cheryl: wanted to look at futures now before we go. pretty rocky start to your money-- monday with a major selloff. a lot of worries about inflation and the variance rising around the world with concerns about the economy, consumer sentiment, shanna, steve, it was a busy show. thank you for being with me and "varney & co." is up right now. ashley webster, take it away. ashley: good morning, cheryl, good morning, everyone. i'm actually webster in for stuart varney. monday blues looking more like monday risk with two more texas state democrats testing positive for covid with a number now standing at five. remember, they fled texas without a mask on a chartered plane to avoid a bill

strengthening voter laws and vice president harris was seen at walter reed medical center, but people called it a routine checkup. harris met with the covid infected texas lawmakers earlier this week. indoor mask mandate is back in effect in los angeles county and more counties across the country could follow suit. take a look at the markets, as i say in the red ink solid on reopening concerns, covid cases with a selloff implied open down 500 points and s&p down more than 1% and nasdaq down 1%. look at the 10 year treasury yield, now testing five months allow dropping to 1.32% down more than six basis points by the way, we are 24 hours away from jeff bezos' blue origin launch. stuart will take that live right here tomorrow , so don't miss that and by the way, neil cavuto just

interviewed jeff bezos and we will have some of that interview throughout the next three hours that. we have a great show ahead. pete hegseth, congresswoman kim, so many more. what a lineup. it is monday, july 19, "varney & co." is about to begin. ♪♪ ashley: the great stevie wonder. i played that song about 45 years ago. that's get right to the markets with the dow as we see the future showing down more than 500 points. good time to bring in jason katz. good morning, jason. is this because of

reopening concerns? is it because more cases of covid with the delta variant or something bigger, perhaps? >> yes, yes and probably no. this is a big week for earnings as 13% of the company's report and we are looking for 66% year-over-year growth. that could in the latter part of the week help stem the tide, but more important than the earnings will be the guidance and i think all eyes have and will continue to be on the drop of the 10 year, which i think we are overshooting to the downside. it is a short covering. it's the sea of liquidity looking to find a home, really above all it's the fear the fed will take away the punch bowl and become hawkish too soon because of this inflation and narrative sb one well, but will the fed take away the punch bowl if indeed we are having somewhat of a little bit of a comeback

with covid which could hinder economic recovery >> it would stand to reason that they would. look, there is this whole notion that we have had with peak earnings and peak gdp growth, of course we have, we were going 120 miles an hour, but we are still way above trend, so we do expect the 10 year which is as you said earlier groping for a five month allowed to get closer to 2% and that sort of an out of consensus call by the end of the air but we think we get there because we will have fuller employment as these unemployment benefits roll off and we have another quarter of stellar earnings next quarter and i don't think the fed will blink. at their meadow will be tested and i don't think they will blink predicated on the covid variant, but more importantly because of the view that inflation is in fact probably move in the

direction it's pointing, but you look at say small-cap and i say go small-cap or go home. we have tina sent-- seen a 10% direction and the russell 2000 so we have had rolling corrections and all this money has rotated into large cap which is up around 7% over the same time so i think today is a good day do not necessarily by, but by what has not worked mainly small-cap. ashley: and then you have analysts that are saying this is the start up of perhaps a correction five, 10% pure do you see that? >> five, 10% correction in the context of a 90% move off the covid lows is certainly very

plausible and i think very digestible. unbalance an average we get 10% correction every year. when we talk about them it's no big deal until we have lived through them and as you said before, you have the fortitude to have a steady hand throughout these corrections and i think you should. ashley: very good. as always, great advice, jason katz. thank you for joining us now let's look at this headline from the "wall street journal". it says, red-hot u.s. economy expected to cool from here. it reads quote widespread business reopening's, rising vaccination rates and a big infusion of government pandemic aided this spring helped propel rapid gains in consumer spending the economy's main driver, but the burst of economic growth is starting to slow, economists say if you're a good time to bring in stephen moore. would you agree with the basis of that statement, stephen?

>> generally i do. i had been staying for the last six month that the rest of 2021 is going to be good, really good. the economy as we reopen and by the way i think the delta variant story and so on is a temporary thing, so the virus is being conquered by the vaccine. that is great news. that will be very positive for the rest of the year. then you get the hangover effect, stuart, i mean, ashley, all of these massive amounts of spending and that, i mean, the worst thing we could do right now if we want to help the economy is spent another two or $3 trillion. that will fuel inflation bills have to be repaid. i've never seen an instance in american history where massive amounts of government spending and debt didn't lead to a crash afterwards. ashley: yeah, and also what is it due to the dollar? i mean, how we could the dollar be and what

implications does that have? >> that is a tough one because i have always said that the dollar is the tallest midget and so when you look at the dollar relative to other currencies, i still kind of like the dollar, frankly. although, you had this force with massive amounts of debt, massive amounts of spending but that is throughout the world right now. look at europe. would i trade in dollars or euros, hell, no, i wouldn't. ashley: the next one, data showing states that ended extra federal unemployment benefits experience day 33% drop in a new jobless claims versus a 4% drop in estates that maintain the program. so the question becomes, stephen, do you think more states will into the program? >> well, i hate to say i told you so, but i told you so.

a landmark study about three or four months ago that actually predicted that we would have a lot higher in employment and that employers would have a big big problem getting workers back to work. we estimate that the increase in employment benefits that were cast back in march have cost the american economy about 5 million jobs and that is if we had not done that we would have about 5 million more americans working today pure there is light at the end of the tunnel. those benefits expire in september. i think it's right after labor day. every state moves towards no moral unemployment system that's the good news. do you want to know the bad news, ashley? you have democrats who want to make those unemployment bonus benefits permanent. on not making this up because even after the catastrophe of the inability of our employers across the country-- i'm in colorado now, and every story you see they cannot get workers, i

mean, it's a big problem, but i do believe it will go away in september. ashley: we will have to leave it there. let's hope. stephen moore, thank you. now this, jeff bezos will be headed to space at this time tomorrow. good morning, lawrence m&a. give us the details. lauren: they are preparing for lift off 24 hours from now. they will be in blue origins shepherd rocket from launch site one in west texas. he founded blue orange in 21 years ago. jeff bezos tells neil cavuto he is not nervous >> this is the first one with human beings. are you a tad anxious? >> neil, i'm not.

i'm excited, but not anxious. we will see how i feel when i'm strapped into my seat, but i'm-- we are ready. the vehicle is ready to get the team is amazing. i feel very good about it and i think my fellow crew mates feel good about it also. lauren: they will go 62 miles above ourselves further than version collected with bigger window so you will have better views. full interview with jeff bezos at neil cavuto today. ashley: i just love the big smile on the 18 -year-olds face. he's like i can't believe i'm here so it will be interesting. lauren: with the wally funk in one the richest men in the world, so amazing. so jealous of him, actually. ashley: what an interesting crew pick this time tomorrow they will be into space. by the way, richard branson of virgin origin is planning new satellite launches throughout 2022 and its

third launch is slated for later this year. a little space news, virgin galactic down a 5% in the premarket in a pretty tough market overall because look at the futures with the dow jones off more than 500, down 1.5%, s&p down one and a quarter, i mean, nasdaq down around 1%. we brought countless stories of parents fighting against critical race theory. you know that if you watch this show, but listen to what one leader in virginia thinks about those concerns. roll the tape. >> there are people that are in education, university, platform-- ashley: let them die? what? we will have that story but first we will take you to tampa florida. pete hegseth is there talking to young conservatives at turning

point usa student action summit. he will join us for that conversation next. ♪♪ oh! are you using liberty mutual's coverage customizer tool? sorry? well, since you asked. it finds discounts and policy recommendations, so you only pay for what you need. limu, you're an animal! who's got the bird legs now? only pay for what you need. ♪ liberty. liberty. liberty. liberty. ♪ 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.

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impressive. impressive is saving four hundred bucks a year. four bucks? that's tough to beat. relax people, my wireless is crushing it. okay, that's because you all have xfinity mobile. it's wireless so good, it keeps one upping itself. ashley: let's a look at the futures with the premarket. the market opens in about 13 minutes from now and it's a selloff with the dow jones off a 527 points, down 1.5%, s&p down one and a quarter precent and nasdaq down around 1%, down 137 points. okay, from a market red ink to a red state, tampa florida where turning point usa student action summit is underway and our great friend and colleague pete hegseth is there.

good morning. >> good morning. ashley: you are talking to young conservatives. what are you hearing? reporter: i am hearing a lot of energy. it's a different environment than during the trump administration, obviously no one is happy to see what's happening at the political level, but more significantly at the cultural level and that's what you hear from young people as they are talking about the first amendment and censorship, critical race theory, the issue of pro-life and family. it's heartening and hopeful to hear from these young folks who are so engaged and who come to turning point to meet other conservatives facing similar challenges at our college campuses for those not very welcome, so i have talked to a few yesterday and here is a bit of what the student action summit attendees are thinking about. what is it like to be on college campus as a conservative in america? >> as a turning point representative and conservative on campus,

it is hard. >> you have to watch what you say. reporter: what is it about turning point that get you motivated? >> i always believed the fight to get america back to the way it was a start on the campus. >> groups like turning point really give us hope and no one else will stand up for freedom unless we do. reporter: if you look at the issues in our country today what are you most fired up about? >> censorship. >> immigration. >> critical race theory's. reporter: who do you look to, what names are at the top of your mind? >> obviously donald trump. >> ron desantis. reporter: how about you? >> i would have to agree reporter: considering what we are seeing from the white house with facebook as far as censorship with misinformation, that's top of mind for a lot of people here who just want to feel like they can have a voice whether it's on social media or on their college campus. turning point as a part of helping to bring that about. it's pretty cool to see.

ashley: it is cool, but it's sad that you aren't allowed to speak your mind on these college campuses because the left does not allow freedom of speech for anyone. i will move on. next one, pete, dozens of schools across the country are turning their stimulus funds into one-time bonuses for the teachers and staff at. i don't know why i'm laughing, it's not funny but it's a ridiculous you have to laugh. what do you make of that? >> you are laughing because it's so predictable that ultimately the gravy train and money train makes its way into the troughs of the most powerful arm of the party currently in power of course, the teachers union will find a way to use this crisis between rich not just themselves and their power, but their power base. none of it has to do with getting kids in the classroom. none of it has to do with so much of what we have faced over the last year. this is simply a payback, stuart, and we are paying for it and it's why we should be so

resistant to every time there's an emergency we need another trillion dollars that we need now, we need it now when we see it get spent years later and in the wrong places, no surprise here and we should laugh or we should market because that's what it's worthy of. ashley: it is laughable, but it's also so galling at the same time. i'm not surprised, like you. great stuff as always. pete hegseth from tampa, florida, doing a great job. by the way, fox nation is a streaming turning point summit live and on-demand. viewers can get fox nation for free right now so check it out and don't miss pete hegseth at 4:00 p.m. and all access live only on fox nation. tuning as they say. now this, there's been a lot of backlash from people who criticize crt , but one person is taking it too far. what did she say, lauren? lauren: look at the woman

wearing black in the center of the circle. she's ahead of the pta and she sends a death wish to parents opposed to crt. >> let them die. they went to ban people that are in education, teachers and live and let people, let them die lauren: she has resigned from the pta. she is still an executive at fairfax county naacp, ashley, and she told cnn this about her controversial speech, at that event was public at a middle school, ashley quote it had nothing at all to do with crt. to my knowledge crt is not being taught in fairfax county public schools or any other public school in the country. i will certainly admit it was in eloquently stated and with a pause for the applause the timing was off but let them die was referring to the ideals that show a disregard and lack of support for our teachers

who have a truly difficult job to do even without a pandemic to do so, she feels pretty disrespected and it sure sounds like she hates her job. ashley: yes, indeed. we will have to leave it there. thank you. as we head to the break i went to look at these futures and what we expect to happen in about seven minutes from dow when markets open with a sea of red ink, dow jones off 518 points, down 1.5%, s&p and nasdaq also firmly down pure dennis gartman has gone from cautious to bearish and i will ask him what turned him so negative. he joins me next ♪

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here's andy listening to my goals and making plans. this is us talking tax-smart investing, managing risk, and all the ways schwab can help me invest. this is andy reminding me how i can keep my investing costs low and that there's no fee to work with him. here's me learning about schwab's satisfaction guarantee. accountability, i like it. so, yeah. andy and i made a good plan. find your own andy at schwab. a modern approach to wealth management. ashley: let's get right to it. it lets bring in dennis gartman as we look at the futures, a selloff. a dennis, good morning. you say you have been bullish of late, but now you are turning bearish, why? >> a number of things have happened. first of all let's always say the markets move tactically before they moved

fundamentally, fundamentals are still very strong with the economy in great shape and will be in good shape for a long time, but stocks move before the economy moves and technically before the fundamentals of the economy change. clearly the fed will remain expansionary, but we have far too many people on one side of the market and you are starting to break trend line to go back several months in the past, i don't think anyone is paying attention to the fact that the russell is down almost 9% from its high. we have had a trend line in the nasdaq that's been destroyed overnight. i think that's important and the fact that you have had a dichotomy between high-quality stocks, the russell, high-quality stocks, the nasdaq, that bothers me so the fact we had a technical stance that is prevailing now i think it is time to go to the sidelines. i'm doing that in my own account. i moved calls down and i will take more protection is the day

progressive. i think it is serious, so pay attention as. ashley: all right. now i'm feeling more weary. dennis, on the crypto's in trouble? >> i think the crypto's are in serious trouble. the fact that bitcoin, the pro- dominant crypto is under 31,000. i think we have an important number of 30,000, 666, i'm always right when i say 666 and any number but the fact we have taken bitcoin gold ratio down over 16, we have come down 37 to one. if we start to get under 30,000 in bitcoin later and i think that's a distinct possibility i think it will only release a lot of selling so the public has been involved in crypto for far too long and to me it's a species investment at best. be very careful, be very weary if you are trading bitcoin. ashley: dennis, we have been warned, a sobering assessment of

where we are right now from dennis gartman as he's taking his cash and sitting on the sidelines. thank you very much. concerns about the rising number of cases, new cases of the variant of 34% around the world, not as much is in the u.s. but it's giving pause to investors who are expected to push the sell button as we get underway right now on wall street. here we go. looking at the big board and the dow jones 30 stocks by the way, about a third of these stocks on the dow 30 will be reporting earnings this week. that's a sea of red ink as you can see. unchanged american express, the other 29 all trading lower out of the gate. at looking at the s&p as well, we are expecting that to be down. in there you go, one and a quarter precent as we saw in the premarket

with smp down 42, down 54 points, one and a quarter precent. let's look at the nasdaq , big tech stocks with the nasdaq and down again one and a quarter precent on the nasdaq down 14,000 to 40, a loss of 187 points as you see with the dow jones down 480 points per your talking about big tad, let's look at big tech, all down, and some modestly sub- alphabet, microsoft and apple in particular with apple off more than 100. let's look at zoom, if we can as they are buying 59. zoom down and five-nine up. what's the deal worth? lauren: $14.7 billion, zoom's biggest deal ever and the second largest tech a deal this year end as workers start to go back to the office zoom has to look beyond video chat.

they will use five-nine call center technology to reimagine and simplify way businesses interact with their customers. ashley: interesting. 14 billion is a lot. let's check cruise lines if we can with these recoveries getting hit hard because of the fear of more covid cases and that is certainly the case with the crews lines and by the ways the u.s. appeals court sided with the cdc and put on hold a lower court decision that said the cdc could not enforce its covid cruise ship every wheels in florida. of the crews lines are all down solidly, royal caribbean, norwegian and carnival down more than 4% and same story with the airlines i would believe have. down big on reopening concerns and yet you have it, all sorts of red ink with united, american, jetblue, southwest all solidly down in the early going. can we find some dow

jones winners cracks i'm not sure we can, the only one was unchanged american express if you're there you go p&g, procter & gamble, merck, walmart is moving ever so slightly higher. those are the three winners right now. s&p 500 to see if we can find a stocks on the upside. clorox, maybe that is a tip to the added virus cases, but clorox up 1%, kroger, costco, all moving higher in a very downmarket. looking at that nasdaq winners as well, we have inside, costco again, xcel energy, those stocks are moving up about half a percent. looking at autonation, the auto retailer, they reported this morning. i have a feeling they did pretty well. lauren: demand for a new car is up 42% in the quarter, for used

cars 47% and autonation expects that to continue until 2022. this is my favorite metric, this is a doll, supplies the issue. supply of new vehicles on the market 14 days. it was 49 days last year and that's why they have record revenue just under $7 million. good luck finding a car with a good price. ashley: you will pay top dollar, bottom-line. let's look at the chinese carmaker, just priced its new p5 sedan. they undercut tesla? lauren: they did, starting price about $25,000 after subsidies, but that's more than a third less than tesla's model three, which starts at 30,000-- $39,000. china is the world number one car market and demand for electric vehicles there is booming because of the subsidies by beijing, so tesla makes a fit of its global revenue in china, but it's a facing price competition.

ashley: that's a big market, the biggest. let's look at tesla if we can. the company offering customers fsd premium driver a system for $199 a month. owners must have tesla's newest computer, hardware three, in order to subscribed and an upgrade cost about $15. stock down to a half percent. looking at bitcoin, we talked about this with dennis gartman, trading lower this morning getting very close to the 30,000 level, 30,000 525 off of $1400. if it breaks through the 30,000 received a support line where it is a go next and asked the question, what is the latest with the crypto's. treasury secretary janet yellen will meet with regulators today as they try to bring transparency, clarity to this market. for crypto and stable

coins which unlike crypto they are backed by assets like the u.s. dollar, the regulators are concerned about them, the stable coins as a risk to not only the crypto market but the capital market as well. there was a paper by federal reserve attorney and yale economist warning of systemic risk and so there's lot of impacts today. as dennis gartman said be very, very cautious because the 35-- the 30,000 level is the support level. ashley: thank you, lauren. let's check the big board. it tells the story, down on the dow jones. take a look at the 10 year, money going into treasuries meaning if the price goes up in the yield goes way down, 122 and a half or 1.225, down nearly seven basis

points on the 10 year treasury yield. what about gold? only down $3. gold holding steady around $1811 per ounce. look at oil, the national average for a gallon of gas is now at $3.17, 98 cents higher than a year ago, but the crude itself is dropping with fears of a reopening interruption because of increased number of cases of covid and also opec agreeing to end the production cuts so we will have more oil in the market and all of that pushing the price of crude down to sound like california is going backwards after their newly restored basket mandate in los angeles county, but just listen to what the governor, gavin newsom, thanks about his estate. take a listen. >> we will come roaring back. mark my words, this estate is going to come

roaring back. ashley: i think what he is saying is it will come roaring back, probably wearing a mask. i wonder if that is how steve hilton sees it. i will ask him. meantime float-- protesters across florida calling for change in cuba and we will have a report from little havana next. ♪♪ 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?

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ashley: as you can see thousands protesting in miami this weekend

calling for a change in communist cuba. phil keating is in little havana, miami, this morning. are there more protests expected today? >> usually they show up here behind me at this café and little havana and they start to gather around 3:00 o'clock, 4:00 o'clock, 5:00 o'clock. mornings are pretty dead as you can see, but it was a big weekend in the miami area as well as the nation's capital with protests about cuba and its communist situation, but in cuba due to the government imposed internet shutdown which has limited social media communication to family members and friends here in south florida, it's really impossible if not just difficult entirely to determine whether the protest that we saw last sunday, two sundays ago are still continuing down there. on a saturday, in downtown miami, near the freedom tower, one of the largest anti- cuba

protests happened with thousands and thousands showing up demanding freedom for cuba after nearly 60 years of being absent in the island nation. local cuban-americans have been demonstrating for the past eight nights. this started last-- two sundays ago, nine days ago when tens of thousands of cubans took to the streets demanding change, local miami political leaders are demanding about an administration do something more than talk. >> we definitely need the president to continue to up the ante, all options have to be on the table, all options have to be on the table. reporter: in washington, saturday, 100 or so protested outside the cuban embassy in d.c. including many from miami who busted themselves in. over the weekend south florida congressman a long time cuba hardliner

dismissed suggestions that the cuban unrest has anything to do with the immediate food shortages and chronic poverty. >> this has nothing to do with the lack of medicine or electricity, this has everything to do with the lack of a freedom with repression, a communist system where there have been no elections or freedom for 62 years. reporter: just like his older brother, also a former congressman, the family is well known and always reelected here in south florida as they are cuban hardliners and they want that cuban government gone and they are urging the biden administration to appeal to the united nations as well as the oas, organization of american estates to try to do something else to influence something that has not changed for 62 years appeared back to you. ashley: phil keating, thank you. appreciate that. now this, the founder of the 1619 project, nicole hannah jones is praising cuba for their

socialism. lauren, why did she say? lauren: let's go back two years and she said socialism makes cuba the most equal country in the west. here she is. >> if you want to see the most equal multiracial country in our hemisphere it would be cuba. a cuba has the least inequality between black and white people and places that are truly at least biracial countries , cuba actually has the least inequality and that is largely due to socialism. lauren: hannah jones added cuba could serve as a model for other nations ends she's making the point hammering at home that socialism helped eradicate racism so it's okay to have nothing and be poor and be angry as long as there's no racism. ashley: well, it is an equal society as they are all equally miserable and a lacking of a freedom pure that's where the equality is. thank you. you can't make this stuff up. it's crazy.

let's look at goldman sachs if we can. goldman-- well, let's look at the markets first with the dow off 486 plus 500 points down and there's goldman sachs down three and half percent, that alone is a shaving around 80 points up the dow jones, just that one stock. remember those democrats on the run? of course you do, while two more tested positive for covid bringing the total to five turkey the thing is, they were all vaccinated. how is that possible? we will ask doctor siegel plus he joins me with his exclusive one-on-one with nih director francis collins at that interview is next. ♪♪ as i observe investors balance risk and reward, i see one element securing portfolios, time after time.

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ashley: texas democrats who fled the state have now tested positive for covid and get this, they were all vaccinated. at let's bring in dr. marc siegel. a doctor, you know i'm vaccinated, should i be worried? >> no, you should not be worried. first of all, we have to verify that actually got the vaccine.

i want to see their vaccine cards. secondly, there is a one in 10,000 chance according to cdc, harvard and john hopkins that if you have been vaccinated you will actually get covid, one in 10,000, that make up with a delta variant because it could spread more easily and it has more virus in your nose but it's still low. of the key here is that they were in very close proximity. they weren't wearing masks on a plane and if someone was infected that chances go way up so that is what you are seeing if they were in fact vaccinated. ashley: that is one for you. you interviewed the director of the nih, francis collins. what did he have to say? >> well, doctor collins back in april, 2020, he is the head of the nih and he e-mailed an article that-- to dr. fauci about a fox news report for that covid could have started in a wuhan lab to the subject line quote conspiracy gains momentum and since then a lot has changed and i

spoke with doctor collins this week about where the virus may have originated. doctor collins is now giving the possibility of a elaborately much more weight. >> i do not believe this virus was human engineered, but i can't exclude that there was, in fact, laboratory that was studying the naturally occurring virus and perhaps a laboratory investigator got infected accidentally and then it spread out of there. that would be a lavalley, not a human engineered virus but still a way it got started. we need to know that and at the moment we don't have sufficient evidence about lab records or what happened in those early cases to be able to say. >> doctor college commented on the recent discovery that some early sequence of the virus had been deleted which he said was probably quote not nefarious and not deleted by nih, but he acknowledged that the theory the virus came from a wet market is now almost debunked and also called china's claims that covid came from

quote frozen food as fanciful and emphasized that the need for countries to work together both now and going forward. >> i always think it helps to have the early possible accurate information about something that might be threatening to the whole world and it's hard to know right now without having more information whether there was information that was suppressed so that we could have benefited from it if we had known about it months earlier. there are other pandemics looming out there for us. there's at least a 24 other viruses that potentially might be the next one and if we could learn everything we can from this one, it would put us in a better position. >> 24 potential pandemic viruses, the contagion clock is ticking, ashley back to you. ashley: great stuff, dr. marc siegel. thank you for bringing that to us this morning pure now this, las vegas is now recommending masks indoors again. even if you are vaccinated.

give us the details before the issue is in nevada only half of residents are vaccinated , so you have to mask up indoors once again there following in the footsteps of los angeles. on abc martha radish had an amazing interview with the l.a. county supervisor and she asked, if these indoor mask rules are they punishing the 52% of the people in l.a. who are vaccinated. >> it's not punishment, its prevention. we are seeing this transmission is so highly contagious that it will cost more in the long run if we have to have possible that hospitals impacted, icu units and healthcare workers. lauren: they are worried about the healthcare system and kids who cannot get vaccinated yet and they are saying mask up again, but a lot of critics are saying this makes people not want to get vaccinated at all. ashley: exactly. thank you very much. let's look at these

markets. we are about 25 minutes into the session and this is what it looks like. the dow jones off 661 points, down nearly 2% pure the selling is accelerating a bit here and s&p is down a little more than 1.5% according to 55, nasdaq also now off one and half percent. still ahead on the show, liz p, california congresswoman young kim, steve hilton and k.t. mcfarland the second hour of "varney & co." is next. ♪♪ . .

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♪. ashley: kiss the sky. the sky kind of a funky color there in new york city. there is the empire state building. some clouds, some sun trying to break through. there you have it. i'm ashley webster in for stuart varney today. it is 10:00 eastern. let's get straight to your money. markets are sinking as covid cases rise. that is the story, rising covid cases has investors a little jittery. the dow down nearly 700 points a

2% drop. nasdaq also one one 1/2%. let's take a look at the 10-year treasury yield if we can. money coming out of equities, going into treasurys. prices up. yields are down. so the 10-year yield down to 1.225%, down nearly seven basis points. let's take a look at bitcoin, right around the 30,000 level, down $1395. that is 30,535 on bitcoin. all right, we just got the latest read on homebuilders sentiment. lauren, the number, please. lauren: 80. it inched down a point. here is the headline. builder confidence heads lower as material challenges persist. one builder noted auld oriented strand board, popular in building homes, skyrocketed 500% from january of 2020. but you have those low rates

continuing to buy a tailwind for buyers there is this constant push and pull with the market, right? high demand, but low supply of a lot of things you need go into the house. also low supply of houses themselves. ashley: yeah with the cost of those materials. thanks, lauren. let's bring in jerry howard, ceo of the national association of homebuilders. jerry, good morning to you. what's your reaction to the housing sentiment number? >> well, good morning, ashley. it is interesting that the two regions that are most affected are the northeast and the far west. new york, california. areas where the cost of construction is always the highest. when you have extra added costs because of material problems naturally the confidence is a little lower there. in the states where housing construction is generally lower cost confidence is relatively high. what it does show a underlying

weakness in the supply chain. not only for lumber, stuart, you and i were talking about for months, o sb. appliances. i had one builder told me his appliance package won't be ready for four to six months. all of that adds to the cost. it makes it particularly difficult for first-time homebuyers to get into the market. first time homebuyers, as we know, are the linchpin to the housing market. ashley: yes, they are. another one for you, jerry. america we understand needs one million new construction workers to keep up with the growing demand for new homes. we know there are tons of open jobs but how do you solve this problem? >> well, first we're hoping that people will start to come back to work and recognize the, the job security and the opportunity in the construction trades. we hope that if there is one silver lining from the pandemic potential employees will have

seen that you work in construction and you will always have a job, not only a job, but a really good career where you can be self-guided and work at your own pace. we're looking at that. we're also trying to train people across the country. whether they be kids who just don't want to or can't go to college. whether people coming out of the service need a civilian job. or even prisoners that need a second chance in life. we're going to prisons, training people there. we're doing everything we can to train and encourage americans to come into the construction trades. at the same time we're hopeful that the biden administration will at some point fix the immigration system so that we can get legal immigrants into the country to fill some of these jobs. ashley: right. all right. thank you for the very latest on the housing situation, jerry. anks for joining us this morning. we appreciate it. all right. there's lauren. now this, five texas democrats

who fled to washington have tested positive for covid but it was their decision to flee that gave senator lindsey graham an idea. take a listen. >> if for some reason they pass reconciliation, budget resolution to bring that bill to the floor of the united states, the $3.5 trillion bill, i would leave before i would let that happen. so to my republican colleagues, we may learn something from our democratic friends in texas, when it comes to avoiding a 3 1/2 trillion dollar tax-and-spend package. leave town. ashley: kind of amuseing tongue in cheek. what did you think, liz peek, should all the republicans get out of town if the spending bill needs approval before it gets to the senate? >> ashley. i think it is a great idea. if that is the only way they can stop this terrible bill from

passing via reconciliation with no gop votes. leave town. do whatever it takes. this is a dangerous bill. it is not just about the money. it is about the policies, encouragement of illegal immigration, other things embedded in the bill. we don't even know what is in the bill. nor does the senate yet. it is an outrage schumer is trying to push this forward. ashley: it is interesting, isn't it. next one for you, liz. talking of immigration a federal judge as we know has blocked new daca applications. president biden responded to the decision and deeply disappointing. he is vowing to appeal it. what is your take on that? >> ashley, go back to 2012, july, obama by executive order creed the daca program, he had said on numerous occasions he

unilaterally could not change our immigration laws. that bill in july covered 1.7 million people. now we're talking hundreds of thousands t was a vast measure that a president had no right to enact. it was totally political manuever. polls showed that hispanics were losing enthusiasm for the so-called deporter-in-chief which was what obama was being called for his deportation of so many hispanics and running up to the 2012 election obama figured he needed to do something. this is what he did. but ever since then people have known that it was an illegal thing to do. finally after all these years, a court has caught up with him. ashley: yeah. it is interesting, isn't it? more and more this administration is pulled further and further to the left to appease these socialists and yet so out of step with what middle america really expects and wants.

>> well, i think daca, there is a lot of actual sympathy for these young people who have been in this country all this time. ashley: sure. >> but there is not much sympathy, there should be no sympathy for a president who basically by himself decides how our immigration laws should pass. obama himself, in his campaign, 2008, promised his first year in office he would make congress pass immigration reform. he whiffed on that because of obamacare that was his priority. so far we've seen no democrat including joe biden now, really take up this cause and put it before congress in a reasonable way. instead of trying to push through a bill that gets rid of right-to-work laws, maybe we should focus on immigration reform and make it work? ashley: you i this? we'll have to leave it right there. >> yeah, i do. ashley: liz peek, i know you do. many agree with you as well. liz peek, thanks so much for

joining us this morning. we appreciate it. want to get back to the markets as you can see on your screen, the dow off 684 points. our good friend gary kaltbaum on the phone. big drop here in the market, gary. want to get your reaction. what is going on? >> well it didn't start today. over the past four to six weeks everything economically sensitive, you know, topped out. in the last couple of weeks we have seen days where the dow was up 50 to 100 points and advance declines were 1000 up, 3,000 down. we've seen deterioration in a lot of the market. i have been noting it. and this is, i would say the you know, the endgame. so we'll have a corrective phase here. mean the end of the world. just so you know, 10% corrections are supposed to be normal but with central bank intervention they haven't been normal as of lately. we're getting one now. my big worry, the 10-year yield

is now under 1.2%. with all these economically sensitive areas getting in trouble i always ask myself the question what's wrong? and i got to believe that the market is telegraphing some economic weakness going forward. ashley: so, on a day like today, we've had a number of people say look, i'm just taking cash, i'm sitting on the sidelines, let this play out. is that good advice? >> yeah. listen cash is an investment. there is nothing wrong with sitting in some and just, i have to repeat it again, markets do go down. i know that is hard to believe with what we've seen in the recent past but they do and we're in the midst of it. and i suspect there will be more to go. to what extent i don't know. maybe gets exacerbated a little bit because there is a lot of margin. that is leverage. margin has skyrocketed over the past six months. and that has to come off first

before real dollars get sold. so that is an issue also to watch also. i'm out of the way personally and i just let this thing you know, find where the low wants to be. i don't think it will be today, take it from there of course we now have to watch this delta variant. i think that is a component of this also. just remember, when there is worries like that people tend to ask questions later. ashley: that's very true. the calming tones of gary kaltbaum. gary thanks for jumping on the phone for us. we do appreciate. to gary's point, 10-year down to 1.21%. thank you, gary, down more than eight basis points. the dow off more than 2%, down 714 points. a lot of jitters out there about the reemergence of the delta variant, of the coronavirus cases picking up around the world. not as much as in the, not so much here in the u.s. but

certainly enough to get the markets a little rattled, worried about the economic recovery. let's bring in lauren. lauren, you got some movers. you're starting with the oil stocks. lauren: right. ashley, if the masks come back on do the lockdowns start again? oil, if you're staying put, you're not using as much oil. opec trying to pump more oil. that is completely hurting prices. this is the worst-performing sector on top of energy having the worst week in 10 months. look at this, diamondback energy down 6 1/2%. all the names are down at least 9% this month before today's bloodbath. there is also concern that this delta variant, you know, if people are using less gas they're probably traveling less. so the travel stocks are down. the cruise lines especially. take a look at this board. it is just as ugly. carnival down 7% today. how do you make people feel safe if they're locked in close quarters on a cruise ship? that is what is killing this

sector today. it is not down much but johnson & johnson is down .7%. reuters are planning to off load liability for talc for a new subsidiary. j&j reporting plus we also have earnings after all of this. ashley: yes, exactly right. but those stocks dealing with the reopening of the economy, as you say certainly travel getting socked today. the dow off 728 points. lauren, thank you. coming up one pta leader getting the boot after saying this about parents opposed to critical race theory, roll it. >> -- people that are in education, any teacher, anti-equity, anti-history, anti-lit and let live people. let them die. ashley: let them die. we'll have more backlash to that

comment coming up. violent crime surging in cities across the country including our nation's capital chaos erupted after a shooting at a national's game. we have a lynch report from d.c. coming up. first president biden not mincing words when asked about big tech's influence. take a listen. >> what is the message to platforms like facebook? >> they're killing people. ashley: wow. we got facebook's response to that. jason chaffetz here to weigh in on it, after this. ♪ 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.

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ashley: take a look at this dow 30. my, oh, my, only one stock sticks out, proctor & gamble. very slightly higher. the other 29 on the dow 30 solidly in the red. the dow, american express, and boeing are the big laggards but that pretty much tells the story as the dow is now off 823 points, a 2.3% loss on the dow, which is now at 33,868. worries about the covid virus rebounding a little bit, the delta variant. now this, president biden says social media platforms like facebook are killing people. roll that tape. >> what is your message to platforms like facebook? >> they're killing people. i mean they really, the only pandemic we have is among the unvaccinated. they're killing people.

ashley: well, facebook, as you can imagine was quick to respond saying in part in private exchanges the surgeon general has praised our work including our efforts to inform people about covid-19. they knew what they were doing. the white house is looking for scapegoats for missing their vaccine goals. so a little bit after jibe back from facebook. jason chaffetz joins me now. jason, is the biden administration just shifting blame for covid misinformation? what do you think? >> oh, yeah. look, facebook, and the white house have been colluding for some time. i think facebook is taken aback for the idea, hey, you know what? now the president is out there saying facebook is killing people because they're not doing enough? i think they're highly offended by that. facebook points to the millions of messages they put out to try to get people to go out and get appointments.

but you know what? people get to make their choices, ashley. this is self-determination. they can point fingers at each other but they're not doing themselves any favor on how they're dealing with masks, i tell you that. ashley: well, yeah. and the bigger picture is as you alluded to, it is not the administration's job to tell facebook what is believes a good piece of information and what are bad. that is more than an overreach. >> yeah. they have been wrong in the past and they are, they are reaping the rewards of this collusion that they have had together because there has not been a consistency and i think people are highly offended that the social media companies are being manipulated in order to actually suppress people's ability to communicate and exercise their first amendment rights. the idea that they're going to now dive, the white house will push to dive into your own text messages, personal, one-on-one

private conversations? that is a bridge way too far. ashley: yep. i want to move on, jason. you wrote a new op-ed on democrat as crime surge. the democrats are not making cities more safer. explain. >> democrats have been in charge all the time with high crime rates. look at new york city, shootings alone are up 95%. across the board, the entire country, we have a 25% surge in the murder rate. in chicago which already has a high shooting rate, they're up something like 55%. but the idea that you're going to get prosecutors that are softer in the prosecution in california and other places what you're going to do, is take shoplifting for instance, and raise the level threshold to $950, means guess what, you get more shoplifting. you got to be able to prosecute these crimes because they lead to more crimes.

but these democratic objectives, i really think going into 2022, it is one of the biggest contrasts between the two parties. one is good on crime. the other one is soft on crime. it is pretty simple. ashley: i think so too. jason chaffetz. jason, thanks so much for joining us. appreciate your time. >> thank you. ashley: thank you very much. talking of shootings, now this, d.c. police are on the lookout after the shooting outside nationals park this weekend leaving at least three people wounded. look at that video, people running for their lives. david spunt is at nationals park. david, d.c. just recorded its 100th homicide this month? reporter: that's correct, ashley. good to be with you. numbers are not going in the right direction when it comes to crime that is a fact here in our nation's capital. detectives are hoping that money talks because they're offering a 10 though dollar reward for information leading to the suspects involved in this

drive-by shooting behind me t was a drive-by shooting between two different cars firing going back and forth in between those cars. a fan from the game actually got caught in between that fire. she was injured. she is expected to be okay. two other people are injured. they are expected to be okay. we have audio from the shots that rang out saturday night. take a quick listen. >> padres put three more on the board. 8-4. >> your attention please -- heart. reporter: you hear the shots rang out about 9:30 in the 6th inning, saturday night. fans scrambled. many crouched under seats. ran for exits, hid in dugouts for the nationals and padres. this shooting, ashley, one day after a 6-year-old girl, nya courtney was shot and killed in a drive-by shooting. there she is. a beautiful little girl.

this is miles from the stadium where i'm sitting. her grandmother was on fox news this morning. >> he was amazing. she was beautiful. she was loving. she touched so many people. she brightened up the room. she wasn't shy at all. she loved to sing. she loved to dance. reporter: the d.c. police union out with a tweet after this recent splurge in violence. welcome to washington, d.c. where violent crime permeates everything. it's a tragedy that elected officials won't let us do our jobs. as you mentioned they recorded their 100th homicide, d.c. police this month. last time they hit a number this high earlier in the year was 2003. there have been 200 carjackings. union president said 300

officers quit since june 2020. this comes as d.c. city council, not all members, are proposing restrictive measures for officers, chasing down suspects, detaining suspects. they're in a fight between the d.c. police union and the city council. that is the nexus of this problem. ashley. ashley: yeah, dreadful. david, thank you very much for that report. appreciate it. very sobering. the number of illegals meantime arrested on our southern border growing to over one million so far this year. fox's bill melugin is on the front lines with a live report coming up. what is the biggest threat to netflix success? long time negative flicks bull, producer jeff sica, is here ahead of netflix earnings report. one more check of the big board, the dow off 779 points. we'll be right back.

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see. i was looking at the latest numbers. the dow has been off 800 points plus. now down 759, good more for than a 2% loss. nasdaq down 103 points. 1 1/2% loss. s&p also down 1.8%. that is a selloff. investors apparently fearing a rebound in covid cases will actually slow global economic growth. jeff sica, good friend to the show joins me now. jeff, good morning to you. does this selloff worry you at all? is this something to be expected? >> well i think at this point i've been bullish on the market but i am not sleeping well at night because there are ominous things out there. ashley: whoa. >> i'm not as concerned about covid per se. i'm more concerned about the flattening yield curve. i'm concerned about inflation. so we have to see how it goes. i think earnings are going to be great. they have been good so far. i think they're going to get

even better. and i think that should propel the market f we begin to see more concerns about covid. more of this fear enters the market, you have a lot of people fully invested in the market. they will take the opportunity to sell, to book some of those profits. so we could see a downturn here as a result of what is happening now. ashley: all right. next one for you, jeff, netflix, set to report its second-quarter earnings tomorrow. you're a netflix bull but say expectations are low for tomorrow. make your case. >> yes. so what happened when netflix, ashley, is netflix last year at this time they had a very bad quarter. people were burned out from sitting on their couches streaming the same shows they watched the year before. so the subscriber growth went way down. so going into this quarter we're, we've had what i would consider lower expectations. what i think we're going to see

tomorrow, is we are going to see that netflix, they are going to spend $17 billion to create new content. that new content is going to drive subscriber growth and they have two initiatives that they're going to talk aabout tomorrow, which one of them is their e-commerce site. so they're going to become somewhat of an e-commerce company. and they're also going into gaming. so they are trying to make strides in other areas, open up new silos. so that should help them immensely. so i think you're going to see more optimism coming out of the management of netflix than we did last year. that is going to be very good for the stock in the long run. ashley: very quickly, jeff, when you're paying so much for content, how difficult is it not to pass it on to the consumer? and then, you know absorb those costs? >> well one thing, and i

constantly cite this research study, that shows that first of all, stream something only consuming about 20% of tv time. so people, and that is going to increase. you have generations of people who do nothing but stream. so that is going to increase but these studies show that people as o n,ow d n d d lik le 'rtheye pay p pg toog t much m r ing.g. you wt w w dyisneyis d.idid snaisedaid tirheir pcey b a ll tt 't s t a at ituc so tsohi i t ty t t c tai dispngen mvemoun amo o moynenennontent mtees a aot esensns becau bre we' atagg :: we a w.--onte n. ntent iin jeff sic.. apte i thk you. you. llionalleestor bill ackman's spac is apparently

pulling a plug on a deal to buy 10% of universal music. lauren, what happened? lauren: the sec came in and said it was too complex. he would have used his spac to invest in universal, the label behind taylor swift and lady gaga for $4 billion t was taking a stake rather than merging with the company. the regulator said look, that doesn't meet the new york stock exchange spac rules. the bottom line ackman's financial engineering, legal but different. it was dealt a major blow. instead his pershing square is going to take that 10% stake in universal instead. ashley: all right. show me zoom. yes, always. show me zoom. therebying 59 the cloud contact center provider. it will be the second biggest tech deal this year. how much are they paying, lauren? lauren: $14.7 billion, ashley. it is the biggest deal ever for zoom.

they're trying to stay relevant when workers return to the office. they're looking at business call center technology and to improve the way businesses interact with their customers. because not as many people will log in at home for the virtual meetings. ashley: that is true, yes. one more for you, lauren. how much is planned parenthood seeking -- robinhood seeking in valuation for the upcoming ipo? lauren: $35 million. it is trading app that is very popular. it has 22 million funded accounts. the shares could be priced 38 and $42, raising about a billion dollars. because it is trading for the masses, 35% of robinhood shares will be available to retail traders, basically their customers. ashley: fascinating. lauren, thank you very much, coming up despite a brand new mask mandate in los angeles the governor of california insists his state is on the verge of

roaring back. roll it. >> we're going to come roaring back. mark my words. this state is going to come roaring back. ashley: so what he is saying this state is going to come roaring back. california guy steve hilton here to respond at the top of the hour. plus fighting for their freedom. congressman young kim says america must show our unequivocal support for protesters in cuba. i will ask her what that entails coming up. ♪

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ashley: all right. let's check these markets. we have a selloff, that is for sure. the dow off 760 points now. it has been down more than 800. nasdaq down 1 1/2%.

s&p, 1 and 3/4%. let's bring lauren in. you have got movers. you're watching airlines, right? lauren: the good news the tsa is screening over two million passengers but the carriers are starting to trim july and august flights because of travel restrictions related to the delta variant. so look at this, the airlines, it is brutal for them today. delta down 4%. now that is pushing the volatility index to its highest level since may. the vix almost at 24 for a surge of 30%. this is playing out when you look at the leadership on the s&p 500 which includes those popular covid stocks, right? last year, we were talking about clorox. you have to clean everything, disinfect. kroger you stock up on your groceries. we're seeing that again. so is the fear in the market now again today, perhaps at the economy already peaked and now the delta variant is going to make 2021 look a lot like 2020

all over again? ashley: let's hope not. lauren, thank you. certainly moving the markets down today. now this, day three of the turning point usa student action summit is underway. hillary vaughn is there. good morning hillary. one of the themes has been big tech censorship. what are republican lawmakers telling you about cracking down on these tech giants? reporter: ashley, they're making it part of their pitch to these young conservatives here at turning point to help them flip the house in 2022, so republicans get their subpoena power back and can bring facebook's mark zuckerberg in front of congress to testify to detail how involved the federal government has been in their content moderation decisions. >> you are not a private company if you're censoring at the behest of the government. you're effectively an arm of the ruling class at that point and you can be held accountable just like anybody else.

>> you can't put pressure on private companies to have them do your bidding for you. it is is outrageous. they need to answer to congress. >> we need to get back the house in 2022. we need subpoena power. we need him to be held accountable to answer these questions. reporter: taking on big tech is not just a theme for 2022 but 2024. florida governor ron desantis is considered a potential presidential candidate in the future. he put himself in the center of the fight against big tech but put himself in the face of biden's opposition, border security, backing the blue to take on dr. fauci. florida governor ron desantis was testing out his pitch to voters for a possible presidential run, ashley. his message was this, a lot of americans see florida as an oasis of freedom for them especially during a lot of the lockdowns. his pitch yesterday evening when he spoke to people here, he thinks america should be an oasis of freedom for everyone, not just florida.

ashley? ashley: it is a strong message for sure. hillary, thank you very much. interesting. now this, turning to sports, tennis star coco gough wills miss the olympics. lauren: she tested for positive. she is one of 61 cases linked to the games that kick off later this week. international olympic committeeman dating vaccination for participating athletes and they are still testing positive. this is what coco writes. it is always a dream of mine to represent the usa at the olympics. i hope there are many more chances for it to come true in the future. i feel so bad for the athletes. a alternate gymnast tested positive training 35 miles away from tokyo. she is a teenager. we can't say who she is. she is quarantining at a local hotel. this is becoming a mess, ashley.

ashley: it has. more and more positive tests coming out of tokyo. lauren, thank you very much. toyota, one of the olympic sponsors is canceling tv ads for the games. what is going on, lauren? lauren: there is little public support for the games. so it's a bad look. so they're not running any commericals. you have 60 other japanese companies that shelled out already $3 billion to advertise. what do we do? do we continue to put our ad dollars behind this when people are saying it is not right to have the olympics? ashley: yeah. that is another bad sign for sure. lauren. thank you. some schools are turning their covid stimulus funds into bonuses for teachers and people. as you can imagine, for teachers and people are just not happy about that. we talked about that earlier with pete hegseth. first the number of illegals apprehended on our southern border growing to over one million so far this year.

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♪. ashley: take a look at the dow third. yep, you can see it. not a single dow stock in the green. right now the dow is headed for what could be the worst decline of the year. it is off 750 points right now. good for more than a 2% loss. we'll see how it plays out during the day. you can see the banner says fears of a covid rebound. that is what is rattling the market the right now for the most part. now this, apprehensions at the southern border reaching a historic 20-year high last month. bill melugin is in the texas border down of del rio. good morning to you. you're talking to texas troopers patrolling the border. what are they telling you? reporter: good morning to you. there is just a lot of frustration whether texas state troopers or border patrol. they feel like the federal government isn't doing its job. remember last month vp kamala

harris said quote, there was extreme progress being made down there at border. the new apprehension numbers came out. they do not know progress. if anything they show the situation down here is getting worse. take a look at this graphic here. the numbers are staggering. just in june alone 188,000 migrants were up over 5% from may which was 180,000. that was 20-year high. this june, we set another june high on top of that. unaccompanied minor apprehensions up 8%. family unit apprehensions up 25%. vp kamala harris can say extreme progress is being made. that is not backed up by the reality of the facts and data here on the ground. look at the video. a lot of human smuggling happens here in del rio. we do a lot of ride alongs. in texas a driver age 19 was arrested. he was smuggling a group of nine or 10 folks. a lot of people are coming and going from houston. it is a sanctuary city. it has a lot of roads going

elsewhere into the united states. houston quickly become a human smuggling hub. take a look at this video right here. we've been long hearing that troopers from other states would come out here to texas to help out. we're getting to see it. a texas state trooper. the man in the black shirt, that is a state trooper from florida. we heard governor ron desantis saying woe send troopers out here there are 50 helping texas troopers making traffic stops with the human smugglers. ron desantis says this is not just a texas problem. this goes across the country. they need boots on the ground. texas state troopers are overwhelmed and frustrated. take a listen. >> it is exhausting. it gets to the point sometime where you will find a loaded vehicle and you will stop one a couple days later. you will actually recognize some of the migrants in that other vehicle already back in another vehicle. it is frustrating at times. this isn't doing anything. it is like a revolving door. we're going still come out here

to do what we're supposed to do. reporter: take a look at this photo right here. texas state troopers. they picked this guy up walking along the road. this is active member of the zetas drug cartel member. he was wearing camo. he is a paid guide paid to bring migrants into the united states and smuggle them through ranches in the area. highlight of the ongoing security crisis out here. thankfully troopers able to catch him. back to you. ashley: out of control, great report, bill, thank you very much. bringing home basically a border that is not protected. now let's bring in congresswoman young kim, republican from california. congresswoman, what do you make of this historic border surge? if anything it is getting worse? >> right. first of all as an immigrant and a mother of four hearing the stories of these migrants breaks my heart. i visited our border in

california and south texas and it's clear, what we're seeing continues to be a security, humanitarian and public health crisis. as you noted, june is the fourth straight month of over 180,000 plus apprehensions. so this is a public health crisis not only because of the pandemic, but because of the drugs crossing our borders. and cbp seized more fentanyl so for this year than all of last year. i witnessed it myself with my visits to the border. drug cartels are taking advantage of these open border policies. migrants are being exploited. migrants want to come here to pursue a better life, draining our resources, keeping the border patrol from doing our jobs because they are being caretakers. there are 15,000 unaccompanied children in june alone as you said. and we're already seeing over 600 a day in july.

this administration needs to prioritize fixing this crisis. it is outrageous this has been allowed to persist for so long without being addressed. vice president harris stopped by el paso briefly for a photo-op. ashley: congresswoman kim, i'm so sorry we're running out of time. >> talking to the -- ashley: thank you for joining us. i'm so sorry. another big hour coming up. we'll have steve hilton. kt mcfarland, many more coming up at the top of the hour. we'll be right back. ♪ i've spent centuries evolving with the world. some changes made me stronger. others, weaker. that's the nature of being the economy. i've observed investors navigating the unexpected,

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they provide the potential for regular income...are federally tax-free... and have historically low risk. call today to request your free bond guide. 1-800-763-2763. that's 1-800-763-2763 ♪ >> it makes it marley difficult for first-time home buyers to get into the market, and first-time home buyers are the linchpin to the housing market. >> and i think all eyes have and will continue to be on the drop of the 10 is-year. it's the fear that the fed's going to take away the punch bowl and become hawkish too soon. the worst thing we could to do right now is spend another $2-3 trillion. that will fuel inflation. i've never seen an instance in american history where massive amounts of spending and debt didn't lead to a crash afterwards. >> 40% long in the stock market,

i've moved the calls down against my positions, and i'm going to take more protection. i think this is serious, so pay attention. i think the cryptos are in very serious trouble. ♪ money can't buy me love. ♪ can't buy me love, everybody tells me so. ♪ can't buy me love, no, no, no, no ♪♪ ashley: you can't buy me love, and you can't buy me a stock right now. everyone's selling. that's new york harbor. it's 11 a.m. on the east coast on this monday, july 19th. i'm ashley webster in for stuart varney. what a day for him to not be here, down 790 points on dow. tough start to the week, no doubt about it. we've got a selloff. the dow headed for its worst decline of the year if we keep up this pace. as you can see, the s&p and nasdaq also down well over 1%. take a look at the travel stocks, all hit hard as covid concerns are starting to

resurface. look at these airlines among the hardest hit, the cruise lines, especially carnival down 6%, american airlines down nearly 6% x. take a look at the 10-year treasury, that yield continues to tumble as money goes in, prices go up. the yield heads in the opposite direction. it is down more than 10 basis points on the 10-year at 1.191%. it is down there. and also breaking right now, charles schwab saying that certain trading may be unavailable on their web site, mobile app and street smart platforms. the stock, as you can see, down nearly 3% on that news. all right, what a good time to bring in our friend keith fitzgerald. keith, you say a correction may be nearing. my question to you is could this be the start of it? >> well -- [laughter] you know, when i wrote that, it was before futures had opened and, yeah, it might be a pretty good start to it.

here's the thing, right, ash, history shows very clearly that stuff like this happens more regularly than we want to know. we've had 20 massive volatility shocks in the last ten years, statistically impossible. but if you look at the business case for owning the world's best stocks, this stuff is part of the party. you've got to learn to deal with it. so i'm not especially concerned but i am a watching very closely. ashley: the question is what's the alternative. you just sit on cash? i mean, you know, other than equities, there's not a whole lot else to buy into. >> well, that's the problem, right in the fed has got so much money sloshing around in the system that this kind of volatility is absolutely inevitable. so what i am advocating is usually we take a step back, you look at the world's best companies. you've got to hold your nose if, step in anyway because five years from you, ten years if from now odds are a day like today is going to be in the rearview mirror, and you're not even going to notice it.

ashley: you say the fed stays out of the way, the market has a long way to run yet. >> well, they do. look at earnings. apple, growing hand over foot, microsoft, growing hand over foot. the cyber attacks in the headlines, they're growing hand over foot, companies paying attention to that. if the fed can avoid taking away the punch bowl or freaking everybody out beyond where the normal is today, then you know what? the economic backdrop is actually pretty good. now, we've got to stay ahead of covid as well, but we've talked about that, that's been a worry from the beginning. ashley: what are you telling your clients who are calling you saying, keith, keith, should i get out? what are you telling them? [laughter] >> fortunately, we have clients with the exact opposite approach. you know, hey, i woke up, i'm taking a deep breath, this is good, i don't like it, but okay. this is like trying the predict a snowstorm in july based on 6 inches inform in february.

snow melts in summer. yes, exactly my point. this stuff comes and goes. ashley: all right. you're just saying essentially, don't panic. would you even take a nibble at some of these stocks that are down big today? >> you know, there's no rush to catch a falling knife, but, yeah, we placed some orders on friday looking for companies like apple, microsoft, jpmorgan, visa. anything that's going to get really hard, i may wait until tomorrow honestly because this is a pretty brutal selloff. ashley: it is, indeed. all right, we'll have to leave it right there. great stuff, as always. keith fitzgerald, thanks for joining us. >> thanks, ash. a. ashley: all right. thank you. now this, california's governor newsom claims california is roaring back. roll the tape. >> california can come roaring back and will come roaring back. and the state's not just roaring back with a billion dollar surplus, we're not going to come back, we're going to come roaring back. mark my words, this state is going to come roaring back.

ashley: all right. so what i think he's trying to say, and i say this tongue in cheek, that california's going to come roaring back. there is steve hilton, our california guy. steve, is it going to come roaring back over a cliff or roaring back as the governor would like to see it? >> well, i don't know what he's talking about. pick your -- is it stumbling around, barreling down? [laughter] i don't know, it's anything but roaring back, and it's because as we've discussed many times these ridiculous one-party rule, the policies or that are being pushed by these democrats for year after year after year. and even now as we saw, for example, just in the last few months with the budget that newsom's been putting out, spending all the money that unexpectedly came in, an unexpected budget surplus. what's he doing with that? is he, for example, doing something to fix that incredibly serious long-term drain on the state's finances which is the massive public pension black

hole? no. he's creating new welfare entitlements mirroring what the biden regime is doing at the federal level with payments to people that are going to be embedded in the budget for years ahead. there's no sign of anything happening to fix what arnold schwarzenegger, he was on my show last night, the former republican governor, is these days trying to be above politics, nonpartisan. even he was saying that the business climate in california is a total disaster. there's nothing on the horizon that's going to help businesses in california survive let alone come roaring back. it's regulation, red tape, taxes, bureaucracy, the woke ideology pushed nonstop by these democrat politicians. it's a disaster. ashley: it is a disaster. and, you know, we're seeing the markets, a big selloff today, steve. so so my question is, could those restrictions in california come roaring back? >> well, exactly right. and that's a big part of what's prompted all this. when you have the health

bureaucrats in l.a. county reimposing a mask mandate, yet another example of their completely pseudo-scientific response to what's going on. there's no evidence that'll make any difference, and yet what it does is create this climate of fear, this climate of panic which, of course, they use to hold on to the powers that they've asserted during this pandemic. what they really fear is letting go of all these powers. expect markets can see that, business can see that. we're never going to get out of this because these bureaucrats and politicians want to keep these controls in place for as long as possible and will use any excuse to do it. ashley: trapped in a recurring nightmare. i want to mention this too, steve. "the wall street journal" reporting that some schools are now turning stimulus money into bonuses for teachers. i kid you not. i mean, look, steve, the classrooms were closed this year. i mean, do they deserve a bonus? >> it's unbelievable how almost the single worst aspect of this has been the way that the

teachers unions have used this to get more money for themselves. just look at what they're saying in terms of demands they're making. basically a hostage negotiation saying we'll only reopen, we'll only go back to school if you give us more money, social and emotional counseling and endless demands. because what they know is that they've got people, and they've got them in their grip because they can blackmail them and say, look, if you want your kids taught by us in a school, you're going to have to give us this. what it really means is that we have to fundamentally break the power of the unions not just in the way we negotiate with them, but the whole system has to change so we no longer have this public sector monopoly which is dominated by the unions. that's why this is really an argument for more school choice. ashley: exactly. good place to leave it, steve hilton. fabulous to see you. thank you so much -- >> thank you. ashley: by the way, we'll be watching you on "the next revolution are."

don't miss it on sundays at 9 p.m. eastern only on fox news. steve hilton right there. all right, let's get back to the markets, bring in susan li. i remember susan li -- [laughter] >> it's been a while. yeah. ashley: susan, welcome back. you've been following the selloff. what a day to come back. >> there's a lot of red out there. looking at the worst day for the year, 2021, and this is being caused by that delta variant spread. investors are selling stocks right now, running into the safety of government bonds. you have to sell something to raise cash, go buy something else. we do have some outperformers. look at nvidia splitting its stock four for one today, so that's why the stock is rallying, really outperforming. moderna being added to the s&p 500 this week, and, of course, with spread of delta variant, you have to get more vaccines. and bill ackman's pershing

square team now pulling that $4 billion deal to buy universal music. they decided to drop the very complicated deal after the sec voiced concerns over the legality of the structure. and finally, tech stocks are falling fast after china basically blocked any future u.s. listings for these companies for at least five years according to experts, probably looking at ten years though. ashley: all right. susan, thank you very much. it's one of those days. and now this: consumer prices reaching a 13-year high. yes, a lot more to buy stuff these days. we're going to talk to the owner of a supermarket chain in new york city and find out if the higher prices are scaring customers away. i'll can ask that question. and as of yesterday, masks are now required indoors in l.a. question is, will people follow those rules or will they revolt? california guy tom baa care row answers that. governor of florida also

slamming the white house's double standard on cuba. listen to this. >> they have a hundred times stronger case for political persecution leaving a communist dictatorship than the other migrants who are coming across the border. ashley: yep, we have more cuba protests planned for today. we've got the reports from miami next. ♪ ♪ why does he always seem to be looking at you, you're looking at me? ♪ it's always the same, it's just a shame, that's all ♪♪

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four bucks? that's tough to beat. relax people, my wireless is crushing it. okay, that's because you all have xfinity mobile. it's wireless so good, it keeps one upping itself. [ "me and you" by barry louis polisar ] ♪ me and you just singing on the train ♪ ♪ me and you listening to the rain ♪ ♪ me and you we are the same ♪ ♪ me and you have all the fame we need ♪ ♪ indeed, you and me are we ♪ ♪ me and you singing in the park ♪ ♪ me and you, we're waiting for the dark ♪ ♪ ashley: we are back. the markets selling off on fears of a covid rebound. the dow off 754 points at this point. let's bring in susan.

susan, what are the cryptos doing as the market sells off in. >> yeah, selling off. looking at the most dangerous levels for bitcoin because we are threatening to finish below that 30,000 level. you have to remember that's usually when the sell algorithms kick n. it might get below that support line if we do get below $30,000. we haven't seen that since really early january. now, the entire crypto space is following along with it, ethereum, the second largest up there, and dogecoin, i saw it below 18 cents this morning. dogecoin did rally to 20 cents this weekend after doge father himself elon musk changed his twitter profile, but despite all that elon musk bullishness, it's not really helping to lift dogecoin in the crypto a space today. ashley: yeah. that's one of those warnings even doge father can't do anything about it. susan, thank you very much.

and now this, thousands protesting in miami this weekend. as you can see there, that was yesterday. phil keating is in the little havana section of miami and, i believe, later today, phil, we could see more protests, right? >> reporter: we could. in the last several days of last week, the protests were really getting smaller and smaller, maybe a few dozen people. it could happen again later today after people get off work. a big weekend of protests not only in south florida, but also in the nation's capital. all protesting the communist situation in cuba. on saturday in downtown miami near the freedom tower, thousands showed up demanding freedom for cuba after nearly 60 years of true freedom being ab sent. this was the largest local cuban protest since all of this started two weekends ago. the local cuban-americans have been demonstrating for the past eight nights. all of this started two sundays ago when tens of thousands of cubans broke their decades of public silence and took the streets across the island

demanding change, replacing the cuban regime and ending the food, medicine, poverty and covid vaccine shortages. local miami political leaders are demanding the biden administration do something more than talk. >> we definitely need the president to continue to up the ante. all options have have to be on the table. all options have to be on the table. >> reporter: in washington on saturday, a hundred or so protested outside of the cuban embassy in d.c. that included many from miami who bussed themselves north. over the weekend south florida congressman mario diaz-balart dismissed suggestions that the current unrest in cuba has anything to do with the shortages of food, medicine and poverty saying they just want freedom, freedom of expression and prix tom of democracy -- freedom of democracy to elect their own leaders, something they've been denied for more than five decades. as for what's been happening on

a daily basis in cuba, are there still daily demonstrations large or small? it's very difficult to discertain that from here statewide -- discern that because the government-imposed social media blackout has almost been universal, so videos of anything happening down there are coming in in short supply, but some posts suggest there are still demonstrations going on and more than a hundred arrests. ashley: all right. yeah, all right. ful phil keating in little havana, thanks again for your report. i want to stay on this. florida governor ron desantis is slamming the biden administration's stand on cuban immigrants. listen to this. >> they have a hundred times stronger case for political persecution leaving a communist dictatorship than the other migrants who are coming across the border who are basically coming across the border because they want more economic opportunity. it is a total double standard.

ashley: well, there you are, a total double standard. and there's our good friend kt mcfarland. good morning to you. do you agree with governor desantis there? >> completely. you know, the united states has always stood for political rough fijis -- refugees. if they want to come to america, we have put them at the front of the line. we encourage them. the biden administration's got it upside down. so who are we letting in without any requirements at all is really the immigrants who are coming across the mexican border. the economic immigrants. and yet the biden administration just last week said, well, if any of you cuban immigrants want to come in boats, we're going to turn you around. so the whole thing is upside down, and as governor de. sanities has said, it smacks of political intrigue because the biden administration is afraid of letting cuban-americans into the united states because they'll probably be republicans, and they think they can co-opt the immigrants on the southern

border to become democrats. to me, ashley, a much bigger picture here. the united states of america, why the leading democracy in the world, why are we not supporting the cuban pro-democracy, anti-communist demonstrators? we're not even giving lip service to them x. it would be so easy for us to help them, so is easy for us to turn the internet back on. phil keating just told you that's what the cuban government did, it shut down communications. we could turn it on by noon today if we chose to. ashley: well, that's interesting because i was going to ask you, we've had some lawmakers say, look, all options should be on the table when it comes to helping these freedom seekers in cuba, you know, getting the internet turned on, i'm assuming, is one of those options. but what else should the biden administration be considering? >> well, how about let's just start with communication. i was in the reagan administration when we won the

cold war, when we supported the anti-communist dictatorship movement in poland, hungary and czechoslovakia and east germany and finally in the soviet union. we didn't send in the tanks. we did it by encouraging them, giving them psychological support that they were on the right course and also by helping their communication system. for example, when i was at the pentagon in the reagan administration, we realized that the underground anti-communist movement, they didn't have xerox machines. they didn't know how to reproduce the leaflets telling the people where to go to have a demonstration. we helped them get xerox machines. today is the same -- kind of the same idea but in tech terms what we need to do is help them talk to each other inside cuba. they'll take that revolution on themselves. this is a pre- this is a revolutionary movement in cuba when you've got tens of thousands of people going out in the streets spontaneously,

risking life and limb to present, to protest communist dictatorship. why we're not on their side, i don't quite understand. ashley: well, some democrats, kt, say that's not the case. they're actually protesting a lack of food and medicine for which the u.s. is partly to blame because of all the sanctions we place on cuba. >> well, that's actually bologna because the sanctions we place on cuba, we leapt pharmaceuticals and -- let pharmaceuticals and medical get through. they're just making this stuff up. the cuban people themselves, yes, their government has mishandled the covid crisis, yes, their government has mishandled a lot of things. but their government has mishandled their economy for decades. and what they're really saying is if we don't like our government, we want to be able to replace them with the government that we choose. but somehow the democrats, the social democrats in the u.s. congress and in the biden white

house, they're somehow in favor of the communist cuban government and not in favor of the people who are protesting for democracy. i never thought i would live to see the day when the united states government would stand idly by, not even give encouragement to a pro-democracy movement and let the communist government continue to suppress its people, ashley. ashley: i know. i'm with you. i still remember that image of president obama sitting in havana taking in a baseball game. don't get me started on that. kt, we're out of time but terrific stuff as always. thank you so much. let's take a look now at these dow 30 stocks. we'll have more inside this monday morning selloff coming up, but that says it all. every stock on the dow 30 now down. the biggest laggard's boeing, but the dow now down 815 points, 2.33%. fears of more covid cases putting jitters into investors

today, and we have a selloff on our hands. 41 candidates, by the way, are on the ballot -- 41 -- for california's recall election. my next guest says he's confident that governor newsom will be voted out and replaced by a republican. we'll see. we'll get into that next. ♪♪ that building you're trying to buy, you should ten-x it. ten-x is the world's largest online commercial real estate exchange. and it's fast. if i could, i'd ten-x everything. like our lunch. (laughs) amazing! see it. want it. ten-x it. ♪ ♪ experience, hyper performance that takes you further.

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ashley: let's check the markets, startie week off with amajor selloff. the dow off 800 points. s&p and nasdaq also down well over 1%. bring back susan. the fear gauge is in focus this morning as well. >> yeah, the vix index, volatility. we're looking at -- i saw 25 which is the session high, highest we've seen so far this year. you also have the high-tech, high growth dragging and the biggest probably apple despite you had them hitting 150. we also have is apple's earnings next week which will likely show a pretty big second quarter, but we're down almost $10. tesla, square, amc all down as

well. investors are trying to raise cash in a hurry to buy into the safety of treasuries with the spread of the delta variant, and that's hurting the reopening play. so think of the airlines, boeing is probably the biggest drag on the dow. we also have oil producers lore after opec agreed -- lower after opec agreed to raise, production. oil prices were down below $70, down 6% so far this sex. ashley: all right. susan, thank you very much. we have greg smith on the phone now. greg, is this -- you know, look, we have plenty of investor angst; worries about inflation, what the fed's going to do next, can earnings meet the high bar. but then we have news of the covid variant, the delta variant starting to pick up more acceleration around the world. not so much in the u.s., but that seem to be a tipping point for selling off today. >> hey, good morning. yeah, think there's obviously a

lot of things going on in the market today, but i'm always reminded in the closing scene of the great movie animal house where you have a young kevin bacon standing in the middle of the street screaming all is well, please remain calm. [laughter] so, you know, you can see some of the covid stocks appreciating today which, to your point, is people must have fears about return of covid with the delta variant. but, you know, with rates coming down, look, if you go back a bunch of weeks here, we were at a point in time when rates were approaching 1.7 on the 10-year. big tech was under a great deal of pressure. we've now seen a big rally in the fang stocks and big tech against the backdrop of a big decline in rates here. so next week it's going to be a big week with fang reporting earnings next week. but in a market like this, i really think there's one decision for a long-term investor.

investors have to sit there and say do i add, do i buy this dip or sit with my core positions. right now i would be sitting with my core positions. i think when i joined you on friday, i even began to talk about that i think there is going to be a correction coming. i wouldn't call a 7-800 point decline a correction. but i think, look, there's a little bit of a fear of a slowdown in growth, right is? we've seen incredible numbers out of so many great companies. and as we know, stocks trade off of forward guidance. and how much continued can there be out of some of these companies. so -- ashley: all right -- >> -- adjust over guy dance. ashley: right. greg, we're going to have to leave it there. thank you so much for taking time to jump on the phone and give us your insight into this market sell off. greg smith, thank you very much. now off 736, thereabout. we were down 800, well over 800. well, now we're down 734. still a selloff.

now this: 41 candidates are on the ballot in the recall election meant to unseat california governor gavin newsom. let's bring in tom dell baa car row. you awe say the recall is poised to succeed. why? >> yeah, absolutely. you know, this is a protest vote. we are living in a state that can't deliver water, electricity, has the worst homeless are problems -- think of this, our polling shows that 41% of democrats, democrats, give newsom a d or an f on homelessness. when we talk to them about crime and that he's let out 20,000 criminals and intends to let out 70,000 more, the number skyrockets. so the good polling shows that this is a very tight race. we now have candidates that cover the state geographicically, and as they knit together a yes vote, i think we're going to recall gavin newsom. and that's why rescue

california.org we've been pushing this all along because california needs a course correction. ashley: 41 candidates though, tom, couldn't you consolidate a little bit? [laughter] >> well, the way the -- well, everybody has a right the run except, apparently, larry elder. when the secretary of state uses a law that was declared unconstitutional against him, we can get into that. but the way the vote works is no candidate has to get to 50%. if you get a yes vote, whoever gets the most votes on the second question wins even if it's only 10%. ashley: fascinating. okay. let me get to this issue, tom. los angeles, as we know, has an indoor mask mandate back in place. even if you're vaccinated. do you think people are going to follow it?

[audio difficulty] >> they're not seeing it. the bay area is taking a step closer, now redding it. that's another -- now recommending it. californians are going to chafe. and when the secretary of state tries to keep larry elder off, and he's going to file a lawsuit because they're using an unconstitutional law, that tells voters that the powers that be want to stay there. and, again, things like masks, unfair elections by keeping candidates off the ballot, those are all reasons for voters to protest. ashley: well, the governor's just -- we've been running a sound bite of the above saying we're poised to roar back, we're going to roar back. we've got a surplus in the budget, everything is going to come up smelling roses. >> that's the kevin baying con analogy again, right? [laughter] for him taking credit for the economy is like a thief taking your wallet and then giving it back to you and saying you're

free to spend. ashley: right. >> voters know that's not the truth. and that, again, these are all things that gavin newsom's out of touch, he's arrogant, and this is a big protest vote. it's now a national issue because we've been getting help at rescue california.org from around country. ashley: wow. it's fascinating to follow. we'll see how it all plays out. tom, thanks so much for bringing us the latest. much appreciated. >> sure. ashley: all right, show me the big board, if you can. the dow off 765 points headed for its worst decline of the year. we're all over the story, and that says it all. red everywhere. and, by the way, the white house thinks social media isn't doing enough to censor posts about covid. take a listen. >> the reality is that misinformation is still spreading like wildfire in our country aided and abetted by technology platforms.

ashley: we have a live report from the white house next. ♪ i always feel like somebody's watching me. ♪ and i have no privacy. ♪ i always feel like somebody's watching me ♪♪

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♪ ashley: all right. let's take a look at these markets. dow still on pace for its worst decline of the year, off now 738 points. still down more than 2%. shah gilani is on the phone. great to speak with you. what are your thoughts on today's selloff? is in the beginning of something bigger? >> i don't think so so, ashley. i think this is nothing wrong with the profit taking. we are in the beginning stages of earnings revelations and so far so good, and i think they've going to continue to be good. but at the same time, the things that bother folks, rising oil

prices, rising interest rates and peak earnings were right there. now, doesn't mean they can't rise again, but inflation perhaps not only on the horizon, but likely to heat up. and rates come down a little bit because of the opec agreement, but they continue to rise and peak earnings, have we reached peak earnings. this is what investors have been dwelling on for the last goal three, four weeks, and all of a sudden time to take some profits because of delta variant. that was the excuse, but these other things were weighing, i think, more heavily on investors' minds than delta variant. delta variant, make no mistake about it, is the trigger for this selloff. ashley: all right. we'll have to leave it there. just a quick check with shah to keep us all calm, and you did that. thank you very much. appreciate you taking time to jump in quickly and give us an update on your thoughts on this selloff in the market. now this, facebook firing back after president biden said the tech giant is killing people

with covid misinformation. the social media platform says the white house is just looking for scapegoats for missing their vaccine goals. well, it's getting nasty. mark meredith is at the white house. mark, the white house certainly doubling down on its criticism. >> reporter: yeah, ashley, you're right. i feel like the white house is really going on offense here, accusing social media companies and other outlets of helping information spread online tied to the vaccine they don't believe is true. but those same companies are firing back insisting that they are doing their part. facebook says it's already removed some 18 million pieces of misinformation related to the pandemic, and the biden administration if says it believes social media companies could do more. the president even suggested on friday that some of those companies are leading to unnecessary deaths. that really appeared to tick off facebook that said it helps coordinate ney nate people's -- coordinate people's appointment.

these facts tell a different story promoted by the administration in recent days. right now the cdc reporting 161 million people in this country are fully vaccinated. that's roughlily half of the u.s. population -- roughly half. but as you know, cases are spiking in some cases, and the surgeon general is warning the country's battle against coronavirus is not over yet. >> this pandemic isn't over. we have to be cautious, and we've got to do everything we can to get people vaccinated. that stands as the single most effective pathway we have to keeping people safe, protecting or their families and ending this pandemic. >> reporter: the white house says it's ready to combat misinformation. some concern is they're warning the white house is getting into tricky territory with whether or not policing content online could lead to a dangerous precedent. the white house said they are working with social media companies but not pulling content down. a lot of people will be tracking to see this back and forth

between facebook and the white house. back to you. ashley: yeah. interesting to watch. mark, thank you very much for the latest on that. as we head to the break, let's check the market again for you. not pretty but perhaps if trying to come back a little. still off nearly 700 points. we were could down more than 800 points, right around 2% on the dow. all of the dow 30 stocks, as you can see, in the red. at the very bottom the laggard being boeing, that's adding to the big number of the selloff on the dow. billionaire businessman john cat ma tee d.c. was a vocal trump supporters, but he just met with the democrat front-runner for new york city mayor. i'm going to ask him about that next. ♪ -- ready to roll with the changes, yeah, yeah ♪♪

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♪ ashley: all right, let's take a look at these markets. susan, the dow trying to come back as much as we are down 700 points, we were down more than 800. what are you watching? >> i want to show you the converse trades, the other side of those trades with the dow down 700 points. take a look at the lockdown winners, the telehealth, you

know, the docusigns and the emds which is a chipmaker and the other names as well if you look at it. you see these high volatility, high interest plays, and these are the ones that did very well during the pandemic, of course, tuck at home, going online instead of going into stores. yeah, down 700 points for the dow, but you're seeing stay at home winners. ashley: all right. susan, thank you very much. want to take a look at this now. consumer prices have jumped 5.4% over the past year. everyone's talking about how much more expensive items are, grocery items, you name it. let's bring in johning catsimatidis -- john catsimatidis. how is this affecting your business? >> >> well, thank you for having me. you know, we're both in the food business and we're in the oil

business, and food prices are getting higher, and we expect even more increases by on the. by october. we're seeing anywhere from to 10-14% by october 1st. so it's a real number. and oil prices, i know they're a little bit off today, but i expect even higher numbers, and a real, a sign. everything just goes up and down, but it's -- i expect by october you're going to have over a 6% annualized rate of inflation. ashley: wow. >> and food prices -- ashley: okay, and i was going to say, are you having to pass those extra costs on to consumers? >> well, you have to pass it on otherwise you're not going, you're not doing your duty to guard your country, your employees and your company. ashley: right. all right, listen, i wanted to get you on this, john.

i understand you recently had dinner with eric adams. now, he's the democratic nominee for new york city mayor. there's the picture. do you think he's the right guy for the job in? >> well, we have two people running. you have curtis sliwa which worked for wabc radio for 30 years and we own wabc, and he is a good candidate, and eric adams on the democratic end which was an old nypd employee, he was a captain, and there's three problems in our city today. number one problem, crime. number two problem, crime. number three problem, crime. and one of those two people can solve the crime problem. i'm going to -- everybody should be yelling to people that went down to florida, come on back, because new york is the greatest city in the world, and it will be the great city in the world again once we solve the crime

problem. ashley: well, we'll have to leave it right there, but great stuff. thank you for taking the time this morning, john catsimatidis. john, thank you very much. by the way -- >> thank you very much. ashley: -- democrats -- thank you -- outnumber republicans in new york city 7 to 1. so they've probably got a pretty good chance. we told you about barstool sports guy dave portnoy right there raising money for small businesses. susan, come back in. how much has he raised? >> about $40 million to almost 400 businesses across the country and 25 right here in new york city. you had dave portnoy this morning on "fox & friends" pointing out it wasn't just a one-time payment. >> and we're there every month if, so it wasn't just a one-time payment. we spoke with these people every single month if, checked in with them. and actually the best part is getting now the e-mails from the businesses or the letters who say, hey, we don't need the money anymore. >> isn't that nice?

businesses are aren't supposed to reveal what they got, but it was usually somewhere between $5-60,000 in total. obviously, you need that to survive in those difficult covid times. ashley: yeah. he's done a very good thing, very impressive, indeed. susan, thank you. guess what? it's time now for monday's trivia question. it's an interesting one. surely, how many breaths on average does a person take each day? the answer when we come back, you have 8,000, 12,000, 15,000, 23,000, and if i take the stairs, 50,000. i'm just going to throw that in. we'll have the answer when we come back. ♪♪ . . .

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ashley: all right, we asked you before the break how many breaths on average does a person take each day. what did you guess? well the answer, 23,000. that by the way is about 16 breaths every minute. now i would imagine investors taking more than 16 breaths a minute right now as we take a look at the markets. it is no laughing matter. the dow off 727 points. still down 2%. coming back a little bit but how can you say that when you're down 700 points? nasdaq composite down 12, less than 1%. the s&p 4263. down 64 points. down 1 1/2%.

what is driving the markets today is fears of covid rebound. in particular the delta variant that is starting to pick up and accelerating around the world. the number of cases up 34% around the globe. not as quite as here in the united states but nevertheless it is enough to rattle investor sentiment as you can see today with the selloff. our time is up. neil cavuto taking it now. neil: thank you, ashley. the president just wrapping up his speech. he is taking questions from the reporters. we'll go right to the white house to see how he is handling inflation and covid concerns that are whipping stocks. the president. >> i don't look as a stock market as means to judge the economy like my predecessor did. he would be talking to you every dayor