go to foxnews.com/thedailyspike. one more thing for "the five" tonight. i'm dana perino. here's trace gallagher in for shep. >> trace: billionaire busted! cops say they caught robert kraft in a sting at a massage parlor. he's accused of soliciting prostitution more than once. cops say there's video. the story and the patriots response ahead. singer r. kelly indicted for aggravated sex abuse. the latest twist in a sickening history in an allegation involving underage girls, sex tapes and a sex cult. a news conference with prosecutors set to start any moment. and jussie smollett out for the season. the news decision from the "empire" producers after police accuse him of a hate crime hoax in chicago. breaking news. president trump speaking right

now in the oval office. we're waiting for the video to feed. he weighs in on a lot of topics including prostitution charges against robert kraft. i'm trace gallagher in nor shepard smith. the news starts right now. >> trace: police in jupiter, florida, naming robert kraft in a prostitution sting. they say they have video of him paying for a sex act in a strip mall massage parlor and video from hidden cameras inside the building. >> the question was does the video contain mr. kraft inside receiving the alleged act. the answer is yes. >> trace: cops say they reported customers and workers at the orchids of asia day spa and that they reported kraft visiting the place a month ago. his team, the patriots, won the super bowl this month. a spokesperson for kraft

released a statement saying we categorically deny that mr. kraft engaged in any illegal activity. we won't be commenting further, this comes as cops in palm beach crack down on human trafficking. molly line is reporting live from boston. molly? >> now the national football league has responded to these allegations levelled against the owner of one of their teams, the super bowl winning new england patriots. here's the statement. the 77-year-old, robert kraft, one of the most prominent names revealed thus far charged after an eight-month multiagency investigation. the investigation focused on several massage parlors where women believed to be from asia were forced to work long hours to be sex workers. kraft was down there twice. investigators went through the trash, issued search warrants.

the video was a big part of this investigation. although there were many men caught on camera, there were two women arrested. reaction to the sting and kraft's alleged involvement is just beginning to pour in. the president of the u.s. institute against human trafficking had this to say. >> that statement from kevin malone, the co-founder of the u.s. institute against human trafficking. it's unclear when kraft could travel to florida to face these

charges. trace? >> molly line live for us in boston. thank you. breaking news out of chicago. superstar r. kelly facing multiple counts of aggravated criminal sexual abuse. we're waiting for a news conference to start any minute now. first, let's bring in jonathan hunt. he has details on this evolving case. jonathan? >> a lot happening now, trace. we're just waiting as you look at the microphone stand for the state's attorney to come out. she's kimberly fox. they have filed prosecutors in court today a ten indictment count, ten charges of aggravated criminal sexual abuse against r. kelly. as we understand it, these changes involve four week, at least three of whom were under age at the time of the alleged abuse against them. now, also involved in this and holding a press conference in a

couple hours, michael avanetti. he's been involved in a long battle with president trump. he's deeply involved with this, investigating r. kelly for some months. he said he handed over two prosecutors a vhs tape and on that tape according to michael avenatti, clear pictures of r. kelly and the woman having sex in the tape. the grand jury has been looking at this and obviously now we're at the point prosecutors ready to level these charges. an arrest warrant has been issued by the judge in this case. tmz is reporting that r. kelly has agreed to turn himself in voluntarily some time later

today. we don't have independent confirmation of that. >> trace: it's notable the cook county state's attorney is holding this press conference there, the same ones that had the amazes news conference involving jussie smollett and it was very detailed. so we expect to get great information coming out of this news conference when it starts. we'll brain it to you. this is andrew, a former federal special victims use it in prosecutor and a current defense attorney. let's begin r. kelly. a 42-minute tape. this could be damning for him. >> of course. if the tape shows what is alleged, that he's having sexual relations with someone under the age of 17, he's almost for sure done. there's one defense that if he reasonably believed she was over the age of 17, that could be a defense for any of the cases dealing with minors that is something that would be a reasonable test. that would be applied. >> trace: we talked about his acquittal in 2008.

prosecutors went to a grand jury first. that is significant. they didn't arrest him because they got this confirmation. this has been going on for months. so if you go to a grand jury first and arrest him, does it show you're crossing the ts and dotting the is? when prosecutors take the time to go to the grand jury and present evidence and witnesses, it shows that they're trying to make their case. they're trying to show what they have early on, trying to make sure they don't bring charges that will result in acquittal. that is responsible for prosecutors to do in a case like this. >> trace: no deal here. you're going to trial because if you're r. kelly and you're his team, you're not going to cut a deal. that will send you to prison. >> what i did as a prosecutor and what i do as a defense counsel, a lot of the sexual offender lists, you'll be on a list the rest of your life. they go to trail. >> trace: you have defended some of these types of cases what is the defense here? >> when you're dealing with

minors, that you reasonably believe the person was over the age of 18. where the person's an adult, if there's an allegation that he drugged her or forced her to do it, whether it's a misunderstanding or an exaggeration or a lie from the victim because this person is worth so much money, those are all potential defense strategies. >> trace: no bail in this arrest warrant. >> it's a nor bail arrest warrant, which i'm sure andrew would confirm. means that they are very concerned that he has the means, the ability and the motivation to try to get away somewhere. so it's relatively usual but goes to the seriousness of the crime. >> i'd say it's typically unusual to go to that degree. when there's multiple victims, that's a reasonable conclusion. >> trace: we saw the cook county state's attorney detail the

whole thing top to bottom. you expect this type of detail or is this something that they might wait longer? >> 20 minutes at arraignment like yesterday is unusual. it's not inappropriate for the prosecution to give an idea of what the evidence suggested. i expect they'll do it to some degree today. they set quite the precedent in doing so yesterday. >> trace: there's nobody at the microphones right now. we'll bring it live. i want to talk on robert kraft. the patriots owner. he was in so day spa in florida. this happened a month ago. now they have accused him, charging him with sex crimes. it's a misdemeanor. >> it's a misdemeanor, which means the maximum could be in a case like this would be a year. it would be unusual to the extreme for there to be any sort of jail time in a case like this. >> trace: we saw a statement for some saying he needs jail time. he's not involved in the trafficking. the idea is this is a trafficking case. robert kraft is not involved in

any way, shape or form with trafficking of people for sex. >> absolutely. it's an important police duty to look into sex trafficking. human trafficking of any nature. in doing so, it looks like they took this business down as potentially doing so. that doesn't mean that robert kraft was involved in any way. there's no implication whatsoever that that is what he was involved in. it seems like a simple allegation that he went to a massage parlor and while he was there he was trying to get sex for money out of it. >> there's video of him paying for what they say is a sex act. the video inside the massage parlor. h how damning is that? >> depends what it shows. if it's in exchange for money, it's a problem. if it's different where he's exchanging money for the massage, it's like the jerry sienfeld episode. he has a house keeper that he

starts dating and there's a question where he's paying her for sex or not. those are valid defense. >> trace: a good point. who is asking who. does that play a part of it? >> if he's not actively seeking it or entrapped by police, that's an issue and difficult to overcome, this is a man of tremendous wealth. there's a real possibility that he's workers at the location are trying to get money out of him. >> robert kraft says not guilty. he has $6 billion. he has a lot of money and assets and resources to fall back on. you'd think that the investigators, the police in florida, have got their ducks in a row in this case. >> you'd hope so. prosecutors and law enforcement shouldn't be conducting themselves differently just because a person has money. but you would hope that as they go into any sort of case,

they're ready, a serious allegation. they bet very good allegations here. >> trace: i'm confused. we covered a lot of these types of cases. seldom is there a video. is there a case that they can go in and set up video cameras inside some of these massage rooms? is that we're talking about? is that legal? >> you can get a warrant to tap a house for business. that's what it seems like the police are suggesting was done. somehow they planted a video. i'm not sure if they worked with the staff or independently. if they're working with the staff, those issues of entrapment are bigger for the police. >> trace: we have the picture of robert kraft up. we're watching for the cook county state's attorney. we'll give you an idea what they're planning to charge and some details of the case concerning r. kelly being

charged with having sex with a minor. the tape -- we see movement there. the tape of r. kelly that is now been put forth by michael avenatti, a nemesis of president trump and stormy daniels. the tape of that case and the origin. does that play into this trial? >> absolutely. any type that you get a tape from a person who has this sort of notoriety and publicity, you have to call into question whether it's genuine. this video is for folks to watch. if there's a defense that it's not what it depicts. >> stand by. we're waiting to hear from the cook county state's attorney's office. they will detail these allegations against r. kelly. more problems for him. we're also waiting on the other side of a break to hear from president trump and president trump we're told also weighed in

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ready to treat differently with a pill? otezla. show more of you. we're finally going on the trip i've been promising. because with expedia, i saved when i added a hotel to our flight. ♪ so even when she outgrows her costume, we'll never outgrow the memory of our adventure together. unlock savings when you add select hotels to your existing trip. only when you book with expedia. >> trace: breaking news now. the cook county state attorney's office is now taking the podium. looking at the white house. kimberly fox. let's listen to what she has to say.

>> good afternoon. earlier today, robert kelly was indicted before a cook county grand jury on ten counts of aggravated sexual abuse involving four victims. the first victim, h.w., involved in incidents that occurred be between may 26, 1998. a grand jury returned an indictment of four counts of aggravated criminal sexual abuse based on the victim being under the age of 17 and robert kelly being more than five years older than the victim. the second victim, initials r.l., was involved in an incident which occurred between september 26, 1998 and september 25, 2001. a grand jury returned an indictment on two counts of aggravated criminal sexual abuse based on the victims being under the age of 17 and robert kelly

being more than five years older than that victim. the third victim, initials l.c., was involved in an incident which occurred february 18, 2003. a grand jury returned an indictment on one count of aggravated criminal sexual abuse based on the transmission of semen on robert kelly on any part of the body of the victim for the personal of sexual gratification during the course of an underlying felony of attempt criminal sexual assault. the fourth victim, initials j.p., was involved in incidents which occurred between may 1, 2009 and january 31, 2010. a grand jury returned an indictment on three counts of aggravated criminal sexual abuse based on the victim being under the age of 17 and robert kelly

being more than five years older than the victim. aggravated criminal sexual abuse is a class 2 felony with a sentencing range of 3 to 7 years per count. it's probationable. we anticipate mr. kelly be appear in bond court tomorrow afternoon. thank you. >> trace: so not nearly as extensive as the information covering jussie smollett. but very informative nonetheless. they're saying there's four victims that robert kelly -- they're saying there's ten counts, this is key. let's bring back in andrew. this is key because they're saying they're aggravated sexual accounts. the definition is they were under 17 and he was more than five years older than them. what does that mean legally?

>> so we have three victims that are minors between the age of 13 to 17. he's five years older. that makes it an aggravating crime and puts it in that heightened jail time. it's a sex offense for registration purposes. we also have an adult victim who is alleged through some sort of force that he apparently ejaculated on to her and that made it aggravated. >> when you talk about three years and seven counts, 30 to 70 years? do they run concurrent? is that decided down the line? what is the normal protocol on that? >> that's a lot of projection way down the line. there's ways to run conc concurrently. the seriousness of the crimes. you have the idea that multiple counts go to each victim. he's not likely to be sentenced

multiple times for the different ways they're charged in. >> trace: and we expect to have one trial. all in one trial. >> when we have a single indictment it will for sure be one trial. i guess there's theoretical ways for but no real possibility for it to be separated. >> trace: the significance of the grand jury coming back with these charges. >> this is not a prosecutor sitting in their office with a law enforcement agent drawing up charges so that somebody can be thrown into detention quickly or somebody who has been arrested and you have 72 hours. they have taken weeks to collect evidence, have witnesses testify and testify under oath and present it to neutral fact finders, regular civilians. >> trace: we just got a two-minute warning from the white house. we're going to hear from president trump. michael avenatti's name is coming up in this. he provided one of the 42-minute

tape. he's got his own press conference. >> and that will be coming up in an hour. that is interesting. he says he will have evidence on what will be another potential challenge. these allegations of child pornography first began bubbling up around 2002. r. kelly went to trial in 2008 on those charges. was acquitted. avenatti says at this news conference, he's going to present ed that r. kelly and he's enablers paid witnesses and others to intimidate people to rig the outcome of that trial. so i'm assuming that that would speak to another charge, which would be obstruction of justice. that -- we don't have that charge yet. obviously if that was the case, that's something else prosecutors would want to look at. >> trace: can you comment on that? >> sure. the idea that mr. avenatti is bringing more evidence forward could be a very legitimate

effort to get additional criminal allegations looked into or potentially prosecuted. could be a play for civil damages. >> trace: the trial, we're talking about months, maybe longer. >> if he's detained tomorrow, it will be quicker. if he's not detained at the bond hearing, he's granted some form of bond and he's released, i think it's going to be many months down the road. >> trace: and the trial could take a long time. could be a deal up till trial. would it be better if they struck a deal earlier or no deal? >> i love the deals to come in early. >> trace: breaking new right now. president trump speaking moments ago. >> is going down u.s. troops a consideration in the summit with kim jong-un? >> no, it's not. that is not one of the things on the table. >> what is on the table? >> you really want me to discuss that now? >> i do. >> everything is on the table.

>> any concerns about the labor secretary, the epstein case? >> i don't know much about it. he's done a great job as labor secretary. that seems like a long time ago. i know he's been a fantastic labor secretary. that's all i can tell you about it. >> what about the charges against bob kraft? he's a friend of yours. >> it's very sad. i was very surprised to see it. he's proclaimed his innocence totally. i'm very surprised to see it. >> [question inaudible] >> no, i have not. >> do you expect him? >> at some point i'll be talking about it. the nice part, there was no collusion. there was no obstruction. there was no anything. so that's the nice part. there was no phone calls, no nothing. i won the race. i was a better candidate. had nothing to do with russia. everybody knows it's a hoax. one of the greatest hoaxes on this country.

i look forward to seeing the report. if it's an honest report, it will say that. if it's not, it won't. >> [question inaudible] >> it's not a long time when you consider it's the biggest deal ever made. >> you see it's getting close to the finish line? you believe it's more likely that a deal does happen or a deal doesn't happen? >> i think i can speak for the united states. the question is an interesting one. is it more likely that a deal happens or doesn't happen? speaking for the united states, i would say it's probably more likely that a deal does happen. that doesn't mean it's going to happen. speaking for china, if you'd like to answer that question, you can. i would say that it's more likely that a deal will happen. the fact that -- this is a very high delegation. this is a man that is revered all throughout china, the vice premier. so the fact that they're willing to stay for quite a bit longer period, doubling up the team,

means something. there's a good chance it happens. go ahead. would you like to answer that question? >> thank you, mr. president. >> speak chinese. [speaking chinese]. >> so from china -- >> you have to speak louder. >> from china we believe it's very likely that it will happen and we hope that ultimately we'll have a deal. and the chinese side is ready to make our utmost effort. >> i think we both feel that way. we both feel a good chance the deal will happen. >> why are you reversing course in syria? >> i'm not reversing course. i have done something that nobody else has been able to do. another short period of time, like hours, you'll be hearing

hours hand days you'll be hearing about the caliphate. it's 100% defeated. nobody has been able to say that. that doesn't mean there aren't some very bad people walking around. strapping on bombs and all of these things. but we've done a job that nobody else has been able to do i heard lindsey graham this morning congratulating me defeating the caliphate. frankly, i'm getting a lot of congratulations. at the same time, we can leave a small force with others, whether it's nato troops or whoever it might be so that it doesn't start up again. i'm okay. it's a very small fraction of the people we have. a lot of people like that idea. i'm open to ideas. the 2,500 people that we've had there will be going to different parts of the world. they may be going to iraq where we have a very powerful base, a base that cost billions of dollars to build frankly and we'll be using. we have had tremendous success

in defeating the caliphate. now everybody is admitting. i did more in the last three or four weeks than people have done in years. it's been very successful. but we want to make sure it stays that way. yes. >> and the trade deal, we're afraid you haven't made -- >> you want to talk about the transfer of tech? i'll let bobs on that. >> it will be answered yes. it's one of the structural issues. has to be done properly and we've made progress. whoever told you we weren't didn't know what they were talking about. >> and what about the north carolina election fraud? it's a big story. the republican candidate calling for a new election. why didn't he condemn -- >> i condemn any election fraud. when i look at what happened in california with the votes, a case where they found a million fraudulent votes. when i look at what has happened in texas -- excuse me. when i look at what has happened in texas, when i look at that

catastrophe in florida where the republican candidates kept getting less and less and less and less. fortunately rick scott and ron ended up winning their election. it was disgraceful what happened there. i look at a lot of different places all over the country. i condemn any voter fraud, whether it's democrat or republican. when you look at some of the things that happened in california in particular, when you look at what has happened in texas where all of those votes that they recently found that were not exactly properly done. i condemn all of it. that includes north carolina if anything -- i guess they're going to be doing a final report. i'd like to see it. any form of election fraud, i condemn. >> do you expect to have a meeting with president xi in mar-a-largo? >> probably in mar-a-largo. probably fairly soon during the month of march. bob, you have a date? steve, you have a date?

>> we're planning with your schedule. >> we have two schedules. we'll be planning that with the schedule. >> are you going to have more on michael cohen's testimony? >> no. lawyer client. he's taken his own chances. >> where do things stand with huawei and zte? >> zte paid a fine of $1.2 billion, which nobody has heard of before. we want everybody to compete. i guess it will be somewhat of a subject that we're talking about here, bob. we'll be talking about that. we may or may not include that in this deal. >> include? >> the huawei and zte. >> would you drop criminal charges against huawei? >> we'll be talking to the u.s. attorneys and the attorney general. we'll be making that decision. right now it's not something that we're discussing. >> you think republicans will stick with you on the emergency declaration? >> i think they will.

everybody knows we need border security. we need a wall. it's a bad subject for the democrats. we need a wall. we've apprehended more people than we have in many, many years. apprehended meaning we've gotten with a wall we wouldn't have to apprehend them. it's costing us a lot of money with the military. a lot of military there. we have tremendous border control and border security there. i'll tell you what, the people of border security, people of ice, the law enforcement generally speaking have done an incredible job at the border. we have caravans heading up and were heading out the caravans. we've done a great job. if we had the wall, it would be easier. frankly it would be a job that would be perfect and cost ultimately a lot less money. okay. thank you. >> said yesterday that the u.s. would not block out technology.

what do you mean? >> i'd like to have all companies compete. i don't want to artificially block people out based on securities or security. i don't want to have a security problem. i'm talking about everybody. really. including. i'm talking about everybody. i don't want to use artificial blocking. we want to have great 5 g ultimately that will morph to 6 g and probably 6 g will be obsolete in two months the way it's going. the way the whole world moves. 60 at some point will be obsolete. i want competition with china, fair competition. i don't want to block out anybody if we can help it. now, if there's a security reason or something that we have no choice. but that is one of the things we'll be discussing today. we want to have open competition. we've always done very well in open competition. >> your officials mentioned there was a deal on currency. >> we'll let you know at the

appropriate time. we have a deal on currency manipulation, yes. >> will you veto that resolution that was introduced today that would block the national emergency? >> will i veto it? 100%. i don't think it survives a v o veto. we have too many smart people. i will veto it, yes. >> [question inaudible] >> no, i stopped paying pakistan the $1.3 billion that we were paying them. we may set up meetings with pakistan. >> pakistan was taking strong advantage of the united states under other presidents and we were paying pakistan $1.3 billion a year. i ended that payment because they weren't helping us in a way that they should have. honestly, we've had -- we developed a much better relationship with pakistan over the last short period of time than we had.

i did. i ended the payment. we were paying them $1.3 billion a year. i ended that about nine months ago. a lot of people don't know that. i ended it nine months ago. >> [question inaudible] >> trace: what are you talking about? what are you referring to? you have to speak up. >> [question inaudible] >> no, it's a terrible thing going on right now between pakistan and india, a very bad situation. it's a very dangerous situation between the two countries. we would like to see it stop, a lot of people were just killed. we want to see it stopped. we're very much involved that. >> [question inaudible] >> indian is looking at something very strong. india just lost almost 50 people with an attack. so i can understand that also. we're talking and a lot of people are talking.

it is a very, very delicate balance going on right now. a lot of problems between india and pakistan because of what just happened. in kashmir. are you talking about that? very dangerous. >> are you planning an executive order on huawei? >> we're not doing anything right now. we may or may not put that in the trade agreement. we're does cussing that. we'll do that in conjunction with the attorney general of the united states. that is a matter that is outside of what we're doing. we do that with the attorney general, if we do anything. i guess there's a question as to whether or not that is being included in the agreement. >> we haven't gotten your response of amazon pulling out of new york city. >> i think it's a big loss for new york city. i think it's a big loss. i think if you look at the deal, the deal was not a great deal from the standpoint of they could have made a better deal than that, a much better deal,

but still it's a loss to new york city. the $3 billion wasn't a check. it was a form of taxes over time that now they'll never see. they were going to take in a lot of jobs, take in a lot of taxes. it's a big loss for new york city. it's the kind of thinking that our country is doing to on the left, on the radical left, but ultimately it's not good for jobs and it's not good for the economy. i think it was a big loss for new york city. i come from new york city. i love new york city. a big loss. >> and on the coast guard member that was arrested for threatening democrats and other members -- >> i'm getting a very final briefing and a very complete briefing in about two hours after this. >> you have any thoughts -- >> it's a shame. it's a very sad thing when a thing like that happens. i've expressed that. i'm getting a complete briefing in about two hours. >> you bear any responsibility for monitoring your language? >> no, i don't.

i think my language is very nice. >> [question inaudible] >> the trade conflict has been a year. so what do you think? >> who are you with? china? >> the people's daily in china. >> people's daily. >> yes. what do you think? is the cooperation? >> great cooperation. both ways with china. and a lot of good things are happening. i think you see that. so many people every day, they are going to make a deal. they have no idea. it's fake news. do they have fake news? china? i think so. [laughter] it's a question. are they going to make a deal? i think we have a very good chance of making a deal. both parties want to make it a meaningful deal. i can speak for the vice premier, i can speak for president xi or myself. both parties want this a real deal. we want to make it a meaningful

deal. not a deal that is done and doesn't mean anything. we want this a deal that will last for many years and a deal that will be good for both countries. we want it meaningful. with that being said, china has the advantage of having many years of tremendous success at the expense of the united states. so they understand that. i never blamed china for that. i blamed our past leaders. our leaders have done a lousy job with trade. our country lost $800 billion with trade generally. $800 billion. so the vice premier understands that. this same agreement -- >> trace: the president talking about a deal with china there. he think as deal is in the works. they will in fact be working with the chinese government and the president says there could be a meeting with chinese president xi jinping in mar-a-largo in large. we have breaking news coming in. while president trump was speaking, a senior official at the justice department is now

telling fox news that they do not expect the special counsel, robert mueller's final report to be released next week. remember, the president moments ago just said that he has not spoken to the new attorney general, william barr. we can also confirm that barr has not received a copy of the report. let's get live to rich edson at the white house. rich? >> it appears the momentum is moving towards finding out much more of what bob mueller has been up to, what kind of information he has. he has through court filings been offering a glimpse into the information that he's learned and the charges that the special counsel has referred or filed. for how this will proceed from here, there's an expectation soon according to a number of reportings out there that the special counsel's office will turn its reporting over to the attorney general's office and from there the question as to whether or not there will be anything else filed if court or any specifics or how exactly bob

mueller's office will transmit any more information the public will find out about. this is on top of next week michael cohen, the president's former attorney who has pled guilty to a number of charges will be testifying in front of the house oversight committee. the chairman of that committee says he plans on asking, he with committee members, plan on asking a host of questions with the president's business dealings issued during the campaign. that is expected next week. while the president is out of the country meeting with kim jong-un, trace. >> trace: rich, i know you spent half of your time at the state department and half at the white house. a lot of talk in this news conference about the president and china and this trade deal. the president says he believes this will happen. that's significant. the chinese government, president xi, sent the president a letter saying look, we need to work this out. >> they're operating on a march 1 deadline here. in a week they need to figure it out or there's going to be a

tariff increase of $200 billion worth of chinese imports. the president has said they feel like they're making progress, they can extend the deadline. that's the sense that we've gotten from the president's comments in the oval office here. the president saying a deal is more likely than not. the chinese representative and lead negotiator agreed. the president also says that he has an expectation that he will probably meet with chinese president xi jinping at some point next month at mar-a-largo. officials will saying they were working out the timing on that. trace? >> rich edson live at the white house. thank you. let's bring in chris wallace. a lot of stuff just happened in the past 30 minutes, chris. the biggest thing we learned is the robert mueller report, despite all the reporting we've been hearing will not be released or not be out next week. your thoughts on that? >> well, i've been saying -- if i've said it once, i've said it a thousand times.

always take the over when the report will be released. it's always longer. i remember john dowd, the president's personal lawyer said this will be released by thanksgiving of 2017. we're now passed valentine's day of 2019. a lot of talk it would be released today, a lot of talk next week. now it isn't. you know, the answer is, as an old white house saying in the regan years, those that talk don't know. those that know don't talk. whoever is saying his report will come out at such a report, eventually they'll be report. somebody has to be at some point. i thought it was a weird time to release it anyway, the idea that you're going to release a report -- first of all, they won't release it. they'll turn it over to the special counsel to the attorney general and he will decide how much he will release. to release it while he's in vietnam with high stakes diplomacy with kim jong-un on nuclear arms struck me as a very

odd choice by the special counsel and by the justice department. just would distract from something very important that we've been waiting since may of 2017 for the special counsel's report. we can wait another week. >> trace: yeah. meantime the democrats in congress are playing defense about when this thing comes out. now you have senator richard blumenthal saying if this report is not released publicly and he's quoting here, the public will feel rightly that there's a cover up. on the other side, you have the house intel committee and adam schiff saying here's the deal. if -- the bottom line is if we're going to prep phase 2 if this doesn't show collusion, phase 2 will go into action. whatever is in the mueller report, the democrats won't like it. >> well, look, it depends on what is in the mueller report. you know, the idea that anybody would like it if it showed that the president had committed a

crime, you know, nobody should be rooting for that outcome. it would obviously be terrible news for the country. if and i repeat if it were to show that, but there's no question to get to your bigger point that whatever mueller comes out with -- first of all, it goes to the attorney general, bill barr. it's a confidential report and he decides how much to release to congress and how much to release to the public. but regardless of what he decides, this isn't going to be the end of it. first of all, because if he doesn't release everything, there will be subpoenaing how house democratic chairmen to try to subpoena the report, to subpoena mueller, to subpoena bill barr to get everything they can. as you pointed out, adam schiff, chair of the house intelligence committee is talking about other issues that haven't been covered by the mueller report like questions of financial dealings between the trump organization and russia that he says he's

going to pursue in any case. so this is going to be an issue up to and through the 2020 presidential election. >> yeah, i know on "fox news sunday" you'll be talking a lot about this summit coming up, round two between president trump and kim jong-un. what are your thoughts on that? do you expect some significance to come out of this? lindsey graham said he's hopeful that at some point in time they will get rid of their nuclear weapons. what do you think comes out of this that we can point to? >> who knows. you look back. i was in singapore for the summit in june. you can argue the glass is a quarter full or 3/4 empty. since june, there's no single missile launches or nuclear bomb test by the north koreans. that's a significant achievement. on the other hand, what they went in was calling for the

complete denuclearization of north korea and they haven't given up a single missile, a single nuclear weapon and haven't declared their inventory and have not let in inspectors. those are all the kinds of things that they were talking about in singapore. what will happen here? one of the concerns is that in his effort to try to achieve some progress, will the president give up too much. there's talking about declaring an end to the korean war, which there was an armistice but never ended in the 50s. the concern there, you'd say, what difference does it make? the concern is does the war ends, does that end the justification for having the 25,000 troops in north korea. that's a big issue. what will kim give up in return? remember, back before singapore, we were saying they have to give up everything before the u.s. does anything. now there is a feeling of she

-- reciprocal actions. that is a big difference. >> trace: experts say look, because we're continuing talks is a victory for both sides. >> yes. the flip side, you could argue, is by giving him, kim, this platform on the world stage that perhaps it is relieved sanctions, the pressure on sanctions. there's talk that china and russia are not complying with the sanctions regime as much as they were before. south korea is wanting to resume economic relations with north korea. so you know, he does get a benefit even from having the meeting. but having the talking is better than where we were before with little rocket man and talk about fire and fury. >> trace: speaking of china a lot of talk in the news conference about the trade deal with china. the president says it's going to happen. it could happen very soon. he hopes to meet with president xi at mar-a-largo sometime possibly next month. do you see this as a victory for

the president? if in fact he's talks happen and the president gets what he wants, mostly out of this, is this a victory for him? >> oh, this would be an astonishing victory if, and -- you have to put the f in there, two big caveats. first of all, that it's not just a question that there's been talk that the chinese would buy more soy beans and various products. but what the president has been talking about is changing the architecture of the relationship between the u.s. and china. things like forced technology transfer, you know, theft of intellectual property, that kind of thing. two things have to happen. first, both sides have to agree to it and secondly and you hear u.s. officials talk about this, there has to be an enforcement regime. saying this is not a bunch of nice words on paper but some way of enforcing this so the deals made between the u.s. officials and chinese officials including vice premier who is there in the oval us a right now with the

president that it's actually when the rubber hits the road, it's enforced and both sides have to live up to that agreement. if they were to achieve that with all of the theft of intellectual property, the transfer, the closed markets, that would be an enormous victory for the president. again, if. >> trace: yeah. it is a big if. chris wallace, "fox news sunday." i'm going to let you tease your own show. you have mike pompeo coming up to talk about this upcoming summit. >> yes. mike pompeo who will be at the table with kim and president trump on wednesday in hanoi will be live at our table here on "fox news sunday," sunday morning, to preview the summit. we'll talk about the humanitarian crisis and this deadline in venezuela and the president's change of mind allowing 200 troops to stay in syria. we're also going to be talking to tom perez, the chairman of

the democratic national committee. a lot to talk to him about as the president was discussing the democrats in the house are trying to block the emergency declaration of the wall. also, what seems to be a move, considerable move, to the left by the 2020 presidential candidates on issues like the green new deal and, you know, all sorts of issues. medicare for all, free college tuition, taxes on the wealthy. we'll talk about that that with tom perez. >> trace: chris wallace, thank you. >> always a pleasure. >> coming up on the other side of the break, more on this breaking news that the doj, the mueller probe, will not be released next week.

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katherine? >> thank you, trace. the other thing i would add that is important for folks at home is that we were also told by department officials that the attorney general, william barr, has not received the mueller report at this point. just to lay out some basic parameters of what we're expecting. the mueller report, once delivered to the attorney general, under the regulations, is consideration a confidential document. so for the eyes only of the attorney general. mr. barr will make a decision how much is released publicly at a later date and how much is furnished to congress. i want to emphasize what would go to the public or to congress would be attorney general barr's summary of the findings, not the raw data or evidence from the mueller findings. the other thing i would add is that what we've seen in recent weeks, the justice department and the special counsel have not been tone deaf to reporting on

this subject. there's been frenzied reporting in the last few days that this delivery of the report was imminent. we've been reporting at fox news we believe the investigation based on our contacts is in the end game, if you will, trace. >> trace: i want to go back, if you can, catherine to the rules that william barr says he will follow. he says he will release as much of this as legally allowed to. a lot of the stuff in there, people not indicted or charged, he does not plan to release those names is. that a fair assessment? >> it is. much of what we know about attorney general barr's approach to the mueller report was given during his confirmation hearing and he said based on the regulations as he understands, it's a confidential report. he will review that report and draft a summary of the findings and make a decision how much is public and how much goes to congress. for some context here, the key issue is how much information

will be released against individuals for which there was a judgment by the special counsel, but there was not sufficient evidence to bring criminal charges against them. the reason i emphasize that, the primary criticism of the former fbi director prior to the 2016 election is that in july he stated publicly a lot of the evidence that was against hillary clinton, the mishandling of classified information and then a case was never brought and that's just not how it's supposed to work in our system. mr. comey was faulted by the inspector general for taking those actions. so not to look for a repeat with the mueller report in this instance. >> trace: on the the flip side of this, you already have democrats saying if this report is not released publicly that they may try to subpoena the report. >> right. i think that it would be right to anticipate that there will be healthy litigation over getting the raw findings of the mueller

report and it may have to go through the court system. i'm not sure how high but the court system to reach an adjudication on that. what i would emphasis is one of the primary complaints in 2016 was that the fbi director released raw information that they deemed not sufficient to pursue a criminal prosecution. the way our system works is you indict or you remain silent. >> trace: catherine, i want your take on this. it does not mean the mueller report is not coming soon. we're saying it's not coming next week because of the summit in vietnam with kim jong-un. what is your sense on this? >> i don't want to speculate. but i think common sense tells you that it's such a major event when it's completed and furnished to the attorney general that it would seem tone deaf to make that move while the president is outside of the country. there's been a real drum beat in the reporting that it might be

as early as today or monday. but the justice department officials have now effectively ruled that out again. here at fox news, we've reported based on our context that all the indicators are that the special counsel was effectively in the end game, trace. >> trace: the end game is coming. catherine herridge, good of you as always. thanks so much, a lot of breaking news. again, to recap what katherine was saying, the senior doj official has told fox news that any reporting the special counsel will give their report, deliver their report to the doj next week is not going to happen. next week in vietnam is the summit. round two of the summit between president trump and kim jong-un. that will happen in vietnam next week. we had breaking news about r. kelly. remember, he's now been indicted on ten counts of aggravated sexual assault. that could bring a 30 to 70-year prison term for him. much more breaking news on that.

by the way, on the dow, the corner of wall and broad, you talk about a winning streak? i guess the longest winning streak in 24 years. the longest weekly winning streak in 24 years. when news break out, we'll break in. i'm trace gallagher. neil is next. >> speaking for the united states, i would say it's probably more likely that a deal does happen. >> neil: that clinched it big time. making it nine straight weeks of advances of the dow jones industrials. something that we have not seen in close to a quarter of a century. other averages jumping as well, a good friday, a good week, a good market. i'm neil cavuto. president trump and china's president now appear much more optimistic that a deal could be struck as trade talks are extended another couple days. we're all over it with kevin corke at the white house where the president just met with china's top trade negotiator and vice premier. ashley webster and how the markets are reacting. let's say