stores, 24 stores. since then we were able to renegotiate with our landlords, opened five stores. june 12th, 1987, president reagan and mister gorbachev, tear down the wall, tara down the signs, we renegotiated with the landlord and are not closing, we are going to stay open. tear down the sign. we are going to be opening downtown, 150 broadway and we will stay open. we are able to save 48 jobs. maria: we appreciate you telling us about it. "varney and company" is starting right now. have a good show. stuart: it was worth it. good morning, here is what you need to know.

the market selloff continues and so does the search for a safe haven, the spreading virus is the main factor, dow industrials down 400 points at "the opening bell," this is shaping up to be the worst week for the dow since the financial crisis of 2008. s&p down 50, one.5% or more and the nasdaq down 2% at "the opening bell". the president has offered reassurance about the virus, quote, the risk to the american people remains very low. we are ready to do whatever we have to as the disease spreads. now comes news of an unexplained case of the coronavirus in california. the patient did not travel to a virus hotspot and was not in contact with a known virus carrier. in other words it is here. oversees dramatic action in japan. they closed all the schools

until april. in italy, 528 cases at least, 12 that. iran finally doing something. having refused to quarantine towns or cities they suggested less unnecessary travel. listen to what the president said about the market reaction. >> i think the stock market is something i know a lot about. it took a hit for two reasons. look at the people you watched the baiting last night, there's a possibility that could happen. i think it takes a hit because of that. it took a hit because of this and i understand that also because of supply chains and people coming in but i think the stock market will recover. the economy is very strong. stuart: let's bring in the market watcher, the virus is here, unexplained case in california. do you think we are looking in the near future towards people

not mixing in crowds so much, not going out so much, not self quarantineing butler social contact? because that would slow the economy. >> let me give you an example of central florida. i decided to go to walgreens yesterday and asked the question how is the mask business and the person told me all the masks in central florida have been sold out. every time they bring in more masks more get sold out very quickly. that tells me people are very worried. is a possibly, not 100% certainty, that these people that are worried may not go to the movies, may not go to the restaurant, may put off travel and if you notice what the worst spot in the markets are right now, the restaurants, travel related and anything you go to outside your house. the strongest spots in the market, you exercise in your home, netflix, you watch in your home and teleconferencing stocks.

the market believes it right now and if it comes to fruition that would not be a great thing. stuart: in other words you can't say we are near the bottom at this point. >> know. the only good news i can give you on the market, we are down 3000 points already and one has got to think a given point when the market says enough. when you have a microsoft number on top of mastercard, on top of apple, that is worrisome. what i need to see is microsoft come out with lower numbers but not go down in price. last i looked it was $7, if they can rally that up today that could tell me in the short run, the big institutions are starting to defend the market a little bit but we have not seen it yet. stuart: a lot more from you please. gordon chang, you wrote the

book the coming collapse of china. do you think it is relevant? is china about to collapse? >> i think so. i think china is in mortal danger, the chinese people are white-hot, demanding a new form of government and xi jinping, the chinese ruler, knows he is in trouble because he has imposed extraordinary controls on information and most worrying at all he is starting to lay the groundwork for blaming the united states for the spread of coronavirus. stuart: what is he saying about the united states? >> in the beginning of this month the communist party and foreign ministry blamed the us for the spread of h1 and one and said the us was a imposing astronomy controls on china. a few hours ago the hero of the sars epidemic said that the

coronavirus, the first diagnosed case was in china did not come from china, that links up with what they were doing in the beginning of the month criticizing the united states. i am afraid desperate chinese leaders will lash out at us and do something that will take us by surprise. stuart: this is a strong word, the collapse of china would be very bad news for the united states and the global economy, wouldn't it? >> it certainly would because people would panic. it would benefit a number of countries including the us but people are not expecting this and when they don't expect something you have the market reaction we expected recently. it would be worse because it would be a bigger event, you are going to see people taken by surprise. stuart: we are nowhere near through this problem, not close to the bottom. is that accurate in china?

>> i think that is accurate. because of the suppression of information we are getting numbers of new infections from beijing that don't correlate with what we are seeing but they correlate with xi jinping's notion of trying to get people back to their job sites and that will spread the virus further. china has a long way to go before they see the end of coronavirus. stuart: thanks for taking time to be with us. let's update various aspects of this story. gilead is in late stage testing. ashley: it was brought out to treat a bowl a bit in studies it can be effective against coronavirus. they are going to test human tests mainly in china and asia. they will be put on 10 day

dosing regimes and will monitor patients after that. this was lightning fast, such a long drawn out process. they are on a fast fast track to get to the final end stage. stuart: it is a treatment, not a vaccine. stuart: has the world health organization had any new headlines? ashley: they said we are at a decisive point when it comes to corona virus, capable of the things we have already seen in iran, italy and the republic of korea. they say it is not influenza and with the right measures it can be contained. the world health organizations is no country should assume it won't get cases. it would be a fatal mistake. stuart: back to our market watcher, if you are a long-term investor, somebody in their 30s

40s or 50s and have some cash what is wrong with looking at this market picking up prime quality companies that are beaten-down, anything wrong with that? >> if you believe in the progress of this great country you can but that doesn't mean you go lower also. i don't argue the point. we do know the great companies out there, timing is the big issue. we have an outlier event after a 50% rally, 38% rally in the dow in 13 months. we could go lower but i can't argue the point to pick up a few things, i have no complaints about that. stuart: one of my produces that i'm shifting my 401(k) into the aggressive growth fund.

i think that is a pretty good idea and you would agree with that. >> i have no complaint after this drop to do a little of that. i wouldn't do the home off the ball but throughout history, the first day the market opened if you bought every pull back even in the middle of pull back you brought a ton of money in the long term, history speak loud and clear on that. i cannot argue what you are saying. stuart: the virus is affecting drug ingredients. >> there are 370 drugs where the raw ingredients come, they themselves can't get the raw materials or get them out of the country. stuart: these are drugs that have nothing to do with the virus. >> 90% of those ingredients come for tuberculosis, i

medication and std medication from china. stuart: how do you get to that point? >> that's what the administration is saying. we saw this with the toy industry, the supply chains are moving but it takes a few years. stuart: they will move. if you can't produce basic drugs that will change. we are putting various stocks on screen, chipmakers, a leading indicator, computer demand is important, they are down for another day, day after day they have been going down. ali baba we call the amazon of china, down another 3 bucks, jd.com down 122, down again. mcdonald's down, 207, down 250.

yum brands active in china down one.74%. coronavirus impacts, starbucks down to dollars, disney down again, 120 on disney, lots of exposure on china and disney was nearly 150, now it is 120. caterpillar down, 3m is up. boeing, 300. they are cutting airlines. >> cutting them from by to hold, jetblue's spirit, there is going to be a lot of this from analysts based on what we are hearing, this coronavirus will have an impact to the bottom line. buckingham cutting their ratings on alaska airlines and allegiant airlines, those stocks being cut from neutral by and in many different

sectors. stuart: it is down 6%, delta down 4 and a half. ashley: not only is it do you want to go to asia, probably not, do you want to travel anywhere in close proximity with the other passengers and have a filter system on the plane recirculating air. stuart: people no longer wish to be associated closely with their fellow americans, keep your distance. >> airlines are considered petri dishes. travel 2020 as a hashtag and have pictures of themselves with a mask on. stuart: put up the maga stocks, they used to belong to the trillion dollar club. microsoft's $6 lower, apple down, 282. google down $34 and amazon down

$44, $19.35 is the price. are they worried about some is a face masks? >> amazon is absolutely. there is strong demand to protect yourself with a facemask. if you are selling it as third-party on our site and you want to inflate the price for no reason they will remove it. that has been a winner all along. they are making news, booking $14 for facemasks in the past month and they fulfill these orders but they are selling out right away. they are made in the usa with all the materials made in the usa as well. the supply chain is completely here. stuart: can they ramp up but it is a fair question. if you sell everything you can make, i would jack up the production. >> the thing with the facemasks, you have to make sure you have the right one.

number 2, they prevent particles from going out if you are sick but not from coming in. you can still be exposed even if you do have a facemask on. stuart: i'm not convinced how effective they are. stuart: show me the big board. a lot of people will be joining us. 461, the futures on the dow, close to a 200 point loss on the nasdaq. the dow down 450, correction territory would be minus 10%. a short, start correction move. the virus is hurting microsoft supply chain. ashley: they are putting out warnings, quite a few other companies, microsoft says in particular personal computing sector, they will miss their revenue target.

they say items that are most significantly hit because supply chain issues would be microsoft windows, pc accessories, video games and more. they are back to the supply chain. second quarter guidance, if this goes on longer it could hurt further down the road. stuart: it looks like the spiral down is speeding up and i suspect it is because of that case in california, any travel with the virus carrier. paces beginning to speed up. >> into spring, going to milan

with twee 7 people on it, that tends to feed on itself. when you get markets like this, shoot first and ask questions later and where she stops nobody knows. we had a gargantuan rally for 14 months. and outlier event, this is going to be news driven but you have to realize we have a repricing of global and corporate growth. when you hear from microsoft, mastercard, every business and people, just telling, after 3000 points, i would not be surprised if we were down 500. we will bounce sooner rather than later. stuart: i have been remiss.

show the yield on the 10 year treasury, one.29%. 126. that is a rush to safe haven. >> the fed, if you look at the future from what the fed does, and the first one as early as april. stuart: we dealt with the virus and the market selloff. the democrats are making this highly political in the most negative way and for the benefit of you and our viewers watch this please. okay. i am waiting. >> a proposal now that is meager, anemic. >> four years, describe the

administration's response to the coronavirus, towering and dangerous incompetence. stuart: that is a disgrace. you should not be so politicizing info to negative way and calling the president names like this in a moment like this. >> beyond that they are trying to sell fear in the american people. this is a time americans usually come together and put aside their political differences and say how can i help this president and make sure we call the fears of the american people and that is the opposite of what democrats are doing, politicizing this. anyone to come at the southern border and have no oversight or rule of law and our president is the one who should know what is -- we are going to be safer as this moves forward on top of the fact he stopped air travel to china on -- put the vice president in charge of it. let's see what the american people are safe.

stuart: the president had to walk a fine line between warning there is real danger here and reassuring us that we are going to be safe. he walked a fine line. how do you think he did? >> he did an excellent job in the right thing addressing the american people especially as democrats are using this for a political game to sell fear in the american people. and you should have confidence we are putting our resources to bear, we will take control of this, the vice president will lead the charge in the calling the fears. this is the united states of america and we are going to make sure we take care of our citizens. stuart: what stood out to me as the president was asked directly do you have plans to quarantine whole cities? the president said yes. if it gets that bad he said yes. prepare to take strong action by the sound of it. >> he will be ready for every

possible scenario but his job is to make sure he doesn't create a panic or send people into a frenzy when it is not warranted and we are not there and we are preparing, putting protocol in place and democrats should be joining him and saying we are going to work across party lines to make sure the country is safe and there politicizing it which they have done with every issue. that is why they are so shameful and solves many problems the american people are facing. at a time of crisis they usually come together and once again. >> what is going on here, there's a huge stock market selloff in progress again today. i think that is in part the result of the new case in california which is unexplained by travel contacts with another

virus carrier, did that upset the apple cart? >> we will see market selloffs as other things, i will invest, this is a time stocks are low. i bet on the american economy and i believe in our president and our health officials and the cdc and the things they are going to do to protect the american people. stuart: you bought these things. >> my husband and i did. stuart: thanks for joining us, see you again soon. at the new york stock exchange christine is with us in studio today. what is this about a chinese city at the center of the virus? >> the hubai province will pay roughly $1,400 us. if you go voluntarily to them they check you and confirm you

have the coronavirus and they will pay you. you have to have a virus and they will pay you. they are trying to incentivize people to voluntarily submit to all the tests for their fever and this is the first time you have seen a large amount, others have done other amounts. you can see the drastic measures how they want to contain it. stuart: they are only reporting cases from specific hospitals and not from people who might be living in their own homes, hold up in their own homes who may have it. this is a way of getting them out. >> it is not just china. think about italy. several towns are in lockdown. someone may have it. you won't now because they are in their house. less people are going door-to-door and doing temperature readings, we may not have the most accurate reading and people may be healed.

many reports, children seem to be faring quite well after a few days and even healthy adults. the numbers could be off. this is incentive to get people to go out and actually contain them in a certain area and find the number. stuart: this is a question i was asking everybody yesterday and i asked you. >> you asked yesterday what would happen in the united states if it transferred without somebody actually traveling and that is exactly what happened in california. stuart: have you seen anybody wearing a facemask? >> again this morning, i did on the way to work at 7 am i saw someone wearing a blue mask. it was $22.95. i had to go to three locations and this was 3 weeks ago. and in florida -- >> home depot limiting you to 10 per person.

>> the third-party sellers -- not to gouge. stuart: i am using it for my official indicator. if i want to see lots of facemasks appear on the streets of new york you are close to the point people stopped going out, stop congregating so much and the economy slows. it is a key indicator. >> you buy stocks or companies that are stay at home. uber is not doing well, live nation is not going well. the ones you stay-at-home are and just got to figure out what they are. stuart: netflix is definitely doing well. good stuff. get back to the exchanges. scott martin is with us now. "the opening bell," we will be

down 400 points. will you make any prediction dangerous that is about how we will close today? >> i love dangerous predictions. we will open nasty and close hire from those levels. there will be buyers coming in. it wouldn't surprise me if we close 500. i shouldn't say that, markets down 500. some data is coming in with respect to the follow-up for quarantine, these levels, it is getting there today as if it is a worldwide epidemic, everybody will stay through the end of june. that is the thing the market to do when they get irrational and this is one of those times. stuart: stay there please. let's go to the floor of the exchange. we are opening sharply lower.

>> the mood, talking about the fact that if we open at these levels we will be in correction territory which means 10% off the most recent high, two stocks responsible. microsoft and apple saying a different time they are feeling the effects of the coronavirus, apple, 17%. both of them saying they will affect their revenue for the current quarter. leaving you on a high note, two companies that are moving higher, free-market bucking this, not surprising both companies trying to work on a vaccine against the coronavirus. stuart: back to gary, we heard

from scott martin suggesting this market is priced as if we will have a worldwide slowdown that doesn't relieve itself until the end of summer and that is how low we price things. stuart: here is my problem. the market always goes further down and further up than what the norm is. that is my issue. in the last 14 months we got a lot of the 1-sided trade. apple and amazon and microsoft went up and you see them coming up. i am a big believer in one plus one equals 2. when i see hotels and airlines, expedia and priceline and the cruise lines, one day too late rather than early. if it continues lower you could

lose something serious and that is where i am playing it. >> our viewers are seeing the flight to safety. a long time since i have seen such safe havens. a 10 year treasury yield, one.26%. it was 124. the point, that is sharply lower and implies a ton of money going to the safe haven of u.s. treasury securities, a record low, one.24%. the 30 year treasury down to one.75%, that is extraordinary stuff. as for the price of oil demand is cut worldwide for oil, gasoline, jet fuel. demand is being cut drastically, oil is down to $46. ashley: down 4638.

stuart: bad news for the drillers. good news for consumers in the sense that energy is cheap and gasoline will come down. we are about to open the market and we will be down, jumping up and down this is a downside move is 9:30 eastern time up and running and from the start we are down 500 right off the top, 500 points lower, close to 2% drop, 505, we don't have the board on the left-hand side of the screen. those stocks opened 505, one.7%. that is one.8% down. the nasdaq is down 2.5%. full-scale selloff, monday, tuesday, wednesday, thursday, sharp downside move. we are in correction territory.

27 of the dow 30 down, now it is 28. >> mark got an upgrade. >> mark is up. stuart: the nasdaq, look at the bottom of the screen, nasdaq in correction territory. >> came from its most recent high. stuart: down 10% from a week ago. >> most recent high. stuart: a week ago. that is a selloff. the one we are in now has the potential to be the worst week. we have the potential to be the worst week since the middle of the financial crisis in 2008. give me some commentary. >> the knicks are still

terrible. let me say this. i would not be surprised any day to get a leak out of the fed and jay powell about a late cut not in april but in march. i say this for two reasons. since the low in december 2018 every drop in the market got jack powell to go easier, and excuse with the virus and the 10 year being at one.3% on the fed fund he does not need to be higher than the 10 year but i expect something like that to occur in the next few days if we continue lower. at the very least, leak the low rate. whether it helps the market i don't know. i will tell you this personally. today is the first day that i have a little bit of energy to do some buying. i could tell you a couple times

yesterday i was thinking and walked outside my office just so i don't do anything. the news is fluid, 3000 out points, 5 or 6 trading days gets my ears a little up and my eyes wider open. stuart: it is 9:32. i know you will be with us until 10:00. you have 27 minutes left. if you buy anything in the next 27 minutes i want you to break in with what you bought and why. >> gladly. stuart: if you do. scott martin, gary is talking about the likelihood of the federal reserve moving to lower rates. would that do much to help the market or stabilize the market? >> it would be stabilizing. it could be short-lived because the market is expecting it. that is where the market has gotten, the market is leading jay powell as it did in 2018

when they made the ridiculous interest rate hike and crushed the market. the market is expecting things. it is like my kids when i come home from a business trip. if i don't have a gift it is they are not happy to see me anymore, similar to the fed. they are happy to see the fed if they get liquidity. the markets and interest rate curves we have seen, these crazy yields, the market is saying we expect this interest rate cut sooner rather than later and if the market doesn't get it we are at big risk. stuart: when you give presents to the kids after every business trip you have lost it. what do you have? >> 24 hours ago larry kudlow said he's not expecting the fed to have a panic move and cut rates right away. this is what a lot of traders are hoping for.

stuart: the yield on the ten year treasury was one.55, one.6, now it is 124. >> yesterday we touched one.34, the all time low. clearly there are movements but it is short-term. is that when we come enough of the federal reserve to say we will cut rates one already cello and we may need that room for movement when the economy starts to slow down? stuart: we shall see. can we start with maga stock started with the trillion dollar club. and if you're in those - it is up 5 bucks. out for bit down 44, apple is all the way down to 283.

it dropped 40 bucks, down $10. is this important? >> maybe, we don't have a date. the ipo will take place after the sec complete the review process and the confidential submission of a registration statement for an ipo. stuart: that is a good story on a day like this. who on earth would go public in an environment like that? maybe we will bounce back by then. come into this. it seems to me if you have such a sudden sharp decline, can't you expect a glimmer of hope that we will come out of this, if you have a move on the upside? >> not equal but a good portion of it.

some stocks that are down $150 will rally $50 quickly but you better catch them quite correctly and very timely especially if the trend is down. speaking of rates, the major trend in rates continues to be down. it is not a minor trend or short-term trend. when i see the 30 year, one.8 or less then that it tells you everything you need to know and i suspect it will go lower. we may see at under one% which scares the living will use out of me but is great if you're buying houses and borrowing money. stuart: thanks. christina is sitting next to me. >> crippling notes to you. stuart: we have a amaga stocks,

those are the big texts. she scribbled something out me. >> the viewers that are watching right now responding, one viewer, tweeting it out. tell me some good news. i just lost thousands of dollars. for in akron for stocks, he came up with netflix apple and -- >> stay at home stocks which should do well. netflix has been doing well. apple under pressure from china. >> the products -- stuart: from any? eddie goodwin, we like that. scott martin, i was saying yesterday the individual investor. why not buy something if it is in your pension fund, sell it at 10:32. is that good advice? >> i would assume that person's employer would be disgruntled,

they are watching the markets instead of doing their job. in iras we have been moving things around. i hate to belabor a point but there are other things, they are very red but stuff like gold which we have been talking about a lot and bonds, with rates falling it is not a bad idea especially if you are in the tax-sheltered area, a lot of people have gains, if you have it in an ira, taking a little risk off the table, waiting to levels are lower in getting back in. stuart: when we open the market minded a half minutes ago the dow is down 505, now, 9 minutes later we are down 360. stuart: let's not get carried away but you can expect this all day long.

ashley: the index is up again. stuart: it is up and down all day long. steve madden, minor-league player. stuart: look at shares of shoe down 10%, they sent their full-year profit, take a hit not just from the coronavirus but the terrorist situation down 7%. david said something earlier, he sees no corporate profit growth in 2020 because of it. stuart: show me microsoft. they did warn about their supply chain. stuart: personal computing sector in the second quarter but if this goes into the summer than for your guidance will be tough as well. stuart: microsoft winding down $7, now it is down none for. there will be a lot of people in and out, tempted back in

again. who is calling me? >> let me tell you if i start to see bad news or perceive bad news. in the short run i have a modeling these markets. when you think everything is going well and we are rallying up an hour later we could be right back down. it is how markets react to the news and if markets are going down we will look for signs and a great sign today would be if microsoft which opened up with lower numbers finishes down one or up one that will tell me the big money that drives the markets is defending things into microsoft being an important bill with a gives me one signal but i think it would be a start but it is a long day today and don't blink as i say.

stuart: i think i spoke too quickly, down 500 in "the opening bell," 30 second we were down 340. we are back down to minus 440, a very fast acting market. don't blink any individual investor who think they can trade this market like a computer watch out because this moves extremely quickly. can we go back, how about travel stock? they were being pummeled earlier. trip advisor, expedia, booking holdings, 6% down, they are taking it on the chin. >> this is from gary's story.

you can weigh in, anybody can cancel without penalty, if more airlines do this it is not just a temporary hit, but something fed into the next 12 months because people have this credit and won't be using the money later on because they have this credit and the penalty fees they are waiting for. a lot of money could be lost in the airline industry and often the administer to get it first with any global development, sars, virus or anything like that. stuart: if the seat is vacant the economics of that empty seat, you lost the revenue. >> some of these sites are $400 just to go round-trip. >> if there's one thing we know about the airline industry airlines usually follow airlines in their moves. if they raise prices on baggage the next one does so i suspect

there will be other airlines following jetblue, people can put off travel for a year and keep that money and if you put off travel which tends to feed on itself something to be watched closely but stocks may have reflected already. some of these travel stocks have crashed, dropped 25% in a week or two for me that is a crash and maybe that is enough. >> you are watching the bright spot. >> here they are on your screen, long track record in developing vaccines. one of the only ones going up on the dow, the same thing, gilead going to later stages to develop a vaccine, looking at one of the early with the

moderna they are trying to create this vexing, the longest, fastest time in a month period, they got the genetic imprint of the virus in january and able to turn it out in a 3-month time period that would be record-breaking. with the sars virus it took 20 months and then clorox, first thing i did was took a clorox white. this is not suggested for human skin use, part of that mentality, a 52-week high. stuart: that anxiety mentality is coming upon us. i was thinking of taking a trip on a plane this coming weekend. would that be responsible? is the responsible thing to do, to go out and fly in this day and age? ashley: tough to know, you

being in close proximity to other people in this environment. stuart: suppose i took a trip to a place where i come in contact with the virus i am up the creek. ashley: you become a carrier. stuart: if i don't appear on the show you know what happened. senator rick scott, great to see you. thanks for coming here on a difficult day. mitch mcconnell expect the full senate to take up the virus funding legislation in the next two weeks, seems like a rather long time frame. >> my understanding is the h h s needs more money. the white house has asked for money. if we start with $2 million it is the right amount. i'm glad the president -- i called on them to do that. the cdc needs to start a 24/7

hotline, get rid of the rumors. anybody can call and find out what the facts are so we have better information. they need to do more by talking to local and state officials to keep everybody informed. i went through something like this with vega when i was governor of florida. stuart: i want to tell our audience we are down 600 on the dow industrials and the nasdaq composite down 257, close to a 3% drop. all of those are in correction territory. yesterday the president was asked are you prepared to quarantine cities and he said yes, if necessary, we could do that. will he come to such an extreme? >> you hope not. i'm disappointed in communist china.

the lack of transparency. we should have more information than we had. it is all cost because communist china doesn't want to be transparent. hopefully that will never happen but by family members are calling me asking me what i know. a lot of people from florida are calling me, what do i know? it is important the vice president is constantly keeping people informed? will there be shortages of computer goods? i talked to the commissioner of the fda. will there be shortages of medical devices, people can react and make a better decision. stuart: a lot of disappointment on this program when we saw the reaction of senator schumer who

called the president dangerously incompetent and nancy pelosi who called the response to the virus shameful, late, too late and anemic. a lot of us were hoping for political unity as we face this nonpolitical crisis but doesn't seem to be there. >> it is disappointing but that is all schumer does. schumer is a political hack who will say whatever it takes, he wants to be majority leader but updates, the senators are getting updates from cdc, hh s, homeland security, we have been able to ask questions and get classified briefings. at the classified briefing earlier this week i didn't see senator schumer. everything for him is all politics. my goal is get the information out, be very transparent, let the american people know what is going on. i believe these agencies will work together.

it's important to do what they did yesterday, have a press conference, put somebody in charge. stuart: the latest downside move on the stock market has come after the new case in california which has no connection to travel or connection to another carrier. that is what is upsetting things at the moment, we are down 600 points. >> where we get better information is south korea, they have a better healthcare system and they are transparent. communist china whatever they tell us is not truthful. we will get better information to see what the incubation period, we will get better information when it happens in a place like south korea. stuart: i know it is a busy time for you but appreciate you taking time to be with us today. let's get to lauren. tell us about diagnostics.

>> stock is up 115%. they are raising money for research and development. they have a diagnostic test for the coronavirus. people are at home, do they know if they have a coronavirus? they've been locked down. you need tests for all these people. stuart: 112%. is that an at home test. >> >> they sell what you need to have a test. >> ali do is take the temperature. >> don't know there's a proper test. stuart: code diagnostic in a that is a bright spot. >> they have to do with

earnings, point of sale, you send money to each other using an apps. and in sc, the online marketplace you are seeing double earnings of oppenheimer analysts, 55.90. there is a viewer, the map acronym, you should but amazon instead, those are the best. stuart: i bet you never heard -- >> you order take off or use

uber eats. stuart: get off my lawn. stuart: we shouldn't be laughing away at this. >> i am younger than him. stuart: that is cool. a moment of levity is justified on a day like this. do you find anything funny, anything to make me smile? >> 0. what we do is have people on my radio show, we want to guide them through special times and keep their feet on the ground, let them know 100 years of history this country continues to produce great people and great inventions and medical technology. we have times like this.

we have lived through crashes and smashes and flash crashes, republicans and democrats but eventually things are better. we don't know the timing of something like this but we will get through it. that is the best positive i can give you but i don't know when. stuart: left-hand side of the screen, all-time low on the treasury, the 10 year treasury. i saw it at 124 but we will take that, one.25%. that is an all-time low. let's not quibble over a hundredth of a point here or there. those rates are astonishingly low. 176 -- ashley: you could be german, minus half of one%. stuart: we have never seen that. scott martin, what do you say about this? >> i will tell you something funny but true. looks like i picked the wrong week to quit drinking. here's the other thing with respect to what gary said.

when you feel like throwing up when you look at your accounts, that is the official barf bottom which means we are getting close to the end of this thing, that is when it tends to come to a end when we get to the peak of irrationality. stuart: in california they are -- >> we come to a end when we have an all clear when the virus starts to show up in the numbers and manufacturing data out of china is it affecting them, our own manufacturing data how bad does it get, then you know you hit bottom. >> the market is preempting. stuart: down 450 on the dow industrials. we have been down all morning, 300 points. you are watching the trading platform. >> in this environment a lot of retail and individual investors

are asking that question. the ones you are seeing on screen are experiencing stickiness meaning people are going to buy or sell stocks, move things around in their portfolio and so many people are doing that that all these companies have been fielding client consumer complaints that is taking them too long to get on the site. in general, we've talked about this in the past 12 months. they are not going to make money, they are fielding complaints. they are moving things around. you have retail investors that have never played the game and they have joined because of these platforms.

i wonder if the psyche changes because they've never seen this volatility in this short amount of time so are they selling or reacting. these are retail investors and how much would affect this movement. >> schwab or td. and that would tempt new people in. >> we have volume, that stock is up today. stuart: we'll bring in retail industry watcher doug stevens. welcome to the program. national retail federation has fairly ambitious sales forecast for this year. they think retail sales will go up between 3 1/2 and 4% this calendar year. what do you make of that, that is a very optimistic forecast? >> yeah, it is a very optimistic forecast, stuart, indeed. as it pertains to the entire retail sector i don't think we

can even quantify at this point what the impact of this virus is going to be. certainly for the luxury sector in particular the degree to which luxury players for some brand, this is only bright spot globally for revenue and profit. they are being hit what only described as quadruple whammy. luxury buyers in china all but ground to a halt. retail tourism, chinese citizens leaving china to go shop in places like paris, london, tokyo, new york, of course that is now curtailed. the stock market volatility will particularly hit high worth individuals. that is going to potentially up sit spending there. that doesn't even account for the back end problems that will be experienced in terms of supply chain disruption which may not show up until the fall

of this year. so when you add it all up 43 billion-dollar hit into luxury. stuart: doug, you make good points there. last one real fast, i think the big problem for the bricks and mortar people in the united states, bricks and mortar retailers if people stop going out, they don't want to mix with other people that would be a huge red flag for the bricks and mortar people. give me 20 seconds on that, please. >> there is no question. what we're hesitant to get on a city bus or get on an airplane, for many consumers last thing they want to do is get in the car to go to the local shopping center. you're quite right. i don't think we can fully quantify the impact of this. stuart: doug, you have good information. i'm sure you understand it. doug stevens, thank you very much. we'll see you soon. thank you very much indeed. coming up, almost 15 seconds

away from 10:00 eastern time. a bigger percentage loss on the nasdaq. about the same on the s&p. this is a selloff and it's all across the board. happening this hour, health and human services secretary alex azar, he is testifying to the house ways and means committee about the virus. you can expect some headlines from that. if we get them, you will get them too. now we just received, just after 10:00 eastern, it is mortgage rate day. ash? ashley: here it is. what do you think? 3.49% last week. what do you think? stuart: 3.45. ashley: brilliant. stuart: thank you. ashley: gold star to mr. varney. 3.45%. this time next week we will see a drop in rates because of pressure we've seen on the 10-year treshtry but we'll see. freddie mac, low rates, higher

con con con con consumer confide is driving low rates. stuart: 2.95 on 15 year fix. 3.45 on 30 year fixed. i think big drop comes next week. pending home sales, that is important indicator. lauren: biggest part of the housing market up over 5% in january. that was a strong report. this is contract activity. as rates go down, people are signing contracts to buy homes. not new homes but old homes. previously-owned. take it away. stuart: we can't -- ashley: we can't get refinancing. lauren: i was trying not to say expected. it came out of my mouth five times. stuart: i want to update you on certain items concerning the coronavirus, perhaps most important, a case in california which is unexplained. in that sense it is unconnected to any travel and unconnected to

contact with anybody else who may have the virus. that is particularly troubling. from overseas, this we hear in japan they're closing all schools until april. that is a draconian move for japan. let's get the politics in here. brad blakeman is with us, former deputy assistant to bush 43. brad, did mr. trump sufficiently relief the anxiety about the virus at his meeting in the event yesterday? >> i think he did. i was fortunate enough to be part of the pandemic preparation team of secretary leavitt under president bush. i can tell you that that plan worked well. president trump is building off of that plan and creating his own based on this new, what could be a pandemic. he assured the american people that the federal government is doing everything possible. in addition we're coordinating with state and local governments

which are the front lines, most responsive to people in their communities. this is something we should be preparing for. whether it happens or not. stuart: what did not receive sufficient publicity, this is my opinion, he was asked directly are you prepared to go much further in the event the virus spreads? are you prepared to quarantine cities in the united states, for example? he said yes. the president is prepared to take really draconian action if the situation merits. >> right. his charge is to preserve and protect our country and he will take all actions to do that but he will do it commensurate with the threat. look at his funding. we still have funds not spent from the ebola virus and president trump is right, we can't throw money at it. we have have to throw enough money at it that can be spent and absorbed, spent wisely for the american people. it is not how much you spend or the amount you spend, it is how wisely you do it and how

effective it is. stuart: what surprised me. really upset a lot of people was senator schumer who said that the president was displaying dangerous incompetence. speaker pelosi said preparations were shameful, late, too late and it was an anemic response. you know times like this, don't we want some national unity? >> no doubt about it to politicize the event is shameful. it is an indictment on professionals who have been working day and night long before the pandemic or possible pandemic was identified. remember pandemics are natural in nature. we had three in the last 100 years. it is not when it will happen, we have it be prepared 10 years from now, 100 years from now, always prepared. the fact is our professionals, careers, working at cdc, working at private universities, public universities, they're doing

great work and to say that their actions or the federal government's actions are not up to par, as the president stated according to johns hopkins, we're number one in preparedness. so we should be, we should be getting behind the president in any and all efforts in order to protect our society. stuart: brad blakeman, thanks for joining us on a busy day. always appreciate it. >> thank you. stuart: ashley is with us with news on tesla? ashley: down four sessions in a row. it is now in bear market territory if you look at it. hit a high of 917 back on february 19th. which was six trading sessions ago. since then it is down combined 23%. 20% is the bear market territory. tesla off today, 8% at 715, just six sessions ago it finished at a high of 917. exposure to china for sure. we know they made a big push into the chinese market. stuart: i don't go for all the

technical definitions but they can be useful. tesla down 10% from recent high. bear market is when you're down 20% from a recent high. dan suzuki with us, chief investment officer. dan, if somebody had the cash, and a strong stomach, do you recommend they buy anything with the dow down 630? >> i don't advise people to really market time. the history of the markets show that trying to market time these things not a good idea. if you're underinvested, you should probably invest more and continue to invest and not change your strategy not panic sell. similarly, if you think about coronavirus itself probably overpriced into the markets with the market down over 10%. stuart: you think we've gone too far? >> just the coronavirus itself. the problem, the macro backdrop wasn't that strong to begin with. i've been on the show talking about this. if the market can go down in

2018 trading 17 times, earnings growing 25%, what is to say it can't dough the same or more when market at 19 times and earnings growth is basically zero? there is a lot of risk out there. the macro backdrop is not that strong. policymakers used up a lot of white blood cells last year fighting slow down in growth. they would have been successful. now you're hitting patient very weak and recovering with a low white blood cell count. you're hitting keyorg again. china, rest of the world at a time of weakness. stuart: you just, doesn't matter who you talk to, there is no way of knowing where the bottom is here because it is a fast moving situation. this virus, it is not finished with its explosion around the world. so you don't know where the bottom is. >> that's right. if you think what will drive the bottom, i think about a couple things, starting point on positioning valuations is really high. stuart: hold on a second, for ordinary people what should they

look for as a bottom? what is the sign you look for? >> things are not getting better or getting worse. market doesn't care about good or bad but getting worse. stuart: newer case. >> you've seen during the last couple weeks during the selloff, china is doing well because their new cases are going down but outside of china because new cases are going up. stuart: we have one case in california, i'm not trying to make you a medical expert by any means, one case in california, unrelated to travel or contact with a virus carrier. if we get some kind of more cases in america, then the number of new cases starts to come down, that is the kind of good sign that you're talking about? >> when new cases come down, i think we're aways away from, that is a good sign. with the case you're talking about california was bound to happen. what you're finding is that it is less, fatality rates are lower but, spread is going to be a lot wider than lot of people

think. people are saying they had instances people coming back for a second round of infection, right? so i think these things, the fact there are some people are infected with the virus, yet don't know it, not showing symptoms, that means it will spread more than people think. stuart: all right, dan, what a day. now we're down 575. when we started talking we were down 640. >> usually happens like that when i'm on the show. stuart: isn't that right? we'll not invite you again. thank you. we appreciate it. lauren, best buy, what is going on? lauren: down 3%. reported earnings strong selling phones and appliances but making comments about the coronavirus. it is a short-term disruption so they say. it is difficult to determine how supply chains coming out of china will be affected and ability for them to get electronics. stuart: interesting new case in china today. ashley: yeah. stuart: literally the virus gone around the world. started in china. exploded out of china. made its way to iran.

ashley: yeah. stuart: now, a guy who traveled from iran to china has taken the virus back with him. so they have got a new case in china originated in china but went all the way around the world to get back to him. how about that? ashley: there you go. a couple interesting nuggets. tehran canceled friday prayers today. they are taking it very seriously. i was reading in italy the government very upset with media in italy saying they're overblowing the fear factor, telling national broadcaster in italy, rai, to tone it down. mayor of milan says this is out of control. asking museums to reopen. milan, two northern areas of italy, lombardi, venn venn neat-o they're ghost towns. don't get into a panic is the message from italy. stuart: down 650 on the dow. lauren: annual haj pilgrimage to

mecca. saudi arabia blocking foreigners to come to the sites because they want to protect the prime minister gym imagine. stuart: dramatic move in islam. on our screens now, put him on please, is the man i've been wanting to talk to a couple days. this is the man who knows a lot about this virus. his name is matt mccarthy, the author of the book, "superbug" of. have i got that right? >> you do. stuart: you do this for a living. what is the significance after this new case in california. >> this is problem. i'm hear to tell you the testing we have country is a mess. we failed to produce an adequate test. we were not testing the right people. good news, trump came out put pence in charge. we have a chance to turn this around. this is the time for leadership. we're not testing right people. we could be missing cases. stuart: wait a second, we don't

have adequate test? >> cdc created a test, sent it to all 50 states, wait a minute, the test doesn't work. we've been sitting on our hand. we've been testing a limited number of people. for weeks we only tested 16 people a day. now we're ramping up to hundreds. we're testing thousands of people. stuart: random? >> problem with the reagents. what you have, when there is public health emergency, we like to have fda approved tests so we have quality control, precision matters but the cdc didn't get this right. now you have all these private companies, as you're seeing coming out hey we could make the test. so we're looking to start utilizing this robust framework we have in private industry to start doing these tests. ii want to speak directly to vice president pence and say, this is the time to cut through the red tape and get the testing right. i don't want to hear another word about vaccine or a clinical trial and a new drug until we get the testing figured out. until then this is all a mess.

we have to get the testing right. and that's not a, that's mainstream scientific opinion right now. stuart: wait a second. so if i, i've got the sniffles,. >> yep. stuart: suppose i did and go to hospital or doctor, anywhere in america, and they don't have a test for the virus? >> they would screen you with an outdated screening process. they would say have you been to china recently? have you been in contact with anyone who is sick who may have the coronavirus? we're not asking you if you've been to italy or south korea or to any of the more relevant places right now. could you have come back from iran. you could be harboring the virus but according to the algorithm we're using we're not capturing all of the people. so again, this is, we have a leader that has been appointed. trump put pence in charge. this is the time for leadership. get the testing right. stuart: isn't there actual tests? >> absolutely. stuart: my blood or -- >> there is a test. called rtpcr test. stuart: it works? >> it works all over the world. stuart: but the screen something wrong? >> part of it is we can only do

so few test as day we have to use a screening process where we say, okay if you were in downtown wuhan we'll use this test on but we don't have the capability to test you if, for example you were that patient in california we just saw, the patient who came in. the doctor said we're worried about this guy. the cdc said, you know, based ton our screening process this guy doesn't meet the criteria. they let the person go. we have to get the testing done. this is the time for leadership. this is the time to stop talking about vaccines. they're months away. start focusing on testing. that is the beginning and ending of this conversation really. stuart: do you believe we're on the verge of a breakout in the virus in the united states? >> i don't. i think what president trump did last night was really important. he established a chain of command. he surroundings himself with some of the country's top scientists. tony fauci is up there. he is the first scientist i interviewed in my book because i

respect him so much. he laid out exactly what we're going to do. but there is bureaucratic red tape that is preventing us from testing all the people we need to test. that is what doctors across the country, epidemiologists across the country are saying. in china they did 300,000 tests in a matter of three weeks. we're doing a few hundred test as day. that is simply unacceptable. this is the time for leadership to get something done. stuart: if we had reliable test, instant test, what should we do with it? go out en masse and test as many thousands of people a day at random all over the country. >> as infectious disease specialist this is my job to figure out who do i test. if you came into the emergency room with certain set of symptoms i would test you regardless where you've been and that, think about how powerful it would be. if a guy like me could sit up here and say our country tested 10,000 people, 20,000 people and we haven't found a single case? think how reassuring that would

be to everyone. instead we're saying we have only a few tests but we're finding it here and there, maybe there is more. people are is being asked they could be transmitted, could have it, all the fear and uncertainty. it is all about the testing. it is not about investing in a vaccine more than a year ago or random clinical trial for some other drug we'll have not for months. get the testing right. make it happen. stuart: do you think private enterprise could get a test. >> they could. both private enterprise and academia, laboratories as brigham, mass general, cornell, they know how to do the test. it is not a complicated test to make. i teach an undergrad course in medical ethics. we were talking about the nuts and bolts making the test. what is so hard doing artpcr? we're doing this in the laboratory every day. something in the reagents didn't go right. i'm confident they will fix it.

we'll get the testing ruled out soon. if i had a message, testing will be done properly soon but we're not there yet. stuart: matt, mccarthy. that is an eye-opener. thank you for appreciate it. the name of the book is "superbug." it has nothing to do with this virus? >> it has all the to do with the diagnostics of all different pathogens. stuart: i'm not a doctor but matt, come back. >> happy to. stuart: deirdre bolton is watching the mask makers. >> sure am, stuart. i have stats to bring to you. look at alpha protect. you can see that on the screens there. amazing rise. we've been talking about this. in less than one month more than $14 million in orders is placed with the company. think of this, each mask sells three to $5 depending on model you get. obviously you have a lot of orders to get to 14 million. lakeland is another one on the

screens. hitting another new high. traders speaking with here, as i walk around the floor saying this selloff is real. i didn't need to hear that directly. when you look at the board, down close to 640 points. i was asking about a comparison. the fact this is the worst week for the dow since 2018, since the financial crisis. the fact we're in correction, i was saying what will it take to have this selling stop? so a lot of traders telling me, listen, we need some bit of good news orbits of good news to trickle in. whether that is about significant progress being made on the vaccine. we know that moderna has it shipped for testing but there is no really immediate feedback. most experts tell us we won't get that until july or august. if some indication even leaked, one trader told me they would take it. as for the vaccine showing so far to be effective at treating the virus or, for example, to hear some cities are -- one business partner in hong kong,

an american expat living there running a business, who frankly come home. the city is point-blank shut down for business purposes. so then you begin to feel the larger effects of how many other businesses are going to shut down? goldman sachs even said this year for earnings will be very much challenged. based on corporate earnings, stuart. stuart: deirdre, thank you very much indeed. the i might add the dow is down 662 points. matt mccarthy, the author of "superbug," moments ago he delivered something rather bad news. he said categorically we don't have a really good test for this virus. we should be testing thousands of people a day. but we're not. because we don't have a good test. market down more, 667. what have we got on jcpenney? ashley: interesting. they came out with fourth quarter results they actually beat expectations well-done penney's. they talked about this year,

comparable store sales. they forecasted down 3 1/2 to 4 1/2%. that was a lot bigger drop than people were expecting. that as you can see hurt the stock. it is only down six cents. that is 8% when your share price is 67 cents. the outlook hurting penny. stuart: get to interest rates and the federal reserve. i wonder if they will cut rates? the market is suggesting they will cut rates. peter morici with us on the phone. i think the fed will cut-rates but will it make that. of a difference to your supply chain and all the other problems facing this market? >> there is two things here. the stork market, would make the market feel better, may stop the slide, however the economy heads to recession is not much good. this is a supply side problem. businesses can't get their goods and factories can't get components they need to make things in the united states.

consequently interest rate cut, government spending more money doesn't do much good. it isn't that consumers weren't spend. it will be a problem consumers can't get what they want. p. stuart: hold on a second, peter. i have news coming in here. ashley: follow up on, lauren, you have this? lauren: we heard from infectious disease expert. he said we need testing. i'm sorry alex azar, hhs stating so far they have tested 3625 specimens for coronavirus as of this morning. he is saying at the hearing where he is speaking. stuart: they have tested 3,000 -- ashley: the good news, they have privately made coronavirus test can now be sent to 93 public health labs as soon as tomorrow. stuart: okay. ashley: that follows up nicely to -- stuart: news following up immediately what matt mccarthy said, look, you don't have pa good test at this moment. mr. azar has said, we're getting

one out there tomorrow? ashley: yep. stuart: i would call that good news. not necessarily for the market because it is actually slipped a bit further south. we're down 672. back to peter morici. i want to talk to you about what the national retail federation is saying. 3 1/2, 4% increase in retail sales this calendar year, 2020. that sounds rather ambitious if we get a slowdown because of this virus, right? >> i think it is. my feeling is that most of the data we've seen so far in most of the projections that we had have not factored in the supply side-effects. one thing to recognize the economists at the fed, economic profession generally is still very keynesian. they may add differently and keynesian. consumers won't spend. businesses won't spend. cut interest rates, cut taxes. i love lower interest rates and

lower taxes but this won't solve the problem of general motors getting a few critical components that are necessary say to make a chevrolet but it can't develop an alternative sources of supply other than china very quickly. you see how fast our public health system can react and does react. the chinese can't. obviously they're authoritarian system, does not deal with public health emergencies real well. getting people back to work in china, will be very difficult and risky. if they bring the people back to factories without the appropriate safeguards they could have a second wave contagion over there. stuart: we hear you. peter morici, thanks. i want to go back to the market. we're down 700 points. be clear here, the dow is off 700. back to 26,200. it is down 2.6%. a significant loss and in correction territory. meaning it is down at least 10% from its recent high.

same story with the s&p. barely above the 3,000 level now with a loss of 83 points. 2.6% in correction territory. nasdaq composite down over 3%. a loss of 277 points. now you're at 8600 and falling. okay. this is, i never used the expression free fall. ashley: no, no. stuart: it is a very severe and sharp decline and, now we're down 746. lauren: talking about panic seeping in. people getting nervous, this is only in china. wow this could affect me and my vacation plans in the u.s. i was with -- stuart: grave anxiety within the market. grave anxiety in the america. i wouldn't use that word. i don't think that is quite valid at this point. maybe on the brink but -- ashley: s&p bee lowe 200-day moving average. i know we don't like to get into

the weeds on this but it makes a difference with the computers, algorithms, it triggers other sell modes. it kind of feeds on itself. it is not free-fall by any means. it is nasty. like not like being in a elevator hurt telling to the bottom at all. stuart: never been in the situation but not at all like that. i was on air live television october 1987. on that day, the market, dow industrials came down 22%. that was a freefall. lou dobbs who was on the air along at cnn with me at time, he correctly called it, first guy to do it. it was a crash. this is not that situation. this is a severe decline. it has taken us down 10%, 11%. ashley: it is a correction. stuart: it is a correction. there you have it. let's show individual stocks now. start me off with some high-tech, big tech stocks,

please? they're taking it on the chin. i think microsoft is way, way down. remember i sold it at 159. i thought i sold too early. that was true. microsoft is now at 164, having gone up to 190. now back down to 164. you have a 4-point loss on facebook, 192. google down 40 bucks at 1350. amazon is down 68 bucks at 1911. microsoft 164. apple at 276. a downside move for apple right now. it has china connection problems obviously. it is down nearly 16 bucks. some stocks are doing well. i believe peloton -- ashley: no. crashing. lauren: remarkable run, down 6 1/2% right now. the national music publishers association and peloton have settled about a lawsuit over the songs that peloton was using in

their, in their workout videos. and by the way when i said panic before, i meant regular people. i was at a dinner last night. all of my friend were asking me about the coronavirus, if they should take trips with tear families. i wasn't saying investors. if i said that i didn't mean it. regular people are starting to get nervous. stuart: that is what happens on television. you go out to the dinner party the conversation is always about you. >> in a way. stuart: look at, down 800 points now, 26,154, down 804. peloton is now down 6 1/2%. we got that. now then, lettie sue is with us. is that correct? >> yes. stuart: you are an influencer, are you? >> yes. stuart: how is that going at a time like this when you can't travel? >> yes, what my father said. no international travel. but i said it is my business. what has been interesting is that this coronavirus fear is

affecting restaurants, specifically chinese restaurants and even asian restaurants. stuart: really? >> because, after all, apparently we all look kind of the same. stuart: come on. that is not fair. when you talk about affecting chinese and asians restaurants, you mean people are staying away? >> yes. chinatowns around the country and around the world, i hear revenues dune 50, 70% in some cases. i spoke to a chef owner of restaurant not in chinatown. it is malaysian and singaporean, seeing it impact his business. stuart: that is sad, that is ridiculous, if you think about it. >> it is. stuart: i could see avoiding crowds of people. i could see that. cinemark i could see that but a restaurant doesn't work for me.

any other areas, industries badly affected by this? >> because travel is on lockdown, businesses are suffering from the decrease in business from chinese tourists which make up a huge portion of luxury sales. i think the key thing is, that is not just a pandemic of the virus but a fear pandemic, right? because the virus does not discriminate. it has affected 4countries around the world. i want to emphasize, media sensationalism really closing off some inroads we made on culture and cuisine connecting people. really fear will impact business, economics and health around the world more than the virus itself. stuart: until this week. until a couple weeks ago, i thought the world was actually coming together. maybe i was wrong about that but that is the way it seemed to me. the globalization, we were coming together. not just cultures and people but the world seemed to be coming together.

now, it is breaking apart. >> yes. stuart: is that what is happening? >> yes. do you love chinese food? stuart: yes i do. >> noodles, dumplings, soups, this is all of our comfort food. bring you some next time. what's happening is, when fear strikes we want to eat comfort food at the end of the day and comfort food, chinese food has become so iconic and so beloved in america. it is just a shame now chinese and asian food has been conflated with this virus. stuart: yes. it is a terrible thing, a tragedy actually in my personal opinion. letiihsu? >> yes. stuart: thanks for joining us. 3% down for the dow industrials. down 804. jeff flock in chicago.

talk to me about interest rates please. they're on the way down, i take it in. >> big time. watching oil which hit, bounced off the lows. it is back down at the lows. hit low on session on oil. treasurys, they trade across where we are right here right now. all-time low in terms of the yield but here is something, you were talking about investors, guys, that may not be pro investors, how do you get into treasurys? well, the etf on that, that has just hit 52-week high. that has a bunch of different treasury bond in it, different exposures, different, you know, in terms of what they expire from the 10-year to the 30 and that has just hit an all-time high so some indication retail investors, guys as smart as you

and me, no smarter may be trying to get exposure there as well. what a day. stuart: you're right there, jeff. what a day. thanks for joining us we'll get back to you. look at big board, a little obscured by the commercial, we're down 850 points on the downside. 863, almost 100 points lower on s&p. down over 300 points on the nasdaq composite. the spiral down has quickened its pace. we opened at 9:30 with a loss of 500. came back to a loss of 350 at one point. then from there, straight down. now we're down 874, barely above 26,000. what is this? i have a headline here? new quarantines in massachusetts. ashley: the health department in massachusetts say they had 608 people under self-quarantine in the state. they're looking for possible symptoms of the coronavirus. almost all of these patients had

been traveling from china. they say 377 have completed the monitoring and have been released without symptoms. that is the good news. 231 are still being monitored in self-quarantine. stuart: self-quarantine? ashley: self-quarantine. self-isolation they call it in europe. you stay away from people, stay indoors. stuart: i made a mistake. that is in massachusetts. ashley: in massachusetts. stuart: these people traveled to china? ashley: almost all of them recently traveled from china. we'll get more of this i believe. stuart: we're down 900 points. ashley: yep. stuart: maybe, maybe the news on the massachusetts quarantine, maybe that, i doubt it. i think the case in california is probably more upsetting. >> it feeds on itself, stuart. i believe that. stuart: it does. the young lady, the influencer suggested that the hysteria in the media is feeding this thing. i don't want to happen on this program. we're feeding any kind ever hysteria here.

we're reporting what is going on and why. ashley: right. stuart: we're down 900 points and the virus is the reason. mike murphy on the phone. mike, any sign of any kind that we might be near a bottom? >> we're, i'm with you 100% here, stuart. we'll not create any sort of hysteria. bottom or not, i'm not certain but there are opportunities in this market right now. we have had a major correction. we're down over 10% in the markets. there is some quality names that are down 20%. you need to look at these names and be a buyer. we bought shares of disney today and on your program tuesday, i told you if i could get microsoft down in the 160 range would be buyers. we bought microsoft today as well. stuart: we're down 900 points. you can't tell -- i think -- you know there may well be some retail investors the individual investor may be doing trading. you have the account at schwab

or td. you don't pay to make a trade. get no microsoft say at 160, sell it five minutes later at 163 or something. you've made a profit. if that stock is held within your pension plan, you don't pay any tax. you think some of that going on, mike? >> there could be for sure, stuart but i think what is really moving the markets lower is program selling coming out of some bigger funds that had huge runups last year and now are just panicking and you have program selling reading words like quarantine and seeing down 700, down 800, down 950 and that selling is creating more selling coming into the market. stuart: doesn't that create a sharp spike up on the other side, the moment you get anything positive? >> absolutely. that is why because i can't come on stuart and tell you when we're going to get positive news regarding coronavirus, what we can say is, look for

opportunities. down 20% on a company that is growing the way microsoft is? that is an opportunity. you separate in there and buy it. so rather than trying to time coronavirus, look at your invests out a year from now. look at apple trading at 274. if you are kicking yourself at 330, now is a great time to get involved. stuart: okay. you bought microsoft this morning. you say you bought some disney? >> disney at 119. bought microsoft, a little bit higher than this, around 164. stuart: have you sold anything today or this week? >> no. we like to buy low and sell high. i wouldn't sell into this. one thing we talked a lot about, stuart, was uber. uber had a huge ruinup in the low 40s. we bought it down in the high 20s. we still own the stock. we have had a correction in the stock, down over 20%. i wouldn't be a seller here, because people will get past the

coronavirus. they will take cars. nothing good comes from panicking. stuart: i use yield on 10-year treasury as my anxiety indicator. that indicator went down to 1.24%. am i right that raises the anxiety level in me and everybody else? >> 2 does for sure. that is part of it. right now, stuart the real concern for the market, what if this shuts down global trade? people are trading as if that is going to happen. that is a very small, minute possibility right now but a greater possibility today than it was a week ago or a month ago. so that is what people are trading off. i'm of the belief we will get past this. that the global economy will not come to an absolute stand still. once we get there you will see buyers come into the market. for viewers watching at home, this is the opportunity they have been waiting for.

besides the human story of the coronavirus, this selloff based on that this is giving viewers opportunity to get into the market to, get into quality names they missed before. stuart: yes. as long as you can assure people there will be a another side of this, we'll come out of this, we'll go back up again to some degree when we sebright and good news. that is the premise, isn't it? you can buy bargains but only do it if you really believe we'll get through this and stocks will go back up again? >> for sure. stuart, someone said to me a long time ago when i started in this industry, never plan for the end of the world because it only comes once. so right now i'm confident in telling you we will get past coronavirus and there will be another side of this. stuart: okay. mike, thanks for jumping on the phone like that so fast. we always appreciate it. this is a very big day. we welcome your expertise. as of now we're down 800 points. see how we came back? we started talking to mike.

we were down 950, almost 960. ashley: volatility is remarkable right now. very high volume. vix index, fear index up nearly 30% at 35.6. means nothing to anyone. just reaffirms there is a lot of action going on in the markets right now. stuart: look who is here, senator joni ernst, iowa republican. senator ernst, welcome to the program. >> stuart, thank you. stuart: i know you're at cpac. i know you can hear me okay. this virus is place where we need government action. i think conservatives can unite on this, we need government action on this. >> absolutely. absolutely. stuart: do you think we're getting the right kind of action from the president? he is suggesting we could actually be quarantining cities at some point in the future if that's necessary. are you satisfied? are you happy with this? >> well, what i see from the

president is action and i'm so thankful he has put vice president mike pence as the point person dealing with the coronavirus. and what we saw from this administration and this president was immediate action when the coronavirus popped up in china. he diddies allow travel to those, to china and from other nations affected by the virus. quarantine of american citizens and others trying to enter into the united states from those known affected areas so i do think he has taken a strong stance on this. i'm so thankful the cdc and public health departments are actively engaged. stuart: we can tell because we can hear the noise, you are at the cpac conference. we heard loud applause moments ago, and hearing music. that is a conference of conservatives. has virus dominated the conference or is it all about

mr. trump and democrats? >> what it is about, the title of cpac this year, america versus socialism. so a lot of our conversation has really focused on free market economies and the values that that wees spouse here in the united states against socialism which is the -- of opportunity and freedom. it has been a great discussion. i'm glad to see such an engaged and lively audience. stuart: madam senator, very difficult to hold a conversation with me, all that noise in the background. thanks for joining us. we really appreciate it. madam senator, joni ernst. thanks so much. okay, down 753. you know what that means? in the space of eight minutes we've gone back 200 points, just like that. snap your fingers and away we go. jonathan hoenig on the phone with us. jonathan, what's going on?

>> stuart, i wish i could say it is great to be with you. you look at markets i'm reminded of the old stock market adage when elephants are dancing mice get trampled. pretty much amazing ranges, 1000-point ranges day after day. the markets having the worst week obviously since the global financial crisis since 2008 and it's hard to argue stuart, we're anything else other than than oversold here. only 1% of stocks now are above the 50 day moving average. 53% of stocks are above their 200-day moving average. i told you yesterday i thought this is a falling knife. i still think this is falling knife. when the best argument you can make about a market it is oversold. stuart: have you bought anything? >> i haven't been buying anything. we talked about this couple years ago, big believer, buy on the way up and sell on the way down. i'm been selling short, banks,

other stocks, will head even lower from here. the best thing on my screen, we talked about this better part of the year continues to be gold. it is up obviously today but it has been up better part of a year as i said, stuart. i think that trend continues even when the global, coronavirus paranoia and panic secedes. stuart: we heard about the federal reserve might drop interest rates. would that make any difference either to the market or the economy? >> i know the president, stuart, has been advocating for lower interest rates but he might want to think twice because as you know ultralow interest rates are historically a sign of a weak economy, a failing economy. you know that certainly been the case in germany and europe. the german stock market i believe is down eight or 9% year-to-date. their entire yield curve, all their bonds are negative yield. here at home our own yield curve, three to 10 month spread is inverted.

sounds a little wonkish but long way of saying yield curve, you were actually right talking about the 10-year as an anxiety indicator, when you see interest rates plummeting this far, this fast, it is a sign not only are lower rates to come but the economy is not as strong as perhaps we previously would have thought. stuart: ouch. jonathan, thanks for joining us. always appreciate it. we have come back to a loss of 780 points on the dow. we're down 90 on the s&p. almost 300 down on the s&p. back to the new york stock exchange. deirdre give me a sense of the mood will you please? >> the mood talking to traders and sometimes people on the phone, people running hedge funds, one distressed debt fund manager traded more in the past 45 minutes than in the past four months. it shows you the level of engagement and you were just talking to jonathan hoenig about the possibility of a fed rate cut. there are a lot of people who

down here say, that would be one point of certainty for the market, for sentiment, would at least backstop some of the selling. let's face it, we'll not have any conclusive information in the near term about the coronavirus, about which vaccines work, about which ones don't, about the difference between people self-isolating and being quarantined. all of that is very uncertain. we know as jonathan hoenig was mentioning, the fed already telegraphed it would be tapering, stopping purchases in the second quarter. that already has some investors, especially in the bond market a little bit anxious. this just piles on. we'll get criticized saying the fed should step in. we'll kick off a whole discussion on that, but i'm saying traders are busy stu. bottom line. stuart: high anxiety time. that is what we've got. thanks very much, deirdre. i want to bring in brian wesbury. you're an economist. >> yes. stuart: let's get some sense of america's economy because i see europe going straight into recession because of the virus

an because of their orientation. i see china really slowing down dramatically. so my question is this, look, are we heading towards anything close to a recession in the united states? >> data right now, stuart, do not suggest that. we have not seen a spike in initial unemployment claims. there is a couple of pieces of manufacturing data. but remember these are surveys that kind of measure sentiment, everybody is panicking, not just in the market but even in businesses too. so there is a couple of numbers that are negative but they're not real data yet. consumption still looks strong. but, hey, we have a supply side problem, right? we're not producing. china is 50%. airlines are not earning money from asia and -- stuart: could we get a demand side problem? by that i mean, here in the united states if we get more

cases unrelated to travel oar to the virus carrier, if it breaks out i think you will see people reluctant to be in crowds, reluctant to travel, reluctant to go shopping, supermarket, shopping malls. i think that will depress demand. that would slow the economy if that happens. >> the worst-case scenario everybody seems to be pricing in right now would affect both supply. it is supply first and then demand second. certainly if everybody is locked in their houses in a city, or in, the demand drops off the edge of a cliff. we can create a scenario where that happens. i'm not willing to do that yet, but the market has to price in this uncertainty. that seems to be what is happening today. people are pricing in one of the

worst case scenarios you can expect. stuart: i think you're right, brian. thanks for joining us. we appreciate the input there. the dow is down 700 points. so we've come back about 250 points in about ten minutes. that is called volatility, i do declare. special guest with us right now, michelle steele. michelle is an orange county supervisor. welcome to the program. good to see you. you have declared -- >> thank you very much. stuart: you declared a state of emergency. why did you do that? >> you know what? orange county is the most, actually second densely populated county in the state out of 58 states. we have 2.3 million people living here. out of that 600,000 people are asian-americans and they travel a lot to asia. so you know what? before it happens we want to make sure we can work really fast and effectively when anybody who got infected by

coronavirus. stuart: are you in fact, it sounds a bit like you're almost declaring a quarantine for your area? >> well you know what? we already have a quarantine power that the county health officer can do that and separate these people but we, the reason we had one patient who got recovered and then he went home. but you know what? before it happened we have to prepare, how are we going to prevent and how are we going to prevent this spread. since we don't even know this disease, how it spreads, the sources, no vaccine and no medications, that's the reason. stuart: now if i were to come to orange county right now today, and i walked around, went to shopping malls an all the rest of it, would i see fewer people on the streets in the stores? >> people are scared. you know what?

because you don't know the sources, how they spread. so that is the reason that they try to be really careful with, you know, going out and trying to be in the crowd and they try to avoid all this. that's why we have less people. especially in orange county in my district, the most famous south coast plaza, the shopping center, and i heard there are not that many people coming. so people are really scared. you know what? this declaration is not making people panic. orange county is getting ready to prepare if any patients are, you know, getting infected by coronavirus. stuart: i take the point. just very interested in what it feels like to be in orange county. do you see people with face masks? >> you know i heard -- one flew in from lax, he said, oh, my god, he is asian-american, he says everybody wears masks. i try not to go near people who

wear masks. people are really careful, especially california. we have a lot of asian-americans traveling to china or other countries like korea. you know what? they are very careful but that is really good but at the county level we try to prepare and we're going to prevent but at the same time, it happens we'll move fast. stuart: understood. michelle steel, thanks for joining us. michelle steel, orange county. >> thank you. stuart: we have indeed come back a bit i lost track. lauren: 950. ashley: 330 point turn around. stuart: 330 points 12 or 14 minutes. we're down 624. i looking for good news. have we got it with zoom? lauren: zoom's stock is up today. a lot of people self-quarantine and work from home and use zoom

products to do that. it is up 7%. there is another company called zoom technologies up 20% because people get confused with the, names of companies are the same and they're both in technology. different ticker symbol. stuart: zoom video communications. ashley: that is the right one. >> putting money in the other one too. happened around the zoom you're looking at ipo'd as well. stuart: all right. we're down 639. look at big tech. we keep referring to that. that was the biggest gainer in the last few years, and some of the biggest losing stocks in the past few days. facebook down to 193, down 2%. google to 1300 bucks, down to 1351. microsoft is down five at 164. appeal, whoa, really way down

there, $12 lower at $279 a share. literally a couple weeks ago, apple was 330. look at that, flight to safety, i keep using that expression, money in times of trouble often looks for a safe haven and the safe haven is a united states treasury bond. it is dead safe. you will get paid the interest even though very little of it. down to yield of 1.25%, very close to an historic low. here is the other safe haven, gold, up 13 bucks today. 1657. still a little shy from the $1700 mark, it almost hit about a week ago but 1657, up there. ashley: the oil patch getting killed, down again nearly 5%, $2.63. 46.43. gets to the point where it is not economical for the frackers to pull this stuff out of the ground because they will lose

money. stuart: overnight, the national average of gasoline down $2.45. down a tiny fraction. i suspect it is going to tumble. when you have got oil back to $46 a barrel, oil is down 4.7%, i think we'll get $2.30 gasoline fairly quickly. ashley: you would think. stuart: you would expect that to happen. can't be sure but i would expect it. cheap oil really takes it out of the bps, the chevrons, exxons, conocophillips, chesapeake energy they're a driller. i think they're a drill. yeah they are. very, very low prices for energy. as ash says, hard to make a profit when you have got 46-dollar a barrel oil. ashley: that's the problem. stuart: down they go. we're going back down a bit more. the dow is off 700 points as we speak, having been down 610 a minute ago. the financials, all down, i think you can say this pretty much across the board.

if you have got a company you use from home, maybe you're doing okay. netflix for example, because you likely to be confined to your home, certainly some countries are. if you have got to get out and about, those stocks are getting hit. when interest rates come down, financials really get hurt. jpmorgan, wells fargo, citigroup, goldman, all down 2, 3, 4%. huge losses for the financials at this moment. put something else on the screen please. we have travel stocks. ashley: we do. we know the airlines are getting absolutely hit today as well today. every sector is getting hurt in the very volatile environment. look at these. stuart: 291 on boeing. these are the biggest losers on dow stocks. apple is back to 279 now. intel at 57. american express, financial

company basically, a travel company, i guess you could say that, it is 114. down four bucks. ashley: how many mike murphies are out there have the intestinal fortitude to jump in when these stocks come in at certain level. if you hang on to it for the long term, that these companies have not fallen apart overnight. good companies in hard environment. eventually they will come back. stuart: look at tesla. below 700 now. it was at 900 a week ago. 696. it is down $81. ashley: bear territory. stuart: look down the list there, american airlines, way down, 7% lower, $20 a share. i'm not surprised. lauren: two choices, get ultradefensive. only so many places you can go to hide. do what mike murphy says, buy stocks you like and expand your portfolio and hang on for dear life. stuart: hang on for dear life.

expectations that we will go back, not necessarily back up to where we were, but you will have a a nice bounce at some point. advanced micro devices, chipotle, restaurant chain down $66. of the -- the winners, i don't know what they do. ashley: clorox. netflix is another one of the. stuart: is netflix up? >> it was a moment ago. stuart: it just dropped off. if you're trapped indoors, if you're trapped, whether it is a hotel or your own home or in china and netflix is -- lauren: 388, up 2 1/2%. stuart: up nine bucks. there you go. how do you explain it. a couple ever travel stocks on there. booking holdings, marriott. i can't quite explain that. >> marriott is interesting, they gave some february numbers.

stuart: booking hold is cutting costs. maybe that helps them. >> right. stuart: and marriott, i don't know what they're doing, but they're a hotel chain obviously. and for some reason they are marginally higher this morning when almost all travel stocks, cruise lines, airlines, hotels they're all down, marriott holding on to a very, very slim gain. now look at this. down 600. very hard to keep track of this. like a yo-yo. down 950, 20 minutes ago. down 590 now. what have we got there? we have netflix, booking holdings, we've got -- these stocks are on the upside for heavens sake. that's not bad. lauren: marriott was giving february numbers for asia, china region. bookings are down 90%. i'm not sure why the stock is up today. stuart: there is story, i didn't see the picture, i understand there was a picture of a plane

flying to milan -- ashley: with seven people on it. stuart: seven people on board. that all you got, seven people. should bring everybody up to speed here, japan, draconian action there. they have closed all schools until april. can you imagine that? what will kids do? lauren: babysitter, making a lot of money. stuart: you have to be in your house. you won't be in crowds. that economy is really slowing down. i think they're already in recession. europe is in recession. japan in recession. china is slowing down something rotten. we're slowing down. that is the case. lauren: european market is about to close at 11:00. stuart: that's right. 11:00. nothing happened yesterday when the european markets >> instructor: deny happen, we went down some more at 11:00 o'clock. what i'm going to do at 11 clock and we are 15 away i'm going

reset what we have seen all morning long. [laughter] stuart: i have to do tap dancing on the program. live for 3 hours and we have no script, ladies and gentlemen, this is rock and roll tv. lauren: we haven't even taken a break. stuart: 11:00 o'clock, we are off and running. we open the market with loss of 500 points. at one stage we were down 950, now down 540 points. all over the place. the mask makers, if you make one of those masks, you're in clever, baby, alpha protech, that's 58%, they. >> up the day before. made in america, and they are selling they can possibly use. we have to update you on the virus. as you heard last night, president trump tried to

reassure the nation. he's put vice president in charge of the whole operation and he says he's open to quarantining cities, taking more drastic action if that is required. that was from the president yesterday. this morning we found out there's a new case in california which has no connection to travel, carrier, that's a dramatic development as we just mentioned in japan, they are closing all the schools all the way through april. in iran, finally doing something, they are merely discouraging unnecessary travel. that's all they are doing, millions of pilgrims coming in to iran all of the time and it's a hot spot for the virus, all they are doing maybe we will discourage unnecessary travel. that's the reason. by the way, the dow is only down

496. all right, charles, this is all about the virus, would you be buying anything? charles: there's no urgency to buy, but there are a lot of things that are oversold. so, you know, i give it some time. the idea of trying to pinpoint the precise bottom be so many names are are oversold. here are interesting dynamics. by the way, on the marriott thing, vacation, vac, marriott company had great earnings today. i had my office listening to conference call, that was up a big percentage gain, that why mean why marriott sup. we have two dynamics, stuart. unknown and the emotions driving the market down and how much they will impact the knowns, what are the knowns, we had amazing momentum, economic momentum. stuart: we did. charles: the best numbers since

january of 2019. earnings that correlate to american consumer whether it was home depot or others through the roof, we have amazing momentum which is factual fundamental momentum and my biggest anxiety is do we snuff out the animal spirits. stuart: we had a lady from orange county, california. you go to shopping malls, there's not that many people out there. people don't travel so much, they don't go to crowds. they stay in. you suppress economic activity and all those animal spirits which have given us good fundamentals to start the year they fade. charles: it's not a chicken and

egg thing. first you have to have spirit, change our jobs, those are the things that have driven us. they emerge immediately after the election in november 2016, immediately. you can see it in all kinds of places. stuart: you don't think the virus will clamp down on the animals? charles: it will slow the economy, this is why there's a lot of pressure on jarome powell and why his job may be for full employment and contain -- maintain a certain level of inflation, he will have to extend i to role with the market and stock market, this is the wealth effect. more psychological than anything else. it's down 10% from all-time high. so the wealth effect, this is what we are talking about which is industrial to the animal spirits does try to stimthis because what wall street is clambering for now, hey, help us out, cut rates, make the whole thing easier and they expect it

right now, so it's all psychology until we get more facts on the ground and it's day-to-day. stuart: i don't like the psychology. charles: no. it really is. stuart: i don't want to be a part of that. i want to give the facts. charles: it's tough because this morning i feel like there's a major note from goldman sachs that's been completely misreported. if you watch janet yellen's whole thing. you -- if i were to ask anyone in the room could the u.s. go into a recession, the answer is yes. but then she would go on and went onto say, there's a lot of risk but basically i think the u.s. outlook is good. that part wasn't mentioned anywhere. we may have no earnings. that's their worst case

scenario. earnings will go down a little bit. s&p would be at risk of maybe going to 2900 but 3400, that wasn't reported. you have to go into these things. stuart: well, we are and you are. we have news on starbucks, have we? ashley: coffee chain saying we are -- are opening stores in china, it's exploding elsewhere in the world. at the height of this they have 4200 coffee shops in store, well over 40% were closed they say, 85% of the stores in china have reopened and are doing business and the losses have come back. stuart: 479, 480 on the dow industrials. we have come 500 points from the low. ashley: yeah. stuart: we were down almost a

thousand. now we are down 477. that's a 500-point swing in less than half an hour. i find that really extraordinary. now, we want to keep you up to speed on the developments, all of the developments on the virus and the face mask story, that is part of the story face masks, grady trimbell. >> we checked on the price, price-tacking tool for amazon and we found that some of the masks were up 4.21 back in december to almost $20 today, we even found some masks up to $350, some of them have high

shipping prices too because they are coming from overseas, up to $150 shipping, so we reached out to amazon, they say the third-party venders are the ones getting the prices and then they told us we actively monitor our store and remove offers that violate our policies, so price gouging, accusations going on and amazon trying to get a handle on that because of the coronavirus. stuart: what do you want to say of price gouging? charles: my wife is a heart transplant patient, she needs face masks, right? when we go out and travel. i'm really scared -- this is the part that scarce me about the public panicking because things are going to be in short supply who need them and not necessarily the people who don't need them. this is unintended consequences.

charles: she's doing great. 8-year anniversary. how amazing is that? charles: praise the lord. i was driving in and hearing the story. it's a tough thing -- this is why we cannot panic as a nation. ashley: that's true. stuart: new york stock exchange, dierdre bolton, the effect on retailers? >> so we are watching jcpenney and macy's, all of the stocks, i wanted to highlight jcpenney in particular, people see the price is under a dollar and already received warning, you're only allowed to trade under a dollar for 30 days before the exchange basically says you have 6 months to make the change to reach compliance before you are delisted, so we are continuing to follow these as well, of course, no one really wanting to be in the malls or wanting to be around other people right now so

certainly as we have been talking about travel stock, retailers are feeling the same effects. stuart, i was listening to you and watching the 500-point swing. i'm curious which stocks are limiting some of the losses right now on the dow. these are not going to surprise, merck, pfizer, 3m, of course, pfizer very much in the vain and defensive play, 3 bright spots on the dow. as we know, stuart, so far the worst week for the dow since the financial crisis in 208. -- 2008. stuart: that's so far this week. charles, i know that you to go, i will give you the last word. charles: companies can't deliver. back to what we were talking about, microsoft said we won't be able to deliver what people want. last week apple said we won't be able to deliver. as long as people want those

products i think they will be okay and the names will come back -- when the coast is clear, the names will come back. stuart: you are going to dell everybody. charles: we've got the back of the viewers and all the facts. stuart: glad to hear it, charles. lauren simonetti, update on the -- yes. it is a story. this is the hotel in the canary islands with a thousand people locked, updates? lauren: 130 allowed to leave. imagine if you're being allowed to leave, tested negative for the coronavirus, so as the market goes up -- i don't know how to define what we are seeing now. drop of 490 versus 960, this is contributing to the good news. stuart: canary island in the --

the back story here is that those people have suffered through a sand storm. ashley: yes. from the sahara. stuart: somebody among the thousand people had been -- lauren: italian doctor. >> all confined to hotel rooms for 2 weeks, some of them released. ashley: nightmare. stuart: that's some vacation, isn't it? lauren: nice hotel room. charles: look who is here, david asman, the host of bulls&bears today. in the last 35 minutes, the dow has swung 500 points. >> well, when people are panicking and much too much panic and what charles said is right on, pan kick do a lot of things including preventing people from getting help that need help because of the

hoarding that's going on. the loudest voice in the room is the one to be heard. that's the voice that has it wrong or at least exaggerated somehow. charles brought up a great point of goldman sachs report that there would be zero. that's the headline, when you read into the report, you realize it's not the whole story. that's their worst case scenario. panic is bad. one thing that we have nobody knows where this is going to bottom out, markets always do when there are corrections, but when it does bottom out we have to remember -- i don't want to sound all protrumpian here, but at the same time we have a man in the white house who is a businessman, he's not -- he doesn't make the same mistakes that other presidents have made and in particular the last one, president obama, coming out of a downturn raising taxes and increasing regulations. this is a president that understands that you're coming out of a correction, it could get worse, you lower tack rates further, give more incentive to

business. once we bottom out, we will pop back up. i suggest we will pop back up more strongly than in other downturns because of who is in the white house. he's a businessman. he knows how businesses get back on their feet during down times, not by raising taxes or increasing regulation, it's doing the opposite. stuart: we are trying to keep you up to speed on all of the developments to have virus, we talked about japan, we talked about iran. we have an update now an national county in new york. ashley: western long island. the latest news from the health department is that the last person being tested for coronavirus came back negative. stuart: they didn't -- how many did they quarantine? ashley: dozens. the mayor had exposure to the virus.

latest results in that so far everyone tested negative for coronavirus. others still quarantined or -- they came from an area that had outbreak or cross paths with someone that came from that particular area. stuart: what we are constantly looking for is spread to have virus outside of known -- i'm not going to call it a hot spot, known area where people are suffering from it. they've got it, does it break out of? ashley: right. massachusetts, 230 right now are in quarantine. stuart: yeah. ashley: they all had some connection, all of those so far tested negative but incubation period of 13 days. stuart: my indicater that people stop going out and mixing in

crowds, they don't go to cinema and they don't go on a plane, they don't go to the bus. you've seen a little of that already. >> my daughter is in retail. she works in manhattan, i asked her this morning have you seen a drop. if you will have a drop off, this is the best time to do it, we are in february, all of the after christmas sales, et cetera, so we expected to be down at this point, not as far down as we have been but, of course, the foreign sales that usually come, there are no tourists that she's seen from asia right now and that's a problem. she's in the high-end retail. lauren: not to minimize that people won't be going out as much, we have outsourced so much of our lives that you can be a consumer without being brick and mortar. stuart: now, speaker pelosi has

been holding a news conference. i've got a few nuggets as to what she has had to say, here we go, close to spending deal for coronavirus funds and she pushed for interest free loans for small businesses affected by the coronavirus. point 2. she stands ready to work in a bipartisan way, she says, lives are at stake, no time to be playing politics. i have to interrupt at this point. it was speak e pelosi who said just i think it was yesterday or the day before, described president trump's action on the virus as shameful, too late and anemic. i would suggest that that's playing politics and now she's the exact opposite. i will leave that alone. she says we want to make sure vaccines -- okay.

senator schumer says the president is dangerously incompetent. that doesn't sound to me much like a bipartisan -- >> his politicization was so transparent, no, it shouldn't be 2 billion but 3 billion. no, it should be 8 billion. they are clearly turning this into a political football. after 911, we are not that bad yet, the country usually comes together in moments of crisis. these guys want to divide it. stuart: they hate him so much to use anything, anything to get him out, to slime him. they failed with impeachment, russia, russia, failed, failed, give me the virus, he's incompetent, a disgrace. ashley: spreading fear and panic. stuart: that's exactly what they are doing. really makes me mad, however,

let's move on jack, former health and human service's senior official for president bush and now president trump. what's the significance of that? >> that's something that everyone is talking about. it's important to cdc detectives , i think people would be speculating that cdc officials will get behind it. stuart: we were told by a specialist about an hour ago that the cdc test virus wasn't good and hard to use and not a good test, now we hear that -- that private labs are being let loose to find and get a decent test. are we getting close to a point

where we've got a test? >> that was very good news, yes. first secretary azar fast-tracked the first test and now there are 40 hospital that is will get that opportunity and then yesterday the fda commissioners sent a note to a whole series of labs saying we will fast track your actions so that you can do your own testing. i think when it comes to testing, we are in much better place. stuart: good thing that vice president pence is kind of in charge, quarterbacking the whole thing, get things going? >> it is fantastic. i mean, i think close working relationship with effect israry azar, and the president praised his work on the task force. i think that's one of the missing pieces that folks haven't talked about, strong relationship between the federal government and the nation's governors. when the governors came into town recently, the white house met with them, secretary azar went the governors and gave them

closed-door briefing. stuart: we spoke to a lady from orange county, california half an hour ago, she told us, they have issued a state of emergency for orange county and i asked her, what's it like there now, well, you know, there's not many people in the pals and you see quite a few people in face masks . same unwillingness to be close to other people, i think you have a real economic problem on your hands. are we close to that situation? >> you're absolutely right. i think it's important for our leaders, for state leaders to talk to local leaders before they take actions like that. secretary levit ran them, it is important that before people

make the most drastic actions that they step back and say, is that really necessary and often times it really isn't necessary, so the whole discussion that i've been hearing about perspective, national leaders offering it, we saw it from the president yesterday, whether it's state leaders or companies, we work with a lot of companies and talk to them about exercise your plans, dust off your plans because we need to be given employees and citizens perspective on this that people should continue to live their lives. stuart: jack, may i ask a technical question, you may or may not know the answer, does hot weather kill the virus or encourage it? >> well, i'm not a doctor, that's what i've heard the medical experts say and just this morning i heard former fda commissioner scott about backdrop for it. stuart: summer is not good for the virus? >> exactly. stuart: fascinating, do you

think we are close to a point that we will quarantine a town in america, are we close? >> i do not think so at all. i heard a little bit of the discussion. so many steps before you would take an action like that. with china it's been underreported. something like 700 million people who have movement restrictions on them and not something that i heard cdc officials talk about when i've been through exercises before in terms of this country having so many people restricted. so i just think it should be case by case, community by community, but it's so important not to overreact in these situations. stuart: jack calavaritos, we appreciate it. you can come back any time you want. >> thank you very much. stuart: david asman, i floated the idea that one of the worst things in the economy is higher level of anxiety so people don't go around. i think you're with me on this? >> i'm not only with you but the

past 24 hours, the president extraordinary that hi came from long trip from india, got right back into the saddle and came out with something. some people are nay sayers on wall street that they weren't as assured as they should have been, i should also mention, though, look what is happening overseas. germany which was close to a recession a couple of months ago was beginning to pull its way out of it, they are sinking back out because of their supply chains. a lot of other countries in europe too. it may be that the united states will once again lead the way not only in terms of the economy, in terms of providing that jolt that the rest of the world needs but guiding on how to handle it. we certainly did from stopping flights from china before anybody else did. stuart: we did that. david asman, when am i going to see you this afternoon? david: 5:00 p.m., bulls&bears, hopefully we will keep the heat going. [laughter] stuart: thank you, david.

let's go back to new york stock exchange, dierdre, health stock. >> this company allows you to basically facetime with healthcare provider and you can see the stock up more than 22%. so we've been finding the bright spots throughout the day. companies that serve people that are concerned about the spread of the coronavirus. i want to mention as well because you've been covering this incredible point spread, we are still down 500 points. can't really call this a rebound but we can call it limiting of the downside losses of 3 stocks, limiting the losses on the dow, pfizer and merck obvious points and staple 3m, stuart, back to you. stuart: speaker pelosi did hold a news conference and i wanted to pick up on one of the things

that she said. ashley: she's speaking right now. stuart: the market drop while trump was speaking yesterday. ashley: she called that disturbing. stuart: she called that disturbing. do in the be disturbed madame speaker because the market dropped after 6:00 o'clock, wall street was not open by the way, what dropped was the future's market on dow futures and dropped because of the new case in california. not because of anything that the president has said, how does that drive you? the speaker is still speaking and i will bring nuggets as they go along. ashley: yes. [laughter] stuart: don't worry, we won't make you listen to that, okay. [laughter] stuart: keith fitz on the phone, do you see a buying opportunity keith fitzgerald? >> i tell you my list is as long as walgreens receipt and no rush to put it in motion. stuart: good line.

>> big tech is being carried out of the trading arena right now and their business case is still very, very solid. so when indiscriminate stock are keen to get back into names like apple which is at 288, microsoft, for example, those are both great companies with very, very bright futures, virus or no virus. stuart: okay. i've got the dow down 500 points. we've had a roughly 500-point swing in the last hour. how do you play a market like that, keith? >> you sit on your hands, you have a drink of coffee or stronger beverage if you need it and take a deep breath and concentrate on the fundamentals. stuart: maybe the fundamentals are deteriorating, however, if the virus really hurts us here? >> well, i would take issue with that very respectfully, stuart, a lot of people will say that fundamentals will deteriorate. if you look carefully through

history, 26 market corrections not including what is happening since world war ii, average decline 13.7%, recovery on average of 4 months, companies like the two that i just mentioned, like any of the heavy dividend players, 3m's, pfizers, the mercks, they have all strong business cases with savvy management and they're already working through adjusting their business case, so i don't buy the argument that deteriorating fundamentals kill a company. growth may slow down but it will not stop. stuart: keith fitz, we hear you, i want to see the list, the buy list at some point, okay? >> you bet, stuart. stuart: we would like to keep you up to speed on the virus and impact on various companies. i think there's been some impact on wal-mart just reported. what is it, lauren? lauren: wal-mart will hit amazon with direct competition, next reports say that wal-mart because they got killed by amazon over the holidays, they will launch a subscription

service that can do things that amazon cannot, same-day grocery delivery, discounts on drugs an gasoline things like that, they are competing with amazon and trying to one-up them. >> nothing to do with the virus. plus for wal-mart and being dragged down and otherwise overall down market. are we going back to -- news on oil. let's go to jeff in chicago, what are the saudis doing, jeff? jeff: yeah, the saudis are cutting shipment, stuart, to china as a result of this and that's actually caused oil to recover big-time, we got down below $46, 45.88 at the low. i take my glasses off to see long. we have come back over a dollar just on that news. yes, saudi arabia cutting shipments to china because of decreased demand, you know, the

russians are also thinking about what to do in terms of production cut, they have resisted thus far, but saudi arabia capitulating and cutting production and shipments to china because of the coronavirus. stuart: interesting, jeff, thank you very much for bringing it to us. crude oil $46 per barrel. we need expert advice to play the market, who better jason, ubs managing director, welcome to the program. >> glad to be here. stuart: you managed the money or advised on the management of money for wealthy people? >> both. stuart: what are you telling your rich people to do in a market like this? >> sometimes the best trade is no trade with the exception of new mandates. people have money to put to work and they have a well-constructed long-term plan, yes, you have to leg into a market like this. stuart: for some of your clients, if they got money on

the side and fits long-time horizon, you're buying? >> so you jump in head first, you're going to get hurt. you have big downturns like this and you have horizon of 5, 7 years, invariably you will find opportunity. you have to tippy toe. stuart: you are also named the number 1 adviser in new york by forbes for the second consecutive year. is that right? >> as a result of being on your show. [laughter] stuart: not true, not true. okay, the federal reserve under great pressure to lower interest rates. i think they probably will. would it make any difference in the market? >> i think it's to some extent pushing on a string, fortunately we have more room to cut rates than the rest of the world with $14 trillion of negative yielding debt. odds are 70 plus percent, we are getting a rate cut, more psychological help than material

impact. stuart: when you're named number 1 adviser in new york by forbes for the second consecutive year, does that mean the rate of return to your clients -- >> people vote with their money. stuart: are you going to tell us. >> you produce solid returns and god advice. stuart: if i had tossed a million dollars, what rate of return would you have given me? >> the equity portfolio that i manage, for 20031, 32%. that's just one of many things. stuart: jason, that's hopeless. come on the nasdaq was up 70 or 80%, your rich people only got 30%. >> you didn't ask me what i'm doing this year. [laughter] stuart: no, i didn't. shall i? >> next question. stuart: how do you play a market like this? i'm intrigued, up and down all over the place, wouldn't you

just be clear a little bit? >> the market feels very heavy and i think if you're fully invested but thoughtfully invested with a financial plan and asset allocation that's predicated on your goals, then you to look out longer in time, you trim out the margin, you may trade up the margin but in a market like this you want to hang tight. the 3 words that wall street or investors at large hate the most is i don't know. what strategist, analysts, bankers, corporate leaders saying right now? i don't know. the market hates uncertainty and with the describes and drabs of information coming in versus say trade where you could do math and comp out what it does to gdp or corporate earnings, here it's a moving target, so when it's i don't know, it's i don't trade as much. stuart: okay. and i don't know where the bottom is on this thing. it's a fact. i don't know. stay there for one moment. i want to bring dan henninger,

wall street journal editor, your new piece, it's thursday. >> it is. stuart: you have the wonderland piece. trump versus the coronavirus and i think that you're saying that this virus displays weakness in mr. trump and weakness in bernie sanders, is that right? >> not exactly. potentially, potentially it could put both of them at risk let's assume bernie sanders is the nominee for the party. this is a national -- this is a healthcare challenge. it's not quite yet a crisis, but we have two different approaches, for one thing it has been totally politicized. cdc announced this yesterday, community spreading and immediately chuck schumer and nancy pelosi attacking the president saying he has no plan. there's one thing to be impeachment or russian collusion, here you have health care crisis and they have to attack him on that. this is an opportunity for the president to oversee this, act presidential and deal with it

and calm the american people, but if you look at -- on the president's side it's question of whether he will attack people via twitter, that's familiar. think about bernie sanders core agenda which is medicare for all, how would medicare for all work in a situation like this? how would medicare for all where you have nationalized public health and you have fewer private hospitals deal with a crisis like this? you'd have basically the sort of healthcare service you've had for decades in the united kingdom and i think system here would probably collapse under the weight of that as it is in south korea or china. they can't handle it. secondly, what we are looking for to deal something like this is a vaccine. what does bernie sanders say every day of the week? he attacks, quote, unquote, the crooks running the pharmaceutical industry in this country. he means the crooks who are now working day and night to try to

find a vaccine to deal with the coronavirus, does he mean crooks that are developing therapies that are needed to deal with future viral challenges. what we have in the united states is a public-private partnership that develops these therapies, manufactures them and distributes them around the united states. you are not going to be able to get a discount in coronavirus vaccine from canada soon. i think it's an opportunity for the president to point out inherent weaknesses in bernie sanders medicare for all proposal. this is a situation in which whatever health care system we have has to address it. >> how do you judge the president's performance yesterday, 6:00 o'clock eastern time, we wanted to reassure the nation, did it work? >> i thought so. he had team come up and the rest of them and he took all of these questions and i thought by in large he did a pretty good job, the reporters kept pressing him for answers on a lot of things,

the medical specialists themselves do not have answers, they are trying to get their arms on how many cases there are out there, how mutatable. i thought the president handled it pretty well. my worry, stuart, if nancy pelosi and chuck schumer politicize it, if they attack the president, he will crack back in kind as he always does on twitter with all of the exclamation points and i don't think that's what the american people want right now, to see doctoral, masters' and bachelors' -- donald trump and the democrats in spats. stuart: not when you're talking about a virus. that's different from impeachment and russia, russia. >> yeah, exactly. it is totally different. stuart: dan, thank you very much for joining us, appreciate it. now we want news on the politics of the virus.

the dnc -- consider ashley: talking points and this is what the dnc is saying, in particular for mike pence, pence's resume in dnc says dealing with pandemics consists of worst outbreak of hiv in indiana history and to show how serious he's taking the new role, pence will take time off today to speak at cpac before heading to florida for a fundraising dinner. in other words, he's not the right person for the job. stuart: talk about politicizing. ashley: of course. stuart: direct attack on the president that the person put in charge of the virus' effort. good lord. [laughter] stuart: dan henninger. another headline from nancy pelosi's press conference which is now over by the way, she says the market drop due to virus,

quote, is disturbing. it does show some fragility in the market that it would drop as much as it does. that's from nancy pelosi. okay. all right. that's what she's got to say. shah galani on the phone. come back again, shah, you were telling, no, you're not buying anything. in fact, you sold everything, you are staying completely on the sidelines, have you bought anything yet? >> no, stuart, not yet, my list is getting longer. there are tremendous opportunities out there but the question for me and i think for most investors at this point is how long is the coronavirus fear going to hit the market, that's what's happening. there's fear in selling and fear is never good because you don't know where it's going to end. i believe overdone but doesn't mean it's not going to continue and that's what worries me. so i won't continue to add to my list if stuff goes down further and today there's some stocks i add today that list, so the list

is getting a lot longer but i'm afraid we may not have seen the bottom yet. stuart: yesterday you told us that microsoft was, indeed, on your list and it went all the way down this morning to i think 161 i think, 162, what else, what have you put on the list today? >> boeing went on the list today big time, so i note that you bought boeing some time ago, i had been wait to go buy it. a certain level now that i like it. i think they might go a little lower as plane sales and lease wills go down potentially, boeing is now officially on my list and i will take a big position when i think it's bottomed out. stuart: only when it's bottomed out, you're not just going to jump in in and out for the hell of it, so to speak? >> no, stuart, as i said the other day on your show, when markets make a loan and bounce, they want to retest the lows. today we hit another low early in the morning and i think the markets may test that low again.

when the markets stop testing lows start to create bottom and start to claw their way higher, that's when i will start to take positions and say apple, microsoft, boeing, if they go down a little bit, add to those. i want to see capitulation low-out selling that this doesn't make any sense, if i see something like that which would be scary, that's a time for me to jump in. that would be a true positive that the selling is overdone. we haven't seen anything like that that's for the most time orderly. pure profit taking over so many profits on the table. so many of the companies had record highs, the markets 2 weeks ago and hit record highs, very orderly on the way down and not unexpected. >> okay, hold on a second, shah. jason cant still with me. he's looking for a blowoff -- blow outsellout, capitulation sellout.

if you saw that he say that is would be a signal to buy. he also says if the market stops making new lows, that's another signal to buy, you are buying both ideas? >> i think he's spot on there and i want to come back to this point and this discussion about politics, election, jitters, the virus, the market. so i would say that 70, 80% of what is happening is corona related and the other part of it is election jitters because the worst the market does, the worst the virus hits the economy, the greater the odds of a far-left candidate bernie sanders in particular has so you have investors thinking jeez, i -- i vote with my pocketbook, my 401(k) statements at all-time high, employed, wages are on the rise, my house price is going up. if we see any sort of dent in that narrative and it could be the virus that precipitates it, it can change the odds. we are still in the camp that people are going to vote with

their pocketbooks an you will see a trump win, but that's being called into question. stuart: the president did say that just yesterday, look, part of the market's decline is because investors are very worried about the democrats and bernie sanders in particular. you are raising exactly the same point. >> he was criticized for being -- bringing up politics in that discussion. the press conference was interesting, all my years in wall street i found out that when wall street and politicians try to reassure sometimes it's the opposite effect. i remember when mnuchin had called the banks during december of '18 to see if everything was okay and everyone came out and reported the news, banks took a leg down. stuart: that's right. >> it's a delicate balancing act. stuart: it sure is. hold on a second, jayson going back to new york stock exchange. >> for the most part, stuart, they are lowering. you have been speaking with your

guests on effect of coronavirus, people don't want to go out and mix and mingle and would rather stay home especially if they are worried about getting sick. take a look, for example, at live nation, grow -- go there and buy tickets. planet fitness, not many too enthusiastic to go to gym and on the best of days makes you want to wipe down things can clorox. you can see moving ever so slightly higher now. worth pointing the move and car-service companies, uber and lyft both down. i want to highlight lyft in particular, at 2020 low point. stuart, we've been talking about the fact there have been incredible point swing, of course, dow poised for the worst week since the financial crisis in 2008. i did want to highlight the 3 stocks that are still limiting some of the losses on the average, merck, pfizer not surprisingly as all of the companies are racing to find an

effective vaccine for coronavirus and 3m also does make face masks, back to you. stuart: dierdre, thank you very much, indeed. i want to talk about the middle east, we are focused on iran, there has been a serious outbreak of the virus there. the iranian authorities havery fused to -- have refused to quarantine cities. that's not much of a way to combat the virus which is loose in iran, however, we are also hearing from the saudis about the coming where millions of pilgrims go to mecca, that would be in july and august. on the phone ahmed is with us. tell me -- the saudis have not canceled the haj, have they? >> that's right, the saudis have taken unprecedented but in my decision tell religious pilgrims no option to come now to kingdom to begin any kind of religious

worship. mecca is the site of the holiest to islam, ramadan is around the corner, april 23rd, muslims will start making mini pilgrimage to august 9th. to give you a scale. culminates in 3 million mass gathering, more importantly than its size it is biggest gathering in humanity. drawing people from 183 -- perhaps 190 nations around the world, so the saudis have been extremely brave in putting the brakes now giving pilgrims a long-lead time to reconsider their plans and these will not be issued for them until we know what's happening with corona. stuart: that's really fascinating because that's a dramatic move by the saudis and as you say -- >> yeah. i think we should commend the public health officials in saudi

arabia, they know more about outbreaks in mass gatherings than anybody else. they advice the olympics and world cup, international global health diplomacy effort. saudi arabia has to coordinate with the governments of over 180 countries in issuing these bans. the right to life comes before to anything, telephone right to worship god. public safety comes first. stuart: thank you very much, indeed, for keeping us informed on this, it's very important and we appreciate your presence on the show. >> great to speak to you in nassau county where people have been monitored. there's been 82,000 cases in the world, 32,000 people have already recovered, so let's not panic. this is something most people get better from. stuart: well said. >> we must keep that in mind.

stuart: qanta ahmed, thank you very much. and nancy pelosi, speaker pelosi said it was silly for the president to suggest the market dropped in part because of the democrats' debate. what do you say to that? >> i don't think it's silly at all. i think it actually is a contributing factor. do i think it's the main factor, not necessarily. i do think that the market is very concerned about bernie sanders potentially becoming president of the united states of america and as this primary season has gone along, he's getting closer and closer to that potentially happening and i think investors are realizing not just on wall street but all across the country, people are realizing that this could become a reality and if it does, it is going to be like a bomb goes off on wall street. stuart: you know, a well-known economist robert samuelson, he

wrote in washington post this morning, what's the cost of socialism, question mark, answer $50 trillion. obviously you can't raise that kind of money. we have big-time investor jeffrey, he says that bernie's business plans are spooking wall street but it's a very distant prospect, isn't it, for a sanders presidency? that's a long shot, beyond idea of remote possibility, surely. [laughter] >> no, as long as. i think that's what people are starting to realize. i think that they are realizing that bernie sanders could be one of two people that's considered on the november 2020 ballot to be president of the united states of america. he's presenting a socialist vision for the united states, a massive takeover of the entire economy or much of the economy anyway and putting government which can't manage anything effectively in charge of most of the economy and what people are realizing is this is actually becoming a possibility and if it happened what are the

ramifications of that after all the years of economic growth, after everything we've seen, bernie sanders is going to destroy the economy if he becomes president of the united states, depending on what happens in congress, of course, but he could very likely do that and just the possibility of that happening i think is contributing to what we are seeing with the market. again, i think the coronavirus is probably the number one thing but do i think that this is a contributing factor. >> real fast, what about any other democrat candidate, i don't think mike bloomberg worries wall street as much as any of the others? >> no, i don't think anybody worry -- i don't think anyone is more worried about -- bernie sanders is the number one concern for everybody on wall street, on main street, all across the country. he's going fundamentia transform -- fundamentally transform economy, and he's the one everyone is concerned about. other progressive candidates would be bad for the economy. bernie sanders would be detrimental to the economy on scale that we haven't seen maybe

ever in american history. i think you could see a crash, an economic crash, not just a market crash but a true economic crash if bernie sanders becomes president because what he's offering really is a complete transformation of the economy and a move away from capitalism and toward socialism. stuart: okay, justin, thank you very much for joining us, we enjoy your vigorous criticism of socialism. i like it. >> thank you. stuart: jason, you're with us, you heard what he had to say, he said there would be a crash. >> justin raises a good point. the irony of what is happening in the market is that this coronavirus is transitory, maybe a u-shape type of recovery but at some point we will come out of this where by the election is binary outcome i have seen in nearly 30 years on wall street. so it's something worth really paying attention to and to dierdre's earlier reporting as far as what's working, what's

not, you know, the cacooning stocks are going through the roof, the leisure stocks are getting hammered. the safety trades, whether it'd be treasuries, gold, utilities, distortions in this market, i'm looking at the distortions not quite ready to make a move on them but things are getting out of whack here. stuart: getting a little out of whack, i will quote you. jason, hold on a second. what do you have a heat map. ashley: we are talking about coronavirus, the global map that shows you the confirmed cases in a pretty color slide. china 10,000 plus and behind that you have iran where we have 245 cases, italy 528. japan hat 189 but it gives you a better sense of the global impact of the coronavirus slowing down in china although we've had 78,000 confirmed cases in mainland china, so that means the bulk of these are still

there but they are spreading bit around the world. stuart: i disagree with the color for america. i mean, that's pretty reddish. ashley: it's red. we have -- how many do we have, 60. it's between 50 and 100, that's the color they gave it. >> well, i don't think that's fair. ashley: cool graphics. stuart: you have a graphic, lauren, what does this show? lauren: exactly where the 2800 deaths are and the 82,000 plus in sections. yes, okay, briefly. stuart: highlights. lauren: 78,000 plus, south korea over 1700. the cruise ships, 705. italy 447. stuart: on cruise ships they have 705 cases? just on cruise ships? lauren: according to our graphic

. stuart: surprised that they haven't gotten down some more. when people are sitting around, where are we going to go on vacation -- ashley: you want to hang around a lot of people in a contained environment? lauren: you have to imagine some rockiness and sickness. it's a big ship. stuart: that happens regardless. the idea that you might have one person on a cruise ship who has been in contact, that cruise ship is locked down and -- lauren: interior cabin with no windows. stuart: that's not very attractive. not that i'm trying to talk down

the cruise lines, there you have it. let's update the market. i was about to say an element of stability. ashley: don't say that. stuart: you know what happened now, we were down 980 i think it was. that was the low. ashley: 10-year has come all the way back from 129. stuart: 1.24%. all the way back to 1.9%, extraordinary move. you play it -- >> we are up 35%. on balance you get back 10% a year since early 1900's. when we talked -- talked about this with clients that they'll be drawdowns, everyone on paper

is good with it in theory but in reality it's disconcerting. stuart: sure is. i don't know how many corrections there have been, there's a lot, but i'm told that the average is down 13%, correction is you come down 10%. average downside move from all corrections we've had is down 13%. you know what the average recovery time is? lauren: what? stuart: 4 months. i'm not trying to suggest that 4 months from now we will be out of this, but that's an interesting time frame. lauren: it could be worse than that and the flip side is, you know, does that correction bill bear market become a recession. >> that wasn't their base case and reported as if it were. stuart: badly reported. it was incorrectly reported, ashley, because they simply reported recession and they are left off the last bit which is

the fundamentals that will pop right back up again. >> another thing really worth noting is this has been orderly. we've gotten anecdotal evidence but we haven't had onslaught of emails, famous last words, but the calls and the selling have been we could, probably will have another leg down here but i think when we look back in 12 to 18 months, it will not be a blip on the screen but in the context of what market does i think it will be viewed as a little north or south of garden-variety correction. stuart: that is interesting. lauren: i wonder if and when, when we come out of this, we see because of the virus and trade war with china supply chains move out, maybe more friendly countries to us, to the u.s., this is overall a large net positive in restoring american manufacturing and the like? stuart: that is an interesting question. i'm sure it will cabinet negative for china. ashley: oh, my gosh, yes.

they were hoping for gdp of 5%, whatever they were calling for? they will struggle to hit 0% in the first quarter. >> super pow superpower, second most powerful economy in the world this is a -- >> a lot of companies when we talk to them about the trade war, they were all pivoting in terms of their supply chains, malaysia, vietnam, exactly. now this just gives more evidence you should do that. stuart: let's update the progress of the virus. we started on the downside with a new case in california unconnected to travel or meeting anybody else with the virus. it came out of nowhere. it is unexplained. that is a serious problem. on this program about an hour ago, we had a lady on from orange county, california. they have declared a state of emergency. they are taking precautions because they think the virus is coming. i asked her what is it like in

orange county right now? she said look, not many people are out in the malls. people are unwilling to go out, assemble in any kind of group or crowd. if that spreads to the rest of the country, i think you have a real financial problem on your hands. more on the virus. in japan, the schools have been closed, all the way through until april. that is draconian. that is five weeks of school closures. kids at home all across the country. that is an extraordinary thing to be imposing on the country. are the kids supposed to stay at home? i guess they are. you close the schools, you don't want crowds or large groups of people. in italy they're playing some soccer games but no spectators allowed. did you see that? more of that coming. ashley: more. stuart: as we heard from ahmed, saudi arabia has taken the lead in discouraging early taj prime

minister glimpse. the pilgrimage to mecca in july, august, they're saying watch out, don't go all the way. susan li, she has an interview with tim cook, that will air this afternoon on -- sorry, sorry, tomorrow. neil, i messed up the throw to you. it is tomorrow with tim cook with susan li. it is tomorrow. neil: dow, s&p nasdaq sliding into correction territory. the s&p in and out of it. that is one of the fastest jumps into correction territory, the shortest span in the s&p since it holds since 1933. we'll get details in seconds. in massachusetts we hear of 231 individuals who are self-quarantining being monitored, possible california virus case with an unknown origin. when they say something like that, it scares folks. what do you mean unknown