state or new york or something. really gigantic. california. did not know that. don't forget to send in your "friday feedback." send us a video question if you wish. email. we'll be happy with that. email us at varney viewers @fox business cot --.com. varney viewers @foxbusiness.com. neil: i shared some of mine for your salve. i scratched out the name. but yours son -- on. thank you, stuart, thank you very much. we're following action on the corner of wall and broad. they're sort of weighing earnings which continue to be pretty much off the charts, keeping to that trend. they will be anywhere better 60 to 65% from a year ago.

revenue is up but the bottom line inflation doesn't seem to be a concern. yield on 10-year note is dropping a little bit here. the fact of the matter nothing that jerome powell said on second day off capitol hill, senate finance banking committee more to the point, has changed that notion. the fed has the tools he says to deal with it but doesn't think that is necessary for the time-being. so this cautionary guidance that we get that it is transitory and they're monitoring things seems to be like a goldilocks ideal for the markets. let's go to luke lloyd on this, the strategic wealth partners investment strategist. mitch roschelle back with us, macro trend advisors llc, founding general partner. mitch, want to end with you, begin with you. on jerome powell restating what he said yesterday. i'm watching inflation. i don't think it will stick around a while. do you buy that? >> he is certainly beating that

drum. i do and i don't, neil. he is pointing out the fact that used cars is probably something that is transitory. some of the supply chain challenges are probably transitory. i point to labor. this labor market is forcing companies large and small to pay up to attract labor. once you pay somebody more it is hard to get that toothpaste back in the tube and pay them less in the future. the labor component in the service economy i think will be here to stay. neil: normally takes a while to unwinded inflation. there is an argument, luke, it is already happening. lumber, for example, which popped up 40, 45%, is now given back all of those gains. and that seems to be the thinking behind some of these other unusual spikes. that though they will go the lumber route. what do you think? >> it is all about supply and demanned, right? when it comes to lumber, there is so much demand for housing

and building housing lumber skyrocketed. it eased up during the wintertime. it is has come back again. i was never asked about lumber into my life. over the past two weeks i've been asked five or six times where lumber is going. that is the kind of environment we're going. talk about the bond market, the biggest consensus trade in the bond market that yields were going higher because of inflation. when everybody believes something is going to happen it never happens, right? so cpi came in at 5.4% year-over-year but more importantly cpi came in 0.9% month over month. mitch mentioned used cars. i hear stories all the time how two years ago people bought a car drove over the past two years, drove more than they bought it two years ago. that is absolutely insane. even though invasion is undeniably hot. i think many investors are worried that the market feels toppy, that combined with negative yielding debt across all the world and other

countries. the u.s. is one of the only places to get positive rates on your fixed income sleeve. i think that is what is really making this all crazy in the bond market. neil: if you're among 60 million or so receiving social security benefits looking first time, in ever, you will see a significant cost of living adjustment, so-called cola. as things stand with the rate, the movement of inflation right now, mitch, those benefit increases could be up to 6, maybe 6 1/2%. now that will have a demonstrable impact on that group's spending no doubt. but i'm wondering, what you make, of catalysts like that? still an aggressive consumer. now we've got 35 plus million taking advantage of these child tax credits. it is also going to put some wind into the sales of buying plans going forward what do you think? >> you know, i, we sort of

overstimulated the economy, the child care credit which is the latest piece of stimulus. that is the thing i worry about. when you look at root causes to use that term of inflation, it is too much money chasing too few things and used cars perhaps as luke mentioned is the best example of that. so putting more stimulus into the economy certainly isn't going to help the equation. i think when i think of people receiving or on fixed incomes in general now getting cost of living adjustments, not just social security, people who have pension plans, defined benefit plans get cost of living adjustments. the problem is yields are low everywhere. that is a good shot in the arm for them. but not like they have other investment alternatives at the same time they're getting cost of living adjustment, whatever certificates of deposit they're investing in are paying historically low interest rates. neil: you know, luke, whatever the market says about washington overspending it secretly likes it, right?

>> it does. neil: they, you know, they wouldn't be doing what they're doing. so stimulus, whatever you make of these child care credits, up to $3600 for some families, they will have demonstrable impact on spending no deny. between that and higher social security cost of living adjustments down the road that keeps this going for a while. whether you're a fan of the government being a way to do it, it is what it is. play that out. >> let's take the child tax credits for example. along with all the other stimulus printed. where is the money going to be spent and pumped into the economy. all the people that don't necessarily need the credits they're able to invest the money into the stock market which drives the stock market higher and market loves that, right? the economy and consumer is still super strong, i think nobody talks about nobody cares

about inflation right now because they are just happy to be out and about. people were locked up for an entire year and a half. humans were not meant to be locked up, right? so because of that reason nobody really cares. they will care maybe a year down the road when they have less savings and don't have much discretionary income because they spent all their money, right? because the consumer and economy is so strong i don't expect a fast move for the market in either direction. i don't think it will go up super quickly. i don't think it will crash super quickly. i think we'll slowly rise in the stock market. neil: all right. i only disagree with you on one aspect, luke. i think some people like my kids are meant to be locked up. i'm just -- they're out in the open right now. but luke, final word. mitch, i want to get you guys back to talk about this bitcoin phenomenon here. some stars putting a lot of bets on it including one guy's entire salary, his entire package on bitcoin. we'll explore that. meantime want to explore what we

were up touching on before the price of a home still rocketing despite lumber giving up all the double-digit gains we saw earlier in the year. the problem seems to be labor costs. if you can find labor at all. a lot of homebuilders and the like are finding it's a princely sum to come up with. that goes into the cost of a home as well. lydia hu knows it, sees it first-hand in new jersey. lydia? reporter: neil, a lot of subcontractors and contractors right now are boosting wages, offering bonuses so they can recruit new workers like these guys, like you see pour concrete for what will become a senior living community here in livingston but the shortage of workers existed in construction before the pandemic and it has just gotten worse. associated builders and contractors estimate this year alone they will have to hire 430,000 workers.

one million over the next two years. i am here with connor evans, project executive of this construction site. thank you so much for being with us from wilson construction. connor, right now we're seeing a surge in home building. you're not a homebuilder but tell us how that surge in home building is impacting the labor market and what you are doing here? >> sure. so we are a general contractor, commercial, been around 30 years. while we don't build residences a tile setter sets tile in the bathroom of the senior living community is the same tile setter drawn to the residential sector given huge demand there. reporter: putting already tight pressure on an already tight labor market. we know from last month's construction jobs report, construction is one of the few industries lost workers rather than add workers. why do you think that is? is it hard to find workers for construction? >> there are many components to this. part of which is skilled labor,

talent and training. it's a wonderful time to be in construction for getting out of the military, high school, recent college graduates. anyone considering a career change because you can earn while learning. there is such a demand for talent that the industry is just begging for it. reporter: good opportunity there but take us back to the construction site here. if you don't have enough workers what does that do to your bottom line, do to your project? >> sure. puts it at risk as well as quality as well as budget. for us as the general contractor with our subcontract partners when they can't get good, talented skilled tradesmen, it directly impacts us from one of those three standpoints. reporter: potentially more expensive and take a longer time to cross the finish line. thank you, connor. we're hearing from the source about some of the challenges when it comes to completing the project on time and on budget but we're also learning jobless claims, number of claims for

first time unemployment benefits fell to a pandemic low. we'll see if the construction industry benefited from knew workers. heard it straight from connor. he is doing his best to keep workers on the site happy to stay out of the competitive labor market for new workers. neil? neil: got it. lydia, thank you very, very much. that could explain the stubborn uptick in home prices because no matter what happens on the lumber front, the demand for housing is what it is. of course that has been igniting this price hike that has so many priced out of the market and competing with so many others who want the same home. beth friedman. brown harris stevens real estate ceo. good to have you back. how would you explain where we are in this housing recovery right now? >> hi, neil. so nice to see you. i think the pandemic, you know, a lot of people did not predict that the housing market would boom like this. i think the saw mill, you know,

at the saw mills they were stopping the production of lumber thinking that everybody was going to close down. and the opposite happened. i think there was sort of a universal reassessment of how we live during the pandemic. as you know you spoke about earlier being locked at home with your children, everybody was thinking how they live, how they want to live. so people started to think i want to go do a renovation. maybe i want to move. maybe it is time for me to buy a home at the beach. i think that inspired a lot of this. i think we're seeing such a fluid housing market. i think the report said we need to build more than four million homes to keep up with the demand in the united states. it is remarkable t has really been remarkable. neil: so that would at least indicate this has some traction, some staying power. are we talking a year, more? >> i think we have at least a year. i mean the fed has indicated i think rates will stay where they

are which are still historically low. neil: right. >> i think the fact that lumber has come down makes sense. it was up something like 500%. so now that it has come down a bit it is more reasonable. it is still higher than it was before the pandemic. so i think that right now we're on a good trajectory and i think that people want to buy. they want to do construction. now that people are traveling again. i think we're seeing a little bit of a slowdown and supply has diminished in areas like the hamptons and palm beach and connecticut. so the demand is there. but now people, there is nothing to buy. so that is a different challenge that we face. neil: yeah. i read a story in the "palm beach post" about mansion owners, they're begging to put their homes up for sale. no, my good man, i can't do that today. i'm curious, bess, about the environment. you're an expert. i play one on tv i don't think

we're back to the frothy days of the housing crash and meltdown. i do hear anecdotal people are offering sellers of homes, concert tickets, anything they can to get to the front of the line and some buying homes sight unseen simply on what they see on the internet. i don't think it is routine. i don't think it is commonplace. but it is more common than it was. does that concern you? >> yeah. i think that, look, people buying homes sight unseen is unusual. that doesn't happen so much on occasion if it is more of an investment. but i don't, i think the market is healthy right now. i think it is moving along. people want to buy and that is very good and -- neil: are they all qualified? are they all qualified buyers? bess, sorry to jump on you there? >> no. neil: that was certainly the concern during the melt down and afterwards, if you had a pulse

you were getting a mortgage or home equity loan. we're being a little bit more vigilant about that, right? >> very much so. there are still restrictions in place. you still have to be qualified to buy something. before you could get a mortgage for 100% on the results of tactics people using that were not responsible. i think there is much more fiscal responsibility in mortgages today, which will prevent some of the collapse that we had back in the bad days. we're in much better place in regards to that, neil. i really do. neil: so the interest rate environment that, as you correctly pointed out, jerome powell will kind of be what it is for a while, then mortgages, at least those, you know, pegged to the 10-year note, they're going to remain pretty cheap, for how long? >> you know, that is a good question. i mean there is all indications say that we have at least another year, maybe two. i mean we're still in an economic recovery. we're not out of the woods yet. although people are not wearing

masks. people are traveling. i just traveled for the first time. i still think we have a ways to go. we need people to get back to work. your last segment. you were talking about that. it is hard for people to get back to work. we still have hurdles to overcome, right, neil? it will take a little bit of time. we have to be careful. we don't want rates to shoot straight up. which need to take time, get people back to work. people feeling good. a little bit of time. give us a year or two, maybe two years or so. neil: you were right on the money when everyone was saying that we're going to be in this housing for how long, you said i don't see it that way. you have a pretty good track record, bess. best freedman real estate ceo. we are going to be taking look at various housing markets later in the show. what is hot, what's not. whether they're running out of supply. i wasn't talking about the palm beach report. they're simply running out of

mansions. it is such a tough time. we'll have more. ♪. our retirement plan with voya, keeps us moving forward. hey, kevin! hey, guys! they have customized solutions to help our family's special needs... giving us confidence in our future... ...and in kevin's. voya. well planned. well invested. well protected. that building you're trying to sell, - you should ten-x it. - ten-x it? ten-x is the world's largest online commercial real estate exchange. if i could, i'd ten-x everything. like a coffee run... don't just sell it. ten-x it.

♪ ♪ with cutting-edge tech, world-class interiors, and peerless design... their only competition is each other. the incomparable mercedes-benz suvs. extraordinary runs in the family. visit your local mercedes-benz dealer today for exceptional lease and financing offers. the world's first fully autonomous vehicle is almost at the finish line what a ride! i invested in invesco qqq a fund that invests in the innovators of the nasdaq-100 like you become an agent of innovation with invesco qqq

he have ♪. neil: there is an old line you want your bank to do well because if it isn't you're going to pay the price in terms of rescues if it is not. it is that valuable of a sector, among the first sectors report earnings numbers are coming in pretty good and then some. let's get the latest read. lauren simonetti keeping track of all of that in new york. hey, lauren. all right. i will get the details on that. suffice it to say of the numbers we have the better than expected numbers, jpmorgan chase, goldman, wells fargo, bank of america, morgan stanley, they have all come in with numbers by and large that were better than estimated. some revenue disappointment from bank of america, a near blemish what is otherwise a stellar

quarter, otherwise for bank of america and other financial players. luke lloyd, mitch roschelle, as a sector, how do you like the big money guys? >> i liked them for a long time. if interest rates do in fact go up, that is good for the banks historically so we've got that going for us if we do see interest rates start going up. but right now the m&a business, mergers and acquisitions is booming. initial public offerings are booming. their equity trading business is on fire. so i think that they're firing on most of their cylinders. many of them are actually getting their employees back to the office which is a good thing which will hopefully boost profits if people start collaborating together. i am bullish and remain bullish on the sector. neil: i just wonder what the personnel skills are like, luke. when you hear the ceos like goldman or jpmorgan chase, you will come back to the office, no

ifs, buts about it. mitch alluded to it. it is important we all get together to be miserable together. >> that's right. neil: what do you make of where they stand on the great post-pandemic get pack to the office push? >> i think it is actually pretty good back to the office. i know for me personally. i work from home for a week during the pandemic, only because i had covid, i had to stay home for the week, week 1/2. people get back together, they are able to communicate better. they're able to do projects together better than they are virtually. i know we have zoom. we have all this software now. but it is just not the same. i think it is a great thing. neil: luke, that is the problem with you and mitch, you're social people. you like people. >> i am too social. i talk too much. neil: i get it but continue that thought this is actually helping the industry, right? it will help the bottom line, that's what i'm asking? >> i think it absolutely will help the bottom line. i think people getting back will

be more productive on earnings. when it comes to giving out loans. a big driver of banks is giving out those loans. they're finally able to release the reserves because during the pandemic they had so much in reserves because they were so scared. i'm sure where the future held. people are together. people don't like to meet in person. don't like to talk about personal information over a zoom call, virtually over the phone. people are able to come back into the banks and handle their loan process which i think is bullish for all the banks. neil: i always worry about whether they are overdoing it though, mitch. not talking about the coming back to work part. you know, freeing up some of those reserves that they had kept sort of on stand by for requirements after the meltdown, just in case things go kablooy. a lot of that money has gone back into paying dividends, you know, a host of other areas, buying back stock. are they, in good shape in your

view in they passed all these so-called stress tests for something that could go wrong out of the blue, which happens a lot of the time, out of the blue? >> i think that stress test process is very robust and is actually synthesizes the catastrophe and we've seen some of them in our own lifetime very recently. and they're looking at the banks, giving them the all-clear, letting them buy back stock, pay dividends. i think many of those banks may have in fact overreserved f we think back a year ago, that wasn't an unreasonable position. no one knew what the outcome would be for all of this. but i do think that these big banks are very diligent and they take the reserving process very seriously. so, i'm, i'm not too worried about the level of reserves. i think they still have a very healthy amount of profit that they have stashed away in the form of reserves. neil: you know i do wonder

though, luke, that now with them beefing up their dividends, paying them in the case of some that halted that does that attract buyers? how do you see that going? because i'm told as a group young people are not intrigued by financial stocks, they just aren't. never mind they are the core of our capital system. >> meme stock, right? neil: exactly. what you do make of that? >> reinstated dividend is great thing for all bank stocks. another part is the share buybacks. buying back shares, amount of reduces shares out there are, or might drive banks higher. another thing mentioned so far is the world economy. we're focused on the united states, what banks are doing here in the u.s. there is still a lot of issues in the world economy, with one of the banks we like is citibank. they have the world global exposure all around the world. as the economy reopens in all

aspects, when the delta variant scaring a lot of countries right now, things start to reopen, get better all around the world, i think citibanks is one of laggards that will catch up soon. neil: you know, if i could veer very quickly, something a tad riskier, bitcoin, or currencies in general, they have been holding up in the face of one attack after another including china, mitch, which is now even going after marketers of this stuff, let alone manufacturers. but again, it has held up, i get word when i hear reports of seniors who are turning to cryptocurrency as a way to make up for lost time in the portfolio, what do you think of that? >> that scares me bejesus out of me. neil: first luke. i'm sorry. >> that scares the bejesus out of me. crypto is not are got faint of heart and it is not for every investor. you know, there are big

investors like cathie wood at arc investment management who is very bullish on crypto. she understands that space very well but if you can't describe what crypto is to somebody, and you can't articulate what blockchain technology is then you shouldn't buy it. that is my simple rule on cryptocurrency. neil: that is interesting. the old peter lynch, if you can't sum it up in a sentence don't even try to buy it. what do you think of that, luke? >> i always tell my clients you should owe an amount of crypto orbit to inyou're not afraid to lose, right? you shouldn't put more in there that you can't afford. they need another big catalyst. there are no more catalysts on the horizon right now. we need another big company to come south saying they're accepting bitcoin and crypto. the china news was not a good thing for crypto. regulation is right around the corner. there will be many ups and downs over next couple years. it will be volatile. as a asset class you have to look at it as a speculative

asset class for sure. neil: recognize you can lose your money, if you're okay with that, take a chunk aside, maybe play it, that might be the extremes but you should probably enter it with that kind of a psyche. guys, i want to thank you both very, very much. we're monitoring the white house right now. president biden is talking about the new child care tax credits are already being beamed into the accounts of some 35 million americans. we're told he is going to say this gift will keep giving because it keeps renewing. some people will get as much as $3600 of it, depending on the number of kids whether they like their kids after this. usaa is made for the safe pilots. for mac. who can come to a stop with barely a bobble. lucia. who announces her intentions even if no one's there.

and sgt moore. who leaves room for her room. with usaa safepilot, when you drive safe... ...you can save up to 30% on your auto insurance. get a quote and start saving. usaa. what you're made of, we're made for. there's an america we build and one we explore. one that's been paved and one that's forever wild. but freedom means you don't have to choose just one adventure. you get both. introducing the wildly civilized all-new 3-row jeep grand cherokee l

it's another day. and anything could happen. introducing the wildly civilized it could be the day you welcome 1,200 guests and all their devices. or it could be the day there's a cyberthreat. get ready for it all with an advanced network and managed services from comcast business. and get cybersecurity solutions that let you see everything on your network. plus an expert team looking ahead 24/7 to help prevent threats. every day in business is a big day. we'll keep you ready for what's next. comcast business powering possibilities. the rule in business used to be, "location, location, location." now it's, "network, network, network." so you need a network that's built right. verizon business unlimited starts with america's most reliable network. then we add the speed of verizon 5g. we provide security that's made for business. and offer plans as low as 30 dollars per line. come to verizon small business days on fridays in july to get a plan that's built right for your business.

♪. neil: all right, want to take you to the white house right now. busy day for the president. he will meet with angela merkel

from germany a little bit later today. right now he is doing a little crowing about the child care tax credits, 35.2 million americans started receiving them via direct deposit today. others will get paper checks. some will get as much as $3600 depending on the number of children. let's listen in a little bit because the president promised there will be more of this to come. >> it is not even close. the benefits will be felt for years. studies have shown that tax relief that helps children, that is okay, don't worry about it, it is okay, let him cry, or her, whichever, that helps children and can lead to better health, better school performance and better future earnings. in fact research from columbia university in new york found that for each dollar this tax cut costs it returns $8 in benefits down the line. $8 would have to be spent other

ways. it's a gigantic help. it is an 8 to 1 return. your head, your heart, and your budget all lead to the same place. this is the right thing to do and it is the smart thing to do. today these tax cut payments are arriving automatically but didn't happen automatically. this is the result of people advocating this for a long, long time. we finally got it passed in the american rescue plan. i want to particularly thank mo have been fighting for this for years. congresswoman rosa today laura from connecticut has an champion. con man ritchie kneel, congressman ritchie kneel and torrez and ron wyden. you will hear from our republican friend who voted against but they will taught the success and helps working

families in their states and districts. in the coming days i want to now extend this tax. it is only for one year now. all i could get it for the first time. and so i want to extend it into the future now. i have another piece of legislation to be voted on soon. we'll continue this. to the people who say we can't afford to give the middle class a break, i say we can afford it by making people at the top and the big corporations, over 50 of which paid no taxes at all, just start paying their fair share. we will not gouge them. just pay their fair share. people working hard and paying taxes deserve a break. that's why i have, excuse me for all these terms i'm using, my build back better agenda, which still needs to be voted on in the congress, keeps this tax cut for working families in place for years to come. we shouldn't let taxes go up on working families.

we shouldn't let child poverty continue to stain the conscience or drag down our economy. i say to my colleagues in congress, this tax cut for working families is something we should extend, not end next year. i say to all of you watching. make sure your family friends, community, know about this tax cut. send to them as i said, child tax credit.gov, to learn more about the differences it is going to make in their lives. let me close with this. i signed the american rescue plan less than two months after taking office in january 20th. four months later we have implemented, we implemented the first-ever automatic payment for any tax cut ever, like vice president was talking about which is social security.

this is what i call our war-time effort to vaccinate americans against covid-19, to mobilize the whole country. we're proving, we're proving that the democracy can deliver for people and deliver in a timely way. saving lives, and improving lives, helping fuel record-setting recovery. giving working family as fighting chance again. i received an email today from a mother in washington state. she is a wrung young teacher who received her payment. i am quoting. my family is living hand to mouth to put me through school so i can find my passion to mold young minds. this payment has come the exact moment we need it most. the these payment seem small to some but they're live i have life-changing for us. millions of families starting today their lives are about to

change for the better and our country will be better off for it as well. this is a really good day, parents you can tell their kids when they're 25 years old you were there the day this happened. we talked about it. show them once again that there is nothing beyond the capacity, our capacity as americans to get done when we do it together. so i want to thank you, god bless you all and may god protect our troops and kids. thank you for being so polite while i was speaking. you're very, very nice. thank you, thank you, thank you. bye-bye. [applause] neil: all right. that was president biden outlining this new child care tax credit. i caught a figure he used. i don't know the math behind it talking about for every dollar spent on this, 15 billion up front. ultimately 100 billion when all benefits are rolled in has an

eight to one return. in other words for every dollar you're spending you're general rating $8 in savings or benefits for the economy. i assume he is talking about those who might be on food stamps or other programs, that they less after need to be or even qualify for that, thanks to these credits. it's a one year event. eight to one ratio seems a little steep but i'm not questioning him as much as, well i'm questioning it. also a couple of things. these are not chump change figures here. for anyone this is substantial. we're talking about those, with children, it could be up to $3600 per child and it works out to $900 per month for the rest of the year. 35 million, close to 36 million americans will qualify that and that encompses more than 60 million children. this is one year initiative.

the president wants to make that a little more long-lasting. he didn't say exactly how long but democrats have been pushing yearly renewals of this building into future budgets including this one on human infrastructure they're building right now to be debated next week, as soon as next wednesday, in tandem with the infrastructure package. the president is saying we did this without a single republican vote for this measure arguing that republicans would be touting this in their communities even though they didn't support it. what they didn't support just to be clear was the open-ended nature of this and the fact that it could, it could go for a long time and for a lot of people, keep government dependents to the point it would preclude other activities. he is saying it will get them off a lot of federal programs, take them out of the poverty level, that in of itself would be a big benefit to the economy.

again it would be the federal government doing that. this wasn't market forces that generated this. it was the federal government that kept this going and there are critics of that, this recovery needs the government to keep pushing it along, at what point do you wean people off of that? that is the raging debate between republicans and democrats. see how that sorts out in the meantime, keeping a close eye what is going on in cuba, we're not missing any of that, or the fact that the violence has picked up and the government there has certainly picked up the in your face approach to anyone who protests this. joins us, the center for free cuba executive director. john, you think about it, if the cubans are embarrassed being caught on social media arresting someone as she is speaking, or going after leaders of this movement also spotted by tv cameras, they have a funny way

of showing it because they keep doing it. what do you make of this? >> they keep doing it. videos have emerged with police forces dressed in black shooting at unarmed protesters with bystanders screaming about the children. this is a brutal communist dictatorship been in power 62 years. it does not brooke dissent, it does not recognize opposition parties. thus far from the partial information we're getting, arrested 5,000 people. 200 of them identified as opposition activists. we know that many people have been killed. we note they reported very small numbers officially but with contacts on the island it could be as high as in the hundreds over the past since sunday. neil: john, one of the things i'm curious, cuba's willingness to consider, i stress consider, allowing relief, food supplies to come. a lot of cuban exiles living in florida, particularly around the miami area offered to do just

that. do you think they will accept those folks and relieve? the fear is at least part of many in the government in cuba, that they will also take back you know, cubans seeking asylum in the united states? >> well, i think first and foremost the humanitarian impulse in this community was demonstrated last year when somebody in the cuban defeat initiative gathered tons of food and medicine and sent a freighter over to cuba made it to the port. and that aid was denied by the cuban government. they have over the past two years tried to shut down independent channels to get assistance to people. that is why the social explosion took place on sunday. they have shut down the paths for cuban mules who traditionally traveled to the dominican republic, panama, other countries, including the united states and brought back food and medicine to sell in the black markets, gray markets in cuba. the communists sought to monopolize that through the

government stores controlled by the military and typical communist organization was a disaster. there was less food. less medicine. people were suffering more. the reason for shutting down the travel was the pretext of covid but kept travel open from russia india that had worst cases. there have been outbreaks of covid-19 due to the tourists. that is also driving the anger in the population. neil: john, the message from the administration you're not welcome here, don't risk your lives going on a boat, assuming you can get to the united states. you're not welcome. maybe they're harkening to the experience under jimmy carter in 1980 when fidel castro simply emptied jails across the country and let those come to the united states. >> i need to correct you neil. hold on. let me say something. i have need to say something. he did not empty jails. he specifically line item by line item selected murders,

psychopaths and rapists in the u.s. he was very careful to release political prisoners in 1980. his bodyguard described how fidel castro personally did that. neil: do you think there is a risk of that this time, john? do you think there is risk of that this time? >> there is always a risk of this time of regime to engage in actions harm the united states. last time with the obama opening? how did end up? 40 diplomats with brain damage at the embassy in havana. problem extended around the globe. it started in cuba, and spread to russia, china, other places with american diplomats harmed. this an outlaw regime, advocates terrorism, sponsors and trains it throughout latin america with farc and hamas, so they are capable of anything. today they are in venezuela. their troops and intelligence officers torturing, killing, raping venezuelans. their intelligence officers are

in nicaragua assisting daniel ortega fortifying his dictatorship. they are fundamentally hostile to the united states and its just interests. neil: so how does this end? your thoughts? >> how does it end? that depends on the democracies in the region and the international community. there needs to be a very strong and clear message, first recognizing the regime for what it is. the soviet union and eastern europe were freed in part because ronald reagan recognized it was an evil empire. what is in havana is an evil regime. it is not a cuban government. it's a regime does not recognize the sovereignty of cubans. murdering cubans merely speaking out and calling for freedom. the administration had a good first message. they need to strengthen it. go through the multilateral institutions against cuba at u.n. and.

don't have family members doing shopping spruce in new york like happened when alan gross was taken hostage a few years ago. the people that locked him up had their kids shopping at macy's not too far away from your studios. that is unacceptable. it should not be repeated especially now especially what is happening on the ground in cuba, i want to keep a close eye on it. i would love to have you back, john. thank you very, very much. >> thank you. neil: we'll see how this unfolds. it is still very early. john suarez, the center for a free cuba. he is executive director there. meantime, want to go back to washington, what's happening. the president just talking up obviously this initiative to get money in the hands of folks with the child care tax credits but i want to switch, a lot of texas democratic representatives are still in town, stand to be in town for at least another couple weeks. i say at least as they protest republican efforts and deny them a quorum to vote on in measures they say restrict voting rights.

chad pergram following all of that right now on capitol hill. chad, what is the latest. reporter: good afternoon, neil. call it the texas two-step. democratic texas lawmakers loophole in statehouse rule, the legislature can't meets if it lack as quorum. that means the texas voting bill is blocked for now. that is why they fled to washington. >> they could care less. we have no input. we have one value. the only value we are to them is warm bodies to make a quorum. reporter: meet today with jimcratic senator joe manchin changing the filibuster on the federal voting bill. the texas democrats want to use statehouse rules to block a bill in texas but they hope emdemocrats change procedures on filibuster. the gop finds it rich. >> it is quite interesting to see the democratic majority in the senate concerned about minority rights in the state senate in texas. i guess if you live long enough you will see almost anything around here.

reporter: however the tense sass texas voting bill may be a fait accompli. joe man minute and other democrats are leery of changing the senate filibuster. neil: thank you, chad pergram in washington. you heard electric cars are all the rage but electric planes? i kid you not. united just ordered 100 of them. after this. your strategic advantage. that building you're trying to sell, - you should ten-x it. - ten-x it? ten-x is the world's largest online commercial real estate exchange. you can close with more certainty. and twice as fast. if i could, i'd ten-x everything. like a coffee run... or fedora shopping. talk to your broker. ten-x does the same thing, - but with buildings. - so no more waiting. sfx: ding!

see how easy...? don't just sell it. ten-x it. new projects means new project managers. you need to hire. i need indeed. indeed you do. when you sponsor a job, you immediately get your shortlist of quality candidates, whose resumes on indeed match your job criteria. visit indeed.com/hire and get started today. well, geico's 85 years isn't just about time, you know. it means experience. i mean, put it this way. if i told you i'd been jarring raspberry preserves for 85 years, what would you think? (humming) well, at first you'd be like, "that has gotta be some scrumptious jam!" (humming) and then you'd think, "he looks fantastic! i must know his skin care routine." geico. saving people money for 85 years. beg your pardon.

♪. neil: swedish word for huge? swedish electric aviation hart aerospace received largest order, 200 electric aircraft from unite airlines, 100 from mesa air group. the guy behind all of that kind enough to join us right now what this means. the heart aerospace founder and ceo. congratulations on this. those are two huge orders. the united one stands out because united is very busy separately buying supersonic transport jets. this is a great vote of faith what you have come up with. explain what you have, a lot of people, electric planes, electric jets, they think how does that work? >> so electric planes are

already here but so far the certified electric planes are limited to about two seats. so at hart -- heart air aerospace we're bidding a plane for 19 travelers that opens up come merge travel. you're saying not many 19 seaters. there are no 19 seaters in the commercial u.s. in the 1990s, there were hundreds of 19 seaters serving communities across america flying short routes. those are the routes we want to open up again and open up for this service. neil: all right. the safety aspect, you're more up on this than i am, a lot of people say i don't know if i warrant to try that, i'm nervous about that. what do you tell them? >> so, first of all air travel is the safest form of transport of all. that is because it takes tremendous amount of work to

certify an aircraft. so when it is certified by definition it is safe. i've phone the electric aircraft certified today. after you phone them you go back to a piston engine aircraft that doesn't feel very safe. neil: is there a back up or hybrid nature for this, anders? you hear about electric cars, they have problems, i always found hybrid vehicles to have a fallback using traditional fuel in that event or is this electric and nothing else? >> no. we're going for the all-electric solutions. there are others looking at hybrids but we're trying to optimize unit economics. we didn't lose the 19 seaters and services because of range. we lost them because costs were too high. by sticking with batteries and, that is what is going to get us there. neil: it is amazing. they're beautiful planes too. keep us posted.

this is the front wave of what could be a whole new way of folks flying. the heart aerospace founder around ceo. he has 200 plain orders from two major carriers under his belt. not bad. more after this. ♪♪ ♪♪ ... their only competition is each other.

the incomparable mercedes-benz suvs. extraordinary runs in the family. visit your local mercedes-benz dealer today for exceptional lease and financing offers.

neil: well, if one of about

35.2 million americans who are getting those child care tax credits, a sum up to $900 a month as a gift that keeps giving for the remainder of the year, up to a year, i should say, the president wants to employee tend that, but for a lot of small business owners, and employers, this is bad news. yet another reason for those getting these benefits not to look for expanded work or necessarily work for them. hillary vaughn is the latest right now from arlington, virginia. hey, hillary. reporter: hey, neil, well democrats are so pleased with this monthly credit going out, starting today, that senate majority leader chuck schumer just moments ago called this , and i quote, "a big eff'ing deal " 35 million families woke up to extra cash in their bank account. here is an example, for an eligible family of five with three kids under six, they are getting $900 a month from the irs. this is temporary, but senate

democrats pledged today they will do everything they can to make it here to stay but some worry that doing that could make the labor shortage worse, or at least make it last longer and business owners that we talk to are already struggling to find workers, and having to pay a lot more to woo them. >> the demand for employees we've increased our average kitchen hourly rate bias much as 20-40% in order to keep the staff we have and draw in new people. we had staff leave because they found as much as 18-$20 an hour elsewhere and we are a single business, so we don't exactly have the freedom to do that. reporter: i had a chance to ask labor secretary marty walsh about businesses, having to pay almost double but he doubted that that is actually happening. >> i don't know if it's double. i don't know if it'll be double but i think certainly, workers deserve opportunities to earn more money as well.

obviously you don't want to see businesses go out of business. i'm not picking a side here. it's not all about one side. reporter: but republican leader mitch mcconnell had a chance to react to our interview on fox news earlier today and he said he has no idea what walsh is talking about and that republicans think that this extra money, whether it's in the form of a child tax credit or it's an extra unemployment benefit, is contributing to this labor shortage that business owners are seeing. more money, they desperately need it, some crawl out of poverty as a result of this is the president's argument. republicans are worried that this will just keep the fiscal spiget open and churn ing inflation, to say nothing of the fact that maybe it delays some folks looking for work. we should stress that most of these folks work already, so whether that means that they are disincentivized, that's still out there. let's go to frances newton stacy

, the director of strategy, mike murphy, rose cliff founder and managing partner. francis, looking at the markets reaction, it's the only prism we can go through for the time being to weigh in on it. they like it for the stimulus part. i guess they will sort out whether it really does affect employers looking for workers, and this crowd is among them that might be less inclined to join them at their restaurants and small businesses. what do you make of that? wall street seeing stimulus side and liking that. >> well, the thing is is that the record amounts of stimulus on the fiscal and monetary side are participatory and probably the primary catalyst to having all-time highs at the moment so wall street will like things that justify markets at this level particularly if earnings may soften in the third quarter we won't know, of course until we start reporting that in the beginning of the fourth quarter but markets as i always like to say are anticipatory. another thing to consider is about a quarter of americans struggle making their payments,

and even though we have extended the eviction moratorium we can't extend that forever. we do have some of those loans that were in forbearance coming out of forbearance. we do have some own us on debt service coming up. i generally think that again, it's so hard to tell in this moment in time what of these payments are participating in people not wanting to go back to work. you know, is it financial security from the stock market? is it logistics? is it child care, is it covid fears, delta variant, what have you, it's going to take a little bit of time to wash through the system and i think jerome powell made the best comment this morning in front of the senate when he said we actually won't know how the states who are cutting off these ui benefits fare until we see it in hindsight, unfortunately, neil. neil: right talking more about the federal benefits that two dozen states, largely republican governors, have nixed, but you know, mike, obviously, people armed with another $900 a month spend, they are going to spend

it and i'm wondering how that feeds the inflation issue. what do you think? >> hey, neil. yeah, i think everything about this is wrong. you know, so you're taking people who are at the poverty level or people who don't have a lot of money, you're handing them more money, incentivizing them to stay home or not go out and get a job, but then, neil, these people are going to be hit by the inflation that we have. these are the people who are impacted when the price at the pump goes from $2 to $4 or $5 in some areas. these are people that are getting a free lunch handed to them who are now incentivized to have more children, because kind of they are getting paid. it's a job to have another child whether or not that child is being brought up in the right environment is a whole other story, but you're incentivizing these people to stay-at-home, to not work, and to be handed money

they're going to go to the walmart, and going to go to the target, they are going to spend this money, so it's good for corporate america. the loser here is going to be back on these people when they aren't getting educated, they're not getting the best jobs that they could get. they're incentivized to have children for the wrong reasons, and then, their cost of goods is eating away at this what appears to be a free lunch so i think this is a political move and i think it doesn't really help the people it's aimed at helping neil: all right as you know the administration pointed to bureau of labor statistics report a number of other studies says the vast majority of these people do in fact work, whether that does disincentivize them to work more, you might raise a point here but one of the things , frances that i found an odd figure that the president referred to that for every dollar you spend on things, it generates $8 back in terms of savings to the government and programs to the poor and welfare and i guess by extension, food

stamps, wasn't quite sure what he's talking about but the 8-to- 1 ratio surprised me. is there any proof of that? >> i, like you, neil, would like to see that math. i don't know exactly where they're getting that figure, but i will say that from the market perspective, i understand what mike is saying; however, people who can't feed their kids can't feed their kids. this is not as you distinguish the unemployment benefit incentive but it adds to that, and there are a number of people right now who are struggling to pay their bills, and more of their bills are coming back online. we still have 7 million that are not, you know, less jobs than we had pre-pandemic, so i think from an administrative standpoint it is really tough to say okay some of the longer term psychological impacts maybe disincentivized that, that or the other thing, and then ultimately it hurts a certain class of people more than the others, but i like jerome powell's attitude. in the immediate term, until we

have all of that distinguished and confirmed, i really think that this is helping people out and because costs have gone up so much, even whether it's transitory or not, i think this child tax credit, some will use it positively, some will use it negatively but it will definitely help some folks out. we are servicing the debt right now, even though it's ever- growing and i think i agree again with jay powell that it will have to be addressed, but we aren't having debt service issues right now, so we should get the pandemic behind us. neil: yeah, all this is transitory i guess is to quote him. guys, we'll have you back a little bit later but i want to get the read on all of this with nancy mace, the republican south carolina representative. congresswoman, very good to have you back. where are you on that math that the president was using, congresswoman, on the 8:1 ratio and benefit versus cost of these tax credits?

>> well i'm having trouble, i think the left in the white house are having trouble with the basic math on this deal. we just saw yesterday with that $3.5 trillion proposal by the biden administration that says to me the bipartisan infrastructure package that was proposed was so bad for the social wing of the democratic party they have to put this package together to get the approval of socialists like bernie sanders and aoc, and you're right, neil, about inflation and the cost of inflation with this kind of spending. it'll continue to hurt the economy. i know for a tank of gas here in south carolina, i'm paying almost $3 a gallon right now, significantly more today than it was seven months ago, and so groceries have gone up, the cost of housing has gone up, everything we buy today the prices have gone up significantly over the last six to seven months. neil: i hate to weight it to politics, congresswoman, but i did catch the president saying there were no republican votes for this measure, these credits so i said well i have a feeling

this is going to be a mid-term election issue, all these millions of people getting money to feed their kids, you know the drill, and that republicans with a greedy mean cold folks who said no. i think that's what he was setting the stage for , but what do you make of that? >> oh, i bet and we saw last week jen psaki saying republican s wanted to defund the police. this is political, and these are the kinds of games we should not be playing with the american people in the middle of the pandemic, and i believe it's largely true the federal government helped incentivize additional federal unemployment checks. unemployment in the country, south carolina itself, i know for six to nine months over the last year and a half, we're saddled with unemployment at 4% to 5% not bad in the middle of the pandemic but could have been better if we didn't pay people to stay home and i think that it's very dangerous to set the precedent that americans are going to receive a check every month from the federal government because there is no

free lunch as one of your interviewers said earlier. somebody is going to have to pay that bill, and it will not be the wealthy it'll be on the backs of everyday hard working people that have jobs and are trying to do right by their families and themselves and their communities. neil: all right well much of this is paid for by the wealthy. the higher taxes for them, the president made a point of saying that will get them paying their fair share, and corporations paying their fair share, and this is a moving target as you point out in the past this idea of what is fair share. i have an idea it might be significantly higher than where we are. what do you think? >> i would argue too those costs get passed down to the consumer to every day americans because someone will have to pay that bill and it will be, you'll see it in inflation. you'll see it in the prices. neil: you don't think the surfing tax on the wealthy will be enough to cover this because the mass does bear

you out that that alone doesn't pay for this. >> no it's going to -- neil: chuck schumer wants to debut next week. >> i believe it's going to trickle down to everybody who has a job in this country they will pay significantly more in taxes whether that's through their paycheck or through the groceries that they buy at the grocery store or their gas, they are filling up their cars with every week. they will feel the pain. neil: yeah, all right, nancy mace good seeing you again. south carolina republican, transportation and infrastructure committee, decided to run for congress when she took a look around and said my gosh, i've got to do something and she did, she ran, and she won. in the meantime here, we've been talking a lot about used cars, because they're hot right now. in fact, we just had a guest on in the last hour who said you know, a lot of people who bought used cars a couple of years ago are turning them in and getting more. getting more for them when they bought them two years ago. that never happens. it's happening now, for how long

our retirement plan with voya, keeps us moving forward. hey, kevin! hey, guys! they have customized solutions to help our family's special needs... giving us confidence in our future... ...and in kevin's. voya. well planned. well invested. well protected. that building you're trying to buy, - you should ten-x it. - ten-x it? ten-x is the world's largest online commercial real estate exchange. you see it. you want it. you ten-x it. it's that fast. if i could, i'd ten-x everything.

like... uh... these salads. or these sandwiches... ten-x does the same thing, but with buildings. sweet. oh no, he wasn't... oh, actually... that looks pretty good. see it. want it. ten-x it. yum!

neil: think quick. cuba and hong kong, what do they have in common? well, a very very forceful state

that is kind of pressing the issue, and not allowing protesters to protest, even on live tv interviews and arresting them, many others are just disappearing. it's a common theme among the regimes and it's happening again and gordon chang has seen it many many times the great u.s. china tech war author and so many other intriguing reads on china and its emergence as a global power and increasingly, gordon, a global threat, but i was intrigued by the similar approaches both. >> governor: s took, that is china and hong kong and cuba and cracking down, what do you make of it? >> yeah, and in cuba, the internet infrastructure is chinese designed and chinese supplied. there were these internet which was designed to prevent the protesters from talking to each other in cuba.

well the cuban infrastructure is huawei technologies, zte, also chinese software there, and i'm sure that beijing is helping out because china is a big supporter of the cuban regime because it has military installations on the island and china has a lot to lose. the most important thing it has to lose is this whole notion that communism is on the march. there's been this 15-year democratic recession as freedom house says. well the people on the streets of cuba can actually change that and turn that around, because this trend might actually end in havana. neil: that was the hope that hong kong and you follow that much more closely than i do, but it doesn't look like it's winning out, so i'm beginning to wonder where this ultimately goes, and who fills that void. now you know, we all remember sort of the history when the then soviet union interview ed in cuba to establish a beach head, just 90 miles off our shore.

could china play that role, could russia play that role today? >> well china could certainly take over cuba. it is already a big backer of their regime. you know, neil, this parallel between hong kong and cuba is really intriguing, because you know, both places, you have protesters carrying our flag. in hong kong they actually sang our anthem and in hong kong it's not a poor society. the incomes in hong kong are 5.2 times greater than those in cuba , life spans in hong kong are 4.0 years longer, but people there want freedom and although the insurgency in hong kong seem s like it's melted away there's still resistance there so i think that we are going to see these two situations move in tandem, at least i hope so. neil: i hope as well. you know, gordon one thing i do also see in common is the government is not caring. not caring how it looks or not caring how much they look like

bullies and butchers and i saw that playing out in hong kong many many times, and now, again, in cuba, as if in this case, in cuba, learning from the hong kong experience that the later you react to this stuff and let it fester the more problems you have, in their point of view, and that's why they are being so aggressive. what do you make of that? >> yeah, and in cuba, there was one person killed, but also, more important, protesters are disappearing, and that, of course also happened in hong kong, and to your point about the way the governments treat their people. in hong kong, it's really been striking about the way the colonial government interact ed with the people of hong kong, and the way government, the current government has been doing so. and carrie lam's government if you can call it that because it's basically beijing directly interviewing they don't care what they look like, and they're just going full bore against civil society, so yeah, this is

common for all of these regimes neil: all right, see what happens hopefully cooler calmer heads prevail but i worry, gordon chang, thank you very much great seeing you again. >> thank you, neil. neil: all right, corner of wall and broad, markets are not panic king in fact they haven't panicked about a lot of stuff going their way here, more to the point by earnings that are looking really good and interest rates that are staying really low, stay with us. ♪ why do you build me up ♪ ♪ build me up ♪ ♪ buttercup baby just to let me down ♪ ♪ and mess me around and then ♪ ♪ worst of all ♪ ♪ you never call ♪ baby daydreaming again?

but i love you still you know i'm driving, right? i do. ♪ buttercup baby just to let me down ♪ if you ride, you get it. geico motorcycle. 15 minutes could save you 15% or more. this isn't just freight. these aren't just shipments. they're promises. promises of all shapes and sizes. each with a time and a place they've been promised to be. a promise is everything to old dominion, because it means everything to you.

♪ ♪ with cutting-edge tech, world-class interiors, and peerless design... their only competition is each other. the incomparable mercedes-benz suvs. extraordinary runs in the family. visit your local mercedes-benz dealer today for exceptional lease and financing offers. the rule in business used to be, "location, location, location." now it's, "network, network, network." so you need a network that's built right. verizon business unlimited starts with america's most reliable network. then we add the speed of verizon 5g.

we provide security that's made for business. and offer plans as low as 30 dollars per line. come to verizon small business days on fridays in july to get a plan that's built right for your business.

neil: all right, take a look at the price of cars, particularly used cars? well good luck finding one if you do you're going to pay through the nose. i mean, these are unprecedented increases we are seeing.

gerri willis following all of it hey, gerri what's going on here? gerri: hey, neil. you are absolutely right. it is a well known fact that simply driving a new car off a dealer lot in normal times drops its value by 5 or 10%, a car that's a-year-old is worth typically 25% less than the marketplace than what the owner paid, right? you know that, but this isn't a normal year. shortages of new cars due to chip shortages, heavy discounts at the beginning of the covid crisis are driving used car prices through the roof. check out our list of lightly- used cars that means a year or so old, no more, they are valued the same, or more, as a brand new spanking version of the same make and model and some of these like the camaro are worth more because they are collector items and they feature a mid-vehicle engine for the first time and getting a lot of attention but mostly it's not that. trucks, vans, they are very

popular. they were heavily promoted during covid and even the chip shortages driving their prices higher. look even conventional commuter cars like the toyota camry are drawing shockingly high prices after a year on the road. in this case, 92% of the original new version price tags. listen. >> completely reversed, right? instead of you submitting i want to buy this car from 20 people, or 10 people or three people now you're taking your car and you're doing the same to them. it's like it's completely flipped on its head. gerri: so he says creative consumers with car leases may find they can sell their vehicle for more than the buyout price or they can consider returning it to the dealer for a bonus, and of course, some folks are being contacted by dealers who are desperate for inventory, because they don't have it. the question, of course, if you sell that car now, well what are you going to buy because the

prices are so high? neil, back to you. neil: yeah, there is that. gerri willis thank you very very much. i do know firsthand that mike murphy put his mazaratti on the market and he's just waiting he rejoins me right now, frances newton stacy, great to have both of you back. nothing extremes inflation like people paying a lot more for used cars, what do you think >> we talk a lot about this , neil, because a lot of the used car companies out there, the companies that are really profiting from this phenomenon right now are private start-up businesses. we've looked at a lot of them we're actually investing in some of them and what we're trying to understand is this a recovery post-covid move that's going to start to wane, because pre-covid we were talking about how millennials aren't interested in buying a car, they don't need to own a car, they have uber and can get around without owning a car. is this going to be the new wave or is this just a short-term

blip? i think it's a little bit of both, but i think used car market, the demand out there for it, especially if we're handing people money, maybe they can use some of that money to buy used car, i think there's a lot of used cars out there right now and getting the cars to people quicker and easier is a big market and there's a lot of opportunity there. neil: this shows like it has some traction, frances, to touch on what we're mentioning earlier about inflation, maybe sticking around a little longer than even jerome powell is hoping. what do you think? >> well, this is classic supply and demand and what's really good news about this , neil, is that supply and demand is not broken as of the pandemic. that is one thing that we can still rely upon and i agree with you that this is going to last quite a while for consumers as far as price increases. prices are faster to come up than they are to come down; however, again looking at the markets markets are going to price in the next thing soon, so jerome powell is going to end up

being right. it's just are you right about the markets or are you right about the consumers? so we're all just eventually right. this will change as the supply changes and of course we have a chip shortage. i don't know if it's six months or nine months or it's a year but the chips will most likely come back online and then this will emelio rate as will some of these other inflationary pressures and, you know, to the transitory argument, this was a huge part of that cpi print that shocked everybody, so we'll see , but it'll be around for a while. neil: all right, talking about the retail inflation report, that stunned everyone with 5.4%, hadn't seen that in quite a few years. i do want to switch gears real quickly on some of these juggernaut games, the technology titan that got us through the pandemic and now continue to attract buyers, netflix the very latest and probably one of the best examples of that, mike, indicating now that it wants to expand into video games, didn't take long for a lot of investment banks to raise their

pricing tariff" on this , today 's slight downdraft notwithstanding. what do you make of it? >> so i think it's a great move i'm kind of surprised it took them this long, neil. how younger people consume media , how they spend their time is different than when you and i were growing up. kids want to play game, kids are on mobile, they are on on the phone, and they also want to stream things and they want it now. they don't wait for commercials. they don't wait until next tuesday when their favorite show is on they want it now and the gaming part of things goes into social media, it goes into e-commerce, it goes into so many other things, so i think this is a great move for netflix and unlimited upside for them. neil: you know, frances, i thought looking at this though that, you know, maybe the demand for all of this gaming and everything else is obviously proved me wrong because it goes up every year and my sons are a good example of why, but i am curious as to why now? i mean, post pandemic, you can

expect as well as into the fall and kids returning to in-person classes, that it won't be as robust, or maybe it's just looking longer term here. >> i think i agree with your longer term sentiment. i think that there are going to be ever-increasing competitive things about the streaming nature and i think netflix is trying to get out in front of this next wave. i also think this is a bit like the phillip morris model, video games are highly addictive. personally, i'm addicted to word crush so i maybe a bit bias here totally addicted right? and it tells me if i play more than 30 minutes a day my iq is above 120 and i find that very promising for my future so i just think these are really a didn't ever and this is the phillip morris model and younger generations love video games and it's an interactive than videos so i think this is

netflix getting out in front of it trying to get as much content as possible, as it has competitors come on and it l be around for a while, i think. neil: no, i agree with mike there too. i'm just surprised why only now. i'm surprised they didn't do this earlier. real very quickly guys if you don't mind i do want to go back talking about jerome powell and whether he's been in the news a lot this week with the testimony , talking down the inflation threat. do you think he's going to be reassure pointed the fed chairman, mike, to you. >> very quickly, yes, i think he's saying all of the right things and i think he's going in line with the administration, so yes, he'll be reappointed. neil: what do you think, frances >> i think so. i think he's kept a very calm, firm steady hand throughout the pandemic and he's ultimately going to be right about the transitory nature of inflation, because a lot of the feeders of inflation, fiscal stimulus being one of them, is flowing, and i think yes, i think he's very competent. neil: i wonder what donald trump would think of that, because

they got off on a bad foot, with the interest rate hike soon after he was appointed maybe he will just shrug his shoulders and say whatever. guys thank you both very much, frances newton stacy, mike murphy, uncanny reads of these markets, thank you guys. we're following a number of other developments we told you about the president and this child care tax credit thing at the white house. now, he's minutes away from meeting with the german chancellor angela merkel. she's been in power leading germany for the better part of 16 years and a couple months she's stepping down so she has talked to, visited and serious talks with four u.s. presidents, particularly with donald trump, i don't think that will apply here today to joe biden, but you never know. a lot of disagreements we had. she's very prompt, we're told, when they say 2:00 p.m. she's going to make it 25 p.m. so let's see what joe biden does. >> ♪

limu emu... and doug. so then i said to him, you oughta customize your car insurance with liberty mutual, so you only pay for what you need. oh um, doug can we talk about something other than work, it's the weekend. yeah, yeah. [ squawk ] hot dog or... chicken? [ squawk ] only pay for what you need. ♪ liberty. liberty. liberty. liberty. ♪ there's an america we build and one we explore. one that's been paved and one that's forever wild. but freedom means you don't have to choose just one adventure. you get both. introducing the wildly civilized

all-new 3-row jeep grand cherokee l

neil: the president about 20 minutes away from meeting with angela merkel 16 years in power in germany, she's had long talks and dialogues going back through four different presidents, probably the feistiest relationship was with donald trump but there are a lot of disagreements within she and of course the president of the united states, when it comes to that gas pipeline, russia, he's more on donald trump's page than people think so this could all go okay or it could be dicey. edward lawrence at the white house are more. reporter: hey, neil yeah that video just showing from this morning of breakfast between the vice president and the german chancellor so this is kind of a farewell visit the german chancellor will be here at the white house in about 30 minutes and she again announced she's not going to be running for re-election in germany in september, so, you

know, this is the fourth president when she gets here to the white house, that this chancellor will be meeting with president joe biden. he will also be the last, but it's still unclear what kind of long term agreements can be made out of this meeting, so still the two world leaders will be talking about some very important issues. merkel's view on climate change comes more in line with president biden, however she wants that pipeline from russia to be completed because germans plans to close nuclear and coal plants shifting where they get their energy from. president biden is canceling and blocking pipelines in the u.s. and shifting our energy reliance to some other countries again, but he's allowing the russian pipeline to be finished going to germany, so there might be some movement on russian hacking; however, because of that pipeline, the germans maybe more reliant on the russians for energy in the few which you're so the two world leaders might come to an agreement on covid vaccines, ship to other countries around the globe and that's a short-term issue that can be handled but the real big disagreement is china.

the german chancellor struck an agreement an investment agreement with the chinese late last year, wants to deepen ties with china. the president, obviously, warning folks about china, we'll need to get that coalition of allies to go against china and to the german chancellor maybe standing in the way here so some other big stuff will be coming up here and this new leadership though coming up in september in germany, that might make a difference with how the germans go forward related to some of these policies. neil? neil: all right, you cover everything, my friend, edward lawrence in washington and at the white house on all of that. reporter: [laughter] neil: another guy that covers everything is our charlie gasparino, like angela merkel, he's a stickler for being on time. he's here right now to talk about all this , you know, technology company pile-on and in the case of some tech companies they are piling back, but at a certain individual, right? charlie: you know, only several years ago, i want to say four years ago, don't hold me to the

exact time, lina khan was a law school student. she was a very smart law school student, she i believe went to yale and during at her time at yale she wrote an interesting treatus called the amazon paradox which basically said amazon.com despite the fact that it's the online retailer is lowering prices pretty soon it takes over the world and we better break it up before it does that. she also had some very established views on anti-trust, and monopolies like facebook and google and what we have right now is a few years later, lina k han, fresh from law school is now in the cat bird seat and she's head of the federal trade commission one of the most powerful regulatory agencies in government as far as business goes. the other one be the doj anti-trust division, which mr. biden hasn't appointed permanent head of that just yet, that's apparently, i keep hear ing every week it's imminent but lina khan is in the cat bird seat and if you said she's the most hated person in the

tech world right now, by tech leadership that wouldn't be too much of an understatement. she really does want to breakup these companies and as you know there's outstanding lawsuits against google, against amazon, and both google and amazon have asked her to recuse herself from these cases. i don't know quite how you do that. i guess they can go to court and get a federal judge to try, which is what they are trying to do to get her out of the case so in terms of when anything that happens with amazon and google including the current litigation goes before the ftc, she has to recuse herself and that means it's deadlocked at 2-2, so they can apparently not break them up or force divestitures on both of those companies as part of some of the litigation going on but this is fascinating. this is an ongoing battle and probably going to get wider because lina khan, neil, is basically she wants to break these guys up more than anybody else and i would just, if you're into business and if you own the stock here, neil, i would

read the amazon paradox because it lays out her philosophy which is a 180 from the judge borque philosophy remember that it needs to be consumer-armed. before even consumer-armed we want to break these guys up because they're too big. again google and facebook are opposing her. there's going to be a lot more and amazon there's going to be a lot more. she is, i guess you could say, the person that really that tech hates right now. they don't hate neil cavuto. they hate lina khan. back to you. neil: they do hate charlie gasparino. charlie: i think so. it's sad, it's sad that they take their venom out on me, when lina khan is just, if she has her way, let me tell you something, amazon will be back to selling books, and nothing more. neil: wow. we'll have to watch that one very closely, my friend, charlie gasparino on that, technology stocks, holding their own thus far, we'll see how long they could lost if this ftc has to

really make end roads in the meantime, following what's going on in california, you know a lot of school districts there are demanding kids returning to school still wear masks, and now a lot of california parents are saying what! >> ♪ ♪ ♪ when technology is easier to use... ♪ barriers don't stand a chance. ♪ that's why we'll stop at nothing to deliver our technology as-a-service. ♪

experience our advance standards safety technology on a full line of vehicles. at the lexus golden opportunity sales event. get 1.9% apr financing on the 2021 rx 350. experience amazing.

in business, it's never just another day. it's the big sale, or the big presentation. on the 2021 rx 350. the day where everything goes right. or the one where nothing does. with comcast business you get the network that can deliver gig speeds to the most businesses and advanced cybersecurity to protect every device on it— all backed by a dedicated team, 24/7. every day in business is a big day. we'll keep you ready for what's next. comcast business powering possibilities.

neil: all right, in california, where they got this under control, we're told, the covid cases way way down, and problems way way down as well, they are still mandating masks in a lot of counties and school districts , and that is not sitting well with parents who want in-person classes, but don't want their kids to go through the hassle of having to wear masks to enjoy them. william la jeunesse has more from los angeles. william where is this going? reporter: well it's just starting, neil. the question is, schools about a month away, maybe six weeks, one will students be required to get a vaccination. two, if they don't, will they have to wear a mask and three, if they have to wear a mask, will others be required to wear one as well even if they have a

vaccination. this argument is already playing out in san diego where the county board of supervisors said students would not be allowed to return to in-person learning, without a mask, which is contrary to the cdc which says vaccinated kids, indoors or out, no mask required. confused parents who say science supports them are promising to go to court. >> i do not consent to the following. lockdowns are arbitrary, closure s of schools, businesses, or places of worship. mask mandates, especially for children. reporter: so the supervisor said it was more important that all students feel equal and not ridiculed because some wear a mask and others don't. the state health director said they tried to treat everyone the same support of calm and support of school environment. >> california we believe that with masking, and with testing,

as an available option, that we can get kids back here in-person , 100% in our schools. reporter: so right now, states are all over the place. some want to give the districts freedom to choose on vaccination s and masks, and others lawmakers stepped in and said schools can't require vaccination to attend school. bottom line is many people, favor local control but it's going to be a challenge for those school boards because somebody isn't going to be happy and you could have a situation where there's a mask mandate in one school but a mile away, you don't. back to you. neil: that's nuts. all right william la jeunesse, not you, william la jeunesse, just the situation. william la jeunesse in los angeles, following that. you know, we hear these pandemic stories all the time how they go back-to-school, wear a mask, all of that and then businesses that were shutdown, my next guest had to shutdown things for up to six weeks, but olivia lit britain, had an idea maybe i can make

lemonade out of these lemons and start wholesaling the coffee beans that we roast and import them into local supermarkets and presto, a business was thriving. how are things right now, olivia >> things are great. we just opened the doors to our shop back up to the public last week so we finally get to welcome customers back inside. neil: but you know, you were doing and maybe still are, the business finding other ways to get your stuff out there, right? >> yes, so we had to pivot very quickly. we are a brick-and-mortar store, and in march of 2020, we hit the ground running with a website and a full e-commerce store, as well as cultivated a lot of wholesale relationships with surrounding businesses that purchase our coffee, and then re sold them in their grocery stores. neil: apparently, it's off the charts coffee. that's what i've heard and from that base of enthusiast, obviously, a new business was

born, so how do you juggle things now? i mean, you have the store open again, but you have this thriv ing online business as well, right? >> sure, well we were operating only a take-out window for the past year, and then we reopened to the public, so its been kind of these transitional stages for us, and now, i'm happy to say, everyone who works here has gotten a lot more responsibilities and raises and so i have help on the wholesale front, and on the retail front. neil: you know, it could have been really dicey for you, what i admire about what you did is you didn't accept this laying down, but it's a changed world now, right? obviously, you talk about paying your workers more, and giving them a little bit more, that's a tough situation, right? because labor is tough to find and keep, isn't it? >> sure, it is, and everyone who works here has been with me for a very long time. we have a low turnaround here, and i think it's because i like

to treat their jobs more like a career i'm invested in so they aren't just working at a coffee shop like it's a gig. they have a lot of opportunities to grow here, which is very important. neil: you know, coffee for some people is like water. the means of life, and that was what you had a lot of passion for your product. are you doing anything differently now with the world opening up, your community opening up, any surprises down the road? >> well, we have an exciting partnership with the local university of delaware that started serving our coffee in one of their cafeterias amidst the pandemic but we're really looking forward to the fall because they're bringing student s back in full capacity, so we're going to see a lot more traction with our reputation and their ordering in the fall, and then we also have some plans for expansion, but nothing has

solidified yet. neil: you're not going to tip anyone off yet, but i imagine some pumpkin flavors on the horizon because i'm a big fan of that, just checking. >> [laughter] no pumpkin flavors we like to stay pretty true to our product. we're black coffee enthusiasts. neil: got it. you're a purities at heart. olivia brinton little goat coffee co-owner the chips were down or maybe the beans were down and she found a way to thrive. that is innovation. that's kind of america if you think about it. we have a lot more coming up the dow down about 75 points we'll see what's percolating. see what i did there? okay, after this. that building you're trying to buy, - you should ten-x it. - ten-x it? ten-x is the world's largest online commercial real estate exchange. you see it. you want it. you ten-x it. it's that fast. . .

ten-x does the same thing, but with buildings. sweet. oh no, he wasn't... oh, actually... that looks pretty good. see it. want it. ten-x it. yum! trelegy for copd. ♪ birds flyin' high you know how i feel ♪ ♪ breeze drifting on by you know how i feel ♪ [man: coughing] ♪ it's a new dawn, it's a new day... ♪ no matter how you got copd it's time to make a stand. ♪ ...and i'm feelin' good ♪ start a new day with trelegy. no once-daily copd medicine has the power to treat copd in as many ways as trelegy. with three medicines in one inhaler, trelegy helps people breathe easier and improves lung function. it also helps prevent future flare-ups. trelegy won't replace a rescue inhaler for sudden breathing problems. tell your doctor if you have a heart condition or high blood pressure before taking it. do not take trelegy more than prescribed.

trelegy may increase your risk of thrush, pneumonia, and osteoporosis. call your doctor if worsened breathing, chest pain, mouth or tongue swelling, problems urinating, vision changes, or eye pain occur. it's time to start a new day. ask your doctor about once-daily trelegy. and save at trelegy.com. ♪ ♪ ♪ ask your doctor aloha! isn't this a cozy . little room? sorry your vacation request took so long to get approved, so you missed out on the suite special. but lucky for you, they had this.

when employees are forced to wait for vacation request approvals,it can really cramp their style. i'm gonna leave you to it. um, just— with paycom, employees enter and manage their own hr data in a single, easy-to-use software. visit paycom.com and schedule a demo today.

neil: all right. time for my buddy charles payne to take you through the next hour. hey, charles. charles: thank you very much my friend. good afternoon, everyone, i'm charles payne. this is making morning any. the market meandering. growing belief that the rally is due for a pullback. what our gust says, and history say are often different, folks. i have market pros to help you through the haze and what stocks can lead you through the market through the year. use my 35 years with a case