decriminalizing the illegal entry into this country, i think that's going to be his next busing issue. >> he needs to have a strong night. he has to have a strong night. charles: we'll see. thank you all very, very much. that does it for us. "varney & company" is up next. stuart varney, take it away. stuart: thanks for doing all that hard work for me on friday. do appreciate it. good morning to you. good morning, everyone. it's a big week for your money. should be a pretty good week, too. for a start, we've got a slew of profit reports which, by the way, are already showing a better than 6% gain over last year. that's good. the latest stock sensation, beyond meat, reports this afternoon. that will be interesting. apple comes out tomorrow. a quarter point rate cut widely forecast for midweek. with the europeans businessly cutting rates, there may be more to come here. friday, it's the jobs report and that's expected to show more people coming off the sidelines, joining the labor force. we expect to see a record number

of people working. and throughout the week, our trade guys will be meeting their chinese counterparts in shanghai. add all of this up, it looks positive for your money as we kick off the new week. the two democrat debates will dominate the week in politics. tuesday and wednesday nights, cnn hosts. that should be interesting. don lemon, a trump hater, is inexplicablejy a moderator. stay there, please. congressman nadler calls the president disgusting and racist. it's a big show. "varney & company" is about to begin. stuart: we got the video. violent protests, more violent protests over the weekend in

hong kong. the residents angry over the city's autonomy. take me through it. susan: this is an escalation in the confrontation, first back-to-back we have seen since they started these protests started in june of this year. the police are taking more aggressive tactics, firing tear gas, rubber bullets. also, the protesters are taking it more seriously as well. they have started what they are calling -- starting these fires in occupied roadways as well. so both sides not backing down. in fact, it's getting more intense, more scary and the fact you are bringing in the gangsters which are seen as a second tier law enforcer for the pro-beijing camp is getting ugly. stuart: xi jinping, china's leader, has to be worried about this. susan: absolutely. think about this. this what is the international gateway was to china, hong kong. if all this international money, these multinational companies

that have been headquartered in hong kong, start pulling back, which they have, by the way, according to the american chamber of commerce, can you imagine what that means for business? what kind of message does this send for the rest of mainland as well that you can stand up to beijing and there are no ramifications? i think they are going to probably take a look at this and see what they can do. stuart: good point. xi jinping has some trouble. got it. thank you. now let's get to profits. big names are going to be reporting this week. beyond meat, that's not necessarily a big name. it's a sensation. apple, exxon, they are among the big names reporting. we are about halfway through the profit season and thus far, profits are up 6.6% compared to last year. i call that pretty strong. brian westbury joins us now. let's talk for just a moment profits. are the numbers going to continue to be fairly strong? >> semiconductors are weak, we have some weak numbers coming from the energy sector. semiconductors have been weak

because compared to last year, it was a bitcoin bubble and everybody was buying chips and semiconductors to run those mining operations. this year, those prices are down a lot and that's not happening. the other thing is that oil prices from last year are lower, so those two sectors are weak, but otherwise, you're right, halfway through the earnings season, we have really positive numbers, somewhere between 4% and 6% the way we measure it and remember, the conventional wisdom was saying that earnings were going to fall 2.5% so they were 6%, 7% or 8% off on their numbers. that's why the market is up and it won't stop. by the way, it's doing this without a rate cut. we are going to probably get another rate cut. stuart: interesting. quick look at the ten-year treasury. the yield right now, just above the 2% level. wall street is expecting a

quarter point rate cut from the fed on wednesday afternoon. look, i think we are going to get a lot more than that later this year because the europeans are aggressively cutting rates, and we have to follow suit to some degree, don't we? >> well, personally, stuart, i wish we wouldn't cut rates. i do not believe 2.375% interest rates are too high. that's not stopping any business or any bank from doing business. so i wish we wouldn't do it. by the way, here's one of the key things that i think about. that is what we are teaching is we are teaching people that the federal reserve can fix china, can fix europe, can stop the stock market from falling even though it's not falling and that teaches people socialism. if you think about it. and i don't like that. i don't like the idea that people believe the government can come to the rescue at any point in time. what really drives growth is

entrepreneurship, innovation and creativity. i don't want to count on the federal reserve to goose the economy. stuart: i still think you will get a few more rate cuts later this year and early next year to match the europeans but that's not opinion. quickly, before you go, the july jobs report comes out friday morning. what's your number? number of new jobs created, what is it? >> probably somewhere around 180,000, 190,000. remember, these numbers that get revised all the time, there's a huge margin of error, there's 100,000 on each side, but this economy is strong. initial unemployment claims are still well below 225,000. that is a strong economy. one of the interesting things, those initial claims, they come out every week, they are one of the true realtime leading indicators of the economy. stuart: i saw that. >> they show the u.s. economy is in good shape. stuart: yes, it does indeed. historic low level for the firing indicator, as i call it.

thanks for joining us. see you again soon. let's get to the house judiciary chair, jerry nadler. he says president trump richly deserves to be impeached. listen to this. >> my personal view is that he richly deserves impeachment. he has done many impeachable offenses. he's violated the law six ways from sunday but that's not the question. the question is, can we develop enough evidence to put before the american people so we have to do this whatever time frame there is, and we are doing it now. stuart: all right. joining us now, jason chaffetz, author of the new book "power grab." why is nadler doing this? he surely knows that he's not going to be successful with an impeachment debit. >> don't you love the way he does this? we have to impeach him, i'm sure of it, we just haven't found any evidence. they just had this mueller

hearing, they have no new facts, no new witnesses, they don't have facts to put before the american people. he said that in the interview with jake tapper. i'm still trying to find some evidence to be able to do this. he is flailing, he is pandering to the far left of the party. they just went on a six-week recess. nothing is going to happen. but the true -- the benefit -- or the problem with this, i should say, is the opportunity cost. if you watch "varney & company" you are pretty savvy, you understand opportunity cost. what the jiudiciary committee i not doing by chasing this rabbit tail over here, they are not dealing with immigration and other issues that really have to be dealt with. stuart: president trump announced over the weekend that dan coats would be stepping down as the national intelligence chief. the media says the president drove him out. is that true? >> i don't think so. we owe a lot of gratitude to dan coats. his service as a senator, he served for years in a highly intensive position as director

of national intelligence. but let's remember, john ratcliffe is highly qualified. he was a finalist to become the attorney general, he's a former u.s. attorney who prosecuted solely on terrorism cases. he's been a pivotal member in the house judiciary committee, on homeland security. he looked over cybersecurity issues. he's an excellent, excellent choice and it's a good time for a transition. stuart: give me 30 seconds on trump unleashed. because i think the president is about to be unleashed. mueller's behind him, impeachment's behind him, the mess is behind him. i think he's coming out swinging. what do you think? >> he's got legs behind him, he's stronger politically than he has ever been. he's had this cloud over him, it's behind him now and we are moving on all cylinders. the economy will continue to rock and he's going to take the fight to the world and make sure that america is first. it's his strength and it's what he's doing. stuart: jason chaffetz, thank you for being here again. we appreciate it. see you again soon. check futures. it's monday morning. where are we going on this market?

well, we are going up, not much, but we are going up 19 points maybe for the dow, about six for the nasdaq. flat to higher at the opening bell. you see their products in the grocery stores all over. we are talking about goya foods. they make beans. they are the bean people. they do $1.5 billion worth of annual sales but they are private, they are a private company. why don't they go public? we will ask goya's president. he's on the show, later this hour. next hour, president trump holds a signing ceremony in the rose garden for the 9/11 victim compensation fund. when it happens, you will see it. the president is tweeting about the 2020 race already. here it is. if the democrats are going to defend the radical left squad and king elijah's baltimore fail, it will be a long road to 2020. the good news for the dems is they have the fake news media in their pocket. the democrat candidates holding two nights of debates. start tomorrow. is this make or break for joe

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stuart: pfizer is a dow component. it will merge its off-patent drug business with mylan, that's the generic drug business. we have pfizer down on that 3% but look at mylan labs, up 13%. big week for the democrats and their presidential candidates. they have two nights of debates. matt schlapp is with us. welcome back, matt. chair of the american conservative union. obvious question. is this make or break for joe biden? >> well, you know, stuart, the air of invincibility is over for joe biden. he was the clear frontrunner and now he's leading the pack, which is still a good position to be in. i think if he has another wobbly performance as he did in the first debate and he seems a little out of it, i think it's really going to be rough for him

to recover. but if he hangs in there, remember, we have a long way to go. we have six months to go before votes are cast. stuart: is it going to be -- who's going to be the major target here? joe biden or president trump? >> you know, that's a great question. i think for joe biden he would probably rather it be president trump. for all the other democratic candidates they are still aiming squarely at joe biden. they know they have to weaken him further to give one of these say younger candidates a chance. maybe bernie's not younger. maybe that's inaccurate. stuart: do you think there's any chance that the candidates will rein in their far left policies, their far left ideas, whether it's the green new deal or ending private health insurance, you name it, will any of them walk that back a bit? >> stuart, this is the question, right, which is you have asked the right question. if you look at polling, there's a reason why these democrats are going to the socialist left and it's because it's what the heart

and soul of their party wants. their nominating process on the democratic socialist side is all made up of these activists that want to see the government solve all of these problems in society. of course, we know they won't work but that's what they want. so this is happening because the activists in these early states are demanding socialism, so these candidates will not change their point of view. stuart: i think that's electoral suicide. am i crazy or what? >> well, when you have a frontrunner who can afford to think beyond the primary into the general, they think rationally. there are so many candidates, think of it, they are filling up the stage twice, and their whole goal is to figure out how to get the brass ring of nomination for their socialist party. in order to get that nomination, they've got to be hardcore left. the only thing that's a little different about that is the african-american support. joe biden has done very well with african-american supporters. they tend to have a little more

conservative views on social and family issues. the domination for the democratic party, a big piece of that is where do the african-americans go. stuart: this might be the one occasion in the last 25 years when i actually watch cnn but that's another story. >> stuart, one and done, okay? stuart: yes indeed. matt, thanks a lot. see you again soon. good stuff. iran reportedly intends to restart activities in the heavy water nuclear reactor. if this is a threat -- it is -- who are they threatening? ashley: the europeans or the remaining signatories of the iran pact who are still in the deal after the u.s. pulled out last year. iran is really feeling the pinch of sanctions and they are trying every which way to try to regain something back for their economy. they say we are going to ramp up our nuclear activities unless the remaining signatories of this pact come together and help

us, in other words, try and offload some of these sanctions, try and bring them some relief. what this tells me, of course, is what the u.s. has done has really, really put the pinch on them. stuart: i can't see boris johnson, prime minister of great britain, i can't see him doing the kow-tow of iran. ashley: he will be on the u.s. side of this for sure. stuart: all right, it's monday morning. how will we open this market? we will be up, not much, but up maybe 20 odd points for the dow and six for the nasdaq. playing video games really, really paid off big for one pennsylvania teen. he made -- that young man, he made millions by winning a fortnite tournament. what a story. we've got it for you next.

stuart: here we go. president trump on the tweet machine. here is the latest from the president. the fed raised way too early and way too much. their quantitative tightening was another big mistake. while our country's doing very well, the potential wealth creation that was missed especially when measured against our debt is staggering. we are competing with other countries that know how to play the game against the u.s. that's why actually, the eu was formed and for china, until now the u.s. has been easy pickings.

the fed has made all the wrong moves. a small rate cut is not enough but we will win anyway. the fed deals with rates this wednesday. to the fortnite championship. this is extraordinary. a teenager walked away a millionaire, multi-millionaire. tell me more. susan: he's 15 years old from pennsylvania. he is solo champ at the fortnite world cup held in new york city this past weekend. his prize money, $3 million. not bad for a 16-year-old. don't forget global e-sports revenue generated $1.1 billion. a lot of players were in their teenaged years. they make six figures on average, six figures, in your teenaged years. not bad. compared to $3 million, the u.s. open tennis championship, the winner takes home $3.8 million. so $3 million for a 16-year-old, not bad. stuart: who would have thought? susan: don't forget, global video and electronic games

revenue excluding e-sports, $152 billion business. stuart: when i retired i'm going to play fortnite. quickly, this is fascinating, united airlines going high tech trying to help some passengers get through security. i don't have to show my i.d. or boarding pass? ashley: yeah, basically what this is, either through a fingerprint or iris scan, if you belong to this technology, you can bypass the person asking for your boarding pass and i.d. that line can get pretty long at various times. you go straight to the x-ray machine. not like you can bypass the tsa all together but it gives you a head start. stuart: if you can bypass that line because it's a line to show your i.d. and boarding pass. ashley: right. it's $179 for the year. delta already has a 7% stake in this. united will waive some of these fees for its most frequent travelers. anything to get through. stuart: $179 a year. would you do it? susan: it gets you past security as well, yes. otherwise, no.

ashley: you have to put your bags through x-ray. susan: that's the part that takes forever. stuart: no, standing in line for i.d. i'd do it. the futures market shows a gain. we start the market up in about three and a half, four minutes, we will be up 30 on the dow, up five for the nasdaq. we'll take you there in a moment. jardiance asks: while managing your type 2 diabetes-

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stuart: can you hear me? i don't know. can you hear just the music? ashley: just the "varney" theme. stuart: the remake made disney the big winner this weekend. it's helping the company break box office records. wait a minute. susan: huge numbers. stuart: how much money have disney movies brought insofar this calendar year? susan: $7.67 billion so far. it's not even august yet. they have already shattered the previous industry record of $7.61 billion back in 2016. also held by disney. so far, we haven't even gotten to "star wars" which will be released over christmas. so far they made $2.5 billion on avengers, captain marvel, over

$1 billion and also lion king is nearing $1 billion as well. as well as aladdin. i could go on and on and on. stuart: that's all content for their streaming service. ashley: that's right. stuart: that's a big deal. you hear the bell. when it stops ringing, there will be trading. we are off and running. here we go. right now we opened up, very small amount, down small amount, okay, flat to slightly lower, flat to slightly higher. that's where we are at this moment. no clear trend for the dow industrials. how about the s&p 500? any clear trend of any kind, he asks? no. there isn't. it's down .9. i don't see a trend there. the nasdaq, home of the technology companies, that is down .09%. an inconclusive beginning to this monday morning. the ten-year treasury yield 2.05%. i suspect a lot of foreign money is flowing into that. we have the price of, what are we going to next? the price of gold, down $1.90 at $1434. the price of oil, still hovering

around $55, $56 a barrel. no real change there. come in, danielle dimartino booth, jeff sica, susan li, ashley webster. danielle, you watch the fed closely. the president is tweeting about the fed this morning. >> imagine that. stuart: imagine that. he doesn't want the mere quarter point cut on wednesday. he wants far more. >> he wants the bazooka. stuart: i think he's going to get it later this year. >> and that is -- that's the trillion dollar question that is overhanging markets as things stand today. stuart: where do you stand on it? >> it doesn't matter where anybody stands on it. stuart: i want to know your opinion. >> well, i think if the fed wants to uninvert the yield curve and that should be the goal here is to have short rates be below long rates, that's how life is intended to work in nature, they have to go 50 basis points. if they don't, they are going to continue on with this unnatural state in the fixed income markets and that will remain as an overhang to markets.

stuart: they've got to cut rates big-time. got to. >> right now, markets are not pricing in that september 18th rate cut. it's all contingent upon what we see come out in the next few data reports, especially friday's jobs report. stuart: i think there's going to be more rate cuts later this year because the europeans are heading hell-bent towards later rates. we can't allow our dollar to skyrocket. >> it's up 23% overvalued just the year alone. our exporters are definitely hamstrung by how strong the dollar is right now. stuart: rate cuts are coming. i think we agree. excellent. let's get to -- oh, a promotion here. on wednesday, i will join charles payne on "making money." that's his show. we have a special panel, 2:00 p.m. eastern. look at all those people, neil, maria, me. ashley: power panel. stuart: you can't miss that. okay. we will look like a democrat debate. let's get serious here. beyond meat reports results

after the bell today. it's a rocket ship, that stock. think it's overpriced just a tad? >> that is stating the obvious to the extreme. here is a stock which represents a maniacal market that is speculative, a stock that is trendy. i have been fascinated by beyond meat, fascinated by how meteoric the appreciation has been but in reality, this is just a trend stock. you have companies like tyson getting into the business, nestle is getting into the beyond meat business. when they get into the business, you will have a market flooded with these vegetable type food products that people have a choice, and they are going to eventually find out they have to lower prices in order to compete, and the margins disappear. this stock is a disaster. susan: okay. 800% up since the $25 ipo. what analysts are expecting,

wall street analysts are looking for sales to be up 60% next year. you have to gauge for yourself, does the sales growth match the valuation and some think you are paying for market share given they are the first mover out there and own a lot of market share in what's expected to grow ten times over the next decade. >> you have companies like chipotle saying it's a processed food, we can't have it in our restaurants. you are already getting pushback from the ultimate customers u don't want to see that. stuart: we spent far too much time on beyond meat. susan: it's up 800%. stuart: good point. it's up 800%. that's why you spend time on it. the dow right now after 4:30 worth of business is up 20 points, 27,200. the s&p, nasdaq, they have been on quite a tear recently, down a bit this morning. the british pound at its lowest level since 2017. traders see a lot of risk because -- makes it cheap to go over there.

everybody is worried about a no-deal brexit. going to be interesting. pfizer is a dow component. it's going to merge its off-patent, its generic drug business, with mylan. mylan is cheap because of the epipen fiasco and they are the king of generics. >> this stock was down 75% from its peak a few years ago. pfizer, which has been relatively sluggish coming against a lot of what president trump has said in terms of drug prices, they had to take over mylan. you are getting massive competition from the other generics. india has a lot of generics coming out. the margins are shrinking. i see this as an act of desperation, something they had to do as a way to maintain, to get back some of their market share, and pfizer is not unintelligent to do it because pfizer needs to be in the generic business. stuart: okay. pfizer needs -- well, they all do, really. the continued grounding of the boeing max jet hurting more

carriers around the world. you think this gets worse -- boeing this morning is at $345. gets worse before it gets better? >> it does. this is more than southwest having to pull out of newark. they are having major cuts to some international order flow and the most damaging potential aspect we were talking about rate cuts earlier, we have already got an industrial recession ongoing in this country. if they pull one of those lines down, it will have an incrementally devastating effect on the manufacturing reception. we don't want to see that but that's the point, that's where boeing is right now, talking about doing layoffs and shutting one of those lines down. that will hurt the u.s. economy. ashley: i think one of the biggest fears, if this goes on, this could go on into the wintertime which really throws off the schedules as people are flying. it's the danger of these airlines saying that's it and start turning to airbus. we have already seen that in the middle east. the saudi airline said no and moved to airbus.

that really hurts. stuart: here's something i bet you didn't see coming. cryptocurrency investors, they started receiving letters from the irs. >> i got the letter. it says hey, for one or more years from 2013 through 2017, we have not received either a federal income tax return or applicable form of schedule reporting for your virtual currency transactions. oops. stuart: was that sent to you? ashley: no. >> since -- stuart: wait a second. i always thought you get into bitcoin because you want to cover up your transactions. but when you start an account, one of these coin exchanges, you've got to give them your social security number, your real name and your address, and your bank. >> i shouldn't even say this because irs -- this is a typical example -- susan: you just got audited. >> -- of how the irs wants to

keep people from evading taxes, they are covering up bad motive, trying to make excess revenue off of cryptocurrency. >> they have to get in front of this. the federal reserve, all major sovereigns will roll out sovereign cryptos. the irs needs to be on top of this, not behind it. susan: way off the highs with bitcoin when it was $14,000. this is because of concerns over libra and whether or not they will actually go into effect in 2020. stuart: just remember, you should pay your fair share of taxes. that was clinton with a pseudo british accent. >> interesting. stuart: to europe, where the food delivery company just eat and takeaway.com are teaming up in a $10 billion deal. if this is all about going after uber eats and --

susan: amazon brought us deliveroo, uber eats, of course -- >> grub hub. susan: both of them have a $5 billion valuation. they are in advanced talks to merge at this point. they still need board approval. it would basically merge into a $10 billion company and they would deliver around 350 million orders worth around $8 billion. i covered uber and they basically deliver $8 billion worth of food every year, worth $20 billion on its own. economies of scale matter in these type of companies. you need to get as many orders as possible and get a commission on each and every one of them. stuart: quickly to apple, they report after the bell tomorrow. currently apple is at $209. it's had a nice recovery recently. would you buy it? >> no. stuart: danielle? >> no, i wouldn't. they have more debt than people realize. it's all about share buy-backs. i would like to see more innovation coming out. susan: they have $200 million -- billion in cash. >> they do, but they are not

been non-borrowers. again, i would like to see more innovation because that's what this company is supposed to do. >> rolling out new versions of old products is going to last so long. >> i do appreciate the longer battery life. stuart: america moves fast. apple was king of the hill for a long time. susan: there will be services, that's the focus, no longer hardware. a new iphone will be introduced in the fall. stuart: 9:40 eastern time. thank you very much. great having you on the show. see you again soon. check that big board. now we are up 40 points this monday morning. back to 27,234. the chief executive of a colorado marijuana retailer getting headlines after he says he was forced to pay his $3 million tax bill in cash, all cash. took it in in a suitcase. he says it's all because banks cannot do business with legal cannabis companies. that is the truth. can't do it. he joins us in our 11:00 hour.

he's left his suitcase at the irs. also at 11:00, i say president trump has had it with the constant personal attacks and name calling and he's about to be unleashed. that's my editorial right at the top of the 11:00 hour. next, though, we have the top guys at goya foods. they started decades ago with a small store in manhattan. now they do $1.5 billion a year in sales. they are private. why don't they go public? i want a piece of that. we'll ask them. more "varney" after this. this was me before liberty mutucustomized my car insurance, so i only pay for what i need. and this is me now! any physical changes to this man's appearance are purely coincidental. only pay for what you need. ♪ liberty. liberty. liberty. liberty. ♪

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stuart: 13 minutes into the trading session, a 40-point gain, 27,200. you may buy their products

in the grocery store. did you know packaged food maker goya, i call them the bean people, i hope they don't object, are a company with $1.5 billion worth of annual sales. $1.5 billion a year. joining us, are the two men who run goya. you, sir, are bob. >> i'm peter. stuart: way to go, stu. you are peter. you are bob. okay. >> yes, sir. stuart: with sales like that, and a company reputation like this, why are you still private? why don't you go public? >> it's such an honor to be here. you have a fantastic show, mr. varney. stuart: you don't have to say all of that. >> it's true, though. i just want to say hello and mention that. you know, we are having a lot of fun. we have been in business for 83 years. i started when i was 10 years old on the production line, 50 cent as hour. but we have been around a long time. we have done it all ourselves. we have a culture, we have great

people and you know, we have done it ourselves. stuart: let me jump in. you are not going to go public? is that a fact? >> there's no reason to. we have only just begun. if we are 1.5 billion today, there's so much more we can and will do, there's so much more growth opportunity. there's a lot of complications with that. stuart: you guys don't want to cash out? there's a lot of money at stake here, gentlemen. >> i'm only 65. i think we are just beginning. we paralleled the u.s. immigration, from 1936 in lower manhattan, where our grandfather started, we have grown over the years, we have followed again the latino market but the general market in and of itself, where we have locations around the globe, businesses around the globe. we are vertically integrated. we make our own containers. but also, we are involved in the community.

we are -- we give away millions of pounds of food a year. it's very important to be socially -- stuart: you are good guys. i got that. you are good guys and a great product. i got that. i'm going to give you another commercial. seems to me that you guys fit right into this vegetarian vegan movement. you are plant-based protein, aren't you? isn't that what do you? >> with the whole beyond meat thing, we are the original beyond meat because beans have protein, fiber, antioxidants, phytonutrients. the combined beans and rice, you get complete protein. we are bringing super grains from south america, quinoa. stuart: you go out there and say we're in line with beyond meat, in line with the vegetarians, i don't know whether you are a vegan product. >> beans are vegan. our products are nutritious and delicious. we have been making beans for forever.

nutritious, delicious, so that's what's so exciting about this, that we are getting our products into so many more outlets so that anybody anywhere can enjoy our products which are again, healthy and nutritious. stuart: do you two guys own it outright? all of it? >> we are part of many owners. third generation. stuart: 50% or more? >> it's still in the family. >> 100% family owned. like peter says, we are also doing organics. we are into the healthiness and but as far as ownership, again, we have been doing this our whole lives. i think if you take, you go public, you take the culture out of the business and our involvement in the community as an icon, quite honestly, goes away. stuart: you would have a lot of lawyers looking over your shoulder if you went public. you would have short sellers having a go at you as well. i understand where you're coming from. any problem with the delay in getting usmca, the new trade deal with mexico and canada, any

problem for you guys, because there's a delay here? >> you know, we have never relied on tariffs or these accor accords. nafta to me, if you use a plumbing analogy, is like a check valve in a pipe. everything coming out of mexico comes in free, for us to sell into mexico is a very difficult thing although we are selling it. united states is the second largest latino country in the world. mexico is the first. so we have over 70 million latinos. stuart: last one. i wonder if you will answer. are you trump supporters? >> i will answer that. i support and have faith in our president. stuart: okay. >> likewise. stuart: no split in the family here. okay. all right. good. >> i think the president for our economy, although government creates an environment for business to flourish and i think that's what's being done. stuart: bob, peter, goya guys,

thank you very much for joining us. we really appreciate it. good having you on the show. now we are 28 minutes into the session and we are up 27 points on the dow industrials. that's how we start this monday morning. elon musk wants you to be able to stream netflix and youtube from inside a tesla car. we will tell you all about that one. is this the end of the road for the mini van? why sales of the once popular vehicles are plunging. great stories for you today. the songwriting process. oh, here we go. i know i can't play an instrument, but this... this is my forte. obviously, for auto insurance, we've got the wheel route. obviously. retirement, we're going with a long-term play. makes sense. pet insurance, wait, let me guess... flea flicker. yes! how'd you know? studying my playbook? yeah, actually.

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so, you can really promise better sleep? not promise... prove. and now, save up to $600 on select sleep number 360 smart beds. plus no interest until january 2022 on all smart beds. only for a limited time. stuart: i didn't know this, quite a surprise to me, but minivan sales are plunging, down big-time over the past few years. lauren simonetti joins us to tell us why. lauren: because we are buying suvs. first half of this year, minivan sales are down 16% while suv sales in the same period are up 20%. here's the other issue. minivans wanted to ditch the whole suburban mom image but i think a lot of suburban moms would drive a minivan if it had four wheel drive, if you live in the suburbs or maybe it looked a little nicer. there are only five models by four companies being sold now. that's it. stuart: minivan down, suvs up. good story. next one. elon musk says soon, you will be

able to watch netflix and youtube in your tesla. how is that going to work? lauren: well, they have this beautiful screen, especially on model 3 where they are horizontal. when you're not moving, you will be able to watch netflix and youtube videos but eventually, when, and whenever this is, federal regulators give them the a-okay for autonomous vehicles, you can watch all you like. stuart: because you will be in the passenger seat or the back seat or whatever, you are not actually driving the thing. lauren: exactly. stuart: i can't ever see any regulator saying it's okay to drive and have a video -- ashley: you are sitting in the back with your family and it's driving itself, that's way beyond. susan: should be watching the roads. that's 20 years down the road according to uber. lauren: what's the point right now of letting you watch a video when the car is not moving? when is your car not moving? when you are waiting for a passenger or charging? is there really that many opportunities?

stuart: that's elon musk giving a headline that we talk about and we fell for it. lauren: we did. stuart: lauren, thank you very much indeed. attention, movie goers. pay about $20 a month and see all the movies you want. this is one of these clubs, ash? ashley: yeah, it is. unlimited movie subscription service, anywhere from $18 to $23.50 a month. you have to sign up for the app, become a member of that, but to me, we have been down this road before. remember the last time the company movie pass just imploded. interesting to see how this works out. yeah, they are going to launch it this week. stuart: 20 bucks a month? ashley: 20 bucks a month. $23.50 will be the highest. it will be tiered and varied where you live. if you live in the midwest you probably pay $18. but living in l.a. and new york, it will be a little more expensive. you pay a 50 cent fee for every time you do the transaction and no, you can't get into 3d and imax stuff.

that's extra. stuart: but everything else, you're in. ashley: correct. stuart: amc down at the moment. all right. check that big board, please. it's monday morning but we are not going very far in either direction. the dow at this moment is up 12 points. now, moments from now, president trump holds a signing ceremony in the rose garden for the 9/11 victim compensation fund. we will bring you that live when it starts. also, president trump threatening to label antifa a terrorist organization. we are on that one. and the president has been branded a racist for describing congressman cummings' district as a disgusting rat and rodent infested place. to me, the term racist has been weaponized by the left and i really don't like it. my take on that, next. your daily dashboard from fidelity. a visual snapshot of your investments. key portfolio events. all in one place. because when it's decision time... you need decision tech. only from fidelity.

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for more info. would you mind passing my book there. once again, that's... and financing is available for qualified purchasers. stuart: it is happening this hour, shortly. actually. president trump will hold an event. about to hold the event in the rose garden to sign the 9/11

victim compensation fund. when he speaks we will take you right there. first this. i don't get it. president trump describes congressman elijah cummings district as a quote, disgusting, rat and roadent infested place and promptly branded a racist. bernie sanders describe that same area as being like a third world country where resident live shorter lives than the people of north korea. nobody is calling him a race i've. congressman cummings district in baltimore is majority black but a republican president is a racist for criticizing a democrat presidential candidate who says something very similar is not. what a double standard. you can see it in the local newspaper, "the baltimore sun." trump's right, declare baltimore a disaster and rebuild it. the paper ran that headline in 2016. now they write this, better to have a few rats than to be one. oh, dear me.

the president is a racist rat for saying exactly what the paper published before? that is ridiculous! the word racist has been weaponized. it's a club, used, by the left to beat up and silence political opponents, especially the president. this is not good. for a start, it put as gag on the discussion. it ends it. as soon as you're branded a racist you're out out of the dee it is over but the problem rolls on without a solution. the baltimore had the highest murder rate of any big city last year. the second highest rate of violent crime. the previous marry signed in corruption scandal. it is a dangerous place as the president said. he is not supposed to say it? but socialist bernie can? this is democrat desperation. they need the votes of african-americans to win the presidency. so they play the race card. walk away from their own

inner-city failures and call the president names. bernie sanders will be in the debate. he called the racist. will any cnn remind him what he said about baltimore? i really doubt it. new presidential tweet. baltimore under the leadership of elijah cummings has the worst crime statistics in the nation. 25 years of talk, no action. so tired of listening to the same old bull. next reverend al will show up to complain and protest. nothing will get done for the people in need. sad. i will leave it at that. second hour of "varney & company" about to begin. ♪ >> he has never done anything for, not even one person i know of. i never heard anybody say anything about him. people talk about donald trump, donald trump, this, donald trump that why is this man taking care of people at border.

we hungry. we need places to stay. it is just sad. he worried about them than his own people. it breaks my heart to see this of the. stuart: that is baltimoreries dent. she is talking about the spat between congressman cummings and president trump. come on in rob smith, turning point usa he is with that organization. rob, welcome back. >> thank you very much. stuart: is the president racist for saying that about baltimore. >> i absolutely do not believe so i never thought the president is a racist. when you look at real thinks going on in the country, the first step act which was the most comprehensive criminal justice reform in a generation. 3,000 prisoners were released. 91% were black. low african-american unemployment. you have baltimore residents themselves saying they don't believe trump is a racist. we have to get away from this idea that every elected official, whether black, latino, of color, whatever, exists in a bullet-proof popemobile, they're immune from criticism because

they're african-american, because they're people of color. i'm very serious about that. criticizing elijah cummings is not racist. criticizing the african-american elected lead that's failed these communities in places like baltimore, places like detroit for decades and decades is not racist, when you look at what that woman was saying on camera. the people are mad. and i think that, you have to get away from all of this who is racist, who is not talk, think about the people. think about how we can help the people of baltimore. think how we can benefit, how we can up lift the communities. i'm sensitive, stuart. i'm from act crone, ohio. i'm not not a place on same level statistically crimewise as baltimore and detroit but i know what it is like to be in lower middle class area. i know what it is like to go to failing schools. i know what people in the community are saying, they need. what they don't need the country arguing back and forth what is

or isn't racist. they need solutions. they need elected officials that will do their jobs. criticizing them is not racist. stuart: this will continue. they will not stop calling the president a racist. fast forward to the 2020 election. >> right. stuart: would you like to predict what kind of proportion of the votes president will get from african-americans? last time around i pot 8% of the black vote. >> he got about 8%. the last time around president trump this, is a lot of people don't realize this, got more black votes than john mccain and mitt romney combined. i think that is a real fact. #, facts are facts. that is a real fact. i think you will see the numbers go up. talk about, i want to talk about the people. i don't want to talk about gop operatives, democrat operatives. people talk in studios like this. the people are getting tired of the democrats saying this is racist. it's a political tactic that did not work for them in 2016. they are tripling down on this. this is not goingo work for

them in 2020. there is a lot of african-american people in this country who see democrats selling them out for illegal immigrants. one of the young ladies that was in the video, some other videos i saw they will say elijah cummings talking about impeachment, talking about going down to the border, talking about illegal immigration. when are they going to start talking about the african-american people they have been failing for decades in this country? stuart: leave it at that, rob i think you said it all, lad. akron man, rob smith. >> pleasure. stuart: thank you. any moment we take you straight to the rose garden for the signing of the 9/11 victim's compensation fund. our own blake burden is there in the rose garden. what do we expect, blake? reporter: this is mon you mental day for the heroes, the first-responders who rushed down to ground zero in the immediate days and month and stayed in browned zero with all the

smoldering rubble on the ground. the issue is devastating health effects that many first-responders will continue to encounter and for years on down the line. the president will sign in matter of moments the 9/11 victim's compensation fund. so far, stuart, there have been 22,000 plus claims from first-responders to tap into five billion dollars, but the issue was going forward additional funding. making sure the first-responders suffering from health illnesses will continue to receive compensation and receive money to make sure they're taken care of down the line. this new funding will go forward to 2092. over the next 10 years or so, it is believed $10.2 billion at least will be handed out to the first-responders. here in the rose guarden momentarily the president will sign this into law. of course one of the questions every single time we're standing here whether or not he will take questions on the matter. whether or not this turns into a full-fledged press conference or

not. in any event, a great monday partisan day taking care of first-responders from 9/11 and making sure they get medical care down the line they need. stuart: blake, for my dollar, i expect the president, i don't think he can resist taking questions any and all questions from the media. we'll see about that. only time will tell. >> as he says, we'll see whatps ha. stuart: says that a lot, doesn't he? not supposed to say in journalism only time will tell. but we'll see. thank you, very much, blake. check the big board. we turned south. not by much. we're down two points. that's it. mylan, as in mylan labs, they're up big because pfizer merging their generic drug business with them. mylan is up 14%. pfizer is down 2%. there you have it. better check out beyond meat. we do it a lot these days. they report profits after the

bell this afternoon. they're down 22 bucks. that is down 9% as of now. the stock is up 800% since its ipo a mere few weeks ago. big week for money. the federal reserve announcing its rate decision on wednesday. on friday we get jobs numbers, john lonski, moody's keep capital market economist, he claims to be a economist. john, here is what i think, you tell me whether i'm right or not, i think we get a quarter-point cut this wednesday and a lot more cuts right after that because the europeans are cutting like crazy and we have to match them? >> i think you're right for this week's rate cut. looking forward the signs of probability is 70% to 1.88% fed funds rate come middle of september but by year's end they as sign a probability of just over 50% to a fed funds rate no higher than 1.63%. you may be -- one of the reasons you might be wrong with this is

because the economy strengthens that would be a good thing. europe, what a mess. 10-year german government bond yield. stuart: hold on, john. the president is speaking. >> this is an important day. we're gathering at the white house to honor our solemn duty to america's brave and best and brightest who i know so well. i will sign a bipartisan bill to fully reauthorize the 9/11 victims compensation fund. so the 9/11 victims compensation fund is something you've all worked on very hard and the day has come. today we come together as one nation to support our september 11th heroes to care for their families, to renew our eternal vow, never ever forget. before i go further this morning we express our deepest sadness

and sorrow for the families who lost a precious loved one in the horrific shooting last night in gilroy, california. while families were spending time together at a local festival a wicked murder opened fire and killed three innocent citizens including a young child. we grieve for their families. we ask god will comfort them with his overflowing mercy and grace. we're praying for those recovering right now in the hospital. some very, very serious injuries. we thank the brave members of law enforcement. they never let us down, who swiftly killed the shooter. we reaffirm our national will to answer violence with the courage, determination and resolve of one american family. we will continue to work together as communities and as citizens to stop evil, prevent violence, and protect the safety

of all americans. we're joined for today's ceremony by our wonderful vice president, mike pence. thank you, mike, very much. thank you. [applause] along with many distinguished guests. i want to begin by recognizing a leader many of you know very well. on september 11th, he declared the city of new york and the united states of america as much stronger than any group of barbaric terrorists. our strength and our willingness to defend ourselves will ultimately prevail and he was right. a great mayor of the city of new york, our greatest mayor, in my opinion, now what do i know, rudy giuliani. stand up, rudy. [applause] great job, rudy, great job. rudy has a lot of guts. thanks also to deputy attorney general jeffrey rosen for being

here. thank you, jeff, thank you very much. along with senator deb fischer and representatives michael burgess, chris collins, brian fitzpatrick, peter king, john joyce, mark meadows and dan muser. please stand up, fellows. [applause] thank you very much. thank you, peter. in the wake of the september 11th attacks courageous americans raced into smoke, fire, and debris in lower manhattan, the pentagon, and a field in shanksville, pennsylvania. the whole world witnessed the might and resilience of our nation in the extraordinary men and women of the new york fire department and the new york police department. selfless patriots of unmatched character and devotion. i grew up with them, so i can tell you that is absolutely true. always nice to really know your

subject. i know that subject. these are great people. we also commemorate the heroes of the port authority police and i want to thank you all for being here, tremendous people. the first-responders from across the country rushed to new york and worked endless days and sleepless nights. they fought to rescue every person trapped in the public. then searched for months to find remains of the fallen. the love and loyalty of our 9/11 responders knew no bounds. today we are deeply honored to be in the presence of more than 60 of these exceptional heroes. they answered terror with the emotional strength of truly american warriors. what every 9/11 responder stand up, please. all you first-responders. wow. [applause] great. thank you. thank you, fellows.

great looking group of people you are. great looking group of people, thank you very much. you inspire all of humanity and you know that. we're also greatly moved to have with us families of our fallen heroes. our nation owes each of you a profound debt that no words or deeds will ever repay. we can, we will, keep our nation's promise to you. in a few moments i will sign the 9/11 victims compensation fund. this law makes permanent the financial support for families who lost precious loved ones as a result of the september 11th attacks t also provides pensions for those suffer from cancer and illnesses from the toxic debris they were exposed to in the aftermath of the attacks. many of those affected were firefighters, police officers, and other first-responders. i was down there also but i'm

not considering myself a first responder. i was down there. i spent a lot of time down there with you. since september 11th we lost more than 2,000 and first-responders to the 9/11 related cancers and illnesses. currently thousands of men and women are battling cancer and other illnesses due to 9/11. we pledge to stand by the families of those affected today and every day. we will stand with you. i want to thank lawmakers in both parties for working with common purpose to pass this vital and critical legislation. here with us for this signing ceremony are the three families whose loved ones are memorialized in the title of this bill. new york police department detective james zadroga, spent more than 450 hours serving at ground zero. in 2006 james died from a lung

disease. to his father joseph and his daughter tyler ann, who join us detective zadrogas heroism will up lift our nation forever. it won't be forgotten. we will always remember what he did for us. please stand up. please. please, thank you. [applause] thank you, very much. also present today is the family of east meadow volunteer firefighter ray pfeiffer. i know east meadow very well. great place. for eight month ray worked constantly at ground zero. in 2017, at the age of 59 he died from cancer. here with us today, ray's wife karen, his daughter taylor, his

son terrence, now a new york city firefighter. please stand up. [applause] thank you. and i know ray must be watching over you, looking down right now from heaven on this beautiful rose garden. very, very proud of you, thank you. thank you very. the third namesake of the bill is new york city detective lewis alvarez. last month his powerful testimony in congress touched the heart of our nation. a few days later he passed from this life into eternity. we are privileged to have with us detective alvarez's brother phillip, his wife aileen, his tons tyler and ben. please stand. please. thank you, thank you.

[applause] thank you very much. i want each of you to know that america is holding you in the arms of its wonderful, wonderful heart. and we're all grieving by your side. our whole nation prays and pays tribute the to incredible life and legacy of detective alvarez, how hard he worked, how much he suffered. we really want to thank him. he was really something. people understood it very well. it was really great. thank you. we have an obligation, it's a sacred obligation to the families, first-responders of 9/11. here with us today is chief john joyce, former fire chief of the midtown manhattan firehouse. on september 11th, 15 of his men raced into the ashes of hell and gave their lives.

to this day chief joyce still mentors many of their 28 children. chief joyce spent seven months working at ground zero. in 2011 he was diagnosed with cancer. he has also endured other severe 9/11-related illnesses but the chief is a fighter. he is definitely a fighter. as he says, because of this bill he does not have to fear for the families of his firehouse whose loved ones made the ultimate sacrifice. chief joyce, you have our everlasting gratitude. please, chief. [applause] good. thank you, chief. thank you for being here. say hello to everybody. to every 9/11 hero, you poured out our heart, your sweat, your soul, everything you had for

your country. you ran toward the wreckage into a ball of flames like frankly nobody in this country had ever seen. you searched for survivors, you went back, day after day and night after night to save lives, return the fallen to their families, to rebuild and recover, to show the entire world that nothing will ever break america's spirit. over the last two decades you endured hardship with "amazing grace" and incredible grit. through it all you care and you work, and you love and you will always remember, all of those great families. you lift up our communities and you remind us all what it means to stand united as one nation ungod, for your entire lives you have gone far beyond your duty

to us, today we strive to fulfill our sacred duty to you. we love you, we honor you, we thank you. god bless you all. thank you. thank you. [applause] now i'm going to sign this bill into law and, i don't don't know if the stage will hole it, if it doesn't we're not falling very far. i would like also to ask the families and the first-responders to come up, and we'll give, we'll give this stage a shot. let's see how well built, made in america, let's see how well-built it is. come on up .

stuart: there you have it the president is signing the 9/11 victims compensation fund extension i think it is the correct expression. it supplies money to the fund and that fund will never run out. he is surrounded by friend, families, of the first-responders who will be the beneficiaries in many respects of this particular bill. as will america in general. the president made a joke about getting everybody on to that stage, a made in america stage. he thinks it is going to stand up very well. he is in the middle of it, as they arrange the photographs and signing. wonder how many pens he uses. so i can distribute the them in his left hand. uses one for each letter. he gives pens away to those people around him. i think he will probably do

that. now the question we're asking ourselves is, will the president then get back to podium to answer questions from the media. the media is there our own blake burman is there. will the president return to answer questions. ashley is shaking his head. ashley: i don't think so. you never know with the president. this is not the occasion. stuart: that is a good point, isn't it. how do you segue, how do you move from the 9/11 event and victim's compensation to answering questions about baltimore, are you a racist? who is a racist? that would be very awkward segue. ashley: not advisable but we'll see. stuart: he is holding it up. he signed it. [applause] to the jubilation of those around him. photo-opportunity for those around him. it's a an emotional moment. notice, however, jon stewart is

not there. jon stewart pushed hard for the extension. jon stewart claimed he had a prior family commitment. that is why he is not there in the rose garden this morning. the president shaking hands, greeting those around him. friends, fell riffs, family, first-responders. some of the first-responders themselves. what do you think about this, ashley? what do you make of that occasion, rose garden, special occasion, the president surrounded by well-wishers? ashley: if i was to advise him, not get into political spats at this moment. it would not look good. does not feel right. stuart: might detract from 9/11 signing? >> i think so. i think he would be criticized by a large number of people saying it was inappropriate. stuart: but then again. this president rarely walks away from a phalanx of media eager to

ask him questions. ashley: seems to me, this is kind of wrapped you up now. taking time to meet friends, family of first-responders. huge moment for them. they don't have to worry about where the money is coming from. stuart: let's reset. the president has signed the 9/11 victims compensation fund. he is taking photographs now, shaking hands with people. there is no impact on the stock market or on your money whatsoever. this is not the kind of event that moves markets. the market has not moved. up about 26 points from the time he started to speak until now. 26 up, 27,218. now this, microsoft, you may remember, we reported this. microsoft invested one billion dollars in the artificially intelligence company called open a.i. it is about next level artificial intelligence and microsoft is backing it.

greg brockman, the co-pounder i should say, and chairman of open a.i. greg, good to see you this morning. >> thanks for having me. stuart: what exactly do you do? let me see if i got this right. you do, you work with a.i. are you trying to make sure i run the machines of the future and that the machines do not run me? i'm trying to get this in layman's terms to figure out exactly what you're up to. the tell us, please. >> that is very important to us, that we think that the technology is about empowering humans. that's why we have made all this progress over the past thousands of years. but the goal of open a.i. is to insure when we can build human level intelligence, that it benefits everyone so what we're actually trying to do, we're trying to build what we call artificial general intelligence and contribute economic benefits to everyone. stuart: microsoft invested in that project a billion dollars

is that correct? >> that's correct. what will they add to this? >> the thing that is really important for making a.i. progress today computational power. you want to build bigger and bigger supercomputers. we're working together with microsoft to build unprecedented supercomputers. >> how far are we away from what you call human level intelligence? >> the timeline is hard to predict. the process by which we're going to get there is easy to predict. what open a.i., we're making a series of increasingly powerful a.i. technologies. this year we built systems that can read and understand text, generate text, mako inherrent arguments. we beat the world champions at one of the hardest e-sports games. each year you expect us to see unprecedented technologies produced by us. stuart: what will i then use, your capability that you built? what will i get out of it?

>> well, so, the, for general intelligence, the reason we need it is to solve problems that are too complex for humans to solve. so the kind of thing that we look at, for example, medicine. the way that humans approach medicine through increased specialization. i have a friend who right now is going through medical procedures where he gets an ultrasound from one doctor who can't even read the ultrasound, he has to go to another one who can read it but doesn't have context and i think we cannot solve this problem through normal human means. this is why we need very advanced technologies that can understand many domains, to intigrate information across them. stuart: is america ahead of everybody else when it comes to a.i.? >> we are today. stuart: and, okay, are we ahead of china? >> so today we are. i think we are very much leaders in the space. open a.i. in particular is really leading this innovation. stuart: open a.i. is a private company? >> that's correct.

stuart: any plans to go public? >> so we're not going to go public or at least that is not exactly what our plan is. i think future is uncertain but the thing that is certain the way our corporate structure works which is atypical. so investors are owed a fixed return. so the way that we think about it, if you look at the top 10 companies in the world today by market cap, seven are technology companies f we succeed at building this kind of technology, if anyone succeeds at it, we think that company will be by far number one. it is really important that value doesn't get locked up in one place but goes to everyone. stuart: greg, thank you very much for joining us this morning. i think i got it. i'm not a technical kind of guy, i understand what you're about or try to do. thank you, greg brockman. open a.i. got it. check the big board again. there is not that much movement. s&p, nasdaq and dow to some

degree close to all-time record highs. they're staying right at it. we do however disney at a new high. look at that. $146 a share. earlier susan brought us the story so far this calendar year, disney movies have brought in an incredible 7 -- susan: 7.67 billion. that exceeds their previous record of 2016. it is only august mind you. stuart: they have "star wars." susan: "star wars." thanks to avengers, captain mayor develop and "lion king," 45% of the box office receipts. stuart: all of that is content for streaming service coming on later this year. 146, disney. i didn't see that coming. now this, the new budget deal is, will give the defense department more money next year. the budget deal gives the pentagon more money. joining us the former deputy

assistant defense secretary. roger, you say this is a slam dunk for the defense department but i'm reading a lot that says the military is not getting all the money it needs. what do you say to that? >> thanks for having me on. you're correct. the military requires resources year-over-year but the reason why i think this deal is a good deal, one that the pentagon should embrace because it does a number of things. it ends budget uncertainty. gives them more money than the president of the united states requested. sequestration where it goes away forever. stuart: that is a big win, i can see that, but more money would be appreciated. got it. dan coats, he is the director of national intelligence. he resigned over the weekend. he is on his way out. i hear comment president trump pushed him out, he was responding to criticism by president trump. that is why he is leaving. what do you know about this? >> i cannot comment on inner-workings in the white house between the

president and director coats. what i do know he served about the average tenure of most political appointees. he was widely supported not only by the president of the united states in a tweet that went out yesterday but bipartisan members as well. his successor will be expected to do the same thing. get the president to support the intelligence community, have the support of the u.s. congress. stuart: are you worried about the turnover rate at the defense department? i can't recall exactly how many defense secretaries we've gone through but mr. trump has gone through quite a few? >> there has been a little bit of -- but we have the dense sec. stuart: there is a rom, that sure has to be a problem. >> absolutely. you're right to point it out. it is less of a problem at the defense secretary. we have the break between secretary mattis and secretary esper with the acting secretary. the bigger problem, interior officials, deputy secretaries,

undersecretaries, the president held off on getting those people confirmed until they had a confirmed secretary of defense. it's a problem, i think will be corrected with secretary esper confirmed. stuart: roger, thanks for joining us. >> thanks for having me. stuart: thanks for joining us indeed. i got to say, we had the president on a moment ago. he did not, at this point he has not answered questions from the assembled media. he left the rose garden. got it. president trump may designate antifa a terrorist organization. they're the people in black on the left-hand side of the screen. what is going on? ashley: certainly considering it. he put this tweet out over the weekend concerning antifa. if we can show that. consideration being given to antifa, gutless radical left whack-jobs who hitting only non-fighters, people over the head with baseball bats, a major organization of terror, along with ms-13 and others, would make it easier for police to do their job. we chronicled what these people

have done. they wear masks. and they attack anyone they perceive as representing the conservative movement. stuart: we ran that video of the young man, mr. gno. beaten, attacked robbed. ashley: absolutely disgusting. stuart: four or five weeks later on, no arrests. he doesn't know, injuries man caused. ashley: portland mayor, so many people are culpable. they let it happen, all because they did not like this person's political leanings. how can that be okay, in a country bases itself on freedom of speech? stuart: i don't get it. how can a beating like that go with no response from the police for. ashley: that is terror. just terror i believe. stuart: thank you, ashley. ashley: sure. stuart: now this, millenials say they are struggling to save money. this is another of these surveys. susan. susan: here we go. the largest generation in america, millenials, from money under 30. they found that 3/4 are carrying

debt. more than 50% are getting help from their parents. guess what, in terms of savings, 40% have less than $1000 in the bank. in fact 2/3 have less than $5000, 13% have no money at all. you will like this. go ahead. go ahead. let's go. millenials. stuart: sounds like it's a criticism of the financial system but in fact it's a criticism of millenials. if they want to consume rather than save, okay i hear you. but that is your choice. susan: i am vicious, lazy insensitive. stuart: i did not say that. susan: different, compare it to 30 years ago. it is different now because we have more, for instance, college debt, 1 1/2 trillion dollars in student debt. up from 600 billion. those that owe 100,000 quadrupled in the past year. look, rents are going up faster than wages are.

how do you expect us to save a down payment for a home part of the american dream when property prices gone up astro momally over the past 20 years. 46% get help from parents each and every month. turn to the parents before they go back to the bank or friends, grandparents. what do they ask? not a lot. cell phone bills. number one payment. groceries. rent is third. insurance, gas, around top five. stuart: they're not paying for their necessities on their own. groceries are necessity. cell phone is necessity. susan: would you argue that the parent are enabling them? stuart: i would argue that, yes. susan: ask for a handout. who is at fault here. is it child or parents? stuart: is this why millenials lean socialist? free stuff? susan: if you're saddled with debt, nice when someone else wants to pay it off, at least it sounds nice. stuart: thank you, millenial.

thank you very much. another one, louisiana declaring a state of emergency after cyber criminals hacked school districts. oy, we've heard this before. ashley: it has become a massive problem. three of the state's school districts have been hacked. basically their computers held hostage. they are powerless to do anything. this shows you wave of attacks from atlanta, baltimore, several cities in florida. they're increasingly targeting these state and local governments with ransomware tools. they're very vulnerable. in many cases they end up paying ransom, whatever it be. stuart: you pay the ransom in bitcoin. ashley: correct. stuart: frequently, not always. i don't see how you can -- why on earth can't we regulate bitcoin, if it is being used for ransom demands. ashley: what steve mnuchin was saying the other day. this is what criminals use it for. susan: people buy bitcoins because it is not tiered or tied

to a single government and their policy. stuart: you can't regulate that? you can't do that? however i digress, do i not? supreme court cleared the trump admin operation to use billions to build the border wall. when does construction begin? tom homan is next. box is a delivery business that gets wholesale products to your home at bulge prices. think of them as costco on wheels. the guy on the show today. good show, today. ♪ ance, so you only pay for what you need. nice. but, uh... what's up with your... partner? not again. limu that's your reflection. only pay for what you need. ♪ liberty, liberty, liberty, liberty ♪

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price movement this morning, this monday. we're up 23 points on the dow at 27,200. the supreme court approved using pentagon money to help build the border wall. tom homan, former acting i.c.e. director is with us this morning. that money, will it be put to work fast? is it going to be used to build quickly, tom? >> yes and it is my understanding there has been contracts put on hold, contracts already let, just waiting on funding. as soon as funding is cut loose, they can start replacing dilapidated walls plus new wall. they're just waiting on the money. stuart: is that a big win for trump? >> that is a huge win for trump. i mean, it is unfortunate they had to go all the way to the supreme court. it would really be nice if congress would step up to the plate, you know what? we'll do what we have done the last two decades, to fund border barriers. they ran away from that under this president which is

unfortunate. he won. he will keep winning. i appreciate him being there, fighting the fight. stuart: i want to go back to some commentary that we had. i want you to listen to this from congressman elijah cummings began with him yelling at borer officials. your reaction. roll tape. >> you feel like you're doing a great job is what you're saying. >> we're doing our level best in -- >> what does that mean what does that mean? when a child is sitting in their own feces. can't take a shower. come on, man! what that's about? none of us! would have our children in that position. they are human beings. ashley: in your district? stuart: tom, what would you have said if you had been on the receiving end of that tirade? because i know, when you were testifying you gave back as good as you got? >> i would have gave back.

i wish he would have asked him that question, i would ask him, do you think you're doing a good job. before you point your finger at me, look what you have done and not done. the reason a child is being, being held in border patrol facility longer than he is supposed to because you failed to fund the supplement for weeks. and even after the border patrol and secretary mcaleenan kept begging we're in a situation broken, that needs help, we need to move the people quicker, money, they have ignored it. if a child is going to bathroom in his diaper that is normal. most children go to bathroom in diapers. the reason detention centers are in bad situation because you failed to fund the supplement to the get the people to the right facility. the reason whole border crisis, mr. cummings, because the democratic leadership failed to close loopholes causing people to come. if you closed loopholes when we asked you, there wouldn't be

border surge, zero tolerance, wouldn't be family separation. how do you think you're doing in your job, mr. cummings? stuart: that is a pretty good response, tom. i am glad you made it on this program. we appreciate it, tom homan appreciate it as always. you come again real soon. thank you, time. >> thanks for having me, stuart. stuart: the second round of democrat debate starts tomorrow. cnn has has a new rules for moderators. one of the moderators is don lemon, no fan of the president. that is an understatement. netflix has a new documentary on facebook, called, "the hack." the it is about the cambridge analytica. this release comes after cia veteran said, facebook knows more about you than the cia ever will. what a story. we've got it for you next hour.

♪

stuart: they moved up a little bit.

27,238. now tomorrow an wednesday night cnn will host the next round of democrat debates and cnn has a few new rules like, not allowing yes or no questions. and they have banned the raising of hands during the debate. you can't say who is for private health insurance, hands go up or down. not this one. howard kurtz is with us, media buzz host. howard, why do you think they have got the new rules? >> hard to figure out, especially the other rule where cnn is saying, 20 candidates, all will make opening and closing statements which shrinks time for debate. i don't want to hear their canned little pitches. cnn, msnbc, first round debates totally caved the democratic national committee allowing to set thresholds. in other words you have to be polling a certain amount, raise a certain amount of money from donors. i don't want to see all this airtime eaten up more than half people who don't have a

snowball's chance in hell from winning the nomination but those are the rules what dnc said. stuart: no yes or no questions, no raising of hand, it seems to me cnn is trying to protect the democrats from going even further to the left? >> not so sure about that i will raise my hand and say not so sure about that i'm not a huge fan of anybody who is against racism, raise your hands. at the same time, while rule it out. why announce in advance the candidates won't have to do that? you know, wait and see how they do in the debates. but all of these rules i think will make for less incisive debates which already are overcrowded because you got so many people. i'm sure america is dying to see more of andrew yang and marianne williamson but they're not going to be president. stuart: i'm dying to hear more from them. but i'm not ready to pay for $300,000 for the commercial on this debate? >> i'm pro-capitalism.

get away whatever advertiser will pay there are big audiences. stuart: okay. cnn host, don lemon, a trump hater, he will be one of the debate moderators. howard, i don't get that? >> i think the choices of rachel maddow in the first debate by msnbc and don lemon, kind of make as mockery these are news events. don lemon goes on his show, he is opinion guy, that's fine, he goes on his show every night calling donald trump a racist, horrible human being, he asked questions alongside jake tapper. fox doesn't have any debates, the network is so biased can't possibly be fair. no one in the mainstream media, don lemon is pretty opinionated liberal guy, president is racist, maybe he is not the right choice. it is cricket. if fox had a debate, put you on with bret baier and martha maccallum we would hear

media criticism. stuart: on an opinion guy. journalists, news people should ask the questions in an independent fashion. let me go back to this for a second. you think there will be a big audience for this on cnn, democrat debate? >> i was surprised, you know i think there is heightened interest in the politics in the trump era, i was surprised 18 million people tuned in for the second of the two debate on msnbc. we never used to see those kind of numbers. not so much whether it is on cnn. that is the show people interested in politics will watch. maybe there i will was dip. people want to know how joe biden will do? will he bounce back from the pretty bad performance last time when kamala harris takes him on. stuart: i have a feeling fox was putting it on the audience would be double. just my personal opinion. that's it. don't pay any attention to my personal opinion. >> you never know. stuart: never know. that is true. howard kurtz, good to see you.

the twitter developer who created the retweet button says he regrets it. susan: this is important. debates spark a lot of conversation. the twitter sphere will go crazy on debate night. the man who invented retweet button, chris weatheral, had interview with buzzfeed, it was a bad idea. we hand ad 4-year-old a loaded weapon. retweeting misinformation. it gives a weapon to bad actors like russia. i would like to point out twitter had record earnings just last week. daily active users went up to 139 million. some can say the social media site can save the u.s. president saving it out you you will of doldrums. stuart: the stock is above $40 a share. that's a fact. >> the mueller show is over. the economy is prosperous. we're a prosperous country.

president trump, my opinion, i think he is about to be unleashed. my take on my opinion top of the hour to come. how about this? facebook knows more about you than the cia. that is a real headline. we have the full story for you. next hour also, a man who runs a pot business in colorado, paid his tax bill, $3 million, all in cash. he is going to tell us how he did it, why he did it in the third hour of "varney," which is next. ♪

stuart: i get the impression the president has had it up to here, as the saying goes. and why not. he has every reason to be enraged by the constant personal

attacks and the name calling. think about it. the economy's doing very well, we are a prosperous nation again, the mueller show is over, the impeachment show is over, sections of the wall are being built and there's more to come. china is reeling from trump's pressure. the special relationship with boris's britain looks promising and our president is going up in the polls. enough with defense. i think he's about to be unleashed. you ain't seen nothing yet. he will attack the abysmal record of the democrats running america's biggest cities. he started this morning with a tweet about elijah cummings' district in baltimore. incompetent leadership, he said. al sharpton is going to baltimore. the president tweeted that the reverend al is a con man. another tweet this morning attacks the squad. if the democrats defend this radical leftist group he says it will be a long road to 2020. tuesday and wednesday nights is the democrats' debate, round

two. cnn hosts. you are bound to hear more talk of killing private health insurance, killing the oil and coal industries, open borders and yes, of course children in cages. gee, you think the president might have a sharp edged response? i do. slowly but surely, the tables are turning. the president no longer has to play defense. the mueller hearing was a disaster. the democrats had pinned their hopes for impeachment on him and most importantly, the economy remains very strong with plenty of jobs and rising wages. he's primed to go on offense. he's going to catch the democrats at a vulnerable time. they're split and they turned socialist. those of us who want a more muscular defense of capitalism and our constitutional republic should be very pleased. the third hour of "varney & company" is about to begin.

stuart: all right. reaction to my editorial in a moment. first, check the big board. go nowhere day. there's not much stock price movement. seven dow components are on deck to report their earnings. 159 s&p companies later this week. the fed of course. so what you've got now is kind of a go nowhere market on pause, waiting for the numbers. let's get right at it. jeffrey cleveland, chief economist at payden and rygel is with us now. i keep getting these things wrong. i'm sorry. it's my age. >> you nailed it. stuart: i think the president is about to be unleashed and it is the economy which is allowing him to be unleashed. where am i going wrong on this? >> i think you could be right, stuart. i mean, i'm keeping score here and if you go back to q1, first quarter gdp, a lot of the pundits and commentators and

many economists said we would see a severe slowdown because what boosted q1 gdp would not repeat. the trade boost, we had a boost from international trade and a boost from inventories. the consumer was week in the first quarter. but lo and behold, second quarter gdp comes out friday and the consumer is back. do not underestimate the u.s. consumer, with the unemployment rate low, layoffs low, we continue to see the consumer spending at a good clip. that should bolster growth through the second half of the year. and if we can just get some help from, say, housing, residential real estate investment into gdp, i think we can continue to grow well above 2%, maybe even closer to 3% in the second half of this year. stuart: talk to me about rates, because wednesday, we get the decision by the federal reserve. currently we've got the yield on the ten-year treasury down to 2.06% and this morning, president trump really went after the fed in a twitter

storm. here's part of what he said. the fed has made all of the wrong moves, a small rate cut is not enough but we will win anyway. so what do you think? a quarter point cut this wednesday? i think there's going to be a lot more cuts this year after that. what do you say? >> well, i think it depends. a quarter point cut this week i think is on the table, will happen. more than that, a 50 basis point cut, i see low probability of that but we can't rule it out entirely. the question though that you had, will we see more, will we see a series of rate cuts over the next 10 or 12 months, i have my doubts. here's why. we just talked about the health of the economy. with gdp running at 2.5%, maybe even 3%, with the unemployment rate at multi-decade lows, with inflation low and stable right around 2%, i don't see a case for cutting rates dramatically. we're not in an economic

emergency here. stuart: let me explain why i think there's going to be more rate cuts. it's because of europe. europe is aggressively cutting rates, aggressively printing money, they have got a negative yield on $13 trillion worth of bonds. if they keep doing that and they will, our dollar keeps going up and that's a problem for the federal reserve. i think the fed has to keep pace with the europeans, with a series of rate cuts still to come. where am i going wrong? >> well, remember 2017, stuart. the fed was hiking throughout that period, the ecb across the pond was on hold with easing and the u.s. economy did quite well. so you can have an environment where the u.s. rate structure is higher and the u.s. economy holds up. it's hard for me to believe that at, say, 2% on overnight rates or as you mentioned, 2.06% on the ten-year treasury, that interest rates are acting as a severe brake on the u.s. economy. i think the u.s. economy, i guess i have more faith in the u.s. economy.

it is in good sthap. the consumer is strong and that will continue over the second half of the year. stuart: all right. stay there for a second. i do want to tell our viewers we have special coverage on wednesday afternoon of the fed decision. charles payne along with myself, maria, neil and lou will all be there, 2:00 p.m. eastern wednesday covering the fed's rate cut decision. if it is a rate cut. we shall see. all right. i want to bring in jackie deangelis for an update on the situation in hong kong, because it continues. it sparked an aggressive response from the police in hong kong. to me this is mainland china with a huge problem here. jackie: it's getting worse and the expectation was hopefully it would get better so this weekend, you can see the pictures there, tear gas, police using shields, thousands of protesters taking to the streets. this has been going on for two months now. it started because of that extradition law which the chief leader of hong kong then backed away from and thought it would tamp things down. now it seems the protesters are asking for more liberties.

it's not just about extradition. they want more independence. they want to be separated a little more from china. you're right to point out that this does cause a larger problem in terms of what the territory's future is. stuart: you know, i have lived . to see this kind of disruption is quite extraordinary. i have never seen anything like that before. ashley: they see the writing on the wall. that's the problem. jackie: it's a huge financial hub and already there are surveys saying there are people backing away from wanting to invest there. stuart: i want to bring jeffrey back in on this. two points to be made. number one, hong kong is a huge financial center and it could be wrecked if this kind of demonstration keeps going. number two, xi jinping's got a real problem with hong kong and i think that might influence the trade talks. what do you say? >> well, i don't have a lot of hope or expectation that we are going to have a trade deal any time soon. my base case is just the status

quo persists for the second half of the year, then that is weighing on the activity. we see it showing up most notably in the global pmi index data which we will get a whole slew of on thursday morning, for pretty much the entire world. but 18 of the 30 key countries that we follow have been seeing contraction in their manufacturing sectors. that is due in part to the uncertainty globally, the trade dispute, but also the geopolitical uncertainty we are seeing play out. that is a little bit of a concern. earlier i was very rosy about the prospect for the u.s. consumer and u.s. economy, but the risks that i would highlight would be global manufacturing and the knock-on effects on business investment globally. you do have some risk. stuart: you can disagree with me and you may still come back on the program. it's not a problem. i don't take offense at these things. you're a good man. you might be back. jeffrey cleveland, good man. >> have a good week.

stuart: i shall indeed, promise. a new feature coming to tesla. tesla cars, that is. you will soon be able to stream netflix and youtube right on to your car's center console. if you see the tesla thing, nice console in the middle there. of course there's a catch. we will explain it to you a little later. coming up this hour, we are talking to the ceo of a legal marijuana company in colorado. when it came time to pay his taxes he showed up at the local irs office with $3 million in cash to cover his bill. he wants the banking laws to change so he can write a bank check. senator kamala harris, the latest 2020 democrat to release her medicare for all plan. she says she wants to pay for it with a new tax on wall street. more "varney" after this. ♪

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♪ stuart: ah, yes. it's just another merger monday, to be more precise. pfizer has announced it will be absorbing mylan. mylan makes the epi-penepi-pen other generic drugs. the company would have revenue of some $20 billion. mylan up 8% now. pfizer is down 2%. got it. next case. senator kamala harris unveiling her new health plan this morning. it's not as radical at bernie's. you can choose between a government plan and your own private insurer. she wants to use a tax on wall street transactions to pay for it all. cassie smedley, rnc deputy communications director, is with us now. look, i know you don't like medicare for all but you tell me, describe for me, please,

what is the republican alternative? >> well, the republican alternative is already happening. we know this is complicated. president trump has said that much and he said he's going to continue to work on it but look at what this administration has already done. we signed a bill last fall to reduce drug prices and bring more transparency. we have seen prescription costs go down under the president's administration. this is something that he's going at day after day after day incrementally and the other issue we can't neglect here is what he's done on the opioid crisis, which we know is a big driver of costs, because it's plaguing so many communities in our country. stuart: okay. you may have heard my editorial at the top of the hour, trump unleashed. after all, mueller is done, impeachment's winding down, i don't think it's going to happen, and the economy is on a real roll. i think president trump is primed to go on offense. i'm sure you're not going to disagree with me, are you? >> i'm certainly not. but why not? he's got a lot of accomplishments to tout and people need to hear that from him. they are not going to hear it

from the casual observance of mainstream news which we talked about, 90% plus negative news coverage of the president. but there's a reason that people are feeling good about things in the country right now. it's because of the results of the president and his administration. and as you've got democrats going into detroit this week, of course he will go on offense to say don't forget, as they go out there and tout these radical agenda items that are taking us backwards and to the far left, look at what we have done together and the momentum in our favor, from your kitchen table to our communities to our country and the world, we are leading the way and americans are winning as a result. stuart: in a debate, democrat debates tuesday and wednesday nights, who is the bigger target, joe biden or president trump? >> well, it's hard to say. i think for those democrats who find themselves at the very bottom of the debate stage, they are going to need to fight amongst each other to claw their way to the top so they can stay onstage. it's a toss-up for them. the point is, they are all going to be chasing each other to the

left all night long and every time they do that, that's a win for president trump. that's an opportunity for him to go on offense yet again and say why would you vote for that when what we are doing here is working for you. that choice is so clear, every single time they get onstage. stuart: you think he will be tweeting during the debates? >> well, why not. i think we can expect to hear from him. certainly we will have our teams out at the rnc and i know at his campaign because there will be a lot of things to fact-check, a lot of moments they will double down on. we can't wait to spotlight those moments for the american people. stuart: i'm sure you've got a room somewhere where you are accumulating sound bites of everything that's been said and you are waiting for the president to be unleashed with his twitter machine. it's not a twitter machine. it's a twitter account. sorry. trump versus congressman cummings. put racism aside for a second. that's a nasty label. put that on one side. do you think the president, any president of the united states, should be going after a

congressman in this particular way? >> well, the point that he's trying to make is there's a lot happening in baltimore and many other large cities around the country that gets ignored. things are not going well there for these people in these communities, and to the point of congressman cummings, he spent so much time going after president trump and his point is why don't you focus on what's happening in your own neighborhood. this is a problem we can work together on it, you saw it in his tweets, he said i've got a beautiful office, an oval office that you're welcome to come in if you want to work on this together but stop spending your time on baseless investigations when your own constituents are hoping you spend a little more time looking out for them. by the way, as it has been noted in the time since this all first started, president trump is hardly the first to point out issues in that community and i think by him pointing them out, we now may be on the forefront of getting something done. clearly, others have pointed it out, have been unsuccessful in actually getting positive change for the great people of this community. stuart: cassie, thank you very much for being with us.

i know you will be watching the debates. i will be eager to hear your reaction to them. thanks very much. good stuff. check that big board. we have moved up a little. you could say the market's on hold as we wait for these new earnings reports and the federal reserve, well, we have broken out a little bit. we are up 70 points, 27,263. oh, please, look at the nasdaq. this is the home of the technology stocks and it is down sharply. well, look, 58 points down on the nasdaq, just as the dow goes up 70 points. there's some problems with technology this morning. certainly their share price. united airlines going to let some passengers use fingerprints and eye scans so they can get through security faster. question, how much privacy are you willing to give up in order to get to the gate a little quicker? we are on it. big name from the original "top gun" didn't land a part in the sequel. we will tell you which star lost

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you should be at least a two-star admiral by now, yet here you are, captain. why is that? >> it's one of life's mysteries, sir. stuart: isn't that a great line? it's one of life's mysteries, sir. the trailer for the new "top gun" sequel. there's news on it. kelly mcgillis, the heartthrob love in intereterest of maverice original movie, was not even asked to be in the new film. she's not bitter about it. she made a decision to leave hollywood all together. gone. to focus on her own wellbeing. barely keeping in touch with the original cast. all right. next one. disney, the stock hit an all-time high earlier today. it's still right up there, almost $147. why? they are breaking big-time records at the box office. jackie, you tell me how much of their movies, disney movies, how much have they brought in just

this calendar year so far? jackie: so far, just this year, a little bit under $8 billion. if you can imagine in terms of the market share of what's come in, to this point of the year, they've got 45% market share. they are just hitting it out of the park with the popularity of their titles. you had avengers, captain marvel, and of course, the lion king right now which continues to smash through records. stuart: that was 45% of global box office receipts. jackie: yes. stuart: disney's got a 45% chunk. that's quite a monopoly or certainly dominant. jackie: toy story 4 down the line, too. it's not even what's happening now, it's what's in the pipe. stuart: i keep saying that is content for the streaming service that starts later. ashley: the gift that keeps on giving. stuart: let's talk tesla. all you owners out there, you will soon be able to stream netflix and youtube on your car's center console. that's what elon musk says. but come on, there's a catch. ashley: always. you can't drive and be watching

your netflix or youtube, whatever you want to do. you still have to be pulled over and parked and some vehicles already have this. on the latest models, the model 3 and upcoming model y it's the vertical screen. it will be a nice screen to watch on. they are going to put this option into their vehicles from maybe later this month onward which is kind of cool. but elon musk says no, you can't drive, it's just not safe of course. he says i do foresee a day when you will be able to sit in the back with the family and watch something on netflix in an autonomous car. jackie: the car will be driving itself. ashley: correct. stuart: you've got a nice screen and occasionally you do, you know, it's nice to sit in your car -- ashley: waiting for a friend at the airport. stuart: exactly. happens to me all the time. ashley: yeah, right. stuart: all right. bad press for the e-cigarette company juul. a congressional testimony, juul reportedly, a young man said this, juul sent representatives to high schools to tell kids the

product was totally safe. we are going to talk to an early juul investor. does he now have buyer's remorse? we are talking to one of our favorite ceos from boxed. coming up after the break, i want to know how much bigger can he grow his company without taking it public? he's after this. ♪ this is the couple who wanted to get away who used expedia to book the vacation rental that led to the ride ♪ which took them to the place where they discovered that sometimes

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stuart: compare and contrast two exchanges. first of all, the dow industrial average is up 78 points. that's better than a quarter percent. now look at the nasdaq composite. looks to me like we don't have much of a showing for technology this morning. the nasdaq is down two-thirds of 1%. obviously there's a discrepancy between the dow and the nasdaq, going in opposite directions. check dunkin' as in donuts. they are scrapping the use of foam cups. they want to be using a double-walled paper cup for your coffee. they are looking to get rid of styrofoam all together by mid-2020. no impact on the stock at all. next case. e-cig maker juul. here's a story. executives on the hill last week

all over whether their product should be regulated more harshly. first off, listen to what some high school students told congress about what a juul representative told them. roll tape. >> did the presenter ever say that juul was safe? >> yes. >> did the presenter call juul quote unquote, totally safe more than once? >> yes. stuart: whoa. come in, greg smith, who is or was an early juul investor. weren't you? >> i was. good morning. stuart: you've got a problem. juul's got a problem here. >> i want to begin by stating something that fda director said to me and others in the fall. he stated that if every american were to switch to e-cigarettes including juul, we would save 15 million american lives. i think it's a very positive public health benefit. yes, we need to keep this product as we need to keep every tobacco product out of the hands of youth. stuart: yeah, but you're going to have -- all hell is going to

break loose. when these youngsters were saying look, we had these representatives from juul, the company you invested in, telling us it was safe, going into high schools, that's like red rag to a bull. you've got to expect some harsh regulation. >> look, juul has been really on the front end of trying to address the youth smoking problem, and they have taken every action, they have removed flavors from 90,000 stores in this country, they have never sold a flavor, you know, labeled gummy bears or cotton candy. they are adapting technology including some of the best technology in the states to prevent tobacco getting into the hands of minors. and we definitely need to promulgate and pass tobacco 21. we need to keep this -- stuart: so you have absolutely no buyer's remorse whatsoever? you are in, in early, and staying in and happy? >> i witnessed my grandmother, god rest her soul, smoke two packs of unfiltered cigarettes every day for her life. she had many illnesses, more

times than i can count. seeing this product come to the forefront and save american lives is a big public benefit. if you look in the uk where e-cigarettes are very pushed upon their citizens, there is no youth smoking problem there. this will be solved here by keeping it out of the hands of minors and with technology and better education. stuart: now, you are also an early investor in beyond meat. >> yes. stuart: around 4:00, we get their latest results. >> it's going to be a busy day. stuart: what do you think is going to be in this report? >> well, i have a great surprise for everybody. this is a real treat. i have been able to get a copy of the "wall street journal" from the year 2030 and the headlines read san francisco today becomes the first city in the u.s. to ban the sale of beef meat driven in part by animal activists and the climate change -- stuart: you better tell everybody that is a fake. >> fake news but i think if you look at plastic straws and sodas and e-cigarettes, this is where

it's going. today's earnings release from the company, i would expect to be very positive. you see the huge amount of orders they have gotten since their ipo. what's more important to watch versus today's earnings is the news of more qsr units like d k dunkin' donuts. do we see starbucks and mcdonald's. that's more important than revenues. i think wall street has done a very bad job in pricing high growth companies and they continue to do a bad job. stuart: all right. now, at the moment, the stock is valued around $200 a share. i don't know what happens after the earnings, i don't know, but $200 a share. would you like to tell us how much you paid when you were an early investor, per share? >> i paid before the ipo price, but i can also tell you that i recently bought more stock above $200. stuart: tell me the early price. how much? >> the early price was under $25 a share. stuart: you paid less than $25 a share. the stock then went public. >> yes. stuart: you made a small

fortune. >> yes. stuart: you put some more money into it. >> i have conviction. again, i say wall street is bad at valuing these high growth companies. here's a company that can continue doubling. you have an enormously fast-growing market and they are going to continue to adopt and get more consumers. so you are going to see more plant-based companies come on to the market. another company i love is ripple foods in the dairy market. you will see more and more of these companies evolve and take wallet share from traditional non-plant based -- stuart: you are advertising ripple foods and your stake in it and telling the world that at some point it will go public and be a good deal. is that what you're saying? >> i certainly hope so. we are going to see a growing market. we will see more competitors come in, whether tyson, impossible, and the market will continue to grow. stuart: you are a diplomat. very good defense of juul and aggressive position of beyond meat. now you are touting ripple foods down the line. >> look, no child should be smoking, but -- stuart: you make a fortune off this program. ashley: here we go.

stuart: you're all right. thanks for joining us. >> thank you for having me. stuart: next case. one of our favorite ceos, the man who runs boxed. that is a company that ships bulk items straight to your door. it's kind of like an amazon crossed with costco. that's what he would like it to be. they have just received another $111 million in new funding. a lot of it from japan's largest grocer. the man in question, favorite guest, chieh huang, boxed ceo. welcome. >> thank you for having me. i shed a tear back there when you said one of our favorite ceos. stuart: you did not. you loved it. >> no, listen, i was listening to gregg talk. drinks on him afterwards. stuart: we are going to get back to the original story which has always been contentious between us. you raised money not by going public. you don't let me have a chance to invest in this phenomenal company. no, they go to a japanese grocer

to bring in the money. you will never go public, will you? >> i think we will at some point. stuart: why haven't you already? >> we had another line of business that we are growing so we are really working in how we can help them with their e-commerce effort so outside of just selling toilet paper, paper towels and chips, we are now going to start kind of licensing some of the i.p. that we have built. stuart: another advertisement. now wait a second. your product line is paper towels and toilet paper and diapers, that kind of thing, yet the name of the game in your entire industry is reducing the delivery time, faster and faster delivery. i don't need fast delivery of a 12-pack of paper towels, do i? >> i would say not the 12-pack. we really see a bifurcation of when you need what. the single roll of toilet paper, you want that yesterday but the 12-pack, 24-pack, no one is saying i got to stock up in the next 30 minutes.

so with that said, we still are always thinking about the consumer and so we definitely have lowered our delivery time. now 90% plus of our customers get their boxes in two days or less. 45% get it overnight and in five cities, you get it in as little as two hours. stuart: when you started on this program, when you first came to see us, you just moved out of your garage. >> literally. just out -- stuart: only about five years ago, i think. something like that? >> about five and a half years ago today. we are still sitting in our garage. literally five and a half years ago, we were sitting in a garage in central jersey. stuart: wait a minute. you've got warehouses all over the place. >> that's right. it is a testament to the kind of business environment and also catching the right idea at the right time. but i was just saying, i'm not sure if the viewers know this, but stu, after work one day we were coming in with our investors as stu was coming off work. he shook everyone's hand and said you guys invested in boxed,

you invested in this man. bless your heart and walked away. they all looked at me, what was that about? stuart: will you tell me gross revenues? give me the number. >> we are starting to move deeper and deeper into nine figures. stuart: so -- >> $100 million plus. within about three years after launch, about 36 months from the garage to 36 months post the garage we are already doing $100 million plus. we have been growing at a steady pace even since then. stuart: biggest problem? >> biggest problem these days, talent, i would say. first time i was on the show, i was doing everything. now it's like well, the company is too big, we can't -- i can't do everything myself. we have been trying to solve it, we brought in a new cfo. she was an 18-year veteran of fortress investment group. we just brought in a new president. the former head of b2b globally

for amazon as well. i can start taking a step back and allowing folks, the pros to do their job. stuart: just wait until you go public and you need an army of lawyers. chieh, always a pleasure. thank you for coming back. check the big board. still holding on to a pretty good gain. 70 points up for the dow industrials. the nasdaq as we said going the other way. facebook, article in the tech magazine "wired" caught our attention. it says facebook knows more about you than the cia. we've got that story for you after this, promise. ♪ welcome to the place where people go to learn about

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this right. you front up at the airport, you don't need an i.d. or boarding pass. you go straight to the metal detector? is that right? jackie: straight out of a science fiction movie but it's been in place. it's called clear and has 3.8 million users now. you can use your fingerprint scan or they can do an iris scan. the longest line at the airport is that initial check for your i.d. and boarding pass. this gets you straight through so you can go through the security full body scanner and it does make things a lot faster. now, some of us have tsa pre, which came before clear, but you also have to give your fingerprints when you went. either way, if you want this expedited service at the airport, and so many people do, you are giving up something for it. to me, it's like if you are driving a car and don't have easy pass. stuart: how much? jackie: $179. that's how much it is for clear alone. now, united is pairing up with them and they will offer their customers deals, discounts, you can use miles, that kind of thing. stuart: you have to pay for it. jackie: you do have to pay for it. stuart: at some point, you do

have to show your i.d. and boarding pass. at some point. you just cut that first line. jackie: um-hum. stuart: i'll do it. now this. i want to show you this new article from "wired." here's the title. facebook knows more about you than the cia. profiling a former cia officer who says facebook knows more about you than you know about you. come in, our big brother guy, matthew taylor, who directed the creepy line movie which is about big tech's privacy issues. matthew, welcome back. >> glad to be here, as always. stuart: does facebook know more about me than the cia knows about me? >> i would say absolutely. the cia is not looking for your daily activities. they are only looking for threats. i would say they know more about you than even the nsa because you use facebook all the time, your children use it. you use it to do all sorts of things. they collect that information and put it into a file. if you're not a threat, the cia is not looking at you. stuart: i don't find that

sinister. facebook is looking at how much gatorade i might drink, i don't see that as sinister, whereas the cia and nsa knowing who i called and what i called about, i find that a good deal more sinister. >> well, sure. i think where it factors into is this is the surveillance capitalism model that these companies have pushed, so they are constantly manipulating you. while it's not sinister right now, if they have some kind of goal at some future point, they know all this information and if gatorade gets you to vote a certain way, they can use that. stuart: i always said that. you've got an enormous amount of information about every human being that's hooked up on this planet, and it's all in the hands of a couple of multi-billionaires. we don't know what they are going to do with that information. >> no idea. they are using it every day. right now. stuart: but i don't find it sinister, you see. that's what i keep coming back to. look, how much gatorade do i drink, who cares who finds that out. you know what i mean? >> well, yeah. i think right now, it's not sinister but for example, they

are collecting data on you and one day you want car insurance and they want to see how much sugar you drink and if it will cause your insulin to spike, they might change your rates. these are the abstract connections between your everyday things that don't matter and the things that do matter. stuart: i didn't think about that. good one. there's a new netflix documentary coming out shortly called "the great hack" which takes a deep dive into the facebook's cambridge analytica scandal. now, what's that going to do? does that shed -- have you seen it? >> i have seen it. it's a very well-made documentary. i think there's a lot of good points and premises but the thing is, my problem is why didn't this documentary come out in 2013 when the obama campaign had used facebook data to do similar things. these things have been happening for the last six or seven years. cambridge analytica is one company out of many that are still doing these activities. this is a business model. they just happen to be the ones who got caught. in one way, cambridge analytica getting caught brought facebook and put them in the crosshairs

of the government and everybody else because up until that point, nobody was looking at facebook until cambridge analytica. stuart: you are a privacy crusader. >> absolutely. stuart: you think anything will come down the regulatory pike, hit facebook and stop them from doing what they're doing with cambridge analytica? >> it's possible. but i don't think -- i think like a $5 billion fine doesn't matter. stuart: suppose they are liable, if they lose your material or use it in a way that they weren't authorized to, they become legally liable, that would stop them, wouldn't it? >> sure. if cda-230 was reversed and they are liable for what users did, like the "new york times" or fox news, that would change the business model. they can't afford to have that kind of liability with their users. stuart: you are our big brother guy. thanks for joining us. thank you, matt. let's check the market again. we are up for the dow industrials, 64 points. we are down on the nasdaq, the technology companies, we are

down 50 points for the nasdaq. got that. if you own a legal marijuana business, paying your taxes, not that easy. you can't write a check to the treasury. banks and credit card companies can't do business even with legal marijuana companies. one marijuana ceo in colorado just paid a $3 million tax bill with a suitcase full of money, cash. he's here to tell us the story after this. ♪ let's take a look at some numbers:

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stuart: we are close to the end of the show so i will give you what i think is really good news. a mother in arkansas bought out an entire payless shoe store, every single pair of shoes, 1500 of them, bought the lot to give to children in need. she's the president of local school board. she wanted to give kids a fresh pair of kicks to start the school year. she would not share with us or anybody else how much she paid. she is a good lady. look at that. there are the store shelves. good. now back to the story we brought you last week. the ceo of a very successful pot company in colorado just strolled over to the irs to pay

his taxes with a suitcase full of cash. $3 million in cash. he is the ceo of livewell enlightened health. john, get right at it. why did you have to give them a suitcase full of cash to pay your taxes? >> well, good morning. at the time, we did not have any banking whatsoever. in fact, we were leasing a very old bank with a bank vault in it to hold the cash, so we were our own bank. we paid not only our vendors, et cetera, in cash, but also the irs, taxes. stuart: okay. as i understand it, all business, the legal marijuana business, is all cash, all the time, because the banks and credit card companies, you know, they're not allowed to do business with you. it would seem to me that that's one enormous security problem for you. you've got all that cash lying around. >> it is, you know, today some

of the larger cannabis companies such as ourselves do enjoy banking, but it's really just a depository for the money. we don't have normal landing services or anything like that and it's very expensive, approximately $3,000 a month to maintain a single account. stuart: what did the irs people say when you walked in with your suitcase? >> i think it was about security at first, you know, what's in the bag. and you know, i was trying to be relatively nonchalant about it but once it made a little bit of a scene in the foyer, i hinsistd he escorted me up to the teller. stuart: they took the money. didn't have any trouble taking the money. >> yeah, they did, actually. because at the time, the teller slot would only slide about two or three bills under the little

slot. so it took i think over three and a half hours to pay the taxes. stuart: before we go, john, you've got a new zealand accent. i'm pretty sure it's new zealand, isn't it? >> yes, sir. stuart: you know how i know that? because you don't open your mouth when you speak. i have new zealand grandchildren and they say how you doing, granddad. they don't open their mouth. were you in the weed business in new zealand? you brought it over here or what? >> no, no, believe it or not, i was in the child safety seat and baby product industry at the time. stuart: that's quite a switch, young man. new zealand to america, baby products to pot business. my goodness me. what's next, john? you tell me that. >> hopefully retirement one of these days. stuart: good man. thanks for joining us. it's a very good story and we wish you well in the future. thank you, sir. appreciate it. >> thank you, stuart. stuart: what a story.

more "varney" after this. ♪ . .

stuart: i thought if you bought bitcoin and you made a profit nobody knew you had made a profit, you wouldn't have to pay any taxes because bitcoin i thought was totally a moneys. oh, no. ashley: don't tell the irs that apparently senting out three quote, educational letters, helping taxpayers says the irs to understand tax and filing obligations when it comes to transactions involving bitcoin. this goes all the way back to 2015 through 2017. stuart: i was told this morning if you open up one of the coin exchange accounts, you have to give them your social security number, address.

ashley: irs said names of taxpayers were obtained with various is ongoing compliance efforts. they're looking for you in others words. stuart: thank thank you for filn for me recently. thank you, jackie. >> thank you. stuart: my time is up. neil: back over baltimore and who said what and talks in china are on. will either side give in? president is costing increasingly a tax on french wine and he doesn't even drink. three mill overnight playing fortnight. how is this going to spark a new career for your kid. parents, be very, afraid. officials are facing talks without any indication they will be promising, moving forward. they are going on. susan li with the details where things stand. >> neil,