The United States mexico canada trade agreement. Trumps comments pouring cold water on the market. The dow is off its high of 257 points to the upside. Its now trading to the upside by 215. Now the broader market, the s p 500 did hit an alltime intraday record high at the beginning of the session. Now its about 50 points from that, at 2949, a gain of 23 points. Nasdaq above 8,000, up 48 points. Oil, huge story today. Surging on worries about the situation in the gulf. We have seen the biggest percent gain of the year. The u. S. Chamber of commerce looking at Economic Optimism on main street. We are live in beijing, china exploring the challenge of china and charlie breaks it on the potential boost that the tmobile sprint deal might be getting. We are less than an hour to the closing bell. Im Lauren Simonetti in for liz claman. Lets start the countdown. Lauren breaking news. Walmart agreeing to pay 282 million to settle a bribery investigation. The department of justice and the securities and Exchange Commission were investigating payments the retailer made to government officials in brazil and mexico. This is one of the biggest investigations ever under the foreign corrupt practices act which makes it illegal for u. S. Companies to bribe foreign officials. Walmart shares up 38 cents. It was a day of highs and lows on wall street. Never negative, but nonetheless, high and higher all day. Pretty choppy session. The s p 500 did touch a record intraday high. That level of 2956, its a level were watching on signs of a potential fed rate cut happening in july. We then started to drop after the president indicated some kind of u. S. Response to iran and its provocation in the persian gulf. The s p needs to close up, this is the exact number of points, watch it closely, 19. 37 points for that record close. Overall, though, as you can see, markets firmly in the green, gaining between half and threequarters of 1 . Lets show you the price of oil. It closed up more than 5 , the biggest gain since december 26, 2018 and touching a threeweek high. Tense situation in the middle east, plus a weak dollar helped push up the price of crude oil, 57. 14. Some energy names benefiting from this. 4 gains for halliburton and sl schlumberger. Ticker symbol wrk soaring in its debut. It opened at 38. 50 and is off the highs, with a gain of 55 in its debut day. What is a direct listing . It saves slack money in fees, allows shareholders to sell their stock without all the restrictions you see in a traditional ipo. Slack is a workplace messaging and communication platform. Still unprofitable, i remind you, but it gets a valuation of around 23 billion. Well see if airbnb or any of these other unicorns pursue direct listings as well. President trump kind of spoiled the market parade today. He tweeted at 11 15 a. M. In response to irans shooting down a u. S. Drone, quote, iran made a very big mistake and markets dipping again later in the day when President Trump answered a question about whether the u. S. Would retaliate. Listen. Iran made a big mistake. This drone was in international waters, clearly. We have it all documented. Obviously you know were not going to be talking too much about it. Youre going to find out. They made a very big mistake. Lauren irans revolutionary guard claiming the drone was in iranian air space while the u. S. Insists no, it was international skies. Revolutionary guard commander saying quote, borders were irans red line and any enemy that violates the borders will be annihilated. Tough talk. Here to weigh in, Jonathan Schanzer of the foundation for defense of democracy and chris wright, chairman and ceo of Liberty Oil Field services. Gentlemen, thank you for joining us. Pleasure. Lauren jonathan, i want to begin with you. What is the u. S. Red line in all of this . Is that getting a nuclear bomb by iran . Thats one of the red lines in the Trump Administration has made that very clear. But also, the Trump Administration has announced that if one American Life is lost as a result of iranian aggression, that this would also be a red line for the United States and that would be a trigger for conflict. Right now, though, i think the iranians are playing very closely to that line. They have obviously destroyed a very expensive piece of American Military equipment, 123 million that drone is valued at, so that was not a benign strike. This was something that is clearly displeased our military and president and they are weighing their options. Lauren how do you respond is the question. Chris, let me bring you in. The oil market certainly responding. Biggest gain of the year today for west texas crude. However, we have much of our oil right here in the u. S. We are energy independent. So i guess im asking you to explain why Oil Prices Rose so much today when we dont necessarily need middle east oil. Good point, lauren. Of course, still a large part of the worlds oil, not the United Statess oil, but the worlds oil comes out of the persian gulf region. What i thinks dramatic about this whole thing, what this episode illustrates, is the gamechanging impact of the american shale revolution. Its unimaginable in the last 40 years since the iranian revolution that we would have a u. S. Policy to stop the export of iranian oil. Today, thats possible. We get a 5 bump with the flash point in the middle east. So yes, theres a little geopolitical risk there in the price of oil, but relatively modest. Lauren we were just showing all the countries and their world oil contribution. Iran isnt even on the list. Its just 2 . But that brings us, chris, followup for you, to Natural Gas Prices, down sharply today. Is that because with fracking here in the u. S. , really very much less dependent on foreign oil . Yeah, absolutely. U. S. Natural Gas Production is nearly doubled, u. S. Oil production has more than doubled. I think Natural Gas Prices are in today from storage report today, just extremely high production of u. S. Natural gas. Lauren jonathan, i want to play you a sound bite from the president , and i want to ask you on the other side of it if you think this is a savvy Foreign Policy move by the president trying to downplay the tensions. Take a listen. I have a feeling, i may be wrong and i may be right but im right a lot, i have a feeling that it was a mistake made by somebody that shouldnt have been doing what they did. I dont know. I find it hard to believe it was intentional, if you want to know the truth. I think that it could have been somebody who was loose and stupid that did it. Lauren jonathan, the possibility of this being a mistake . Look, its hard to believe that it was a mistake. I think its interesting to note that the president is taking his time, i think hes trying to be deliberate, not rushing to conflict with iran contrary to what i think a lot of people have said about him or about john bolton or about mike pompeo. This is not an administration thats rushing to war. But remember here that the iranians have been responsible for mayhem across the middle east, whether its sponsoring terrorist groups like hezbollah and hamas or attacking american troops in iraq and afghanistan. Thats more than 600 americans killed by iranians over the last decade or two. The iranians are very deliberate in their use of violence. We have to remember that. I dont think we should be giving them a free pass but i dont think theres anything wrong with taking a beat and being very deliberate about how we respond to iran next. Lauren what is the appropriate u. S. Response, jonathan . To irans provocation . Even if it was a mistake. The appropriate response. Theres a lot of room between complete inaction and a fullscale invasion like what we did in iraq in 2003. We could be looking at covert actions. We could be striking iranian assets in places like syria. Lauren what about their oil fields, taking them out . I think thats probably a mistake and thats a serious escalation but there are ways of doing this with some deniability. Covert action probably being the most obvious where we can privately claim credit but not publicly rub their noses in it but let them know in no Uncertain Terms that we are not going to allow for further escalation. This has to be the way that the administration probably is looking at it at this moment. Lauren jonathan, chris, thank you. Thank you. Lauren all of this obviously affecting the market. Oil surged to the highest level since december 26. Gold, hot on oils heels, popping 3. 6 today, settling at its highest level since september, 2013. Big names in gold mining moving higher. We will show them to you. They are all up. So as gold grinds higher, the tenyear treasury yield goes down, falling below 2 , its at 2 even right now but did fall to 1. 98 earlier. First move under 2 since right after the election in 2016. A dovish fed plus rising tensions in iran, in the middle east, have boosted demand for gold as well as treasuries. Will this trend continue . Where else can investors find value . In anticipation of rate cuts and potential conflicts. Lets get right to the floor show. We start with Stephen Guilfoyle at the New York Stock Exchange. Is this risk of potentially miscalculating a single move with iran and heading to a potential war, is that being considered by the markets right now which did hit record highs earlier . I think you have to be aware of everything. The g20 next week for certain but with iran, you have to have a certain level of exposure to all the defense contractors, the aerospace names, the tech names, the cybersecurity names. I think thats very important. And you just mentioned gold. You have to remember when you look at gold that its not so much gold by itself, its gold versus the dollar. Dollars down half a buck today versus the whole basket, mostly the euro but versus the whole basket. I think you have to understand that while gold is breaking out, and i think you need some exposure there, i like to go with 5 to physical gold, for folks at home, you can manipulate that through gld and futures markets to another 2. 5 to 5 , but i recommend 7. 5 exposure to gold. I can go on and on but lets get the other guys in. Lauren lets bring in ira. Gold and oil are commodities. Obviously they are up in a big way. The fed isnt so worried about inflation because they dont see it, but now are they starting to see this . Does this change the playbook come next month, july 31st, next meeting . It could. Thats what goldman and other companies think. But then it might not if the g20 goes well. So what gold is looking at is a change of monetary policy. Thats exactly what its reacting to. The fed has come out and laid all the groundwork, whether its july, september, whenever they are going to make a cut, that the economy is weakening and the weakening economy is driving people to safe havens. Watch the tenyear. You might go down to 1. 75 . That could put gold up to 1450. Lauren phil, oil. Obviously reacting to the tensions in iran. If you take the geopolitics out of this and price oil based on how the market works, supply and demand, where do you see the real price of oil . It should have been higher. Listen, when the Federal Reserve is in a cutting Interest Rate mode, it increases demand, its good for businesses. We saw very Strong Demand in the u. S. , record gasoline demand. You know, at the same time, you cant underestimate the potential impact of whats going on in the persian gulf. People have to remember that oils a fungible commodity. Even though we have a lot of supply here in the United States, if theres a disruption elsewhere, you are going to feel it all over the globe. Even if we have a lot of supply here in the United States, you also have to look at the crude quality. Even though imports from opec to the United States are at the lowest level in 30 years, we still need oil from other places because of the differences in crude quality. So this is very serious right now and probably, you know, i dont think we can down play this situation. I think the markets acting appropriately. Lauren phil, ira, stephen, thank you. As we talk about markets hitting highs, nasdaq up 8,000, lets talk about oracle. The closing bell does ring in just about 45 minutes. Oracle, among the s p 500 leaders today. Shares going way up, hitting a new alltime high after growth in oracles Cloud Business lifted earnings and revenue in the latest quarter. At least eight brokerages raising their price targets on the stock in reaction to the good news. Shares are up 8. 5 . A fire sale for the usmca. Canadas Prime Minister Justin Trudeau making the rounds in washington. What hes saying right now to leaders on both sides of the aisle to lock up their support for this new north American Free trade agreement. The new nafta, usmca. Countdown will be right back. Introducing the first of its kind lexus ux and ux f sport, also available in hybrid allwheel drive. Lease the 2019 ux 200 for 329 month for 36 months. Experience amazing at your lexus dealer. Were on the move. Hey rick, all good . Oh yeah, were good. Were good. Terminix. Defenders of home. Youre smart,eat you already knew that. But its also great for finding the perfect used car. Youll see what a fair price is and you can connect with a truecar certified dealer. Now youre even smarter. This is truecar. But allstate helps you. With drivewise. Feedback that helps you drive safer. And that can lower your cost now that you know the truth. Are you in good hands . At comcast, we didnt build the nations largest gigspeed network just to make businesses run faster. We built it to help them go beyond. Because beyond risk. Welcome to the neighborhood, guys. There is reward. Beyond work and life. Who else could he be . There is the moment. Beyond technology. There is human ingenuity. Every day, comcast business is helping businesses go beyond the expected, to do the extraordinary. Take your business beyond. Lauren breaking news. Canadian Prime Minister Justin Trudeau arriving at the Canadian Embassy in washington, d. C. Just moments ago ahead of his press conference thats scheduled for the top of the next hour. Hes expected to give an update on his visit to washington to sell approval of the usmca. He spent his day all around the Nations Capital meeting with President Trump as well as House Speaker nancy pelosi. Edward lawrence is outside the embassy right now. Was today a positive for the future of this trade deal . Are they hopeful or are they confident and of course, the Canadian Parliament adjourns for the summer pretty soon. Reporter theres a lot of pressure now, more pressure added on the u. S. Congress to ratify Something Like this. President donald trump believes this is a good enough agreement, that it will help all three countries to rise up and compete globally around the world with trade. The Prime Minister of canada, Justin Trudeau, believes this is good enough for the u. S. Congress to ratify this agreement. He made that pitch directly to House Speaker nancy pelosi, saying that this agreement would create jobs and add the middle class or grow to the middle class. President donald trump believes the House Speaker will eventually come around. Its something thats very popular. I hope politically they can do what they have to do. Now, a day after the election it would win tremendous support but we have an election coming up. But i think nancy pelosi will do the right thing. Reporter this is personal for the prime min str ister of cana. He has an election coming up in about four months and wants to be able to show voters he can bring this agreement to its conclusion. Their house of common has already introduced the bill. The next move is a second reading, then a debate in their house of commons. Mexico ratified the snai yesterd usmca yesterday. They want to really Push Congress to really get this done. We are shooting for summer. Ambassador lighthizer has done a fantastic job on this, working very closely on both sides of the aisle on capitol hill. What weve got to do is get implementing language to the house soon. Reporter and the u. S. Trade representative says this would be a catastrophe if the usmca was not passed, ratified in congress here. Now, he hopes to make headway with a working group that the House Speaker has named to try and work out minor changes to the agreement here. Still no word, though, on when the House Speaker will bring the ratification up for a vote. Back to you. Lauren edward lawrence, thank you very much. Got to get you guys breaking news. U. S. Bank housing chairwoman Maxine Waters says the government should consider forcing facebook to halt work on its crypto currency project libra. Many concerns on both sides of the aisle about that. Thats Maxine Waters. Facebook shares nonetheless up 1. 50. To the big board. You can see the dow off session highs but very close, about 30 points away, gaining 227. Waymo already went on the road with liz claman in arizona. Now heading to france and japan. Alphabets selfdriving giant inking a deal with renault and its japanese partner nissan to Bring Autonomous Technology services to their cars and trucks. The two countries hope to expand and come to other markets, including china. Lets take a look at shares of both companies. Alphabet trading to the upside half a percent. Ditto for nissan. China is where we find connell mcshane. Hes taken to the streets to find out what people behind the wall are really saying about the u. S. china trade war. How is it being received there . Countdown will be right back. Did you know that nationwide has customized Small Business insurance . Huhuh. Maybe thats a song. Yeah, maybe. peyton did you know nationwide is americas 1 provider of pet insurance, farms, and ranches . Now thats a song. Yeah, maybe. Oh, thats gold right there. Did you know that nationwide has an interactive retirement planner . music stops are we there yet . nationwide jingle while managing your type 2 diabetes why think about your heart . Because with my type 2 diabetes, im more likely to have a fatal heart attack or stroke. Lower a1c helps, but type 2 diabetes still increases my risk of a fatal cardiovascular event. Because type 2 diabetes is more than a1c. 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While my a1c is important, theres so much more to think about. Ask your doctor about jardiance today. Theres so much more to think about. This is something bigger. [ movin on up by primal scream ] that is big. Not as big as that. Sure thats big. Thats bigger. Big. Bigger. Big. Bigger. Big. But thats bigger. Wow, big. So much bigger. This is big. But thats. Well, you got this. Lauren the trade war with china taking a bite out of apple. The Company Warning about a major impact from team trumps plan to slap 300 billion of new tariffs on the worlds second largest economy. Apple in a letter to the u. S. Trade rep says additional tariffs will cripple its contribution to the u. S. Economy and impair its ability to compete globally. The proposed tariffs would Impact Products like the iphone, ipad and mac. Apple shares still higher today, 199. 47, a gain of 1. 60. I do want to point out, Deutsche Bank giving apple a hold rating today. Apple worried about this trade war. How about those who actually live in china . Connell mcshane live in beijing. Connell, you were out and about, you were exploring the streets. What does the public, what do the chinese have to say about the trade war . Connell well, they are really engaged in it which i found interesting. They really know whats going on. They have been following it since the beginning, obviously have an interest in how the whole thing plays out. I know that just about everybody we spoke to told us that they are looking forward to, for the most part, theyre hopeful and hoping something comes out of it, but definitely looking forward to the g20 meeting next week in japan and the sideline gettogether President Trump and president xi are expected to have there. Take a listen. Well, actually, we really focus a better outcome compared to the last one. We all know that [ inaudible ] trade war, actually. [ inaudible ]. Connell we spoke mostly to young people and in that case, a young person who is part of the Technology Industry but also Young College students and we did find a theme there, with people worried about the future if the tensions remain over a long period of time. Many of them want to come to the United States, either they have already been to the u. S. And they want to go back or they want to go for the first time to study and are worried about getting a visa lined up if there are tensions between the two countries. Just a quick final point, you brought up apple. We talked to a lot of people about apple here. We found for the most part, people really love apple products and many of them still use iphones or other products, and for those who dont, i would ask them why are you using say a huawei phone, for example, and most of those people said its because its cheaper than apple and its not necessarily because of some National Backlash or nationalist backlash, i should say, or anything like that. But at the end of the day, apple, whatever the reason is, does have issues here in china. They have the growing competition i mentioned and they have these reports now that because of the trade war, the companys thinking about moving about a third of its iphone manufacturing outside of this country. So issues for china. Not necessarily with the people, but issues nonetheless. Back to you. Lauren thats interesting. Connell mcshane, thank you very much. Of course, much more on the challenge of china because thats what it is, at the top of the 4 00 hour. Connell mcshanes next report comes on his show after the bell. Lets take a look at the markets overall. Really nice day today, despite the iran tensions, hope that the fed does cut rates, by how much if they do cut at the end of july, helping send the dow up. 9 . S p at a record high earlier, 2952. So just four points away from a record high right now. The nasdaq trading at 8045. Coming up, a new report showing main street business feeling pretty optimistic about the economy, but there is one thing that could potentially turn the tide for them. The u. S. Chamber of commerce chief policy officer is here exclusively. Hes going to walk us through the latest numbers. Listen to liz clamans latest podcast with the oprah of china. To do that, go to apple or google podcasts or fox news podcasts. Com to hear everyone talks to liz claman. Guess what . I havent officially invited her yet but liz claman will talk to me on my podcast today. I didnt even ask for that promo. How nice. 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Beyond work and life. Who else could he be . There is the moment. Beyond technology. There is human ingenuity. Every day, comcast business is helping businesses go beyond the expected, to do the extraordinary. Take your business beyond. But how do i know if im im getting a good deal . I tell truecar my zip and which car i want and truecar shows the range of prices people in my area actually paid for the same car so i know if im getting a great price. This is how car buying was always meant to be. This is truecar. I swibecause they let metual, customize my insurance. And as a fitness junkie, i customize everything, like my bike, and my calves. Liberty mutual customizes your car insurance, so you only pay for what you need. Liberty. Liberty. Liberty. Liberty. Lauren nearly 70 of Small Business owners have a positive outlook about their companies as well as the economic environment here in the u. S. , according to a new report by the chamber of commerce. But the specter of tariffs and a long term protracted trade war with china are the biggest threats to this main street optimism. We bring in the chief policy officer at the u. S. Chamber of commerce, neil bradley. Thank you for coming on. Thanks for having me. Lauren it amazes me in some sense that Small Businesses remain optimistic. Why is that . Well, they are. Theyre looking at their own bottom lines and looking first in their local neighborhoods where they operate, then at the National Economy and they are seeing good things. Our metlife u. S. Chamber index rebounded in the Second Quarter, 59 of Small Businesses say the u. S. Economy is healthy. So they have a good outlook for both the nation and the communities in which they operate. Lauren are they investing in themselves, though . Well, thats a little area of concern. Only about onequarter of the install businesses that we survey said they plan to make new investments over the next year. One of the things thats driving that concern and that hesitancy in investment is the threat of tariffs. A lot of these Small Businesses import from abroad. There are nearly 60,000 Small Businesses with fewer than 50 employees who import goods directly from china. Talking about the local pet store who imports Specialty Products for our dogs, for example. They are really worried about their margins if these tariffs continue to go up. Lauren thats thing the inthin. We were talking about a major multinational apple thinking about how it can move its supply chain out of china say to southeast asia, but when you look at a mom and pop or Small Business, they cant move a supply chain. Yeah. If you have 20 employees and you are that pet store i was talking about, you dont really have a lot of options. You cant move your supplier outside of china. You dont have a lot of margins to deal with those tariffs. We were crunching the numbers earlier. 25 tariffs, the hit on businesses with fewer than 50 employees is nearly 17 billion. So that will take the positive outlook that we saw in the Second Quarter across Small Businesses and we are worried that it could turn it negative. Lauren the Second Quarter is about to come to an end. When do you see this fear really start to show up in the overall numbers . Well, its showing up now in terms of their hesitation to invest and thats certainly clear. In terms of their outlook, i think we will see it once these tariffs really begin to take hold. Then i think we will see a dampening in terms of revenue expectations. Once that happens, its going to bleed into their overall outlook of the health of the economy. Lauren where would you define the economy right now . You said its very strong but are we on like the knifes edge of a long slowdown, sharp slowdown, maybe even a recession . Well, growth is certainly decelerating, so we went through a decade of sub3 growth, something thats never happened in the United States before. We were getting robust growth last year, it was really a cushion that could absorb policy mistakes. Now we still have growth but by all measures its decelerating across industries. When that begins to happen we are on that knifes edge that you talk about where a policy mistake or two, things like a trade war, tariffs, could push us over the edge. Were not anticipating that yet, but thats what we are concerned about. Lauren have you shared your concern with the white house . We have. We talked to the white house and the administration constantly about what we are seeing in the economy and what things we think would help. Frankly, theres a lot of things that this administration has done that has helped in terms of deregulation and tax reform, and things that we think would hurt like additional tariffs. Lauren we will see, because President Trump and president xi meet in just a few days from now at the g20. You also had another report out about the Construction Industry and contractors. Whats the uptake on that . Very similar. They have a generally positive outlook. They have concerns about tariffs, too. Contractors import a lot of things, think about the fixtures in your home or in an Office Building that they import and they are seeing their costs rise. They are also experiencing a tremendous work force shortage. A large number of contractors are telling us and showing in our survey that they actually are turning down work because they dont have the workers necessary to complete the job. Thats why we need to be thinking about things like immigration and skills training to really help keep our economy growing. Lauren got it. Neil bradley, thank you for coming on. Thanks for having me. Lauren lets get to some breaking news. We want to draw your attention to a situation that is right now happening in the capital city in the country of georgia. Look at this. Thousands of georgians gathering outside of the Parliament Building to protest against a speech that was made by a russian lawmaker. The protesters are chanting slogans against russian president vladimir putin. We saw dozens of protesters break through police lines to try to storm that Parliament Building that you are looking at. We will keep an eye on this developing situation. Another source of geopolitics but still, as we check the big board, the dow is climbing 242 points, oh, so close to record territory. The s p 500 at 2952 is in record territory. Tmobile is preparing for a hail mary on the sale of its boost mobile brand as it looks to get its merger with sprint safely into the end zone. Up next, Charlie Gasparino literally running to the set. New information on what the doj is saying about the 26 billion decision in its hands right now. Charlie breaks it coming up. Watch me and Cheryl Casone every morning at 5 00 a. M. Right here on fox business network. Countdown will be right back. Why go with anybody else . We know their rates are good, we know that theyre always going to take care of us. It was an instant savings and i should have changed a long time ago. Were the tenneys and were usaa members for life. Call usaa to start saving on insurance today. Lauren investors are confident that the Federal Reserve cuts rates and cuts them july 31st. Lets see what happens. But right now, take a look at this. The Dow Jones Industrial average is gaining 254 points, its at 26,758. That is not the high of the day. Very close to it. Also very close to the alltime high which is about 60 points shy right now. S p certainly at a record right now. The nasdaq is up 64 points at 8,051. This tmobile, readying a contingency plan to sell its boost brand in case talks with dish fail. The telecom leaving nothing to chance as it seeks a department of justice blessing on its 26 billion tieup with sprint. 14 months since announcing the deal, Charlie Gasparino has been in front of all this from the very beginning. Tomorrows a key day for two reasons. Lauren the announcement . Let me get to that. The first is that the state ags that sued to block the merger, they will have some sort of preliminary hearing. The company officials, Company Lawyers will be there at the u. S. District court in manhattan tomorrow around 10 00 a. M. We might get some news out of that. You know, its generally, this is preliminary but preliminary hearing, but you might hear both sides say why did you drop it and heres why you might get some news out of it. What we understand, the deal itself is progressing, imminent decision by the doj. I hasten to say approval, from what im hearing it is they have a basic framework for approval. The doj i guess you could say is likely to approve it. We hear that that approval could come as early as tomorrow. You see the stock is moving on my tweet on this. I will just say this. If talks dont break down, you are going to see an approval of this deal with concessions either tomorrow or the next coming days. Thats essentially what we are getting out of our sources that are close to this. Heres what we also understand which is kind of interesting. Doj is crafting some sort of statement here. I think they want to handle the p. R. Rollout of this by basically saying listen, if we allow this to happen, heres why it is proconsumer. Here are the concessions, the selling of boost which was already baked in the cake. That was an fcc decision, they approved the deal based on them selling listen, everybody is saying Charlie Ergen or theres a lot of potential buyers out there. I dont have nailed whos going to buy it. Then theres spectrum which again, lot of people say dish chairman would buy it. I will say one thing about Charlie Ergen buying spectrum. He already owns a lot of spectrum that hes not using that hes in trouble with the fcc. So they will let him buy more . That just baffles me but we have to see how it plays out. What we understand is doj is basically looking to write a nuanced statement about why this is proconsumer, why the concessions including the spectrum and maybe another prepaid unit, tmobile has prepaid units as well. Those are companies essentially that are targeted to lower middle class people, you prepay for your Wireless Service as opposed to make it rolling and people that dont care about how much they are paying allow it to roll out. So thats where we are. The other thing we understand is doj might not require the presale of this spectrum or these units as approval of the deal. They may just say this deal is contingent on selling it. Our approval, that we wont sue. The approval essentially is agreeing not to sue just so you know. Doj, if they dont approve it, will agree to join the state ags in suing or sue on their own. But suit, lawsuit, is how they say no to this thing. Heres what we understand. Its coming down the pike. It could happen tomorrow, could happen monday, could happen tuesday. I keep hearing its a possibility tomorrow. One way to stick it to the state ags if you are going to approve it, essentially approving the deal right before their 10 00 a. M. Press conference, so be aware thats always a possibility. Excuse me, before the 10 00 a. M. Hearing. But you know, i will say this again. I cant tell you this is definitely going to be approved. Parties on mergers have walked away at the last minute. I know people that were offered ceo jobs, larry fink was offered the ceo job essentially at Merrill Lynch and they pulled it from him back in the day. Larry fink runs blackrock. Im just telling you, things change, okay. I can just tell you that theres the broad outlines of a deal. They are progressing towards approval. If they dont walk away, it could be imminent and its going to be a very interesting 26 billion deal, its big but even more than that, this has National Security implications. The Trump Administration wants this because they want advancement of 5g, which has National Security implications over the chinese, and they also want more wireless coverage in rural areas. So this is a big deal for a lot of reasons. Its a landmark deal. Lauren we could get news overnight. By the way, i would just say before 10 00 a. M. , watch it. See if they sneak it in just to screw the state ag of new york and the other state ags. Lauren charlie, thank you. Got to get in some breaking news. Biopharmaceutical company retrofin and Martin Shkreli have reached a settlement, weeks after shkreli sued the companys directors from prison. Very crafty in prison, i have to say. This according to a spokesperson. No details on this financial settlement. Now you know. Picking up the slack. The workplace messaging unicorn sparkling on its first day of trade. Gerri willis tracks all the action live from the New York Stock Exchange, coming up. Experience the style, craftsmanship and technology that have made the rx the leading luxury suv of all time. Lease the 2019 rx 350 for 399 month for 36 months. Experience amazing at your lexus dealer. It all started under this buttonwood tree. Twentyfour people came together to sign an agreement that created the stock exchange. Just the right elements coming together. It started when scores more people came together, just down the street and traded bonds that helped pay for the revolution, and the nation it created. It started in an office on the corner where the right people witnessed the telegraph and brought information and humanity together forever. It started with the markets, bringing together steel and buildings and silicon and medicine and rockets. We believe the possibilities of life and investing are greater when we come together. Its why for eighty years weve connected ideas with technology, data with inspiration, investors with solutions. So that every day together, it all starts again. Or trips to mars. 4. 95. Delivery drones or the latest phones. 4. 95. No matter what you trade, at fidelity its just 4. 95 per online u. S. Equity trade. Morning breaking news, canadian Prime Minister Justin Trudeau will hold a News Conference at Canadian Embassy. Youre looking at Canadian Embassy in washington, d. C. Five minutes from the closings bell on wall street. Moments away from the s p officially closing at new record high. It would be the fifth record for the year. The dow jones is awfully close. Slack is right now trading over 50 to the upside. Lets look how the company which direct listed on the New York Stock Exchange has fared compared to, well, its peers which went public. Other unicorns, unprofitable unicorns. Gerri willis is live on the New York Stock Exchange covering all of this. Gerri . Reporter slack, the email keller, we expected a valuation of 15 billion. We got 26 billion. The company did well with a direct listing. What does it mean . Essentially no investment banker is standing in the background standing behind the stock. It went very well indeed. Pictures of the open is right here. Compare that to firstday performances by other companies in the category or just bigtime ipos. Cloud strike. Doom video which is in the Enterprise Software arena up 72 . That bodes well for slacks performance. That can category does so well. Uber, the ridehailing app fell 7. 6 in part because it was lousy day for stocks. It helped slack that the market was on fire. S p was setting a record. The dow finishing up 284 point right here. The only other direct listing we really have experience with here is spotify. It is first day trading 12. 89 higher. Very good performance indeed. I got to tell you a lot of people happy down here what happened with slack. This could become the next big thing. Lauren Investment Bankers are shaking in their boots. As gerry said the market gaining 285. Mark duval, nice day to come on. Hennessey Income Portfolio manager. You say high quality names amidst the high quality atmosphere. Names every investor need to own. What are they . Altria, apple. Think about hennessey income fund what were trying to do outperform over full cycles. With Downside Protection. Pillars of Downside Protection for us come from finding companies with sustainable competitive advantages and Balance Sheet strength that can weather any type of downturn. Lauren why is that altria . Because they have a presence in marijuana and ecig market . They bought 45 africa madian Cannabis Company kronos earlier in the year and 35 of juul. They are leading brand of marlboro for cigarettes. Leading brands for chewing tobacco and cigars. This company has a strong competitive advantage. Volume is not growing for cigarettes but Pricing Power is there. 40 operating margins overall. 8 billion in operating cash flow and 6 dividend yield. Lauren what about apple. This is successful company, a successful brand but there is concern they dont have a new hit product and they wont until successful rollout of the 5g phone. Innovation is key to apple. We recognize that. The benefit in the near term they have 120 billion in net cash on Balance Sheet. Lauren that is it . They generate 5 billion in cash flow every year. They need innovation needs to continue. That is our implicit venture in the stock, that r d is well. Iphone is long in the tooth. Iphone x we dont expect to drive it for the next five to 10 years. We think the r d culture will thrive. Lauren there is the elephant in the room called china. China has been weak for apple. Lauren can they move their supply chains . They say they can move a good chunk to southeast asia, other companies. Are you confident . Theyre open to it. I think they will work hard to do so. Hopefully we will come to a better trade agreement with china between trump and chinese leaders. Well see how that plays out. Meantime apple will work hard to diversify. Lauren 15 seconds. The market is at record highs right now, just surging today. Are you surprised by this reaction . I am surprised. I think market is expensive, not egregiously overvalued. People are focused on fed and hope for lower rates. [closing bell rings] lauren hope for a rate cut, by how many basis point is the question. Mark duval, thank you very much. After the bell starts right now. Melissa situation room meeting at the white house right now. The Trump Administration considering its response after iran shot down a u. S. Drone over international territory. Any moment now Justin Trudeau will speak to reporters following his oneonone with President Trump earlier today. We will bring you the comment from the canadian Prime Minister just as soon as they happen. The dow right now, great day, closing at 249 points, near session highs. About 50 point away from record territory. Amid hopes for a rate cut from the Federal Reserve. The s p 500 closing at new alltime high. Fifth record close this year. Nasdaq endn
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