, a few other subjects, stock market did very well, whatever was up, almost 350 point, we have david bahnsenhe bahnsen group, author of, there is no free lunch. antoni, e.j. antoni, public economy. at heritage foundation, welcome. ej, what is he talking about? what did we climb out of? we climbed out of a six 1/2% growth rate in first quarter of 2021, 1 1/2 or less inflation rate. he proceeded to decimate high inflation. that is coming back down, although maybe the wrong direction. maybe, i'm just saying what is he talking about? who is benefiting. >> larry, your guess is as good as mine. who is benefiting? the donor class, no one else. amazing this president who says he is for the little guy, that he doesn't want to raise taxes on those earning less than $400,000 a year, about building, what is it middle out, bottom up. larry: biddle out, bottom up. middle is going down and bottom is going down. >> as a matter of fact, lowest two quartile of earners are doing terrible. their wages have fallen under this president. larry: david bahnsen, do you have anything to add to that or disagreement? i

meta, alphabet, microsoft, amazon all on the downside, let me get back to apple, david bahnsen is witht you make of apple. you would not buy it. >> not unless they were paid a real dividend than they do $120 billion in profit a year and they're not giving the back to shareholders is a massive $300 trillion market cap company in your conversation what i was thinking why is the stock not moving higher with exciting things in the product because it's trading 30 times earnings, 30 times is already up 40% or 45% year to date it is so fully priced in and the india growth argument is so odd to me the average salary in india is a u.s. dollars $350 a month are they going to spend four months salary on an iphone and the high earners already have iphones so the price points will have to come down if they could get the expansion into market that india. >> that's why markets are 179. tesla added $80 billion to its market cap yesterday after morgan stanley said it was an a.i. play those are magic words, you don't own tesla. >> it is up 122% year to date it is trading 78 times earnings one thing i wa

david bahnsen is with us, and he's going to stay with us for a while on the show. tion about yesterday's market, david. why did markets seem to sort of yawn even though we had that huge jump in rates? >> yeah, it's important to point out that markets had been going down in concert with rates moving higher all of last week, and so i think it was just sort of -- david: it was a big pop. it was a big pop yesterday. >> yeah, but it was the really big last thursday. david: that's true. >> the 10-year moved up 15 basis points thursday, and the dow was down over 300 points. and so i just think a lot of that correlation was absorbed into market action yesterday. and even with the big pop yesterday on the long end of the curve, the dow was only up 40 points. so it was sort of a bit of a pause. but the trend has still been a correlation between stocks and bonds. david: and what are we seeing today? the dow is down and futures over 200 points right now. why do you think investors are nervous? >> well, the number one thing i always have to say as to why the market is doing any

david bahnsen with me for the hour.ooking to, we think, we believe that china is looking to expand the ban on iphones. more than just government workers. apple's taking it on the chin. what do you make of that? >> i think that if the markets really thought that was happening, it'd the probably be a worse impact, but there's a fear there. the thing i want to point out is when valuations are this high, all it takes is a little bit of news, and you see stockses drop quite a bit. they're simply overpriced. stuart: down 3.7 all the way back to 176. are other businesses, american businesses that do business in china, are they threatened? >> well, i think on the margin they are. but a lot of it has to do with american pressure for certain companies to move their presence back to america. so it's on both sides is. the overall tension between u.s.-china economic relations is a big deal, and it isn't fully priced into market. stuart: china's really slowing down. i've got new numbers. exports down 8%, imports down 7. is that in an

david bahnsen is with me and will stay for the entire 9:00 o'clock hour. impact on stocks at all? >> if the features are totally flat and even ford and general motors are up or down 9 cents, they are barely moving and a lot of that stuff is priced in it will be a bigger impact in the law were to say on the whole story but as far as opening up stocks, no. >> i wouldn't talk about interest rates, they are rising and what is the impact of the market do think the fed will raise rates again. >> 0% chance they will raise rates, the futures market is at 100% chance, 100% of no rate hike, what's interesting 70% chance of no further hike at all so generally the fed is following the market, the markets are not following the fed, i'm very skeptical, the rates that you see higher this morning, they are not where they were, they are down a little bit, the tenure is near the high but the short end of the curve is down a little bit. stuart: the tenure well above 430 that means mortgage rates may be 70 to quarter percent,. >> there at seven and half now and the question a