You really look at policy and try to understand what policy tells us about the broader story, economy and investing today. Lets talk about one of the more important policies, and that is china. Yes. Maria we are waiting to see what happens with the two countries. We know that the u. S. Has these seven sins that they say china does, and i dont know if the president can do a deal if the chinese do not agree to stop stealing intellectual property, force transfer of technology, what do you see happening . I think something happened in the month of april, and i think they started to believe that trump was vulnerable in his reelection. And the china interference in this election is going to be far greater than anything russia did in 206. So what they do is they dont want to see the president get reelected. They think they can wait him out, and thats creating escalating trade tensions. The u. S. Has proposed tariffs going into effect on september 1st, now were seeing the chinese start to retaliate and create pressure on the economy. Maria so here we are, this is the weekend those tariffs are going to go in mace, 10 , so china comes back. Theyre going to tariff 75 billion of u. S. Goods between 510 . Heres what we were told, the trade director at the white house. Watch. I think the risk here for china when it does things hike this like this is galvanizes more support for the president. Look, were going to have negotiations. 75 billion worth of tariffs in terms of, what, the combined 30 trillion economy is not something for the stock market to worry about, and were cool here. Maria and yet the markets do react. So it is a drop in the bucket when you look at the size of the economy, but it is still significant, isnt it . Yeah. So, first, let me say that we did a wonderful tax cut in 208 and 2019. Were now at a point where the combined amount of tariffs for the u. S. And china are offsetting almost the entire tax cut for 2019. Maria wow. The markets ooh getting worried about the qume cumulatie impact of that, and its taking the u. S. From a 3 growth rate to a 2 growth rate. Markets are starting to worry if theres escalation, it could lead to larger economic problems down the road. Its why the president s really pressing on the Federal Reserve to act as sort of a cushion during this. But i would not start to say this is no big deal. Its impacting not only that first derivative, but the second derivative, and thats business confidence. And we need business to be confident to make investments. I believe that Peter Navarros right, the American Public support the president for what hes doing on china. Its bipartisan in nature. But that only works until job losses start happening. And if job losses start happening, youll begin to lose political support. Maria i understand the National Security risks around china. These are real, and the whole huawei situation where there are back doors in Huawei Telecom equipment going back to beijing, all your data goes back to beijing. So what if theres no deal between the u. S. And china . Yeah. And theres a real possibility were not going to do a deal before the 2020 election. For the market, youre going to be worried about can we deescalate. We dont want to sees calculation. Can we do an ag purchase allowing u. S. Tech companies to sell to huawei, not the telecommunications which are spying on us, but providing the technology they need for their cell phones. Thats something the president talked about possibly doing. Maybe markets would feel better. But if theres no deal, the white house has to be focused on what else they can do if theres no china trade deal. Do you get nafta passed in september . Were starting to think that theres some Building Momentum for nafta thats not priced into the market. Maria usmca. Yeah. And number two, can the president act on tax cuts . Hes got two avenues for that. Can he do indexing Capital Gains unilaterally, or does he try and do a deal with democrats on the payroll tax . Maria you want to see him do the indexing. I do. Investors dont want to unrealize their gains. If we index that Capital Gains basis to inflation, you are providing a tax cut that is twice the size of the 1997 or 2003 Capital Gains tax cut. It will unlock trillions of dollars of capital and get investment and really help with this situation. Of course, the media will say, oh, this is a tax cut for the rich, but its really about unlocking that capital, getting confidence back, making those investments which have been on the sidelines because of trade. Maria so when the Congress Comes back in the next couple of days, were basically going to be all in on 2020, and youve got the president s policies which are stimulating economic growth, then youve got the Democratic Candidates coming out with some other things that sure look like socialism. Is this election being set up capitalism versus socialism . Absolutely. And you see it with Bernie Sanders recent Green New Deal proposal that was just released. I mean, its 16 trillion, right . Maria its going to pay for itself. Hello . Im skeptical. [laughter] so, you know, i dont want to be, i dont want to be, you know, theyre not going to be able to pass all that, right . But youre really starting to see the president set up a contrast. Hes for the economy, theyre going to hurt the economy. Now, for the democrats, theyre moving in a different direction, theyre going to try and pip the president about pin the president as a racist. Youre setting up a campaign of capitalism, socialism versus racism. But at the end of the day, voters vote on the economy, and the president is going to be laser focused on the economy. Maria so looking at the rest of the year, Fourth Quarter, what kind of Fourth Quarter should investors expect . What do you want to do as an investor having all of that policy advicesome. Yeah. I think it really comes down to the leadership of the Federal Reserve. We know they mathematically have to cut Interest Rates by 50 basis points. Thats what the yield curve is telling you right now. If the fed actually comes in and provides that demand for liquidity in the system, we can walk through a lot of this Political Uncertainty that weve been talking about. And then as we go into the late Fourth Quarter, youre going to start seeing the democratic field begin to win know down, youre going to see is it going to be biden, warren or sanders . Those are really going to start impacting markets. Maria, ive never seen a president ial election impact certain sectors so early like ive seen. Managed care stocks falling 25 just on the prospect of Bernie Sanders being the nominee. Now as we get closer to that iowa caucus, its going to be a headwind in the Fourth Quarter which is why the fed reaction is so important. Maria i love theandahalf gating. Its great to have you. Dan clifton there. Dont go anywhere, sal khan of the khan academy will join me. Stay with us. Theres a company thats talked to even more real people than me jd power. 448,134 to be exact. They answered 410 questions in 8 categories about vehicle quality. And when they were done, chevy earned more j. D. Power quality awards across cars, trucks and suvs than any other brand over the last four years. So on behalf of chevrolet, i want to say thank you, real people. Youre welcome. Were gonna need a bigger room. Yeah rock music you cant do this, you cant deny they feed us lines, but i wont act and all good things will come to pass but the truth is all you have to have and would you lie for it . Cry for it . Die for it . Would you . I believe believe were still worth the fight youll see theres hope for this world tonight i believe, i believe pga tour star Gary Woodland stunned the golf world with his victory at this years open. Recently, maria went oneonone with him on his amazing win. Maria how do you prepare . Is it physical or mental . More mental. The physical part i hit a million golf balls, and ive done that my whole life. Maria and you work out. Correct. You try to take care of your body, but the mental stuffs what you got to prepare for. Theres a lot bigger atmosphere, so youve got to control your me motions and stay within yourself with your emotions and stay within yourself. Maria tell me about that. How do you get into the mindset to win . A lot of its the preparation. You surround yourself with great people who help you get in a position where you confident in everything you do. I put a lot of work in, trust the people around me, and i was really prepared. There wasnt a shot that i had not practiced prior, so i felt comfortable in the arena, and they then youve got to have a positive attitude. Maria you are where youre supposed to be. Thats it s. And what happens after you win . After the u. S. Open, how did your life change . It was nice to celebrate, get home and see my friends and family. Unfortunately, my wife wasnt there, she was, you know, pregnant with twins at the time, so it was nice to get home and see her and see my son and have some family time. Maria what an incredible gift to win and then your wife gives birth to twins. [laughter] its been a surreal month, but its been good. The twins were nice. I was fortunate e was home, i wasnt overseas or plague, so its nice to be home and see the birth of my girls. Maria best wishes, good to talk with you. Youre awesome. Maria really nice to meet you. Welcome back. The importance of skills and tools that come with a world class education have become paramount as the job market has become more global in nature. Some people Say Technology is eliminating jobs. For over a decade sal khan has been a leader in the field as founder of thecap academy. Sals the khan academy. Sals mission has been to make education more accessible. It is now estimated at 100 Million Students across the world use the khan academy. I spoke with him as the back to School Season is back in swing. It started as a family project almost 15 years ago when i was tutoring my cousin. Word got around, and i found myself working with 10, 15 cousins. I started writing software for them, and that was the first khan academy so they could get practice. And then a friend suggested i make videos to supplement that. The videos, i just happened to put them on youtube, made them public for my family. My family told me they liked me better on youtube than in person [laughter] and more importantly, folks who werent my cousins started to watch. Fast forward by 2009, 2010, my day job, i was an analyst at a hedge fund, but i had trouble focusing because there was many tens of thousands of folks at the time who were using the resource. So i quit my day job, set it up as a not for profit, and in 2010 we got some of our first significant funding from the gates foundation, from google to become a real organization. Fast forward to today, khan ahmad keys over 200 fulltime employees, still not for profit, and thats actually been one of the keys. When the College World wanted a partner to figure out who could be the official practice for the s. A. T. , they wanted to work with someone who was motivated to really help students get ready for college versus trying to make a buck off them. That helped us with the s. A. T. , the lsat. Theres a lot of efficacy studies show that kids learn 20, 30 faster than expected, and i think thats helped a lot of people. Maria wow. Congratulations, its terrific. And i know youre still teaching, but can you characterize for us, assess the Education System in america. When you look at the global standards, where does america fit in in terms of the rankings . Well, americas kind of in the middle of the ranking, and it doesnt look so good when you look at some of the folks above us or right below us maria youre talking talking, number 31 in math, you know, were way down in science. 31 in the world or 35 in the world, whatever it is, is a pretty poor performance for the United States, isnt it . Absolutely. But theres really two sides to that. One is its not acceptable, we want our country to be at the very top. The other thing i do make one qualifier which is when you look at those rankings, some of the countries are like the United States or brazil, and some of the countries are, like, theyre not countries or theyre citystates. Its shanghai or its so i think to be fair youve got to compare against large, diverse countries like the United States. I think in the United States theres pockets of excellence, and pockets where its not working out for kids. 70 of American Kids who have to go to Community College, they have to take remedial math which is sixth or seventh grade math. Which shows for large chunks of our students, especially the ones most marginalized, theyre spending many years in the system not getting a lot of out it. Maria so what can be done about that . Give us your secrets to success in terms of training, preparing for these important tests like the s. A. T. And how students can be the most successful as here we are on the doorstep of back to School Season or some kids are actually already back at school. You know, theres a lot of dimensions to it, but the one dimension we feel we can tackle is a lot of students, they might get into an algebra class, but they still have gaps from seventh grade, sixth grade, and a traditional teacher cant do much about that. But thats where tools Like Khan Academy come into the picture. One, we want every student in america and really the world to know, hey, were that free tutor that your family could otherwise not afford, and its at a world class level. Bill gates famously uses it with his own children, and its available for free. Were a nonprofit, its not a commercial. Another thing were trying to do is work with districts, large School Districts like las vegas where dr. Jesus j ah, the superintendent there, has been doing exceptional work. What that allows for is students in their district to get that practice for 45 minutes, an hour a week so they can fill in those gaps, and we think thats one of the main reasons why kids fall behind. Those gaps accumulate, they hit a wall, they get to a Community College or a fouryear college, and they have to take remedial math. Maria youre the free tutoring youre operating a nonprofit. Explain the metrics there. [laughter] good question. So one i think about all the time. As you can imagine with 200 fulltime employees, we have a real budget, and were primarily philanthropically supported. We do get some support for our s. A. T. Work, we get 2300,000 people around the world donating on the order of 20. Our budget is around 50 million a year, but we reach over 100 million folks. A lot of what i do is make the case to philanthropists of all size that this is a really high social return on investment. Maria its a great point that you make. Let me ask you about some of the things that are going on in asian societies versus america. For example, i know that, you know, kids have off the entire summer in the u. S. , and in china kids are working through the summer, and they have longer school day, and they have less vacation. Is this an issue, and do you think thats one of the reasons that some of those Asian Countries are ahead of america when it comes to education . Yeah. I actually think thats one of the simplest fixes. The very clear nontechnology changes we could do is have closer to fullday schooling and closer to fullyear schooling. If you look at the difference between the United States and some of the chinese test scores on some of these international ranking, most of it can be accounted for by school days, just for school days you get that difference s. And, obviously, summer vacation, it came out of the 19th century when a lot of kids had to work on a farm. Were now a much more urban society, and theres famously the Summer Learning loss. Kids are not learning and forgetting over that three months. Maria my thanks to sal khan. Dont go anywhere, more wall street right after this. Ben shaw is up next. Vision loss is not something that you feel until it happens. Most people lose their vision from diseases like Macular Degeneration and glaucoma. Not at birth. With Macular Degeneration. You lose your central vision. You have a blind spot right in the center of your face. So i cant actually see your face. So even a little circle in which i could see became a big blur. I was 65 when i first was diagnosed with glaucoma. There were no symptoms. I had no headaches. 3 million americans have glaucoma and half dont even know it. 11 Million People in the United States have Macular Degeneration. You lose mobility independence changes your entire life. So many eye disorders can be treated if caught early. My husband tells me that i have beautiful brown eyes and i dont want to lose that. Make a plan today to get your eyes checked. Visit brightfocus. Org to learn more. 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. Maria welcome back. The booming business of animal care. As a pet owner myself, i know that pet owners spare no expense in making sure their fourlegged loved ones are in the best of health. Americans, in fact, spend north of 70 billion on animal care. Ben shaw is the ceo of a company that specializes in providing support for vets in the animal care market. He tells me why its good investment. We provide e the veterinarians a variety of technologyenabled Services Including the software that veterinarians use to run their practice, right . So this is their medical records, their inventory management. Were providing appointment and prescription management services. Specifically, one of our capabilities is helping veterinarians identify who needs what and when and proactively engaging clients to drive them either back online to the veterinarians pharmacy to purchase and repurchase medications or to come back in the office for services. Maria you know, this is so specific and so automatic that you wont forget to make sure youre reupping on your pets, you know, medicines or whatever. Even more so than youre seeing in Doctors Office for humans. We like to say that were proving whats possible in health care when humans dont get involved, right . That this is a great concierge level of service that were coordinating care and making it easy for pet other thans to stay owners to stay on top of care. Understanding where you are, where youve dropped off and when you need to be seen, communicating. Part of our challenge is to make this a frictionless experience for pet owners and veterinarians. Maria and you know that pet owners will spend whatever it takes to get their pets healthy. I recently rescued a puppy. My baby, dusty, is everything to me now. And it doesnt matter what it costs, what i need to do at my vet, whether i need to spend more money on ill do it. Shes so wonderful. We need you as a client then. [laughter] well work to make sure youre set up on a convenient autoship service, how about that . Maria thats terrific. I know that this dog has changed my life, and i rescued her, you know, because i did it through petco foundation. But the rescue business is also really important. People dont realize how important it is to adopt as opposed to shop. Right. Maria and the first thing i did was i sent her to the vet to make sure she had all her shots and everything was, you know, in step. And these things can be real costly. Well, they can, but also the veterinarian plays a really Important Role not only in providing medical care, but to be your partner in a professional resource for figuring out how to be a Successful Pet owner, what is the right level of care. In those early days of new pet parenthood or being a new pet parent is the veterinarian becomes your with most trusted partner in that process. So the more we can do to help them be successful in helping you through those first few months or year becomes important. You know, then you have life stage management. As your dog becomes a young adult, adult and eventually senior, keeping up with you and helping to educate on change aing life stages and how does the veterinarian coordinate care , and that process becomes a really wonderful journey and an important partner for you going forward. Maria my thanks to ben shaw. Dont go anywhere, more wall street right after this. Maria welcome back. Happy hay labor day, everybody. Catch the show every friday night 9 p. M. , fox business, and ill see you on sunday morning for sunday morning futures, 0 a. M. On fox news. Plus, start smart every weekday, tune in on fox business from 69 for mornings eastern, for mornings with maria. Ill see you next week. Thanks for watching. Gerry hello and welcome to wall street journal at large. Labor day weekend, of course, traditionally marks the end of summer. You probably didnt need to be reminded of that. But its fair to say its been quite a summer this year in financial markets. The dow jones central average hit a new high in late july after the Federal Reserve cut Interest Rates for the first time in more than a decade. But since then its been pretty rough going. Stocks have fallen almost 5 from that peak, and Interest Rates in the market, the market Interest Rates that we have have dropped dramatically. Thats bad news for savers. President trump, of course, has been pre
comparemela.com © 2020. All Rights Reserved.