Transcripts For FBC Mornings With Maria Bartiromo 20240714

Are going to see people try to arm themselves with right information but no doubt about it this will change the economy in the coming years. Cheryl im excited because ive been talking for a few days and i know you talk today heavy hitters in the industry, cant wait to see it and i cant wait to see mornings with maria which is obviously starting right now, have a great show. Special debut sunday night at fox news 8 00 oclock, this morning we are gearing up for another big news day, good morning, everyone, im Maria Bartiromo, live this morning from washington, friday september 20th, 2019, top stories right now 6 00 a. M. On the east coast. Mark zuckerberg taking washington, facebook ceo met with President Trump and lawmakers yesterday and hes headed back to the hill today as he faces calls to sell instagram and whats app, back to negotiating table deputylevel meetings resume in washington this as President Trump prepares for tariff exemptions, exemptions on select goods. Is futures looking to end the week on a high note, less than a percent of alltime highs, we have a rally underway, nasdaq up 21 and the new iphone goes on sale today, people are already lining up across the world, we will get you the latest on the new phone, mornings with maria begins right now. Maria big show this morning, live from washington, d. C. , joining the conversation this morning Fox Business Network Dagen Mcdowell is in new york, here in dc the American Conservative Union chairman matt schlapp and former wall street Journal Editorial Board member the author of trumponomics steven moor will will be here ts morning. The president will put more tariffs on the list, i wonder if that means what larry kudlow told you, music in the air, maybe we can expect some kind of agreement in the next couple of weeks when the china talks deepen. Dagen show of good will and will help going into shopping season, ease up pressure on countries that import consumer goods from the United States, you have to give a little to give a lot and thats part of it as these talks ramp up in the next several weeks. Maria yeah, weve got ministerlevel meetings today, meetings in early october, matt, how do you see this . Chinese government is finally realizing that donald trump is not going to buckle on some of the basic questions, i think for a while also they thought he was politically weak and they would be dealing with a different table, now they are looking across the table and potentially seeing Elizabeth Warren. [laughter] maria so much to talk about from the economic standpoint as well as Foreign Policy, also on deck former defense secretary leon paneda. Peter navarro will give us update there and we are talking with Capital Partners Founding Partner mark, talk to us about global investing and 2020 democratic candidate Tulsi Gabbard. Big show coming up. I want to talk about market because i want to see what is going on with the repo story, dagen, youve been all over it, the Federal Reserve stepping in 2 Straight Days . Tuesday, wednesday, thursday and i think its maria 3 days. Dagen interintervention today, basically funding problems in the money markets in the repurchase market and what has gone on and i want to say this very clearly, President Trump has been right in terms of the Federal Reserve and how its been managing its Balance Sheet, what happened is it seemed like the fed misjudged how much Spare Capacity or liquidity was out there in reserves because, again, money the money supply or the liquidity got too tight, the fed thought there was 2 to 300 billion in reserves before overnight funding problems would appear, they misjudged that, so now the fed is looking at growing its Balance Sheet once again. Its not quantitative easing, not to juice the economy, resume the Balance Sheet growth at the october meeting potentially, thats what theyre going to be discussing because, again, money got too tight. The federal government is borrowing a deal of money so selling treasuries and then you had the buyer of the Federal Reserve shrinking how much it was buying. Maria trillion. Dagen thank you. Maria absolutely. We want to talk [laughter] maria of course, everybody knew what you meant obviously, we got Mark Zuckerberg back on capitol hill, facebook founder meeting with lawmakers today after several meetings yesterday including one with President Trump, here is the picture, zuckerberg on receiving end on harsh criticism, if he was we are use about reform he would sell facebook properties, instagram and whats app, zuckerberg was not receptive to those suggestions at all, what did you think of yesterdays meeting, matt. Maria he has a bill on privacy. As at an alternative pops up you simply buy them. You try to avoid companies they hate you and take down messages and you go somewhere else and that gets bought up by the same company. Youre mentioning two separate issues, well, maybe we need modest regulation on privacy, youre talking about the censorship of conservatives, i dont know what he said about that, devin nunes is suing twitter and we know Tulsi Gabbard is suing google. Amazon, face bobbing or google, they control, you just talked about ai in previous segment, they control more and more of our lives in ways we dont even understand it. Maybe its legal, but every american ought to understand fully how much of their privacy, information they think is private is in the hands of a couple of tech zillionaires, Dagen Mcdowell it was years ago, i feel like 5 years, that the Companies Need to start policing themselves because if they dont they will see a different fate coming out of washington, we talked about this long time ago and coming to a head now. Dagen now zuckerberg smooching cheeks and trying to make nice. One thing they are trying to explain is how they are complying with the 5 billiondollar settlement with the federal trade commission which it made over privacy missteps, a couple of lawmakers who cut out of town and didnt meet with zuckerberg which, again, what are you in dc doing if youre an elected official, i want to call them, jerry moran, senator from kansas, caught early flight home, he heads the Senate Consumer protection subcommittee and brian, senator from hawaii, head of top democrat on senates technology also supposed to meet with him and didnt, although he did recently meet with Mark Zuckerberg in honolulu in the Senators Office there, the head of facebook, this is a grave concern the companys behavior, shows up on dc, try to be there. Maria yeah, for sure, we will see what comes out of this. Even conservatives say, we need boundaries for these social media companies. Absolutely. Maria regulatory boundaries, you usually conservatives want small government. This is whats crazy about many of these, like i said tech billionaires, whatever you want to call them, masters of the universe, they are hostile to republicans but at the end of the day all democrats including Elizabeth Warren and Bernie Sanders maria yeah. Republicans are their only friends because we are deregulatory, they have done everything they could politically to alienate us. If you have any view protrump, youve had something taken down, victim of censorship and i know its not government censorship but its appall to go run your company this way and shut people down. Maria we will see about that, we will talk about that this morning, the meetings are continuing, zuckerberg will meet with more congressman today, no deal yet, General Motors and United Auto Workers union still at odds, what gm has put on the table, thats next, what are unions saying about that, check this out, we will take a look at new yacht, coming up right after this. Stay with us. pilot were going to be on the tarmac for another 45 minutes or so. Should always be working harder. Thats why your cash automatically goes into a Money Market Fund when you open a new account. Just another reminder of the value youll find at fidelity. Open an account today. Were changing whats possible every single day. But what does changing whats possible mean anyway . Well. If you run a business, it means a lot. For starters, we provide you with Financing Options for your customers. That way, you can help them buy the things they love instantly and pay over time. And that turns them into serious fans. Hang on, theres more. Want Customer Insights . Weve got those, too. We use data to show you what your shoppers have already bought so we can tell you what they might consider buying next. And you can offer them the perfect products. That ceo gets it. From adding unique capabilities to your companys apps to bringing you loyalty programs, our technology and Financial Solutions are changing whats possible in all sorts of ways. So, how can we change whats possible for you . Maria welcome back, state of emergency in texas as imelda battles the state with catastrophic flooding, cheryl. Cheryl yeah, maria, at least 2 people confirmed dead including teenager electrocuted wile trying to save horse, hundreds of car abandoned in houston, floods from imelda made roads impassable, you can see police using rope to save stranded family as well. The video, again, just incredible, two Young Children with life vest, officers in deep waters, theres the video, look at this, children being rescued by police, more than 600 flights have been canceled so far, more bad weather is on the way for the entire region, National Hurricane says lorena is now a hurricane, lorena will be bearing down on mexicos baja peninsula, another portion about to get hit with strong weather, another headline for you, fda has launched criminal probe as we learned eighth person has died from vapingrelated illness, the agency focusing on black market ecigarette products, shocking update from cdc 500 vaping related cases, up from a week ago, more about gms contract proposal with the United Auto Workers, fifth day contract to detroit free press, gm is promising 5400 jobs, half of, 7 billiondollar Investment Plan but the pain of the strike is spreading, suppliers are starting to lay off workers, the list includes next year automotive, automotive component carrier, maria, those are headlines from here in new york, back to you. Maria all right, cheryl, we will take a short break, when we come back dipping into the Federal Reserve, billions of dollars in money markets, what it means for you, then uber almost worthless founder larry with harsh words from uber, all that, wait till you hear when we come back that one . no what about that . no what about now . no that do it . [ buffer stops ] still not working how bout now . no i just dont know. I mean, i dont know who labeled this thing. Yeah . no thand find inspiration who win new places. Ct. Leading them to discover were woven together by the moments we share. Everything you need, all in one place. Expedia. Im off to college. Im worried about my parents retirement. Dont worry. Voya helps them to and through retirement. Dealing with todays expenses. While helping plan, invest and protect for the future. So theyll be okay . I think theyll be fine. Voya. Helping you to and through retirement. And through retirement. Beyond the routine checkups. Beyond the notsoroutine cases. Comcast business is helping doctors provide care in whole new ways. All working with a new generation of technologies powered by our gigspeed network. Because 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, shortage of Bank Reserves causing overnight repo rate to spike as high as 10 leading the Federal Reserve to take action, joining us Florida Banker Association ceo alex sanchez, alex, great to see you, thank you so much for joining us. Thanks for having me on, maria. Maria dagen explained it earlier, what happened this week when rates when to 10 , what happens with the liquidity. Its time to look at rules of liquidity that banks have, the Banking Industry is doing super great right now because of the great economy that we have in our nation loan demand is high, so banks have a lot of loans, treasuries matured on monday as well, so i think this is something the fed has to monitor on going to the and obviously we dont want to have any short falls into the future especially if and when times get tougher down the road, that will really become more important issue then. Maria you think the Banking Sector is really strong, but Credit Unions purchasing 21 u. S. Banks since 2018 according to s p Global Market intelligence, you want new legislation on credit union . Thats right, maria, we need to end the charade. Hides behind the military veil and they pay no federal income taxes, they are competing, they are competing against our banks, especially our Community Banks and, you know, that sector of our bank, provide 50 of the Small Business loans in the country, so right now our country through tax policy is picking winners and losers by exempting one sector of Credit Unions and for Credit Unions what we are propose to go congress would exempt over 90 of the credit union so they could keep their tax loopholes but the big ones, the charade needs to end, golden 1 in california, 10 billiondollar credit union, paying 120 billion, naming right of arena. Thats what a nonforprofit is supposed to be doing. Maria, we ran into a they do, we face a trillion dollar budget shortfall this year, no need to talk about national debt, you cannot have navy federal at 110 billion be tax exempt and pay no taxes at all. They know it, maria. Maria how do they get away from it . As you said how long has then been going on for decades now. Powerful lobby in washington that protects that tax loophole, we made a run at it but couldnt crack through it. Iii want to emphasize leave of them alone, they are a real credit union, the other ones are not. Maria let me ask you about the health of the Banking System and what it means for the economy, in 2006 and 2007 we saw the cracks before the largest selloff and upset in the generation in the financial crisis through the banks and what they were selling, today even though people are talking about a slowdown, potential recession beyond 2020, the Banking Sector apparently is quite strong given the capital levels, steven was here, this is what he had to say about the health of the u. S. Banks right now. The Financial System is in good shape, the Banking System in the United States is best in the world, you know, i almost feel guilty saying things, some things are actually the best. Maria how do you see . Is that just large banks or do you see throughout banking . Across the industry, maria, regionals, Community Banks and larger banks, you know, the stress testing that our larger banks get from the fed every year under the worst of Economic Conditions and they have passed that with, you know, capital in hand, i think puts the u. S. As strongest Banking System in the world, really, no question about it. But looking at the next year big Election Year right. You hear the rhetoric coming out of too big, we have to break them up, we have to change our policies, you know, washington does a lot to screw up the Financial Health of institutions like banks, when you look forward to next year, do you like what you hear from democrats running for president . You know, matt, Bernie Sanders and Elizabeth Warren, i dont know if they understand the expressway but i have to tell you, matt, the day that our largest corporations met, maria, have to go to bank of china for credit is the day the country will be in trouble. Maria they owe all of our debt. We need arent we there . The regional level and Community Banks, i think that breaking up any Large Corporation of Free Enterprise system is not the right way to go. Maria alex, you live in florida, obviously. Yes. Maria you are seeing the mass exodus from hightax states rather like new york, california, they want to go to florida, we just saw that two weeks ago with carl icahn taking hedge fund, can you characterize what youre seeing . I know Governor Cuomo blamed florida for the budget short fall this year. Our governor is governor bush and governor rick scott and now Governor Desantis working very hard to go to hightax, highregulated states to give our story, right now we have 900 people a day moving to florida, amazing whats happening there and did i say there was no personal income tax in florida . [laughter] and so florida is doing great, weve diversified our economy. I know matt has strong ties to our state. And so i think our state is we are in the position to do really well into the future, maria. Maria yeah, well, the local sales tax in florida is 8. 1 but you have no income tax and youve got the estate tax is also thats why carl icahn took his whole fortune. Hes saving hundreds of billions of dollars, youre talking about serious money by leaving new york. This is like the trump tax bill which people were worried about the limitation on writing off your state and local taxes, but the good news of that, even though that caused trauma, theres rewarding state that have maria maybe push hightaxed states to change policy. Dagen thats not whats going to happen. Again, people down in florida can brag about there being, oh, theres no state income tax and i said when alex said that i said not yet because again all the liberals, bigmoney liberals are moving down to florida. Andrew by the lum got very close to being elected, the governor of that state and so, again, thats what happens, youre importing the people from the blue states, so the blue states get redder and the red states get bluer. Dagen, great point. Maria didnt that happen in texas n dallas, youre talking about dallas being purple right now. Dagen yes, it is, itll be interesting to watch the state of texas in the president ial election. Texas is not a purple state, texas is a red state. You just wait moore. Counties in texas. We will win texas big time. [laughter] these california voters are not necessarily hardcore conservatives but its positive that they are fleeing high taxes, so if youre a republican i wouldnt be allergic to that kind of voter coming to your state. I agree with dagen and its hard to really comprehend how people can leave hightax, highregulated states, move to an area and vote for the same candidates that will create that type of system, the thing that i want to say when hertz moved headquarters to florida, residents are still affordable in the state of florida even though in our big cities like miami, that could be a question its pretty high. Maria thank you so much, sir, we will see you soon, under the microscope questions surrounding a whistleblower heading the white house inside the political battle next, hitting the waves in husmly, new lexus yacht, yeah, we will have it for you, stay with us. Hold on. It fights tension. Seriously, did you take my phone . Passenger light on. It even fights. Fighting. Innovation that keeps people together. The 2020 glc. Lease the glc 300 suv for just 479 a month at your local mercedesbenz dealer. But when i started seeing things, i didnt know what was happening. So i kept it in. He started believing things that werent true. I knew something was wrong. But i didnt say a word. During the course of their disease around 50 of people with parkinsons may experience hallucinations or delusions. But now, doctors are prescribing nuplazid. The only fda approved medicine. Proven to significantly reduce hallucinations and delusions related to parkinsons. Dont take nuplazid if you are allergic to its ingredients. Nuplazid can increase the risk of death in elderly people with dementiarelated psychosis and is not for treating symptoms unrelated to parkinsons disease. Nuplazid can cause changes in heart rhythm and should not be taken if you have certain abnormal heart rhythms or take other drugs that are known to cause changes in heart rhythm. Tell your doctor about any changes in medicines youre taking. The most common side effects are swelling of the arms and legs and confusion. We spoke up and it made all the difference. Ask your parkinsons specialist about nuplazid. With sofi, get your credit cards right by consolidating your Credit Card Debt into one monthly payment. And get your Interest Rate right. So you can save big. Get a nofee personal loan up to 100k. Maria welcome back, good friday morning, thank you so much for joining us, im Maria Bartiromo, live from washington, d. C. , friday september 20th, top stories 6 32 a. M. On the east coast, futures ending week on high note, check this out, s p 500 needing to end the week up 19 points to close at alltime high, the dow needs 265 points, we are in record territory, dow industrials up 69 points this morning, s p up 7 and nasdaq up 25, this after the market ended the day mixed yesterday take a look at the close yesterday on wall street the dow industrials were down 52 but the s p was up fraction and nasdaq up 5 points, Global Market this morning look like this. European indices up across the board, the dax index in germany up 24, in asia overnight markets finished like this where we did have weakness in hong kong, but most averages were fractionally moving and they were largely higher, all the stories coming up friday morning but top story this half an hour, Top Democrats threatening to sue the white house and the Intel Community over the refusal to release a secret whistleblower complaint, the Washington Post was first to report the story, it say that is the complaint involves the president of ukraine, President Trump is standing his ground, he tweeted this yesterday, another fake news story out there, it never ends, every time i speak on the phone to foreign leader i understand that there may be many people listening from agencies and not to mention from the other country itself, no problem the president writes, is anybody dumb enough to believe that i would Say Something inappropriate with a foreign leader while on such a potentially heavily populated call. I would only do what is right anyway and only do good for the usa. Joining us is the Washington Examiner editorial director hugo gordon, hugo, good to see you, what do you know about the whistleblower story . The thing about the phrase whistleblower is idea that thats impartial, one doesnt know that, it may be the guy or whoever it was that gave the information to the Inspector General was impartial, saw something that he or she thought was terribly important, on the other hand, you know, the democrats are being crying wolf about President Trump for the past 3 years and as we know from the mueller report, all of the story about the, you know, solution and that sort of thing turned out to be complete dud, we dont know what is going on in here, but it was very interesting that yesterday Rudy Giuliani candidly said, yes, of course, he asked for help of ukrainians to investigate what he said a joe biden bribing the ukrainians to the Trump Administration wants ukrainians want to look into corruption possibly involving joe bidens son, now all of this is legitimate for the democrats to have a look at, but the democrats always overplay their hand and demand for things are done faster than protocol allows and so i think that they have been crying golf. Maria is this going to blow into something bigger . Absolutely, democrats have one way to stop donald trump for a second term and thats corruption, its all about getting him in a scandal and the latest thing is another version of the deep state and tried to leak all of those conversations with Foreign Policy leaders in the beginning of the administration, now they are turning towards using using this whistleblower statute, which, maria, has nothing to do with getting the president in legal hot water, its about management within that agency of which the president is not an employee. Maria well, we know that for 2 years we talked about collusion with russia which was completely, i dont know, made up, yesterday the Inspector General Michael Horowitz testified before congress, you would think that given the fact after Michael Horowitz testimony, we were waiting for fisa ig, in fact, we were talking about Corey Lewandowski the day before, never mind nadlers impeachment circus, the real action was at a wednesday hearing. She write it is following, democrats talk about dedication to oversight and truth and the media keep promising not to let democracy die in darkness, this weeks pail of two hearings proves otherwise. Look, we know that the russia collusion story was a hoax, we definitely know somebody made it up or a number of different people made it up. If you want to do good oversight, you should be looking into who did that and how this thing came about, instead democrats have been interested in conducting what really amounts to show trial of lewandowski, what they are doing this for red meat for the blue base. Maria we know that there are multiple investigations going on looking into the origins of the russia probe, you have john durham, lindsey graham, william barr, all of this is happening right now and yet crickets. Dagen i always look at the front page to have New York Times, their number one story which i always think is the upperrighthand corner above the fold front page is claim on trump said to involve foreign leader about the whistleblower, the whistleblower issue, but, again, this will come out with bill barr running the justice department, this will come out once the ig report on the fisa abuse and we know it was abuse, when you get a warrant to spy on an american citizen who is working for a president ial campaign and that evidence that they presented was paid for by that said candidates opponent, will heads roll, will people pay what they did of abuse of investigative powers . Maria thats right, using our intel agencies, using the tools that we used against terrorists, right, inform antidepressants, wiretapping and we know, our viewers noticed because we saw at fox news, piece of evidence that will come out in the fisa report and has to do with George Papadopoulos having conversation with informant, the informant says to him isnt it great you have russia emails, your team will be happy about that and George Papadopoulos answers to him and says, no, i would never do Something Like that, thats treason, all of this is in a transcript because all inform antidepressants are wired when they informants and are doing their job, the transcript was never given to fisa court, we will get the report within a month so we will see, do you think theyll be accountability very quickly . I do. I think barr will hold people accountable. Maria hugo, good to see you, hugo gordon from Washington Examiner, Cheryl Casone with details there, wow, what an election, cheryl. Cheryl fascinate to go watch all of this maria from our Vantage Point here, so former military general is declaring victory over Prime Minister benjamin netanyahu, Election Results are not official but rejecting that netanyahus offer to share power. Final Election Results next week. Federal judge has blocked New California law that requires president ial candidates to release 5 years of tax returns to appear on the states primary ballot, the Trump Campaign is saying it violates constitution to run for president , california expected to appeal. And then theres this, lexus showing off new yacht, the ly650, lexus, division of toyota partnering to create 1800horsepower, 65 feet boat, its got 3 state rooms, entertainment and lounge areas, the price tag just a little 3. 7 million and its all yours. [laughter] maria looking good. Thank you, cheryl. Exactly. Coming up uber out of money, we are talking about all of the comments we are hearing about uber right now, oracle founder had harsh words for the company and so did Steve Schwartz in my interview, the wait is over, iphone on sale today but you may have to wait in until, we will be right back, stay with us. Orlando isnt just the theme park capital of the world, it also has the highest growth in manufacturing jobs in the us. Its a competition for the talent. Employees need more than just a paycheck. You definitely want to take advantage of all the benefits you can get. 2 3 of employees said that the workplace is an important source for personal savings and protection solutions. The workplace should be a source of financial security. Keeping your people happy is what keeps your people. Thats Financial Wellness. Put your employees on a path to Financial Wellness with prudential. 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The American Economy is booming, everywhere you look, jobs are up, confidence is up, more than 6 million jobs created and its all as a result of we need china to come forward to resolve trade balance and also to address structural address to protect and defend the American Economy. What we need is to correct the big imbalances, the impediments to Market Access, disrespect for intellectual property, forced technology transfers, more complicated than just buying a few more soybeans. China keeps its markets pretty close to technology and quite open and so now we are moving more into a position of reciprocity. Its so progrowth, i mean, look, canada and mexico are so important, our total trade with those two countries is twice what our total trade is with china, for example, and china may be a sex yore global story but more the American Economy various estimates, half a point of additional gdp per year maybe 180,000 jobs per year. China no longer a tough trader, mexico is our number one, canada number 2. If the usmca would pass and mexico passed it months ago almost a year since all 3 leaders signed the agreement, canada is waiting on this, if we pass that prior to getting into the negotiations with china, we are only maria do you see a recession on the horizon . We dont, we watch the same information that everyone is looking for. We are cautious about when the next shoe would drop. The future is theres some huge factor of more data coming because all the sensors in the car and the human doesnt have to make all of the decisions about what to do. I totally agree with you, i think, you know, the aspiration is there, you heard jim talk about it, i think thats top of the line for him, i think ford is making big bets on it but you have to remember what got you here and they are struggling right now relative to current production, current features and appearances, reliability, so i think you have to make sure that you take care of the core business to be able to do the next business. Maria made in america, promising customers the worlds finest handcrafted pianos since late 1800s,nt isnt it interesting as requirement in chinese schools to play the piano. Remarkable, 30 and 50 million children are taking the piano in china. We had to play the accord own. I played the accord own. Cheryl definitely does not taste the same, you guys, go to website and guess what it is, they wont say until the contest is over, there are lots of theories already on the internet but i smell cinnamon. Maria i smell cinnamon too. Dagen right, they get black [laughter] that move us forward. Every day, invesco combines ideas with technology, data with inspiration, investors with solutions. Because the possibilities of life and investing are greater when we come together. Thats where i feel normal. Having an annuity tells me my retirement is protected. Learn more at retire your risk dot org. Here, hello starts with hi mple. How can i help . A data plan for everyone. Everyone . Everyone. Lets send to everyone [ camera clicking ] wifi up there . Ahhh. Sure, why not . Howd he get out . a camera might figure it out. That was easy glad i could help. At xfinity, were here to make life simple. Easy. Awesome. So come ask, shop, discover at your xfinity store today. Maria welcome back, we have breaking news right now, foreign minister of iran is tweeting this morning, here is what he just said, it is not iran that wishes to fight to the last american, rather it is his b team hosts who seem to wish to fight iran to the last american. Iran has no desire for war but we will and always have defended our people and our nation writes from iran this morning, a lot of conversation around iran obviously after the saudi oil attack, steve, pompeo called this an act of war. Yeah, everything thats come out of the iranians has been very tough talk and by the way, the whole episode, though, is a great example of why its so important the United States continue to produce domestic energy. Maria true. Democrats said they want to bring it to an end but the price of oil probably would have spiked up to 80 a barrel had it not been for the u. S. , you know, fracking revolution. Maria on the attack it was up 15 but that has come back, now we are looking at rally this morning, up 1 on crude and up 3 quarters on brent this morning, a lot of news out of Silicon Valley this morning, we are starting startup valuations, ipos, Lauren Simonetti with details. Lauren hey, maria, like unicorn stampede, now chief Technology Officer is slamming the new tech giants uber and wework calling them, quote, almost worthless. He added that softbank making huge mistake taking big stake on beth of both of them. On the end it doesnt own cars and doesnt employ drivers and this is what he said on wework, Office Rental company, one to have hybrid Companies Real Estate and tech, but ellison doesnt see how its Business Model justifies technology, it was once valued at 47 billion, now that could be as little as 10 billion, and maria, you heard a similar sentiment from black stone chairman and ceo Steve Schwartzman. You look at Companies Like uber and wework, i dont know the way the company the way some people do, but the absolute value that people were talking about, you know, given what the Company Actually does, you know, sort of really surprised me, you know, just sort of like an uber valuation would surprise me. Lauren surprised a lot of people, not all bad news, getting valuation of 35 billion, it has clear Business Model, has a path for growth, basically payments for online transactions, revenues are tie today customers who are increasingly digital. There are also building out into Financial Services like offering Corporate Credit cards, something investors understand and then theres airbnb, according direct listing, latest valuation around 30 billion for airbnb and investors want to see the path to profitability and you have road blocks like restrictions in cities like new york city and San Francisco that would be challenging for airbnb but then again here is the solution, airbnb is starting to build their own real estate for the shortterm rentals, thank you. Maria yeah, its interesting because when you hear steve talk about real estate play and say the valuation doesnt make sense, you listen, the largest owner of real estate across the world, black stone group, he was answering the question that i asked him where do you see bubbles from, you know, there you go. He sees a bub until the private market with some of the valuations, i mean, i know the stripe is doing well and you mentioned airbnb but both of the gentlemen mentioned uber and wework. Dagen real quick, maria, stripe is very interesting, it lets Online Marketing place to collect money via credit card and pay out to customers, just think of the consignment, so when you buy stripe, you get exposure to all of their customers because their business is based on revenue on underlying customers. Lauren profit for airbnb too. Dagen exactly. Maria former defense secretary leon paneta, fox business exclusive right here. When you open a new account. Just another reminder of the value youll find at fidelity. Open an account today. At synchrony, were changing whats possible every single day. But what does changing whats possible mean anyway . Well. If you run a business, it means a lot. For starters, we provide you with Financing Options for your customers. That way, you can help them buy the things they love instantly and pay over time. And that turns them into serious fans. Hang on, theres more. Want Customer Insights . Weve got those, too. We use data to show you what your shoppers have already bought so we can tell you what they might consider buying next. And you can offer them the perfect products. That ceo gets it. From adding unique capabilities to your companys apps to bringing you loyalty programs, our technology and Financial Solutions are changing whats possible in all sorts of ways. So, how can we change whats possible for you . Maria welcome back. Good friday morning, everybody. Thanks so much for joining us man. Im maria coming to you liv im Maria Bartiromo, coming to you live from washington, d. C. Markets are hig higher. S p 500 needing to end the week up just 19 points to close at an alltime high. The dow needs to be up about 265 points to be at another alltime high. Bottom line is, were in record territory once again. Dow industrials off the highs of the morning. Nasdaq new churs are up 17. This after a mixed day yesterday for the markets. Take a look what happened at the hes close, dow industrials down 52, s p was up a fraction, as was the nasdaq. European indices are higher across the board, cac in paris up 22, and tax index in germany up 18. In asia overnight, markets little changed. The peoples bank of china lowered the one year loan rate from 4. 25 to 4. 2 as the chinese economy continues to slow and the government is providing stimulus. All those stories coming up this friday morning. Fox news is reporting that unnamed defense officials are weighing whether to deploy more troops to the middle east. This in the wake of the rising tensions between saudi arabia and iran. I sat down with former defense secretary and cia director leon panetta in a fox business exclusive to get his take on that and a lot more. Of course this attack on the saudi oilfields, the administration said it is likely iran. Whats your reaction . Well, theres no question that if the evidence continues to show that iran was behind this, that it does constitute what secretary pompeo called an a act of war against saudi arabia. I think it is going to demand some kind of response. Hopefully that the United States and saudi arabia can agree on. Maria yeah, i mean, the act of war statement is obviously frightening. What kind of a response would you expect from the saudis and more importantly from the United States . Well, thats why i think frankly as a an ally saudi araba and the United States ought to decide together on the response. As the president himself has mentioned, there are a lot of options here that have to be carefully considered. One of those is military. Theres economic. Theres diplomatic. Theres cyber. Theres a number of other options. With regards to the military option, the problem as we all know is that any time theres a military strike against iran, just based on my own experience as secretary of defense, it was pretty clear that the iranians would respond to that kind of strike by attacking our forces in the region. So we could see a war. And i dont think either the United States or saudi arabia wants to get into another middle eastern war. That leaves the sanctionses, sah the president indicated were going to move on, increasing the sanctions. I think we can increase our military presence in the gulf as well. I think we could take steps with regards to using cyber, that could paralyze some of the capabilities that iran has. And i do think that its important that we stress the diplomatic side as well. Maria i think you make so many important points. The issues is, it doesnt feel like the europe means are solidly on the side of the americans. Look how much business has been done even after the sanctions went into place, right. The u. S. Had to put waivers in place. The europeans, in some corners, anyway, wanted to continue doing deals on oil and gasoline with iran. Well, theres no question that the United States pulled out of the nuclear agreement, whether you agree or disagree with that, it obviously did cause some problems with the other countries that were involved in that deal and it created a lot of division here and thats why i think its important i think secretary pompeo understands this, that its important to try to rebuild that coalition. I mean, if the United States can pull a coalition together with saudi arabia, the uae, great britain, france, germany, russia, china, that would be a very powerful coalition to confront iran. Maria i spoke with the Vice President this week and Vice President mike pence seems to think that theyre in a desperate position. Listen to this. Id love to get your reaction. People are worried about iran. Is the u. S. Going to respond to iran attacking the saudi oilfields . The iranian economy is literally collapsing. Maria how is this not seen . And the activities in the region regarding oil tankers, their support for houthis, their continued support for terrorism are evidence of increasing desperation by the iranians and while the president said its likely this attack actually originated in iran, were going to get to the facts and whatever action that President Trump determines is proper, the American People can be confident that were going to defend our interest, were going to defend our troops and were going to defend our allies in the region. Maria do you agree, secretary, that the impact on the economy is squeezing iran . I dont think theres any question but that the increased sanctions have really impacted on the iranian economy. The real question is whether the iranians are fighting other ways finding other ways to survive and going to other countries that then provide help in terms of allowing them to continue to survive. And im concerned that a lot of that has occurred. Maria but while the administration is trying to isolate iran, theres also a back and forth ha with china. I think theyre also trying to get a coalition against bad behavior coming out of china. What is your reaction to this trade fight, spat, debate, whatever you want to call it . Weve got meetings this week and of course the higher level meetings coming early october. Do you think the u. S. And china can do a deal together . Well, we certainly hope so. I worry a great deal. Im not a believer in trade wars. I think there arent any winners when it comes to trade wars and very frankly, if this is a prolonged trade war with china, i think it could damage our economy. So for that reason, i think it really is important to try to reach out to continue negotiations with china, to try to see if we can arrive at some kind of agreement. I think both china and the United States are hurting as a result of this trade war. I think the time has come to try to he see if you can find some elements that could be part of a deal. Neither side is going to get everything they want. Maria certainly the markets, investors, Community Want to see a deal which includes open access, Market Access into china so that American Companies can sell to the 1. 4 billion person population there and they also from the administrative standpoint want to see china buy more agricultural products, buy more stuff from the u. S. But its so much bigger than that in terms of the theft of intellectual property, the forced transfer of technology, not to mention espionage issues. Would you agree that the president should take all of those things into consideration or do you think that this administration should do a deal just based on trade and Market Access and leave the National Security issues for another time . Well, thats really the challenging question right now. Look, in dealing with china and ive had to deal with china as secretary of defense and cia director, the best course of action in dealing with china is to have a dialogue. You need to be able to sit down and communicate and discuss and be able to see if you can find consensus. There are going to be differences here. We had differences with regards to security issues. We were very concerned about their militaryizing the south china sea. We were very concerned about their building up their military capabilities but at the same time when we were negotiating, we were able to develop cooperative efforts in dealing with mutual challenges in the pacific. I think the president has to do the same thing. You put everything on the table. But you have that dialogue and some of those piece pieces may o difficult to put into a deal. You cant hope for the moon here in which youre dealing with every issue of concern in dealing with china. What i would do is focus primarily on the business side and on the trade side to try to see whether or not you can arrive at some agreement and then keep the door open to further discussion on the issues that relate to National Security. Maria this is a battle of values at the end of the day, right . Youre talking about a communist society versus a democracy. We know what china is doing right now in terms of using facial recognition, ai, tracking their citizens, giving their citizens a score at the end of the year. Know all about what you just mentioned, militaryizing the south china sea, not to mention theyve got 250 million dead pigs, diseased pigs that im told theyre just throwing in the river. I mean, these issues are so different than the issues that america is proud of and focused on. What if theres no deal . Would you say that cant be done with the two largest economies . Is that a plan . Or an option . I dont think that is a plan. Maria okay. I think that would really produce even more chaos in terms of the world. Maria so farmar gets are markets are hoping for a deal. You havent seen too much disruption and the markets have also not been disrupted by the debt. I want you to put your omb hat back on for us and talk to us about this 22 trillion in debt and why we dont see any fiscal discipline in terms of spending. How do you think the two sides can get together . Whats the solution to actual fiscal discipline, sir . Are you worried about the 22 trillion in debt . I worry a great deal about that. And that i think is one of the real dangers confronting our future in terms of our economy. Cbo has said that. Other reputable economists have said that. Were headed towards a financial crisis if we dont begin to deal with that 22 trillion debt. Maria yeah. Look, we faced deficits in the past when i was in congress in the 80s and a 90s. We faced the same kinds of challenges but there was a bipartisan effort with president ial leadership to sit down and develop budget agreements that put everything on the table, everything on the table. And we negotiated those agreements and as a result of those agreements we balanced the federal budget. The problem today is neither side is really interested in sitting down and dealing with this challenge. Maria yeah. But when you were in the Clinton Administration, you were a moderate administration, really reaching across the aisle, trying to get the two sides together. We dont see a whole lot of that right now. Whats your reaction to whats going on going into 2020 . Are you hearing any moderate economic plans, moderate plans for the future on the democrat side or is this setting 2020 up to be socialism versus capitalism . Well, look, our democracy is not going to work unless both sides are willing to deal with each other. Thats the basis of our democracy. I mean, our democracy is based on governing and governing is based on finding consensus. Thats how weve survived for over 200 years. Thats what our forefathers did. Thats what leadership in this country has done for over 200 years. But it requires that both sides, the democrats and the republicans, recognize that they have a responsibility to govern our country. Right now, very frankly, maria, washington is dysfunctional. Maria well, were already seeing usmca hang in the balance. Nafta 2. 0. Whats your reaction to that . Well, i think thats another issue that the congress should be acting on, try to get that trade agreement approved so that we can put it in place. I mean, that would actually be a bit of good news for the economy if we could finally get some trade agreement approved by the congress. But right now my concern is because of this dysfunction in washington, neither side is willing to sit down and negotiate and govern and unless that happens, i think our democracys going to be in trouble. Maria secretary, its good to have you on the program. Thanks so much for your insights. Nice to be with you, maria. Maria well take a short break. When we come back, the rise of Artificial Intelligence, the future of americas front line of defense as the military begins exploring ways to ramp up ai. The iphone 11 hits store shelves today. Its already drawing major crowds. Well take you there live, get a first look at the new phone. Back in a minute. [upbeat action music] pilot were going to be on the tarmac for another 45 minutes or so. Fun fact 1 in 4 of us millennials have debt we might die with. And most of that debt is actually from credit cards. Its just not right. But with sofi, you can get your credit cards right by consolidating your Credit Card Debt into one monthly payment. You can get your Interest Rate right by locking in a fixed low rate today. And you can get your money right. With sofi. Check your rate in 2 minutes or less. Get a nofee personal loan up to 100k. Maria welcome back. The black face scandal surrounding canadas Prime Minister is growing. Cheryl casone with details. Cheryl Prime Minister Justin Trudeau apologized again yesterday after video released showing him wearing makeup. The video is the third instance of trudeau seen in brown or black face since wednesday night. The liberal party leader is blaming his privileged upbringing for making him blind to the effects of his actions. Well, colt is suspending production of the controversial ar15 and other long rifles for civilian use. The gun maker says it believes there are enough rifles on the market for the foreseeable future. They say they will focus on military and Law Enforcement contracts. A walkout, not at gm. Amazon, more than 1 yo 1,000 wos are planning a protest saying the company has not done enough to fight Climate Change. They want amazon to cut emissions to zero by 2030. Jeff bezos said they will buy 100,000 electric vans as part of the Climate Change initiative. They will start making deliveries by 2021. As you can see, amazon is up by more than three bucks in the premarkets. Those are your headlines out of new york. Back to you. Maria thank you so much, cheryl. Coming up, technology and our troops. The future of americas new front line of defense. Plus, how business is transforming amid the rise of artificial i think tell jens, coming up. Say hello the iphone 11, it hits store shelves today as devoted apa pel apple fans are p outside stores around the world. Well take you there live, get a firsthand look. Back in a minute. Drop everything now. Meet me on the sidewalk. Take away the pain. 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Which helps keep people outside from accessing your passwords, credit cards and cameras. And people inside from accidentally visiting sites that arent secure. And if someone trys well let you know. Xfi advanced security. If its connected, its protected. Call, click, or visit a store today. Maria welcome back. Trade in focus of course. The u. S. Offering tariff exemptions on more than 400 chinese products. The list includes plastic straws, dog leashes, christmas lights. So were wondering if this means that the two sides are getting together a bit more. I sat down with commerce secretary wilbur ross yesterday and we talked about making a deal between the u. S. And china and whether the chinese could separate issues of trade and National Security. Watch. Can the president separate the National Security issues from the trade issues as china wants . If they arent prepared to give on anything, were not going to get anywhere. Maria right, right. Remember, what we need is to correct the big imbalances, not just the current trade deficit, but also the structural imbalances, the impediments to Market Access, disrespect for intellectual property, forced technology transfers. So its more complicated than just buying a few more soybeans. Maria and joining us right now is assistant secretary of the treasury for public affairs, Monica Crowley. Nice to see you. First time in this role joining us. Its a great honor to support this president and his economic agenda, especially under treasury. Maria i know secretary new chimnuchinhas been working on t. Do you think we will get a deal between the u. S. And china. I think this president was elected to deal with intractable problems and china has been taking advantage of the United States and we have a president and Economic Team including secretary mnuchin, ambassador lighthizer, who are willing to stand up to china to deal with all of the issues that secretary ross and other economic principals have laid out. Maria do you agree we cant do a deal with just buying soybeans and more stuff, that it has to include National Security and some of the other issues . Im not going to get into the specifics of the negotiation, but the president , secretary mnuchin, ambassador lighthizer, theyve indicated theyre not interested in a limited deal with china. That the president has gone down this road for a reason and that is to deal with the fundamental structural challenges that china has put in place and really advantaged over the United States for many, many years. Maria steve, i just feel like the president has been the one to educate us on really the bad behavior coming out of china. For him to walk back and say no, no, no, were going to do a small deal now and a larger deal later, i cant see how he can do that. Im of two minds of this. Obviously, the president is fighting the right fight. Im totally in support of this epic battle with china. But look, im hoping for i would take a small deal at this point. I would love your reaction to this. I mean, this isnt going to get resolved in the next year or two. This is going to go on for years and years and years, this dispute with china. It just seems to me, maria, if he can get even a small deal, theyre talking about maybe a temporary deal, that gets trump over the hump on the economy. Maria you lose all leverage. They want the tariffs off. Then the economy booms, you get him reelected and then he spends the second term what do you think about that scenario. The president and others involved in the negotiations have indicated the president is not interested in a limited deal. Many president s, both parties have kicked this can down the road for a long time. The president chooses not to ignore what got china to be an industrial super power, which is illegal subsidies of state owned enterprises, forced technology transfers, intellectual property threats. Youre saying you dont think there will be any temporary deal. Im not talking about the specifics of the negotiations. Im talking about what the president indicated thus far. Maria you just got back from hong kong. Right. Maria what was that like. Youve got 2 Million People on the streets. Did that provide pressure for xijinping . Is that helping President Trump and steven mnuchin. Its a third of the population. Theres an outcry, not just kids, students or young people. The real question under this relationship with china, at the end of the day, how is the human being treated under the communist regime and does america anymore care about human rights . And its all playing in hong kong where, maria, they believe that if the Hoppin Hong Kong ecy catches a cold, china will catch the flu and it could really cause change if they have economic hardship. Maria you wonder if this is wrapped up in that conversation as well because there are human rights offenses and real bad stuff going on in terms of tracking of citizens, et cetera. But ive got to get your take on 2020 while youre here, monica, because we have new fox news poll numbers on the state of the economy, 43 of voters say that President Trumps policies are hurting the economy. Thats up from 38 in may and it those do with the trade issues. Usmca hangs in the balance. Nancy pelosi wont bring it to the floor. China, we dont know where that stands. Is that slowing the economy, are these uncertainties slowing the economy . We would hope that Speaker Pelosi would bring usmca to the floor for a vote, we would hope she would do the right thing for American Workers, american businesses, farmers, ranchers, they all need this deal, they all want this deal. We are confident if she were to bring it to the floor, it would pass. That would be an extraordinary thing. Maria some managers are sitting on cash in the meantime. You went from 3. 1 growth in the first quarter, 2. 1 growth in the second quarter. Maybe theres hurt before theres gain . I think, looksin this presids elected to be a disrupter and deal with longstanding issues. I think most American Workers, certainly the farmers understand we need to withstand some shortterm pain in order to get these Structural Reforms done in china, to get the usmca passed, so that our economy now is going to be on a level Playing Field and american jobs and workers will benefit. Monica, we all want the president to Index Capital gains for inflation. Its been a big issue. Youre at the treasury department. Whats the scuttlebutt on that . Can we get that done . Making that arrestingment for a long time, steve. Continue to lobby for that. Maria we will leave it there. Monica, on that note, great to see you. Nice to see you too. Maria Monica Crowley from treasury. Coming up, National Security and Artificial Intelligence. What youre seeing around the world is people are seeing a. I. As something they can use to gain a strategic advantage over the United States. Thats something we are starting to realize in the United States, its a really big threat. Maria that was the founder of anderal industries, palmer lucky on the threats we change in the Technology Arms race, we take a look at part of my upcoming special on a. I. , it airs sunday night. Apples big debut, the iphone 11 hits store shelves today. Youre looking live at the crowd in new york as they are treated to a visit by ceo tim cook as theyre lined up waiting to buy the phone. Well take you there live, get a look. Back in a minute. Theres susan lee. When i see your face. Theres not a thing that i would change. Because youre amazing just the way you are. At fidelity, we believe your money should always be working harder. Thats why your cash automatically goes into a Money Market Fund when you open a new account. Just another reminder of the value youll find at fidelity. Open an account today. But when i started seeing things, i didnt know what was happening. So i kept it in. He started believing things that werent true. I knew something was wrong. But i didnt say a word. During the course of their disease around 50 of people with parkinsons may experience hallucinations or delusions. But now, doctors are prescribing nuplazid. The only fda approved medicine. 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Helping you to and through retirement. Maria welcome back. With this breaking news. Apple ceo tim cook arriving at the apple store in new york city. We will take you there later this hour. He went and talked to the crowds as they were waiting in line for the phone. Big tech is in the hot seat, facebook founder and ceo Mark Zuckerberg meeting with lawmakers on capitol hill today, discussing user data, privacy concerns, and a lot more. This as the same firms are ramping up Artificial Intelligence research and development and the United States military is exploring ways to use this technology. I sat down with Palmer Luckey to talk about it. In the military, sending soldiers into a gaining russ area you dangerous area you can do with a. Most of what they do is peace keeping, strategy, intelligence gathering, rebuilding of nations. What we want to do is let people do those things and not have to put people in harms way whenever we can help it. A lot of people are concerned that a. I. Is going to be making decisions for people. Thats not whats going to happen. The United States has a strong history of rules on how they use autonomous weapons systems. This isnt a new idea. We have cruise missiles for decades, automated counter missiles that fireen tierly on their own fire entirely on their own. We have rules on how we use them, how we handle ethical problems. Thats something china and rush a sha do not have russia do not have. Maria well talk more about this Artificial Intelligence special on sunday night. We have breaking news, bill de blasio is dropping out of the president ial race. He is saying that he will drop out of 2020, matt shlapp, your reaction. What this means is as the democratic race thins and its inevitable that it thins socialist supporters and candidates, it will move most likely to Elizabeth Warren, maybe a bit to Bernie Sanders. I think its inevitable that joe biden continues to drop in these polls. Do you think that biden cant get the theres a big issue about whether biden can ever get a majority of those voters. Biden started off he started off at his highest point and has done nothing but come down. Hes already behind, de blasio s supporters will go to maria there was not a lot of confidence that he would get to the top from the getgo. There is a lot of criticism about his managing of new york as well. He got a whole 1 of the democratic base. It wasnt much of a president ial run. But the big issue is exactly what you said. This is now looking potentially like a two person race, Elizabeth Warren versus joe biden. The issue is, are more socialists in the Democratic Party than moderates. Maria taking isen in new d. You called this one as well. Hes a disaster, a giant walking disaster that even new yorkers hate. Again, hes in iowa. His support in the latest fox news poll was less than 1 . I would argue that him standing on the stage, again, he was not at the last debate, that his presence in the race hurt the socialists, would hurt a warren or a sanders, because new york city is a socialist city and he is a walking example of how socialist policies fail the most vulnerable, how they fail those who are most in need and how a politician who only cares about himself cannot manage what is essentially a giant welfare city. And i mean, welfare in the best way, whether its homelessness, public housing, taking care of children in need, mental health, failure, failure, failure, failure. But hes not running for president anymore. Failing at that too. Maria there is a crisis going on in our cities and new york is only going to get worse because as i have reported on this program, a big portion of the inmates at Rikers Island are going to be released, Rikers Island is going to be closed, this is mayor de blasios plan and right now youre seeing whats going on in San Francisco and la, Kevin Mccarthy was here yesterday. He said typhus is coming back to la because of the homelessness problem. What donald trump is going to say is weve had socialism on trial. Its new york. Its milwaukee. Its newark. Its chicago where murders you didnt even mention, dagen, the schools, the schools are horrible. Do we really want the United States to be more like newark and chicago. Maria weve got to move on because we want to get that breaking news out but we are all in on Artificial Intelligence. Joining us right now is Artificial Intelligence National Security commission member, kasadena mcfarland. You are also tell me what you do on your day job, in addition to being on this commission. Im also able to be working with the National Academies of science as their chair of the Armys Research and Development Board and some other areas like the board science application center. Maria were going to broadcast this on sunday night. We did a one hour special on Artificial Intelligence and we know that a. I. Is changing our lives for the better in many ways, getting ahead of disease for healthcare, helping in transportation. It will mean the loss of jobs so thats part of the special. How is a. I. Being used in the military and tell us about the ethical issues that have come around the implementation of a. I. Well, a. I. Is very new to all of our department in the sense of how its being able to be brought to the infrastructure. Because our infrastructure is quite old. You could trace that back, frankly, to the bottomsup review that went down during the Clinton Administration where we took a third of our assets and resources out. So its very difficult to really jump to the new age of Artificial Intelligence at large but we need to because there are aspects of Artificial Intelligence that are going to be very important to our war fighters and that is to be able to unburden them to be able to focus on what they need to do. You could say artificial inp telintelljens is august intee is augmented. It allows people to do things quicker, more informed, more accurately. If you take a look at what Artificial Intelligence in our current use, its very narrow, it allows us to make ourselves more efficient and effective. Maria you know, there are so many legs to this story and the whole reason that theres this commission that was set up, you are on this commission along with eric schmidt, along with people from amazon, microsoft, really important technology, its because a. I. Is so powerful that theres it sparked a debate on how to implement it. Absolutely. Maria in an ethical way. Yes. We are an Ethical Society. What we really need to worry about is our say, our competitive peers or adversaries may not be so valueoriented. Our Ethical Society will be always the programmers of what we do and our values will always be seen in what we do. One of the things that being on the board does, i see the industry side and theyre very, very geared towards helping the military do their business better and this is an avenue where efficiency and effectiveity and cost reductions can be bought to bear. People talk about the reduction in jobs but in fact, were struggling to find enough people. We call it the war for talent, right. Were trying to get people to o this and have a flexible mind, can understand how to implement this. Maria you just hit on something when you said earlier about what our add veer rareli e doing. China is using a. I. In a different way. They are tracking their citizens, where facial recognition sparked a big debate. Is china ahead of us on the use of a. I. I wouldnt say i would say in general they have more people focused on a. I. Whether that means ahead or not, still a debate. I think in certain areas we still take the lead, particularly in research and development. We dont adapt it fast enough. Maria you were just in hong kong. Did you see a lot of facial recognition cameras there. This is what beijing uses to crack down on people who are trying to protest against communism and human rights abuses. Were in a different kind of arms race with china. Were the innovators. We have to get serious about what the struggle is about. China integrated the military and civilian world. Any innovation they realize in the economic areas of commercial application they take and adapt for the mill. Maria military. Maria im scrad to understand why google has an a. I. Lab in beijing. They walked away from the pentagon contract and now theyre working in china. I think a lot of its being informed. Weve had a very negative narrative in this country about a. I. They talk sky net. I cant help but wonder if thats not shaped, right. We have a free and Public Society where we consider everybodies freedom of speech, whether citizens or not to help shape our communications. So i think its very important that we understand that our adversaries or competitors, however we want to characterize, are in an economic and military battle with us. Maria you think jobs will be created . Absolutely. Maria we dont know those jobs. When we look at what we have, were very much atune to using Artificial Intelligence an apply those techniques to improving the efficiency and effectiveity of our war fighters. Were struggling to find that talent. Its not a question of somebody not wanting to work. Its very challenging to find people who have those skills and we need more of them and we need to look at education and how we have characterized education for decades and decades and maybe we need to broaden our aspects. Maybe its not just a degree. Theres other ways of bringing people to the table. You know. Technical schools, something thats somewhere in between high school and university and college that allows us to have a broader aspect and bring more people into our workforce. Maria really an important conversation. Thank you for your service and for being on this commission. Thank you so much for having us. Maria good to have you today. Be sure to join us on sunday night for my special, Artificial Intelligence, the coming revolution, it airs sunday night on fox news at 8 00 p. M. Eastern. Please join us sunday night. Thank you. Meanwhile, there are lines around the block for the new iphone on sale today. Fox business susan lee is covering the story for us. Sheafs outside the apple store on fifth avenue in new york city where a special guest has arrived. Good morning, susan. Reporter thats right. Tim cook just arin tim cook. The take a look at the iphone launch and the Apple Flagship opening on fifth avenue. They say iphone launches are not what they used to b when you look at the line and the crowd here today, i would say this is a throwback. Some of these people have been here for hours and yes, they are here to pick up their new iphone 11s, also the apple watch 5 series and new ipad as well. The flagship opening is a bit special. We had tim cook arriving and also because the store in particular has been closed since january 2017. So its been almost three years that they havent had access to this iconic, kind of like the louvre, this is something steve jobs particularly wanted and this Flagship Store here on fifth avenue, this is the first time weve seen it in close to three years. We got a special sneak preview inside yesterday. Let me show you. This is the new apple fifth avenue flagship. Yes, it closed in january 2017 but now its reopened to the public and more people visit here than the statue of liberty. More than 57 million since 2007. Whats new about this . Take a look at the natural lights. Theres more light here because we have 62 skylights. We are also lower in the ground by seven feet and this by the way is also where theyre showing the new lineup of the iphone 11s. Now, speaking of the iphone 11, i got my hands on one of these brandnew phones and the buzz is that it has one of the best camera systems in the market on any smartphone, also longer battery life as well and preorders have been pretty good. Apple really needs it right now since we have seen slowing iphone sales the past couple of quarters and they are shifting towards services but if you take a look around here, a lot of these are preorders. Theyre very interested in the hardware. Maria all right, susan, great reporting. I cant wait to see that phone up close and personal. Coming up, the assistant to the president for trade and manufacturing policy, Peter Navarro will join us on set, give us an update on usmca and his take on china talks as the talks between the worlds two largest economies enter day two. Back in a minute. Isnt it all u when it comes to your money . So. Whats on your mind . We are a 97yearold firm built for right now. Edward jones. Its time for investing to feel individual. 2,000 fence posts. 900 acres. 48 bales. All before lunch, which we caught last saturday. We earn our scars. We wear our work ethic. We work until the works done. And when it is, a few hours of shuteye to rest up for tomorrow, the day well finally get something done. the day well finally get something done. Beyond the routine checkups. Beyond the notsoroutine cases. Comcast business is helping doctors provide care in whole new ways. All working with a new generation of technologies powered by our gigspeed network. Because 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. Simmering trade tensions, it is day two of a facetoface talk between deputy trade negotiations from the United States and china many. Here in washington, d. C. Negotiations coming ahead of high level talks which are happening early october. A new fox news poll shows that 45 of registered voters say that tariffs on imports from other countries hurt the u. S. Economy. 31 say it helps and 12 say there is no difference. Joining me right now is the assistant to President Trump and the director of office of trade and manufacturing policy, Peter Navarro. Its good to see you. Great to be here. Maria we have a lot to talk about. We have to talk about china and usmca. First, a word on china. What are we going to learn from these guys being in washington these next couple of days . Whats your best expectation . The deputies are coming in for two days. The big show is when the chief negotiator for china sits down with Bob Lighthizer sometime in the next couple weeks. I think the issues going to be where the negotiations will start from. Will they start from where they left off when china reneged on 150 page deal or not. So lets those negotiations take place and hope for the best. Maria the president said americans are not paying for the tariffs. That is absolutely correct. China is paying for the tariffs in three ways. They are slashing their prices. They crushed their currency, its down by almost 12 now. The biggest part of the pain china is experiencing, and i dont think they understood this was going to happen, is that the supply chain is fleeing china right now and a that is a longterm trend. Im not even sure a deal is going to stop that unless its a deal that they agree to soon because people are leaving china. Because of a lot of things, high wages, the pollution, but also the fact that they dont want their technology taken by the chinese government. Maria these are longterm things. You cant just overnight say im leaving china, going to vietnam and then six months later say ill go back to china. Once it starts, it starts. Thats correct. Irreversible trend. It takes place quicker for some than others. Some factories can leave in a matter of weeks, some it takes a lot longer but boy, theyre leaving china of fast. Maria and yet senator Amy Klobuchar critical of the tariffs imposed on china, she said they have a great impact on our economy. I want to get your reaction to what she said in the last debate. Watch. Youve actually supported the tariffs on steel. What weve got right now though, george, its not a focused tariff on steel. What he has done here, he has assessed these tariffs on our allies, he has put us in the middle of this trade war and he is treating our farmers and workers like poker chips in one of his bankrupt casinos and if we are not careful he is going to bankrupt this country. One forecast said it has already cost us 300,000 jobs. Maria 300,000 jobs. I love that quote. This is a klobuchar new math. Remember the new math. Lets thinker about this. President trump has created over 6 million jobs, hes created over half a Million Manufacturing jobs and we got the lowest Unemployment Rates for blacks, hispanics, womens, disabled and veterans. Where are those lost 300 jobs . Theyre not in due lieutenant d. Ive been in duluth, ive stood on the mere pier, watching the pellets head out. That from klobuchar, they need to get their act together. If theyre claiming kind of job losses in this kind of economy, theyre just dead wrong. Maria the broader point i dont know where she got her numbers. I know where, mark zande of mood ian lit ex who was Moody Analytics who was the clinton clone during the campaign. I used to d do battle with that guy all the time, just totally bankrupt economics. Think about that. Theyre saying we lost 300,000 jobs and we have the strongest economy and lowest Unemployment Rate in history. Maria things are slowing down. Youve got 3. 1 growth in the first quarter, 2. 1 in the second quarter, the uncertainty over china and usmca. Thank you, jay powell. Thank you, jay powell. Usmca,lets think about this relative to china. We export five times more product to mexico and canada than we do to china. Thats why this deal usmca trade volume is twice that of china and mexico or canada is the largest trading partner for 44 states in america. So right there im looking at capitol hill, they need to put that usmca on the floor and get it passed within the next 30 days because that will be a catastrophe for america if we dont get that passed. Maria yesterday, Kevin Mccarthy said if it doesnt get done by thanksgiving its not getting done. Whats plan b . What do you do . What if she doesnt bring it to the floor . Im not going to plan b until plan a is off the table. I think everybody on capitol hill understands resolve of this president and this has to be something where we transcend politics. I believe nancy pelosi will do that. Ive known nancy pelosi. I think on this issue she realizes if she doesnt do the right thing, labor, corporations, farmers, ranchers r, manufacturers, workers are all going to be hit in all 50 days manufacture doe. Maria does the American Worker have a guarantee theyre going to make a good wage versus their mexican counterparts who apparently are making 1. 50 an hour. The beauty of this Robert Lighthizer he created a beautiful vision for this. Its called he domestic content rule. 75 of the domestic content of autos has to be within the usmca zone but 40 to 45 has to have wages at at least 16 an hour. So what that does, it means that well get our fair share in mexico, those jobs wont be going to the giant sucking sound south. Everybody wins, mexico wins, canada wins, we win. We become the he global hub for manufacturing again. Thats good. Thats why this has to pass. Thats why we need to stay focused right now on usmca. Maria is that going to have a boost on the economy once it does pass, do you think. Its a beautiful thing. Its a point of growth according to the International Trade commission, 75,000 auto jobs, hundreds of thousands of other jobs and we get two other things like digital which the old nafta didnt handle. We need to have nafta a as deads bill de blasios candidacy for the president. Maria we have breaking news, bill de blasio announcing he is dropping out of the 2020 president ial race. Ill sit down with Tulsi Gabbard next hour, right here, mornings with maria. Join us for that interview. Employees need more than just a paycheck. You definitely want to take advantage of all the benefits you can get. 2 3 of employees said that the workplace is an important source for personal savings and protection solutions. The workplace should be a source of financial security. Keeping your people happy is what keeps your people. Thats Financial Wellness. 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We can help you plan for that. Start today at principal. Com. Maria welcome back. Good friday morning. Thanks so much for joining us. Im Maria Bartiromo coming to you live this morning from washington, d. C. , it is friday, september 20, your top stories right now 8 00 a. M. On the button on the east coast, mark about zuckerberg taking on washington the facebook ceo, is meeting met with President Trump lawmaker yesterday headed back to capitol hill today as he faces calls to spell instagram whatsapp. Negotiating table on china trade deputy level resume in washington deputy level talks, are assuming as President Trump prepares tariff he xemions. Schwarzman needs, 19 points to end at alltime high, the dow industrials also, close to alltime high needs up 265 points, to be unchartered territory we are right there, in record territory with dow industrials this morning up 48 points s p up 5, the nasdaq up 19, after stocks ended mixed yesterday to look dow industrials down 50 points s p up as nasdaq fractionally Global Markets this morning like this, european indices are higher today, and you see ft 100 up 10 points off best levels of the morning cac quarante up 16, dax turned negative down 2 points in germany, in asia overnight fractional movers across the board, the peoples bank of chooirp put the one year loan rate from 4 1 4 to 4. 2 chinese economy continues to slow down, coming up friday morning joining me to break it down Fox Business Network Dagen Mcdowell in new york chairman American Conservative Union in d. C. Former wonlt borrowed mep Stephen Moore great to see everybody. Dagen, what is on your mind . Dagen mayor about bill de blasio dropping out of president ial race i dont think a sxrief to anybody he is a living breathing walking example of how socialism fails people. How it fails those most in need that network in new york city failed every note now failed in bid to become the democratic nominee for president. Maria we want to tabling about that because you are hearing a lot socialism programming from the democrats, is this setting up 2020 to about softly Virtual Reality capitalism u. S. Achieve Technology Officer michael, we are talking about, a. I. And is the chief Technology Officer of the white house, hawaii congressman 2020 president ial candidate Tulsi Gabbard here the suit she is having suing google dont miss a moment we talk about that and 2020. Breaking news you heard dagen tell you bill de blasio out of the 2020 race making the announcement joining us o former mississippi governor rnc chairman Group Founding Governor Haley barbour a pleasure to see you. Thank you your reaction to bill de blasio out. Not much nobody is going to notice [laughter] i think he got up to almost 1 in polls in iowa i doubt he will be missed. How would you assess the stage democrats versus republicans versus President Trump. Very, very large has a lot of possibly for problems for the democrats whether i have seen people on the show say biden, like i said like i said, i i am not so sure that is the case it is a long time from now to the primaries, but we saw in 16 afield coop be complicated going to see that problem are i think President Trump is a lot more politically strong than the liberal media elite giving credit for it was a lot of disruption governor obviously, in 2016. For the republican party, if a Democratic Party seeing this dramatic shift away from people like joe biden, bill clinton, two people like elizabeth wliz berniy thos eliz warren and Bernie Sanders. Lurch started under obama press tried to act it wasnt going on it gained ground gained ground, been arrange a long time old enough to remember when the out party referred to themselves as loyal opposition. Can you imagine democrats referring to themselves as loyal opposition . They have gone so far to the left, i think that really hard to get a friendly discussion i think biden the guy to beat you are thinking you know, that Elizabeth Warren going to consolidate left wing vote. Do you see is joe biden a strong candidate for them . Made so many gaffes a moderate polls show a problem for trump in states like pennsylvania. Really a moderate . Compared to the rest i love your segment, i remember when he was Teddy Kennedys winning man nobody called him. Nobody moderate today but Democratic Party. Such a wild shift to the left, and it may be that they are not enough people in the center, center left for biden. Bidens problem he is just so mistake prone if you have a room i dont care how longer and a pile of dung in it he will find it step in it never misthe opportunity. I am going to find a pony. Is it dagen a lot of people feel it is down to just three candidates, biden bernie, and Elizabeth Warren. Dagen it is very interesting i think it was cohen at New York Times did research where would say Elizabeth Warren voters go if she dropped out which doesnt seem likely or where would Bernie Sanders oppose voters go not based on ideology it is based on demographics that sanders votes favor biden White Working Class working choose blue collar americans while Elizabeth Warren voters favor Kamala Harris just based on demographics who are interested in those accounts not just their ideology so that adds a wrinkle to it i want to point out in new fox nice poll midweek, will trump be reelected in 2020 was the question. By 6 sent out margin are voters predicted trump will be reelected but reversal from december last year by 13 points more likely to say he would lose this is in a poll where headtohead matches up, Democratic Candidates beat President Trump people still think is going to get reelected. There you go what do you think about that. I think first of all, history says that most ptsdz who run for reflex get reelected, about two out of three times. But the other thing, i think it speaks of what, we were talking about beginning this very large field is not helping the democrats. And it is moving further and further left. There is this nightmare scenario for the republicans, that i want to run by you. Her name is mitch obama, and Michelle Obama if she gets in the race could blow away the field. She came came on show bloomberg or michelle oeb could come in 11 tho 1t 1th hous a popular woman the where a lot of ran for president didnt do so well. Let me switch gears ask about whistleblower complaint about President Trump we dont know much about it it is in paper top p democrats threatening to sue white house and Intelligence Community over the refusal to release a secret whistleblower complaint reports says the complaint involves president of. You crain President Trump called attacks another fake news story your reaction. It shows New York Times in particularly are liberal media elite generally will jump on make a huge story out of nothing if they think it hurts donald trump. This is the lead story in todays New York Times first several paragraphs we dont really know anything about story zpept bad for trump so we put it on the front page. Maria can the president keep fighting with the media, going into 2020 . I mean what does that represent the fact that the much of the media is liberal against him. Well, for some wisemen once said if you dont want to get in a argument that with somebody buys i. S 234i6789sk by barrel trump seems to have thrived on that, and the and the news media is less and less credible less and less popular for good reason. Maria i assume you are excluding present company. , of course. Governor Haley Barbour zuckerberg back on capitol hill fire founder ceo met with President Trump fade tough scrutiny from lawmakers back meeting other lawmakers today General Motors facing day five of a worker walk out what is at stake for a Deal Companies begin feeling the bite, back in a minute. Be working harder. Thats why your cash automatically goes into a Money Market Fund when you open a new account. Just another reminder of the value youll find at fidelity. Open an account today. Of the value youll find at fidelity. [upbeat action music] pilot were going to be on the tarmac for another 45 minutes or so. Maria it is day five uaw strike against General Motors some indication of progress as two sides try to negotiate a deal we are seeing the Ripple Effect on companies though live in detroit with the latest grady. Good morning, maria. This is First Business week lost production for General Motors hearing as soon as he of movement in contractor about negotiations between gm uaw, sending a letter to uaw assuring progress has been made i can report to you that as of today, some progress has been made but there are still many issues of membership that remain unsolved the process of meeting will continue this weekend, and beyond. If a tentative agreement is not reached this is significant because we hadnt heard of much progress before this, earlier in the week when strike was just starting, taw Vice President told me, only 2 issues resolved this letter acknowledges talks could go into weekend and next week if a tentative deal is reached we also have to get approval or both side have to get approval semi say from striking employees 49,000, that process could take several days. We are also starting to see how this strike is affecting supply chains beyond General Motors at this point. Inacti nava star makes commercial trucks for General Motors told they are not getting parts they are idling production there are several companies experiencing similar problems, including suppliers and delivery companies, General Motors stock is also taking a hit because of this, certainly putting pressure on both sides to reach a deal, sooner rather than later, as the strike you mentioned now in fifth day closeddoor negotiations expected to pick back up this morning a few miles from here in downtown detroit. All right grady we will follow that thanks so much Grady Trimble in are detroit a scene from apple story new york city we showed you earlier we show it again apple ceo tim took opened doors to store in new york open 24 hours a day, you can shop any time. Overnight. Most important to me that screen shatter proof why cant they make an iphone screen doesnt shatter. Great point zuckerberg taking on washington headed back to hill following meeting with President Trump, tough questions from lawmakers yesterday as well rise of Artificial Intelligence, why ibm ceo is sending alarm on dangers of Digital Economy closer look as part of my upcoming special later this hour. At synchrony, were changing whats possible every single day. But what does changing whats possible mean anyway . Well. If you run a business, it means a lot. For starters, we provide you with Financing Options for your customers. That way, you can help them buy the things they love instantly and pay over time. And that turns them into serious fans. Hang on, theres more. Want Customer Insights . Weve got those, too. We use data to show you what your shoppers have already bought so we can tell you what they might consider buying next. And you can offer them the perfect products. That ceo gets it. 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Maria welcome back, markets are higher this morning, take a look we are back near highs of the morning actually you why futures again 57 points we are expecting a higher opening for the broader averages s p futures up 6 nasdaq futures up 21 we are watching Global Markets as well amid comments from incoming ecb president christine la door. We hold you the countries lowered forecast, mark mobias thanks for joining me. Nice to be on. Character arrives the broad Global Economy for us traveling around the world with a are you seeing in terms of economic backdrop . The whole thing is insane because with Interest Rates going down and into negative territory, people really are searching where to put money, and, of course, it is either gold, or some kind of dividend paying stocks really that is really the two sort of safe havnz very difficult time for investors realign thinking as to where they are going to put money what is safe, the problem is with low Interest Rates what is the way to access safety of a company, people now putting money into money losing companies they really dont know what is going to happen Going Forward it is a very crazy time. What you do you mean by that lower rates making it harder to Access Health xaeven. Exactly because what happens people start flowing money at company that is losing money in the hope that in future it will be paying good dividends rising having rising in price it is very, very difficult to assess whether a company is safe or not depending what Interest Rate will be, on the balance of companio is issuing in a situation company can issue bonds get a low rate does not reflect the what risk is of that country or company. Interesting caution we just had a conversation with steve schwarzman, schwarzman saying he doesnt understand all this hype over wework and upper very critical of those Companies Says there is a bubble in the private market are you seeing bubbles . Definitely, no question that there are many of these companies that are not going to be around three, four, five years the game to throw billions of dollars at industry or company dominate i am wondering where the antimonopoly people are because at the end of the day, these companies are designed to monopolize a particular sector and, of course, get everyone out of the sector and take over, i think, it is quite a dangerous situation. Quick steve. Look what i dont understand record low Interest Rates you are talking about why is it that companies arent borrowing more now to finance the kind of Capital Investment for the future . I mean you know we are probably never going to see Interest Rates this low again in our lifetime 2 rates. Do you see that happening if not why isnt it happening why arent companies borrowing more to finance expansion . Well, it will be happening, but first theyve got to look ahead as to what is going to happen with trade, and other factors in the Global Markets. So definitely you are going to see companies borrowing more because of low Interest Rates. But there is a lot of uncertainty out there, because several factors political other factors you know the interesting thing is that you are seeing around the world, emerging markets, europe in negative territory on Interest Rates, but emerging markets lowering rates in fact, issue lowering taxes as well, india lowered tax quite stlaenl substantially do you think this is warned what is your assessment of global country i mentioned oecd countries lowering growth rates are you worried about recession on the horizon. I am not worried about releasing in nearterm because i believe trump will want to continue to push the u. S. Market up, and do whatever it takes, whether it is pushing fed to lower rates, easing up on trade sanctions et cetera, et cetera i believe we are not going to sees recession until after 2020 election then perhaps we have to see what happens doesnt look too good Going Forward. Are you still buying stocks you want to own stocks right here . Yes, definitely we are buying stocks biography, he emerging market for the first time in long Time Beginning to outperform u. S. Market quite interesting a few months this is happening, but i think there is lots of opportunity in these er emerging countries simply because money is getting cheaper and cheaper for companies to borrow and expand, so we are guying in india, of course, we have some in china we are in brazile many emerging countries. Anything in u. S. . In u. S. Looking at some Companies Really are emerging Market Companies because mostly earnings major markets but nothing at this stage. I see, great to have you this morning we need more time with you, to tap into your great intelligence on investing, i hope you come back soon. I will be happy to thanks. Thank you so much, coming up quick break then zuckerberg on the Hill A Facebook founder ceo meeting with President Trump yesterday after facing tough questions from lawmaker u. S. Chief Technology Officer Mike Kratsios on set the future of rise of Artificial Intelligence, closer look when we come back. Award winning interface. Award winning design. Award winning engine. The volvo xc90. Our most awarded luxury suv. The world is customized to you. Built for you. So why isnt it all about you, when it comes to your money . So. Whats on your mind . We are edward jones, a 97yearold firm built for right now. With one Financial Advisor per office, were all about knowing whats important to you the one who matters. Edward jones. Its time for investing to feel individual. Maria welcome back, good friday morning. Thanks so much for joining us. Ima passive. Live this morning from washington, d. C. , it is friday, september 20, top stories 8 28 a. M. On the east coast markets are higher right now, dow futures up 38 schwarzman futures up 3, nasdaq futures up 14. S p needs to end the week just employ 19 points, to be in alltime record high territory, the dow industrials need to be up 265 points, to be in unchartered territory around unchartered test with markets Global Markets mostly higher we are well off highs in europe, ft 1006 points cac quarante up 20, the dax is up 3 points, well off of the highs after Christine Lagarde spoke earlier markets fractionally moving people bank of china lowered from 4. 2 to 4. 2 the chinese economy shows signs of slowdown, back in the u. S. , big technology, anybody is the hot seat founder Chee Facebook zuckerberg, met with President Trump yesterday facing harsher criticism from you lawmaker on capitol hill over Election Security breaking up facebook assets a lot more hillary overdrawn covering the story on capitol hill good morning to you. Reporter good morning, maria. Facebook ceo zuckerberg making a points to meet were lawmakers leading about crackdown over antitrust privacy concerns and conservative bias on platform today day three d. C. For zuckerberg kept congress until now at arms length now welcoming with open arms yesterday met with President Trump openly blasted the platform for every being rigged against conservatives spokesperson called the meeting constructive made rounds on capitol hill, senators skeptical one of the loudest critics did not who will back behind closed doors telling ceo if he is serious about privacy he needs to prove it. I think telling what is happened in instagram will be a great step forward why wait for it to be ordered by a court do it now show that you are not trying to your competitor. I think taken off guard i think that you know thought that was not a great idea. This morning fox business learning he will be back here on the hill to mete with house lawmaker, he will attend a closeddoor meeting hosted by jiernt leader Kevin Mccarthy. Hillary vaughn capitol hill joining me white house u. S. Chief Technology Officer, Michael Kratsios, great do you have on the program. Thank you. What a title you are u. S. Chief Technology Officer you got a lot of things on your plate, first first off reaction to capitol hill zeroing in on the power of companies, but more powerful today than we have expected. Absolutely, Technology Companies continue to play a Critical Role in the life of every american, and i think the reaction that Mark Zuckerberg got to d. C. Shows what a big part they play how Important Companies are to daily lives americans. I want to ask about Artificial Intelligence Administration Made this a priority. Yes, absolutely, so we kicked off in 2017 thinking about what National Tech agenda would be zeroed in on ensuring American Leadership emerging technologies First Priority deriving leadership in Artificial Intelligence critical for future of our country in providing our citizens with services they need also National Security concerns, for so much ai can do to deliver on that president signed executive order february launching american a. I. Initiative a government approach to ensuring leadership in this domain. Important you mentioned a lot of things going to impact, every industry pretty much, and there is also National Security concerns, that is why, we proud a onehour special, are on Artificial Intelligence airing this sunday night, as part of that a. I. Special i spoke with ceo of ibm Ginni Rometty about rise of a. I. How Companies Might regulate it watch this. I think there should be regulation around you have to be able to explain a. I. What is it doing where did it come where did training come from i really do believe precision regulation downside is putting a danger on digit economy i think that would be a very unintend consequence. Maria a. I. Is so powerful sparked this debate about how to implement it, from ethical standpoint regulation standpoint, what do you think. Yeah i agree with what begini in that statement in president executive action we focused specifically on one of the pillars we want to drive regulatory ecosystem that Sports Development of ai proets security of all americans, in order to do that president requested that the white house put out a memo to agencies how they should be thinking about regulating Artificial Intelligence, that is something you are going to be coming out of white house in short order going to sort of set high level principal of the way they should be thinking about this fairns robustness trust worthiness,whether fa looking at operations this is really important, because i think, that we dont have a global set of principles around aiflti, certainly when you look at china, china is using their Artificial Intelligence to track their citizens, and so the u. S. Is using a. I. In the military but who whose call is it going to be to kill somebody . Is it man or machine . So this sparked a whole conversation be oathics. Absolutely two defer froochz use of Artificial Intelligence one hand we have u. S. , another o democrat came together this past may, and signed on to what are oecd ai principals 28 members came together underpinned by American Value idea of privacy sifrl liberties fairness underlying principles, very different than adversaries in china the way they approach Artificial Intelligence whether to surveil people or things like that something that is very different than u. S. These are types of principles you see going to seep into the way we approach regulatory positivesture. There is a reason San Francisco, by the way, is first city in america to ban facial recognition further debating all over china, so that government knows who is at protests what you are doing at all times. Points of actions certainly not acceptable in the United States, and as we develop we need to thing thoughtfully about safeguards important cases, facial recognition important for National Security border tsa checks internally in United States tluls should be different, i think looking at them. In my special, i interviewed kooi fewly said 40 all jobs will be displaced by machine next decade. Your reaction. There will be displacement a lot of economists looked at this numbers range from 9 or 10 to 40 or above we know some change will happen, as administration we are taking every action we can, to ensure that we have the right programs to reskill retrain American Workers as they prepare for next generation jobs, lost council American Workers great example ivanka trump is leading we launched the mentally to American Worker hundreds Companies Committed to reskill retrain over 13 million americans if we optimize use the that we have to retrain skilled workers the way we can get over this problem. Maria there is a difference between Artificial Intelligence, and artificial general intelligence agi can pretty much do everything a human can do emotion, reason, problemsolving, ares where do you expect agany our lives. I agi have, in our lives we are not explicitly focused on that right now i think we have a lot of issues related to the way learning in Artificial Intelligence exists being completed by industry by government make sure that weve sort of the right regulatory positives tour to encourage that would seek maintain absorb benefits of those also safeguarding protecting americans. Which industries benefit most from Artificial Intelligence. We feel Artificial Intelligence is going to help all industries hosted our inventory event i he tieltdz a. I. Tor american industry whether you are doing medical about the doingh diagnostics boston oil, traction texas farming in iowa you will be impacted in Health Care Space the way Drug Discovery now able to process very large data sets making a very big difference. An important topic i hope you come back soon. Is it Michael Kratsios u. S. Chief Technology Officer, tune in for my special ai. Cheryl coming revolution on Fox News Sunday night 8 00 pm eastern Fox News Channel more next week on fox business, President Trump tweeted on whistleblower report here is what he said, the president rates radical will have the democrats Fake News Media partners headed up bin by little adam schiff batting zero for 21 against me at it they think i might have had a dicey conversation with certain foreign leader based on highly partisan whistleblowers statement strange with so many people hearing knock of perfectly fine respectful conversation would not also come forward do you know the reason why they did not . Because there was nothing said wrong it was Pitch Perfect writes president talking about that this morning a short break when we come back bill de blasio announced he is dropping out of the 2020 president ial racing i sit down hawaii congressman 2020 democratic president ial candidate Tulsi Gabbard coming up, tim cook Opening Doors to new york citys reopened apple store wave of devoted fans line up outside for the brand new iphone 11, back in a minute. Oh, wow. You two are going to have such a great trip. Yeah, have fun thanks to you, we will. Aw, stop. This is why voya helps reach todays goals. All while helping you to and through retirement. Um, you guys are just going for a week, right . Yeah thats right. Can you help with these . Oh. Um, were more of the plan, invest and protect kind of help. Sorry, little paws, so. But have fun send a postcard voya. Helping you to and through retirement. Performance comes in lots of flavors. dramatic orchestra theres the ampedup, overtuned, feedingfrenzyof sheetmetalkind. And then theres performance that just leaves you feeling better as a result. Thats the kind lincolns about. Fun fact 1 in 4 of us millennials have debt we might die with. And most of that debt is actually from credit cards. Its just not right. But with sofi, you can get your credit cards right by consolidating your Credit Card Debt into one monthly payment. You can get your Interest Rate right by locking in a fixed low rate today. And you can get your money right. With sofi. Check your rate in 2 minutes or less. Get a nofee personal loan up to 100k. Maria welcome back, google teaming up with walgreens drone delivery gebbie willis looking at that looks like higher opening this morning gerri. Yeah good news there after a pretty crappy ending last night lets talk going for a second, drones Delivery System wing under way next month october Drone Deliveries for walgreens very exciting, this is really a test with the department of transportation, forget same day delivery think what about right now they are promising delivery of goods like over the can you be theer drugs Health Wellness within minutes think about it very exciting, fedex in on this all starts in virginia next month. Meanwhile, the big news this morning, apple iphone 11 is going on sale, today, this morning with lines all over the world especially right here in new york city you are seeing the video right now, tim cook Opening Doors, from obviously, employees but also people staying up for hours, trying to get into those stores, singapore sydney berlin london, also, seeing folks at front door see if those sales can jump higher back to you. Maria gerri thank you. We will take a break breaking news this morning new york city city mayor bill de blasio announces he is dropping out of 2020 president ial race i am sitting down with have a waya congresswoman Tulsi Gabbard. Her take as country from my tweeted threatening all out war in response to any military strike from u. S. , this is next. Hmm. Exactly. Liberty mutual customizes your car insurance, so you only pay for what you need. Nice. But, uh. Whats up with your. Partner . Not again. Limu thats your reflection. Only pay for what you need. Liberty, liberty, liberty, liberty every curve, every innovation, every feeling. A product of mastery. Lease the 2019 es 350 for 379 a month for 36 months. Experience amazing at your lexus dealer. I thats the retirement plan. E, with my annuity, i know there is a guarantee. Its for my family, its for my self, its for my future. Annuities can provide protected income for life. Learn more at retire your risk dot org. 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The standards obviously, p gotten tighter in terms of the people on that stage you have been critical of the dnc in terms of the process tell me what have you seen. There is a lack of transparency you know set polling requirements at outset these are polls we recognize, but delis not been transparency in saying why that is, will those pollsters actually poll, what the demographics are so on so on they set requirements both for grassroots donors as well as pols we far surpassed donor requirement there are over 30 pols now that recognize, i have either met or exceeded the dinitiativec standards, the dnc only recognized two i think the problem lack of transparency arbitrary nature of this i am hearing from voters, is lack of transparency means lack of trust in the process, and that they are taking the trying to take the power away from voters to actually be the ones, to decide who continues to move forward, in this campaign. Maria you think has that made it harder for you to resonate with American People another article today saying they are about to tighten it up again for the next debate. Look it is a platform to reach a lot of people across the country, i am focused debate or no debate to continue moving forward. And directly meeting with listening to sharing my vision, with voters, in the early states i won New Hampshire South Carolina voters as go country. You are going to keep going what are you going to do. Keep on going i dont believe that any one person or small group of people in washington, d. C. , have the power to dictate who voters can choose from, in our election that power lies so he will silly in hands of the voters, in our primary election and in our country, and i trust them, that they will that they take that responsibility seriously. Access the field for us because that first debate i felt like you really took out Kamala Harris she has rolled over in the pols ls at this point the others have about about socialist plans where are you do you feel this lurch affected for you chance. No, i havent the way i approach what is in progress box moderate or centrist or conservative box what is democratic idea republican idea i look at challenges American People are facing i think for myself doing research looking how can we best serve interests this hyper partisanship that we find here in washington caused so much gridlock has been such a disservice to American People if in one camp dialogue out order of the other camp because of the letter that might be next to their name, weve got to come together as americans motivated by this love for our country and care we have for each other take best of these ideas work together, move forward, we will have disagreements that is okay. We can talk through them we can about say we can might disagree on this but what about this find agreement there move forward, and most importantly meet that on the of serving American People. Absolutely, if you are not on the stage for the next debate i mean obviously, this polling criteria, maybe one factor but is there something that is going to lead to you make a decision whether or not to keep spending all this money or to drop out. I am continuing my campaign, full speedy ahead using every. Mr. And every means possible to be able to again about directly connect with the voters voters in this kufrns ultimately make that decision who they want to be our democratic nominee i plan to take this all the way to the convention. Youve got the floor tell our audience your platform what why are you best candidate. I am running for president to bring values at heart of every Single Service member to white house values and principles of service above self putting the world people in our country apeaked of partisan politics ahead of process bringing unique experience that i have in have field of candidates of serving as a soldier for over 16 years in Army National guard fullying twice middle east serve own Foreign Affairs committee, Homeland Security committee bringing experiences depth of understanding conviction from that to white house prepared to serve as our commander in chief on day one, to end these waste full regime change wars work to end new cold war arms race redirect the resources the trillions that weve seen spent on wars weapons this the past redirect that towards actually serving needs of the American People right here at home. Maria i mean i think that loan resonates with audience because you have been there, you have been on front lines thank you for your service. Thank you. Maria i got to get your take on what is going on right now present day issues saudi arabia iran allout war that is what the Iranian Foreign minister Mohammed Chabad Zarif is saying would happen if a military strike on iran, i spoke exclusively earlier in the program with former defense secretary leon panetta about tensions with iran here is what he said. With regards to military option the problem as we all know is that any time theres a military strike, against iran, just based on my own experience as secretary of defense, it was pretty clear that the iranians would respond to that kind of strike, by twoogdz oattacking fn the region we could see war i dont think either United States or saudi arabia wants to get into another middle eastern war. Basically what you said as well, how should u. S. Respond . I think weve got to focus first and foremost what our goal should be, our goal should be ensuring safety and security of the American People. Now, this cycle of retaliation that secretary penn panetta was just talking about iran is retaliating for sanctions basically stopped them from being able to sell oil in Global Economy there is a response coming from saudi arabia and United States we cant expect a response from it is the cycle eveof retaliation allout inferno not just iran but across the middle east not outcome receivers admittedly American People or taxpayers what we really need to do, in order to prevent iran from continuing to move forward and developing, a nuclear weapon, and make sure that we are that we can avoid this inferno realize this current strategy isnt working to do what i have been saying all along reenter that Iran Nuclear Deal end sanctions, and then take a parallel path, to be able to, would out other differences that we have with iran. Maria radio you wanting to back into iran deal . Do you think it with a mistakes for president to take u. S. Out of it. I do i think a big mistake because once again if we stay focused on what our objectives should booeb Safety Security of American People weve got to realize every day that iran is not in that nuclear deal, the deal that trump walked away from one closer to seeing iran develop a nuclear weapon. They were going to do it any right deadline, 10 years, 15 years. This is when a i am saying where we are right now staying in nuclear agreement, it put that date off farther into the future allowing us time to be able to further work in parallel with it whereas where we are now, iran is not complying with nuclear deal because we walked away from it expressed newers types would like about to reenter the nuclear detail would open the door for inspectors so forth to get back in to make sure their complying so long as not doing that, we are getting closer closer to iran having a nuclear weapon. We leave it there really good to have you this morning congressman Tulsi Gabbard. Well be right back. 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New york city mayor bill de blasio ending his very long shot bid to be the democrat nominee. De blasio failed to gain traction with voters, even with democrats in new york city. Tim cook arriving this morning in new york city. Apples