he has pleaded guilty to securities fraud. this is a few years ago. nevertheless, lots of questions to answer. maria: why is hunter biden involved in it? >> one of his ex-partners were using his name. he says he didn't know about it. maria: great show, everybody. we will see you later. "varney & company" begins now. stuart, take it away. stuart: thank you. good morning, maria. good morning, everyone. let's get right at it. here's our leading candidate for stock of the day. there are actually several candidates but this one's my choice. tesla. it reported a surprise profit. it sold nearly 100,000 cars in a three-month period and elon musk says that factory in china is quote, ahead of schedule. the stock is back to $300 a share, up nearly 18% as we speak. now look at this. this could be a second stock of the day. twitter. it is down 17%. their ad growth slowed, not good, down goes the stock.

it's back to $32 a share. down $6.58. overall, the market's holding pretty steady as the profit reports roll in. in fact, i'd say stock prices are real solid and some of the profit reports, that's keeping the market at very high levels. no big pullback at this point. the dow industrials will open up about 40 this morning, s&p up 6. by the way, the s&p is only 22 points away from the all-time high. what's that, just one big rally? the nasdaq, look at it go, up a half percentage point premarket. big deal. now let me lay out what we have for you. an important speech from vice president pence on china. he may take a hard line. that could affect the market. and here comes amazon, perhaps the most important earnings report of them all. how strong is consumer online buying? very important and we are going to find out today. of course, we are going to watch apple hit new highs and

unless something dramatic happens, we are hardly even going to mention impeachment. here we go. "varney & company" is about to begin. the radical policies of democrats in congress would result in massive layoffs, exploding energy prices and a gigantic gift to our foreign adversaries. oh, they want us to do it so badly. they won't allow pipelines to go through new york and they won't do any fracking in new york and they won't take all of that wealth underneath and reduce their taxes. wouldn't that be nice. they don't do it in new york. somebody some day will explain why. they do it in pennsylvania. stuart: that was the president in what is clearly a battleground state, namely pennsylvania, talking energy, of course. more on that a little later in the program. let's get to the stock of the day which is tesla. strong numbers, made a profit.

actually sold a lot of cars. that factory in china, ahead of schedule. come on in, gary kaltbaum. our market watcher. would you buy tesla at $300 a share? >> give you the same answer i gave on netflix, gapping up last week, and the answer is no. with tesla for me, it's just inconsistent company with their earnings report. they report a gangbuster number and two quarters later report a big loss. just not for me. i need consistency in revenue and earnings growth. they have not yet shown that ability just yet. stuart: hold on for a second. i'm going to deal with what might be the second stock of the day, namely twitter. another day, look at it go down, twitter is now down 16.5%, going straight down. i do think it's a candidate for stock of the day. susan, you better tell us what happened. susan: what happened is actually they increased their daily active users, so they actually saw an increase in users in the quarter but the problem is that they are not getting as much

money from each of them during the quarter because there's a malfunction glitch in the software systems so they couldn't target ads effectively and that actually hurt their profit at the end of the day, worse than expected, and they are currently on the conference call but we'll be checking in on what's going on with twitter since you need to target your ads properly. stuart: yes, you do. they can't monetize their -- not subscribers -- susan: daily active users or active users. 145 million in the third quarter. stuart: not good. well, that's good but they can't monetize it, gary, hope you're still there. gary kaltbaum, would you buy twitter at $32 a share? >> no. when i hear a company say something to the effect of it's just a glitch on how we target things, i look at how the stock reacts. i don't think the stock would be down so much if it was just that. this was overpromising and underdelivering on both earnings and sales, and that is a near-term death knell for a stock. i would just avoid it. i think the stock will be in the

20s before we can even start to look at it. i think it will go lower from here. stuart: no on twitter, no on tesla. hold on for a second, gary. now look at amazon. that stock is up 17% this calendar year. it reports its profits at 4:00 this afternoon. i want to bring in retail watcher jerry storch, price waterhouse reports 54% of us will shop online for the holidays this year, way up from previous years. jerry, that looks like amazon's moment right now. is it? >> i wouldn't bet against amazon. all the data we have seen show a healthy consumer and especially healthy consumer online. even the september result shows internet sales up 16% year over year and amazon is over half the internet. when they report their revenue's going to be strong. they also had that big prime day. they have gone to one-day shipping. i would expect their sales to be up over 20% when they report today. profits are more difficult for

them, you know. people have always been kind of forgiving about amazon, they invest a lot. it's kind of difficult to predict. i think you need a divining rod to see what the profits will be. the one thing you can know, they are capturing market share and growing very very fast. stuart: just an extraordinary story. again, hold on for a second. i want to take a look quickly at nordstrom. they are opening what i would call a splashy seven-story store in new york city at a time when hundreds of bricks and mortar stores are actually closing down. jackie deangelis is there. what's the strategy for nordstrom, opening up in manhattan? jackie: good morning, stuart. the strategy is to create an event, and a lot of buzz around the first flagship store in new york city. you can see people are lined up waiting to get inside. doors officially open at 10:00 but they are letting people in now. there are beauty stations, there's a lot of music, there's a lot of commotion because they are trying to draw attention to the fact that nordstrom is now

here. it's not just sak's and macy's and bloomingdale's anymore. interesting, we will take you into the store later, but we have some pictures. seven stories tall, 320,000 square feet. this is a very big store. a lot of people are wondering locationally if it's in the right spot. it's 50th and broadway just south of the time warner center, lincoln center, but you have tj maxx, century 21. this is a high end aspirational brand. that's one thing to think about. also i ns now the right time too a retail brick and mortar store. so much competition online. back to you. stuart: it's a good question to ask. i will ask that question of jerry storch who is still with us. what is nordstrom doing opening a huge bricks and mortar operation in new york city? >> look, they are the best department store operator. they are an amazing company. they wanted to be in new york for a long time. since i was a child, probably,

they wanted a department store in manhattan. finally they have done it. this has been over ten years in the making. i'm not sure they would have made this kind of investment if they knew then what they know now about what's happening to department stores. they are going to do a great job. they decided to make the best department store ever open, lu have all the best new thinking about department stores. in the crystal palace in 1851, few remember that, everyone wants to come and shop and visit. the problem, it's still a department store. they are still mostly just selling apparel which is trending down. so where's the electronics, where's the excitement. they are trying to put in restaurants and all. manhattan has quite a few restaurants already. you don't need to go to nordstrom's to eat. it's going to be a fantastic store. they will start off really strong. will they ever return the investment, not on that bricks and mortar. maybe when you add all the e-commerce sales from the new

york metro area and all the rest and say it's all a system. a flagship may make sense but it will be a tough go of it. stuart: he deals with amazon, deals with nordstrom just like that. thank you, jerry. thanks for joining us. by the way, do we have gary kaltbaum still with us? is he still there? gary, come back in. i didn't ask you if you would buy amazon at $1,700 per share. would you? >> can you ask me at 5:00 today after they report earnings? i don't know how the market's going to react and their earnings have been a little bit all over the map the last few quarters. i don't own the stock right now. i have traded a little bit from my own account but i'm out of it this second. i want to see how it reacts after the close today. then i will have a better answer. stuart: watch fbn. we will tell you how it performs. gary, thanks for being with us this morning. good stuff. let me talk about dow component 3m. remember them? don't get much coverage these days, but they have lowered their forecast. when you do that, the stock

tends to go down. 3m down 2%. better profit, better revenue at comcast. they are up $1.28. merely 3%. lower fuel costs, that really helped the bottom line, the profit line at american airlines, up 5.5%. good stuff. higher profit at southwest airlines. 737 max cancellations are pushing up fares, so they bring in more money. southwest is up 2.3%. then there's microsoft. yes, still got a small piece of it. they got a boost from their cloud operations, which are doing very well. premarket, they are up $1.56 at $138. overall, with the solid profit reports coming in, we've got the dow industrials going to be up maybe 40 at the opening bell. look at that nasdaq, a 47-point gain there. getting close to being back to the 8,000 level on the nasdaq. now then, it is not halloween yet, of course, but walmart will start offering christmas deals starting

tomorrow. christmas deals start tomorrow. how's that for a sign that the consumer is ready to spend some money this holiday season. we're all over this one. all through the show. vice president pence gives a big speech on china. last time he did this a couple years ago, it helped trigger the trade war. what does he have to say now? you will hear it coming up in our 11:00 hour. what's this, wework, the founder who wrecked the ipo is going to walk with, what, $1.7 billion? meanwhile, 4,000 workers get just laid off. what a story. "varney & company" just getting started. great riches will find you when liberty mutual

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it affects future profits. it's down 19%. ouch. wework reportedly cutting 4,000 jobs while the founder of the company gets a $1.7 billion i'm going to call it golden parachute. what's with that? there better be outrage. susan: lots of outrage. there was an employee meeting with softbank and softbank new leadersh leadership, the executive chairman marcello claure being put in. adam neumann getting $1.7 billion despite the fact he basically drove the company into the ground with a failed ipo because of his behavior that the market and investors had some problems with and the fact he's been spending and borrowing against the shares he owns in the company. softbank says we are giving you a $9.5 billion lifeline, taking 80% of the company back, and should be paying adam neumann as the creator and founder and visionary of the company. we also do have reports, according to the "ft" that given

the valuation has dropped from $47 billion to $8 billion, that's how much softbank bought into wework. there might be big job cuts, around 4,000, which is 30% of the company. stuart: they lost their jobs and softbank's lost a lot of its money. susan: i should point out, claure says there's zero risk of the company going under. stuart: okay. susan: according to him. stuart: okay. i thought gary kaltbaum had left and gone home but he's still there. i want to ask, what do you make of what's going on at wework? >> let's not forget this is a company that many times, and market itself as this great woke company, how much they care about the people that work there, that they are front and center. we found out that was all a facade. look, this is just -- what an absolute blowup from the private equity people foisting -- i remember they were saying $50 billion to $90 billion market

cap, analysts were saying the same thing. some pretty small real estate people were saying they don't have anything and they are leasing out space for long term and then renting it to people shorter term. that is not a good way of doing business and look what's happened. they just said there's zero chance of them going under. i think there's a big chance of them going under. they have big cash burn and they have to raise money and if they don't, i say bye-bye. softbank is nothing but a lifeline at this point to protect their own investment. stuart: ouch. all right. now you can leave the studio. thank you. >> on that note. stuart: on that note. gary, see you again real soon, i hope. thank you very much. this is a very interesting story. the apple watch came to the rescue of a hiker who had taken a hard fall. take me through it. deirdre: 100 feet fall in new jersey, young guy, 28 years old, hiking with a friend. he said he was immobile, he was afraid he was going to die.

he actually had a fractured back, foot and hand injuries as well. there is actually a function on this apple watch that is called the hard fall capacity, and if it senses that you have had that motion drop and you are not moving, it starts to send out an alert signal which you would have to cancel after 60 seconds. so because he didn't cancel the direct connection to emergency services, he was connected to 911 and he says essentially it saved his life. stuart: that's a very good story. deirdre: amazing. stuart: so if you land flat and hard, you don't move -- deirdre: the watch senses it. stuart: the watch says come get me. deirdre: you would have to cancel. stuart: i better get one of those watches. look at the stock. apple, is that another new high? certainly very close. $244 on apple. overall, this is thursday morning and this market's going up, especially technology stocks on the nasdaq which will have a very solid rally. then we have netflix. question, can netflix brush off all the competition that's

heading its way in the streaming universe? my next guest says not so sure about netflix. he will make his case after this. most people think of verizon as a reliable phone company. (woman) but to businesses, we're a reliable partner.

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of san francisco. clearly those wildfires are burning. we believe that the fires have spread rapidly, now encompassing 15 and a half square miles. that area has been blacked out by the utility, pg & e, because they are on the hook for wildfires, blacked out, but the fires are burning, they're raging, and many have been forced to evacuate. it's only, what, 6:30-ish in california right now but we understand that there have been some evacuations. we will keep you up to speed on this one. next case, netflix. shares down, what, about 10% since last october and our next guest says they are going to have a rough road ahead of them as well. stock analyst ivan feinson is with us this morning. why the hard time coming up in the future? is it just competition coming at them? >> first time they will have significant competition, starting november 1st, apple is launching apple tv plus. they have a limited number of shows, but they have a huge

customer base of which to penetrate and they already are giving free apple tv for one year to everybody who buys a new apple product, like an iphone or tablet or mac. stuart: you think that netflix, just deal with the stock price for a second, $272 on the screen right now, i read your stuff, you think it's going to go below $230? >> yes. hard time maintaining its multiple, and they are going to have to cut prices to retain or gain new subscribers. then on the 12th, you have what i believe will be the winner of the streaming wars, disney plus. stuart: really. okay. >> which gives you a lot of content for seven bucks a month. and they just -- disney just announced a deal with verizon two days ago that all verizon lte and 4g lte and 5g wireless customers will get a free one year of disney plus. stuart: we reported that but wait a second. if netflix comes down so much

because of competition from the disneys of this world, does disney go up? it's $131 now. where's it going? >> disney could easily be in the 160, 155, 160 range, probably by the middle of next year. this is going to be -- and i think when they announced the launch of disney plus in april, they were targeting 75 million subscribers in three years. i think they will have over 150 million subscribers or even overtake netflix which has 160 million global subscribers within three years. so disney, because content is king and disney is the king of content. stuart: that is fascinating. netflix down, disney up. all about streaming. fascinating. thanks very much for being with us again. we appreciate it. thank you. check the market. it is thursday morning. we are going up, 50 up for the dow and look at that, maybe 50 up for the nasdaq. that's two-thirds of 1%. stay with us, please. the rally is next. as a financial advisor you have to listen.

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china. they bought 1.5 million tons in the last week of september and as you heard from the phase one deal, looking to buy around $40 billion in agricultural goods. stuart: they're buying. susan: they're buying. stuart: i call that a positive. they are clapping and cheering on wall street. we are about to open this market this thursday morning. boom, it's 9:30. we are off and running. i think we're going higher. yes, we are. 26,900. up 80 points, 90 points. 90 points. leave it at that. left-hand side of the screen, plenty of green right there. overall, this market has just gone up some more. individual stocks, let me have a look at them. first of all, tesla. a surprise profit reported late yesterday after two losing quarters. i'm going to call that our positive stock of the day, up 17% right there. nearly 300 bucks a share. twitter, their ad growth slowed. they are the negative stock of the day, down 17%. then we have nokia. the cost of building out its 5g

network, much more than expected. it will affect future profits. that stock is down a buck , dow 20%. better profit, more users at paypal. they reported late yesterday. the market is now commenting with a 10% rise. not so rosy forecast from ebay for the holidays. that stock is down nearly 10%. real big movers today. lower sales at the dow component 3m. it's lowered its forecast as well. down she goes, 2%. better profits at the chemical company, dow. that's up 5%. i'm telling you, some big moves this morning. joining us now, michelle mckinnon, susan li, deirdre bolton all with us today. start with twitter. that's a big drop. ad growth slowed. okay. michelle, straight off the top, would you buy twitter at $31 a share? >> i feel a little biased because i do love the twitter stock. i do love the twitter app. i feel like we are all on twitter all the time. i personally love twitter.

however, as an investor, it's expensive. trading at 35 times forward earnings and unfortunately, these tech companies live and die by growth. so i don't know. stuart: well, look, if you can't monetize your growth in average daily users, that's a problem. susan: daily actives, the number of people who go on twitter every day went up to 145 million in the recent quarter. that's a gain of six million. which is positive, right? in the social media field. however, they are not gaining as much money per user. in fact, revenue went up the slowest in two years because of software glitches. deirdre: they actually missed revenue for the third quarter, you know, for what they were expected from ads. stuart: they missed expectations. by golly, sell the can ststock. let me talk about 3m. we don't talk about it very much. this was your dad's or granddad's story. it's still a huge corporation. we barely mention it. is it high on your radar?

>> it's in our indexes. we certainly have it. it's a $154 stock. it's not like twitter at 30 something. i certainly think it's worth paying attention to. but 3m, i think -- susan: you want to look at growth, you look at technology. which is more than 50% of the market cap now for all the indices. the 3m stocks, these old, as we call it old stocks -- stuart: years ago if the business, i was in the business 20 years ago and 40 years ago, 3m, let's talk about that, oh, my goodness. post-it notes. let's talk about it. nowadays we give them 30 seconds at best. only reason they're on the show right now is we barely talk about them. susan: we gave them two minutes just now. stuart: let's talk about tesla, stock of the day. strong numbers and the stock is moving higher. will this report silence --

>> absolutely not. critics are looking at the fundamentals and let's face it, it's an extremely expensive stock. i said twitter was an expensive stock. tesla is over the moon expensive. now of course, the positive, it's a beacon. a beacon of the future. people are excited about electric vehicles. but if i were an investor i think it's important to own it like we own it in our indexes but i would be hesitant to buy it outright. deirdre: you know what was really interesting in earnings calls when elon musk says we're killing the shorts and has a raging battle with those shorting the stock, he still has 22% of the flows on outstanding shares, even at these levels and despite the fact they have a profit, i'm not sure that's killed all the negatives out there. >> absolutely not. stuart: not quite. it is the stock of the day. look at that. up $43 as we speak. i want to talk about apple. why not. trillion dollar company. morgan stanley says apple tv plus will be a $9 billion business by 2025.

wouldn't you love to see 3m or some industrial company come out with a $9 billion brand new business in a couple years? what do you think of apple? would you buy it? >> i continue to love apple here. i think it's an extremely healthy company. i think about balance sheets, it's got, what, $200 billion in cash. i think that's another reason why they are optimistic about the tv is because they have got so much cash for so much content. what i also thought was interesting about that report is they are thinking that a lot more people are going to be buying new iphones because it's ending the cycle of -- like, take myself. i bought an iphone three years ago. i was reading this article and i was like wait, really, i need a refresh. i'm actually thinking of buying an iphone right now. stuart: can i just interrupt? how much cash did you say? $260 billion? susan: not sure it's burning a hole in their pockets. stuart: 216? susan: 260. stuart: 260 billion? susan: does it matter? basically, morgan stanley is the most bullish on the street. they are predicting apple tv

plus which releases on november 1st will be a huge business. aren't we getting ahead of ourselves? $4.99 a month but you only have half a dozen original shows. that's all you have right now. stuart: $4.99 a month. that's not much. susan: just saying we might be getting ahead of ourselves. deirdre: but cheaper than netflix and disney plus. stuart: this morning, apple is at $243 as we speak. got that. now, overall, we have lost a little of the very early gains but are still up 23, 20 points for the dow. we are at 26,856. oh, look at microsoft, doing very well, thank you very much. up 2.60 as we speak. the cloud business doing very well. in fact, they are firing on all cylinders. $139.84 now on microsoft. higher profit and revenue coming in at comcast. that stock is up 2% at 46. look at ford. they cut their outlook,

reporting weak sales in china and they're down 4.7%. back to $8 a share. lower fuel costs, that helped american airlines post a nice profit. they're up 4%. higher profit at southwest airlines as well. the 737 max cancellations pushing up fares so their revenue increased. how about that. 3% higher. hershey's expects to sell more candy but higher costs hurting profits. it's down 2.9%. a former boeing pilot complained of pressure from management regarding training for the max jet. boeing this morning is at $338. down just a tad there, off $1.50. $338, boeing. talk about the holidays starting early. walmart holiday deals start this week. is that a sign of consumer strength? deirdre: well, it's a sign of walmart's commitment anyway to offering cheap goods, making it easier for you to check out.

they will have roving sales associates that say check out with me so if you are sick of waiting in line, they will have people right there. yeah. actually worth noting, if you look at walmart's stock year to date it's actually beating amazon which i think is really interesting because in the retail space, when you talk about these big players, it really is in many areas walmart versus amazon. so it's up around 28%. stuart: they've got people roving the stores with computers? deirdre: that's exciting. if i can check out so quick. stuart: sometimes the lines at walmart are -- deirdre: are so long. stuart: they are indeed. do you shop at walmart? >> i have been at walmart, yes. stuart: what kind of answer is that? all right. not so rosy a forecast from ebay for the holidays. that stock is down 7.9%. is that the amazon effect? >> i think it's the amazon effect but let's face it, i used to love ebay years ago. i just feel like their platform now, it's just not as efficient as amazon. like it's very easy for me to go and buy something on amazon.

ebay, it feels a little clunky. stuart: amazon execute so well. >> they execute so well. deirdre: 800 pound gorilla in the room. very hard to compete with them. stuart: jerry storch told us earlier that they will have more than half of online sales this holiday season. >> they already do. susan: more than half the market at this point. you know, we do expect amazon to report after the bell today which i will be covering. what i found really interesting, this is what's really important to watch, whether or not the shipping costs will weigh on actual profit. you know they went to one-day prime, one-day delivery. however, i just got back from the "wall street journal" tech conference, the head of consumer for amazon was there. he was impressive because he said going to one-day means we are getting products from 18 hours on a truck down to two hours on the truck in order to get it to our customers. that is impressive. just over three years. stuart: what i'm looking for at amazon is the performance of their cloud base. all about aws. >> yep.

stuart: if it looks like the cloud business is doing really really well, that stock should go up. >> it should. yes. stuart: does it matter if online sales are also doing really really well? >> you know, i think it matters but really, their profit is coming from aws. stuart: is it? >> massive amount of their profit is coming from aws. stuart: 58% of amazon's profit comes from their cloud service? deirdre: microsoft's azure is catching up but amazon still clearly the leader. amazon also taking a little bit of google's ad revenue as well. stuart: that's right. google is the third player in the cloud business. they are trailing microsoft and amazon. by the way, watch "after the bell" on the fox business network today, 4:00 eastern time. we will definitely have those amazon earnings numbers for you, as soon as they come in, and you will see what the stock does. it's 9:40. sorry, michelle. we were just getting rolling. time's up. see you soon. check that big board. we lost the rally.

we had a nice gain at the opening bell, lost it. now we're down 20 points. i believe the nasdaq is still up, the s&p, still up. vice president pence, he is about to deliver a major speech on china. could have an impact on trade talks and therefore, an impact on the market. you will hear what he has to say. that's 11:00 this morning. fewer people are working nine to five, but a five-hour workday? one company's trying it and says it will make employees more productive. really? we'll see. check tesla. stock of the day as of right now. it's up 16%. our next guest says it's just the beginning of a very successful road for tesla. more "varney" after this. oh, wow. you two are going to have such a great trip.

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stuart: market check. we are down 12 on the dow, 26,820. check general motors stock. workers at one of the largest gm plants have voted to ratify the new contract. that's a sign that the union strike may be coming to an end soon. the stock is at $36. it was at $37 just before the five-week strike began. we are calling tesla the stock of the day after that strong profit report. our next guest thinks it's got a bright road ahead. joining us now, levi tunneman. you love tesla. why are you so bullish on the company and does the stock move significantly above 300 bucks a share? >> well, i think tesla is on the verge of becoming a bellwether for two critical emerging sectors. the first is the zero carbon economy, and the second is the fourth industrial revolution. there is nothing closer than tesla to a pure play in those

two critical emerging areas. stuart: so self-driving cars, i don't see that happening for quite a long time, but you're placing great faith in self-driving cars at tesla? >> well, elon musk would disagree with you. in fact, one of the big news items on the earnings call yesterday is that musk expects that all of the self-driving enabled vehicles within the tesla fleet, which is most of the cars that they've sold, will have full self-driving capability by the end of this year. if that happens, that would be ground-breaking. stuart: you think, then, there really is a revolution in the auto industry? i'm not quite prepared to admit that, but it's all about going electric and going self-driving? you think that is the great race towards the car of the future? >> absolutely. and you know, something interesting is happening here. at a time when the rest of the industry is kind of tamping down expectations with respect to

self-driving cars, elon musk is doubling down on expectations with respect to self-driving cars. if there's one thing that we have learned, it's that probably the most dangerous place to be on wall street, the most dangerous intersection is between elon musk and wherever he's trying to go. stuart: are you buying it, though? are you buying self-driving cars? are you buying the great electric revolution? when's it coming? i don't really see it here yet. >> well, there are very strong regulatory drivers globally toward electricfiation. europe sold about 400,000 electric vehicles, the united states sold about 360,000 electric vehicles but in just 2018, china sold more, as many electric vehicles as the united states has in all of history. so led by china, the world is

going electric, buoyed along by strong regulatory forces. stuart: do you think the ford motor company is the exact opposite of tesla? they sold 580,000 cars in the latest quarter. tesla sold 97,000. ford's stock is way down. tesla's stock is way up. is ford the exact opposite of tesla? >> well, it's a tale of two philosophies. ford has invested in more traditional automotive technologies and they have focused more on short-term profitability and market dynamics. tesla has invested heavily in long-term, what i call megatrends, things like the zero carbon economy, renewable energy, artificial intelligence, and now they are reaping the benefits of those investments. stuart: okay. real fast, i've got ten seconds, $302 on tesla right now. where's it going?

>> you know, i'm not going to make a prediction. i will just say i think tesla has a very very bright road ahead. stuart: you did say that several times. thanks for joining us, sir. appreciate it. see you again soon. by the way, at 11:30 this morning, another tesla watcher, dan ives, will be on the show. he says their profit report, really strong stuff, he says it's a game changer. he will make his case on the show this morning as well. now then, look at the dow 30. we've still got -- now we've got a preponderance of red. we turned that corner. the dow is down 35 points. it may be a dirty job, but the trash business is booming. the ceo of waste management is here, and he's going to tell us his company is leading the natural gas revolution. wasn't expecting that. he's on the show. ♪ ♪

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stuart: well, we didn't start like this. 22 minutes ago, the dow was up 40, 50, 60 points. now we're down 40 points, 26,788 despite some pretty strong earnings reports. the price of gold, just back above $1500 an ounce. the value of one bitcoin, $7,400 this morning.

okay. up $15 bucks. oil is just right there at $56 per barrel. the ten-year treasury yield is 1.76%. that hasn't moved very much in a couple of days. now then, waste management, look at that stock, it reported higher profits in the latest quarter. okay. it's down 1% this morning in the market, as it's trading now. but the stock actually is up, what, 30%, 31% thus far this year. we are joined now by the ceo of waste management. his name is jim fish. he's on the screen right now. welcome to the program. >> thank you. stuart: i want to talk about earnings per share and all that. i want to talk about natural gas. there's a real revelation to me that you've got a fleet of natural gas garbage trucks, and fill-up stations to fill them up. tell me more. >> we have 18,000 trucks, and 60% of them are natural gas now. we made that decision probably six or seven years ago, for environmental reasons, to move to natural gas.

it's become a good economic decision for us, too. stuart: have you built your own fill-up stations? >> we fill up most of our trucks at our facilities. when we turn a facility to a natural gas facility, we build a compressor station with it and fill up our own trucks. stuart: is anybody else doing this? >> i think some of our competitors do it as well. stuart: i didn't know anything about this, when i read the notes on the interview coming up. i did not know you've got a huge fleet of nat gas trucks. is it price come pretipetitive? >> absolutely. it's been a really good economic decision. we started out making an environmental decision to convert to natural gas but it is a good economic decision, too. by the way, 40% of the fuel that goes into those trucks is considered renewable, because we create that fuel at our landfills. we take that landfill gas and turn it into renewable natural gas, so 40% of our fleet effectively is a closed loop. stuart: wait, wait, wait. you're the garbage disposal guy. you've got these big garbage

dumps. you actually mine natural gas from the garbage dumps that you created? >> absolutely. yeah. we collect it and then we will turn it into either electricity or renewable natural gas. stuart: don't the greenies just love you? >> i think they like that. it's hard not to like that. stuart: where's the company going in the future? give me a forecast here. >> well, so i think the company financially is doing quite well. there's some interesting things we're doing. you talk to tesla earlier, we are looking at things like autonomous vehicles. we are testing an autonomous truck today from tucson to phoenix. we are working with caterpillar on doing remote operations on heavy equipment. we are doing some pretty interesting things with technology, recycling, we are the biggest recycler in north america and we are changing that technology. stuart: tell me more about robotrucks, did you say? >> so remote operation of heavy equipment. imagine today, a piece of heavy equipment sitting on a landfill or at a recycling plant that's

being operated by an operator. we are moving towards moving -- towards operating it remotely. today, the test is maybe two miles away but no reason you couldn't be 100 or 1,000 miles away operating a piece of heavy equipment from a center and that heavy equipment's sitting on the middle of a landfill in the middle of pennsylvania or somewhere. stuart: what is the big expansion move? what's the reason for the big expansion that you see coming in the future? what's going to fire it up? >> what's going to fire up the industry itself? stuart: yes. >> i think recycling. there's a lot of pressure, social pressure to recycle more. it's our second highest, historically our second highest return on invested capital, so people want the recycle and we want to recycle. i think you will see this business technologically moving towards a different type of recycling. stuart: jim fish, i learned more in the last three minutes about waste management than i have learned in a very long time. we appreciate you being with us. good to see you. good stuff. thanks. okay.

let's check stocks here. going to the barber means more than just a haircut. yes it does. this is all about, i'm told, men's grooming. we have two brothers from honduras who have turned it into an american success story. that's the kind of stuff we love. they are here to share it. more "varney" after this. or trips to mars. no commission. delivery drones, or the latest phones. no commission. no matter what you trade, at fidelity you'll pay no commission for online u.s. equity trades. at fidelity you'll pay no commission that's for sure...hange and when those changes might help more people, especially those in retirement, i think it's worth talking about! so, aag is introducing a new jumbo reverse mortgage loan so you can now access as much as $4 million dollars in cash, p. . find out more in your free aag jumbo guide.

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[ snoring ] [ loud squawking and siren blaring ] only pay for what you need. ♪ liberty. liberty. liberty. liberty. ♪ stuart: bang. 10 eastern, 7:00 in california. just got the latest read, i think it is new home sales. what have we got? do we have the number? susan: looking through it. new home sales account for roughly 10% of the housing market. it is coming through pretty fast. from what i see, for the month of september, new home sales, look for it, down .7% month over month. we're expecting a bigger decline over august according to zillow. for the year on year figure that is up from 2018. that good.

stuart: up year-over-year for new home sales. mortgage rates. >> checking out the freddie mac. 3.35 for a five. stuart: 3.69 on 30-year, classic mortgage. 3.69%. i was hoping it would get down to 3 1/2. >> higher than last week. stuart: because the yield on the 10-year treasury has gone up a bit. so yield or 30-year. >> all eyes on the fed next week,. stuart: 3.69 for the 30-year fixed. no impact on the market. dow industrials are down 50 points. 26,778. all right, everyone. now this. thursday, october 24th, fall has arrived, there is a chill in the air. time to fire up your heating system.

hope you got nat-gas rather than home heating oil. it is cheaper you know? heat your home with nat-gas and the average household pays 580 bucks a year. it is $1500 a year if you use heating oil. give me that nat-gas, please. but you have to feel a little sorry for people who live in states run by climate warriors. new york state, for example, won't allow pipelines to bring in the cheap gas from neighboring pennsylvania. president trump has taken note. roll tape. >> new york should do it. new york should allow pipelines to go through so the people of new england can cut their energy costs in half. so the people in new york could cut their energy costs in half. they won't do any fracking in new york. they won't take all the wealth underneath and reduce their taxes. wouldn't it be nice. they don't do it in new york. somebody some day will explain why. stuart: the president is pretty good at politics. he knows pennsylvania gets

billions from nat-gas fracking. and voters won't look kindly on the democrats proposed fracking ban. and new york voters will not look kindly on expensive heating oil forced down their throats. voters everywhere have been rejecting costly climate dreams. the blackouts in california, they're part of all of this too. for years the utility, pg&e, has had to spend extra $2 billion every year, an extra 2 billion a year to buy expensive renewable energy. that money could not be used to inspect their power lines and to clear out tinder dry brush. the resulting wildfires, bankrupted the company, californians pay among the highest electricity rates in the country. they pay the highest gas prices in the nation too, in part because of the demands of environmental activists. if there were a free vote and people could say yes or no to cheap energy, i'm pretty sure there will be a strong yes vote.

president trump knows that. the democrats are still dreaming. you heard it, let's go straight to our friend and colleague scott shellady. i call him the cow guy because of the jacket he wears. welcome to the show, scott. am i right here? it is democrats who have got a green energy price problem? >> they have got a green energy hypocrisy problem. stuart, look. they're trying to get rid of all of our green energy. you have seen what the "green new deal" says. we keep on covering all these people on the left whose sons and daughter housework for energy companies all over the world. isn't that funny? take the money today but we'll get rid of companies tomorrow. these are unintended consequences we all can see on the right what the consequences would have been but for some reason they can't. stuart: suppose there was a straightforward, up-or-down vote. you want cheap natural gas in your state, vote yes or vote no. i think it would be a huge yes

vote. what say you? >> absolutely no doubt. they will not be given that choice somebody knows more than they do, thinks that they do. elitists on the left go down that route. every day i said it over and over on your show. it doesn't have to be nat-gas. could be gasoline at the pumps. there is no better, cheaper, faster way to get in consumers pockets. that is cheap energy. number one, fastest way to do it. stuart: that's what we are doing. art laffer, laffer associates chairman and former reagan economist of course. art, a big week for profits on the market. we're close to record highs across the board. you once made a forecast that we would get 30,000 on the dow. you still feel that way? >> i still think there is a lot to go in this market, stuart. with these policies that the president put into place and, the economy that has been performing, i mean the rest of

the world is so far down, that held us down. i'm still very optimistic about the u.s. economy. assuming trump stays in office and continues these policies. i don't see there is any limit how high we can go really. stuart: let me ask you the same question. if voters were allowed a straightforward yes-no vote, you want cheap natural gas, yes or no, i think they would overwhelmingly vote yes. where am i going wrong here? >> yes. you're going wrong on one little one. you're completely correct that the pennsylvania voters would vote for cheap gas but would the ohio voters vote for cheap gas in pennsylvania? that's the question. i don't think that is a big play. but do remember for pennsylvania doing the ban on fracking, everyone else does too. that is what the greens are hoping will happen. they will look at the whole country and banning, not their own personal circumstances. if i were trump i would do exactly what he is doing. i think you're completely correct. i don't think pennsylvania will go for a democrat in this

election. it, with banning as their flagship. it doesn't make sense. stuart: when i compare what i pay for electricity or gasoline or nat-gas to heat my home, compare the prices what i would pay living in europe or asia, for example, it is just so much cheaper here than it is over there. i have to believe that cheap energy is a big fuel, excuse the pun, a big fuel for america's economy. >> it's a huge fuel. it is huge. by the way if you moved here to tennessee it would be even better. you would be much cheaper. much more productive. you would stay young all the time. you would be unbelievable. look at california what you were talking about there, california gas prices are a buck higher than the average for the rest of the nation. that is huge impediment for california's growth. not to mention, electricity prices, taxes all the rest of this.

california puts themselves at huge disadvantage. sooner or later it will come home to roost. they will have serious problems. out migration from california is huge. the largest out-migration of almost any state. this is a catastrophic economic policy set for california. it would be really bad for the rest of the u.s. as well. i think one of the reasons we perform so well because of our good economic policies, especially in energy. stuart: you suggested that i move to tennessee. i believe tennessee. >> i love it. i have a best friend here in town. we could compare grandchildren. stuart: yes. i have some news on that but i will share it privately a little later. art laffer, thanks very much for joining us. >> now you have got me all teased up. i want to know the answer? stuart: i will share it right now. in my family we are expecting grandchild number 10. okay? i have got nine already. there is another one coming.

>> wonderful. wonderful. [cheering] >> great news. stuart: thanks art. i should have told my daughter we would announce it. i shouldn't have done that. art, see you soon. scott shellady with us, no doubt listening in. i want to you, scott, mcdonald's launching a new chicken sandwich. everybody is doing chicken these days, including mcdonald's. is this because cows and beef are a problem for climate change? >> well, that is what they will blame it on. i'm sure that is the route they're going down. stuart, i thought long and hard about this. we have plant-based burgers or plants taste like burgers, what i'm waiting for, if mcdonald's wants to get out ahead of the curve is they need to bring on a burger that tastes like asparagus, right? nothing better than asparagus burger with a beer at 7:00 at night. nothing better than that. that is what i'm waiting for.

they will turn the page there. stuart: you got me going, scott. art laffer, scott shellady, good stuff indeed. we appreciate you being here as always. this one. china passed a new law based on an ip agreement made with the united states. i haven't got a clue what that means. tell me more. susan: helps the u.s. china trade deal, right? for many years u.s. companies feel their intellectual property, including some of the biggest companies around, microsoft, et cetera, et cetera, their secrets are being stolen when they operate in china. this has been one of the sticking points in the u.s. china trade deal. according to china the regulation of the new law will go into effect january 1st, 2020. it will strengthen according to china, patents, technology companies, trademarks, copyright infringement. stuart: that is moving in the direction president trump wants to move in with the laws and governance of their

corporations. >> right. stuart: i call that a positive. susan: check if there is market reaction. they're buying soybeans. i feel like we're moving in the right direction. stuart: we don't have any positive market reaction at this point. we reported it. thank you, susan. vice president pence will deliver a major speech on china next hour. will it have impact on trade talks or on the market? when he speaks you will hear and see what he has got to say. nordstrom opened a flagship store in new york city. i thought department stores were having a tough time competing with online shopping. so why are he they doing this? we'll try to explain it for you. two guys who created a wildly popular barbershop chain. they credited booming american economy for their success and hard work. we'll tell you all about male grooming. ♪.

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stuart: announcement from sampson. the apple tv will be available on the amazon firestick. okay, come on in gerri willis at the exchange. what does this mean? reporter: this is crazy, right? you would think the two would not go together, amazon with the fire tv stick, they're in the streaming business. that is what is happening today, fire tv stick 4-k, customers can download the apple tv app and apple tv plus when it is available. yesterday we reported that verizon users were going to get a free year of disney plus. so you're seeing all the jockeying for position in the streaming business that is going

on. one casualty today on the news about amazon, roku shares are down 1.5%. ouch. they do their own like handset that you use to access these very services. stuart: i understand, gerri. you made me understand. that is a very difficult thing to do but you won. >> yea. stuart: we love success on the program. we like to bring you a series of what we call american success stories. we've got one today. two brothers born in honduras, became american citizens. came to america. they opened a small barbershop. called the spot. used a small family loan to open up in the first place. they have 13 locations in south florida, they're expanding. come on in please freddy and jcperdomo. freddy on my right, jc on the left. i will start with you, jc. this is all about men's grooming, if i walk into your

barbershop, how do you groom mere? what do you offer? >> we have people in charge of cutting hair. they're professionals. they go through a stint of experiments on cutting hair, meaning they're professionals, they know everything about cutting hair. you will sit down and we'll tell you how you should look and how you want to look and we'll help you get there. so that is what -- stuart: wait a minute, fred, has to be more than that i walk anywhere, how do you want to look, i tell them how i look. >> we embrace you with love. we treat you like family. you come in. we sit you down. we drape you. consultation is huge for us, because a lot of men don't know what they want. so we do sit you down and we just transform you. we change your life. stuart: one of our producers in our meeting this morning said he had a haircut yesterday and they offered him a beer. >> okay. stuart: do you do that?

>> we do offer liquor. stuart: you do? you give -- >> we give you a drink, yes. anybody that comes into our shop is welcome to get coffee, soda, scotch, vodka, whiskey. stuart: are you kidding? >> everything is -- we are coming soon to new york. in miami you can come. >> you get a massage at the end of the service which is amazing. stuart: wait a minute. liquor, massage, hot towels, all of that wrapped into one price? >> yes. stuart: comes automatically. >> yes, sir. stuart: how much do i pay? if i walked into your store? >> average sale is $30. then if you get how the towel shave, 65 to $70. stuart: that is not bad. tell me how you started. how many years ago did you start? >> we started back in 2001. i've been cutting hair since i was 14 years old. we opened a first shop in 2001.

stuart: how old were you when you came to america? >> i was four years old. stuart: four years old. you came to south florida. >> we came to florida, my mother, gutsy woman brought five kids to the country for better tomorrow. what better country than the united states of america. we got to the country. 14 years old i picked up clippers by mistake. a friend of mine wanted a haircut and that is how i started. he started coming. he started bringing his friends and stuff like that. little did you know 19 years old i opened my first barbershop with my brother. stuart: how many years ago did you open first one? >> 18 years ago. stuart: 18 years ago. jc, now you have 13. >> yes. stuart: you plan on how many more? >> god willing we have another nine money on the books. we're building nine more barbershops. we plan to expand all over america. stuart: you do? >> we have offers in charlotte,

north carolina, texas. stuart: i noticed in the ad there, all your stores, all your barbershops you have a big placard saying god is good. >> yeah. stuart: quickly why? >> god is good because there is always something good will happen, even when something is occurring, god will always give you the ability something good will come. my brother gave me the idea, put it as a slogan to glorify what is good. nowadays a lot of good is missing. not religion. more let people know, it is always something better coming. work hard, you will get something. stuart: there it is on the screens right now. jc, freddy perdomo. thanks for joining us. we love success. come again if you're not careful. >> thank you. stuart: next one, vice president pence, well he will deliver a speech on china at the top of the next hour. that could move the market, could have an impact on trade talks. you're going to see what he has got to say right here on this

program. the ceo of door dash, you know the food delivery guys? a new california law reclassifying their drivers as employees will be quote, disasterous for the gig economy. we'll talk about that in just a moment. ♪. a great band? our fans are gonna love the lyrics-- what are those? i, uh, had 'em made. you like 'em? yeah, you like 'em. i knew you would. you love 'em, yes! join nationwide now and get a free amazon echo auto.

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competitors, germany and others are getting paid to borrow money. the fed was way too fast to raise and way too slow to cut. the president there weighing in on the federal reserve again. there is a "gallup poll" out, it shows more of us are unhappy with our jobs even though the economy is healthy. grady trimble, come on in. you have got to dig in deeper for this. i want to know a whole lot more. tell me. reporter: to sum it up, everyone who want as job has one, but that doesn't mean they have the job they want. if you look at this study, says only 40% of people say they actually have a good job. more people, apparently are settling for me mead mediocre. higher earners, above 140,000,

63% say they have a good job. people with income lower than 24,000, they say 28% say their job is good. obviously no surprise, there depends how much you make whether you like your job. stuart, you will fine this interesting too, if you look at the break down, young versus old, millenials don't like their job. only 26% of people between 18-24 do, 49% of people in higher '60s like their job. i don't fall in either ranges. i have to say on the record i like my job. i don't know about you. stuart: you almost said older people like their jobs. i'm older son. reporter: wiser. wiser. stuart: you bailed yourself out there, grady. come back soon. thank you very much. 11:00 eastern time this morning vice president pence deliver as speech on china. could move the market as we've been saying. when he speaks you will hear it right here.

the streaming battle, it is almost upon us. disney and apple, they launched their streaming platforms real soon. matter of days, actually. we have a guy who says it will be tough for netflix because of all this competition. he will tell us more on that one. the streaming wars after this. ♪.

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now. ♪. stuart: oh, yes. forgive me.

>> berry gordy wrote it. stuart: the new anthem of this program. give me money. not supposed to say that kind of thing these days. give me money, that is what i want. you can keep it for the birds and bees. raise the volume. play it loud and clear on this. okay. >> berry gordy wrote it in 63. stuart: i didn't know you knew anything about the beatles. >> i out promoted harvey and corkry weinstein, i killed them when they were in the music business. stuart: that is for another time. i'm not sure what the specific factor is that pushed it down but it is down 100. 26,700. is the level. according to the accounting firm deloitte. 53% of shoppers say they will rely on cyber monday discounts to do the shopping. here is the aforementioned burt flickenger, unknown beatles analyst. let me see if i got this right,

cyber monday is the monday after thanksgiving. are you saying that there will be more stuff sold on cyber monday than on black friday, the day after thanksgiving in bricks and mortar stores? >> all-time record. it will accelerate the retail ice age advantage amazon. stuart: really? >> yes. stuart: you think amazon, i'm told amazon has more than half of all online sales at this moment. >> it does. its advertising business is growing 1000% in five years. its web business is growing close to 40%. and jeff bezos, the most brilliant person in the history of retail, just like julius caesar, alexander the great -- stuart: don't get carried away. >> or george patton. he wins every battle. conquers new countries of new areas of business, undefeated, unstoppable. stuart: will we see that today? 4:00, this afternoon, they report. are online sales going to explode? >> online sales will explode.

they can do more prime days, single days like alibaba. amazon's stock raising estimate from 2150 to 2200 although -- stuart: wait a second. on the screen, not now, amazon is at $1770 per share. that is the price right now. you say it goes to $2200, up 500 from here? >> after the holidays. this time next year, it will be 2300. stuart: you said that before. and it didn't happen. >> didn't happen. since then we've had 20,000 retail stores go out of business. 50 retail chains go out of business. as you referenced, stuart, you have 50% of shoppers especially gen-x, y, z, millenials, doing 50 to 100% of his or her shopping online. advantage amazon. with the presidential elections, record cost of advertising. so amazon's advertising services will just grow exponentially, very profitable and people want to use amazon over google.

stuart: what is going on with nordstrom? >> they are opening a seven-story department store, opening it in new york city. do we have someone there. jackie deangelis is there for it. jackie, you explain. why would they open a department store in new york city? reporter: there is actually a very good reason. it is because new york city is the number one online market for nordstrom. it is looking at location for an expansion opportunity. i talked to eric nordstrom, covice president, he what he had it say about nordstrom and its location. >> new york is the center of our industry, center of country's fashion. if we want to be one of the leading stores in north america, you have got to be in new york. we've been at it a long time. our company has been around since 1901. we tried to find the location, right space in new york a long time.

when this opportunity, we knew it was the right place to go. reporter: so you clearly have a captive audience here in new york city. this isn't just about getting people into the store. of course that is part of the business. you have got everything from lower end brands to very exclusive high-end brands here. it also about services, stuart. there are four restaurant and two bars here. stuart: got it. jackie deangelis in the middle of it, thanks very much, jackie. burt flickenger, do you think a good idea for a department store in manhattan seven stories tall in types like this. >> in this unique case yes. nordstrom is struggling with stores in canada. international experts will attest, they modeled of the leading department stores in paris, oxford street in london. jackie, said, great services. while we're seeing nordstrom stores struggle on gateway

cities in the west coast, nordstrom is doing well. the key issue is operating costs. mayor and city council charging everything from access to elevator fees to rooftop air-conditioning much the store will be successful on revenue standpoint, it will be pinched on profits. stuart: that is very interesting. burt flickenger, thank you. >> thank you. stuart: the dow was down 100. now it is down 72. got that. the streaming wars. they're set to begin real soon. just a few days and weeks actually. bring in dallas lawrence. chief brand officer at open x. dallas, i know your stuff, you're saying the streaming war we're about to get into, will be tough for netflix. does that mean netflix will suffer, netflix will lose the streaming war? >> i think there are three front we're looking at in streaming wars. i don't think netflix is

positioned to be number one in any of those in the future. if we think content is king, disney owns the castle. they have a phenomenal content lineup on disney plus. beloved franchises from "star wars," marvel, disney, abc, twentieth century fox content. very strong player. half the price of netflix. on the distribution side, two battlefronts. living room experience, roku is in the poll position. roku is number one operating system for connected tvs in the united states by far. they're creating ecosystem all the other platforms engage. on mobile decide of distribution. apple is in the poll position. on day one they will have a billion subscribers, using apple tv plus. a strong play. third front, advertising, netflix is not playing there. we have $70 billion in the united states spent on television advertising. only 5% goes to streaming. players like hulu, comcast, roku

realize there will be a massive migration of advertising dollars into the streaming space. they really positioned their business well there. all in all, three races forming up. i think netflix is not positioned fantastically for any of those three. stuart: dallas, we're trying to organize our guests so their thoughts are organized and logical and progress from one to another. you did that without any prompting from me. from three fronts, netflix will be under significant pressure. very good stuff. if you're not careful, dallas you will be back on this program on a regular basis. watch out, son, i'm telling you. this could be hazard does cute for you. >> sign me up. stuart: appreciate your point of view. short, sharp, to the point. mr. lawrence, thank you very much indeed. it is arguably the most famous and culturally significant concert ever. 50 years on, people still talk about woodstock. the man behind the original festival is joining us shortly. dan henninger says

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♪. stuart: hold that note, hold that note please. you know of course that is jimi hendrix. you never heard of him. that was jimi hendrix live at woodstock 15 years ago, star-spangled banner. not sure everybody in the audience would approve of that. the gentleman in my audience,

michael lang. you sir, i believe were one of the organizers of the original festival. >> yes. stuart: are you proud of yourself? >> i am. stuart: you're a cultural icon, so to speak. but here's the question. >> yeah. stuart: why can't you get a 50-year anniversary concert going, because you can't. it has fallen to piece. >> it did fall to pieces. i put that up to the wrong partner. we had everything kind of lined up really well. we had amazing lineup. the whole purpose was to engage people with climate change, getting out the vote. stuart: wait a minute. wait a minute. you were going to have a woodstock 50 years on all about climate change? >> yeah. stuart: why? >> well, because it is one of the major problems i see facing the world today. one that is, has dire consequences. stuart: what was the major problem facing the world 50 years ago when you had the original woodstock? >> a lot of it was the war in vietnam. we were all subject to it. any kid could go to the mailbox anytime, wind up with a

greetings letter and get sent overseas by a war we really didn't believe with. stuart: i don't want to get into an argument with you, i probably world, do you think climate change is as big an as issue as the vietnam war? >> i think it's a bigger issue. i think it affects everybody on the planet. stuart: do you really believe we're at risk, humanity dies out? how long have we got, 10, 12 years? >> i wouldn't say humanity dies out. but catastrophic change will bring to every person on the planet is huge. stuart: you're absolutely sure of this. >> i am, yes. i am, and i think 97% of the scientists out there -- stuart: i heard that in the world. the science. >> don't you believe in science? stuart: rhetorical question. is there anything good about climate change? >> no. stuart: nothing good at all. >> no. stuart: really. >> seas will rise. just create such chaos on the planet.

every business will be affected by it. every human on the planet, storms are getting worse. temperature changes. stuart: you want to end our use of fossil fuel? >> ultimately yes. stuart: do you care what it does to the economy. >> i do. stuart: what do you think it would do to the economy. >> i think that renewables are a great way to boost the economy. stuart: they're not there yet. they're not even close. >> that what has to be focused on. that is what has to take everybody's energy, to promote and to develop sustainables. stuart: so, you couldn't organize a 50th anniversary with woodstock on climate change because you got the wrong partner. >> yes. stuart: you are sure it was totally wrong politics. >> no. had nothing to do with the politics. stuart: are you trying to do a 50th anniversary? >> we'll not do the 50th anniversary no, we don't have the time anymore unfortunately. but we are doing things to promote the election and getting out the vote and people's engagement on the climate issue.

stuart: do you realize what that program tends to support? >> i do. stuart: you do? >> i came on anyway. stuart: you came on anyway. big smile on your face. >> better than talking to the converted. another opportunity, to convert some more. stuart: look it, was fun having you. you are a cultural icon. i am very much, i respect what you did 50 years ago. because that was iconic event. >> thank you. stuart: jimi hendrix and "the star-spangled banner" would probably not make it today. michael, put it there, lad. that was fun. >> thank you, thank you. let's talk door dash. ceo of thereof, the food delivery guys. a ceo new california law reclassifying their drivers as employees will be disasterous for what is known as the gig economy. he is not on the show but we're going to talk about what he had to say. whether it will have anything to do with climate change, i don't know, but probably not.

we'll hear from vice president pence as well. he is making a major speech on china. he delivers his remarks right about 11:00 this morning. when he speaks you will hear what he has to say. could affect the market. we'll be back. ♪. imagine traveling hassle-free with your golf clubs. now you can, with shipsticks.com! no more lugging your clubs through the airport or risk having your clubs lost or damaged by the airlines. sending your own clubs ahead with shipsticks.com makes it fast & easy to get to your golf destination. with just a few clicks or a phone call, we'll pick up and deliver your clubs on-time, guaranteed, for as low as $39.99. shipsticks.com saves you time and money. make it simple. make it ship sticks.

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stuart: coming up shortly, vice president pence will give a speech on china. edward lawrence joins us from the white house. i think you know what he is going to say. will he bring on the fire, edward? reporter: stuart he is expected to bring on the fire about the major speech over human rights in china and national security and spying as well as accusing china to impact the 2018 and 2020 elections in the u.s. the speech is expected to be very critical in those areas. it now may have been changed in the last 24 hours on trade, saying we're trying to find ways to cooperate with china. now it may not be a coincidence. the chinese announcing today that they could be characterized as a breakthrough in trade. china announcing new regulations

based on the phase one agreement. it is also said to add protections for foreign businesses, protections on intellectual property and improve the business environment. now china is in the good faith zone, showing that the u.s., it will follow through. today china also bought 264,000 metric tons of soybeans. the agriculture buys in the new law, stew, may not be a coincidence in this speech coming up. stuart: i is going light on trade, if i can put it like that. very light on trade but very strong on human rights, security and spying. there are two different sides. that is what he will say. edward, thank you very much indeed. good stuff indeed. the dow responded mildly. we were down over 100 points. now we're down 60. how about the ceo of the food delivery company door dash? really slamming a new california bill that classifies gig economy workers as employees? he says, that would be disasterous.

i want to bring in apple metro chair and ceo zane tankel, frequent guest on the program. zane, welcome back. >> thank you, stuart. stuart: a new law in california, means uber drivers, lyft drivers they are full-scale employees with all the rights, benefits thereto. do you think it is disasterous? >> it is not helpful. why do at the do that, they have flexible hours. in essence their own boss. there are laws being passed suppose ledly for the benefit of workers. workers don't want n new york servers can make 50, $100 an hour. they want to make them $15 an hour. the new york legislature will inimitable wisdom will pass at urging of governor. stuart: include tip income.

>> they do, i believe because they have broader vision of where they want to be politically. so to the people that don't understand it they're getting a raise for a segment of the population in the restaurant business that is actually a reduction not a raise. to the general population, it is called, i guess it is called getting over on people. stuart: buying votes. >> buying votes. stuart: in my personal opinion. that would be true in california, in new york, there you go. it doesn't help your business. you run restaurant chains. >> it hurts. it hurts. stuart: i have to talk to you about chipotle. that stock price is almost doubled since last october. >> it has. stuart: we had an analyst on the show just a couple days ago who said, chipotle is going to $1000 a share. it is 800 now. you're in the line of business. what are they doing so right? >> their margins are right. if you go in the same, the same food every time. we struggle with what's our next promotion.

mcdonald's had bad earnings call. i'm getting to look at, i'm looking at the food business, is somewhat like the movie business. what is your next promotion. if mgm comes out with a blockbuster. the stock goes through the air, everybody goes to the movies, come out with a bum, nobody goes to the movies. the movie tanks. the last promotion mcdonald's did was not a blockbuster. the last promotion, i was on air how they crushed it with earnings. every quarter we at applebee's do the same thing. we come out with a new promotion. how do you know it will be a hit film unless you get into theaters? stuart: good point. i want to talk to you about mcdonald's a bit more here. they're considering, testing a chicken sandwich in 2020. >> yep. stuart: everything seems to be going to chicken december days? because we don't want beef, because beef comes from cows which are flatulent and hurt the environment and climate change?

is that it? >> go to the chicken coop. they may latch did not -- i don't think that is the reason. stuart: chicken is cheap? >> certainly chicken is less expensive. you can hatch a chicken in six weeks. have it. it takes you eight month to get a cow ready for slaughter, goes in the feed lot, all that. the big difference is healthwise. the way the country is moving. chicken is healthier for you, healthier, versus beef. and that is the whole business for the beef substitutes, the plant-based hamburgers and impossible burger, et cetera. it all morphs into. say this, stuart, restaurant space, fast casual, dining is in turbulence. called disrupting innovation. it is innovating. where will it be when it is all over with? no one knows. it is a stressful time. stuart: you're running a restaurant chain. >> i will be here with you,

stuart. stuart: zane, thanks for joining us. appreciate it. we're moments away from a vice-presidential speech on china right here. we'll have more "varney" for you right after this. this is the age of expression.

but shouldn't somebody be listening? so. let's talk. we're built for hearing what's important to you,

one to one. edward jones. it's time for investing to feel individual. stuart: yeah, it's 11:00 eastern and we're about to hear from vice president pence. he will be speaking on china. now, the last time he gave a speech, it was kind of a hard line on china speech. he was blistering, a real rebuke of china. the trade war soon followed. this time, yes, he is going to be critical of china on human rights, national security and election meddling, but as edward lawrence reported just moments ago, the comments on trade will be toned down to say that the u.s. is looking for a way to cooperate in that area. now, this speech could move the market, it could affect trade talks. we are going to listen in. when it happens, we will figure it all out. right now, the dow industrials are down 60 points.

this is in advance of the vice presidential speech. down 60. now this. if you listen to the democrats, you would think this economy is hell on earth. you need two or three jobs to make ends meet. this economy isn't working for everyone. you've heard that so often, it's become a leftist mantra. senator warren warns of a coming economic crash. joe biden said the president goes out of his way to make life in america harder. that's how the left sees the economy. but what's it like for we, the people, you know, consumers, the people on ground floor actually doing the living and working and spending? it looks and feels very different. for a start, wages are going up at the fastest rate in a decade, especially for low income people. of course, you won't read that in the "new york times." they think it's all about income inequality. and we're spending our extra income. yeah, we're spending it. we're looking at the best

holiday selling season in a long time. christmas sales have started already, actually, or by the end of this week, they will. we've got cheap gas except on the ultra-green west coast. perhaps this is why the media is consumed with impeachment. after all, if you are obsessed with removing this president from office, you don't want to tell voters that they are actually living in a prosperous economy. that's what i've got to say. let's get right at it with jeffrey cleveland, chief economist at payden & rygel who joins me today in new york city. i'm basically saying right there that the consumer is doing extremely well and that will help the economy going forward. where am i going wrong? >> you are correct. the consumer is three-fourths of economic output in this country. i have to laugh at the economic doom and gloomers, the merchants of doom and gloom. we have a 3.5% unemployment rate. the news out this morning on layoffs, layoffs declined. stuart: oh, yes, that's right. that was the initial jobless claims. >> that's right.

that's your best realtime indicator of the labor market. it's just over 200,000. it's incredibly low, multi-decade lows. when layoffs are low, that's a good sign the consumer is in good shape. stuart: now, is that enough to stop any thought of recession before the election? i mean, in other words, for the next year, is the consumer going to prevent this economy from slipping south? >> i don't think the consumer alone but here's the good news. we also got data out today on manufacturing. that was better than expected. the ism manufacturing for market and also on the services side, those both moved up. so my story, stuart, is we have had weakness. two things caused it. the fed tightened and we saw that feed into global manufacturing activity, and into slower u.s. growth. stuart: okay. >> the fed has shifted gears. stuart: i will stop you right there. because earlier this morning, president trump tweeted about the fed. let me share this with our viewers. he said this. the federal reserve is derelict in its duties if it doesn't

lower the rate and even ideally stimulate. take a look around the world at our competitors. germany and others are actually getting paid to borrow money. fed was way too fast to raise and way too slow to cut. so you think we are going to get fed cuts? >> i think we get another rate cut next week, 25 basis points. that will be three rate cuts. i think the good news for the president is in my view, this is much like 1998. the fed hiked and then global economies slowed and in 1998 they cut three times. the u.s. economy avoided a recession for another three years. stock market went to new highs. i think that's playing out again here. stuart: so it does surprise me a little, maybe i'm too old-school, but where i'm coming from, when you have a 2% or 3% growth rate in the economy, a stock market at record levels, record low unemployment, you didn't cut rates. you started to raise rates. why are things so different? >> the difference now is that the fed is a global central

bank. anything the fed does with the overnight rate affects the u.s. dollar and affects global manufacturing activity and that's what we saw. we saw nine rate hikes from the fed. we saw the u.s. dollar edge up. we saw global trade weaken and global manufacturing weaken. so the fed is focused on the u.s. domestic situation which as you point out, is good. but it's the global impact of the fed's actions that are now reverberating. the good news is the fed has shifted, moved from hiking to easing, and with the lag, that will feed through into global economic activity and all this recession talk i think will fade away. stuart: well, well, well. you should come to new york more often. you really should. >> pleasure to be here. stuart: great to see you. see you soon. now, staying on your money, i want to talk apple. it's retreated a little from its all-time highs around $244. now it's at $242. morgan stanley raised their price target on the stock, they say it's going to hit $289 per share. come on in, dan ives.

he's the premier apple watcher. certainly premier apple watcher on this program. is that not right? >> kind words. stuart: where do you think apple stock's going? >> i think right now, the next stop's $260, $265. i think going to next year, you could see a stock that has a 3 in front of it. what you are starting to see, they are going to a golden age. you are going through a super cycle in terms of iphone 11 as well as 5g. ironically right now, china is about 15% to 20% above expectations on iphone 11. i think right now, apple has strong momentum and you are seeing a lot of the haters right now start to get on board. stuart: a golden age. that's a very rosy expression to use. you think that's apple right now, golden age? >> the one-two punch. you got iphone as the rock of gibraltar and now you have a services business you are starting to penetrate. if you look at services today, that's $400 billion, $450

billion in terms of valuation. apple continues, in my opinion, to still be in the middle innings of what could be a growth cycle. stuart: i was told this morning they've got $260 billion in cash. >> they have more cash than some countries. deirdre: bigger than the entire market cap of russia. stuart: they got it in cash. i have never seen anything like that before. wait a minute. you also -- welcome back. liz: lovely to see you. sorry for chiming in. stuart: mr. ives, you also follow tesla. you are hot on it. you think this thing is at $300 a share, $294 right now. you think it's going up? >> i ultimately think you look at this quarter in terms of profitability, for the first time musk and tesla delivered in terms of profitability. i think it could be an inflection quarter and that's why i kind of view it as a picasso-like performance. you are starting to see demand on the ev side in the u.s. and europe but ultimately so much is bet on china. right now, a huge step in the

right direction for musk and tesla. stuart: tesla is not a car company. it's a technology company. >> it's a disruptive technology company. anyone that defines it as an auto company, in my opinion, is wrong. stuart: just that elon musk gets us all worried sometimes, the things he does and says. >> that continues to be part of his genius. i think right now, if you look at it, but now ultimately it's him becoming an adult and i think last night was a big step from a profitability perspective, to get the street more dialed in and bullish on the story. stuart: you do know that i'm duty-bound to tell you and our audience that i have a few shares of microsoft that i have held for many, many years. bearing that in mind, i take it, i understand that you are very bullish on microsoft, aren't you? where's it going? >> if you look at that, our price target's 170 but also -- stuart: really? $170 a share on microsoft? well, well, well. >> microsoft, for the last four or five years, has been our top pick because in my opinion, as an investor, you got to bet in

cloud. i think microsoft continues to support cloud play here. what they are showing in terms of earnings, there's a share gain story going on from aws and amazon/bezos. stuart: $170 target price for microsoft, says dan ives. okay. >> i think it's just starting the play out right now. ultimately, it's the golden touch when it comes to cloud. stuart: dan, thanks for joining us. always appreciate it. thank you. vice president pence about to take to the podium. what he's going to say on china, we will find out momentarily. dan henninger says nancy pelosi made a mess of the impeachment ordeal. he's going to be here to explain what he's writing about today. i will also ask about the president's energy speech yesterday. the president wants pipelines into new york for natural gas. is that a reality? i don't know. we will ask him. back after this. ♪ look, this isn't my first rodeo...

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stuart: we are waiting for vice president pence to take the stage. we do know that former wisconsin governor scott walker will speak before the vice president. when we see him, that will serve as our warning that the vice president is about to take the stage and we will tune in. i want to get to our next guest. it's thursday, yes, it is, so you know what that means. dan henninger. he's got a new piece in the "wall street journal." look at that title. "pelosi's impeachment blunder." well, well, well. mr. henninger joins us now. got a big smile on his face. what's the big pelosi blunder? what is it? >> well, i think she caved in to the idea of impeaching the president. you remember back in the summer, it was nancy pelosi who did not want to go there.

pelosi has terrific political instincts but the left keep pushing and now they have to go through with impeachment and it looks like the political calendar is beginning to work against them. we read this week that rather than doing the impeachment vote by thanksgiving, the calendar's going to slip on that which means it goes into december. if they have a vote at all. which would push the trial into february. what happens -- into january, excuse me. push the trial in the senate into january. what's happening in february? stuart: the iowa caucuses. >> and the nevada caucuses. and the new hampshire primary. and the south carolina primary. but all through january, six senators running for the presidency, we won't go through all their names, will have to stay in washington for the trial of president trump. look, bernie sanders and kamala harris in the last debate they just had, both called trump the most corrupt president in the history of the united states. if you've got public enemy

number one on trial, are you going to be out in iowa campaigning in some diner down in southern iowa? no. you're going to have to sit there through that trial and try to fly back and forth. stuart: you're making the argument they will eventually be a senate trial. that implies there will be a vote in the house, maybe in december, yes, impeach him. are you sure that nancy pelosi, speaker pelosi, will hold the vote? she will only hold the vote if she knows she's going to win it, presumably. >> even then she doesn't win it. i thought all along the political purpose of this impeachment process as they call it, the secret hearings, was to elevate bad publicity about president trump, rolls into the newspapers, drives his opinion polls down. she could just keep this going and push it into next year without a really formal vote on impeachment but there's a point beyond which the house republicans look like they are intruding on the november vote. i mean, the american people are the ones who should really be

sorting all this out. there's a point beyond which the democrats are going to say we are preempting the people's right to vote on donald trump in november. stuart: let me just change the subject for a second because i want to get this in. the president was in pittsburgh yesterday. he gave a speech at a shale conference, and he took a shot at neighboring new york state over new york's energy shortcomings. roll tape, please. >> nobody does it better than the hard-working men and women of marcellus shale country. wouldn't it be great if new york realized what they're sitting on top of? new york should do it. new york should allow pipelines to go through so the people of new england can cut their energy costs in half, so the people in new york could cut their energy costs in half. stuart: that was intriguing because he was speaking in pennsylvania which is a big fracking state, produces a lot of natural gas, but you're not

allowed to bring it over to new york to heat the homes of new yorkers in this coming chilly winter. i think that makes a statement about pennsylvania and where it votes, and a statement about new york and what we need in new york. what do you say? >> exactly right. and what governor andrew cuomo steadfastly refused to let new york have, right. this was a shot at andrew cuomo. i don't think this is going to help president trump win new york. i mean, that's about new york city. nonetheless, it is a fact that cuomo, by refusing to allow fracking in new york, has pretty much forced upstate new york to continue to economically erode, because it has been a boom as we know in pennsylvania, it has been a boom in eastern ohio, where i'm from. the youngstown area that used to be just desolate is now extraordinarily successful. andrew cuomo is denying the people of upstate new york.

the president is exactly right to bring that up. stuart: very loud message directed right at governor cuomo. dan, it's thursday. thank you for being here this thursday. always appreciate it. thank you, sir. again, yes, we are waiting for vice president pence. he is going to talk about the relationship between the united states and china. getting ready for that speech. we will take it live when he appears and when he starts to speak. we'll be right back. ♪ ♪ ♪ i've been a caregiver for 20 years. no two patients are the same. predicting the next step for them can be challenging.

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stuart: quickly, let's deal with this. the dow industrials down just 50 points. i see some pretty strong earnings profits reports coming out but we have the dow down 50 as of this morning. the nasdaq and the s&p are on the upside, but the dow stubbornly down 50. have a look at twitter. wow, is that thing down big today. it missed on revenue and twitter right now, what happened with twitter is this. they have more people active daily users, a lot more of them, and that's supposed to be good for the stock. unfortunately, they didn't monetize, they didn't get any more ad revenue coming in from all those new people. the result, the stock is down

seven bucks. that is 19%. next on the list is paypal. there's an interesting statistic there. they are doing, where did i put that? they're doing one billion plus transactions each month this quarter. that's a consumer story. that tells you the consumer is strong. a billion transactions per month there for paypal. that's why the stock is up nearly 7%. it's a real indicator of the strength of the consumer in this economy. amazon, look at them go. not much today. they announced their earnings later on this afternoon, about 4:00 eastern time. what we're looking for there is strength in the cloud business, as well as the likely expansion of their online selling as we approach the holiday period. there you have three stocks in the news. all of them moving quite sharply. wait until you see those amazon results. that should move the market significantly, as they say. our next guest plays a big

part in the american success story. you know wd-40. look at that stock. wd-40 has been in everybody's house for, what, 70 years. how are they doing now? 2019? we have with us, we have a special guest, gary rich, chief executive of the wd-40 company. first of all, gary, i believe, what does wd stand for? >> good day, stuart. it stands for water displacement 40th formula. stuart: that's right. i asked you this before. i know you have an australian accent, you have been on the show before. it is i believe a stand-alone product company. that's it? >> well, yeah, 90% of our business comes from the yellow and blue shield which gives consumers confidence that what we make is going to work. stuart: how is it that a stand-alone company, stand-alone product, can generate so much money for your company? how do you do this? >> well, it's all about number one, the people. we have an amazing tribe of

people. 93% employee engagement. people get up every day, love to go to work, make a contribution to something bigger than themselves and that's really important. secondly, the product is an honest product. it does what it says it's going to do. thirdly, the world is our oyster. 65% of our business now is outside of the united states and that's the fastest growing part of our business, and we've got a lot of road to cover still in many countries around the world. so we're excited and you know, we are 66 years old and going strong. stuart: how come an australian runs this company? >> well, i don't know. i thought we were going to talk about rugby but we won't go there. stuart: by the way, i asked you how come an australian is running the company and the producer of this hour is an australian, and she came in my ear and said because australians are awesome. i think you can get on board with that, wouldn't you? >> we certainly know where a lot

of places are around the world. yeah. stuart: how do you expand your business? we all know wd-40. it's been around all these years. how do you grow it? >> fortunately, there's a lot of places around the world where it doesn't have the awareness it has here. so as i said, 65% of our business is outside of the united states. it's growing at double digit rates. you know, we just released our earnings a week or so ago. 6% increase in constant currency sales, 7% increase in net income before tax. the other way we do it is we innovate. even in a place like united states, where the brand's very well known, we are innovating by bringing new delivery systems that make our product easy to buy for our heavy end users, and if you look at our latest innovation, it's an eight-inch flexible straw on the end of our can, the mechanics and artisans and tradespeople love it because it means it can get the product to hard-to-get-to places, saves them time, makes their job

easier. stuart: here i am, thinking it was your australian accent that made the company what it is. but no, you got all this innovation going on. thanks very much for joining us. always interesting. you come again. thank you. >> thanks. stuart: sure thing. check that big board again because we are off the lows of the day. we are down 40 points as we speak. one of the drags on the dow today has been the 3m company. that is a dow stock. it is down. check bitcoin, please. is the facebook libra controversy dragging down cryptocurrencies? because facebook -- bitcoin is back to $7400. in a moment we will ask a former bitcoin bull about what's next for bitcoin. guess which state has the lowest unemployment rate in the country. can you guess? i will tell you. it is nebraska. what are they doing that's so good? we will ask the governor in just a moment. ♪ [grunting]

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reporter: yeah, the president is going to hit china as the phase one deal now is trying to be locked down here. he's going to blast china on human rights. you talk about chinese abuses over national security and spying as well as accusing china of trying to impact the 2018 as well as 2020 elections in the u.s. now, the speech is going to be very critical in those areas, but it now has been changed, over the last 24 hours or so, to on trade, saying we are looking for ways to cooperate on trade. it may not be a coincidence because of the announcement china made earlier today characterizing -- could be characterized as a breakthrough, china saying they have new regulations based on the phase one agreement, protections for intellectual property, protections for foreign businesses as well as opening markets. stu, this was a speech that was actually delayed from last june because the chinese were very concerned about what was in it. they do push back against the human rights abuses, they say they are not guilty of those things. they pushed back against the

spying. china says they don't do it. back to you. stuart: this is fascinating, because on the one hand, yes, vice president pence is going to be pretty hard line when it comes to human rights and national security and election meddling. got all of that. but then the backdrop to his speech about china, the part of it about china, that's much more positive, bearing in mind what china has already been saying that they are doing, notably new regulations on corporate governance within china, maybe cutting back on intellectual property theft. that's a much softer, more positive part of the vice president's speech. right? reporter: and china is trying to show at this point that they are going to follow through with this agreement, so this is what they are trying to do, plus you know, they are trying to sort of maybe overshadow or get some toned-down-ness in the president's speech that's coming up because they are very concerned about what he's going to say. stuart: thank you very much. by the way, what we have been saying here about china trade may have helped the market. we have come from minus 100, we

are now down 10 points. so maybe the softer line on china trade is helping the market. maybe. we are very fortunate right now to have with us the governor of nebraska, pete ricketts. i want to know what you think about the china trade deal. your state, i think you are a farm state primarily, you really want a trade deal with china, don't you? >> yeah, absolutely, stuart. it's a big deal for us. our actually trade with china has been declining since 2012 and we think it's important that we get those trade relationships normalized. i think the president is exactly right in what he's doing. they have been stealing our intellectual property. the cybertheft, the cyberattacks, all of that has to be dealt with. we have to have a fair trade deal with china. so my message would be to china, work with the trump administration to get that. but we do want to be able to sell soybeans and the president has opened up our beef to china, so we think there's a great opportunity for our farmers and ranchers. stuart: okay.

now, you've got an unemployment rate i think right now in nebraska, 3.1%. okay. what are you doing so right? because that's one of the lowest rates in the country. >> well, we've got a great environment here. it starts with great people. we are working on creating a talent pipeline to start developing our people starting in seventh and eighth grade all the way through post-secondary education. we've got the second best regulatory environment in the country. we've got second, you know, highest work force participation rate. more nebraskans contribute to the economy in our state than anyplace else. it's a great place for people to invest. so we have been recognized as having the most economic development projects per capita of any state in the country. just because we created that great environment between our people and the environment here. stuart: you obviously have a fully employed state, 3.1% unemployment rate is dramatically low. do you find it difficult to attract people, workers, and if you are finding it difficult, can i say that wages are rising

rapidly in the state of nebraska, because you want to encourage people to work? >> well, we have had the third highest wage growth of any state in the country since 2014. so wages are rising here in nebraska, which is great for families, right. and one of the things that we do again is really focus on developing our people and we've got programs, grant programs, to help private companies, to work with schools. i have proposed scholarship programs. we are working on getting people on unemployment back to the work force faster. all these things to help companies hire the people they need. stuart: you ever feel a little looked down on? you know, you got a tough climate? it's pretty cold in nebraska and people say oh, nebraska? you ever feel looked down on? do you? >> well, i got to tell you, sometimes we're considered a flyover state but part of my job is to go out there and promote nebraska as being the best place in the world and i do that by going on trade missions. i have been to china twice, japan three times, mexico twice, european union, canada, just got back from vietnam. so we go out and tell the world

what a great place we have here. i will say warren buffett is more well-known in china than the state of nebraska, but we are working to overcome that. stuart: you are on "varney & company." what more do you want? this is how you do it. governor -- >> exactly. that's exactly right. maybe that guy from wd-40 would want to put a factory in nebraska. we got a great place here. stuart: i will ask him. i will ask the guy. all right. governor, thank you very much. >> i used to play rugby. thank you very much. stuart: did you? rugby? >> yes, i did. i used to play rugby. stuart: where? >> absolutely. stuart: where? >> i played for the university of chicago. then i played for a chicago men's club and i played when i moved back to nebraska. i played for the omaha goats. stuart: the omaha goats. that's the most memorable name. governor ricketts, that was a surprisingly interesting interview. thank you for joining us. >> thank you. stuart: that was good stuff. let's get serious. let's talk money. specifically, i want to talk cryptocurrency.

look at that. left-hand side of the screen, $7,400, the current price value of a bitcoin. $7,400. guess who's here? thomas lee. i don't have to remind you and remind our viewers that you expected bitcoin to go to $20,000. you regret that, don't you? yes. now, the facebook libra currency, or cryptocurrency, do you think that hurts bitcoin? >> the controversy certainly hurts. i think the facebook libra project is very good for -- because it's digital payments for digital currencies but yes, what we are seeing is blowback from washington about something that looks like it's threatening dollar supremacy and that's, you know, hurting bitcoin. stuart: i personally think the libra would be a very good thing, because i would like to see america do it before china does it. so that we can regulate it and make it non-secretive or whatever we want to do with it,

as opposed to the chinese. you with me on this? >> a hundred percent. facebook made a really good point. the u.s. dominates three industries today, technology, health care and financial services. this is a chance for the u.s. to really be a leader in digital assets and currencies and payment systems. stuart: you think it will go through? five years from now, will we have this cryptocurrency from facebook in active circulation around the world? will we? >> yeah, so it's an unpopular opinion but i think libra will launch sfublguccessfully. they are facing concerns from washington but they can do things to get washington on board. stuart: yes, okay. you know 3m's earnings came out this morning. the stock went down. >> correct. stuart: i don't think -- you really don't care about the 3ms of this world, do you? look, i'm trying to gauge viewer interest. i don't find that much interest in what i would call old line manufacturing type companies. the news today is all about technology. that's where it's at. that's what viewers are interested in.

>> yeah. i think the markets really shifting in that direction as well. they like growth companies which is technology and health care, and it's a growing share of the index. 3m and the industrials are really important because they are telling us how weak the global economy is but as nyou know, 3m has had problems for several quarters now. it's not like something new happened with 3m. eventually those things will turn and part of it hinges on a trade deal. then they will be great stocks. stuart: think so? the growth will come back to that kind of company if we get a trade deal? >> absolutely. industrials and value generally have gotten so cheap -- stuart: they could be a china trade play? >> exactly. stuart: old line manufacturing companies which we don't think that much of now, but they could come back again? >> yeah. an example, i know you mentioned microsoft. you've known that name for many years. in 2004 it was a value stock because it was eight times earnings. today it's back to being a growth stock. i think these china plays, home builders are an example, they

have been great stocks this year. now they are getting adopted by momentum investors. stuart: should i sell my microsoft? >> no. it's a great company. stuart: stay with us on this show. you're a great guy. thank you. appreciate it. now then, as we await vice president pence's speech on china, we are going to talk usmca. that's the new nafta, of course. the republicans and the administration say that speaker pelosi is stalling on passing it. farmers need it. i'm going to ask montana senator steve daines about that in just a moment. ♪ so ...how are you feeling? on a scale of one to five? one to five? it's more like five million. there's everything from happy to extremely happy. there's also angry. i'm really angry clive! actually, really angry. thank you. but what if your business could understand what your customers are feeling... and then do something about it.

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forecast and look what happens when you do that. the stock's down 6.5%. sales in china slipping. they are spending more on incentives to try to bring the buyers back in the united states. they are down to $8.60 a share. that's down 6% as of right now. contrast that, contrast ford with tesla. i call tesla the stock of this day. it is up 16%. $42 higher. here you have old line ford which sold 580,000 vehicles in the latest three-month period, versus new line tesla, which sold 97,000 vehicles in the latest quarter. tesla is up 16% and ford is down 8%. tale of two car companies. let's get the latest on usmca. that is of course the new nafta. top trade guy peter navarro was on "mornings with maria" earlier and called out speaker pelosi for stalling on it. roll tape. >> nancy pelosi, she fiddles

while the usmca's in the deep freeze. the false narrative here is this issue about labor enforcement. that problem's effectively been solved. ambassador lighthizer has been doing a great job working with democrats on the hill, working with folks in mexico, working with labor, working with everybody in between. this thing's ready to go put on the floor. the problem, maria, is only a few days left in the legislative calendar for the house in october, then they go away for a couple weeks in november, and look, this is a deal that's twice the volume as what we do with china. it's five times the exports of mexico and canada. it's the biggest and best deal ever. it's designed to turn north america, particularly the u.s., into a powerhouse of manufacturing for the 21st century. this is the biggest tragedy i've seen in the swamp politics over policy. stuart: you heard it right there. that's peter navarro. gentleman on the right-hand side of the screen is senator steve daines, republican from montana.

mr. senator, is it possible now that impeachment is just sucking all the oxygen out of the house and out of the congress, and we will not get to usmca, usmca will be a casualty of impeachment? will it? >> well, no doubt. navarro is right. nancy pelosi and the democrats have impeachment obsession. i wish they had obsession with american jobs. the usmca creates 180,000 new american jobs. you think about our trading partners. china is our largest but remember, too, mexico is number three, number four, japan. the mexico/canada trade combined is twice as large as what you get out of china. this is a really big deal for our country. unfortunately, pelosi and the democrats are obsessed with impeaching this president instead of moving forward with usmca. the president signed this deal over a year ago, usmca. the congress now has to ratify it. we have the votes in the house. we have the votes in the senate. the single person who is

blocking this is speaker nancy pelosi. stuart: i think she's taking, the speaker is taking an enormous risk because if people feel that this vital trade deal, already agreed to, negotiated and is very good for america, if people feel that that's been placed on the back burner, that it fails because of speaker pelosi's impeachment push, surely there should be some kind of political retribution for that. the voters should have their say here. but they don't. >> well, they absolutely should have their say. they'll have it next november. tell you what, if she keeps this up, the voters are speaking loudly because she is putting the impeachment ahead of doing the right thing for the american people. five weeks ago, stuart, they tried to impeach brett kavanaugh. remember that? in fact, several candidates running for president on the democrat side all declared their verdict, he should be impeached. two days later, it went away. then they moved on to trying to impeach president trump. it's ridiculous. this impeachment obsession needs

to stop. we need to get back into working on behalf of the american people, pass the usmca, would be a good place to start. stuart: just a few weeks ago as i understand it, senator, you were in china, you spoke there with the vice premier. today we have news that maybe the chinese will change a few of their rules and regulations on corporate governance, which might affect the theft of intellectual property. can you give us an update here? it sounds like we've got some progress here. >> you know, we do have some progress. i want to congratulate president trump and his team for continuing to take a firm stand with china. this theft of intellectual property had to be confronted. i was over in beijing the first week of september. i met face-to-face with vice premier liu he, who is really the point person in negotiations right now with steve mnuchin, with lighthizer as well as president trump. we are making progress. i'm cautiously optimistic we may see something here before the end of the year. but i applaud what the president is doing here. this is the right thing to do at this moment in time in history,

on behalf of our kids and grandkids, to set us on a course for the future that i think is going to be a great opportunity. we've got to get this china relationship right. tpt is the president is on the right track. stuart: real fast, what would north dakota sell to china if you got a nice new big deal? >> well, talking about montana, actually, stuart, i will talk about -- stuart: sorry. >> i will talk about montana. next state to the west. here's what's important with china. for us in montana. we have three cows per person in montana, stuart. it's the second largest beef export market in the world. the chinese love american beef. they are willing to pay a premium for it. we have great opportunities for u.s. agriculture in china, with beef, with wheat, with pork, with poultry. they have got the african swine fever going through china right now, it's wiped out over half of the pigs in china. they have a protein shortage right now. one way to solve that problem,

with u.s.-produced pork and beef. stuart: senator daines, from the great state of montana, the only state that i have not been to, by the way. i should go there. senator daines, thank you so much for being with us. we really appreciate it. >> thanks, stuart. stuart: sure. left-hand side of your screen, everyone, that is former governor of wisconsin scott walker. he is just introducing the vice president. here is mr. pence, vice president pence. now, he's going to approach the podium. the crowd is on its feet. he's walking to the podium, greets the crowd. there you have it. we will let you hear what he's got to say momentarily. i should tell you right now, he's going to take a hard line on some aspects of china and a softer line on china trade. the dow is down 28. the vice president. >> well, thank you all for that warm welcome. to your new chairman, governor scott walker, former congresswoman jane harmon, and to all the members of the board at this historic center, all the

fine scholars, it is an honor to be here at the wilson center. named after a president that was a great champion for american leadership and for freedom on the world stage. and in that same spirit, allow me to begin this morning by bringing greetings from another president, who is a champion for freedom here at home and across the wider world. i bring greetings from the 45th president of the united states of america, president donald trump. i come before you today at the end of a momentous week. in the wake of turkish forces invading syria, thanks to the strong economic and diplomatic action of the president of the united states, and thanks to the cooperation by our turkish and kurdish allies, syria defense forces were able to safely withdraw from the border area that's currently under turkish

military control and yesterday, turkey's ministry of defense confirmed a permanent cease-fire and a halt of all offensive military operations. our troops are coming home. and i'm pleased to report that through this cease-fire, turkey and our kurdish allies have now created an opportunity. the international community can create a safe zone that we believe will restore peace and security for all the peoples of this war-torn region. it is progress indeed. so thank you again for the honor of being here, and it's a particular honor to deliver the inaugural frederick v. mallick memorial lecture. anyone who knew fred would tell you he was a proud son of west point and that he lived his life by the words duty, honor and

country. when counseling others, i'm told he often quoted his alma mater's cadet prayer and urged them to, as he would say, choose the harder right instead of the easy wrong. fred understood that no one, least of all nations, can defend their interests by forsaking their values. so in honor of fred's memory, i come here today to discuss a subject on which much of the destiny of the 21st century will hinge. the united states relationship with china. since the earliest days of this administration, president trump has been determined to build a relationship with china on a foundation of candor, fairness, mutual respect, in order to achieve in his words, a more just, secure and peaceful world.

one year ago this month, i spoke about many of beijing's policies most harmful to america's interests and values, from china's debt diplomacy, military expansionism, its repression of people of faith, construction of a surveillance state and of course, to china's arsenal of policies inconsistent with free and fair trade, including tariffs, quotas, currency manipulation, forced technology transfer and industrial subsidies. past administrations have come and gone and all were aware of these abuses. none were willing to upset the established washington interests who not only permitted these abuses but often profited from them. the political establishment was not only silent in the face of china's economic aggression and

human rights abuses, but they often enabled them. as each year passed, as each factory closed in the heartland of america, as each new skyscraper went up in beijing, american workers grew only more disheartened, and china grew only more emboldened. in less than two short decades, we have seen, as president trump has said, the greatest transfer of wealth in the history of the world. over the past 17 years, china's gdp has grown by more than nine-fold. it has become the second largest economy in the world. much of this success was driven by american investment in china. beijing's actions have contributed to the united states' trade deficit with china that last year ran to more than $400 billion. nearly half of our global trade deficit. as president trump has said many

times, we rebuilt china over the past 25 years. no truer words were spoken. but those days are over. as history will surely note, in less than three years,. no longer will america and its leaders hope that economic engagement alone will transform communist china's authoritarian state into a free and open society that respects private property, the rule of law, and international rules of commerce. instead, as the president's 2017 national security strategy articulated, the united states now recognizes china as a strategic and economic rival. i can attest first fanned, the strong majority of the american

people, in the city and on the farm, are behind president trump's clear-eyed vision of the u.s. china relationship. and the president's stand also enjoys broad, bipartisan support, in the congress as well over the past year, with that support, president trump has taken bold and decisive action to correct the failed policies of the past, to strengthen america, to hold beijing accountable, and to set our relationship on a more fair, stable and constructive course, for the good of both our nations and the world. when our administration took office china was on track to become the largest economy in the world. experts predicted that china's economy would surpass the united states economy in just a few short years. but thanks to the bold economic agenda advanced by president trump, all that has changed.

from early on in this administration, this president signed the largest tax cuts and tax reform in american history. we lowered the american corporate tax rate, to mirror other corporate rates around the world. we rolled back federal regulation at record levels. we unleashed american energy and president trump has stood strong for free and fair trade. the result? america has the strongest economy in the history of the world. [applause] and the strongerrest economy in our own history. unemployment today is at a 50-year low. there are more americans working today than ever before. median household income in the last 2 1/2 years has risen by more than $5000 and that doesn't even account for savings from

the president's tax cuts or energy reforms for working families. because of the president's policies, america has added trillions of dollars of wealth to our economy. while china's economy continues to fall behind. to level the playing field for the american worker against unethical trade practices president trump levied tariffs on $250 billion in chinese goods in 2018 and earlier this year president announced we would place tariffs on another 300 billion of chinese goods if significant issues in our trading relationship were not resolved by december of this year. to protect intellectual property rights, the privacy of our citizens and our national security, we have taken strong steps to curtail illegal behavior of chinese companies like huawei and zte and we urged our allies around the world to build