Transcripts For FBC Cavuto Coast To Coast 20240713

Long time before it recovered september highs. How long . Try about 25 years. In other words, the highs we reached that year, at the peek of that bull market, september third, 1929, were not realized again until november 23rd 1954. You hear about catalysts and Hedge Fund Managers at time, were not called Hedge Fund Managers. Were worried about the giddiness building. It was too far, too fast a great comeuppance. Herbert hoover who was providing over roaring market. He came into office in 1928. Things were swimmingly two years later. He would not survive in the next election. Someone who was considered laughable shot rising to the white house, you might remember the name. Franklin roosevelt, Big Government spending liberal, who many said who would have no chance taking 1600 pennsylvania avenue in the middle of a financial crisis. Reminders that unexpected developments can change outcome of elections. We saw that in 2018, john mccain, fellow named barack obama were deadeven until the metdown. Mccain fell eight point behind barack obama. He was never able to make that up. These things can change on a dime when people lose lots of dimes. We remember how fickle history is. Well look back then, see the differences and distinctions neil markets to up, markets go now. Get a sense where were going now, with the United Capital ceo down but put this in perspective. Joe durant. Capitalist Pig Hedge Fund 27,214, not too shabby on the dow, 90 years ago today we were manager, jonathan hoenig. This notion of then versus now. At 240. People say watch out forbid did reminder through crises, over time the market is your friend. To Charles Payne right now. Iness. If it gets excess sieve. Hey, charles. Charles neil, thank you very much. Appreciate those words of are we different then than now. Wisdom. Good afternoon, im charles i see a world of difference but payne this is making money. I see pockets of giddiness but were nearing alltime highs with the market hurdling over what about you . I see some of it. Several roadblocks. Mostly focused on the private google earnings missed. That is holding nasdaq. Markets, not the public markets. But biggest proxies of the interesting you look at examples economy, General Motors, pfizer, back then, 90 years ago, look merck, mastercard all posting back to 2000, 2002 when there were clear bubbles in the impressive Earnings Results and dotcom phase and then this message of market what you need to look for. 2007, 2009, real estate. What you tend to see, a big boeing testifying on on capitol hill about the with prompted the crashes of those bubble tops. Speculation farreaching impacts two 737 mack jets and taking all americans. We do not see that today. Heat from both sides of the oil. We have nothing like the excesses in the banks or in warning signs you need to watch to look out for so youre dotcom stocks that we had then. Not losing your what was true in the 50 declines, much more than traditional bar market, you have speculation that touched all americans. We dont see that today. You look back in 2007. You remember everyone going crazy for real estate. You remember in 1999, everyone going crazy for dotcom stocks. In the late, in the 20s, there was a completely different environment then. Everybody was speculating in stocks. That is not true today. So while there are a lot of excesses, they dont reach the pinnacle that well see then. That does not mean you shouldnt be ready for 20 decline which is normal that would be a traditional bear market. We should not expect to have that. Oddly for most people, they have experienced two 50 declines in the last 20 years. That is really unusual. Something that again, its a once in a lifetime thing. Neil we can pick apart parts of the market. But i also see a lot of cash on the sidelines right now, jonathan. I also see a lot of people who are talking about things getting ahead of themselves. There is much more discussion of that than there was prior to other market kind of runups and quick rundowns. What do you say . Neil, no question we dont see that greenspan phrase, irrational exuberance we saw in 87 and certainly not in 29, neil. We see a political similarity. A republican president , a businessman like Herbert Hoover donald trump who favored tariffs as way of saving american jobs. We see that now. We dont know how that is affecting the economy, neil t has longlasting effects. Economics is secondary level effect. All we can do watch the market trend up. Jpmorgan, microsoft, apple, all at alltime highs or 52week highs. This is bullish. I think you have to keep an eye out for some of that irrational exuberance. It is not cash which is earning a little bit more these days. Not cash, uncorrelated assets that can zig when the rest of the market zags. Its a matter of time before the market corrects. We dont know when. It could be tomorrow a week from now. We know a matter of when, not if. Neil in retrospect in 29 experience it was a rich market. That is in the eyes of the beholder i grant that but im looking at it as well, im wondering when you see the landscape do you think this is rich market now . Doesnt have to be significantly rich, when you look at pricing now, joe, does it look rich to you or fine . No it is expensive. It is expensive by any measure. However not to the extremes you would see in a major bull market that weve seen in the past. I would say that the biggest risk area right now that affects everybody is Interest Rates and debt. Because we priced worldwide negative yields, yields in 1 1 2 , what this world is not prepared for is any level of inflation. There is no hint that is on the horizon. That is the one big thing that would catch everybody unprepared. I dont see any reason for it to occur. I always worry when nobody see as reason for it to occur. For a decade i heard why Interest Rates should go up. Im hearing very few people taking other side of that discussion. That is the black swan, that would be a lifechanging event for all investors. It basically pushed us all out the risk spectrum. Made us to invest aggressively in order to capture any yield. Were using stocks to get an income stream. Were using bonds to give us what used to get rate in cds and savings accounts. Everyone is being pushed out. Neil jonathan. That is one idea. This idea of looking for, you asked if this is irrational exuberance if you will, if there are bubbles in the market, which market . Certainly some hightech stocks, some big consumer oriented tech stocks theyre overvalued. Look at commodities as asset class. Look at value stocks, neil. Assets dont correlate with major indices. I think there are places to make money now. You have to look off the beaten path. Have something on the sidelines. There are unprecedented times there are warning signs to be aware of. Neil gentlemen, thank you very much. Can i put out something, neil, real quick . We had corrections, beyond money, beyond meats, netflix corrections are already occurring while the markets are going higher. Neil s p 500 stocks are technically at or near the bear market in themselves. Leaders are masking that. Thank you both very much. You dont look a day older than the 29 crash you were following. This market is doing quite well. To put it in perspective back then we were talking about a do you around 230, 230. It got to a low of 42, four, two. Right now were talking a market, dow at least in excess of 27,080. A little perspective there. What could disrupt that, political shenanigans, issue to address, impeachment hearings, real clear Politics White House reporter Phillip Wegmann on that. Potential inquiry, getting a vote going on that. Where is that standing right now, phil. Well see a vote this thursday, according to the speakerss office. What is so interesting about this. This is change of course for nancy pelosi and democratic leadership so far. They were avoiding a vote for a long time. They werent listening to republican calls for such a vote. But instead they switched course and right now, even though republicans got what they wanted, theyre saying this is a akin to calling in an umpire in the fourth inning of a baseball game to call the last five innings. But what is going to be really interesting as far as political implication here, the calculus shows that House Democrat think even if they call for this, this is housewide vote, that even if that puts some of these democrats in light blue districts on the line, when they vote yes or no to impeach, they think that it is still a winning argument. That it is going to see them retain the majority in the house going into 2020. Neil all right. There is this getting some press here as republicans have a blowout next november. I dont know who is believe here but they fear given the fact that 19 republicans in the house opted not to run for reelection, similar phenomenon existed before the midterms. We know what happened there. Two are not quite correlated. What do you make of that, the fears, some, i stress, some republicans have . I think retirement show this is very different Political Landscape than were used to. Republicans were very good at obstructing the obama administration. They were very good pushing for tax cuts when they controlled the house and senate. Now things are completely differ. It seems to signal theyre not ready for sort of political investigations that are going to continue moving forward but what is something to keep an eye on is that so far republican strategy has been to come train about the process. To say that House Democrats arent being fair by holding these impeachment hearings in the Intelligence Committee soees something much more transparent. So republicans are likely going to shift from arguing about the process and transparency to arguing on the merits of the investigation inquery. Neil but if it drags on for house vote presumably before christmas, lets say the house does vote to impeach President Trump, then it goes to a senate trial, in the midst of the caucus and primary kickoff, right . How is that going to do go . Two things to keep in mind. We know the the aright ma in did arithmetic in the senate, but Mitch Mcconnell can use pressure on his own caucus, but what will happen to the 2020 hopefuls when they want to be out on the campaign trail and get their own base is saying that the energy, the Political Energy that is most important to them is the impeachment trial going on in the senate . Were going to see kamala harris, Elizabeth Warren, Bernie Sanders, cory booker asked if theyre not in the senate for this trial, why theyre not . This is going to shake literally everything up, if it does come to a trial in the u. S. Senate. Neil sir, thank you very, very much. Good catching up with you as always. We are remembering the anniversary day, 1929, 90 years ago today, a big crash. I want to relay an item of interest. When a democratic rising star who had been elected or warn in as governor of new york, that year, you know him as Franklin Roosevelt and he was billed as the democrats great and last hope to recapture the white house only in an environment that didnt look very promising. Who need as Big Government idealist to wade us through times as profoundly good as they are now. No one can stop mr. Hoover. No one at all. It was a economic crisis and a crash and depression that followed that made that unelectable fdr very electable in a landslide. 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Keeping your people happy is what keeps your people. Thats Financial Wellness. Put your employees on a path to Financial Wellness with prudential. 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. Neil well he knew this day would come. He was trying to put it off. Boeing ceo Dennis Muilenburg faced congress after the crash of two 737 max jets that claimed 300 lives. Grady trimble live now with the back and forth t has pretty nasty, hasnt it, grady . Reporter it has been calm, contentious accusations, questions muilenburg had to answer. Namely relationship between boeing and faa, whether it was too cozy, whether boeing potentially knew about errors in the Flight Control system, the problems with that system, before at least one of the crashes potentially, both of them. Also, the company as a whole, muilenburg in particular had been accused of putting profits over the safety of its case. Safety is always a top priority. But he did admit to a mistake, admit to knowing, i guess i should say, he admitted there was a problem with the Flight Control system. We got the implementation wrong. I mentioned in my comments up front that we made some mistakes. We made a mistake in the implementation. Reporter senator Richard Blumenthal used his five minutes to have all families who are here, families of victims, stand up, hold up photos of the victims. He also accused boeing of essentially lying or concealing information to get that plane certified as quickly as possible. Boeing came to my office shortly after these crashes and said they were the result of pilot error. Those pilots never had a chance. These loved ones, never had a chance. They were in flying coffins as a result of boeing deciding that it was going to conceal mcas from the pilots. Reporter muilenburg also said in the hearing that the new improved version of the 737 max is in final stages getting recertified. It still has to do the critical faa certification flight. The big question, neil, whether customers will be comfortable getting back on that plane. Neil thank you very, very much. Grady trimble in washington following all of this. We have pilot, 737 max name is scared and boeing needs to change. Whats the first thing they do now, kyle . Some people are very leery of this plane period . This is what is happening First Time Ever we dont know how the passengers will react to something. When they get green light. Passengers flight on it. This has gotten so much Media Attention around the world. This will happen once they get the green light, will the passengers flight on it . If your business is flying somewhere on business you dont have a choice. Neil people have a choice in the interim. They have obviously flying around in other planes that are not maxes . That is true. This plane is under such scrutiny and so much attention. It is not flying. Theyre safe and certified by the faa. Neil if boeing were to get the plane certified to fly again, carriers might decide it will not be worth it, right . Carriers will analyze numbers, seeing cancellation rates among passengers, opting to switch flights. Numerous airlines will given waivers if the passenger doesnt fly on the airplane if they are indeed booked on the airplane. They will monitor numbers, to see how passengers are reacted to the certified airplane once given the green light. Neil how do you think muilenburg handled this so far . Im honestly shocked he is still in the position of ceo. He is not handling it very well, the marketing is a disaster. Media relations is a disaster. If you have a great product, stand behind your product, tell everybody how great the product is, what youre doing to fix it. And were not seeing anything like that. Were seeing prerecorded statements. I mean, these hearings, first time weve seen muilenburg, you know, one or two times prior to this. Neil there are tags, chain mail, look at those concerned about it, pilots with concerns about it. Im not saying that the chief has to know everything, muilenburg was a guy prided himself on detail oriented. Time and again he was saying things i dont recall, i dont remember. You have to protect yourself legally, i get that. To the point where he is not getting that much information . That is exactly true. If they in fact lied to regulators or misled regulators neil strongarmed the faa to rely on their data to approve this flight. In the messages they became aware of that. Alarm bells should be going off at boeing. The airplane should have been potentially grounded. Neil where do you think boeing goes from here . Up a little bit today . Of course it has gotten shellacked since the first accident, you know a year ago today, what do you think . Surprisingly, im surprised the stock isnt down more. Neil yeah. It is a pretty good value out there right now. If it wasnt boeing, that stock really would have gotten hammered. With the airplane itself, i think they will personally have to rebrand the airplane. The 737 National Name is engrained in everybodys mind as a bad airplane. That pretty much in my belief has to go away. It will be pretty hard to do. All the 737s, as you probably know are all in sequence, series, 100, 200, 300, 400, 500. Lesson in the future, not sequentially naming a plane boeing 737. Neil renaming a plan dont mask, in the florida everglades, valujet crash they were renaming it in the hopes that people would forget that airtran, but they didnt forget it. You know. Keep in mind, with this problem were seeing with the mcas system, it is almost like youre paying 125 million for a brand new airplane and it is to me equivalent of taking advil for a headache. If you get a headache every single day, take an advil a day, obviously could be underlying issue not being addressed. This little fix to me is kind of similar to that where the underlying issue is still there. So youre paying all this money for a brand new plane that has an underlying problem being masked or covered up by something to counteract it. Neil even acknowledge the software alone doesnt solve or address all the issues. Well see what happens. Kyle, thank you. Thank you. Neil very, very much. Boeing coming back a little bit today. It is still down appreciably since the first crash of lion air. 346 victims, families and loved ones in that hearing room today. Well have a lot more after this does your broker offer more than just free trades . Fidelity has zero commissions for online u. S. Equity trades and etfs, plus zero minimums to open a brokerage account. With value like this, there are zero reasons to invest anywhere else. Fidelity. Neil winds are whipping up wildfires in california still. More power outages, evacuations planned. This snuck out of nowhere. Containing it is proving herculean task. Robert gray in los angeles. Hey, robert. Reporter thats right, neil. Were in the brentwood neighborhood of westside l. A. , just a couple miles from the getty center where it sprang up yesterday. The fire came roaring across the canyon, reducing it to rubble. Half a dozen homes destroyed or worse, reduced to rubble. Theyre on watch out for winds. Were expecting the worst windstorm of the season beginning few hours time. Firefighters will be here several days. Evacuations valued through thursday at least. Pg e, the utility in Northern California cutting power to two million customers, rolling blackouts, trying to prevent more wildfires from sparking. Speaking of the kincade fire in sonoma county, continuing to rage there. Winds of 90 miles per hour, neil, blowing there, what they call diablo winds. It is a little cool today, neil. We should say it is expected to warm up in the next few days. High winds, warm temperatures are definitely something to watch out for. Back to you. Neil thank you very much, my friend. The boeing hearing with ceo Dennis Muilenburg is wrapping up. We understand we deserve the scrutiny. His Safety Assessment of the 737 max fell short. That is probably the worlds greatest understatement. Meantime amazon now looking for a rematch with microsoft over 10 billiondollar pentagon deal that is slipping out of its hands, after this. Cologuard colon Cancer Screening for people 50 and older at average risk. Ive heard a lot of excuses to avoid screening for colon cancer. Im not worried. It doesnt run in my family. I can do it next year. No rush. Cologuard is the noninvasive option that finds 92 of colon cancers. You just get the kit in the mail, go to the bathroom, collect your sample, then ship it to the lab. Theres no excuse for waiting. Get screened. Ask your doctor if cologuard is right for you. Covered by medicare and most major insurers. Neil it is looking like amazon may go to war with the pentagon. The Technology Company could challenge loss of a 10 billiondollar Cloud Computing deal that went to microsoft over itself. Hillary vaughn has latest from capitol hill. Hillary, theyre saying amazon is saying, this was signed, sealed, we were expected to be the ones to deliver. This was pulled out from under us. Is that true . Reporter essentially. In their statement they are surprised, and they disagree ultimately with the decision. Amazon has to decide if they will build up an arsenal of lawyers to challenge pentagon decision for the 10 billiondollar cloud contract. Some Senate Lawmakers may think they have a case. Moments ago with a Senate Armed Services committee for the pentagon pick for chief information, lawmakers asked the nominee cio about claims in a book published by former defense secretary james mattis Communications District tore, that he claimed that james mattis told him that President Trump told him to screw amazon out of the contract. The nominee for cio says despite those claims the white house had no political influence over the pentagons decision. I feel very confident that at no time were team members that actually took the source selection were influenced with any external, including the white house. Reporter but the decision is not sitting well with amazon, who was surprised. They say this in a statement. Were surprised about this conclusion. Aws is the clear leader in Cloud Computing, detailed assessment, on comparative offerings, clearly leads to a different conclusion. Amazon has options. They can challenge the dod decision. From what were hearing today on capitol hill, neil, it sounds like they may have some allies here in the senate. Neil all right, thank you very, very much. Thought you were throwing to a bite there. Hillary vaughn. Google earnings prove Online Advertising is real and lycra sieve. Unfortunately for google the soaring costs are real. Dave maney, digital chairman. Gone were days you couldnt make a lot of money on line, i mean a boffo lot of money, google is doing that in fistfuls. The costs were. Online revenue is real, isnt it . Oh, sure it is. I almost think that the thing to focus on neil, might be the next iteration which is increasingly it is my opinion that these giants of the techlandscape which we call the fang stocks may be minus netflix, but they are increasingly coming into conflict and competition with each other. You just heard that about the microsoft thing which is slightly different thing. But, what im seeing, is that, you know, were moving to this state which one journalist had called surveillance capitalism, which is, how much information can i know about everything that is going on in the world and everything in your life and how can i monetize that . What it appears to me is that there is increasingly direct headtohead competition in this surveillance capitalism world for, from google, from apple, from amazon, and from facebook. They all want to know the same things. They all want to sell the same things to make their revenue lines and to make their profits. The more that they clash, the more they butt heads you will see earnings announcement, it costs more to compete than it does to be a monopolist. Neil when you look at socalled fang stocks, they have been a great ride, one or two are out of sync with each other, but if you stuck with the names you would be up a lot. If you readjust that Going Forward, if you think it is fan, drop the g . All had doubledigit runups and doubling in the rally. What do you think . I think they are moving from a time when they are unbelievable engines of incredible growth to a time when theyre maturing, they are also, this is really important, it is becoming a more competitive landscape. And so if i were to answer your question directly, how do you think about them, im not really, you know, im not a portfolio manager, im a technology guy, but if i look how i would think about the companies, it now starts to look more like, what the story was with, you know the big three automakers 30 years ago. Which is who do you like, who has good models, maybe one a little better than the other, but they will all rise and fall on the same tide. They are in the same businesses. They got there with different platforms. Google started with search. Facebook with the network. Amazon with hardware, and retail. Theyre all converging on the same pace. You have to make your allocations making it one space, not four different ones. Neil thank you, dave maney. Its a date, maybe not so fast. President and president xi xinping could be signing off on phase one of the trade agreement when they gather in chile in a few months. That is anyones guess though. Hi, my name is sam davis and im going to tell you about exciting plans available to anyone with medicare. Many plans provide broad coverage and still may save you money on monthly premiums and Prescription Drugs. 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However the white house saying that may not necessarily be the case. All they will say though is that the administration is pushing forward to get the phase one deal down on paper as quickly as possible. You heard the president say it is ahead of schedule. To do that the chinese are changing right now their laws an regulations. In fact today the Chinese State Council Policy briefing. The director of intellectual Property Office for the chinese, says they are going to have strict protections of companies intellectual property. He says the chinese are taking four actions. First theyre establishing a punitive damage system for patent and Trademark Infringement that triples cost of infringement. Second strengthening criminal justice. That will allow more channels for restitution. The panel promises to speed up process to get patents and trademark issues. The patents and protections will also apply to foreign companies. China possibly looks for quid pro quo from the United States. The chinese spokesperson pushes back on the fact that the fcc wants world telecommunicationsp companies to rip out huawei equipment being used there as part of National Security concerns. Here, listen. Translator economic bullying behavior of the u. S. Is a denial of the market economy principle that the u. S. Has always advertised. It will not be recognized and supported by the international community. Reporter now huawei is not part of this phase one deal but what is, is the entire section, talking about protecting intellectual Property Rights for companies. That is at the core for American Companies. Also this administration, they want to see and make sure that happens. As well as enforcement inside of this agreement. Theyre putting that down on paper, as the president says, ahead of schedule. Neil . Neil edward lawrence, thank you very much. I misspoke. That would be next not months from now. Former undersecretary of state president Barack Obama Bob horvath. He says things with china are far from resolved. Good to see you. Thank you, neil. Neil do you have any confidence they will sign off on something in chile . I think both sides have strong interest on signing something off in chile. President trump doesnt want markets to anticipate a further escalation. This would calm the markets. Second he wants to say to american farmers, they will be selling more soybeans and other agricultural products. Neil the chinese are they committing to that . We havent, the precision is still not there. The general thrust they will buy more, over what time period, what products will be still will be resolved there is intellectual property issue which American Companies care about. The interesting thing about it, there is convergence. More and more china is developing its own intellectual property. Therefore there is considerable support in china for stronger intellectual property rules. You have got a lot of entrepreneurs there, who want to protect their intellectual property and president xi wants a period of time of normalcy, so that the tariffs will not go up because of course, i dont think that is the major problem for the chinese economy because the chinese economy is still pretty resilient. But i dont think neil although not as resilient, right . The growth rate is slowing down. That is more as a result of domestic reasons, deleveraging, things like that. He would like a period where predictions can be made about maintaining supply chains, where the uncertainty about investment, at least is somewhat reduced. There is a concern on both sides that the uncertainty about investment, because of the trade war has slowed investment and slowed growth. Both sides have a common interest in that. Neil all right. Democratic or republican president s always had a problem with china keeping its word, right . I dont know, in your days working with the obama administration, that was the worry and the case. We had a mechanism we were talking about a transpacific partnership, largely Asian Countries united against china to sort of square off. We abandoned that. It was in the works even prior to this administration. So what happens . Well i think, the concern domestically somehow the United States was giving up too much in the tpp on the other hand what it was really aimed at not so much containing china. I dont think that is possible. China trades more with a lot of trading partners than the United States. This notion of cold war containment is not going to work. It is not really practical. The idea of tpp was to establish stronger rules on intellectual properere to. Neil those days are gone. Youre quite right. To the you up mechanism. What characterized these negotiations. A on again, off again, head spinning dizzying, on off, are negotiations going to happen. When will they happen . If we go to round two, if round one worked out satisfactory, round one should have set of ministerial meetings and clear agenda and minimum of public threats and retaliation. Neil what is the threat of china waiting it out, see how the election goes . Six or eight months they probably were waiting but i now they would like to achieve anter rim deal to stablize markets and stablize trade and increase economic interaction between the two countries, now. They also dont know if the white house changes, what the democrats are going to want and there are a number of democrats who are taking fairly tough lines on china too. So i think the chinese are pragmatic. Neil do they argue better off with President Trump than they would be president biden, president warren, president sanders . I dont think they have come to such a conclusion yet. I think they have problems with President Trumps negotiating style which is something they cant predict as well as they would like. But i dont think that they are going to make choices. I think a while ago, props they said they thought they could do better under democrats. I dont know they necessarily think that now. I think they would like to get a deal to at least calm things down. Then a process that would deal with a whole range of other issues that will not be covered in this agreement. Neil today is the anniversary of the 1929 stock market crash. I covered it at the time. You and i both, do you ever think Something Like that could happen again . Markets are very volatile and unpredictable but i think the institutions that we have in this country are much stronger than they were at that point. We have a fed that is really been established. The fed was really tiff new at this point. We know a lot more about fiscal policy, how to counteract a sharp downturn than we did then. Economics profession has changed. The other thing we to the, we have international institutions. What made the depression of 29, 30, beggar thy neighbor trade policies and. Neil and tariffs. A lot of tariffs. Mutual retaliation. That made a bad situation worse. If we adhere to the rules of the trade organization and work with the imf and other institutions, hopefully cooperation, rather than go it alone policies will enable countries collectively to offset that. They have to work together. If each country decides it will do what is in its own interest, not care about anyone else. Neil katybarthedoor. You have collective mutually assured neil destruction. Either discussion or at least disruption. Neil i hear you, my friend. Bob hormats who hasnt aged a day covering that 29 crash. He didnt and neared neither did i. Neil the earnings beat, it is not that simple, how the strike is impacting the company to the tune of 3 billion that is so far. After this. Most people think of verizon as a reliable phone company. woman but to businesses, were a reliable partner. 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Take your business beyond. Neil all right. This is an intriguing lead. Anthony scaramucci meeting with Michael Cohen in prison. What is going on with that . Charlie gasparino here. As you know they were bigtime trump supporters, big time. Anthony. Neil used to be. On the financing side. Michael cohen, long trump, trump lawyer, fixer, bagman, the up pd mistresses. They both supported him and both had falling outs with him. What is fascinating neil not just falling out theyre going on jihad against the president. They want to see him basically not reelected in 2020. We got a tip that there was a prison meeting where mooch would go up to otisville, the federal Correction Institute in otisville where Michael Cohen is serving a threeyear sentence for various crimes, included crimes neil can that sentence be reduced . One of the things about the story. It is on foxbusiness. Com, scaramucci said his lawyers are trying to get the thing reduced. We, the way it was pitched to us, that meeting was occurring because theyre both teaming up to figure out a way to dislodge trump, spread dirt on him. Scaramucci told us that is not the case. They didnt talk about trump. Neil oh, common. That is what he told us. A personal friendship meeting. Neil never mentioned the president . Well, he didnt quite go that far they didnt meet to, you know, to discuss how to attack. Neil where did the scaramucci thing sour so fast . That makes no sense. He claimed to me it was evolution. One step too far, i cant remember which step at that was. He told me the step but accumulation of things. We should point out about a year ago today, this month, he put out a fawning protrump book, donald trump the bluecollar president. That didnt what is fascinating about this meeting, it comes on the heels of how scaramucci has gone public saying he will start an antitrump superpac to raise money. Neil for a republican challenger or the fall general election . I read the stuff. It wasnt too specific. I have to go back to read it again. What is interesting, anthony is hedge fund salesman. He sells funds to funds. Investment product that invests in various hedge funds. Neil investor in a restaurant. The place, you didnt like the food there. Neil i did too, very, very much. Actually pretty good, right. Neil not olive garden but what can be. Of course. Anything is a step up for you. The fox cafeteria is a step up for you. In any event he could raise a lot of money from wall street guys. That is his base. Neil youre a little persnickety today. You were playing hooky for few days. Do you sit around in the bathrobe and order your kids around. Neil i hate you. I hate you. Did you have a cigarette with a long stem on it . Neil i promise. Going back to the doctor just for a shot. With neulasta onpro. Patients get their day back. To be with. Family. Or just to sleep in. Strong chemo can put you at risk of serious infection. In a key study. 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Neil all right. 90 years later, were not doing that poorly. 90 years after the 1929 stock market crash, i remember that like it was yesterday, anyway, were a long way from that right now. Just putting that in perspective, the dow itself was at around 240. Got as low as 42 when all was said and done. Today, the dow is a little bit over 27,000. Thats a lot. All right. That was then. Could it happen now . We will explore that later. Meanwhile, something that could set the direction for stocks, the possible impeachment probe that could go to a vote. House democrats are planning action on thursday. We just dont know what that action will be. Chad pergram does and joins us from capitol hill. Hey, chad. What are you hearing . Reporter well, i wish i knew a little bit more. We are hoping to maybe get the text of this resolution later this afternoon before 3 00, the House Rules Committee would meet tomorrow at 3 00 and thats why they need that 24 hours in advance, then put this on the floor prospectively on thursday. But you know the House Majority leader steny hoyer was kind of hedging his bets. He was vague when asked specifically if they would put this on the floor on thursday. We are trying to find out what the text of the resolution is because what would it do, would it establish the parameters as to how they would go from these closed door investigations and interviews and then punt over to public hearings and maybe have witnesses come there as they move over to the Judiciary Committee as they start to write articles of impeachment. This resolution could be trouble for democrats and republicans. The reason some republicans, if they were to vote for this, you know, they could draw ire of the president and maybe face a primary challenge. There are 31 democrats in districts represented that President Trump carried in 2016, so that could be a problem there as well. I talked to some of those members on both sides of the aisle. Listen. The American People deserve the process, they deserve the transparency. They deserve to know whats going on. So if [ inaudible ]. Were going to look at the resolution and i know that im not ready to vote for impeachment until i read every single transcript thats in those depositions. I applaud the speaker for finally admitting it is a sham but you cant put the genie back in the bottle. Due process starts at the beginning. Reporter there is some question right now as to what you can even call this. House Speaker Nancy Pelosi last night said that this is not an impeachment resolution, her quote, and i asked steny hoyer, House Majority leader today, i said what about this impeachment resolution. He said the same thing. So we dont even know what this, in fact, is and we cant define it unless we have the text of this. Thats why this is a problem and this is reflective of democrats being so skittish. Maybe, you know, being associated with the idea of impeachment and that might be a reason why this is up in the air right now. Neil so this might not be an impeachment inquiry vote. If its not that, what is it . Reporter well, thats the question. Is it the resolution formally known as impeachment [ speaking simultaneously ] i dont know, you know. We dont know. But keep in mind that the historical precedent for this in 1974 with Richard Nixon and again in 1998 with president clinton, the house, the full house voted to kind of establish those parameters as they went forward with impeachment. Neil any musings on this, the anniversary of the stock market crash in 1929 . I know you were there to cover it. Reporter well, you know, as you get deeper into this, one thing i would flag for people is we are going to have a bad intersection of three things in about three weeks. Impeachment is going to be going on, they have to fund the government by november 21 and behind the scenes, they are still negotiating the usmca. That is a toxic brew of having all three things come together at the same time. Especially if they fail to fund the government for the third time during President Trumps administration. Neil all right. We have had a lot of alarms going off here. We will see what one rings and what has any impact like it did 90 years ago today. Stocks seeing new highs despite tensions over an inquiry. Hitting new highs again, to chads point, we really dont know what will come of this. We do know it could have potential marketmoving impact and way beyond markets, for politics and who may be the next president. Weve got republican pollster lee carter, capri cafara and john lonski. So let me get your read on where this goes. If it is a vote for inquiry without calling it a vote for inquiry, the old prince symbol thing, what will it prove . I dont think its necessarily going to prove let me say it this way. Its not going to change anybodys mind, whats going on right now. Once it hits the senate, then we will get much more serious. Right now people are thinking its all about party lines, people have already sort of decided what they think. Until people are able to go through and understand whats at stake, i dont think we will see any big changes. In many ways, people are so much in their bubbles that they are believing exactly what they want to believe. They believe the president , a lot of people believe what the president did wasnt right but necessarily wasnt impeachable. Thats what a lot of people who still continue to support him through this. I think if this ends up going to be more divisive, if we end up seeing more impact on the economy, a lot of people will blame the democrats for this. I think they have to be very very careful how they play their hand right now. Neil be careful, make sure you have your, you know, weapons in order, but it is a polarizing environment. 83 of democrats think they should go full throttle. I think a similar amount of republicans think the opposite. There is very little middle ground. Thats what we are seeing all across the country, in every possible context, where politics has really been pervasive in every walk of life, in every possible venue. Politics seems to, you know, permeate it. We have its resulted in everyone baichg basicalis basic lane and theres very little that can persuade the individual camps. I think thats one of the reasons why the market isnt reacting because i think the bottom line is that theres been so much volatility politically that it is adjusted accordingly. I think what may actually change things, vote or no vote, is whenever the hearings end up becoming televised, and there actually is a light being shown on whatever kind of testimony that is currently happening behind closed doors which you know, theres been a lot of criticism there even though democrats and republicans have been in the room, the American Public has not been and all neil that could change. Depending on what is out there in the public domain. Neil john, one of the views i have heard from market types is pretty much this. They actually expect the president to get impeached in the house. It might be all partisan, all one way, 218 votes coming exclusively from democrats, not a single republican, but that it fails much like the clinton effort failed in the senate. Do you agree with that . I do agree with that assessment. Neil so the reality of an impeached president in the house, if thats as far as it goes, extreme case, as of now, does it happen . Market soared. Year end, it took off. It had a rough spot during the summer and fall but at the end of the year, it skyrocketed. Neil the black Swan Development could be that not happening, that it goes beyond this . I think even if it went ahead, even if the senate changed their mind, which i dont think has happened, its not very likely, if the economy is doing well, if profits are growing, the worlds at peace, i dont think it really matters that much. Okay . There are probably a lot of Major Players in the Financial Markets as well as in the Republican Party that would not necessarily be terribly disappointed if donald trump was not to run as the republican standardbearer in 2020. I think it matters a lot for democrats, though. I think if they put this forward, then its going to be fuel to their fire and i think what they are going to do is continue to sow division which is not what they should be doing. Neil their argument is [ speaking simultaneously ] they will end up running with that and what people need to hear is hope, they want optimism, they want [ speaking simultaneously ] thats not what trump does. He doesnt come across as optimism and positive attitude. The way the democrats were able to be successful in the midterm elections was not necessarily because they ran against donald trump. Its because they focused on things Like Health Care and protect neil exactly right. By the way, thats why we have a problem potentially for republicans, in that 19 of them in the house are not seeking reelection. Thats exactly what happened prior to the midterms. Im not saying it repeats itself here but you read anything into that . I do read some into that but what i am reading mostly into is the fact that the democrats dont have a message thats coalescing people together. The democrats right now are still trying to figure out what they are running for. Its very clear what they are running against. They are running against donald trump. People do not go out and vote against. Thats not what motivates people. Neil this being the 90th anniversary of the stock market crash, i was reading a lot of clippings from that period and there was this up and coming governor in new york named Franklin Roosevelt who even back then, at the time of the 29 crash, was being sort of groomed as the democratic standard bearer. But that he wasnt going to go anywhere because we were having a booming time, continuation of the roaring 20s under hoover and whether he got the credit or not, it seemed unthinkable a Big Government liberal, they didnt call them that in those days, would ever have a chance of moving to the white house. We know what happened when we had the crash and the ensuing depression. All bets were off. Much like all bets were off in 2008, when john mccain and barack obama were running. 777 points, drop in the dow. Neil they were running even until that. September. Neil im not saying history repeats itself. We have a calamity like that. But that could change everything. A socalled unelectable Elizabeth Warren or Bernie Sanders could be electable. Exactly right. Neil really . You are always right, neil. Neil short of that if you have a recession, whoever is running under the Democratic Party banner will be elected president. Thats my view. That would be neil so the idea an un eleelece democrat, being Elizabeth Warren, thats the rap she gets or Bernie Sanders, they could never get the grand prize, get the partys nomination, that changes . Sure they could. Neil explain. I think, i mean, i think Elizabeth Warren i think Elizabeth Warren is the only one right now who could win. The reason that she is the only one that can win is because she has an overarching umbrella message thats making people excited and its getting people out there. Shes very much running against this idea of raging against the machine that is broken, that is not working. A huge number of people im excited about all the things they are going to get as a benefit neil long as they dont have to pay for it. Shes saying theres no middle class tax, you know, hike. Thats unrealistic. It doesnt matter, in many ways. I hate to say this. I dont see it. I dont see her carrying the states and taking those states back, wisconsin, pennsylvania, michigan and ohio that donald trump won in 2016. She may be abl popular vote. I think we will see disparity between the popular vote and Electoral College once again in 2020. Iwow. Im not saying she will win. Im saying shes the only one that has a possibility of winning because shes the only one who could carry a message and get people excited and enthusiastic. Neil you dont think any one of the more moderate alternatives could do that . Not the way they are running their campaigns today. Its just what voters are saying. There is nothing resonant or exciting about any of the other candidates. Theres a lot of this i like them but. I like them if only they would you know that visceral, excited reaction and you feel it. You felt it with obama. You felt it with trump. Neil what do you think . Bill clinton, i think shes right. Its kind of interesting, i was sitting down talking to senator dematto and newt gingrich. Neil theres a party. They thought the biggest threat to donald trump was not Elizabeth Warren, it wasnt joe biden. It was mayor pete. Was sc by that. They thought he could come up and he could really create a lot of problems for trump. Neil you agree with that . I do. Full disclosure, i was an intern for the senator back in 1997 so theres that. But i mean, i think because mayor pete is so exciting and different and he is a small town mayor in the midwest, but he has that progressive sort of social aspect to him as well that i think hes a unique candidate. But i dont think hes going to be the nominee. Neil all right. Im not letting go of the significance of this anniversary even though every panelist is so young they dont recall it. I think we can learn a lot from history and what things triggered, again, they say history doesnt repeat itself but it sure does rhyme. Debt is an issue that sure does rhyme between then and now. Different environment, different amount of money, same continuing problem. To earn j. D. Power chevdependability awards. Across cars. Trucks. And suvs. Four years in a row. Since more than 32,000 real people. Just like me. And me. And me. Took the survey that decided these awards. It was only right that you hear the good news from real people. Like us. Im daniel. Im casey. Im julio. Only chevy has earned j. D. Power dependability awards across cars, trucks and suvs. Four years in a row. Thbecause with nband after thleague pass on xfinityr. You can watch the out of market games you want all season long. And with the allnew xfinity sports zone, you get everything nba all in one place even notifications about your favorite teams. Watch the dropped dimes, monster blocks, and showstopping dunks. Plus get instant access to your teams with the power of your voice. Thats simple, easy, awesome. Say Nba League Pass into your voice remote to check out a free preview. Dont miss out. And now for their service to the community, we present limu emu doug with this key to the city. [ applause ] its an honor to tell you that Liberty Mutual customizes your Car Insurance so you only pay for what you need. And now we need to get back to work. [ applause and band playing ] only pay for what you need. Liberty. Liberty. Liberty. Liberty. Neil all right. The s p 500 is in record territory again because it hit a record yesterday. Any gain is another record. See how i figured that out . The tenyear treasury note, the perceived pickup in Economic Activity is back up a little more. You know the drill. The price goes down and obviously the yield goes up. Its up to 1. 84 . Keep in mind this is appreciated about a quarter point, little more than a few weeks. The dow still a ways from record territory, about a couple hundred points, about 240 points. The nasdaq closing in on a record. Just to put these market averages in perspective, right now weve got the s p itself up 21 . Most of that occurred in the early part of this year, and it hasnt done a whole lot since then. The same with the nasdaq, up in excess of 25 year to date. A lot of that in the beginning of the year. The dow itself, not too shabby. Still up north of 16 . A lot of that, buoyed by a pickup in a lot of issues exposed on the trade front. It might benefit from a perceived trade deal if it is ultimately one signed off on, at least the first phase of it, in chile next month. We shall see. In the meantime, we have other records to tell you about that are not so, well, at least promising. Like debt. It is soaring. At an uncontrollable pace, we are told a trillion likely this year on top of a trillion last year on top of a trillion plus dollars likely next year. Where we going with this, john lonski . What do you think . Oddly enough, we have the highest rash tio of u. S. Governt debt to gdp since the Second World War and that was because of special circumstances. Yet at the same time we have the lowest treasury bond yields in decades. Inflation is well contained and less than the feds 2 target. And we still have a relatively strong Dollar Exchange rate. Neil will that still be the same as expected if the Federal Reserve cuts Interest Rates . I think it will be the same. The only thing that might change things, if we begin to believe that the further increase in federal indebtedness because of some new president or new Economic Program begins to generate an unwanted increase by Price Inflation that in turn pushes down the Dollar Exchange rate. I would add to that perhaps a new administration steps up regulation of u. S. Business activity to such an extent that it begins to neil Elizabeth Warren, right, she comes to mind. A Hedge Fund Billionaire was saying if she were elected, it would cost the dow 25 , would fall 25 . If Bernie Sanders were elected it would be 20 . They made their name obviously going after wall street, trying to regulate big banks. Elizabeth warren touts the fact that she was part of the creation of the Consumer Protection finance or Consumer Finance protection bureau. Obviously they have, you know, a reputation. But as we were talking about during the break, the issue here that we now see yet another republican administration, you know, being okay with the increase in the national debt. Neil no one cares about debt and they should. But no one does. Heres one of the reasons why they should. Because china owns so much of our debt. They are not our friend. Neil preaching to the choir. But the never comes up as an issue. No one cares. People dont we have so many problems and this isnt one of them at top of mind for people. Neil should it be, though . We have had so many alarm bells go off about this is gog to be the year its going to be unsustainable. If we go over this number it will be the worst thing. If we go over this number. [ speaking simultaneously ] at the same time, people want, they want medicare for all, they want free college, they want all these things. Theres no way to pay for it. So there is no method and there is no one helping understand it. Its a very similar challenge to climate change, one of the things, how do you neil they have to make it an issue. We are just going like this. One of the ways i think this may end up becoming an issue at least in focus for a hot minute is when november 21st, not only is it my birthday but the day the government may shut down because we will run out of money again. What are we going to do, increase the debt ceiling or shut down the government . Both of those things are neil these are issues for your generation. I think you and i are okay. Were safe. We get under, you know. But its going to cost them. You know, youre talking about china selling u. S. Government debt as part of some trade war with the United States. If china were to go ahead and unload u. S. Treasury securities, guess who could quickly step in and buy them . The Federal Reserve. We could have another run neil you are minimizing this. You are minimizing this threat. Yeah. Im saying right now its manageable as long as inflation is under control. As long as the Dollar Exchange rate is theres nothing out there that suggests to me theres anyone or anything thats going to turn the tide. Maybe its manageable as it is but who and what is going to be the moment thats going to say enough is enough . Neil politically suicidal to address it, rein in entitlements, slow the growth of government no matter what part of government. Paul ryan tried to engage in that conversation as speaker of the house. He couldnt. John kasich talks into the abyss about this, trying to get republicans back on track. It would take republicans and democrats coming together which, by the way, whats the chance of that happening on something so wildly unpopular . Neil meantime, there is this. 250 if you want the new air pods. If you want them, whether you are in debt or not, theyre there. After this. 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 car vending machines and buying a car 100 online. Vented now weve created a brand new way for you to sell your car. Whether its a year old or a few years old, we want to buy your car. So go to carvana and enter your license plate, answer a few questions, and our technowizardry calculates your cars value and gives you a real offer in seconds. When youre ready, well come to you, pay you on the spot, and pick up your car. Thats it. So ditch the old way of selling your car, and say hello to the new way at carvana. Keep going, keep going. [maniacal laughter] gold right, uh. Thank you, for that, bob. But i think its time we go with gbtc. Its bitcoin exposure through a traditional investment account. Nice rock. Its time to drop gold. Go digital. Go grayscale. Gerri welcome back. Im gerri willis from the floor of the new york stock exchange. Shares of beyond meat sinking today, down some almost 19 . A lockup period for early backers expired today, bringing up nearly as much as three quarters of the companys shares for trading. The Ceo Ethan Brown said he was not selling his shares. Also weighing on beyond meat, more spending for new products like meatfree versions of steak, bacon and chicken breast. Analysts today cutting price target on the stock. The downdraft coming after the Company Reported its first quarterly profit, beating estimates by three pennies. I guess no good deed goes unpuni unpunished. Grub hub making beyond meat look like a piker. Shares plummeting. They were down earlier some 44 , now down 42 and change. The Company Reported disappointing earnings, cut its guidance for the Fourth Quarter as orders and Customer Growth slowed. Worse, the ceo matt maloney told wall street journal that the company is in a weird bubble that is about to burst. Thats a quote. Talk about a forwardlooking statement. Meanwhile, uber shares trading lower as we saw earlier here, down 1. 5 . The company launching a program called uber money, targeting consumers and drivers with a digital wallet and upgraded debit and credit cards. Drivers around the world will have access to a mobile bank account so they can get paid after each ride. The company also launching uber health with a health care infotech company. Health care providers will be able to seamlessly schedule nonemergency transportation. Back to you. Neil you covered a lot of ground there. Thank you very, very much. Meanwhile, millenials are spending billions on halloween, and the reason might be downright scary. After this. Neil well, its not just you, a lot of millenials are scared about this market, no matter how high it goes. They could learn a thing or two from smu. Its teaching students how to invest using real money. Im talking about a lot of real money. Lauren simonetti had the inside look for herself. Lauren you know, its interesting, we say millenials kill capitalism. Not in texas. Take a look. Give 10 million to a group of how many students and they put that in the stock market . We have about 35 students in our undergrad class, about three in our grad class. The grads held about six and a half million dollars, the undergrads about four and a half million. These are real dollars, dollars generally given by key donors. They want our students to have the experience. This whole class is about teaching students to present, to research and to write. We are here today pitching a buy recommendation for Eastman Chemical company. Today we will be presenting today we will talk about walgreens boots alliance. Why we are bullish on american airlines, why we think its a good buy today. Using real money, so its very exciting. This program started in 1972 but this class only goes back the 2014. I actually made as a joke in 2014, i said to the grad class, they said thats a great idea, because we know we can beat the undergrads. Lauren does this money fund your it does not. I knew you were going to ask that question. Lauren does it fund anybodys . It does fund one of our endowed chairs. Doing thousands of mock interviews for our students. Lauren they are prepared for the job market. They are prepared. If a Company Hires one graduate, they will be back for more. No question about it. Lauren pretty cool. Neil that is pretty cool. Lauren they just got a record donation from a former alumni, 50 million. Now their total endowment is 1. 2 billion. Thats pretty good for a school the size of Southern Methodist university. Each year they get about 10 million for the business students to invest. Neil do they get to keep the money they make or no . Lauren they use it towards things that go into the school. Neil pizza . Lauren pizza, probably. One of the salaries for the chairs as you heard in the piece, but if they lose money, they take the risk. Neil thats a great thing to do. How are they doing . Lauren we will track it all year. They are in the picking phase right now. The money has not been invested. They have been doing this since 1972. How have they done over time . Lauren all right. I couldnt get exact numbers. Generally, positive. Then they started to put the undergrads versus the grads. The way i see that now is millenial versus gen z. Who has been winning, take a guess. Undergrad. Gen z. Lauren apparently the undergrads are more cautious. Believe it or not. When you talk to people, investors out there, i have done some research, people are overwhelmed, they dont know how to make these decisions, how to invest. When you get young people the kind of tools they need, it will create neil this is a business school, right . Lauren its their business school. Their mba program. Regardless, i think the practical application, the younger you are, the better off it is. Whether its Financial Literacy in high school or circumstance like this neil should be a requirement for everyone in congress. I couldnt agree with you more. Lauren two takeaways. The goal of these students in many cases is not to work at an investment bank. Its to work at a startup. Because they like the idea of contributing to something, to making something their own. They are for profit, they are for capitalism but they also want the make an impact. Impact investing is big. They do understand that even though mom and dad pay for two or three ubers a day, uber is not profitable. They get those concepts. Thats how they invest. I was shocked at their investments, for instance, of gilead science, Eastman Chemical, Digital Realty trust. Neil its an exhaustive look at the cash flow, all the things that go into making an investment . Lauren each presentation, there was 11 for undergrad, 11 for grad, takes about 48 hours of research. Neil what kind of portfolio are they looking at . Is the class united on this . Lauren they have to vote. Each of the students, well, because they are part of a group and that group has to make their presentation to the class, then the class votes on the internet. But instantaneously, okay, we vote that you can put 20 of this money into that stock. Whatever the class says is what they do. Democracy. Neil you sound like you have your doubts. Umhum. Neil you do. Lauren why . You want to give your kids 10 million to invest in the stock market . Excuse me . Neil he wants them to be selfsufficient. More after this. Including the grilling by boeings ceo on capitol hill today. It did not go well. Thats an understatement. After this. What a time to be alive. 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. 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The safety board will also look to determine the probable cause of the accident. The high school is just a few blocks away from there. It sent a message home to parents and students are safe but will not be allowed to go out for recess which is probably a good idea. In the meantime, General Motors stock soaring today on earnings but the company issuing a warning over this uaw strike and a pretty expensive strike, at that. Jeff flock has all the details. Hey, jeff. Reporter look a little thin out on the lot here at the chevy dealership . It should because inventories are pretty thin these days as a result of that strike. As you point out, it was a very expensive strike. Mary barra at the Earnings Call today revealing they lost almost 3 billion as a result of that walkout. In addition, and you know, you pointed out the stock is soaring today. They did beat on estimates, and revenue, they did almost 2. 5 billion q3 so thats good news for them. The stock up, though, but the forecast Going Forward was between 6. 50 to 7 a share for the year. They have now changed that forecast to between 4. 50 and 5 a shea a share. Here are other tidbits from the conference call. Asked pointblank are they going to spend more capital Going Forward on evs or gaspowered vehicles, she said without hesitation, we are going to spend more on evs. In addition, she admitted electric vehicles take fewer workers to make but the uaw didnt try to stand in the way of that. In addition, she said china is now a very Challenging Market but she doesnt get a sense that consumers in china are holding it against gm and not buying u. S. Cars because of the trade tensions between the two nations. There you have it, headlines from mary barra. Neil it just drags on. Thank you very, very much. Jeff flock in the middle of all that. Meanwhile, senator ted cruz calling for boeing ceo Dennis Muilenburg to take responsibility for the 737 max crisis. Take a look. Mr. Muilenburg, how in the hell did nobody bring this to your attention in february, when you produced this to department of justice . How did you just read this a couple weeks ago . Senator, again to clarify my earlier comments, i was made aware of the existence of this kind of document, this issue, as part of that discovery process in the investigation, early in the year, as you pointed out. At that point, i counted on my counsel to handle that appropriately. And did you read this exchange . Look, i was made aware documents were being produced. That is passive voice, and disclaiming responsibility. Youre the ceo, the buck stops with you. Neil im sorry. Anyway, that backandforth did not go well. Lets go to making money host Charles Payne, what he makes of this. You know, you had been mentioning earlier that it doesnt give a great lift to capitalism today. Explain. Charles well, boeing is our number one exporter, a Great American success story, started by a lumber baron in washington with a vision and now of course, it is just dominating an industry where we see the most Global Growth over the next 20 years. So its a central part of our economy, central part of the worlds economy, and it is a proxy for american exceptionalism. So the testimony today in my mind was by the way, right before that cruz comment, senator duckworth took him to task as well, more or less saying he was a liar, he was not truthful, he set the pilots up for failure. He took a serious grilling from both sides of the aisle today. I was saying at this time it was really warranted. Listen, the company is going to survive. Im not so sure that he will as the ceo, although going into the hearings, he said he wants to stay in that job and in that role. Well see. Neil hes had one role stripped away, the chairman title, but again, to your point, he could lose this as well. You know, i go back and forth to seattle quite a bit. You talk about some of the big names that are equated with that incredible city. Before any of them, before the starbucks and microsofts and googles and amazons, there was boeing. Its biggest, proudest Corporate Citizen and a draw in its own right. Im wondering what its future looks like now. Charles the future is wonderful. It really is going to be wonderful. Again, they are going to have to do a lot on the Public Relations side when they bring these planes back on. Again, its the growth of the world. Weve got a growing middle class around the whole entire planet over the next 20 years. 44,000 more commercial planes, 6 trillion in revenue for that, another 9 trillion in servicing. Thats the pot. Theres only one major competitor for boeing to go after this. So theyve got a lot of time to fix this, make it right. I think they have to be a little more conciliatory than they were today. Neil i wonder sometimes, even if you rename the plane as they have apparently been kicking around at boeing for the 737 max, i think of value jet and it became air tran, a lot of people were leery of the carrier. I know a little bit of engineering apples and oranges here but thats going to be a tough stigma to get over. Charles it is going to be an extraordinarily tough stigma to get over. You know, lot of people on my twitter feed, they want to see boeing, the executives, board of directors, take a few flights on this, maybe congress, and you know, to a degree, i think muilenburg tried to throw faa under the bus just a little today as well. I think people will want to see more accountability from the government. Its always rich when you have these sort of hearings when the fact of the matter is one of the most bloated agencies we have also missed this as well. Neil a lot of people missed it. Charles, thank you very much. See you soon. Charles payne. More after this. Including a closeup look at how hollywood is getting nervous because movies are coming to you faster. Ill explain after this. 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. Whether youre or here on a wifi hotspot. Xfinity mobile has more coverage to keep you connected to what matters most. Thats because its the only Wireless Network that automatically connects you to millions of secure wifi hotspots and the best lte everywhere else. Switch now and see how you could save up to 400 a year. And get 50 off when you buy any new lg phone. Xfinity mobile. Click, call or visit a store today. Neil all right. This could be a big deal. The ncaa will permit athletes to be compensated, this is the first time, for their name, images and likenesses. This is coming from the board of governors. Obviously this opens what could be a floodgate of activity not only in College Basketball but football. So what our panel makes of that right now. Lee, capri, john. Capri, what do you think . Im really torn on this issue. Obviously these athletes put a lot of time and effort and they bring in revenue in many instances to the university, because they are, you know, potentially on a winning team. At the same time, they are also oftentimes compensated already by being provided athletic scholarships, student athletes. So you know, theres going to be a lot of variation across the ncaa on this and you know, i brought up the issue as well that is this across all sports, is this for female athletes as opposed to male athletes . I have no idea. Neil what do you think . I think i agree with all the things you find complicating about it but i think it changes the sport from a spectator, you know . From the point of were rooting for these kids, from the point of this isnt about compensation or fame, this is about the love of sport and the love of your school. Neil and popular sports, if its baseball, basketball, football. I dont know the extent lacrosse you will be compensated for your image, your likeness, so it depends upon how the media wants to capture an image or likeness. I cant help but think this will force some of these College Athletes to inflate their egos quite dramatically even more. It really puts people off. I cant really understand this. Neil i have no idea. But apparently the staff said its a big deal. I said okay, lets do it. In the meantime, they are calling it speed bingeing. Netflix is testing a feature to let viewers watch shows faster, streaming would be sped up. Its getting a lot of hollywood types fed up. This means it comes to you quicker. What do you think . Enough, already. I mean, in some ways, how much more content do we need, how much more quickly, how much more efficient do we need to be . I mean, some things, arent they just meant to be relaxing in their time . I would imagine that artists would have a hard time with this because you want your work to be consumed in a way that you put it together, the editing and directing and artistic effects of it all. I dont know. To me, i think this is [ speaking simultaneously ] neil he says there is no way netflix will move forward with this, that would mean they are completely taking control of everyone elses art and destroying it. Netflix is far better than that. Am i right, netflix. I would think so. I agree with you. Ultimately, netflix is only as good as the product that they provide, right . And that product neil if they get that product in their hot little hands faster, that means your hot little hands faster. Instant gratification has to stop some place, in my humble opinion. I want a little dial so i can speed it up. There you go. So neil judd apatow said no netflix, no, dont make me have to call every director to fight you on this. Save me the time. I will win but it will take a ton of time. I cant say that word. With our timing. We give you nice things, leave them as they were intended to be seen. But if the future is fast, this is the future. Well, sometimes they still have to watch black and white. I also hate it when you take black and white film and turn it to color. That didnt work well, either. We are fuddyduddies around the table here. Remember evelyn woods course in Speed Reading . I will have one in speed watching. You are all in, you will speed everything up and get it done faster. Im down with skipping commercials if you pay whatever the subscription fee, but neil our view on commercials is watch them. Meanwhile, apple is making a big bet on these 250 air pods. From what i understand, they cancel out background noise. But thats a lot to cancel out background noise. I have the regular air pod. Why do i need to get these . Because its the new shiny toy and Everybody Loves the new shiny toy. I dont care. I still have i think this is an iphone 7. Neil looks like iphone 2. Its not quite as status. Im not one of these people that are big on adapting the new stuff but people much like our last conversation, they want the new thing and they want it now, and you have to give that little tweak, frankly i would lose the little ear bud things without the wire. Neil i have lost those. They are very easy to lose. My stepson has lost them many, many times. Its very frustrating. I will say this about apple. I get frustrated with them because just as soon as youre ready to get the new thing, the next new thing comes out. But this is a point of differentiation. They have noise canceling head phones, people who travel, who are doing a lot of Conference Calls neil what does that mean, all you are hearing is say the music, what you are listening to, no outside noise . Thats right. Thats really unsafe on the streets of new york. Look at what people do with those bose head phones on air planes. Everyone has the noise canceling so you are not hearing everybody else. You can tune people out. You can choose to have conversations or not. Some people have them on and act like they are listening to something. Neil i could see you doing that. I cant talk to you. I have seen it happen in my office. Lot of people act like they are deep neil yeah, right. Real quickly, millenials are spending billions on halloween, just to spruce up their social media. That doesnt surprise me at all. Arent they too old to be celebrating halloween . We are such baby boomers. Neil what is the deal . Thats a lot of money. Its a lot of money. But what the kids will do to keep their social media current and looking good. Its like nothing i have ever seen before. I just came back from a family vacation. I have nieces here, and they are able to take selfies and pictures and neil i dont understand. They are beautiful girls. They dont need to do all the things theyre doing. Theres a market. Thats what theyre doing. Neil im glad they didnt have this when i was a kid. All right. Guys, thank you all very, very much. Well have to carry the torch for the generation here. Thats right. What it used to be like. Neil yeah, gramps. More after this. Fidelity has zero commissions for online u. S. Equity trades and etfs, plus zero minimums to open a brokerage account. With value like this, there are zero reasons to invest anywhere else. Fidelity. There are zero reasons to invest anywhere else. Its what gives audible themembers an edge. Listening; it opens our minds, changes our perspective,