see youmaria b week starts now. maria: happy weekend! welcome to the program that analyzes the week that was and helps position you for the week ahead.what a week it was. i am maria bartiromo. thank you for joining us.we have a jampacked program. my exclusive interview with president trump, just ahead of his visit to japan for the g 20 summit and his meeting with chinese president, xi jinping. a lot to talk about with the present per the most elusive one on one with huawei chief security officer, andy purdy and the president of the federal reserve can robert kaplan put all the issues you

want answered right here, right now this weekend. all eyes on the g 20 japan as the president met with xi jinping and the highly anticipated evening on trade. this week the treasury secretary steven mnuchin says he does see a path to complete a deal, however, the president said he has a plan b and is the same as plan a, mark harris. watch. >> we had a deal. and it was a deal that really was close to being done. >> steve mnuchin said you were 90 percent there. are you 90 percent there now? or will you 90 percent before they reneged? >> look, they know what we have to have. if we do not have intellectual property theft protections, if we do not have the opening of china, china is not open. we are open but china is not open. if we do not have the opening of china, if we do not have the

things we negotiated and maybe even more than that. look, right now we are getting 25 percent on $250 billion worth of goods. nobody ever heard of such a thing. massive amounts of money. and don't play, do not let anyone tell you that we are paying. we are not paying, china is paying for it. china has devalued their currency in order to pay for it. they devalue their currency and their pouring money into the economy and in these companies which generally are chinese owned, indirectly or directly paid we are not paying anything for it. they are -- our consumer says china is different than other countries. some other countries that can happen but i view terrace differently than a lot of other people. by the way, since terrace has been our market has gone through the roof. if you know what i'm talking about. since tariffs have gone up noah made a deal with mexico because of tariffs.we been trying for 45 years to make a deal pete including me for the last year. i could get nowhere. when the tariffs were, i was

ready and i was supposed to start on monday. we made the deal in one day. that people cannot make it in 45 years! when tariffs go on, we are taking in billions and billions of dollars. we never took in $0.10. now you have another $325 billion that i have not taxed yet.it is ripe for taxing. for putting tariffs on.this never happened to china. what is happening is people moving out of china companies are moving out of china. by the way, some coming back to the nine states because they do not want to pay the tariff etc. etc. it's been an incredible thing. am i happy now? absolutely. i would do additional tariffs if it does not work. if we do not make a deal. when you say are we going to make a deal? it is possible we will make a deal but i'm also very happy where we are now. we are taking in a fortune and frankly, not a good thing for

china. but it is a very good thing for us. a lot of companies are moving. >> if you were to put the additional tariffs on the remaining $325 billion, a lot of people feel would be a game changer. game changer for the economy, a major disruption in terms of the supply chain. do you think that they can do anything, that you can hear anything from this meeting on saturday with xi jinping that would push you to put that aside and not put that remaining 325 billion in products on tariff. >> no, it is possible. absolutely possible. we have to get a good deal. look, they have taken advantage of us as a country for so long, they are so far ahead. on average this country is losing more than $500 billion a year with china. we rebuilt china. they have done a great job, they are smart, ingenious, great. but you know what?

they are so far ahead, we rebuilt -- we have given them $500 billion a year for many years. we have rebuilt china. without the money you do not have the same china. what they have done to us and primarily us, they have done well with europe and but with the money they make with us, i mean if i do what i am doing we totally cut that off. we totally cut it off there's number $500 billion. it will go down to a trickle. maria: what makes you think that the chinese are going to do anything different than they did when they reneged? right? back in april, when steve mnuchin said you guys were 90 percent there, close to a deal, then they reneged. why would they go back on it now? why will you think they will see intellectual property theft any differently today than the day that they reneged? >> we went in and we thought we had a deal. then they said we will not give you certain things we agreed

on. i said that is okay, i told my people leave the office right now, do not talk anymore. no more talking. we are putting on a 25 percent tariff on a full $250 billion. we did it the following day and that is it. that was the last conversation we had. now we have had conversations over the last few days. they are negotiating. but you know my attitude is, i'm very happy either way. the tariffs are, there's no way you can make that kind of money and what it does, it really helps us in so many other ways. it helps us in ways that nobody even wants to talk about. and i don't want to talk about them. very, very powerful what we have right now. maria: leslie put the money in the 325 billion of products from china. will that affect the election in 2020, mr. president? if you see the impact the economy. because i see that the chinese economy has weakened quite a bit as a result of the and mr.,

your actions. >> that is to put it mild. they want to make a deal more than i do. let me put it that way. they want to make a deal. maria: you think they will agree to make -- that they cannot still intellectual property from america. >> look, we lost billions and billions and trillions of dollars with china.we are now taking in billions and billions and i've only done phase 1. phase 1 is 25 percent on 250 billion. i have not done phase 2 yet. phase 2 does not have to be 25 percent. it can be 10 percent, which people can actually handle. but our people are not going to pay for that either. they devalue their currency like a ping-pong ball. they play the devaluation card for years. and people do not call them on it. we are looking at calling them on it first time. you know, what is the difference? call them on it, big deal! i want to have a relationship with china and i have a great

personal relationship with president xi jinping. he is a friend of mine, i think he is fantastic and i think he thinks the same of me but who knows! maria: my thanks to president trump. trump. don't go anywhere, my my experience with usaa has been excellent. they really appreciate the military family and it really shows. with all that usaa offers why go with anybody else? we know their rates are good, we know that they're always going to take care of us. 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" we're the webber family. we're the tenney's we're the hayles, and we're usaa members for life. ♪ get your usaa auto insurance quote today. ♪ ♪ there are roadside attractions. and then there's our world-famous

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after a week in meeting at the g 20 summit, they're asking to be lifting the ban on huawei. lawmakers on both sides of the aisle warning that huawei represents a national security risk. i spoke with the chief security officer, andy purdy, about what a list would mean for his company and why so many see that huawei is a major risk for national security. >> the united states government is never going to allow huawei or any other company to have no

restrictions to operate in the telecommunication market. it is too important for security. want to talk about the us government -- in terms of the impact our projected increases in review may be hurt. it could be hurt as well as a $30 billion reduction in the projected revenue. more portly, we know the impact this will have on american companies.we want to be able to continue to buy from american companies and want to be able to support our customers who buy our products for the rural america. maria: it's a good point because tub is a qualcomm and intel have seen an impact the stock prices ever since the ban on huawei. although they are using some kind of a walk around to actually get the shipments. what has been the impact they are in terms of not being able to get the supplies from those companies? >> the full impact of it isn't really going to kick in until august 19.

when the full limitations go into effect. my concern is the long term. we want to be able to buy the best technology which is american. if we are forced to buy technologies in other parts of the world it will not be a temporary thing, it could hurt america for a long time. maria: if you are getting wet from the suppliers?>> high-end technology. we spent $11 billion, it is serious american jobs. maria: secretary pompeo blazers a national security risk because it and some of the chinese government wants huawei to download data, after the chinese government, they will do so. >> we really have two issues. we have our ability to buy from american companies which is unrelated to that issue. we have the issue about national security. it is two parts. the part you're talking about is access to customer data. in fundamental, the at&t and verizon is of the world control the data. we have very limited access it

is completely -- we cannot send even a force by anybody, we cannot send the data if we do not have appeared! andy, we know there are backdoors. there are backdoors allow information that go right to the government peewee so that in africa as well with the african union. and you know, they were backdoors where you know, the engineers in ethiopia found that all of the data was going back to the chinese government. you can't deny that. >> as the u.s. government has said the issue is much more china than huawei. and the fact is, vote a phone said after the study further they realized there were no backdoors. maria: because huawei rectified the problem. >> know they said it was not the intentional back door -- the claim is that it was really zte alleged to be involved in that there were no allegations huawei was behind that. maria: let me talk about the china national intelligence law. enacted in june of 2017

requires chinese nationals and entities to gather intelligence if asked. this means huawei is under a compulsion to spy for beijing by itself, the requirement is sufficient reason to ban huawei. >> the u.s. government does and does not believe the law has any significance. they believe huawei would be forced to do this whether or not there was a law. maria: because it is a communist country! >> fact is the huawei network does not touch the customer network and even the huawei u.s. network does not touch the customer appeared only specially configured laptops, after written permission from the customer, can touch the customer network and every keystroke that is logged and recorded. anything we ship back would be known to the customers and known to the u.s. government. maria: there was an article this week in the wall street journal. huawei telecom gear much more vulnerable to hackers then rivaled equipment, report says. this as the story from the journal that basically says, we are more likely to see flaws in huawei, and can be leveraged by

hackers for malicious use then equipment from rival companies. and you say? >> the results of this study, in our communication with a company that did the study, are ongoing. the fact is, this is exactly the kind of report generated when a product goes to a customer. a security expert recognize both government i had a conversation with the essay he said this is exactly what you find then there's the medication -- this is exactly what is necessary to make america safer in communications and 5g. independent verification of everybody's products to help, to international standards to make sure we are safe. >> the chairman of huawei, the founder of the company, he is a member of the communist party. >> i think that is correct, yes. >> is correct. that means you have him as a chairman of the board and other communist party memos on the board.in other words if they

say we want to have the military secrets of the us, you have to send them to them. >> again, the fact is, as principal deputy to the director of national intelligence said, we can test for that and had to test everybody because -- maria: the government tells me what this info you are sending it, there is no testing. let's face it, there's something called civil military fusion in china. in other words if you have any innovation much of it has to be tested by the military first. all efforts are going to the military because china was to overtake the u.s. as the superpower militarily. >> here's the key point for sophisticate nationstates can hack into anybody's equipment. that's all we had to have the highest standards to evaluate evans equipment to make sure the bad guys have not hacked in.that's how we make america safe. maria: the bad guys, are the chinese the bad guys? >> whether does our product, nokia or ericsson, china and the u.s. can hack into those and put us at risk.we have to make sure there's copies of approach to analyzing everyone's products. maria: there was a major heart

justice repair chinese hackers, hacking into major global telecom companies at the direction of the chinese government.>> that is all we had to make sure that all equipment that is used in america has been evaluated at the highest standards to make the highest standards to make sure we are safe. all money managers might seem the same, but some give their clients cookie cutter portfolios. fisher investments tailors portfolios to your goals and needs. some only call when they have something to sell. fisher calls regularly so you stay informed. and while some advisors are happy to earn commissions whether you do well or not. fisher investments fees are structured so we do better when you do better.

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despite signs in manufacturing that the economy may be about to slow down, president trump still has a lot to brag about on the economic front as a result of certain policies. the s&p 500 and the dow for example in track for the best months in decades. in the month of june all major averages are up almost 7 percent. we are also taking a look at low employment, the unemployment rate it a 51 year

low. earlier mortgage rates have fallen to their lowest level since 2016. so far we continue to see growth above three percent. join me not to talk about the economy, and what is ahead, the president of the federal reserve bank of dallas, robert kaplan. mr. president, it is always a pleasure to see you. thank you for being here.>> thank you, maria. maria: had you characterize things right now? we are seeing pmi 's slowdown that is global not just the us. is that with the real weak spots are? and are you expecting a slowdown? >> yeah, so -- we have been expecting that growth would slow from 2018 until 2019. and we thought that last year and you have heard me, i talked to about it. the reason we thought that is aging populations, slowing workforce growth and waning of the sizable fiscal stimulus. particularly, the spending aspect of the fiscal stimulus

was going to wane. if you had been the show april 30, i would've said you know, our forecast would have been 2 1/4 or two and half percent gdp growth for 2019. i might have said that if i was wrong, we might be wrong too low. in other words it might be better than that. then the china talks hit a snag, the threat of tariffs on mexico were very significant for u.s. businesses because so many of them rely on those logistics and supply chain arrangements. and we have seen a deceleration since may 1. it has been noticeable and so if i sit here today, i think my own outlook for the u.s. economy is approximately two percent growth. but still because of the uncertainties, there are heightened risks to the outside. to your point, it is primarily against the backdrop which changed the heightened trade tensions and decelerating global growth which i think is directly related to the trade tensions.maria: order interest rates telling us right now?

the two year drop below two percent in the last week, the federal reserveto to cut rates this year. first give me your market rates picture. what do you think the rates are telling us here? that they are so rock-bottom low. >> so, even three months ago i would have said that the treasury curve was suggesting outlook for global growth is sluggish and for me the number one reason was aging populations and slowing workforce growth. i would have added to that, some concern about global trad . which is essentially growth. today, i would say roll forward, the drop across the yield curve since may 1 has been most recently, heightened trade tensions and greater, even greater uncertainty because of that about global growth. and maybe to some extent, although we will never know exactly how much, some expectation of what central banks will do. and that factors into the yield

curve also. maria: final question, robert, what are the odds of federal reserve cuts rates thisyear? >> so , i have said that i want to take a little more time. our next meeting is not until july 30. the end of july we have at least one month, i want , given the outlook and last 48 weeks and what the next three or four weeks to see what happens with trade. i want to look at the next jobs report, i want to look at what is going on. i will withhold judgment until as i approached the july 30 meeting. but i would say what i'm looking for is, are these uncertainties translating into a material deterioration in the outlook? for me that means material deterioration where growth could slip below two percent. to something weaker and i don't know right now whether that

will happen. i'm very heightened, i've heightened vigilance as to whether it will happen. but also i do not want to jump to conclusion on that question either. maria: wow! below two percent will be really important. the second and third quarter we will all be focused on given the first quarter was 3.1 percent to robert kaplan, it is great to see you. we appreciate your wonderful uh-oh, looks like someone's still nervous about buying a new house. is it that obvious? yes it is. you know, maybe you'd worry less if you got geico to help with your homeowners insurance. i didn't know geico could helps with homeowners insurance. yep, they've been doing it for years. what are you doing? big steve?

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(boy): dance recitals are so boring. ♪there's a me no one knows ♪waiting to be set free so, what's the empty suitcase for? the grand prize trophy duh ♪i was born to be somebody maria: welcome back. next weekend on the program right here, a little taste of americana. we are zeroing in on what is great about america, small business. i will talk with the ceo of poshmark. around 4 july already. and on the fox news channel this weekend, kevin mccarthy is my special guest and a

congressman jordan initial live this weekend sunday on fox news. 10 am eastern. join me every day on fox business start smart with mornings with maria weekdays 8:54 am eastern right here on fox business. i hope you'll join me weekdays bid that does it for now. thank you for joining me this weekend. have a fantastic weekend. gerry: hello, and welcome to the wall street journal at large. 20 candidates, five moderators, four hours, two nights. but was there one winner or one loser? other questions everyone is asking after this week's double-header of democratic presidential primary debate the first of the 2020 election campaign. there we just watched joe biden